1999-10-06 Special ARRA JT CC MinutesAPPROVED
MINUTES OF THE SPECIAL JOINT MEETING OF THE CITY COUNCIL,
ALAMEDA REUSE AND REDEVELOPMENT AUTHORITY.
COMMUNITY IMPROVEMENT COMMISSION AND HOUSING
AUTHORITY BOARD OF COMMISSIONERS
Wednesday, October 6, 1999
The meeting convened at 6:05 pm with Chair Appezzato presiding.
PUBLIC PARTICIPATION
There were no speakers on this item.
ROLL CALL
AGENDA ITEM
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1. Recommendation to approve Memorandum of Understanding by and among Alameda
Reuse and Redevelopment Authority, the Community Improvement Commission of the
City of Alameda, the Housing Authority of the City of Alameda, the City of Alameda, the
County of Alameda and Point Collaborative for disposition of 125 Barracks Units and 97
Family Housing Units at Alameda Point.
Discussion
Member Daysog expressed today is a day that was a long time in the making and represents the
spirit of compromise and real community building. This effort is not just for the Collaborative,
but for the community as a whole so that there is a creative community together. Member
Daysog indicated this is what public service is about for him, by joining his fellow colleagues
and Councilmembers and crafting solutions for helping people in communities who are in need.
This is a fruit of all of our efforts and above all, patience. There are not many opportunities to do
something like this and the Board has been prudent in its decision making of this effort thus far.
It is great to see that not only are homes being built at Alameda Point for the middle class, but we
are expanding our opportunities for families in need, which is something to be proud of.
Member Daysog stated that after all units have been accounted for, there are some units left over
and there will continue to be policy discussions as to what to do with those units. Some of the
issues being raised in the City Proper, regarding the need for work force housing, provides us an
opportunity to look at what we can do there so we are servicing a wide gamut of people in need.
From very, very -low income, to low - income to moderate - income and to middle - class. Member
Daysog expressed his appreciation for being part of this process and looks forward to voting.
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Mayor Appezzato indicated the Board received a letter from Congresswoman Barbara Lee
expressing her support in what they are doing. Both Sandre Swanson and Roberta Brooks could
not make it and they have been with the Board since 1993.
Councilmember Daysog moved approval of the recommendation. Motion was seconded by
Alternate Member Friedman. Motion passed by the following voice votes: Ayes - 19;
Nayes - 4. Abstentions - 0.
Discussion
Alternate Member Leonhardy asked the Assistant City Attorney, Terri Highsmith if it was her
understanding that upon the demolition of the existing 39 East Housing units, the City and the
CIC have an absolute obligation to fund and the Housing Authority has an absolute obligation to
construct the 39 units, provided the Collaborative has complied with their fund raising
obligations?
Attorney Highsmith responded yes, that is correct.
Alternate Member Leonhardy asked what are the fallback locations for the replacement housing
in the event of the demolition of those 39 housing units?
Attorney Highsmith responded in the event that the early demolition option for the City is
exercised, the two sites where the units may be located are either at the primary site, which will
require some environmental remediation prior to its ability to be used; or the secondary site,
which does not require environmental remediation. If the early demolition option is exercised
and the primary site is not available by June 30, 2003, then the secondary site would be used.
Alternate Member Leonhardy asked if there was no environmental remediation at the secondary
site?
Attorney Highsmith responded that is correct. There are not any that we are aware of.
Alternate Member Leonhardy asked if the Housing Authority would begin construction by July
1, 2003 or upon the obligation of the Collaborative contribution, whichever is later?
Attorney Highsmith responded yes, that is correct.
Member Kerr stated there are two purposes that the City wanted about the MOU: one was to
eliminate the demand for the 125 barracks units from the Homeless Collaborative and to pay
them some money for them. The second was to move the Homeless Collaborative out of East
Housing so that all of East Housing could be redeveloped in conjunction with the residential area
of FISC. This contract runs for 59 years and the City's property tax will go up significantly.
Some of the payments are coming out of the Alameda Point 20% set aside fund, which will be
used to pay the infrastructure fees, which would noiuially be used to pay for affordable housing.
