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HomeMy WebLinkAboutReso 2003-272RESOLUTION NO. 2003-272 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE FIRST AMENDMENT TO THE AFFORDABLE HOUSING AGREEMENT RELATED TO OTAY RANCH VILLAGE SIX BETWEEN THE CITY AND MCMILLIN OTAY RANCH, LLC, AND AUTHORIZING THE MAYOR TO SIGN THE AGREEMENT WHEREAS, on June 18, 2002, the City of Chula Vista and McMillin Otay Ranch, LLC (the "Developer") executed an Affordable Housing Agreement (Doc No. 2002-0679120) as recorded by the San Diego County Recorder's Office for the Otay Ranch Village One Sectional Planning Area (SPA) for purposes of further implementing the Developer's affordable housing obligation under the City's Balanced Communities Policy of the Housing of the General Plan; and WHEREAS, on December 20, 2002, a Low Income Housing Credit Transfer Agreement was executed between the City, Rancho del Rey Investors, L.P. and the Developer assigning the Developer seventeen (17) low income housing credits created through the development of the Cordova Village affordable apartments in the Rancho del Rey SPA III Community and Developer has made payment to the City in the total amount of $238,000 or $14,000 per housing unit credit; and WHEREAS, Section 2.b. of said Affordable Housing Agreement provides that twelve (12) units created in excess of the affordable housing obligation for Otay Ranch Village One SPA ("Surplus Units") are available to further satisfy Developer's low-income housing obligation; and WHEREAS, Section 2.c. of said Affordable Housing Agreement allows the Developer to satisfy, in part, its affordable housing obligation through the creation of second dwelling units; and WHEREAS, the low-income accessory second dwelling units would be located within the areas identified in the Otay Ranch Village Six Development Phasing Plan as Neighborhoods R1 and R3. The moderate-income housing units will be located in Neighborhood Ri0. The City has determined that Neighborhoods Ri, R3 and Ri0 can accommodate the Developer's remaining duty to build low and moderate income housing; and WHEREAS, the Developer is requesting to satisfy its affordable housing obligation through the use of available low income housing credits and the construction of second dwelling units within the Project; and WHEREAS, the Developer is also requesting the release of all properties within their ownership in Otay Ranch Village Six from the affordable housing obligation, with the exception of those Neighborhoods known as Ri, R3 and RI0; and WHEREAS, to comply with the Developer's requests, the City has prepared the first amendment to the Affordable Housing Agreement for the Otay Ranch Village Six Planned Community for City Council's consideration and approval; and Resolution 2003-272 Page 2 WHEREAS, this agreement implements affordable housing requirements and impacts previously analyzed in the certified Environmental Impact Report (EIR) for the Otay Ranch General Development Plan (GDP) and (SPA) Plan, therefore, no additional action is required under California Environmental Quality Act (CEQA). NOW THEREFORE, BE IT RESOLVED, by the City Council of the City of Chula Vista that this City Council does hereby approve in the form presented the first amendment to the Affordable Housing Agreement related to Otay Ranch Village Six under Developer's ownership, a copy of which shall be kept on file in the Office of the City Clerk. BE IT FURTHER RESOLVED that the Mayor of the City of Chula Vista is hereby authorized to execute said first amendment and all other associated documents for and on behalf of the City of Chula Vista. Presented by Approved as to form by Resolution 2003-272 Page 3 PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this 17th day of June, 2003, by the following vote: ATI~cST: Councilmembers: Councilmembers: Councilmembers: AYES: NAYS: ABSENT: Davis, McCann, Rindone, Salas and Padilla None None Susan Bigelow, City Clerk STATE OF CALIFORNIA ) COUNTY OF SAN DIEGO ) CITY OF CHULA VISTA ) I, Susan Bigelow, City Clerk of Chula Vista, California, do hereby certify that the foregoing Resolution No. 2003-272 was duly passed, approved, and adopted by the City Council at a regular meeting of the Chula Vista City Council held on the 17th day of June, 2003. Executed this 17th day of June, 2003. Susan Bigelow, City Clerk