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Agenda packet

Morgan Hill City Council
February 16, 2022

Document
Agenda packet
Meeting
February 16, 2022
Body
Morgan Hill City Council
Pages
397
Original file
81.6 MB
Text extracted from the city's file for reading and search. Open the original on morganhillca.api.civicclerk.com. That file is the official record.

(over)
TRA 04
Notice to
Destroy
Weeds
NOTICE IS HEREBY GIVEN that on December 15, 2021, pursuant to the provisions of Section

8.20.030 of the Morgan Hill Municipal Code, the City Council of said City passed a resolution declaring that all weeds growing upon any private property or in any public street or alley, as defined in Section 8.20.010, constitute a public nuisance, which nuisance must be abated by the destruction or removal thereof.

NOTICE IS FURTHER GIVEN that property owners shall without delay, remove all such weeds from their property, and the abutting half of the street in front and alleys, if any, behind such property, and between the lot lines thereof as extended, or such weeds will be destroyed or removed and such nuisance abated by the City authorities, in which case the cost of such destruction or removal will be assessed upon the lots and lands from which, or from the front or rear of which, such weeds shall have been destroyed or removed; and such cost will constitute a lien upon such lots or lands until paid, and will be collected upon the next tax roll upon which general municipal taxes are collected. All property owners having any objections to the proposed destruction or removal of such weeds are hereby notified to attend a meeting of said City to be held in the Council Chambers of the City of Morgan Hill located at 17555 Peak Avenue, Morgan Hill, California, on Wednesday, February 2, 2022, at 7:00 p.m., or as soon thereafter as the matter can be heard, when their objections will be heard and given due consideration.

The language and format for this notice is required by California Health and Safety Code Sections 14891 Et. Seq.

Page 328 of 397 ends

(over)
TRA 04

MORGAN HILL WEED ABATEMENT PROGRAM SCHEDULE
February 2, 2022 Public hearing to consider objections to Abatement List.

May 1, 2022 PARCEL ABATEMENT DEADLINE
Parcel must be free from hazardous vegetation by this date or Inspector will order abatement.

July/August 2022 Assessment Hearing date to be scheduled by City Council. 2022 COUNTY WEED ABATEMENT FEES
Properties in the Weed Abatement Program, you will be responsible for an annual inspection fee of $91.00 per parcel.

Please be advised that the property owner of any parcel found to be non-compliant on or after the May 1
st deadline will be charged a processing fee of $505.00 and the property will be scheduled for abatement by the County contractor. If you complete the abatement work before the County contractor performs the abatement, you will not incur further charges.

Should the abatement work be performed by a County contractor, you will be assessed the contractor’s charges plus a County administrative fee of $858.00 per parcel. 2022 COUNTY CONTRACTOR’S WEED ABATEMENT PRICE LIST
A) Disc Work**
PARCEL SIZE: 1
st Disc + 2nd Disc = Total Discs
0-12,500 sq.ft. $412.39 $165.79 $578.18
12,501sq.ft.- 43,560sq.ft. $412.39 $165.79 $578.18
Larger than 1 Acre $299.56 $146.30 $445.86 (PER ACRE)
** It is required that parcels be disced twice a year. The cost for the first discing is higher due to additional work normally required during the first discing.

B) HANDWORK $5.57 PER 100 Square Feet (SF)
C) FLAIL 6 Foot Mower $7.11 PER 1,000 SF
MOWING 12 Foot Mower $7.11 PER 1,000 SF
D) LOADER WORK $170.40 PER HOUR
E) DUMP TRUCK $157.29 PER HOUR
F) BRUSH WORK $5.32 PER 100 SF
G) DEBRIS REMOVAL $58.52 PER HOUR
H) DUMP FEE 100%
Added to orders with debris removal at 100% of the dump site charge. *Please note this program does not offer herbicide application as a method of abatement.

Page 329 of 397 ends

MINIMUM FIRE SAFETY STANDARDS (MFSS)
Fire Safety
Through
Vegetation
Management
Fire Resistant Landscaping
Santa Clara County
Consumer and Environmental
Protection Agency
Weed Abatement Program

1553 Berger Drive #1
San Jose, Ca 95112
Phone (408) 282-3145
Fax: (408) 286-2460
[email protected]

1. Vegetation must not exceed 6 inches in height any time after the compliance deadline.

2. Maintain grasses and weeds below 6 inches for 10 feet horizontally on both sides of all roadways, including driveways and access routes. Roads and driveways must maintain a clearance of 10’ W by 13’6” H for all vegetation.

3. Clear flammable vegetation a minimum of 30 feet around any structure, occupied or not. Ornamental vegetation should be kept clear of dead material. Some conditions, such as slopes, may require up to a 100 foot clearance.

4. Parcels one acre or less shall be completely abated. Parcels over one acre up to five acres require 30 foot clearance around structures and perimeter property lines. Additional 30 foot cross fuel breaks may also be required.

5. Parcels larger than five acres require 30 foot clearance around structures and perimeter property lines in addition to 30-foot cross fuel breaks as needed to separate the remaining vegetation into sections no larger than five acres.

6. Keep property clear of accumulation of combustible debris, such as trash, wood, and dead vegetation. Stacked firewood and neatly piled yard waste is not considered to be combustible debris.

7. Keep vegetation cleared from under the eaves of houses.

8. Trim tree branches to at least 10 feet away from chimneys. Trim tree branches up from the ground to provide at least 6 feet of vertical clearance.

9. Clear leaves, pine needles and debris from roof and gutters.

The following is a partial list of fire resistant plants that you may choose to use around your home to reduce the risk of fire. Contact your local nursery for selections appropriate to your area. All grasses, including those purportedly fire resistant, must be maintained below 6” in height.

Trees:

African Sumac
California Pepper
Shrubs:

Bearberry
Carmel Creeper
Carolina Cherry
Catalina Cherry
Escallonia
Hopseed Bush
Lemonade Berry
Groundcover:

Aaron’s Beard
Australian Daisy
Candytuft
Sterile Capeweed
Freeway Daisy
Rock Rose (except Gum
Variety)

Page 330 of 397 ends

The Santa Clara County Weed
Abatement Program
The Santa Clara County Consumer and Environmental Protection Agency and your city are working together to protect your community from fire. We need your help. Please read and follow the directions provided in this brochure regarding fire prevention on your property. The purpose of the Weed Abatement Program is to prevent fire hazards posed by vegetative growth and the accumulation of combustible materials.

The Weed Abatement program is entirely funded from fees charged to residents. Fees will be assessed for any property in the program.

This is to cover the cost of the compliance inspection for the property. Properties that fail the compliance inspection will be charged a failed inspection fee, even if the resident completes the weed abatement. If the property requires abatement by the County contractor, the property owner will be responsible for the actual cost of abatement plus an administrative fee. Properties that meet and maintain the minimum fire safety standards will not be charged other than the annual fee.

Program staff annually inspect parcels at the beginning of the fire season, which is typically in March or April depending on your jurisdiction. If the parcel is not in compliance at the time of inspection, the property owner will be charged a failed inspection fee, and the owner will be sent a courtesy notice as a reminder to abate the weeds. If the weeds are not abated by the property owner, the work will be completed by the County contractor. The property owner will pay the contractor’s fees plus a County administrative fee. All fees will be included in your property tax bill.

Our Goal Is Voluntary Compliance
Property Owner’s Responsiblilities
• Do not allow a fire hazard to exist on your property. The Minimum Fire Safety Standards (MFSS) in this brochure give you guidelines to follow in order to maintain your property and protect against a fire hazard. Please contact our office if you need guidance or have any questions regarding the requirements!
• Make arrangements to have your property maintained throughout the year. Contractors can be found in the yellow pages. You may choose to have the County contractor maintain your property. A current price list is included in your packet.
• Please complete and return the Reply Form provided in your mailing packet by the date on the form. Indicate your preference regarding performance of weed abatement services.

