Santa Ana City Council
August 6, 2024

INVESTMENT INCOME REVENUES ANALYSIS
I Investment Income Assumptions
Investment Period for Recurring Non-Interest General Fund Revenues 1 Month Local Agency Investment Fund (LAIF) Rate of Return [1] 2.06% Local Agency Investment Fund (LAIF) Percentage of Earnings Cost [1] 50.00% I Fiscal Impact Category Annual Fiscal Impact Amount
Total Property Tax Revenues (Appendix A-4) $379,335
Total Sales Tax Revenues (Appendix A-5) $2,066
Total Utility User's Tax Revenues (Appendix A-6) $24,439 Total Multiplier Revenues (Appendix A-7) $54,177
II Projected Recurring General Fund Revenues Available for Investment $460,017 III Plus: Investment Income (Less Earnings Cost) $395
IV Total Recurring General Fund Revenues $460,412
NOTES:
[1] Estimate. Subject to change.
* All figures subject to rounding
Assumptions
Fiscal Impact Calculation
City Council 28 – 554 8/6/2024
APPENDIX A-9
SANTA ANA, CALIFORNIA: SOUTH COAST TECHNOLOGY CENTER

MULTIPLIER EXPENDITURES ANALYSIS
I Expenditure Category Multiplier Factor [1] Expenditure Projection Basis Police Department $396.34 Persons Served
Fire Department $152.49 Persons Served
Public Works $135.19 Persons Served
Park, Recreation & Community Services $34.90 Persons Served Community Development $14.20 Persons Served
Library $16.96 Persons Served
Museum $3.84 Persons Served
I Fiscal Impact Category Annual Fiscal Impact Amount
Police Department $84,420
Fire Department $32,480
Public Works $28,795
Park, Recreation & Community Services $7,434
Community Development $3,025
Library $3,612
Museum $818
II Total Multiplier Expenditures $160,584
NOTES:
[1] Based on the City of Santa Ana Proposed Budget, Fiscal Year 2023-2024. * All figures subject to rounding
Multiplier Expenditure Assumptions
Fiscal Impact Calculation
City Council 28 – 555 8/6/2024
APPENDIX A-10
SANTA ANA, CALIFORNIA: SOUTH COAST TECHNOLOGY CENTER

GENERAL GOVERNMENT EXPENDITURES ANALYSIS
I General Government Overhead Expenditures
Total Recurring Fund Expenditures (excluding General Government Overhead) [1] $283,824,980 Recurring General Government Overhead Expenditures (as a % of Total Recurring Fund Expenditures) [2] 34.9% Marginal Increase in General Government Costs 75%
I Fiscal Impact Category Annual Fiscal Impact Amount
Total Multiplier Expenditures (Appendix A-9) $160,584
II Projected Recurring General Fund Expenditures $160,584 III Plus: General Government Costs $42,092
IV Total Recurring Expenditures $202,676
NOTES:
[1] Based on the City of Santa Ana Propsed Budget, Fiscal Year 2023-2024. [2] General Government Overhead Expenditures defined as costs for Legislative, Administration, Finance, Development Services, and other General Government.
* All figures subject to rounding
Assumptions
Fiscal Impact Calculation
City Council 28 – 556 8/6/2024
18201 VON KARMAN AVENUE, SUITE 220
IRVINE, CA 92612
PHONE: (800) 969-4DTA
Public Finance
Public-Private Partnerships
Development Economics
Clean Energy Bonds
www.FinanceDTA.com
City Council 28 – 557 8/6/2024
Irvine | San Jose | San Francisco | Riverside
Dallas | Houston | Raleigh | Tampa

www.FinanceDTA.com
Public Finance
Public-Private Partnerships
Development Economics
Clean Energy Bonds

ECONOMIC IMPACT STUDY
EPD SOLUTIONS, INC.

PROPOSED SOUTH COAST TECHNOLOGY

CENTER PROJECT

CITY OF SANTA ANA, CA
May 13, 2024
City Council 28 – 558 8/6/2024
www.FinanceDTA.com 18201 Von Karman Avenue, Suite 220
Irvine, CA 92612
EPD SOLUTIONS, INC.

ECONOMIC IMPACT STUDY

PROPOSED SOUTH COAST TECHNOLOGY CENTER

PROJECT

CITY OF SANTA ANA, CA
Prepared for:

EPD Solutions, Inc.
3333 Michelson Drive, Suite 500
Irvine, CA 92612
Attention: Meaghan Truman

City Council 28 – 559 8/6/2024
TABLE

OF CONTENTS

SECTION PAGE
I EXECUTIVE SUMMARY ................................................... 2 II INTRODUCTION .............................................................. 6 A Purpose of the Study .......................................................... 6 B Description of the Project ................................................. 7 C Approach to the Study ....................................................... 7 D Study Limitations .............................................................. 10

III RECURRING ANNUAL AND ONE-TIME ECONOMIC
IMPACTS ......................................................................... 11 A Description of the Annual Recurring Impacts of the
Project ................................................................................. 11 B Description of the One-Time Construction Impacts of
the Project .......................................................................... 16 IV PROJECT IMPACTS ON THE CITY’S
JOBS-HOUSING BALANCE ......................................... 20

APPENDICES

APPENDIX A ANNUAL RECURRING ECONOMIC

IMPACTS OF THE PROJECT

APPENDIX B ONE-TIME ECONOMIC IMPACTS OF

THE PROJECT

City Council 28 – 560 8/6/2024
2 SECTION I

EXECUTIVE SUMMARY
South Coast Technology Center Project May 13, 2024
Economic Impact Study
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I EXECUTIVE SUMMARY
The objective of this Economic Impact Study (the “Study”) is to analyze the economic impacts of the proposed industrial use development known as South Coast Technology Center (the “Project”) within the City of Santa Ana (the “City”) in the County of Orange (“County”), California.

This Executive Summary provides a general overview of the Study’s conclusions regarding the economic impact of the Project on the City and the County. Overall, the Project is anticipated to add 687 permanent new jobs (425 on-site and 262 offsite) within the City. The Project would also provide 555 one-time jobs associated with its construction. Notably, the Project would deliver a substantial boost to the City’s economy, with the production of goods and services increasing by $256.1 million annually. This growth in jobs and economic output would have a positive impact on the City as it would expand its economic base, thereby providing a strong foundation for the City’s continued economic growth and fiscal health.

A Description of the Project
The Project location, as depicted in Figure 1 below, is generally comprised of two separate sites located on both sides of Susan Street in the City, with the one on the east side currently developed with three existing office buildings located at 3100, 3110, and 3120 West Lake Center Drive, and the one on the west side encompassing approximately

5.58 acres of vacant land. The entire Project site is located within the City Specific Development No. 58 (“SD-58”) zoning district, with the permissible land uses of the commercial/retail uses and professional and business offices.

Figure 1: Aerial Map for the Project Site
The Project Proponent is proposing to demolish the existing office buildings and appurtenant infrastructure on the Project site, and amend the permissible uses of SD-58 for the Project site to include limited light industrial uses (“LLIUs”), including but not limited to product assembly, the manufacture of biological, biomedical, and pharmaceutical products, the manufacture of scientific, engineering, and medical City Council 28 – 561 8/6/2024
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instruments, wholesale, warehousing, machine and other metal working shops, and research laboratories.

As illustrated in Figure 2 and presented in Table 1 on the following page, the Project site is proposed to be redeveloped with three buildings encompassing approximately 313,244 building square feet (“BSF”) of LLIU space.

Figure 2: Proposed Project Site Plan
B Overview of Economic Impact Analysis
This Study identifies the general economic impacts of the Project on the County and City.

Economic impact studies operate under the basic assumption that any increase in spending resulting from a development project has direct, indirect, and induced economic effects. First, there is a direct impact caused by the additional output of goods or services on-site. Second, there are a ripple of indirect impacts on all the industries whose outputs are used by firms located within the Project and various firms’ supply chains. Third, there are induced impacts that arise when employment increases in the region and stimulates greater household spending.

In evaluating these economic impacts, the Study incorporates two stages of the development process: (i) construction and (ii) recurring operations. First, there is a onetime impact from the construction of the various types of land uses within the Project.

Then, after the construction and tenant improvement phases are complete, the Study determines the magnitude of the permanent annual recurring impact on the economy through the ongoing operations of the development that has occurred on the Project site.

City Council 28 – 562 8/6/2024
4 SECTION I

EXECUTIVE SUMMARY
South Coast Technology Center Project May 13, 2024
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DTA used the web application of the Impact Analysis for Planning (“IMPLAN”) economic modeling system for its analysis. IMPLAN is a nationally recognized input-output model that can be used to estimate the impacts of new development on the economy through the use of an economic multiplier analysis that is applied to individual counties (e.g., Orange County). The economic multipliers are based on a proprietary model that inputs a series of extensive databases, local economic factors, and demographic statistics. A more detailed discussion regarding the IMPLAN model, as well as the conclusions described in this Executive Summary and assumptions and methodology utilized to reach these conclusions, may be found in Sections II-IV of the Study.

C Recurring Economic Impacts of the Project
As shown in Table 1, the annual recurring economic impacts of the Project on the City will be substantial. First, the Project is anticipated to create 425 permanent Full-Time Equivalent (“FTE”) jobs on-site. In addition, the Project is expected to generate 262 permanent recurring indirect and induced full-time/part-time jobs off-site within the City, for a total of 687 jobs. As the City’s total current workforce consists of 141,545 employees, FTE and part-time employees holding these additional jobs will constitute a 0.49% increase in the size of the City’s current workforce. The total Labor Income associated with these new jobs will equal $63.1 million generated annually directly on-site, plus $22.4 million off-site Citywide, for a total increase in Labor Income of $85.5 million annually within the City. Finally, adding in $54.0 million in Other Value-Added revenues and $116.5 million in Intermediate Inputs yields a total recurring Citywide economic output of $256.1 million per year from the Project, which represents a considerable boost to the City’s economy.

Table 1: Project’s Total Recurring Annual Impacts on the City Recurring Annual Impacts Direct Indirect/Induced Total
Employment 425 262 687
Overall Economic Output $195,213,681 $60,921,643 $256,135,324 Labor Income $63,120,866 $22,420,892 $85,541,758
Other Value Added $38,616,322 $15,432,424 $54,048,746
Intermediate Inputs $93,476,494 $23,068,326 $116,544,820 Note: All numbers are subject to rounding.

D One-Time Economic Impacts of the Project
Similarly, as reflected in Table 2 below, the one-time economic impacts from the construction of the Project on the City will also be significant. First, the Project is anticipated to create 457 FTE construction jobs on-site. In addition, the Project is expected to generate 98 indirect and induced full-time/part-time jobs off-site within the City, for a total of 555 one-time jobs within the City. The total Labor Income associated with these added employees will equal $38.0 million directly on-site, plus $7.3 million off-site but within the City, for a total increase in Labor Income of $45.3 million Citywide City Council 28 – 563 8/6/2024
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on a one-time basis. Finally, adding in $6.9 million in Other Value-Added revenues and $32.4 million in Intermediate Inputs yields a total one-time Citywide economic output for the Project of $84.66 million, which represents a considerable boost for construction within the City. Notably, the one-time construction output represents the aggregate outputs generated during the overall Project construction period, which could span over more than one year.

