ARA-2006-007
RESOLUTION NO. ARA2006-007
A RESOLUTION OF THE ANAHEIM REDEVELOPMENT AGENCY
ADOPTING AN AMENDMENT TO THE 2005-2009 IMPLEMENTATION
PLAN FOR THE ANAHEIM MERGED REDEVELOPMENT PROJECT
WHEREAS, the City of Anaheim has an existing Merged Redevelopment Project Area
consisting of the Alpha Redevelopment Project Area, River Valley Project Area, Plaza
Redevelopment Project Area, Commercial/Industrial Redevelopment Project Area, West Anaheim
Redevelopment Project Area, and the Stadium Redevelopment Project Area ("Anaheim Merged
Project Area"); and
WHEREAS, the Anaheim Redevelopment Agency ("Agency") is vested with the responsibility
. to carry out activities within the Anaheim Merged Project Area; and
WHEREAS, Califomia Community Redevelopment Law ("CRL") Subsection 33490(a) (1) (A)
requires that:
On or before December 31, 1994, and each five years thereafter, each
redevelopment agency that has adopted a redevelopment plan prior to December
31, 1993, shall adopt, after a public hearing, an implementation plan that shall
contain the specific goals and objectives of the agency for the project area, the
specific programs, including potential projects, and estimated expenditures proposed
to be made during the next five years, and an explanation of how the goals and
objectives, programs and expenditures will eliminate blight within the project area
and implement the requirements of Section 33333.10, if applicable, and Sections
33334.2, 33334.4, 33334.6 and 33413 of the CRL; and
WHEREAS, on December 14, 2004, the Agency, by Resolution No.ARA2004-15, adopted
its 2005-2009 Implementation Plan for the Merged Project Area; and
WHEREAS, the "Affected Redevelopment Plans" for the Anaheim Merged Project Area
consist of the redevelopment plans, as previously amended, prepared for the Alpha Redevelopment
Project, River Valley Redevelopment Project, Plaza Redevelopment Project, Commercialllndustrial
Redevelopment Project, and the BrookhurstArea of the West Anaheim Redevelopment Project; and
WHEREAS, the Agency has initiated proceedings to consider amendments to the Affected
Plans ("Amendments") with the primary objectives of such Amendments to include: (1) amendments
to the Affected Plans, which plans along with all other plans that constitute the Anaheim Merged
Redevelopment Project, into a single, cOnsolidated redevelopment plan called the "Amended and
Restated Redevelopment Plan for the Anaheim Merged Redevelopment Projecf' and
(2) amendments to the Affected Plans only in accordance with Section 33333.1 0(a)(1) and (2) of the
CRL to extend the time limits on plan effectiveness and the repayment of indebtedness and receipt
1
of tax increment revenues by ten (10) years for such constituent Affected Plans of the Anaheim
Merged Redevelopment Project in order to eliminate existing blighting conditions and to increase,
improve, and preserve affordable housing opportunities; and
WHEREAS, in connection with the proposed Amendments and pursuant to CRL Section
33333.11 (c)(7), an amendment to the 2005-2009 Implementation Plan was prepared to reflect the
increase from 20 percent to 30 percent of all taxes that are allocated to the Agency from the
Anaheim Merged Project Area be deposited into the Agency's Low and Moderate Income Housing
Fund pursuant to CRL Sections 33333.10(g), 33334.2, st seq., and 33334.6, et seq., In order to
increase, improve, and preserve affordable housing opportunities; and
WHEREAS, CRL Section 33490 (a) (B) provides that adoption of an implementation plan
shall not constitute a project within the meaning of Section 21000 of the Public Resource Code;
therefore, no CEQA compliance is required prior to approval and adoption of the amendment to the
2005-2009 Implementation Plan for the Anaheim Merged Project Area; and
WHEREAS, as required by CRL Section 33490, a public hearing was held by the AQency on
August 22,2006, in the City Council Chambers, City Hall, 200 South Anaheim Boulevard, Anaheim,
California, to consider and act on the adoption of the amendment to the 2005-2009 Implementation
Plan, and the testimony of all persons interested in the matter was heard; and
WHEREAS, notice of the public hearing was published in the Los Angeles limes Newspaper
(Orange County Edition) and Anaheim Bulletin Newspaper and was posted in at least four (4)
permanent places within the Merged Project Area, as required by CRL Section 33490; and
WHEREAS, the proposed amendment to the 2005-2009 Implementation Plan, together with
all information pertaining thereto, was made available for publiC inspection prior to the public
hearing; and
WHEREAS, all legal prerequisites to the adoption of this Resolution have occurred.
2
NOW, THEREFORE, THE GOVERNING BOARD OF THE ANAHEIM REDEVELOPMENT
AGENCY DOES HEREBY RESOLVE AS FOllOWS:
Section 1. Pursuant to CRL Sections 33333.11 (c)(7) and 33490, the Agency hereby adopts
the amendment to the 2005-2009 Implementation Plan for the Anaheim Merged Project Area,
attached hereto and incorporated herein by this reference.
THE FOREGOING RESOLUTION IS PASSED, APPROVED AND ADOPTED BY THE
GOVERNING BOARD OF THE ANAHEIM REDEVELOPMENT AGENCY THIS TWENTYSECOND
(22N~ DAY OF AUGUST, 2006, BY THE FOllOWING ROll CALL VOTE:
AYES: Chairman Pringle, Agency Members Sidhu, Hernandez, Galloway, Chavez
NOES: None
ABSENT: None
ABSTAIN: None
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[ ATTACHMENT]
AMENDMENT TO THE 2005-2009 IMPLEMENTATION PLAN
FOR THE
ANAHEIM MERGED REDEVELOPMENT PROJECT
AMENDMENT TO THE 2005.2009 IMPLEMENTATION PLAN
FOR THE
ANAHEIM MERGED REDEVELOPMENT PROJECT
Section 33333.11(e)(7) of the CRL, as warranted by CRL Section 33333.11(h)(1), requires an
amendment to the Agency's Implementation Plan that includes, but is not limited to, the
Agency's housing responsibilities pursuant to CRL Section 33490. The Implementation Plan is
a five-year plan that describes the Agency's near-tenn specifi~ goals and objectives of the
Agency, specific projects proposed by the Agency, including a program of actions and
expenditures, a description of how these projects will improve or alleviate the blighting
conditions in the Merged Project Area, and show how the requirements of low and moderate
income housing in the community will be met. The initial five-year Implementation Plan for all of
the constituent areas that now comprise the Merged Project Area was originally adopted in
1994, for the five-year period from 1995 through 1999. In December 2000, the Agency adopted
the second Implementation Plan for all of the constituent areas that now comprise the Merged
Project Area for the five-year period between 2000 - 2004. In December 2004, the Agency
adopted the third Implementation Plan for the then Merged Project Area for the five-year period
between 2005 - 2009. The 2005-2009 Implementation Plan is supplemented by the information
described in Section A. (Amended Redevelopment Component) and B. (Amended Housing
Component) below.
The current 2005-2009 Implementation Plan is divided into two primary sections, a
Redevelopment Component and a Housing Component. The following describes the proposed
revisions to the Redevelopment Component and Housing Component sections of the current
2005-2009 Implementation Plan as a result of the adoption of the proposed Amendments.
A. AMENDED REDEVELOPMENT COMPONENT
The goals and objectives and projects and programs outlined within the 2005-2009
Implementation Plan will remain unchanged as a result of the proposed Amendments.
However, the allocation of revenues during the remaining three years of the current five-year
Implementation Plan period, and the total expenditures will change as a result of the proposed
Amendments with increased emphasis on affordable housing activities. With the adoption of the
Amendments, 30 percent of the gross tax increment revenues will be deposited into the Housing
Fund instead of 20 percent as described in the current Implementation Plan. This results in less
revenue being expended on non-housing. projects, programs and activities. Therefore, the
following section amends Section D. Financing of the 2005-2009 Implementation Plan to reflect
a decrease in non-housing revenues and expenditures. Although there is a decrease in
revenues and expenditures, the specific redevelopment projects will remain the same because
Agency funds have been allocated for the projects identified within the current Implementation
Plan. Less money will be available for programs during the next three years. However,
Page 1
because these programs are primarily implemented in response to owner and developer
requests, the affect of the decease in assistance cannot be measured.
Amended Section II D. (Financing) of the Current Implementation Plan
The goals and objectives and projects, programs and expenditures included in this
supplemented Implementation Plan reflect the financial constraints of the Agency to
implementing the Amended and Restated Redevelopment Plan over the five-year term of the
current Implementation Plan. The constraints are primarily the result of obligations that the
Agency is contractually required to pay as a result of prior redevelopment activities.
1. Sources of Total Revenues
The Agency has the legal authority and flexibility to implement the revitalization of the
Merged Project Area utilizing any or all of the following revenue sources: (1) city; (2) state;
(3) federal govemment; (4) tax increment funds in accordance with provisions of the
existing CRL; (5) new tax allocation bonds; (6) interest income; (7) loans from private
financial institutions; (8) lease or sale of Agency-owned property; (9) donations; (10)
developer ~yments, and (11) any other legally available public or private sources.
In general, at the time a redevelopment plan is adopted for a project area, the taxes
generated from taxable value of property in the area (often referred to as the base year
value) continue to be distributed to each of the taxing entities, which levy a property tax
in the project area. A portion of the property taxes that occur due to growth in taxable
value above the base year value are allocated to the redevelopment agency. This
amount is commonly referred to as tax increment revenues: It should be noted that the
Agency had a beginning balance of $17,553,000 prior to fiscal year 2004-05.
