AVALON CITY COUNCIL MEETING WHICH WILL ALSO INCLUDE
A MEETING OF THE CITY COUNCIL ACTING AS
THE SUCCESSOR AGENCY TO THE ACIA, AND
THE HOUSING AUTHORITY
TUESDAY, DECEMBER 6, 2022 — 5:00 P.M.
410 AVALON CANYON ROAD
THIS VIRTUAL MEETING IS HELD PURSUANT TO AB 361
AGENDA
In compliance with the Americans with Disability Act, if you need special assistance to participate in this meeting, please contact the City Clerk’s Office (310) 510-0220. Notification 48 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting, (28 CFR 35. 102-35.104 ADA Title II). All public records relating to an agenda item on this agenda are available for the public inspection at the time the records are distributed to all, or a majority of all, members of the City Council. Such records shall be available at City Hall located at 410 Avalon Canyon Rd.
Due to health recommendations from the Center for Disease Control and State of CaliforniaDivision of Occupational Safety and Health (Cal/OSHA), and the declared state of emergency wherein social distancing measures have been imposed or recommended, the CITY OF AVALONS CITY COUNCIL and PLANNING COMMISSION MEETINGS SHALL GENERALLY BE AVAILABLE TO THE PUBLIC REMOTELY. The genera! public may attend the meeting in the Council Chambers however must adhere to social distancing requirements. The public is encouraged to watch and participate from the safety of their homes while practicing social distancing.
Council Chambers are open to a maximum 30 members of the general public. Once the CouncilChambers reach maximum occupancy, the general public may participate in Oral Communication and address the City Council on an agenda item in person by waiting in the City Hall Court Yard and entering the Chambers one at a time at the appropriate time. No one will be admitted into the Council Chambers who is ill or exhibiting symptoms of COVID-1 9. Additionally,the general public may participate in Oral Communication and address the City Council on an agenda items by providing comments via Zoom or by sending comments [email protected], The meeting can be viewed:
On local cable: Catalina Broadband Solutions channel 3
Streaming Online: www.cityofavalon.com/meetings *streaming on Facebook Live: www.facebook.com/CityOfAvalonOfficial Streaming on YouTube: https://www.youtube.comfCityofAvalonCA To submit comments live using ZOOM, please register in advance for this meeting: https://uso6web.zoom.us/i/841 89830662?pwdTlo5Z2JKREUzdEpwelpOdGlhbn,9DZzQ9
ZOOM PUBLIC PARTICIPATION
If you wish to speak on any item on the agenda, please register in advance by clicking the following link: https:!/uso6webzoom.us/i/841 89830662?nwd=Tlo5Z2JKREuzdEpwelpOdGlhbm9DZzO9 even when submitting this request you will need to use the “raise hand” feature via Zoom during the
CITY COUNCILJHOUSING AUTI-IORITYISUCCESSOR AGENCY AGENDA DECEMBER 6, 2022
PAGE 2
presentation of that Agenda Item in order to confirm with the City Clerk’s Office that you wish to provide comments.
1) Join Zoom Meeting via the internet:
URL: https:Iluso6web.zoom.usIiI84l 89830662?pwd=TIo5Z2JKREUzdEpweIpQdGIhbm9DZzO9 Meeting ID: 841 8983 0662
During the meeting you will need to use the “raise hand’ button through Zoom at the time the Agenda Item is being presented for City Council consideration. 2) Join Zoom Meeting via Phone Conference (Voice Only):
Phone Number: (669) 444-9171.
Meeting ID: 841 8983 0662
When you would like to comment during the meeting enter *9 on the phone’s key pad to activate the “raise hand’ button at the time the Agenda Item is being presented icr City Council consideration.
Please note, the City is not responsible for the public’s use of Zoom as it relates to the software, configuration, and setting on a personal device. The public is encouraged to visit the Zoom website for information on use of this software.
CALL TO ORDER! PLEDGE OF ALLEGIANCE I INVOCATION I ROLL CALL
ANNOUNCEMENTS I WRITTEN COMMUNICATIONS
DEPARTMENT HEAD REPORTS
CITY MANAGER REPORT! CITY ATTORNEY REPORT
COUNCILMEMBER REPORTS ! MAYOR REPORT
ORAL COMMUNICATIONMembers of the public may address the City Council at this time. No action will be taken on nonagenda items at this meeting. Speakers should limit comments to two (2) minutes each.
PRESENTATIONS:
1. Southern California Edison Compliance Advisor. Traci Degnan, will provide the state mandated Annual Propane Gas Safety Public Awareness presentation.
2. Avalon Environmental Services (CR&R) will provide an update regarding implementation of recycling standards mandated by SB 1383.
CITY COUNCILIHOUSING AUTHORITYISUCCESSOR AGENCY AGENDA
DECEMBER 6, 2022
PAGE 3
CONSENT CALENDAR
Minutes
Although the live recording is the official record of public meetings, actions are preparedfor the Councils approval.
Recommended Action
Approve minutes from the November 15, 2022 regular City Council Meeting.
2. Warrants
Expenditures Submitted for Approval
o Warrants in the amount of $1758796.99.o One Successor Agency warrant in the amount of $5,695.00. o One payroll in the amount of $216,714.57.o Two electronic fund transfers totaling $37,358.89.
Recommended Action
Approve total expenditures for November 7, 2022 through November 25, 2022 totaling $2,018,565.45.
3. Findings to Continue to Hold Remote TeleconferenceNirtual City Council Meetings Pursuant to Assembly Bill 361
At the November 16, 2021 City Council meeting, the City Council made findings pursuantto Assembly Bill 361 to continue to meet remotely. To continue this practice, it is required,that the City Council determine that the COVID-1 9 state of emergency proclaimed by the Governor still exists and has been considered by the City Council in deciding to continue to have teleconference meetings and that state or local officials have imposed or recommended measures to promote social distancing in connection with COVID-19, and that as a result of the COVID-19 emergency, meeting in person would present imminent risks to the health or safety of attendees. Because these findings must be made every thirty (30) days, the City Council will have to make these findings at its upcoming December 20, 2022 meeting and thirty (30) days thereafter.
Recommended ActionDetermine that the COVID-1 9 state of emergency proclaimed by the Governor still exists and has been considered by the City Council in deciding to continue to have teleconference meetings and that state or local officials have imposed or recommended measures to promote social distancing in connection with COVID-1 9, and that as a result of the COVID-19 emergency, meeting in person would present imminent risks to the health or safety of attendees.
** The following item on the Consent Calendar is the City Council acting as the Housing Authority **4. Housing Authority Annual Report for Fiscal Year 2021-22 Health and Safety Code Section 34176.1 (enacted by Senate Bill 341 and Assembly Bill 1793) requires successor housing entities to prepare an annual report documenting compliance with expenditure proportionality and other requirements pertaining to the
CITY COUNCILIHOUSING AUTHORITYISUCCESSOR AGENCY AGENDA
DECEMBER 6, 2022
PAGE 4
housing asset fund. The report is due to the California Department of Housing and Community Development by December 31 2022.
Recommended Action
Adopt a resolution approving a Housing Authority Successor Agency Annual Report for Fiscal Year 2021-22.
** The following item on the Consent Calendar is the City Council acting as the Successor Agency to the Avalon Community Improvement Agency **
5. Recognized Obligation Payment Schedule (ROPS) 23-24 and Successor Agency Administrative Budget for Fiscal Year 2023-24
Pursuant to the dissolution of redevelopment agencies per Assembly Bill (“AS) ABX1 26 and ABX1 27, and subsequent legislation, AS 1484 (altogether, “Dissolution Act’), the City of Avalon elected to serve as the Successor Agency to the former AvalonRedevelopment Agency (‘former RDA’D. The Successor Agency is required to prepare a ROPS prior to each 12-month fiscal period.
Recommended Action
Adopt “A Resolution of the Successor Agency to the Avalon Community ImprovementAgency Approving a Recognized Obligation Payment Schedule 22-23 and Successor Agency Administrative Budget for Fiscal Year 2023-24”.
** The following item on the Consent Calendar is the City Council acting as the Successor Agency to the Avalon Community Improvement Agency and the Housing Authority **
6. Multi-year Renewal Agreement with RSG, Inc. through FY 2025-26 for Successor Agency and Housing Authority Consulting Services
RSG has served as the Avalon Successor Agency’s consultant since redevelopment was dissolved in 2012. It has a long-standing relationship consulting the City on community development related matters such as housing, economic development and finance.
Recommended Action
Authorize the City Manager/Agency Director to enter into a three year contract with RSG, Inc., to provide Successor Agency and Housing Authority consulting services through FY 2025-26 in an amount not-to-exceed $35,000 per year (or $105,000 over length of contract).
GENERAL BUSINESS
7. Consideration of Amendment to Transportation Permit — Sara Mintz and Juan Saldana, dba Avalon Local Tour
On May 17, 2022, the City Council approved a transportation permit for Sara Mintz and Juan Saldana, dba Avalon Local Tour. The transportation permit authorized use of an existing residential autoette and new commercial autoette to be used to perform guided autoette tours. On November 3, 2022, Avalon Local Tours submitted a request to amend the transportation permit to allow for an additional commercial autoette.
CITY COUNCILIHOUSING AUTHORITYISUCCESSOR AGENCY AGENDA
DECEMBER 6, 2022PAGE 5
Recommended ActionDiscuss and provide direction to Staff. If consensus to approve is reached, make the affirmative findings that the criteria set forth in Avalon Municipal Code Section 5-14.04 have been meet and amend the Transportation Permit for Avalon Local Tours.
8. An Ordinance of the City of Avalon Amending Article 6 of Chapter 5 of Title 9, of the Avalon Municipal Code, to Reflect New Statewide Legislation (Sb 897) Pertaining toAccessory Dwelling Units The Planning Commission made a recommendation for City Council to approve this itemat its November 16, 2022 meeting following a public hearing. The proposed ZoningOrdinance Amendment implements revisions to the Avalon Municipal Code, to reflect newstatewide legislation that goes into effect on January 1, 2023.
Recommended Action
1. Find the Ordinance exempt from the California Environmental Quality Act (‘CEQA”) pursuant to Section 15061(b)(3) of the CEQA Guidelines as there is no possibility that this activity will have a significant adverse effect on the environment; 2. Introduce and waive all further readings of an ordinance updating the Accessory Dwelling Unit (“ADU”) regulations to reflect new mandatory changes in CA State requirements.
ADJOURN
NOTICE OF POSTING
I, Devin Elise Hart, declare that the amended City Council Agenda for Tuesday, December 6, 2022 was posted on Wednesday, November 30, 2022 on the City’s website www.cityofavalon.com, and at City Hall, 410 Avalon Canyon Road. cT
Ovin Elise Hart, Management Analyst
CITY OF AVALON CITY COUNCIL
MEETING DATE: December 6, 2022 AGENDA ITEM: 1
ORIGINATING DEP: City Clerk CITY MANAGER:___________
PREPARED BY: Gabrielle Morones, Deputy City Clerk
SUBJECT: City Council Minutes
RECOMMENDED ACTION(S): Approve minutes from the November 15, 2022 regular City Council Meeting.
REPORT SUMMARY: Although the live recording is the official record of public meetings, minutes are prepared for the Council’s approval.
FISCAL IMPACTS: N/A.
GOAL ALIGNMENT: Not Aligned.CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: N/A.
FOLLOW UP ACTION: File minutes in the City Clerk’s office.
ADVERTISING, NOTICE AND PUBLIC CONTACT: The item was properly listed onthe posted agenda pursuant to the Brown Act.ATTACHMENTS:
1) November 15, 2022 Regular City Council Minutes.
AVALON CITY COUNCIL MEETING
TUESDAY, NOVEMBER 15, 2022— 5:00 P.M.
THIS VIRTUAL MEETING IS HELD PURSUANT TO AB 361
MINUTES
Due to health recommendations from the Center for Disease Control and State of California Division of Occupational Safety and Health (Cal/OSHA), and the declared state of emergency wherein social distancing measures have been imposed or recommended, the CITY OFAVALON’S CITY COUNCIL and PLANNING COMMISSION MEETINGS SHALL GENERALLY BE AVAILABLE TO THE PUBLIC REMOTELY. The general public may attend the meeting in the Council Chambers however must adhere to social distancing requirements. The public is encouraged to watch and participate from the safety of their homes while practicing socialdistancing.
Council Chambers are open to a maximum 30 members of the general public. Once theCouncil Chambers reach maximum occupancy, the general public may participate in Oral Communication and address the City Council on an agenda item in person by waiting in theCity Hall Court Yard and entering the Chambers one at a time at the appropriate time. No one will be admitted into the Council Chambers who is ill or exhibiting symptoms of COVID-19 Additionally, the general public may participate in Oral Communication and address the City Council on an agenda items by providing comments via Zoom or by sending comments to ask(ciWofavalon.com.
CALL TO ORDER-5:00 p.m.
ROLL CALL—Present via Teleconference and In-Person: Mayor Anni Marshall, Councilmembers Lisa Lavelle, Michael Ponce and Mary Schickling. Also present: City Manager David Maistros, City Attorney Scott Campbell and Deputy City Clerk GabrielleMorones. Absent: Councilmember Yesenia De La Rosa.
WRITTEN COMMUNICATIONS-None.
PRESENTATION — Representatives from Southern California Edison provided an update regarding Phase I Mandatory Water Conservation, provided information on SCE scholarships and employment, and recognized Chet’s Hardware Store with the Catalina Water Conservation Recognition Program Award. Councilmember Schickling recused herself due to a Conflict of Interest.
CONSENT CALENDAR-There were 6 Items on the Consent Calendar. Motion to approveitems #1-#6 made by Lisa Lavelle, seconded by Michael Ponce. (4 Ayes-Lavelle, Ponce, Schickling and Marshall; 1 Absent-De La Rosa).
1. Minutes
Approved minutes from the November 1, 2022 regular City CouncU Meeting.
2. Warrants
Approved warrants in the amount of $562,339.93, one payroll in the amount of $216,046.80, three electronic fund transfers totaling $111,705.65 totaling $890,092.38 for October 24, 2022 through November 4, 2022.
CITY COUNCIL MINUTES
NOVEMBER 15, 2022PAGE 23. Findings to Continue to Hold Remote TeleconferenceNirtual City Council Meetings Pursuant to Assembly Bill 361Determined that the COVID-19 state of emergency proclaimed by the Governor still exists and has been considered by the City Council in deciding to continue to haveteleconference meetings and that state or local officials have imposed or recommended measures to promote social distancing in connection with COVID-19, and that as aresult of the COVID-19 emergency, meeting in person would present imminent risks to the health or safety of attendees.
4. Authorize the Purchase of a Used Electric Utility Golf Cart Authorized the City Manager or his designee to procure, per the City’s purchasing policy, a used electric utility golf cart that meets the required specifications outlined by Staff, for a total not to exceed $12,000.
5. Authorize Purchase of a Used Forklift for the Wastewater Treatment Plant Authorized City Manager or their designee to procure per the City’s purchasing policy a used forklift that meets the required specifications outlined by staff, for a total not to exceed $35,000.
6. Amendment to the On-Call Engineering Services Contract to ESG Engineering Authorized the City Manager to execute an amendment to the On-Call Engineering Services contract with ESG Engineering, Inc. to increase the total contract sum for fiscal year 2021-22 by $100,000.
GENERAL BUSINESS7. Annual Love Catalina Tourism Authority Report City Council received and filed the report.
Mayor Marshall adjourned the meeting at 6:41 p.m.I, Gabrielle Morones, Deputy City Clerk, do hereby certify that the DVD videotape of theRegular City Council Meeting on November 15, 2022, is the official record of the CouncilMeeting and is on file and maintained in City Hall.
Gabrielle Morones, Deputy City Clerk / Sr. Administrative Assistant
CITY OF AVALON CITY COUNCIL
MEETING DATE: December 6, 2022 AGENDA ITEM:
ORIGINATING DEP: Finance CITY MANAGER: ôL44&
PREPARED BY: Matthew Baker, Finance Director
SUBJECT: Warrants
RECOMMENDED ACTION(S): Approve the disbursements for November 7, 2022 throughNovember 25, 2022 totaling $2,018,565.45.
REPORT SUMMARY: These disbursements through November 25th are comprised of warrants from the City’s general account totaling $1,758,796.99, one Successor Agencywarrant totaling $5,695.00, one payroll totaling $216,714.57, and other electronic fund transfers totahng $37,358.89.
ITEM DESCRIPTION AMOUNT , DATE
SF US BANK WARRANTS CK# 35164-35280 $ 1,758,796.99 11/23/22 SAUSBANKWARRANTSCK#341 I 5,695.00 11/08/22
PAYROLL 216,714.57 11/18/22EFT -CALPERS RETIREMENT 36,257.82 11/16/22 EFT -HARBOR/REC CREDIT CARD AND BANK SERVICE FEES 1,101.07 11/25/22 TOTAL DISBURSEMENTS I $ 2,018,565.45
GOAL ALIGNMENT: Ongoing meeting of City obligations.
FISCAL IMPACTS: There are sufficient funds available, and the expenditures are included in the FY22-23 Budget.
CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: N/A
FOLLOW UP ACTION: N/A
ADVERTISING, NOTICE AND PUBLIC CONTACT: Pursuant to the Brown Act.
ATTACHMENTS: Audit Certificate, Warrant List, US Bank Credit Card Details
CITY OF AVALON
NOVEMBER 7,2022 - NOVEMBER 25, 2022 DISBURSEMENTS
December 6,2022
ITEM DESCRIPTION AMOUNT DATE
GE US BANK WARRANTS CK# 35164-35280 $ 1,75879699 11/23/22SA US BANK WARRANTS CK# 341 5,69500 11/08/22PAYROLL 216,71457 11/18/22EFT - CALPERS RETIREMENT 36,25782 11/16/22 EFT -HARBOR/REC CREDIT CARD AND BANK SERVICE FEES 1,101.07 11/25/22 TOTAL DISBURSEMENTS $ 2,018565.45
CERTIFICATE
IN ACCORDANCE WITH SECTION 32702
OF THE GOVERNMENT CODE, I CERTIFY
THAT THE ABOVE JEMANDS ARE ACCURATEAND THAT FLNCS ARE AVAI:,,ASLE FOR PAYMENT.
APPROVED AND AUDITED THIS6TH 3AY OF DECEMBER 2022 I CERTIFY UNDER PENALTY OF PERjURY THAT THE FOREGOING IS TRUE ANDCORRECT.
AUDIT COMMITI’EE ‘LISA LAVELLE EXECUTED THIS 6TH DAY OF DECEMBER 2022 AUDIT COMMITFEE . MARY SCI-ICKLING FINANCE DiRECTOR - MATTHEW BAKER
CITY OF AVALON
NOVEMBER 7,2022 - NOVEMBER 25, 2022 DISBURSEMENTS
December 6, 2022
CHECK DATE
NUMBER ISSUED AMOUNT NAME DESCRIPTION
341 11/10/2022 5,695.00 US BANK ITEM 3 ROPS 22-23A
S 5695.00
CITY OF AVALON
NOVEMBER 7,2022 - NOVEMBER 25, 2022 DISBURSEMENTS
December 6, 2022
GALLS, LLCGONZALES, ALIANAGRAINGERLUPO, KARLA
ISLAND EXPRESS
KATIE’S KITCHENLA A F CALAWSON PRODUCTSLLEWELLYN SUPPLY CO.INNOVATIVE ENGINEERING & MAINTENANCMANAGED HEALTH NETWORKMATTHEWS INTERNATIONAL CORPORATIONMCMASTER-CARRMM INTERNET, INC.ORIGINAL JACKS RESTAURANT & BAKERYNAPA AUTO PARTS SAN DIEGO COFFEE, TEA & SPICE, INC.
