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EXHIBIT 1 <br />Executive Summary <br />On April11, 2006, the City of Santa Ana and the former Community Redevelopment Agency of <br />The City of Santa Ana (RDA) entered into a Housing Development Loan Agreement and <br />Affordable Housing Covenants with Mercy House Transitional Living Centers (Mercy House) for <br />the rehabilitation of the Regina House Project located at 1505, 1507 and 1509 N. Bush Street, <br />Santa Ana, CA. Mercy House has operated Regina House exclusively as a transitional housing <br />program for homeless single women and their children with in the community from since 1994. <br />At the time of the loan agreement in 2006, the City provided HOME Investment Partnership <br />Program (HOME Program) and RDA tax increment funds for the rehabilitation of the property. <br />In July 2018, Mercy House begun operation of the HomeAid Orange County Family <br />CareCenter, a 56-bed year round emergency shelter located in the City of Orange that serves <br />homeless families with children. The shelter is within a network of three other family shelters <br />that have been created in Orange County over the past four years known as the Family <br />Shelter Network. <br />The advent of these larger year round shelters for families has replaced the need for Mercy <br />House to continue to operate Regina House as a transitional shelter. Furthermore, as <br />demonstrated in the analysis of Orange County's housing market, there is a strong need in the <br />community for the development of affordable housing for low-income families including those <br />who are formerly homeless and have a number of barriers to securing housing. <br />This document demonstrates Mercy House's plan to modify Regina House from its current state <br />as a transitional shelter to a facility exclusively providing permanent housing with supportive <br />services for low-income and/or formerly homeless families. <br />Page 1 1 <br />1 ., <br />