Cities Index.
Agenda packet, regular meeting

Emeryville City Council
May 19, 2026

Document
Agenda packet, regular meeting
Meeting
May 19, 2026
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Emeryville City Council
Pages
12
Original file
95.5 MB
Text extracted from the city's file for reading and search. Open the original on emeryvilleca.primegov.com. That file is the official record.

The Public Works Director has identified a suitable location to install two locked posting boards on the Park Avenue side of the Civic Center building at 1333 Park Avenue. An open public posting board would be installed next to the secured cabinets for public agenda translations.

FISCAL IMPACT
There is no fiscal impact related to this item.

STAFF COMMUNICATION WITH THE PUBLIC
The City Council discussed this item at a Study Session on May 5, 0026, and gave direction to staff to return to Council with an item for consideration.

CONFLICT OF INTEREST
There is no conflict of interest related to this item.

CONCLUSION
Staff recommends that the City Council adopt the first reading of the attached ordinance amending Section 2-8.01 in Title 2 of the Emeryville Municipal Code to designate one official public posting location for agendas and public notices at the Civic Center located at 1333 Park Avenue in Emeryville, California.

PREPARED BY: April Foran, City Clerk

ATTACHMENTS
▪ Draft Ordinance
ORDINANCE NO.

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF EMERYVILLE AMENDING SECTION 2-8.01 (POSTING LOCATIONS) IN CHAPTER 8 (OFFICIAL NOTICES) OF TITLE 2 OF THE EMERYVILLE MUNICIPAL CODE TO DESIGNATE ONE PUBLIC

POSTING LOCATION FOR AGENDAS AND PUBLIC NOTICES AT THE CIVIC CENTER LOCATED AT 1333 PARK AVENUE, EMERYVILLE, CALIFORNIA WHEREAS, California Government Code Section 54950 et. seq. requires all meetings fo a legislative body of a local agency be open and public, and all persons shall be permitted to attend any meeting of the local agency; and
WHEREAS, the Government Code requires posting of a notice of a public meeting’s time and place, as well as the meeting agenda, and the posting must be done at least 72 hours in advance of a regular meeting, or 24 hours in advance of a special meeting, in a location freely accessible to the public; and
WHEREAS, effective July 1, 2026, due to changes in the Brown Act under SB 707, the City is required to provide a public posting location for agenda translations near the location where agendas are posted; and
WHEREAS, the City’s Municipal Code currently designates three posting locations, so it would need to install and three public posting boards; and WHEREAS, while the City intends to post a notice on the public posting board that it is intended for only agenda translations, staff will still monitor the board and remove materials as necessary in order to avoid an unlimited public forum; and WHEREAS, monitoring three posting locations would be burdensome and an inefficient use of staff time, so one centralized agenda posting location is recommended; and WHEREAS, the Civic Center located at 1333 Park Avenue was chosen as the designated posting location as it is where the City Council meets; and WHEREAS, locked posting boards will be installed on the Park Avenue side of the Civic Center building and an open public posting board would be installed next to the secured cabinets for public agenda translations; and

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EMERYVILLE DOES HEREBY ORDAIN AS FOLLOWS:

SECTION ONE. AMENDING SECTION 2-8.01 IN CHAPTER 8 OF TITLE 2 OF THE

EMERYVILLE MUNICIPAL CODE
Chapter 8 of Title 2 of the Emeryville Municipal Code, entitled “Official Notices”, is hereby amended to replace Section 2-8.01 with the following language:

Ordinance No. _____
Agenda Posting Locations – EMC 2-8.01
City Council Meeting | May 19, 2026

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2-8.01 Posting Locations
The following public place located in the City is hereby designated as the public place for the posting of notices: The Civic Center, located at 1333 Park Avenue, Emeryville, California.

SECTION TWO. SEVERABILITY
Every section, paragraph, clause, and phrase of this Ordinance is hereby declared to be severable. If for any reason, any section, paragraph, clause, or phrase is held to be invalid or unconstitutional, such invalidity or unconstitutionality shall not affect the validity or constitutionality of the remaining section, paragraphs, clauses or phrases.

SECTION THREE. CEQA DETERMINATION
This Ordinance is exempt from the requirements of the California Environmental Quality Act (CEQA) under the “general rule” at Section 15061(b)(3) because it can be seen with certainty that there is no possibility that the ordinance may have a significant effect on the environment.

SECTION FOUR. CODIFICATION
Section One of this Ordinance shall be codified in the Emeryville Municipal Code.

Sections Two, Three, Four, and Five shall NOT be so codified.

SECTION FIVE. EFFECTIVE DATE AND POSTING
This Ordinance shall take effect thirty (30) days following its final passage. The City Clerk is directed to cause copies of this Ordinance to be posted or published as required by Government Code section 33693.

Ordinance No. _____
Agenda Posting Locations – EMC 2-8.01
City Council Meeting | May 19, 2026

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Ordinance No. _____
Agenda Posting Locations – EMC 2-8.01
City Council Meeting | May 19, 2026

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This Ordinance was INTRODUCED AND FIRST READ by the City Council of the City of Emeryville at a regular meeting held May 19, 2026 and PASSED AND ADOPTED by the City Council of the City of Emeryville at a regular meeting held June 2, 2026 by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

MAYOR
ATTEST: APPROVED AS TO FORM:

CITY CLERK CITY ATTORNEY
City of Emeryville

C A L I F O R N I A

M E M O R A N D U M
DATE: May 19, 2026
TO: Vice Mayor and City Council Members
FROM: Sukhdeep Kaur, Mayor
SUBMITTED BY: April Foran, City Clerk
SUBJECT: DISCUSSION REGARDING AMENDING THE CITY COUNCIL RULES OF PROCEDURE SECTION 4.1 - ORDER OF BUSINESS

BACKGROUND
At the May 5, 2026, City Council meeting, Mayor Kaur requested and received majority support for an item to amend the City Council Rules of Procedure section 4.1 - Order of Business to move public comment on the Council’s Consent Calendar and Items not on the Agenda to an earlier place on the agenda.

