2011-01-18 Joint CC CIC HABOC Minutes
MINUTES OF THE SPECIAL JOINT CITY COUNCIL,
COMMUNITY IMPROVEMENT COMMISSION (CIC), AND HOUSING
AUTHORITY BOARD OF COMMISSIONERS (HABOC) MEETING
TUESDAY- -JANUARY 18, 2011- -6:59 P.M.
Acting Mayor/Chair Bonta convened the meeting at 7:02 p.m. Councilmember /
Commissioner deHaan led the Pledge of Allegiance.
ROLL CALL – Present: Commissioner Allen and Councilmembers /
Commissioners deHaan, Johnson, Tam and Acting
Mayor/Chair Bonta – 5.
Absent: Mayor/Chair Gilmore – 1.
MINUTES
(HABOC/11-001 CIC) Minutes of the Special Board of Commissioners Meeting held
October 19, 2010. Acceptance is recommended. Minutes of the Special Joint City
Council and CIC Meeting Held on December 21, 2010. Approved.
Commissioner deHaan moved approval of the minutes.
Commissioner Johnson seconded the motion, which carried by the following voice vote:
December 21, 2010 Minutes: Ayes: Commissioners deHaan, Johnson and Tam – 3.
Abstention: Acting Chair Bonta – 1. Absent: Chair Gilmore – 1. The minutes of the
October 19 Minutes were not adopted due to lack of affirmative votes: Ayes:
Commissioners deHaan and Johnson – 2. Abstentions: Commissioners Allen, Tam and
Acting Chair Bonta - 3. Absent: Chair Gilmore – 1.
AGENDA ITEM
(11-024 CC) Public Hearing to Consider: 1) Recommendation to Find the Project
Located at 2216 Lincoln Avenue to be Exempt from the California Environmental Quality
Act (CEQA) Pursuant to California Public Resources Code Section 21159.21, 21159.23,
and 22159.24, as well as CEQA Guidelines Section 15332;
(11-024A CC) Recommendation to Approve the Summary Report Pursuant to Section
33433 of the California Community Redevelopment Law for an Owner Participation
Agreement (OPA) between the CIC, Housing Authority, Satellite Housing and Housing
Consortium of the East Bay (HCEB) and a Lease Option Agreement between the
Housing Authority, Satellite Housing and HCEB;
(11-002 CIC) Recommendation to Approve the Summary Report Pursuant to Section
33433 of the California Community Redevelopment Law for an OPA between the CIC,
Housing Authority, Satellite Housing and HCEB and a Lease Option Agreement
between the Housing Authority, Satellite Housing and HCEB;
Special Joint Meeting
Alameda City Council, Community
Improvement Commission, and Housing
Authority Board of Commissioners 1
January 18, 2011
(11-002A CIC) Recommendation to Authorize Conveyance by Quitclaim Deed of the
Property Located at 2216 Lincoln Avenue for Construction of 19 Units of Affordable
Rental Housing to the Housing Authority;
(HABOC) Recommendation to Accept the Property Located at 2216 Lincoln Avenue via
a Quitclaim Deed from the CIC;
(HABOC) Recommendation to Approve a Lease Option Agreement and Authorize the
Acting Chief Executive Officer to Execute a 75-Year Ground Lease Based on the Lease
Option with Satellite Housing and HCEB and an OPA and Other Related Documents
between the Housing Authority, CIC, Satellite Housing and HCEB;
(11-002B CIC) Recommendation to Approve and OPA and Authorize the Acting
Executive Director to Execute an OPA and Other Related Documents with Satellite
Housing, HCEB and the Housing Authority; and
(11-002C CIC) Recommendation to Approve an Appropriation of $1.4 Million from the
Business and Waterfront Improvement Project (BWIP) Affordable Housing Fund
Balance to Housing Project Development Funds;
(11-024B CC) Resolution No. 14540, “Approving (1) the Disposition of Certain Property
Owned by the CIC of the City of Alameda 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.”
Adopted;
(11-002D CIC) Resolution No. 11-173, “Approving (1) an OPA for Development of
Affordable Rental Housing, and (2) the Disposition of Certain Property Owned by the
CIC at Not Less Than its Fair Reuse Value in Connection With Development of an
Affordable Rental Housing Project on the Site, (3) Making Certain Findings With
Respect to the Disposition of Such Property, and (4) Authorizing the Executive Director
to Execute the OPA and a Quitclaim Deed to Convey Such Property to the Housing
Authority.” Adopted;
(HABOC) Resolution No. 825, “Authorizing the Acting Chief Executive Officer to
Execute (1) An OPA Among the Housing Authority, CIC, Satellite Housing and HCEB,
(2) A Lease Option Agreement Among the Housing Authority, Satellite Housing and
HCEB, and (3) to Accept a Quitclaim Deed From the CIC for the Project Site.” Adopted;
and
(11-002E CIC) Resolution No. 11-174, “Approving the Use of Housing Funds to Pay a
Portion of the Costs of Development of a 19-Unit Affordable Rental Project within the
City of Alameda on Certain Property Commonly Known as 2216 Lincoln Avenue.”