The current Merged Project Area's gross tax increment revenues are estimated at
$33,837,000 for 2004-05. Based on growth estimates, it is anticipated that the gross tax
increment revenues annually will remain relatively consistent over the next five years
increasing to $39,130,000 in 2008-D9. This general increase can be attributed to
transfer of ownership activities and the increasing market value of real estate. As
required by the CRL, 20 percent of the gross tax increment must be spent on affordable
housing. However, for the fiscal years 2006-07 through 2008-09, the Agency will, upon
the adoption of the proposed Amendments to extend the time limit on plan effectiveness
and repayment on debt/receipt of tax increment by 10 years, deposit 30 percent of the
gross tax increment revenues generated within the Merged Project Area into the
affordable housing fund pursuant to CRL Section 33333.10. The financial information,
including without limitation, the tax increment revenue projections, for each of the project
areas that comprise the Merged Project Area set forth in Appendix B, attached hereto
and fully incorporated by this reference, is provided as a part of this Report to Council
pursuant to the CRL and such data includes estimates and proje~ions prepared for
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these proceedings by the Agency's independent, professional economic consultant,
which data and the actual revenue, when allocated, is, will be, and shall remain subject
to the applicable provisions of the CRL, as existing as of the date of this Report to
Council and as later amended or otherwise modified by the legislature and legal
precedent. Actual revenues are and will be subject to and limited by those revenues
generated by, allocated to, and received by Agency pursuant thereto.
Aside from tax increment revenues, the Agency anticipates revenues to be generated
from other sources including sale of land, bond proceeds, lease revenue, and interest
income. Other revenue sources generated by the Agency are estimated at $23,134,000
for 2004-05. In 2004-05, sale of land ($9,189,000) and bond proceeds ($7,634,000)
account for 73 percent of the revenues generated by sources other than tax increment.
Based upon future Agency activities, it is anticipated that revenue generated by these
other sources will decrease over the next five years to $8,695,000 in 2008-09.
The revenues anticipated to be generated in the Merged Project Area over the next five
years are identified in the table below:
Total Anticipated Revenues 2005-2009 (Fiscal Years 2004.05 through 2008-09)
Gross Tax Increment
Less Housing Set-Aside
County Administration Fee
Other Revenue Sources
Total Resources
$184,250,000
($48,266,000)
($1,469,000)
$67.977.000
$202,492,000 . Does not reflect
existing obligations
As described below, a significant portion of these monies are pledged to existing
obligations and projects and programs.
2. Estimated Total Expenditures
Current provisions of the CRL provide authority to the Agency to create indebtedness,
issue bonds, borrow funds or obtain advances in implementing and carrying out the specific
intents of a redevelopment plan. The Agency is authorized to fund the principal and
interest on the indebtedness, bond issues, borrowed funds or advances from tax increment
revenue and any other funds available to the Agency. To the extent that it is able to do so,
the City may also supply additional assistance through City loans or grants for various
public fadlities or other project costs.
The redevelopment program described in this section outlines a set of activities to be
implemented by the Agency for the purpose of facilitating private reinvestment in the
Merged Project Area, eliminating physical and economic blighting influences, and providing
for affordable housing development. For purposes of this analysis, housing set-aside
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revenues and their related expenditures are not incorporated on the cash flow summary
below, but instead are presented in the Housing Component. The estimated costs,
expressed of potential Mure redevelopment programs over the term of the Implementation
Plan are shown on the following table:
Total Anticipated Expenditures 2005-2009 (Fiscal Years 2004.05 through 2008.(9)
Bond Debt Service
Educational Revenue Augmentation Fund
Administration
Pass-Through Obligations
Contractual Obligations
Projects and Programs
Total Expenditures
$69,449,000
$5,384,000
$19,626,000
$19,081,000
$7,683,000
587.725.000
$208,948,000
Bond Debt Service
The Agency will continue to make principal and interest payments on the 1992 Tax
Allocation Revenue Bonds and the 1997 Tax Allocation Refunding Bonds.1 The annual
debt service is secured by tax increment revenues. While the Agency may elect to incur
additional bonded indebtedness in the future, for purposes of this analysis no adaitional
future bond issues are assumed over the next five years.
Educational Revenue Auamentation Fund lERAF)
...,
SB 1096 requires redevelopment agencies t~ .shift $250 million in property tax revenues
to K-12 schools and community colleges during the 2004-05 and 2005-06 fiscal years.
The shift of tax increment revenues will be placed intO ERAF. SB"1 096 provides that
one-half of the ERAF obligation of the Agency is calcula~d based on the gross tax
increment apportioned to the Agency and the other one-half of the ERAF obligation is
calculated based on net tax increment revenues retained by the Agency <net of any "
pass-through payments to other taxing entities), as such tax increment revenues are
reported in the Community Redevelopment Agencies Annual Report of the California
State Controller for FY 2002-03 for calculation of the 2004-05 ERAF payment and FY
2003-04 for calculation of the 2005-06 ERAF payment.
The Agency will be required to allocate an ERAF payments to the County Auditor-
Controller totaling $2,692,000 per year for 2004-05 and 2005-06. SB 1096 stipulates
that ERAF will not continue after 2005-06. Therefore, for purposes of projecting future
expenditures, it is assumed that commencing in FY 2006-07, ERAF payments will cease
1 The 2000 Tax Allocation Revenue Bonds. Series A and B are secured by Housing Set-Aside revenues and are
therefore reflected in the feasibility cash flow as a credit against the annual Set-Aside.
Page 4
to be required by the Merged Project Area in subsequent fiscal years and reflect the
current legislation.
Pass- Throuch Oblications
The Agency entered into a series of pass-through agreements and has assumed statutory
pass-through obligations with various affected taxing agencies as the six constituent project
areas that comprise the Merged Project Area were adopted. The recent merger of the six
constituent project areas had no affect on the nature of the respective pass-through
obligations or the determination of the formula amounts that would otherwise be due to the
respective taxing agencies ($19,081,000 over the next five years). Furthermore, the
previously adopted merger did not trigger any additional tax sharing obligations to the
affected taxing agencies.
Contractual Oblications
The Agency annually budgets for various existing contractual obligations unique to
specific project areas as well as those of the Agency as a whole. These annual
obligations include economic development agreements, cooperative agreements with
the City, and other obligations related to site-specific projects.
Administration
The projected cost to administer the redevelopment program in the Merged Project Area
over the five-year period from 2004-05 through 2008-09 is estimated at $19,626,000.
Proiects. Procrams. Activities
To the extent future tax increment revenues continue to be allocated to the Agency and
exceed pre-existing debt service, pre-existing contractual obligations, administrative costs,
pass-through obligations, and any ERAF requirements by the State, the Agency will have
discretionary revenue to fund the programs and projects identified in this Implementation
Plan. Over the term of the Implementation Plan, the Agency anticipates to have available
$87,725,000 to fund programs and projects to eliminate blight.
A summary of the cash flow of. the Agency over the term of this Plan (2004-05 to 2008-09)
are shown in the table below:
Total Estimated Redevelopment Program Costs 2005-2009 (Fiscal Years 2004..05
through 2008..09)
Beginning Balance 2004-05
Proposed Revenues (less 20%130% housing set-aside)
Proposed Total Expenditures
Ending Bi\llance 2008-09
$17,553,000
$202,492,000
($208.948.000)
$11,097,000
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B. AMENDED HOUSING COMPONENT
Since adoption of the Agency's first Redevelopment Plan Alpha in 1973, the Agency has caused to
constructed, rehabilitated and/or covenanted 787 affordable housing units have been produced
inside the Merged Project Area while 1,682 affordable units that have been added to the City's
inventory outside of the Merged Project Area. The Agency currently has a 123-unit replacement
housing surplus and an 891.5-unit inclusionary housing surplus. Thus, the Agency has exceeded
the CRL Section 33413 affordable housing requirements.
1. Implementation Plan Requirements
This Housing Component of the Implementation Plan for the Merged Project Area is the
complement to the Redevelopment Component. Together, the two components constitute
the implementation plan required by Artide 16.5, Section 33490 of the CRL. This
Implementation Plan has been updated to . reflect the proposed SB 211 Amendment, which
will be considered for adoption in late summer 2006.
This Housing Component of the Implementation Plan presents those components of the
Agencys intended program for the Merged Project Area that deal with the expenditure of
funds and activities relating to the production of housing affordable to persons and
families of low and moderate (Blow-modB) income. Low-mod income is defined in the
CRL and is set annually by the California Housing and Community Development
DeparbT1ent (HCD). The income levels are published annually by HCD, and are defined
as follows:
. Moderate income: 80 percent to 120 percent of median income for the applicable
household size, (Section 50093);2
. Low income: 50 percent to 80 percent of median income for the applicable
household size (Section 50079.5);
. Very-low income: Less than 50 percent of median income for the applicable
household size (Section 50105); and
. Extremely-low income: Less than 30% of the median income for the applicable
household size (Section 50106).
The CRL provides that, in addition to the removal of blight, a fundamental purpose of
redevelopment is to expand the community's supply of low-mod housing (Section
2 All referenced sections are found In the California Health and Safety Code.
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33071). To accomplish this purpose, the CRL contains numerous provisions to guide
redeveloprnent agency activities with regard to low-mod housing. These provisions
divide a redevelopment agency's housing responsibilities into three major categories:
1. The production and/or replacement of low-mod housing;
2. The set-aside and expenditure of specified amounts of tax increment
revenue for the express. and exclusive purpose of increasing, preserving
and improving a community's supply of low-mod housing available at an
affordable housing cost; and
3. Preparing reports on how the Agency has met, or on how the Agency will
meet its responsibilities with regard to the first two items.
This Housing Component is part of the Agency's responsibilities under the third major
category. Its contents address how the Agency's plans for the Merged Project Area will
achieve many of the housing responsibilities contained in the first and second major
categories of Agency housing activities. Article 16.5 requires that the Housing
Component of the Implementation Plan address the applicable items presented in the list
below.
