HomeMy WebLinkAboutCC AG PKT 2009-03-09 - Joint StudyAGENDA STAFF REPORT
DATE: March 9, 2009
TO: Honorable Mayor and City Council
Chairperson and Planning Commission
THRU: David Carmany, City Manager
FROM: Lee Whittenberg, Director of Development Services
SUBJECT: JOINT STUDY SESSION -HOUSING ELEMENT
SUMMARY OF REQUEST:
That the City Council and Planning Commission conduct a Joint Study Session to
discuss the requirements for adopting a Housing Element, including the general
requirements of State law and the anticipated meetings during the preparation,
review, and adoption of the Housing Element.
BACKGROUND:
The Planning Commission will be in attendance at the Joint Study Session on
March 9, 2009.
This initial joint study session is being held early in the process to review Housing
Element requirements, issues and policy options. John Douglas, the Housing
Element Consultant from Conexus, will be in attendance to make a presentation
and to respond to questions, comments, and concerns. Staff will also be
available to respond as may be appropriate
The Housing Element will include an analysis of the City's housing needs, as well
as updated policies and programs to encourage the construction, rehabilitation
and preservation of housing for all economic segments of the community, in
accordance with the provisions of State law.
Overview of Future Public Meetings/Public Hearings:
A community outreach meeting will be held shortly after this joint study session.
The purpose of this community outreach meeting would be to inform attendees of
the issues to be addressed in the Housing Element and solicit opinions and
suggestions regarding local housing needs and program priorities.
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A second joint City Council/Planning Commission study session will be
scheduled at a future date to present the Public Review Draft Housing Element,
and to allow for a review of issues and policy options, and to obtain authorization
by the City Council to submit the Public Review Draft Housing Element to the
State of California Department of Housing and Community Development ("HCD")
for their review and comments.
Following the receipt of HCD comments the Proposed Final Housing Element will
be prepared and will incorporate proposed revisions to address the comments of
HCD, as determined appropriate by the Housing Consultant and City staff. It is
assumed that one public hearing each will be held by the Planning Commission
and City Council for adoption of the element. Following Council adoption of the
Housing Element, the Final Housing Element will be submitted to HCD for
certification as required by state law.
FINANCIAL IMPACT:
No identified costs at this time, as the cost for the consultant to prepare the
Housing Element was approved by the City Council on December 8, 2008.
RECOMMENDATION:
That the City Council and Planning Commission conduct a Joint Study Session to
discuss the requirements for adopting a Housing Element, including the general
requirements of State law and the anticipated meetings during the preparation,
review, and adoption of the Housing Element.
SUBMITTED BY: NOTED AND APPROVED:
ee Whit en erg
Director of Development Seri es
~~~
David Carmany
City Manager
Attachment: Overview of Housing Element Requirements
OVERVIEW OF HOUSING ELEMENT REQUIREMENTS
What is a Housing Element?
The Housing Element is one of the state-mandated elements of the General
Plan, a comprehensive vision and long-term guide for the physical development
of the City. The Housing Element specifically addresses the City's vision as it
relates to the housing needs of the community. It sets forth the goals, policies,
and programs to address the needs of all economic segments while balancing
community character and available resources.
The State's Role in Housing Elements
The State Legislature has proclaimed that:
The availability of housing is of vital statewide importance, and the early
attainment of decent housing and a suitable living environment for every
Californian, including farmworkers, is a priority of the highest order.
The early attainment of this goal requires the cooperative participation of
government and the private sector in an effort to expand housing opportunities
and accommodate the housing needs of Californians of all economic levels.
The provision of housing affordable to low- and moderate-income households
requires the cooperation of all levels of government.
Local and state governments have a responsibility to use the powers vested in
them to facilitate the improvement and development of housing to make
adequate provision for the housing needs of all economic segments of the
community.
The Legislature recognizes that in carrying out this responsibility, each local
government also has the responsibility to consider economic, environmental, and
fiscal factors and community goals set forth in the general plan and to cooperate
with other local governments and the state in addressing regional housing needs.
(California Government Code Sec. 65580)
The Housing Element is unique in that it is the only element of the General Plan
that is subject to review and approval by the State, referred to as "certification."
An extensive body of state law (Government Code Sec. 65580-65590) describes
in detail how cities and counties must analyze and address local needs for new
housing construction, maintenance and rehabilitation of the existing housing
stock, and preservation of affordable housing. State law requires all local
governments to submit draft Housing Elements to the California Department of
Housing and Community Development (HCD) for review prior to adoption. HCD
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is required to review local Housing Elements and advise jurisdictions as to
whether the element substantially complies with state law. Certification is
important for two reasons: maintaining eligibility for some housing assistance
programs; and ensuring the legal adequacy of the City's planning documents and
programs, which helps to preserve local control of land use decisions.
Regional Housing Needs Assessment
One of the most significant aspects of Housing Element law is the process and
requirements for cities and counties to provide for their fair share of regional
housing needs, referred to as the Regionai Housing Needs Assessment (RHNA).