Section 4.1 of the City Council Rules of Procedure currently structures the regular meeting agenda as shown below:

4.1 Order of Business

1. Call to Order

2. Roll Call

3. Approval of Final Agenda

4. Special Orders of the Day

5. Council Member Special Announcements/Reports on Meeting Attendance

6. City Manager’s Report

7. Ex Parte Communications

8. Public Comment for Consent Calendar and Items not on the Agenda

9. Consent Calendar

10. Public Hearings

11. Action Items

12. Department Head Reports

13. Future Agenda Item Requests

DISCUSSION
Mayor Kaur is requesting that “Public Comment for Consent Calendar and Items Not on the Agenda” be moved earlier on the Council meeting’s Order of Business before “Special Orders of the Day,” which is the ceremonial portion of the meeting, so that the wait time for members of the public attending to make consent calendar and nonagenda public comment is reduced. Staff notes that “Ex Parte Communications” would need to be moved before public comment and that the Consent Calendar should follow the Public Comment period.

Potential ROP Amendment – Public Comment
City Council Meeting | May 19, 2026

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Further, if the Council engages in a discussion on items listed under “Special Orders of the Day” instead of reading a proclamation and asking a recipient to accept the proclamation, public comment will also be required for that agenda item as well.

With these proposed changes, the agenda order would be:

1. Call to Order

2. Roll Call

3. Approval of Final Agenda

4. Ex Parte Communications

5. Public Comment for Consent Calendar and Items not on the Agenda

6. Consent Calendar

7. Special Orders of the Day

8. Council Member Special Announcements/Reports on Meeting Attendance

9. City Manager Report

10. Public Hearings

11. Action Items

12. Department Head Reports

13. Future Agenda Item Requests
For comparison, staff reviewed other local City Council agendas:

City of Albany – structured very similar to Emeryville

1. Call to order

2. Roll call

3. Report on Closed Session

4. Ceremonial Matters

5. City Manager Report

6. Public Comment

7. Consent Calendar
City of Berkeley - offers two public comment periods at the beginning of the meeting.

Non-Agenda public comment is limited to 10 speakers by a random drawing.

1. Roll call

2. Land Acknowledgement

3. Ceremonial Matters

4. City Manager comments

5. Public Comment on non-agenda matters (limited to 10 speakers)

6. Public Comment on Consent Calendar and Informational Items City of San Leandro – offers two public comment periods

1. Call to order/Roll call

2. Announcements
Potential ROP Amendment – Public Comment
City Council Meeting | May 19, 2026

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3. Report on Closed Session

4. Recognitions

5. Consent Calendar (Public Comment on Consent Calendar)

6. City Manager and City Attorney Reports and Comments

7. Public Comment (Non-Agenda)
City of Fremont – offers two public comment periods

1. Preliminary
a. Call to order
b. Flag salute
c. Roll call
d. Announcements – Mayor/ Council Members

2. Consent Calendar (Public comment on Consent Calendar)

3. Ceremonial Items

4. Public Communications (non-agenda public comment)
Staff Analysis
As shown by the examples above, each City handles the Order of Business on their agendas differently. Staff did not have time to research how many speakers these cities averaged per meeting, but for Emeryville, consent calendar and non-agenda public comment in 2026 averages five commenters per meeting (36 speakers over 8 meetings). As a result, staff does not recommend separating the public comment for consent agenda and non-agenda public comment into two sessions as the low average number of speakers does not support two comment periods. “Special Orders of the Day” is the section for Proclamations, Certificates of Recognition, and annual reports. There are often attendees invited to accept these awards and recognitions and moving this section to later in the meeting would require these recipients to wait through a large portion of the City Council business agenda. Further, if the Council engages in a discussion on matters placed under this section, as opposed to simply reading a proclamation or certificate of recognition and asking the recipient to accept, or accepting a department’s annual report without a discussion, then additional public comment needs to be afforded for the public consistent with Brown Act requirements.

Whether or not the Council chooses to amend Section 4.1 of its Rules of Procedure to change the Order of Business on its agenda is a policy matter for the Council to decide.

FISCAL IMPACT
There is no fiscal impact related to this item.

Potential ROP Amendment – Public Comment
City Council Meeting | May 19, 2026

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STAFF COMMUNICATION WITH THE PUBLIC
There has been no staff communication with the public.

CONFLICT OF INTEREST
There is no conflict of interest related to this item.

CONCLUSION
The City Council’s decision whether to change the Order of Business on its agenda is a policy matter for the Council to decide. If Council decides to amend Section 4.1, staff will include the changes to the Rules of Procedure for Council’s review at its June 2, 2026, City Council meeting.

PREPARED BY: April Foran, City Clerk
City of Emeryville

C A L I F O R N I A

M E M O R A N D U M
DATE: May 19, 2026
TO: Mayor and City Council Members
FROM: LaTanya Bellow, City Manager
SUBMITTED BY: Chadrick Smalley, Community Development Director SUBJECT: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF EMERYVILLE

AUTHORIZING THE CITY MANAGER TO COMMIT TO A PERMANENT

FINANCING DEVELOPMENT LOAN IN AN AMOUNT NOT TO EXCEED
$31,757,588 BETWEEN THE CITY OF EMERYVILLE AND EAH INC., A

CALIFORNIA NONPROFIT PUBLIC BENEFIT CORPORATION, FOR
THE DEVELOPMENT OF AFFORDABLE HOUSING AT 4300 SAN

PABLO AVENUE AND TO AMEND THE AFFORDABLE HOUSING

EXPENDITURE AND ADMINISTRATIVE PLAN (CEQA
DETERMINATION: EXEMPT PURSUANT TO CALIFORNIA
GOVERNMENT CODE SECTION 8698.4(A)(4) AND STATE CEQA
GUIDELINES SECTIONS 15268(A), 15269(C), 15332, AND 15061(B)(3))

RECOMMENDATION
Staff recommends that the City Council adopt the above-entitled resolution authorizing the City Manager to execute a commitment letter in an amount not to exceed $31,757,589 and amend the Affordable Housing Bond Expenditure and Administrative Plan by adding $9,996,768 in additional revenue, creating two new housing programs and reallocating funds amongst existing funding programs.

