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SR 07-13-2021 8A City Council Report City Council Meeting: July 13, 2021 Agenda Item: 8.A 1 of 10 To: Mayor and City Council From: Andy Agle, Director, Community Services Department, Housing and Human Services Subject: Housing Priority for Historically Displaced Households Recommended Action Staff recommends that the City Council approve proposed revisions to the Affordable Housing Production Program Guidelines and the Housing Trust Fund Guidelines to: 1. Establish a pilot program to prioritize households on the City’s affordable housing waitlist who were displaced by the Civic Auditorium or I-10 Freeway projects; and 2. Incorporate changes related to Santa Monica worker priority to broaden diversity in the applicant pool. Summary In response to historic zoning practices and land use decisions that disproportionately impacted communities of color and displaced thousands of households living in Santa Monica, staff seek Council authorization to introduce a right to return policy to the City’s Affordable Housing Production Program (AHPP) Guidelines and Housing Trust Fund (HTF) Guidelines, as well as make other administrative modifications. Pursuant to Council direction in March 2019, the proposed changes to the AHPP Guidelines and HTF Guidelines would create a pilot program to provide priority in City-funded housing and inclusionary housing for up to 100 households or descendants of households who were displaced by creation of the Civic Auditorium in the Belmar Triangle neighborhood or the I-10 Highway in the Pico neighborhood. With this modification, priority for Santa Monica affordable housing would be: 1. Households facing immediate displacement due to the Ellis Act, government action, natural disaster, or similar evictions and before 2. Households or descendants of households displaced from the Historic Belmar Neighborhood in what is today the Civic Center or along the I-10 Highway (see Attachment A for specific streets impacted) 8.A Packet Pg. 2159 2 of 10 3. Households who currently live or work in Santa Monica. All other households that do not qualify for the three priorities above are placed on the waitlist behind the prioritized households. The pilot program approach would allow staff to test and evaluate outreach strategies, applicant demand, the availability of historical documentation, verification processes, compliance with governing legislation, and the administrative resources required to implement a broader program. Separate from the proposed pilot program, staff also proposes minor revisions to the AHPP and HTF Guidelines to modify the number of working hours per week required to qualify for local worker priority, consistent with worker qualification criteria in the housing voucher program and emergency order adjustments previously approved by Council. Background Beginning in the 1950s, the federal government provided funding for what was called urban renewal in cities of all sizes, resulting in displacement of hundreds of thousands of families from their homes and neighborhoods from 1950 to 1966. Nationally, low- income households and communities of color bore the brunt of these urban renewal programs and highway system expansions which resulted in the mass clearance of homes, businesses, and neighborhood institutions. Santa Monica was not immune to these national policies and practices. The local impact was particularly significant on two areas of the city: the Belmar Triangle (what is today the area that houses the Civic Auditorium) and the I-10 Highway/Pico Corridor. See Attachment A for the list of streets and addresses representing the affected areas. Belmar Triangle/Present-Day Civic Center (1950s) The Belmar Triangle area was once populated with rows of shotgun houses. The neighborhood, made up mostly of Black residents and business owners, was targeted for urban renewal. In the 1950s, the City used eminent domain to purchase the properties in this area to make way for the construction of the Civic Auditorium under a national program called Build America Better. 8.A Packet Pg. 2160 3 of 10 Pico Corridor/10 Highway (1960s) The I-10 highway was built in the 1960s, essentially splitting the Pico neighborhood in two, displacing mostly low-income households, including African American and Latino families. The State of California used eminent domain to purchase houses that ran the route of the current highway to connect downtown Los Angeles to the Pacific Coast Highway. The highway expansion started in 1957 and was complete in 1966. By the late 1960s, thousands of Santa Monica households had been displaced by urban renewal projects. In March 2019, while discussing proposed amendments to the AHPP, Council directed staff to explore a historical displacement policy or “right to return” provision of the City’s affordable housing policy to commemorate the Belmar Triangle neighborhood beyond naming recognition of the new sports field on the site at the Civic Center. Prioritizing households displaced by the Civic Center and the construction of the 10 highway for the City-administered waitlist for affordable housing would be a way to implement the policy. Such a policy would require amending guidelines of the AHPP and HTF. Implementing the Council’s direction began when a GARE (Government Alliance on Race and Equity) working group of staff from Rent Control, the City Manager’s Office, the Santa Monica Public Library, and the Community Services Department researched how other jurisdictions address the issue and identified factors unique to Santa Monica. The GARE team worked closely with the City’s Housing and Human Services staff to draft a policy that would prioritize placement on the City’s affordable housing waitlist for individuals who can provide proof that they or their relatives were displaced from Santa Monica in the 1950s or 1960s in the Belmar or 10 Highway areas due to urban renewal policies and programs. A draft policy was included in a September 8, 2020 staff report to Council on advancing the City’s racial equity efforts (see Attachment B, GARE Operational Plan, Appendix A). 8.A Packet Pg. 2161 4 of 10 Santa Monica Worker Eligibility Criteria On December 10, 2019, Council adopted changes to the rental housing voucher program guidelines which reduced the minimum number of work hours required to qualify for waitlist prioritization as a Santa Monica worker. The minimum required number of hours working in Santa Monica was changed from 36 hours per week to 25 hours per week to remove a qualification barrier for Santa Monica workers who do not have full-time employment. The City also adopted an emergency-order provision on May 8, 2020 allowing waitlist applicants who lost Santa Monica employment, or experienced reduced work hours below 25 hours per week since March 1, 2020 due to COVID-19-related reasons, to continue to qualify for the local worker priority. This provision will sunset whenever the emergency orders expire (most recently extended to September 30, 2021). Past Council Actions Meeting Date Description 09/08/20 (attachment B) Advance Racial Equity Efforts in Our Community (Appendix A: GARE Operational Plan) 04/12/16 (attachment C) New and Amended Housing Programs 07/25/17 (attachment D) Revisions to Housing Trust Fund Guidelines 03/26/19 (attachment E) City Council Minutes March 26, 2019 (Agenda Item 7B) Discussion Consideration of a Right to Return Policy in Santa Monica There is now a nationwide movement of government commitment and action for the systematic change necessary to dismantle structures responsible for racial disparities. A historical displacement policy in Santa Monica could be applied to residents from the Belmar and Pico Corridor/10 Highway areas displaced during the 1950s and 1960s. Such a policy could be implemented through a revision to current prioritization policies established in the administrative guidelines of the AHPP and the HTF. Both the AHPP and HTF guidelines prioritize housing opportunities for Santa Monica residents and workers. Rather than providing a rental housing voucher subsidy, the 8.A Packet Pg. 2162 5 of 10 Below Market Housing (BMH) waitlist matches households to affordable apartments operated by for-profit and non-profit owners at a rent that is lower than market rate. Households that meet the eligibility requirements below can apply for the BMH waitlist and are then contacted when apartment buildings have vacancies that fit their affordable rent and household composition needs. Priority does not guarantee housing. Applicants must still meet the income eligibility and household size criteria for the housing opportunity. Current and Proposed Prioritization: • First priority (current) – Santa Monica households who have been or will be displaced from their homes due to a natural disaster, a government action, removal permit eviction, owner occupancy, Ellis Act, or a mobile home park closure. • Second priority (proposed) -- Households or descendants of households displaced from the Historic Belmar Neighborhood in what is today the Civic Center or along the I-10 Highway (see Attachment A for specific streets impacted). • Third priority (current) – All other households who either live in Santa Monica or work at least 25 hours per week in Santa Monica. This includes persons in job training programs with a Santa Monica employer; or who lost their employment or had work hours reduced on or after March 1, 2020 due to COVID-19-related reasons; or who previously worked in Santa Monica and now receive retirement benefits, worker’s compensation, unemployment benefits, disability benefits, or vocational rehabilitation benefits from the City of Santa Monica. All other households that do not qualify for the three priorities above are placed on the waitlist behind the prioritized households. The staff recommendation to adopt a pilot program establishing an additional waitlist prioritization in both the AHPP and the HTF guidelines represents one policy initiative that addresses historical displacement. 