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City Attorney Carvalho, ordinance does not require payment of in -lieu fees, but <br />the ordinance requires the building of low and moderate income units; if the <br />builder does not want to build such units it allows them to pay to opt -out and pay <br />upfront. <br />Councilmember Benavides, if funds collected and phases not built, what <br />happens? <br />City Attorney Carvalho, said that it would be up to Planning and Building to <br />decide how many units in each phase are built to meet the requirements. <br />Executive Director of Planning and Building Agency, Haghani, said that it would <br />be a percentage if developer built and not opt to pay fees. <br />William Devine, attorney for developer, disagreed and opined that it would be a <br />percentage of habitable units. <br />City Attorney Carvalho, position that it is not a mitigation impact fee, but an <br />affordable housing fee. <br />Councilmember Sarmiento, concerned that item tied to joint item 80B; in April of <br />2016 adopted letter of intent to support affordable housing project. <br />Councilmember Tinajero, supports very low affordable housing projects; both <br />projects are good for the City. <br />Mayor Pro Tern Martinez, does not support agreement that Planning <br />Commission denied; developer has existing commitment; concerned that no <br />Request for Proposal process followed and utilizing $6.7 million housing funds; <br />not a City obligation. <br />Councilmember Solorio, asked if projects were at one point related; nexus to <br />AMCAL project. <br />City Manager Cavazos, indicated Heritage Project had been previously <br />approved, in -lieu fees were designated in their entirety to AMCAL, funds <br />available in successor agency; may be a year or year and a half for funds to be <br />available; unique circumstances in which staff supports recommendation. <br />Councilmember Solorio, supports both projects; largely market rate housing; <br />interested in renovating substandard units throughout the City; developer will <br />pay fees in phases. <br />Councilmember Villegas, uncomfortable with the phasing; City should not be <br />responsible; supports AMCAL project; concerned that Planning Commission had <br />denied. <br />Councilmember Benavides, concerned with City's obligation <br />CITY COUNCIL MINUTES 32 DECEMBER 20, 2016 <br />1 OA -32 <br />