HomeMy WebLinkAbout16 - Amendment No. 1 to Agreement with Habitat for Humanity Orange County (C-6378)Pe CITY OF
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'P City Council Staff Report
November 22, 2016
Agenda Item No. 16
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Kimberly Brandt, Community Development Director - 949-644-3232,
kbrandt@newportbeachca.gov
PREPARED BY: Melinda Whelan, Assistant Planner,mwhelanCa�-newportbeachca.gov
PHONE: 949-644-3221
TITLE: Amendment No. 1 to Agreement with Habitat for Humanity Orange
County (C-6378)
ABSTRACT:
This is a request to amend the agreement with Habitat for Humanity Orange County
(Habitat OC) to expand the qualifying household income requirements associated with
the Senior Home Repair Program (SHARP), which is a grant program. SHARP currently
limits grants to senior households that are "very -low"; the proposal is to expand
household income limits to also include "low-income".
RECOMMENDATION:
a) Find the project to be categorically exempt pursuant to Title 14 of the California
Code of Regulations (Section 15301, Article 19 of Chapter 3, Guidelines for
Implementation of the California Environmental Quality Act) under Class 1 (Existing
Facilities); and
b) Approve and authorize the Mayor and City Clerk to execute the amendment to the
agreement with Habitat OC.
FUNDING REQUIREMENTS:
The amendment does not change the City's funding allocation of $600,000 for the
Senior Home Repair Program (SHARP). The grant funding source is from the City's
Affordable Housing Fund.
DISCUSSION:
On November 24, 2015, the City Council entered into an agreement with Habitat OC
granting up to $600,000 to establish a critical home repair program, SHARP, for lower-
income seniors. The intent of the program is to allow seniors to reside in their existing
homes safely and preserving the housing stock for lower income residents of the City.
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Agreement with Habitat of Humanity OC — Amendment 1 (C-6378)
November 22, 2015
Page 2
The agreement specified the eligible income of qualified seniors as "very -low income",
which is defined as fifty percent (50%) or less of the County annualized median income.
After a year of program implementation, the City has successfully funded one project
and is qualifying a potential second project; however, expanding the income level to
include "Low-income" would increase the field of potential project candidates and assist
additional lower income seniors in need. The income category of "low-income" is
defined as eighty (80%) or lower of the County annualized median income.
The change to the income limits is found in Section 7(a) on page 5 of the agreement.
The intent and goal of the program to use affordable housing funds to assist lower-
income seniors would be maintained with this amendment.
ENVIRONMENTAL REVIEW:
Staff recommends the City Council find this project exempt from the California
Environmental Quality Act (CEQA) pursuant to Section 15301 (Existing Facilities) of the
CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3. This exemption
allows for the operation, repair, maintenance, permitting, leasing, and minor alterations
to existing structures involving negligible or no expansion of use. Project funding will
lead to the renovation and continued use of existing residential dwelling units with no
expansion of use.
NOTICING:
The agenda item has been noticed according to the Brown Act (72 hours in advance of
the meeting at which the City Council considers the item).
ATTACHMENTS:
Attachment A - Amendment to Habitat for Humanity Affordable Housing Agreement
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Attachment A
Habitat for Humanity Affordable Housing
Agreement Amendment
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AMENDMENT NO. ONE TO
AFFORDABLE HOUSING AGREEMENT
BETWEEN THE CITY OF NEWPORT BEACH AND
HABITAT FOR HUMANITY, REGARDING USE OF AFFORDABLE HOUSING
FUNDS FOR VARIOUS ELIGIBLE SENIOR RESIDENTS
THIS AMENDMENT NO. ONE TO AFFORDABLE HOUSING AGREEMENT
("Amendment No. One") is made and entered into as of this 22nd day of November,
2016 ("Effective Date"), by and between the CITY OF NEWPORT BEACH, a California
municipal corporation and charter city ("City"), and HABITAT FOR HUMANITY OF
ORANGE COUNTY, INC., a California nonprofit corporation ("Habitat OC"), whose
address is 2200 South Ritchey Street, Santa Ana, California 92705-5308, and is made
with reference to the following:
RECITALS
A. On November 24, 2015, City, via its OASIS Senior Center ("OASIS"), and Habitat
OC entered into an Affordable Housing Agreement ("Agreement") to implement a
program that identifies low income seniors to provide them with critical home
repairs such as: accessibility, safety concerns, health and wellbeing (toilets,
plumbing, roofing repair), and resolution of code enforcement issues.
B. The parties desire to enter into this Amendment No. One to amend Section 7(a)
of the Agreement regarding Recipient property owners' income requirement.
NOW, THEREFORE, it is mutually agreed by and between the undersigned
parties as follows:
1. RECIPIENT PROPERTY OWNER'S AGE AND INCOME REQUIREMENT
Section 7(a) of the Agreement is amended in its entirety and replaced with the
following:
"(a) The housing unit shall be occupied by persons or families earning no more
than eighty percent (80%) of the County annualized median income ("Low
Income"). Each qualified property shall be occupied by persons who are sixty
(60) years of age or older, are residing in the property as their primary residence,
and shall be named on the title of the house."
2. INTEGRATED CONTRACT
Except as expressly modified herein, all other provisions, terms, and covenants
set forth in the Agreement shall remain unchanged and shall be in full force and effect.
[SIGNATURES ON NEXT PAGE]
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IN WITNESS WHEREOF, the parties have caused this Amendment No. One to
be executed on the dates written below.
APPROVED AS TO FORM:
CITY ATTORNEY'S OFFICE
Date:
By: l )
Aaron C. Harp uK %110r,11L0
City Attorney
ATTEST:
Date:
Leilani I. Brown
City Clerk
CITY OF NEWPORT BEACH,
a California municipal corporation
Date:
By:
Diane B
Mayor
Dixon
HABITAT OC: HABITAT FOR HUMANITY
OF ORANGE COUNTY, INC, a California
nonprofit corporation
Date:
By:
Sharon Ellis
President f Chief Executive Officer
Date:
am
Joseph Bennington
Chief Financial Officer
[END OF SIGNATURES]
Amendment No. One to City of Newport Beach Affordable Housing Agreement Page 2
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