8.A Packet Pg. 2163 6 of 10 Community Input Survey Community and commission input were sought on possible changes to waitlist prioritization. Community input was gathered through a survey posted at santamonica.gov/righttoreturn Survey questions Possible Responses In which priority area do you recommend families impacted by historical displacement be prioritized? (Historically displaced families refer to residents with documented proof that they, their parents, legal guardians, or grandparents lived and were displaced from said impacted area) Options: -Prioritize as First Priority -Prioritize as Second Priority -Prioritize as Third Priority *Users could only choose one option Were you, your parents, legal guardians, or grandparents displaced by the Belmar or Pico Corridor development projects in the 1950s and 1960s? Options: -Yes -No Do you know of prior or current Santa Monica residents who were displaced by the Belmar or Pico Corridor development projects in the 1950s and 1960s? Options: -Yes -No Please include any other ideas or thoughts about this project. Current Zip Code The survey was open from January 6, 2021 – February 6, 2021. During this time, 102 responses were received. Of these, 44 percent chose Priority 1, 19 percent chose Priority 2, and 32 percent chose Priority 3. Some respondents did not choose a priority. The majority of respondents (68 percent) were Santa Monica residents; some respondents did not provide a zip code. Below is a chart of responses per zip code: Santa Monica Right to Return Community Input Data First Priority Second Priority Third Priority 90405 7 2 5 90404 9 3 7 90403 6 1 10 90402 4 4 1 90401 3 2 4 8.A Packet Pg. 2164 7 of 10 Other 16 7 6 Total 45 19 33 Total Responses: 102 with some priority recommendation and zip code fields left blank Community input revealed varied levels of support for prioritizing historically displaced households on the BMH waitlist. Overall, comments identified appreciation for the City’s commitment to attempt to rectify the negative impact that historic displacement had on residents, especially Santa Monica’s communities of color. Some comments expressed support for the policy gesture but noted the proposal should be one component of a comprehensive anti-displacement plan developed by the City to preserve diversity and prevent housing displacement. In addition, many residents’ responses urge the City to take proactive measures to mitigate against displacement due to the Covid-19 pandemic and the potential exodus of households representing Santa Monica’s socio- economic diversity. Housing Commission Action At its January 21, 2021 meeting, the Housing Commission voted 4 to 3 for a First Priority placement on the BMH waitlist for historically displaced applicants from the Belmar and 10 Highway areas during the 1950s and 1960s. The four votes in favor advocated for First Priority placement believing that a lower placement would be symbolic only. The three votes against provided explanations, expressing concern of placing applicants in the same priority as current residents experiencing imminent/recent displacement (due to Ellis, etc.), or above those that already live/work in SM, especially since the number of potential/estimated historically displaced households who would seek the right to return prioritization is unknown. Staff also consulted with the City Attorney’s Office in light of historical legal concerns regarding preference policies under state and federal equal protection constitutional provisions as well as fair housing laws. The City Attorney’s Office has advised that it would be prudent to evaluate the pilot program during and after implementation to ensure that both the pilot program and any proposed permanent preference policy comply with legal constraints. 8.A Packet Pg. 2165 8 of 10 Proposed Pilot Program for Historically Displaced Households Staff has considered community and Housing Commission input regarding an affordable housing policy addressing the historical displacement of Santa Monica households from the Belmar area and the 10 Highway corridor. Staff also recognizes the challenges of implementing a unique policy without the benefit of key information such as effective outreach strategies, estimated applicant demand, availability of acceptable historical documentation establishing displacement and familial connections, best practices for applicant verification, and the amount of staff resources necessary to process applications. Therefore, staff proposes adopting a pilot Right to Return program involving up to 100 households, balancing the launch of a new initiative with the opportunity to test and evaluate it through a limited applicant pool. Lessons learned will inform recommendations regarding future program implementation. Applications for the pilot program would be accepted after an outreach period, and if more than 100 applications are received, a lottery would determine the 100 pilot program households. Given limited staff resources to commence a new program, the Preserving Our Diversity team would divert 20 percent of their time to implementing the Right to Return pilot program. Historically displaced households, including children and grandchildren, are proposed to be prioritized after the existing First Priority households, those experiencing displacement from Santa Monica residences due to a natural disaster, a government- ordered action, removal permit eviction, owner occupancy, Ellis Act, or a mobile home park closure. Additionally, processing of up to 100 pilot program applications would happen concurrently with the ongoing waitlist processing of the BMH priority households that live or work in Santa Monica. Pilot program applicants would be referred to affordable housing opportunities once eligibility has been completed. Attachment F, which describes the parameters of the Right to Return pilot program, would be added to the AHPP and HTF Administrative Guidelines. 8.A Packet Pg. 2166 9 of 10 Adjustments to Local Worker Priority Separate from the proposed pilot program, staff also proposes minor revisions to the Administrative Guidelines of the AHPP and HTF. One change involves reducing the minimum number of work hours required to qualify for waitlist prioritization as a Santa Monica worker from 36 hours per week to 25 hours per week. The proposed adjustment is consistent with previous Housing Commission support and Council’s December 10, 2019 action to modify worker qualification criteria in the rental housing voucher program to remove a qualification barrier for Santa Monica workers who are not employed full- time. The other proposed adjustment would allow a Santa Monica worker who lost employment or experienced a reduction in work hours below 25 hours a week after March 1, 2020 as a result of the pandemic, to continue to qualify for the local worker priority. See Attachment G for the proposed revisions. Financial Impacts and Budget Actions There is no immediate financial impact or budget action necessary as a result of the recommended action. The recommendation is to divert 20 percent of the existing two- person Preserving Our Diversity staff time to implement the Right to Return pilot program. The pilot program approach will allow staff to understand the applicant demand and the associated staff resources necessary to administer the program on a long-term basis. Staff would then return to Council with information regarding program implementation and seek additional administrative resources if necessary. Prepared By: Natasha Kingscote, Administrator Approved Forwarded to Council Attachments: A. List of Historically Impacted Areas/Streets 8.A Packet Pg. 2167 10 of 10 B. September 8, 2020 Staff Report GARE Operational Plan (Web Link) C. March 26, 2019 City Council - Public Minutes D. July 25, 2017 Staff Report Revisions to HTF (Web Link) E. April 12, 2016 Staff Report New and Amended (Web Link) F. Pilot Program Outline G. Proposed Revisions to HTF and AHPP Guidelines H. Written Comments I. PowerPoint Presentation 8.A Packet Pg. 2168 Attachment A LIST OF HISTORICALLY IMPACTED AREAS/STREETS 10 Freeway Construction 1931-2029 Stewart Street (Odd) 2800-3230 Virginia Avenue (Even) 2900 block and higher Kansas Avenue (Both sides) 