(a) Establishment of Fund. The Downtown Neighborhoods Preservation Fund is established as a category four fund to receive fee revenue dedicated to affordable housing and other contributions to the fund. The fund receives money from:
(1) No less than a $7 million portion of Planning Code Sections 413et seq. (Jobs-Housing Linkage Program) affordable housing fee payment that the Board of Supervisors waived for the Oceanwide Center project at 50 First Street. This payment is addressed in an ordinance concerning the street vacation of portions of Jessie Street and Elim Alley in connection with the Oceanwide Center project, which is on file with the Clerk of the Board of Supervisors in File No. 160382.
(2) An approximately $20 million payment of Planning Code Sections 415et seq. (Inclusionary Housing Program) affordable housing fees that the Board of Supervisors waived for the Oceanwide Center project at 50 First Street in an ordinance on tile with the Clerk of the Board of Supervisors in File No. 160382.
(3) An approximately $13 million payment that is included in a purchase and sale agreement between the City and Oceanwide Development, LLC for the sale of City property associated with the street vacation of portions of Jessie Street and Elim Alley as set forth in the ordinance identified in subsections (a)(1) and (a)(2). The combination of the payment under subsection (a)(2) and (3) is the equivalent payment of an affordable housing percentage fee of 33% under Planning Code Sections 415et seq.
(4) The Downtown Neighborhoods Preservation Fund shall total no less than $40 million comprised of the funds received from subsections (a)(1)-(3).
(5) Repayments of loans and other program income associated with investments initially made with monies from the fund.
(b) Use of Fund. The fund is to be used exclusively by the Mayor's Office of Housing and Community Development (MOHCD), or its successor, for the purpose of supporting affordable housing as specified in this subsection (b). Within the fund, all fees, repayments, and program income shall be separately accounted for in accordance with the uses set forth below in subsections (b)(1)-(4).
(1) The equivalent of the fee amount that the Board of Supervisors waived pursuant to Planning Code Sections 413et seq. and as identified in subsection (a)(1) will be dedicated for the construction of new affordable housing and/or acquisition and/or rehabilitation of existing housing within a one mile radius of 50 First Street.
(2) The equivalent of the fee amount that the Board of Supervisors waived pursuant to Planning Code Sections 415et seq. and as identified in subsection (a)(2) will be dedicated to the acquisition and/or rehabilitation of existing housing within a one mile radius of 50 First Street.
(3) The fee payment specified in subsection (a)(3) will be dedicated to the same purpose identified in subsection (b)(2).
(c) Exceptions to Fund Category. The Director of MOHCD shall approve all expenditures from the fund.
(d) Administration of Fund. The MOHCD shall administer the fund and shall report annually to the Board of Supervisors on the current status of the fund, the amounts approved for disbursement, and the number and types of housing units or households assisted. The MOHCD shall have the authority to prescribe rules and regulations governing the fund. Any unexpended funds remaining after 10 years from the effective date of the ordinance identified in subsections (a)(1) and (a)(2)shall be deposited into the Citywide Affordable Housing Fund as established in Administrative Code Section 10.100-49 or its successor fund.
