Articles

Housing California 2012 Presentation - Redevelopment: What's Been Lost, What's Been Gained?

Goldfarb & Lipman attorneys Josh Mukhopadhyay and Dave Kroot participated in a panel presentation at Housing California 2012 (along with Libby Seifel of Seifel Consulting and Nancy Conk, CEO of Cabrillo Economic Development Corporation).  The presentation, entitled "Redevelopment: What's Been Lost, What's Been Gained?", provides information on processes and issues presented by the abolition of California redevelopment agencies and possibilities for alternative funding sources for affordable housing. Download the PowerPoint PDF: Housing California 2012 Presentation - Redevelopment: What's Been Lost, What's Been Gained?

Law Alert - Documenting Asset/Obligation Transfers of Former RDAs: Exit Memos and Joint MOUs

Goldfarb and Lipman’s January 19, 2012 law alert (“The Final Actions of Redevelopment Agencies and the Set-Up of Successor Agencies,” available at this link, recommended that, by the end of January 2012, redevelopment agency staff prepare two internal memoranda to provide guidance to the entities that would assume agency assets and obligations after the February 1 dissolution event. Download the PDF: "Exit Memos and Joint MOUs"

Law Alert - Redevelopment Dissolution: Successor Agency Next Steps For March - May 2012

By now, the successor agency ("Successor Agency") for each former redevelopment agency ("Former RDA") has likely prepared, obtained its governing board's (typically the city council or board of supervisors) approval, and posted on its website the draft first recognized obligation payment schedule ("First ROPS") providing specified information about the Former RDA's enforceable obligations for the period of January through June 2012 (and over the duration of such obligations), in accordance with the provisions of ABx1 26 ("Dissolution Act"). Download the PDF: "Redevelopment Dissolution: Successor Agency Actions"

Law Alert - FHFA Begins First Phase of REO-To-Rental Program

On Monday February 27^th the Federal Housing Finance Agency (FHFA) issued a notice inviting interested parties to submit applications to demonstrate financial capacity, experience, and specific plans for purchasing Fannie Mae foreclosed/real estate owned (REO) properties in the hardest hit metropolitan areas including Los Angeles/Riverside in California. Download the PDF: "FHFA Begins First Phase of REO-To-Rental Program"

Law Alert - Treasury Announces 2011 New Markets Tax Credit Awards

On February 23, 2012, the United States Department of Treasury ("Treasury") announced the awardees of New Markets Tax Credits ("NMTC") for the 2011 NMTC round.  Seventy community development entities ("CDEs") were awarded NMTC.  Treasury awarded a total of $3.6 billion of NMTC for this 2011 round. Download the PDF: "Treasury Announces 2011 NMTC Awards"

Law Alert - 2012 Annual Legislative Update - New Laws Affecting Real Estate and Community Economic Development

On February 1, 2012, all California redevelopment agencies were dissolved.  Goldfarb & Lipman invites you to visit our website for the most up-to-date information related to this historic turning point for California real estate development, including expert analysis on the dissolution of redevelopment agencies.  In addition to that fundamental change, other important legislation, unrelated to the dissolution of redevelopment agencies, has been signed into law that will have significant impacts on the real estate development community.  The 2012 Annual Legislative Update provides a summary of these new laws.  Please feel free to contact any attorney at Goldfarb & Lipman with questions regarding these laws.

Law Alert - What’s New With The New Markets Tax Credit Program

On February 13, 2012, President Obama introduced his 2013 budget, which proposes to extend the New Markets Tax Credit (“NMTC”) program until December 31, 2013.  Under the President’s proposal there would be a NMTC allocation of $5 billion for 2012 and another $5 billion allocation for 2013, with $250 million set aside each year to help finance healthy food options in distressed communities.  The President also proposes that NMTC be used to offset Alternative Minimum Tax liability.  These proposed changes to the NMTC program would take effect upon the enactment of the budget bill. Download the PDF: “What’s New with the New Markets Tax Credit Program”

Law Alert - The New Era: Successor Agencies and Next Steps

On February 1, 2012, every California redevelopment agency was dissolved and its assets and functions transferred to a successor agency and a successor to the redevelopment agency’s housing functions. Please click here for a detailed list of actions and other consideration items to be addressed in the next couple of weeks by the former redevelopment agency’s successor agency, including detailed advice regarding the preparation of the Recognized Obligation Payment Schedule, to be completed by March 1, 2012. Download the PDF “The New Era: Successor Agencies and Next Steps“