2000 block of Yorkshire Avenue (Both sides) 2000-2210/2001-2115 Dorchester Avenue 2000-2108/2001-2111 Warwick Avenue 3201 and higher/3218 and higher Urban Avenue 3300 and higher Pico Place (Both sides) 3400 block of Pico Blvd. (Both sides) 1800 block of 22nd Street 1750-1820/1751-1821 21st Street 1726-1804/1727-1803 20th Street 1718-1758/1721-1757 19th Street 1714-1750/173-1749 18th Street 1714-1744/1711-1745 17th Street 1716-1746/1715-1745 16th Street 1716-1746/1715-1745 15th Street 1716-1746/1715-1745 14th Street 1716-1746/1715-1745 Euclid Street 1716-1746/1715-1745 12th Street 1714-1748/1713-1747 11th Street 1700-1746/1701-1746 10th Street 1700-1734/1701-1743 9th Street 1700-1734/1701-1731 Lincoln Blvd. 1701-1723 7th Street (Odd) Civic Center 1700 and 1800 blocks of Main Street (odd) 1700 and 1800 blocks of 4th Street (even) Belmar Place 200 and 300 block of Pico Blvd. (odd) 8.A.a Packet Pg. 2169 Attachment: List of Historically Impacted Areas/Streets [Revision 1] (4397 : Housing Priority for Historically Displaced Households) 1 March 26, 2019 CITY OF SANTA MONICA CITY COUNCIL MINUTES MARCH 26, 2019 A regular meeting of the Santa Monica City Council was called to order by Mayor Pro Tem O’Day at 5:32 p.m., on Tuesday, March 26, 2019, at the City Council Chambers, 1685 Main Street. Roll Call: Present: Mayor Gleam Davis (arrived at 5:47 p.m.) Mayor Pro Tem Terry O’Day Councilmember Sue Himmelrich Councilmember Ana M. Jara Councilmember Kevin McKeown Councilmember Ted Winterer Absent: Councilmember Greg Morena Also Present: City Manager Rick Cole City Attorney Lane Dilg City Clerk Denise Anderson-Warren CONVENE/PLEDGE On order of the Mayor Pro Tem, the City Council convened at 5:32 p.m., with all members present except Councilmember Morena, and Mayor Davis. Councilmember Jara led the assemblage in the Pledge of Allegiance. AGENDA MANAGEMENT The Mayor Pro Tem informed Council that staff requested hearing Item 8.A. before the 7 items. Motion by Councilmember Winterer, seconded by Councilmember Himmelrich, to hear Item 8.A. before Item 7.A. The motion was approved by voice vote, with all Councilmembers present, except Mayor Davis and Councilmember Morena. CLOSED SESSIONS Councilmember Jara was excused at 5:38 p.m. Mayor Davis arrived at 5:47 p.m. Member of the public Denise Barton commented on closed sessions. Councilmember Jara recused herself from Item 1.C. to avoid the appearance of a conflict of interest, because she has a daughter who works for the city. On order of the Mayor Pro Tem, the City Council recessed at 5:37 p.m., to consider closed sessions and returned at 7:19 p.m., with Councilmember Morena absent, to report the following: DocuSign Envelope ID: 49E142B0-E1FD-44D8-9390-AF42BC17B726 8.A.c Packet Pg. 2170 Attachment: March 26, 2019 City Council - Public Minutes (4397 : Housing Priority for Historically Displaced Households) 2 March 26, 2019 Councilmember Jara returned at 6:38 p.m. A. Conference with Legal Counsel – Existing Litigation – Litigation has been initiated formally pursuant to Government Code Section 54956.9(d)(1): Pico Neighborhood Association and Maria Loya v. City of Santa Monica, Los Angeles Superior Court, Case No. BC 616804, Second District Court of Appeal, Case No. B295935 The City Attorney advised this matter was heard with no reportable action taken. 1.B. Conference with Legal Counsel – Existing Litigation – Litigation has been initiated formally pursuant to Government Code Section 54956.9(d)(1): Homeaway.com, Inc., and Airbnb, Inc. v. City of Santa Monica, United States District Court, Central District of California, Case Nos. 2:16-cv-6641-ODW-AFM, 2:16-cv-6645-ODW- AFM, Ninth Circuit Court of Appeals, Case Nos. 18-55367, 18-55805, 18-55806 The City Attorney advised this matter was heard with no reportable action taken. 1.C. Conference with Labor Negotiator: Government Code Section 54957.6. Agency Designated Representatives: Lori Gentles, Chief People Officer-HR and Human Resources Manager Shawn Weiske, Bargaining Unit: Coalition of Santa Monica City Employees (CSMCE) The City Attorney advised this matter was heard with no reportable action taken. 1.D. Conference with Legal Counsel – Anticipated Litigation -- Anticipate significant exposure to litigation pursuant to Government Code Section 54956.9(d)(2): Claim No. 18-629, claimant Rogelio Monroy; Claim No. 18-684, claimant Elizabeth Esquivias; Claim No. 19-019, claimant Jose Zaldivar; Claim No. 19-127, claimant John Doe 1; Claim No. 19-128, claimant John Doe 2; Claim No. 19-129, claimant John Doe 3; Claim No. 19-130, claimant John Doe 4; Claim No. 19-131, claimant John Doe 5; Claim No. 19-132, claimant John Doe The City Attorney advised this matter was heard with no reportable action taken. 1.E. Conference with Legal Counsel -- Anticipated Litigation: Anticipate significant exposure to litigation pursuant to Government Code Section 54956.9(d)(2); facts and circumstances are known under Section 54956.9(e)(2) – copyright infringement claim. The City Attorney advised this matter was heard with no reportable action DocuSign Envelope ID: 49E142B0-E1FD-44D8-9390-AF42BC17B726 8.A.c Packet Pg. 2171 Attachment: March 26, 2019 City Council - Public Minutes (4397 : Housing Priority for Historically Displaced Households) 3 March 26, 2019 taken. 1.F. Conference with Legal Counsel – Anticipated Litigation – Anticipate significant exposure to litigation pursuant to Government Code Section 54956.9 (d)(2): 1 case The City Attorney was seeking authority to enter into Agreement No. 10831 (CCS) with Community Corporation of Santa Monica (CCSM), which CCSM would draw applicants from the city’s Affordable Housing waiting list, and the city would indemnify CCSM for certain claims related to use of that city list. Motion by Councilmember Himmelrich, seconded by Councilmember McKeown, to approve the City Attorney’s recommendation for an agreement. The motion was approved by the following vote: AYES: Councilmembers Jara, Winterer, McKeown, Himmelrich, Mayor Pro Tem O’Day, Mayor Davis NOES: None ABSENT: Councilmember Morena SPECIAL AGENDA ITEMS: 2.A. Proclamation declaring March 2019 as Red Cross Month in the City of Santa Monica, was presented by the Mayor. REPORT ON COUNCIL TRAVEL Mayor Pro Tem O’Day reported that he traveled to Yosemite to attend the Local Government Commission Conference. Topics discussed included Housing and Land Use. It was a good opportunity to meet other city officials to hear what is happening throughout the state on many of the issues Santa Monicans care about. Councilmember Jara reported that she also attended the Local Government Conference in Yosemite. She was able to take advantage of the opportunity to network with other Councilmembers from around California and to try to figure our common denominator to work together to create new legislation. Councilmember McKeown reported that he attended the National League of Cities Conference in Washington DC, where the focus was on new transportation technology, housing policy, and broadband regulations; he also attended the Local Government Conference in Yosemite, where he was able to participate in a meeting with State Senator Scott Wiener, who is responsible for Senate Bill 50 (related to Housing), and was able to provide the Santa Monica point of view. Mayor Davis attended the National League of Cities Conference in Yosemite, who met with a representative from Senator Feinstein’s office, and Representative Ted Lieu. She also went to Greece, not paid for by the DocuSign Envelope ID: 49E142B0-E1FD-44D8-9390-AF42BC17B726 8.A.c Packet Pg. 2172 Attachment: March 26, 2019 City Council - Public Minutes (4397 : Housing Priority for Historically Displaced Households) 4 March 26, 2019 city, where she was invited as one of the Champion Mayors, by an arm of the Organization for International Cooperation and Development. She spoke to world leaders about the work being done in Santa Monica around sustainability, inclusion, and wellbeing. CONSENT CALENDAR: All items were considered and approved in one motion unless removed by a Councilmember for discussion. Members of the public Andrew Wilder, John Jerabek, Ronald Leung, Vanessa Gibson, Christian Fry, Eve Lopez, Zina Josephs, Tim Cashin, Yury Ulyanov, Joseph Schmitz, and, Johnathan Foster commented on various Consent Calendar items. At the request of Councilmember Himmelrich, Item 3.D. was removed from the Consent Calendar and at the request of Councilmember Jara, Item 3.G. was removed from the Consent Calendar. Motion by Councilmember Winterer, seconded by Mayor Pro Tem O’Day, to approve the Consent Calendar except for Items 3.D. and 3.G., reading resolutions by title only and waiving further reading thereof. The motion was approved by the following vote: AYES: Councilmembers Jara, Winterer, McKeown, Himmelrich, Mayor Pro Tem O’Day, Mayor Davis NOES: None ABSENT: Councilmember Morena MINUTES 3.A. Minutes of the City Council - Special Meeting - March 5, 2019 4:30 PM, were approved. SANTA MONICA AIRPORT 3.B. Award Construction and Construction Management Contracts for the Santa Monica Airport - Reuse of Excess Airfield Pavement Project, was approved. Recommended Action Staff recommends that the City Council: 1. Award Bid #SP2533 to Sully-Miller Contracting Company, a California-based company, to provide construction services for the Santa Monica Airport – Reuse of Excess Airfield Pavement Project for the Public Works Department; 2. Authorize the City Manager to negotiate and execute Contract No. 10815 (CCS) with Sully-Miller Contracting Company in an amount not to exceed $3,109,824 (including a 15% contingency); 3. Authorize the Director of Public Works to issue any necessary change orders to complete additional work within contract authority; 4. Authorize the City Manager to negotiate and execute professional DocuSign Envelope ID: 49E142B0-E1FD-44D8-9390-AF42BC17B726 8.A.c Packet Pg. 2173 Attachment: March 26, 2019 City Council - Public Minutes (4397 : Housing Priority for Historically Displaced Households) 5 March 26, 2019 services Contract No. 10832 (CCS) with CivilSource, an NV5 Company, for construction management and inspection services in an amount not to exceed $216,761 (including a 15% contingency); 5. Authorize the Director of Public Works to issue any necessary change orders and modifications to provide additional services within contract authority. 