Program Staff Responsibilities
• Weed Abatement Inspectors will perform periodic inspections on all parcels included in the Santa Clara County Weed Abatement Program. Properties that fail the compliance inspection will be charged a failed inspection fee, even if the resident completes the weed abatement.
• Inspectors will order the County contractor to perform all necessary abatement work on any parcel where the MFSS are not met. An attempt will be made to give the owner a courtesy notice prior to releasing the work order.
• The County contractor uses several methods of abatement including discing and handwork. The property owner is free to select whatever method they choose, provided the MFSS of all federal, state and local laws are met.
• The Weed Abatement Program will place inspection costs and the charges for County contractor services plus a County administrative fee on the property owner’s tax bill during the next fiscal year.

Burrowing Owls
Frequently Asked Questions
Q. Why have I received an Abatement Notice?
A. Typically, a property is placed on the program if a Weed Abatement Inspector identified a potential fire hazard on the property. Fire Departments and other agencies also submit complaints to the Weed Abatement Program.

Q. What is required of me now that I am in the Program? A. All property owners are required to maintain their property free of fire hazards throughout the year.

Q. The grasses planted on my property are fire resistant. Are they exempt from the Weed Abatement program?
A. No. Even grasses that possess some fire resistant qualities are not fire proof, and they can add fuel to any site that is subject to a fire. Additionally, fire resistant grasses are rarely found in a pure, homogenous stand but rather are usually found to occur mixed with other common introduced annual grasses that are highly flammable and hazardous in a fire event. Finally, many grasses occur in Santa Clara County and species identification is difficult in the field, especially after the spring when the reproductive portions required for identification have dried and dispersed. Weed Abatement Inspectors can only focus on the presence of grasses and weeds on your property and the Minimum Fire Safety Standards, and not on grass species identification. Therefore, all grasses are required to be below 6 inches in height.

Q. What is the SC County Weed Abatement Program?
A. This is a monitoring program and our primary objective is voluntary compliance. See the first two paragraphs of this brochure for further specifics.

These small owls nest in abandoned ground squirrel
burrows. Discing collapses the burrows and kills the young.

These owls are listed as a state Species of Special Concern and are protected by the federal Migratory Bird Treaty Act. If you suspect burrowing owls on your property you must use another form of weed abatement such as mowing or weedeating. If you request the County perform abatement services, please notify program staff or your City if burrowing owls are known to exist on your property.

More FAQ:

Q. How long will I be on the Program?
A. Your property will remain on the Program for three years. If no hazards are found during that time, your property may be removed from the program.

Q. How much will this cost me?
A. There will be an annual fee to cover the cost of the compliance inspection. If the parcel does not meet the MFSS when it is first inspected in the spring, or if work is required by the County contractor, you will be charged additional fees. Our goal is to ensure that the MFSS are met at the lowest possible cost to the property owner.

Q. How will I be billed?
A. Any charges for the inspection and any abatement work performed will appear as a special assessment on your next property tax bill.

Q. Why have you performed work on my property while the vegetation is still green?
A. Grass, weeds or piles of combustible debris have been declared a public nuisance by your jurisdiction. Abating fire hazards in the spring minimizes the volume of combustible material before the hazards increase and dries out completely during the peak fire season.

Q. Will you notify me prior to beginning abatement work? A. Property owners are responsible for preventing fire hazards on their property. If the MFSS have been met, but further work is necessary, you will receive notice prior to the County contractor performing the work. If the MFSS have not been met, an attempt will be made to give the owner a courtesy notice prior to initial abatement.

Q. Where can I find someone to provide abatement
services?
A. Weed Abatement contractors can be found in the Yellow Pages under “Weed Control Services” or “Discing Services”.

You may have the County contractor perform the necessary work; see your mailing packet for a current price list as administrative costs are charged.

Q. How can I get additional information or assistance
regarding the specific requirements for my property?
A. Weed Abatement Inspectors are available to assist you and answer your questions. Please call our Customer Service line at (408) 282-3145 to schedule a consultation with program staff or to obtain additional information.

Q. I have Grazing Animals do I need to perform abatement? A. Grazing animals do not absolve you of your responsibilities to provide a fire safe condition on your property. You will need to check with our office to determine if grazing is adequate or if additional work is required.

