Nov 20, 2024 The Long Beach Community Investment Company

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TEST, I WOULD LIKE TO CALL TO ORDER THE LONG BEACH COMMUNITY INVESTMENT COMPANY MEETING FOR WEDNESDAY, NOVEMBER 20TH, 2024.

MADAM SECRETARY,

[CALL TO ORDER]

[ROLL CALL]

DIRECTOR RAMIREZ, VICE CHAIR DELGADO WILL NOT BE JOINING US TODAY.

DIRECTOR CHAMBERS WILL BE COMING IN POSSIBLY LATER ON TODAY.

DIRECTOR ESPARZA IS ALSO EXCUSED FROM THE MEETING TODAY.

DIRECTOR REJO PRESENT.

THANK YOU.

DIRECTOR.

RE PRESENT.

THANK YOU.

DIRECTOR RAMIREZ.

PRESENT.

THANK YOU.

DIRECTOR SIDES PRESENT.

THANK YOU.

WE HAVE A QUORUM.

UH, MAY I PLEASE VOLUNTEER DIRECTOR SIDES TO LEAD THE PLEDGE OF ALLEGIANCE.

[PLEDGE OF ALLEGIANCE]

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UM, THE CHAIR AND VICE CHAIR OR THE SECRETARY WILL HANDLE THE ELECTION ACTUALLY.

THANK YOU, DIRECTOR.

JUST A QUICK, UH, MESSAGE HERE WITH REGARDS TO TODAY'S ELECTION AFTER THE ELECTION, OUR DESIGNEE TODAY, THAT'S CHAIRING OUR MEETING

[CHAIR AND VICE CHAIR ELECTION]

THESE ARE OPEN NOMINATIONS.

I DECLARE THE NOMINATIONS ARE OPEN FOR THE CHAIR OF THE LONG BEACH COMMUNITY INVESTMENT COMPANY COMMISSION.

EACH MEMBER MAY NOMINATE ONE PERSON FOR CHAIR, INCLUDING THEMSELVES.

THESE NOMINATIONS DO NOT REQUIRE A SECOND.

WE WILL NOW BEGIN TO ALLOW FOR NOMINATIONS.

ARE THERE ANY NOMINEES? I'LL NOMINATE ALEJANDRO RAMIREZ.

ARE THERE ANY ADDITIONAL NOMINEES FOR THIS POSITION OF CHAIR? NONE SAID THERE.

BEING NO FURTHER NOMINATIONS.

I DECLARE THE NOMINATION CLOSED FOR CHAIR.

WOULD YOU LIKE TO SAY A FEW WORDS, DIRECTOR RAMIREZ? SURE.

UM, JUST GIVEN THAT WE'RE SO CLOSE TO THANKSGIVING, I REALLY JUST WANTED TO PROVIDE MY THANKS TO THE CITY OF LONG BEACH AND TO EVERYBODY IN THE COMMUNITY DEVELOPMENT SERVICES TEAM.

UM, I KNOW THAT IT'S ALL YOUR HARD WORK THAT MAKES MY JOB HERE EASY.

IT'S, UH, ALL THE DEVELOPERS THAT WE WORK WITH, THE PROPOSALS WE RECEIVE, THE STAFF REPORTS WE GET FOR OUR MEETINGS, THEY'VE ALL BEEN THOROUGHLY VETTED AND I JUST HAVE TO COME AND SHOW UP BASICALLY.

AND I'M SO THANKFUL TO ALL OF YOU.

UM, I AM REALLY PROUD OF THE CITY OF LONG BEACH AND IT'S MISSION TO SERVE ALL OF ITS CONSTITUENTS.

AND I KNOW IT'S NOT AN EASY TASK SOMETIMES, BUT, UM, YOU KNOW, JUST THE EFFORT THAT ALL OF YOU PUT INTO IT IS SO HEARTWARMING AND IT'S SOMETHING THAT I'M SO PROUD OF AND REALLY THANKFUL TO BE A PART OF, EVEN IF IT'S JUST A SMALL ROLE.

SO I JUST REALLY WANTED TO GIVE YOU ALL MY THANKS.

THANK YOU, DIRECTOR THAT CLOSES OUR NOMINATIONS.

I'D LIKE TO CONGRATULATE DIRECTOR RAMIREZ AND WE WILL NOW COMMENCE WITH ANY PUBLIC COMMENTS.

IF THERE'S ANY OUT THERE.

NONE SAID.

I WOULD LIKE TO NOW OPEN UP THE ELECTIONS FOR VICE CHAIR.

ARE THERE ANY NOMINATIONS FOR VICE CHAIR? I'D LIKE TO NOMINATE, UM, DIRECTOR EVA REJO.

I ANY ADDITIONAL THANK YOU THERE BEING NO FURTHER NOMINATIONS.

I DECLARE THE NOMINATIONS CLOSED FOR VICE CHAIR DIRECTOR MELGAR, WOULD YOU LIKE TO SAY A FEW WORDS? THANK YOU.

I AM EXTREMELY, EXTREMELY PROUD TO BE SERVING IN THIS COMMISSION AND VERY HONORED TO, TO BE GIVEN THIS OPPORTUNITY.

MY EXPERIENCE IN THE MORTGAGE INDUSTRY ALLOWS ME TO BRING THAT TO THE TABLE AND REALLY PAIR UP THE NEED FOR AFFORDABLE HOUSING, ESPECIALLY IN OUR CITY.

I COME FROM A VERY LOW INCOME BACKGROUND AND I HAVE HAPPENED TO EXPERIENCE WHAT IT IS TO LIVE IN A HOUSE WITH FOUR OTHER FAMILIES AND ONE BATHROOM, IF YOU CAN IMAGINE THAT.

SO I'M VERY, VERY PROUD TO BE ABLE TO BRING THAT TO THE TABLE, UNDERSTAND WHAT OUR COMMUNITY IS GOING THROUGH, AND WHAT THEIR NEEDS ARE, AND BE ABLE TO IMPROVE THE QUALITY OF LIFE FOR THE RESIDENTS OF LONG BEACH.

SO THANK YOU FOR ALL YOUR HARD WORK.

IT'S, IT'S QUITE AN HONOR TO BE HERE.

THANK YOU.

DIRECTOR REJO, ARE THERE ANY PUBLIC COMMENTS? NONE SAID.

ONCE AGAIN, CONGRATULATIONS DIRECTOR REJO.

THE NOMINATIONS ARE NOW CLOSED.

THANK YOU BOTH.

OKAY.

MOVING ON WITH OUR REGULAR AGENDA.

UM, WE HAVE OUR FIRST AGENDA ITEM, THE RECOMMENDATION

[1. 24-55640 Recommendation to receive and file President’s Report.       Suggested Action: Approve recommendation. ]

MAY I HAVE A MOTION ON THIS ITEM? YES.

OKAY.

UM, IT HAS BEEN MOVED BY DIRECTOR SIDES AND SECONDED BY DIRECTOR MAJO.

MAY WE PLEASE HEAR THE PRESIDENT'S REPORT? I, UH, WE JUST WANT TO WELCOME

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THIS IS HIS FIRST BOARD MEETING AND WE ARE VERY HAPPY TO HAVE HIM AND CONTRIBUTING TO OUR BOARD IF YOU'D LIKE TO, UM, INTRODUCE OR SAY SOMETHING ABOUT YOURSELF.

UH, NO PRESSURE, RIGHT, , UH, JUST THANK YOU ALL.

UM, THE ONES I HAVEN'T MET YET AND I JUST REALLY APPRECIATE THIS OPPORTUNITY.

UH, IT'S A, A BLESSING.

I WON'T TAKE IT FOR GRANTED.

AND, UH, LOOK FORWARD TO GETTING TO KNOW ALL YOU FOLKS A LITTLE BIT BETTER.

THANK YOU.

AGAIN, MY NAME'S REUBEN AND MY 10 YEAR, UH, 10 YEARS OF LIVING HERE IN MY FIRST HOME.

AND JUST GRATEFUL AND THANKFUL.

THANKS SO MUCH RUBEN.

AND, UM, BEYOND THAT, I JUST WANTED TO REMIND YOU, I'M SURE YOU'VE ALL RECEIVED THE INVITATION, BUT WE HAVE THE GROUNDBREAKING EVENT FOR OUR 300 ALAMITOS PROJECT.