Table 2: Project’s One-Time/Construction Impacts on the City One-Time/Construction Impacts Direct Indirect/Induced Total Employment 457 98 555
Overall Economic Output $63,500,000 $21,159,774 $84,659,774 Labor Income $38,002,669 $7,346,977 $45,349,646
Other Value Added $1,126,141 $5,802,880 $6,929,022
Intermediate Inputs $24,371,189 $8,009,916 $32,381,106
Note: All numbers are subject to rounding.

E Jobs-Housing Balance
The jobs-housing balance is an indicator of the relative equilibrium between employment and housing opportunities in a given area. A positive balance between jobs and housing has a beneficial impact on a municipality by decreasing costs associated with commuting and traffic congestion. It also reduces commute times, improves local social, cultural and family involvement, provides a more attractive work/life balance to residents, and generates savings to local public agencies in terms of the need to construct and maintain new road improvements and other facilities.

As reflected below in Table 3, the City’s current ratio of jobs within the City as compared with the number of housing units Citywide is 1.725, exceeding the Statewide average of 1.260. The addition of 687 new jobs through the construction of the Project would increase this ratio to 1.733. A more detailed explanation of this metric is included in Section IV of this Study.

Table 3: Pre-Project and Post-Project Jobs-Housing Balance Description Citywide Average Statewide
Pre-Project Post-Project Average
Number of Jobs 141,5451 142,232 18,537,400
Number of Housing Units 82,058 82,058 14,707,698
Existing2 82,058 82,058 14,707,698
New N/A 0 0
Jobs-Housing Balance 1.725 1.733 1.260
1 Spotlight by Environics Analytics, Employment Profiles by NAICS Code 2023. 2 Labor Market Information Division, State of California Employment Development Department.

City Council 28 – 564 8/6/2024
6 SECTION II

INTRODUCTION
South Coast Technology Center Project May 13, 2024
Economic Impact Study
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II INTRODUCTION
A Purpose of the Study
The objective of this Economic Impact Study (the “Study”) is to analyze the economic impacts of the proposed industrial use development known as South Coast Technology Center (the “Project”) within the City of Santa Ana (the “City”) in the County of Orange (the “County”), California.

This Study identifies the general economic impacts of the Project on the County and City.

General economic impacts include additions to the County’s and City’s employment (number of average annual full-time and part-time jobs), economic output (e.g., gross receipts), and earnings (the sum of wages, salaries and benefits, and other labor income).

Economic impact studies also operate under the basic assumption that any increase in impacts has direct, indirect, and induced effects as illustrated in Figure 3 below. First, there is a direct effect caused by the additional output of goods or services on-site.

Second, there is a ripple of indirect effects on all the industries whose outputs are used by firms located within the Project and various firms’ supply chains. Third, there are induced effects that arise when employment increases in the region and stimulates greater household spending.

Figure 3: Direct, Indirect, and Induced Impacts
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The Study also distinguishes between one-time economic impacts and permanent economic impacts. One-time impacts include benefits to the community that occur on a non-recurring basis as a result of construction and development activity, while permanent recurring impacts refer to benefits that occur on a continuous basis year after year once the Project has been build-out. Generally, first, there is a one-time impact from the construction of the facility. Then, after the construction phases are complete, firms have a recurring impact on the economy through their ongoing operations. Additionally, for the purposes of the Study, all economic impacts are stated in constant 2024 (uninflated) dollars based on the assumption that the relative impacts of inflation in future years may be difficult to gauge.

B Description of the Project
The Project location delineated in Figure 1, which may be found in the Executive Summary of this Study, is generally comprised of two separate sites located on both sides of Susan Street in the City, with the one on the east side currently developed with three existing office buildings located at 3100, 3110, and 3120 West Lake Center Drive, and the one on the west side encompassing approximately 5.58 acres of vacant land. The entire Project site is located within the City Specific Development No. 58 (“SD-58”) zoning district, with the permissible land uses of commercial/retail uses and professional and business offices.

The Project Proponent is proposing to demolish the existing office buildings and appurtenant infrastructure on the Project site, and amend the permissible uses of SD-58 for the Project site to include limited light industrial uses (“LLIUs”), including but not limited to product assembly, the manufacture of biological, biomedical, and pharmaceutical products, the manufacture of scientific, engineering, and medical instruments, wholesale, warehousing, machine and other metal working shops, and research laboratories. A summary of the proposed land uses and their respective associated BSF in the Project is listed below in Table 4 and depicted in Figure 2 in the Executive Summary of this Study.

Table 4: Proposed Land Uses for the Project
Land Uses Building Square Feet
Industrial Building 1 112,230
Industrial Building 2 121,645
Industrial Building 3 79,369
Grand Total 313,244
For purposes of this Study, Industrial Buildings 1 and 2 are assumed to be occupied by tenants in the Surgical and Medical Instrument Manufacturing sector, while Building 3 is assumed to house a tenant in the Electromedical and Electrotherapeutic Apparatus Manufacturing sector. Both manufacturing sectors have prominent employment bases in the County and are permissible LLIUs. The City and Project proponent have deemed City Council 28 – 566 8/6/2024
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INTRODUCTION
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those uses to be feasible on the Project site. However, since the Project proponent is constructing all three buildings on a speculative basis, the building uses presented in this Study are preliminary and cannot be guaranteed by the Project proponent or the City.

C Approach to the Study
The Study distinguishes between one-time impacts and permanent impacts. In evaluating these impacts, the Study quantifies both direct and indirect/induced economic impacts on the County and City. Direct economic impacts reflect the initial or first-round increases in jobs, earnings, and output, all of which occur directly on-site.

Indirect/induced economic impacts are the secondary and other additional rounds of economic activity that occur as a result of the direct impacts and generally take place elsewhere within the County and City. The indirect impacts represent the economic activity, specifically the buying and selling of goods and services, of suppliers to the Project land use types analyzed. In this Study, suppliers to the Project consist primarily of wholesalers, maintenance and repair professionals, utilities’ providers, real estate services, and employment and business support services.

One-time impacts include benefits to the County and City that occur on a non-recurring basis as a result of construction and development activity, while permanent impacts refer to benefits that occur on a continuous basis year after year. The suppliers representing the indirect one-time impacts are mainly heavy industrial and construction suppliers for the actual development of buildings and facilities. The induced impacts represent the economic activity that results from household spending by employees of all companies directly and indirectly affected by the construction and operation of the land uses analyzed in this Study.

For the purposes of determining impacts, the Study employs two standards that are frequently utilized in economic impact studies, as detailed below.

C.1 North American Industry Classifications
Indirect and induced impacts can occur throughout all industries of the economy and have been categorized using the North American Industry Classification System (“NAICS”). Adopted by the Office of Management and Budget (“OMB”) in 1997 to replace the Standard Industrial Classification (“SIC”) System, NAICS is a widely used system that classifies business establishments for the collection, analysis, and publication of statistical data in Canada, Mexico, and the United States. NAICS industries are identified using a 6-digit coding system to classify all economic activity into 20 broad sectors, five of which are mainly goods-producing sectors and 15 of which are services-producing sectors. This 6-digit hierarchical structure allows for the identification of nearly 1,170 industries.

IMPLAN employs a sectoring scheme representing rollups of NAICS descriptions, with each sector having its own spending pattern derived from the U.S. Bureau of City Council 28 – 567 8/6/2024
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INTRODUCTION
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Economic Analysis’ expenditures patterns. The Electromedical and Electrotherapeutic Apparatus Manufacturing Sector and Surgical and Medical Instrument Manufacturing Sector are the focal IMPLAN sectors analyzed within this Study to determine the indirect and induced economic impacts generated by the Project.

C.2 IMPLAN Multipliers
Although most economists agree that indirect and induced effects, or “multiplier” effects, exist, most economists also concur that such effects are difficult to measure. Patterns of spending and employment among suppliers and employee households often vary over time and from one region to another. Nevertheless, there are certain input-output models that can be used to estimate indirect and induced effects.

In quantifying the indirect and induced economic impacts for the Study, DTA utilized the IMPLAN input-output modeling system, a type of quantitative economic model that provides an approximate measure of the “multiplier effect” of a firm’s spending on payroll and the purchasing of goods and services. DTA used the web application of the IMPLAN economic modeling system with economic data from 2022 for the County (“IMPLAN Study Model”).

Like similar econometric models, IMPLAN helps calculate the flow of payments for goods and services across different industry sectors and between households and industries. Unlike similar econometric models, e.g., the Regional Input-Output Modeling System (“RIMS II”), IMPLAN is the industry standard. RIMS II and IMPLAN both include induced effects, but RIMS II differs from IMPLAN in two ways.

Specifically, RIMS II uses a single household type for induced personal consumption and employs the traditional single row/column Type II formulation, whereas IMPLAN uses nine (9) household types and applies a more robust mapping of factor income to household consumption using several submatrices.

RIMS II also uses location quotients to regionalize the national technical coefficients, a method that underestimates inter-regional trade and overestimates regional multipliers when cross-hauling is present.

The IMPLAN model can be envisioned simply as a large spreadsheet with hundreds of industries (plus the household sector) arrayed across the top as producers and the same industries and households listed down the side as consumers. Each million dollars (output) in spending by any one consumer (i.e., the Project) is allocated across the producing industries from which it buys goods and services. These producing industries, in turn, spend money buying goods and services from their own distinct sets of suppliers. Thus, the IMPLAN multiplier model allows one to gauge the effect on each dollar expended by an industry as it diffuses through a regional economy. Furthermore, it allows one to translate the overall regional impact of spending into jobs and employee City Council 28 – 568 8/6/2024
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INTRODUCTION
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compensation. Please refer to Figure 4 for a graphical representation of the multiplier effect. The multiplier factors available to determine indirect/induced impacts are intended to reflect impacts for entire areas within the County.

Figure 4: Multiplier Effect of Project Expenditures
Source: Northern Economics, Inc. 2011.

D Study Limitations
The economic models in the Study contain an analysis of revenues and impacts to the County and City resulting from the Project. These models are based on information provided to DTA by the Project proponent, certain assumptions taken from DTA’s proprietary databases as compiled from previous studies prepared by the firm, Spotlight by Environics Analytics, and Internet research performed by DTA regarding various industries. The sources of information and basis of the estimates calculated in the Study are stated herein. While DTA is confident that the sources of information are reliable, DTA does not express an opinion or any other form of assurance on the accuracy of such information. The analysis of economic impacts contained in this report is not considered to be a “financial forecast” or “financial projection” as technically defined by the American Institute of Certified Public Accountants. The word “projection” used within this report relates to broad expectations of future events or market conditions. Since the analyses contained herein are based on estimates and assumptions that are inherently subject to uncertainty and variation depending on evolving events, DTA cannot represent that such estimates will be achieved. Some assumptions inevitably will not materialize, and unanticipated events and circumstances may occur. Therefore, the actual results achieved may vary from the projections stated throughout the Study.

