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HomeMy WebLinkAboutCorrespondence - #28 July 6, 2021 www.kennedycommission.org 17701 Cowan Ave., Suite 200 Mayor Sarmiento and City Council Members Irvine, CA 92614 City of Santa Ana 949 250 0909 20 Civic Center Plaza P.O. Bo 1988, M31 Santa Ana, CA 92701 Re: Support Item 28. Housing Ad Hoc Committee Progress Report and Recommendations Regarding the Housing Opportunity Ordinance Dear Mayor Sarmiento and City Council Members, The Kennedy Commission (the Commission) is a broad-based coalition of residents and community organizations that advocates for the production of homes affordable for families earning less than $27,000 annually in Orange County. Formed in 2001, the Commission has been successful in partnering and working with Orange County jurisdictions to create effective housing and land-use policies that has led to the new construction of homes affordable to lower income working families. We proudly work in partnership with residents and advocate alongside them for solutions that will address their housing needs. We stand with our partners in support of Item 28: Housing Ad Hoc Committee Progress Report and Recommendations Regarding the Housing Opportunity Ordinance The need for housing affordable to low-wage earners in Orange County, California, is \[1\] enormous. Ranked among the top ten least affordable metropolitan areas in the country, Orange County is suffering from an affordable housing crisis. A resident must earn at least $42.62 per hour to afford a two-bedroom apartment at a fair market rent of $2,216 \[2\] a month. As rents and the number of residents needing affordable homes have continually increased, the number of affordable homes being built for lower income households has not kept up with the demand. The average asking rent in the City of Santa Ana is $2,200, which is an eight percent \[3\] increase from the year before and rents are expected to continue to increase. \[1\] Out of Reach 2020 - The High Cost of Housing, National Low Income Housing Coalition, p. CA 40 \[2\] Out of Reach 2020- The High Cost of Housing, National Low Income Housing Coalition, p. CA 40 \[3\] www.zumper.com/rent-research/santa-ana-ca/downtown-santa-ana. With lower wages that are not keeping up with rising rents, many renting families continue to struggle financially to live and work in this City. Approximately 60 percent of renter \[4\] households are lower income and 84 percent of residents held moderate and low- \[5\] income occupations that paid less than $53,500 per year. In order for rent to be affordable, only 30 percent of an individual’s income should be used towards housing costs. Unfortunately, 57 percent of renters overpaid or spent more than 30 percent \[6\] of their income towards housing costs. We support the recommendations modifying the Housing Opportunity Ordinance to make it more effective and help create more affordable housing. We encourage the city to continue to make new affordable housing a priority. If you have any questions please contact Cesar Covarrubias at cesarc@kennedycommission.org Sincerely, Cesar Covarrubias Executive Director \[4\] City of Santa Ana General Plan Housing Element 2014-2021, p. 14, January 2014. \[5\] City of Santa Ana General Plan Housing Element 2014-2021, p. 12, January 2014. \[6\] City of Santa Ana General Plan Housing Element 2014-2021, p. 20, January 2014. Orozco, Norma From:Dave Elliott <delliott@santaanachamber.com> Sent:Tuesday, July 06, 2021 11:44 AM To:eComment Cc:Ihrke, Bill; Sharon Ellis; Jemal, Tim Subject:Agenda Item# 28 Housing Opportunity Ordinance Mayor Sarmiento, Members of the Council and City Manager Ridge The Santa Ana Chamber of Commerce has concerns regarding the proposed increase in the "in lieu fees" from $5 to $15. This coming after recently reducing this fee. In this time of "RECOVERY" from the Pandemic we feel any fee increases and tax increases to our business community is not in the best interest of a recovering economy. Are we sending the right message? Also, how will the residential building community respond to this? Will this be adverse to attracting new developments? The Chamber Government Affairs leadership raises these concerns and does not support this increase at this time. Thanks to all of you for your work and consideration. David L Elliott President/CEO Santa Ana Chamber of Commerce 1