Page 331 of 397 ends

EXHIBIT A
APN Owner Owner Address City/State Zip Code
MONTEREY RD 725-01-018 LUCKYSHING LLC 950 S 3RD ST SAN JOSE CA 95112-5839 726-02-012 WU MEI-TSU K 1441 HUNTINGTON DR STE 226 SOUTH PASADENA CA 91030 726-02-016 HUNG WEN JUNG 179 CUESTA DE LOS GATOS WAY LOS GATOS CA 95032 726-02-051 MH ANDALUSIA 2020 INC 385 WOODVIEW AVE STE 100 MORGAN HILL CA 95037 726-02-052 MH ANDALUSIA 2020 INC 385 WOODVIEW AVE STE 100 MORGAN HILL CA 95037 17364 WALNUT GROVE DR 726-07-021 DELUKE COMPANY LTD 535 ARRASTADERO RD PALO ALTO CA 94306 17361 SAINT ARCHER WY 726-07-090 WALNUT MORGAN HILL LLC 560 SOUTH MATHILDA AVE SUNNYVALE CA 94086 17365 SAINT ARCHER WY 726-07-091 WALNUT MORGAN HILL LLC 560 SOUTH MATHILDA AVE SUNNYVALE CA 94086 17369 SAINT ARCHER WY 726-07-092 WALNUT MORGAN HILL LLC 560 SOUTH MATHILDA AVE SUNNYVALE CA 94086 17373 SAINT ARCHER WY 726-07-093 WALNUT MORGAN HILL LLC 560 SOUTH MATHILDA AVE SUNNYVALE CA 94086 17378 SAINT ARCHER WY 726-07-094 WALNUT MORGAN HILL LLC 560 SOUTH MATHILDA AVE SUNNYVALE CA 94086 920 DIANA AV 726-07-095 WALNUT MORGAN HILL LLC 560 SOUTH MATHILDA AVE SUNNYVALE CA 94086 17376 WALNUT GROVE DR 726-07-096 WALNUT MORGAN HILL LLC 560 SOUTH MATHILDA AVE SUNNYVALE CA 94086 17374 WALNUT GROVE DR 726-07-097 WALNUT MORGAN HILL LLC 560 SOUTH MATHILDA AVE SUNNYVALE CA 94086 17372 WALNUT GROVE DR 726-07-098 WALNUT MORGAN HILL LLC 560 SOUTH MATHILDA AVE SUNNYVALE CA 94086 761 DAKOTA DR 726-09-024 DUNNE MICHAEL F JR AND JONNA TRUSTEE 761 DAKOTA DR MORGAN HILL CA 95037 726-13-050 UNION PACIFIC CORPORATION 10031 FOOTHILLS BLVD ROSEVILLE CA 95030-0000 17620 MONTEREY RD 726-23-021 GUNTER LOFTS LLC 720 SAN MARCOS CT MORGAN HILL CA 95037-5224 E CENTRAL AV 726-24-001 UNION PACIFIC CORPORATION 10031 FOOTHILLS BLVD ROSEVILLE CA 95030-0000 17910 MONTEREY RD 726-25-001 SILVA MARIO A AND BURGOS MARIBEL A ET AL PO BOX 5686 REDWOOD CITY CA 94063 18110 MONTEREY RD 726-25-006 CITY VENTURES HOMEBUILDING LLC 3121 MICHELSON DR STE 150 IRVINE CA 92612 726-25-026 CLAYTON PLAZA LLC 5752 COUNTRY CLUB PKWY SAN JOSE CA 95138 325 DIGITAL DR 726-25-041 OPERATING ENGINEERS LOCAL UNION NO 3 BLDG H 1620 S LOOP RD ALAMEDA CA 94502 315 DIGITAL DR 726-25-065 TERRASAT COMMUNICATIONS INC 315 DIGITAL DR MORGAN HILL CA 95037 726-25-091 MORGAN HILL INDUSTRIAL 4155 BLACKHAWK PLAZA #201 DANVILLE CA 94506 726-25-092 MORGAN HILL INDUSTRIAL 4155 BLACKHAWK PLAZA #201 DANVILLE CA 94506 726-25-095 JTJ MORGAN HILL RE LLC 4155 BLACKHAWK PLAZA #201 DANVILLE CA 94506 726-31-038 MERSHO INVESTMENTS LLC 5752 COUNTRY CLUB PKWY SAN JOSE CA 95138 18635 MADRONE PY 726-33-025 MERSHO INVESTMENTS LLC 5752 COUNTRY CLUB PKWY SAN JOSE CA 95138 735 COCHRANE RD 726-33-029 MADRONE VILLAGE SHOPPING 1960 THE ALAMEDA STE 20 SAN JOSE CA 95126 875 LIGHTPOST WY 726-35-015 LIGHTPOST LLC 20421 PACIFICA DR CUPERTINO CA 95014-3013 726-35-021 TBI-MISSION WEST II LLC 1960 THE ALAMEDA STE 20 SAN JOSE CA 95126 18640 MADRONE PY 726-35-028 NORTHERN CALIFORNIA CARPENTERS ATF LLC ONE FRONT ST STE 500 SAN FRANCSICO CA 94111 19095 ROSE AV 726-36-005 HU WEIBIAO TRUSTEE & ET AL P.O.BOX 1594 SAN MARTIN CA 95046 ROSE AV 726-36-007 MAGINCALDA LEROY J ET AL 4475 E WOODWARD RD MANTECA CA 95337 GINGER WY 726-36-057 WALTON GARY A AND JEAN M PO BOX 1265 MORGAN HILL CA 95038-1265 726-36-078 1493 INVESTORS LLC 15700 WINCHESTER BLVD LOS GATOS CA 95030 25 PEEBLES AV 726-41-065 PEEBLES SQUARE LLC 1630 OAKLAND RD STE 215 SAN JOSE CA 95131 18210 BUTTERFIELD BL 726-44-005 GOLDEN GATE ASSEMBLY INC 1055 MELCHOIR CT GILROY CA 95020 726-58-006 EVERGREEN-BUTTERFIELD & COCHRANE LLC 200 NORTH MARYLAND AVE STE 201 GLENDALE CA 91206 726-58-012 ARTIS SENIOR LIVING OF MORGAN HILL LLC 1651 OLD MEADOW RD STE 100 MCLEAN VA 22102 17200 KRUSE RANCH LN 728-01-001 VALENCIA EVERARDO TRUSTEE 17200 KRUSE RANCH LN MORGAN HILL CA 95037-6700 2275 E DUNNE AV 728-02-003 SERENE HILLS LLC 11541 SEVEN SPRINGS DR CUPERTINO CA 95014 17005 HILL RD 728-11-045 MISSION PACIFIC HOMES LLC 1615 VENTURA DR MORGAN HILL CA 95037 17015 HILL RD 728-11-046 MISSION PACIFIC HOMES LLC 1615 VENTURA DR MORGAN HILL CA 95037 17025 HILL RD 728-11-047 MISSION PACIFIC HOMES LLC 1615 VENTURA DR MORGAN HILL CA 95037 17035 HILL RD 728-11-048 MISSION PACIFIC HOMES LLC 1615 VENTURA DR MORGAN HILL CA 95037 17045 HILL RD 728-11-049 CONNORS GABRIEL J TRUSTEE & ET AL 495 BEL AIR WAY MORGAN HILL CA 95037 17055 HILL RD 728-11-050 MISSION PACIFIC HOMES LLC 1615 VENTURA DR MORGAN HILL CA 95037 1370 JASMINE WY 728-15-041 LANGDON JOSEPH A 1370 JASMINE WAY MORGAN HILL CA 95037-3334 1425 E DUNNE AV 728-16-042 MORGAN HILL UNIFIED S D 20 GREAT OAKS BLVD STE 200 SAN JOSE CA 95119 HALF RD 728-30-002 THE CROSSWINDS AT MORGAN HILL LLC 385 WOODVIEW AVE SUITE 100 MORGAN HILL CA 95037 1105 HALF RD 728-30-003 THE CROSSWINDS AT MORGAN HILL LLC 385 WOODVIEW AVE SUITE 100 MORGAN HILL CA 95037 1485 COCHRANE RD 728-36-017 M V S COMPANY P.O. BOX 2067 SARATOGA CA 95070 19139 BLUE LYNX CT 728-44-088 BUSH CORY R AND ROBERT J 19139 BLUE LYNX CT MORGAN HILL CA 95037 2780 THOMAS GRADE RD 729-01-009 LI LING TRUSTEE 2780 THOMAS GRADE RD MORGAN HILL CA 95037-6705 2990 THOMAS GRADE 729-02-004 HINDIYEH OMAR JR ET AL 2038 MURDELL LN LIVERMORE CA 94550 3105 OAK LEAF CT 729-04-014 LYON JOHN W AND BONITA E TRUSTEE 3105 OAK LEAF CT MORGAN HILL CA 95037-6702 3115 OAK LEAF CT 729-04-015 CAPUTO-SEYBOLD ROSANNE M AND SEYBOLD CHRIST 3115 OAK LEAF CT MORGAN HILL CA 95037-6702 17180 OAK LEAF DR 729-05-004 KELSEY REBECCA L AND LEONARD J 17180 OAK LEAF DR MORGAN HILL CA 95037-6621 2935 BENT OAK LN 729-07-009 BREHL BLAKE R 2935 BENT OAK LN MORGAN HILL CA 95037-6706 3440 OAKWOOD CT 729-16-016 KRAKENBERG DENNIS 480 W 20TH AVE SAN MATEO CA 94403 3590 OAKWOOD CT 729-17-001 WOLLASTON DEBRA L 3590 OAKWOOD CT MORGAN HILL CA 95037-6921 OAK CANYON DR 729-17-004 VASQUEZ JORGE AND LOPEZ ANGELICA 16375 OAK CANYON DR MORGAN HILL CA 95037-6813 16275 OAK CANYON DR 729-17-012 SHERMAN HOUSE ASSOCS LP 15600 OAKRIDGE CT MORGAN HILL CA 95037 16280 OAK CANYON DR 729-17-015 SHERMAN HOUSE ASSOCS 15600 OAKRIDGE CT MORGAN HILL CA 95037 3795 OAK CANYON LN 729-17-021 RANGOLE TIFFANY M ET AL 13933 E EVANS CREEK RD ROGUE RIVER OR 97537-9780 16335 JACKSON OAKS DR 729-18-015 MARIN THERESA J TRUSTEE 1005 SUMMERVIEW DR SAN JOSE CA 95132-2951 16460 JACKSON OAKS DR 729-18-031 HALVORSEN JAN T TRUSTEE 16460 JACKSON OAKS DR MORGAN HILL CA 95037-6902 16645 JACKSON OAKS DR 729-19-024 KHAN MOHAMED AND FARHAT 16645 JACKSON OAKS DR MORGAN HILL CA 95037-6930 15905 OAKRIDGE RD 729-22-028 SHAH JAY AND SUNDARAM AYSWARYA 15905 OAKRIDGE RD MORGAN HILL CA 95037-6827 15860 JACKSON OAKS DR 729-24-018 SAIGAL RAKESH KUMAR AND BHATIA DEEPTI TRUST 37552 CHAUNTRY COMMON FREMONT CA 94536 Situs
2022 WEED ABATEMENT PROGRAM