City Council 28 – 569 8/6/2024
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RECURRING ANNUAL AND ONETIME ECONOMIC IMPACTS
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III RECURRING ANNUAL AND ONE-TIME ECONOMIC IMPACTS
As noted previously, the Study identifies the general impacts on the County and City economy that would result from the construction of the Project and quantifies these impacts wherever possible. General economic impacts include additions to the County’s and City’s employment (number of average annual full-time and part-time jobs), economic output (e.g., gross receipts), and earnings (the sum of wages, salaries and benefits, and other labor income). The Study also distinguishes between one-time economic impacts and permanent economic impacts. One-time impacts include benefits to the community that occur on a non-recurring basis as a result of construction and development activity, while permanent recurring impacts refer to benefits that occur on a continuous basis year after year.

A Description of the Annual Recurring Impacts of the Project A.1 Employment
“Employment” follows the same definition as the U.S. Bureau of Economic Analysis’ regional economic accounts and U.S. Bureau of Labor Statistics’ Census of Employment and Wages data, which is the full-time/part-time annual average. Thus, one (1) job lasting 12 months is equivalent to two (2) jobs lasting 6 months each or four (4) jobs lasting 3 months each. In terms of a typical IMPLAN analysis, a job that lasts 6 months would be considered ½ (0.50) of a job, while one that lasts 3 months would be considered ¼ (0.25) of a job. Notably, IMPLAN’s analysis normally includes both FTE jobs and part-time jobs, which overstates the number of FTE jobs generated by a development project. In order to compensate for that factor, DTA applies a discounting factor provided by IMPLAN that varies by industry and can be used to reduce the number of direct jobs generated by IMPLAN in our Study so that it represents the equivalent of the number of FTE direct jobs.

The indirect and induced full-time/part-time job estimates for the Project were derived utilizing the IMPLAN Study Model. While the specific location of the additional indirect jobs created within the County cannot be definitively determined, experience and modeling indicate that a large percentage of these jobs will be support service jobs. These jobs are also likely to be located close to the Project and, therefore, within the County itself, with an estimated 50% of those jobs to be located within the City. Similarly, the Project’s jobs will lead to more consumer spending by employees in existing retail establishments within the County and City, as well as new retail development that will be attracted to the County and City as a result of this spending. Job creation also results in increased tax revenues to the County and City through increased property taxes and sales taxes related to this new development.

However, because of potential differences in the timing of the build-out of the Project, the number of employees summarized above will likely not be realized at City Council 28 – 570 8/6/2024
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the same time. Notably, it is possible that the build-out of the Project will occur over more than one year and the demand for some elements of the Project may fluctuate over time.

DTA estimated the number of direct employees at the Project’s build-out based upon the 737 Square Feet per Employee (“SF/E”) factor provided by the Project Proponent.

Based on several data sources that provided this type of data for similar land uses, DTA deemed this metric to be appropriate for the Project.

Simply put, the Project will contribute to the creation of new jobs in the County and City. As reflected in Figure 5 and Table 5, the development of the Project is forecasted to generate approximately 425 estimated new recurring permanent on-site FTE jobs within the County and City annually. In addition to these on-site employment opportunities, DTA estimates that the Project will generate new off-site jobs in all industries of the County’s and City’s economy that constitute the indirect/induced employment impacts of the Project. A total of 240 permanent indirect jobs and 284 induced jobs are expected to be created in the County, with 120 of those indirect jobs and 142 of those induced jobs occurring within the City.

As described previously, indirect jobs are those that are located off-site but are necessary to support the Project by providing goods and services to on-site businesses. Induced jobs are those that result from the expenditures made by the employees working directly or indirectly on-site within the Project.

Table 5: Project’s Recurring Annual Employment Impact Conclusions Land Use BSF SF/E
Recurring Annual Employment Impacts
Direct
Indirect3 Induced3 Total
County City4 County City4 County City4
Industrial
Building One 112,230 737 152 72 36 89 45 313 233
Industrial
Building Two 121,645 737 165 78 39 97 48 340 253
Industrial
Building Three 79,369 737 108 89 45 98 49 295 202
Grand Total 313,244 N/A 425 240 120 284 142 949 687
Note: All numbers are subject to rounding.
3 The IMPLAN Study Model outputs are based on the number of direct employees. 4 Assumes 50% of the indirect/induced jobs generated in the County will be created within the City.

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Figure 5: Annual Recurring Jobs Generated by the Project 0 100
200
300
400
500
600
700
800
900
1,000
County City
425 425
240
120
284
142
Direct Indirect Induced
The indirect and induced job estimates for the Project were derived utilizing the IMPLAN Study Model. While the specific location of the additional indirect jobs created within the County cannot be definitively determined, experience and modeling indicate that a large percentage of these jobs will be support service jobs.

These jobs are also likely to be located close to the Project and therefore, within the City itself. Similarly, the Project’s jobs will lead to more consumer spending by employees in existing retail establishments within the City and County, as well as new retail development that will be attracted to the City and County as a result of this spending. Job creation also results in increased tax revenues to the City and County through increased property taxes and sales taxes related to this new development.

However, as a result of potential differences in the timing of the build-out of the Project, the number of employees summarized above will likely not be realized at precisely the same time. Notably, it is estimated that the build-out of the Project will occur over several years, as the demand for some elements of the Project may fluctuate over time.

A.2 Total Economic Output
“Total Economic Output” represents the total value of all goods and/or services produced throughout a designated economy during a specified period of time, including Labor Income, Other Value Added, and the cost of Intermediate Inputs.

Each of these components are defined below.
“Labor Income” includes employee compensation (wages and benefits) and payments received by self-employed individuals and unincorporated City Council 28 – 572 8/6/2024
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business owners. The Quarterly Census of Employment and Wages (“CEW”) published by the Bureau of Labor Statistics is the primary source of employment and income data for IMPLAN.
“Other Value Added” encompasses other property income, such as the consumption of capital investment, profits, royalties, dividends, interest impacts, and taxes on production and imports. The primary sources of Other Value Added are taxes on production and imports net of subsidy and Gross Operating Surplus (“GOS”) data at the 3-digit NAICS level released by the Bureau of Economic Analysis.
“Intermediate Inputs” include purchases of non-durable goods and services used for the production of other goods and services within a project, rather than for final consumption. Intermediate Inputs equal the Total Economic Output minus the sum of Labor Income and Other Value Added.

Total Economic Output within the City and County will increase substantially as a result of the development of the Project and can be estimated based on the different types of development projected to occur. As previously stated, this Study analyzes direct, indirect, and induced impacts. With regard to direct impacts, the economic output reflects the initial or first-round increases in the total value of all goods and/or services produced (total spending/gross receipts, plus the Labor Income listed in Table 6 and other incomes/taxes), all of which occur directly on the Project site.

Indirect/induced economic impacts are the secondary and other additional rounds of economic activity that occur due to the direct output impacts and can take place outside of the boundaries of the Project site. The indirect impacts represent economic activity, specifically the buying and selling of goods and services, of suppliers and/or supporting businesses. The induced impacts represent economic activity that results from household spending by employees of all companies directly and indirectly affected by the Project. Please refer to Figure 3 for a graphical representation of the indirect and induced effects.

The generation of 949 new jobs in the County will increase the payrolls collected by County and City residents who are holding these jobs, which were estimated utilizing the IMPLAN Study Model. As summarized in Table 6 and listed in detail in Appendix A, the jobs to be generated by the Project will provide Labor Income ranging from an average of $133,608 per year for Surgical and Medical Instrument Manufacturing Sector jobs in Buildings 1 and 2 to an average of $192,289 per year for Electromedical and Electrotherapeutic Apparatus Manufacturing Sector jobs in Building 3. This would result in an average income of $148,520 per direct FTE employee on-site and an average Labor Income of $124,541 per job if we also include both indirect and induced jobs. Total aggregate Labor Income paid to all direct, indirect, and induced employees for the Project will equal $108.0 million within the County, with $85.5 million of the income generated within the City. The total direct City Council 28 – 573 8/6/2024
15 SECTION III
RECURRING ANNUAL AND ONETIME ECONOMIC IMPACTS
`
South Coast Technology Center Project May 13, 2024
Economic Impact Study
www.FinanceDTA.com
Labor Income generated by the Project on-site is anticipated to be $63.1 million.

Table 6: Annual Recurring Labor Income Generated by the Project Municipality Direct Indirect Induced Total
County $63,120,866 $25,448,599 $19,393,185 $107,962,650 City5 $63,120,866 $12,724,299 $9,696,592 $85,541,758
Note: All numbers are subject to rounding.

The IMPLAN Study Model also includes algorithms that forecast the Other Value Added and Intermediate Inputs to be generated by the Project. As reflected in Tables 7 and 8, DTA has estimated that the Project’s direct and indirect/induced economic outputs total $317.1 million for the County and $256.1 million for the City. As summarized in Table 8 and Figure 6, and listed in detail in Appendix A, the total direct economic output generated by the Project on-site is anticipated to be $195.2 million.

Table 7: Project’s Total Annual Recurring Impacts (County) Recurring Annual Impacts Direct Indirect/Induced Total
Overall Economic Output $195,213,681 $121,843,286 $317,056,967 Labor Income $63,120,866 $44,841,784 $107,962,650
Other Value Added $38,616,322 $30,864,849 $69,481,171
Intermediate Inputs $93,476,494 $46,136,653 $139,613,146 Note: All numbers are subject to rounding.

Table 8: Project’s Total Annual Recurring Impacts (City) Recurring Annual Impacts Direct Indirect/Induced Total
Overall Economic Output $195,213,681 $60,921,643 $256,135,324 Labor Income $63,120,866 $22,420,892 $85,541,758
Other Value Added $38,616,322 $15,432,424 $54,048,746
Intermediate Inputs $93,476,494 $23,068,326 $116,544,820 Note: All numbers are subject to rounding.
5 Assumes 50% of the indirect/induced Labor Income generated in the County will be created within the City.

City Council 28 – 574 8/6/2024
16 SECTION III
RECURRING ANNUAL AND ONETIME ECONOMIC IMPACTS
`
South Coast Technology Center Project May 13, 2024
Economic Impact Study
www.FinanceDTA.com
Figure 6: Annual Recurring Economic Output Generated by the Project $0
$50
$100
$150
$200
$250
$300
$350
County City
$195.2 $195.2
$66.1
$33.1
$55.7
$27.9
Millions
Direct Indirect Induced
B Description of the One-Time Construction Impacts of the Project As was the case for annual recurring economic impacts, one-time impacts generate one-time non-recurring increases in the County’s and City’s employment rates (number of full-time and part-time jobs), economic output (e.g., gross receipts), and earnings (the sum of wages, salaries and benefits, and other labor income). The difference is that one-time impacts include economic benefits to the community that occur on a non-recurring basis as a result of construction and development activity.

B.1 One-Time Employment
According to the IMPLAN Study Model, development of the Project is also projected to create 457 estimated one-time FTE construction-related jobs on-site and 196 one-time indirect and induced full-time/part-time jobs off-site in the County, with 98 of those jobs within the City, for a total of 653 and 555 one-time jobs within the County and City, respectively. Table 9 and Figure 7 below, as well as Appendix B, summarize the projected increases in one-time employment that are generated from the construction of the Project land uses.