Through the RHNA process, each city and county is assigned a fair share
allocation of new housing need for the planning period 2006-2014. The RHNA is
prepared by the Southern California Association of Governments (SCAG)' using
growth forecast assumptions provided by HCD and the California Department of
Finance, and includes estimated new housing need for each jurisdiction in each
of the following income categories:
INCOME CATEGORIES AND AFFORDABLE HOUSING COSTS -
ORANGE COUNTY
2008 County Median Income =
$84,100 Income
Limits Affordable
Rent Affordable
Price (est.)
Extremely Low (<30% of median) $27,900 $697 --
Very Low (31-50% of median) $46,500 $1,162 --
Low (51-80% of median) $74,400 $1,860 $250,000
Moderate (81-120% of median) $100,900 $2,522 $375,000
Above moderate (120%+ of
median)
$100,900+ $2,522+ $375,000+
Assumptions:
-Based on a family of 4
-30% of gross income for rent or PITT
-10% down payment, 6% interest, 1.25% taxes & insurance, $200 HOA dues
Source: Cal. HCD; Conexus
The RHNA allocation for Seal Beach is 57 new housing units for the 2006-2014
planning cycle, distributed among the following categories. The City's allocation
is compared to the total allocation for all jurisdictions in Orange County:
The SCAG region is comprised of Los Angeles, Orange, Riverside, San Bernardino, Imperial
and Ventura counties.
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i9EG/ON~IL HOIJS/NG GROI~/TH/VEEDS
SEAL BEACH vs Of7ANGECDUNTY
2006-2014
Ex. Above
Low Very Low Low Moderate Moderate Total
Seal Beach 6 5 10 12 24 57
Orange 8,867 8,866 14,566 16,380 33,653 82,332
County
Source: SCAG 2007
Significance of the RHNA
The most noteworthy aspect of the RHNA is that jurisdictions must demonstrate
that their land use plans and zoning identify adequate sites, either vacant or
"underutilized", that could accommodate development commensurate with the
RHNA. This is achieved by preparing an inventory of suitable sites for housing
development, based on zoning and development standards that "encourage and
facilitate" the provision of housing for the different economic segments. The
focus of this analysis -and of HCD's review - is on sites for lower-income
housing (i.e., low-, very-low- and extremely-low-income categories). Recent
amendments to Housing Element law2 establish that an allowable density of 20
units/acre, along with appropriate development standards (height limit, required
parking, etc.), are necessary for a site to be considered suitable for lower-income
housing. If a jurisdiction cannot demonstrate adequate sites, a program to make
additional sites available is required. This is typically accomplished through the
rezoning of non-residential land to allow high-density residential use, or through
up-zoning of lower-density residential land. The Housing Element will include an
analysis of potential sites for housing development that satisfy these criteria, and
if necessary, identify options for making adequate sites available commensurate
with the City's RHNA allocation.
It is important to note that "accommodate" does not require cities achieve the
RHNA allocations for new construction. The law recognizes that cities do not
build housing, and that economic conditions, available resources, and developer
interest will strongly affect housing production. In recognition of these
considerations, the Housing Element focuses on the things local governments
have control over, such as zoning, development standards, permit procedures,
fees, and programs to encourage housing production.
Other Significant Housing Element Requirements
z Assembly Bi112348 of 2004
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In addition to the RHNA allocation and suitable sites requirement, other recent
amendments to state law affect this Housing Element update. Senate Bill 2 of
2007 strengthened local planning requirements for emergency shelters and
transitional/supportive housing. An emergency shelter is a year-round facility
that provides temporary housing either in a shelter facility, or through the use of
motel vouchers. Emergency shelter is short-term, usually for 30 days or less.
Transitional or supportive housing is longer-term, typically up to two years, and
generally requires that residents participate in a structured program to move
toward established goals so that they can move on to permanent housing.
Residents are often provided with an array of supportive services, such as
counseling, to assist them in meeting goals.
SB 2 requires that jurisdictions designate at least one zone where emergency
shelters may be established "by-right" (i.e., without a conditional use permit or
other discretionary approval) subject to appropriate development standards. As
an alternative, up to three jurisdictions may enter into a joint agreement to
provide shared facilities. In addition, transitional housing must be treated as a
residential use that is subject to the same zoning standards and procedures as
any other residential use of the same type (e.g., single-family home, apartment)
in the same zone.
Overview of the Housing Element Process
Staff and our consultant are currently preparing the draft Housing Element
update. As part of this process, a Community Outreach Meeting will be held to
solicit concerns and suggestions from interested residents and groups with an
interest in housing issues.
A second joint City Council/Planning Commission study session will be
scheduled at a future date to present the Public Review Draft Housing Element,
and to allow for a review of issues and policy options, and to obtain authorization
by the City Council to submit the Public Review Draft Housing Element to HCD
for their review and comments.
Following the receipt of HCD comments the Proposed Final Housing Element will
be prepared and will incorporate proposed revisions to address the comments of
HCD, as determined appropriate by the ~l•iousing Consultant and City staff. It is
assumed that one public hearing each will be held by the Planning Commission
and City Council for adoption of the element. Following Council adoption of the
Housing Element, the Final Housing Element will be submitted to HCD for
certification as required by state law.
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