PEGUERO, ANGELQUAOIENT LEASING USA, INC.
QUILL CORP
REGISTRAR-RECORDER/COUNTY CLERK
SIRIA’S CLEANING SERVICE
DESCRIPTION
FUEL -ALL OEPTS
TRAINING - FIRESUPPLIES - CODESUPPLIES - ALL DEPTS
FREIGHT- ALL DEPTS
SERVICE - HARBOR
LEGAL FEES - 10/2022
CONTRACT SERVICES - ITSUPPLIES - FIRE
RETIREE INSURANCE - 11/2022REIMB 0/P COSTSINTERNET - ALL DEPARTMENTSFY22 TRUE-UP 2ND HALF 10/2022
RENT - 11/2022
ANNUAL DONATION FY23
RETIREE INSURANCE
- 11/2022
SUPPLIES -PUBLIC WORKSSERVICE - VEHICLES
DENTAL -11/2022
SERVICE - ADMINISTRATION/HARBOR
FUEL -HARBOR
SERVICE - PUBLIC WORKSVOID - MULTI STUB CHECKVISION - 10-11/2022SERVICE - HARBOR/FIRE UNIFORMS - FIREREIMB 0/P COSTS
SUPPLIES - FIRE/PUBLIC WORKSSERVICE -RECREATION
FREIGHT - GARAGE
SENIOR MEALS -07-08/2022ANNUAL DUESSUPPLIES - HARBORSUPPLIES - HARBORSUPPLIES - HARBORSERVICE - ADMINISTRATIONSUPPLIES -CEMETERYSUPPLIES -RECREATIONSERVICE - ITSENIOR MEALS - 07-08/2022SUPPLIES - GARAGESUPPLIES - FIRE REIMR 0/P COSTSPOSTAGE METER LEASE
SUPPLIES -ALL DEPARTMENTSSERVICE -ELECTION
1ST HALF 11/2022
AMOUNT NAME
3,732.41 AAA OIL, INC
780.00 ADVANCED PROBLEM SOLVING LLC
44.73 ALBERTSON COMPANIES
4,272.77 AMAZON CAPITAL SERVICES, INC.
2,957.63 AVALON FREIGHT SERVICES, LLC
4,944.16 AVALON MOORING & DIVING
8,342.13 BEST, BEST & KRIEGER, LIP2,497.50 BEYOND SOFTWARE SOLUTIONS
53.43 BOUNDTREE MEDICAL
605.83 BROWN, MARISA88S.65 CAMPBELL, STEPHANIE
2,003.75 CATALINA BROADBAND SOLUTIONS
575,801.92 CATALINA CHAMBER OF COMMERCE
30,951.90 CATALINA EXPRESS
8,178.00 CATALINA ISLAND COMPANY
10,000.00 CATALINA ISLAND HUMANE SOCIETY
705.87 COOK, AMANDA589.84 DANGELO CO
150.50 DAPEER, ROSENBLIT & LITVAK,LLP
G,390.34 DELTA DENTAL
115.00 DEWEY PEST CONTROL
773.11 DION & SONS MARINE FUELS INC
561.00 ESG ENGINEERING - FIDELITY SECURITY LIFE INSURANCE 2,043.52 FIDELITY SECURITY LIFE INSURANCE2,439.17 FINELINE CONSTRUCTION CHECK
NUMBER
3516435165351663516735168
3516935170351713517235173351743517535176351773517835179351803518135182351833518435185 351863518735188
35189
3519035191351923519335194351953519635197351983519935200352013520235203352043520535206352073520835209 35210
35211
DATE
ISSUED
11/10/202211/10/20221 1/10/202 211/10/202211/10/202211/10/202211/10/202211/10/202211/10/202211/10/20221 1/10/202 211/10/2 02 211/ 10/2 02 211/ 10/202 211/ 10/202 211/ 10/202 211/10/2 02211/ 10/2 022 11/ 10/202 2
11/10/2022
11/10/202211/10/202211/10/202 211/10/202211/10/202211/10/20221 1/10/202 211/10/202211/10/202211/10/202211/10/202211/10/202211/10/202211/10/202211/10/202211/10/202211/10/202211/10/202211/10/202211/10/202211/10/202211/10/202211/10/202211/10/202211/10/202211/10/202211/10/202211/10/2022 541.97255.03
6S7.97
595.00
308.00968.00
1,200.00
8S3.22
236.49
3,355.01
286.00
2,699.18
81.26 344.10510.00451.71225.60232.50723.60
1,497.00
14,232.68
9,357.91
CITY OF AVALON
NOVEMBER 7,2022 - NOVEMBER 25, 2022 DISBURSEMENTS
December 6, 2022
SOUTH COAST AQMDSOUTHWEST MARINE RESOURCE, INC.T&G GLOBAL LLCSTANDARD INSURANCE COMPANYTOWNSEND PUBLIC AFFAIRS, INC PARKING CONCEPTS, INC.ULINECORPORATE PAYMENT SYSTEMS
WANDA STONEWAXIE’S ENTERPRISE, INC.WESTRIDGE ENVIRONMENTAL GROUPWITMER PUBLIC SAFETY GROUP, INC.
CO. OF LOS ANGELES SHERIFF’S DEPT.
AAA OIL, INCACTION SALES & METAL CO.AIR SOURCE INDUSTRIESALBERTSON COMPANIESAMAZON CAPITAL SERVICES, INC.AVALON ENVIRONMENTAL SVCSAVALON FREIGHT SERVICES, LLC
BEYOND SOFTWARE SOLUTIONSCATALINA BEVERAGE CO
CATALINA BROADBAND SOLUTIONS
CATALINA CHAMBER OF COMMERCE
CATALINA COASTAL TOURS & FISHINGCATALINA ISLAND COMPANYCATALINA ISLAND MEDICAL CENTERCDW GOVERNMENTCO. OF LOS ANGELES SHERIFF’S DEPT.COAST CART, INC.
DANGELO CODEWEY PEST CONTROLDION & SONS MARINE FUELS INCEMS SAFETY SERVICES, INCENTENMANN-ROVIN CO.
CALLS, LLCCANAHI LUMBER COMPANYC RA IN C E R
ISLAND EXPRESS
JORDAHL CONSTRUCTION
LINDE GAS & EQUIPMENT INC.
DESCRIPTION
PERMIT FEES WWTP
SERVICE HARBORSUPPLIES -RECREATION
LIFE INSURANCE -11/2022
SERVICE - ADMINISTRATIONCONTRACT SERVICES 10/2022SUPPLIES RECREATIONSEE ATTACHED DETAILSERVICES HARBORSUPPLIES PUBLIC WORKSSUPPLIES WWTPSUPPLIES FIRE RESIDENT DEPUTY - 07/2022FUELS ALL DEPTS
SUPPLLIES- PUBLIC WORKSSUPPLIES FIRESUPPLIES - FIRESUPPLIES - ALL DEPTSCONTRACT SERVICES, SWEEPER -
FREIGHT -ALL DEPARTMENTS
CONTRACT SERVICES - ITSUPPLIES - ALL DEPARTMENTSSERVICE - PUBLIC WORKS TOT -12/2D22
CONTRACT SERVICES - 12/2022SENIOR MEALS10/2022EMPLOYEE SCREENING
SUPPLIES - IT
RESIDENT DEPUTY09/2022
SUPPLIES - PLANNINGSUPPLIES - PUBLIC WORKSSERVICE -ADMINISTRATION/PUBLIC WORKS
FUEL- HARBOR
SUPPLIES - FIRE
UNIFORMS - FIREUNIFORMS - FIRE
SUPPLIES - HARBORSUPPLIES - PUBLIC WORKS
FREIGHT - GARAGE
SERVICE - HARBOR, PROGRESS PAYMENT 3SUPPLIES- HARBOR
DUES-12/2022
NAME
CHECK DATE
NUMBER ISSUED AMOUNT
35212 11/10)2022 3,978.5935213 11/10)2022 3,000.0035214 11/10/2022 35,801.6535215 11/10/2022 1,20S.8935216 11/10/2022 5,000.0035217 11/10/2022 72,878.8535218 11/10/2022 1,064.723S219 11/10/2022 1,004.0035220 11/10/2022 139.0035221 11/10/2022 403.8635222 11/10/2022 5,821.8535223 11/10/2022 1,127.1435224 11/10/2022 134,294.7935225 11/23/2022 6,789.0935226 11/23/2022 1,524.9035227 11/23/2022 83.2035228 11/23/2022 28.5135229 11/23/2022 5,546.3435230 11/23/2022 151,612.4835231 11/23/2022 1,153.8835232 11/23/2022 4,683.0035233 11/23/2022 3,662.9135234 11/23/2022 49.9535235 11/23/2022 104,500.00 35236 11/23/2022 24,083.33
35237 11/23/2022 323.40
35238 11/23/2022 121.0035239 11/23/2022 1,775.1935240 11/23/2022 134,294.7935241 11/23/2022 10,719.643S242 11/23/2022 4,021.5035243 11/23/2022 703.0035244 11/23/2022 189.4035245 11/23/2022 224.0135246 11/23/2022 50.8535247 11/23/2022 611.3135248 11/23/2022 1,723.1335249 11/23/2022 648.S735250 11/23/2022 156.0035251 11/23/2022 4,210.2135252 11/23/2022 204.6235253 11/23/2022 10/2 02 2
918.50 MASA
CITY OF AVALON
NOVEMBER 7,2022 - NOVEMBER 25, 2022 DISBURSEMENTS
December 6, 2022
MATTHEWS INTERNATIONAL CORPORATIONMCMASTER-CARRMONTROSE ENVIRONMENTAL SOLUTIONSNAPA AUTO PARTS OVERSIZE TRANSFER & TRUCKING, INC.
POLYDYNE, INC.
OUILL CORP
RICOH AMERICAS CORPRICOH USA, INC.
SOUTHWEST MARINE RESOURCE, INC.SUPERION, LLC
ULINEUNDERGROUND SERVICE ALERT/SC
CORPORATE PAYMENT SYSTEMS
VEGA, EDMUNDOVERIZON WIRELESS
W-T RAN SXEROX CORPORAT:ONZO.L MEDICAL CORP.AVALON MOORING & DIV;NG DE NQVO PLANNING GROUPDE NOVO PLANNING GROUPDION & SONS MARINE FUELS INCKECO PUMP & EQUIPMENTSIRIA’S CLEANING SERVICEUNITED RENTAS (NORTH AMERICA, INC
DESCRIPTION
SUPPLIES - CEMETERY
SUPPLIES - FIRE/PUBLIC WORKSEMERGENCY REPAIRS, CONTRACT SERVICES .10/2022SUPPLIES - GARAGESERVICE - HARBORSUPPLIES - WWTPSUPPLIES - ALL DEPARTMENTSCOPIER LEASE - PLANNINGCOPIER LEASE -PLANNINGSERVICE - HARBORSOFTWARE LEASE - FINANCE SUPPLIES - PUBLIC WORKSSERVICE .PUBLIC WORKSSEE ATTACHED DETAIL CONTRACT SERVICES - 12/2022COMMUNICATIONS - ALL DEPARTMENTS
SERVICE - PLANNING
COPIER LEASE -ADMINISTRATION
SUPPLIES - HARBORSERVICE - HARBOR
SERVICE - PLANNINGSERVICE - PLANNING
FUEL- HARBOR
SUPPLIES - HARBOR
2ND HALF 11/2022
SUPPLIES - PUBLIC WORKS
S 1,758,796.99
NAME
CHECK DATE
NUMBER ISSUED AMOUNT
35254 11/23/2022 331.62
35255 11/23/2022 1,191.9635256 11/23/2022 128,77S.4035257 11/23/2022 392.9835258 11/23/2022 1,100.0035259 11/23/2022 4,320.7335260 11/23/2022 578.63 35261 11/23/2022 908.9135262 11/23/2022 20.5735263 11/23/2022 3,000.003S264 11/23/2022 3,554.383S26S 11/23/2022 172.0535266 11/23/2022 34.5035268 11/23/2022 17,571.9835269 11/23/2022 15,208.3335270 11/23/2022 1,823.89 35271 11/23/2022 1 7,223.7535272 11/23/2022 540.1535213 11/23/2022 1,663.2033274 11/23/2022 4,650.4235275 11/23/2022 2,485.0035276 11/23/2022 14,905.00 35277 11/23/2022 167.3635278 11/23/2022 56,439. 1635279 11/23/2022 9,357.9135280 11/23/2022 32,613.67
CITY OF AVALON
US BANK CREDIT CARD CHARGES PAID NOVEMBER 10, 2022
December 6, 2022
LAST NAME POST DATE AMT USD VENDOR DESCRIPTION DEPARTMENT CAMPBELL 9/19/2022 10400 SENOHB COMMUNICATIONS HUMAN RESOURCESCAMPBELL 9/20/2022 300.00 WESTERN CITY MAGAZINE JOB ADVERTISEMENT HUMAN RESOURCES CAMPBELL 10/17/2022 300.00 WESTERN CITY MAGAZINE JOB ADVERTISEMENT HUMAN RESOURCESCAMPBELL 10/17/2022 300.00 WESTERN CITY MAGAZINE JOB ADVERTISEMENT HUMAN RESOURCES $ 1,004.00 CHECK 35219
CITY OF AVALON
US BANK CREDIT CARD CHARGES PAID NOVEMBER 10, 2022
December 6, 2022
LAST NAME POST DATE AMT USD VENDOR DESCRIPTION DEPARTMENTHART 10/19/2022 19.31 CATALINA BEVERAGE COMPANY HOMELESS PROGRAM RECREATIONHART 10/20/2022 95.67 VONS FALL FEST SUPPLIES RECREATIONHART 10/21/2022 10.10 AVALON PASS FREIGHT RECREATIONHART 10/24/2022 271.53 HIT PRINT, INC. FALL FEST SUPPLIES RECREATIONHART 10/25/2022 20.00 FREEONLINESURVEYS ADVERTISING RECREATIONHART 10/25/2022 250.50 CATALINA EXPRESS TRAVEL RECREATIONHART 10/27/2022 99.68 WALMART.COM PARK MAINTENANCE RECREATIONHART 10/31/2022 6.91 VONS SUPPLIES RECREATIONHART 11/2/2022 301.61 CROWN AWARDS FLAG FOOTBALLAWARDS RECREATION HART 11/7/2022 98.04 CATALINA COFFEE & COOKIE COMPANY EVENT SUPPLIES RECREATIONHART 11/7/2022 32.26 VONS EVENT SUPPLIES RECREATIONHART 11/7/2022 14.95 OTC BRANDS MEMBERSHIP FEE RECREATIONHART 11/9/2022 175.00 CATALINA ISLAND CHAMBER AWARDS RECREATIONHART 11/10/2022 83.50 CATALINA EXPRESS TRAVEL RECREATIONHART 11/11/2022 480.00 PERFECT IMPRINTS EVENT SUPPLIES RECREATIONHART 11/14/2022 39.S3 VONS EVENT SUPPLIES RECREATION CAMPBELL 10/18/2022 104.00 SENDHUB COMMUNICATIONS HUMAN RESOURCESCAMPBELL 10/24/2022 SO0.52 LINKEDIN ADVERTISING HUMAN RESOURCESCAMPBELL 11/1/2022 83.50 CATALINA EXPRESS TRAVEL HUMAN RESOURCESCAMPBELL 11/2/2022 541.66 LINKEDIN ADVERTISING HUMAN RESOURCESCAMPBELL 11/10/2022 545.30 LINKEDIN ADVERTISING HUMAN RESOURCESCAMPBELL 11/15/2022 300.00 WESTERN CITY MAGAZINE ADVERTISING HUMAN RESOURCES MAISTROS 10/20/2022 79.00 ZOOM COMMUNICATIONS ADMINISTRATIONMAISTRDS 1D/27/2O22 2713.26 ROTOLITE LIGHTING ADMINISTRATIONMAISTROS 10/28/2022 60.00 CATALINA ISLAND CHAMBER MIXER DUES ADMINISTRATIONMAISTROS 11/2/2022 1,724.97 GREENTEK ENERGY SYSTEMS LIGHTING ADMINISTRATIONHART 11/10/2022 625.00 CALCITIES REGISTRATION ADMINISTRATIONRADDE 11/2/2022 82.96 CYBERLINK NETWORK IT SERVICE ADMINISTRATIONRADDE 11/3/2022 25.35 VAST CONFERENCE COMMUNICATIONS ADMINISTRATION GREENLAW 10/27/2022 237.51 CHET’S HARDWARE PUMP OUT FLOAT MAINTENANCE PUBLIC WORKSGREENLAW 11/3/2022 21.99 CHETS HARDWARE MAINTENANCE SUPPLIES PUBLIC WORKS BAKER 11/7/2022 1,066.89 MARRIOTT ANAHIEM LODGING FINANCEMORONES 10/24/2022 185.00 IIMC TRAINING ADMINISTRATIONMORONES 10/28/2022 150.00 CAPTUS PRESS, INC. TRAINING ADMINISTRATION GONZALES 10/31/2022 304.41 ALAMO RENT-A-CAR TRAVEL FINANCEGONZALES 11/2/2022 49.30 JACKSDNS BAR & OVEN TRAVEL FINANCEGONZALES 11/2/2022 38.29 WHOLE FOODS MARKETS SANTA ROSA TRAVEL FINANCEGONZALES 11/3/2022 31.31 HYATT REGENCY TRAVEL FINANCEGONZALES 11/4/2022 31.99 SOUTHWESTAIRLINES TRAVEL FINANCEGONZALES 11/7/2022 978.64 HYATT REGENCY LODGING FINANCEGONZALES 11/7/2022 129.62 ALAMO RENT-A-CAR BALANCE DUE FINANCEGONZALES 11/7/2022 12.38 OAKLAND AIRPORT TRAVEL FINANCEGONZALES 11/8/2022 76.24 BRANCH BASICS USED IN ERROR FINANCEGONZALES 11/8/2022 (76.24) BRANCH BASICS CREDIT FINANCEGONZALES 11/14/2022 11.95 ALAMO RENT-A-CAR TOLL FEES FINANCEGONZALES 11/14/2022 30.00 AMAZON OFFICE SUPPLIES FINANCE HMIELAK 10/21/2022 94.58 CHET’S HARDWARE MAINTENANCE SUPPLIES PUBLIC WORKSHMIELAK 10/21/2022 74.56 CHET’S HARDWARE FLOAT MAINTENANCE PUBLIC WORKSHMIELAK 10/21/2022 BSS.81 EPLASTICS FLOAT MAINTENANCE PUBLIC WORKSHMIELAK 10/26/2022 91.27 CHET’S HARDWARE MAINTENANCE SUPPLIES PUBLIC WORKSHMIELAK 10/26/2022 167.00 CATALINA EXPRESS TRAVEL PUBLIC WORKSHMIELAK 10/28/2022 21.99 CHET’S HARDWARE MAINTENANCE SUPPLIES PUBLIC WORKSHMIELAK 10/28/2022 448.21 NORTHERN TOOL MAINTENANCE SUPPLIES PUBLIC WORKSHMIELAK 10/31/2022 137.41 PEBBLY BEACH BUILDING SUPPLY MAINTENANCE SUPPLIES PUBLIC WORKSHMIELAK 10/31/2022 167.00 CATALINA EXPRESS TRAVEL PUBLIC WORKSHMIELAK 11/1/2022 107.72 PLACEMAKING TRAINING PUBLIC WORKSHMIELAK 11/2/2022 48.38 CHET’S HARDWARE STREET MAINTENANCE SUPPLIES PUBLIC WORKSHMIELAK 11/15/2022 2,447.33 TOILETPARTITIONS.CDM BATHROOM MAINTENANCE PUBLIC WORKS
CITY OF AVALON
US BANK CREDIT CARD CHARGES PAID NOVEMBER 10, 2022
December 6, 2022
LAST NAME POST DATE AMT USD VENDOR DESCRIPTION DEPARTMENTHMIELAK 11/7/2022 10.76 CHETS hARDWARE MAINTENANCE SUPPUES PUBLIC WORKS HMIELAK 11/9/2022 23657 CHET’S hARDWARE MAINTENANCE SUPPUES PUBLIC WORKS $ 17,571.98 CHECK 35268
CITY OF AVALON CITY COUNCIL
MEETING DATE: December 6, 2022 AGENDA ITEM: 3ORIGINATING DEP: City Attorney CITY MANAGER:
PREPARED BY; Scott Campbell, City Attorney
SUBJECT: Findings to Continue to Hold Remote Teleconference/Virtual City Council Meetings Pursuant to Assembly Bill 361
RECOMMENDED ACTION(S): Determine that the COVID-19 state of emergency proclaimedby the Governor still exists and has been considered by the City Council in deciding to continue to have teleconference meetings and that state or local officials have imposed or recommended measures to promote social distancing in connection with COVID-19, and that as a result of the COVID-19 emergency, meeting in person would present imminent risks to the health or safetyof attendees.