Table 9: Project’s One-Time Construction and Development Employment Municipality Direct Indirect Induced Total
County 457 53 143 653
City6 457 26 72 555
Note: All numbers are subject to rounding.
6 Assumes 50% of the indirect/induced jobs generated in the County will be created within the City.

City Council 28 – 575 8/6/2024
17 SECTION III
RECURRING ANNUAL AND ONETIME ECONOMIC IMPACTS
`
South Coast Technology Center Project May 13, 2024
Economic Impact Study
www.FinanceDTA.com
Figure 7: Project’s One-Time Construction and Development Employment 0 100
200
300
400
500
600
700
County City
457 457
53 26
143
72 Direct Indirect Induced
B.2 One-Time Labor Income
One-time construction and development costs will also have multiplier effects on the economy, thereby generating one-time increases in Labor Income from the construction of the site infrastructure improvements and non-residential buildings.

The average Labor Income is $83,157 per direct FTE job on-site, with an average Labor Income of $81,699 per job including both indirect and induced jobs. Table 10 and Figure 8 below, as well as Appendix B, summarize the projected increases in Labor Income generated from the construction of the Project land uses.

Table 10: Project’s One-Time Construction and Development Labor Income Municipality Direct Indirect Induced Total
County $38,002,669 $4,912,090 $9,781,864 $52,696,624
City7 $38,002,669 $2,456,045 $4,890,932 $45,349,646
Note: All numbers are subject to rounding.
7 Assumes 50% of the indirect/induced Labor Income generated in the County will be created within the City.

City Council 28 – 576 8/6/2024
18 SECTION III
RECURRING ANNUAL AND ONETIME ECONOMIC IMPACTS
`
South Coast Technology Center Project May 13, 2024
Economic Impact Study
www.FinanceDTA.com
Figure 8: Project’s One-Time Construction and Development Labor Income $0
$10
$20
$30
$40
$50
$60
County City
$38.0 $38.0
$4.9 $2.5
$9.8
$4.9
Millions
Direct Indirect Induced
B.3 One-Time Total Economic Output
According to the IMPLAN Study Model, the development of the Project is also projected to generate one-time increases of $105.82 million in Total Economic Output from the construction and development of the site infrastructure improvements and non-residential buildings within the County, with increases of $84.66 million in Total Economic Output within the City. Table 11 and Figure 9 below, as well as Appendix B, summarize the projected increases in total one-time economic output generated from the construction and development of the Project land uses.

Table 11: Project’s One-Time Construction and Development Total Economic Output Municipality Direct Indirect Induced Total
County $63,500,000 $14,235,907 $28,083,641 $105,819,548 City8 $63,500,000 $7,117,954 $14,041,820 $84,659,774
Note: All numbers are subject to rounding.
8 Assumes 50% of the indirect/induced economic outputs generated in the County will be created within the City.

City Council 28 – 577 8/6/2024
19 SECTION III
RECURRING ANNUAL AND ONETIME ECONOMIC IMPACTS
`
South Coast Technology Center Project May 13, 2024
Economic Impact Study
www.FinanceDTA.com
Figure 9: Project’s One-Time Construction and Development Total Economic Output $0
$20
$40
$60
$80
$100
$120
County City
$63.5 $63.5
$14.2 $7.1
$28.1
$14.0
Millions
Direct Indirect Induced
City Council 28 – 578 8/6/2024
20 SECTION V
PROJECT IMPACTS ON THE CITY’S

JOBS-HOUSING BALANCE
South Coast Technology Center Project May 13, 2024
Economic Impact Study
www.FinanceDTA.com
IV PROJECT IMPACTS ON THE CITY’S JOBS-HOUSING BALANCE
As stated previously, the Project is estimated to create approximately 425 new on-site permanent recurring FTE jobs and DTA approximates that an additional 262 new off-site indirect and induced permanent recurring full-time/part-time jobs will be created Citywide.

This results in a jobs-housing balance calculation wherein the numerator (i.e., number of jobs) increases, while the denominator (i.e., number of housing units located in the City) remains the same.

The jobs-housing balance is an indicator of the balance between employment and housing opportunities in a given area. To a large degree, the jobs available in a community should adequately represent the skills of the community’s labor force. Housing prices/locations should also be suited to the budgets of the workers within that community. However, defining what constitutes a “balance” is not an easy task due to variations in local and regional economies and housing patterns, e.g., what indicates “balance” in the City might not be similarly appropriate in other parts of the State.

A positive balance between jobs and housing has a beneficial impact on the City by decreasing costs associated with commuting and traffic congestion. A balanced jobs-housing ratio also provides, inter alia, reduced commute times, improved social and cultural involvement, a more attractive work/life balance to residents, and savings to local public agencies in terms of the need to construct and maintain new road improvements and other facilities. For example, any decrease in transportation facility costs experienced by local public agencies will enable these agencies to invest their tax proceeds in other facilities that can improve the quality of life within the City, such as libraries, recreational projects, and other community amenities.

All these factors enhance the City’s economic well-being and that of the residents of the City, a portion of whom will find work within the Project. Notably, the change in the City’s jobs-housing balance will be mitigated by an influx of residents to the City who currently live elsewhere but might move to the City in order to live closer to the new jobs generated directly or indirectly by the Project. However, this in turn would increase the City’s labor force and provide new consumers who will support existing and new businesses in the City that will provide them with the necessary goods and services. The positive impact of an increase in the City’s jobs-housing balance can’t be overstated.

City Council 28 – 579 8/6/2024
21 SECTION V
PROJECT IMPACTS ON THE CITY’S

JOBS-HOUSING BALANCE
South Coast Technology Center Project May 13, 2024
Economic Impact Study
www.FinanceDTA.com
At build-out, the Project will have a positive effect on the City’s jobs-housing balance. Table 12 and Figure 10 below summarize the pre-Project and post-Project jobs-housing balance, as well as California Statewide average development figures.

Table 12: Pre-Project and Post-Project Jobs-Housing Balance Description Citywide Average Statewide
Pre-Project Post-Project Average
Number of Jobs 141,5459 142,232 18,537,400
Number of Housing Units 82,058 82,058 14,707,698
Existing10 82,058 82,058 14,707,698
New N/A 0 0
Jobs-Housing Balance 1.725 1.733 1.260
Figure 10: Pre-Project and Post-Project Jobs-Housing Balance:

0.000

0.500

1.000

1.500

2.000
Pre-Project
Citywide
Post-Project
Citywide
Statewide

1.725 1.733

1.260
As reflected above in Table 12 and Figure 10, the City’s current ratio of jobs within the City as compared with the number of housing units Citywide is 1.725, exceeding the Statewide average of 1.260. Clearly, the City is an employment-rich community with a large number of local jobs that are likely to provide employment to both City residents and persons residing outside of the City. The addition of 687 new jobs through the construction of the Project would increase this ratio to 1.733.

As the City’s total current workforce consists of 141,545 employees, FTE and part-time employees holding these additional jobs will constitute a 0.49% increase in the size of the City’s current workforce.
9 Spotlight by Environics Analytics, Employment Profiles by NAICS Code 2023. 10 Labor Market Information Division, State of California Employment Development Department.

City Council 28 – 580 8/6/2024

APPENDIX A
EPD Solutions, Inc.

South Coast Technology Center Project
Economic Impact Study

ANNUAL RECURRING

ECONOMIC IMPACTS

OF THE PROJECT

City Council 28 – 581 8/6/2024
Appendix A
South Coast Technology Center Project
City of Santa Ana
Recurring Economic Impact (2024$)
Per
Employee Aggregate
Industrial Building One
County 313.37 $107,862 $33,800,653 $18,983,991 $41,219,898 $94,004,542 Direct 152.00 $133,608 $20,308,390 $9,333,289 $27,182,408 $56,824,086 Indirect 72.07 $102,622 $7,395,932 $4,537,821 $7,735,873 $19,669,627 Induced 89.30 $68,268 $6,096,330 $5,112,882 $6,301,617 $17,510,829 City 232.69 $116,271 $27,054,521 $14,158,640 $34,201,153 $75,414,314 Direct 152.00 $133,608 $20,308,390 $9,333,289 $27,182,408 $56,824,086 Indirect1 36.04 $102,622 $3,697,966 $2,268,911 $3,867,937 $9,834,814 Induced1 44.65 $68,268 $3,048,165 $2,556,441 $3,150,808 $8,755,414 Industrial Building Two
County 340.17 $107,862 $36,691,498 $20,607,622 $44,745,284 $102,044,404 Direct 165.00 $133,608 $22,045,292 $10,131,530 $29,507,219 $61,684,041 Indirect 78.23 $102,627 $8,028,479 $4,925,925 $8,397,494 $21,351,898 Induced 96.94 $68,266 $6,617,727 $5,550,167 $6,840,571 $19,008,465 City 252.59 $116,271 $29,368,395 $15,369,576 $37,126,252 $81,864,223 Direct 165.00 $133,608 $22,045,292 $10,131,530 $29,507,219 $61,684,041 Indirect1 39.12 $102,627 $4,014,240 $2,462,962 $4,198,747 $10,675,949 Induced1 48.47 $68,266 $3,308,864 $2,775,084 $3,420,285 $9,504,233 County 295.17 $126,945 $37,470,499 $29,889,557 $53,647,964 $121,008,020 Direct 108.00 $192,289 $20,767,184 $19,151,503 $36,786,866 $76,705,554 Indirect 89.34 $112,203 $10,024,188 $5,135,268 $9,956,867 $25,116,322 Induced 97.83 $68,273 $6,679,127 $5,602,786 $6,904,231 $19,186,145 City 201.59 $144,449 $29,118,842 $24,520,530 $45,217,415 $98,856,787 Direct 108.00 $192,289 $20,767,184 $19,151,503 $36,786,866 $76,705,554 Indirect1 44.67 $112,203 $5,012,094 $2,567,634 $4,978,433 $12,558,161 Induced1 48.92 $68,273 $3,339,564 $2,801,393 $3,452,116 $9,593,072 Grand Total - County 948.71 $113,799 $107,962,650 $69,481,171 $139,613,146 $317,056,967 Grand Total - City 686.86 $124,541 $85,541,758 $54,048,746 $116,544,820 $256,135,324 1 Assumes 50% of County's indirect/induced impacts will be created within the City.

Industrial Building Three
Total Output
Labor Income Land Use/
Impact Employment Other Value Added
Intermediate
Expenditures

City Council 28 – 582 8/6/2024

APPENDIX B
EPD Solutions, Inc.

