CIC Resolution 11-174COMMUNITY IMPROVEMENT COMMISSION
OF THE CITY OF ALAMEDA RESOLUTION NO. 11-
APPROVING THE USE OF HOUSING FUNDS TO PAY A PORTION OF THE
COSTS OF DEVELOPMENT OF A 19-UN1T AFFORDABLE RENTAL
PROJECT WITHIN THE CITY OF ALAMEDA ON CERTAIN PROPERTY
COMMONLY KNOWN AS 2216 LINCOLN AVENUE
WHEREAS, in accordance with the Community Redevelopment Law of
the State of California (Health and Safety Code Section 33000 et seq.)
("Redevelopment Law'), the City Council adopted Ordinance No. 2559 on June
18, 1991, approving and adopting the Community Improvement Plan, as
subsequently amended on December 6, 1994 by Ordinance No. 2681 (First
Amendment), on June 6, 2000 by Ordinance No. 2835 (Second Amendment),
on September 19, 2000 by Ordinance No. 2844 (Third Amendment), on April
17, 2001 by Ordinance No. 2857 (Fourth Amendment), on April 1, 2003 by
Ordinance No. 2896 (Fifth Amendment), on November 4, 2003 by Ordinance
No. 2910 (Sixth Amendment), on January 2, 2006 by Ordinance No. 2956
(Seventh Amendment), on February 20, 2007 by Ordinance No. 2963 (Eighth
Amendment), and on July 21, 2009 by Ordinance No. 2999 (Ninth Amendment),
for the Business and Waterfront Improvement Project (the "BWIP"); and
WHEREAS, the property subject to the Community Improvement Plan is
referred to herein as the "Project Area"; and
WHEREAS, the Commission adopted Resolution No. 10-167 on June
15, 2010, approving and adopting the "Implementation Plan, Fiscal Years
2009/10-2013/14, Alameda Redevelopment Project Areas: Business and
Waterfront Improvement Project & West End Community Improvement Project"
dated March 2010 (the "Implementation Plan"); and
WHEREAS, the implementation Plan identified specific affordable
housing projects to be developed over the next five (5) years in the Project
Area, which includes development of a 19-unit multifamily affordable rental
housing on property located in the City of Alameda, commonly known as 2216
Lincoln Avenue (the "Property"), which the implementation Plan identified as
located outside the Project Area; and
WHEREAS, Section 333342(a) of the Redevelopment Law requires that
not less than twenty percent (20%) of all taxes allocated to a redevelopment
agency from a redevelopment project ("Housing Funds") be used for the
purpose of increasing, improving, and preserving the community's supply of
low- and moderate-income housing at affordable costs; and
WHEREAS, Section 33334.2(g) of the Redevelopment Law provides that
the Commission may use Housing Funds outside a project area if a finding is
WHEREAS, the OPA contemplates the c I c's disposition of the Site to
the Housing Authority by quitclaim deed (the "Quitclaim Deed ") and the Housing
Authority entering into a ground lease with Affordable Housing Developer to
facilitate development and operation of the Project on the Site; and
WHEREAS, pursuant to California Environmental Quality Act (CEQA),
the City, as the lead agency has undertaken the required analysis of the
environmental impacts of this project and based on its independent judgment
and based on substantial evidence in the record, finds the project to be exempt
from CEQA pursuant to California Public Resources Code Sections 21159.21,
21159.23 (exemption for affordable housing) and 21159.24 (exemption for infill
affordable housing), as welt as CEQA Guidelines section 15332 (infill
development projects). Furthermore, the project does not trigger any of the
exceptions in CEQA Guidelines section 15300.2 in that the project will not have
any significant effects due to unusual circumstances or any cumulatively
significant impacts and will not adversely impact any designated historic
resources; and
WHEREAS, pursuant to CRL section 33433, a summary report
pertaining to the conveyance of the Site dated December 2010 ('Summary
Report ") was prepared, which is attached to the CIC staff report for this action,
and is incorporated fully into this Resolution by this reference; and
WHEREAS, the CIC has made copies of the OPA, (including the
Quitclaim Deed referenced therein), a lease option agreement (the "Lease
Option Agreement "), and the Summary Report available for public inspection
and copying no later than the time of the first publication of the notice of the
public hearing; and
WHEREAS, the Summary Report contains a summary which describes
and specifies all of the following
(i) the costs to be incurred by the CIC under the OPA;
(ii) the estimated value of the interest to be conveyed, determined at
the highest and best use permitted under the Implementation Plan;
(iii) the estimated value of the interest to be conveyed in accordance
with the uses, covenants, and development costs required by the OPA;
(iv) an explanation of why the sale of the Site will assist in the
elimination of blight, with reference to all supporting facts and materials relied
upon in making this explanation;
(vi) an explanation of the difference between the compensation to be
paid to the CIC by the Housing Authority and the fair market value of the Site at
the highest and best use consistent with the Implementation Plan; and
WHEREAS, in accordance with CRL section 33433, on January 18,
2011, the CIC, the City Council, and the Housing Authority Board of
Commissioners held a joint public hearing to consider the approval of the OPA;
(including the Quitclaim Deed referenced therein), the Lease Option
Agreement, and related documents, after publishing notice of the public hearing
in accordance with CRL section 33433; and
WHEREAS, the CIC believes the OPA and the Quitclaim Deed are in the
best interests of the BWIP, the City of Alameda and the health, safety, morals
and welfare of its residents, and in accord with the public purposes and
provisions of applicable sate and local law and requirements; and
WHEREAS, the CIC has considered any written evidence and /or
testimony received in support of or in opposition to the OPA, the Quitclaim
Deed, and the Summary Report, as well as the entire record prepared by the
CIC and City staff.