REPORT SUMMARY: Traditionally, the Brown Act allows for teleconference or virtual meetings,provided that the physical locations of the legislative body’s members joining by teleconference are posted on the agenda, that those locations are open to the public and that a quorum of the members is located within its jurisdiction. Newly enacted AS 361 provides an exception to these procedures in order to allow for fully virtual meetings during proclaimed emergencies, including the COVID-19 pandemic.
Since March of 2020 and the issuance of Governor Newsom’s Executive Order N-29-20, whichsuspended portions of the Brown Act relating to teleconferencing, the City Council has had virtualmeetings without having to post the location of the legislative body members attending virtually.
Most public agencies have been holding public meetings using virtual platforms since this time.
In June of 2021, Governor Newsom issued Executive Order N-08-21, which provided that the exceptions contained in EQ N-29-20 would sunset on September 30, 2021.
On September 10, 2021, the Legislature adopted AR 361, which allows public agencies to hold fully virtual meetings under certain circumstances without the posting of the agenda from each location a legislative body member is attending. Governor Newsom signed the bill into law on September 16, 2021. Because it contained an urgency provision, it took immediate effect.
Specific Findings Required underAB 361Under AS 361, the City Council can hold virtual meetings without providing notice of the City Council’s teleconference location if the City Council makes the determination that there is aGovernor-proclaimed state of emergency, which the City Council will consider in their determination, and one of two secondary criteria listed below exists:
1. State or local officials have imposed or recommended measures to promote social distancing in connection with COVID-19; or
65059.00000\3452048 1.1
2. The City Council determines that requiring a meeting in person would present an imminent risk to the health or safety of attendees.
COVID-19 continues to present an imminent threat to the health or safety of members of the public, and the Governor’s declaration of a CDVI D-19 emergency still exists. Although vaccines are now widely available, many people in the State and County are still not fully vaccinated and remain susceptible to infection. The disease can still spread rapidly through person-to-person contact and those in close proximity. Further, more contagious variants of the disease are now present in the State and County, the most predominant of which is a new variant of the Omnicron variant. The County of Los Angeles recently re-instituted some mandates given the rise in casesand deaths nationally and public health officials have indicated that they may reinstitute certain mask requirements if cases continue to rise. The City’s economy is dependent upon visitors tothe island, the presence of which, increases the likelihood of transmission of the disease. Also, having members of the public attend council meetings at locations where council members are in attendance due to their desire to avoid exposure to CDVID-19 poses an imminent risk to thehealth or safety of attendees.
Re-Authorization is Required Within 30 Days
The City Council made the findings listed above at its November 15, 2022 City Council meeting.
Consistent with the provisions of Government Code Section 54953(e), the findings must be made every 30 days “after teleconferencing for the first time” under AS 361. Thus, if the City Council desires to continue to meet remotely without having to post the location of each teleconference location, the City Council must again find that the CDVID-19 emergency still exists and that one of the two following findings can be made: that state or local officials have imposed or recommended measures to promote social distancing in connection with COVID-19, or, that a result of the CDVID-19 emergency, meeting in person would present imminent risks to the health or safety of attendees. Because these findings must be made every thirty (30) days, the City Council will have to make these findings at its upcoming December 20, 2022 meeting and thirty (30) days thereafter.
It is recommended that the City Council make these findings.
CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: The City Council will have to follow the Brown Act provisions that existed prior to the CDVID-19 pandemic.
FOLLOW UP ACTION: That the City Council make the findings under AS 361 at its December 20, 2022 City Council meeting.
GOAL ALIGNMENT: N/A
FISCAL IMPACTS: None.
ADVERTISING, NOTICE AND PUBLIC CONTACT: This item was properly listed on the posted agenda pursuant to the Brown Act.
ATTACHMENTS: None.
65059.00000\34520481. I
CITY OF AVALON CITY COUNCIL ACTING AS
THE HOUSING AUTHORITY OF THE CITY OF AVALON
MEETING DATE: December 6, 2022 AGENDA ITEM:
___
ORIGINATING DEP: Housing Authority CITY MANAGER: DuA.
PREPARED BY: Matthew Baker! Finance Director
SUBJECT: Housing Successor Agency Annual Report for Fiscal Year 2021-22 RECOMMENDED ACTION: Adopt a resolution approving a Housing Authority Successor Agency Annual Report for Fiscal Year 2021-22.
REPORT SUMMARY:
Housing Successor Agency Annual ReportHealth and Safety Code Section 34176.1 (enacted by Senate Bill 341 and Assembly Bill 1793) requires successor housing entities to prepare an annual report documenting compliance with expenditure proportionality and other requirements pertaining to the housing asset fund. The report is due to the California Department of Housing and Community Development by December 31, 2022.
The Annual Report includes the following information required by law:
• Amounts deposited into the Housing Asset Fund;• Statement of the balance of the Housing Asset Fund; • Description of expenditures by category;
• Statutory value of real property;• Description of transfers from the former Avalon Community Improvement Agency; • Description of projects that receive funding through the Successor Agency’s Recognized Obligation Payment Schedule;
• Status of property disposition efforts;• Update on inclusionary and replacement housing obligations; • Compliance with five-year expenditure obligations;
• Percentage of senior deed-restricted units;• Amount of excess surplus; and • An inventory of homeownership units with affordability restrictions.
Low and Moderate Income Housing Asset Fund
The Housing Asset Fund includes all of the assets that were transferred from the Avalon Community Improvement Agency (“AdA”) to the Housing Authority upon dissolution of the ACIA. The assets include:
• Real properties,
• Affordable housing covenants,
• Loan receivables,
• Income from ground leases and rental properties, and
• Supplemental Educational Revenue Augmentation Fund Loan.
A total of $63,892 was deposited into the Housing Asset Fund during the fiscal year. At the close of Fiscal Year 2021-22, the ending asset balance in the Housing Asset Fund was$5,532,657. Land held for resale and cash constitute most this amount. The Housing Asset Fund had a cash balance of approximately $1,181,231 at the close of the fiscal year.
There were no expenditures from the Housing Asset Fund in Fiscal Year 2021-22. The statutory value of the properties and loans transferred to the Housing Authority totals$4,371,426.
Propefly and Project Descriptions
The ACIA transferred seven real properties to the Housing Authority that were approved by DOF in 2012. The Housing Authority sold two of the properties in FY 2013-14, with the following five properties remaining:
• 309 Beacon Street• 313 Beacon Street
• 238 Descanso Avenue
• 311 DescansoAvenue• 206 E. Whittley Avenue
All of the properties with the exception of 206 E. Whittley Avenue have been developed for affordable housing purposes and are in compliance with property disposition requirements. A multi-family property at 206 E. Whittley Avenue was purchased by the ACIA in 2008 with theintent to develop new affordable housing units. However, the ACIA was unable to pursue development due to the dissolution of redevelopment. In July 2019, the City Council acting as Housing Authority approved the final construction plans and authorized staff to develop andrelease the request for proposals to rehabilitate the property to be rented to low and moderate income residents and in October 2019, authorized City Staff to move forward in developing a preliminary site plan and feasibility study for the development of five units, through the replacement of one unit and addition of four new units. The Authority undertook pre construction and environmental remediation activity in FY 2021-22, and construction isanticipated to commence in the upcoming fiscal year.
Outstanding lnclusionary and Replacement Housing Obligations The former ACIA had a 52-unit surplus of affordable housing units as of February 1, 2012.Therefore, there are no outstanding affordable unit production obligations to fulfill.
Income & Age Proportionality
If housing successors expend money on projects, SB 341 requires at least 30 percent to be spent on extremely low-income rental housing, among other restrictions. The HousingAuthority has only expended funds on administrative costs since becoming the housing successor. As such, the Housing Authority is in compliance with expenditure proportionality requirements.
SB 341 also sets a limit on the portion of publicly assisted deed-restricted rental housing that may be restricted to seniors, There have been no deed-restricted rental units assisted by the Housing Authority or City in the past 10 years, therefore the Housing Authority is in compliance with this requirement.
Excess SurplusSB 341 reinstated a requirement to prevent housing successors from accumulating an excesssurplus, which is generally defined as unencumbered cash that exceeds the greater of $1million or the aggregate amount deposited into the Housing Asset Fund in the preceding four years. Since the housing successor did not exist until 2012, the first year this calculation can be performed is Fiscal Year 2016-17. The FY 2021-22 unencumbered cash amount was$1026347 with the aggregate amount deposited into the Housing Asset Fund from Fiscal Year 2017-18 through 2020-21 was S798961. As unencumbered cash amounts are in excess of $1 million dollars, the excess surplus was calculated to be $26,347 in FY 2021-22, inaddition to the remaining FY 2019-20 and FY 2020-21 Excess Surplus of $490,991. Thepurpose of the excess surplus calculation is to ensure that money is expended for affordable housing purposes. The excess surplus will need to be expended or encumbered by the end ofFiscal Year 2022-23 to avoid transferring the funds to the California Department of Housing and Community Development.
Homeownership Unit Inventor,’
The Housing Authority oversees five homeownership units with affordability restrictions. All units are moderate-income households assisted through the First-Time Homebuyer Program.
ENVIRONMENTAL REVIEW: The action taken by the Housing Authority to approve theHousing Successor Agency Annual Report does not commit the Housing Authority to any actions that may have a significant effect on the environment. As a result, such actions do notconstitute projects subject to the requirements of the California Environmental Quality Act.FISCAL IMPACT: The Housing Successor Agency Annual Report provides information on Fiscal Year 2021-22 activities and does not have any fiscal impact.
ATTACHMENT:
A. Housing Authority Resolution Approving a Housing Successor Agency Annual Report for Fiscal Year 2021-22
B. Housing Successor Annual Report for the Fiscal Year 2021-22
HOUSING AUTHORITY RESOLUTION NO.
A RESOLUTION OF THE HOUSING AUTHORITY OF THE CITY OF AVALONAPPROVING A HOUSING SUCESSOR AGENCY ANNUAL REPORT FOR FISCAL YEAR 2021-22
WHEREAS, City records reveal that the City adopted a resolution on or about February 2, 1933 creating the Housing Authority of the City of Avalon (Housing Authority’), however it is unclear whether the Housing Authority continued to remain active; and WHEREAS, the City Council adopted Resolution No. 12-02 on January 30, 2012 declaring the need for the Housing Authority and reauthorizing it to transact business and exercise powers; and
WHEREAS, pursuant to Health and Safety Code section 34176, the City of Avalon (‘City”), as the entity that authorized the creation of the dissolved Avalon CommunityImprovement Agency (Agency), elected not to retain the housing assets and functions previously performed by the Agency, and instead elected to transfer all rights, powers, assets,liabilities, duties and obligations associated with the housing activities of the Agency, excluding any amounts on deposit in the Low and Moderate Income Housing Fund, to the Housing Authority, as provided in Resolution No. 12-01 adopted on January 30, 2012; and WHEREAS, Section 34176.1 of the Health and Safety Code (H&SC) requires housing authorities to prepare an annual report describing its activities in the Low and Moderate Income Housing Asset Fund (“Housing Asset Fund”) for the preceding fiscal year and submit it to the California Department of Housing and Community Development (“HCD”) by December 31st of each year; and
WHEREAS, Housing Authority staff has prepared a Housing Successor Agency Annual Report for Fiscal Year 2021-22 (“Report”), attached hereto as Exhibit “A”; and WHEREAS, the Housing Authority desires to approve the Report and transmit it to HCD and post on its website.
NOW, THEREFORE, THE HOUSING AUTHORITY OF THE CITY OF AVALON DOES HEREBY RESOLVE AS FOLLOWS:
Section 1. Recitals. The Recitals set forth above are true and correct and incorporated herein by reference.
Section 2. Approval of Housing Successor Agency Annual Report. The Housing Authority of the City of Avalon hereby approves the Housing Successor Agency AnnualReport for Fiscal Year 2021-22, attached hereto as Exhibit “A,” as required by the H&SC.
Section 3. Transmittal to Appropriate Agencies. The City Manager is hereby authorized and directed to transmit, by mail or electronic means, a copy of the HousingSuccessor Agency Annual Report to the California Department of Housing and Community Development, file a copy with the City Clerk, and post on the Housing Authority website.
Section 4. Technical Revisions. The City Manager is hereby authorized and directed to use his discretion to make any necessary technical revisions to the HousingSuccessor Agency Annual Report prior to submittal to the appropriate reviewing bodies.
PASSED, APPROVED, AND ADOPTED at a regular meeting of the Housing Authority of the City of Avalon, on the 6th day of December, 2022, by the following vote:
AYES:
NOES:
ABSTAIN:ABSENT:
Ann H. Marshall, Chair
ATTEST:
Gabrielle Morones, Secretary
EXHIBIT A
HOUSING AUTHORITY OF THE CITY OF AVALON
HOUSING SUCCESSOR AGENCY ANNUAL REPORT
FISCAL YEAR 202 1-22
HOUSING SUCCESSOR ANNUAL REPORT
Avalon Housing Authority
Fiscal Year 2021 -22
TABLE OF CONTENTS
INTRODUCTION 1
HOUSING SUCCESSOR REQUIREMENTS 1
ASSETS TRANSFERRED TO HOUSING SUCCESSOR 2
HOUSING ASSET FUND ACTIVITY 3EXPENDITURE LIMIT COMPLIANCE 4 SENIOR HOUSING LIMIT COMPLIANCE 5
DEPOSITS AND FUND BALANCE 6
EXCESS SURPLUS 7
TRANSFERS TO OTHER HOUSING SUCCESSORS 9HOUSING SUCCESSOR PORTFOLIO 10PROPERTY DESCRIPTIONS AND DISPOSITION STATUS 10 LOANS RECEIVABLE AND DEFERRALS 12
AFFORDABILITY AGREEMENTS 12
HOMEOWNERSHIP UNIT INVENTORY 15
APPENDIX 1 - HOUSING SUCCESSOR ANNUAL REPORT REQUIREMENTS 16 APPENDIX 2— HOUSING ASSET TRANSFER FORM 17APPENDIX 3— HOUSING ASSET FUND EXPENDITURE REQUIREMENTS 18 ... . .:*:naa&L
INTRODUCTION
The Avalon Housing Authority (‘Housing Authority”) is the Housing Successor Agency to the former Avalon Community Improvement Agency (“ACIA”). The Housing Authority is responsible for maintaining housing assets transferred from the former ACIA and its main goal is to provide affordable housing for Avalon residents.
This Housing Successor Agency Annual Report (‘Annual Report”) contains information on Fiscal Year (“FY”) 2021-22 finances and activities as required by Health and Safety Code (“HSC”) Section 34176.1(f).
This Annual Report details how the Housing Authority met all requirements for expenditures by income level since the beginning of the second five-year compliance period, which runs from July 1, 2019 through June 30, 2024.
The Annual Report is due to the California Department of Housing and Community Development (“HCD”) by December 31st annually and must be accompanied by an independent financial audit. The Housing Authority’s audited financial statements will be posted on the City of Avalon’s (‘City”) website when available. 1 This report is an addendum to the Housing Authority Annual Report required by HSC Section 34328, which is submitted to HCD by October Vt annually.
HOUSING SUCCESSOR REQUIREMENTS
In the 2013-14 Legislative Session, Senate Bill (‘SB’) 341 and subsequent legislation enacted several requirements for housing successor agencies. Housing successors must comply with three major requirements pursuant to HSC Section 34176.1:
1. Expenditures and housing production are subject to income and age targets.
2. Housing successors may not accumulate an “excess surplus,” or a high balance based on certain thresholds discussed later in this report.
1 This report was prepared based on unaudited financial statements that may differ from the final audited financialstatements due to year-end accounting.
Avalon Housing Successor Annual Report 202 1-22 1
3. Properties must be developed with affordable housing within five to ten years of being approved for transfer from the former redevelopment agency to the housing successor.
The requirements are designed to ensure that housing successors are actively utilizing former ACIA housing assets to produce affordable housing. Appendix 1 provides a detailed summary of the reporting requirements that are addressed in this Annual Report.
ASSETS TRANSFERRED TO HOUSING SUCCESSOR
Upon the statewide dissolution of redevelopment in 2012, all rights, powers, committed assets, liabilities, duties, and obligations associated with the housing activities of the ACIA were transferred to the Housing Authority. The Housing Authority prepared a Housing Asset Transfer Form (‘HAT”) that provided an inventory of all housing assets transferred from the ACIA to the Housing Authority. This included:
1. Real properties,
2. Affordable housing covenants,
3. Loan receivables,
4. Income from ground leases and rental properties, and
5. Supplemental Educational Revenue Augmentation Fund (‘SERAF”) Loan.
All items on HAT were approved by the California Department of Finance (“DOF”) on August 30, 2012.
DOF later asked the Successor Agency to revise the form and the revised HAT was approved by DOF on December 15, 2014. A copy of the revised HAT is provided as Appendix 2.
It is important to distinguish that Housing Authority assets that were not transferred from the former AdA, nor generated by, nor purchased with, assets from the former ACIA, are not subject to HSC Section 34176.1.
Ave/on Housing Successor Annual Report 2021-22 2
HOUSING ASSET FUND ACTIVITY
Former AGFA assets! and the revenues generated by those assets, are maintained in a Low and ModerateIncome Housing Asset Fund (Housing Asset Fund).2 Housing Asset Funds may be spent on:
Administrative costs up to $200,000 per year adjusted for inflation, or 5% of the statutory value of real property owned by the housing successor and the value of loans and grants receivablefrom the HAT (“Portfolio”), whichever is greater. HOD annually publishes the administrativeexpenditure cap limit which contains the Oonsumer Price Index adjustment. However, for F’? 2021-22, HOD anticipates having the administrative expenditure cap limit published by January 2023. The Housing Authority has a Housing Asset Fund Portfolio value of $4,371,426, and 5% of that value is $218,511. During the time of this report, the Housing Authority is applying the mostavailable (F’? 2020-21) published administrative expenditure cap limit of $223,400. • Homeless prevention and rapid rehousing services up to $250,000 per year if the former AOIA did not have any outstanding housing inclusionary or replacement housing production requirements. The former ACIA had a surplus of affordable housing production units, and therefore the Housing Authority as Housing Successor can make this expenditure if it choosesand funding is available for such expenditures. • Affordable housing development assisting households up to 80 percent of the Area Median Income (“AMI”), subject to specific income and age targets.