1. Production of Housing Based on Activities in the Merged Project Area
a. At least thirty percent (30%) of all new and substantially
rehabilitated dwelling units developed by an agency shall be
available at affordable housing cost to persons and families of low
and moderate income and shall be occupied by these persons
and families (Section 33413(b)(1));
b. At least fifteen percent (15%) of all new residential units dwelling
units developed within a project area under the jurisdiction of an
agency by public or private entities or persons other than the
Agency shall be available at affordable housing cost to persons
and families of low or moderate income and shall be occupied by
these persons or families (Section 33413(b)(2));
c. At least fifteen percent (15%) of all substantially rehabilitated units
that have received agency assistance shall be available at
affordable housing cost to persons and families of low or
moderate income and shall be occupied by these persons or
families (Section 33413(b )(2)(iii); and
d. Suitable locations must be identified for replacement housing units
rehabilitated, developed or constructed pursuant to Section
33413(a), if the destruction of removal of low-mod units will result
Page 7
from a project contained in the Implementation Plan (Section
33490(a)(3)).
2. Set-Aside and Expenditure of Tax Increment for Housing Purposes
a. The "Set-Aside" of twenty percent (20%) of tax increment in
projects adopted on or after January 1, 19IT (Section 33334.2),
and the Set-Aside of twenty percent (20%) of tax increment in
projects adopted before January 1, 19IT (Section 33334.6);
b. The proportional expenditure of housing funds on low and very-
low income housing (Section 33334.4); and
c. The transfer of housing funds to other public entities producing
housing in the community (a possible outcome of the proviSions of
Sections 33334.12 et seq.).
Article 16.5 also requires:
1. Estimates of the balances and deposits into the Housing Fund created to
hold the Set-Aside of tax increment;
2. A housing program identifying anticipated expenditures from the Housing
Fund;
3.. An indication of housing activity that has occurred in the Merged Project
Area; and
4. Estimates of housing units that will be produced for each of the various
income categories.
In addition, the Agency has adopted an amended redevelopment plan, which applies
additional restrictions and requirements on the Agency in regards to affordable housing
production and the use of Set-Aside funds. The$e additional restrictions and
requirements, which are codified in Section 33333.10, are as follows:
1. From the first fiscal year following the amendment to the redevelopment
plan (SB2.11 Amendment) adoption, if adopted, through the extended
termination date for the receipt of tax increment and debt repayment:
a. Thirty percent (30%) of the gross tax increment received by the
Agency must be deposited into the Housing Fund (Section
33333.1 0(g)(1 ).
Page 8
b. The Alpha Project Area, which was adopted prior to January 1,
1976, will become subject to the Section 33413 inclusionary
housing production requirements (Section 33333.1 O(i)).
2. From the first fiscal year following the SB 211 Amendment adoption, if
approved, through the current termination date for the receipt of tax
increment and debt repayment (Section 33333.10(f)(2)):
a. No more than 15% of the net Housing Fund is allowed to be spent
on moderate income projects and programs.
i. These expenditures are measured in five-year increments.
ii. The moderate income units must be incorporated into
. projects in which no fewer than 49% of the units are set-
aside for low, very-low and or extremely low income
households.
b. An Agency can spend up to an additional 5% of the net Housing
Funds on moderate income units if an equal number of extremely-
low income units are produced during the same time period.
3. During the 1 O-year extension period Section 33333.1 0(f)(1) limits the net
Housing Fund expenditures on moderate income units to the lesser of:
a. An amount equal to the total amount spent on extremely-low
income households over the two five-year extension periods up to
15% of the net Housing Funds.
b. The number of housing units provided for the extremely-low
income households during the two five-year extension period.
All the information required by Article 16.5 and Section 33333.10 is provided in
the following sections of this Implementation Plan.
2. Historical Affordable Housing Activities
a. Inside the Merged Project Area
The first Project Area (former Alpha Project Area) included in the Merged Project Area
was adopted in 1973. Between 1973 and 2005, the Agency completed the following
affordable housing activities within the Merged Project Area:
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Year Project Number Number of Covenant
Project Name Built Type of Units Affordable Units Period
President's Tract 2005 Ownership 28 8 45-years
Solara Court 2003 SeniorlRental 132 132 55-years
Linbrook Courts 2003 Senior/Rental 80 80 55-years
Califomia Renaissance 1994 Ownership 152 49 30-years
Heritage Place 1992 Ownership 395 28 3D-years
Totals 787 297
b. Outside the Merged Project Area
In addition to the affordable housing activities within the Merged Project Area as
described above, the Agency has assisted in the completion of affordable housing
outside the Merged Project Area. Between 1973 and 2005, the Agency completed the
following affordable housing activities outside of the Merged Project Area:
Number of
Year Project Number Affordable Covenant
Project Name Built Type . of Units Units Period
Habitat for Humanity . 2D05 Ownership 4 4 45-years
Jeffrey Lynne-Phase II 2004 Rental 112 112 55-years
Tyrol Plaza 2004 SeniorlRental 59 59 55-years
Casa Alegre 2003 Rental 22 22 55-years
Califomia Villas 2003 Rental 34 34 55-years
The Fountains 2001 SeniorlRental 259 259 3D-years
Cobblestone 2000 Rental 64 64 55-years
Seawinds 2000 Rental 91 91 55-years
Jeffrey Lynne-Phase I 2000 Rental 309 309 55-years
Park Vista 2000 Rental 392 392 55-years
Cypress Infill 1998 Ownership 47 47 3D-years
South of Romneya 1998 Rental 176 176 55-years
Manzanita Walk 1998 Ownership 48 48 3D-years
Totals 1,617 1,617
3. Applicable Low and Moderate Income Housing Requirements
a. Replacement Housing Obligation
The Agency is required to meet replacement-housing obligations pursuant to Section
33413(a). This Section requires the Agency to replace, on a one-for-one basis, all
dwelling units removed from the inventory as a result of Agency actions that are
occupied by low-mod income households. In addition to matching the income levels of
Page 10
the removed units, the Agency must also replace an equal or greater number of
bedrooms.
The homes that are removed from the inventory may be replaced with fewer units as
long as an equal or greater number of bedrooms are provided in the replacement units.
Replacement housing units do not have to match tenure (i.e., rental vs. owner.ship,
family vs. senior housing) as the units removed from inventory. Also, replacement units
can be developed anywhere within the City limits. Article 16.5 requires that if an
implementation plan contains projects that could result in the removal of low-mod
housing units, the plan must identify locations suitable for the replacement of such
housing.
b. Past Removal of Low and Moderate Income Units
According to Agency staff, and detailed in Table H-1, the following summarizes the low
and moderate income housing units have been removed from the Merged Project Area's
housing stock since the first constituent Project Area of the Merged Project Area was
adopted in 1973:
. Project Name
President's Tract
Lazy Living Mobile Home Park
Totals
. Year
Removed
2001
2003
Units
Removed
5
16
21
c. Future Removal of Low and Moderate Income Units
This Implementation Plan does not include projects or programs that would result in the
removal of housing units from the low-mod income housing stock. Therefore, there is no
requirement to identify locations for replacement housing units.
Page 11
TABLE H-1
HISTORICAL REPLACEMENT HOUSING OBLIGATION ANAL VSIS 1
IMPLEMENTATION PLAN - ANAHEIM MERGED PROJECT AREA
ANAHEIM, CALIFORNIA
Units Removed from Inventory
One-bedroom Units Two-bedroom Units Three-bedroom Units
Vear Total Very- Very- Very-
I. Project Name Removed Units Low Low Moderate Low Low Moderate Low Low Moderate
Lazy Living Mobile Home Park 2 2001 16 2 0 1 7 6 0 0 0 0
President's Tract 3 2003 5 0 0 0 0 0 0 4 0 1
ITotal Replacement Housing Obligation 21 2 0 1 7 8 0 4 0 11
Bedrooms Removed from Inventory
One-bedrooms Two-bedrooms Three-bedrooms
Vear Total Very- Very- Very-
II. Project Name Removed Bdrms Low Low Moderate Low Low Moderate Low Low Moderate
Lazy Living Mobile Home Park 2 2001 29 2 0 1 14 12 0 0 0 0
President's Tract 3 2003 15 0 0 0 0 0 0 12 0 3
ITotal Replacement Housing Obligation 44 2 0 1 14 12 0 12 0 31
1 Data provided by the Anaheim Redevelopment Agency for the following project areas: Alpha, River Valley, Plaza, Commercial/Industrial, West Anaheim, and Anaheim Stadium.
2 The Lazy Living Mobil Home Park redevelopment efforts removed a total of 28 units, of which 12 units were Inhabltated by households earning over 120% of the median income. The
Park was located In the West Anaheim project area.
I
The President's Tract redevelopment efforts removed a total of 13 units, of which eight units were inhabitated by households earning over 120% of the median Income. These units
were located in the West Anaheim project area.
PriDnarGl"l h". 1t'1M...r .A.ram" a..a",I'I... In,..
d. Replacement Housing Obligation
The Agency's replacement housing obligation must be calculated based on the number
of bedrooms included in the units that are removed from the inventory. The outstanding
obligation is detailed in Table H-1, and is summarized in the following table:
Very Low Low Moderate
Income Income Income Total
Unit Type Units Bdrms Units Bdrms Units Bdrms Units Bdrms
One-bdrm 2 2 0 0 1 1 3 3
Two-bdrms 7 14 6 12 0 0 13 26
Three-bdrms 4 12 0 0 1 . 3 5 15
Totals 13 28 6 12 2 4 21 44
e. Replacement Housing Fulfillment
As shown in Table H-2, to fulfill the existing replacement housing obligation, the Agency
has replaced the Lazy Living Mobile Home Park (16 units) with the Solara Court Senior
Project (132 units) and has replace the President's Tract (5 units) with eight (8) new
units in 2004. The Agency also placed 45-year affordability covenants on the eight units
at the President's Tract and already has 55-year affordability covenants on the units
located at the Solara Court Senior Project.
