2014-006 - Santa Ana General Plan Housing Element and Public Safety Element Updates

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HOUSING PLAN The City financially supports nonprofit and for - profit organizations to acquire and rehabilitate projects and extend long -term affordability controls. When feasible, housing units are reconfigured to meet the housing needs of families. This program will continue to be used to preserve multiple - family housing, encourage size- appropriate units, extend affordability controls, and improve residential neighborhoods. 39. Neighborhood Stabilization The Neighborhood Stabilization Program provides funding to cities hit hard by dramatic increases in the numbers of abandoned and foreclosed residential properties. The program permits cities to buy foreclosed homes at a discount and rehabilitate or redevelop them. Since 2009, the City has successfully applied for and received more than $17 million in federal NSP dollars to preserve neighborhoods and eliminate blight associated with foreclosures and abandonment of residential properties. The City adopted a strategic plan and selected an intermediary to assist in implementing the program. To date, NSP funds have been used to acquire, rehabilitate, resell, and plan for nearly 150 housing units. The City will continue to implement this program per the guidelines. HOMEOWNERSHIP ASSISTANCE 40. Down Payment Assistance Program The City of Santa Ana offers a down payment assistance loan to help lower income households buy their first home. Under the program, the City will offer a loan of up to $40,000 toward the purchase price for no interest and no payments for 45 years. To qualify, a prospective buyer must attend prepurchase and postpurchase counseling programs, choose a home in Santa Ana that meets maximum home values, and make a down payment of at least 3 percent. In recent years, the dramatic escalation in the prices of single - family homes has required deep subsidies that have been cost prohibitive. The high level of subsidy required for a single homeowner must be balanced with the need to provide suitable assistance to a greater number of rental households. Although the program has been curtailed in recent years with the demise of redevelopment, the City will investigate new funding opportunities to restart the program. 41. Homeownership Partners In today's economic climate, public/private /nonprofit partnerships are a prerequisite to financing, building, and operating new affordable housing. Few cities have the financial and administrative resources to do it alone. The City of Santa Ana has a track record of working with nonprofit organizations to build affordable housing. The City has worked with RSI Development, Habitat for Humanity, and the Orange County Community Housing Corporation to facilitate the construction of infill housing in residential neighborhoods. Some entities provide homeownership counseling, and others help provide access to JAdL other state and local funding sources. The City will continue to seek to expand 64 CITY OF SANTA ANA GENERAL PLAN HOUSING ELEMENT