Resolution 2020-11RESOLUTION NO.2020-11
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
GILROY APPROVING AN EXCEPTION TO THE CITY
RESIDENTIAL DEVELOPMENT ORDINANCE AFFORABLE
HOUSING EXEMPTION PROCEDURE TO ALLOW RENTAL
RATES WITHIN THE GLEN LOMA RANCH TOWN CENTER
APARTMENT PROJECT TO BE AFFORDABLE TO
HOUSEHOLDS EARNING 50% TO 80% OF AREA MEDIAN
INCOME
WHEREAS, The Pacific Companies received approval to construct 158 below market
rate apartment units within the Glen Loma Ranch Specific Plan Town Center Neighborhood
("Apartments"); and
WHEREAS, the Glen Loma Ranch Development Agreement requires 15.1 % of the units
constructed in Glen Loma Ranch to be affordable in accordance with the City of Gilroy's RDO
Affordable Housing Exemption Procedure; and
WHEREAS, 156 of the Apartments will be subject to regulatory restrictions that require
affordability in accordance with the City of Gilroy's RDO Affordable Housing Exemption
Procedure; and
WHEREAS, the existing percentages defining affordability within the RDO Affordable
Housing Exemption Procedure make it difficult for the City to address the housing needs of
Very Low -Income and middle -income households, or meet state Regional Housing Needs
Allocation requirements; and
WHEREAS, the primary funding agency for affordable housing projects in California is
the California Housing Finance Agency (CaIHFA); and
WHEREAS, Ca1HFA recognizes that inadequate housing is being produced for Very
Low-income and middle -income households; and
WHEREAS, to bolster housing production targeted to these income groups, CalHFA is
funding housing in the middle -income range, up to 80% Area Median Income, in exchange for
producing housing in the Very Low -Income range, up to 50% Area Median Income.
WHEREAS, The Pacific Companies would like to rent Apartment units at rates
consistent with Ca1HFA funding; and
RESOLUTION NO.2020-11
WHEREAS, The Pacific Companies proposes to rent 24% of the Apartments to
households earning up to 80% Area Median Income, in exchange for renting 48% of the units to
households earning 50% Area Median Income, consistent with Ca1HFA funding;
WHEREAS, The Pacific Companies would need an exception to the RDO Affordable
Housing Exemption Procedure to implement this rental structure; and
WHEREAS, the proposed rental structure would help the City meet Regional Housing
Need Allocation requirements for Very Low -Income households, and provide housing for
middle -income households; and
WHEREAS, the Planning Commission held a duly noticed public meeting on January 16,
2020, at which time the Planning Commission considered the staff report dated January 16, 2020
("Planning Commission Staff Report") as well as all evidence received, including public
testimony.
WHEREAS, the City Council held a duly noticed public meeting on March 2, 2020, at
which time the City Council considered the staff report dated March 2, 2020 ("City Council Staff
Report") as well as all evidence received, including public testimony; and
WHEREAS, the location and custodian of the documents or other materials that
constitute the record of proceedings upon which this policy exception is based is the office of the
City Clerk.
NOW, THEREFORE, BE IT RESOLVED THAT:
1. The City Council of the City of Gilroy hereby approves re a proposed policy exception to
the RDO Affordable Housing Exemption Procedure; and
2. The City Council of the City of Gilroy hereby directs staff to propose revisions to the
RDO Affordable Housing Exemption Procedure to ensure compliance with state housing
laws and Regional Housing Needs Allocation requirements
RESOLUTION NO.2020-11
PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF GILROY
on this 2nd day of March, 2020 by the following roll call vote:
AYES: COUNCILMEMBERS: BLANKLEY, BRACCO, LEROE-MUNOZ,
TOVAR, TUCKER and VELASCO
NOES: COUNCILMEMBERS: NONE
ABSENT: COUNCILMEMBERS: NONE
APPR ED:
v
Roland Velasco, Mayor
ATTES
Shawna Freels, Cit Clerk
RESOLUTION NO. 2020-11
I, S14AWNA FREELS, City Clerk of the City of Gilroy, do hereby certify that the
attached Resolution No. 2020-11 is an original resolution, or true and correct copy of a city
Resolution, duly adopted by the Council of the City of Gilroy at a regular meeting of said held on
Council held on the 2nd day of March, 2020, at which meeting a quorum was present.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Official Seal of
the City of Gilroy this 4d' day of M ch 020.
Sh Freels,
1-
City Clerk of the City of Gilroy
(Seal)