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HomeMy WebLinkAboutCC RES 08-017RESOLUTION NO. 08-17 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, SUPPORTING REGULATORY CHANGES TO THE LOW INCOME HOUSING TAX CREDIT PROGRAM CREATING CONSISTENCY WITH THE REGIONAL HOUSING NEEDS ASSESSMENT WHEREAS, the California Tax Credit Allocation Committee has established ten (10) geographic regions and allocated a percentage of available low income housing tax credits to each region; and WHEREAS, the counties of Riverside, San Bernardino and Imperial are grouped together to form one of the ten regions defined as the Inland Empire region; and WHEREAS, the current Inland Empire population is 4,186,436 residents; and WHEREAS, the Inland Empire regional population represents 11.5% of the current statewide population; and WHEREAS, the Inland Empire region receives only 8% of the geographic credit; and WHEREAS, the current regulations of the Low Income Housing Tax Credit Program unjustly disadvantage the Inland Empire region with a disproportionate allocation of low income housing tax credits by geographic areas; and WHEREAS, the United States Census ranks Riverside County with the greatest numerical increase in population over the past six years; and WHEREAS, the United States Census ranks Riverside County as within the top 100 fastest growing counties nationwide and with the greatest numerical increase in population of the same 100 fastest growing counties; and WHEREAS, every other county in the state of California with a current population of 2,000,000 or more has a geographic region of its own; and WHEREAS, the United States Census estimates the current Riverside County population to be 2,023,803 as of 1 July 2006; and WHEREAS, the current regulations of the Low Income Housing Tax Credit Program unjustly disadvantage Riverside County by grouping it within the Inland Empire region creating competition for the already disproportionately low allocation to the Inland Empire region; and WHEREAS, Regional Housing Needs Assessment (RHNA) obligates Riverside and San Bernardino counties to build the highest per capital quantity of affordable housing in Southern California; and RESOLUTION NO. 08-17 WHEREAS, RHNA projects housing demand based on forecasted population growth within a housing element planning period, while the California Tax Credit Allocation Committee (TCAC) assigns tax credits based on existing concentration of poverty; and WHEREAS, the RHNA housing production obligation and the Low Income Housing Tax Credit Program allocation formula work in contradiction with each other; and WHEREAS, the Riverside County wishes to effort compliance with the RHNA housing production obligation; and WHEREAS, the Low Income Housing Tax Credit Program is the most viable source of primary funding for the production of affordable housing; and WHEREAS, the City Council of the City of Palm Desert urges local and state legislators to also support regulatory changes to the Low Income Housing Tax Credit Program so as to align the allocation of Low Income Housing Tax Credits with the RHNA requirements for the production of affordable housing. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Palm Desert as follows: The City of Palm Desert commits to supporting regulatory changes to Low Income Housing Tax Credit Program so as to align the allocation of Low Income Housing Tax Credit with the RHNA requirements for the production of affordable housing. PASSED, APPROVED, and ADOPTED by the City Council of the City of Palm Desert, California, on this 27th day of March, 2008, by the following vote, to wit: AYES: FERGUSON, FINERTY, KELLY s, SPIEGEL AND BENSON NOES: NONE ABSENT: NONE ABSTAIN: NONE M. BENSON, MAYOR ITY OF PALM DESERT, CALIFORNIA ATTEST: RAHLLE D. KLASSf`N, CITY CLERK CITY OF PALM DESERT, CALIFORNIA