I THINK AT ONE POINT THIS YEAR, STAFF AND I WERE GETTING A LITTLE BIT NERVOUS THAT WE WOULDN'T HAVE SOMETHING UNDER CONSTRUCTION NEXT YEAR AFTER SUCH A BIG CONSTRUCTION YEAR, BUT WE'VE HAD A FEW PROJECTS GET FUNDING AND THIS ONE CLOSED ESCROW.

UM, JUST A COUPLE WEEKS AGO, SYLVIA AND CHOW WERE WORKING VERY HARD ON THAT ESCROW CLOSING AS A LOT OF YOU CAN RELATE TO.

SO WE'RE VERY EXCITED TO HAVE THAT CELEBRATION TOMORROW.

UM, WE WILL NOW TAKE PUBLIC COMMENT ON THIS ITEM.

IF ANYONE WOULD LIKE TO SPEAK, PLEASE STAND HEARING NONE.

UH, MEMBERS OF THE BOARD, IS THERE ANY DISCUSSION ON THIS ITEM? NO.

MADAM SECRETARY, PLEASE CALL FOR A VOTE.

DIRECTOR SIDES, IF YOU WOULD LIKE TO GIVE A VOICE VOTE, I CAN TAKE THAT.

AND SAME FOR DIRECTOR MIJARES.

OH, I RECEIVED YOUR YES VOTE DIRECTOR SIDES.

THANK YOU.

AND LIKEWISE FOR I DO THAT, RIGHT? YES, YOU DID.

THANK YOU.

MOTION CARRIES.

OKAY, MADAM SECRETARY, PLEASE READ THE NEXT ITEM.

THANK YOU, DIRECTOR.

[2. 24-55641 Recommendation to approve the minutes for The Long Beach Community Investment Company special meeting of Monday, October 7, 2024.       Suggested Action: Approve recommendation. ]

MAY I HAVE A MOTION TO MOVE THE MINUTES? OKAY.

IT'S BEEN MOVED BY DIRECTOR MAL RAJO AND SECONDED BY DIRECTOR RAMIREZ.

UM, HAS, IS THERE ANY DISCUSSION ON THIS ITEM? HEARING NONE.

WE'LL NOW TAKE PUBLIC COMMENT ON THIS ITEM AND IF ANYONE WOULD LIKE TO SPEAK, PLEASE STAND.

NONE.

MADAM SECRETARY, PLEASE CALL FOR A VOTE.

MOTION CARRIES MADAM SECRETARY, PLEASE READ THE NEXT ITEM.

THANK YOU, DIRECTOR RECOMMENDATION

[3. 24-55643 Recommendation to approve the allocation of up to $2,500,000 from the Low- and Moderate-Income Housing Asset Fund (LMIHAF) to the Backyard Builders Pilot Program for the provision of loans to participants for the development of an affordable Accessory Dwelling Unit on their property; and Authorize the President or designee to execute any and all related documents necessary to implement the Backyard Builders Pilot Program and loan agreements.       Suggested Action: Approve recommendation. ]

AND AUTHORIZE THE PRESIDENT OR DESIGNEE TO EXECUTE ANY AND ALL RELATED DOCUMENTS NECESSARY TO IMPLEMENT THE BACKYARD BUILDERS PILOT PROGRAM AND LOAN AGREEMENTS.

MAY I HAVE A MOTION TO HEAR THIS ITEM? YES.

OKAY.

IT'S BEEN MOVED BY BY DIRECTOR SIDE.

SECONDED BY DIRECTOR RAMIREZ.

MAY WE PLEASE HAVE THE REPORT AND, UM, ONE OF OUR NEWEST STAFF MEMBERS, KELLY PELLI, WILL BE GIVING THE REPORT TODAY.

SHE'S BEEN A GREAT ADDITION TO OUR TEAM.

REALLY.

WE CAN HAVE ASKED FOR MORE, SO WE'RE EXCITED TO HAVE YOU, UH, GET INTRODUCED TO HER TODAY.

HELLO.

GOOD AFTERNOON COMMISSIONERS.

I'LL WAIT FOR THE SLIDES TO COME UP.

HERE WE GO.

HELLO.

UM, THANK YOU FOR HEARING THIS PRESENTATION TODAY ABOUT THIS EXCITING PILOT PROGRAM.

BACKYARD BUILDERS, A DU LOAN PROGRAM.

THIS WAS CREATED AS A WAY TO INCENTIVIZE HOMEOWNERS TO CREATE AN AFFORDABLE RENTAL UNIT ON THEIR PROPERTY.

WE ARE OFFERING A LOW INTEREST LOAN AND TECHNICAL ASSISTANCE TO BUILD AN A DU ON THEIR PROPERTY, AND WE CAN GO UP TO $250,000.

UM, IN EXCHANGE FOR FAVORABLE TERMS, THE HOMEOWNER MUST RENT THE UNIT TO SOMEONE WITH A PROJECT-BASED HOUSING, HOUSING VOUCHER FOR A MINIMUM OF FIVE YEARS.

AND WE'RE PLANNING TO RECORD AN AFFORDABILITY COVENANT ON THE PROPERTY IN ORDER TO ENSURE COMPLIANCE.

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0% INTEREST DURING CONSTRUCTION AND NO PAYMENTS DURING THE CONSTRUCTION TERM.

UPON CERTIFICATE OF OCCUPANCY, THE AFFORDABILITY TERM STARTS, THAT'S A FIVE YEAR MINIMUM FOR SOMEONE WITH A HOUSING VOUCHER WHERE THEY WILL STILL ENJOY THE 0% INTEREST.

IF AFTER THE FIVE YEARS THEY DECIDE TO EXIT THE PROGRAM, THE INTEREST RATE WILL INCREASE TO 3%, THOUGH WE WILL ENCOURAGE HOMEOWNERS TO CONTINUE ON RENTING TO SOMEONE WITH A HOUSING VOUCHER AND THEY WILL BE ABLE TO CONTINUE WITH THE 0% INTEREST.

UM, HERE'S SOME OF THE ELIGIBILITY CRITERIA FOR THE APPLICANT.

THEY MUST BE THE OWNER AND THE FULL-TIME OCCUPANT OF THE PROPERTY.

THEY MUST MEET OUR OTHER UNDER UNDERWRITING REQUIREMENTS, WHICH ARE PRETTY STANDARD FOR THE INDUSTRY.

UM, HOMEOWNERS CAN APPLY IF THEY'VE ALREADY STARTED THE A DU CONSTRUCTION PROCESS.

HOWEVER, THE CITY WILL NOT, UH, REIMBURSE FOR COSTS INCURRED BEFORE THE LOAN DOCUMENTS ARE EXECUTED.

UM, THE WAY WE'LL SELECT PROGRAM PARTICIPANTS, WE ARE GOING TO SELECT BORROWERS THROUGH A RANKED LOTTERY.

SO APPLICANTS WHO HAVE ALREADY STARTED THE A DU DEVELOPMENT PROPER PROCESS WILL BE PRIORITIZED.

WE ARE, WE'RE HOPING THAT THIS WILL ALLOW FOR AFFORDABLE UNITS TO COM BE COMPLETED FASTER AND HAVE LOW INCOME PEOPLE IN HOUSING, UM, AS SOON AS POSSIBLE.

UM, SO HERE'S OUR RECOMMENDATION FOR THE COMMISSION AND HAPPY TO ANSWER ANY OTHER QUESTIONS YOU HAVE ABOUT THE PROGRAM.

OKAY.

WE WILL NOW TAKE PUBLIC COMMENT ON THIS ITEM.

IF ANYONE WOULD LIKE TO SPEAK, PLEASE STAND THIS DISTRICT.

UM, JUST SPEAKING WITH RESPECT TO THIS PARTICULAR PROGRAM, UH, JUST FOR FULL DISCLOSURE, I AM AN APPLICANT OF THE PROGRAM, SO I DON'T WANT TO SPEAK AS IF I'M JUST A RANDOM PERSON.

BUT, UM, WITH RELATION TO THIS PROGRAM, I THINK THAT IT'S A GREAT OPPORTUNITY, UM, AND ATTEMPT BY THE CITY OF LONG BEACH IN ADDITION TO THE COMMUNITY DEVELOPMENT, UH, DEPARTMENT AND IMPACTING THE HOUSING CRISIS.

