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3. Original PLHA Plan (June 23, 2020)

Anaheim City Council
December 20, 2022

Document
3. Original PLHA Plan (June 23, 2020)
Meeting
December 20, 2022
Body
Anaheim City Council
Original file
348 KB
Text extracted from the city's file for reading and search. Open the original on local.anaheim.net. That file is the official record.

PLHA Page 1 302(c)(4) Plan
§302(c)(4) Plan Rev. 5/20/20
§302(c)(4)(A) Describe the manner in which allocated funds will be used for eligible activities.

The City of Anaheim, in partnership with the Anaheim Housing Authority, will use PLHA funds to provide gap financing for the development of new affordable multifamily rental housing projects serving households earning 60% of Area Median Income (AMI) and below, primarily on Housing Authority owned land. Proposed housing developments address the varying needs in Anaheim including housing for seniors, low income workers as well as families and individuals exiting homelessness.

PLHA funds will also be used to provide down payment assistance to households with up to 120% of AMI in an effort to ensure that a diversity of housing opportunities are being offered in the City.
§302(c)(4)(B) Provide a description of the way the Local government will prioritize investments that increase the supply of housing for households with incomes at or below 60 percent of Area Median Income (AMI).

The City will use PLHA funds for gap financing on the following six affordable rental housing projects (4 primary sites, two alternate sites): (1) Housing Authority(AHA) owned site at Karcher Way (Karcher site) is estimated to provide 330 multi-generational affordable units all serving households earning 30% to 60% AMI,(2) Housing Authority owned site in District 4 (Matrix St site) is proposed to be developed with 80 units serving 30% to 60% AMI,(3) and( 4) sites at Lemon & Santa Ana St, also AHA owned, are anticipated to provide 30 workforce family rental units serving households earning 30% to 60% AMI. Alternate sites: in the event PLHA funds are not needed to facilitate the development of the sites at Lemon & Santa Ana sites, the City will seek to develop an alternative AHA owned site in downtown Anaheim with a 75-unit senior development serving seniors at 30% to 60% of AMI. PLHA funds may also be used to support the Center of Hope (Salvation Army site), a proposed PSH development consisting of 100 units serving homeless persons earning 30% to 50% of AMI on a site owned by the Salvation Army.

In support of homeownership opportunities, the City proposed to use PLHA funds to provide up to $100,000 in down payment assistance loans to moderate income households to purchase homes. The Avanti site which recently received a Preliminary Funding Commitment letter, will provide townhomes for sale to moderate households. Additional and/or alternate homeownership site: the City is working with Habitat for Humanity on the development of two sites for homeownership opportunities that will be affordable to low- and moderate income households. This project may be funded using PLHA funds if primary development sites are stalled or alternative sources of funding are supplanted for PLHA funds.
§302(c)(4)(C) Provide a description of how the Plan is consistent with the programs set forth in the Local Government’s Housing Element.

The affordability requirements of the Plan are consistent with the affordability requirements of the Anaheim Housing Element which requires the creation of affordable housing units for Extremely Low, Very Low, Low-and Moderate income levels.

Activities Detail (Activities Detail (Must Make a Selection on Formula Allocation Application worksheet under Eligible Activities, §301)) §301(a)(1) The predevelopment, development, acquisition, rehabilitation, and preservation of multifamily, residential live-work, rental housing that is affordable to extremely low- ,very low-, low-, or moderate-income households, including necessary Operating subsidies. §302(c)(4)(E)(i) Provide a description of how allocated funds will be used for each proposed Affordable Rental Housing Activity.

The proposed Plan directs over 80% of the City's PLHA funds to the development of new affordable rental housing projects serving households earning up to 60% of the Area Median Income (AMI). The use of PLHA funds for the creation of affordable rental housing units and homeownership down payment assistance is consistent with City's adopted 2014-2021 Housing Element. The City currently has several affordable housing projects in the pipeline that are in need of gap financing. Below are the projects that can utilize PLHA funds.

Complete the table below for each proposed Affordable Rental Housing Activity to be funded with 2019-2023 PLHA allocations. If a single Activity will be assisting households at more than one level of Area Median Income, please list the Activity as many times as needed to capture all of the AMI levels that will be assisted, but only show the percentage of annual funding allocated to the Activity one time (to avoid double counting).

Funding Allocation Year 2020 2021 2022 2023
§302(c)(4)(E)(i) Percentage of
Funds Allocated for the
Proposed Affordable Rental
Housing Activity
100.00% 100.00% 100.00% 100.00%
§302(c)(4)(E)(ii) Area Median
Income Level Served 30% 120% 30% 50% 60% 120% 30% 50% 60% 120% 30% 50% 60% 120% TOTAL §302(c)(4)(E)(ii) Unmet share
of the RHNA at the AMI Level 70 2 20 32 27 1 81 132 112 5 18 30 26 1 557

PLHA Page 2 302(c)(4) Plan
§302(c)(4)(E)(ii) Projected
Number of Households Served 70 2 20 32 27 1 81 132 112 5 18 30 26 1 557

PLHA Page 3 302(c)(4) Plan
§302(c)(4)(E)(iv) Period of
Affordability for the Proposed
Affordable Rental Housing
Activity (55 years required for
rental housing projects)

55 Years

55 Years

55 Years

55 Years

55 Years

55 Years

55 Years

55 Years

55 Years

55 Years

55 Years

55 Years

55 Years

55 Years

§302(c)(4)(E)(iii) A description of major steps/actions and a proposed schedule for the implementation and completion of the Activity.