South Coast Technology Center Project
Economic Impact Study

ONE-TIME ECONOMIC

IMPACTS OF THE

PROJECT

City Council 28 – 583 8/6/2024
Appendix B
South Coast Technology Center Project
City of Santa Ana
One-time Economic Impact (2024$)
Per
Employee Aggregate
Vertical Construction
County 653.17 $80,678 $52,696,624 $12,731,902 $40,391,022 $105,819,548 Direct 457.00 $83,157 $38,002,669 $1,126,141 $24,371,189 $63,500,000 Indirect 52.82 $92,997 $4,912,090 $3,413,289 $5,910,528 $14,235,907 Induced 143.35 $68,238 $9,781,864 $8,192,471 $10,109,305 $28,083,641 City 555.09 $81,699 $45,349,646 $6,929,022 $32,381,106 $84,659,774 Direct 457.00 $83,157 $38,002,669 $1,126,141 $24,371,189 $63,500,000 Indirect1 26.41 $92,997 $2,456,045 $1,706,645 $2,955,264 $7,117,954 Induced1

71.68 $68,238 $4,890,932 $4,096,236 $5,054,652 $14,041,820 Grand Total - County 653.17 $80,678 $52,696,624 $12,731,902 $40,391,022 $105,819,548 Grand Total - City 555.09 $81,699 $45,349,646 $6,929,022 $32,381,106 $84,659,774 1 Assumes 50% of County's indirect/induced impacts will be created within the City.

Impact Employment Total Output
Labor Income Other Value
Added
Intermediate
Expenditures

18201 VON KARMAN AVENUE, SUITE 220
IRVINE, CA 92612
PHONE: (800) 969-4DTA
Public Finance
Public-Private Partnerships
Development Economics
Clean Energy Bonds
www.FinanceDTA.com
City Council 28 – 585 8/6/2024
Exhibit 9 - Community Meeting Documents
The project was subject to the City’s Sunshine Ordinance (Ordinance No. NS-3040) requiring two community meetings to facilitate early public participation. The first community meeting was held on September 27, 2023, and the second meeting was held on January 10, 2024.

All materials from the two required community meetings were published, and can be found on the project’s webpage on the City’s website:
https://www.santa-ana.org/south-coast-technology-center-3100-3110-3120-west-lake-centerdrive/ City Council 28 – 586 8/6/2024

O R A N G E C O U N T Y R E P O R T E R
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CITY OF SANTA ANA/PLANNING & BUILDING AGENCY
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SANTA ANA, CA 92702

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NOTICE OF PUBLIC HEARING

BEFORE THE SANTA ANA PLANNING

COMMISSION
The City of Santa Ana encourages the
public to participate in the decisionmaking process. We encourage you to contact us prior to the Public Hearing if
you have any questions.

Planning Commission Action: The
Planning Commission will hold a Public
Hearing to receive public testimony, and
will take action on the item described
below. Decision on this matter will be final
unless appealed pursuant to Article V of
Chapter 41 of the Santa Ana Municipal
Code within 10 calendar days of the
decision by any interested party or group.

Project Location: 3100, 3110, 3120,
3130, and 3400 West Lake Center Drive
(collectively referred to as 3100 W. Lake
Center Drive) located within the Specific
Development No. 58 (SD-58)
Project Applicant: Jeffrey Reese
representing C.J. Segerstrom & Sons
(Applicant)
Proposed Project: Applicant is
requesting approval of Zoning Ordinance
Amendment (ZOA) No. 2024-01 modifying
Specific Development No. 58 (SD-58) to
establish permitted and conditionally
permitted light industrial land uses,
accompanying development standards,
as well as additional zoning text updates,
in order to facilitate the construction of
three industrial buildings, approximately
112,230 square feet, 121,645 square feet,
and 79,369 square feet in size, for a new
industrial park development (“South Coast
Technology Center”). The subject site is
comprised of several parcels, including
Assessor's Parcel Nos. (APNs) 414-272-
09, 414-272-10, and 414-261-01.

Environmental Impact: Pursuant to the California Environmental Quality Act (CEQA), the project is exempt from CEQA
pursuant to Section 15183 of the CEQA
Guidelines (Projects Consistent with a
Community Plan or Zoning).

Environmental Review No. 2023-109 will
be filed for this project.

Meeting Details: This matter will be heard on Monday, July 8, 2024, at 5:30 p.m. in the City Council Chambers, 22 Civic Center Plaza, Santa Ana, CA 92701.

Members of the public may attend this
meeting in person or join via Zoom. For the most up-to-date information on how to participate virtually in this meeting, please
visit https://www.santa-ana.org/planningand-building-meeting-participation/.

Written Comments: If you are unable to
participate in the meeting, you may send
written comments by e-mail to
[email protected]
(reference the Agenda Item # in the
subject line) or by mail to Nuvia Ocampo,
Recording Secretary, City of Santa Ana,
20 Civic Center Plaza – M20, Santa Ana,
CA 92701. Deadline to submit written
comments is 3:30 p.m. on the day of the
meeting. Comments received after the
deadline may not be distributed to the
Commission but will be made part of the
record.

Where To Get More Information: Additional details regarding the proposed action(s), including the full text of the
discretionary item, may be found on the
City website 72 hours prior to the public
hearing at https://santaana.primegov.com/public/portal.

Who To Contact For Questions: Should you have any project questions, please contact case planner Heidi Jacinto with
the Planning Division by phone at (714)
667-2725 or by email at HJacinto@santaana.org.

Note: If you challenge the decision on the
above matter, you may be limited to
raising only those issues you or someone
else raised at the public hearing
described in this notice, or in written
correspondence delivered to the Planning
Commission or City Council of the City of
Santa Ana at, or prior to, the public
hearing.

Si tiene preguntas en español, favor de
llamar a Nuvia Ocampo (714) 667-2732.

N
u c  n liên l  c b  ng ti
ng Vi  t,
xin i  n tho  i cho Tony Lai s  (714)
565-2627.
6/28/24
OR-3826732#
City Council 28 – 587 8/6/2024

CITY OF SANTA ANA
Planning and Building Agency
20 Civic Center Plaza ● P.O. Box 1988
Santa Ana, California 92702
www.santa-ana.org/pba

NOTICE OF PUBLIC HEARING

BEFORE THE SANTA ANA PLANNING COMMISSION
The City of Santa Ana encourages the public to participate in the decision-making process. This notice is being sent to those who live or own property within 1000 feet of the project site or who have expressed an interest in the proposed action. We encourage you to contact us prior to the Public Hearing if you have any questions.

Planning Commission Action: The Planning Commission will hold a Public Hearing to receive public testimony, and will take action on the item described below. Decision on this matter will be final unless appealed pursuant to Article V of Chapter 41 of the Santa Ana Municipal Code within 10 calendar days of the decision by any interested party or group.

Project Location: 3100, 3110, 3120, 3130, and 3400 West Lake Center Drive (collectively referred to as 3100 W. Lake Center Drive) located within the Specific Development No. 58 (SD58) Project Applicant: Jeffrey Reese representing C.J. Segerstrom & Sons (Applicant) Proposed Project: Applicant is requesting approval of Zoning Ordinance Amendment (ZOA) No. 2024- 01 modifying Specific Development No. 58 (SD-58) to establish permitted and conditionally permitted light industrial land uses, accompanying development standards, as well as additional zoning text updates, in order to facilitate the construction of three industrial buildings, approximately 112,230 square feet, 121,645 square feet, and 79,369 square feet in size, for a new industrial park development (“South Coast Technology Center”). The subject site is comprised of several parcels, including Assessor’s Parcel Nos. (APNs) 414- 272-09, 414-272-10, and 414-261-01.

Environmental Impact: Pursuant to the California Environmental Quality Act (CEQA), the project is exempt from CEQA pursuant to Section 15183 of the CEQA Guidelines (Projects Consistent with a Community Plan or Zoning). Environmental Review No. 2023-109 will be filed for this project.

Meeting Details: This matter will be heard on Monday, July 8, 2024, at 5:30 p.m. in the City Council Chambers, 22 Civic Center Plaza, Santa Ana, CA 92701. Members of the public may attend this meeting in person or join via Zoom. For the most up-to-date information on how to participate virtually in this meeting, please visit https://www.santa-ana.org/planning-and-building-meeting-participation/.

Written Comments: If you are unable to participate in the meeting, you may send written comments by email to [email protected] (reference the Agenda Item # in the subject line) or by mail to Nuvia Ocampo, Recording Secretary, City of Santa Ana, 20 Civic Center Plaza – M20, Santa Ana, CA 92701. Deadline to submit written comments is 3:30 p.m. on the day of the meeting. Comments received after the deadline may not be distributed to the Commission but will be made part of the record.

Where To Get More Information: Additional details regarding the proposed action(s), including the full text of the discretionary item, may be found on the City website 72 hours prior to the public hearing at https://santa-ana.primegov.com/public/portal.

City Council 28 – 588 8/6/2024
Who To Contact For Questions: Should you have any project questions, please contact case planner Heidi Jacinto with the Planning Division by phone at (714) 667-2725 or by email at [email protected].

Note: If you challenge the decision on the above matter, you may be limited to raising only those issues you or someone else raised at the public hearing described in this notice, or in written correspondence delivered to the Planning Commission or City Council of the City of Santa Ana at, or prior to, the public hearing.

Si tiene preguntas en español, favor de llamar a Nuvia Ocampo (714) 667-2732.

Nếu cần liên lạc bằng tiếng Việt, xin điện thoại cho Tony Lai số (714) 565-2627. 1000’ RADIUS NOTIFICATION MAP
City Council 28 – 589 8/6/2024
City Council 28 – 590 8/6/2024
City Council 28 – 591 8/6/2024
HOUSING AUTHORITY 1 July 16, 2024
DRAFT Minutes of the Special Meeting
of the Housing Authority
Santa Ana, California
July 16, 2024

CALL TO ORDER
MINUTES: Chair Amezcua called the Special Housing Authority Meeting to order at 7:42 P.M.

ATTENDANCE Authority Members Phil Bacerra
Johnathan Ryan Hernandez
Jessie Lopez
David Penaloza
Benjamin Vazquez
Vice Chair Thai Viet Phan
Chair Valerie Amezcua
Acting City Manager Alvaro Nuñez
City Attorney Sonia R. Carvalho
Recording Secretary Jennifer L. Hall

ROLL CALL
MINUTES: Secretary Jennifer L. Hall conducted Roll Call.

Chair Amezcua, Vice Chair Phan, and Authority Members Bacerra, Hernandez, Lopez, Penaloza, and Vazquez were present.

ADDITIONS\DELETIONS TO THE HOUSING AUTHORITY AGENDA
MINUTES: None.

City Council 2 – 1 8/6/2024
HOUSING AUTHORITY 2 July 16, 2024
PUBLIC COMMENTS – Members of the public may address Housing Authority on items on the Housing Authority agenda.

MINUTES: No verbal public comments were received regarding the Housing Authority agenda. Secretary Jennifer L. Hall reported that one (1) email comment was received regarding Agenda Item No. 3.

RECOMMENDED ACTION: Approve staff recommendations on the following Consent Calendar Items: 1 through 3.

MINUTES: At 7:43 P.M., the Consent Calendar was considered.

MOTION: Authority Member Lopez moved to approve staff recommendations on the following Consent Calendar Items: 1 through 3, seconded by Authority Member Hernandez.

