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Supplemental - Info on low income housing and property owner rights
LOW /MODERATE INCOME /SEAL BEACH * 30,000 POPULATION = i.w. ARE LOW iNcomE = 600 PEOPLE THERE IS NO PENALTY FOR NOT HAVING LOW INCOME HOUSING, UNLESS YOU HAVE A REDEVELOPMENT AGENCY. * TRAILER PARK PRIOR TO DEAL= 40 YEAR RESTRICTION * TRAILERPARK AFTERDEAL= 30 YEAR RESTRICTION NET 10 YEAR LOSS ON AFFORDABLE HOUSING IN PARK • PRIOR TO DEAL, ALL BUT 5 LOTS WERE RESTRICTED • AFTER -25 LOTS ARE UNRESTRICTED NET LOSS 20 LOTS FOR AFFORDABLE HOUSING WHAT HAPPENS IN 30 YEARS? 1. THERE WILL BE NO AFFORDABLE HOUSING AT ALL IN THE SEAL BEACH TRAILER PARK 2. THE OWNERS OF THE TRAILER PARK WILL BE ABLE TO SELL WITH NO RESTRICTION ON USE AT TAXPAYER EXPENSE. CONCLUSION CITY COUNCIL APPROVED 7.5 MILLION ON TRAILER PARK CITY COUNCIL APPROVED $400,000 ON 1119 OCEAN AVENUE FOR A TOTAL OF 7.9 MILLION SPENT ON LOWANCOME HOUSING FOR 600 PEOPLE WHICH EQUALS $133,000 PER PERSON. 4. � The Orange County Register • Thursday, April 18, 2002 �— 0 / City officials such as Dana Point Councilman Harold Kaufman say they arc doing . what they can. "Sure there's a need," Kauf- man said. "The fact is that it's difficult to find land. You try to do as much as you can, but you caret do enough to satisfy Dunn It's just not possible." ¢' would fine cities without ap- provedplans. OrangeCoun- ty's largest cities could face fines of $500,000. The bill also would withhold transporta- tion funding to cities that go . more than five years without a plan. "It's time to apply a stick to those chronic violators," Dunn said. / 7 Cities' affordable-housing status Residents enumerated below make less than 50 percent of the county median income. The current median income is $52,900 for a single person and 575,600 for a family of four. Jurisdiction Residents who pay more than 50 percent of income in rent Residents who live with over- crowdini Percentage of population can - sidered in need of rental aid••• Anaheim' 13,689 4,982 5.7% Brea 838 152 2.8% Buena Park 2,636 959 4.6% Costa Mesa 4,774 1,337 5.6% Cypress 778 214 2.1% Dana Point' 935 205 1 32% Fountain Valley 702 - 135 1.5% Fullerton 5,460 1,597 5.6% Garden Grove' 6,315 2,813 5.5% Huntington Beach - 5,188 1,004 3.3% Irvine' 3,129 519 1.9% Laguna Beach 794 36 3.5% Laguna Hills' N/A N/A N/A 1.31110da Hlguel _ -' "- 827 - 67 1.40A La Habra' - 2,347 625 5.0% La Palma' 245 81 21% Lake Forest N/A , N/A N/A Los Alamitos 303 49 3.0% Mission Viejo 943 110 1.1% Newport Beach' 1 %1 113 3.0% Orange 4,018 1267 4.1% Placentia' 1.102 440 3.3% San Clemente 2,098 425 5.0% San Juan Capis- trano 497 202 2]% Santa Ana 12,352 81875 5.5% Seal Beach' 446 I Stanton 1,857 679 6.8% Fustin' 2,749 780 5.2% Westminster 3,141 1,362 - 5.1% yorba Linda' 433 27 0.8% Unincorporated 3,375 1 611 1 1.8% Information is unavailable for the new cities of Aliso Viejo, Laguna Woods and Rancho Santa Margarita, as well as Laguna Hills and Lake Forest. 'Cities that do not have state - approved housing plans. The three newer ci- ties are currently exempt from this requirement. -More than one person per room, including living and dining rooms and kitchen "'Includes those who overpay or live in overcrowded units Sources: California Departmental Housing and Community Development, Southern California Association of Governments and the city of Anaheim. Overpayment and overcrowding are based on 1999 data. Cities without approved housing plans are from the state's current listing. Sera 03 eG t A �aPNiN� %� bhO. )v Tir RECORDING REQUESTED BY �— - FIDELITY NATIONAL TITLE CO y cy0� RECORDING REQUESTED BY / AND WHEN RECORDED MAIL TO: a � Ae g? to Agency of the City of Seal Beach D0 / p/ Ve 7 ,60 211 8" Street oC /o % Seal Beach, CA 90740 ©�/ M0 L,,. k Attn: Executive Director No fee for recording pursuant p� _ a Q yN ('ffd(rieN to Government Code Section 27383 REGULATORY AGREEMENT r:y'" (Seal Beach Mobilehome Park) ; I� fro r; b n yeolf This Regulator}AAgreemem (the "Agreement ") is made and entered into as of December I, 2000, by and between the Redevelopment Agency of the City of Seal Beac14 a public body,DL, corporate and politic, (the "Agency") and LINC Community Development Corporation, a California