BACKGROUND
Affordable Housing Bond Administrative and Expenditure Plan In June 2018, Emeryville voters approved Measure C, a $50 million general obligation bond to fund affordable housing initiatives. These funds support the City's Housing Element and General Plan policies, which aim to increase affordable housing opportunities for low-income and special-needs populations. On March 2, 2021, the City Council adopted Resolution No. 21-13 approving the Affordable Housing Bond Administrative and Expenditure Plan (Expenditure Plan), which guides the allocation of Measure C Housing Bond proceeds alongside other funding sources, including State and Federal grants, Housing Successor Agency, and Housing Impact Fee funds and establishes a variety of programs/projects and performance measures. The Bonds were issued on May 11, 2023. Annual debt service of these bonds is approximately $3.5 million and is funded through ad valorem property taxes. The taxable rate for FY26 is $43.66 per $100,000 of assessed value. Regardless of how proceeds are allocated or expended, property owners will continue to pay the voter-approved tax until the bonds are retired. In 2024, the City secured an allocation of $575,000 in Pro-housing Implementation Pilot funds and administratively added these resources to the Expenditure Plan bringing the total of housing resources available in Emeryville to $65,091,793. Twenty-seven percent Housing Expenditure Plan and 4300 San Pablo Avenue Funding Commitment City Council Meeting | May 19, 2026

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of the Expenditure Plan funds have been expended or encumbered leaving 73% of the funds available as outlined in Table A.

Table A- Current Expenditure Plan
Housing Plan
Program
Program
Status
Funding
Allocation
Total
Expended
Total
Encumbered
Funds
Available
1A Acquisition of
BMR
Homebuyer
Units
Active $1,578,373.00 $701,493.24 $0.00 $876,879.76
1B Homebuyer
Assistance
Active $1,950,000.00 $827,930.00 $0.00 $1,122,070.00
1C Foreclosure
Prevention
Not
Started
$150,000.00 $0.00 $0.00 $150,000.00
1D Rental
Preservation
Not
Started
$4,000,000.00 $266,250.00 $0.00 $4,000,000.00
1E Special
Needs
Housing
Incentives
Not
Started
$4,050,000.00 $0.00 $0.00 $4,050,000.00
1F Accessibility
Improvements
Complete $232,826.39 $232,826.39 $0.00 $0.00
2A Rental
Development
Active $41,216,437.86 $14,135,111.00 $612,375.00 $24,468,951.86 2B Development
Opportunities
Not
Started
$8,319,804.00 $0.00 $0.00 $8,319,804.00
NA Bond
Issuance
NA $801,932.00 $745,175.00 $0.00 $56,757.00
NA Administration NA $2,526,169.75 211,655.94 $79,290.69 $2,235,223.12 Total $65,091,793.00 $16,887,615.18 $691,665.69 $47,512,512.13 4300 San Pablo Avenue Intergenerational Housing Project On July 21, 2020, the City Council adopted Resolution No. 20-85 selecting EAH Housing (“EAH”) as the first-choice developer for the design and development of an intergenerational rental housing development of the City-owned property located at 4300 San Pablo Avenue (the “Property”). On October 26, 2022, a Lease Disposition and Development Agreement (“LDDA”) was executed, providing for the development of 68 units and 7,000 square feet of amenity space within a 5-story building with a courtyard at the second level. The development will serve both Transition Aged Youth (“TAY”) and Senior populations, with a maximum of 13 units set aside for TAY, one unit for an on-site manager, and the remaining 54 units for seniors. The LDDA establishes the conditions precedent for the conveyance of the leasehold interest, which includes: EAH to obtain all financing necessary for the development of the project, obtain a building permit, close on all financing, and meet all other pre-disposition requirements to close on the ground lease (i.e. start construction). On December 5, 2022, the Community Development Department issued entitlements for the project through a streamlined Zoning Compliance Review process and on November 18, 2024, the first amendment of the LDDA was executed, Housing Expenditure Plan and 4300 San Pablo Avenue Funding Commitment City Council Meeting | May 19, 2026

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extending the requirement to close on the ground lease (i.e. start construction) to October 27, 2026, to provide the developer with additional time to secure financing.

Through the Expenditure Plan, the City originally committed the Emeryville base allocation ($2,519,198) of Alameda County Measure A-1 funding to the project. On October 27, 2021, the Alameda County Community Development Agency approved the commitment of the Measure A-1 funds to the Project. On October 8, 2024, the Alameda County Board of Superiors approved Resolution 2024-487 extending the Measure A-1 requirement for construction to commence to April 30, 2027.

Since late 2022, EAH had been awaiting the release of a Notice of Funding Availability (“NOFA”) for Project Based Vouchers (“PBV”) from the Housing Authority of Alameda County (“HACA”). PBV is needed to subsidize the rents, at a minimum, for the extremely low income (30% AMI) units. Unfortunately, in August 2024, HACA announced that they had a funding shortfall in 2024 and are projecting a funding shortfall in 2025 and therefore would not be issuing a NOFA for PBV nor could they commit to when a NOFA would be released in the future. Without a commitment of PBV, it is financially infeasible to serve the seniors and TAY households at 20% AMI and below, so on April 1, 2025, City Council adopted Resolution No. 25-28 to revise the income targeting of the project to serve households between 30% and 60% AMI, with no more than 14 units serving households at 30% AMI.

Additionally, within Resolution No 25-28, the City Council authorize an increase of the financial commitment from the City to $12,757,588 in support of the Developer’s application for California Department of Housing and Community Development (HCD) Round 3 SuperNOFA, seeking Multifamily Housing Program (MHP) funding. The City’s increased commitment was contingent upon successful application for MHP funding.

Unfortunately, the project was not selected for an MHP award.

On April 21, 2026, the City Council considered a request for a permanent financing loan of $31,757,588 to support the project’s competitiveness for 9% federal Low Income Housing Tax Credits (LIHTC) from the California Tax Credit Allocation Committee (CTCAC) in 2026. The City Council did not approve the request and inquired about alternatives to the project. This staff report outlines the process to pursue an alternative project and concludes that staff maintains its recommendation to commit to providing the requested funds.

