REPORT TO THE CITY COUNCIL, THE CITY IN ITS CAPACITY AS HOUSING SUCCESSOR AND THE FRESNO REVITALIZATION CORPORATION FROM: JENNIFER CLARK, Director Planning & Development Department PHIL SKEI, Assistant Director Planning & Development Department MARLENE MURPHEY, Executive Director Housing Successor Agency to the Redevelopment Agency BY: MAYRA MERINO, Senior Management Analyst Housing Finance Division SUBJECT ..Title Actions pertaining to the affordable housing development project located South of E. Ventura Street between S. Seventh Street and S. Eighth Street (Council District 5): 1. ***RESOLUTION - In support of a contribution of City funds in an amount not to exceed $5,000,000 for eligible expenses associated with the affordable housing development project located on Ventura between Seventh and Eighth Street. (Subject to Mayor's Veto) ..Body RECOMMENDATION Staff recommends the City Council approve the Resolution in support of a conditional commitment of $5,000,000 in City funds for the new affordable housing development project to the Corporation for Better Housing Staff, the non-profit General Development Partner for the project, and additionally recommends the approval of a conditional commitment of City and Agency owned properties to the development. EXECUTIVE SUMMARY The Project is a new mixed-use mixed-income affordable housing development. The proposed Resolution will commit up to $5,000,000 in City funds contingent on the Developer obtaining full financing for the Project. The Resolution will also commit the disposition of Agency owned property located at APN 470-052-01T and City owned property located at APNs 470-052-02T and 470-052-03T, contingent on the developer receiving a full funding award from the United States Department of Agriculture July application round. This commitment of funds and conditional land disposition shall terminate on December 31, 2024. BACKGROUND On November 30, 2022, City staff consulted the State of California Department of Housing and Community Development (HCD) to discuss the history of the property and compliance requirements of Government Code section 37364. On January 19, 2023, City Council and City in its capacity as Housing Successor adopted Resolution No. 2023-019 and No. SA-51 which declared APNs 470-052-02T/-03T and APN 470-052-01T, respectively to be exempt surplus land and directed staff to comply with the open and competitive request for proposal process for the disposition of these parcels for a mixed-use mixed-income affordable housing development. On May 31, 2023, the City of Fresno's Planning and Development Department (City) and the City of Fresno in its capacity as the Housing Successor to the Redevelopment Agency (Agency) issued a Request for Proposal (RFP) for the residential mixed-use mixed-income residential development which will include up to 90 units of multi-family housing, workforce housing, and/or senior housing. The City received two proposals, one from Integrated Community Development LLC and the other from The Pacific Companies. A selection committee evaluated the respondents' proposals and determined that Integrated Community Development, LLC's (ICD) proposal had a lower total projected cost with a viable financial plan. ICD also presented a greater foundation of past experience with public entities. The mixed-use mixed-income housing development of 54 units of proposed farm labor housing will assist the City and Agency in meeting their affordable housing goals and reducing the City's homelessness and housing crisis. If adopted, the funding and land disposition is contingent upon the Developer obtaining full financing for the Project and a full award from the USDA July application round. The Resolution and commitments shall terminate on December 31, 2024. ENVIRONMENTAL FINDINGS This action is not subject to CEQA LOCAL PREFERENCE Not applicable due to State and Federal funding. FISICAL IMPACT The City's General Fund has no fiscal impact as a result of this action. State and/or Federal funding will be utilized for this project. Attachments: Resolution - Ventura & 7th