Adopted.
The Housing Department Executive Director; Dori Kojima, Satellite Housing Executive
Director; and Darin Lounds, HCEB Executive Director, gave a Power Point presentation.
Special Joint Meeting
Alameda City Council, Community
Improvement Commission, and Housing
Authority Board of Commissioners 2
January 18, 2011
Councilmember/Commissioner Johnson inquired whether an Satellite Housing would be
allowed to assign rights and obligations without prior written consent of the City.
The Housing Development and Programs Manager responded assigned rights and
obligations could only be given to a new, single entity associated with Satellite Housing
and HCEB.
Councilmember/Commissioner Johnson stated Satellite Housing and HCEB would have
the ability to assign the Lease Option Agreement (LOA) before [the City gives] prior
written consent.
The Development Services Division Manager stated language could be added to the
LOA.
The Housing Department Executive Director stated said language would be added to
the LOA.
Councilmember/Commissioner Tam inquired how varying loan terms would be factored
in when determining rental rates; further inquired whether the Housing and Urban
Development Department (HUD) would control rates.
Ms. Kojima responded the HUD Section 811 program provides federal dollars
calculated per unit; stated a long-term HUD operating subsidy would ensure that
enough funds would include enough funds to ensure proper maintenance and
management; tenants would pay 30% of adjusted monthly income; HUD 811 would not
require repayment of the loan as long as affordability is maintained; rental rates would
not be affected by financing.
Councilmember/Commissioner Tam inquired whether 30% of adjusted gross income
would cover various loans given varying terms and interest rates.
Ms. Kojima responded most sources are soft debt; stated loans would not require
repayment during the operation of the development unless the project has excess cash;
HUD would provide operational subsidy up to the amount of the operating budget; a
development does not usually have excess cash because HUD controls the operating
amount.
Councilmember/Commissioner Johnson inquired whether [LOA] renewal would be
automatic.
The Housing Development and Programs Manager responded a six-month extension
would apply if the lease is not executed.
In response to Councilmember/Commissioner’s Johnson request to review the LOA
Special Joint Meeting
Alameda City Council, Community
Improvement Commission, and Housing
Authority Board of Commissioners 3
January 18, 2011
language stating that the original term would be automatically renewed unless the
optionee gives 30 days notice prior to the end of the renewal period, the Acting City
Attorney/Legal Counsel stated language would be corrected to reflect there is only one
renewal.
Proponents: Laura Thomas, Renewed Hope Housing Advocates; Kathryn Neale
Manalo, Alameda; Gary Struthers, Alameda; Mary and Marissa Erikson, Alameda; Art
Kurrash, Housing Commission; Kelly Harp, Community Resources for Independent
Living; Audrey Lord-Hausman, Alameda; and Mara Bearse, Regional Center of the East
Bay.
Councilmember/Commissioner deHaan stated the process has been very fast.
The Housing Department Executive Director stated tours were conducted in 2009; the
transfer started in June 2010; in July 2010, the City Council approved the sale of the
property, and the CIC approved the purchase; the CIC purchased the property in
September 2010.
Councilmember/Commissioner deHaan commended everyone for efforts made; stated
the process has been quite impressive.
Councilmember/Commissioner Tam expressed her appreciation for bundling everything
so quickly; stated the current $1.4 million in redevelopment funds may not be available
next year; the location is ideal for a project that is sorely needed.
Councilmember/Commissioner Tam moved approval of the staff recommendation with
amendments to the LOA outlined by Councilmember/Commissioner Johnson [regarding
assigning rights and renewal].
Councilmember/Commissioner deHaan seconded the motion.
Councilmember/Commissioner Johnson thanked everyone for their work on the project;
stated purchasing the parking lot was not an easy task; that she hopes building would
start soon.
Acting Mayor/Chair Bonta stated the proposed project is important from an affordable
housing and community standpoint.
On the call for the question, the motion carried by unanimous voice vote – 5. [Absent:
Mayor/Chair Gilmore – 1.]
ADJOURNMENT
There being no further business, Acting Mayor/Chair Bonta adjourned the meeting at
Special Joint Meeting
Alameda City Council, Community
Improvement Commission, and Housing
Authority Board of Commissioners 4
January 18, 2011
7:42 p.m.
Respectfully submitted,
Lara Weisiger, City Clerk
Secretary, CIC
The agenda for this meeting was posted in accordance with the Brown Act.
Special Joint Meeting
Alameda City Council, Community
Improvement Commission, and Housing
Authority Board of Commissioners 5
January 18, 2011