HomeMy WebLinkAboutItem No. 12 Five Year Extension of Time to Develop Housing Successor AgencyText File
City of Lake Elsinore 130 South Main Street
Lake Elsinore, CA 92530
www.lake-elsinore.org
File Number: ID# 17-390
Agenda Date: 10/24/2017 Status: Consent AgendaVersion: 1
File Type: ReportIn Control: City Council / Successor Agency
Agenda Number: 12)
Page 1 City of Lake Elsinore Printed on 10/19/2017
Page 1 of 3
REPORT TO CITY COUNCIL
To:Honorable Mayor and Members of the City Council
From:Grant Yates, City Manager
Prepared By: Barbara Leibold, City Attorney
Date:October 24, 2017
Subject:Five Year Extension of Time to Develop Housing Successor Agency
Affordable Housing Properties
Recommendation
adopt a Resolution of the City Council of the City of Lake Elsinore, California, Acting as the
Housing Successor Agency to the Redevelopment Agency of the City of Lake Elsinore,
Extending the Time Period in which Certain Property Must Be Developed for Affordable
Housing in Accordance with Health and Safety Code Section 33334.16
Background
Pursuant to Health & Safety Code (HSC) Section 33334.16, any agency acquiring real
property with affordable housing funds prior to February 1, 2012, “shall, within five years from
the date it first acquires the property interest for the development of housing affordable to
persons and families of low and moderate income, initiate activities consistent with the
development of the property for that purpose.” These activities may include, but are not
limited to, zone changes or agreements entered into for the development and disposition of
property.
The five-year time period, as described in HSC Section 33334.16, shall be deemed to have
commenced on the date that the Department of Finance approved the property as a housing
asset in the Low and Moderate-Income Housing Asset Fund (LMIHAF). Pursuant to Health
and Safety Code Section 33334.16, the Housing Successor Agency Board is authorized to
extend the deadline to initiate activities by an additional five years upon affirming the
intention to develop housing affordable to households of low and moderate income.
This action requests the City of Lake Elsinore, acting in the capacity as Housing Successor
Agency, approve the extension of the time period in which certain property must be
developed for affordable housing in accordance with HSC Section 33334.16.
Extension of Five-Year Time-Period for Former RDA Housing Assets
Page 2 of 3
Discussion
Parts 1.8 and 1.85 of the HSC, as modified by the Supreme Court’s opinion in California
Redevelopment Association, et al. v. Ana Matosantos, et al., Case No. S194861 and as
amended by Assembly Bill 1484 and other subsequent legislation (together, the Dissolution
Act) caused the dissolution of all California redevelopment agencies as of February 1, 2012
and established successor agencies to administer the winding down of the affairs of the
former redevelopment agencies.
As of and after February 1, 2012, all assets, properties, and contracts of the former
Redevelopment Agency of the City of Lake Elsinore (Agency) were transferred, by operation
of law, to the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore
(Successor Agency). On January 10, 2012, the City Council of the City of Lake Elsinore (City
Council) affirmatively voted to retain all housing assets and functions of the former Agency
and designate the City as Housing Successor Agency (Housing Successor Agency) in
accordance with the Dissolution Act.
Pursuant to HSC Section 33334.16, any agency acquiring real property with affordable
housing funds prior to February 1, 2012, “shall, within five years from the date it first acquires
the property interest for the development of housing affordable to persons and families of low
and moderate income, initiate activities consistent with the development of the property for
that purpose.” These activities may include, but are not limited to, zone changes or
agreements entered into for the development and disposition of property.
The five-year time period, as described in HSC Section 33334.16, shall be deemed to have
commenced on the date that the Department of Finance (DOF) approved any property as a
housing asset on the Successor Agency’s Housing Assets Transfer Form. The Successor
Agency received approval of its Housing Assets Transfer Form by the DOF on September
17, 2012. Therefore, the five-year deadline for the Housing Successor Agency, to initiate and
continue the aforementioned activities to develop the properties identified herein would have
expired on September 17, 2017, but for the proposed action to extend pursuant to HSC
33334.16.
HSC Section 33334.16 grants the Housing Successor Agency the authority to extend the
aforementioned deadline by an additional five years to September 17, 2022 and affirm the
intention to develop and provide housing affordable to households of low and moderate
income. The dissolution of the former Agency on February 1, 2012 eliminated a critical
financing tool, namely property tax increment, which severely halted any activities and
programs to maintain, preserve, and expand the development of affordable housing for low
and moderate-income housing families in the City.
Despite the loss of redevelopment, and as allowable under state law, the City has continued
to undertake activities to maintain, preserve, and expand the supply of affordable housing
within the City. In an effort to continue the current and future planning efforts of the City to
preserve and expand affordable housing opportunities for the community, it wishes to extend
the time frame authorized under existing law for the following properties (Properties):
Extension of Five-Year Time-Period for Former RDA Housing Assets
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Address of Property Original Date
of Acquisition
375-293-029 10/23/2009
375-293-030 10/23/2009
Chaney St at Morton Ave (APN 375-321-031)10/23/2009
Chaney St at Morton Ave (APN 375-321-032)10/23/2009
Chaney St at Morton Ave (APN 375-321-033)10/23/2009
Strickland Ave (APN 375-321-029)10/23/2009
Strickland Ave (APN 375-321-030)10/23/2009
Environmental Review
This item is not subject to CEQA review.