NOW, THEREFORE BE IT RESOLVED, by the CIC as follows:
1. That the CIC hereby finds and determines that all recitals set forth
in this Resolution are true and correct and fully incorporated herein by this
reference.
2. That the 010 has reviewed and approves the Summary Report
3, That the CIC finds and determines that the consideration to be
received by the CIC for the sale of the Site is not less than fair reuse value at
the use and with the covenants and conditions and development costs
authorized by the OPA, the Lease Option Agreement, and the Quitclaim Deed,
for among other reasons, the reasons set forth in Sections 111 through V of the
Summary Report.
4. That the CIC finds and determines that the sale of the Site will
assist in the elimination of blight or provide housing for low-income or
moderate - income persons, for, among other reasons, the reasons set forth in
Section VI of the Summary Report.
5. That the CIC finds and determines that the sale of the Site and the
development of the Site in accordance with the OPA, (including the Quitclaim
Deed referenced therein), are consistent with the Implementation Plan.
made by resolution of the Commission and the City Council that such use will
be of benefit to the project; and
WHEREAS, the City adopted Resolution No. 13578 on May 6, 2003,
approving the use of Housing Funds from the Project Area for the purpose of
increasing, improving and preserving the community's supply of low- and
moderate-income housing available at affordable housing cost outside the
Project Area will be of benefit to the [B=1=]"; and
WHEREAS, the Commission adopted Resolution No. 03-112 on
April 7, 2003, approving the use of Housing Funds from the Project Area
outside the BWIP will be for the benefit of the BWIP; and
WHEREAS, the Commission has been designated as the official
redevelopment agency to carry out in the City of Alameda the functions and
requirements of Redevelopment Law and to implement the Community
Improvement Plan and Implementation Plan; and
WHEREAS, Section 33071 of the Redevelopment Law declares that a
fundamental purpose of redevelopment is to expand the supply of low- and
moderate-income housing; and
WHEREAS, the Commission desires to provide for the construction of a
19-unit affordable rental project on the Property; and
WHEREAS, pursuant to California Environmental Quality Act (CEQA),
the City, as the lead agency has undertaken the required analysis of the
environmental impacts of this project and based on its independent judgment
and based on substantial evidence in the record, the City finds the project to be
exempt from CEQA pursuant to California Public Resources Code Sections
2115921, 2115923 (exemption for affordable housing) and 21159.24
(exemption for infill affordable housing), as well as CEQA Guidelines Section
15332 (infill development projects). Furthermore, the project does not trigger
any of the exceptions in CEQA Guidelines section 15300.2 in that the project
will not have any significant effects due to unusual circumstances or any
cumulatively significant impacts and will not adversely impact any designated
historic resources.
NOW, THEREFORE BE IT RESOLVED, that the Commission hereby
authorizes use of Housing Funds from the Project Area in an amount not to
exceed One Million Four Hundred Thousand Dollars ($1,400,000) that will be
provided to a nonprofit affordable housing developer to be used solely for
development of the 19-unit affordable rental housing project on the Property.
Other funding that is committed to the project may reduce the Commission's
funding obligation for the 19-unit project accordingly.
BE IT FURTHER RESOLVED, that the Commission hereby authonzes
the Acting Executive Director or her designee to take such further actions and
execute and such necessary documents related to this loan transaction.
* * *
1, the undersigned, hereby certify that the foregoing Resolution was duly and
regularly adopted and passed by the Community Improvement Commission of the City of
Alameda in a Special Joint Meeting of the City Council, Community Improvement
Commission and the Housing Authority Board of Commissioners held on the 18th day of
January, 2011, by the following vote to wit:
AYES: Commissioners Bonta, deHaan, Johnson and Tam — 4.
NOES: None.
ABSENT: Chair Gilmore
ABSTENTIONS: None.
IN WITNESS, WHEREOF, I have hereunto set my hand and affixed the official seal of said
Commission this I 9th day of January, 2011.
Lara Weisiger, Secre
Community Improve o ission
Rob Bonta, Acting Chair
Community Improvement Commission