In addition, to fulfill the very-low income three-bedroom unit obligations, four three-
bedroom units of the 112 total units in the Jeffrey Lynne Phase II project are identified as
replacement housing fulfillment units. The detailed breakdown is provided in Table H-2,
and the results can be summarized as follows:
Very Low Low Moderate
Income Income Income Total
Unit Type Units Bdrms Units Bdrms Units Bdrms Units Bdrms
One-bdrm 54 54 54 54 0 0 108 108
Two-bdrms 12 24 12 24 0 0 24 48
Three-bdrms 4 12 0 0 8 24 12 36
Totals 70 90 66 78 8 24 144 192
Page 13
TABLE H-2
1 Data provided by the Anaheim Redevelopment Agency.
2 This project was developed on the lazy living Mobile Home Park site.
3 This project will include a total of 28 three-bedroom units.
4 Only four units of the 112 unit project is being used to meet the replacement housing obligation.
PrAna...'" h". It."aar ..Orc!Mn .6aal\l"'lata. In,.
The following summarizes the replacement housing surplus/(deficit) calculated on the
basis of number of bedrooms for the life of the Merged Project Area, which is detailed in
Table H-3:
Very-Low Low Moderate
Income Income Income Total
Units Bdrms Units Bdrms Units Bdrms Units Bdrms
Fulfillment 70 90 66 78 8 24 144 192
Obligation (13) (28) (6) (12) (2) (4) (21) (44)
Surplus I (Deficit) 57 62 60 66 6 20 123 148
As can be seen in the preceding table, the Agency has provided a replacement housing
surplus of 123 units and 148 bedrooms. As a result, the Agency has fulfilled the 21-unit,
44-bedroom replacement housing obligation.
f. Inclusionary Housing Obligation
The Agency is required to comply with the affordable housing unit production
requirements imposed by Section 33413(b):
1. Subparagraph (1) of the Section requires that 30 percent of all housing units
developed by the Agency be to low-mod housing subject to long-term income
and affordability covenants.3 Of these low-mod units, 50 percent must be
affordable to persons and families of very-low income.
2. Subparagraph (2) of Section 33413(b) requires that 15 percent of all housing
developed in the Merged Project Area be low-mod housing subject to long-term
income and affordability covenants. Of these low-mod units, 40 percent must be
affordable to persons and families of very-low income.
3. Section 33333.10(i) requires that as of July 1, 2005, 15% of all housing units
developed in the Alpha Project Area be subject to low and moderate income
housing income and affordability covenants. Of these low-mod units, at least
40% must be affordable to persons and families of very-low income.
To determine the number of units that must be developed in order to comply with
this requirement, and to identify how much of this requirement will be satisfied by
the activities included in this Implementation Plan, a brief review of past and
anticipated housing development activity in the Merged Project Area is presented
below.
3 The definition of Agency developed units are those units produced entirely by the Agency.
Page 15
TABLE H-3
REPLACEMENT HOUSING SURPLUS I (DEFICIT)
IMPLEMENTATION PLAN - ANAHEIM MERGED PROJECT AREA
ANAHEIM, CAUFORNIA
Units Added to Inventory
One-bedroom Units Two-bedroom Units Three-bedroom Units
Total Very- Very- Very-
I. Project Name Units Low Low Moderate Low Low Moderate Low Low Moderate
Fulfillment 1 144 54 54 12 12 4 8
(Less) Obligation 2 (21) (2) (1) (7) (6) (4) (1 )
IReplacement Housing Surplus' (Deficit) 123 52 54 (1) 5 8 71
Bedrooms Added to Inventory
One-bedroom Units Two-bedroom Units Thrae-bedroom Units
Total Very- Very- Very-
II. Project Name Units Low Low Moderate Low Low Moderate Low Low Moderate
Fulfillment 1 192 54 54 24 24 12 24
(Less) Obligation 2 (44) (2) (1) (14) (12) (12) (3)
1 Replacement Housing Surplus' (Deficit) 148 52 54 (1) 10 12 211
1 Se. TABLE H-2.
2 See TABLE H-1.
Pronarar4 m,,- It'a\IIIDr '.arRtnn .6...n""... Inl'
a. Past Development of Housing in the Merged Project Area (1983 - 2005)
An estimated 1,704 housing units have been substantially rehabilitated or developed
within the Merged Project Area since the first Project Area was adopted in 1973. Of this
total, 1,004 units were either developed or substantially rehabilitated within the
constituent project area of the Merged Project Area referred to as the Project, which was
not previously subject to the inclusionary unit requirements described above. Therefore,
as detailed in Table H-4, the remaining balance of 700 units developed .or substantially
rehabilitated within the Merged Project Area are subject to the inclusionary requirements
outlined above. None of the 700 units were developed by the Agency.
b. Current and Future Housing Construction Activity in Project Area
As shown in Table H-5, approximately 1,464 units are in the process of being developed
within the Merged Project Area, which will be subject to the inclusionary requirement. 4
Also, there are 114 additional units that are expected to be developed in the Merged
Project Area over the next ten (10) years. Therefore, during the Implementation Plan
period, a total of 1,578 units are estimated to be added to the Merged Project Area.
It is anticipated that the Merged Project Area will be built out once 1,910 units are
developed. It is expected that the remaining 342 units to build-out will be constructed
between 2015 and 2029. The total 1,910 projected units to be developed between 2006
and 2029 will all be subject to the inclusionary housing requirements.
c. Inclusionary Housing Obligation
As shown in Table H-6, the Section 33413(b) inclusionary housing requirements
triggered by the historical and projected development in the Merged Project Area from
1983 through the life of the Merged Project Area, or 2029, are as follows:
Very-Low Low/Moderate
Income Units Income Units Total Units
Current Obligation (1983 - 2005) 0 0 0
Implementation Plan (2006 - 2014) 43 61 104
Life of Plan (2015 - 2029) 115 172 287
Totals 158 233 391
Therefore, the inclusionary housing obligation during the Implementation Plan
period totals 104 affordable units. The estimated maximum inclusionary
housing obligation for the Merged Project Area is estimated at 391 units.
4 This includes 317 units that are expected to be completed in the Alpha Project Area after July 1,2006.
Page 17
TABLE H-4
HISTORICAL RESIDENTIAL DEVELOPMENT WITHIN THE MERGED PROJECT AREA (1983 .2005)'
IMPLEMENTATION PLAN. ANAHEIM MERGED PROJECT AREA
ANAHEIM, CAUFORNIA
Product Construction UnIts BuIlt In
I. Project Type Type Project Area Project Aiu
L1nhaven (Uncoln & Unhaven) Ownership New West Anaheim 60
Peppertree Walk (Uncoln & Muller) Ownership New West Anaheim 68
Greystone Camross (Orange & Holiday) Ownership New West Anaheim 71
Lyon Harvest ( Ball & Knott) Ownership New West Anaheim 40
Kaufman & Broad (Brookhurst & Lincoln) Ownership New West Anaheim 57.
LemonIWater Street Ownership Rehab Commllnd 7
Shorb Wells Site (Weir Canyon/LaPalma) Ownership New River Valley 88
Mercy Llnbrook (2240 W. Uncoln) Senlor/Rental New West Anaheim 81
Lauran Way Ownership New West Anaheim 7
Western Pacific ROP Site (La Palma & Gilbert) Ownership New West Anaheim 61
Solara Court (3335 W. Lincoln Avenue) Senior/Rental New West Anaheim 132
Presldenfs Tract (Canteda Lane) Ownership New West Anaheim 28
ITotal HousIng Production Unite 700
Agency Owned Other
II. CompleUon Year Units Units
1983 - 1997
1998 128
1999
2000 168
2001
2002 95
2003 81
2004 200
2005 28
ITotal UnIts 700
Completion
Year
1998
1998
2000
2000
2000
2002
2002
2003
2004
2004
2004
2005
Total
UnIts
128
168
95
81
200
28
700 I
Data provided by the Agency. The fonner Alpha Project Area does not have an Incluslonary requirement because It was adopted prior to January 1, 1976. Therefore, the 889 unIts
constructed In the Alpha Project Area since the plan was adopted are not Included In this analysis.
E:JranarAt'l ht.,. W"."...r "araln" .6aanr-latOQ Inl'
TABLE H.5
PROJECTED RESIDENTIAL DEVELOPMENT WITHIN THE MERGED PROJECT AREA (2008 . BUILD.QUT)'
IMPLEMENTATION PLAN. ANAHEIM MERGED PROJECT AREA
ANAHEIM, CAUFORNIA
Product Construction Units BuIlt In CompletIon
I. Project Type Type Project Area Project Area Year
Brookfield Cantada Square (2340 W. Lincoln) Ownership New West Anaheim 82 2006
laing The Boulevard (501 S. Anaheim Blvd.) Ownership New Commllnd 56 2006
CIM Apartments (Net of 95 unlls completed In FY 2005106) Rental New Alpha 182 2007
CIM Condominiums Ownership New Alpha 135 2007
736 S. Beach Blvd. Ownership New West Anaheim 7 2007
laing Kwlkset Site (Sante Ana & Olive) Ownership New Commllnd 129 2007
Lewis Kwlkset Site (Santa Ana & Olive) Rental New Commllnd 200 2007
Hampton Polnte II Rental New Commllnd 50 2007
Mercy Vine Street RentBl New Comm/lnd 59 2008
Matrix Site Rental New Commllnd 60 2008
Beach Boulevard (Sliver Moon) Rental New West Anaheim 80 2008
Cherry Orchard (Lincoln Inn> Rental Rehab West Anahalm 76 2009
Olive Street Ownership New Commllnd 338 2009
Unldentilled In"" Projects 2 NA NA NA 114 2010 - 2014
UnldenUfled In"" Projects 2 NA NA NA 342 2015 - 202~
ITotal HousIng Production UnIts 1,910
Agency Owned Other Totsl
II. Completion V..r UnIts UnIts Units
2006 138 138
2007 703 703
2008 199 199
2009 414 414
2010 - 2014 114 114
2015 - 2029 342 342
ITotal Units 1,910 1,910 I
Data provided by the Agency. The former Alpha ProJect Area does not have an Inclusionary requirement because It was adopted prior to January 1, 1976. Howaver, as of July 1, 2006,
the SB 211 amendment Imposes the Incluslonary requirement to the Alpha Project Area.
