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Home My WebLink About55A - RESOLUTION-RELOCATION STATION DISTRICTREQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: AUGUST 16, 2010 TITLE: RESOLUTION APPROVING RELOCATION PLAN FOR AGENCY ACQUISITIONS IN THE STATION DISTRICT CITY MANAGER RECOMMENDED ACTION CLERK OF COUNCIL USE ONLY: APPROVED ? As Recommended ? As Amended ? Ordinance on 1st Reading ? Ordinance on 2"d Reading ? Implementing Resolution ? Set Public Hearing For CONTINUED TO 9- 1(-oF010 FILE NUMBER Adopt a resolution approving the Relocation Plan for the properties located at 812 E. Santa Ana Blvd., 602-604 E. 5th Street, 607 E. 6th Street, 609 E. 6th Street, 613 E. 6th Street, 615 E. 6th Street, 911 Brown Street, and 409-411 N. Minter. DISCUSSION The Community Redevelopment Agency (Agency) has acquired numerous parcels along the Santa Ana Boulevard corridor for the purpose of improving this critical gateway into the City. The Agency has selected a master developer (Related) for the area and is proceeding with a residential project. The Agency and Related have identified a number of additional parcels whose acquisition would result in a more cohesive site plan. Three occupied parcels located at 609, 613 and 615 E. 6th Street were approved for acquisition and subsequently purchased by the Agency on July 16 and 22, 2010, while the others remain under consideration. All households in these three parcels and, those living in the remaining five parcels to be acquired, will be required to permanently relocate. California law requires that a relocation plan be prepared and followed to ensure these households are relocated to suitable housing and are paid appropriate relocation benefits. The attached relocation plan (Plan) (Exhibit 1) was prepared by Overland, Pacific and Cutler (OPC), the Agency's relocation consultant. The Plan indicates that there are more than adequate replacement housing resources available to the affected households. It also indicates that OPC will work with these households to determine their eligible benefits and to assist them to find suitable replacement housing. The Plan estimates that relocation payments, including a 10 percent contingency, will not exceed $456,000. In accordance with California law, all households residing in the eight parcels received a draft copy of the Plan on July 12, 2010, and were given 30 days to comment. No comments were received. Residents of the recently acquired 6th Street properties received an Informational 90-Day Vacate Notice on July 30, 2010, that provided them with a general written description of the Agency's 55A-1 Resolution Approving Relocation Plan for Agency Acquisitions in the Station District August 16, 2010 Page 2 relocation program and information about their rights. Relocation law also requires that the legislative body adopt a resolution approving the relocation plan. Following approval of the resolution, the residents in the 6th Street properties will be given 60 days to complete their relocation. If the Agency does acquire them, residents in the other five properties will receive 90- Day Vacate Notices immediately after acquisition is complete. All residents will be afforded the opportunity to consider leasing or purchasing any of the new units being developed by Related. ENVIRONMENTAL IMPACT In accordance with the California Environmental Quality Act, Environmental Impact Report No. 2006-02 was prepared for the proposed redevelopment, including the demolition of existing structures, of properties owned by the Community Redevelopment Agency of the City of Santa Ana in the Station District. On June 7, 2010, the City Council adopted a resolution certifying the Final Environmental Impact Report, adopted the CEQA Findings of Fact and Statement of Overriding Considerations, and adopted the Mitigation Monitoring and Reporting Program for the project. No additional CEQA is required for this project. FISCAL IMPACT Funds are available in the Tax Increment Housing Set-Aside account (no. 50718830- 66220/03716601138) in the amount of $456,000. APPROVED AS TO FUNDS AND ACCOUNTS: Cynthia J. Nelson Deputy City Manager for Development Services Community Development Agency Francisco Gutierrez Executive Director Finance & Management Services Agency CJN/SLB/LF/kg Exhibits: 1. Draft Relocation Plan 2. Resolution 55A-2 The Station District Project Phase I Residential Development DRAFT RELOCATION PLAN Prepared for: The Community Redevelopment Agency of the City of Santa Ana 20 Civic Center Plaza Santa Ana, CA 92701 By: Overland, Pacific & Cutler, Inc. 20 Fairbanks, Suite 178 Irvine, California 92618 949-951-5263 May 24, 2010 EXHIBIT 1 55A-3 TABLE OF CONTENTS INTRODUCTION PROJECT DESCRIPTION A. REGIONAL LOCATION B. PROJECT SITE LOCATION AND DESCRIPTION IL ASSESSMENT OF RELOCATION NEEDS 7 A. SURVEY METHOD 7 B. FIELD STUDY DATA 7 1. Current Occupants 7 2. Replacement Housing Needs 7 3. Income g 4. Ethnicity/Language g 5. Senior/Handicapped Households g 6. Preferred Relocation Areas g III. RELOCATION RESOURCES 9 A. METHODOLOGY 9 B. REPLACEMENT HOUSING AVAILABILITY 9 1. Residential Rental Housing 9 2. Residential Housing for Purchase 9 3. Summary 9 C. RELATED ISSUES 10 1. Concurrent Residential Displacement 10 2. Temporary Housing 10 IV. THE RELOCATION PROGRAM 11 A. ADVISORY ASSISTANCE 11 B. RELOCATION BENEFITS 12 1. Residential Moving Expenses 13 2. Rental Assistance to Tenants Who Choose to Rent 13 3. Downpayment Assistance to Tenants Who Choose to Purchase 15 4. Payments to Non-Tenured Residential Tenants 15 5. Replacement Housing Assistance for Homeowners ........15 C. DETERMINATION OF COMPARABLE HOUSING 17 D. GENERAL INFORMATION REGARDING THE PAYMENT OF RELOCATION BENEFITS 17 E. LAST RESORT HOUSING 18 V. ADM INISTRATIVE PROVISIONS 19 A. NOTICES 19 B. PRIVACY RECORDS 20 C. GRIEVANCE PROCEDURES 20 D. EVICTION POLICY 20 E. CITIZEN PARTICIPATION 20 F PROJECTED DATES OF DISPLACEMENT 21 G. ESTIMATED RELOCATION COSTS 21 55A-4 LIST OF TABLES TABLE 1: 2000 Census Population - City of Santa Ana & Impacted Tract 744.05, Block 1006 TABLE 2: 2000 Census Population - City of Santa Ana & Impacted Tract 750.02, Block 1002 TABLE 3: 2000 Census Population - City of Santa Ana & Impacted Tract 744.05, Block 3005 TABLE 4: 2000 Census Housing units- City of Santa Ana & Impacted Tract 744.05, Block 1006 TABLE 5: 2000 Census Housing units - City of Santa Ana & Impacted Tract 750.02, Block 1002 TABLE 6: 2000 Census Housing units - City