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HomeMy WebLinkAbout5.6 Amendment to the Signing Authority of the Local Housing Trust Fund Grant for the Regional Street Senior Affordable Housing and Amador Station Affordable Housing ProjectsAgenda Item 5.6 DUBLIN CALIFORNIA STAFF REPORT CITY COUNCIL DATE: TO: FROM: SUBJECT: December 3, 2024 Honorable Mayor and City Councilmembers Colleen Tribby, City Manager Amendment to the Signing Authority of the Local Housing Trust Fund Grant for the Regional Street Senior Affordable Housing and Amador Station Affordable Housing Projects Prepared by: Jason Earl, Senior Management Analyst EXECUTIVE SUMMARY: The City Council will consider resolutions authorizing the City Manager to receive and act as the trustee/manager for up to $3,333,333 in grant funds from the California Department of Housing and Community Development (HCD) for both the Regional Street Senior Affordable Housing project and the Amador Station Affordable Housing project. HCD has requested the City adopt new resolutions with a general designation of authority to the City Manager in order to access the award. STAFF RECOMMENDATION: Adopt the Resolution Authorizing Application for, and Receipt of Local Housing Trust Fund Program Funds for the Regional Street Senior Affordable Housing Project, and the Resolution Authorizing Application for, and Receipt of Local Housing Trust Fund Program Funds for the Amador Station Project. FINANCIAL IMPACT: None. DESCRIPTION: In 2020 and 2022, the City Council approved a Resolution authorizing Linda Smith, as the City Manager, to submit applications and receive $3,333,333 in Local Housing Trust Fund (LHTF) grants from the California Department of Housing and Community Development (HCD) for both the Regional Street Senior Affordable Housing project and the Amador Station Affordable Housing project (Resolution 77-20 and Resolution 47-22). HCD awarded the grant funds to the City for each project (Contract number 20-LHTFCOM-15786 and Contract number 22-LHTFCOM-17512). Page 1 of 2 1 The purpose of the LHTF Program is to provide matching funds to local and regional housing trust funds dedicated to the creation, rehabilitation, or preservation of affordable housing, transitional housing and emergency shelters. The City Council Resolutions authorizing both grant applications utilized template language provided by HCD. This language expressly gave Linda Smith, City Manager at that time, the authority to receive funds and act as the Trustee/Manager for the Local Housing Trust Fund Program awards for the Regional Street Senior Affordable Housing and the Amador Station affordable housing projects. Due to the transition to a new City Manager, HCD is requiring the City to re -adopt resolutions with a general designation of authority to the "City Manager or their designee" to act in that capacity. HCD has advised this change is required to access the grant funds. STRATEGIC PLAN INITIATIVE: Strategy 3: Housing Inclusivity and Affordability Objective A: Implement the goals, policies, and programs in the 2023-2031 Housing Element. Objective B: Support efforts to produce housing affordable at all levels of income. Objective D: Support development of housing types to support essential workers, younger buyers, and seniors. ENVIRONMENTAL DETERMINATION: The Resolutions Authorizing the City Manager to Receive and act as the Trustee/Manager for Local Housing Trust Fund Program Funds for the Regional Street Senior Affordable Housing project and for the Amador Station project are exempt from the requirements of the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15378 as these resolutions do not meet CEQA's definition of a "project" and would not result in either a direct physical change, or a reasonably foreseeable indirect physical change in the environment. NOTICING REQUIREMENTS/PUBLIC OUTREACH: The City Council Agenda was posted. ATTACHMENTS: 1) Resolution Authorizing Application for, and Receipt of Local Housing Trust Fund Program Funds for the Regional Street Senior Affordable Housing Project 2) Resolution Authorizing Application for, and Receipt of Local Housing Trust Fund Program Funds for the Amador Station Project Page 2 of 2 2 Attachment I RESOLUTION NO. XX — 24 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN AUTHORIZING APPLICATION FOR, AND RECEIPT OF LOCAL HOUSING TRUST FUND PROGRAM FUNDS FOR THE REGIONAL STREET SENIOR AFFORDABLE HOUSING PROJECT WHEREAS, a necessary quorum and majority of the Council members of the City of Dublin ("Applicant") hereby consents to, adopts and ratifies this resolution; and WHEREAS, the State of California (the "State") Department of Housing and Community Development ("Department") is authorized to provide up to $57 million under the Local Housing Trust Fund ("LHTF") Program from the Veterans and Affordable Housing Bond Act of 2018 (Proposition 1) (as described in Health and Safety Code section 50842.2 et seq. (Chapter 365, Statutes of 2017 (SB 3)) ("Program"); and WHEREAS, the Department issued a