UM, I KNOW IT'S A PILOT PROGRAM, LIKE I UNDERSTAND THAT, THAT THE IDEA OF PILOT PROGRAMS IS TO START THE RACE WITH THE IDEA THAT THE STATE, COUNTY, OR FEDERAL PARTNERS THAT WE HAVE WILL ULTIMATELY FUNNEL MORE MONEY INTO THE POT AND THEN WE CAN EXPAND IT.

UH, SO I THINK THAT'S GREAT.

THE ISSUE THAT I HAVE, AND UH, I'M GONNA KEEP REITERATING IT IN EVERY PUBLIC, UH, CAPACITY THAT I HAVE, IS THAT ESSENTIALLY WE'RE SUBSIDIZING, UH, UH, AN ARTIFICIAL SUPPLY OF NEW HOUSING INTO, UM, THE, THE NETWORK OF HOUSING THAT WE HAVE AVAILABLE IE USING THE PUBLIC FUNDS TO CREATE THIS OPPORTUNITY.

I DON'T HAVE A PROBLEM WITH THAT.

I THINK THAT'S GREAT.

THAT'S LIKE IAN ECONOMICS 1 0 1, RIGHT? GOVERNMENT INTERVENTION OPPORTUNITIES COME OUT OF IT.

THE PROBLEM THAT I HAVE, AND IT STILL HAS NOT BEEN MADE CLEAR BECAUSE IT'S OBVIOUS, IS THAT THIS IS A CITY THAT DOESN'T ACT, DOESN'T, UH, EQUITABLY LOOK AT THE HOUSING STRUCTURE OR NATURE OF STOCK IN THE CITY, UH, AT AN ADEQUATE LEVEL FOR EVERYONE INVOLVED.

WHAT I MEAN IS THIS, IF I LIVE, I LIVE IN 9 0 8 0 6 AND I'M AN APPLICANT.

IF I'M AN APPLICANT IN A MORE AFFLUENT ZIP CODE, UH, AS YOU, AS YOU SAW IN THE PRESENTATION, UM, SORRY.

SO THE, THE AMOUNT OF PEOPLE THAT HAVE APPLIED, LET ME JUST REITERATE THE AMOUNT OF PEOPLE THAT HAVE APPLIED, IT'S SKEWED.

I KNOW IT'S NOT GONNA BE PUBLICIZED UNTIL AFTER AND WE CAN, I'LL HAVE TO DO A FREEDOM OF A FOYER REQUEST AND I'LL BE ABLE TO SEE THE DATA, BUT I KNOW THAT THE DATA WILL SHOW THAT IT SKEWED THIS SIDE OF TOWN VERSUS THAT SIDE OF TOWN THAT IS WEST LONG BEACH VERSUS EAST LONG BEACH.

I DON'T HAVE A PROBLEM WITH THAT.

THE PROBLEM WITH THAT IS IF WE'RE GIVING ACCESS TO SUBSIDIZED INTEREST FREE LOANS, I THINK THAT WE SHOULD PRIORITIZE HOMEOWNERS THAT ARE COMING FROM LOWER AREAS, LOWER INCOME AREAS OR MODERATE INCOME AREAS, NOT GOOD OR BAD AREAS, UH, WITH THE OPPORTUNITY OF YOU ACTUALLY NEED THE MONEY, YOU HAVE A CREDIT PROFILE, WHEREAS EVEN IF YOU HAVE A HIGH CREDIT SCORE, YOU WON'T HAVE ACCESS TO THIS TYPE OF MONEY.

UH, REGARDLESS OF SUCH, YOU HAVE, YOU CAN HAVE A 700 CREDIT SCORE AND BEING 9 0 0 6 AND YOU STILL WILL BE DENIED TO CREATE AN A DU VERSUS IN, YOU KNOW, PARK ESTATES OR LOS ALTOS OR OTHER PARTS OF THE CITY.

SO I DON'T THINK THAT IT'S FAIR THAT WE'RE SUBSIDIZING, WE AS PROPERTY OWNERS, WE AS PEOPLE ARE PAYING PROPERTY TAXES THAT WE'RE SUBSIDIZING ACCESS TO FREE LOAN INTEREST FREE MONEY TO MORE AFFLUENT PARTS OF THE CITY.

THAT STILL HASN'T BEEN MADE CLEAR TO ME BY ANYONE FROM COMMUNITY DEVELOPMENT.

SO TO ME, UH, I THINK IT'S UNEQUITABLE.

OKAY, THANK YOU.

UH, MEMBERS OF THE BOARD, IS THERE ANY DISCUSSION ON THIS ITEM? I DO.

CAN WE ASK, UM, QUESTIONS DIRECTLY TO THE SPEAKER OR

[00:20:02]

OH, OKAY.

SO, UM, WHY WOULD THAT CONDITION EXIST THEN THAT IF EVERYONE CAN APPLY AND THE CRITERIA IS APPLIED EVENLY, THEN WHY WOULD THERE BE A GEO COMPONENT TO THAT? WELL, IDEALLY THERE WON'T, BUT IT'S POSSIBLE.

WE THINK THAT THE FAIREST WAY TO DO THIS IS VIA A LOTTERY.

UM, THIS IS HOW WE, UH, ASSIGN UNITS OR GIVE PEOPLE OPPORTUNITY TO MOVE INTO OUR NEW HOUSING DEVELOPMENTS THAT HAVE 12,000 PEOPLE, WHICH IS VERY, OR SORRY, 1200 PEOPLE, WHICH IS VERY COMMON FOR SAY 8 60, 80 UNITS.

WE DON'T THINK IT'S FAIR FOR IT TO BE FIRST COME FIRST SERVE BECAUSE IT'S EXPOSURE TO THE INFORMATION.

UM, SO WE HAVE DECIDED TO DO A LOTTERY AND IT WILL BE LUCK, UM, THIS FIRST ROUND, AT LEAST FOR THESE FIRST 10, WHERE WE HAVE, AS YOU KNOW, COMPETING GOALS AND ONE OF OUR GOALS IS TO GET HOUSING OPPORTUNITY FOR LOW INCOME PEOPLE IN HIGH RESOURCE AREAS.

WE HAVE ALSO PARTNERED WITH HOUSING AUTHORITY, WHICH IS VERY IMPORTANT.

THEY'RE VERY EXCITED TO HAVE THIS OPPORTUNITY TO PLACE PEOPLE FROM THEIR WAIT LIST TO HAVE A, TO GET A HOUSING CHOICE VOUCHER AND TO GET SECTION EIGHT TENANTS INTO HIGH RESOURCE AREAS.

SO IDEALLY WE WOULD HAVE PEOPLE, UM, DISPERSED EVENLY THROUGHOUT DIFFERENT PARTS OF THE CITY, BUT WE'LL SEE.

BUT WE HOPE TO, UM, SERVE THOSE WHO ARE MAYBE LOWER INCOME HOMEOWNERS AS WELL AS THOSE WHO ARE NOT, BUT ARE GIVING A LOW INCOME HOUSEHOLD AN OPPORTUNITY TO LIVE IN AN AREA WITH MORE PARKS AND JOBS AND CLEANER AIR AND ALL OF THE THINGS THAT COME WITH HIGHER RESOURCE AREAS.

AND WHAT ARE THE OTHER CRITERIA ARE, WHAT ARE THE OTHER CRITERIA THAT ARE CONSIDERED IN THE RANKING AND IS ONE OF THOSE CRITERIA? THE HIGH VERSUS LOW RESOURCE AREAS OR ANY OTHER GEOGRAPHIC? THERE'S NO GEOGRAPHIC PREFERENCE.

OKAY.

THERE IS AN A DU PREFERENCE.

SO IF YOU HAVE ACCESS TO CAPITAL PRIOR TO THIS APPLICATION, EVEN EXISTING IE HAVING ACCESS TO, TO BUILD THE A DU, THAT'S A HIGH RESOURCE AREA THAT THEY'RE DISPROPORTIONATELY GONNA BE POSITIVELY GETTING PREFERENTIAL POINTS VERSUS LOWER INCOME AREAS WHICH DON'T GET ACCESS TO THE SAME TYPE OF CAPITAL TO GET ADUS IN THEIR AREA.