DISCUSSION
Expenditure Plan Modifications
Staff is recommending modifying the Expenditure Plan to account for the additional revenue that has been generated since the Expenditure Plan was adopted and to make changes to the several programs outlined in the Expenditure Plan.

Additional Revenue
Several of the Affordable Housing Resource Funds have generated additional revenue since 2021 that is available to allocate to the Expenditure Plan. The following is the Housing Expenditure Plan and 4300 San Pablo Avenue Funding Commitment City Council Meeting | May 19, 2026

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additional revenue per funding source that is available to allocate in the Expenditure Plan, as these funds can only be expended on affordable housing projects.

Table B- Additional Revenue
Fund Housing Resource Allocation
239 Affordable Housing Impact Fee $538,976.06
284 Measure C Housing Bond $5,919,245.82
289 Low- and Moderate-Income Housing Asset Fund $3,258,635.84 NA Measure A-1 (Alameda County Reservation) $279,911.00 Total $9,996,768.00
Program/Projects Modifications
Since the creation of the Expenditure Plan, the housing market has changed, and staff is recommending the following programs and projects modifications identified in Table C.

Table C- Program & Project Modifications
Housing Program Proposed Change
1C Foreclosure Prevention Program not needed at this time. De-obligate $150,000 to address other funding needs.
1E Special Needs Housing Reduce allocation of funds by $970,000 to address other funding needs.
1G Homeowner Retention (NEW) Address increasing homeowner association (HOA) costs related to insurance and capital improvements that are
passed on to low- and moderate-income homeowners
Allocate $750,000.
2A Rental Production Increase funding allocation by $17,993,329 to address additional funds needed to support 4300 San Pablo Avenue 2B Development Opportunity Program not needed at this time. De-obligate $8,319,804 to address other funding needs.
2C ADU Incentives (NEW) Provide incentives for the creation of affordable ADU.

Allocate
$750,000
NA Bond Issuance Re-allocate balance of funds available as they are no longer needed
Rental Production Projects Proposed Change
2A 4300 San Pablo Avenue Increase funding allocation by $29,238,390 to support project’s upcoming application for LIHTC
2A Christie Sites Project is stalled. Re-allocate $10,955,307 to support funding needed at 4300 San Pablo Avenue.
2A Adeline Sites Project is terminated. De-obligate $240,000 of available funds to support funding needed at 4300 San Pablo
Avenue.

New Programs
Staff is recommending the City Council authorize the allocation of available Housing revenue to support the development of two new programs. The Homeowner Retention Program will support existing low- and moderate-income Emeryville homeowners facing increased costs related to rising Homeowner Association fees due to deferred maintenance and rising insurance premiums in an effort to ensure they are not displaced Housing Expenditure Plan and 4300 San Pablo Avenue Funding Commitment City Council Meeting | May 19, 2026

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from their Emeryville homes. This program supports the following two Emeryville’s Housing Element policies:

H-2-1: Facilitate the rehabilitation of the City’s existing housing stock to correct housing deficiencies, increase the useful life and increased accessibilities for all residents.

H-2-4: Promote homeownership opportunities and support current homeowners in retaining their homeownership status.

The ADU Incentive program will support the development of new accessory dwelling units (“ADU”) for low- and moderate-income homeowners, as well as those homeowners interested to creating ADUs for low-income tenants. The City committed to identifying financing to support this program in its application for Prohousing Designation Status in 2023 and identified it as actionable task in Program D. Accessory Dwelling Units within the Housing Element. This program supports the following three Emeryville Housing Element policies:

H-1-1: Provide monetary and regulatory incentives for residential projects constructed specifically for lower- and moderate-income households.

H-1-2: Investigate innovative and creative housing options that provide greater flexibility in development and/or use, facilitate affordability, and meet the housing needs of all residents in the City.

H-3-1: Utilize available federal, state and local financing sources and subsidies to assist in making housing more affordable to very low-, low-, and moderate-income households.

Funding Modifications
Table D is staff’s recommendation for the allocation of $9,996,768 in additional revenue in Table B and the reprogramming of $9,496,561 in funds identified in Table C.

Table D- Funding Modifications
Program Available
Balance
Reprogramed
Funds
New
Funding
Net
Change
New
Available
Balance
1C Foreclosure
Prevention
$150,000 ($150,000) $0 ($150,000) $0
1E Special
Needs
Housing
$4,050,000 ($970,000) $0 ($970,000) $3,080,000
1G Homeowner
Retention
$0 $750,000 $0 $750,000 $750,000
2A Rental
Production
$26,468,952 $7,996,561 $9,996,768 $17,993,329 $44,462,802 2B Development
Opportunity
$8,319,804 ($8,319,804) $0 ($8,319,804) $0
2C ADU
Incentives
$0 $750,000 $0 $750,000 $750,000
Housing Expenditure Plan and 4300 San Pablo Avenue Funding Commitment City Council Meeting | May 19, 2026

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NA Bond
Issuance
$56,757 ($56,757) $0 ($56,757) $0
Total $39,045,513 $9,996,768 $49,042,802
4300 San Pablo Avenue Financing Request
In December 2025, EAH submitted a request to the city for $29 million in additional funding to support the development of 4300 San Pablo as an intergenerational housing project. The commitment of the additional funding would support the project’s competitiveness for 9% federal LIHTC from the CTCAC in 2026. Based upon previous rounds of LIHTC, EAH believes the project, with additional funding from the City, will score high enough to be competitive and generate a strong tie breaker score to receive an award of funding.

