The URL can be used to link to this page

Home My WebLink AboutSubmitted by Councilmember McKeon - Fiscal and Operations Up (2) 2000 Main Street, oNTiNGpo Huntington Beach,CA 92648 otA - 4 City of Huntington Beach /IPPROVED s Q 1q ,P ' '`' GN 0 File #: 23-432 MEETING DATE: 5/16/2023 Submitted by Councilmember McKeon - Fiscal and Operations Update on the City's Middle Income Housing Program Direct the City Manager and the Community Development Department to coordinate with Catalyst and CMFA to present a comprehensive report at a City Council Meeting in July or sooner of the Financial Impact section mentioned in the July 2021 City Council Action. The report should include, but not be limited to, the following important details: • How many of the 649 housing units are occupied? • How many have been remodeled as planned and at what cost? • How many of the units are leased to persons earning 80%-120% of the Area Median Income, as required? • What are the average monthly rents? • To fund the Middle Income Housing Program, the City has to forgo future property tax revenues for up to a 30 year period. How much in property tax did the City forego in 2022 and what is the estimated amount for 2023 and over the next 30 years? • What are the property management fees paid every year and to whom are they paid? • What are the annual maintenance and repair fees? • How many of the retail shops on the first level of Elan are leased? City of Huntington Beach Page 1 of 1 Printed on 5/10/2023 powerey LegistarTM City Council/ ACTION AGENDA May 16, 2023 Public Financing Authority B) Appropriate $433,000 in the Supplemental Law Enforcement Service Fund. Approved 7-0 ORDINANCES FOR INTRODUCTION 21. 23-403 TABLED Request to approve for introduction Ordinance No. 4282 Amending Huntington Beach Municipal Code Chapter 9.20 relating to Public Nudity Recommended Action: Approve for introduction Ordinance No.4282, "An Ordinance of the City of Huntington Beach Approved 7-0- Table the item COUNCILMEMBER ITEMS 22. 23-431 Item Submitted by Councilmember Burns Approved - Board, Commission, Committee Status and Organizational Review Recommended Action: 1. Request the City Council form an Ad Hoc Committee to review the purpose and structure of Citizen and Council Boards, Commissions, and Committees. 2. Recommend that the Mayor select three Council Members and the City Manager select two staff members to the Ad Hoc Council Committee to review the need and pertinence of standing boards, commissions, and committees. 3. Recommend that the Ad Hoc Committee return to Council in 90 days with a report on the status and recommendation to the City Council. Approved 7-0 23. 23-432 Item Submitted by Councilmember McKeon Approved - Fiscal and Operations Update on the City's Middle Income Housing Program Recommended Action: Direct the City Manager and the Community Development Department to coordinate with Catalyst and CMFA to present a comprehensive report at a City Council Meeting in July or sooner of the Financial Impact section mentioned in the July 2021 City Council Action. The report should include, but not be limited to, the following important details: • How many of the 649 housing units are occupied? • How many have been remodeled as planned and at what cost? • How many of the units are leased to persons earning 80%-120% of the Area Median `Income, as required? WI• V Vl ldt dIC if IC dVCIclye I el lb? Page 7 of 7 City Council/ ACTION AGENDA May 16, 2023 Public Financing Authority • To fund the Middle Income Housing Program, the City has to forgo future property tax revenues for up to a 30 year period. How much in property tax did the City forego in 2022 and what is the estimated amount for 2023 and over the next 30 years? • What are the property management fees paid every year and to whom are they paid? • What are the annual maintenance and repair fees? • How many of the retail shops on the first level of Elan are leased? Approved 7-0 as amended to include: How many units occupied by persons working in, versus outside of Huntington Beach 24. 23-433 Submitted by Councilmember Moser - Invocation Policy Update Recommended Action: Meeting in June 2023: 1. An update on the Invocation Policy. 