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threat to the public interest, health, safety and welfare for the following reasons: (1) It would adversely impact the development of housing projects in the city; (2) It would adversely affect the number of housing developments in the pipeline; (3) It would cause a decline in the available housing stock; (4) It would put residents at risk for homelessness; (5) It would cause a decline in housing units available at diverse price points; and (6) It would risk the public health, safety and welfare of the City residents needing adequate housing. O. The City Council of the City of Santa Ana desires to use the inclusionary housing fund to increase and improve the supply of housing affordable to moderate, low, very low, and extremely low income households in the city with the priority on creation of affordable housing opportunities or units from the existing market rate housing stock rather than construction of new affordable housing units. This includes, but is not limited to, the purchase and rehabilitation of units for sale and the recapturing of affordable housing units at risk of market conversion. Monies may also be used to pay for one-time programs for code enforcement, and quality of life and general health and safety activities. P. The Request for Council Action for this ordinance dated August 18, 2020, and duly signed by the Executive Director of the Planning and Building Agency shall, by this reference, be incorporated herein, and together with this ordinance, any amendments or supplements, and oral testimony constitute the necessary findings for this ordinance. Section 2. The proposed ordinance has been reviewed with respect to applicability of the California Environmental Quality Act ("CEQA") and the State CEQA Guidelines (California Code of Regulations, Title 14, Section 15000 et seq.). The project is exempt from CEQA as it can be seen with certainty that there is no impact on the environment [Section 15061(b) (3)] and a Notice of Exemption will be filed upon adoption of this ordinance. Section 3. The Santa Ana City Council hereby finds, determines and declares that Santa Ana Municipal Code Chapter 41, Article XVIII.I is hereby amended and restated, in its entirety as follows: Ordinance No. NS-2994 Page 3 of 17