COMMENCEMENT REPORT

CITY OF MORGAN HILL

Page 332 of 397 ends

3745 RIDGEVIEW CT 729-24-026 HUANG JENNY F ET AL 6951 GRANDWOOD WAY SAN JOSE CA 95120 E DUNNE AV 729-26-002 UNGER EUGENE C AND ROSE A TRUSTEE & ET AL 134 VISTA DEL CAMPO LOS GATOS CA 95030-6313 17064 SHADY LANE DR 729-29-017 HANSON BRYAN F AND MIKEAL K 111 LOCUST AVE HOLLISTER CA 95023-3536 COPPER HILL DR 729-30-001 RAISSI SASSAN 17045 COPPER HILL DR MORGAN HILL CA 95037-6502 17245 QUAIL CT 729-35-005 CASTRO IRENE ET AL 2723 KEPPLER CT SAN JOSE CA 95148-3411 17246 QUAIL CT 729-35-007 WINSTEAD DONALD D ET AL 3337 W LUCIA DR PHOENIX AZ 85083-5885 17451 HOLIDAY DR 729-38-028 SMITH WARREN J AND DIANA L 17451 HOLIDAY DR MORGAN HILL CA 95037-6512 17474 LAKE VIEW DR 729-41-017 FRANCIS TERESA C AND OLIVER JOSEPH E 724 LUTON DR GLENDALE CA 91206-2628 17460 LAKE VIEW DR 729-41-019 BACH JOSEPH AND LANAE 453 HOPE HULL CT GREEN COVE SPRINGS FL 32043-9500 17770 HOLIDAY DR 729-44-025 BROWN DARYL SCOTT AND NAJAFI MARYAM 17770 HOLIDAY DR MORGAN HILL CA 95037-6305 2220 ROLLING HILLS DR 764-03-002 HARTOGS DIRK H AND KEILERS LINDA E 2220 ROLLING HILLS DR MORGAN HILL CA 95037-9438 BLACK OAK CT 764-03-017 TULLY SUSAN S AND TULLY 2008 SURV TR 7151 VIA ROMERA SAN JOSE CA 95139-1158 2105 ROCKY RIDGE RD 764-03-024 MAYELIAN HARRY AND MABEL TRUSTEE 27519 ALTA KNOLL DR SANTA CLARITA CA 91350-1900 17915 WOODLAND AV 764-03-034 AVELAR ANTONIO M TRUSTEE & ET AL 1212 EL CAMINO REAL UNIT 101 SANTA CLARA CA 95050 17625 WOODLAND CT 764-03-040 CARDINAL MARC ANDRE AND KENIA 17625 WOODLAND CT MORGAN HILL CA 95037-9444 17610 WOODLAND AV 764-03-043 BELLI KAREN M 17610 WOODLAND AVE MORGAN HILL CA 95037-9140 280 TILTON AV 764-09-004 LI WEIWEI AND ZHANG WEI 135 RIVIERA DR APT.143 LOS GATOS CA 95032 MONTEREY RD 764-09-013 UNION PACIFIC CORPORATION 10031 FOOTHILLS BLVD ROSEVILLE CA 95030-0000 764-10-003 UNION PACIFIC CORPORATION 10031 FOOTHILLS BLVD ROSEVILLE CA 95030-0000 18625 MONTEREY RD 764-10-008 BW MORGAN HILL LLC 2175 FRANCISCO BLVD EAST STE G SAN RAFAEL CA 94901 18545 MONTEREY RD 764-10-013 TRINH OANH OANH NGUYEN ET AL 1717 MESSINA DR SAN JOSE CA 95132 18565 MONTEREY RD 764-10-015 TRINH OANH OANH NGUYEN ET AL 1717 MESSINA DR SAN JOSE CA 95132 18755 OLD MONTEREY RD 764-24-061 18755 OLD MONTEREY LLC 1787 MCDANIEL AVE SAN JOSE CA 95126-1923 VIA LOMA 764-27-003 CHILDS JOHN WILLIAM AND DEBBIE LEE 363 B VIA LOMA MORGAN HILL CA 95037-3024 18560 MURPHY SPRINGS CT 764-27-028 DISANTO MICHAEL A AND DASALLA-DISANTO MADEL 18560 MURPHY SPRINGS CT MORGAN HILL CA 95037 650 SPARHAWK DR 764-31-036 RAUSCHNOT MICHAEL J AND JULIA F TRUSTEE PO BOX 668 MORGAN HILL CA 95038 640 SPARHAWK DR 764-31-037 ENDERSON EDWARD F TRUSTEE PO BOX 313 MORGAN HILL CA 95038 17996 HILLWOOD LN 764-32-044 CRONK JON E AND DIANE D 17996 HILLWOOD LN MORGAN HILL CA 95037-3529 TRUMPP CT 764-35-059 TRUMPP WALTER C TRUSTEE 1540 INDUSTRIAL AVE SAN JOSE CA 95112-2714 18280 SHADOWBROOK WY 764-41-002 SERAFINI CHARLES P AND MAUREEN C TRUSTEE 850 UNION HEIGHTS DR HOLLISTER CA 95023 18300 SHADOWBROOK WY 764-41-004 DIMAS RENE A TRUSTEE PO BOX 1604 MORGAN HILL CA 95038-1604 18320 SHADOWBROOK WY 764-41-006 BRIGGS WILLIAM G TRUSTEE & ET AL 16467 CARLSON DR MORGAN HILL CA 95037-9656 18305 SHADOWBROOK WY 764-41-013 VAN WINGERDEN SHARON TRUSTEE & ET AL 18305 SHADOWBROOK WAY MORGAN HILL CA 95037-3021 18285 SHADOWBROOK WY 764-41-015 SKEEN JOHN A TRUSTEE & ET AL 1725 SHADY HOLLOW DR MORGAN HILL CA 95037 18275 SHADOWBROOK WY 764-41-016 CHERRY LANE LLC 1122 BRACE AVE SAN JOSE CA 95125-3202 1715 JASPER HIGHLANDS DR 764-44-010 DINAN STEPHEN JAMES AND JANICE KAY TRUSTEE 1715 JASPER HIGHLANDS DR MORGAN HILL CA 95037-9165 1815 JASPER HIGHLANDS DR 764-44-012 JONES DENIS AND CAROLYN 1532 HILLSDALE AVE SAN JOSE CA 95118-1037 1725 SHADY HOLLOW DR 764-44-018 SKEEN JOHN A AND BARBARA I TRUSTEE 1725 SHADY HOLLOW DR MORGAN HILL CA 95037-9161 18425 CASTLE RIDGE DR 764-45-002 BUCHANAN NANCY C TRUSTEE 18425 CASTLE RIDGE DR MORGAN HILL CA 95037-9458 18630 CASTLE HILL DR 764-45-014 MOROZUMI PIUS A AND SHARON L 18630 CASTLE HILL DR MORGAN HILL CA 95037-9452 18580 CASTLE HILL DR 764-45-021 GLENROCK BUILDERS INC P.O. BOX 1179 MORGAN HILL CA 95038 18530 CASTLE HILL DR 764-45-023 CHADBAND LISA L TRUSTEE 18530 CASTLE HILL DR MORGAN HILL CA 95037-9169 CASTLE HILL DR 764-45-030 GLENROCK BUILDERS INC 14500 SYCAMORE DR MORGAN HILL CA 95037 CASTLE HILL DR 764-45-031 GLENROCK BUILDERS INC P.O. BOX 1179 MORGAN HILL CA 95038 18303 LLAGAS CT 764-53-005 MELLOW CATHY 18303 LLAGAS CT MORGAN HILL CA 95037 767-01-052 GARCIA W ROCKE AND GLENDA 14500 SYCAMORE DR MORGAN HILL CA 95037 450 W DUNNE AV 767-02-008 WESTON MILES MADELINE 450 W DUNNE AVE MORGAN HILL CA 95037 DEL MONTE AV 767-03-005 RICHTER GAYLE H TRUSTEE & ET AL P O BOX 784 MORGAN HILL CA 95038 W DUNNE AV 767-03-046 BETPOLICE FARIDEH TRUSTEE 21515 HAWTHORNE BLVD STE 1085 TORRANCE CA 90503 767-05-001 PACIFIC GAS & ELECTRIC CO ATT: Nguyen Chau 111 ALMADEN BLVD SAN JOSE CA 95115-0005 17205 MONTEREY RD 767-08-006 PETERSON VIRGINIA P.O. 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660 EASY ST 779-35-036 CRUZ-MARIN ANTONIO AND BARRAGAN ELVA V MEZA 660 EASY ST MORGAN HILL CA 95037-6211 14545 ATHERTON CL 779-49-001 WOLF JASON AND INBAL 14545 ATHERTON CIR MORGAN HILL CA 95037 15090 WATSONVILLE RD 779-51-055 VAN HUNG 15090 WATSONVILLE RD MORGAN HILL CA 95037-6004 16870 MONTEREY RD 817-01-018 MERINO FRED S TRUSTEE & ET AL 1170 S MCKENDRIE ST SAN JOSE CA 95126 16780 MONTEREY RD 817-01-081 ATES LLC 34695 LOWER TRAIL CARMEL CA 93923 16495 VINEYARD BL 817-02-043 TANSY DEVELOPMENT INC 1967 STANWOOD DR SANTA BARBARA CA 93103 16470 VINEYARD BL 817-02-044 TANSY DEVELOPMENT INC 1967 STANWOOD DR SANTA BARBARA CA 93103 MAST ST 817-02-047 SEMAAN FADI I AND KRALIAN ELIZABETH TRUSTEE 10538 PHIL PL CUPERTINO CA 95014-4670 817-02-057 LABRUCHERIE ARMAND R AND JOAN C TRUSTEE & E 16373 REYNOLDS DR MORGAN HILL CA 95037 16143 KEITH WY 817-03-053 GREGG JEANNE TRUSTEE 15640 LA TIERRA DR MORGAN HILL CA 95037-5838 RAILROAD AV 817-05-070 UNION PACIFIC CORPORATION 10031 FOOTHILLS BLVD ROSEVILLE CA 95030-0000 TENNANT AV 817-08-019 PANWALA SAN K AND KUSUM S TRUSTEE 17380 RINGEL DR MORGAN HILL CA 95037 TENNANT AV 817-08-029 RAIL AND TENN LLC 600 TENNANT AVE MORGAN HILL CA 95037-5519 JUAN HERNANDEZ DR 817-09-039 THE HEALTH TRUST 3180 NEWBERRY DR STE200 SAN JOSE CA 95118 JUAN HERNANDEZ DR 817-09-041 THE HEALTH TRUST 3180 NEWBERRY DR STE 200 SAN JOSE CA 95118 965 SAN PEDRO AV 817-11-073 965 PEDRO GROVE LLC 1457 EDGEWOOD DR PALO ALTO CA 94301-3118 16375 CONDIT RD 817-13-021 NG BETTY TRUSTEE & ET AL 1835 FRANKLIN APT 903 SAN FRANCISCO CA 94109-3457 1075 CONDIT AV 817-13-022 NG BETTY TRUSTEE & ET AL 1835 FRANKLIN APT 903 SAN FRANCISCO CA 94109-3457 16275 CONDIT RD 817-13-024 HSU FAMILY LP ET AL 1401 GRAYWOOD DR SAN JOSE CA 95129-4778 HILL RD 817-20-031 LEWIS MORGAN HILL LLC POBOX 5368 SAN JOSE CA 95150 16015 CAPUTO DR 817-29-027 MORGAN HILL CAR WASH INC 5542 MONTEREY RD UNIT #217 SAN JOSE CA 95138 BARRETT AV 817-30-080 SANDHU ATAM PARKASH SINGH 1800 SILVERWINGS CT MORGAN HILL CA 95037-9308 16290 RAILROAD AV 817-32-057 LEVEL 10 CONSTRUCTION LP 1050 ENTERPRISE WAY STE 250 SUNNYVALE CA 94089 2200 HERMOSA CT 817-48-070 LICATA MICHAEL J AND ELIZABETH D TRUSTEE 4466 FARAONE CT SAN JOSE CA 95136-1808 2250 FOUNTAIN OAKS DR 817-48-079 MOORE DAVID W AND BETH R 2250 FOUNTAIN OAKS DR MORGAN HILL CA 95037-3818 380 SAN PEDRO AV 817-58-014 REBOZZI LOUIS J AND MAUREEN L 315 CLARKE LN MORGAN HILL CA 95037-9231 470 SAN PEDRO AV 817-59-068 AHMADI RAHMATOLLAH AND SHIVA 3629 BERCAW LN SAN JOSE CA 95124-2831 16680 NINA LN 817-60-024 BUTTERICK TIMOTHY W AND CECELIA ANN TRUSTEE 16680 NINA LN MORGAN HILL CA 95037-5240 2785 TORO VISTA CT 817-70-007 HARRISON ROBERT AND ANDERSON MICHELLE L 2785 TORO VISTA CT MORGAN HILL CA 95037 817-78-004 BUSK BETTY G TRUSTEE 720 SAN MARCOS CT MORGAN HILL CA 95037-5224 817-78-005 NORDSTROM CAL HOMES LLC 720 SAN MARCOS CT MORGAN HILL CA 95037-5224 817-78-006 NORDSTROM CAL HOMES LLC 720 SAN MARCOS CT MORGAN HILL CA 95037-5224 817-78-007 NORDSTROM CAL HOMES LLC 720 SAN MARCOS CT MORGAN HILL CA 95037-5224 817-78-008 NORDSTROM CAL HOMES LLC 720 SAN MARCOS CT MORGAN HILL CA 95037-5224 817-78-009 NORDSTROM CAL HOMES LLC 720 SAN MARCOS CT MORGAN HILL CA 95037-5224 817-78-010 NORDSTROM CAL HOMES LLC 720 SAN MARCOS CT MORGAN HILL CA 95037-5224 817-78-011 NORDSTROM CAL HOMES LLC 720 SAN MARCOS CT MORGAN HILL CA 95037-5224 817-78-012 NORDSTROM CAL HOMES LLC 720 SAN MARCOS CT MORGAN HILL CA 95037-5224 817-78-013 BUSK BETTY G TRUSTEE 1390 E DUNNE AVE MORGAN HILL CA 95037-7058 817-78-014 NORDSTROM CAL HOMES LLC 720 SAN MARCOS CT MORGAN HILL CA 95037-5224 817-78-015 NORDSTROM CAL HOMES LLC 720 SAN MARCOS CT MORGAN HILL CA 95037-5224 817-78-016 NORDSTROM CAL HOMES LLC 720 SAN MARCOS CT MORGAN HILL CA 95037-5224 817-78-017 NORDSTROM CAL HOMES LLC 720 SAN MARCOS CT MORGAN HILL CA 95037-5224 14900 MONTEREY RD 825-06-016 CHANG SANDY TRUSTEE 105 CROW CANYON DR FOLSOM CA 95630

