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2019/09/24 City Council Resolution 2019-120 RESOLUTION NO. 2019-120 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROHNERT PARK AUTHORIZING THE EXPENDITURE OF $200,000 IN AFFORDABLE HOUSING FUNDS TO CREATE FOUR MODERATE-INCOME AFFORDABLE HOUSING OWNERSHIP UNITS IN PARTNERSHIP WITH THE HOUSING LAND TRUST AND THE EXECUTION OF AFFORDABLE HOUSING AGREEMENTS AND COVENANTS TO ENSURE CONTINUED AFFORDABILITY. WHEREAS, there is a strong and growing need for affordable housing in the City of Rohnert Park; and WHEREAS, there is a community benefit to providing affordable housing for families working in essential fields such as education, public safety and health care; and WHEREAS, the City has Regional Housing Needs Allocation goals to create additional housing units affordable to families at moderate-income levels; and WHEREAS,the Housing Land Trust of Sonoma County(HLT) is a nonprofit corporation with experience in the construction, sale and operation of affordable ownership opportunities, including opportunities in the City of Rohnert Park, and is qualified to manage affordable units in the City; and WHEREAS, on April 24, 2018, the City Council of the City of Rohnert Park adopted Resolution No 2018-059 to enter into a Memorandum of Understanding with Sonoma State University (SSU) and to execute all documents necessary to effectuate the long-term affordability of ownership units that SSU may develop or procure for their employees, in partnership with HLT; WHEREAS, on November 13, 2018, the City Council of the City of Rohnert Park adopted Resolution No 2018-146 to execute all documents necessary to effectuate the continued affordability of the 16 affordable ownership duet units in the Southeast Specific Plan in partnership with HLT; WHEREAS, on December 11, 2018, the City Council of the City of Rohnert Park adopted Resolution No 2018-160 to preserve affordable units within the CentreVille complex in partnership with HLT; WHEREAS, on May 29, 2019, the City Council approved the execution of Affordable Housing Agreements with developers to effectuate the City's affordable housing requirements; and WHEREAS, the costs associated with home-buying such as down payment, closing costs, and minor rehabilitations are common impediments that can keep low and moderate income households from making the transition to home ownership (the "affordability gap"); and WHEREAS, the City's Fiscal Year 2019-20 budget includes an expenditure of$250,000 from the Affordable Housing Linkage Fee Fund to expand affordable housing opportunities to low- and moderate-incor-.le households; and WHEREAS, HLT plans to contribute $300,000 to match the City's expenditure, together with its staff expertise, in order to implement a pilot project to close the affordability gap and assist local, moderate income household in acquiring homes in Rohnert Park. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Rohnert Park as follows: 1. The City Council hereby approves the expenditure of$200,000.00 in previously budgeted Affordable Housing Linkage fee funds to create four affordable moderate-income ownership units in the City in partnership with the Housing Land Trust and finds that the expenditure will expand affordable housing opportunities to moderate-income households in the City of Rohnert Park. 2. The City Council hereby approves and authorizes the City Manager to execute Affordable Housing Agreements and Declaration of Restrictive Covenants with Option to Purchase ("Affordable Housing Agreements") by and between the City and HLT in the forms similar to those previously approved by the City Council and approved by the City Manager and City Attorney, to ensure the four moderate-income affordable ownership units remain affordable in perpetuity, as a condition of the expenditure of the housing funds. 3. The City Manager is hereby authorized and directed to execute any other documents and to take any other actions necessary to effectuate the creation of the four moderate-income ownership units. DULY AND REGULARLY ADOPTED this 24th day of September, 2019. CITY OF ROHNERT PARK Gina orte ayor ATTEST: Sy v_ uevas, sslstant i erk ADAMS: MACKENZIE: STAFFORD: CALLINAN. %BELFORTE: AYES: ( �) OES ) ABSEN ( ) ABSTA ) Resolution 2019-120 2