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<br /> <br /> CC : O3I04/2013 <br /> Closed Session <br /> <br /> PUBLIC JAWCENTER <br /> <br /> PROVIDING ACCESS TO JUSTICE <br /> FOR ORANGE COUNTY'S LOW INCOME RESIDENTS <br /> <br /> <br /> Via email <br /> March 4, 2013 <br /> Santa Ana City Council. <br /> 20 Civic Center Plaza <br /> P.O. Box 1988, M31 <br /> Santa Ana, CA 92701 <br /> L"mailed try: council@santa-ana.org <br /> <br /> Re: Closed Session Item 1A: California Department of Finance's Demand for Payment <br /> of Low and Moderate Income Housing Fund <br /> <br /> Dear Councilpersons: <br /> <br /> Public Law Center (PLC) represents low income residents of Santa Ana in a broad range <br /> of matters that affect the stability of families, including access to affordable housing. The Public <br /> Interest Law Project (PILP) is a statewide backup center for legal services organizations <br /> <br /> throughout California, specializing in affordable housing laws on redevelopment and land use. <br /> Our organizations appreciate the hard work staff of the City of Santa Ana Successor Agency have <br /> <br /> done to preserve Low and Moderate Income Housing Funds from diversion by the State <br /> Department of Finance (DOF). <br /> <br /> The City of Santa Ana acting as Successor Agency to the farmer redevelopment agency is <br /> holding funds in the LMIHF that we believe should be placed in the Low and. Moderate Income <br /> Housing Asset Fund (Asset Fund). The Successor Agency agrees with this position, and has <br /> <br /> transferred such funds to the Housing Authority of the City of Santa Ana. Meanwhile, DOF has <br /> demanded that the transferred funds be returned to the successor agency, which we understand has <br /> <br /> been done. The DDR for the LMIHF determined that such funds were encumbered. DOF again <br /> disagreed, and through its letter of February 25, 2013, continues to make demand that some $55M <br /> <br /> be sent the County Auditor Controller for distribution to the taxing entities. <br /> On December 20, we requested on behalf of our clients that such funds be retained by the <br /> Successor Agency. We applaud the City's decision to retain the fiends, rattler than be distributed <br /> <br /> to the taxing entities. <br /> Today we filed suit against DOF for the retention of funds identified in DOF's DDR <br /> <br /> review of February 25. The City should take no actions to distribute funds as requested by DOF's <br /> 1 <br /> <br /> 601 Civic Center Drive West -Santa Ana, CA 92701-4002 - (714) 541-1010 - Fax(714)S41-5157 <br />