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Resolution No. xxxx

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RESOLUTION NO. XXX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF MORGAN HILL INSTRUCTING THE SANTA CLARA

COUNTY CONSUMER AND ENVIRONMENTAL

PROTECTION AGENCY TO ABATE NUISANCES ARISING

OUT OF HAZARDOUS VEGETATION GROWING UPON

LOTS OR IN FRONT OF PROPERTY IN THE CITY OF
MORGAN HILL AS REQUIRED BY TITLE 8, CHAPTER

8.20 OF THE MORGAN HILL MUNICIPAL CODE
WHEREAS, pursuant to Title 8, Chapter 8.20 of the Morgan Hill Municipal Code, the City Council hereto adopted Resolution No. 21-053 declaring hazardous vegetation growing in the City of Morgan Hill to constitute a public nuisance; and WHEREAS, a Public Hearing was held pursuant to Resolution No. 21-053 and Chapter

8.20 of the Morgan Hill Municipal Code in that time and manner required by law.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Morgan Hill authorizes as follows:

1. That the Santa Clara County Consumer and Environmental Protection Agency (Agency) is hereby ordered to abate the nuisance or cause the same to be abated by having the vegetation destroyed by cutting, discing or any other method as may be determined by the Agency for the properties on the attached list excluding the properties struck out.