Notice of Funding Availability ("NOFA") dated April 30, 2020, under the LHTF Program; and WHEREAS, the City of Dublin is an eligible Local Housing Trust Fund applying to the Program to administer one or more eligible activities using Program Funds; and WHEREAS, the Department may approve funding allocations for the LHTF Program, subject to the terms and conditions of Health and Safety Code Section 50842.2, the LHTF Program Guidelines, NOFA, Program requirements, the Standard Agreement and other related contracts between the Department and LHTF award recipients. NOW, THEREFORE, BE IT RESOLVED, the Dublin City Council confirms that: SECTION 1. The City Manager or her/his designee is authorized to execute the LHTF Program Application, the LHTF Standard Agreement and any subsequent amendments or modifications thereto, as well as any other documents which are related to the Program or the LHTF Award to Applicant, as the Department may deem appropriate; and SECTION 2. If the City of Dublin receives an award of LHTF funds from the Department pursuant to the above referenced LHTF NOFA, it represents and certifies that it will use all such funds on Eligible Projects in a manner consistent and in compliance with all applicable state and federal statutes, rules, regulations, and laws, including, without limitation, all rules and laws regarding the LHTF Program, as well as any and all contracts Applicant may have with the Department ("Eligible Project"); and SECTION 3. The City of Dublin, with its "Inclusionary Zoning In Lieu Fees Fund," established by Ordinance No. 8-02 in May 2002, and revised by Ordinance No. 2-24 in June 2024 and published in Dublin Municipal Code Chapter 8.68 (also known as the "Affordable Housing Fund"), as an eligible LHTF, is hereby authorized to act as the trustee in connection with the Department's funds to Eligible Projects pursuant to the above -described NOFA in an amount not to exceed $5,000,000 (the "LHTF Award"); and SECTION 4. Applicant hereby agrees to match on a dollar for dollar basis the LHTF Award pursuant to Guidelines Section 104. Applicant hereby agrees to utilize matching finds on a dollar- Reso. No. XX-24, Item X.X, Adopted XX/XX/2024 Page 1 of 3 3 for -dollar basis for the same Eligible Project for which Program Funds are used, as required by HSC Section 50843.5(c) (A summary of the City's commitment on the Eligible Project is included as Attachment 1); and SECTION 5. Pursuant to Attachment 1 and the Applicant's certification in this resolution, the LHTF funds will be expended only for Eligible Projects and consistent with all program requirements and Applicant shall be subject to the terms and conditions as specified in the Standard Agreement, H&S Section 50842.2 and LHTF Program Guidelines. PASSED, APPROVED, AND ADOPTED by the Dublin City Council on this 3rd day of December, 2024 by the following vote: AYES: NOES: ABSENT: ABSTAIN: Mayor CERTIFICATE OF THE ATTESTING OFFICER The undersigned does hereby attest and certify that the foregoing Resolution is a true, full and correct copy of a resolution duly adopted at a meeting of the Dublin City Council which was duly convened and held on the date stated thereon, and that said document has not been amended, modified, repealed or rescinded since its date of adoption and is in full force and effect as of the date hereof. ATTEST: City Clerk ATTACHMENTS: 1. Summary of City of Dublin Commitment of Funding Reso. No. XX-24, Item X.X, Adopted XX/XX/2024 Page 2 of 3 4 Attachment 1: Summary of City of Dublin Commitment for Use of the Local Housing Trust Fund Program Funds and Matching Funds The City of Dublin's Local Housing Trust Fund (LHTF) match of land and funding and the proposed LHTF grant will be used for a project proposed by Eden Housing, Inc. for approximately 113 affordable rental units on a 1.3-acre site located at 6541 Regional Street. This project is being accepted by the City for LHTF funding contingent upon project financing and necessary entitlements. Excluding a manager's unit, 100 percent of the proposed 113 units are committed to be affordable to households earning no more than 60 percent of area median income (AMI). Twenty-two of the proposed 113 units (19 percent) and at least 30 percent of the Program Funds are committed to be used for households earning no more than 30 percent of AMI. None of the LHTF Program funding is proposed to be expended on assistance to moderate -income households. Reso. No. XX-24, Item X.X, Adopted XX/XX/2024 Page 3 of 3 5 Attachment 2 RESOLUTION NO. XX — 24 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN AUTHORIZING APPLICATION FOR, AND RECEIPT OF LOCAL HOUSING TRUST FUND PROGRAM FUNDS FOR THE AMADOR STATION PROJECT WHEREAS, a necessary quorum and majority of the Council members of the City of Dublin ("Applicant") hereby consents to, adopts and ratifies this resolution; and WHEREAS, the State of California (the "State") Department of Housing and Community Development ("Department") is authorized to provide up to $57 million under the Local