The motion carried, 7-0, by the following roll call vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

AUTHORITY MEMBER BACERRA, AUTHORITY MEMBER

HERNANDEZ, AUTHORITY MEMBER LOPEZ, AUTHORITY

MEMBER PENALOZA, AUTHORITY MEMBER VAZQUEZ,

VICE CHAIR PHAN, CHAIR AMEZCUA
NONE
NONE
NONE
Status: 7 – 0 - Pass

1. Excused Absences
Department(s): City Clerk’s Office
Recommended Action: Excuse the absent members.

2. Minutes from the Regular Meeting of June 4, 2024
Department(s): City Clerk’s Office
Recommended Action: Approve minutes.

CONSENT CALENDAR
City Council 2 – 2 8/6/2024
HOUSING AUTHORITY 3 July 16, 2024

3. Amended and Restated Regulatory Agreement for the Rehabilitation of Garden Court Apartments Located at 300 East Santa Ana Boulevard, Santa Ana, CA 92701
Department(s): Community Development Agency
Recommended Action: 1. Authorize the Executive Director to consent to the termination of the Original Agreement in order for the Acting City Manager to execute the Amended and Restated Agreement Containing Affordable Housing Covenants with Orange Housing Development Corporation for the rehabilitation of Garden Court Apartments located at 300 East Santa Ana Boulevard, Santa Ana, CA 92701 (APN 398-323-08). (Contingent upon approval of City Council Item # 27) (Agreement No. A-2024-106).

2. Approve the Relocation Plan and authorize the Acting City Manager to approve amendments to the Relocation Plan prior to commencement of the rehabilitation of Garden Court Apartments, substantially in the draft form attached hereto, subject to changes consistent with the project approved by the City Manager and City Attorney.
**END OF CONSENT CALENDAR**

HOUSING AUTHORITY MEMBER COMMENTS
MINUTES: None.

ADJOURNMENT – Adjourn the Housing Authority meeting.

MINUTES: Chair Amezcua adjourned the Special Housing Authority Meeting at 7:44 P.M.

Respectfully submitted:
__________________________
Jennifer L. Hall, CMC
Secretary
City Council 2 – 3 8/6/2024
Community Development Agency
www.santa-ana.org/community-development
Item # 3
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
August 6, 2024
TOPIC: Housing Choice Voucher Administrative Plan

AGENDA TITLE
Approve an Update to the Housing Choice Voucher Administrative Plan to Create a Preference for Foster Youth to Independence Voucher Holders

RECOMMENDED ACTION
Approve an update to Chapter 4-III.C. of the Housing Choice Voucher Administrative Plan to create a preference for Foster Youth to Independence voucher holders.

GOVERNMENT CODE §84308 APPLIES: No

DISCUSSION
The U.S. Department of Housing and Urban Development (HUD) requires housing authorities that administer a Housing Choice Voucher (HCV) program to have an HCV Administrative Plan. The purpose of the HCV Administrative Plan is to establish policies for implementing the HCV program in a manner consistent with HUD requirements and local goals and objectives contained in Santa Ana Housing Authority’s (SAHA’s) 5-Year and Annual Plans. The HCV Administrative Plan defines SAHA's local policies for the operation of the HCV program in compliance with federal laws and regulations. The HCV Administrative Plan also informs the public and staff about the housing authority policies and explains how SAHA will implement those policies. All issues related to the HCV program that are not addressed in the HCV Administrative Plan are governed by federal regulations, HUD handbooks and guidebooks, notices, and other applicable law.

The HCV Administrative Plan was last updated and approved by the City Council on December 1, 2020. Staff is now recommending an update to Chapter 4 of the HCV Administrative Plan to prevent the termination of our Foster Youth to Independence voucher holders now and in the future.

The Housing Authority currently administers 115 Foster Youth to Independence (FYI) vouchers for transitional-aged at-risk youth leaving the foster care system who are homeless or at risk of homelessness. The initiative makes HCV assistance available to Public Housing Agencies (PHAs) in partnership with Public Child Welfare Agencies (PCWAs). Under the FYI program, PHAs provide housing assistance on behalf of youth at least 18 years and not more than 24 years of age (have not reached their 25th birthday) who left foster care, or will leave foster care within 90 days, in accordance with City Council 3 – 1 8/6/2024
Housing Choice Voucher Administrative Plan
August 6, 2024

a transition plan described in Section 475(5)(H) of the Social Security Act, and are homeless or are at risk of becoming homeless at age 16 or older. Through effective partnerships with the United Way of Orange County, Orange County Social Services Agency (e.g. our local PCWA), and Orangewood Foundation, the Santa Ana Housing Authority has one of the highest FYI voucher utilization rates in southern California, successfully housing and providing supportive services for this at-risk target population in our community.

Recently, staff became aware that the Housing Authority was out of compliance with the federal regulations for 15 of our FYI voucher holders. Staff immediately brought this to the attention of HUD to request approval to continue assisting these 15 FYI voucher holders for the additional time staff assumed was remaining under a 24-month extension. Specifically, HUD Notice Public and Indian Housing 2023-4 states, “As required by statute, an FYI voucher may only be used to provide housing assistance for youth for a maximum of 36 months. However, youth who first lease a unit with an FYI voucher after the date of enactment of the Fostering Stable Housing Opportunities (FSHO) amendments may receive an extension of the 36-month time limit of assistance for up to an additional 24 months if they meet the requirements of FSHO. FSHO applies to eligible youth who first leased or leases a unit after the date of enactment of FSHO, December 27, 2020, which includes youth who will be assisted with funding under this Notice.” FSHO provides a 24-month extension of voucher assistance for FYI voucher holders who are participating in a Family Self-Sufficiency (FSS) program.

It is staff’s position that the information on this 24-month extension opportunity was not properly communicated to the Housing Authority or other PHAs. Specifically, it was not communicated transparently and effectively that the 24-month extension only applied to FYI voucher holders who leased up after December 27, 2020. When the Housing Authority first learned about the 24-month extension opportunity, staff encouraged and registered our first cohort of FYI vouchers that leased up prior to December 27, 2020 to join our FSS Program. These 15 FYI voucher holders are now active in our FSS Program and still receive assistance as FYI voucher holders. Unfortunately, based upon recent guidance staff received from HUD, these 15 FYI voucher holders are not eligible for continued assistance due to the December 27, 2020 statutory deadline.

Therefore, in order to comply with this statutory requirement and to prevent the termination of these 15 FYI voucher holders now and other FYI voucher holders in the future, staff is recommending approval of an update to Chapter 4-III.C. of the HCV Administrative Plan to include a preference to assist FYI voucher holders who reach the deadline on their assistance. This update will create a preference in our regular HCV program for FYI voucher holders whose assistance is expiring. Administratively, the preference will allow the Housing Authority to transfer the expiring FYI voucher holder to a regular Housing Choice Voucher (HCV) and absorb the FYI voucher into the larger HCV Program. This will ensure that FYI voucher holders assisted by SAHA do not lose their assistance after 3 to 5 years due to the statutory timelines required by the FYI City Council 3 – 2 8/6/2024
Housing Choice Voucher Administrative Plan
August 6, 2024

program. A timeline of 3 to 5 years is not enough time for a former foster youth to obtain self-sufficiency from the Housing Authority’s rental assistance. This preference will support the 15 FYI voucher holders who leased up prior to Decemebr 27, 2020 by transferring their voucher to our regular HCV Program. It will also support all of our other FYI voucher holders who reach the 5 year deadline for their assistance in the future. The update to Chapter 4 is attached in track changes as Exhibit 1.

If the City Council does not approve this update to our HCV Administrative Plan, the Housing Authority will need to terminate our assistance for the 15 FYI voucher holders who leased up before December 27, 2020. The 15 FYI voucher holders wil be given 60 days notice and informed of the statutory requirement that limits their assistance to no more than three years. At different points in time in the future, the Housing Authority will also need to terminate the assistance for other FYI voucher holders who reach their five-year deadline for assistance from the FYI program.

FISCAL IMPACT
There is no fiscal impact associated with this action.

EXHIBIT(S)

1. Update to HCV Administrative Plan Chapter 4
Submitted By: Michael L. Garcia, Executive Director of Community Development Approved By: Alvaro Nuñez, Acting City Manager
City Council 3 – 3 8/6/2024

Chapter 4

APPLICATIONS, WAITING LIST AND TENANT SELECTION

INTRODUCTION
When a family wishes to receive assistance under the HCV program, the family must submit an application that provides SAHA with the information needed to determine the family’s eligibility. HUD requires SAHA to place all families that apply for assistance on a Waiting List.

When HCV assistance becomes available, SAHA must select families from the Waiting List in accordance with HUD requirements and SAHA policies as stated in the administrative plan and the annual plan.

SAHA is required to adopt clear policies and procedures for accepting applications, placing families on the Waiting List, and selecting families from the Waiting List, and must follow these policies and procedures consistently. The actual order in which families are selected from the Waiting List can be affected if a family has certain characteristics designated by HUD or SAHA that justify their selection. Examples of this are the selection of families for income targeting and the selection of families that qualify for targeted funding.

HUD regulations require that all families have an equal opportunity to apply for and receive housing assistance, and that SAHA affirmatively further fair housing goals in the administration of the program [24 CFR 982.53, HCV GB p. 4-1]. Adherence to the selection policies described in this chapter ensures that SAHA will be in compliance with all relevant fair housing requirements, as described in Chapter 2.

This chapter describes HUD and SAHA policies for taking applications, managing the Waiting List and selecting families for HCV assistance. The policies outlined in this chapter are organized into three sections, as follows:

Part I: The Application Process. This part provides an overview of the application process, and discusses how applicants can obtain and submit applications. It also specifies how SAHA will handle the applications it receives.

Part II: Managing the Waiting List. This part presents the policies that govern how SAHA’s Waiting List is structured, when it is opened and closed, and how the public is notified of the opportunity to apply for assistance. It also discusses the process SAHA will use to keep the Waiting List current.

Part III: Selection for HCV Assistance. This part describes the policies that guide SAHA in selecting families for HCV assistance as such assistance becomes available. It also specifies how in-person interviews will be used to ensure that SAHA has the information needed to make a final eligibility determination.

City Council 3 – 4 8/6/2024

PART I: THE APPLICATION PROCESS
4-I.A. OVERVIEW
This part describes SAHA policies for making applications available, accepting applications making preliminary determinations of eligibility, and the placement of applicants on the Waiting List. This part also describes SAHA’s obligation to ensure the accessibility of the application process to elderly persons, people with disabilities, and people with limited English proficiency (LEP).
4-I.B. APPLYING FOR ASSISTANCE [HCV GB, pp. 4-11 – 4-16, Notice PIH 2009-36] Any family that wishes to receive HCV assistance must apply for admission to the program.

HUD permits SAHA to determine the format and content of HCV applications, as well how such applications will be made available to interested families and how applications will be accepted by SAHA. SAHA must include Form HUD-92006, Supplement to Application for Federally Assisted Housing, as part of SAHA’s application.

SAHA Policy
During application intake SAHA will initially require families to provide only the information needed to make an initial assessment of the family’s eligibility, and to determine the family’s placement on the Waiting List. The family will be required to provide all of the information necessary to establish family eligibility and level of assistance at the eligibility interview.

