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Remarks by Alexa Washburn with National Community Renaissance Alexa Washburn, with Linda Wilson from Mercy House, gave a PowerPoint presentation on the proposed project. National CORE is a 501(c) (3) non-profit public benefit corporation that was established in 1992 based out of Rancho Cucamonga, CA. For more than 25 years, National CORE has been a leader in constructing sustainable developments that leverage community resources to combine quality housing with life-enhancing social services. National CORE will be the development entity and property manager once the project is complete. Mercy House Living Centers was founded in 1988 by Father Jerome T. Karcher with a vision to serve those in need in the Santa Ana community. Though the shape of Mercy House has changed over the years, from a single transitional shelter serving 10 men at a time, to an organization that spans counties and serves thousands of people each year, Mercy House’s vision remains the same: to end the homelessness of those who enter its system of care. Located at 609 N. Spurgeon Street, at the northwest corner of the intersection of French Street and E. Santa Ana Boulevard, the 1.74-acre Project site is currently home to Santa Ana United Methodist Church, a well- established anchor in the community. The Proposed Project includes the development of a single residential building with 93 units surrounding an interior, landscaped courtyard. In total, the Project proposes 81,883 square feet of habitable residential building area and 21,200 of public open space. Developed at an overall density of 53.4 units per acre, there will be an estimated 30 1-bedroom units, 41 2-bedroom units, and 22 3- bedroom units. Seven of the 2-bedroom units and seven of the 3-bedroom units will be two story townhomes accessible from the street. The remaining 79 units will be flats/typical apartment units located on the 2nd, 3rd and 4th floors over ground level parking. Questions and Answers After the Applicant introduced the project, speakers asked the following questions and provided the following comments. Speakers are shown below numerically; applicant responses are indicated by “RESPONSE”. 1. How is affordable defined? How will much will the rents be? In other recent projects, residents don’t qualify because rents went up compared to what was originally proposed. RESPONSE: The affordability levels will be based on the income limits set annually by the US Department of Housing and Urban Development. Rents will be based on 30 percent of an eligible tenant’s income for each income bracket. A slide on Income Limits and Expected Rent Limits was provided as part of the presentation. As this is a rent-restricted development that will have a density bonus agreement in place that ensures the project is affordable for no less than 55 years, the rents will change annually, based on the federal and State income limits but will not increase substantially. The eligibility to become a tenant is determined by the funding sources. 2. In other recent projects in the City, residents didn’t qualify because rents went up compared to what was originally proposed. RESPONSE: National CORE will enter into a density bonus agreement with the City that will rent restrict the units for a period of no less than 55 years. The affordability levels will be based on the income limits set annually by the US Department of Housing and Urban 1-38