Five-Year Income Proportionality: If any Housing Asset Funds are spent on affordablehousing development, it triggers a requirement to spend at least 30 percent of such expenses assisting extremely low-income households (3O% AMI), and no more than 20 percent on lowincome households (between 60-80% AMI) per five-year compliance period. The current fiveyear compliance period runs from July 1,2019 through June 30, 2024. 2 Fund 153. The Housing Asset Fund replaced the former ACIA’s Low and Moderate Income Housing Fund.
Avalon Housing Successor Annual Report 2021-22 3
It is important to note that housing successors must report expenditures by category each year, but compliance with income proportionality limits is measured every five years. Forexample, a housing successor could spend all its funds in a single year on households earning between 60-80% AMI, as long as it spends 20 percent or less of the total expenditures during the five-year compliance period.
Ten-Year Age Proportionality: If more than 50% of the total aggregate number of rental units produced by the City, Housing Authority, or former ACIA during the past 10 years arerestricted to seniors, the Housing Authority may not spend more Housing Asset Funds on senior rental housing.
Appendix 3 describes Housing Asset Fund expenditure requirements in more detail, including the types of costs eligible in each category.
EXPENDITURE LIMIT COMPLIANCE
The Housing Authority complied with all Housing Asset Fund spending restrictions in FY 2021-22, including five-year compliance period income targeting requirements:3 • No administrative expenses were made in FY 2021 -22.• No homeless prevention or rapid rehousing expenses were made in FY 2021-22. • No affordable housing development-related expenditures were made, so five-year compliance period income targets do not apply.
3 The Housing Asset Fund figures in this Annual Report are based on unaudited numbers that were available at thetime this report was prepared. They might vary slightly from audited numbers once Avalon’s annual audit iscomplete.
Avalon Housing Successor Annual Report 202 1-22 4
Figure 1.
Expenditure Limitation Compliance
$ 300,000
5250 000 $250,000
N/A, $0 Development Expenses
$200,000
$150,000
$100,000
$50,000
$0 $0 $0
$0
30% AMI 31-59% AMI 6080% AM
Minimum (no limit) (20% maximum)
• Limit • Experiture
The Housing Authority will ensure it continues to meet all expenditure requirements going forward, including throughout the current five-year compliance period of July 1, 2019 through June 30, 2024.Failure to comply with the extremely low-income requirement in any five-year compliance period will result in the Housing Authority having to ensure that 50 percent of remaining funds be spent on extremely lowincome rental units until in compliance. Exceeding the expenditure limit for low households earning between 60-80% AMI in any five-year reporting period will result in the Housing Authority not being able to expend any funds on these income categories until in compliance.
SENIOR HOUSING LIMIT COMPLIANCE
Pursuant to Health and Safety Code Section 34176.1 (b), a maximum of 50% of deed-restricted rental housing units assisted by the former Agency, Housing Authority, or City in the previous 10 years may be restricted to seniors. There have been no deed-restricted affordable senior rental units assisted by the City, Housing Authority, or former ACIA in the past 10-years. Therefore, the Housing Authority complies with this requirement.
Exceeding this limitation will prohibit the use of Housing Asset Funds to subsidize any senior rental unitsuntil in compliance. 5 5223,400
Administration! Homeless
Monitoring Prevention/Rapid
Housing
Avalon Housing Successor Annual Report 2021-22
DEPOSITS AND FUND BALANCE
The Housing Authority deposited $63892 into the Housing Asset Fund during FY 2021-22.
Figure 2.
Housing Asset Fund Deposits FY 2021-22
Interest
Revenue sources include:
Interest income ($58).
$300 $58_
$13,534
• Ground Leases 238& 311 Descanso
• Loan Repayment -309 & 313 Beacon
• Ground lease revenue ($13,834). The Housing Authority received $300 for the 238 & 311 Descanso properties and $1 3,534 for 309 & 313 Beacon in FY 2021-22. • Initial loan repayment ($50,000) for resyndication of 309 & 313 Beacon4.
The 309 Beacon loan receivable value is not recorded in the Housing Asset Fund balance or the Housing Authority’s Trial Balance because it is a long-term receivable. Loan repayment was not required or expected untilthe repayment term expiration of 2053. The Housing Authority is working with its auditors to identify whether the loan should be recorded in the Trial Balance as a result of the payment received in FY 21-22. . Ground Leases 3o9& 313 Beacon
Avalon Housing Successor Annual Report 2021-22 6
The Housing Asset Fund balance as of June 30, 2022 was $5532657. 7-
--
‘•• p
Housing Asset Fund Ending Balance FY 2021-22
Balance Type AmountCash and LAIF 1,181,231Cash Due From Fund 154 400,000Land Heki For ResaleIl 3,951,426 Fist Tine Homebuyer Loans Receivablel2 -
Ending Balance $ 5,532,657
‘The iad vue of two properties ira’isrced at the HAT (238 & 311 Descaso) we not recaded in the Raising AssetFund bance because the Id is a’y hdd as security in the eva,t deJt at first-lime hanetwjyer Ican. The vueof3O9and 313 aca1 is not relected in the Tri Rune Ljt has beai ed here torelect the mer AclAs awnersiipof the land Lrduneath the rn pro.,ed wcçeity.
Ltn receivade *x 336 Triaa Late was aisferred al the HAT. it is not recaded in the Haising Asset FLZ1d batce in Talie 2 became the Icat is not repaid ifless the property is sdd.
EXCESS SURPLUS
The Housing Asset Fund may not accumulate an “excess surplus,” or an unencumbered amount that exceeds the greater of $1 million, or the sum of deposits in the prior four fiscal years. This requirementensures that housing successors are actively spending available Housing Asset Funds on affordable housing. The excess surplus must be expended or encumbered within three fiscal years. If a housing successor fails to comply, it must transfer any excess surplus to HCD within 90 days of the end of the third fiscal year.
The Housing Authority accumulated excess surpluses in H’s 2019-20 and 2020-21 totaling $490,991,as detailed in Table 2. The Housing Authority must work to expend or encumber the remaining 201 9-20excess surplus by June 30, 2023 and 2020-21 excess surplus by June 30, 2024. If the Housing Authority does not expend of encumber the funds by the stated deadlines, they will not have to transfer theremaining funds over to HCD.
Avaton Housing Successor Annua/ Report 202 1-22 7
Table 2 S.____________________ hPnor Year Excess wplus Elimination Remaining Excess Surplus from Prior Years as of 711t21
FY2019-20 336,345FY2020-21 154,646
Total Excess Surpkis from Prior Years $490,991
Elimination of Prior Year Excess SurplusExpenditures
FY2O-21 Expenditures $0
Encuntrances
FY 20-21 Encumbrances $0
Remaining Prior Year Excess Surplus $490,991
Table 3 shows the excess surplus calculation for FY 2021-22. The Housing Authority accumulated an excess surplus of $180,987 in FY 2021-22. It should be noted that each excess surplus must beaccounted for separately, as such, the reduction for the previous excess surplus is reduced from theavailable funds as to not double count the excess surplus or available fund balance.
Avalon Housing Successor Annual Report 202 1-22 8
Table 3 *::
Excess Surplus Calculation
Fiscal Year 2017-18 2018-19 2019-20 2020-21Deposits 20,129 15416 11,628 395 Plus: SERAF Payments1 115,825 609,609 25,960 -
Total Deposits $ 135,954 $ 625,025 $ 37,588 $ 395FY 2021-22 Beginning Cash Balance2 1,517,338Less: Encumbered Funds -Less: Remaining Excess Surplus from Prior Years (490,991)Unencumbered Amount 1,026,347Step 1 $1 Million, or $1,000,000
Last 4 Deposits 798.961Resuft: Larger Number $1,000,000 Step 2
Unencumbered Cash Balance 1,026,347Larger Number From Step 1 1,000,000 Excess Surplus $ 26,341
1 In FY 17-18, 18-19, and 19-20 SERAF payments were not reflected as deposits in Housing Asset Fund accounting records because they were recorded as an adjustment to the SERAF loan receivable balance, However, they are considered deposits for the purpose of making the excess surplus 2 As of July 1, 2021. Includes cash, SERAF payments, and $400,000 due from Fund 154, The Housing Authority is committed to the production of affordable housing in the City and is consideringoptions to spend the excess surplus moving forward. Options possibly include the rehabilitation of 206 E. Whittley and homelessness prevention and rapid rehousing efforts. Progress will be made towards eliminating excess surplus monies within the required timeframe.TRANSFERS TO OTHER HOUSING SUCCESSORS There were no transfers to another housing successor entity for a joint project pursuant to HSC Section 341 76.1(c)(2).
Avalon Housing Successor Annual Report 2021-22 9
HOUSING SUCCESSOR PORTFOLIO
The Housing Successor Portfolio includes five properties and two loans receivable transferred from theformer AGfA, The Portfolio had a value of $4,311,426 as of Pr’ 2021-22, as detailed in Table 4.
Table 4
Portfolio Value of Real Properties and Loans Receivable Asset Amount
Pea! Properties309 Beacon Street 862,511
313 Beacon Street 236,315
238 Descanso Avenue1 150,000311 Descanso Avenue1 150,000 206 East Whittley Avenue 2,852,600
Subtotal 4,251,426
Loans ReceivableFist Time Honiebuyer Loans Receivable2 120,000Subtotal $120,000 Total Portfolio Value $4,371,426
1The Authority issued first-tme haneWyer Icais with these property olna’s jid hdds interest in thelaid izidemi the hones as security ri the et of defaLit Thevthje of these properties are rid Included in the Hosing Asset Findta,ce wi Tatiel ‘$120,000 kni recaivade b’ 3% Triala Laie was ansferred al the HAT. It is rid recorded in the Hoeswig Asset Fund ba.ce in Tatie 2 because the Imn is rid repaid ifless the property is sdd. An add’tjail $,000 Icn Ia 338Tria,a La.e was traisferred a the HAT that was paid d1wh the property was sdd to a new rnaiaate incc,nie txiya.The new Icsi at 338 Triana Laie is casidered a Honing Authority asset bet rid a hwsng successa assa
PROPERTY DESCRIPTIONS AND DISPOSITION STATUS
The ACIA previously transferred seven real properties to the Housing Authority that were approved by DOE on the HAT in 2012. The Housing Authority sold two of the properties in FY 201 3-14. The following is a description of each of the five remaining properties:
309 & 313 Beacon Street: This 14-unit senior housing complex is affordable to very low-income residents. The project was constructed in 2002 with a combination of USDA Section 515 funds,Low Income Housing Tax Credit (LIHTC”) financing, HOME funds, ACIA funds (for landpurchase) and Federal Home Loan Bank funds. The Developer resyndicated the project in August Avalon Housing Successor Annual Report 2021-22 10
2021. As part of the resyndication process, the Ground Lease was amended and extended from 2074 to 2077. In addition, the affordability covenant was extended through 2077. • 238 & 311 Descanso Avenue: These two single4amily homes have 55-year affordable housing restrictive covenants that expire in 2051. The ACIA owned the land under the homes regulated by Ground Leases, which were transferred to the Housing Authority. They are both affordable tomoderate income households through Ground Leases issued by the former AdA. • 206 E. Whittley Avenue: This property contains a four-unit apartment complex. The ACIA purchased the property in 2008 and had planned to build new affordable housing units. However, the ACIA was unable to pursue development due to the dissolution of redevelopment. TheAuthority now intends to rehabilitate the property and rent units out to low and moderate income households. Pursuant to the Uniform Relocation and Real property Acquisition Policies Act of 1970) the Authority began providing relocation services to the one tenant occupying the property in November 2019 and successfully relocated the tenant in May 2020 in preparation for therehabilitation. Construction was planned to commence in Fall 2020 but was delayed due to the COVI D-19 pandemic. The Authority undertook pre-construction and environmental remediationactivity in FY 2021-22, and construction is anticipated to commence in the upcoming fiscal year.
HSC Code Section 341 76(e) requires that all real properties acquired by the ACIA prior to February 1, 2012 and transferred to the Housing Authority be developed pursuant to the requirements detailed inHSC Section 33334.16. Thus, all property that falls within these parameters must be developed for affordable housing purposes within five years from the date DOF approved the HAT. Avalon’s original HAT was approved by DOE on August 30, 2012. DOF later asked the Successor Agency to revise the form to reflect ownership of 309 Beacon Street, The revised HAT was approved by DOE on December 15, 2014. Therefore, the original five-year deadline ended on August 30,2017 for all the properties except 309 Beacon Street, which ended on December 15,2019, and is already developed as affordable housing.
The only Housing Authority property that still needs to be developed or disposed of pursuant to this provision is 206 E. Whittley Avenue. Plans for renovation are currently being developed for rental to low and moderate income residents, as described above. However, as the Housing Authority was unable todevelop or dispose of this property by August 30, 2017, the law allows for a five-year extension viaadoption of a resolution. On August 1, 2017, the Housing Authority adopted Housing Authority Resolution Avalon Housing Successor Annual Report 202 1-22 11
17-01 extending the period for development or disposition of Housing Authority properties transferred from the former ACIA pursuant to Health and Safety Code Section 341 76.1 (e) to August 30, 2022.
LOANS RECEIVABLE AND DEFERRALS
Two loans receivable and one deferral were transferred on the HAT. One loan for $95,000 at 338 Triana Lane was paid off after dissolution.5 The final payment towards the $1 million deferral was paid in FY 201 9-20 in the amount of $25,959. The remaining loan is described below:
First Time Homebuyer Program Loan Receivable ($120,000): The former ACIA issued a $120,000 loan to a moderate-income homebuyer at 336 Triana Lane. The loan is due upon saleor within 30 years, whichever comes first. The loan does not accrue interest except in the event of default, in which case the interest rate increases to five percent. There is no monthly payment unless a mutually agreed upon payment schedule is made. It is anticipated that the loan will berefinanced at the end of the 30-year term or re-issued to a new borrower upon the sale of theproperties.
AFFORDABILITY AGREEMENTSThe Housing Authority oversees seven affordability agreements transferred from the former ACIA:
309 Beacon Street: This 14-unit senior housing complex is affordable to very low-incomeresidents. The project was constructed in 2002 with a combination of USDA Section 515 funds, Low Income Housing Tax Credit (“LIHTC”) financing, HOME funds, ACIA funds (for land purchase) and Federal Home Loan Bank funds. The Developer resyndicated the project in August 2021. As part of the resyndication process between 309 Beacon St. and the non contiguous Bird Park, the Ground Lease was amended and extended from 2074 to 2077 and theaffordability covenant was extended 28 years and will expire in 2077. In addition, the affordabilitymix restricted 18 units (of the 36 between Beacon St. and Bird Park) to households with incomesless than 50% and 18 units to households with incomes less than 60% AMI based on TCAC See next sections for more details on the 338 Triana Lane loan payoff.
Avalon Housing Successor Annual Report 2021-22 12
limits. The City of Avalon adopted Resolution No. HA 20-01 in March 2020 which, at a minimum, requires the units to be restricted to rental households earning no more than 80% of AMI based on limits established by the State Department of Housing and Community Development.
Bird Park: This 24-unit multi-family property is affordable to very low-income residents. It was constructed in 2002 with a combination of USDA Section 515 funds, LIHTC financing, HOME funds! and ACIA financing. The ACIA funded roads and infrastructure for the project. As part of the resyndication process between Bird Park and the non-contiguous 309 Beacon St., the affordability covenant will be extended 28 years and will expire in 2077. In addition, the affordability mix restricted 18 units (of the 36 between Beacon St. and Bird Park) to households with incomes less than 50% and 18 units to households with incomes less than 60% AMI based on TCAC limits.
• Eucalyptus Hill Gardens: This 80-unit complex is subsidized by HUD and has 40 units restricted to very low-income households (24 extremely low and 16 very low income). The remaining 40 units are market-rate. The project was constructed in 1992 with LIHTC funds, ACIA funds, andRental Housing Construction Program loans. It has a 55-year affordability covenant that expires in 2047.
• Tremont Street Apartments: This 63-unit property had an agreement between the City and the California Housing Financing Agency (‘CaIHFA’) that restricted affordability at this property through August 18, 2016. The ACIA affordable housing covenants have since expired on the Tremont Street Apartments. However, the project is also subsidized by CaIHFA and Section 8 Project Based Vouchers. The CaIHFA promissory note was repaid by Hamilton Cove many years ago, but the Section 8 Project Based Vouchers were renewed in 2013 and will remain in effectuntil April 30, 2033 for 62 units restricted to low income households. • 238 & 311 Descanso Avenue: These two single-family homes have 55-year restrictive covenants that expire in 2051. They are both affordable to moderate income households through Ground Leases issued by the former ACIA.
• 336 Triana Lane: This single-family home has a 45-year restrictive covenant that expires in 2055.
A moderate income household received assistance through the First-Time Homebuyer Down Payment Assistance Program.
Avalon Housing Successor Annual Report 2021-22 13
One additional affordability agreement was transferred on the HAT at 338 Triana Lane for a First-Time Homebuyer Down Payment Assistance Program loan that was paid off after dissolution. The Housing Authority issued a new loan at the property that is maintained by the Housing Authority but is not a housing successor asset, as it was not funded by Housing Asset Funds.
Avalon Housing Successor Annual Report 2021-22 14
HOMEOWNERSHIP UNIT INVENTORY
Table 5 presents an inventory of homeownership units assisted by the former ACIA that require restrictions, covenants, or an adopted program that protects former ACIA Low and Moderate Income Housing Fund investments. One of the units, 338 Triana Lane, was assisted by the ACIA prior to dissolution with a $95,000 loan that was paid off after dissolution. A new $192,000 loan was issued at this property in December 2014 by the Housing Authority using housing bond proceeds. The loan has been included as part of the homeownership inventory to reflect the protection of the former ACIA’sinvestment, however it is considered a Housing Authority asset and not a housing successor assetbecause Housing Asset Funds were not used to fund the new loan.