nonprofit public benefit corporation (the "Ownai,"} as Y 1. The Agency and the Owner have entered into a Loan and Grant Agreement (the "Loan and Grant Agreement ") and a Bridge Loan Agreement, each dated as of December 1, 2000, under which the Agency has loaned and granted Surds (collectively, the "Loan Agreement ") to the Owner which will be used: (i) to pay a portion of the acquisition costs of a one - hundred twenty-five (12*space mobilehome park known as Seal Beach Trailer Park (the "Property"), located at 313 Welcome Lane, in Seal Beach, County of Orange and within the Agency's Riverfront Redevelopment Project, as more particularly described in BKhM A attached hereto and incorporated herein (the "Real Property"); and (i) to assist in funding a rental assistance fund to be utilized to provide rental subsidies for eligible residents of the Property. The above - referenced loans and grant are hereinafter collectively referred to as the "Loan'_ 2. The funds constituting the Loan and advanced to the Owner are low and moderate income housing funds (or other funds available to the Agency), and pursuant to Health and Safety Code Section 33334.2, such funds are required to be utilized to increase, improve, and preserve the supply of housing available at affordable housing cost to persons and families of low or moderate income. This Agreement is intended to implement such purpose. 3. The Agency has agreed to loan and grant funds to the Owner on the sn96uo60\637507.2 � Q'✓ �o Gc CA Y- IV-0 � � r( f Ir' Section 2.1 Very Low and Moderate Income Occupancy Requirements. (a) w c e Occu an . For the entire Term of this Agreement, a minimum of twenty Perc t (20%) o the Resident HousehQolds in the Property shall be Very Low �me� r, Households. � O C� — �6� NN ri) � A (b) od to In me ocu a . For the entire Term of this Agreement, a minimum of an additional suety pe t 60% of a Resident Households in the Property shall be Mode te/ IncomeHouseholds. �/o Zei� 6Vrp (c) Income Certifications. The Owner shall Perform income certifications of all New Residents as a condition of approval of their occupancy. Income certifications shall be performed pursuant to the requirements of Section 3.1 of this Agreement. The Owner shall not approve the occupancy of a New Resident or sign a Rental Agreement with such household if such household's occupancy world cause the Property to be out of compliance with the requirements of this Section 2.1. Section 2.2 Owner Occupancy Requirement. (a) Owner Occupants. Except as provided in subsection (b) below, all residents of the Property shall be required to own and occupy their mobilehomes in the Property as their principal place of residency, and shall not be permitted to rem -out their mobilehomes. All New Residents shall be required to sign a certificate stating their intent to own and occupy heir mobilehome in the Property as their principal place of residency prior to execution of a Rental Agreement. The Owner may grant limited exceptions to the owner-occupancy requirement and permit rental of mobile homes by Resident Households for a maximum of six (6) months (with two (2) three (3) month extensions for good cause) in the event of hardship circumstances requiring an owner to temporarily vacate the mobile home, provided the owner intends in good faith to re- occupy the mobilehome at the end of such time period. The Owner shall obtain from all New Residents, and shall utilize best efforts to obtain from all Existing Residents (except for Non - Owner Residents), annual owner - occupancy certifications, in which each resident certifies under penalty of perjury that he or she owns his or her mobilehome (or the mobilehome is owned by another resident member of the household) and he or she occupies the mobilehome as his or her principal place of residence, and submit copies of such certifications to the Agency with the annual report required pursuant to Section 3.2 below. For purposes of this Agreement, "principal place of residency' shall mean the principal residence of the resident as claimed for property and income tax purposes. - (b) Non -Owner Residents, As of the date of this Agreement, there are a number of mobitehomes in the Property which are occupied by