I
Data provided by the Agency. As of 2006. the units remaining to be constructed in the Merged Project Area (Including the Alpha Project Area) over the life of the redevelopment plan
totals 1,910 units. The Agency has IdenU"ed 1,454 units that are under construction, planned or proposed during the life of the Plan. The remaining 456 units are assumed to be built
at
approximately a 23 units per year pace from 2010 through 2029.
Dranal"llllrf h". W"II\IItDr ".aretnn 6QQnNatoct In,..
TABLE 1:1-8
INCLUSIONARY HOUSING OBLIGATION'
IMPL~MENTATlON PLAN - ANAHEIM MERGED PROJECT AREA
ANAHEIM, CALIFORNIA
I. Year
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015 - 2029
II. Totals
1984 - 2004
2005 - 2014
2015 - 2029
. Grand Totals
Agency
Owned
Units I
Total Obligation
Other
Units :I
Totals
Very-Low Income Obligation
Agency
Owned Other
Units I Units :I Totals
Low/Mod Income Obligation
Agency
Owned Other
Units I Units :I Totals
20 20 8 8 12 12
26 26 11 11 15 15
15 15 6 6 9 9
13 13 6 6 7 7
30 30 12 12 18 18
287 287 115 115 172 172
104
287
104
267
43
115
43
115
61
172
61
172
381
381
158
158
233
233
1 Thelnclusionary housing obligation is calculated on a roiling 1o-year period basis.
2 See Table H-4: At least 30% of the units must be restricted as affordable units with at least 50% of the units resbicted to very-low Income units, and the balance restricted to low
and moderate
Income units.
:I See Table H-4: At least 15% of the units must be resbicted as affordable units with at least 40% of the units resbicted to very-low Income units, and the balance restricted to low
and moderate
Income units.
Prona""" h". 1t'A\lCtar "Dram" .6aan,.)atcaR In,.
d. Inclusionary Housing Production
As detailed in Table H-7, as of 2005 five projects were developed within the Merged
Project Area for a total of 317 inclusionary production units.
In addition, 1,682 affordable units were constru~d in 14 projects located outside of the
Merged Project Area. However, for housing units restricted for very low, low and
moderate income households located outside of the Merged Project Area, two (2) units
must be provided for every one (1) unit of inclusionary unit credit. Therefore, only 776.5
of the units can be counted towards fulfilling the inclusionary housing obligation. The
following summarizes the total countable inclusionary fulfillment units through 2005:
Very-Low Low Moderate
Income Income Income Totals
Inside Project Area 161.0 51.0 85.0 297.0
Outside Project Area 466.0 213.5 97.0 776.5
Total Countable Units 627.0 264.5 182.0 1,073.5
Therefore, as of 2005, the Agency has produced 1,073.5 inclusionary fulfillment units.
Table H-7 also estimates the current and life of plan inclusionary housing surplus, which
is summarized as follows:
Low I
Very-Low Moderate
Income Income Total
Units Units Units
1983 - 2005 Inclusionary Housing Obligation 0 0 0
2006 - 2014 Inclusionary Housing Obligation (43) (61) (104)
2015 - 2029 Inclusionary Housing Obligation (115) (172) (287)
Total Obligation 1983 - Life of Plan (158) (233) (391 )
1983 - 2005 Inclusionary Production Units 627.0 446.5 1,073.5
2006 - 2014 Inclusionary Production Units 445.0 273.5 718.5
Totallnclusionary Housing Surplus 914.0 487.0 1,401.0
In summary, while as to the Project Alpha part of the Merged Project Area, the Agency
does not currently have an inclusionary housing obligation, the inclusionary housing
units produced between 1983 through 2005, will meet the future inclusionary housing
obligations. In fact, at build-out of the Merged Project Area, the Agency is expected to
have a 1,401 inclusionary housing surplus. Thus, the Agency is anticipated to exceed
the low-mod housing production requirements imposed by Section 33413(b).
Page 21
TABLE 11-7
INCLU8IONARY HOU8NI FUU'lLUlENT ANALY8B'
IIPLEMENTATION PLAN -ANAHEIIIMERGED PROJECT AREA
ANAHEIM, CALIFORNIA
TlDI V~ Law IIadernt
Praject c-nana ToIIIl Un'" Coumb. ~ 1_. I-
I. Fulll.... Pili'" v_ TyplI T_ PnId_d Un" I UnIta U..... Un'"
I..... PnIJIIc:t Arw.
HlIr11Bge 1'1.-1 1992 OwnenIhlp 3OY... 385.0 28.0 0.0 0.0 28.0
ClII1CanU ~1lll81 111114 0wnenIh1p 3OY... 152.0 49.0 0.0 0.0 49.0
Lklbnlok Caurl8 2003 SenarlRenl8l 55Y_ 80.0 80.0 80.0 ~.O 0.0
811111111 CalI't 2003 SenIcIIIRenI8l 55 Y.... 132.0 132.0 101.0 31.0 0.0
PnIIIdIInt'I TI8Cl - eem.IBl..8l11 2005 OwnenhIp 45Y_ 28.0 8.0 0.0 0.0 8.0
LaIng n. BoIAv8nI 2008 OwMnhlp 45 Y... 5&.0 38.0 0.0 8.0 28.0
lllaaldleld CIIn18da Sql88 2008 OwIIInIhlp 45Y... 82.0 41.0 1.0 18.0 24.0
\IN S1IwI- Men:y 2008 RenlBI 55Y... 59.0 80.0 59.0 0.0 1.0
I..8lng KwIIaIeI SIIII 2007 OwIIInIhip 45Y... 129.0 43.0 0.0 0.0 43.0
I..8wIII Kwlklel SIIII 2007 R8nIIII 55 Y... 200.0 50.0 50.0 0.0 0.0
HlImp1Dn I'I*IaIt II 2007 Renl81 55Y.... 50.0 50.0 25.0 25.0 0.0
MIIIIlx 811e 2008 RIInlBI 55 Y.... 80.0 80.0 80.0 0.0 0.0
&.ah BouIIIv8Id (811.. Moan) 2008 R8nl81 55 Y... 80.0 80.0 50.0 30.0 0.0
Cherry 0rc:IBII (LlncaIn 1m) 2009 R8nl81 55Y_ 78.0 78.0 78.0 0.0 0.0
Ollie S1I88l 2009 0wnInh1p 45Y_ 360.0 70.0 0.0 0.0 70.0
OlD.. PIlI_ Arw.
eyp... InII 1998 OwnenIhIp 3OY... 47.0 23.5 0.0 8.0 17.5
MlIllZIInIIa WIIIk 1998 OwnenIhIp 3OY... 48.D 24.0 1.0 8.5 18.5
8DlMl of RDmrIlIye 1998 Rental &6Y_ 178.0 88.0 87.0 0.0 1.0
CobbIIItone - 870 Baach Blvd. 2000 Rantal 65Y_ 84.0 32.0 8.5 0.0 25.5
8aaMldI- 1924 GIIn 0ak8 2000 Rantal 55Y.... 91.0 45.5 9.0 0.0 38.5
.JalIiwy Lynn - PI8e I 2000 RenI8I 55Y.... 309.0 154.5 148.5 8.0 0.0
PaIk VIlla 2000 RanlaI 66 Y... 392.0 198.0 58.0 137.0 0.0
n.1'cllmRI 2001 SanIal1RanlaI 30 Y... 258.0 85.0 28.0 39.0 0.0
ClIaa AIIgnt (Mercy A1DSIHIV HouIIng) 2003 SNIRImlaI 55Y... 22.0 11.0 11.0 0.0 0.0
ClII1fam1a VIII. 811rllng Court 2003 Be. ,llllIIRelllal 55Y... 34.0 17.0 17.0 0.0 0.0
TyraI PIIzII 2004 SanIoI1Rantal &6Y... 59.0 29.5 19.5 10.0 0.0
W8IIdIaIIar 2004 Rantal 55Y... 85.D 32.5 32.5 0.0 0.0
JIlhy Lynn - PI8e II 2004 Rantal 55 Y... 112.0 5&.0 50.0 8.0 0.0
HlIb11al far HlDI8I1Ily 2005 OwnenhIp 45 Y... 4.0 2.0 1.0 1.0 0.0
Harmoaa Waga III 2007 R8nl81 55 Y... 72.0 38.0 28.0 10.0 0.0
GIInaab 2008 R8nl81 65 Y.... 80.0 30.0 30.0 0.0 0.0
era-nt 2008 R8nl81 55 Y... 80.0 30.0 30.0 0.0 0.0
DIamond 2008 RenI8I 55 Y... 38.D 19.0 18.0 0.0 0.0
CHOC 8118 2008 RenlBI 66 Y.... 75.0 37.5 18.0 18.5 0.0
ITatalllllll1l8lanaly lIoualllll Fulll...... 3,lI1U 1,7I2.D 1,072.0 372.0 348.0
TlDI V~ I..oIdIad
Caunlallla I- I-
D. eu,..nt _.IaID..." .......... .u......., m.IIcIft UnIta UnIla UnIta
ToI8Ilnc:UIanary HlIUIing FIMI1IBIl1 881.5 827.0 284.5
~) Indllllonlry Hauling 0bI1I8lIan4 0.0 0.0 0.0
Ulllllualanlry Houalntl8urp1ua IlDaftclt) 881.5 127.0 284.51
TlDI V~ lDIIfIIad
Cauntabla 1_. In_.