THAT'S WHAT, THAT'S THE, THERE DOESN'T NEED TO BE A GEOGRAPHICAL, LITERAL, UH, LITERAL UH, PAYMENT, UH, PREFERENTIAL POINTS SPREAD, BUT THERE IS ONE, WHEN YOU LOOK AT WHO GETS LOANS AND WHO DOESN'T, PEOPLE ON FOUR PARTS OF THE CITY DON'T GET ACCESS TO THE LOANS TO CREATE ADUS OR GET THE $40,000 BLUEPRINTS DONE BEFORE THESE APPLICATIONS COME OUT TO THE PUBLIC.

IT'S NOT FAIR, BUT THEY HAVE EQUAL OPPORTUNITY TO APPLY FOR THIS PROGRAM.

YEAH.

SO IF WE CAN KIND OF STEER THE MEETING IT SHOWS IN THE PRESENTATION TO YEAH.

YEAH.

SO THE SPEAKER HAD HIS OPPORTUNITY.

I JUST WANNA ORIENT, UM, THE BOARD TO THINK ABOUT, WE HAVE DIFFERENT PROGRAMS, RIGHT? AND WE HAVE PROGRAMS THAT ARE DESIGNED, UM, TO HELP LOW INCOME PERSONS, LOW INCOME HOMEOWNERS, AND THOSE ARE GEOGRAPHICALLY BASED.

THAT'S NOT THIS PROGRAM.

SO THE POINT OF THIS PROGRAM IS THE UNITS THAT GET PRODUCED, IT'S NOT, IT'S NOT INTENDED TO HELP A TARGET AUDIENCE OF SPECIFIC OWNERS.

THE WHOLE POINT OF THIS PROGRAM FOR THE CITY IS TO GET THOSE ADUS BUILT AND TO GET UNITS, HIGH QUALITY NEW UNITS THAT WE CAN PUT, UM, VOUCHER HOLDERS IN.

THAT'S NOT TO SAY WE DON'T HAVE OTHER PROGRAMS TO, UM, ASSIST, UM, OWNERS IN OTHER SITUATIONS.

WE'RE TALKING ABOUT THIS PARTICULAR PROGRAM AND THERE'S SORT OF, WE'VE DESIGNED IT, UH, HOW WE THINK IS BEST.

WE'RE GLAD TO, YOU KNOW, ANSWER QUESTIONS, BUT THERE IS A LIMIT TO SORT OF HOW MANY GOALS WE CAN MEET WITH AN AMOUNT OF MONEY THAT'S GONNA FUND 10 ADUS.

SO I JUST WANNA SORT OF FRAME WHAT WE'RE TALKING ABOUT HERE.

WE'RE PROBABLY NOT GONNA RESOLVE BANKING AND ACCESS TO CAPITAL AND SOME SORT OF LONG TERM, UM, ISSUES THROUGH THIS ONE, UM, $2 MILLION PROGRAM.

UM, BUT WE ARE TRYING TO ADVANCE A VERY SPECIFIC GOAL OF GETTING FOLKS INTO UNITS THAT HAVE A VOUCHER.

ALRIGHT, THANK YOU.

I HAVE A COUPLE OF QUESTIONS OR POINTS OF CLARIFICATIONS.

THERE IS NO FICO SCORE BEING TIED TO A ZIP CODE, CORRECT? CORRECT.

OKAY.

AND MY SECOND QUESTION IS, THE REASON WHY YOU'RE PRIORITIZING THOSE LOTS THAT ALREADY HAVE CONSTRUCTION OR HAVE STARTED OR HAVE THE POTENTIAL OF A MORE ADVANCED A DU OR FINISHING THAT EARLIER BECAUSE THEY MAY HAVE STARTED THAT PROCESS, IS TO EXPEDITE

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SO THEN THE MONEY THAT GOES INTO THE LOAN THAT IS PROVIDED WOULD BE LESS.

IS THAT ACCURATE TO ASSUME? WELL, IT'S REALLY MORE THE FORMER.

UM, THE SECOND MAY COME TO BE TRUE, BUT WE DON'T MM-HMM, , THERE'S NO FACTS AND EVIDENCE TO THAT, RIGHT? SO, UM, THE LOAN IS FOR UP TO 250,000 AND IF WE GO UNDER THEN, YOU KNOW, THERE MAY BE ROOM TO MAKE ADDITIONAL LOANS, BUT FOR US, REALLY THE CONSIDERATION WAS THE SPEED TO MARKET.

SO WE HAVE FOLKS THAT HAVE QUALIFIED FOR VOUCHERS THAT, YOU KNOW, HAVE GONE THROUGH THAT PROCESS WITH THE HOUSING AUTHORITY.

THE HOUSING AUTHORITY ASKED US FOR HELP TO GET THOSE FOLKS INTO HOUSING.

UM, AND THE APARTMENT BUILDINGS AROUND TOWN, INCLUDING THE ONES THAT, UM, WE HELP BUILD, THOSE ARE GREAT AND THAT'S THE RIGHT FIT FOR SOME PEOPLE, BUT NOT FOR EVERYONE.

AND WE'RE TRYING TO PROVIDE A DIFFERENT OPTION AS SOON AS POSSIBLE SO THAT THOSE VOUCHER HOLDERS CAN GET INTO AN ACTUAL HOME.

THANK YOU.

UH, I JUST HAVE A COUPLE QUESTIONS.

HOW LONG CAN THEY EXTEND THE 0% INTEREST FOR? IS IT INDEFINITE IF THEY CHOOSE TO? YEAH, THEY CAN DO IT THE ENTIRE 30 YEARS.

UM, AND THEN THE OTHER QUESTION, SINCE YOU KIND OF MENTIONED THAT YOU COULD OPEN UP FOR MORE APPLICANTS IF YOU STILL HAVE FUNDS LEFT OVER, HOW MANY APPLICANTS DID WE GET IN THIS FIRST ROUND? UM, WE HAVE SEVERAL HUNDRED ALREADY.

WE, UM, WE NEED TO GO THROUGH THE DATA AND TAKE OUT ANY DUPLICATES OR ANYTHING, BUT WE HAVE MORE THAN 500 SUBMISSIONS WITH MORE THAN 500 SUBMISSIONS.

UM, COULD WE ASK FOR MORE FUNDS TO BE PUT TO THE PROGRAM? YEAH, SO THAT'S WHERE WE SORT OF HAND THINGS OFF TO OUR INTERGOVERNMENTAL GROUP.

I THINK, YOU KNOW, WE HAVE PULLED TOGETHER LOCAL MONEY, UH, SOME SEED MONEY FROM THE MAYOR AND A COUPLE MILLION DOLLARS, UM, IN SUCCESSOR DOLLARS THAT WE WERE ABLE TO FIND OR MOVE AROUND.

UM, I THINK THIS IS THE TYPE OF PROGRAM THAT THE STATE, UM, SHOULD BE FUNDING.

UM, UNFORTUNATELY THIS IS NOT AN ALLOWED USE UNDER THEIR CAL HOME PROGRAM, BUT THAT DOESN'T MEAN THEY COULDN'T CHANGE THOSE RULES IN THE FUTURE TO FUND PROGRAMS LIKE THIS.

SO, UH, OUR GOAL IS TO GET THESE BUILT, GET PEOPLE IN THEM, AND THEN BEING ABLE TO TALK TO OUR DELEGATION IN SACRAMENTO ABOUT THE POWER AND PROMISE OF THIS PROGRAM AND HOPE THAT IT'S SOMETHING THAT, UM, THEY WILL WANNA INVEST IN AS WELL.

IS THERE GONNA BE A SET AMOUNT OF TIME THAT YOU'LL BE VETTING HOW THE PROGRAM'S DOING BEFORE TRY AND INCREASE THE SIZE? YEAH, WE, IT'S A PILOT.

WE PLAN TO FOLLOW IT OF COURSE, ALL THE WAY THROUGHOUT.

THE ULTIMATE GOAL IS TO MONITOR HOW LONG THEY'RE LEASED TO SOMEONE WITH A HOUSING VOUCHER.

WE'RE GONNA LOOK AT A COUPLE OF OTHER METRICS.

OF COURSE, WE'RE TRYING TO GAUGE COMMUNITY INTERESTS.

