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Resolution Number SJCHA 22-10-18-011 10/18/2022 SJCHA RESOLUTION NO. 22-10-18-01 A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE SAN JUAN CAPISTRANO HOUSING AUTHORITY APPROVING A DISPOSITION AND DEVELOPMENT AGREEMENT WITH THE CITY OF SAN JUAN CAPISTRANO AND JAMBOREE HOUSING CORPORATION FOR THE SALE OF CERTAIN REAL PROPERTY (PORTION OF APN 668-101-23) AND DEVELOPMENT OF REAL PROPERTY (APN 668-101-23) WHEREAS, the City of San Juan Capistrano (“City”) currently owns in fee that certain real property, APN 668-101-23, generally located at 32400 Paseo Adelanto in the City of San Juan Capistrano (the “real property”); and WHEREAS, on April 8, 2020, City and Jamboree Housing Corporation (“Developer”) entered into that certain Exclusive Negotiation Agreement for the potential redevelopment of the real property to create affordable housing units and a new city hall. On March 16, 2021, City and Developer entered into that certain First Amended Exclusive Negotiation Agreement for additional time to assess the viability of the redevelopment; and WHEREAS, the City desires to sell a portion of the real property, which is legally described and depicted in Exhibit A (the “Property”), by entering into a Disposition and Development Agreement (“Agreement”) with Developer attached as Exhibit B for purposes of developing an affordable housing project on the Property and a new city hall on the remainder of the real property (the “Project”); and WHEREAS, on February 15, 2022, the City Council found the Project statutorily exempt from further review pursuant to Government Code section 65583.2(h) and (i), which applies when sites are re-zoned to accommodate the Regional Housing Needs Assessment allocation for low and very low income housing, and results in the future approval for multifamily rental projects on those sites to be considered a “use by right,” which is defined to mean that the review shall not include approval that would constitute a “project” for purposes of CEQA. This action to approve the Agreement and the sale of the Property is a follow-on action covered by the same exemption that is applicable to the Project; and WHEREAS, on June 21, 2022, the City adopted Resolution No. 22-06-21-02 declaring the City’s intention to sell the Property and setting time for a public hearing to consider the sale of the Property; and 2 10/18/2022 WHEREAS, unless an exemption applies, California Government Code Section 54220, et seq. (the “Surplus Land Act”) requires that prior to the disposal of any surplus land, a local agency must provide notice to, among others, affordable housing developers, and thereafter negotiate in good faith for ninety (90) days with any parties who submit a notice of interest; and WHEREAS, the Property is exempt from the Surplus Land Act because the Property is being disposed of by the City for the development of affordable housing in accordance with and pursuant to California Government Code Section 37364; and WHEREAS, the Agreement provides for the sale of the Property at fair market value, and binds Developer to construct the Project in a timely manner, and in accordance with the terms therein; and WHEREAS, Developer’s proposed acquisition of the Property and subsequent construction and development of the real property is in the public interest and convenience of the City, the community, and the health, safety, and welfare of the City’s taxpayers and residents, and will further the goals and objectives of the City’s general plan by promoting and achieving development of low-income housing and public facilities and services; and WHEREAS, on July 19, 2022, the City Council approved the aforementioned disposition and development agreement; and WHEREAS, on September 6, 2022, the Board of Commissioners appropriated $6 million in Housing Authority funds for the development of the affordable housing project. NOW, THEREFORE, THE BOARD OF COMMISSIONERS OF THE SAN JUAN CAPISTRANO HOUSING AUTHORITY DOES HEREBY RESOLVE AND FIND AS FOLLOWS: Section 1. Recitals. The Recitals set forth above are true and correct and are incorporated into this Resolution by this reference. Section 2. CEQA