REPORT TO COUNCIL
SUBJECT
Title
Hold a Tax Equity and Fiscal Responsibility Act (TEFRA) Hearing and Adopt a Resolution Related to the Proposed Issuance of Tax-Exempt Bonds for the Development of a 123-unit Affordable Rental Housing Project at 245 W. Weddell Drive in Sunnyvale
Report
BACKGROUND
Since 2000, the property located at 245 W. Weddell Drive (the “Property”) has operated as an affordable housing development known as Orchard Gardens. In 2021, the City approved a proposed project to redevelop the Property to add affordable housing units (the “Project”). Since 2024, the Santa Clara County Housing Authority (SCCHA), a public housing authority (a type of government agency that operates independently from the County of Santa Clara), has assumed all operations and development activities for the Project.
City Council has approved the following two prior conditional funding awards for the Project as part of the City’s biennial Notice of Funding Availability for Housing Mitigation Fund (HMF) and Low and Moderate Income Housing Asset Fund (LMIHAF):
February 25, 2020: $7.5 million in HMF and LMIHAF (RTC No. 20-0115); and
September 21, 2022: $2.5 million in HMF (RTC No. 22-0817).
These awards bring the City’s total funding commitment to the Project to $10 million.
EXISTING POLICY
2023-2031 Housing Element
GOAL H-2: Assist in the provision of affordable housing to meet the diverse needs of Sunnyvale’s lower- and moderate-income households.
Policy H-2.1: Leverage local financial assistance with other sources of funding and identify new funding sources for affordable housing to maximize the number of affordable units and to reach the deepest level of affordability.
Policy H-2.12: Support collaborative partnerships with non-profit organizations, affordable housing builders, and for-profit developers to gain greater access to various sources of affordable housing funds.
ENVIRONMENTAL REVIEW
The action being considered does not constitute a “project” with the mean...
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