of Santa Ana & Impacted Tract 744.05, Block 3005 TABLE 7: Availability and Cost of Replacement Rental Housing ........................................... TABLE 8: Schedule of Fixed Moving Payments TABLE 9: Computation of Rental Assistance Payments LIST OF EXHIBITS EXHIBIT A: Residential Interview Form EXHIBIT B: HUD Income Levels - Orange County EXHIBIT C: Residential Informational Brochure EXHIBIT D: Public Comments and Response 4 4 4 5 5 6 9 13 14 55A-5 The Station District Project INTRODUCTION The Community Redevelopment Agency of the City of Santa Ana ("Agency") has authorized the preparation of a relocation plan to be undertaken in connection with the commencement of their proposed Station District Project. On June 7, 2010 the Agency entered into a Developer's Disposition Agreement (DDA) with the Related Companies ("Developer") that will govern the development of 48 non-contiguous parcels totaling approximately 6.76 acres located in the District. The parcels were acquired by the City or the Community Redevelopment Agency over a period of fifteen years by means of voluntary sales. None of the buildings still in place on these 48 parcels have tenants. The DDA calls for the City/Agency to convey these parcels to Related for development as a mix of for-sale and rental housing that offers a variety of architectural styles, bedroom sizes and levels of affordability. The development proposal also foresees the creation of approximately 1.5 acres of new public open space that would include a public park, a public tot lot, and a 10,000 square foot community building. Development will occur in three phases that may be financed and constructed separately, with separate closings for each phase. Eight additional properties located adjacent or in close proximity to the existing 48 may be acquired by the Agency during the time frame established for the DDA, and subsequently conveyed to the Developer for inclusion in the development. These eight parcels encompass approximately .79 acres. Their acquisition will allow for creation of as many as ten additional new housing units and reconfiguration of the parking and landscaping for others. Development of these eight additional acquisitions will require relocation of approximately eleven tenant households and one owner-occupied household, and subsequent demolition of twelve residential units. The needs and characteristics of the displacee population, available relocation resources and the Agency's program to provide assistance to each affected person are general subjects of this Relocation Plan ("Plan".) Funding for the Project will be provided by housing set aside funds and tax credits. This Plan conforms to the requirements of the California Relocation Assistance Law, Government Code Section 7260, et seq. (Law), the Relocation Assistance and Real Property Acquisition Guidelines adopted by the Department of Housing and Community Development and Title 25, California Code of Regulations Section 6000, et seq. (Guidelines). This Plan is organized in five sections: 1. Project description (SECTION I); 2. Assessment of the relocation needs of persons subject to displacement (SECTION II); Assessment of available replacement housing units within the City of Santa Ana (SECTION III); 4. Description of the Agency's relocation program (SECTION IV); Description of the Agency's outreach efforts, Project timeline and budget (SECTION V). 55A-6 The Station District Project 1. PROJECT DESCRIPTION A. REGIONAL LOCATION The Project is located in the City of Santa Ana within Orange County. Santa Ana is located in the mid-region of Orange County, approximately 33 miles southeast of downtown Los Angeles and is immediately accessible from Interstate 5 and Highway 55. Adjacent communities include Orange, Tustin, Costa Mesa, Fountain Valley and Garden Grove. (See Figtn•e 1: Regional Pi-oject Location) ` S ;, o6ull?rt ?1 _ ?Placentt? ? ?, , JA l I I _ P._ NIT7 s - - r L I I f _ 6 ei i s ?siz { SiOIy f _-l.. ???7C9h1?Ave Baq R tsr1F I iJ_i3.1 A } d S?? Bap Rd W 1 l o ?. l Perk _ , l l 1, ,,_L on ?V K_ e Ayg? _ Par l c rtt 301 rren 1 Or (1I r A r d! ON?Ye 2:;zz Sheriff's Crept salt I p I . .I Pro t Site St/ In or, Village ark A I SIt1t' .1?? >rrl G ry Park 030 ll erA1[fl _ ??r A.Yey c# Limestone'; i ?? ""(?'j t(((a Lesko J Canyon '. rner Ave ice ParY , ?d Va aY 1 ;f b6 r,;` X301 a? Regional 1. olsa Chica 1-1 Perk Ecological 14i Reserve er?ielt! live (` I f -_. r iruf?l? 4 IceClst`Il Huntingto AdaMs A ?` ('I , tt ak a1?jY Beach' I C sta M5 YictO?ia t. yY tii r blot) - ? ; Is Rob Robins r133 <x r ! olsa,-'j._ Parks ,. , Co 1 ht ® 2005 Microsoft Cor . andtohJts-s rase Figure 1: Regional Project Location 2 55A-7 The Station District Project B. PROJECT SITE LOCATION AND DESCRIPTION The Station Project site is generally bordered by Poinsettia Street to the east, Fourth Street to the south, Mortimer Street to the west and Civic Center Drive to the north. The Project site that is the subject of this Plan includes eight non-contiguous parcels consisting of approximately .79 aces. Addresses of the affected parcels include: 812 E. Santa Ana Boulevard, 602/604 E. 5th Street, 607 E. 61h Street, 609 E. 6th Street, 613 E. 6"' Street, 615 E. 6th Street, 911 Brown Street and 409/411 N. Minter Street (See Figure 2: Project Site Location.) Seven of the parcels have occupied residential units for a total of 12 households that will require permanent relocation services. ell E Santa Ana COO 1 "P N tP . N ' y 1 frown R gg9 ?? th St s sISE 5< Santa Ana E 6th St 4 stn St z 61h st fo 6M E Sth S< th St E 51h St $ E 5th, St M 0 E d f 1 N fdhter R ', a Ih St z Co hl® 2005 Microsoft Corp . and/or Its suppliers. Al rights reserved. Figure 2: Project Site Location 3 55A-8 The Station District Project C. GENERAL DEMOGRAPHIC AND HOUSING CHARACTERISTICS According to the 2000 U.S. Census, the population of the City of Santa Ana is 337,977, and the population of the impacted Census Tract 744.05, Block 1006 is 167, (see Table 1), Tract 750.02, Block 1002 is 41, (see Table 2) & Tract 744.05, Block 3005 is 142 (see Table 3). Corresponding Census data concerning the housing mix is shown in Tables 4 - 6. TABLE 1: 2000 Census Population - City of Santa Ana & Impacted Tract Population Tract 744.05 Block 1006 % City % Total Population 167 100.0% 337,977 100.0% White 59 35.3% 144,425 42.7% Black or African American 5 3.0% 5,749 1.7% American Indian or Alaska Native 1 0.6% 4,013 1.2% Asian 0 0.0% 29,778 8.8% Native