During application intake, applications will only be available online. Staff will be available to assist with online applications after receiving a request for reasonable accommodation.

Completed applications must be submitted online. Applications must be completed in order to be accepted by SAHA for processing. Incomplete or duplicate applications will be rejected without further notification.
4-I.C. ACCESSIBILITY OF THE APPLICATION PROCESS
Elderly and Disabled Populations [24 CFR 8 and HCV GB, pp. 4-11 – 4-13] SAHA must take steps to ensure that the application process is accessible to those people who might have difficulty complying with the normal, standard SAHA application process. This could include people with disabilities, certain elderly individuals, as well as persons with limited English proficiency (LEP). SAHA must provide reasonable accommodation to the needs of individuals with disabilities. The application-taking facility and the application process must be fully accessible, or SAHA must provide an alternate approach that provides full access to the application process. Chapter 2 provides a full discussion of SAHA’s policies related to providing reasonable accommodations for people with disabilities.

City Council 3 – 5 8/6/2024

Limited English Proficiency
PHAs are required to take reasonable steps to ensure equal access to their programs and activities by persons with limited English proficiency [24 CFR 1]. Chapter 2 provides a full discussion on SAHA’s policies related to ensuring access to people with limited English proficiency (LEP). 4-I.D. PLACEMENT ON THE WAITING LIST
SAHA must review each complete application received and make a preliminary assessment of the family’s eligibility. SAHA must accept applications from families for whom the list is open unless there is good cause for not accepting the application (such as denial of assistance) for the grounds stated in the regulations [24 CFR 982.206(b)(2)]. Where the family is determined to be ineligible, SAHA must notify the family in writing [24 CFR 982.201(f)]. Where the family is not determined to be ineligible, the family will be placed on a Waiting List of applicants.

No applicant has a right or entitlement to be listed on the Waiting List, or to any particular position on the Waiting List [24 CFR 982.202(c)].

Ineligible for Placement on the Waiting List
SAHA Policy
If SAHA can determine from the information provided that a family is ineligible, the family will not be placed on the Waiting List. Where a family is determined to be ineligible, SAHA will send written notification of the ineligibility determination. The notice will specify the reasons for ineligibility, and will inform the family of its right to request an informal review and explain the process for doing so (see Chapter 16).

Eligible for Placement on the Waiting List
SAHA Policy
SAHA will send written notification of the preliminary eligibility and placement on the Waiting List. Placement on the Waiting List does not indicate that the family is, in fact, eligible for assistance. A final determination of eligibility will be made when the family is selected from the Waiting List. Applicants will be placed on the Waiting List according to any preference(s) for which they claimed.

SAHA has the option of limiting the number of applications accepted and/or performing a lottery in preference categories.

City Council 3 – 6 8/6/2024

PART II: MANAGING THE WAITING LIST
4-II.A. OVERVIEW
SAHA must have policies regarding various aspects of organizing and managing the Waiting List of applicant families. This includes opening the list to new applicants, closing the list to new applicants, notifying the public of Waiting List openings and closings, updating Waiting List information, purging the list of families that are no longer interested in or eligible for assistance, as well as conducting outreach to ensure a sufficient number of applicants.

In addition, HUD imposes requirements on how a PHA may structure its Waiting List and how families must be treated if they apply for assistance from a PHA that administers more than one assisted housing program.
4-II.B. ORGANIZATION OF THE WAITING LIST [24 CFR 982.204 and 205] SAHA’s HCV Waiting List must be organized in such a manner to allow SAHA to accurately identify and select families for assistance in the proper order, according to the admissions policies described in this plan.

The Waiting List must contain the following information for each applicant listed:
• Applicant name;
• Family unit size;
• Date and time of application;
• Qualification for any local preference;
• Racial or ethnic designation of the head of household.

HUD requires SAHA to maintain a single Waiting List for the HCV program unless it serves more than one county or municipality. Such PHAs are permitted, but not required, to maintain a separate Waiting List for each county or municipality served.

SAHA Policy
SAHA maintains a single Waiting List for the HCV program. However a separate Waiting List may be established for project based vouchers that are designated for a specific target population or a site.

HUD directs that a family that applies for assistance from the HCV program must be offered the opportunity to be placed on the Waiting List for any public housing, project-based voucher or moderate rehabilitation program SAHA operates if 1) the other programs’ Waiting Lists are open, and 2) the family is qualified for the other programs.

HUD permits, but does not require, that PHAs maintain a single merged Waiting List for their public housing, Section 8, and other subsidized housing programs.

A family’s decision to apply for, receive, or refuse other housing assistance must not affect the family’s placement on the HCV Waiting List, or any preferences for which the family may qualify.

City Council 3 – 7 8/6/2024

SAHA Policy
SAHA will not merge the HCV Waiting List with the waiting list for any other program they operate.
4-II.C. OPENING AND CLOSING THE WAITING LIST [24 CFR 982.206] Closing the Waiting List
A PHA is permitted to close the Waiting List if it has an adequate pool of families to use its available HCV assistance. Alternatively, SAHA may elect to continue to accept applications only from certain categories of families that meet particular preferences or funding criteria.

SAHA Policy
SAHA may close the Waiting List when the estimated waiting period for housing assistance for applicants on the list exceeds 24 months or may open for a limited timeframe. Where SAHA has particular preferences or funding criteria that require a specific category of family, SAHA may elect to continue to accept applications from these applicants while closing the Waiting List to others.

SAHA may determine after reviewing the community need and available funding that it may be beneficial for the Waiting List to remain open indefinitely or for the Waiting List to remain open for special purpose vouchers or specific preferences.

Reopening the Waiting List
If the Waiting List has been closed, it cannot be reopened until SAHA publishes a notice in local newspapers of general circulation, minority media, and other suitable media outlets. The notice must comply with HUD fair housing requirements and must specify who may apply, and where and when applications will be received.

SAHA Policy
SAHA will announce the reopening of the Waiting List through a public notice prior to the date applications will first be accepted. If the list is only being reopened for certain categories of families, this information will be contained in the notice.

SAHA will give public notice by publishing the relevant information in suitable media outlets including, but not limited to: The Orange County Register, Miniondas, La Opinion, Unidos, and Nguoi Viet newspaper. Other publications may be used if it is determined that it would be beneficial in reaching specific populations.

City Council 3 – 8 8/6/2024

4-II.D. FAMILY OUTREACH [HCV GB, pp. 4-2 to 4-4]
SAHA must conduct outreach as necessary to ensure that SAHA has a sufficient number of applicants on the Waiting List to use the HCV resources it has been allotted.

Because HUD requires SAHA to admit a specified percentage of extremely low-income families to the program (see Chapter 4, Part III), SAHA may need to conduct special outreach to ensure that an adequate number of such families apply for assistance [HCV GB, p. 4-20 to 4-21].

SAHA outreach efforts must comply with fair housing requirements. This includes:
• Analyzing the housing market area and the populations currently being served to identify underserved populations
• Ensuring that outreach efforts are targeted to media outlets that reach eligible populations that are underrepresented in the program
• Avoiding outreach efforts that prefer or exclude people who are members of a protected class SAHA outreach efforts must be designed to inform qualified families about the availability of assistance under the program. These efforts may include, as needed, any of the following activities:
• Submitting press releases to local newspapers, including minority newspapers • Developing informational materials and flyers to distribute to other agencies • Providing application forms to other public and private agencies that serve the low income population
• Developing partnerships with other organizations that serve similar populations, including agencies that provide services for persons with disabilities SAHA Policy
SAHA will monitor the characteristics of the population being served and the characteristics of the population as a whole in SAHA’s jurisdiction. Targeted outreach efforts will be undertaken if a comparison suggests that certain populations are being underserved.
4-II.E. REPORTING CHANGES IN FAMILY CIRCUMSTANCES
SAHA Policy
While the family is on the Waiting List, the family must immediately inform SAHA of changes in mailing address and number of family members. The changes must be submitted online. Any requests to add additional family members to the application must be received prior to SAHA mailing an invitation for an orientation or the eligibility interview. The final approval will be determined at the eligibility interview.

Failure to report address changes online that result in mail being returned will be cause for removal from the Waiting List.

City Council 3 – 9 8/6/2024

4-II.F. UPDATING THE WAITING LIST [24 CFR 982.204]
HUD requires SAHA to establish policies to use when removing applicant names from the Waiting List.

Purging the Waiting List
The decision to withdraw an applicant family that includes a person with disabilities from the Waiting List is subject to reasonable accommodation. If the applicant did not respond to a PHA request for information or updates, and SAHA determines that the family did not respond because of the family member’s disability, SAHA must reinstate the applicant family to their former position on the Waiting List [24 CFR 982.204(c)(2)].

SAHA Policy
The Waiting List will be purged as necessary to ensure that all applicants and applicant information is current and timely. To purge the Waiting List, SAHA will send an update request via first class mail to each family on the Waiting List to determine whether the family continues to be interested in, and to qualify for, the program. This update request will be sent to the last address that SAHA has on record for the family from the family’s online application. The update request will provide a deadline by which the family must respond and will state that failure to respond will result in the applicant’s name being removed from the Waiting List.

The family’s response must be in writing and may be delivered in person, by mail, or by fax. Responses should be postmarked or received by SAHA no later than the date specified on the SAHA letter.

If the family fails to respond within the specified date on SAHA’s letter, the family will be removed from the Waiting List without further notice.

If the notice is returned by the post office with no forwarding address, the applicant will be removed from the Waiting List without further notice.

If the notice is returned by the post office with a forwarding address and the applicant has not notified SAHA of the address change, the applicant will be removed from the Waiting List without further notice.

If a family is removed from the Waiting List within the last twelve months for failure to respond, SAHA may reinstate the family if it determines the lack of response was due to SAHA error, or to circumstances beyond the family’s control.

Removal from the Waiting List
SAHA Policy
If at any time an applicant family is on the Waiting List, SAHA determines that the family is not eligible for assistance (see Chapter 3), the family will be removed from the Waiting List. If a family is removed from the Waiting List because SAHA has determined the family is not eligible for assistance, a notice will be sent to the family’s address of record provided on the initial application. e-. The notice will state the reasons the family was removed from the Waiting List and will inform the family how to request an informal review regarding SAHA’s decision (see Chapter 16) [24 CFR 982.201(f)].

City Council 3 – 10 8/6/2024

PART III: SELECTION FOR HCV ASSISTANCE
4-III.A. OVERVIEW
As vouchers become available, families on the Waiting List must be selected for assistance in accordance with the policies described in this part.

The order in which families are selected from the Waiting List depends on the selection method chosen by SAHA and is impacted in part by any selection preferences for which the family qualifies. The availability of targeted funding also may affect the order in which families are selected from the Waiting List.

