HomeMy WebLinkAbout1997-02 CRA
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COMMUNITY REDEVELOPMENT AGENCY
OF THE CITY OF SANTA ANA
RESOLUTION NO. 97-2
A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE
CITY OF SANTA ANA APPROVING THE MEMORANDUM OF
UNDERSTANDING AND PREDEVELOPMENT LOAN AGREEMENT BETWEEN
THE AGENCY AND SOUTHLAND ECONOMIC DEVELOPMENT
CORPORATION, dba SANTA ANA DEVELOPMENT COMPANY,
PERTAINING TO THE IMPLEMENTATION OF A REPLACEMENT HOUSING
PROGRAM AND AUTHORIZING THE EXECUTIVE DIRECTOR TO
EXECUTE, ON BEHALF OF THE AGENCY, THE MOU AND RELATED
DOCUMENTS.
THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA HEREBY
FINDS, DETERMINES, RESOLVES AND ORDERS AS FOLLOWS:
WHEREAS, the city of Santa Ana has an obligation to provide
replacement low and moderate income dwelling units in accordance
with HUD Regulations (24 CFR §570.606) in the City of Santa Ana
(the "Replacement Housing"); and -
WHEREAS, the HUD Regulations provide that Replacement Housing
units may be provided by any government agency or privatè
developer, and must meet the requirements set forth in 24 CFR
§570.606(c) (ii) (the "HUD Requirements"); and
WHEREAS, Southland Economic Development Corporation, dba Santa
Ana Development Company ("Developer") is a nonprofit corporation
having experience and qualifications in acquiring, constructing and
providing well-managed and affordable housing for low and moderate
income persons and families in the community; and
WHEREAS, pursuant to the Community Redevelopment Law
(California Health and Safety Code section 33334.2 et ~.,
referred to hereinafter as the "Redevelopment Law"), not less than
20% of the tax increment derived from redevelopment projects in the
City of Santa Ana must be used to provide affordable housing for
persons and families of low and moderate income in the city of
Santa Ana (the "Housing Funds"); and
WHEREAS, pursuant to the Redevelopment Law, a portion of the
Housing Funds may be used to pay the planning and general
administrative costs of nonprofit corporations which provide
affordable housing in the community; and
WHEREAS, using a portion of its Housing Funds, the Agency has
acquired, and is in the process of acquiring, parcels of property
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in the City of Santa Ana (each one referred to as a "Parcel" and
referred to collectively as the "Parcels") which are appropriate
for the development of single-family housing which may be counted
towards the City's Replacement Housing obligation; and
WHEREAS, Developer and Agency wish to cooperate in a program
which will result in the development of Replacement Housing units
on the Parcels (the "Replacement Housing Program"); and
WHEREAS, the Agency has prepared a proposed Memorandum of
Understanding and Predevelopment Loan Agreement (the "MOU"),
providing for a process by which the Agency and Developer will
negotiate one or more agreements (the "Implementation Agreements")
relating to the financing, acquisition, construction, rental and/or
sale of Replacement Housing units on the Parcels, which Agreements
will comply with the applicable HUD Regulations relating to
Replacement Housing, and which will be subject to the approval of
the Agency Board and city council following publication of notice
and a public hearing; and
WHEREAS, the MOU further provides that to facilitate the
negotiation of Implementation Agreements, the Agency Executive
Director shall be authorized to make predevelopment loans to
Developer for the preparation of plans and other predevelopment
activities necessary for the construction of Replacement Housin~
units; and
WHEREAS, copies of the proposed MOU in substantially final
form have been presented to this Agency; and
WHEREAS, the negotiation of Implementation Agreements and
preparation of plans pursuant to the MOU are activities that are
statutorily exempt from the California Environmental Quality Act
(CEQA Guidelines § 15262); and
WHEREAS, the Agency has duly considered all of the terms and
conditions of the proposed MOU, and believes that the proposed MOU
is in the best interests of the city and the health, safety, morals
and welfare of its residents, and in accord with the public
purposes and provisions of applicable State and local laws and
requirements.
NOW, THEREFORE, BE IT RESOLVED by the Community Redevelopment
Agency of the city of Santa Ana as follows:
SECTION 1. The Agency recognizes that is has received and
heard all oral and written objections to the proposed MOU and to
other matters pertaining to this transaction, and that all such
oral and written objections are hereby overruled.
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SECTION 2.
The Agency hereby approves the MOU.
SECTION 3. The Executive Director of the Agency or her
designee is hereby authorized, on behalf of the Agency, to execute
the MOU, and to make such changes of a nonsubstantive nature as the
Executive Director or designee shall deem appropriate. A copy of
the MOU, when executed, shall be placed on file in the office of
the Clerk of the Agency.
SECTION 4. The Executive Director of the Agency or her
designee is hereby authorized, on behalf of the Agency, to sign all
documents necessary and appropriate to carry out and implement the
MOU and to administer the Agency's obligations, responsibilities
and duties to be performed under the MOU.
SECTION 5. The Executive Director of the Agency or her
designee is hereby authorized, on behalf of the Agency, to disburse
predevelopment loans to the Developer, pursuant to the terms and
conditions set forth in the MOU, in the maximum amount of $50,000
per Project, not to exceed $100,000 in the aggregate.
SECTION 6. The Agency finds and determines that the use of
the Housing Funds as authorized by this Resolution will be of
benefit to the Redevelopment Projects. -
APPROVED and ADOPTED this Third day of February, 1997.
ATTEST:
CY~ ~~
Executive Director
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MEMBERS:
Espinoza, Franklin, Lutz,
McGuigan, Richardson
(Moreno abstained)
AYES:
NOES:
MEMBERS:
ABSENT:
Pulido
MEMBERS:
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