The $31 million total funding allocation represents approximately 49% of the total development cost and approximately $473,000 per affordable housing unit. While the city does not have a formal policy establishing a maximum local subsidy per unit, staff believe the following primary factors support the City’s financial commitment to the project:

Community Benefit
This project will provide significant benefits to two of the region’s most vulnerable populations, seniors and transition-age youth aging out of foster care, while increasing affordable housing in Emeryville and revitalizing the San Pablo Avenue corridor. While the project will create 68 housing units, the project will serve approximately 75-100 individuals at full occupancy. Housing for transitional aged youth is especially critical as they are at a high risk of homelessness due to limited income, lack of family support and challenges accessing education and employment opportunities. This project is designed to foster meaningful relationships between the two generations through shared community spaces, mentorship opportunities, and on-site supportive services, so that neither population feels isolated. The project’s location will provide residents with both walkable access to recreational and athletic facilities at the Emeryville Center of Community Life (“ECCL”), as well as senior activities and wellness programs at the Emeryville Senior Center. The project’s proximity to AC Transit lines, the MacArthur BART station, and Emery-Go-Round Shuttle will also improve mobility options for seniors and young adults by increasing access to essential daily services, healthcare, employment opportunities, and community resources that can help improve long-term self-sufficiency and quality of life. By combining affordable housing, supportive services, and community-centered design, the project will strengthen neighborhood stability, reduce housing insecurity for those at risk of homelessness, and create a more connected and inclusive Emeryville community for generations to come.

Alignment with Housing Element
The 2023-2031 Housing Element includes several programs and commitments directly related to the development of the 4300 San Pablo Avenue as an affordable housing site:

Housing Expenditure Plan and 4300 San Pablo Avenue Funding Commitment City Council Meeting | May 19, 2026

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▪ Site Inventory List (Site #10): 4300 San Pablo Avenue is identified as a vacant and underutilized residential site projected to accommodate 68 residential units, including 67 units affordable to Extremely Low, Very Low- and LowIncome Households contributing toward the City Regional Housing Needs Allocation (RHNA).
▪ Program G. City-sponsored Development Fund: Commits the City to providing financing in the form of low-interest loans to support the construction of rental housing units affordable to very-low to moderate income households at Site 10 on the Site Inventory List.
▪ Program KK. Residential Use By Right: Pursuant to AB1397 sites that have been identified in two Housing Elements must allow residential development by-right when at least 20% of the units are affordable to lower-income households. Housing Inventory Sites 10 is one of the sites that meets this requirement. Failure to comply with AB 1397 may result in HCD finding the Housing Element out of compliance.

Compliance with Surplus Land Act
On July 19, 2022, the City Council determined that 4300 San Pablo property qualifies as “exempt surplus” under Government Code Section 54221, subdivision (f)(1)(A) because it will be transferred for the development of an affordable housing project that meets the requirements of Government Code Section 37364. Section 37364 permits a city to sell or lease exempt surplus land for affordable housing provided at least 80% of the land must be used for housing development and at least 20% of the units are affordable to very lowincome households (50% of AMI or lower) and 20% of the units are affordable to households with incomes below 60% of AMI. On August 17, 2022, HCD concurred with the City’s exempt surplus determination. If the City decides to to change the development approach from the affordable housing project currently proposed, the City will be required to comply with the following Surplus Lands Act requirements and timelines, which would commence after the expiration of the LDDA in October 2026:
▪ Public Hearing of new surplus declaration
▪ 60-day Notice of Availability (NOA)
▪ 90-day good faith negotiation period with the housing sponsor that proposes the greatest number of affordable housing units (minimum 25% affordable) with the deepest average affordability level.
▪ City may not include any additional design standards, other than the minimum standards requirement in planning regulations, and cannot prohibit residential use nor reduce the authorized # of units beyond what is allowed by zoning ▪ If the City cannot reasonably negotiate with a housing sponsor, the City may then issue an RFP and dispose of the site with no less than 15% of the total number of residential units affordable to households at low income Staff has estimated that the Surplus Lands Act disposition process would delay production of housing units at the site to 2032 at the earliest.

Financial Challenges
Housing Expenditure Plan and 4300 San Pablo Avenue Funding Commitment City Council Meeting | May 19, 2026

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This project has been stalled for four years due to challenges in obtaining the local, state and federal resources, as identified below, as well as due to increased construction costs.

EAH and City staff believe that the landscape for these other funding resources will not improve in the next few years, and that construction costs will continue to rise, increasing the funding gap even more, thereby making it incumbent upon the City to fill the financing gap for this project to move forward as expeditiously as possible. ▪ PBV: HACA has not provided an update since 2024 regarding the release of new PBV.

In addition, recent HUD budget proposals include reductions to PBR funding, which may limit future allocations or eliminate expansion of rental assistance programs.

PBVs are critical to serving households at 30% AMI or below, providing the operating subsidy necessary to support extremely low-income units. The inability to secure PBVs can significantly impact a project’s long term financial feasibility and its ability to serve vulnerable populations.
▪ Alameda County Funding Sources: Alameda County has two funding sources available to support affordable housing, Measure A-1 and Measure W. Alameda County has already reserved the Emeryville base allocation of Measure A-1 Housing Bonds to this project. Unfortunately, this project is not eligible for Alameda County Measure W funding, as it does not have at least 25% of the unit's set-aside for households at 30% AMI that are experiencing homelessness. ▪ HCD Housing Resources: State funding resources, like MHP, are extremely competitive and HCD has consolidated their application process for affordable housing financing resources into a “SuperNOFA”. The SuperNOFA has several scoring factors that will continue to make it challenging for this project to receive State funding, as the issues are outside the control of the City and EAH:
▪ Neighborhood Opportunity Area: The project loses five points for being located in a Low Resource Area. Opportunity areas are designated on an annual basis by the State, and the Low Resource Area designation was also issued in 2026. ▪ Special Needs Population Set-Aside: The project loses one point because it cannot dedicate 25% or more units to Special Needs populations. As an intergenerational housing development, SB 591 restricts the share of Transitional-Aged Youth (TAY) units to no more than 20% of the units. ▪ Targeting the Lowest-Income Households: The project loses up to five points for not having more units restricted to households at 30% AMI or below. Without PBV or another operating subsidy the project cannot feasibly increase the number of extremely low-income units.
▪ LIHTC: Obtaining a LIHTC award in the Bay Area is particularly difficult, due to deep subsidy layering, increased competition, and funding constraints ▪ LIHTC Funding Constraints: Between 2020 and 2024, federal LIHTC availability in California decreased 47%, while applications declined by only 16%.