I'. tD V... .l1li LIllI at PIIIn .....ID...rv Ma..11Ia ..... , la.fIaIft Un'" UnIla Unlla
TlIIallndlllllllll8ry Haulllng FlMllmanll 1,782.0 1,C172.o ~.O
(......)Indullanary HcIUIIIng Oblllllllon (391.0) (158.0) (233.0)
IlnaIuaIDnIry HaullntlBul1llual (DdcII) 1,401.0 114.G 487.0 I
, B-' an InbmalIDn pIUVidlId by lha Agenl:y.
Unlle CllIIIlnIctId oulIIida of the PraiacllWa e.. ClllIIlIIId lIIIe 1 for 2 baIIiB.
T1IaIa prlljIc:lI..1aaIlad In lha Alpha PnIjaclIWa.
4 n.1r1cIuIIclIwy hcIUIing obligation ill c:aIcuIIBI an e ~ 1ll-ya1r pariad. Tha ftnIl dlMllopmant In Iha Margad PRIjIclIWa that blggan 8Illndullonary hauling ablJlIIIlian oaU'I'8lI
in
1888. ThanIfonI. lha Ii..l obIigllllan lito ba met by 2008.
4. Applicable Deposit and Expenditure Provisions
a. Set-Aside of Tax Increment
The Merged Project Area is subject to the Section 33334.2 requirement to allocate 20
percent of the gross tax increment (Set-Aside) to affordable housing activities. However,
if the Amendments are adopted then as of July 1, 2006 this requirement will increase to
30% of gross tax increment in accordance with the SB 211 Amendment. The Set-Aside
is required to be deposited into a Housing Fund created to hold the monies until
expended. The projections of deposits into the Housing Fund are discussed in the
following section of the lniplementation Plan.
b. Proportional Expenditures of Housing Fund Monies
The Merged Project Area is subject to the Section 33334.4 requirement that the Agency
expend Housing Fund monies in accordance with an income proportionality test and an
age restriction proportionality test. These proportionality tests must be met between
January 1, 2002 and December 31,2014, and then again at 10-year intervals throughout
the remaining life of the Merged Project Area. These tests do not have to be met on an
annual basis.
The Merged Project Area is also subject to the further restriction of the use of Housing
Fund monies on moderate income units, as of July 1, 2005. As such, no more than 15%
of the net Housing Fund is allowed to be spent on moderate income projects or
programs.
c. Very-Low and Low Income Housing Expenditures
The income proportionality test requires that the Agency expend Set-Aside funds in
proportion to the housing needs that have been determined for the community pursuant
to Section 65584 of the Government Code. The proportionality test used in this
Implementation Plan is based on information contained within the City's General Plan.
Based on the City's General Plan, the City's minimum required allocation for very-low
and low income expenditures, and maximum moderate income housing expenditures
are:
Category
Very-Low Income:
Low Income:
Moderate Income:.
Threshold
At least 39%
At least 23%
No more than 38%
Page 23
It should be noted that the Agency is entitled to expend a disproportionate amount of the
funds for very-low income households, and to subtract a commensurate amount from the
low and/or moderate income thresholds. Similar1y, the Agency can provide a
disproportionate amount of funding for low income housing by reducing the amount of
funds allocated to moderate income households. In no event can the expenditures
targeted to moderate income households exceed the established threshold amount.
Due to the SB 211 limitation on expenditures in moderate income projects or programs,
if the Amendments are adopted the proportionalities change to the following as of July 1,
2006:
Category
Very-Low Income:
Low Income:
Moderate Income:
Threshold
At least 53%
At least 32%
No more than 15%
In addition, if the Amendments are adopted the Alpha Project Area begins the 10-year
extension allowed by the SB 211 Amendment in fiscal year 2011/12. As such, the
$31,233,000 in Set-Aside derived from the Alpha Project Area from July 1, 2011 to
December 31, 2014 must meet the following proportionality requirements:
Category
Extremely-Low Income:
Very-Low Income:
Low Income:
Moderate Income:
Threshold
At least 15%
At least 48%
At least 32%
No more than 15%
As shown in Table H-8, a total $191,023,000 of net Set-Aside funds is estimated to be
deposited into the Housing Fund between January 1, 2002 and December 31,2014.5
These funds must comply with the following distribution formulas, which are a weighted
average of the various requirements from January 1, 2002 and December 31, 2014:
Maximum Estimated Expenditure on Moderate Income Units @ 24%
Minimum Estimated Expenditure on Low Income Units @ 29%
Minimum Estimated Expenditure on Very-Low Income Units @ 45%
Minimum Estimated Expenditure on Extremely-Low Income Units @ 2%
$45,280,000
$54,934,000
$86,125,000
$4,685,000
5 These funds are net of administration costs and debt service, and include other housing revenues (land sales,
residual receipts revenues, loan repayments, bond proceeds and fund balances from prior to January 1. 2002).
Page 24
TABLE H-8
FUTURE HOUSING SET-ASIDE FUND EXPENDrrURES PROJECTION (FY 2001102 - FY 2013/14)
IMPLEMENTATION PLAN - ANAHEIM MERGED PROJECT AREA
ANAHEIM, CALIFORNIA
Housing Other H8g (LeIs) (Leu) Net Housing
I. Proportionality Compliance Period ' Set-AsIde 1I RlMtnu_ I Admin. Costs Debt ServIce Set-AsIde
1/112002 - 6I30I2002" $2,715,000 $7,286,000 B ($226,000) ($1,256,000) $8,519,000
FY 2002/03 D 5,497,000 11,684,000 B (1,057,000) (2,525,000) 13,599,000
FY2oo3lO4D 6,266,000 15,158,000 (1,430,000) (2,400,000) 17,594,000
FY 20041'05 D 6,560,000 10,799,000 B (1,425,000) (2,399,000) 13,535,000
FY 2005106 7,106,000 12,766,000 (1,448,000) (2,393,000) 16,031,000
FY 2006107 11,005,000 22,980,000 (1,389,000) (2,387,000) 30,209,000
FY 2007108 11,506,000 18,900,000 (1,454,000) (2,398,000) 26,554,000
FY 2008109 11,739,000 7,900,000 (1,515,000) (2,387,000) 15,737,000
FY 2009110 11,976,000 2,400,000 (1,560,000) (4,316,000) 8,500,000
FY 2010111 12,218,000 2,400,000 (1,607,000) (4,310,000) 8,701,000
FY 2011/12 12,464,000 2,400,000 (1,655,000) (4,317,000) 8,892,000
FY 2012/13 12,716,000 2,400,000 (1,705,000) (4,315,000) 9,096,000
FY 2013/14 12,973,000 2,400,000 (1,756,000) (4,315,000) 9,302,000
7/112014 - 12/3112014 ' 6,617,000 1,200,000 (905,000) (2,158,000) 4,754,000
Totals $131,358,000 $120,873,000 ($19,132,000) ($41,878,000) $191,023,000
Pre-SB 211 Adoption (1/112002 - 6/30/2006) $69,278,000
Post SB 211 Adoption (7/112006 - 12/31/14) $121,745,000
Alpha TI (7/112011 -12/31/14) $31,232,734
II. Mulmum Expendltul8S on Age RestrIcted Projects · 17.0% of NetTI $32,474,000
III. Income Taraetlna Exaendltul8S
A. Pre-8B 211 AdoDllon 11/1/2002 . 8130120081-
MaxImum Expenditures on Moderate Income Households 39% of Net Tax Increment $27,018,000
Minimum Expenditures on Low Income Households 23% of Net Tax Increment $15,934,000
Minimum Expenditures on Very-Low Income Households 38% of Net Tax Increment $28,328,000
Minimum Expenditures on Extremely-Low Income Households 0% of Net Tax Increment $0
B. Post SB 211 Adoatlon 1711/2008 -12131114) 'u
MaxImum expenditures on Moderate Income Households 15% of Net Tax Increment $18,282,000
Minimum expenditures on Low Income Households 32% of Net Tax Increment $311,000,000
Minimum expenditures on Very-Low Income Households 49% of Net Tax Increment $59,7911,000
Minimum Expenditures on Extremely-Low Income Households 4% of Net Tax Increment $4,685.000
Exb'emely- Age
IV. Expendtture Projections Law Very-Low Low MocIer8t8 RestrIcted
Actual Expenditures (112002 - FY 2004105) $0 $14,047,000 $10,076,000 $20,387,000 $1,318,000
Projected Expenditures (FY 2005/06 -12/3112014) 4,685,000 72,078,000 44,658,000 24,893,000 31,156,000
Total Expendttu18S $4,685.000 $88,125,000 $54,934,000 $45,280,_ $32,474,000
Of Total Expendltul8S 2% 45% 29% 24% 17%
Based on Agency estimates. Includes funds and expenditures from January 1, 2001 through the remaining yea15 of the am8nt Implementation Plan plus
two 5 year Implementation Plan terms.
2 Based on KMA's financial analysis dated November 30, 2005.
I Includes land sales, residual receipts I'8V8nue, loan repayments, bond proceeds and unused fund balance.
· Estimated by calculetlng 50% of the FY 2001102 actuals.
B Based on actuals.
B Includes unused fund balances of $4,049,000 In Year 1, $3,843,000 In Year 2, and $0 In Year 4.
7 Estimated by calculating 50% of the FY 2014/15 budget estimates.
B Per the 2000 United States Census and reflects the 2005 change to the calculation definition.
· Per the Regional Housing Needs Assessment estimates provided in the City's cunent Housing Elemenl
'D Due to Alpha's 1O-year extension occurlng in FY 2010/11, the 15% moderate Income maximum for the Alpha Set-AsIde funds total $31.2 million for FY
2011/12 - 12/31/14. Assumes thet the Agency will spend $4,685,000 in moderete income projects/progrems and thel'8fore the same amount must be
matched in extremely-low Income projeclslprogrems. KMA essumed that the axteremely-low income match would be reallocated from the very-low income
requirement.