6. Authorize budget changes as outlined in the Financial Impacts & Budget Actions section of this report. VEHICLE PURCHASE 3.C. Award Bid to National Auto Fleet Group for the Purchase of One Sewer Jetter Vehicle, was approved. Recommended Action Staff recommends that the City Council authorize the Procurement Manager to issue a purchase order with National Auto Fleet Group, a California-based company, for the purchase and delivery of one compressed natural gas high-pressure sewer jetter vehicle for the Public Works Department. This recommended award is made as an exception to the competitive bidding process pursuant to Section 2.24.080(b) and is for a total amount not to exceed $334,545. VEHICLE PURCHASE 3.E. Award Bid to Frontier Ford for the Purchase of up to 70 Pickup Trucks, was approved. Recommended Action Staff recommends that the City Council: 1. Award Bid #4366 to Frontier Ford, a California-based company, for the purchase and delivery of 60 Ford F-250 pickup trucks for the Planning and Community Development, Police, and Public Works departments; 2. Authorize the Procurement Manager to issue a purchase order with Frontier Ford for the purchase and delivery of 60 Ford F-250 pickup trucks in the amount not to exceed $3,638,781 for one year, with future year funding contingent on Council budget approval; and 3. Authorize the Procurement Manager to issue any necessary change orders to the purchase order in an amount not to exceed $891,378 for the purchase of up to an additional 10 vehicles for an additional 12 months after receipt of the purchase order, at the same price, terms and conditions. This would result in a revised purchase order total amount not to exceed $4,530,159, with future year funding contingent on Council budget approval. SOUTH LINCOLN BOULEVARD ASSESSMENT DISTRICT 3.F. Proposed South Lincoln Boulevard Assessment District, was approved. Recommended Action DocuSign Envelope ID: 49E142B0-E1FD-44D8-9390-AF42BC17B726 8.A.c Packet Pg. 2174 Attachment: March 26, 2019 City Council - Public Minutes (4397 : Housing Priority for Historically Displaced Households) 6 March 26, 2019 Staff recommends that the City Council: 1) Conceptually approve the draft management plan for the proposed South Lincoln Boulevard Property-Based Assessment District; and 2) Affirm the City’s financial support for the general benefits associated with the assessment district of approximately $7,000 to $11,000 per year over a ten-year period. COACHING SERVICES 3.H. Second Modification to Agreement with Innovative Resources Consultant Group for Staff Development, Team Building and Coaching Services, was approved. Recommended Action Staff recommends that the City Council authorize the City Manager to negotiate and execute a second modification to agreement #10421 (CCS) in the amount of $150,000 with Innovative Resources Consultant Group (IRCG) for the continued services of staff development, team building, employee coaching, and strategic planning. In January 2017, Council approved a two year agreement with IRCG. This second modification will retain the original agreement term and award additional funds in the amount of $150,000 resulting in a 2 year agreement with a new total amount not to exceed $420,000, with future year funding contingent on Council budget approval. INTERNAL AUDIT SERVICES 3.I. First Modification to Agreement #9956 with Moss Adams for Internal Audit Services, was approved. Recommended Action Staff recommends that the City Council authorize the City Manager to negotiate and execute a first modification to agreement #9956 in the amount of $210,000 with Moss Adams, LLP, a Washington-based company, for internal audit services for the Finance Department. This will result in a five-year amended agreement with a new total amount not to exceed $1,135,000, with future year funding contingent on Council budget approval. PARKING STRUCTURE 5 3.J. Second Contract Modification with West Valley Investment Group for Parking Structure 5 Tenant Improvement Project, was approved. Recommended Action Staff recommends that the City Council authorize the City Manager to negotiate and execute a second modification to agreement #10417 (CCS) in the amount of $70,000 with West Valley Investment Group, Inc., a California-based company, for additional construction services to complete the Parking Structure 5 Tenant Improvement Project for the Public Works Department. This will result in an amended agreement with a new total DocuSign Envelope ID: 49E142B0-E1FD-44D8-9390-AF42BC17B726 8.A.c Packet Pg. 2175 Attachment: March 26, 2019 City Council - Public Minutes (4397 : Housing Priority for Historically Displaced Households) 7 March 26, 2019 amount not to exceed $4,086,715, with future year funding contingent on City Council budget approval. NETWORK INFRASTRUCTURE EQUIPMENT 3.K. Purchase Order for Network Infrastructure Equipment, was approved. Recommended Action Staff recommends that the City Council authorize the Procurement Manager to issue a purchase order to Zones, Inc, a Washington-based company, for the purchase of Cisco manufactured network equipment and services that support City operations, for a period of five years. This recommended award is made as an exception to the competitive bidding process pursuant to Section 2.24.080(b) where competitive bid procedures have already been utilized, such as in purchasing from Federal, State, County, City or special district government agencies. The total amount of the purchase order over five years will not to exceed $3,500,000, with future year funding contingent on Council budget approval. OUTREACH 3.D. Award of Communications and Outreach Contracts, was presented. Recommended Action Staff recommends that the City Council: 1. Award RFP# 122917 to fourteen California-based companies and one Florida-based company to provide as-needed communications and outreach services available to all City of Santa Monica departments for assistance on a variety of programs and services; 2. Authorize the City Manager to negotiate and execute Agreement Nos. 10816 (CCS) through 10829 (CCS) with each company, in an amount not to exceed $174,000 for two years, with three additional one-year renewal option(s), on the same terms and conditions for a total amount not to exceed $174,000 each over a 5-year period, with future year funding contingent on Council budget approval. This item was pulled by Councilmember Himmelrich to find out more about what is being proposed, and to ask questions. Questions asked and answered of staff included: what do the seven permanent employees in the Office of Communications do, since so much of the work is contracted out; is the city responding to questions posed on social media and through email from residents, and who is accountable for that area; will this provide a course correction between too much marketing and not enough communication; working with these agencies will they ensure diversity, cultural competency, and language justice; are these companies local to Santa Monica; are these expenditures being charged against the City Manager’s Office or against the individual departments; DocuSign Envelope ID: 49E142B0-E1FD-44D8-9390-AF42BC17B726 8.A.c Packet Pg. 2176 Attachment: March 26, 2019 City Council - Public Minutes (4397 : Housing Priority for Historically Displaced Households) 8 March 26, 2019 and is this new money. Discussion ensued, but not limited to: making sure the money being suggested is not going to waste; clarification that because these funds are being approved, it doesn’t mean that they are being spent; very uncomfortable about the lack of information about the various companies, what they are bringing to the table; why these companies were chosen; and, some of these same companies have been used in the past in the city. Motion by Councilmember McKeown, seconded by Mayor Pro Tem O’Day, to approve the recommended action. The motion was approved by