Housing Expenditure Plan and 4300 San Pablo Avenue Funding Commitment City Council Meeting | May 19, 2026

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▪ Competition in East Bay Region: In the East Bay region, (Alameda and Contra Costa Counties), an average of 4-5 applications are submitted per funding round, while only one project in the East Bay region receives an award per funding round. In May 2024, the Bay Area Housing Finance Authority (BAHFA) released a report that identified that 433 residential developments in the 9- county region were stalled in the pre-development stage due to the need for additional financing. Of these, 147 projects are in the East Bay Region, including 115 in Alameda County, the highest concentration in the 9-county region.
▪ Deep Subsidy Layering: A commitment of local financing subsidy is required to score competitively for LIHTC. Additionally, increased project costs in the Bay Area make it difficult for LIHTC projects to be financially feasible without large amounts of subsidy from local sources. This project also requires additional subsidy as it is not eligible for as much LIHTC funds as originally proposed in 2020.
▪ Difficult Development Area: The project site is no longer located in a HUD-designated Difficult Development Area (“DDA”), which are areas with high land, construction and utility costs relative to the AMI.

Therefore, the project no longer qualifies for a 130% boost in federal tax credits and state tax credits thereby decreasing the amount of LIHTC funds the project is eligible to receive.
▪ Increased Costs: Construction costs have increased 8% since 2020, when EAH was selected as developer of the project. Prolonging the development of the project would likely result in a substantially higher total development cost due to continued construction inflation.

Expenditure Plan Policy and Available Resources
Staff acknowledge that a commitment of $31 million to this housing project is significant and goes beyond what the City has invested to an affordable housing project in the past, however, the City does not currently have a formal policy establishing a maximum local subsidy amount per unit or percentage of total development cost (TDC) nor did the Expenditure Plan establish a maximum funding cap. Berkeley and Oakland cap maximum investment at 40% of the TDC, unless City Council makes a finding that a higher level of funding is justified by the nature of the assisted project and/or the unavailability of alternative funding. This funding request is driven by significant reductions in available County, State, and Federal housing resources, rather than project mismanagement. The broader affordable housing market has experienced increased construction costs, and decreased subsidy availability, resulting in higher local funding requirements across the region.

Additionally, the city is in the fortunate position to have available housing resources today to meet this funding request through the Expenditure Plan. Sixty-eight percent of the Expenditure Plan available resources includes the Measure C Housing Bond proceeds, Housing Expenditure Plan and 4300 San Pablo Avenue Funding Commitment City Council Meeting | May 19, 2026

Page 10 of 11 ends

which were issued on May 11, 2023. Annual debt service of these bonds is funded through ad valorem property taxes and, regardless of how proceeds are allocated or expended, property owners will continue to pay the debt service for the bonds until they are retired. Sixty-nine percent of the funds requested would come from Measure C Housing Bonds, providing a more immediate benefit to Emeryville residents than holding these funds out for a future housing project.

STRATEGIC PLAN CONNECTION
The Expenditure Plan and 4300 San Pablo Avenue project have both been identified as initiatives within the Livable, Safe and Vibrant Communities goal of the Strategic Plan.

FISCAL IMPACT
The allocation of additional funds identified in Table B in the Low- and Moderate-Income Housing Asset Fund (Fund 298), Measure C Housing Fund (Fund 284), and Affordable Housing Impact Fee Fund (Fund 239) represent revenue generated between 2022 and 2026. These sources plus the additional Alameda County Measure A1 funds totals $9,996,768 in additional financial resources available to the City to support the production and/or preservation of affordable housing in Emeryville, through the Expenditure Plan.

These additional resources will be incorporated into the 2027-2029 budget and are not anticipated to be expended in the current budget.

The loan commitment letter in the amount not to exceed $31,757,588, of which $2,799,109 in anticipated to come from Alameda County Measure A-1 funds, is contingent upon EAH successfully receiving an award of LIHTC for the Project in August 2026. Upon receipt of a LIHTC award, staff will develop a permanent loan agreement for City Council approval. Funding to support this request will come from the amendment to the Expenditure Plan, proposed above.

STAFF COMMUNICATION WITH THE PUBLIC
Staff presented a draft amendment to the Expenditure Plan to the Housing Committee on April 1, 2026. The Housing Committee has identified 4300 San Pablo Avenue as one of their top priorities of 2026 and recommended that the City Council adopt the proposed amendments to the Expenditure Plan and provide the $31,757,588 loan to advance the development of the 4300 San Pablo Avenue intergenerational housing project.

CONFLICT OF INTEREST
None

CONCLUSION
Staff recommend City Council take the following actions:
▪ Amend the Expenditure Plan by:
▪ Adding $9,996,768 in additional revenue to the plan;
Housing Expenditure Plan and 4300 San Pablo Avenue Funding Commitment City Council Meeting | May 19, 2026

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▪ Create and fund two new housing programs within the plan to address homeowner retention and create incentives for the development of ADUs; and
▪ Reallocate available funds amongst various housing programs and projects, as identified in Table D.
▪ Issue a Commitment letter in an amount not to exceed $31,757,588 for the development of 4300 San Pablo Avenue for the development of a 100% affordable intergenerational housing project, located at 4300 San Pablo Avenue, for the purposes of modifying the income targeting requirement to state that the units will serve households between 30%-60% of Area Median Income (“AMI”) with no less than 14 of the units serving households at 30% AMI, contingent upon an award of Low Income Housing Tax Credits in 2026.

PREPARED BY: Valerie Bernardo, Economic Development & Housing Manager

ATTACHMENTS
▪ Draft Resolution
▪ Exhibit A – Expenditure Plan Amendment
▪ Exhibit B – Commitment Letter
RESOLUTION NO.