Hawaiian or Other Pacific Islander 0 0.0% 1,160 0.3% Some Other Race 92 55.1% 137,360 40.6% Two or More Races 10 6.0% 15,492 4.6% Hispanic or Latino (of An Race) 167, 100% 257,097 76.1% TABLE 2: 2000 Census Population - City of Santa Ana & Impacted Tract Population Tract 750.02 Block 1002 % City % Total Population 41 100.0% 337,977 100.0% White 5 12.2% 144,425 42.7% Black or African American 1 2.4% 5,749 1.7% American Indian or Alaska Native 0 0.0% 4,013 1.2% Asian 1 2.4% 29,778 8.8% Native Hawaiian or Other Pacific Islander 0 0.0% 1,160 0.3% Some Other Race 33 80.5% 137,360 40.6% Two or More Races 1 2.4% 15,492 4.6% Hispanic or Latino (of An Race) 38 92.7% 257,097 76.1% TABLE 3: 2000 Census Population - City of Santa Ana & Impacted Tract Population Tract 744.05 Block 3005 % City % Total Population 142 100.0% 337,977 100.0% White 2,5 17.6% 144,425 42.7% Black or African American 0 0.0% 5,749 1.7% American Indian or Alaska Native 0 0.0% 4,013 1.2% Asian 0 0.0% 29,778 8.8% Native Hawaiian or Other Pacific Islander 0 0.0% 1,160 0.3% Some Other Race 107 75.4% 137,360 40.6% Two or More Races 10 7.0% 15,492 4.6% Hispanic or Latino (of An Race) 135 95.1% 257,097 76.1% 55A-9 The Station District Project TABLE 4: 2000 Census Housing Units - C ity of Santa An & Impacted Tract Type Tract 744.05 Block 1006 % City % Total Units 24 100.0% 74,588 100.0% Owner-Occupied 4 17.4 36,005 49.3% Renter-Occupied 19 82.6% 36,997 50.7% Vacant Housing Units 1 100.0% 1,586 2.1% Available for Sale Only (of Total Vacant Units) 0 0.0% 292 18.4% Available for Rent - Full Time Occupancy of Total Vacant Units 0 0.0% 700 44.1% Sold or Rented - Not Occupied 0 0.0% 109 6.9% Otherwise Not Available (e.g. seasonal, recreational, migratory, occasional use) 1 100.0% 102 6.4% Other Vacant 0 0.0% 383 24.1% TABLE 5: 2000 Census Housing Units -C ity of Santa An & Im acted Tract Type Tract 750.02 Block 1002 % City % Total Units 11 100.0% 74,588 100.0% Owner-Occupied 1 10.0% 36,005 49.3% Renter-Occupied 9 90.0% 36,997 50.7% Vacant Housing Units 1 100.0% 1,586 2.1% Available for Sale Only (of Total Vacant Units 0 0.0% 292 18.4% Available for Rent - Full Time Occupancy of Total Vacant Units) 1 100.00% 700 44.1% Sold or Rented - Not Occupied 0 0.0% 109 6.9% Otherwise Not Available (e.g. seasonal, recreational, migratory, occasional use 0 0.0% 102 6.4% Other Vacant 0 0.0% 383 24.1% 55A-10 The Station District Projec! TABLE 6: 2000 Census Housing Units - C i of Santa An & Impacted Tract Type Tract 744.05 Block 3005 % City % Total Units 34 100.0% 74,588 100.0% Owner-Occupied 4 13.3% 36,005 49.3% Renter-Occupied 26 86.7% 36,997 50.7% Vacant Housing Units 4 100.0% 1,586 2.1% Available for Sale Only (of Total Vacant Units) 0 0.0% 292 18.4% Available for Rent - Full Time Occupancy (of Total Vacant Units) 2 50.0% 700 44.1% Sold or Rented - Not Occupied 0 0.0% 109 6.9% Otherwise Not Available (e.g. seasonal, recreational, migratory, occasional use) 0 0.0% 102 6.4% Other Vacant 2 50.0% 383 24.1% 55A-11 The Station District Project II. ASSESSMENT OF RELOCATION NEEDS A. SURVEY METHOD To obtain information necessary for the preparation of this Plan, personal interviews with the Project occupants were conducted in February - May 2010. The interviewers were successful in obtaining survey responses from 10 of the 12 occupied households in the Project. The data in this section of the Plan are based solely on the unconfirmed responses of those individuals who participated in the survey. Inquiries made of the residential occupants concerned household size and composition, income, monthly rent, length of occupancy, ethnicity, home language, physical disabilities, and replacement housing preferences. A Sample of the residential interview form used in the interview process is presented as Exhibit A of this report. B. FIELD SURVEY DATA 1. Current Occupants There are 12 residential households to be relocated for the Project. At the time of the interviews, there were 39 adults and 25 children (17 years or younger) on-site for a total known project occupancy of 64 persons. The project households currently occupy apartment units and single-family residences (SFRs). Occupied units are comprised of. four 2-bedroom apartment units, four 1- bedroom duplex units, two 2-bedroom SFRs and two 3-bedroom SFRs. The commonly accepted standard for housing density, and the Agency's approved policy, allows two persons per bedroom and one person in the common living area. Based on this criterion and available tenant data, there appears to be eight overcrowded units among the project tenant households. 2. Replacement Housing Needs Replacement housing needs, as expressed in this plan, are defined by the total number of required replacement units and distribution of those units by bedroom size. The projected number of required units by bedroom size is calculated by comparing survey data for household size with typical replacement housing occupancy standards. These standards, generally, allow for up to three persons in a one-bedroom unit, five persons in a two- bedroom unit, seven persons in a three-bedroom unit and nine or more persons in a four- bedroom unit. Replacement rental units required for the Project occupants include: two 2-bedroom apartment units, two 3-bedroom apartment units, one 1-bedroom duplex unit, two 2- bedroom duplex units, one 3-bedroom duplex unit, one 3 bedroom SFR and two 4- 7 55A-12 The Station District Project bedroom SFRs. In addition, one 3-bedroom SFR for purchase will be required for the owner-occupant on the Project site. 3. Income All but two tenant households verbally provided information (and in some cases written documentation) regarding gross household income. According to income standards for the County of Orange (Exhibit B) adjusted for family size as published by the United States Department of Housing and Urban Development (HUD), of the 10 households that reported income: five Project households qualify as Extremely Low income (30% or less of area median income), three Project households qualify as Very Low income (31% - 50% of area median income) and two Project households qualify as Low income (51 % - 80% of area median income). The income is unknown for one tenant household. 4. Ethnicity/Language The ethnicity of I 1 households was reported as, or is known to be, Hispanic, and the ethnicity of one household is reported to be Vietnamese. Nine households (75%) are Spanish-speaking, one household speaks Vietnamese and one household is English- speaking. The preferred language of one household is unknown. 