HomeMy WebLinkAboutHousing Authority Action approving acceptance of RedevelopmeCouncil/Agency Meeting Held:
Deferred/Continued to:
�(Appro d to ® Conditionally Approved Ll Denied It Cler ' Signat
Council Meeting Date: 1/9/2012 Department ID Number: ED 12-002
SUBMITTED TO: Honorable Chair and Housing Authority Board Members
SUBMITTED BY: Fred A. Wilson, Executive Director
PREPARED BY: Bob Hall, Deputy Executive Director
SUBJECT: Acceptance of Redevelopment Housing Assets and Functions; Adopt
Resolution No. 01
Statement of Issue, Funding Source, Recommended Action, Alternative Action(s), Analysis, Environmental Status, Attachment(s)
Statement of Issue: On December 29, 2011, the California State Supreme Court
announced its ruling upholding Assembly Bill ABX1 26 (dissolution of Redevelopment
Agencies), but overturning and invalidating Assembly Bill ABX1 27 (allowing "pay -to play").
Based upon the Court's ruling validating AB1X 26 Redevelopment Agencies are dissolved
and replaced with Successor Agencies responsible for winding down the affairs of the
Redevelopment Agencies including disposing of their assets. The Housing Authority is
requested to adopt the attached Resolution designating the Housing Authority as the
Successor Housing Agency and accepting transfer of all assets and functions from the City.
Funding Source: Not Applicable
Recommended Action: Motion to:
Adopt Housing Authority Resolution No. 01, "A Resolution of the Housing Authority of the
City of Huntington Beach Accepting the Transfer of the Housing Assets and Functions of the
Huntington Beach Redevelopment Agency Under Part 1.85 of Division 24 of the Health and
Safety Code Subject to Reservations Herein Stated."
Alternative Action(s):
Do not adopt the Resolution, which would allow a County or a separate taxing agency to
become the Successor Housing Agency and be the lead in the dissolution of Agency assets.
Item 40 ® 2
HB - 314
REQUEST FOR HOUSING AUTHORITY ACTION
MEETING DATE: 1/9/2012 DEPARTMENT ID NUMBER: ED 12-002
Analysis•
The City, by adoption of a Resolution, has elected to become the Successor Agency to the
former Redevelopment Agency's assets. The City, also by Resolution, has elected to
designate the Housing Authority as the Successor Housing Agency to perform the housing
functions of the former Redevelopment Agency. By adopting this Resolution, the Housing
Authority accepts all housing Assets and housing functions.
Assembly Bill X1 27 requires Successor Agencies to repay amounts previously borrowed
from the Housing Fund (i.e. to make SERAF payments in prior years), repayment of which
had been deferred as of the effective date of the Assembly Bill. With the creation of the
Successor Housing Agency, repayments would be paid to the City's Housing Authority. The
Assembly Bill requires Oversight Boards to direct Successor Agencies to list amounts owed
to the Housing Fund on the Recognized Obligation Payment Schedule.
The Redevelopment Agency currently has loans in the amount of $3.5 million to the Housing
fund.
Strategic Plan Goal: Maintain Financial Viability in Our Reserves
Environmental Stratus: Not Applicable
Attachment(s):
Resolution No. 01, "A Resolution of the Housing Authority of the City of
Huntington Beach Accepting the Transfer of the Housing Assets and Functions of
the Huntington Beach Redevelopment Agency under Part 1.85 of Division 24 of
the Health and Safety Code Subiect to Reservations Herein Stated"
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HB - 315
1/5/2012 12:31 PM
Item 4® - 3
ATTACHMENT
',
RESOLUTION NO. 01
A RESOLUTION OF THE HOUSING AUTHORITY OF THE CITY OF HUNTINGTON
BEACH ACCEPTING THE TRANSFER OF THE HOUSING ASSETS AND FUNCTIONS
OF THE HUNTINGTON BEACH REDEVELOPMENT AGENCY UNDER PART 1.85 OF
DIVISION 24 OF THE HEALTH AND SAFETY CODE SUBJECT TO RESERVATIONS
HEREIN STATED
WHEREAS, the City of Huntington Beach formed the Huntington Beach
Redevelopment Agency ("Agency"), which has continuously engaged in redevelopment
activities under the Community Redevelopment Law (Health and Safety Code sections 33000 et
seq.); and
Sections 33334.2 and 33334.3 of the Community Redevelopment Law (CRL) require the
Agency to use 20 percent of taxes allocated to the Agency pursuant to Section 33670 of the CRL
for the purpose of increasing, improving, and preserving the community's supply of low and
moderate income housing ("Low and Moderate Income Housing Fund"); and
The Agency has continuously utilized its Low and Moderate Income Housing Fund for
the purpose of increasing, improving and preserving the community's supply of low -and
moderate -income housing available at affordable housing cost; and
By enactment of Part 1.85 of Division 24 of the Health and Safety Code, subject to all