Prepared by: Keyser Marston Associates, Inc.
Filename: Anaheim Implementation Plan 128 05; H-8; jlr; 121912005
As of the end of fiscal year 2004/05, the Agency has spent the following Set-Aside funds
by category:
Extremely-Low Income Households
Very-Low Income Households
Low Income Households
Moderate Income Households
Total Expenditures
Actual
Expenditures
$0
14,047,000
10,076,000
20,387,000
$44,510,000
Asa%of
Requirements
0%
16%
18%
45%
30%
The Agency plans to expend the remaining estimated Set-Aside funds so that at the end
of 2014 it has met its obligation to allocate 45 percent of the Housing Fund project and
program expenditures to very-low income households, 4 percent of the funds to
extremely-low income households, 29 percent of the funds to low income households
and 24 percent of the funds to moderate income households. Thus, the Agency
anticipates meeting the income targeting standards imposed by Section 33334.4.
d. Age Restricted Housing Expenditures
Section 33334.4 (as amended and effective January 1, 2006) also requires that the
Agency assist housing that is available to all persons, regardless of age, in at least the
same proportion as the population earning below 80% of the median income and under
age 65 bears to the City's total population eaming below 80% of the median income as
reported in the most recent census of the United States Census Bureau. The 2000
Census indicates that 83 percent of the City's population is under 65 years of age and
earns less than 80% of the median income. As such, at least 83 percent of the Agency
expenditures on affordable housing projects must be spent to assist projects that do not
impose age restrictions on the residents.
As also shoWn in Table H-8, this Implementation Plan anticipates allocating
approximately seventeen percent (17%) ofthe estimated $191,023,000 in the Housing
Fund monies to age-restricted projects, which totals $32,474,000. To date, the Agency
has spent $1,318,000 on age-restricted units which is 3% of the maximum allowed.
Thus, it is anticipated that the Agency will fulfill the age restricted housing expenditures
test imposed by Section 33334.4.
e. Excess Surplus Calculation
The Project Area is subject to the "excess surplus" requirements imposed by Section
33334.12. Excess surplus is defined as any unexpended and unencumbered amount in
a Project Area's Housing Fund that exceeds the greater of one million dollars
Page 26
($1,000,000) or the aggregate amount deposited into the Housing Fund during the
project's preceding four fiscal years. Based on the Section 33334.12 requirements, the
Agency has three years to encumber any excess surplus funds.
As illustrated in Table H-9, the Housing Fund had an $8.11 mil~on beginning balance,
and according to the projected revenues and expenditures during fiscal year 2004-05,
the ending balance was 14.62 million. The aggregate arnount deposited into the
Housing Fund from fiscal year 2001/02 to fiscal year 2004/05 totals $23,752,000.
Therefore, the Merged Project Area does not have an excess surplus within the Housing
Fund in Fiscal Year 2004/05, nor is one expected during the 10-year Implementation
Plan period. The expenditure plan outlined in the following section is designed to avoid
the risk of excess surplus during this Implementation Plan period.
5. Housing Goals and Objectives of the Implementation Plan
The primary goal of the Agency is to comply with the affordable housing requirements
imposed by the CRL in a responsible manner. The affordable housing activities
identified in this proposed Implementation Plan will be undertaken over the duration of
the Redevelopment Plan for the Merged Project Area, and will explicitly assist in
accomplishing the intent of the CRL in regards to the provision of low-mod housing.
The CRL establishes that certain housing requirements be attained during five and 10-
year increments; and over the remaining Merged Project Area life. Specifically, the
inclusionary housing production requirement must be met every 10 years, and over the
life of the Merged Project Area life. Comparatively, the proportionality tests must be
achieved between January 1, 2002 and December 31, 2014, and then again in 10-year
increments throughout the Merged Project Area life. SB 211 requires that the 15%
limitation on moderate income expenditures be met every five years after the sa 211
Amendment is adopted. It is the Agency's goal and objective for this Implementation
Plan to accomplish sufficient activity and expenditures to comply with the applicable
requirements.
a. Housing Fund Resources and the Housing Program
This section of the Housing Component will discuss housing activities planned for the
Five-Year Implementation Plan period. Table H-10 estimates the Housing Fund
deposits and expenditures anticipated to occur during each year of the five-year period.
These expenditures are then tied to estimates of the number of new, rehabilitated, and
price restricted units to be assisted by the Agency.
Page 27
TABLE H-I
HOUSING SET -ASIDE FUND ANALYSIS (FY 2004#05 - FY 2013114)'
IMPLEMENTATION PLAN. ANAHEIM MERGED PROJECT AREA
ANAHEIM, CALIFORNIA
Actual Projected Projected Projected Projected Projected Projected Projected Projected Projected
Fiscal Year ~ -- J.lIUlIZ DIIZlIII 2UIlII DDlJJl iIWIl11 2IWL12 m..zl1I ZIl3JlH
I. Beginning Cash Balance $8,113,000 $14,824,000 $2,205,000 $0 $0 $0 $0 $0 $0 $0
II. Revenues
Property Tax Increment ;t $6,560,000 $7,106,000 $11,005,000 $11,506,000 $11,739,000 $11,976,000 $12,218,000 $12,464,000 $12,716,000 $12,973,000
Land Sales 8,278,000 11,548,000 22,080,000 18,000,000 7,000,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000
Residual Receipts Revenue 35,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000
Loan Repayment 1,262,000 600,000 600,000 600,000 600,000 600,000 600,000 600,000 600,000 600,000
Interest Income 594,000 376,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000
Rentallncome 259,000 142,000
Federel Funds Transfer 292,000
Miscellaneous 79,000
Bond Proceeds
Total Revenues $17,359,000 $19,872,000 $33,985,000 $30,408,000 $19,839,000 $14,378,000 $14,818,000 $14,884,000 $15,118,000 $15,373,000
III. Exaendltures
Administrative Costs $1,425,000 $1,448,000 $1,389,000 $1,454,000 $1,515,000 $1,560,000 $1,607,000 $1,655,000 $1,705,000 $1,756,000
Projects ~ 5,845,000 23,854,000 26,934,000 22,374,000 11,522,000 7,500,000 7,701,000 7,892,000 8,096,000 8,302,000
Programs 4 1,179,000 4,596,000 5,480,000 4,180,000 4,215,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000
Bond Debt Service b 2.399.000 2.393.000 2.387.000 2.398.000 2.387.000 4.316.000 4.310.000 4.317.000 4.315.000 4.315.000
Total expenditures S1 0.848.000 S32.291.000 138.180.000 S30.408.000 S19.839.000 S14.378.000 S14.818.000 S14.884.000 S15.118.000 S15.373.000
IV. Net Incomel(Loss) S8.511.000 IS12.419.000' IS2.205.000' B II B B B II B
V. Ending Cash Balance $14,824,000 $2,205,000 $0 $0 $0 $0 $0 $0 $0 $0
VI. Excess Surolus AnalYsis
Maximum Allowable Fund Balance $23,752,000 $25,429,000 $30,937,000 $36,177,000 $41,356,000 $46,226,000 $47,439,000 $48,397,000 $49,374,000 $50.371,000
Excess Surplus $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
, Per Agency estimates.
2 Based on the KMA financial analysis dataed November 30, 2005.
3 Includes proposed projects as well as purchasing the Orange County Trensportetlon Authority and Caltrans remanent parcels and properties along Uncoln Avenue and Anaheim Blvd.
4 Includes the following programs: Second Mortgage Assistance, EPAL Homebuyer Assistance, Rental Assistance, and Neighborhood Improvement Plan.
5 The Agency did not Issue bonds In FY 2004105 as previously projected.
Pran,""'" h". IlA'....r I.Aaratnn 4..n,...... In..
TABLE H.10
HOUSING SET-ASIDE FUND ANALYSIS (IMPLEMENTATION PLAN)'
IMPLEMENTATION PLAN. ANAHEIM MERGED PROJECT AREA
ANAHEIM, CAUFORNIA
Projected Projected Projected Projected Projected
Fiscal Year ~ 2IIIlII DMZ DIIZlIII ZUIlII
I. Beginning Cash Balance $8,113,000 $14,824,000 $2,205,000 $0 $0
II. Revenues
Property Tax Increment ;t $6,560,000 $7,106,000 $11,005,000 $11,506,000 $11,739,000
Land Sales 8,278,000 11,548,000 22,080,000 18,000,000 7,000,000
Residual Receipts Revenue 35,000 100,000 100,000 100,000 100,000
Loan Repayment 1,262,000 600,000 600,000 600,000 600,000
Interest Income 594,000 376,000 200,000 200,000 200,000
Rental Income 259,000 142,000
Federel Funds Transfer 292,000
Miscellaneous 79,000
Bond Proceeds
Total Revenues $17,359,000 $11,872,000 $33,985,000 $30,408,000 $19,831,000
III. Exaendltures
Administrative Costs $1,425,000 $1,448,000 $1,389,000 $1,454,000 $1,515,000
Projects ~ 5,845,000 23,854,000 26,934,000 22,374,000 11,522,000
Programs 4 1,179,000 4,596,000 5,480,000 4,180,000 4,215,000
Bond Debt Service b 2.399.000 2.393.000 2.387 .000 2.398.000 2.387.000
Total Expendltu.... 110,848,. 132.291.000 138.190.. 130.408.000 111.831.000
N. Net Incomel(Loss) 18.511.. 1I12A1I.000' 112.205.000' B B
V. Ending Cash Balance $14,824,000 $2,205,000 $0 $0 $0
VI. Excess SUI'Dlus AnalYsis
Maximum Allowable Fund Balance $23,752,000 $25,429,000 $30,937,000 $36,177,000 $41,356,000
Excess Surplus $0 $0 $0 $0 $0
Implementation
Plan Period
$8,113,000
$47,916,000
66,906,000
435,000
3,662,000
1,570,000
401,000
292,000
79,000
-
$121,261,000
$7,231,000
90,529,000
19,650,000
11.964.000
1121.374.000
118.113.00"
$0
, Per Agency estimates.