5. Senior/Handicapped Households There is one known household with a senior head of household or spouse (62 years or older) in the Project. One household reported disabilities including severe asthma and depression. No household is currently equipped with handicap improvements nor does there appear to be a need for handicap accessible replacement housing at this time. 6. Preferred Relocation Areas Most households surveyed expressed a preference to remain in the Santa Ana community in order to maintain current access to employment, schools, shopping and public transportation. Two families require to be relocated in close proximity to each other due to a care-giving situation. Additional communities of interest to a few households were Lake Forest, Garden Grove and Perris. 55A-13 The Station District Project III. RELOCATION RESOURCES A. METHODOLOGY For residential housing, a resource survey was initially conducted to identify available rental units in Santa Ana. The following sources were utilized: -- Classified rental listings from local newspapers and For Rent publications -- Contacts with real estate/property management companies serving the community -- Internet sources of rental opportunities B. REPLACEMENT HOUSING AVAILABILITY 1. Residential Rental Housing The rental replacement housing survey considered apartments and single-family residences for rent in Santa Ana. This data is summarized in Table 7 below. The individual figures for number of units found by bedroom size are presented in the table alongside the number of units needed (shown in parentheses) to meet the re-housing obligations. TABLE 7: Availabili and Cost for Re lacement Rental Housin Bedroom Size 2BR Apt 3BR Apt 1BR Duplex 2BR Duplex 3BR Duplex 3BR SFR 4BR SFR # Found (# Needed) 55 (2) 42(2) 7(1) 10(2) 8(1) 9(1) 36(2) Rent Range $880- $1,295 $1,140- $1,900 $895- $1,295 $1,200- $1,500 $1,450- $1,800 $1,200- $2,250 $1,350- $2,400 Median Rent $1,200 $1,700 $1,050 $1,395 $1,725 $1,900 $2,100 2. Residential Housing for Purchase Real estate listings were obtained for three bedroom single-family residences for sale in Santa Ana. Twenty-two available comparable homes for sale between $200,000- $374,900 were identified. The median home price was $258,000. The median rent amounts shown in the table, and the median home price listed above, are among the figures used to make benefit and budget projections for the Plan. This amount is, naturally, subject to change according to the market rates prevailing at the time of displacement. 3. Summary Considering the above described availability of replacement housing resources gathered over a two-week period, it appears that there are more than adequate replacement 9 55A-14 The Station District Project resources for the residential occupants. But, while adequate replacement resources exist, based on survey results of rental opportunities and the tenant's current rent, the tenant occupants will likely have an increase in monthly rent. Possible increases, if any, will be met through the Agency's obligation under the relocation regulations, including Last Resort Housing (LHR) requirements. (See Section IV, E). C. RELATED ISSUES 1. Concurrent Residential Displacement There are no other current public projects causing significant displacements underway in the City of Santa Ana, which would compete with the Project for needed housing resources. No residential displacee will be required to move without both adequate notice and access to available affordable decent, safe and sanitary housing. 2. Temporary Housing No need for temporary housing is anticipated. 10 55A-15 The Station District Project IV THE RELOCATION PROGRAM The Agency's Relocation Program is designed to minimize hardship, be responsive to unique project circumstances, emphasize maintaining personal contact with all affected individuals, consistently apply all regulatory criteria to formulate eligibility and benefit determinations and conform to all applicable requirements. The Agency has retained Overland, Pacific & Cutler, Inc. (OPC) to administer the Relocation Program. OPC has worked on more than 3,000 public Agency acquisition and relocation projects over the past 30 years. Additionally, OPC has an extensive resume of redevelopment undertaken in the City of Santa Ana and other southern California communities. Experienced Agency staff will monitor the performance of OPC and be responsible to approve or disapprove OPC recommendations concerning eligibility and benefit determinations and interpretations of the Agency's policy. The relocation program consists of two principal constituents: Advisory Assistance and Financial Assistance. A. ADVISORY ASSISTANCE Eligible individuals, who will need to move from existing homes, will receive advisory assistance. Advisory assistance services are intended to: • inform displacees about the relocation program • help in the process of finding appropriate replacement accommodations • facilitate claims processing • maintain a communication link with the Agency • coordinate the involvement of outside service providers To follow through on the advisory assistance component of the relocation program and assure that the Agency meets its obligations under the law, relocation staff will perform the following functions: Distribute appropriate written information concerning the Agency's relocation program; 2. Inform eligible project occupants of the nature of, and procedures for, obtaining available relocation assistance and benefits. (See Exhibit C) Determine the needs of each residential displacee eligible for assistance; 4. Provide residential displacees with at least three referrals to comparable replacement housing within a reasonable time prior to displacement; Maintain an updated database of available housing resources, and distribute referral information to displacees for the duration of the Project; 55A-16 The Station District Project 6. Provide transportation to residential displacees, if necessary, to inspect replacement sites within the local area; 7. Offer special assistance to help elderly or disabled tenants find housing near friends, relatives, medical facilities, and services and convenient transportation; 8. Supply information concerning federal and state programs and other governmental programs providing assistance to displaced persons; Assist each eligible residential occupant in the preparation and