WE'VE ALREADY BEEN FLOORED BY HOW MANY APPLICATIONS THAT WE'VE RECEIVED.

UM, BUT WE ALSO WANTED TO MONITOR THINGS LIKE CONSTRUCTION TIMELINES, UM, PROJECT BUDGETS.

WAS 250,000 THE RIGHT LOAN AMOUNT? SHOULD IT BE LESS OR MORE IN THE FUTURE? ALL THOSE SORTS OF THINGS.

SO WE NEED TO FOLLOW ALL THE WAY THROUGH.

UM, AND THEN AGAIN, HOW LONG ARE PEOPLE RENT CONTINUING TO RENT TO SOMEONE WITH A VOUCHER BEYOND THE MINIMUM FIVE YEAR PERIOD? IS IT A KEY METRIC THAT WE'RE LOOKING AT? ANY FURTHER DISCUSSION? NO.

OKAY.

UH, MADAM SECRETARY, PLEASE CALL FOR A VOTE.

MOTION PASSES.

THANK YOU MADAM SECRETARY, PLEASE READ THE NEXT ITEM.

THANK YOU, DIRECTOR RECOMMENDATION TO APPROVE A 400,000 INCREASE TO THE COMMUNITY DEVELOPMENT

[4. 24-55644 Recommendation to approve a $400,000 increase to the Community Development Block Grant loan to AMCAL Multi-Housing, Inc. to complete the acquisition of 946 Linden Ave; Authorize the President to negotiate an Amendment to the Affordable Housing Loan Agreement with AMCAL Multi-Housing, Inc.; and Authorize the President or designee to negotiate and execute any and all documents necessary related to the Loan Amendment.       Suggested Action: Approve recommendation. ]

TO COMPLETE THE ACQUISITION OF 9 4 6 LINDEN AVENUE.

AUTHORIZE THE PRESIDENT TO NEGOTIATE AN AMENDMENT TO THE AFFORDABLE HOUSING LOAN AGREEMENT WITH AMCAL HOUSING AND AUTHORIZE THE PRESIDENT OR DESIGNEE TO NEGOTIATE AND EX EXECUTE ANY AND ALL DOCUMENTS NECESSARY RELATED TO THE LOAN AMENDMENT.

MAY I HAVE A MOTION TO HEAR THIS ITEM? IT'S BEEN MOVED BY DIRECTOR S AND SECONDED BY DIRECTOR REJO.

UM, MAY WE PLEASE HAVE THE REPORT? PROJECT MANAGER STAVO WILL BE GIVING THE REPORT.

GOOD AFTERNOON.

UH, THIS ITEM IS A REQUEST TO APPROVE A $400,000 INCREASE TO THE EXISTING LOAN WITH AMCAL MULTI-HOUSING FOR ACQUISITION OF 9 4 6 LINDEN AVENUE ON APRIL 19TH, 2023.

THE L-B-C-I-C APPROVED A LOAN TO AMCAL AND THE AMOUNT OF $3.6 MILLION OF CDBG FUNDS FOR ACQUISITION OF 9 4 6 LYDEN AVENUE.

THE TOTAL PURCHASE PRICE OF THE PROPERTY WAS $4 MILLION WITH THE L-B-C-I-C LOAN, AMCA WAS ABLE TO ACQUIRE THE SITE

[00:30:01]

THE CARRYBACK LOAN IS ZERO INTEREST UNTIL JANUARY 1ST, 2025, AT WHICH POINT INTEREST WILL BEGIN TO ACCRUE AT 6% PER ANNUM.

THE PROPOSED HOUSING DEVELOPMENT ON LYDEN AVENUE WILL PROVIDE 99 RENTAL UNITS AFFORDABLE TO HOUSEHOLDS EARNING BETWEEN 30% AND 80% OF THE AREA MEDIAN INCOME PLUS ONE TWO BEDROOM ROOM UNIT FOR AN ONSITE MANAGER.

THE DEVELOPMENT INCLUDES COMMUNITY AND COMPUTER ROOMS, A FITNESS AREA TOT LOT, COURTYARD AND BARBECUE AREA, AND THIS IS JUST A PROJECT RENDERING AS VIEWED FROM THE INTERSECTION OF 10TH STREET AND LINDEN AVENUE FACING SOUTHEAST.

AND HERE'S AN UPDATE ON PROJECT FINANCING.

IN ADDITION TO THE $3.6 MILLION LOAN FROM THE L-B-C-I-C.

THE PROJECT WAS RECENTLY AWARDED 28.2 MILLION IN AFFORDABLE HOUSING SUSTAINABLE COMMUNITIES FUNDS FROM THE CALIFORNIA DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT AMCAL PLANS TO SUBMIT AN APPLICATION FOR FEDERAL TAX CREDITS EARLY NEXT YEAR, AS WELL AS AN APPLICATION FOR H CD'S SUPERNOVA IN THE SPRING OF NEXT YEAR.

AND THE RECOMMENDATIONS TODAY ARE TO APPROVE A $400,000 INCREASE TO THE C-D-G-C-D-B-G LOAN TO AMCAL TO COMPLETE THE ACQUISITION.

AUTHORIZE THE PRESIDENT TO NEGOTIATE AN AMENDMENT TO THE AFFORDABLE HOUSING LOAN AGREEMENT WITH AMCAL AND AUTHORIZE THE PRESIDENT OR DESIGNATE TO NEGOTIATE AND EXECUTE ANY AND ALL DOCUMENTS NECESSARY RELATED TO THE LOAN AMENDMENT.

THANK YOU.

THIS CONCLUDES THE PRESENTATION.

HAPPY TO ANSWER ANY QUESTIONS.

WE'LL NOW TAKE PUBLIC COMMENT ON THIS ITEM.

IF ANYONE WOULD LIKE TO SPEAK, PLEASE STAND HEARING NONE.

UH, MEMBERS OF THE BOARD, IS THERE ANY DISCUSSION ON THIS ITEM? HEARING NONE, MADAM SECRETARY, PLEASE CALL FOR A VOTE.

DIRECTOR EZ IF YOU'D LIKE, YOU CAN GIVE US A VERBAL, I GOT IT.

THERE WE GO.

THANK YOU, DIRECTOR.

YES.

MOTION CARRIES.

THANK YOU MADAM SECRETARY, PLEASE READ THE NEXT ITEM.

THANK YOU, DIRECTOR RECOMMENDATION TO RECEIVE AND FILE A REPORT REGARDING THE PROPERTIES AND

[5. 24-55645 Recommendation to receive and file a report regarding the priorities and requirements for the expenditure of federal and state funding received by the Long Beach Community Investment Company and provide staff appropriate direction.       Suggested Action: Approve recommendation. ]

MAY I HEAR A MOTION, UH, TO HEAR THIS ITEM? IT'S BEEN MOVED BY DIRECTOR SIDE AND SECONDED BY DIRECTOR RAMIREZ.

MAY WE PLEASE HAVE THE REPORT? MARY DOW WILL BE GIVING THIS REPORT.

IN ADDITION TO, WE HAVE A SPECIAL GUEST, UH, THIS EVENING, ALEJANDRO SANCHEZ LOPEZ, WHO IS ONE OF OUR, UH, VERY RESPECTED PLANNING OFFICERS TO HELP, UH, GIVE SOME HISTORY.

UM, GOOD EVENING.

BEFORE WE BEGIN.

THERE WAS A MINOR UPDATE TO THE PRESENTATION AND COPIES CAN BE FOUND BY THE PODIUM, UM, IF NEEDED.

THIS PRESENTATION PROVIDES A BROAD FRAMEWORK FOR THE LEGAL AND POLICY REQUIREMENTS IN ADDITION TO THE ORGANIZATIONAL AND JURISDICTIONAL CONSTRAINTS THAT INFORM THE ROLE OF THE L-B-C-I-C IN CARRYING OUT ITS MISSION TO ADDRESS HOUSING AVAILABILITY AND AFFORDABILITY IN LONG BEACH.

THE L-B-C-I-C IS COMMITTED TO PROVIDING SUSTAINABLE HOUSING, REVITALIZING NEIGHBORHOODS, AND PROMOTING LIVABILITY.