Income Covenant
Project Name I Address Level Expiration Program238 Descanso Ave Moderate 5/17/51 FTHB311 Descanso Ave Moderate 5/23/51 FTHB336 Triana Lane Moderate 9/21/55 FTHB338 Triana Lane Moderate 6/23/59 FTHB Avalon Housing Successor Annual Report 2021-22
Funding Source
LM IH FLMIHFLMIHF
Housing Bonds
TabIe5
Homeownerslvy Unit Inventory
15 APPENDIX I - HOUSING SUCCESSOR ANNUAL REPORT
REQUIREMENTS
Housing Successor Reporting Requirements
Health and Safety Code Section 34176 1(1)
Housing Asset Fund
Revenues & Expenditures Obligations & Proportionality
Total amount deposited in the Description of any project(s) Description of any outstanding Housing Asset Fund for the fiscal funded through the ROPS production obligations of the year former ACIA that were inherited
by the Housing Authority Amount of deposits funded by a Recognized Obligation Payment
Schedule QROPS”)Statement of balance at the Update on property Compliance with proportionalityclose of the fiscal year disposition efforts (note that requirements (income group housing successors may only targets), which must be upheldhold property for up to five on a five year cycle years, unless it is already
developed with affordable
housing)
Description of Expenditures for Other ‘portfolio” balances, Percentage of deed-restricted the fiscal year, broken out as including: rental housing restricted tofollows: seniors and assisted by the . Statutory value of any former ACIA, the Housing • Homeless prevention and real property either Authority, or the City within the rapid rehousing transferred from the former ACIA or past ten years compared to the
. Administrative and total number of units assisted by purchased by the monitoring any of those three agencies Housing Asset Fund. Housing development . Valueofloansand
expenses by income level grants receivable assisted
Description of any transfers to Inventory of homeownership Amount of any excess surplus, another housing successor for a units assisted by the former and, if any, the plan for joint project ACIA or the housing eliminating it
successor that are subject tocovenants or restrictions or toan adopted program thatprotects the former ACIA’sinvestment of monies from the Low and Moderate IncomeHousing Fund
Other Assets and Active
Projects
Avalon Housing Successor Annual Report 2021-22 16
APPENDIX 2 -HOUSING ASSET TRANSFER FORM
The Housing Asset Transfer Form is attached as a separate document.
Avalon Housing Successor Annual Report 2021-22 17
Capped at $200,000 adjusted annually for inflation or 5% of the statutory value of real property owned by the housing successorand the value of loans and grants receivable from the HAT(“Portfolio’), whichever is greater.
Services for individuals and families who are homeless or would behomeless but for this assistance! including:
• Contributions toward the construction of local or regional homeless shelters
• Housing relocation and
housing search, mediation,
• Short-term or medium-term• Security or utility deposits• Utility payments• Moving cost assistance• Credit repair • Case management• Other appropriate activities for homelessness prevention and rapid rehousing of persons who have become homeless.
APPENDIX 3 - HOUSING ASSET FUND EXPENDITURE
REQUIREMENTS
Administrationand
ComplianceMonitoring
$223,400
maximum forFY 2021-22 in
Avalon (limit
varies eachyear)
Administrative activities such as:
• Professional services (consultant fees, auditor fees, etc.) • Staff salaries, benefits, and overhead for time spent on Housing Successor administration
• Compliance monitoring to ensure compliance with affordable housing and loan agreements
• Property maintenance at Housing Successor-owned
properties
HomelessPrevention
and
RapidRehousing
Solutions
$250,000
maximum per
fiscal year
stabilization services including
or outreach to property owners
rental assistance
Affordable No spending “Development” includes:
Housing limit, but must • New construction
Development comply with • Acquisition and rehabilitation income and • Substantial rehabilitation
age targets • Acquisition of long-term affordability covenants on multifamily units
• Preservation of at-risk units whose affordable rent restrictions would otherwise expire over the next five years
Avalon Housing Successor Annual Report 2021-22 18
Every five years (currently FY 2020-2024), Housing Asset Funds must meet income targets:
• At least 30% on extremely low income rental households (up to 30% AMI or Area Median ncome)
• No more than 20% on low income households (60-80% AMI) Moderate and above moderate income households may not be assisted (above 80% AMI).
Failure to comply with the extremely low income requirement in any five-year compliance period will result in having to ensure that 50 percent of remaining funds be spent on extremely low income rental units until in compliance.Exceeding the expenditure limit for low households earning between 60-80% AMI in any five-year reporting period will resultin not being able to expend any funds on these income categories until in compliance.
Age Targets For the prior ten years (resets every year), a maximum of 50% of deed-restricted rental housing units assisted by the HousingSuccessor or its host jurisdiction may be restricted to seniors.
If a housing successor fails to comply, Housing Asset Funds may not be spent on deed-restricted rental housing restricted to seniorsuntil in compliance.
Income
Targets
P —
ph
Avalon Housing Successor Annual Report 202 1-22 19
Avalon Housing Successor Annual Report 2021-22 20
CITY OF AVALON CITY COUNCIL ACTING AS
THE SUCCESSOR AGENCY TO THE AVALON COMMUNITY IMPROVEMENT AGENCY MEETING DATE: December 6, 2022 AGENDA ITEM: 5
ORIGINATING DEP: Finance CITY MANAGER:
PREPARED BY:
SUBJECT: Recognized Obligation Payment Schedule (ROPS) 23-24 and Successor Agency Administrative Budget for Fiscal Year 2023-24 RECOMMENDED ACTION(S): Adopt “A Resolution of the Successor Agency to the AvalonCommunity Improvement Agency Approving a Recognized Obligation Payment Schedule 23- 24 and Successor Agency Administrative Budget for Fiscal Year 2023-24.
BACKGROUND: As a result of the dissolution of redevelopment! the Successor Agency was created to administer the enforceable obligations and unwind the affairs of the former AvalonCommunity Improvement Agency (“Former Agency”). As part of that process, the Successor Agency must annually adopt the Recognized Obligation Payment Schedule (“ROPS”), as required by the Dissolution Law.
AVALON ROPS 23-24
A Recognized Obligation Payment Schedule for the 2023-24 fiscal period (ROPS 23-24”), covering the period of July 1, 2023 to June 30, 2024! is required to be submitted to the State Department of Finance (DOF”) by February 1, 2023. If the ROPS is not submitted by that deadline, the City of Avalon (as the City and not as the Successor Agency) will be subject to a civil penalty of S10,000 per day for each day it is late.
DOF provided the Successor Agency with a partially completed ROPS form to standardize the form and make it consistent with the automated tracking system. Commencing October 1, 2018 and annually thereafter, the differences between actual payments and past estimatedand approved obligations on the ROPS shall be submitted by the Successor Agency to the Los Angeles County Auditor-Controller for review and adjustment to future distributions through a Prior Period Adjustment (“PPA”) form. The County Auditor-Controller has until February 1 to submit the reviewed PPA to DOF for DOF approval.
A PPA form for ROPS 20-21 was submitted by Avalon Successor Agency staff to the CountyAuditor-Controller before the October 1, 2022 deadline. Because the ROPS is an estimate of the funds needed to pay enforceable obligations, often times the requested amounts vary fromthe actual expenditure. During the ROPS 20-21 period, the PPA showed that the Avalon Successor Agency spent $750 less Redevelopment Property Tax Rust Funds (‘RPTTF”) than requested on fiscal agent fees. The unspent $750 will likely be deducted from the Fiscal Year 2023-24 RPTTF distribution.
Matthew Baker, Finance Director
Tara Matthews, Consultant, RSG, Inc.
Enforceable Obligations
The majority of the enforceable obligations on the ROPS remain unchanged from prior periods.The ROPS 23-24 requests RPTTF in the amount of $2,221,377 to fund the following items:
• Debt service payments on the 2003 Tax Allocation Bonds. Series A;• Debt service payments on the 2015 Tax Allocation Refunding Bonds, Series 2015 A and 2015B;
• Bond fiscal agent and disclosure fees;• Administrative cost allowance.
Peivious Enforceable ObligationsPrior ROPS items that have been retired include:
• SERAF Loan that was fully repaid;
• Pebbly Beach Road Construction and Catalina Island Museum Society reimbursement payment;
• Audit and Accounting and Legal Services that are now paid for under the administrative cost allowance;
• Contract with Rincon Consultants that has been fulfilled;• Low and Moderate Income Housing Down Payment Assistance Program that has been funded with housing bond proceeds on prior ROPS;
• A City loan to the Successor Agency that has been repaid.
DOF Review
Upon submittal of an Oversight Board-approved ROPS, DOF has 45 days to make its determination. The RPTTF distribution dates for the ROPS 23-24 are on or about June 1,2023 and January 2, 2024.
SUCCESSOR AGENCY ADMINISTRATIVE BUDGET (FISCAL YEAR 23-24) California Health and Safety Code (“HSC”) Section 34177(j) requires the Successor Agency toprepare an Administrative Budget and submit it to the Oversight Board for approval. Pursuant to HSC Section 34171 (b), the administrative allowance is limited to the greater of $250000 per year, or three percent (3%) of the RPTTF distributed in the prior fiscal year, excluding the administrative allowance and any City/Former Agency loan repayments.
Staff is recommending that the Successor Agency approve an annual administrative budget of S250.000 for fiscal year 2023-24, which is split evenly between the two six-month ROPS periods, and direct staff to submit the budget to the Oversight Board for approval. The requested administrative budget amount of $250,000 is the maximum administrative cost allowance from RPTTF through the ROPS. Administrative activities for the 2023-24 fiscal year include preparation and legal review of the ROPS, PPA, staff reports and resolutions, payment of enforceable obligations, attendance at Successor Agency and Oversight Board meetings,and other activities detailed in Exhibit B attached to the accompanying resolution.
LAST AND FINAL ROPS
Beginning January 1, 2016, successor agencies may submit a Last and Final ROPS for approval by the oversight board and DOF if all of the following conditions are met:
1. Remaining debt includes only administrative costs and enforceable obligations with set payment schedules, such as debt service, loan agreements, and contracts;
2. All remaining obligations have been previously listed on a ROPS and approved by DOF; and
3. The successor agency has no outstanding or unresolved litigation.
The Successor Agency meets these conditions. Once DOE approves a successor agency’s Last and Final ROPS, the successor agency may submit up to two requests to amend it.
A consideration with a Last and Final ROPS is the likelihood of the recurring administrative cost allowance being significantly reduced. DOE has indicated that the administrative cost allowance on a Last and Final ROPS should be expected to be reduced to approximately $5,000 per approved line item per year as a general rule of thumb. This is similar to what otherSuccessor Agencies who have filed a Last and Final ROPS have had their administrative costallowance reduced to. While Avalon has continued to request and receive the full $250,000administrative cost allowance on their ROPS, with the change to a County-wide oversight board, Avalon should expect additional scrutiny in review and approval of the ROPSadministrative allowance.
Avalon will need to weigh the fiscal consequences on the City General Fund, with a potential loss of the recurring administrative cost allowances of up to $250,000 annually. Ultimately, the taxing agencies, including the City, share in the benefits of a Last and Final ROPS over the short term, but long term the City may be at risk of losing the greater administrative cost allowance. Every successor agency faces this issue; however, ultimately the administrative cost allowance will end once enforceable obligations are retired. Successor Agency staff and the Successor Agency’s financial consultant, RSG, Inc., will continue to analyze the potential impacts of submitting a Last and Final ROPS.
OVERSIGHT BOARD CONSOLIDATION
Oversight boards have broad authority to set administrative budgets. approve the transfer ofproperties pursuant to a long-range property management plan, approve enforceable obligations, and otherwise direct the successor agency to perform activities to wind down the former redevelopment agencies.The Dissolution Act (specifically HSC Section 34179(j-q)) provides that local oversight boards are succeeded by a single Countywide oversight board (with the exception of Los AngelesCounty, where 5 oversight boards have been created), commencing on July 1, 2018. The ROPS and Administrative Budget prepared by the Successor Agency for EY 2023-24 will be reviewed by the District 4 Los Angeles County Oversight Board.
ENVIRONMENTAL REVIEW: The action taken by the Successor Agency to approve the ROPS 23-24 and the Successor Agency Administrative Budget does not commit the Successor Agency to any actions that may have a significant effect on the environment. As a
result such actions do not constitute projects subject to the requirements of the California Environmental Quality Act.
FISCAL IMPACT: Approval of the ROPS and Administrative Budget is necessary for the Successor Agency to continue administrative operations and make payments for debt service,contracts, and other enforceable obligations. By not adopting the ROPS and Administrative Budget, the Successor Agency would risk defaulting on debt agreements and not being able to fund certain expenses and operations, which would also impact the City’s General Fund.
Failure to submit an Oversight Board-approved ROPS to DOF by February 1, 2023 will also result in a $10,000 per day penalty assessed against the City for each day the ROPS is late.
ATTACHMENT:
• Successor Agency Resolution Approving the ROPS 23-24 and the FY 2023-24• Successor Agency Administrative Budget
SUCCESSOR AGENCY RESOLUTION NO.
A RESOLUTION OF THE SUCCESSOR AGENCY TO THE AVALONCOMMUNITY IMPROVEMENT AGENCY APPROVING A RECOGNIZED OBLIGATION PAYMENT SCHEDULE 23-24 AND SUCCESSOR AGENCY
ADMINISTRATIVE BUDGET FOR FISCAL YEAR 2023-24
WHEREAS, pursuant to Assembly Bill 26 of the First Extraordinary Session of the 2011- 2012 Legislative Session (“ABX1 26”) (Chapter 5, Statutes of 2011), the Avalon Community Improvement Agency was effectively dissolved as of February 1,2012; and WHEREAS, pursuant to ABX1 26, the City Council of the City of Avalon serves as the Successor Agency to the Avalon Community Improvement Agency (Successor Agency’); and WHEREAS, pursuant to Health and Safety Code Section 34177, the Successor Agency is required to prepare a Recognized Obligation Payment Schedule (“ROPS”) in a mannerprescribed by the California Department of Finance (“DOE’), and submit the ROPS to anoversight board, the Los Angeles County Auditor-Controller, the State Controller’s Office, and DOF for review and approval; and
WHEREAS, pursuant to Health and Safety Code Section Section 341790), in every California county there shall be only one oversight board that is staffed by the county’s auditorcontroller, with the exception of Los Angeles County that has five oversight boards, each a consolidated board with one each for the five supervisorial districts in the County of Los Angeles; and
WHEREAS, the applicable consolidated oversight board overseeing this Successor Agency is called the Consolidated Oversight Board Fourth District of Los Angeles County (‘Fourth District Oversight Board”); and
WHEREAS, Assembly Bill 1484 (“AB 1484”) (Chapter 26, Statutes of 2012) established new procedural requirements for the preparation, review, and approval of ROPS by the Successor Agency, including clarifications regarding “enforceable obligations”; and WHEREAS, Senate Bill 107 (‘SB 107”) (Chapter 325, Statutes of 2015) established revised procedural requirements for the preparation, review and approval of ROPS by the Successor Agency, including modifying the ROPS process to an annual ROPS beginning with FY2017-18; and
WHEREAS, Exhibit ‘A” to this resolution establishes a ROPS for the fiscal year beginning July 1, 2023 and ending June 30, 2024 (“ROPS 23-24”), in a manner consistent with that prescribed by DOF; and
WHEREAS, Health and Safety Code Section 34177(j) requires the Successor Agency to prepare and submit a Successor Agency Administrative Budget (‘Administrative Budget”) for approval by an oversight board; and
WHEREAS, the SuccessorAgency will be allocated an “Administrative Cost Allowance,” as defined in Health and Safety Code Section 34171(b); and WHEREAS, Exhibit “B” to this resolution presents an Administrative Budget for fiscal year 2023-24, which provides the estimated amounts for Successor Agency administrative costs for the upcoming six-month fiscal periods of July 1, 2023 — December 31, 2023, and January 1, 2024 — June 30, 2024 in the total amount of $250,000, which is divided evenly between the twosix-month fiscal periods of the fiscal year.
NOW, THEREFORE, THE SUCCESSOR AGENCY TO THE AVALON COMMUNITY IMPROVEMENT AGENCY DOES HEREBY RESOLVE AS FOLLOWS:
Section 1. Recitals. The Recitals set forth above are true and correct and incorporated herein by reference.
Section 2. Approval of ROPS. The Successor Agency hereby approves the Recognized Obligation Payment Schedule 23-24, in substantially the form attached hereto asExhibit “A,” as required by ABX1 26, enacted during the 2011 legislative year, AS 1484, enacted during the 2012 legislative year, and SB 107, enacted during the 2015 legislative year.
Section 3. Approval of Administrative Budget. The Successor Agency hereby approves the Successor Agency Administrative Budget for Fiscal Year 2023-24, in substantially the form attached hereto as Exhibit “B,” as required by ABX1 26, enacted during the 2011 legislative year, AB 1484, enacted during the 2012 legislative year, and SB 107, enacted during the 2015 legislative year.
Section 4. Transmittal to Appropriate Agencies. The City Manager, on behalf of the Successor Agency, is hereby authorized and directed to transmit a copy of the ROPS to the Fourth District Oversight Board, and upon approval by the Fourth District Oversight Board submit the approved ROPS to the Los Angeles County Auditor-Controller, the State Departmentof Finance and the State Controller’s Office, and post a copy on the Successor Agency’s website, as prescribed by statute. The City Manager is additionally authorized and directed to transmit a copy of the Administrative Budget to the Fourth District Oversight Board for approval.
Section 5. Technical Revisions. The City Manager is hereby authorized and directed to use their discretion to make any necessary technical revisions to the ROPS and Administrative Budget prior to submittal to the appropriate reviewing bodies.
PASSED AND ADOPTED at a regular meeting of the Successor Agency to the Avalon Community Improvement Agency, on the 6t[ day of December, 2022, by the following vote:
AYES:
NOES:
ABSTAIN:ABSENT:
Ann Marshall, Chair
ATTEST:
Gabrielle Morones, Agency Secretary
EXHIBIT “A”
RECOGNIZED OBLIGATION PAYMENT SCHEDULE
JULY 1, 2023 —JUNE 30, 2024
SUCCESSOR AGENCY TO THE AVALON COMMUNITY IMPROVEMENT AGENCY
ANNUAL & SIX-MONTH ADMINISTRATIVE BUDGETS
FISCAL YEAR 2023-74
ANNUAI JUL-DEC JAN - JUN
Expense Category FY 2023-24 2023 2024 Description
Personnel Expenses
CityManager $ 67,478 $ 33,139 $ 33,739
City Manager’s Office - Provide direction to staff and
Assistant City Manager $ 58,560 $ 29,280 $ 29,280 consultants as needed; reviews and oversees 54 administration.
Administrative Analyst $ 18,298 $ 9,149 S 9,149
Finance Department - Process payment of enforceable
Finance Director $ 41,186 $ 20,593 $ 20,593 obligations; maintain documentation of 54 records; coordinate with consultants to answer questions and provide
documentation as needed for reporting preparation and as requested by the Oversight Board, County Auditor-Controller, Account Technician $ 25,978 $ 12,989 $ 12,989 and DOF; administration and implementation of SA wind-down activities.
Personnel Costs Subtotal $ 211,500 $ 105,750 $ 105,750
Service Expenses
Prepare ROPS, PPA, staff reports and resolutions for 54 and OB; coordinate and answer questions for Oversight Board, County Professional Services (R5G $ 25,000 $ 12,500 $ 12,500 Auditor-Controller, and DOF; monitor and project cash flow to Contract) ensure sufficents revenues for obligations and inform SA staff or expected revenues; other SA services as needed.
Accounting and Auditing $ 5,500 $ 2,750 $ 2,750 Audits and other financial services as needed.
Provide general legal services as needed, review staff reports Legal Services $ 7,000 $ 3,500 $ 3,500 and resolutions, other legal services as needed.