submission of relocation assistance claims; 10. Provide additional reasonable services necessary to successfully relocate residents; 11. Make benefit determinations and payments in accordance with applicable law and the Agency's adopted relocation guidelines; 12. Assure that no occupant is required to move without a minimum of 90 days written notice to vacate; 13. Inform all persons subject to displacement of the Agency's policies with regard to eviction and property management; 14. Establish and maintain a formal grievance procedure for use by displaced persons seeking administrative review of the Agency's decision with respect to relocation assistance; and, 15. Provide assistance that does not result in different or separate treatment due to race, color, religion, national origin, sex, marital status or other arbitrary circumstances. B. RELOCATION BENEFITS Specific eligibility requirements and benefit plans will be detailed on an individual basis with all displacees. In the course of personal interviews and follow-up visits, each displacee will be counseled as to available options and the consequences of any choice with respect to financial assistance. Relocation benefits will be paid to eligible displacees upon submission of required claim forms and documentation in accordance with the Agency's administrative procedures. The Agency will process advance payment requests to mitigate hardships for residential tenants who do not have access to sufficient finds to pay move-in costs such as first month's rent and/or security deposits. Approved requests will be processed expeditiously to help avoid the loss of desirable, appropriate replacement housing. 12 55A-17 The Station District Project 1. Residential Moving Expense Payments All residential occupants to be relocated may be eligible to receive a payment for moving expenses. Moving expense payments will be made based upon the actual cost of a professional move or a fixed payment based on a room-count schedule. a. Actual Cost (Professional Move) The displacee may elect to retain the services of a licensed professional mover, in which case the Agency will pay the actual cost of moving services, based on the lowest of two acceptable bids. (The Agency may, at its discretion, solicit competitive bids to determine the lowest, reasonable move cost.) After the move is complete, the Agency will make a direct payment to the mover. b. Fixed Payment (based on Room Count Schedule) The displacee may, while taking full responsibility for the move, elect to receive a fixed payment for moving expenses based on a room count in the displacement dwelling. The fixed payment is a one-time, all inclusive allowance that does not require back-up documentation. The current schedule for fixed payments is set forth in Table 8: TABLE 8: Schedule of Fixed Moving Payments Unfurnished Dwelling Room count 1 2 3 4 5 6 7 8 F ach Fadd t ional Amount $625 $800 $1,000 $1,1751 $1,4251 $1,6501 $1,9001 $2,150 $225 Furnished Dwelling Room count 1 each additional Amount $400 $65 Source: California Department of Transportation 2. Rental Assistance to Tenants Who Choose to Rent A tenant displaced from a dwelling may be entitled to a Replacement Housing Payment in the form of rental or downpayment assistance not-to-exceed $5,250 (prior to consideration of eligibility for Last Resort Housing benefits - see Last Resort Housing, Section IV, E), if the displacee: 1. Has actually and lawfully occupied the displacement dwelling for at least 90 days immediately prior to the initiation of negotiations; and 2. Has rented, or purchased, and occupied a decent, safe, and sanitary replacement dwelling within one year (unless the Agency extends this period for good cause) after the date he or she moves fi-orn the displacement dwelling. 13 55A-18 The Station District Project Rental Assistance payment amounts are equal to 42 times the difference between the base monthly rent and the lesser of- (i) The monthly rent and estimated average monthly cost of utilities for a comparable replacement dwelling; or (ii) The monthly rent and estimated average monthly cost of utilities for the decent, safe and sanitary replacement dwelling actually occupied by displaced person. The base monthly rent for the displacement dwelling is the lesser of- (i) The average monthly cost for rent and utilities at the displacement dwelling for a reasonable period prior to the displacement, as determined by the Agency. For owner-occupants or households, which pay no rent, economic rent will be used as a substitute for actual rent; or (ii) Thirty percent (30%) of the displaced person's average, monthly, adjusted gross household income. If a displacee refuses, or is unable, to provide appropriate evidence of income or is a dependent, the base monthly rent shall be determined to be the average monthly cost for rent and utilities at the displacement dwelling; or (iii) The total of the amount designated for shelter and utilities if receiving a welfare assistance payment from a program that designated the amounts for shelter and utilities. Table 9 below illustrates the computation of a rental/downpayment assistance payment amount. TABLE 9: Computation of Rental Assistance Payments 1 Old Rent $650 Old Rent, plus Utility Allowance or 2. Ability to Pay $700 30% of the Adjusted Gross Household Income* 3. Lesser of lines I or 2 $650 Base Monthly Rental Subtract From: 4. Actual New Rent $750 Actual New Rent including Utility Allowance or 5. Comparable Rent $775 Determined by Agency, includes Utility Allowance 6. Lesser of lines 4 or 5 $750 7. Yields Monthly Need $100 Subtract line 3 from line 6 Rental Assistance $4,200 Multiply line 7 by 42 months 14 55A-19 The Station District Project *Gross income means the total amount of annual income of a household less the following: (1) a deduction for each dependent in excess of three; (2) a deduction of 10% of total income for the elderly or disabled head of household; (3) a deduction for recurring extraordinary medical expenses defined for this purpose to mean medical expenses in excess of 3% of total income, where not compensated for, or covered by insurance or other sources; (4) a deduction of reasonable amounts paid for the care of children or sick or incapacitate family members when determined to be necessary to employment of head of household or spouse, except that the amount shall not exceed the amount of income received by the person who would not otherwise be able to seek employment in the absence of such care. 3. Downpayment Assistance to Tenants Who Choose to Purchase Displacees otherwise eligible to receive a Rental Assistance payment as previously described, may choose to utilize the full amount of their rental assistance eligibility amount (including Last Resort benefit) to purchase a home. Such payments shall be deposited directly into an escrow account with provisions that allow the Agency to recover its funds should the escrow be cancelled or not proceed in a timely manner. These funds can be used as a downpayment and/or to pay for eligible non-recurring closing costs. 