Law Alert - HOME Is Being Remodeled – New Requirements For 2012

HUD has published significant proposed regulations for the HOME Investment Partnerships Program (HOME) affecting both rental and homeownership projects.  In addition, Congress has added a number of new statutory requirements that already apply to fiscal year 2012 HOME funds, and which are included in the proposed regulations as well. Download the PDF: “HOME Is Being Remodeled – New Requirements for 2012"

Webinar - What The End of Redevelopment Means For Affordable Housing

G&L presented a webinar on January 19, 2012 on the affordable housing aspects of the post-February 1st era.  The dissolution of Redevelopment Agencies and implementation of ABx1 26 pose numerous questions for affordable housing developers. Under ABx1 26, the housing functions of a former redevelopment agency are treated in a fundamentally different manner than the non-housing functions.  This is a challenging time and a new era for affordable housing.  We know many of you have questions about how ABx1 26 will be implemented with respect to affordable housing and what the dissolution of redevelopment agencies will mean for your affordable housing projects.  To listen to the recording.

Law Alert - The Final Actions Of Redevelopment Agencies And The Set-Up Of Successor Agencies

As of February 1, 2012, all California redevelopment agencies will dissolve and their assets and functions will transfer to a successor agency and a successor to the agency’s housing functions.  Following is a list of actions and other consideration items to be addressed in the next few weeks by a dissolving redevelopment agency (“RDA”), as well as by the community that formed the RDA (“Sponsoring Community”) and that has chosen to act as its RDA’s successor agency (“Successor Agency”) and/or as the successor to the RDA’s housing functions: Download the PDF: “The Final Actions of Redevelopment Agencies and the Set-Up of Successor Agencies“

Law Alert - Detailed Analysis of Supreme Court Decision in CRA v. Matosantos and Related Implementation Actions

This analysis summarizes the California Supreme Court’s (the “Court”) decision announced on December 29, 2011, in theCalifornia Redevelopment Association v. Matosantos case (Part A), outlines the key provisions of AB x1 26 (the “Dissolution Act) that the Court found constitutional and that will now control the dissolution and winding down of every California redevelopment agency (Part B), and provides upcoming milestones for implementation of the Dissolution Act (Part C). Download the PDF:  ”Detailed Analysis of the California Supreme Court’s Decision“

Law Alert - Amending An Agency’s Enforceable Obligation Payment Schedule to Assure Continued Payment Of Enforceable Obligations

In August 2011, each California redevelopment agency adopted an enforceable obligation payment schedule (the “EOPS”) listing all of the agency’s enforceable obligations (as defined in Section 34167(d) of the California Health and Safety Code) for payments required to be made by the redevelopment agency through December 31, 2011.  As a result of the implementation of AB x1 26 and the associated California Supreme Court decision in the California Redevelopment Association v. Matosantos litigation, all California redevelopment agencies will now be dissolved effective February 1, 2012. Download the PDF:  “Amending an Agency’s Enforceable Obligation . . .“

Law Alert - Immediate Actions For Developers After CRA V. Matosantos

As you know, on December 29, 2011, the California Supreme Court delivered its decision in the California Redevelopment Association v. Matosantos.  The court upheld the constitutionality of AB1x 26, the bill dissolving redevelopment agencies, and declared unconstitutional AB1x 27, the bill that would have allowed redevelopment agencies to continue to exist through an alternative redevelopment program.  Pursuant to the California Supreme Court’s opinion upholding AB1x 26, redevelopment agencies will be dissolved effective February 1, 2012 and all housing functions of the redevelopment agency will be transferred to either (a) the city, county or city and county that authorized the creation of the redevelopment agency; (b) the local housing authority; or (c) the California Department of Housing and Community Development. Download the PDF:  “Immediate Actions For Developers After CRA v. Matosantos“

Law Alert - What Does The Dissolution of Redevelopment Agencies Mean For Housing Authorities?