the following vote: AYES: Councilmembers Jara, Winterer, McKeown, Mayor Pro Tem O’Day, Mayor Davis NOES: Councilmember Himmelrich ABSENT: Councilmember Morena FRAMEWORK REVISION 3.G. Framework Revision- Adjustment of Values, was presented. Recommended Action Staff recommends that the City Council modify the Framework values identified at the Council Retreat to better distinguish between values and Framework Outcome Areas. Specifically, staff recommends that “Innovation” replace “Safety” as one of the Council chosen values as Safety is already one of the seven Framework Outcomes and “Keeping Neighborhoods Safe” is one of the six Framework Priorities. This item was pulled by Councilmember Jara to ask questions of staff for clarification about this item. Discussion ensued, but not limited to: possibly coming up with a different word instead of safety or innovation, in order to confirm for the city that they were heard at the retreat; core values were not as thoroughly discussed as much as the framework; safety should not be removed without a more thorough discussion; saying safety for all is not redundant; using the word safety as an outcome and a value is confusing; and, not sure that innovation should be considered a value. Motion by Councilmember McKeown, seconded by Mayor Pro Tem O’Day, to take no action at this time. The motion to take no action was approved by voice vote, with Councilmember Morena absent. HOMELESSNESS 8.A. Annual Report on Homelessness, was presented. Recommended Action Staff recommends that the City Council: DocuSign Envelope ID: 49E142B0-E1FD-44D8-9390-AF42BC17B726 8.A.c Packet Pg. 2177 Attachment: March 26, 2019 City Council - Public Minutes (4397 : Housing Priority for Historically Displaced Households) 9 March 26, 2019 1) Review and comment on the Four-Pillar strategy and activities in the report, and direct staff to proceed with the next steps; 2) Direct staff to proceed with feasibility analysis of possible sites for the replacement of SAMOSHEL and associated community engagement process and return to Council with recommendations; 3) Authorize budget changes as outlined in the Financial Impacts and Budget Actions section of this report. Members of the public Fernando Morales (on behalf of County Supervisor, Sheila Kuehl), Ron Miller, Joe Mets, Rene Buchanan (time donated by Christina Diaz), Michael Burroughs, Jonathan Brenner,Gary Foster, Sarah Jessup, Benjamin Sitnikoff, Tom Johnson (time donated by Lynart Wilds), Wayne Salters, Mary Nolan, Jerry Crabtree, Amelia Llamas, Ariana Bloom, Kimberly Pharr, Olga Zurawska (time donated by Judy Casey), Ron Hooks, Denise Barton, Michael Louis, John Maceri (time donated by Andrea Rackley), Benjamin Preston, Jerry Rubin, Michael Soloff, Abby Arnold, Zina Josephs (time donated by David Morris), John C Smith, Jonathan Foster, and Derek Devermont spoke to the recommended action. Questions of staff included: looking into this therapeutic van that would provide mental health services in lieu of being able to have a permanent facility right away, and what is the capital cost for the van; and, what is the timeline to receive innovation funds/donations from the private sector. Considerable discussion ensued on topics including, but not limited to, if the city is going to replace SAMOSHEL, it should be upgraded to provide additional services; mental health needs to be address, otherwise the Housing First model doesn’t work; how to address when families are close to homelessness, prevention; and, try to figure out ways to duplicate programs like the POD program for prevention. Motion by Councilmember Himmelrich, seconded by Mayor Pro Tem O’Day, to adopt the staff recommendation, which includes directing staff to proceed with feasibility analysis of possible sites for the replacement of SAMOSHEL and associated community engagement process and return to Council with recommendations; authorize budget changes as outlined in the Financial Impacts and Budget Actions section of this report; to emphasize working with the Westside Council of Governments to create a coordinated program to address homelessness, also to address the issue of having mental health treatment services within the city, and the need to create more supportive housing. DocuSign Envelope ID: 49E142B0-E1FD-44D8-9390-AF42BC17B726 8.A.c Packet Pg. 2178 Attachment: March 26, 2019 City Council - Public Minutes (4397 : Housing Priority for Historically Displaced Households) 10 March 26, 2019 The motion was approved by the following vote: AYES: Councilmembers Himmelrich, McKeown, Winterer, Jara Mayor Pro Tem O’Day, Mayor Davis NOES: None ABSENT: Councilmember Morena ORDINANCES: SINGLE-ROOM OCCUPANCY USES 7.A. Introduction and Adoption of Urgency Interim Zoning Ordinance No. 2604 (CCS) entitled “AN URGENCY INTERIM ZONING ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA PROHIBITING SINGLE-ROOM OCCUPANCY USES THAT ARE NOT ONE-HUNDRED PERCENT AFFORDABLE HOUSING PROJECTS OR CERTAIN TYPES OF SPECIALIZED HOUSING SUCH AS EMERGENCY SHELTERS, TRANSITIONAL HOUSING AND SUPPORTIVE HOUSING”, was presented. Recommended Action Staff recommends Council introduce and adopt an urgency interim zoning ordinance to prohibit Single-Room Occupancy (SRO) uses citywide on an interim basis in order to prevent the proliferation and over-concentration of SRO uses that are not 100% Affordable Housing Projects or certain specialized housing uses such as emergency shelters, transitional housing, and supportive housing. This urgency interim zoning ordinance would allow for study of revised development standards, land use regulations, use classifications, and additional requirements related to physical design or amenity plans, for SRO uses in order to protect the public health, safety and welfare. Member of the public Neill Brower spoke to the recommended action. Questions asked and answered of staff included: how many units in the downtown fall between 219 – 373 sq. feet; is there any concern about the issue of converting previously approved 1 and 2 bedrooms to SRO’s; any idea why these projects that were proposed as larger 2 -3 bedrooms were converted to single residency occupancy units; going forward, looking for a more permanent solution, has there been any thought to considering communal living buildings; is it true that all of the conversion projects mentioned are all coming from a single ownership group; these new proposed projects would only generate 5% of the units as affordable (extremely low income), where the projects previously proposed generated a lot more affordable units; how many of the valid six buildings have building permits; and, has the City Attorney looked at the legal issues raised by the public speaker. Motion by Councilmember McKeown, seconded by Councilmember Himmelrich, to introduce and adopt on first reading the ordinance, reading by title only and waiving further reading thereof. The motion was DocuSign Envelope ID: 49E142B0-E1FD-44D8-9390-AF42BC17B726 8.A.c Packet Pg. 2179 Attachment: March 26, 2019 City Council - Public Minutes (4397 : Housing Priority for Historically Displaced Households) 11 March 26, 2019 approved by the following vote: AYES: Councilmembers Jara, Winterer, McKeown, Himmelrich, Mayor Pro Tem O’Day, Mayor Davis NOES: None ABSENT: Councilmember Morena AFFORDABLE HOUSING 7.B. Introduction and First Reading of an Ordinance for Proposed Amendments to the Affordable Housing Production Program, was presented. Recommended Action Staff recommends that the City Council: 1) Review and discuss the information contained in this report regarding the City’s regulatory and policy framework to support housing production, as well as affordable housing production trends, including units in the Extremely Low Income (ELI) category. 2) Authorize the City Manager to negotiate and execute Agreement No. 10830 (CCS) with HR&A Advisors, Inc., a California-based company, for financial feasibility analysis of potential affordable housing requirements and minimum density requirements for the Planning and Community Development and Housing and Economic Development Departments. This recommended award is for a total amount not to exceed $150,000 with future year funding contingent on Council budget approval. 