2. That any property owner shall have the right to destroy or remove at his or her expense prior to removal of said vegetation by the Agency.

3. That the Agency shall keep an account of the cost of removing said vegetation and document such account in a report and assessment list, and file the same with the City Clerk. Such report shall refer to each separate lot or parcel of land, together with the expense of removal of hazardous vegetation therefrom.

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Resolution No. xxxx

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PASSED AND ADOPTED by the City Council of Morgan Hill on this 16th day of February 2022 by the following vote:

AYES: COUNCIL MEMBERS:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

APPROVED: ATTEST:
________________________ ______________________________ RICH CONSTANTINE, Mayor MICHELLE BIGELOW, City Clerk
 CERTIFICATION 
I, Michelle Bigelow, City Clerk of the City of Morgan Hill, California, do hereby certify that the foregoing is a true and correct copy of Resolution No. XXXX, adopted by the City Council at its meeting held on February 16, 2022.

WITNESS MY HAND AND THE SEAL OF THE CITY OF MORGAN HILL.

DATE: _____________________ _______________________________ Michelle Bigelow, City Clerk

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8 CITY COUNCIL STAFF REPORT
MEETING DATE: February 16, 2022
PREPARED BY:

Rebecca Garcia, Housing Director
APPROVED BY: City Manager

CONDUCT TAX AND EQUITY FISCAL RESPONSIBILITY ACT (TEFRA)

HEARING APPROVING ISSUANCE OF BONDS FOR ROYAL OAK
VILLAGE APARTMENTS AT 15440 MONTEREY ROAD WITHIN THE

CITY OF MORGAN HILL

RECOMMENDATION(S)

1. Open/close public hearing consistent with the requirements of the Federal Tax and Equity Fiscal Responsibility Act ("TEFRA") and Section 147 (f) of the Internal Revenue Code of 1986, as amended (the “Code”); and

2. Adopt resolution approving the issuance of bonds by the California Statewide Communities Development Authority (CSCDA), for the acquisition, construction, improvement and equipping of a multifamily rental housing facility known as Royal Oak Village, located at 15440 Monterey Road (the “Project”).

Estimated Time: 15 min

COUNCIL PRIORITIES, GOALS & STRATEGIES
City Council Ongoing Priorities
Preserving and Cultivating Public Trust
Enhancing Diversity and Inclusiveness
Advancing Regional Initiatives
2020-2021 Strategic Priorities
Affordable Housing and Homelessness
Guiding Documents
Morgan Hill 2035 General Plan
REPORT NARRATIVE:

Urban Housing Communities (UHC) in partnership with Ikaika Ohana, a nonprofit General Partner, is approved to build a 100 percent affordable housing development project comprised of 73 multi-family units, of which 30 units are dedicated to farmworker

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8 housing, 18 units are dedicated to Permanent Supportive Housing units for people experiencing homelessness, 24 units are dedicated to lower income workforce housing units, and 1 unit is dedicated as a managers unit. The proposed project, known as the Royal Oaks Village, is located at the Royal Oaks Mushroom Farm along Watsonville Road, south of Monterey Road. On August 4, 2021 the City Council approved funding for the “Royal Oaks Village,” in the amount of $400,000.

The City is required to hold this public hearing allowing community members to speak in favor of or against the use of tax-exempt bonds for the financing of the Project. The City Council’s only role is to listen to public testimony regarding the appropriateness of bond financing. Following the close of the hearing, the City must approve the issuance of the bonds for the financing of the Project. The City has no financial obligation or legal risk with the bond issuance.

To finance the Project, on December 8, 2021, the Project’s sponsor received a very competitive award for Federal Low Income Housing Tax Credits (“LIHTC”) from the California Tax Credit Allocation Committee and a tax-exempt bond allocation from the California Debt Limit Allocation Committee (“CDLAC”).

The Borrower, A0702 MORGAN HILL, L.P., an affiliate of UHC Communities, requested that the California Statewide Communities Development Authority (“CSCDA”), a joint exercise of powers authority and public entity of the State of California, serve as the municipal issuer of the tax-exempt revenue bonds in an aggregate principal amount not to exceed $40,000,000. The project sponsor, owner, and borrower are all the same entity, A0702 MORGAN HILL, L.P.

The tax-exempt bond financing is a “conduit” financing in which the City has no exposure for the debt. Rather, the sponsor, asks the CSCDA to issue the bonds upon CDLAC’s authorization and then solicits a lender who purchases all of the bonds in a private sale. CSCDA is a public entity that is authorized and experienced in the issuance of such bonds. The proceeds of the bonds will be used to (1) finance and refinance the acquisition, construction, improvement and equipping of the multifamily rental housing facility, known as Royal Oak Village, to be occupied by lower-income families and individuals, to be owned and operated by the Borrower, (together, the “Project”), and (2) pay certain expenses in connection with the issuance of the Bonds.

As the nature of the financing vehicle is tax-exempt, the Tax and Equity Fiscal Responsibility Act (“TEFRA”) requires the local jurisdiction to support the transaction.

This requirement is fulfilled through the public hearing approving the conduit financing after public notice is published seven days prior, allowing the community members an opportunity to speak in favor of or against the use of tax-exempt bonds for the financing of the Project. Following the close of the TEFRA Hearing, the City must approve the issuance of the bonds for the financing of the Project through a resolution. The Project meets the Council’s goal of preserving the condition of affordable communities and leveraging outside financing to preserve the City’s affordable housing supply.

CALIFORNIA STATEWIDE COMMUNITIES DEVELOPMENT AUTHORITY:

CSCDA is a joint powers authority sponsored by the League of California Cities

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8 ("League") and the California State Association of Counties ("CSAC"). CSCDA was created by the League and CSAC in 1988 to enable local government and eligible private entities access to low-cost, tax-exempt financing for projects that provide a tangible public benefit, contribute to social and economic growth and improve the overall quality of life in local communities throughout California. CSCDA is comprised of more than 530 members, including the City of Morgan Hill. CSCDA has issued more than $65 billion through 1,700 plus financings since 1988 and consistently ranks in the top 10 of more than 3,000 nationwide public issuers of tax-exempt debt, as measured by annual issuance amount.

The bonds to be issued by CSCDA for the Project will be the sole responsibility of the Borrower, and the City will have no financial, legal, moral obligation, liability, or responsibility for the project or the repayment of the bonds for the financing of the Project. All financing documents with respect to the issuance of the bonds will contain clear disclaimers that the bonds are not obligations of the City or the State but are to be paid for solely from funds provided by the Borrower.

There are no costs associated with membership in the CSCDA, and the City will not become exposed to any financial liability by reason of its membership. In addition, participation by the City in the CSCDA will not impact the City’s appropriations limits and will not constitute any type of indebtedness by the City. Outside of holding the TEFRA Hearing and adopting the required resolution, no other participation or activity of the City or the City Council with respect to the issuance of the bonds will be required.

