RES-ORA-0366 Affordable Housing Agreement Approval 1924 and 1934 E Wilson AveRESOLUTION NO. ORA-
0366 A RESOLUTION OF THE
ORANGE REDEVELOPMENT AGENCY APPROVING
AN AFFORDABLE HOUSING AGREEMENT BY
AND BETWEEN THE ORANGE
REDEVELOPMENT AGENCY AND ORANGE
HOUSING DEVELOPMENT CORPORATION
REGARDING 1924 AND 1934 EAST WILSON AVENUE
AND MAKING CERTAIN
FINDINGS WHEREAS, pursuant to Sections33334.2(a) and 33334.6(c) of the
Community Redevelopment Law (commencing with Section 33000 of the Health and Safety Code
and hereinaller referred to as the "CRL") not less than 20% of all taxes which are allocated to
the Orange Redevelopment Agency ("Agency") are set aside by the Agency in its Low- and
Moderate-Income Housing Fund ("Housing Fund") and used by the Agency for the purpose of
increasing,improving and preserving the community's supply of low- and moderate-income
housing available at affordable housing costs to persons and families of low- and moderate-
income, including very low income persons
and families; and WHEREAS, pursuantto Section 33334.2(e) of the CRL, the Agency may
exercise any and all of its powers to carry out
this purpose; and WHEREAS, pursuant to Section 33334.6(a) of the CRL, the
California State Legislature has found and declared that the provision of affordable housing outside
of redevelopment project areas c.m be of direct benefit to those projects in assisting the accomplishment
of
project objectives;and WHEREAS, pursuantto Section 33334.2(g) of the CRL, the Agency
may useHousing Funds 1:0 assist in the provision of housing for low and moderate income
households, including very low-ineome households, outside the boundaries of its redevelopment
project areas upon resolution of the City Council and the Agency that such use will be of benefit
to
the redevelopment projects;and WHEREAS, Orange Housing Development
Corporation, a California nonprofit corporation ("ORDC"), has entered into an agreement for the acquisition
of certain improved real property located at 1924 and 1934 East Wilson Avenue (the "Site"), which
is located outside the boundaries ofthe City's
WHEREAS, the Site is improved with 20 dwelling units, which units OHDC has inspected
and beheves to be suitable for the provision and maintenance of affordable housing; and
WHEREAS, OlIDC has requested the assistance of the Agency to make available to
OlIDC $978,615 in Housing Funds to be used to acquire and rehabilitate the Site and, thereafter, to
cause the dwelling units at the Site to be made available and rented to persons and families of low
income, including very low income, for fifty-five (55) years (the "Project"), as more fully set
forth in an Affordable Housing Agreement ("Agreement") by and between the Agency and OlIDC in
a form aC1ceptable to the Agency;
and WHEREAS, OlIDC intends to finance the Project in part with a loan made by a bank
or other lender, secured by a first trust deed on the Site (the "Senior Lender");
and WHEREAS, the City Council has found and determined, and the Agency desires to
find and determine, that the use of a portion of the funds from the Housing Fund outside the
boundaries of the City's redevelopment project areas for the Project in accordance with the terms
and provisions of the Agreement, is for the benefit of the City's redevelopment project areas and is
in the vital and best interests of the City of Orange and the health, safety and welfare of its
residents,and in accord with the public purposes and provisions of applicable federal, state and local laws
and requirements;
and WHEREAS, the Project consists of the rehabilitation of dwelling units of a
previously existing low-rent housing project and is not, therefore, a "low rent housing project"
within the meaning of Article XXXN of the California Constitution requiring voter approval at
an
election;and WHEREAS, the governing board of the Agency, along with the City Council,
have duly considered all of the terms and conditions of the Agreement as set forth in the
agenda report presented to it and any testimony received at the meeting at which this matter was
considered and believes that the activities described therein are in the best interests of the City and
health, safety,morals and welfare of its residents, and in accord with the public purposes and
provisions of applicable State and local law requirements, and that such activities promote the
affordable housing objectives of the CRL as well as the Redevelopment Plans for the Northwest, Southwest
and Tustin Street
Redevelopment Projects;NOW, THEREFORE, the Orange Redevelopment Agency resolves, on the basis
of the facts set forth in the agenda report presented to it and any testimony received at the
meeting at which this matter was considered,
as follows:Reso No.
ORA-
0366 -2-
Section 1. That the Agency's use of funds from the Housing Fund in the amount of
978,615 for the Project will be of benefit to the City's redevelopment projects and is in the vital
and best interests of the City of Orange and the health, safety and welfare of its residents, and in
accord with the public purposes and provisions of applicable federal, state and local laws and
requirements.
Section 2. That the provision of affordable housing pursuant to the Agreement is of benefit
to each of the following redevelopment projects and their project areas: the Tustin Street
Redevdopment Project; the Southwest Redevelopment Project; and the Northwest Redevelopment
Proj ect.
Section 3. That an economically feasible alternative method of financing the Project on
substarltially comparable terms and conditions, but without subordination, is not reasonably
available.
Section 4. That the Agency approves the preparation of the Agreement with OHDC in
accordance with the terms and provisions set forth in the agenda report presented to the Agency and
any testimony received at the meeting at which this matter was considered and hereby authorizes
and directs the Chairman of the Agency to execute the Agreement on behalf of the Agency in a
form to be prepared by the General Counsel of the Agency (or his designee) upon consultation with
the City Attorney and to take all steps and sign all documents and instruments to carry out the
Agreement on behalf of the Agency, including signing such subordination agreements as may be
required by the Senior Lender in order to subordinate the low- and moderate-income covenants
and restrictions of the Agreement to the security interests and liens of the Primary
Lender.ADOPTED this ---.lil.h day of April 2000.
Jo
Reso No. ORA-0366
ATTEST:
Clerk, Orange
hereby certify that the foregoing Resolution was duly and regularly adopted by the Orange
Redevelopment Agency at a regular meeting thereof held on the 11 th day of April
2000, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Reso No. ORA-
0366
DIRECTORS:
DIRECTORS:
DIRECTORS:
DIRECTORS:MURPHY, SLATER, COONTZ, SPURGEON,
ALVAREZ
NONE
NONE
NONE
1 ./}
P-~Cassandra J. Cathc , Clerk, Orange Redevelopment
Agency