THE L-B-C-I-C FOCUSES ON FUNDING AGREEMENTS AND DECISIONS, WHILE THE PLANNING COMMISSION AND CULTURAL HERITAGE COMMISSION ARE RESPONSIBLE FOR SHAPING NEIGHBORHOODS THROUGH ZONING AND HISTORIC PRESERVATION.

ULTIMATELY FINAL FUNDING DECISIONS REGARDING STATE AND FEDERAL HOUSING FUNDS ARE MADE BY THE CITY COUNCIL, AND THOSE AGREEMENTS ARE EFFECTUATED BY THE CITY MANAGER.

THE L BBC'S WORK IS FURTHER INFORMED BY STATE AND FEDERAL LAW, CRAFTED IN PART AS A RESPONSE TO A HISTORICAL CONTEXT OF INEQUITY, WHICH MY COLLEAGUE ALEJANDRO WILL SPEAK TO.

THANKS.

THANK YOU, MARY.

THE NEXT FEW SLIDES WE'LL CONTEXTUALIZE, UH, THE CURRENT REGULATORY ENVIRONMENT THAT WE FIND OURSELVES IN.

UM, SO FIRST, FOR A LITTLE BIT OF HISTORY.

IN THE 1930S, THE US WAS COMING OUT OF THE GREAT DEPRESSION.

THE NEW DEAL OFFERED A PATHWAY TO HOME OWNERSHIP FOR MILLIONS OF PEOPLE LAUNCHING THEM SOLIDLY INTO THE MIDDLE CLASS.

BUT TO DETERMINE WHO WAS WORTHY OF RECEIVING GOVERNMENT BACKED MORTGAGES, FEDERAL AGENCIES USED COLOR CODED MAPS TO MARK WHERE PEOPLE OF COLOR LIVED, SHADING THESE NEIGHBORHOODS IN RED AND DEEMING THEM TOO RISKY FOR MORTGAGES.

THIS GAVE RISE TO THE TERM RED LINING, A

[00:35:01]

AS YOU SEE IN OUR VERY OWN MAP HERE, THE MAP ON THIS SLIDE SHOWS RED LINING IN CENTRAL LONG BEACH WITH MUCH OF IT, MUCH OF IT READ, DEEMING IT, ONE OF THE RISKY NEIGHBORHOODS, MEANING PEOPLE IN THESE NEIGHBORHOODS COULD NOT ACCESS MORTGAGES TO BUY, MAINTAIN, AND MODERNIZE BUILDINGS, MANY OF WHICH FELL INTO DISREPAIR.

THIS LOWERED PROPERTY VALUES AND REDUCED THE OPPORTUNITY FOR FAMILIES TO BUILD GENERATIONAL WEALTH AND STABILITY THROUGH HOME OWNERSHIP.

WHILE OTHERS AREAS WERE SHADED IN BLUE, MEANING IT WAS MOSTLY WHITE HOUSEHOLDS AND THUS WORTHY OF INVESTMENT.

THESE MAPS SHOW THAT GOVERNMENT LEADERS EMPOWER NOT ONLY INSTITUTIONALIZED SEGREGATION AND DISINVESTMENT FOR AFRICAN AMERICANS AND PEOPLE OF COLOR, BUT ADDED BARRIERS TO PREVENT HOME OWNERSHIP TO ANYONE OUTSIDE OF WHITE RESIDENTS.

ULTIMATELY THROUGH A OVERT PRACTICE OF DENYING MORTGAGES BASED ON RACE AND ETHNICITY AND SPATIALLY SEGREGATING AREAS FOR FEDERALLY BACKED INVESTMENT, THE FHA AND HOLC PLAYED A MAJOR ROLE IN THE LEGALIZATION IN INSTITUTIONALIZATION OF RACISM AND SEGREGATION.

EVEN THOUGH THESE MAPS ARE FROM 1939, REDLINING AND OTHER FORMS OF SEGREGATION AND DISINVESTMENT THAT WERE EITHER PERMITTED OR DIRECTLY PERPETUATED BY VAST GOVERNMENT AGENCIES, INCLUDING LONG BEACH, CONTINUED TO HAVE A MAJOR IMPACT IN THE CONDITIONS OF EACH OF THESE NEIGHBORHOODS.

TODAY.

PRIOR TO THE 1960S, LONG BEACH LANDLORDS AND SELLERS COULD LEGALLY REFUSE TO SELL OR RENT TO THESE POPULATIONS.

THIS INCLUDED THE NEIGHBORHOODS WITH EXISTING HOUSING STOCK, AS WELL AS NEW POST-WAR HOUSING DEVELOPMENTS FOR NORTH CENTRAL AND WEST LONG BEACH.

MANY OF THE ISSUES FACED BY RESIDENTS TODAY AROUND HOUSING INFRASTRUCTURE AND SERVICES CAN BE TRACED BACK TO POLICY DECISIONS MADE IN THE PRE AND POSTWAR PERIODS AND PERPETUATED IN THE DECADE SINCE.

AS A RESULT, FEDERAL LAW REQUIRES RECIPIENTS OF HUD FUNDS TO TAKE MEANINGFUL ACTIONS IN ADDITION TO COMBATING DISCRIMINATION THAT OVERCOME PATTERNS OF SEGREGATION AND FOSTER INCLUSIVE COMMUNITIES FREE FROM THE BARRIERS THAT RESTRICT ACCESS TO OPPORTUNITY BASED ON PROTECTED CHARACTERISTICS.

THE FAIR HOUSING ACT OF 1968 ENACTED WAS ENACTED TO END HOUSING DISCRIMINATION AND REQUIRES JURISDICTION WITH HUD FUNDING TO AFFIRMATIVELY, AFFIRMATIVELY FURTHER FAIR HOUSING, ALSO KNOWN AS A FFH.

TO MAINTAIN ITS HARD COMPLIANCE, LONG BEACH IS REQUIRED TO REPORT ANNUALLY ON LOCAL FAIR HOUSING EFFORTS AS PART OF ITS CONSOLIDATED ANNUAL PERFORMANCE EVALUATION REPORT, ALSO KNOWN AS CAPER A FFH PRIORITIZES AFFORDABLE HOUSING IN HIGH RESOURCE AREAS AND INVESTMENT IN RE CAPS FOR INCLUSIVE COMMUNITY DEVELOPMENT.

GENERALLY IN ADMINISTERING PROGRAM AND ACTIVITIES RELATED TO HOUSING AND COMMUNITY DEVELOPMENT, THE FEDERAL GOVERNMENT, HUD AND ITS RECIPIENTS MUST FIRST DETERMINE WHO ACTS OPPORTUNITY ACCESS TO OPPORTUNITY AND ADDRESS ANY INEQUALITY AMONG PROTECTED CLASS GROUPS.

SECONDLY, PROMOTE INTEGRATION AND REDUCE SEGREGATION.

AND THIRDLY, TRANSFORM RACIALLY OR ETHNICALLY CONCENTRATED AREAS OF POVERTY, ALSO KNOWN AS ARI CAPS INTO AREAS OF OPPORTUNITY.

ADDITIONALLY, IN EARLY 2023, HUD PUBLISHED IN THE FEDERAL REGISTER A NOTICE OF PROPOSED RULEMAKING ENTITLED AFFIRMATIVELY FURTHERING FAIR HOUSING.

UNDER THIS PROPOSED A FFH RULE PROGRAM, PARTICIPANTS WOULD BE REQUIRED TO ADOPT EQUITY PLANS TO COMMIT THE PROGRAM PARTICIPANT TO GOALS THAT ADVANCE EQUITY IN IN HOUSING COMMUNITY DEVELOPMENT PROGRAMS AND RESIDENTS ACCESS TO WELL RESOURCED AREAS, OPPORTUNITY AND COMMUNITY ASSETS.

THIS SLIDE SHOWS ADDITIONAL STATE AND LOCAL REGULATIONS THAT ALIGN WITH AND FURTHER INCREASE FEDERAL A FFH REQUIREMENTS.