COMMUNITY ENGAGEMENT:

The community was informed by a notice published in the Morgan Hill Times on February 4, 2022.

ALTERNATIVE ACTIONS:

There are no alternative actions as the City must approve the resolution after the public hearing.

PRIOR CITY COUNCIL AND COMMISSION ACTIONS:

Government Code Section 65915(d)(2)(D) requires the City to grant four incentives, or concessions, for projects that are 100 percent affordable for lower income households (excluding managers unit), except that up to 20 percent of the total units in the development may be for moderate-income households. The City Council approved four concessions for the project on January 20, 2021. On August 4, 2021 the City Council approved funding for the “Royal Oaks Village,” in the amount of $400,000.

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8 FISCAL AND RESOURCE IMPACT:

There is no fiscal impact to the City. The Bonds will be issued as limited obligations of CSCDA, payable solely from revenues and receipts derived from a loan to be made by CSCDA to the Borrower with the Bond proceeds. The City bears no liability with respect to the issuance of the Bonds. Further, the City is not a party to any of the financing documents related to the Bond issuance and is not named in any of the disclosure documents describing the Bonds or the proposed financing.

CEQA (California Environmental Quality Act):

This is not a project but rather an administrative activity that will not result in direct or indirect physical changes in the environment. Thus, the project is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3).

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RESOLUTION NO. 22-xxx

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

MORGAN HILL APPROVING THE ISSUANCE BY THE

CALIFORNIA STATEWIDE COMMUNITIES

DEVELOPMENT AUTHORITY OF MULTIFAMILY

HOUSING REVENUE BONDS FOR ROYAL OAK VILLAGE
WHEREAS, the California Statewide Communities Development Authority (the "Authority") is authorized pursuant to the provisions of California Government Code Section 6500 et seq. and the terms of an Amended and Restated Joint Exercise of Powers Agreement, dated as of June 1, 1988 (the "Agreement"), among certain local agencies throughout the State of California, including the City of Morgan Hill (the "City"), to issue revenue bonds in accordance with Chapter 7 of Part 5 of Division 31 of the California Health and Safety Code for the purpose of financing multifamily rental housing projects; and
WHEREAS, A0702 Morgan Hill, L.P. or a partnership of which Urban Housing Communities LLC (the "Developer") or a related person to the Developer is the general partner, has requested that the Authority adopt a plan of financing providing for the issuance of exempt facility bonds for a qualified residential rental project pursuant to Section 142(a)(7) of the Internal Revenue Code of 1986 (the "Code") in one or more series issued from time to time, including bonds issued to refund such exempt facility bonds in one or more series from time to time, and at no time to exceed $40,000,000 in outstanding aggregate principal amount (the "Bonds"), to finance or refinance the acquisition, construction and development of a multifamily rental housing project located at 15440 Monterey Road, Morgan Hill, California (the "Project"); and WHEREAS, pursuant to Section 147(f) of the Code, prior to their issuance, the Bonds are required to be approved by the "applicable elected representative" of the governmental units on whose behalf such bonds are expected to be issued and by a governmental unit having jurisdiction over the entire area in which any facility financed by such bonds is to be located, after a public hearing held following reasonable public notice; and
WHEREAS, the members of this City Council (this "City Council") are the applicable elected representatives of the City; and
WHEREAS, there has been published, at least 7 days prior to the date hereof, in a newspaper of general circulation within the City, a notice that a public hearing regarding the Bonds would be held on a date specified in such notice; and
WHEREAS, such public hearing was conducted on such date, at which time an opportunity was provided to interested parties to present arguments both for and against the issuance of the Bonds; and
WHEREAS, the Authority is also requesting that the City Council approve the issuance of any refunding bonds hereafter issued by the Authority for the purpose of refinancing the Bonds

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City of Morgan Hill
Resolution No. 22-xxx

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which financed the Project (the "Refunding Bonds"), but only in such cases where federal tax laws would not require additional consideration or approval by the City Council; and WHEREAS, it is intended that this resolution shall constitute the approval of the issuance of the Bonds required by Section 147(f) of the Code and Section 9 of the Agreement;

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF MORGAN HILL DOES HEREBY FIND, DETERMINE, RESOLVE AND ORDER AS FOLLOWS:

Section 1. The above recitals are true and correct.

Section 2. The City Council hereby approves the issuance of the Bonds and the Refunding Bonds by the Authority. It is the purpose and intent of the City Council that this resolution constitute approval of the Bonds for the purposes of (a) Section 147(f) of the Code and (b) Section 9 of the Agreement.

Section 3. The officers of the City are hereby authorized and directed, jointly and severally, to do any and all things and to execute and deliver any and all documents that they deem necessary or advisable in order to carry out, give effect to and comply with the terms and intent of this resolution and the financing approved hereby.

Section 4. This resolution shall take effect immediately upon its passage.

PASSED, APPROVED AND ADOPTED by the City Council of the City of Morgan Hill at a regular meeting held on the February 16, 2022.

AYES: COUNCIL MEMBERS:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

APPROVED: ATTEST:
_____________________________ ________________________________ RICH CONSTANTINE, Mayor MICHELLE BIGELOW, City Clerk

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City of Morgan Hill
Resolution No. 22-xxx

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 CERTIFICATION 
I, Michelle Bigelow, City Clerk of the City of Morgan Hill, California, do hereby certify that the foregoing is a true and correct copy of Resolution No. 22-xxx, adopted by the City Council at a regular meeting held on February 16, 2022.

WITNESS MY HAND AND THE SEAL OF THE CITY OF MORGAN HILL.

DATE: _____________________ ___________________________________ MICHELLE BIGELOW, City Clerk

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TAX AND EQUITY FISCAL

RESPONSIBILITY ACT (TEFRA) HEARING

ROYAL OAK VILLAGE APARTMENTS
February 16, 2022

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TEFRA HEARING:
• City is required to hold public hearing to allow community an opportunity to speak in favor of or against use of tax-exempt bonds for financing of Project
• Council's only role is to listen to public testimony regarding appropriateness of bond financing
• Following close of hearing, City must approve issuance of bonds through resolution
• City has no financial obligation or legal risk with bond issuance

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TEFRA HEARING (cont.)
• Approving the issuance of bonds to finance the acquisition and construction of Royal Oak Village Apartments, located at the Royal Oaks Mushroom Farm along Watsonville Road, south of Monterey Road, owned and operated by A0702 MORGAN HILL, L.P, an affiliate of UHC Communities • UHC applied and received an award for Federal Low Income Housing Tax Credits from the California Tax Credit Allocation Committee and a taxexempt bond allocation • UHC requested that the California Statewide Communities Development Authority serve as the issuer of the tax-exempt revenue bonds in an amount not to exceed $40,000,000

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TEFRA HEARING (cont.)
• The proceeds of the bonds will be used to finance the acquisition, construction, equipping, and improvement of Royal Oak Village
• The Project meets the Council's goals of creating affordable communities and leveraging outside financing
• Notices were published in the Morgan Hill Times on February 4, 2022

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Royal Oak Village
73 Units

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RECOMMENDATION:
• Open/close public hearing consistent with the requirements of the Federal Tax and Equity Fiscal Responsibility Act
("TEFRA") and Section 147 (f) of the Internal Revenue Code of 1986, as amended (the “Code”); and
• Adopt resolution approving the issuance of bonds by the California Statewide Communities Development Authority, for the acquisition, construction, equipping and improvement of Royal Oak Village.

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Questions?