3) Consider introduction and first reading of an ordinance amending the text of the Municipal Code to temporarily remove the option for providing ELI units to satisfy a project’s Affordable Housing Production Program (AHPP) obligation pursuant to SMMC Chapter 9.64 and specify that 100% Affordable Housing Projects that are owned and operated by non-profit housing providers and financed with tax credits may be exempt from certain provisions of the Affordable Housing Production Program (SMMC Chapter 9.64), subject to certain conditions (Attachment “A”). Members of the public Michael Soloff, Denise Barton, Ralph Mechur, Leslie Lambert, Andrew Sobel, Dave Ramo, Patricia Hoffman, Tara Barauskas, Paula Larmore (time donated by Kevin Kozal), and Judy Abdo spoke to the recommended action. Questions asked and answered of staff included: what is the risk of extremely low renters having so little money left after they pay their rent; is the California Tax Credit Allocation Committee (TCAC) being recommended only for housing that is provided by one of the organizations that the city works with; who is being housed in the low income DocuSign Envelope ID: 49E142B0-E1FD-44D8-9390-AF42BC17B726 8.A.c Packet Pg. 2180 Attachment: March 26, 2019 City Council - Public Minutes (4397 : Housing Priority for Historically Displaced Households) 12 March 26, 2019 inclusionary housing; are we always going for TCAC for anything the city is building; what happened before 2013 and before ELI, what happened to those people then; if we put a temporary hold on this, how will you handle subsidizing low and mid-range residents; in the proposed study, will the study look at what’s happening in the downtown area right now; and, how much longer after the AHPP Feasibility analysis is completed will Planning return with proposed revised standards. Considerable discussion ensued on topics including, but not limited to: how do we address dealing with the County’s Prop R requirements; if the ELI is removed, will it chill the development of affordable housing; there’s not enough middle income housing; and, this is a flawed formula. The three options presented by staff included: Option 1 – Discuss Potential Removal of ELI Option from AHPP Option 2 – Authorize AHPP Feasibility Study Option 3 – Introduce for 1st reading TCAC text to AHPP Motion by Mayor Pro Tem O’Day, seconded by Councilmember Jara, to move the staff report; to not remove the ELI at this time; go forward with the feasibility study; and, to allow the proposed amendment language from CCSM. Councilmember Jara, proposed a friendly amendment to wait at least six months and allow staff to come back with updates. The motion was not seconded. Mayor Pro Tem O’Day, changed his motion to approve Options 2 & 3, and vote separately on Option 1. Substitute motion by Councilmember Winterer, seconded by Councilmember McKeown, to adopt the staff recommendation and go forward with the AHPP Feasibility Study, and to allow the TCAC financing with the revised language suggested by CCSM, with a minor adjustment to consult with the City Manager’s designee. The City Attorney’s Office asked for clarity on the approved CCSM language and what it means to say more affordable housing. Changes read into the record by City Attorney Office included changes to sub-section (c): new language reads: “shall provide more affordable housing than will be required onsite for the market rate project. During the City’s review of the project, the nonprofit housing provider shall consult with the city regarding the category round and the type of tax credit being sought. DocuSign Envelope ID: 49E142B0-E1FD-44D8-9390-AF42BC17B726 8.A.c Packet Pg. 2181 Attachment: March 26, 2019 City Council - Public Minutes (4397 : Housing Priority for Historically Displaced Households) 13 March 26, 2019 The City Attorney noted the following changes to the ordinance: - Changing/adding the phrases “on or after November 27, 2019” in three places (Section 2, modifying 9.64.050, subsection A(4), subsection B(4), and subsection C(1). This limits the non-applicability of the ELI to the period of March 26 to November 27, 2019. The substitute motion was approved by the following vote: AYES: Councilmembers Jara, Winterer, McKeown, Himmelrich, Mayor Pro Tem O’Day, Mayor Davis NOES: None ABSENT: Councilmember Morena Discussion ensued on the Option 1, with a motion. Motion by Mayor Pro Tem O’Day, seconded by Councilmember Jara, to take no action on removing the ELI requirement, and keep the status quo with the program and the Extremely Low Income option. Substitute motion by Councilmember McKeown, seconded by Councilmember Jara, to temporarily eliminate the ELI option in the Affordable Housing Production Program for eight months, until staff returns with the study. The motion was approved by the following vote: AYES: Councilmembers Himmelrich, McKeown, Winterer, Jara, Mayor Davis NOES: Mayor Pro Tem O’Day ABSENT: Councilmember Morena Motion by Councilmember McKeown, seconded by Councilmember Jara, direction was given to staff to explore adding a top priority third tier for Affordable Housing, for the families displaced by the Civic Center and the families forced out of the Pico Neighborhood for construction of the freeway, to fill the Affordable Housing units. The motion was unanimously approved by voice vote, with Councilmember Morena absent. ZONING 7.C. Introduction and First Reading of an Ordinance Making Changes, Corrections, and Clarifications to the City's Zoning Ordinance Related to Policy Issues That Have Arisen Since the Adoption of the Zoning Ordinance Through Its Implementation; Amending the Zoning Ordinance and Santa Monica Municipal Code Section 6.14.040 Related to Fortunetelling; and Amending the Official Districting Map for 1411 Cloverfield Boulevard, was presented. Recommended Action Staff recommends that the City Council introduce for first reading an DocuSign Envelope ID: 49E142B0-E1FD-44D8-9390-AF42BC17B726 8.A.c Packet Pg. 2182 Attachment: March 26, 2019 City Council - Public Minutes (4397 : Housing Priority for Historically Displaced Households) 14 March 26, 2019 ordinance making changes, corrections, and clarifications to the City’s Zoning Ordinance related to policy issues that have arisen since the adoption of the Zoning Ordinance through its implementation; amending the Zoning Ordinance and Santa Monica Municipal Code Section 6.14.040 related to Fortunetelling; and amending the Official Districting Map for 1411 Cloverfield Boulevard. There were no members of the public present. Motion by Councilmember McKeown, seconded by Councilmember Himmelrich, to introduce and hold first reading of the ordinance reading by title only and waiving further reading thereof. The motion was approved by the following vote: AYES: Councilmembers Jara, Winterer, McKeown, Himmelrich, Mayor Pro Tem O’Day, Mayor Davis NOES: None ABSENT: Councilmember Morena COUNCILMEMBER DISCUSSION ITEMS: BUILDING & FIRE-LIFE SAFETY COMMISSION 13.A. Appointment to one unscheduled vacancy on the Building & Fire-Life Safety Commission for a term ending on 06/30/2021. Member of the public Yu-Ngok Lo, spoke on the recommended action. On order of the Mayor, the floor was opened for nominations. Councilmember Winterer nominated Yu-Ngok Lo. The City Attorney advised that the ordinance that established the Board of Appeal gives the Council more flexibility to appoint “to the extent practicable as determined by the Council.” Motion by Councilmember Winterer, that given the amount of times this vacancy has advertised, with no candidates meeting all of the requirements, it is not practicable, and nominated Mr. Lo. There being no other nominations, Mr. Lo was unanimously approved by voice vote, with Councilmember Morena absent to the Building & Fire- Life Safety Commission, for a term ending June 30, 2021. SOUTHERN CALIFORNIA ASSOCIATION OF GOVERNMENTS 13.B. Designation of a Delegate and an Alternate to the Southern California Association of Governments Regional Conference and General Assembly scheduled for May 2 - 3, 2018 in Palm Desert, California, was presented. There were no members of the public present. DocuSign Envelope ID: 49E142B0-E1FD-44D8-9390-AF42BC17B726 8.A.c Packet Pg. 2183 Attachment: March 26, 2019 City Council - Public Minutes (4397 : Housing Priority for Historically Displaced Households) 15 March 26, 2019 Councilmember McKeown, volunteered to be the delegate, and nominated Councilmember Morena as the alternate, since he is planning to attend the conference. The motion to have Councilmember McKeown serve as the voting delegate and Councilmember Morena serve as the alternate was approved by voice vote, with all Councilmembers present, except Councilmember Morena. COAST 2019 13.C. Request of Mayor Pro Tem O’Day and Councilmembers McKeown and Winterer that the Council allocate $75,000 of Council discretionary funds for COAST 2019 to support new activities for engaging community members in the event, such as workshops with artists that will be held in advance of and during the event to provide Santa Monicans with tools to “Primp Their Ride.” Through processions and prizes, COAST 2019 will highlight the individual creativity utilized to decorate whatever people use to get around: bike, scooter, roller-skates, feet, skateboard. The community workshops will also educate participants about use of sustainable materials, further reinforcing the goal of combating Climate Change, was presented. There were no members of the public present. Motion by Councilmember McKeown, seconded by Councilmember Winterer, to approve the recommendation. The motion was approved by the following vote: AYES: Councilmembers Himmelrich, McKeown, Winterer, Jara, Mayor Pro Tem O’Day, Mayor Davis NOES: None ABSENT: Councilmember Morena PUBLIC INPUT: Members of the public Denise Barton and Jonathan Foster commented on various local issues. ADJOURNMENT On order of the Mayor, the City Council meeting adjourned at 1:11 a.m. in memory of Toni Frank. ATTEST: APPROVED: Denise Anderson-Warren Gleam Davis City Clerk Mayor DocuSign