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HomeMy WebLinkAboutReso 2011-043RESOLUTION NO. 2011-043 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA MAKING FINDINGS RELATED TO THE PROJECTS IDENTIFIED IN THE COOPERATION AGREEMENT BETWEEN THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA AND HOUSING AUTHORITY OF THE CITY OF CHULA VISTA WHEREAS, the Chula Vista Redevelopment Agency (the "Agency") is a public body, corporate and politic, exercising governmental functions and powers and organized and existing under the Community Redevelopment Law of the State of California (Califomia Health and Safety Code Section 33000 et ~.); and WHEREAS, the Chula Vista Housing Authority (the "Authority") is a public body, corporate and politic, exercising governmental functions and powers and organized and existing under the Housing Authorities Law of the State of California (California Health and Safety Code Section 34200 et seg.); and WHEREAS, the current Five-Year Implementation Plan for the Redevelopment Project Areas (Implementation Plan) sets out goals to support affordable housing. To implement the programs and activities associated with each goal, the Agency has made redevelopment fund commitments based on estimated available tax increment revenue and debt financing structures; and WHEREAS, California Health and Safety Code Sections 33334.2 and 33334.6 authorize and direct the Agency to expend a certain percentage of all taxes which are allocated to the Agency pursuant to Section 33670 for the purposes of increasing, improving and preserving the community's supply of low and moderate income housing available at affordable housing cost to persons and families of low and moderate incomes; and WHEREAS, on November 2, 2010, the City and Agency adopted Resolution No. 2010-254 (Agency 2010-2030) certifying a list of four (4) affordable housing developers to collaboratively work with City staff and a Chula Vista Redevelopment Corporation (CVRC) Subcommittee to examine service gaps and identify ideal locations to meet the City's most pressing affordable housing needs and contribute to catalyst development concurrently; and WHEREAS, City staff has worked with the affordable housing developers and the CVRC subcommittee to determine a strategy to increase and prioritize affordable housing opportunities (the "Affordable Housing Strategy"); and WHEREAS, on the 26th day of January, 2011, the City's Housing Advisory Commission, held a public meeting to consider and comment on the Affordable Housing Strategy; and Resolution No. 2011-043 Page 2 WHEREAS, the Affordable Housing Strategy identified the Northwest area of the City as a focus of the Agency's resources and potential sites for affordable housing projects have been identified in this area and generally within the Project Area, and will be of benefit to the Project Area and the low and moderate income residents of the community; and WHEREAS, the City of Chula Vista is awaze the Agency and the Authority propose to enter into a Cooperation Agreement (Agreement) to provide for the implementation of affordable housing projects set forth in the Schedule of Projects attached to the Agreement as Exhibit A (Projects), and to require the Agency to advance funds to the Authority in accordance with the Payment Schedule attached to the Agreement as Exhibit 2, for the Authority's cost of performing its obligations under the Agreement, subject to all of the terms and conditions of the Agreement; and WHEREAS, the payment of funds by the Agency for the costs related to said Projects and the programs and activities associated therewith is consistent with the Implementation Plan adopted pursuant to Section 33490, and Housing Fund Requirements in 33334 of the California Redevelopment Law ("CRL"); and WHEREAS, Health and Safety Code section 33334.2 permits the use of such funds outside of a project area upon a finding that such use will be a benefit to the project and for the reasons set forth in the Staff Report for this Resolution, the Redevelopment Plan, the Implementation P-an, and the Housing Element (as found in the General Plan), all of which are hereby incorporated by reference herein, it is determined that the use of such funds outside a project area is and would be a benefit to the Project Area. that: NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista 1. The City Council finds and determines that: (i) the implementation of the Projects constitutes the acquisition of property and the development of affordable housing for low and moderate income households that are of benefit to the Project Area by, but not limited to, encouraging local accommodations for a diverse workforce and consumers at vazious income levels; (ii) said Projects and the programs and activities associated therewith are limited without Agency funds; (iii) the acquisition of property and development, construction, rehabilitation, and operation of the Projects are provided for in the Redevelopment Plan and the Implementation Plan; and (iv) the payment by Agency of funds for part of the costs related to said Projects and the programs and activities associated therewith is consistent with the implementation plan adopted pursuant to Section 33490. 2. The City Council finds and determines that the use of the Redevelopment Low and Moderate-Income Housing Funds for the Projects that include low and moderate-income housing located outside of the Project Areas will be of benefit to the community because the use of such funds will be of benefit to the Project Areas in accordance with Health and Safety Code Sec. 33334.2, as set forth in the Agenda Report to this resolution (which is hereby incorporated by reference herein, and in that: (i) the use of the Agency's Low and Moderate-Income Housing Funds from the Project Area as a revenue fund for low and moderate-income housing projects regardless of their location provides a consistent, institutional financing mechanism for low and moderate-income housing within the City Resolution No. 2011-043 Page 3 of Chula Vista; (ii) the revenue enables the Agency to expedite and maximize housing production and capacity to provide financial assistance based upon project viability, not project location; (iii) the provision of affordable housing is, in itself, a fundamental purpose of redevelopment; iv) any increase in or preservation of the stock of available housing for low and moderate- income households benefits the surrounding area and the City of Chula Vista, including the Project Area providing the funds, by encowaging local accommodations for a diverse workforce and consumers at various income levels throughout the City of Chula Vista; (v) the acquisition, rehabilitation, preservation and/or construction of affordable housing helps fulfill the goals of the Redevelopment Plan and Implementation Plans of the Project Areas, which includes improving, promoting and preserving the positive neighborhood characteristics of the Project Areas, promoting varied housing opportunities, supporting and promoting the growth and vitality of the Project Area business environment and providing direction, purpose and climate for combined public and private investment which will result in benefits to the community as a whole; (vi) that such use of funds will prevent anover-concentration of affordable housing in one location and will promote an economically diverse community, and (vii) a maximum of one-half credit for each affordable housing unit produced outside of the Project Areas may be credited towards the housing obligations defined within its Redevelopment Plan and its Five-Year Implementation Plan in exchange for funding affordable housing outside the Project Areas. 3. Further, the implementation of the Projects provided for by the Cooperation Agreement will further the Agency's goals and objectives as set forth in the Redevelopment Plan and Implementation Plan. Presented by G Halbert, P.E., AIC Assistant City Manager/Development Services Director Approved as to form by ~ ~ ` len R. ~ipogins Att~ey `_ Resolution No. 2011-043 Page 4 PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this 8th day of March 2011 by the following vote: AYES: Councilmembers: Bensoussan, Castaneda, Ramirez and Cox NAYS: Councilmembers: Aguilar ABSENT: Councilmembers: None Cheryl Cox, May r ATTEST: 0 Donna R. Noms, CMC, City Clerk STATE OF CALIFORNIA COUNTY OF SAN DIEGO CITY OF CHULA VISTA I, Donna R. Norris, City Clerk of Chula Vista, California, do hereby certify that the foregoing Resolution No. 2011-043 was duly passed, approved, and adopted by the City Council at a special meeting of the Chula Vista City Council held on the 8th day of Mazch 2011. Executed this 8th day of Mazch 2011. v Donna R. Norris, M , Ci y Clerk