Housing Trust Fund ("LHTF") Program from the Veterans and Affordable Housing Bond Act of 2018 (Proposition 1) (as described in Health and Safety Code section 50842.2 et seq. (Chapter 365, Statutes of 2017 (SB 3)) ("Program"); and WHEREAS, the Department issued a Notice of Funding Availability ("NOFA") dated April 5, 2022, under the LHTF Program; and WHEREAS, the Applicant is an eligible Local Housing Trust Fund applying to the Program to administer one or more eligible activities using Program Funds; and WHEREAS, the Department may approve funding allocations for the LHTF Program, subject to the terms and conditions of Health and Safety Code Section 50842.2, the LHTF Program Guidelines, NOFA, Program requirements, the Standard Agreement and other related contracts between the Department and LHTF award recipients. NOW, THEREFORE, BE IT RESOLVED, the Dublin City Council confirms that: SECTION 1. If the Applicant receives an award of LHTF funds from the Department pursuant to the above referenced LHTF NOFA, it represents and certifies that it will use all such funds on Eligible Projects in a manner consistent and in compliance with all applicable state and federal statutes, rules, regulations, and laws, including, without limitation, all rules and laws regarding the LHTF Program, as well as any and all contracts the Applicant may have with the Department ("Eligible Project"). SECTION 2. The City of Dublin is hereby authorized to act as the trustee/manager in connection with the Department's funds to Eligible Projects pursuant to the above -described NOFA in an amount not to exceed $3,333,333 (the "LHTF Award"). SECTION 3. Applicant hereby agrees to match on a dollar -for -dollar basis the LHTF Award pursuant to Guidelines Section 104. Applicant hereby agrees to utilize matching finds on a dollar - for -dollar basis for the same Eligible Project for which Program Funds are used, as required by HSC Section 50843.5(c). SECTION 4. Pursuant to Attachment 1 and the Applicant's certification in this Resolution, the LHTF funds will be expended only for Eligible Projects and consistent with all program requirements. SECTION 5. Nonprofit Housing Trust Funds and Native American Tribe Housing Trust Funds agree to use Program Funds only for Eligible Projects located in cities and counties that Reso. No. XX-24, Item X.X, Adopted XX/XX/2024 Page 1 of 3 6 submitted an adopted Housing Element that was found by the Department to be in compliance and that have submitted their Housing Element Annual Progress Report (APR) for the current year or prior year by the application due date. SECTION 6. Applicant shall be subject to the terms and conditions as specified in the Standard Agreement, H&S Section 50842.2 and LHTF Program Guidelines. SECTION 7. The City Manager or her/his designee is authorized to execute the LHTF Program Application, the LHTF Standard Agreement and any subsequent amendments or modifications thereto, as well as any other documents which are related to the Program or the LHTF Award to Applicant, as the Department may deem appropriate. PASSED, APPROVED, AND ADOPTED by the Dublin City Council on this 3rd day of December, 2024 by the following vote: AYES: NOES: ABSENT: ABSTAIN: Mayor CERTIFICATE OF THE ATTESTING OFFICER The undersigned, City Clerk of the City of Dublin does hereby attest and certify that the foregoing Resolution is a true, full and correct copy of a resolution duly adopted at a meeting of the Dublin City Council, which was duly convened and held on the date stated thereon, and that said document has not been amended, modified, repealed or rescinded since its date of adoption and is in full force and effect as of the date hereof. ATTEST: City Clerk ATTACHMENTS: 1. Summary of City of Dublin Commitment of Funding Reso. No. XX-24, Item X.X, Adopted XX/XX/2024 Page 2 of 3 7 Attachment 1: Summary of City of Dublin Commitment for Use of the Local Housing Trust Fund Program Funds and Matching Funds The City of Dublin's Local Housing Trust Fund (LHTF) match and 100 percent of the requested LHTF Program funds will be used for a project proposed by The Related Companies of California, LLC., for 164 affordable rental units on an approximately 1.3-acre site located at 6501 Golden Gate Drive. The Dublin City Council has appropriated $7.1 million from the City's Affordable Housing Funds and committed $2.9 million in Alameda County Measure A-1 Bond funds to the project contingent upon project financing. In addition, the project has received its necessary entitlements. Excluding two manager's units, 100 percent of the project would be affordable to households earning an average of no more than 60 percent of area median income (AMI). The Related Companies of California, LLC., has committed that a minimum of 41 units in the project would be set aside for homeless persons upon receiving Section 8 funding for these units. This housing would serve persons at risk of becoming homeless, and persons with special needs. Reso. No. XX-24, Item X.X, Adopted XX/XX/2024 Page 3 of 3 8