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01 & 14 (237) Jennifer L. Hall From:Cynthia Guerra <cynthiag@kennedycommission.org> Sent:Tuesday, April 27, 2021 5:06 PM To:City Clerk Cc:Public Comment; Cesar C; paul.mcdougall@hcd.ca.gov; Megan.Kirkeby@hcd.ca.gov Subject:Letter of re: City Council Agenda Items 1, 3, 14, 27 (4.27.2021) Attachments:Ltr_Anaheim_ City Council Item 1 & 14 _4.27.2021.pdf; Ltr_Anaheim_ City Council Item 3 & 27_4.27.2021.pdf Hi, Please find the attached letter on behalf of the Kennedy Commission addressing the following item on today's Anaheim City Council meeting agenda (4.27.2021): Item 1 and 14: COOPERATIVE AGREEMENT BETWEEN THE CITY OF ANAHEIM AND  ANAHEIM BALLET FOR THE POTENTIAL ACQUISITION OF THE EXISTING CULTURAL ARTS BUILDING OR LEASE OF A REPLACEMENT SITE Item 3: RESOLUTION OF THE ANAHEIM HOUSING AUTHORITY REGARDING ITS  INTENTION TO ISSUE TAX-EXEMPT OBLIGATIONS FOR CENTER OF HOPE PERMANENT SUPPORTIVE HOUSING APARTMENTS Item 27: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM ADOPTING A  RESOLUTION PURSUANT TO SECTION 147(f) OF THE INTERNAL REVENUE CODE OF 1986 APPROVING THE ISSUANCE OF BONDS BY THE ANAHEIM HOUSING AUTHORITY FOR CENTER OF HOPE PERMANENT SUPPORTIVE HOUSING APARTMENTS Please confirm receipt of this email and let me know if you have any questions. Thank you, Cynthia Guerra Cynthia Guerra The Kennedy Commission Policy Analyst Pronouns: She/Her/Ella 1 April27, 2021 www.kennedycommission.org 17701 Cowan Ave., Suite 200 Irvine, CA 92614 Mayor Harry Sidhu and City Council Members 949 250 0909 City of Anaheim 200 S. Anaheim Boulevard Anaheim, CA 92805 RE: Item 1 & 14 Cooperative Agreement Between the City of Anaheim and Anaheim Ballet for The Potential Acquisition of the Existing Cultural Arts Building or Lease of a Replacement Site Dear Mayor Harry Sidhu and Council Members: The Kennedy Commission (the Commission), a broad-based coalition of residents and community organizations, advocates for the production of homes affordable for families earning less than $27,000 annually in Orange County. Formed in 2001, the Commission has successfully partnered and worked with Orange County jurisdictions to create effective housing and land-use policies that have led to the new construction of homes affordable to lower-income working families. As the Council considers whether to approve the acquisition of the Cultural Arts Building (the Property) by the Anaheim Ballet or to assist the Ballet in relocating to an alternative site, the Commission strongly urges the Council prioritize the Property for affordable housing. Given that the City has failed to meet its lower income RHNA needs during the current Housing Element Planning Period (2014-2021) and over production at the above moderate income level, the City needs to prioritize all City-owned sites for the production of affordable housing. For the 2014-2021 Housing Element planning period, the City has a Regional Housing Needs Assessment (RHNA) of 1,256 very low- and 907 low-income households. To-date, the City has built 308 or 25% of the 1,256 very low-income units and 160 or 18% of the 907 low-income 1 units. However, for the above moderate-income units, the City outperformed and exceeded the 2 RHNA by constructing 7,644 or 306% of the 2,501 above moderate-income RHNA. The City has a remaining RHNA need of 1,695 lower income homes for the current planning period. The need to prioritize the production of new RHNA allocations for the 2021-2029 Housing Element planning period. T RHNA allocation for the very low and low income level for the upcoming planning period are 3 3,767 and 2,397, respectively. That is a total of 6,164 lower income homes, which is almost three times larger than the previous lower income RHNA allocation. The City has a track-record of prioritizing above moderate housing on housing opportunity sites. For example, in 2019,the City approved a 20-acre residential development at the above moderate income level in the Residential Given the excessive use of housing opportunity sites for the Opportunity Overlay Zone. development of above moderate homes, the City must prioritize City-owned land, like the Cultural Arts Building, for affordable housing. 1 Annual Housing Element Progress Report, March 22, 2021. 20 Annual Housing Element Progress Report, March 22, 2021. 2 3 https://scag.ca.gov/sites/main/files/file-attachments/6th-cycle-rhna-proposed-final- allocation-plan.pdf?1614911196 Working for systemic change resulting in the production of homes affordable to -income households April 27, 2021July 30, 202030, 2020y 30, 2020 Page 2 of 2 Affordable homes are urgently needed for lower income residents given the increasing cost of housing in Orange County. The County is consistently ranked among the top ten least affordable 4 metropolitan areas in the country. A resident must earn at least$42.62 per hour to afford a two- 5 bedroom apartment at a fair market rent. Based on this figure, the approximate annual income a resident must have to afford housing in Orange County is $81,830. 40. This income is unrealistic for lower income families. According to the California Housing and Community Development for a family of four at the extremely low 6 income level is $38,450 and $64,050 at the very low income level. These figures demonstrate that the residents most unable to afford housing in Orange County are the residents at the extremely low We look forward to working with the City of Anaheim to encourage effective housing policies that will help create balanced housing development and create much-needed affordable housing in our local communities. If you have any questions, please feel free to contact me at (949) 250-0909 or cesarc@kennedycommission.org. Sincerely, Cesar Covarrubias Executive Director cc: Ms. Megan Kirkeby, Deputy Director, Housing Policy Development, CA HCD Mr. Paul McDougall, Housing Manager, CA HCD Out of Reach 2020- The High Cost of Housing, National Low Income Housing Coalition, p.17, 2021. 4 5 Out of Reach 2020- The High Cost of Housing, National Low Income Housing Coalition, p.17, 2021. 6