4. Payment to Non-Tenured Residential Tenants An eligible residential tenant who has actually and lawfully occupied the displacement dwelling for less than 90 days immediately prior to the initiation of negotiations is entitled to receive a moving expense payment. Additionally, non-tenured residential tenants may qualify for a rental assistance payment under the provisions of Last Resort Housing assistance (see Last Resort Housing, Section IV, E). Such assistance is authorized when comparable replacement housing is not available at rental rates within the tenant's financial means (30% of gross monthly household income). Last Resort Housing assistance to non-tenured households is based solely on income. 5. Replacement Housing Assistance for Homeowners Homeowners displaced by this Project will be eligible for relocation replacement housing payments, if the following conditions are met: (a) The household has owned and occupied their unit for not less than 180 days prior to the Initiation of Negotiations, and (b) The household purchases and occupies a replacement unit within one year from: (i) the date that the household receives the final payment from the displacing entity for all the costs of the acquired unit - or - (ii) the date that the household vacates the acquired unit, whichever is later. Displaced homeowner households will receive assistance in locating a "comparable replacement" unit and will be eligible for the following benefits, not-to-exceed $22,500: 15 55A-20 The Station District Project 1. Purchase Price Differential: The displaced households will be entitled to receive an amount equal to the difference between the price paid for the acquired unit and the amount required to purchase a "comparable replacement" unit. The displacing entity is allowed the following options in paying any price differential as explained in section 6102 of the Guidelines: (a) Comparative Method: On a case-by-case basis, the displacing entity will determine the price of a "comparable replacement" unit, which is most representative of the acquired unit, by selecting and considering the listing price of at least three (whenever possible) "comparable replacement" units. (b) Schedule Method: The displacing entity may establish a schedule of reasonable acquisition costs of"comparable replacement" units based on a current analysis of the housing market. (c) Alternate Method: When neither the Comparative nor Schedule methods are feasible, the displacing entity may use another reasonable method. 2. Other Payments: Moreover, displaced homeowners will receive the following assistance: (a) Payments to cover the cost between the difference of the household's current debt or mortgage service and any increase in debt or mortgage costs necessary to acquire a "comparable replacement" housing unit; and (b) Incidental and reasonable one-time costs for acquiring a replacement unit, such as escrow costs, and recurring and credit reporting fees. 3. Rental Assistance Option: If a displaced homeowner household, which has purchased and occupied its current unit at least 180 days prior to the "initiation of negotiations," desires to rent instead of purchase a replacement unit, the household is eligible for all the benefits and assistance that is available to tenant households. However, such replacement housing payments may not exceed the payments for which the household would have been entitled, if it had elected to purchase a replacement unit. An owner displaced from a dwelling may be entitled to a Replacement Housing Payment in the form of rental or downpayment assistance not-to-exceed $5,250 (prior to consideration of eligibility for Last Resort Housing benefits - see Last Resort Housing, Section IV, E), if the displacee: a.. Has actually and lawfully occupied the displacement dwelling for at least 90 days immediately prior to the initiation of negotiations; and 16 55A-21 The Station District Project b. Has rented, or purchased, and occupied a decent, safe, and sanitary replacement dwelling within one year (unless the Agency extends this period for good cause) after the date he or she moves from the displacement dwelling. Rental assistance for owners who choose to rent will be calculated as outlined above for tenants. C. DETERMINATION OF COMPARABLE HOUSING Relocation staff will evaluate the cost of comparable replacement housing in the preparation of each individual Notice of Eligibility issued to eligible residential displacees. For residential tenants, the cost of comparable replacement housing will be determined primarily by the schedule method, which determines the median rent in the local market for each type of unit needed. For the owner-occupant, the cost of comparable replacement housing will be determined primarily by the comparative method. D. GENERAL INFORMATION REGARDING THE PAYMENT OF RELOCATION BENEFITS Claims and supporting documentation for relocation benefits must be filed with the Agency no later than 18 months after the date of displacement. The procedure for the preparation and filing of claims and the processing and delivery of payments will be as follows: 1. Claimant(s) will provide all necessary documentation to substantiate eligibility for assistance; 2. Relocation staff will review all necessary documentation including, but not limited to, income verification, personal identification, lease documents and escrow material before reaching a determination as to which expenses are eligible for compensation; 3. Required claim forms will be prepared by relocation staff and presented to the claimant for review. Signed claims and supporting documentation will be returned to relocation staff and submitted to the Agency; 4. The Agency will review and approve claims for payment, or request additional information; 5. The Agency will issue benefit checks to claimants in the most secure, expeditious manner