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Draft Resolution 2022 Ratify Indemnification

Fremont City Council
September 20, 2022

Document
Draft Resolution 2022 Ratify Indemnification
Meeting
September 20, 2022
Body
Fremont City Council
Original file
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Resolution 2022-XX Page 1 of 3

RESOLUTION NO. 2022-XX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

FREMONT RATIFYING INDEMNITY AGREEMENTS BETWEEN

THE CITY AND THE COUNTY OF ALAMEDA AND AUTHORIZING
THE CITY MANAGER TO EXECUTE INDEMNITY AGREEMENTS ON A1

BOND FUNDED AFFORDABLE HOUSING PROJECTS

WHEREAS, the City has historically required affordable housing developers receiving City funds to give preference to those either living or working in Fremont when selecting tenants, consistent with State and Federal fair housing laws (“Live/Work Preference”); and

WHEREAS, the City Council previously approved funding for two developments located in Fremont which received Alameda County Measure A1 Bond funds: Doug Ford Senior Apartments at 4038 Irvington Avenue, and Granite Ridge Apartments at 3135 Medina Commons; and

WHEREAS, Alameda County Measure A1 created two significant funding sources for multi-family affordable housing projects: 1) a formula-based allocation to every city in the County; and 2) a regional pool of funds that provided dedicated allocations to be used within each County sub-region, including the South County (“Tri-City”) (Fremont, Newark and Union City); and

WHEREAS, Doug Ford Senior Apartments received A1 funds from the South County regional allocation, while Granite Ridge Apartments received A1 Funds from both the formula- based city allocation and the South County regional allocation; and

WHEREAS, the County’s Measure A1 Implementation Policies provide that if a city wishes to use a live/work preference policy for a project financed using the Measure A1 formula-based city allocation, the city must complete a study that demonstrates the occurrence of residential displacement within the city and that a city live/work preference is needed to respond to or prevent displacement, and further, if a city wishes to use a live/work preference policy for projects financed using the Measure A1 regional allocation, the city must complete a study that demonstrates the occurrence of residential displacement within that region and that a live/work preference is needed to respond to or prevent displacement; and

WHEREAS, the County’s Measure A1 Implementation Policies also require that the City must enter into an agreement obligating the City to defend and indemnify the County against claims or litigation that may arise in connection with a Live/Work Preference (“Indemnity Agreement”); and

WHEREAS, the City commissioned the preparation of the City of Fremont Residential Displacement Study Report and the Tri-City Subregion Residential Displacement Study Report, which demonstrated that (i) the City of Fremont has experienced and is at risk for experiencing continued significant displacement of lower-income households (ii) the Tri-City region has experienced and is at risk for experiencing continued significant displacement of lower-income households, (iii) a City of Fremont Live/Work Preference and a Tri-City regional Live/Work Preference is necessary to prevent additional displacement of lower-income households, (iv) a Fremont preference and a Tri-City regional preference will not result in limits to access to housing by any individual protected class, and (v) the lower-income population that will be eligible for residency in affordable housing developments is more racially and ethnically diverse than the general population in the area; and

Resolution 2022-XX Page 2 of 3

WHEREAS, the County approved the City of Fremont Residential Displacement Study Report on February 28, 2022, and the Tri-City Subregion Residential Displacement Study Report on April 11, 2022; and

WHEREAS, based on staff’s understanding of the City Council’s historical and ongoing desire to apply local and regional live/work preferences on City-funded affordable housing projects, the City Manager executed the indemnity agreement for Doug Ford Senior Apartments on June 15, 2022, and Granite Ridge Apartments on August 5, 2022, consistent with FMC Section 3.20.070(b)(18)(B) which authorizes the City Manager to sign indemnity agreements under $100,000 in value.

NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF FREMONT HEREBY:

1. Ratifies the execution of the Indemnity Agreement between the City and the County of Alameda f or Doug Ford Senior Apartments; and

2. Ratifies the execution of the Indemnity Agreement between the City and the County of Alameda for Granite Ridge Apartments; and

3. Authorizes the City Manager to execute similar Indemnity Agreement(s) between the City and the County of Alameda for Measure A1 Bond funded affordable housing projects in the pipeline; and

4. Finds this action is exempt from and not subject to the requirements of the California Environmental Quality Act (CEQA) pursuant to, without limitation, CEQA Guidelines Section 15378(b)(1), (4) and/or (5), as an administrative or fiscal activity that does not have the potential, directly or indirectly, to result in a significant effect on the environment, and/or 15061(b)(3), in that it can be seen with certainty that there is no possibility that the action will result in a significant effect on the physical environment. Each of the foregoing provides a separate and independent basis for CEQA exemption as it is not defined as a “project.”

ADOPTED ______________, 2022, by the City Council of the City of Fremont by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

Mayor

Resolution 2022-XX Page 3 of 3

ATTEST: APPROVED AS TO FORM:

City Clerk City Attorney

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