RESOLUTION NO. _________ (N.C.S.)
RESOLUTION AUTHORIZING EXECUTION OF AN AMERICAN RESCUE PLAN ACT (ARPA) GRANT FUNDING AGREEMENT WITH EDEN HOUSING, INC. FOR A PROPOSED 100% AFFORDABLE MULTIFAMILY RENTAL HOUSING PROJECT AT 855 EAST LAUREL DRIVE WHEREAS, in 2017, the City of Salinas (City) and the County of Monterey (County) began discussions on planning for the future construction and operation of a year-round Homeless Shelter and permanent supportive housing at 1220 Natividad Road; and WHEREAS, on October 9, 2018, City Council authorized the City Manager to enter into a Memorandum of Understanding (MOU) with the County and City establishing roles and responsibilities related to the development of a permanent Shelter and permanent supportive housing at 855 East Laurel Drive and 1220 Natividad Road respectively; and WHEREAS, on May 26, 2021, the permanent Shelter with navigation services known as SHARE Center opened and began services; and WHEREAS, on June 22, 2021, the City and County amended the prior MOU and agreed that the vacant County-owned site at 855 E. Laurel Drive is a preferred location for a future 100% Affordable Multifamily Rental Housing Project due to previously completed site preparation and utility work that would help facilitate the future development; and WHEREAS, on May 6, 2022, the City and County jointly released a Request for Qualifications seeking a highly qualified developer for the design and development of a 100% Affordable Multifamily Rental Housing Project for 855 E. Laurel Drive; and WHEREAS, on October 4, 2022, the City and County jointly announced to the City Council and Board of Supervisors, the selection of Eden Housing, Inc. (Developer) as the most qualified and experienced developer to pursue the 100% Affordable Multifamily Rental Housing Project at 855 E. Laurel Drive; and WHEREAS, on February 7, 2023, the Monterey County Board of Supervisors approved the execution of an Exclusive Negotiating Agreement (ENA) between the County and the Developer; and WHEREAS, in accordance with the provisions of the established City/County MOU, the City agreed to work with the County to identify federal and state funding for the proposed affordable housing project; and WHEREAS, the City Council approved Resolution 22250 appropriating $7 million from the American Rescue Plan Act (“ARPA”) to the Affordable Housing Production Fund to be used for predevelopment, acquisition, construction, plans, and studies; and WHEREAS, utilizing ARPA funds for pre-development costs related to the housing project at 855 East Laurel is an appropriate use of these funds and consistent with the City of Salinas Strategic Plan 2022-2025 goal to expand affordable housing opportunities; and WHEREAS, 855 East Laurel Drive is located on County land and the MOU designated the County as the Lead Agency in conducting the environmental review; and WHEREAS, the County expressed the desire to process entitlements for the proposed project since it is located on County property and is willing to adhere to City zoning regulations to the fullest extent possible; and WHEREAS, the Salinas Zoning Code under Section 37-10.080 normally requires land owned by Monterey County “to be subject to the regulations contained in this Zoning Code, unless otherwise provided by law”; and WHEREAS, under Section 37-10.180 of the Zoning Code, City Council has the authority to deviate from “development standards contained in this Zoning Code if it can be established that the deviation is necessary in the interest of public health and safety or is required as part of environmental mitigation.” NOW, THEREFORE, BE IT RESOLVED that the Salinas City Council hereby authorizes a one-time deviation from the City’s Zoning Code to allow the County to process entitlements for the Eden Housing, Inc. 100% Affordable Multifamily Rental Housing Project at 855 E. Laurel Drive in coordination with the City and has determined that this project is proper and in the public interest and shall not be subject to additional land use approvals, permits, or entitlements; and BE IT FURTHER RESOLVED that the Salinas City Council hereby authorizes the City Manager or designee to execute an ARPA Grant Funding Agreement with Eden Housing, Inc. in the amount of $500,000 for the pre-development cost of the 100% Affordable Multifamily Rental Housing Project at 855 E. Laurel Drive; and BE IT FURTHER RESOLVED that the Salinas City Council hereby authorizes the City Manager or designee to approve any future revisions, amendments and/or modifications to the ARPA Grant Funding Agreement provided Eden Housing Inc. is, at all times throughout the term thereof, in compliance with the terms and conditions of the ARPA Grant Funding Agreement.
PASSED AND APPROVED this 21st day of March 2023, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
APPROVED:
______________________________
Kimbley Craig, Mayor
ATTEST:
____________________________
Patricia M. Barajas, City Clerk
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