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A good of example of what the 20% could be used for is Independence Plaza, which is what was
used to pay for this structure. Regarding the 39 units, there would be $2 million from the
Catellus' land sales, which is money that would come to the City to be reinvested in redeveloping
the base. The $2.7 million would be for inclusionary fees. Inclusionary fees are normally used
for home ownership opportunities for people in Alameda. There is a great demand for workforce
housing in the City. The demolition of East Housing has been voiced by advocates of workforce
housing. To make this swap we are spending an awful lot of money, which would normally
provide for future workforce housing.
Member Johnson expressed this (MOU) is as a result of a series of negotiations which the City,
ARRA and other entities have been involved with. It was at the request that changes be made to
serve our goals and the people of the collaborative, better than the original plan. This puts in
place what we authorized staff to go forward on. We benefit, the Homeless Collaborative
benefits, new housing will be built and it serves the interest of many people. Member Johnson
stated she intends to support the plan.
Member Daysog stated that in terms of the whole conundrum of workforce housing in the City of
Alameda, is that we are talking about a population who are in need of affordable housing, but
whose incomes are a little above of what we want to constitute low income and even moderate
income. There are few available workforce funds that help these families. When we are talking
about workforce housing, we are not talking about low income or moderate income in California
or by HUD. Even if we wanted to use the low income 20% set aside income at Alameda Point
which Member Kerr spoke about, there would be still some degree of difficulty in targeting
workforce housing, which will require a completely different set of solutions. The 20% set aside
is required by law for a redevelopment area to set aside of the property tax increment for
affordable housing. The special circumstances involving Alameda Point according to AB3129,
making the set aside dollar 20% for homeless families, qualifies as what is understood for low or
very low income families. We are meeting the requirements narrowly defined by law and
broadly defined by what the communities want. In terms of workforce housing, there are
different solutions which will have to be looked at.
Member Kerr voiced there are school teachers that fall into the low - income category because
there are some school teachers who make only $31,000 a year. Almost all of the moderate -
income people are people with jobs, who are not able to make enough to be under that moderate
income. Moderate income is not people who are in poverty, but need some help in their housing
needs. Moderate inclusionary fees will have an impact on our ability to provide housing for our
workforce.
Mayor Appezzato stated that maybe the City can take an action to accommodate the moderate
income and we will look forward to doing that in the future.
Member DeWitt referenced the portion of the MOU, which agreed to pay for public service fees.
Organizations that were supported by HUD grants have paid public fees. Public services are
used to pay for police, fire, sewer pipes and whatever else is needed to make an area grow.
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Member DeWitt expressed his congratulations to the negotiators who were able to get a publicly
supported organization to take from some of their money, to help pay for police and fire services
in the area. It may not be the amount of needs just as property taxes does not pay for all the
schools, but at least it shows the public they are willing to help pay their way through. Member
DeWitt thanked the Homeless Collaborative for paying for some of these services and the
taxpayers will be very satisfied with this.
Mayor Appezzato indicated the Board and staff has been working on this since 1993. When base
closure was announced, it was known that it was federal law and in 1994 this City took the lead
in the federal law, the Community Assistance Act, which brought us the Homeless Collaborative,
being able to deal with one group. The BRAG and Housing Sub - committee was created at this
time. The BRAG, the ARRA and the City Council have come a long way together, getting to
this point. A lot of the credit should go to Senator Feinstein's office for taking the lead on this.
Hopefully it would be a success story that we can all be proud of.
ROLL CALL VOTE
City Council: Councilmembers Daysog, DeWitt, Johnson - Aye; Mayor Appezzato - Aye;
Councilmember Kerr - Nay.
Ayes - 4; Nayes -1. Abstentions - 0.
Alameda Reuse and Redevelonment Authority: Members Daysog, DeWitt, Johnson - Aye;
Chair Appezzato -Aye; Alternate Members Leonhardy, Ornelas and Friedman - Aye;
Member Kerr - No.
Ayes - 7; Nayes -1. Abstentions - 0.
Community Improvement Commission: Commissioners Daysog, DeWitt, Johnson - Aye;
Mayor Appezzato - Aye; Commissioners Member Kerr - Nay.
Ayes - 4; Nayes -1. Abstentions - 0.
Housing Authority Board of Commissioners: Commissioners Daysog, DeWitt, Johnson -
Aye; Mayor Appezzato - Aye; Commissioners Kerr - Nay.
Ayes - 4; Nayes -1. Abstentions - 0.
ADJOURNMENT
The meeting was adjourned at 6:25 p.m.
Respectfully,
Lu retia Akil
ARRA Secretary
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