On December 29, 2011, the California Supreme Court delivered its decision in the California Redevelopment Association v. Matosantos case, finding ABx1 26 (the “Dissolution Act”) constitutional and ABx1 27 (the “Alternative Redevelopment Program Act”) unconstitutional. Dowload the PDF:  “What Does The Dissolution of Redevelopment Agencies Mean For Housing Authorities?“

Law Alert - California Supreme Court Upholds Dissolution of Redevelopment Agencies; Invalidates Voluntary Redevelopment Program

Today the California Supreme Court delivered its decision in the California Redevelopment Association v. Matosantos case, finding AB1x 26 (the “Dissolution Act”) constitutional and AB1x 27 (the “Voluntary Redevelopment Program Act”) unconstitutional. Download the PDF:  “Law Alert: California Supreme Court . . .”

Law Alert - The “Other” New Redevelopment Laws

While the redevelopment community anxiously awaits the California Supreme Court’s decision regarding the constitutionality of ABx1 26 and 27 (the “Redevelopment Restructuring Acts”), two other independent redevelopment laws are slated to become effective on January 1, 2012. Download the PDF:  “Law Alert:  The “Other” New Redevevelopment Laws”

Detailed Analysis of Supreme Court Decision in CRA v. Matosantos and Related Implementation Actions

Goldfarb & Lipman has prepared a detailed analysis of the California Supreme Court Decision which upholds the dissolution of Redevelopment Agencies in the State and overturns AB1x 27, the Alternative Redevelopment Program Act (California Redevelopment Association v. Matosantos).  Our analysis also discusses certain decisions and actions that must be taken in January 2012 by each city or county with a Redevelopment Agency. To read the rest, download the PDF:  “Detailed Analysis of the California Supreme Court’s Decision“

Law Alert - What’s Next? Agency Administration During Uncertain Times

Does my agency really have to do that?  When? and Why? These questions have come to pervade the minds of redevelopment agency staff throughout the State as a result of the adoption of AB x1 26 and AB x1 27, which fundamentally altered the activities and obligations of redevelopment agencies. Download the PDF: “Law Alert: “What’s Next?”

Law Alert - CA Supreme Court Issues Partial Stay and Agrees to Review Consitutionality of Redevelopment Restructuring Acts

Win, Lose, or Draw?  California Supreme Court Issues Partial Stay and Agrees to review CRA/League of California Cities’ Petition Challenging Redevelopment Restructuring Acts. Download the PDF: “Law Alert: Win, Lose, or Draw?”

Law Alert - Summary of Enacted State Budget Legislation Regarding Redevelopment

Among the trailer bills are two addressing redevelopment that significantly modify the California Community Redevelopment Law:  ABx1 26 (the “Dissolution Act”) and ABx1 27 (the “Voluntary Program Act”; and together with the Dissolution Act, the “Redevelopment Restructuring Acts”). You can download a copy of a comprehensive summary of the Dissolution Act and the Voluntary Program Act, along with a schedule of key implementation milestones for the each Act.  The summary also describes potential litigation and possible subsequent legislation related to the Redevelopment Restructuring Acts. Goldfarb & Lipman will continue to monitor the Redevelopment Restructuring Acts and will update this summary as appropriate.  Please contact us to get the most up-to-date information on the status and content of these Acts, including discussion of the financial and policy considerations resulting from RDA dissolution under the Dissolution Act or opt-in under the Voluntary Program Act. To read the rest, download the PDF: Enacted State Budget Redevelopment Legislation Summary, Updated July 20, 2011

Life After Palmer: What's Next? -- Local Responses to Palmer and Patterson

In 2009, two published Court of Appeal decisions, Building Industry Ass’n of Cent. California v. City of Patterson (“Patterson”)[1] and Palmer/Sixth Street Properties L.P. v. City of Los Angeles (“Palmer”)[2] together upended previous understandings about the validity of, and appropriate analysis applied to, inclusionary housing ordinances -- ordinances requiring that a portion of new homes in a development be affordable to lower or moderate-income households. While most communities in the state have adopted inclusionary ordinances as land use controls, Patterson found an inclusionary in-lieu fee to be a type of impact fee, and Palmer found that restricting rents in new developments violates State rent control laws. As a result, city attorneys are left wondering what, if anything, should be done about a city's inclusionary ordinance. To read the rest, download the PDF: Life After Palmer: What's Next?

