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HomeMy WebLinkAbout80A - ACQUISITION NORTH FRENCH ST AND EAST TENTH ST MEETING DATE: CLERK OF COUNCIL USE ONLY: REQUEST FOR COUNCILI AGENCY ACTION DECEMBER 4, 2006 TITLE: APPROVED D As Recommended o As Amended o Ordinance on 1st Reading D Ordinance on 2nd Reading D Implementing Resolution D Set Public Hearing For ACQUISITION OF 1002, 1002~, 1004 NORTH FRENCH STREET, AND 313, 313~, 315, 317 EAST TENTH STREET, AND APPROVAL OF RELOCATION AND REPLACEMENT HOUSING PLANS cxJ2/j)g-- ~J~ CITY MANAGER EXE UTIVE IRECTOR CONTINUED TO FILE NUMBER RECOMMENDED ACTION CITY COUNCIL ACTION Adopt a resolution approving the Relocation Plan for the residential property located at 1002, 1002~, 1004 North French Street and 313, 313~, 315, 317 East Tenth Street. COMMUNITY REDEVELOPMENT AGENCY ACTION 1. Direct the Agency General Counsel to prepare and authorize the Executive Director to execute an agreement for the acquisition of real property and escrow instructions acquiring the real property located at 1002, 1002~, 1004 North French Street and 313, 313~, 315, 317 East Tenth Street, Santa Ana, AP# 398-027-15, from the Cort Stricker Separate Property Trust for the amount of $880,000 plus normal escrow and closing costs and rent loss for vacant units. 2. Adopt a resolution approving the Replacement Housing Plan for the residential property located at 1002, 1002~, 1004 North French Street and 313, 313~, 315, 317 East Tenth Street. 80A-1 Acquisition of 1002, 1002 ~, 1004 North French Street, and 313, 313 ~, 315, 317 East Tenth Street, and Approval of Relocation and Replacement Housing Plans December 4, 2006 Page 2 COMMUNITY REDEVELOPMENT AND HOUSING COMMISSION RECOMMENDATION CITY COUNCIL ACTION Recommend that the City Council adopt a resolution approving the Relocation Plan for the residential property located at 1002, 1002~, 1004 North French Street and 313, 313~, 315, 317 East Tenth Street. COMMUNITY REDEVELOPMENT AGENCY ACTION Recommend that the Community Redevelopment Agency: 1. Direct the Agency General Counsel to prepare and authorize the Executive Director to execute an agreement for the acquisition of real property and escrow instructions acquiring the real property located at 1002, 1002~, 1004 North French Street and 313, 313~, 315, 317 East Tenth Street, Santa Ana, AP# 398-027- 15, from the Cort Stricker Separate Property Trust for the amount of $880,000 plus normal escrow and closing costs and rent loss for vacant units. 2. Adopt a resolution approving the Replacement Housing Plan for the residential property located at 1002, 1002~, 1004 North French Street and 313, 313~, 315, 317 East Tenth Street. This item was continued from the November 7, 2006, Redevelopment and Housing Commission meeting by a vote of 4:0 Turner, Yanez absent). Community (Jauregui, At its Regular Meeting of November 21, 2006, the Community Redevelopment and Housing Commission voted 2:2 on this item (Turner, Yanez, No) (Jauregui, Sarmiento and Welty absent) . DISCUSSION The property located at 1002, 1002~, 1004 North French Street and 313, 313~, 315, 317 East Tenth Street, shown on Exhibit 1, encompasses 9,234 square feet of land and is improved with a single-family residence, which has been subdivided into three units and a four-plex. The 80A-2 Acquisition of 1002, 1002 ~, 1004 North French Street, and 313, 313 ~, 315, 317 East Tenth Street, and Approval of Relocation and Replacement Housing Plans December 4, 2006 Page 3 purchase price of $880,000 represents the current fair market value for the property. In an effort to preserve the historic integrity of the original horne, the property will be rehabilitated in coordination with the French Park Neighborhood Association and in accordance with state historic requirements. Once the property is rehabilitated, it will be sold to a moderate-income household. At the time the property is sold, there will be restrictions regarding re-sale affordabili ty and maintenance standards recorded against the property. The California Health and Safety Code (Code) requires that when a Redevelopment Agency enters into an agreement for the acquisition or disposition and development of property that would lead to displacement of people from their homes, the legislative body must adopt, by resolution, a relocation plan. The acquisition of the property and subsequent demolition of the existing improvements will result in the displacement of seven households. The attached Relocation Plan (Exhibit 2) addresses this displacement and has been prepared in accordance with the Code. Addi tionally, the Code requires the Agency to adopt, by resolution, a replacement housing plan whenever it destroys or removes dwelling units from the low- and moderate-income housing market. Among other things, this replacement housing plan shall specify how and where the Agency shall provide replacement housing units. The attached Replacement Housing Plan (Exhibit 3) has been prepared for the property in accordance with the Code. CEQA COMPLIANCE In accordance with the California Environmental Quality Act, Categorical Exemption No. ER 2006-176 will be filed for this property. 