reservations herein stated, the Agency is subject to dissolution on February 1, 2012 such that the
Agency shall be deemed as a former Redevelopment Agency under Health and Safety Code
section 34173(a); and
Pursuant to Part 1.85 of Division 24 of the Health and Safety Code, the City Council of
the City of City of Huntington Beach has duly adopted Resolution No. 2012- 02
("Resolution"), subject to all reservations therein stated, designating the Housing Authority to
receive a transfer of, without limitation, all of the housing assets, rights, powers, duties,
obligations, liabilities and functions previously performed by the Agency upon the dissolution of
the Agency, including enforcement of affordability covenants and performance of related
activities pursuant to applicable provisions of the Community Redevelopment Law (Part 1,
commencing with Section 33000), including, but not limited to, Section 33418; and
The City Council of the City of City of Huntington Beach adopted the Resolution,
subject to the express reservation of rights of the City of Huntington Beach, Agency and the
Housing Authority under law and/or equity, including without limitation the effectiveness of
Assembly Bill No. 26 (2011-2012 lst Ex. Sess.) ("AB Ix 26") (collectively, "Laws"); and
Subject to all reservations herein stated and pursuant to Part 1.85 of Division 24 of the
Health and Safety Code, the Housing Authority desires to accept the transfer of, without
limitation, all of the housing assets, rights, powers, duties, obligations, liabilities and functions
previously performed by the Agency upon the dissolution of the Agency, including enforcement
of affordability covenants and performance of related activities pursuant to applicable provisions
of the Community Redevelopment Law (Part 1, commencing with Section 33000), including,
but not limited to, Section 33418; and
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12-3165/74602
Housing Authority Resolution No. 01
The Housing Authority does not intend, by adoption of this resolution, to waive any
constitutional and/or legal rights by virtue of the adoption of this resolution and, therefore,
reserves all of its rights under Laws to challenge the applicability of AB Ix 26 to the City of
City of Huntington Beach, Agency and the Housing Authority in any administrative or judicial
proceeding; and
All other legal prerequisites to the adoption of this resolution have occurred; and
The Housing Authority hereby finds and determines that the foregoing recitals are true
and correct.
NOW, THEREFORE, the City Council of the City of Huntington Beach does hereby
resolve as follows:
1. Subject to all reservations herein stated and pursuant to Part 1.85 of Division 24
of the Health and Safety Code, the Housing Authority accepts the transfer of, without limitation,
all of the housing assets, rights, powers, duties, obligations, liabilities and functions previously
performed by the Agency upon the dissolution of the Agency, including enforcement of
affordability covenants and performance of related activities pursuant to applicable provisions of
the Community Redevelopment Law (Part 1, commencing with Section 33000), including, but
not limited to, Section 33418.
2. The Executive Director or his/her designee is hereby authorized to make all
notifications of such acceptance, as deemed necessary under Part 1.85 of Division 24 of the
Health and Safety Code and to execute all documents and take all actions necessary and
convenient to carry out and implement the transfer to the Housing Authority of the rights,
powers, assets, duties and obligations associated with the housing activities of the Agency and to
administer the Authority's obligations, responsibilities and duties to be performed thereunder.
This resolution shall take effect immediately upon its adoption.
PASSED AND ADOPTED by the Housing Authority of the City of Huntington Beach at
a regular meeting thereof held on the 91: h day of January , 2012 .
REV14P., kND APPROVED:
I Y� l�•
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Chairman
I A ED PPROVED:
Deputy Executive Director
A OVED A FORM:
thority ounsel
12-3165n4602
Res. No. 01
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss
CITY OF HUNTINGTON BEACH )
I, JOAN FLYNN, Housing Authority Clerk of the Huntington
Beach Housing Authority DO HEREBY CERTIFY that the foregoing
resolution was duly adopted by the Huntington Beach Housing Authority at
a special meeting of said Housing Authority held on January 9, 2012 and
that it was so adopted by the following vote:
AYES:
Shaw, Harper, Dwyer, Hansen, Carchio, Bohr, Boardman
NOES:
None
ABSENT:
None
ABSTAIN:
None
�e.
rk of the Huntington Beach
Housing Authority
City of Huntington Beach, California