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF EMERYVILLE

AUTHORIZING THE CITY MANAGER TO COMMIT TO A PERMANENT FINANCING DEVELOPMENT LOAN IN AN AMOUNT NOT TO EXCEED $31,757,588 BETWEEN THE CITY OF EMERYVILLE AND EAH INC., A CALIFORNIA NONPROFIT PUBLIC

BENEFIT CORPORATION, FOR THE DEVELOPMENT OF AFFORDABLE HOUSING AT 4300 SAN PABLO AVENUE AND TO AMEND THE AFFORDABLE HOUSING EXPENDITURE AND ADMINISTRATIVE PLAN (CEQA DETERMINATION: EXEMPT PURSUANT TO CALIFORNIA GOVERNMENT CODE SECTION 8698.4(A)(4) AND STATE CEQA GUIDELINES SECTIONS 15268(A), 15269(C), 15332, AND 15061(B)(3)) WHEREAS, the City Council ("City Council") of the City of Emeryville (“City”) recognizes the existence of a housing crisis in the City that has caused housing to become increasingly scarce and expensive, to the point that home ownership and the cost of rental units are now out of reach for many very low, low, and middle-income residents, including, but not limited to, veterans, local artists, seniors, people experiencing homelessness, persons with disabilities, and other vulnerable populations; and WHEREAS, on March 2, 2021, the City Council adopted Resolution No. 21-013, approving an Affordable Housing Bond Expenditure and Administration Plan (“Expenditure Plan”) outlining the City’s affordable housing resources, programs and projects; and
WHEREAS, the City has generated additional revenue over the past five years to further support affordable housing preservation and production; and WHEREAS, the market conditions have changed since the plan was adopted and the City wishes to create two new housing programs and reallocate funds amongst the various programs within the Expenditure Plan that have not been expended; and WHEREAS, on September 6, 2022, the City Council adopted Ordinance No. 22-007 authorizing the City Manager to execute a Lease Disposition and Development Agreement (“LDDA”) and Ground Lease with EAH Inc. (“Developer”) to develop 4300 San Pablo Avenue and on October 26, 2022, the LDDA was executed; and WHEREAS, the LDDA restricts 67 units to households with incomes between 30% of the Area Median Income (“AMI”) and 60% AMI, with no more than 13 of the units serving households at 30% AMI; and
WHEREAS, the Expenditure Plan committed $2,519,198 the City’s allocation of Alameda County A-1 Bond funds to the Project; and
WHEREAS, increased construction costs over the past six years, and the inability to access Project Based Vouchers and other local, state and federal resources, have created a financing shortfall for the 4300 San Pablo Avenue project; in the amount of $31,757,588; and
Resolution No. _____
4300 San Pablo Avenue Commitment Letter / Expenditure Plan Amendment City Council Meeting | May 19, 2026

Page 2 of 2 ends

WHEREAS, Developer is requesting a financial commitment of $31,757,588 from the City in support of its application for Low Income Housing Tax Credits, due July 21, 2026; now, therefore, be it
RESOLVED, that the City Council of the City of Emeryville hereby amends the Affordable Housing Bond Administration and Expenditure Plan in substantial form as attached as Exhibit A to this Resolution; and, be it, further
RESOLVED, that the City Council of the City of Emeryville hereby authorizes the City Manager to execute a commitment letter in an amount not to exceed $31,757,588 to be used for the development of the 4300 San Pablo Avenue project, in substantial form attached hereto as Exhibit B, together with such further revisions as may be agreed to by the City Manager and City Attorney which do not materially increase the obligations of the City thereunder.

ADOPTED, by the City Council of the City of Emeryville at a Regular Meeting held May 19, 2026, by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

MAYOR
ATTEST: APPROVED AS TO FORM:

CITY CLERK CITY ATTORNEY

ATTACHMENTS
▪ Exhibit A – Affordable Housing Expenditure and Administration Plan Amendment ▪ Exhibit B – 4300 San Pablo Avenue Commitment Letter
Exhibit A
Affordable Housing Expenditure &
Administration Plan Amendment
May 19, 2026
I. Background
On March 2, 2021, the City Council adopted Resolution No. 21-13 approving the Affordable Housing Expenditure and Administration Plan (“Expenditure Plan”) , which guides the allocation of Measure C Housing Bond proceeds alongside other funding sources, including State and Federal grants, Housing Successor Agency, and Housing Impact Fee funds and establishes a variety of programs/projects and performance measures. On May 19, 2026, the City Council adopted Resolution No. 26-__ amending the Expenditure Plan.

The following document reflects the amended Expenditure Plan.

II. Emeryville Affordable Housing Financial Resources
The following affordable housing resources were allocated into the Expenditure Plan in 2021 for a total of $64,516,793:

Fund Affordable Housing Resource Funding Allocation
298 Low- and Moderate-Income Housing Asset Fund $5,920,760 299 Affordable Housing Fund $5,342,506
239 Affordable Housing Impact Fee $734,329
NA Measure A-1 (Alameda County Reservation) $2,519,198
284 Measure C Housing Bond $50,000,000
Original Total $64,516,793
In 2023, the city was awarded $575,000 in Prohousing Incentive Pilot Funding to support accessibility improvements, rental preservation and administration. These funds were administratively added to the Expenditure Plan.

Fund Original Affordable Housing Resources Total $64,516,793 254 Prohousing Incentive Pilot Funding $575,000
Revised Total $65,091,793
Several of the Affordable Housing Resource Funds have generated additional revenue since 2021 that is available to allocate to the Expenditure Plan. The following is the additional revenue per funding source that is available to allocate:

Fund Housing Resource Allocation
239 Affordable Housing Impact Fee $538,976.06
284 Measure C Housing Bond $5,919,245.82
289 Low- and Moderate-Income Housing Asset Fund $3,258,635.84 NA Measure A-1 (Alameda County Reservation) $279,911.00 Total $9,996,768.00
The total amount of financial resources allocated to the Expenditure Plan are as follows:

Fund Affordable Housing
Resource
2021
Funding
Allocation
2024
Administrative
Amendment
2026
Additional
Funds
Amended
Funding
Allocation
239 Affordable Housing
Impact Fee
$734,329 $538,976.06 $1,273,305
254 Prohousing Incentive
Pilot Funding
$575,000
284 Measure C Housing
Bond
$50,000,000 $5,919,245.82 $55,919,246
298 Low- and ModerateIncome Housing Asset
Fund
$5,920,760 $3,258,635.84 $9,179,396
299 Affordable Housing
Fund
$5,342,506 $0 $5,342,506
NA Measure A-1
(Alameda County
Reservation)
$2,519,198 $279,911.00 $2,799,109
Original Total $64,516,793 $575,000 $9,996,769 $75,088,562 III. Initiatives, Program & Projects
The following programs have been added to the Expenditure Plan since 2021.