possible; 17 55A-22 The Station District Project 6. Final payments to residential displacees will be issued after confirmation that the Project premises have been completely vacated and actual residency at the replacement unit is verified; 7. Receipts of payment and all claim material will be maintained in the relocation case file. E. LAST RESORT HOUSING Based on data derived from the surveys and analyses of the occupants in the Project area and costs of replacement housing resources, it is anticipated that "comparable replacement housing" will not be available as required. Specifically, for renters, when the computed replacement housing assistance eligibility exceeds $5,250 or replacement dwelling monthly rental costs (including utilities and other reasonable recurring expenses) exceeds 30% of the person's average monthly income, Last Resort Housing will have to be provided. Therefore, if the Project is to go forward, the Agency will authorize its funds or funds authorized for the Project to provide housing of last resort. Funds will be used to make payments in excess of the monetary limit specified in the statute ($5,250); hence, satisfying the requirement that "comparable replacement housing" is available. A displaced tenant household will be entitled to consideration for supplementary benefits in the form of Last Resort Housing assistance when the computed replacement housing assistance eligibility exceeds $5,250 or replacement dwelling monthly rental costs (including utilities and other reasonable recurring expenses) exceed 30% of the person's average monthly income (financial means) or when a tenant fails to meet the 90-day occupancy requirement and comparable replacement rental housing is not available within the displaced person's financial means. Calculations of Last Resort rental assistance benefits for tenants who fail to meet the 90- day occupancy requirement will be based solely on household income. Non 90-day qualifiers must meet basic eligibility requirements applied to all other displacees. For owner-occupants/homeowners, if there is not enough "comparable replacement housing" available (related to purchase price), the displacing entity shall pay whatever costs are necessary beyond the statutory cap of $22,500 to acquire a "comparable replacement" unit, including reasonable incidental expenses. The Agency, at its discretion, may opt to pay Last Resort Housing payments in installments or in a lump sum. Recipients of Last Resort rental assistance, who intend to purchase rather than re- rent replacement housing, will have the right to request a lump sum payment of all benefits in the form of downpayment assistance. Tenant households receiving periodic payments will have the option to request a lump sum payment of remaining benefits to assist with the purchase of a decent, safe and sanitary dwelling. 18 55A-23 The Station District Project V. ADMINISTRATIVE PROVISIONS A. NOTICES Each notice, which the Agency is required to provide to a Project occupant, shall be personally delivered or sent certified or registered first-class mail, return receipt requested and documented in the case file. Each notice will be written in plain, understandable language. Each notice will indicate the name and telephone number of a person who may be contacted for answers to questions and other needed help. There are three principal notices: 1) the Informational Statement 2) the Notice of Relocation Eligibility, and 3) the 90-Day Vacate Notice. The Informational Statement is intended to provide potential relocatees with a general written description of the Agency's relocation program and basic information concerning benefits, conditions of eligibility, noticing requirements and appeal rights. A Notice of Relocation Eligibility (NOE) will be distributed to each eligible residential relocatee. The NOE to residential relocatees contains a determination of eligibility for relocation assistance and a computation of a maximum entitlement for rental assistance based on information provided by the affected household and the analysis of comparable replacement properties undertaken by the relocation staff. No lawful occupant will be required to move without having received at least 90 days advance written notice of the earliest date by which the move will be necessary. The 90-Day Vacate Notice will state a specific date as the earliest date by which the occupant may be required to move or state that the occupant will receive a further notice indicating, at least 60 days in advance, the specific date of the required move. A date-specific Notice to Vacate will not be issued to any residential displacee before a comparable replacement dwelling has been made available. In addition to the three principal notices, relocation staff will issue timely written notification in the form of a Reminder Notice, which discusses the possible loss of rights and sets the expiration date for the loss of benefits to those persons who: 1) are eligible for monetary benefits 2) have moved from the acquired property, and 3) have not filed a claim for benefits. Reminder Notices will be issued periodically throughout the qualification period. An attempt shall be made to make written contact with all non-responsive relocatees no later than within the last six months prior to the filing expiration date. 19 55A-24 The Station District Project B. PRIVACY OF RECORDS All information obtained from displacees is considered confidential and will not be shared without consent of the displacee or the Agency. Relocation staff will comply with federal regulations concerning safeguarding of relocation files and their contents. C. GRIEVANCE PROCEDURES A person who is dissatisfied with a determination as to eligibility for benefits, a payment amount, the failure to provide comparable replacement housing referrals, or the Agency's property management practices must file a Relocation Assistance Appeal Form or any other written form of appeal with the Agency's Appeal's Board or other designate (Hearing Officer). The Agency's appeal policies will follow the standards described in Article 5, Section 6150 et seq., Title 25, Chapter 6, State of California, Department of Housing and Community Development Program guidelines. Specific details for the Developer's appeals policy will be furnished upon request. D. EVICTION POLICY The Agency recognizes that eviction is permissible only as a last resort, and that relocation records must be documented