Activity funding for 2021: Center of Hope (Salvation Army)-Approved the issuance of a Preliminary Award Letter to the Salvation Army Corporation (SAC) in support of the Center of Hope 100-unit Permanent Supportive Housing Phase 1 Project. SAC is currently in the process of securing additional financing from multiple sources. Activity Funding for 2022:

Matrix Site - City entered into an Exclusive Negotiation Agreement (ENA) with the developer to determine the scope of the development for an 80-unit affordable housing project.

Activity Funding for 2023: Lemon & Santa Ana Sites: City currently owns two sites in which both properties will be developed with a 30-unit workforce family affordable housing project. (Alternate Site: Potential Senior Site: City currently owns the site and is working with an adjacent affordable housing developer to develop a new 75-unit senior housing project. This is proposed to be an alternate project should Lemon & Santa Ana not move forward). Activity Funding for 2024: Karcher Site: Purchased the site in 2019. Site preparation activities include an Environment Impact Review and land use changes. §301(a)(2) The predevelopment, development, acquisition, rehabilitation, and preservation of affordable rental and ownership housing, including Accessory Dwelling Units (ADUs), that meets the needs of a growing workforce earning up to 120 percent of AMI, or 150 percent of AMI in high-cost areas. ADUs shall be available for occupancy for a term of no less than 30 days.
§301(a)(3) Matching portions of funds placed into Local or Regional Housing Trust Funds. §301(a)(4) Matching portions of funds available through the Low- and Moderate-Income Housing Asset Fund pursuant to subdivision (d) of HSC Section 34176. §301(a)(5) Capitalized Reserves for Services connected to the preservation and creation of new permanent supportive housing. §301(a)(6) Assisting persons who are experiencing or At risk of homelessness, including, but not limited to, providing rapid rehousing, rental assistance, supportive/case management services that allow people to obtain and retain housing, operating and capital costs for navigation centers and emergency shelters, and the new construction, rehabilitation, and preservation of permanent and transitional housing. §301(a)(7) Accessibility modifications in Lower-income Owner-occupied housing. §301(a)(8) Efforts to acquire and rehabilitate foreclosed or vacant homes and apartments. §301(a)(9) Homeownership opportunities, including, but not limited to, down payment assistance. §302(c)(4)(E)(i) Provide a description of how allocated funds will be used for the proposed Activity. Percentage of Funds Allocated for Affordable Owner-occupied Workforce Housing (AOWH)

A total of 20% of the PLHA funds will be used to provide down payment assistance to a growing workforce earning up to 120% AMI.

Complete the table below for each proposed Activity to be funded with 2019-2023 PLHA allocations. If a single Activity will be assisting households at more than one level of Area Median Income, please list the Activity as many times as needed to capture all of the AMI levels that will be assisted, but only show the percentage of annual funding allocated to the Activity one time (to avoid double counting).

Funding Allocation Year

2019

2019

Type of Homeowner Assistance

Home Buyer
Assistance

§302(c)(4)(E)(i) Percentage of
Funds Allocated for the
Proposed Activity

100.00%

§302(c)(4)(E)(ii) Area Median
Income Level Served

80%

120%

TOTAL

§302(c)(4)(E)(ii) Unmet share
of the RHNA at AMI Level

29 262

291

§302(c)(4)(E)(ii) Projected
Number of Households Served

29 262

291

PLHA Page 4 302(c)(4) Plan

§302(c)(4)(E)(iv) Period of
Affordability for the Proposed
Activity

30 §302(c)(4)(E)(iii) A description of major steps/actions and a proposed schedule for the implementation and completion of the Activity.

Activity Funding for 2020 - City approved a Preliminary Funding Commitment Letter allocating funds for the first-time homebuyer down payment assistance property. (Alternate Site: The City is working with Habitat for Humanity on the potential development of two city-owned sites for homeownership development that will be potentially affordable to Low- and Moderate income households. PLHA funds may be used for project should other developments be delayed or if other funds are used to supplant PLHA funds.
§301(a)(10) Fiscal incentives made by a county to a city within the county to incentivize approval of one or more affordable housing Projects, or matching funds invested by a county in an affordable housing development Project in a city within the county, provided that the city has made an equal or greater investment in the Project. The county fiscal incentives shall be in the form of a grant or low-interest loan to an affordable housing Project. Matching funds investments by both the county and the city also shall be a grant or low-interest deferred loan to the affordable housing Project.

File Name:

Plan Adoption
§302(c)(4)(D) Evidence that the Plan was authorized and adopted by resolution by the Local jurisdiction and that the public had an adequate opportunity to review and comment on its content.

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