Compliance. The Board of Commissioners hereby finds that the adoption of this Resolution approving the Agreement is covered by the same exemption that applied to the overall Project. Namely, that the Project – including this Resolution approving the Agreement – is statutorily exempt from further review pursuant to Government Code section 65583.2(h) and (i), which applies when sites are re-zoned to accommodate the Regional Housing Needs Assessment allocation for low and very low income housing, and results in the future approval for multifamily rental projects on those sites to be considered a “use by right,” which is defined to mean that the review shall not include approval that would constitute a “project” for purposes of CEQA. A Notice of Exemption was filed on February 17, 2022. No actions were filed to challenge the CEQA determination within the applicable statute of limitations period and thus the 3 10/18/2022 CEQA determination for the Project is presumed valid. (Pub. Resources Code, section 21167.2.) Section 3. Approval of Agreement. The Board of Commissioners hereby finds that the Agreement memorializes their intent to loan the affordable housing funds previously appropriated to the Developer and hereby approves the Agreement, in substantially the form attached to this Resolution as Exhibit “B,” subject to any non- substantive revisions approved by the City Attorney and authorizes the Chair to sign and enter into the Agreement and direct the Executive Director to perform the obligations of the Authority pursuant to the Agreement. The Executive Director is authorized and directed to take any additional action necessary to implement the intent of the Board of Commissioners and this action. Section 4. Severability. If any provision of this Resolution or the application of any such provision to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications of this Resolution that can be given effect without the invalid provision or application, and to this end the provisions of this Resolution are severable. The Authority declares that the Authority would have adopted this Resolution irrespective of the invalidity of any particular portion of this Resolution. Section 5. Certification. The City Clerk of the City of San Juan Capistrano shall certify to the adoption of this Resolution. Section 6. Effective Date. This Resolution shall become effective immediately upon its adoption. APPROVED AND ADOPTED THIS 18th day of October 2022. ________________________________ HOWARD HART, CHAIR ATTEST: ________________________________ MARIA MORRIS, CITY CLERK 4 10/18/2022 STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss. CITY OF SAN JUAN CAPISTRANO ) I, MARIA MORRIS, appointed Housing Authority Secretary of the San Juan Capistrano Housing Authority of the City of San Juan Capistrano, do hereby certify that the foregoing SJCHA Resolution No. 22-10-18-01 was duly adopted by the Commissioners of the San Juan Capistrano Housing Authority at a regular meeting thereof, held the 18th day of October 18, 2022, by the following vote: AYES: COMMISSIONERS: Reeve, Taylor, Farias, Bourne and Chair Hart NOES COMMISSIONERS: None ABSENT: COMMISSIONERS: None _____________________________________________ MARIA MORRIS, HOUSING AUTHORITY SECRETARY 5 10/18/2022 EXHIBIT “A” TO SJCHA RESOLUTION NO. 22-10-18-01 LEGAL DESCRIPTION OF PROPERTY ASSESSOR PARCEL NUMBER 668-101-23 (PORTION OF) PARCEL 2 (PORTION OF) THAT PORTION OF LOT 60 OF TRACT NO. 103, AS SHOWN ON A MAP FILED IN BOOK 11, PAGES 29 THROUGH 33, INCLUSIVE, OF MISCELLANEOUS MAPS, RECORDS OF ORANGE COUNTY, CALIFORNIA, IN THE CITY OF SAN JUAN CAPISTRANO, COUNTY OF ORANGE, STATE OF CALIFORNIA, AS DESCRIBED IN THAT CERTAIN QUITCLAIM DEED RECORD NOVEMBER 15, 2002 AS INSTRUMENT NO. 2002001029026 OF OFFICIAL RECORDS OF SAID COUNTY, AND MORE PARTICULARLY DESCRIBED AS BEING “PARCEL 2” OF RECORD OF SURVEY No. 2021-1079, FILED FEBRUARY 10, 2022 IN BOOK 324, PAGE 37 OF RECORDS OF SURVEY, RECORDS OF SAID COUNTY. 6 10/18/2022 EXHIBIT “B” TO SJCHA RESOLUTION NO. 22-10-18-01 DISPOSITION AND DEVELOPMENT AGREEMENT (City Hall – Paseo Adelanto Mixed Use Permanent Supportive Housing) [Attached as referenced due to size]