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REQUEST FOR <br />COUNCIL ACTION <br />CITY COUNCIL MEETING DATE: <br />CLERK OF COUNCIL USE ONLY: <br />JULY 2, 2019 <br />TITLE: APPROVED <br />❑ As Recommended <br />RECEIVE AND FILE REPORT ON THE ❑ As Amended <br />❑ Ordinance on ls' Reading <br />STATUS OF EVALUATING AND ❑ Ordinance on 2ntl Reading <br />AMENDING THE HOUSING OPPORTUNITY ❑ Implementing Resolution <br />ORDINANCE ❑ Set Public Hearing For <br />{STRATEGIC PLAN NO 5,3) <br />CONTINUED TO <br />FILE NUMBER <br />CITY MAN GER <br />RECOMMENDED ACTION <br />Receive and file report on the status of evaluating and amending the Housing Opportunity <br />Ordinance. <br />DISCUSSION <br />On December 4, 2018, City Council received and filed a report on the effectiveness of the <br />Housing Opportunity Ordinance (Exhibit 1), the City of Santa's Ana inclusionary housing <br />ordinance. In that report, staff indicated that the next step were to conduct stakeholder outreach <br />with the private market developer community and nonprofit community before returning to City <br />Council for a Work Study session in early Spring 2019. In addition, staff anticipcated by fiscal <br />year end to bring an amended Ordinance for City Council review and consideration that <br />incorporates revisions proposed through stakeholder feedback and the Work Study session. <br />Since the December 4, 2018 report to City Council, an interdepartmental working group from the <br />Planning and Building Agency and Community Development Agency met bi-weekly to work on <br />amending the ordinance. Staff also conducted an informal survey of other cities to obtain first- <br />hand experince feedback regarding the effectiveness of their inclusionary housing ordinances. <br />On February 13, 2019, staff held an Inclusionary Housing Roundtable with the Planning Directors <br />Association of Orange County (PDAOC) to obtain feedback from developers and other cities on <br />best management practices within the realm of inclusionary zoning, fees and related topics. Four <br />panelists representing two market rate developers, one affordable housing developer and a <br />community land trust participated. The event was attended by nearly 30 participants from cities <br />throughout Orange County. <br />In addition, Keyser Marston Associates (KMA) has been retained to assist in analyzing the <br />feasibility issues associated with the inclusionary housing requirements. The feasibility <br />assessment will include a market analysis, affordability gap analysis, and KMA's proprietary pro <br />forma models. The feasibility assessment will inform the final recommendations regarding the <br />65B-1 <br />