2. Considerations for amending Council's direction on February 21 with a draft Resolution outlining a policy of providing a moment of silence(in lieu of an invocation). Substitute Motion Approved 4-2-1 (Bolton, Moser-No; Kalmick-Abstain) —Allow the Mayor to choose who provides invocations at City Council meetings, and withdraw the Councilmember Item of February 21, 2023 requesting staff preparation of an invocation policy. ADJOURNMENT— 8:41 PM The next regularly scheduled meeting of the Huntington Beach City Council/Public Financing Authority is Tuesday, June 6, 2023, in the Civic Center Council Chambers, 2000 Main Street, Huntington Beach, California. INTERNET ACCESS TO CITY COUNCIL/PUBLIC FINANCING AUTHORITY AGENDA AND STAFF REPORT MATERIAL IS AVAILABLE PRIOR TO CITY COUNCIL MEETINGS AT http://www.huntingtonbeachca.gov Page 8 of 7 kc CITY OF HUNTINGTON BEACH CITY COUNCIL MEETING — COUNCIL MEMBER ITEMS REPORT TO: CITY COUNCIL FROM: CASEY MCKEON, COUNCIL MEMBER DATE: MAY 16, 2023 SUBJECT: FISCAL AND OPERATIONS UPDATE ON THE CITY'S MIDDLE INCOME HOUSING PROGRAM On July 20, 2021,the previous City Council voted to become a member of a Joint Power Authority(the "JPA") with the California Municipal Finance Authority (CMFA), to enter into a series of Public Benefit Agreements, and to approve the issuance of revenue bonds by the JPA to facilitate the City's Middle Income Housing Program. The bond proceeds were used to enable the JPA to acquire and convert two private properties,the Breakwater Apartments and the Elan Apartments, into public workforce housing, which is managed and operated by project sponsor, Catalyst. This was a sizable project and quite a substantial commitment by the City. This City Council should have an opportunity to review what has been done. The July 2021 City Council action can be found on the City's website. RECOMMENDED ACTION Direct the City Manager and the Community Development Department to coordinate with Catalyst and CMFA to present a comprehensive report at a City Council Meeting in July or sooner of the Financial Impact section mentioned in the July 2021 City Council Action. The • report should include, but not be limited to,the following important details: • How many of the 649 housing units are occupied? • How many have been remodeled as planned and at what cost? • How many of the units are leased to persons earning 80%-120% of the Area Median Income, as required? • What are the average monthly rents? • To fund the Middle Income Housing Program,the City has to forgo future property tax revenues for up to a 30 year period. How much in property tax did the City forego in 2022 and what is the estimated amount for 2023 and over the next 30 years? • What are the property management fees paid every year and to whom are they paid? • What are the annual maintenance and repair fees? • How many of the retail shops on the first level of Elan are leased? STRATEGIC PLAN GOAL: Economic Development& Housing 296 Moore, Tania From: Douglas Von Dollen <von.dollendouglas@gmail.com> Sent: Monday, May 15, 2023 12:02 PM To: supplementalcomm@surfcity-hb.org Cc: CITY COUNCIL Subject: Opposition to Item #23: Review Of City's Middle Income Housing Program Although recent reports of dramatic rent increases and homeless people using utility closets for shelter at Elan are troubling,the City Council,City Manager, and Community Development Department need to be laser-focused on preparing a coherent housing element after operating without one for more than 18 months and recently rejecting two carefully crafted drafts prepared by city staff in consultation with HCD. At this point, a review of the city's Middle Income Housing Program would lack proper context and tie up value resources in what appears to be a politically motivated diversion from the critical housing issues facing Huntington Beach. Instead: 1) Individual issues with Catalyst and CMFA should be handled by appropriate city personnel and the companies should be warned that the city is keeping a close eye on their performance. 2)The City Council majority should lay out the framework for what it considers to be an acceptable Cycle Six housing element as soon as possible. Sent from my iPad SUPPLEMENTAL COMMUNICATION Meeting Date: ,c//40//603 Agenda Item No.; ,a3 (2,3 e/32) Switzer, Donna From: Dennis Pappas <ndoceanpappas@gmail.com> Sent: Tuesday, May 16, 2023 12:22 PM To: CITY COUNCIL Cc: supplementalcomm@surfcity-hb.org; Dennis Pappas Subject: Support of McKeon Recommendation Middle Income Housing Update Attachments: Support of McKeon File.pdf 1 Support of McKeon File#23-432—Fiscal and Operations Middle Income Housing Program Support for McKeon's Recommended Action to direct the City Manager and Community Development Department to conduct a comprehensive study to look at occupancy, etc. of the middle-income properties purchased by the city. I am most interested to find out if the property tax loss to our city will be beneficial when 30 years rolls around. Is the Middle Housing Income Program working? Excellent question Councilman McKeon. I look forward to hearing and reading the report. I question whether the city council at the time of the approval of the project were qualified to use the taxpayer money in such a generous way? Thank you, Patricia Pappas Resident of 43 years May 16, 2023