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Resolution 14540CITY OF ALAMEDA RESOLUTION NO. I 4 0 APPROVING (1) THE DISPOSITION OF CERTAIN PROPERTY OWNED BY THE COMMUNITY IMPROVEMENT COMMISSION OF THE CITY OF ALAMEDA ( "CIC ") AT NOT LESS THAN ITS FAIR REUSE VALUE IN CONNECTION WITH DEVELOPMENT OF AN AFFORDABLE RENTAL HOUSING PROJECT ON THE SITE, AND (2) MAKING CERTAIN FINDINGS WITH RESPECT TO THE DISPOSITION OF SUCH PROPERTY WHEREAS, the CIC is engaged in activities necessary to carry out and implement the Community Improvement Plan for the Business and Waterfront Improvement Project (the "BWIP "); and WHEREAS, the CIC has adopted the five -year Implementation Plan covering Fiscal Years 2009/10 - 2013114 for the BVVIP (the "Implementation Plan "); and WHEREAS, among other things, the Implementation Plan provides for the implementation of certain activities necessary or appropriate to carry out the objectives of the Community Improvement Plan in accordance with Community Redevelopment Law of the State of California (Health and Safety Code Section 33000 et seq.) ('CRL "), and WHEREAS, the CIC owns certain real property within the City of Alameda, commonly known as 2216 Lincoln Avenue (the "Site "), which is outside the BWIP; and WHEREAS, the Implementation Plan identified specific affordable housing projects to be developed over the next five (5) years, including development of a 19 -unit multifamily affordable rental housing on the Site; and WHEREAS, CIC staff has negotiated an Owner Participation Agreement ('OPA") with the Housing Authority, Satellite Housing, and HCEB, wherein Satellite Housing and HCEB (jointly, "Affordable Housing Developer ") has agreed to develop, construct and operate a 19 -unit multifamily affordable rental housing (the "Project ") on the Site, comprised of eighteen (18) units for very -low income residents and one (1) unit for a moderate income, resident manager; and WHEREAS, the OPA contemplates the CIC's disposition of the Site to the Housing Authority by quitclaim deed (the "Quitclaim Deed ") and the Housing Authority entering into a long -- term ground lease with Affordable Housing Developer for development and operation of the Project on the Site pursuant to a lease option agreement (the "Lease Option Agreement"); 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 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; 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 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), 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 CAL section 33433, on January 18th, 2011, the 010, 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 City Council 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 City Council has considered any written evidence and /or testimony received in support of or in opposition to the OPA (including the Quitclaim Deed referenced therein), the Lease Option Agreement, and the Summary Report, as well as the entire record prepared by the CIC and City staff. NOW, THEREFORE BE IT RESOLVED, by the City Council, as follows: 1. That the City Council 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 City Council has reviewed and approves the Summary Report. 3. That the City council 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 and the Lease Option Agreement, among other reasons, the reasons set forth in Sections 111 through V of the Summary Report. 4. That the City Council 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 City Council finds and determines that the sale of the Site and the development of the Site in accordance with the OPA, the Quitclaim Deed, and Lease Option Agreement, are consistent with the Implementation Plan. 6. That the City council hereby approves the sale of the Site to the Housing Authority in accordance with the OPA and the Quitclaim Deed referenced therein. 1, the undersigned, hereby certify that the foregoing Resolution was duly and regularly adopted and passed by the Council of the city of Alameda during the Special Joint Meeting of the City Council, Community Improvement Commission and the Housing Authority Board of Commissioners on the 18th day of January, 2011, by the following vote to wit: AYES: Councilmembers Bonta, deHaan, Johnson and Tam - 4. NOES: None. ABSENT: Mayor Gilmore - 1. ABSTENTIONS: None. IN WITNESS, WHEREOF, 1 have hereunto set my hand and affixed the official seal of said City this 19th day of January, 2011. Lara Weisiger, City City of Alameda