TITLE
Recommendation to adopt a Middle-Income Housing Program to include the policy components included herein. (Citywide)
DISCUSSION
On January 18, 2022, the City Council reviewed the proposed Middle-Income Housing Program (Program) and indicated support for the general goals of the Program. The City Council requested that staff return with a revised Program for consideration. The City Council request also included the following:
1. Prepare policies for new construction projects and acquisition/conversion of existing units;
2. Engage with Waterford Property Company (Waterford) and as necessary, their partners, California State University of Long Beach (CSULB), and California Statewide Communities Development Authority’s Community Improvement Authority (CSCDA) for specific input on the program policies;
3. Achieve the City of Long Beach (City) housing affordability goals; and,
4. Demonstrate that proposed projects have adequate financial reserves and maintenance requirements.
The City engaged HR&A Advisors, Inc. (HR&A), to assist the Development Services, Financial Management, City Attorney and City Manager Departments to ensure the Program objectives addressed established City housing policies as well as financial best practices and standards. While recognizing the benefits of this Program and its current statewide popularity, City staff acknowledges that the Middle-Income Housing Program Statewide is new and untested with potential risks, both seen and unforeseen over the long term. The proposed Program, to the greatest extent possible: 1) ensures long term housing affordability; 2) ensures adequate long-term property maintenance; 3) reduces the risk of foreclosure; 4) ensures the available project resources are channeled into the Project to enhance affordability and reduce rents; and, 5) balances the benefits to the City and to the Sponsor/Administrator over time.
The Program provides a framework that can be tailored to the individual characteristics of...
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