2 Based on KMA's IInanclal analysis dated November 30, 2005.
3 Includes proposed projects as well as purchasing the Orange County Transportation Authority and Caltrans remanent parcels and properties along
Uncoln Avenue and Anaheim Blvd.
4 Includes the following progrems: Second Mortgage Assistance, EPAL Homebuyer Assistance, Rental Assistance, and Neighborhood Improvement
Plan.
5 Assumes that the Agency will not issue further housing bonds.
DrAne...'" ml- 1t'a.'IGAr ..aratnn 4..n"'a'.. In,...
b. Housing Fund Revenues
Table H-10 presents the estimated Housing Fund cash flow for the first five years ofthis
Implementation Plan. The estimated deposits are based on a tax increment projection
prepared by Agency staff along with other sources of revenues identified by Agency
staff. The Set-Aside revenue includes the following:
. Twenty percent (20%) of the estimated gross tax increment for the Merged
Project Area, which increases to 30% as of July 1, 2006 (if the Amendments are
adopted);
e Sale of land owned by the Agency;
. Residual receipt revenue and loan repayments to the Agency;
. Interest and rental income;
. Federal funds transfer;
. Future bond proceeds; and
. Cash reserves from previous fiscal years.
As shown in Table H-10, the following summaries the total projected revenues that will
be deposited into the Housing Fund during the Implementation Plan period:
Beginning Balance
Property Tax Increment
Sale of Land
Residual Receipt Revenue
Loan Repayment
Interest Income
Rental Income
Federal Funds Transfers
Miscellaneous
Bond Proceeds
Total Projected Revenues
Implementation
Plan Period
$8,113,000
47,.916,000
66,906,000
435,000
3,662,000
1,570,000
401,000
292,000
79,000
o
$121,261,000
Page 30
c. The Housing Program and Housing Fund Expenditures
Based upon the Agency's projected revenues described above, it is anticipated that the
Agency will have expenditures that total $129,374,000 over the Implementation Plan
period. As shown in Table H-10, the expenditures can be broken down into four (4)
categories as described below: administration, bond debt service, and projects and
programs.
Project Expenditures
Program Expenditures
Administrative Expenses
Bond Debt Service
Total Projected Expenditures
Implementation
Plan Period
$90,529,000
19,650,000
7,231,000
11,964,000
$129,374,000
Proiects
The Agency over the next five years will continue to implement projects, which will
provide affordable housing opportunities within the City of Anaheim. The following
summarizes how the Agency will assist projects during the next five years:
1. The Agency will continue to focus on producing deed-restricted housing units in
order to increase the permanent stock of affordable housing. Such units can be
produced. through new construction, substantial rehabilitation, or, in the case of
multi-family rental housing, acquisition and deed-restriction.
2. The Agency can make loans and grants from the Low and Moderate Income
Housing Fund to non-profit or for-profit developers for the new construction or
rehabilitation of affordable housing. Loans can be made on a deferred payment
and/or below market interest rate basis.
3. The Agency can also participate by assisting in the acquisition of land, land cost
write-down, developer recruitment, credit enhancement, or in other ways to make
development of affordable housing feasible. This is usually done after
identification of a housing site, development of a housing concept, and issuance
of a Request for Proposals for development of the project.
Such affordable housing can be rental or ownership housing. In order for such units to
count as inclusionary units in fulfillment of a project area's inclusionary obligation, they
must be deed-restricted to be affordable to the applicable income level for a term no
shorter than 45 years for ownership housing, and 55 years for rental housing.
Page 31
The Agency will primarily assist private developers in the development of housing within
the Merged Project Area, and restricting these housing units for very low-, low and
moderate income households. However, as of July 1, 2011, the Agency will be required
to match the amount spent on moderate income households using the Set-Aside funds
attributable to the Project Area constituent area of the Merged Project Area with the
same amount on extremely-low income households.
The following summarizes the Agency involvement in housing development:
1. The Agency will assist private developers in the development of over 1 ,000 units
over the next 10 years.
2. The Agency will also be in the process of acquiring property over the next five
years for future housing sites. Sites proposed to be acquired for future housing
include Orange County Transportation Authority and CalTrans remnant parcels,
properties along Lincoln Avenue in west Anaheim, and certain parcels along
Anaheim Boulevard.
3. Also, although only a small portion of the 1o-year expenditures, the Agency has
allocated funds over the next five years for public improvements to facilitate the
development of affordable housing within the Merged Project Area.
Procrams
The following summarizes the programs that the Agency plans to implement:
1. Mortgage Assistance
. Second Mortgage Assistance Program (SMAP)/EPAL Homebuyer
Assistance Program - Provides a loan pool for down payment assistance
for households up to 120% of area median income) single- and multi-
family home buyers. The SMAP program offers deferred payment
second mortgage loans, which bridge the gap between the first mortgage
a buyer can qualify for and the purchase price of the home. The loans
are available for 15 percent of the purchase price of the home, not-to-
exceed $35,000. The SMAP loan is secured by a deed of trust and
promissory note and accrues simple interest at five percent per annum.
The SMAP down payment assistance loan is deferred for up to 30 years
and due earlier when anyone of the following occur: at the time the
property is resold; when the house is no longer owner-occupied; when
refinancing for more than the first mortgage balance; prepayment of the
loan; or transfer of ownership.
Page 32
. EPAL Homebuyer Assistance Program - While similar to the SMAP, the
EPAL Homebuyer Assistance Program requires affordability covenants of
45 years.
2. Rental Assistance Program
. The Agency may offer rent subsides to qualified households to obtain and
retain decent, safe and sanitary affordable housing as part of its Rental
Assistance Program. The intent is to reach both owner-occupant and
renter households throughout the City in order to stabilize transitional
neighborhoods through improvement of existing residential structures and
preservation of existing stock, which is usually more affordable to low and
moderate income households.
3. Neighborhood Improvement Plan
. The Agency will leverage its Housing Funds to implement its
Neighborhood Improvement Plan and eliminate blighting conditions in
targeted neighborhoods by increasing on-site management, relocating
tenants from overcrowded apartment units," rehabilitation of housing units,
and infrastructure improvements. The Agency will also offer rehabilitation
loans to homeowners for improvements, including plumbing and electrical
repairs, roof repair/replacement, floor coverings and correction of health
and safety code violations.
Administration
Administration includes costs for professional services and other administrative costs
incurred in the course of operating the Housing .division of the Agency. This category is
used for general administration costs not associated with any specific project or program
in particular, such as annual audits a"nd legal services. Project-specific administrative
costs are included within the budget of each project or program. Amounts allocated to
this category in the expenditure plan are based on average spending over the past plan
period, with a slight increase to allow for inflation in this next five-year period.
Bond Debt Service
The Agency will continue to make principal and interest payments on the 2000 Tax
Allocation Revenue Bonds, Series A and B Bonds. The annual debt service is secured
by Housing Fund revenues generated from tax increment.
Page 33
a. Revenue and Cost Reconciliation
The project and program related costs are estimated at $110,179,000, the administrative
costs are projected at $7,231,000 and the debt service costs are estimated at
$11,964,000. This brings the total expenditures to $129,374,000.
Table H-10 provides an illustrative example of how the Housing Program could be
financed on an annual basis over the Five-Year Implementation Plan term. Based on
this projection, at the end of the 5-year Plan period the Housing Fund will have a
balance of zero dollars at the beginning of fiscal year 2009-10. However, the timing and
specific amounts of these expenditures may be adjusted over time. Therefore, specific
decisions on each of these items will be made as part of the Agency's annual budget
process.
b. Summary of Planned Housing Activity
Given the successful implementation of the proposed housing program, the Agency will
have accomplished the following by December 31, 2014:
· The Agency will have met the incl~sionary housing production obligation for the
life of the Merged Project Area.
· The Agency will have replaced the 21 units that had previously been removed
ftom,.t~e Merged Project Area's housing inventory.
· The Agency will have spent the estimated Housing Funds as follows:
Extremely-low Income Units
Very-low Income Units
Low Income Units
Moderate Income Units
Total Expenditures
Non-Age Restricted Unms
Age Restricted Units
Total Expenditures
Estimated Housing
Fund Expenditures
$4,685,000
86,125,000
54,934,000
45,280,000
$191,024,000
$158,549,000
32,474,000
$191,024,000
Page 34
6. Conclusion
The preceding. plan fulfills the CRL Section 33490 requirements for the preparation and
execution of the required Implementation Plan elements. The Agency will meet its
Implementation Plan goals for blight elimination through the implementation of various
projects and programs. The Agency, over the next five years, intends to implement
affordable housing projects and programs that will commit its housing fund monies in
compliance with the low/mod housing requirements. .It should be noted that the budget
used in this Implementation Plan is an estimate, therefore, the Agency is not committed
to expending the exact amounts referred to if the Set-Aside funds do not reach the levels
estimated in this Implementation Plan. The Agency will meet its affordable housing
responsibilities by:
. Meeting its inclusionary housing production obligations for the life of the Project
Area;
. Providing the requisite number of replacement housing units to fulfill the
Agency's outstanding obligations;
. Fulfilling the age restriction and income distribution tests imposed between
January 1,2002 and December 31,2014; and
. Eliminating any excess surplus balance in the Housing Fund.
The Agency currently has a beginning balance in the Housing Fund for FY 2004-05 of
$8,113,000. Based on the .proposed expenditures, this beginning balance will be
eliminated by the beginning of FY 2005-06.
Page 35