80A-3 Acquisition of 1002, 1002 ~, 1004 North French Street, and 313, 313 ~, 315, 317 East Tenth Street, and Approval of Relocation and Replacement Housing Plans December 4, 2006 Page 4 FISCAL IMPACT Funds are available in the Housing Set-Aside Fund, Santa Ana Boulevard Development Plan account (account no. 507-936-6611, project no. 07- 8042) . APPROVED AS TO FUNDS AND ACCOUNTS: '1\cvn u~;f t42cudo Nancy T. dwards Assistant Dlrector Community Development Agency "\~~,~~" >~ ~ '-- Francisco Gutierrez ~ Executi ve Director C Finance and Management Services Agency SGH/SLB/mlr H:\ACTIONS\2006 CC\JT CC-CRA Acquil004NorthFrench 12-4-06.doc 80A-4 Iii w a: ... fh ... W w a: ... fh Iii w a: ... fh ELEVENTH ST. TENTH 0 Z 0 W CJ :J: a: fh ;:) ;:) Q. m fh NINTH A r!l{' 1004 North French Street Exhibit 1 80A-5 RELOCATION PLAN FOR THE FRENCH STREET RELOCATION PROJECT COMMUNITY REDEVELOPMENT AGENCY OF SANTA ANA Copies are available in the 6th Floor, Community Development Agency Room 626 EXHIBIT 2 80A-6 REPLACEMENT HOUSING PLAN Statement of Purpose and Obiectives This Replacement Housing Plan is prepared in accordance with California Health and Safety Code Section 33413. The project consists of the acquisition and removal from the housing market of the residential property located at 1004 North French Street in the City of Santa Ana by the Community Redevelopment Agency of the City of Santa Ana (Agency). The property consists of a single family home that has been divided into three rental units and a four-plex. Six of these units are one bedroom, and the seventh is a studio unit. All were occupied by very low-income households. Therefore they are subject to replacement in accordance with the legal requirements of the California Community Redevelopment Law (Health and Safety Code Section 33413 et seq.). Replacement units will initially be made available for occupancy at any time during the period beginning one year before the Agency's submission of the information required under the Plan and ending four years after acquisition of the property and its removal from the low- and moderate-income housing market. All replacement housing will be provided within four years of acquisition of the property and its removal from the low- and moderate-income housing market. Proiect Property Description The location of the project property is identified in a site map, attached as Exhibit 1. The property is further described in Exhibit 2, which identifies the property by address with parcel number and number of bedrooms. Pursuant to the California Community Redevelopment Law (Health and Safety Code Section 33413 et seq.) all occupied and vacant occupiable units will be replaced in kind. Replacement Housing Units Exhibit 3 delineates by number of bedrooms the location where the replacement units are or will be located. It is anticipated that 1411 North Durant Street and 1501 North Ross Street units will be utilized for replacement housing purposes. Any replacement units not accommodated in these projects will be developed on infill sites or will be acquired or otherwise caused by regulation or agreement for the purchase of long term affordability covenants that meet replacement obligations for the 1004 North French Street project. In addition, the City's Housing Element identifies potential sites where any remaining replacement units may be located. Income Level of Replacement Units The replacement dwelling units will be affordable and occupied exclusively by tenants with the same income levels as the persons displaced from the dwelling units that are EXHIBIT 3 ' Page 1 of 4 80A-7 being removed from the low-, very low- and moderate-income housing market. Therefore, all units will be made available to low-, very low- and moderate-income households. Funding Source The Agency and the City of Santa Ana have committed sufficient Tax Increment funds to finance the required replacement units. Low/Moderate Income Assurance All agreements related to replacement housing units will contain a covenant requiring that units remain available at affordable housing cost to, and occupied by, persons and families of very-low, low- and moderate-income for not less than fifty-five years for rental properties and for not less than forty-five years for homeownership units, as required by the Health and Safety Code Section 33413. Article 34 Compliance The replacement housing to be provided pursuant to this Replacement Housing Plan does not require the approval of the voters pursuant to