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9 CITY COUNCIL STAFF REPORT
MEETING DATE: February 16, 2022
PREPARED BY:

Rebecca Garcia, Housing Director
APPROVED BY: City Manager
APPROVE EDEN HOUSING'S (EHI) REQUEST TO WAIVE THE 2020

ANNUAL SURPLUS PAYMENT FOR VILLA CIOLINO AFFORDABLE

APARTMENTS TO MAKE NECESSARY REPAIRS

RECOMMENDATION(S)
Authorize the approval of a waiver for the receipt of the 2020 annual payment from Villa Ciolino's surplus cash in the amount of $44,777 due to the City to support the property's more immediate urgent rehabilitation needs.

Estimated Time:

COUNCIL PRIORITIES, GOALS & STRATEGIES
City Council Ongoing Priorities
Maintaining Infrastructure
Advancing Regional Initiatives
2020-2021 Strategic Priorities
Affordable Housing and Homelessness
Guiding Documents
Morgan Hill 2035 General Plan
REPORT NARRATIVE:

Eden Housing is requesting that the City of Morgan Hill consider waiving the 2020 surplus cash distribution payment ($44,777) to help support the projected costs for urgent repairs that are needed. In 2000, the former Redevelopment Agency of the City of Morgan Hill (RDA) provided a loan in the amount of $2,375,000 for the development of Villa Ciolino Apartments (“The Property”), a 42-unit affordable family housing.

Villa Ciolino Associates (“The Partnership”) is a California limited partnership formed in 1999. The Partnership is controlled by its general partner, Villa Ciolino LLC, whose sole member, Eden South Bay Inc., is under control of the board of directors of Eden Housing, Inc. (EHI), a nonprofit public benefit corporation. Various loan, regulatory, and other agreements dictate the maximum income levels of new tenants and provide rent

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9 and other restrictions through the year 2054. The families that live here have incomes that range from $22,700 to $82,850 for a family of four.

EHI is seeking approval to waive the 2020 surplus cash distribution owed to the City of Morgan Hill. The diversion of funds is solely intended to cover the projected capital needs, a benefit to the City as it will keep the affordable inventory in good condition.The City of Morgan Hill’s housing policy towards its multifamily housing partnerships is to provide stewardship to guaranty investment and re-investment in quality, long term housing stock. This generally results in supporting non-profit partners as they raise rehabilitation dollars for renovation of aging structures in the City of Morgan Hill.

Because this payment is required by the Loan Agreement, the City must consent to a waiver of payment.

The waiver of 2020 annual surplus payment will allow EHI to quickly implement urgent capital needs at the Villa Ciolino Apartments. EHI has a longer term goal to continue to apply for and seek out Tax Credit and Bond Funds to do a full re-syndication for the entire property (a much larger scale rehab of the property in 2023); however, due to the competitive market for those funds, it isn’t guaranteed; thus, timing is uncertain. EHI has applied in previous years and has not been awarded the funds, which has led to many of the capital needs of the site being delayed. From staff's perspective, EHI is being proactive in an effort to handle the urgent capital needs in 2022 to improve the integrity of the buildings and quality of life for the residents. The staff is recommending the waiver of the annual payment in support of taking care of the more immediate repair needs.

Background:

Eden Housing (EHI) was founded in 1968 and has developed or acquired more than 10,600 homes in communities throughout California, currently serving a diverse population of 22,000 low-income residents from all cultures and backgrounds. Eden’s vision is for everyone to have access to safe, decent, affordable housing and that housing is a basic human necessity that is essential to everyday life and future success.

They serve very low, low, and moderate-income families, seniors, veterans, people living with physical, mental, or developmental disabilities, and the formerly homeless.

Within the City of Morgan Hill, EHI has been a long-standing partner that owns and operates the following affordable housing properties:

Property
Name Entity Name
# of
Units
Occupancy
Type
Crest Avenue
Crest Avenue Associates,
L.P. 50 Family
Depot
Commons Depot Commons LLC 13 Family
Jasmine
Square
Church & Monterey Road
Associates 72 Family
Royal Court Royal Court Associates 55 Family
Skeels Skeels Hotel LLC 13 SRO

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9 Sycamore Glen Sycamore Glen, Inc. 20 Senior
Villa Ciolino Villa Ciolino Associates 42 Family
The Willows Edmundson Associates 20 Family
Uses of the Surplus Cash:

The uses proposed for the withholding of the surplus cash payment include performing critical and immediate repairs in excess of $250,000 at Villa Ciolino. The primary scope of work is to mitigate and repair the extensive dry rot throughout the property, followed by a full exterior painting of the property to preserve the integrity of the wood and improve the appearance of the property. The proceeds of the diverted surplus cash will go towards the extensive list of urgent capital needs, including but not limited to extensive dry rot on deck landings and staircases and exterior painting. The property currently has approximately $235,537 in replacement reserves but the dry rot repairs alone are estimated to cost $100,000, and the exterior paint is estimated to cost $150,000. EHI will cover most of the cost but is also asking for the City’s support in the amount of ($44,777), which is the amount that would normally be paid to the City as part of the 2020 annual payment from the project's surplus cash. Eden Housing has waived distribution of surplus cash owed to themselves to support the repairs needed at the property.

COMMUNITY ENGAGEMENT:

This report is intended to inform the Morgan Hill community of the recommended waiver of the 2020 surplus cash payment due to the City of Morgan Hill from Villa Ciolino Associates.

ALTERNATIVE ACTIONS:

As an alternative action, the City Council may decide not to approve the waiver of the 2020 surplus cash payment, forego the improvements to the property, and require the Partnership to repay the $44,777 debt service payment.

PRIOR CITY COUNCIL AND COMMISSION ACTIONS:

The former Morgan Hill Redevelopment Agency entered into an agreement with South County Housing for Villa Ciolino Development on December 16, 1999. Subsequently, a first amendment to the loan agreement was made and entered into on October 30, 2000. Eden Housing is now the owner and operator of all previously held South County Housing proprieties.

FISCAL AND RESOURCE IMPACT:

With execution of the waiver, the City is anticipated to forego the $44,777 loan repayment to the Housing Program and
will continue to receive future annual repayment through residual receipts for the remainder of the term, April 2054.

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9 CEQA (California Environmental Quality Act):

This project is Categorically Exempt pursuant to Section 15301 of CEQA Guidelines as proposed repairs, maintenance and minor alteration of existing facilities involving no expansion of existing use will not have a significant effect on the environment.

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22645 Grand Street | Hayward, CA 94541 | Tel: 510-582-1460 | edenhousing.org Broker License No. 872400
January 5, 2022
Rebecca Garcia
Housing Manager
17575 Peak Ave
Morgan Hill, CA 95037
Re: Villa Ciolino Associates
Villa Ciolino Apartments
2020 Annual Payment from Surplus Cash
Dear Ms. Garcia,
Villa Ciolino Associates (the “Partnership”) is the owner of Villa Ciolino Apartments, a 42-unit affordable housing complex for families originally built in 2001 located at 80 Ciolino Avenue Morgan Hill, CA 95037 (the “Property”). Eden Housing is the sponsor, developer, and property manager of the Property.

The Partnership has a loan from the City of Morgan Hill in the principal amount of $2,375,000 which bears a 4% simple interest with payments made from excess/distributable cash.

The Property currently has an extensive list of urgent capital needs, including but not limited to:
- Extensive dry rot on deck landings & staircases
- Exterior painting
The Property currently has approximately $235,537 replacement reserves but the dry rot repairs are estimated to cost $100,000 and the exterior paint is estimated to cost $150,000.

Therefore, we respectfully request the City of Morgan Hill for the following:
- A waiver of the 2020 annual payment from surplus cash of $44,777 due to the City (Eden Housing has waived distributions from surplus cash owed to Eden Housing since 2020 to support the Property)
We thank you for your continued partnership. Should you have any questions, please contact Anais Broer at (510) 461-4259 or via e-mail at [email protected].

Sincerely,
Anais Broer-Burton
Asset Manager

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