Non -Owner Residents that rent rather than own the mobilehomes they occupy- These mobilehomes shall not be required to be owner - occupied so long as they are owned by the person or entity that owned them on November 30, 2000, and in no event shall Owner displace or cause the displacement of the occupying households from the Property solely based upon non -owner resident status; provided, however, -6- rvrs,po S7296uoco�ss7so7.x FAX NO. : 949 380 3310 Apr. 22 2002 04:37PM P2 PETITION FOR SUBMISSION TO VOTERS OF PROPOSED AMENDMENT 7h C TO THE CHARTER OF THE CITY OF HUNTINGTON BEACH ' ' e tty Attorney of Huntington Beach has prepared the following title and summary of the chief purpose and points of the proposed charter amendment: BALLOT TITLE A ballot measure to amend the Charter of the City of Huntington Beach to provide that only a property owner can establish the price or terms regarding that property's sale, lease, rental, exchange or transfer; and prohibiting the City of Huntington Beach from legislating or regulating the price or terms concerning the sale, lease, rental, exchange or transfer of property (for example, by the adoption of a rent control ordinance). BAs-LOT SUMMARY The proposed measure, called the "Property Rights Protection Measure,' and citing social problems alleg- edly caused by rent control in Santa Monica, would add Section 603 to the Charter of the City of Hunting- ton Beach to provide that the City shall not enact or enforce any measure that would mandate the price or other consideration payable to a property owner in connection with the sale, lease, rent, exchange or trans. far of that property. The purpose of the proposed ballot measure is to prohibit the City from adopting any regulation that would impose price or rent controls on residential properties, such as single family homes, apartments, or mobile home parks. The proposed ballot measure permits the establishment of price or rent controls in six circumstances, In- cluding: properties which contain serious health, safety, fire or building code violations which remain on. abated for six months or longer; and properties owned by public agencies. At the present time, the City has several ordinances that deal with the general subjects of mobile homes and mobile home parks. It Is not known what affect, if any, thatpassage of the proposed ballot measure will have on these ordinances. The City has an ordinance allowing owners of mobile homes in mobile home parks to temporarily rent their mobile homes for reasons of personal hardship. And the City, as part of its zoning ordinance, has provisions concerning mobile park conversions; that is, when land Is changed from a mobile home park use to some other type of use. If passed, the proposed ballot measure may affect one or more of these ordinances. The proposed charter amendment read, asset forth below and on the subsequent page hereof: The People of the Ciry of Huntington Beach do adopt as follows- A PROPOSAL TO ADD SECTION 803 TO THE CITY CHARTER OF THE CITY OF HUNTINGTON BEACH SECTION 1. Property RiehUj!r_ r -u Me su The City Charter of the City of Huntington Beach is hereby amended to add a new Section 803 to read as follows: "Section 803. PROPERTY RIGHTS PRO- TECTION MEASURE. (a) The City shall not enactor enforce any measure which mandates the price or other consider- ation payable to the owner in connection with the sale, lease, rent, exchange or other transfer by the owner of real property. Any such measure is hereby repealed. (b) The word "mandates" as used in sub. section (a) includes any measure oaken by ordinance, - resolution, administrative regulation or other action of the City to establish, continue, implement or en- force any control or system of controls on the price or other terms on which real property in the City may be offered, sold. leased, rented, exchanged or otherwise transferred by its owner. The words "real property" as used in Subsection (a) refer to any parcel of land or sire, either improved or unimproved, on which a dwell. ing unit or residential accommodation is or may b= situated for use as a home, residence orsleeping place. (c) This Section 803 shall not apply to (1) anyreal property which contains serious