Article 34 of the California Constitution, in that all of the replacement housing units fall within exceptions to the definition of "low-rent housing project" in California Health and Safety Code Section 37001. A vailabilitv of Plan Section 33413.5 of the Health and Safety Code requires that, for a reasonable period of time prior to its adoption by resolution, the Agency make available a draft of this Replacement Housing Plan for review and comment by the project area committee, other public agencies, and the general public. Beginning October 23,2006 and ending November 3,2006, the Plan will be available Monday through Friday between the hours of8:00 a.m. and 5:00 p.m. in the following locations: Housing Department 20 Civic Center Plaza, 3rd Floor Community Redevelopment Agency 20 Civic Center Plaza, 6th Floor Office of the City Clerk 20 Civic Center Plaza, 8th Floor The availability of the draft Plan will be made known by means ofa public notice published in the Orange County Register, a local newspaper of general circulation, on October 21, 2006. EXHIBIT 3 Page 2 of 4 80A-8 UNITS TO BE REMOVED FROM LOW -AND MODERATE-INCOME HOUSING MARKET Unit Address Current Use Assessor's Parcel Number Number I 313 E. lOIn Street, Santa One Bedroom 398-027-15 Ana Apartment 2 313 Y2. E. lOIn Street, Santa One Bedroom 398-027-15 Ana Apartment 3 315 E. lOIn Street, Santa Studio Apartment 398-027-15 Ana 4 317 E. lOIn Street, Santa One Bedroom 398-027-15 Ana Apartment 5 1002 N. French Street, One Bedroom 398-027-15 Santa Ana Apartment 6 1004 N. French Street, One Bedroom 398-027-15 Santa Ana Apartment 7 1004 Y2. N. French Street, One Bedroom 398-027-15 Santa Ana Apartment EXHIBIT 2 EXHIBIT 3 Page 3 of 4 80A-9 PROJECTED REPLACEMENT PROPERTIES Parcel # A.P.N Address #Bedrooms Date Unit Available To Replace 1 005-112-19 1501 N. Ross 1 2007 2 005-112-19 1501 N. Ross 1 2007 3 005-112-19 1501 N. Ross 1 2007 4 005-112-19 1501 N. Ross 1 2007 5 005-112-19 1501 N. Ross 1 2007 6 005-112-19 1501 N. Ross 1 2007 7 398-522-25 1411 N. Durant 1 2007 EXHIBIT 3 Page 4 of 4 80A-1 0 11/3/06 les RESOLUTION A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA APPROVING THE RELOCATION PLAN FOR RESIDENTIAL PROPERTY LOCATED AT 1002, 1002 ~ ,1004 NORTH FRENCH STREET, AND 313, 313 ~, 315, 317 EAST TENTH STREET BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SANTA ANA, AS FOLLOWS: Section 1: The City Council of the City of Santa Ana ("Council") hereby finds, determines and declares as follows: A. The Community Redevelopment Agency ("Agency") is purchasing real property located at 1002, 1 002 ~, 1004 North French Street, And 313, 313 ~, 315, 317 East Tenth Street ("the Property"). B. The Property encompasses 9,234 square feet of land, and is improved with a single-family residence which has been subdivided into three (3) units, and a four-plex. C. The Property will be rehabilitated in coordination with the French Park neighborhood and in accordance with state historic requirements, in an effort to preseNe the historic integrity of the original home. Once rehabilitated, the house will be sold to a moderate income household. D. Pursuant to California Government Code section 7260, et seq., a public entity is required to adopt a relocation plan, by resolution, whenever it enters into an agreement for acquisition of real property or an agreement for the disposition and development of property which would lead to displacement of people from their homes. E. The relocation plan has been prepared in conformance with applicable provisions of the California Government Code section 7260, et seq., Relocation Guidelines (California Code of Regulations, Title 25), as well United States Department of Housing and Urban Development regulations. F. The relocation plan is required due to the displacement of seven households. Section 2: The City Council hereby approves the relocation plan for the residential property located at the aforementioned addresses, and the 80A-11 11/3/06 les establishment of an account in accordance with state mandates for the payment of relocation benefits to the displaced households. Section 3: This Resolution shall take effect immediately upon its adoption by the City Council, and the Clerk of the Council shall attest to and certify the vote adopting this Resolution. ADOPTED this day of ,2006. APPROVED AS TO FORM: Joseph W. Fletcher City Attorney Miguel A. Pulido Mayor By: Lisa E. Storck Assistant City Attorney AYES: Councilmembers: NOES: Councilmembers: ABSTAIN: Councilmembers: NOT PRESENT: Councilmembers: CERTIFICATE OF ATTESTATION AND ORIGINALITY I, PATRICIA E. HEALY, Clerk of the Council, do hereby attest to and certify the attached Resolution No. 2006- to be the original resolution adopted by the City Council of the City of Santa Ana on Date: Clerk of the Council City of Santa Ana 80A-12