Overhead & Department Office overhead, supplies, trainings, conferences, other 54 5 1,000 $ 500 S 500 Expenses expenses
Service Costs Subtotal $ 3S500 $ 19,250 $ 19,250
Total Expenses $ 250,000 $ 125,000 $ 125,000
EXHIBIT “B”
SUCCESSOR AGENCY ADMINISTRATIVE BUDGET
FISCAL YEAR 2023-24
Recognized Obligation Payment Scehdule (ROPS 23-24) - Summary Filed for the July 1,2023 through June 30, 2024 Period
A Enforceable Obligations Funded as Follows (B+C+D):
B Bond Proceeds
C Reserve Balance
0 Other Funds
E Redevelopment Property Tax Trust Fund (RPTTF) (F+G):
F RPTTF
G Administrative RPTTF
H Current Period Enforceable Obligations (A+E):
Certification of Oversight Board Chairman:
Pursuant to Section 34177 (o) of the Health and Safety Code, I hereby certify that the above is a true and accurate Recognized Obligation Payment Schedule for the above named successor $ - $ - $
S 1,751,801 $ 469,576 $ 2,221,377
$ 1,626,801 $ 344,576 $ 1,971,377
$ 125,000 $ 125000 $ 250,000
5 1,751,801 $ 469,576 $ 2,221,377
Signature Title
Signature Title
Successor Agency: Avalon
County: Los Angeles
23-24A Total 23-24B Total
Current Period Requested Funding for Enforceable Obligations (ROPS Detail) (July - December) (January -June) ROPS 23-24 Total agency.
CITY OF AVALON CITY COUNCIL
ACTING AS SUCCESSOR AGENCY AND AVALON HOUSING AUTHORITY MEETING DATE: December 6, 2022 AGENDA ITEM:
ORIGINATING DEP: Administration CITY MANAGER:______
PREPARED BY: David Maistros, City Manager
Matthew Baker, Finance Director
SUBJECT: Multi-year Renewal Agreement with RSG, Inc. through FY 2025-26 for Successor Agency and Housing Authority Consulting Services RECOMMENDED ACTION: Authorize the City Manager/Agency Director to enter into a three year contract with RSG, Inc., to provide Successor Agency and Housing Authority consultingservices through FY 2025-26 in an amount not-to-exceed $35,000 per year (or $105,000 over length of contract).
REPORT SUMMARY: RSG has served as the Avalon Successor Agency’s consultant since the dissolution process began in 2012. It has a long-standing relationship consulting the City on community development related matters such as housing, economic development and finance.
RSG has helped Avalon with several items required by State law in the redevelopment dissolution process, such as preparing the annual ROPS, responding to inquiries from Countyand State agencies, assisting with reviews of Successor Agency expenses, reconciling cash balances and advising on various financial questions. RSG has also assisted the Housing Authority with filing multiple annual reports and ensuring that expenditures comply with legal requirements.
The City Council, as the Successor Agency Board, is being asked to consider a proposal from RSG to continue providing Successor Agency and Housing Authority consulting services through Fiscal Year 2025-26. The Successor Agency consulting services expenditures are included in the ROPS Administrative Budget.
Scope of Work
RSG has submitted proposals (attached) to provide redevelopment dissolution services and also Housing Authority annual reporting and strategic planning services. The attachedproposals detail the scope of services; however, it generally includes:
• Assisting with the County review of ROPS expenses
Reviewing future RPTTF (property tax) distributions for accuracy • Assisting with the transition to a new regional Oversight Board administered by the County
• Preparing the Housing Authority Annual Report due October 1 each year and the Housing Successor Annual Report due December 31 each year • Strategic planning and advisory services related to Successor Agency and Housing Authority finances and program implementation
• Responding to inquiries and attending meetings as necessary RSG has proposed a total not-to-exceed budget of $105,000 over the next three fiscal years ($25,000 per year for Redevelopment Dissolution services and $10,000 per year for Housing Authority services), billed on a time and materials basis. This matches the budget for RSG’s prior contract.GOAL ALIGNMENT: Timely reporting as required by the State.FISCAL IMPACTS: Consulting fees are included in the FY23 budget in Successor Agency account 13625-5005; and, Housing Authority account 15425-5005.CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: Potential delays in reporting to the State and County.FOLLOW UP ACTION: City Manager/Agency Director to approve and authorize RSG, Inc., toproceed per the attached proposal.
ADVERTISING, NOTICE AND PUBLIC CONTACT: Pursuant to the Brown Act.ATTACHMENTS: Proposals for RSG, Inc., Successor Agency and Housing consulting services.
2 —• ‘ r) - 17872 GILLETTE AVL 714 r,4I -tj Ir 3S0 Nrc., \‘ri4r,,{-: COr-i RETTER COMMUNITWS IN’,? NC, CA 92614 W: ti?’,’, (‘ml BOLDER FUTURES.
November 8, 2022 Via Electronic Mail
David Maistros, City ManagerMatthew Baker, Finance Director CITY OF AVALON / SUCCESSOR AGENCY TO AdA410 Avalon Canyon Road P.O. Box 707
Avabn, CA 90704
PROPOSAL FOP HOUSING AUTHORITY CONSULTING SERVICES FOP FY 2023-24 THROUGH 2025-26
Dear Mr. M&stros and Mr. BaKer:
Tnankyou forthe ooportuntyto continue serving the CityofAvalon (“City”), Successor Agencyto the Avalon Community Improvement Agency (‘Successor Agency”), and Housing Authority of the City of Avaion (“Housing Authority”) with redevelopment dissolution and housingadministration services. The Scope of Services be ow details RSG’s oroposed services related to preparation of the Hou&ng Successor Agency Annual Repo’t & strategic olannng.
SCOPE OF SERVICES
HOUSING AUTHORITY’ ANNUAL REPORTING & STRATEGIC PLANNING 1, Prepare the FY 2022-23 through 2024-2S Housing Authority Annual Report due by October 1, 2023, and subsequent fiscal years, respectively, and Housing Successor Agency Annual Report due by December 31, 2023, and subsequent fiscal years, respectively;
2. Strategic planning and/or project formulation for future housing projects, including analysis required to program the proportional expenditure of Low-and-Moderate Income Housing Asset Fund (“LMIHAF”) monies subject to Senate Bill 341;
3. Financial support or analysis related to the management of the LMIHAF; 4, Attend meetings as requested by staff; and
5. Assist with other tasks as needed.
ESTIMATED BUDGET & FEE SCHEDULE
PSG estimates a total not-to-exceed budge: of $30,000 ($10,000 for each year for the next three fiscal years). This incudes cost allocations for travel to meetings, Activites pertaining tothe scope of services may be paid rrom the Successor Agency’s administra:ve cost a owance.
Our se’vices would be ciarged on a time-and-materials basis, in accordance with our current fee schedule provided on the following page:
IRVINE S EE?KLLEY VIStA
David Maistros and Matthew Baker
City of Avalon
November 18, 2022Page 2
Pr ncipal / Director $ 215
Senior Associate 200
Associate 185
Senior Analyst 150
Ana yst 135
Research Assistant 125
Technician 80
Clericai 60
Reimbursable Expenses Cost pus 10%
P56 does not charge clients for travel or mileage (except direct costs related to field work/surveys), parking, standard telephone/fax expenses, general postage or incidental copies.
However, we do charge for messenger services, overnight shipping/express mail costs and teleconferencing services. Any third-party data required may also be charged to the client,typical examples include copies of the equalized assessment roll and CoStar Market data. We also charge for copies of reports, documents, notices, and support material in excess of five (5)copies. These costs are charged back at the actual expense plus a 10% surcharge.
PSG charges our services on a time and materials basis and the City will only be billed for time spent on these services. RSG issues monthly invoices payable upon receipt, unless otherwiseagreed upon in advance. Invoices identify tasks completed to date, hours expended, and the hourly rate. Our Federal Tax ID is 95-3435849.
This engagement would be overseen by Tara Matthews, Principal-in-Charge, and managed byAlex Lawrence, Associate. Ms. Matthews has worked with Avalon since the dissolution of redevelopment in 2012 and are very familiar with the agency’s history and needs. Additional support staff may be assigned as necessary.We appreciate the opportunity to submit our proposal to the City of Avalon and its agenc1es.
If:nis oroposal is accep:able as written, please sign where ndica:ed and return to our office at your earliest convenience, If you nave any questions, pease do not hesitate to contact Tara at (714) 3’6-2111.
Sincerely, APPROVED AND AUTHOPIZEDTO PROCEED:
RSG, INC.
‘.4 .. Signature:
IOA Ij’wn Printed
N a me:
Tara E. Matthews
principa Title:
Date:
17872 CLLF1TF AVE 7145414585
% .. StiflE 25<) - brrrncornqLn4Ims. JRVN CA ui4<!. \VESRScCOM SOLDER FUTURES.
November 22, 2022 Via Electronic Mail
David Maistros, City ManagerMatthew Baker, Finance DirectorCITY OF AVALON / SUCCESSOR AGENCY TO ACIA 410 Avalon Canyon Road
P.O. Box 707
Avalon, CA 90704
PROPOSAL FOR FY 2023-24 THROUGH 2025-26 SUCCESSOR AGENCY SERVICES Dear Mr. Maistros and Mr. Baker:
It has been our great pleasure to serve the City of Avalon (‘City”), Successor Agency to the Avalon Community Improvement Agency (‘Successor Agency”) since the dissolution process began in 2012. Thank you for the opportunity to present this proposal for continuedredevelopment dissolution services. The Scope of Services below details RSG’s proposed technical, management, and administrative services related to winding down the affairs of theformer ACIA, responding to ongoing reporting requirements, conducting strategic planning and financial analyses, and providing other services as directed by staff through Fiscal Years 2023-24 to 2025-26.SCOPE OF SERVICES
The proposed Scope of Services is based upon our experience with the Successor Agency and upcoming tasks that we have identified. RSG is happy to discuss modifications to the scope as needed to satisfy the Successor Agency’s needs. RSG has identified the following tasks:
Task 1: Budget and Cash Flow Work
RSG will continue to maintain a working cash flow model for the Successor Agency toanticipate any future budget shortfalls and ensure that obligations can be met. RSG will assist the Successor Agency in working to close any budget gaps by employing the variety of methods. RSG will also review the County Auditor-Controller’s January and June RPTTFdistributions to ensure accuracy, including updates the Successor Agency’s long-term cash flow based on actual revenues and expenditures.
iRVINE BEFKEJEY
David Maistros and Matthew Baker
CITY OF AVALON/SUCCESSOR AGENCY TO ACIANovember 22, 2022Page 2 Task 2: Complete Annual ROPS and accompanying Administrative BudgetsThe Successor Agency must annually submit a Recognized Obligation Payment Schedule (“ROPS”) to the Los Angeles County Fourth Supervisorial District Consolidated OversightBoard (‘Oversight Board”) and Department of Finance. RSG will assist the Successor Agencyin completing the 2024-25 through 2026-27 ROPS that will be addressed during the 2023-26 fiscal years or the Last and Final ROPS if eligible. Should an issue arise during the Department of Finance’s review of the ROPS, RSG would assist the Successor Agency in drafting a Meet and Confer request and is available to attend the meeting. The Successor Agency is allowed to amend the ROPS once during the period. RSG can assist the SuccessorAgency if this need arises.
The Successor Agency must submit an annual administrative budget supporting the use of the annual administrative allowance allowed by law. RSG will assist the Successor Agency in preparing the annual administrative budget for fiscal years 2024-25 through 2026-27, which will be submitted along with ROPS. RSG will attend the Oversight Board meetings for boththese items and prepare related staff reports and resolutions.Task 3: Assist with County PPAThe differences between actual payments and past estimated and approved obligations onthe ROPS shall be annually submitted by the Successor Agency to the Los Angeles CountyAuditor-Controller on October 1 each year for review and adjustment to future distributions.
RSG will assist the Successor Agency with this process and coordinate with the County. Thisincludes assisting the Successor Agency with payment verification documents as requestedby the County.
Task 4: Attend Meetings as Necessary
RSG will make a staff member available to the Successor Agency should they need assistance at any Successor Agency, Oversight Board, or DOF meetings.
Task 5: Additional Administrative Services as Needed
RSG will assist the Successor Agency with any additional administrative tasks as they arise and respond to general inquiries from DOF and other interested parties.
ESTIMATED BUDGET & FEE SCHEDULERSG estimates a total not-to-exceed budget of $75,000 ($25,000 for each year for the next three fiscal years) for the Scope of Services as outlined in the table below. This includes cost allocations for travel to meetings. These services may be paid from the Successor Agency’sadministrative cost allowance. Our services would be charged on a time-and-materials basis, in accordance with our current fee schedule:
David Maistros and Matthew Baker
CITY OF AVALON/SUCCESSOR AGENCY TO ACIANovember 22, 2022
Principal I Director $ 275
Senior Associate $ 200
Associate
- $ 185
Senior Analyst $ 150
Analyst $ 135
Research Assistant $ 125
Technician $ 80
Clerical $ 60Reimbursable Expenses Cost pIus 10%
RSG does not charge clients for travel or mileage (except direct costs related to field work/surveys), parking, standard telephone/fax expenses, general postage or incidentalcopies. However, we do charge for messenger services, overnight shipping/express mailcosts and teleconferencing services, Any third-party data required may also be charged tothe client, typical examples include copies of the equalized assessment roll and Costar Market data. We also charge for copies of reports, documents, notices, and support materialin excess of five (5) copies. These costs are charged back at the actual expense plus a 10%surcharge.RSG charges our services on a time and materials basis and the City will only be billed for time spent on these services. RSG issues monthly invoices payable upon receipt, unless otherwise agreed upon in advance. Invoices identify tasks completed to date, hoursexpended, and the hourly rate. Our Federal Tax ID is 95-3435849.This engagement would be overseen by Tara Matthews: Principal-in-Charge and managed by Alexandra Lawrence, Associate. Ms. Matthews has worked with Avalon since the dissolution of redevelopment in 2012 and is very familiar with the agency’s history and needs.
Additional support staff may be assigned as necessary.
David Maistros and Matthew Baker
CITY OF AVALON/SUCCESSOR AGENCY TO ACIANovember 22, 2022Page 4 We appreciate the opportunity to submit our proposal to the City of Avalon and its agencies.
If this proposal is acceptable as written, please sign where indicated and return to our office at your earliest convenience. If you have any questions, please do not hesitate to contact Tara at (714) 316-2111.
Sincerely,
RSG, INC.
La
Tara Matthews
Principal
APPROVED AND AUTHORIZED TO PROCEED:
Signature:PrintedName:
Title:
Date:
CITY OF AVALON CITY COUNCIL
MEETING DATE: December 6, 2022 AGENDA ITEM: 1
ORIGINATING DEP: Administration CITY MANAGER: (Dt4MPREPARED BY: Devin Hart, Management AnalystSUBJECT: Consideration of Amendment to Transportation Permit — Sara Mintz and Juan Saldana, dba Avalon Local Tour
RECOMMENDED ACTION: Discuss and provide direction to Staff. If consensus to approveis reached, make the affirmative findings that the criteria set forth in Avalon Municipal CodeSection 5-14.04 have been meet and amend the Transportation Permit for Avalon Local Tours.
REPORT SUMMARY: On May 17, 2022 the City Council approved a transportation permit for Sara Mintz and Juan Saldana. dba Avalon Local Tour. The transportation permit authorized use of an existing residential autoette and new commercial autoette to be used to perform guided autoette tours.
The approved routes included areas from Pebbly Beach Road! Mt. Ada! Avalon Canyon Road!Wrigley Memorial, Country Club Drive! Stage Coach Road! Casino Way and Descanso Beach.As stated in the application the business operates year-round! from 8:00 a.m. to 8 p.m. daily.The business does not have a brick-and-mortar location and is web based. Customer’s utilizingthe service are picked-up and dropped off at prearranged locations — such as hotels, vacation rentals, etc.On November 3, 2022, Avalon Local Tours submitted a request to amend the transportation permit to allow for an additional commercial autoette. If approved by the City Council, theproposed commercial autoette must be approved by the Vehicle Hearing Officer. Upon approval by the Vehicle Hearing Officer, the commercially permitted vehicle will be required to maintain off street, overnight parking.
Avalon Municipal Code Section (AMC) 5-14.04 requires a hearing before the City Council to determine whether a transportation permit should be approved. Per the AMC Sec. 5-14.04 (b) Permits: Applications: Requirements.*
(b) The Council may grant a permit upon the proposed terms or upon terms other than those proposed. The Council shall make the initial permit grant, and the Vehicle Clerk may thereafter renew a permit if he is able to make affirmative findings based on the criteria set forth below, If the Vehicle Clerk is unable to make the affirmativefindings, he shall so advise the permit holder and set a hearing date before the Vehicle Hearing Officer, whose decision on the renewal shall be appealable to the City Councilin accordance with the procedures set forth in Title 1, Chapter 4.:
(1) The applicant has presented facts demonstrating a necessity for the requested vehicle(s).
(2) The requested vehicle(s) is appropriate for the intended use and necessary, for the proper functioning of the applicants enterprise; (3) The requested vehicle(s) will not have a deleterious impact on traffic congestion, traffic safety, noise or air pollution;
(4) In view of the size and nature of the streets of the City and the character of the City itself, the requested vehicle(s) will not have a deleterious impact on the publichealth, safety, and welfare; (5) There is no more suitable alternative vehicle than the vehicle(s) requested by the applicant that can satisfy its requirements.
(6) In the case of renewal only, the requested vehicle has been used and continues to be used in accordance with the terms and conditions of the permit.
At this time, two similar golf cart tour business are in possession of transportation permits — • Catalina Guided Golf Cart Tours, operating one residential autoette and one commercial autoette, and
• Catalina Island Golf Cart Tours, operating one residential autoette.
These two operations have had negligible impacts to traffic and/or congestion. No accidents or incidents resulting from the business have been reported to the City.If approved by the City Council, the applicant must additionally meet the following conditions before a permit may be issued;
• Provide written permission from the Catalina Island Company to operate an additional autoette on private roads,
• Agree to limit pick up and drop off locations to hotels, rental units, or requested locations not to include the Cabrillo Mole, and
• Adhere to the terms outlined in the Avalon Municipal Code.
Upon renewal each year the Vehicle Clerk will evaluate if the business model has adversely added to the traffic, safety, and congestion in Avalon.FISCAL IMPACTS: Potential for nominal additional revenue to the City through taxes.CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: N/A FOLLOW UP ACTION: Implement City Council direction.
ADVERTISING, NOTICE AND PUBLIC CONTACT; Pursuant to the Brown Act.
ATTACHMENTS:
1. Transportation application
fl’Tfl
NUV 4)32022
For
Transportation Permit
Date of Application //03 .2- 2. Application Fee $236.00Name of Applicant L_ücot( Ton rsAddress /‘5O Mc1-t),c)jL Ave. Po&G,c //3Z 4vthIoki (ii- 90t0L1PhonefEmail (HZ’ II Ljf 1fl4’@GtIMjovi Iücc-( %‘wtv-f.coynIf Corporation:
Name of Corporation ,lvôi Iov Loat ,.rsDate of Incorporation CU’ I L.p 2 02-2—Place of Incorporation Lcc -c/ar Co Address of Business /5o Mefropote’ /h’e. Pc Say I; a ,4vc4 (wi, (.tCorporate Officers:
Name Address
Scwtk. E Mvta- 3H
y c ç/j- 3L4, frkfrcpIcAW
TradeNan1cofOperationJT0tkr LS rrn
Nature of Business, (Explain extent, character and manner in ,vhich proposed operation is to be conducted):
Wt(a,- visiks -h -flu Lc/( fhqrc, -7%,.
id7 hiS Jtrs/ btt1fr’J vthvc cZnt( il/ +k/
Ca%4m J)n1
cyopc /ary&
71r7,/IPJ 1it IS1n6( keepiny /4h-y
Jock a7%r ‘cmr.