Select California Laws Relating to Residential Recovery Facilities and Group Homes

This paper summarizes California statutes and case law regarding planning and zoning requirements applicable to group homes and supportive housing that impose limitations on local governments beyond those imposed by the federal Fair Housing Act and state Fair Employment and Housing Act. The paper first reviews state statutes that protect certain licensed group homes and describes provisions of State Planning and Zoning Law that are applicable more generally to both licensed and unlicensed homes. It then explains California case law relating to the right of privacy, which prevents local governments from discriminating between households containing related persons and those comprised of unrelated individuals. It concludes by discussing local regulations that appear to be permissible under State law and fair housing law. To read the rest, download the PDF: Select California Laws Relating to Residential Recovery Facilities and Group Homes

Law Alert - New ADA Regs & Design Standards in Effect; Notable Changes

In September of 2010 the U.S. Department of Justice revised the regulations implementing the Americans with Disabilities Act (ADA) for Title II (State and Local Government Entities) and Title III (Public Accommodations and Commercial Facilities) Download the PDF: “Law Alert: New ADA Regs & Design Standards in Effect; Notable Changes”

Law Alert - Section 202 Reform Bill Signed Into Law

With surprisingly little controversy, Congress passed legislation to reform the Section 202 and 811 supportive housing programs for very low income elderly and disabled persons.  President Obama signed the bill into law last week. Download the PDF: “Law Alert: Section 202 Reform Bill Signed Into Law”

Law Alert - HCD Adopts Annual Housing Element Reporting Regulations

In March, the California Department of Housing and Community Development finally adopted Housing Element regulations that specify to citities and counties how to complete annual reports on housing element progress required by Section 65400 of the Government Code. Download the PDF: “HCD Adopts Annual Housing Element Reporting Regulations“

Law Alert - Is Your Homeownership Program SAFE?

If you or your organization operates a homeownership program that markets, offers, or packages loans for homebuyers, you may be subject to SB 36 and SAFE Act Requirements. Download the PDF: “Is Your Homeownership Program SAFE?”

Law Alert - Bay Area Air District Adopts New Guidelines for Greenhouse Gases and Health Risk; More Projects Likely to Require Air Quality Analysis

The new Guidelines adopted on June 2, 2010, by the Bay Area Air District, contain new criteria for analyzing the air quality impacts of development projects under CEQA, in particular related to greehouse gas emissions and the health risks of projects. Download the PDF: “Bay Area Air District Adopts New Guidelines for Greenhouse Gases and Health Risk; . . .“

Law Alert - Cities and Counties Need to Amend Local Inclusionary Ordinances to Address Palmer V. City of Los Angeles

The Palmer decision has significant implications for local inclusionary ordinances.  While the case only affects rental housing, communities should amend their local inclusionary ordinances to address Palmer. Download the PDF: “Cities and Counties Need to Amend Local Inclusionary Ordinances to Address Palmer V. City of Los Angeles“

Law Alert - Redevelopment: Challenges to Redevelopment Agency Funding of Public Improvements

On January 1, 2010, SB 93 will take effect, making it more difficult for redevelopment agencies to fund public improvements located entirely outside of and not contiguousto a redevelopment project area. Download the PDF: “Redevelopment: SB 93 – Challenges to Redevelopment Agency Funding of Public Improvements“

Preserving Affordability of NSP Funded Foreclosed Properties

Published 2009.  Created for NCB Capital Impact by Heather Gould and Barbara Kautz, Goldfarb & Lipman LLP with Rick Jacobus, Burlington Associates. The NSP report developed by Goldfarb & Lipman LLP and Burlington Associates for NCB Capital Impact outlines federal requirements for preserving affordability of NSP assisted homeownership units. The report describes specific legal and financial structures that jurisdictions might use to meet HUD requirements and preserve long term affordability.  Several examples of NSP programs are profiled showing the steps communities are taking to ensure that assisted homes remain affordable over time. To read the rest, download the PDF: “Preserving Affordability of NSP Funded Foreclosed Properties” Click on the following links to access the Recording of the Webinar, broadcasted on January 14, 2010 and the Webinar Slides.

Home Sweet Home? Legal Challenges to Inclusionary Ordinances and Housing Elements – Inclusionary Ordinances After Palmer & Patterson

September 2009, Barbara E. Kautz, Attorney, Goldfarb & Lipman LLP “Home Sweet Home?” was presented at the League of California Cities Annual Conference in San Jose, California, September 2009. The paper discusses the impact on inclusionary housing ordinances – and, thus, the production of affordable housing — of two 2009 published Court of Appeal decisions, Building Industry Ass’n of Cent. California v. City of Patterson (“Patterson”) and Palmer/Sixth Street Properties L.P. v. City of Los Angeles (“Palmer”). For the nearly one-third of all cities in California that had adopted inclusionary ordinances of some type by 2007, complying withPatterson and Palmer while still producing affordable housing has become more challenging To read the rest, download the PDF: “Home Sweet Home? Legal Challenges to Inclusionary Ordinances and Housing Elements”