AB 6 86, WHICH WE WILL LEARN ABOUT IN THE NEXT SLIDE, WAS PASSED IN 2018 AND REQUIRES CALIFORNIA AGENCIES TO FURTHER FAIR HOUSING REGARDLESS OF FUTURE FEDERAL ACTIONS, STATE FUNDING GOALS AND PROGRAMS LIKE THE LOW INCOME HOUSING TAX CREDIT PROGRAM OR LITECH, FOCUS ON AFFORDABLE HOUSING IN HIGH RESOURCE NEIGHBORHOODS AIMING TO BALANCE INVESTMENT ACROSS ALL COMMUNITIES AND PRIORITIZE INVESTMENT IN AREAS THAT HAVE EXISTING RESOURCES AND ASSETS THAT ARE NEEDED FOR FAMILIES AND CHILDREN TO GROW AND THRIVE AND ARE HISTORICALLY AND CURRENTLY UNDER PRODUCING AFFORDABLE HOUSING AVAILABLE TO THE MOST, UH, UH, TO THE FAMILIES MOST IN NEED.

THE HOUSING ELEMENT THAT WAS RECENTLY ADOPTED BY THE CITY THROUGH THE 2029 CYCLE, UH, IN 2022 PROVIDED A ROADMAP FOR MEETING THE HOUSING NEEDS OF ALL LONG BEACH RESIDENTS HAS REQUIRED BY STATE LAW AND GUIDES EQUITABLE HOUSING DEVELOPMENT, INCLUDING AFFORDABLE HOUSING ACCESS IN HIGH RESOURCE AREAS.

FINALLY, AB 26 67, WHICH WAS RECENTLY SIGNED INTO LAW BY THE GOVERNOR, EXPANDS THE ANNUAL PROGRESS REPORT REQUIREMENTS THAT ARE TIED TO THE HOUSING ELEMENT REPORTING TO REPORT ON HOUSING PRODUCTION IN HIGH RESOURCE AREAS, BEGINNING WITH THE UPCOMING SEVEN CYCLE HOUSING ELEMENT.

SO A LITTLE BIT MORE ABOUT AB 6 86.

IN 2018, THE STATE LEGISLATOR PASSED THIS BILL TO REQUIRE ALL PUBLIC AGENCIES IN THE STATE TO AFFIRMATIVELY FURTHER FOR HOUSING REGARDLESS OF FUTURE FEDERAL ACTIONS TO INFORM STATEWIDE POLICY FOR FUNDING AFFORDABLE HOUSING.

THE CALIFORNIA TAX CREDIT ALLOCATION COMMITTEE AND HCD IDENTIFIED AREAS IN EACH REGION OF THE STATE WHOSE CHARACTERISTICS HAVE BEEN SHOWN BY RESEARCH TO BE ASSOCIATED

[00:40:01]

IT IS CRITICAL TO UNDERSTAND THAT UNDER AB 6 86 AND THE ADOPTED HOUSING ELEMENT, EVEN A CHANGE, A DRAMATIC CHANGE IN FEDERAL POLICY PROMULGATED BY HUD WOULD NOT REMOVE THE CITY'S DUTY TO AFFIRMATIVELY FURTHER FOR HOUSING.

THESE PREVIOUS FEDERAL REQUIREMENTS BECAME STATE REQUIREMENTS IN 2018, AND UPON THE 2022 CERTIFICATION OF THE CITY'S HOUSING ELEMENT, THOSE OBLIGATIONS HAVE BEEN ACCEPTED AND PROGRAMMED BY CITY COUNCIL.

AND WITH THAT, I'LL TURN IT BACK OVER TO MARY.

THANK YOU.

UNDERSTANDING THAT AS THE CITY ATTEMPTS TO MORE EQUITABLY DISTRIBUTE AFFORDABLE HOUSING OPPORTUNITIES, CITYWIDE UNDER RESOURCE NEIGHBORHOODS IN LONG BEACH ALSO NEED CONTINUED INVESTMENT HOUSING ELEMENT POLICY 5.4 CALLS FOR THE PRIORITIZATION OF PUBLIC IMPROVEMENTS SUCH AS STREETS AND DRAINAGE, SIDEWALKS AND ALLEYS, GREEN SPACES AND PARKS, STREET TREES, AND OTHER PUBLIC FACILITIES, AMENITIES AND INFRASTRUCTURE AND NEIGHBORHOODS WITH THE GREATEST NEED, INCLUDING NEIGHBORHOODS WITH HIGH CONCENTRATIONS OF POVERTY AND LIMITED EXISTING RESOURCES AND AMENITIES.

TO THAT END, THE L-B-C-I-C HAS PRIORITIZED INVESTING IN OUR ECAP AND CDBG ELIGIBLE AREAS OVER THE LAST SEVERAL ANNUAL ACTION PLAN CYCLES THROUGH PROGRAMS SUCH AS THE HOME IMPROVEMENT ROOF GRANT PROGRAM FOR LOW INCOME HOMEOWNERS, THE COMMERCIAL CORRIDOR FACADE IMPROVEMENT PROGRAM FOR SMALL BUSINESSES, SIDEWALK IMPROVEMENT, GRAFFITI REMOVAL, MURAL RESTORATION PARK FACILITY, AND PLAYGROUND ENHANCEMENTS AND PUBLIC SERVICE PROGRAMS FOR SPECIAL POPULATIONS IN HIGH NEED AREAS SUCH AS SENIORS, YOUTH AND PERSONS EXPERIENCING HOMELESSNESS.

LIKEWISE, OTHER OPPORTUNITIES SUCH AS THE FIRST TIME HOME BUYER PROGRAM PRIORITIZED APPLICANTS FROM CDBG AREAS TO PROVIDE UPWARD MOBILITY TO RESIDENTS CURRENTLY LIVING IN LOW INCOME, LOW INCOME COMMUNITIES OF THE CITY.

ALTHOUGH IN RECENT YEARS, THE L-B-C-L-B-C-I-C HAS EXPANDED ITS EFFORTS TO INCREASE AFFORDABLE HOUSING UNITS IN HIGH RESOURCE AREAS OVER THE LAST FIVE YEARS, THE MAJORITY OF COMPLETED UNITS, APPROXIMATELY 87% WERE CONSTRUCTED IN LOW INCOME COMMUNITIES WHERE THERE IS ALREADY A HIGH CONCENTRATION OF AFFORDABLE HOUSING, AS YOU CAN SEE IN THIS TABLE.

MOREOVER, OF THOSE HOUSING UNITS THAT ARE CURRENTLY IN THE DEVELOPMENT PIPELINE, VERY FEW, APPROXIMATELY 24% ARE PROPOSED IN HIGH RESOURCE AREAS BY PRIORITIZING INVESTMENTS IN UNDER-RESOURCED NEIGHBORHOODS, THROUGH PROGRAMS LIKE THE HOME IMPROVEMENT ROOF GRANT PROGRAM AND FIRST TIME HOME BUYER PROGRAMS, WE ARE ADDRESSING LONGSTANDING INEQUITIES AND SUPPORTING COMMUNITY REVITALIZATION AT THE SAME TIME.

OUR FOCUS ON INCREASING AFFORDABLE HOUSING IN HIGH RESOURCE AREAS HELPS BREAK CYCLES OF SEGREGATION AND EXPANDS OPPORTUNITIES FOR ALL RESIDENTS WHILE ALIGNING WITH STATE AND FEDERAL MANDATES, THE CITY'S HOUSING ELEMENT AND BROADER EQUITY GOALS.

THEREFORE, STAFF RECOMMENDS THE L-B-C-I-C MAINTAINS ITS CURRENT POLICIES AND PRIORITIES.

AS ANY POLICY CHANGE TO EXCLUDE AFFORDABLE HOUSING DEVELOPMENT IN HIGH RESOURCE AREAS WOULD NEED TO ULTIMATELY BE MADE BY THE CITY COUNCIL AND WOULD NECESSITATE UPDATES TO THE CONSOLIDATED PLAN, ACTION PLAN, HOUSING ELEMENT, LAND USE ELEMENT, AND OTHER POLICY DOCUMENTS.

FURTHERMORE, SUCH CHANGES WOULD NOT NECESSARILY BE APPROVED BY STATE AND FED FEDERAL REGULATORS WHILE CHALLENGES PERSIST, SUCH AS BALANCING COMMUNITY NEEDS WITH AND AND NAVIGATING PUBLIC CONTROVERSY, THESE ARE OPPORTUNITIES FOR MEANINGFUL ENGAGEMENT AND THOUGHTFUL ACTION TOGETHER WITH CITY STAFF.