Envelope ID: 49E142B0-E1FD-44D8-9390-AF42BC17B726 8.A.c Packet Pg. 2184 Attachment: March 26, 2019 City Council - Public Minutes (4397 : Housing Priority for Historically Displaced Households) 1 Proposed R2R Pilot Program - Administrative Guidelines for the AHPP and HTF July 13, 2021 Attachment F [corrected 7/9/21] This section is proposed for addition to both the Affordable Housing Production Program and Housing Trust Fund Program Guidelines. Right to Return Pilot Program Overview The purpose of the Right to Return Pilot Program is to address historical displacement of Santa Monica households which resulted from the development of the 10 Freeway and the Civic Auditorium. The Program will provide a priority for qualifying households to affordable housing opportunities through referral from the City’s Below Market Housing waitlist. The Below Market Housing waitlist provides referrals to the nonprofit Community Corporation of Santa Monica, and other affordable housing property owners, when vacancies occur. Scope The Right to Return pilot program will involve no more than 100 households. If more than 100 households apply within first 30 days of the program enrollment period, then a lottery will be conducted, and 100 households will be selected from among all the applicants. Otherwise, if after the first 30 days of the program enrollment period fewer than 100 households have applied for the Right to Return pilot program, households which applied within the first 30 days, and households which apply after the first 30 days, up to 100 households, will be reviewed for eligibility in the order they applied (a first-come, first- served, basis). Eligibility Households eligible for Second Priority status are applicants displaced from one of the impacted geographic areas listed below, or their legal guardians, in conjunction with the construction of the 10 Freeway or Civic Auditorium. Additionally, applicant gross household income must not be greater than 120 percent of Los Angeles area median income, as published annually by the California Department of Community Development, adjusted for household size. Documentation verifying an applicant’s eligibility for the Right to Return pilot program shall include: 1) government-issued identification with photo; 2) documents establishing applicant’s historical residency in one of the impacted Santa Monica areas/addresses, or displacement therefrom; or, documents establishing applicant’s legal guardian historical residency in one of the impacted Santa Monica areas/addresses, or displacement therefrom; 3) if historically-displaced household was applicant’s legal guardian, documents establishing applicant’s familial relationship with historically displaced household; and 4) documents establishing applicant household income does not exceed 120 percent of the Los Angeles area median income, adjusted for household size. See below a list of possible verification documents. 8.A.f Packet Pg. 2185 Attachment: Pilot Program Outline [Revision 2] (4397 : Housing Priority for Historically Displaced Households) 2 Proposed R2R Pilot Program - Administrative Guidelines for the AHPP and HTF July 13, 2021 Priority Once an applicant is determined eligible for the Right to Return pilot program, the household will be provided with Second Priority waitlist status on the date of eligibility determination. During the period that Right to Return applications are under review for eligibility and priority to eligibility determination, Second Priority waitlist applicant processing, eligibility determination, and referrals to affordable housing opportunities in vacant residences will continue. A.Priority Households In establishing the list of households eligible to occupy affordable residences, the waitlist shall adhere to the following priorities: 1)First Priority Persons who have been permanently displaced or face permanent displacement from their housing residences in Santa Monica as a result of any of the following: a)Ellis Act, owner-occupancy, or removal permit evictionb)Earthquake, fire, flood, or other natural disaster c)Funding reductions in Santa Monica housing voucher assistance programs d)Governmental Action, such as Code enforcemente)Closure of a mobile home park 2)Second Priority Persons, or their legal guardians, who were historically displaced from one of the Impacted Areas listed below. 3)Third Priority Persons who are: a)Residents of Santa Monicab)Working in Santa Monica at least 25 hours per week Pilot Program Assessment Approximately one year following implementation of the Right to Return Pilot Program, staff will evaluate the estimated ongoing demand, best practices for documenting historical displacement, staff resources necessary to continue to implement the program, and the program’s overall success and/or challenges, including congruence with governing fair-housing legislation. Staff will present the assessment in a report to Council. 8.A.f Packet Pg. 2186 Attachment: Pilot Program Outline [Revision 2] (4397 : Housing Priority for Historically Displaced Households) 3 Proposed R2R Pilot Program - Administrative Guidelines for the AHPP and HTF July 13, 2021 IMPACTED AREAS FOR SECOND PRIORITY 10 Freeway Construction 1931-2029 Stewart Street (Odd) 2800-3230 Virginia Avenue (Even) 2900 block and higher Kansas Avenue (Both sides) 2000 block of Yorkshire Avenue (Both sides) 2000-2210/2001-2115 Dorchester Avenue 2000-2108/2001-2111 Warwick Avenue 3201 and higher/3218 and higher Urban Avenue 3300 and higher Pico Place (Both sides) 3400 block of Pico Blvd. (Both sides) 1800 block of 22nd Street 1750-1820/1751-1821 21st Street 1726-1804/1727-1803 20th Street 1718-1758/1721-1757 19th Street 1714-1750/173-1749 18th Street 1714-1744/1711-1745 17th Street 1716-1746/1715-1745 16th Street 1716-1746/1715-1745 15th Street 1716-1746/1715-1745 14th Street 1716-1746/1715-1745 Euclid Street 1716-1746/1715-1745 12th Street 1714-1748/1713-1747 11th Street 1700-1746/1701-1746 10th Street 1700-1734/1701-1743 9th Street 1700-1734/1701-1731 Lincoln Blvd. 1701-1723 7th Street (Odd) Civic Center 1700 and 1800 blocks of Main Street (odd) 1700 and 1800 blocks of 4th Street (even) Belmar Place 200 and 300 block of Pico Blvd. (odd) 8.A.f Packet Pg. 2187 Attachment: Pilot Program Outline [Revision 2] (4397 : Housing Priority for Historically Displaced Households) 4 Proposed R2R Pilot Program - Administrative Guidelines for the AHPP and HTF July 13, 2021 POSSIBLE VERIFICATION DOCUMENTS Government-issued ID with Photo Driver’s License or Identification Card U.S. Passport or Foreign Passport Permanent resident card or Green card Military identification card Historical Residency Bank documents; Court documents; Credit card documents; Credit reports Current/Previous driver’s license; Military ID; Vehicle registrations Household/Utility bills (water, gas, electric, phone, etc.) Income tax records; Paystubs; Mortgage documents; Property Taxes Insurance documents (Car, life, renters, etc.) Marriage licenses; School records; Voter registration records Property deeds; Lease agreements Membership registries Central library or city directory records Public benefit records Posted mail Legal Guardian Birth certificate Court documents Income tax records Insurance documents Lease agreements Other documents establishing applicant, or their legal guardian, was a historically displaced person 8.A.f Packet Pg. 2188 Attachment: Pilot Program Outline [Revision 2] (4397 : Housing Priority for Historically Displaced Households) Housing Trust Fund Guidelines – Proposed Revisions 7/13/2021 Attachment G Revision to HTF Guidelines Local Preference Local preference for Santa Monica residents and workers in tenant selection has been established by the City as policy. Local preference shall be a requirement of the Citywide Housing Trust Fund, Low-Moderate Income Housing Asset Trust Fund the TORCA Trust Fund, and the Redevelopment Replacement Housing Trust Fund. Local preference shall be a requirement of the HOME and CDBG Trust Funds only if permitted by the federal government. In evaluating a loan request, staff shall evaluate a loan applicant’s effectiveness in achieving the City’s local preference goals and give priority to those loan applicants who administer their wait lists using sorting protocols which result in outcomes where households who live or work in Santa Monica are beneficiaries of City-funding affordable housing. Subject to applicable tenant income limits and any preferences required by the laws of the United States or the State of California (including but not limited to laws and regulations governing nondiscrimination and preferences in housing occupancy), the Borrower shall give preference in leasing units in the following order of priority. (1)First priority shall be given to persons who have been permanently displaced or facepermanent displacement from housing in Santa Monica as a result of any of thefollowing: (a) A redevelopment project undertaken pursuant to California’s Community Redevelopment Law (Health & Safety Code Sections 33000, et seq.) --applicable only to projects funded by the Low-Moderate Income Housing AssetTrust Fund. (b) Ellis Act, owner-occupancy, or removal permit eviction; (c) Earthquake, fire, flood, or other natural disaster; (d) Cancellation of Section 8 contract by property owner; or (e) Governmental Action, such as Code enforcement. (2)Second priority shall be given to persons who are either: (a) Residents of Santa Monica and/or (b) Working in Santa Monica at least 36 25 hours per week for at least 6 months. 