to reflect the specific circumstances surrounding any eviction. Eviction will only take place in cases of nonpayment of rent, serious violation of the rental agreement, a dangerous or illegal act in the unit, or if the household refuses all reasonable offers of alternate accommodation. A household, who is evicted for cause from the Project site, may forfeit any potential relocation benefits. E. CITIZEN PARTICIPATION As the process for considering the Project moves forward, the Agency will observe the following protocol: Provide affected tenants with frill and timely access to documents relevant to the relocation program; 2. Encourage meaningful participation in reviewing the Relocation Plan and monitoring the relocation assistance program, including the project area occupants; Provide technical assistance necessary to interpret elements of the Relocation Plan and other pertinent materials; 4. Issuance of a general notice concerning the availability of the Plan for public review, as required, 30 days prior to its proposed approval; and 20 55A-25 The Station District Project Inclusion of written or oral comments concerning the Plan as an attachment (Exhibit D) when it is forwarded to the City of Santa Ana Community Redevelopment Agency for approval. F. PROJECTED DATES OF DISPLACEMENT The Agency anticipates that date specific Notices to Vacate will not be issued prior to August 2010. No resident will be required to vacate without a minimum of 90 days notice. However, a resident may chose to vacate prior to a vacate notice being issued, once they have received their Notice of Eligibility, and be assured they will receive any replacement housing assistance and moving assistance to which they may be entitled. G. ESTIMATED RELOCATION COSTS The total budget estimate for relocation-related payments for this Project, including a 10 percent contingency, is $456.000. The Estimated relocation budget does not include any payments related to property acquisition. In addition, the budget does not consider the cost of any services necessary to implement the Plan and complete the relocation element of the Project. If the Project is to be implemented, and circumstances arise that should change either the number of residential occupants, or the nature of their activity, the Agency will authorize any additional compensable funds that may need to be appropriated. The Agency pledges to appropriate, on a timely basis, the fiords necessary to ensure the successful completion of the Project, including funds necessary for last resort housing as indicated in Section IV, E, of this Plan to meet its obligation under the relocation regulations. 21 55A-26 EXHIBIT A RESIDENTIAL INTERVIEW FORM 55A-27 EXHIBIT B HCD INCOME LIMITS - ORANGE COUNTY The following figures are approved by the U. S. Department of Housing and Community Development (H.C.D.) for use in the County of Orange to define and determine housing eligibility by income level. Area Median: $87,200 Family Size Extremely Low Very Low Lower 1 Person 19,500 32,500 52,050 2 Person 22,300 37,200 59,450 3 Person 25,100 41,850 66,900 4 Person 27,850 46,450 74,300 5 Person 30,100 50,200 80,250 6 Person 32,350 53,900 86,200 7 Person 34,550 57,600 92,150 8 Person 36,800 61,350 98,100 Figures are per the Department of Housing and Community Development (California), Division of Housing Policy Development, May 20, 2010. 55A-28 EXHIBIT C RESIDENTIAL INFORMATIONAL BROCHURE 55A-29 EXHIBIT D PUBLIC COMMENTS AND RESPONSE 55A-30 812110 les RESOLUTION NO. 2010- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA APPROVING THE RELOCATION PLAN FOR RESIDENTIAL PROPERTY LOCATED AT 812 E. SANTA ANA BLVD., 602-604 E. 5TH STREET, 607 E. 6TH STREET, 609 E. 6TH STREET, 613 E. 6TH STREET, 615 E. 6TH STREET, 911 BROWN STREET, AND 409-411 N. MINTER. 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") has been acquiring parcels along the Santa Ana Boulevard corridor for the purpose of improving this critical gateway into the City. B. The Agency has selected a master developer for the area and is proceeding with the project. The Agency and the master developer have identified several additional parcels whose acquisition could make the project more successful. Should these parcels be acquired, all tenant households would be required to permanently relocate. C. California law requires that a relocation plan be prepared and followed to insure that the affected households are relocated to suitable housing and are paid appropriate relocation benefits. 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, Chapter 6), the federal Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (URA), as well United States Department of Housing and Urban Development regulations. F. The relocation plan is required because of the permanent displacement of the households located at 812 E. Santa Ana Blvd., 602- EXHIBIT 2 Resolution No. 2010- 55A-31 8/2/10 les 604 E. 5TH Street, 607 E. 6TH Street, 609 E. 6TH Street, 613 E. 6TH Street, 615 E. 6TH Street, 911 Brown Street, and 409-411 N. Minter. Section 2: In accordance with the California Environmental Quality Act (CEQA), Environmental Impact Report No. 2006-02 was prepared for the proposed redevelopment, including the demolition of existing structures, of properties owned by the Agency in the Station District. On June 7, 2010, the City Council adopted a resolution certifying the Final Environmental Impact Report, adopted the CEQA Findings of Fact and Statement of Overriding Considerations, and adopted the Mitigation Monitoring and Reporting Program for the project. No additional CEQA is required for this project. Section 3: The City Council hereby approves the relocation plan for the residential Property located at the aforementioned addresses, and the establishment of an account in accordance with state mandates for the payment of relocation benefits to the displaced households. Section 4: 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. Resolution No. 2010- 55A-32 812/10 les ADOPTED this day of 2010. Miguel Pulido Mayor APPROVED AS TO FORM: Joseph W. Fletcher, City Attorney By: Lisa E. Storck Assistant City Attorney AYES Councilmembers: NOES: Councilmembers: ABSTAIN: NOT PRESENT: Councilmembers: Councilmembers: CERTIFICATE OF ATTESTATION AND ORIGINALITY I, MARIA D. HUIZAR, Clerk of the Council, do hereby attest to and certify the attached Resolution No. 2010- 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 Resolution No. 2010- 55A-33 55A-34