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PUBLIC 0LAWCENTER PROVIDING ACCESS TO JUSTICE FOR ORANGE COUNTY'S LOW INCOME RESIDENTS February 7, 2017 Mayor Miguel Pulido and Members of the City Council City of Santa Ana 20 Civic Center Plaza P.O. Box 1988, M31 Santa Ana, CA 92701 RE: First Street Apartments - 1440 E. First Street Santa Ana, CA 92701 City Council Item 80A, February 7, 2017 Dear Mayor Pulido and Members of the City Council: The Public Law Center ("PLC") is a non-profit pro bono law firm that provides access to justice for low-income and vulnerable residents of Orange County. We represent low-income families in housing -related matters, many of whom reside in Santa Ana and are in great need of affordable housing. PLC is informed of AMCAL's affordable housing proposal located on First Street in the City of Santa Ana. We write to express our strong support for AMCAL's project, which is needed now more than ever. The housing affordability crisis in Santa Ana is worsening each year. Many Santa Ana residents cannot afford the home purchase prices or apartment rents, which are skyrocketing. These unaffordable costs are forcing families to live in overcrowded housing and substandard housing conditions. Lower income families are extremely rent burdened, as most of their income (over half) is used to pay for housing costs. Given the housing crisis, we need affordable housing to be developed immediately, and AMCAL's project, First Street Apartments, is approved and ready to move forward. The rental units are affordable to households earning between 30% and 60% of the Area Median Income. Further, half of the project provides three- and four-bedroom units designed to accommodate larger families— great need in the Santa Ana housing market. After two years of work, the First Street Apartments project is prepared to apply for tax credit financing next month and to break ground this year. PLC understands that AMCAL's proposal was approved last year by the City with unanimous support from the Planning Commission and City Council. First Street Apartments was approved by the City Council as a companion project to the Heritage development in order to meet the requirements of the Housing Opportunity Ordinance ("HOO"). As a result of the Heritage development receiving recent approval to pay the in -lieu fees required by the HOO in phases, First Street Apartments needs the funding it is requesting. The 601 Civic Center Drive West • Santa Ana, CA 92701-4002 • (714) 541-1010 • Fax (714) 541-5157