Vehicles to be Used;
Year Model Body Type License # Capacity
2LDj9 Ez.6-io Ci
2 ZoH asw GvC
ice Cnf? -
Assign inent:
Applicant agrees not to assign permit, (if granted), in any manner whatsoever, in whole or in part, without prior written permission of the Avalon City Council. Any attempted assignment in violation of this SectionS shall be deemed void with no force or effect.Initial Date/L022-2 Proposed Dates/Hours of Operation:
Dates: Of/a I to I Hours:
Routes:
Describe routes (attach map if necessary Pbh y &acn e_ç.o ci rocnc P41 Adq. 7Jhj ran,c r±e
Connplcñn5 don (41’nc) WO.s7f.
StopsfStarIs:Proposed routes, points of discharge and pick-up of passengers.From: We —cic,tc4’rnlneckto d,sc/iar&rez-i{plck up Iocorfty? (, Jtpy &frkarc vu Avon
liorn 0
If ,1
2 If my Permit is Granted;
I agree to provide liability insurance raining the City of Avalon as co-insured in the amountsspecified in the Avalon Municipal Code and keep such policy in force and effect during theentire term of the permit. Such policies of insurance shall contain provisions which prohibit modification, cancellation or lapse without thirty (30) days prior written notice to the City of Ava Ion.
InitialJ( Date
[agree to hold harmless, indemnify and defend the City of Avalon, its officers and employeesfrom and against any and all claims, actions, damages, liabilities, expenses and judgments (including reasonable attorney’s fees) arising out ofor relating to the business or activities which I conduct pursuant to this permit.
Applicant Aivttfan /L4/ Togj,r Date________
Date Receivedjjá(.jtj.
Council ActionPermit Application Fee Paid __ Insurance
City Mgr:
Fwd: New customer message on November 2, 2022 at 11:22 am From: Avalon Local ToUrS ([email protected])
To: [email protected]
Date: Thursday, November 3, 2022 at 11:23 AM PDT
Forwarded message
From: Avalon Local Tours (Shopify) <maiIerflppJfyprn>Date: wed, Nov 2, 2022 at 11:22AMSubject: New customer message on November 2, 2022 at 11:22 am To: <[email protected]>
You received a new message from your online store’scontact form.Country Code:
USName:HannahEmail:hannah .manningactivision .comPhone Number:
9492269816Comment:
HelloI am looking at options in Avalon for a corporate day trip event. I have 14 people total and I am interested in what services you mighthave to offer. Our trip will be November 9th and we would arrive in Avalon around 10:50am, departing at 3:55pm PST. Please let me know what information you have regarding corporate events.
Thanks,
Hannah
AVALON LOCAL
TOURS
CAT A;SLAND
CITY OF AVALON CITY COUNCIL
MEETING DATE: December 6, 2022 AGENDA ITEM:
ORIGINATING DEP: Planning Department CITY MANAGER:______ PREPARED BY: Susanna Gutierrez. Assistant Planner
SUBJECT: Adopt an Ordinance of the City of Avalon Amending Article 6 of Chapter 5 of Title 9, of the Avalon Municipal Code, to Reflect New Statewide Legislation (Sb 897) Pertaining to AccessoryDwelling Units RECOMMENDED ACTION(S): 1. Find the Ordinance exempt from the California Environmental Quality Act (‘CEQA”) pursuant to Section 15061(b)(3) of the CEQA Guidelines as there is no possibility that this activity will have a significant adverse effect on the environment; 2. Introduce and waive all further readings of an ordinance updating theAccessory Dwelling Unit (“ADU”) regulations to reflect new mandatory changes in CA State requirements.
REPORT SUMMARY: The Planning Commission made a recommendation for City Council to approve this item at its November 16, 2022 meeting following a public hearing.
A first reading of an ordinance Amending Article 6 of Chapter 5 of Title 9, of the Avalon Municipal Code, pertaining to Accessory Dwelling units. The Zoning Ordinance Amendment implements revisions to the Avalon Municipal Code (‘AMC”) Title 9: Planning and Zoning -Accessory Dwelling Units, to reflect new statewide legislation (SB 897) that goes into effect on January 1, 2023. This proposed ordinance is exempt from furtherenvironmental analysis under CEQA Section 15061(b)(3) as there is no possibility that the activity in question may have a significant effect on the environment or qualify as a project.
Specifically, new main changes are outlined in the California Department of Housing and Community Development Handbook, dated July 2022, which is attached to the Planning Commission staff report which is included herein. Those changes pertain to height limitations on certain ADUs, changes in setback requirements and changes in the reviewprocedures for ADUs.FISCAL IMPACTS: None.
CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: Without a localcode adoption ordinance the City would be subject to the state statues without any modification as allowed by the state.
ALTERNATIVE ACTION(S):
a
Provide modifications allowed by State Code, generally less restrictive than the model CA ADU ordinance, and return to the Planning Commission for reconsideration.
FOLLOW UP ACTION: Implement ordinance.
ADVERTISING, NOTICE AND PUBLIC CONTACT: Pursuant to the Brown Act.
ATTACHMENTS:
1. Ordinance
a. ADU Zoning Code Amendment
b. PC Staff Report 11.16.22
2 Attachment I: Ordinance
ORDINANCE NO.
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF AVALON
AMENDING ARTICLE 6 OF CHAPTER 5 OF TITLE 9, OF THE
AVALON MUNICIPAL CODE, TO REFLECT NEW STATEWIDE
LEGISLATION (SB 897) THAT GOES INTO EFFECT ON JAN UARY 1, 2023 PERTAINING TO ACCESSORY DWELLING UNITS AND
DETERMINING THE ORDINANCE TO BE EXEMPT FROM CEQA
WHEREAS, in 2022, the California Legislature approved, and the Governor signed into law Senate Bill 897 (“SB 897”) and Assembly Bill 2221 (“AB 2221”). both of which amended Gov. Code section 658522: and
WHEREAS, SB 9 and AB 2221 go into effect on January I, 2023 and preempts an conflicting local ordinance; and WHEREAS, the City ofAvalon (“City”) has engaged in ongoing internal discussions and analysis concerning necessary amendments to the Avalon Municipal Code (“AMC”) to comply with state legislature: and
WHEREAS, the proposed ordinance attached hereto as Exhibit A” (the “Ordinance”) amends the AMC to amend existing regulations regarding Accessory D\%elling Units: and WHEREAS, after a duly-noticed public hearing held on November 16’, 2022. the Planning Commission voted to forward a recommendation to the City Council recommending that the Council adopt the Ordinance; and WHEREAS. the City Council has considered the Planning Commission’s recommendation, the staff report and supporting documents, public testimon. and all appropriate information that has been submitted with the Ordinance; and WHEREAS, all legal prerequisites to the adoption of the Ordinance have occurred.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF AVALON DOES ORDAIN AS FOLLOWS:
Section 1. The City Council hereby finds that the foregoing recitals are true and correct and are incorporated herein as substaiitive findings.
Section 2. The City Council finds that the Ordinance is exempt from the California Environmental Quality Act (“CEQA”) pursuant to Section 15061 (b)(3) of the CEQA Guidelines as there is no possibility that this activity will have a significant adverse effect on the environment.
Section 3. The Avalon Municipal Code is hereby amended as set forth in Exhibit “A” hereto, incorporated herein by this reference.
3 Section 4. The City Clerk of the City of Avalon shall certify the passage and adoption of this Ordinance and shall cause the same, or a summary thereof, to be published and/or posted in the manner required by law.
Section 5. This Ordinance shall take effect and be in full force 30 days after its adoption.Section 6. If any provision of this Ordinance or its application to any person or circumstance is held to be invalid, such invalidity has no effect on the other provisions or applications of thisordinance that can be given effect without the invalid provision or application and, to thisevtent, the provisions of this ordinance are hereby declared to be severable.
INTRODUCED at a regular meeting of the City Council of the City of Avalon on the al day of December. 2022. by the following vote:
AYES:
NAYS:
ABSENT:ABSTAIN:
PASSED, APPROVED AND ADOPTED at a regular meeling of the City Council of the City of Avalon on this
_____________
y
of
202, by the following vote:
AYES:
NAY S:ABSENT:ABSTAIN:
Cliv of AvalonAnn I-I. Marshall. Mayor
ATTEST:Gabrielle Morones, Deputy City Clerk
APPROVED AS TO FORM:
Scott H. Campbell
Best Best & Krieger
4 Exhibit A: ADU Zonin2 Code Amendment
Article 6 Accessory Dwelling Units
§ 9-5.601 Accessory Units.
(a) Purpose. The purpose of this section is to allow and regulate accessory dwelling units (ADU5) and junior accessory dwelling units (JADUs) in compliance with California Government Code sections 65852.2 and 65852.22.
(b) Effect of Conforming. An ADU or JADU that conforms to the standards iii this section will not be:
I) Deemed to be inconsistent with the city’ s general plan and zoning designation for the lot on which the ADU or JADU is located.
(2) Deemed to exceed the allowable density for the lot on which the ADU or JADU is located.
(3) Considered in the application of any local ordinance. policN. or program to limit residential growth.
(4) Required to correct a nonconforming zoning condition, as defined in subsection (c)(7) below. This does not prevent the city from enforcing compliance with applicable building standards in accordance with Health and Safety Code section 17980.12. (c) Definitions. As used in this section. terms are defined as follows:
(I) “Accessory dwelling unit” or “ADU” means an attached or a detached residential dwelling unit that provides complete independent living facilities for one or iore personsand is located on a lot with a proposed or existing primary residence. An accessory dwelling unit also includes the following:
(A) An efficiency unit, as defined by section 17958.1 of the California Health and Safety Code: and
(B) A manufactured home. as defined by section 18007 of the California Health and Safety Code.
(2) “Accessory structure” means a structure that is accessory and incidental to a dwelling located on the same lot.
(3) “Complete independent living facilities” means permanent provisions for living, sleeping, eating. cooking. and sanitation on the same parcel as the single—family or multifamily dwelling is or will be situated.
(4) “Efficiency kitchen” means a kitchen that includes all of the following:
(A) A cooking facility with appliances.
5 (B) A food preparation counter and storage cabinets that are ofa reasonable size iii relation to the size of the JADU.
(5) “Junior accessory dwelling unit” or “JADU” means a residential unit that satisfies all of’ the following:
(A) It is no more than 500 square feet in size.(B) Ii is contained entirety x ithin an existing or proposed single-family structure. An enclosed use within the residence, such as an attached garage. is considered to bea part of and contained within the single-family structure. (C) It imlcudes its own separate sanitation facilities or shares sanitation facilities with the existing or proposed single-family structure.
D) If the tin it does not include its ow ii separate bathroom. then it conta ins an interior entrance to the main living area of the existing or proposed single-family structure in addition to an exterior entrance that is separate from tile ma inentrance to the primaD dwelling. (F) It includes an efficiency kitchen, as defined in subsection (c)(4) above. (6) “Living area” means the interior habitable area of a dwelling unit, including basements and attics, but does not include a garage or any accessory structure. (7) Nonconforming zoning condition” means a physical improvement on a property that does not conform with current zoning standards.
(8) “Passageway” means a pathway that is tniohstructed clear to the sky and extends from a street to one entrance of the ADU or JADU.
(9) “Proposed dwelling” means a dwelling that is the subject ofa permit application and that meets the requirements for perni itting.
(10) “Public transit’’ means a location, including, but not limited to, a bus stop or train station. shere the public may access buses, trains. subways, and other forms of transportationthat charge set fares. run on fixed routes. and are available to the public. (11) “Tandem parking” means that two or more atimomobiles are parked on a driveway or in any other location on a lot, lined up behind one another. (d) Approvals. Tile following approvals apply to ADLIs and JADtJs under this section:
(I) Building-permit Only. If an ADU or JADL’ complies with each of the general requirements ill subsection (e) below, it is allow ed with only a building pernut ill the following scenarios:(A) Converted on Single-family Lot: One ADU as described in this subsection (d)(1 )(A) and one JADU on a lot with a proposed or existing single-familydwelling on it, where the ADU or JADI):
6 (I) Is either: within the space ofa proposed single-family dwelling: within the existing space ofan existing single-family dwelling: or (in the case of an ADU only) within the existing space ofan accessory structure, plus up to 150 addilional square feet if the expansion is limited to accommodating ingress and egress: and
(ii) Has exterior access that is independent of that for the single-family dwelling: and
(iii) Has side and rear setbacks sufficient fhr fire and safety, as dictated by applicable building and fire codes.
iv) The JADU complies with the req uirements of Government Code Section 65852.22.
(B) Limited Detached on Single-family Lot: One detached, new-construction ADU on a lot with a proposed or existing single-family dwelling (in addition to any JADU that might otherwise be established on the ot under subsection (dX I )(A) above), if the detached ADU satisfies each ofthe following limitations:
(i) The side- and rear-yard setbacks are at least three feet. (ii) The total floor area is 800 square feet or smaller. (iii) ‘Ihe peak height above grade does not exceed the applicable height limit in subsection (e)(2) below.
(C) Converted on Multifamily Lot: One or more ADUs within portions of existing mu It family dwelling structures that are not used as livable space, including but not limited to storage rooms, boiler rooms, passageway’s. attics, basements. or garages, if each converted ADU complies with state building standards fordwellings. Under this subsection (d)(1)(C), at least one converted ADU is a] loved with in an existing multifamily dwelling, tip to a quantity equal to 25 percent of the existing inti Iti family dwelling wi its. (D) Limited Detached on Multifamily Lot: No more than two detached ADLs on a lot that has an existing or proposed multifamily dwelling ifeach detached ADU satisfies both of the following limitations:
(i) The side- and rear-yard setbacks are at least three feet. If the existing multifamily dwelling has a rear or side yard setback of less than four feet, the city will not require an modification to the multifani i ly dwelling as a condition of approving the ADU.
(ii) The peak height above grade does not exceed the applicable height limit provided in subsection (e)(2) below.
(2) ADU Permit.
7 (A) Except as allowed under subsection (d)(l ) aboe, no ADU ma’ be created ithout a building penn it and an ADU pernut in compliance ith the standards set forth in subsections (e) and (fl below.
(B) The city may charge a fee to reimburse it for costs incurred in processing ADU permits, including the costs of adopting or amending the citys ADU ordinance.The ADU-permit processing fee is determined by the director of community development and approved by the city council by resolution. (3) Process and Timing.
(A) An ADU permit is considered and approved ministerially, without discretionary review or a hearing.
(B) The city must approve or deny an application to create an ADL or JADU ithin 60 days from the date that the city receives a completed application. If the cityhas not approved or denied the completed application within 60 days, the application is deemed approved unless either(i) The applicant requests a delay, in which case the 60-day time period is tolled for the period of the requested delay, or
(ii) When an application to create an ADU or JADU is submitted with a permit application to create a new single—family or multifamily dwell inigon the lot, the city may delay acting on the penn it application for the ADU or JADU until the city acts on the permit application to create thenew single—family or multifamily dwelling, but the application to create the ADU or J A DU will still be considered in in isterial ly without discretionary review or a hearing.
(C) If the city denies an application to create an ADU or JADU. the city must provide the applicant with comments that include. among other things. a list of all thedefective or deficient items and a description of how the application may be remedied by the applicant. Notice of the denial and corresponding commentsmust be provided to the applicant within the 60-day time period established by subsection (d)(3)(B) above.
(D) A demolition permit for a detached garage that is to he replaced with an ADU is reviewed with the application for the ADU and issued at the same time. (e) General ADU and JADU Requirements. The following requirements apply to all ADUs and JADUs that are approved under subsections (d)(l) or (d)(2) above; (I) Zoning.
(A) An ADU or JADU subject only to a building permit under subsection (d)(I) aho e may be created on a lot in a residential or mixed-use zone. (B) An ADU or JADU subject to an ADU permit tinder subsection (d)(2) above ma be created on a lot that is zoned to allow single—family dwelling residential use or mu It i fain i 15 dwelling residential tise.
8 (2) Height.
(A) Except as otherwise provided by subsections (e)(2)(B) and (e)(2)(C) below, a detached ADU created on a lot with an existing or proposed single family or mu Itifami lv dwelling tin it may not exceed 6 feet in height. (B) A detached ADU may be up to 18 feet in height if it is created on a lot with an existing or proposed single faniilv or multifamily dwelling unit that is located within one-half mile alLing distance of a major transit stop or a high qualit transit corridor, as those terms are defined in Section 21155 of the Public Resources Code, and the ADU may be up to Iwo additional feet in height (for a maximum of2O feet) if necessary to accommodate a roof pitch on the ADU that is aligned with the roof pitch of the primary dwelling unit. (C) A detached ADU created on a lot with an existing or proposed multifamil dwelling that has more than one stoi above grade may not exceed 18 feet in height.
(D) An ADU that is attached to the primary dwelling may not exceed 25 feet in height or the height limitation imposed by the underlying zone that app’ ies to the primary dwelling, whichever is lower. Notwithstanding the foregoing. ADUssubject to this subsection (e)(2)(D) may not exceed two stories. (E) For purposes of this subsection (e)(2). height is measured above existing legal grade to the peak of the structure.
(3) Fire Sprinklers.
(A) Fire sprinklers are required in an ADU if sprinklers are required in the primary residence.
(B) The construction of an ADU does not trigger a requirement for tire sprinklers to be installed in the existing primary dwelling.
(4) Rental Term. No ADU or JADU may he rented for a term that is shorter than 30 days.
This prohibition applies regardless of when the ADU or JADU was created. (5) No Separate Conveyance. An ADU or JADU may be rented, hut. except as otherwise provided in Government Code Section 6585226. no ADU or JADU may be sold or otherwise conveyed separately from the lot and the primary dwelling (in the case ofa single-family lot) or from the lot and all of the dwellings (in the case ofa multifamily lot)
(6) Septic System. If the ADU or JADU will connect to an onsite waslewater—treatment system, the owner must include with the application a percolation test completed within the last live years or, if the percolation test has been recertified, within the last 10 years. (7) Owner Occupancy.
(A) An ADU that is pennitted after January 1,2020. but before January 1.2025. is not subject to any ow ncr—occupancy requirement.
9 tB) Unless applicable law requires otherwise, all ADUs that are permitted on or after January I, 2025 are subject to an owner—oceupanc requirement. A natural person with legal or equitable title to the property must eside on the property as the person’s legal domicile and permanent residence.
(C) As required by state law, all JADEs are subject to an owner-occupancy requireinent.A natural person with legal or equitable title to the property mustreside on the property. iii either the prirnar’ dwelling or JADE. as the persons legal domicile and permanent residence. However. the owner-occupancy requirement in this subsection (e)(7)(C) does not apply if the property is entirely owned by another governmenta agency. land trust, or housing organ ization. (8) Deed Restriction. Prior to issuance of a building permit for an ADU or JADU, a deed restriction must be recorded against the title of the property in the County Recorder’s office and a copy filed with the Director (or their designee) and filed with the Planning Department. The deed restriction must run with the land and bind all future owners. The form of the deed restriction x ill he provided by the city and must provide that:(A) Except as otherwise provided in Government Code Section 65852.26, the ADU or JADU may not be sold separately from the primary dwelling. (B) The ADU or JADE is restricted to the approved size and to other attributes allowed by this section.
(C) The deed restriction rtins with the land and may be enforced against future property owners.
