RESOLUTION HR2023-__
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NAPA, STATE OF CALIFORNIA, AUTHORIZING THE CITY MANAGER OR DEPUTY CITY MANAGER to SUBMIT AN AFFORDABLE HOUSING AND SUSTAINABLE COMMUNITIES (AHSC) grant application tO the state of california as co-applicant WITH HERITAGE HOUSING PARTNERS FOR THE CRESCENT Project LOCATED AT 2344 OLD SONOMA ROAD IN AN AMOUNT NOT TO EXCEED $50 MILLION FOR THE CONSTRUCTION OF 65 LOW-INCOME AND 47 MODERATE-INCOME DEED RESTRICTED FOR-SALE UNITS AND RELATED SUSTAINABLE TRANSPORTATION INFRASTRUCTURE AND DETERMINING THAT THE ACTIONS AUTHORIZED BY THIS RESOLUTION ARE EXEMPT FROM CEQA WHEREAS, the State of California, the Strategic Growth Council (SGC), and the Department of Housing and Community Development (Department) has issued a Notice of Funding Availability dated January 30, 2023, under the Affordable Housing and Sustainable Communities (AHSC) Program established under Division 44, Part 1 of the Public Resources Code commencing with Section 75200; and WHEREAS, Heritage Housing Partners (“Developer”), a 501(c)(3) non-profit organization based in Pasadena, California together with Community Real Estate Fund LLC (collectively, “Developer”) is in the process of seeking all land use approvals for the development of “The Crescent,” a mixed income mixed-use project, which includes 154 condominium units and eight (8) single family residential for-sale units at 2344 Old Sonoma Road in the City of Napa (the “Project”); and WHEREAS, the City of Napa and Developer desire to jointly apply for AHSC Program construction funds for the construction of the Project that will convert to subordinate equity share loans to eligible low and moderate income homeowners who purchase the affordable units in the Project, and finance the construction of certain sustainable transportation infrastructure (STI Improvements) and certain transit related amenities (TRA Improvements); and WHEREAS the AHSC application seeks up $35 million in funding for the construction of the Project and up to $15,000,000 for STI and TRA improvements as defined in the AHSC Program Guidelines dated December 15, 2022, for the Project; and WHEREAS, $35 million of the AHSC funding would be loaned to the Developer entity owning the Project for construction, and after construction is completed, the $35 million construction loan proceeds would be converted to low and moderate income subordinate homebuyer mortgages with resale restrictions for a period of at least 30 years; and WHEREAS, AHSC funding for the Project would increase the number of for-sale, deed-restricted units for households at or below 80% of Area Median Income from 25 units to 65 units, and increase the number of for-sale, deed-restricted units for households at or below 120% of Area Median Income from 23 units to 47 units; WHEREAS, the City of Napa intends to utilize the AHSC STI funds for the design and construction of bicycle and pedestrian improvements along W. Imola Avenue (from Foster Road to Freeway Drive), Old Sonoma Road (from Jefferson Street to Freeway Drive), and Walnut Street (from Old Sonoma Road to Laurel Street) and pedestrian improvements along Freeway Drive (from W. Imola Avenue to Old Sonoma Road) and S. Seymour Street, S. Montgomery Street, S. Hartson Street, Spruce Street (from S. Seymour to S. Jefferson Street), Locust Street, Hemlock Street (from S. Hartson Street to S. Jefferson Street), Webber Street, Minahen Street, Lernhart Street, and Hunt Street. The bicycle improvements include installation of Class III or Class II bicycle facilities and associated work including, but not limited to signage, striping, and pavement overlay. The pedestrian improvements include but are not limited to curb, gutter, sidewalk, curb ramps, signage, striping, and rectangular rapid flashing beacons (RRFBs); and WHEREAS, the City of Napa intends to utilize its AHSC funds to add EV Charging Stations for up to 14 vehicles and associated canopy and solar panels for those charging stations at the Senior Center on Jefferson Street; and WHEREAS, the Developer and City of Napa intend to provide AHSC funds to Napa Valley Transportation Authority for STI and TRA Improvements; and WHEREAS, the City Council has considered all information related to this matter, as presented at the public meetings of the City Council identified herein, including any supporting reports by City Staff, and any information provided during public meetings.
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Napa, as follows:
The City Council hereby finds that the facts set forth in the recitals to this Resolution are true and correct, and establish the factual basis for the City Council’s adoption of this Resolution.
2. The City Council hereby determines that the actions authorized by this Resolution are exempt from CEQA pursuant to CEQA Guidelines Section 15301 (minor alterations to existing facilities) and Section 15303 (construction and location of limited numbers of new, small facilities or structures; installation of small new equipment and facilities in small structures).
3. The City Council hereby authorizes the City Manager or Deputy City Manager to submit to the Department a joint application with the Developer, for AHSC funding in a total amount not to exceed $50,000,000 of which $35,000,000 may be requested for Affordable Housing Development and $15,000,000 may be requested for STI and TRA Improvements as defined in the AHSC Program Guidelines dated December 15, 2022, for the Project; provided however, if the application is approved, staff shall return to the City Council for acceptance of the award and approval of the terms of the construction loan to the Developer (if AHSC funds are provided by City to Developer rather than directly from the State) and second loans to the homebuyers.
4. This Resolution supersedes Resolution R2023-029 in its entirety.
5. This Resolution shall take effect immediately upon its adoption.
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the City Council of the City of Napa at a public meeting of said City Council held on the 30th day of March, 2023, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST: ________________________
Tiffany Carranza
City Clerk
Approved as to form:
_________________________
Michael W. Barrett
City Attorney
HR2023-__ Page 3 of 4 March 30, 2023
R20XX-XX Page 1 of 1 Type approved date of resolution here ATTACHMENT 1
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