8.A.g Packet Pg. 2189 Attachment: Proposed Revisions to HTF and AHPP Guidelines [Revision 1] (4397 : Housing Priority for Historically Displaced Households) Proposed Revisions 7/13/2021 Administrative Guidelines Affordable Housing Production Program 1 Attachment I Revisions to AHPP Guidelines 7.Tenant and Purchaser Eligibility Procedures Per Chapter 9.64, multi-family project applicants who have opted to satisfy the affordable housing obligation through the on-site or off-site option are required to fill vacant affordable residences by selecting income-eligible tenants from a City-developed list of income-qualified households, except if there are no qualified households on the City- developed list or if the project applicant is developing ownership projects of four or more residences in the City's multi-family residential zones. Under these exceptions, the project applicant may choose themselves to select income-qualified households which shall be subject to eligibility certification by the City. This section establishes priorities for eligibility to occupy On-Site Affordable Residences, describes categories of persons ineligible to occupy On-Site Affordable Residences, and outlines the procedures whereby the City Housing Division shall establish, maintain, and update the list of eligible tenants. A.Priority Households In establishing the list of households eligible to occupy affordable residences, the Housing Division waitlist shall adhere to the following priorities: 1)First Priority Persons who have been permanently displaced or face permanent displacement from their housing residences in Santa Monica as a result of any of the following: a)Ellis Act, owner-occupancy, or removal permit eviction b)Earthquake, fire, flood, or other natural disaster c)Funding reductions in Santa Monica housing voucher assistanceprograms d)Governmental Action, such as Code enforcement e)Closure of a mobile home park 8.A.g Packet Pg. 2190 Attachment: Proposed Revisions to HTF and AHPP Guidelines [Revision 1] (4397 : Housing Priority for Historically Displaced Households) Proposed Revisions 7/13/2021 Administrative Guidelines Affordable Housing Production Program 2 2)Second Priority Persons who are: a)Residents of Santa Monica b)Working in Santa Monica at least 36 25 hours per week 8.A.g Packet Pg. 2191 Attachment: Proposed Revisions to HTF and AHPP Guidelines [Revision 1] (4397 : Housing Priority for Historically Displaced Households) 1 Vernice Hankins From:Mathew Millen <matmillen@msn.com> Sent:Sunday, July 11, 2021 4:59 PM To:councilmtgitems Cc:Phil Brock; odelatorre16@yahoo.com; Oscar de la Torre; Christine Parra; lara.negrete@smgov.net Subject:7/13 Item 8A/PRIORTY FOR RENT BURDENED TENANTS EXTERNAL I represent a native of Mexico, veteran of the US Army and a naturalized US Citizen who wishes not to disclose his name due to fear of harassment from SMRR According to Mr. Michael Soloff, Chair of the SM Housing Commission there are 7, 000 RENT BURDENED TENANTS IN SANTA MONICA My client is opposed to proposed Revision to the Housing Trust Fund Guidelines that give priority for low rent apartments to 2) b)" Persons who are working in Santa Monica at least 25 hours per week." Attachment G It is insane someone can get a part time job in the City , and the following day be given a low rent apartment when there are 7,000 Santa Monica residents who need that unit. We have an excellent Big Blue Bus system and we spent millions on the Expo Metro Line so people who don't live here can travel here to work. Metro is proposing they ride to work for free. THE RENT CONTROL BOARD HAS THE ADDRESS OF EVERY RENT CONTROLLED APARTMENT IN THE CITY IN THEIR DATA BASE. The Housing Division can obtain it from the RCB THE COUNCIL SHOULD DIRECT THE HOUSING Division TO SEND A LETTER to the residents of EVERY rent controlled apartment in the City 1) EXPLAINING THE BENEFITS OF LIVING IN A CITY DEVELOPED AFFORDABLE HOUSING UNIT, paying only 30% of their income in rent, 2) include the income guidelines AND 3) AN APPLICATION FOR THE WAITING LIST WITH DIRECTIONS HOW TO RETURN THE APPLICATION TO ADD THEIR NAME TO THE LIST THE PROPSED REVISION TO GIVE PREFERENCE TO SOMEONE WHO WORKS IN THE CITY 25 HOURS a week PART TIME SHOULD BE REJECTED If we are going to give preference to people working here, my client thinks it should people working 36 hours a week for at least 1 year and that should be a 3rd category. Non residents should not be given a low rent apartment instead of a rent burdened Santa Monica resident My client thanks you for your consideration. Mathew L. Millen, Esq. 10880 Wilshire Blvd. #1050, Los Angeles, CA 90024 (310)470‐8071 Item 8.A 7/13/21 1 of 1 Item 8.A 7/13/21 8.A.h Packet Pg. 2192 Attachment: Written Comments (4397 : Housing Priority for Historically Displaced Households) Addressing Historical Displacement City Council July 13, 2021 8.A.i Packet Pg. 2193 Attachment: PowerPoint Presentation (4397 : Housing Priority for Historically Displaced Households) Simple Title 2Proposed Program Changes 1 •Historical Displacement 2 •Santa Monica Worker Eligibility Criteria 8.A.i Packet Pg. 2194 Attachment: PowerPoint Presentation (4397 : Housing Priority for Historically Displaced Households) Housing Inequity in the U.S. National programs and policies had local impact: “Urban Renewal” Interstate Highway Eminent Domain Redlining 8.A.i Packet Pg. 2195 Attachment: PowerPoint Presentation (4397 : Housing Priority for Historically Displaced Households) Belmar Triangle 8.A.i Packet Pg. 2196 Attachment: PowerPoint Presentation (4397 : Housing Priority for Historically Displaced Households) I-10 Freeway 8.A.i Packet Pg. 2197 Attachment: PowerPoint Presentation (4397 : Housing Priority for Historically Displaced Households) Racial Equity Statement Adopted by City Council 9.8.20 The City of Santa Monica acknowledges the effects of generational and institutional racism, and its consequences that continue to impact our residents. These lessons of our history cannot be ignored. The City is committed to advancing racial equity and social diversity to improve the wellbeing of people who live, work, play, and do business in our City, by: •identifying and rectifying the policies, practices, and behaviors that perpetuate racism, discrimination, and other negative racial-based outcomes. •cultivating an inclusive and fair environment where all people in Santa Monica, in particular disenfranchised communities of color, thrive in the areas of health, economic vitality, and connectedness. 8.A.i Packet Pg. 2198 Attachment: PowerPoint Presentation (4397 : Housing Priority for Historically Displaced Households) Current BMH Priorities •Current Below Market Housing Waitlist priorities: 11 22 33 Displaced within the last 12 months due to Ellis, etc. Live and/or work in Santa Monica All other households that do not qualify for first two. 8.A.i Packet Pg. 2199 Attachment: PowerPoint Presentation (4397 : Housing Priority for Historically Displaced Households) Simple Title 2Community Input Outreach: •Neighborhood Groups •CCSM Residents •Human Services Grantee Agencies •City’s Housing, Affordable Housing, and Rent Control lists •Cradle to Career and Early Childhood Task Force •SaMoNews •Cultural Affairs Community Group •ArtSaMo Housing Commission Meeting: January 21, 2021 8.A.i Packet Pg. 2200 Attachment: PowerPoint Presentation (4397 : Housing Priority for Historically Displaced Households) BMH Portfolio •2,600+ units •5,700+ on waitlist •1,700+ live/work 8.A.i Packet Pg. 2201 Attachment: PowerPoint Presentation (4397 : Housing Priority for Historically Displaced Households) Proposed BMH Priorities •Proposed AHPP and the HTFP priorities: 11 22 33 Displaced within the last 12 months due to Ellis, etc. Historically Displaced Households (up to 100 applicants) Live and/or work in Santa Monica 44 All other households that do not qualify for first three. 8.A.i Packet Pg. 2202 Attachment: PowerPoint Presentation (4397 : Housing Priority for Historically Displaced Households) Housing Displacement Pilot Program 30 -60-day community outreach process. Open enrollment for 30 days post- outreach. Process Applications. 8.A.i Packet Pg. 2203 Attachment: PowerPoint Presentation (4397 : Housing Priority for Historically Displaced Households) Simple Title 2AHPP & HTFP: Worker Eligibility Reduce hours required to qualify for waitlist prioritization as a Santa Monica worker from 36 hours per week to 25 hours per week. Affordable Housing & Housing Trust Fund 8.A.i Packet Pg. 2204 Attachment: PowerPoint Presentation (4397 : Housing Priority for Historically Displaced Households) Thank You 8.A.i Packet Pg. 2205 Attachment: PowerPoint Presentation (4397 : Housing Priority for Historically Displaced Households)