SAHA must maintain a clear record of all information required to verify that the family is selected from the Waiting List according to SAHA’s selection policies [24 CFR 982.204(b) and 982.207(e)].
4-III.B. SELECTION AND HCV FUNDING SOURCES
Special Admissions [24 CFR 982.203]
HUD may award funding for specifically-named families living in specified types of units (e.g., a family that is displaced by demolition of public housing; a non-purchasing family residing in a HOPE 1 or 2 projects). In these cases, SAHA may admit such families whether or not they are on the Waiting List, and, if they are on the Waiting List, without considering the family’s position on the Waiting List. These families are considered non-Waiting List selections. SAHA must maintain records showing that such families were admitted with special program funding.

Targeted Funding [24 CFR 982.204(e)]
HUD may award a PHA funding for a specified category of families on the Waiting List. SAHA must use this funding only to assist the families within the specified category. In order to assist families within a targeted funding category, SAHA may skip families that do not qualify within the targeted funding category. Within this category of families, the order in which such families are assisted is determined according to the policies provided in Section 4-III.C.

SAHA Policy
SAHA administers Non-Elderly Disabled vouchers (NED).

Regular HCV Funding
Regular HCV funding may be used to assist any eligible family on the Waiting List. Families are selected from the Waiting List according to the policies provided in Section 4-III.C.

City Council 3 – 11 8/6/2024

4-III.C. SELECTION METHOD
PHAs must describe the method for selecting applicant families from the Waiting List, including the system of admission preferences that SAHA will use [24 CFR 982.202(d)].

Local Preferences [24 CFR 982.207; HCV p. 4-16]
PHAs are permitted to establish local preferences, and to give priority to serving families that meet those criteria. HUD specifically authorizes and places restrictions on certain types of local preferences. HUD also permits SAHA to establish other local preferences, at its discretion. Any local preferences established must be consistent with SAHA plan and the consolidated plan, and must be based on local housing needs and priorities that can be documented by generally accepted data sources.

SAHA Policy
Local preferences will be numerically ranked, with number 1 being the highest preference, in the following order:

1. United States Military Veteran Preference: United States military veterans or surviving spouses and dependent children of a United States military veteran, or active military personnel, their spouse and their dependent children who live or work in the City of Santa Ana at the time of application. The veteran must have been discharged under conditions other than dishonorable and were/is eligible to receive veteran’s benefits. Form DD-214 with a discharge status of other than dishonorable, or equivalent verification, must be provided at their eligibility interview appointment. The individual must have served a minimum of 90 days to qualify for the preference. “Surviving spouse” means not divorced from, or not remarried prior to or after the death of the veteran. A marriage and death certificate will be required for a surviving spouse.

2. Residency Preference: Residency preference for families who live or work in the City of Santa Ana at the time of application. At least two pieces of evidence must be provided for families who live or work in the City of Santa Ana including but not limited to a lease, utility bills, bank statements, or paycheck stubs.

Additionally, SAHA will offer priority to any family that has been terminated from its HCV program due to insufficient program funding.

Homeless Individuals and Families Set-Aside Preference
In accordance with PIH Notice 2013-15, SAHA will accept direct referrals to the HCV Program for the following target population:
• Homeless Individuals and Families: The number of homeless individuals and families who can qualify for this preference and successfully lease a unit with their voucher will be limited to 50% of the total number of vouchers that become City Council 3 – 12 8/6/2024

available through annual turnover in the previous calendar year. To qualify for this preference, homeless individuals and families must be referred by agencies with a contract or Memorandum of Understanding (MOU) in place with the Housing Authority, or by Community Based Organizations (CBO’s) contracted with the Housing Authority. The referring agency must provide a certification of the family’s homeless status. Additionally, families already registered on the Waiting List who declare themselves as homeless, but are not referred by a CBO must provide a certification of their homeless status from an agency that has an MOU in place with the Housing Authority. This set-aside preference has been documented by SAHA using generally accepted data sources.

The term, “residence,” includes homeless shelters and other dwelling places where homeless people may be living, sleeping or receiving services in the City of Santa Ana. Therefore, homeless individuals and families who qualify for this preference will qualify as residents.

Foster Youth to Independence Vouchers (FYI)
The waiting list for FYI vouchers is continually open for referrals from Orange County Social Services Agency as long as there are FYI vouchers available.

PHAs may choose to create a preference in their regular HCV program for persons whose FYI assistance is expiring and will lack adequate housing as a result of their termination from the program, or other similar category.

As required by statute, an FYI voucher may only be used to provide housing assistance for youth for a maximum of 36 months. However, youth who first lease a unit with an FYI voucher after the date of enactment of the Fostering Stable Housing Opportunities (FSHO) amendments may receive an extension of the 36- month time limit of assistance for up to an additional 24 months if they meet the requirements of FSHO. FSHO applies to eligible youth who first leased or leases a unit after the date of enactment of FSHO, December 27, 2020, which includes youth who will be assisted with funding under this Notice. See HUD’s FSHO implementation notice published in the Federal Register on January 24, 2022 (87 FR 3570).

SAHA will provide a selection preference for FYI voucher holders who are terminated due to the time limit on assistance in accordance with this policy.

All preferences must be applicable and verifiable at the time of selection from the Waiting List.

Income Targeting Requirement [24 CFR 982.201(b)(2)]
HUD requires that extremely low-income (ELI) families make up at least 75 percent of the families admitted to the HCV program during SAHA’s fiscal year. ELI families are those with annual incomes at or below the federal poverty level or 30 percent of the area median income, whichever number is higher. To ensure this requirement is met, a PHA may skip non-ELI families on the Waiting List in order to select an ELI family.

Low-income families admitted to the program that are “continuously assisted” under the 1937 Housing Act [24 CFR 982.4(b)], as well as low-income or moderate-income families admitted to City Council 3 – 13 8/6/2024

the program that are displaced as a result of the prepayment of the mortgage or voluntary termination of an insurance contract on eligible low-income housing, are not counted for income targeting purposes [24 CFR 982.201(b)(2)(v)].

SAHA Policy
SAHA will monitor progress in meeting the income targeting requirement throughout the fiscal year. Extremely low-income families will be selected ahead of other eligible families on an as-needed basis to ensure the income targeting requirement is met.

Order of Selection
SAHA system of preferences may select families based on local preferences according to the date and time of application or by a random selection process (lottery) [24 CFR 982.207(c)]. If a PHA does not have enough funding to assist the family at the top of the Waiting List, it is not permitted to skip down the Waiting List to a family that it can afford to subsidize when there are not sufficient funds to subsidize the family at the top of the Waiting List [24 CFR 982.204(d) and (e)].

SAHA Policy
Families will be selected from the Waiting List based on the local preference(s) for which they qualify, and in accordance with SAHA’s hierarchy of preferences. Within each preference category, families will be selected by assigned lottery number (score), if lottery was performed when placed on the Waiting List. Documentation will be maintained by SAHA as to whether families on the list qualify for and are interested in targeted funding. If a higher placed family on the Waiting List is not qualified or not interested in targeted funding, there will be a notation maintained so that SAHA does not have to ask higher placed families each time targeted selections are made. 4-III.D. NOTIFICATION OF SELECTION
When a family has been selected from the Waiting List, SAHA must notify the family [24 CFR 982.554(a)].

SAHA Policy
SAHA will notify the family by first class mail when it is selected from the Waiting List.

The notice will inform the family of the following:
▪ Date, time, and location of the scheduled orientation or application interview, including any procedures for rescheduling the interview. ▪ Who is required to attend the interview.
▪ Documents that must be provided at the interview, including information about what constitutes acceptable documentation.
▪ Other documents and information that should be brought to the interview.

If a notification letter is returned to SAHA with or without a forwarding address from the US Postal Service, the family will be removed from the Waiting List.

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4-III.E. THE APPLICATION INTERVIEW
HUD recommends that SAHA obtain the information and documentation needed to make an eligibility determination though a face-to-face interview with a PHA representative [HCV GB, pg. 4-16]. Being invited to attend an interview does not constitute admission to the program.

Assistance cannot be provided to the family until all SSN documentation requirements are met.

However, if SAHA determines that an applicant family is otherwise eligible to participate in the program, the family may retain its place on the Waiting List for a period of time determined by SAHA [Notice PIH 2012-10].

Reasonable accommodation must be made for persons with disabilities who are unable to attend an interview due to their disability.

SAHA Policy
SAHA may invite applicants to an orientation prior to the family’s eligibility appointment. The purpose of the Orientation is to:
• Verify that the family meets the preference qualification. This means that the family is being called from the Waiting List in the proper order. If a family is invited to attend an Orientation based on a preference stated on the Waiting List application and the family no longer meets the preference, the family will be removed from the Waiting List.
• Provide the family with information on documents and forms they will need to bring to the eligibility interview.
• Explain the important features of the Housing Choice Voucher Program. • Schedule an appointment for the family to come back with all the required forms and information. This appointment is a one-on-one meeting with a Housing Specialist referred to as an Eligibility Interview.

SAHA offers Orientations in three languages: English, Spanish, and Vietnamese.

During the Orientation, SAHA provides several forms and documents for the family to review and/or sign and submit to SAHA.

Families selected from the Waiting List are required to participate in an Eligibility interview. The head of household, the spouse/co-head, and all adult household members must attend the interview together.

The interview will be conducted only if the head of household or spouse/co-head provides appropriate documentation of legal identity. (Chapter 7 provides a discussion of proper documentation of legal identity). If the applicant does not provide the required documentation, the appointment will be rescheduled for a Second and Final appointment.

The family must provide the information necessary to establish the family’s eligibility and determine the appropriate level of assistance, as well as complete required forms, provide required signatures, and submit required documentation. If any materials are missing, SAHA will provide the family with a written list of items that must be submitted.

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Any required documents or information that the family is unable to provide at the interview must be provided within 14 days of the interview (Chapter 7 provides details about longer submission deadlines for particular items, including documentation of Social Security numbers and eligible noncitizen status). If the required documents and information are not provided within the required time frame, the family will be sent a notice of denial (See Chapter 3).

An advocate, interpreter, or other assistant may assist the family with the application and the interview process.

Interviews may be conducted in English, Spanish or Vietnamese.

If the family is unable to attend a scheduled interview, the family must contact SAHA in advance of the interview to schedule a new appointment. In all circumstances, if a family does not attend a second and final scheduled interview, SAHA will send another notification letter removing the family from the Waiting List. The family will have 14 days to request a review if they do not agree with the decision. Applicants who fail to attend a scheduled eligibility interview without SAHA approval will be denied assistance based on the family’s failure to supply information needed to determine eligibility. A notice of denial will be issued in accordance with policies contained in Chapter 3. 4-III.F. COMPLETING THE APPLICATION PROCESS
SAHA must verify all information provided by the family (see Chapter 7). Based on verified information, SAHA must make a final determination of eligibility (see Chapter 3) and must confirm that the family qualified for any special admission, targeted funding admission, or selection preference that affected the order in which the family was selected from the Waiting List.

SAHA Policy
If SAHA determines that the family is ineligible, SAHA will send written notification of the ineligibility within 14 days of the determination. The notice will specify the reasons for ineligibility, and will inform the family of its right to request an informal review (Chapter 16).

If SAHA determines that the family is eligible to receive assistance, SAHA will invite the family to attend a voucher briefing in accordance with the policies in Chapter 5.

City Council 3 – 16 8/6/2024