health, safety, fire or building code violations, excluding those caused by disasters, for which a civil Or criminal citation has been issued by the City and remains unabated for six months or longer; (2) any real property owned by a pub. lic entity. and real property where the owner has agreed by contract with the public entity, including the City and any of its related agencies, to accept a financial contribution or ocher tangible benefit including without limitation, assistance under the Community Re. development Lew; (3) any planning or zoning power of the City as relates to the use, occu. Parity or improvement of, eal property and to anyMal property which the City or any of its related agencies may ac- quire by eminent domain, purchase, grant or donation; (4) any power of the City to require a business license for the sale or rental of real property, whether for rcgula. [ion or general revenue purposes; APR -22 -2002 1744 949 380 3310 99% P.02 I "S (text continued) FAX N0. 949 380 3310 Apr. 22 2002 04:38PM P3 t whereas the eldeilypopulation of Los Angeles County rose. by more than X15% over. the same decade. The elderly population increased over this period in every comparable city without rent control in Southern Call. forms, (5) - any dwelling unit or accommo- dation in any hotel, motel or other fa- cility when the transient occupancy of that dwelling unit or accommodation is subject to a transient occupancy tax; or (6) to impair the obligation of any contract entered into prior to the en- actment of this Section 803 or other- wise required by State law." SECTION 2. Title of Proposal to Amend the City Charter.. The proposal to amend the City Charter of the City of Huntington Beach to add a new Section 803 shall be known as the "Property Rights Protection Measure ". SECTION 3. Findines and Statement of Pur- pose of Property Rights Protection Measur : There is strong and convincing practical evidence which shows that price controls on the sale or rental of any residential accommodation does nothing to preserve or maintain affordable housing. In fact the evidence in Southern California appears to show that rent control destroys affordable housing and acceler- ates development pressures to turn older properties into new and higher density commercial and so- called "up- scale" housing. To pick just one of many ex- amples—in the City of Santa Monica with its rent control regulations Santa Monica has seen a decline in the number of family households with children which is larger than any other comparable city in Southern California without rent contro l. Under rent control, Santa Monica's elderly population (age 65 or over) declined by 1.7 percent between 1980 and 1990, The result of social experimentation with rent control in Southern California produces the follow- ing conclusion: rent control does not provide more or better af- fordable housing for anyone– especially the eld- erly and young families. The imposition of rent control forces some prop- erty owners to change the use of their property and this change of use often can result in more develop- ment and pressures which cause the destruction of existing neighborhoods. Unnecessary and complicated government interference in private property transac- tions and homeownerships and rental decisions pro- duces wasteful lawsuits and imposes needless costs on all taxpayers. We the people find that the best means to assure that our community and neighborhoods are preserved is to pro- tect property rights and to allow owners to make their own decisions about The price and other terms on which they can sell or lease their residential property . SECTION 4. Severability: If any provision of Section 803 of the City Charter of the City of Huntington Beach, or the application to any person or circumstance is held invalid by a court of competent jurisdiction, such invalidity shall not affect other provisions or applications of Section 803 which can be given effect without the invalid provi- sion or application, and to this end, the provisions of Section 803 are declared to be severable. For More Information Contact Property Owners for Property Rights 9121 Atlanta Avenue, #124 Huntington Beach, CA 92646 (714) 741 -3015 949 380 3310 99% P.03