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BACKGROUND City Council Public Hearing On May 19, 2009, the City Council reviewed the proposal by Civic Square, L.L.C. (Andy Byde of Braddock and Logan Services, Inc.) to construct 12 new, low- and moderate income apartment units at its Civic Square apartment development on 4800 Bernal Avenue. The City Council meeting minutes is Attachment 10. The plans of the previously proposed 12 -unit development are Attachment 14. At the City Council meeting, Jessica Lehman spoke on behalf of the Community Resources for Independent Living, and Carmen Rivera Hendrickson spoke on behalf of the Public Authority for In -Home Supportive Services on their concerns pertaining to rental affordability and access for residents with disabilities. The City Council expressed similar concerns on these issues and expressed other issues listed below. After discussing the proposal, the City Council directed staff and the applicant to: explore the feasibility to add density for more low- income units; provide low- and moderate income units in perpetuity; design the buildings and apartments to achieve a Green Building score over 80 points; employ Universal Design principles in the building and unit designs; ensure that there are adequate laundry facilities for the existing apartments; evaluate roof mounted photovoltaic systems; ensure that the new trash enclosures are sufficiently sized to include recycling bins; and, increase the amount of common open space and pedestrian /bicycle pathways. The City Council then continued the item for the applicant's consideration of the Council's direction. The applicant has redesigned the proposal in response to the City Council's direction and re- submitted it for City review. History of the Civic Square Apartments On February 12, 1985, the City Council adopted Ordinance 1179 approving the 262 -unit Civic Square Apartment development on an approximately 13.49 -acre site on the southwest corner of Bernal Avenue and Case Avenue. The approved project density is 19.4 dwelling units per acre. Since it was opened in 1987, the Civic Square Apartments have been continuously owned and operated by Braddock and Logan Services, Inc., operating as Civic Square, L.L.C. The Civic Square development originally entered into an agreement with the City designating 66 units for low income households, defined as 80 percent or less of the Area Median Income. The agreement originally had a 15 -year term through 2001. In 1994, the City extended the term to 2010 when Braddock and Logan Services refinanced its bonds for this development. The revised agreement included a clause for earlier termination if Braddock and Logan Services paid off the bonds. Civic Square's below- market rental program operated successfully for 20 years until the bonds were paid off in 2007, fulfilling the terms of the agreement. All of the Civic Square units are now market rate units. Page 2 of 10