Initiative 1: Preservation of Affordable Housing
Program Name Program Goal Program Description
1F. Accessibility Improvements Improve the physical
conditions of existing
property to ensure residents
can age in place
Provide financial assistance to support
aging in place improvement for seniors
& disabled homeowner and common
area improvements for HOAs and
Multifamily properties
1G: Homeowner Retention Provide financial assistance to HOAs and low to moderate income
homeowners with rising costs
associated with increased insurance
and capital improvements
Initiative 2: Production of Affordable Housing
Program Name Program Goal Program Description
2C. ADU Incentives Creation of Accessory Dwelling
Units to support the RHNA and
the Housing Element Program D
Financial incentives to assist in the
development of ADUs
IV. Funding Allocation Table
The following represent the total funding allocated to each program within the Expenditure Plan, as well as the funding allocated to each Rental Development project.

Program
Current
Allocation
Available
Balance
ReProgramme
d Funds New Funding Net Change
Proposed Revised
Allocation
BMR
Acquisition

1,578,373.00

876,879.76

1,578,373.00
Homebuyer
Assistance

1,950,000.00

1,122,070.00

1,950,000.00
Foreclosure
Prevention

150,000.00

150,000.00

(150,000.00)

-

(150,000.00)

-
Rental
Preservation

4,266,250.00

4,000,000.00

-

4,266,250.00
Special Needs
Housing

4,050,000.00

4,050,000.00

(970,000.00)

(970,000.00)

3,080,000.00
Accessibility
Improvement
s

232,826.39

-

-

-

-

575,000.00
Homeowner
Retention

-

-

750,000.00

750,000.00

750,000.00
Rental
Production

41,216,437.8
6 26,468,951.8
6 7,996,561.00

9,996,768.00

17,993,329.00

59,209,766.86
Development
Opportunity

8,319,804.00

8,319,804.00

(8,319,804.0
0)

(8,319,804.00)

-
ADU Incentive

-

-

750,000.00

750,000.00

750,000.00
Bond
Issuance

801,932.00

56,757.00

(56,757.00)

-

(56,757.00)

745,175.00
Admin

2,526,169.75

2,235,223.12

-

2,526,169.75
Total

65,091,793

47,279,685.74

-

9,996,768.00

9,996,768.00

75,088,561.00
Rental
Development
Projects
Current
Allocation
Available
Balance
Rental
Development
ReProgramming
Other ReProgramming
Funds
New Funding Net Change Proposed
Revised
Allocation
Nellie
Hannon
Gateway

14,747,486.00

-

-

-

14,747,486.00
4300 San
Pablo

2,519,198.00

2,519,198.00

11,245,061.00 7,996,561

9,996,768.00

21,241,829.00

31,757,588
Christie
Sites

23,660,000.00

23,660,000.00

(10,955,307.14)

(10,955,307.14)

12,704,692.86
Adeline Sites
240,000.00

240,000.00

(240,000.00)

-

(240,000.00)

-
Unallocated
Funds

49,753.86

49,753.86

(49,753.86)
Total
41,216,437.86

26,468,951.86

-

9,996,768.00

10,046,521.86

51,213,205.86
V. Performance Measures
Performance measures for all programs will be identified upon the adoption of the program-specific guidelines by the City Council.

City of Emeryville I N C O R P O R A T E D 1 8 9 6
1333 Park Avenue. Emeryville, CA 94608-3517
t (510) 596-4300 | f (510) 596-4389
May 19, 2026
Welton Jordan
Chief Real Estate Development Officer
EAH, Inc.
22 Pelican Way
San Rafael, CA 94901
Re: 4300 San Pablo Avenue
Intergenerational Affordable Housing Development
City of Emeryville Commitment Letter
Dear Mr. Jordan:

The City of Emeryville ("City") is pleased to be able to assist EAH Inc., a California Nonprofit Public Benefit Corporation, or its Assignee ("Developer") in the construction of the 4300 San Pablo Avenue Intergenerational Affordable Housing Development ("Project") located at 4300 San Pablo Avenue, Emeryville, California, 94608 (APNs: 049- 1079-014-01, -017-01).

The Project is a five-story apartment with 68 units and no less than 7,000 square feet of residential amenities serving space. All of the units, with the exception of one (1) manager unit, will be affordable to extremely low and low-income households (i.e. 30- 60% Area Median Income). The development will serve Transitional Age Youth (TAY) and Senior populations, with a maximum of 20% of the units (13 units) set-aside for TAY, 80% for Seniors (54 units).

This letter confirms that, on May 19, 2026, the Emeryville City Council adopted Resolution No. 26-__, which authorizes a commitment to the Developer of a new permanent development loan in an amount not to exceed $31,757,588 to be used towards the development of the Project. If Developer is successful in retaining the $2,799,109 in Alameda County A-1 Bond funds for this Project, the City’s financial commitment will be reduced to $28,958,479. This financial commitment is contingent upon the Developer’s successful award of Low Income Housing Tax Credits from the California Tax Credit Allocation Committee by August 2026.

The term of this loan is:

Borrower: EAH Inc., or its Assignee
Term: 55 years, unless required by other lenders to be 75 years Interest Rate: 3 percent simple interest; payments from City's pro-rata share of project surplus cash flow
Exhibit B
City Commitment for 4300 San Pablo Avenue Intergeneration Housing Development May 19, 2026

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1 0
4 1
1 The City looks forward to continuing to work with Developer towards the project’s successful completion. Please contact Valerie F. Bernardo, Economic Development and Housing Manager, with any questions at [email protected].

Sincerely,
LaTanya Bellow
City Manager
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