Fiscal Impact
There is no fiscal impact associated with the Housing Successor Agency adopting a
resolution extending the time period in which certain property must be developed for
affordable housing.
Exhibits
A - Resolution
B - Vicinity Map
RESOLUTION 2017- _____
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
LAKE ELSINORE, CALIFORNIA, ACTING AS HOUSING
SUCCESSOR TO THE REDEVELOPMENT AGENCY OF THE
CITY OF LAKE ELSINORE EXTENDING THE TIME PERIOD IN
WHICH CERTAIN PROPERTY MUST BE DEVELOPED FOR
AFFORDABLE HOUSING IN ACCORDANCE WITH HEALTH
AND SAFETY CODE SECTION 33334.16
WHEREAS, on December 29, 2011, the California Supreme Court rendered its decision
in California Redevelopment Association v. Matosantos, upholding ABx1 26 (“Dissolution Act”);
WHEREAS, as a result of the California Supreme Court’s decision, all redevelopment
agencies in the State of California, including the Redevelopment Agency for the City of Lake
Elsinore (former RDA) dissolved as of February 1, 2012;
WHEREAS, on January 10, 2012, the Lake Elsinore City Council adopted Resolution
No. 2012-001 accepting the City of Lake Elsinore’s role as Successor Agency to the former
RDA (Successor Agency);
WHEREAS, as of and after February 1, 2012 all assets, properties, and contracts of the
former RDA were transferred, by operation of law, to the Successor Agency;
WHEREAS, pursuant to the Dissolution Act, on January 10, 2012, the Lake Elsinore City
Council approved Resolution No. 2012-001 to elect to retain all housing assets and assume the
affordable housing functions of the former Agency as of February 1, 2012 as Housing
Successor Agency to the former RDA (Housing Successor Agency);
WHEREAS, the former RDA acquired seven (7) properties (Properties) with low and
moderate income housing funds prior to February 1, 2012 described as (1) 375-293-029,
(2) 375-293-030, (3) Chaney St at Morton Ave (APN 375-321-031), (4) Chaney St at Morton
Ave (APN 375-321-032), (5) Chaney St at Morton Ave (APN 375-321-033), (6) Strickland Ave
(APN 375-321-029), and (7) Strickland Ave (APN 375-321-030);
WHEREAS, pursuant to Health & Safety Code (HSC) Section 33334.16, any agency
acquiring real property with affordable housing funds prior to February 1, 2012, “shall, within five
years from the date it first acquires the property interest for the development of housing
affordable to persons and families of low and moderate income, initiate activities consistent with
the development of the property for that purpose.” These activities may include, but are not
limited to, zone changes or agreements entered into for the development and disposition of
property;
WHEREAS, the five-year time period, as described in HSC Section 33334.16, shall be
deemed to have commenced on the date that the Department of Finance approved the property
as a housing asset in the Housing Asset Transfer Form, which was on September 17, 2012;
WHEREAS, pursuant to Health and Safety Code Section 33334.16, the Housing
Successor Agency Board is authorized to extend the deadline to initiate activities by an
additional five years upon affirming the intention to develop housing affordable to households of
low and moderate income; and
RESOLUTION 2017-__
PAGE 2
WHEREAS, all other legal prerequisites to the adoption of this Resolution have
occurred.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE
ACTING AS THE HOUSING SUCCESSOR AGENCY DOES HEREBY RESOLVE,
DETERMINE AND ORDER AS FOLLOWS:
SECTION 1.The Recitals set forth above are true and correct and incorporated herein
by reference.
SECTION 2.The City Council hereby extends the time-period in which certain property
must be developed for affordable housing in accordance with HSC Section 33334.16.
SECTION 3.The City Council hereby authorizes and directs staff to take all actions
necessary under the Dissolution Act for approval of the transfer of the aforementioned
Properties.
SECTION 4.The Mayor shall sign this resolution, and the Clerk shall attest and certify
to the passage and adoption thereof.
SECTION 5.If any provision of this Resolution or the application thereof to any person
or circumstance is held invalid, such invalidity shall not affect other provisions or applications of
this Resolution which can be given effect without the invalid provision or application, and to this
end the provisions of this resolution are severable. The City hereby declares that it would have
adopted this Resolution irrespective of the invalidity of any particular portion thereof.
SECTION 6.This Resolution shall take effect immediately upon its adoption.
PASSED AND ADOPTED this 24th day of October 2017.
____________________________
Robert E. Magee
Mayor
ATTEST:APPROVED AS TO FORM:
________________________________________________________
Susan M. Domen, MMC Barbara Leibold
City Clerk City Attorney
RESOLUTION 2017-__
PAGE 3
STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss.
CITY OF LAKE ELSINORE )
I, Susan M. Domen, MMC, City Clerk of the City of Lake Elsinore, California, do hereby certify
that Resolution No. ___________ was adopted by the City Council of the City of Lake Elsinore,
California, at the regular meeting of _____________________, and that the same was adopted
by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Susan M. Domen, MMC
City Clerk
21
54 3 CHANEY STLAKESHORE DR
HOUSING PROPERTIES
CITY OF LAKE ELSINORE
Prepared by:City of Lake Elsinore GISOctober 11, 2016Data Sources:City of Lake Elsinore GISCounty of Riverside GIS
±
Housing Properties
ID APN
1 375293029
2 375293030
3 375321031
4 375321032
5 375321033´