L-B-C-I-C DIRECTORS CAN PROVIDE VALUABLE INPUT AND DIRECTION AS WE REFINE OUR APPROACH TO THE CITY'S HOUSING PRIORITIES AND CONTINUE BUILDING A LONG BEACH THAT IS MORE INCLUSIVE, EQUITABLE, AND SUPPORTIVE FOR ALL.

THANK YOU.

WE WILL NOW TAKE PUBLIC COMMENT ON THIS ITEM.

IF ANYONE WOULD LIKE TO SPEAK, PLEASE STAND SO I CAN PHASE SIX, RES SIX DISTRICT RESIDENT.

THIS IS, UM, YOU KNOW, BESIDES A VANITY PROJECT FOR ME, UM, IT'S JUST A POINT OF MEASURE FOR THOSE IN THE FUTURE WITH RESPECT TO THE PUBLIC RECORD.

UM, I ALWAYS APPRECIATE, UH, WHEN CITY STAFF, UH, IMMEDIATELY VINDICATES ANY POINT THAT I MAKE AS WAS JUST DISPLAYED BY, UH, THE COMMUNITY.

UH, OUR, OUR, OUR GOOD FRIEND ALEJANDRO THERE, UM, RESPECT TO ZIP CODES AND, UM, CREDIT SCORES.

I THINK POST THE COMMUNITY REINVESTMENT ACT OF 1977, WE'VE LITERALLY HAD, UH, ALMOST WE'RE, WE'RE, WE'RE, WE'RE NEARING 48 YEARS NEXT, NEXT YEAR, SO ALMOST 50 YEARS, WE'VE HAD A LAWSUIT WITH RESPECT TO BANKS AND THE REAL ESTATE INDUSTRY OF PEOPLE BEING SUED FOR DISCRIMINATING BASED

[00:45:01]

SO I, I DON'T UNDERSTAND HOW THAT COULD EVEN BE BE SAID OUT LOUD BECAUSE WE LITERALLY HAD TO GO TO THE FEDERAL GOVERNMENT MULTIPLE TIMES.

UH, WE JUST HAD A, A MAJOR, UH, LAWSUIT BY CITY NATIONAL BANK WHO LITERALLY WAS DISCRIMINATING ON LOANS IN LOW INCOME AREAS.

AND NOW THEY'RE NOW, UH, THANKS TO, UH, THE CURRENT PRESIDENT'S JUSTICE DEPARTMENT HAVING INJUNCTION WHERE THEY HAVE TO NOW TO, UH, RECTIFY THE DECADES OF THEM DISCRIMINATING ON THE LOANS THAT GO IN THESE AREAS.

UH, THEY HAVE TO NOW DO THESE, UH, GRANT PROGRAMS. IF WE SAW IN THE, IN THE, UH, IN THE, UH, PRESENTATION, THE THREE PROGRAMS THAT WERE LISTED, THE COMMERCIAL, THE COMMERCIAL FACADE, ONE, THE FIRST TIME HOME BUYER ONE, AND, UH, THE ONE IN THE MIDDLE, I COULDN'T REMEMBER IT.

UM, EACH OF THOSE HAVE A GEOGRAPHICAL REQUIREMENT CONNECTED TO THEM .

SO I DON'T UNDERSTAND LIKE THE, THE, THE ISSUE IS, YOU KNOW, HISTORICAL CONTEXT MANNERS.

THE, THE PEOPLE, PEOPLE THAT LIVE IN THESE LOW INCOME AREAS, WE FEEL LIKE WE'RE DESERVING OF MORE THAN JUST BLIGHT AND DISINVESTMENT.

AND, AND SO WHEN WE HAVE THESE OPPORTUNITIES TO USE STATE, COUNTY FEDERAL FUNDS, IT'S NOT A PERSONAL, UH, VENDETTA AGAINST ANY INDIVIDUALS.

IT'S JUST, IT'S NOT FAIR.

YOU KNOW, I'VE BEEN PAYING CLOSE TO $16,000 IN PROPERTY TAX FOR THE LAST FIVE YEARS, AND I LIVE IN AN AREA WHERE THE COMPS AND THE PERFORMER IS LOW BECAUSE OF HISTORICAL CONTEXT.

AND SO LIVING IN THAT LONG BEACH BOULEVARD CORRIDOR WHERE 80 PLUS PERCENT OF THESE AFFORDABLE HOUSING, UH, DEVELOPMENTS ARE, ARE FORCED ONTO, I DON'T THINK IT'S FAIR THAT PUBLIC FUNDS ARE GETTING UTILIZED TO ENCOURAGE RICH PEOPLE TO DO WHAT EVERYONE ELSE HAS TO DO.

AND SO THAT'S WHERE THESE, THIS DISCOMFORT COMES FROM.

WHEN YOU SEE THESE TYPES OF PRESENTATIONS, UH, HOPEFULLY, UH, WE CAN, UH, USE MORE PUBLIC FUNDS TOWARDS BRINGING MODERATE TO, UH, MIDDLE INCOME, UH, INVESTMENTS INTO LOW INCOME AREAS, NOT JUST CONCENTRATING POVERTY MEMBERS OF THE BOARD.

IS THERE ANY DISCUSSION ON THIS ITEM? YEAH, I JUST WANT TO COMMEND THE STAFF FOR THE AMOUNT OF WORK THAT WENT INTO THIS ITEM.

UM, JUST PUTTING IT ALL, UH, IN CONTEXT AND, UM, UH, OUR RESPONSIBILITY AND OUR CHARTER AND, UM, I THINK THE DOCUMENTATION THAT YOU'VE CREATED WILL LIVE BEYOND TODAY'S PURPOSE.

I THINK IT'S A GREAT ONBOARDING DOCUMENT.

I THINK IT'S JUST GREAT TO JUST KIND OF, YOU KNOW, AS NEW DIRECTORS COME ON AND I, I, IT WAS A GOOD REFRESHER FOR ME TOO TO REMIND US OF THE WORK THAT WE DID.

AND IT WAS ALSO A GOOD SUMMARY TO LOOK BACK AND, AND, UM, SEE WHAT WE'VE ACHIEVED AND WHAT THE, SOME OF THE CHALLENGES ARE.

SO I JUST APPRECIATE ALL THE WORK THAT WENT INTO IT.

I SECOND THAT.

THANK YOU SO MUCH FOR EVERYTHING THAT YOU DO AND FOR KEEPING, KEEPING THE QUALITY OF LIFE OF OUR RESIDENTS AT THE FOREFRONT.

TRULY APPRECIATE THAT.

AND I JUST WANNA ECHO THAT SENTIMENT ALSO.

IT WAS A REALLY GOOD READ AND I REALLY ENJOYED LIKE THE WHOLE REPORT, THE FULL REPORT.

SO PLEASE SHARE IT WIDE, NOT JUST HERE.

OKAY, MADAM SECRETARY, PLEASE CALL FOR A VOTE.

MOTION PASSES AT THIS TIME, WE'LL NOW TAKE NON-PUBLIC AGENDA ITEM, UM, NON AGENDA, PUBLIC COMMENT, SORRY IF ANYONE WOULD LIKE TO SPEAK, PLEASE STAND HEARING NONE.

UM, ANNOUNCEMENTS.

UH, JUST A REMINDER THAT THE L-B-C-I-C END OF YOUR LUNCHEON WILL TAKE PLACE ON MONDAY, DECEMBER 9TH

[ANNOUNCEMENTS]

MONICA HAS EMAILED EVERYBODY, I THINK, UH, WITH THE MEETING INVITE DIRECTIONS AND HOW SHE CAN SEND THEM AGAIN IF YOU NEED THEM.

UH, WE WILL NOT BE HAVING A DECEMBER L-B-C-I-C MEETING.

AND ARE THERE ANY OTHER ANNOUNCEMENTS FROM THE BOARD? HEARING NONE, I JUST WANT TO WISH EVERYBODY A HAPPY THANKSGIVING AND HOPE YOU GUYS MAKE REALLY GOOD MEALS AND ENJOY TIME WITH YOUR FAMILIES.

UM, THAT CONCLUDES TODAY'S MEETING.

IF THERE'S NO OBJECTION, I DECLARE THE MEETING ADJOURNED.

[ADJOURNMENT]