RDA Redevelopment Plans 2010-07 - Laserfiche WebLink

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3.32.010 Use of tax increment funds to increase, improve, and preserve the supply of affordable housing. A. The agency shall use not less than twenty (20) percent of all taxes allocated to it pursuant to Health and Safety Code Sec- tion 33670 for the purposes of increasing, improving, and preserving the community's supply of low- and moderate -income hous- ing available at affordable housing cost to persons and families of low or moderate in- come and very low income. The definitions contained in Health and Safety Code Sec- tions 50052.5 ("affordable housing cost"), 50079.5 ("lower-income households"), 50093 ("persons and families of low or moderate income"), and 50105 ("very low income households") shall apply to these requirements. B. The funds for these purposes shall be held in a separate low- and moderate -income housing fund (the "fund") until used. Any interest earned by the fund and any repay- ments or other income to the agency for loans, advances, or grants, of any kind from the fund, shall accrue to and be deposited in, the fund and may only be used in the man- ner prescribed for the fund. C. The agency shall, to the maximum extent possible, use the fund to defray the costs of production, improvement, and preservation of low- and moderate -income housing. The agency shall not spend amounts for planning and general adminis- trative activities that are disproportionate to the amount actually spent for the costs of production, improvement, or preservation of that housing. The agency shall determine annually that the planning and administra- tive expenses are necessary for the produc- tion, improvement, or preservation of low - and moderate -income housing. D. The agency may use these housing fund inside or outside the project area, but may use the funds outside the project area only upon a resolution of the agency and the city council that the use will be of benefit to the project. The agency may use these funds to meet, in whole or in part, the replacement housing provisions in this title. Expenditures or obligations incurred by the agency pursu- ant to this section shall constitute an indebt- edness of the project. E. In carrying out the purposes of this section, the agency may exercise any or all of its powers, including the following: 1. Acquire real property or building sites; 2. Improve real property or building sites with onsite or offsite improvements, but only if either (a) the improvements are made as part of a program which results in the new construction or rehabilitation of af- fordable housing units for low- or moderate - income persons who are directly benefited by the improvements or (b) the agency finds that the improvements are necessary to elim- inate a specific condition that jeopardizes the health or safety of existing low- or mod- erate -income residents; 3. Donate real property to private or public persons or entities; 4. Finance insurance premiums; 5. Acquire, rehabilitate, and construct buildings or structures; 6. Provide subsidies to, or for the bene- fit of, very low income households, low in- come households, or persons and families of low to moderate income to the extent those households cannot obtain housing at afford- able costs on the open market; 135 (San Leandro Redevelopment Agency Supp. No. 2, 12-05)