Law Alert - Redevelopment: Passthrough Reports Due Oct 1st

Health and Safety Code section 33684 was added to the Community Redevelopment Law (the “CRL”) by AB 1389 on September 30, 2008. Download the PDF: “Redevelopment: Passthrough Reports Due Oct 1st“

Law Alert - Requiring Affordable Rental Units Violates State Rent Control Laws

In Palmer/Sixth Street Properties LP v. City of Los Angeles, decided on July 22, 2009, the California Court of Appeal for the Second District held that a condition of approval requiring 60 affordable units in a 350-unit rental project violated the Costa-Hawkins Act, which allows landlords to establish the initial rental rate for a new unit. Download the PDF: “Requiring Affordable Rental Units Violates State Rent Control Laws“

Law Alert - Real Estate License Numbers Must Be Posted on Business Materials

California real estate brokers and salespersons must include their Department of Real Estate (“DRE”) license numbers on promotional materials as a result of a new state law which became effective earlier this month. Download the PDF: “Real Estate License Numbers Must Be Posted on Business Materials“

Law Alert - Labor Law: EEOC Can Investigate Discrimination After Right-to-Sue Notice Issued

In a ruling that directly conflicts with a ruling of the federal Fifth Circuit Court of Appeals, the Ninth Circuit in EEOC v. Federal Express Corp., 558 F.3d 842 (9th Cir. 2009), held that the Equal Employment Opportunity Commission (“EEOC”) retains the power to enforce subpoenas and investigate charges of discrimination even after it has issued a right-to-sue notice to an employee that grants the employee the right to file a lawsuit against the employer. Download the PDF: “Labor Law: EEOC Can Investigate Discrimination After Right-to-Sue Notice Issued“

Knowing Your Limits: Time & Financial Limits of Redevelopment Plans

March 2009, published under the auspices of the California Redevelopment Association. “Knowing Your Limits, grew out of a six-part series featured in Redevelopment: Building Better Communities magazine, published from September 2008 through February 2009. This series explored the key time limits under the California Community Redevelopment Law. Knowing these limits and their implications will provide redevelopment agencies with a road map to financial and program planning and to eventually winding down a redevelopment project area plan in a conscientious and responsible manner. To read the rest, download the PDF:  “Knowing Your Limits”

Law Alert - ARRA – Economic Development Opportunities

The American Recovery and Reinvestment Act of 2009 (“ARRA”) was signed into law on February 17, 2009 and includes several provisions that may directly benefit economic development and redevelopment efforts in California. Below is a brief summary of provisions in ARRA that may be available to stimulate local economic development and redevelopment. Download the PDF: “Economic Development Opportunities“

Law Alert - ARRA – Low Income Housing Tax Credits

The American Reinvestment and Recovery Act of 2009 (“ARRA”) was signed into law on February 17, 2009 and includes several provisions meant to jumpstart the flagging Low Income Housing Tax Credit (“LIHTC”) program. This alert discusses ARRA’s most important LIHTC-related funding provisions, namely the HOME Gap program and the Exchange Funding program, plus related labor standards issues. Download the PDF: “ARRA Low Income Housing“

Law Alert - ARRA – Public & Subsidized Housing Opportunities

The American Reinvestment and Recovery Act of 2009 (“ARRA”) was signed into law February 17, 2009, and contains several provisions that directly benefit public and subsidized housing. Download the PDF: “Public & Subsidized Housing Opportunities“

Law Alert - ARRA – City & County Housing Opportunities

The American Recovery and Reinvestment Act (ARRA), enacted on February 17, 2009, includes several provisions that create additional housing opportunities at the local government level. Major provisions affecting city and county housing programs are summarized below. Download the PDF: “City & County Housing Opportunities“

Law Alert - Housing Elements & Density Bonuses: Law To Reduce Greenhouse Gas Through Land Use Planning

Last year’s passage of Senate Bill 375 (Chapter 728, Statutes of 2008) was heralded as the first statewide legislative effort to reduce greenhouse gas emissions through land use planning. Download the PDF: “Housing Elements & Density Bonuses: Law To Reduce Greenhouse Gas Through Land Use Planning"