(D) The deed restriction may be renioved if the owner eliminates the ADU or JADU. as evidenced by, for e\ample. removal of the kitchen facilities. To remove the deed restriction, an owner may make a written request ofihe Director, providingevidence that the ADU or JADU has in fact been eliminated. The Director may then determine whether the evidence supports the claim that the ADU or JADU has been eliminated. Appeal may be taken from the Director’s determinationconsistent with other provisions ofthis Code. If the ADU or JADU is not entirely physically removed, but is only eliminated by virtue of having a necessarycomponent of an ADU or JADU removed, the remaining structure and improvements must otherwise comply with applicable provisions of this Code. (E) The deed restriction is enforceable by the director or his or icr designee for the benefit of the city. Failure of the property owner to compl) with the deedrestriction may result in legal action against the property owner, and the city is authorized to obtain any remedy available to it at law or equity. including. but not I imited to. obtaining an injunction enjoining the use of the ADU or JADE in violation of the recorded restrictions or abatement of the illegal unit. (9) Income Reporting. In order to facilitate the city’s obligation to identify adequate sites for housing in accordance with Government Code sections 65583.1 and 65852.2. the following requirements must be satisfied:
10 (A) With the building-permit application, the applicant must provide the city with an estimate of the projected annualized rent that will be charged for the ADU orJADU. (B) Within 90 days after each yearly anniversary of the issuance of the building permit, the owner must report the actual rent charged for the ADU or JADUduring tile prior year. If the city does not receive the report within tile 90-dayperiod, the owner is in violation of this Code, and the city may send the owner anotice of violation and allow the owner another 30 days to submit the report. If the owner fails to submit the report within the 30—day period. the city may enforce this provision in accordance with applicable law. (10) Building & Safety.
(A) Must comply with building code. Subject to subsection (e)( I 0)(B) below, all ADUs and JADUs must comply with all local building code requirements. (B) No change of occupancy. Construction of an ADU does not constitute a Group R occupancy change under the local building code, as described in Section 310 of tile California Building Code, unless the building official or Code Enforcement Division officer makes a written finding based on substantial evidence in therecord that the construction of the ADU could have a specific, adverse impact on public health and safety. Nothing in this subsection (e)( 10)(B) prevents the city’from changing the occupancy code of a space that was uninhabitable space or that was only permitted for nonresidential use and was subsequently converted for residential use in accordance with this section.
(0 Specific ADU Requirements. The following requirements apply only to ADUs that require an ADU permit under subsection (d)(2) above.
(I) Maximum Size.
(A) The maximum size of a detached or attached ADU subject to this subsection (f) is 850 square feet for a studio or one-bedroom unit and 1,000 square feet for aunit with two or more bedrooms. (B) An attached ADU that is created on a lot with an existing primary dwelling is further limited to 50 percent of the floor area of the existing primaly dwelling. (C) Application of other development standards in this subsection (0. such as FAR or lot coverage, might further limit the size of the ADU. but no application of the percent.based size limit in subsection (f)( I )(B) above or of an FAR, frontsetback, lot coverage limit, or open-space requirement may require the ADU tobe less than 800 square feet. (2) Floor Area Ratio (FAR). No ADU subject to this subsection (0 may cause the total FAR of the lot to exceed 45 percent. subject to subsection (f)(1)(C) above. (3) Setbacks.
11 (A) An ADU thai is subject to this subsection (0 must conform to a 3—foot front—yard setback, subject to subsection (fl( I )(C) above.
(B) An ADU that is subject to this subsection (fl must conform to 3-foot side- and rear-yard setbacks.
(C) No setback is required for an ADU that is subject to this subsection (0 if the ADU is constructed in the same location and to the same dimensions as an existing structure.
(4) Lot Coverage. No ADU subject to this subsection (fl may cause the total lot coverage of the lot to exceed 50 percent, subject to subsection (fl(1 )(C) above. (5) Minimum Open Space. No ADU subject to this subscction (0 may cause the total percentage of open space of the lot to fall below 50 percent, subject to subsection(0(0(C) above. (6) Passageway. No passageway, as defined by subsection (c)(8) above, is required for an ADU.
(7) Parking.
(A) Generally. One off-street parking space is required for each ADU. The parking space may be provided in setback areas or as tandem parking. as defined bysubsection (c)( 11) above. (B) Exceptions. No parking under subsection (fl(7)(A) is required in the following situations:
(i) The ADU is located within one-half mile walking distance of public transit, as defined in subsection (c)( 10) above.
(H) The ADU is located within an architecturally and historically significant historic district.
(Hi) The ADU is part of the proposed or existing primary residence or an accessory structure under subsection (d)( I )(A) above. (iv) When on-street parking permits are required but not offered to the occupant of the ADU.
(v) When there is an established car share vehicle stop located within one block of the ADU.
(vi) When the permit application to create an ADU is submitted with an application to create a new single-family or new multifamily dwelling onthe same lot, provided that the ADU or the lot satisfies any other criteria listed in subsections (f)(7)(B)(i) through (v) above.
12 (C) No Replacement. When a garage, carport. or covered parking structure is demolished in conjunction with the construction of an ADU or converted to an ADU, those off-street parking spaces are not required to be replaced. (8) Architectural Requirements.
(A) The materials and colors of the exterior walls, roof, and windoss and doors must match the appearance and architectural design of those of the primary dwelling. (B) The roof slope must match that of the dominant roof slope of the priniarv dwelling. The dominant roof slope is the slope shared h’ the largest portion oftl”r(’.f. (C) The exterior lighting must be limited to do n—lights or as otherwise required by the building or fire code.
(D) The \DU must have an independent exterior entrance. apart fiom thai of the primai-v dwelling.
(F) The interior horizontal dimensions of an ADU must he at least 10 feet ide in every direction, with a minimum interior wall height of se en feet. (F) Windows and doors of the ADU may not have a direct Irne of sight to an adjoining residential properly. Fencing. landscaping. or privacy glass ma he used to provide screening and prevent a direct line of sight. (G) All windows and doors in an ADU are less than 30 feet from a property line that is not a public right-of-way line must either he t flir nidows) clerestorv with the bottom of the glass at least six feet above the finished floor. or(for windows andfor doors) utilize frosted or obscure glass. (9) Landscape Requirements. Evergreen landscape screening must he planted and maintained between the ADU and adjacent parcels as follos:
(A) At least one 15-gallon size plant shall be provided For every five linear feet of exterior wall. Alternatively, at least one 24” box size plant shall he pro’ ided foreven ten linear feet of exterior wall. (B) Plant specimens must he at least six feet tall when installed. As an alternative, a solid fence ofat least 6 feet in height ma he installed. (C) All landscaping must be drought—tolerant.(D) All landscaping mu ‘ovcd plant list. (10) Historical Protections. An ADU that is on or within 600 feet of real property that is listcd in the California Register of l-Iistoric Resources must be located so as to not bc visible from any public right of way.
13 (g) Fees. The following requirements apply to all ADUs that are approved wider subsections (d)(]) or (d)(2) above.() Impact Fees.
(A) No impact fee is required for an ADU that is less than 750 square feet in size. For purposes of this subsection (g)( 1), “impact fee” means a “fee” under the Mitigation Fee Act (Gov. Code § 66000(b)) and a fee under the Quimby Act (Gov. Code § 66477). “Impact fee” here does not include any connection fee orcapacity charge for water or sewer service, (B) Any impact fee that is required for an ADU that is 750 square feet or larger in size must be charged proportionately in relation to the square footage of theprimary dwelling unit. (E.g., the floor area of the ADU, divided by the floor areaof the primary dwelling, times the typical fee amount charged for a nex•dwelling.) (2) Utility Fees.
(A) If an ADU is constructed with a new single-family home, a separate utility connection directly between the ADU and the utility and payment of the normalconnection fee and capacity charge for a new dwelling are required. (B) Except as described in subsection (g)(2)(A). converted ADUs on a siiigIc-family lot that are created tinder subsection (d)( I )(A) above are not required to have a new or separate utility’ connection directly’ between the ADU and the utility. Nor is a connection fee or capacity charge required.
(C) Except as described in subsection (g)(2)(A), all ADUs that are not covered by subsection (g)(2)(B) require a new, separate utility connection directly’ between the ADU and the utility.(i) The connection is subject to a connection fee or capacity charge that is proportionate to the burden created by the ADU based on either the floor area or the number of drainage-fixture units (DFU) values, as defined bythe Uniform Plumbing Code, upon the water or sewer system. (ii) The portion of the fee or charge that is charged by the city may not exceed the i’easonable cost of providing this service.
(h) Nonconforming Zoning Code Conditions, Building Code Violations, and Unpermitted Structures.
(I) Generally. The city will not deny an ADU or JADU application due to a nonconforming zoning condition, building code violation, or unpermitted structure on the lot that doesnot present a threat to the public health and safety and that is not affected by theconstruction of the ADU or JADU. (2) Unpermitted ADUs constructed before 2018.
14 (A) Permit to Legalize. As required by state law, the city may not deny a permit to legalize an existing but unpermitted ADLI that was constructed before January I. 2018, if denial is based on either of the follox ing grounds:
(i) The ADU violates applicable building standards. or(ii) The ADU does not comply with the slate ADLJ law (Government Code section 65852.2) or this ADU ordinance (AMC 9-56).
(B) Exceplions:
(i) Notwithstanding subsection (h)(2)(A) above. the city may deny’ a permit to legalize an existing but unpermitted ADU that was constructed beforeJanuary I, 2018. if the city’ makes a finding that correcting a violation is necessary to protect the health and safety of the public or of occupants of the structure.
(U) Subsection (h)(2)(A) above does not apply to a building that is deemed to be substandard in accordance with California l-lealth and Safety Codesection 17920.3. (i) Nonconforming ADIs and Discretionary Approval. Any proposed ADU or JADU that does not conform to the objective standards set forth in subsections (a) through (Ii) of this section maybe allowed by’ the city with a conditional use permit. in accordance with the other provisions of this title.
15 Attachment 2: PC Staff Report 11.16.22
AVALON PLANNING COMMISSION
STAFF REPORT — PC# 2826
WEDNESDAY November 16, 2022
Item No. — Public Hearing
Application File: Zoning Ordinance Amendment
Submitted by: Susanna Gutierrez. Assistant Planner
A public hearing to consider Zoning Ordinance Amendment ZOA revising the Avalon Municipal Code(“AMC”) Title 9: Planning and Zoning -Accessory Dwelling Units, to reflect new statewide legislation(AB 2221 & SB 897) that goes into effect on January 1, 2023. The proposed ordinance is exempt fromfurther environmental analysis under CEQA Section 15061 (b)(3) as there is no possibility that the activity in question may have a significant effect on the environment or qualify as a project Owner/Applicant:Files:PC #:Zone:
Planning Dept.
ZOA -ADU Update
2826All Residential Zones
CAUFORNIA DEPARTMENT OF HOUSING AND COMMUNITY
DEVELOPMENT
ACCESSORY DWELLING UNIT
HANDBOOK
UPDATED JULY 2022
4-H
16 BACKGROUND
Sum maryAB 2221 and SB 897 are the latest legislative moves iii this direction. Both bills will take effect on Jan. I. 2023. When they do, any local ordinance will be null and void if it does not conform to AB 2221’s and SB 897’s changes to state ADU law. To avoid this result, local agencies sliottld update their ADU ordinancesbefore Jan. 1.2023.
AB 2221 and SB 897, both of which amended Gov, Code section 65852.2. include numerous changes tothe state ADU laws. There are two dominant themes in the changes. First, cities must let ADUs go tallerand closer to the property lines. Second. the Legislature codified a number of interpretations ofthe law thatagencies developed as the ‘ye interpreted and applied the ADU law in different situations over the last few years.
Height Limitations — local agencies must allo ADUs taller than 16 feet in the following circumstances:
• If it is located within a half-mile ofa major transit stop or high quality transit corridor, a detached ADU that is on a lot with a single—family or multifamily dx elling may he tip to 1 8 feet in height h right, andthe ADU be up to two feet taller (for a maximum of 20 feet) if necessary to match the roof pitch of the ADU to that of the main house. Before this most recent legislation. local agencies could cap the height of a detached ADU at 16 feet.
• Ifa detached ADU is on a lot with an existing or proposed multistory niultifaniily dv.elling. the ADU may be up to 18 feet in height (again, by right), regardless of how close it is to transit. • An attached ADU may now be up to 25 feet high or as high as a prunary dwelling ma be under the underlying zone, whichever is lower. But a city may still limit the ADU to two stories.
Front Setbacks
Cities have authority to impose front-yard setbacks on ADUs that are subject to an ADLI permit. and that remains generally true, but now a front setback must yield to the extent necessar to enable the construction of an 800 square foot ADU with four-foot side- and rear-yard setbacks. The law has included a similar“must yield” provision for PAR. lot coverage and open-space requirements: the Legislature has added front setbacks to that list.Adjustments to Application Review Procedures; Additional Restrictions on Denials• If a city denies an ADU application, it must now provide the applicant with a “full set of comments” listing the specific items that are “defective or deficient,” These comments must also describe “how the application can be remedied” by the applicant. Most cities have been doing this already in practice. • A demolition permit for a detached garage that is to be replaced with an ADU must now be reviewed with the ADU application and issued at the same time. Many cities have already been doing this inpractice, too. • Local agencies cannot deny an application to create an ADU solely because con’ections are needed to address nonconforming zoning conditions, building code violations, or unpermitted structureselsewhere on the lot that do not present a threat to public health and safety and are not affected by the 17 construction of the ADU. Not many cities have been attempting to do this since the ADU law already required cities to disregard nonconforming zoning conditions and building code violations to a great extent when considering an ADU. But note that this is only’ a limit on holding up an ADU to requirecompliance elsewhere on the property; it does not insulate the property owner from having to come into compliance separately from the ADU.
Expansion of Where JADUs Can be Built; New Configuration Requirements• Under existing state law, a junior accessory dwelling unit (JADU) must be “within the walls” of a proposed or existing single-family dwelling. In light of HCD commentary, most cities have understood this to include nonlivable space within the primary dwelling structure, such as attached garages. Nowthe Legislature has made that express. The new amendments specify that “enclosed uses within the residence, such as attached garages, are considered part of the proposed or existing single-familyresidence.” This is more a change in the text of the law (that needs to be reflected in the local ordinance) than it is a substantive change in what the law requires. Most cities have already been doing this. • in instances where the JADU shares a bathroom with the primary dwelling, local agencies must now require the JADU to have an interior entry to the primary dwelling’s “main living area,” independent ofthe exterior entrances of the JADU and primary dwelling. This too is something that has widely beendone in practice but is now an express requirement in the law.
Meaning of “Objective”
Lastly, most cities have understood what the law means by objective standards (based on other changes to housing law in recent years), but the Legislature has now inserted an express definition into the ADU law:An “objective” standard as a standard that involves “no personal or suhjectivejudgment by a public official”and that is “uniformly verifiable by reference to an external and uniform benchmark or criterion availableand knowable by both the development applicant or proponent and the public official prior to submittal.”Next Steps Because state law requires complete, across-the-board consistency between a local ordinance and the state ADU law, nearly every if not every city and county in the state with an ADU ordinance will onceagain need to amend its ordinance to comply with the changes above. Failure to do so by Jan. 1,2023, willrender any nonconforming local ordinance null and void. “Note from Staff
‘Under previous amendments to State Imt’ (2019), the City is already inundated to ministerially approve Accessory Dwelling Units (ADUs) and Junior ADUs. In other words, if an application fin’ an L4DU is submitted to the City and isfound to be in compliance with State lair and City zoning regulations (to the 18 GENERAL PLAN, LAND USE, AND ZONING COMPLIANCE
ENVIRONMENTAL DETERMINATION
CEQA:
Under California Public Resources Code section 21080.17, the California Environmental Quality Act (“CEQA”) does not apply to the adoption of an ordinance by a city’ or county implementing the provisionsof section 65852.2 of the Government Code, which is California’s ADU law and which also regulatesJADUs, as defined by section 65852.22. Therefore, the proposed ordinance is statutorily exempt from CEQA in that the proposed ordinance implements the State’s ADU law.
RECOMMENDATIONS
Staff recommends the Planning Commission adopt the attached Resolution, which will:
I. Recommend to City Council adoption of an Ordinance repealing and replacing Article 6 (“Aecessoi Dwelling Units”) of Chapter 5 of the Avalon Zoning Code in compliance with new State Legislature AB 2221 and SB 897.
extent they doi ‘I conflict i’it1i State laii9, the C/ti’ n/act issue Planning appnn’al mu! Building Penn/is upon approval of building plans for the proposed ADU
19 Attachments
o Reso 22-46
Exhibit A: ZOA (ADU Update)
Attachment I: Resolution No. 22-46
A RESOLUTION OF THE PLANNING COMMISSION OF THECITY OF AVALON RECOMMENDING THAT THE CITYCOUNCIL ADOPT AN ORDINANCE REPEALING ANDREPLACING ARTICLE 6 (“ACCESSORY DWELLING UNITS”)OF CHAPTER 5 OF TITLE 9 OF THE AVALON MUNICIPALCODE FOR COMPLIANCE WITH STATE LEGISLATION All2221 AND SB 897 WI-IEREAS, the proposed zoning ordinance amendment (Exhibit A - attached) amends the AMC to repeal and replace Article 6 rAccesson Dwelling Units”) of Chapter 5 of Title 9 of the Avalon Municipal Code in compliance with state legislation AB 2221 and SB 897; and WHEREAS, the City ofAvalon (“Cm”) has engaged iii ongoing internal discussions and analysis concerning amendments to its Accessory Dwelling Unit (“ADL”) and Junior Accessory Delling Unit(“JADU”) ordinance in line with recent changes in State guidance and for greater clarity: and WHEREAS, on November I 6’. 2022. the Planning Commission held a duly-noticed public hearing, at which all those in attendance were given the opportunity to speak; and WHEREAS, the Planning Commission has considered the staff report. supporting documents. public testimony, and all pertinent information submitted.
NOW THEREFORE, THE PLANNING COMMISSION OF THE CITY OF AVALON DOES HEREBY RESOLVE AS FOLLOWS:Section 1. The Planning Commission hereby finds that the foregoing recitals are true and correct and are incorporated herein as substantive findings.
Section 2. Under California Public Resources Code section 21080.17, the California Environmental Quality Act (“CEQA”) does not apply to tIe adoption of an ordinance by a city or county implementing the provisions of section 65852.2 of the Government Code. shich is California’s ADU law and which also regulates JADUs. as defined by section 65852.22.Therefore, the proposed ordinance is statutorily exempt from CEQA in that the proposedordinance implements the State’s ADU law.
Section 3 The Planning Commission of the City ofAvalon hereby finds that this proposed zone text amendment (ZOA XX) is consistent with the Goals and Policies of the General Plan, specifically Goal V.C Provision of Adequate Housing Sites. Additionally, the proposed zone text amendment is consistent with Goal V.D Removal of Governmental Constraints.
Further it is consistent with Goal l1.A Community Design and II.B Land Use Goals.Policies and Implementation Measures. 20 Section 3. Based on the foregoing recitals and findings, the Planning Commission hereby recommends thai the City Council approve and adopt the proposed code revisions asdenoted in Exhibit A (attached).
BE IT FURTHER RESOLVED that a copy of tins Resolution be deIiered to the Cit ofAvalun City Clerk for transmittal to the City of Avalon City Council.
PASSED, APPROVED AND ADOPTED this 1611 day of November, 2022.
Chairman Bart Glass
ATTEST:
Dave Ni. Maistros. City Manager
CERTIFICATE;
I, Donna Terpinitz-Romo, hereby certify thai the foregoing Resolution 22-46 was adopted by the Planning Commission ofthe City of Avalori at a regular meeting held on the 16th day of November, 2022. by the following vote, to witAYES:
NOES:
ABSENT:
ABSTAIN:
Donna Terpinitz—Romo Administrative Assistant
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