RES-9654 Disposition & Development Agreement La Veta AvenueRESOLUTION NO. 9654
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF ORANGE APPROVING A DISPOSITION
AND DEVELOPMENT AGREEMENT BY AND
AMONG THE CITY OF ORANGE, THE ORANGE
REDEVELOPMENT AGENCY AND ORANGE
HOUSING DEVELOPMENT CORPORATION
REGARDING PROPERTY LOCATED NORTH OF LA
VETA AVENUE BETWEEN OLIVE STREET AND
LEMON STREET AND MAKING CERTAIN FINDINGS
WHEREAS, the Amended and Restated Redevelopment Plan for the Orange Merged and
Amended Redevelopment Project Area (the Merged Redevelopment Project Area) was duly
approved by the Orange City Council on November 13, 2001 by Ordinance No. 2101, pursuant to the
California Community Redevelopment Law (commencing with Section 33000 of the Health and
Safety Code and hereinafter referred to as the CRL); and
Vt'HEREAS, pursuantto Sections 333 34.2( a) and 333 34.6( c) of the CRL, not less than 20%
of all taxes which are allocated to the Orange Redevelopment Agency (Agency) from the Merged
Redevelopment Project Area 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, 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 can be of direct benefit to those projects in assisting the accomplishment of
project objectives; and WHEREAS, pursuant to Section 33334.2(g) of the CRL, the Agency
may use Housing Funds to assist in the provision of housing for low and moderate income
households, including very low-income 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, the City is responsible for administering certain funds
made available to the City by the U.S. Department of Housing and Urban Development (
HUD) under the HOME Investment Partnerships Act Program (HOME Program) in accordance with
the regulations issued by HUD set forth in 24 CFR Part 92 (
the HOME Regulations); and WHEREAS, the Agency owns certain unimproved real property located
north of La Veta Avenu(: between Olive Street and Lemon Street (the Site), which is located
outside the boundaries of the
WHEREAS, Orange Housing Development Corporation (OHDC) has proposed to develop
the Site with six (6) units of rental housing, to be made available and rented to very low income
senior citizen households for fifty-five (55) years (the Project);
and WHEREAS, OHDC has proposed to enter into a Disposition and Development
Agreement the Agreement) with the City and the Agency, pursuant to which: (a) the Agency would sell
the Property to OHDC for a purchase price that is not less than the fair reuse value of the Property, at
the use and with the covenants and conditions and development costs required by the Agreement; (b)
the Agency would lend OHDC $516,495 in Housing Funds to be used to develop the Project; (c)
the City would make available to OHDC a grant in the amount of$639,120 from HOME Program
funds;
and WHEREAS, OHDC has submitted to the Agency and the City Council copies of
the proposed Agreement, in a form that is acceptable to OHDC;
and WHEREAS, the Project consists of the construction 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 XXXIV of the California Constitution requiring voter approval at an
election; and WHEREAS, pursuant to the California Community Redevelopment Law (
California Health and Safety Code, Section 3300 et seq.), the Agency and the City Council held ajoint
public hearing on the proposed conveyance of the Site pursuant to the Agreement, having duly published
notice of such public hearing and made copies of the proposed Agreement, and other reports
and documents availabh: for public inspection and
comment; and WHEREAS, the City Council has duly considered all terms and conditions of
the proposed conveyance of the Site and believes that the development of the Site pursuant to
the proposed Agreement is in the best interest of the City and the health, safety, morals and welfare
of its residents, and in accord with the public purposes and provisions of applicable State and local
law
and requirements;NOW, THEREFORE, the City Council of the City of Orange resolves, on the
basis ofthe 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:Section I. The foregoing recitals are true
and correct.Section 2. The City Council recognizes that it has received and heard all oral
and written objections to the proposed Disposition and Development Agreement, to the proposed sale of
the real property pursuant to the proposed Agreement, and to other matters pertaining to this
transaction, and that all such oral and written objections are
hereby ovemlled.Section 3. The City Council hereby finds and determines that the consideration to be
paid by OHDC for the Site as described in the Agreement is not less than the fair reuse value at the
use and with the covenants and conditions and development costs authorized by
Section 4. The City Council hereby finds and determines that the Agency's use of funds from
the Housing Fund in the maximum amount of $516,495 for the Project will be of benefit to the
Merged Redevelopment Project Area 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 appli,:able federal, state and local laws and requirements.
Section 5. The City Council hereby finds that the sale of the Site will provide housing for
low- or moderate-income persons, specifically, very low income senior citizen households, and
is consistent with the 5-year Implementation Plan adopted by the Agency on November
25, 1999.Section 6. The City Council hereby authorizes the expenditure of HOME Program
Funds in the foml ofa grant to OHDC in the amount of$639,120 for the Project and in accordance
with the terms arId provisions set forth in the agenda report presented to the City Council and
any testimony received at the meeting at which this matter was considered and in accordance with
the Agreement.Section 7. The City Council approves the Agreement and hereby authorizes and
directs the Mayor or City Manager, or their designee to execute the Agreement on behalf of the City in
the form presente:d at the meeting at which this matter was considered, and to take all steps and
sign all documents and instruments to carry out the Agreement on behalf of the City. A copy
of the Agreement when executed by all parties shall be placed on file in the office of the
City Clerk.Section 8. The Mayor and City Manager, or their designee, is hereby authorized, on
behalf of the City, to sign all documents necessary and appropriate to carry out and implement
the Agreement and to administer the City's obligations, responsibilities and duties to be performed
under
the Agreement.ADOPTED this 24th day of
September, 2002.MMl1~;.y. M.yo ity
of
ATTEST:
W~
Cassan~y
ty of Orange
I hereby certifY that the foregoing Resolution was duly and regularly adopted by the City
Council of the City of Orange at a regular meeting thereof held on the 24th day of September, 2002,
by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
COUNCILMEMBERS: Slater, Alvarez, Murphy, Coontz, Cavecche
COUNCILMEMBERS: None
COUNCILMEMBERS: None
COUNCILMEMBERS: None
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