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HomeMy WebLinkAboutMINUTES - 08142012 - C.79RECOMMENDATION(S): ACCEPT status report and recommendation from the Conservation & Development Director on the Association of Bay Area Governments’ Regional Housing Needs Allocation Process. FISCAL IMPACT: None. BACKGROUND: Local jurisdictions under California law are required to update the Housing Element of their General Plan on a regular basis. By State law, the Association of Bay Area Governments (ABAG) is responsible for allocating the State-determined regional housing need to all cities and counties within the nine-county San Francisco Bay Area region for each Housing Element cycle; this is referred to as the Regional Housing Need Allocation or RHNA. Each jurisdiction must then update its Housing Element to document how it will achieve its share of RHNA during the planning period. In order to be eligible to receive certain State infrastructure financing, and to receive benefit from the presumption of the Housing Element’s legal sufficiency provided under California Government Code section 66589.3, a jurisdiction’s updated Housing Element must be submitted to the California Department of Housing & Community Development (HCD) for review and certification that the element is compliant with state housing element law. Contra Costa County’s current Housing Element, covering the period from 2007 to 2014, was adopted by the Board of Supervisors on July 21, 2009, and was subsequently certified by HCD. Through the passage of Senate Bill (SB) 375 the time period for a Housing Element has been shifted from a 5-year to an 8-year cycle, with the Bay Area’s next Housing Element cycle running from 2014 to 2022. This means the County APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 08/14/2012 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:Candace Andersen, District II Supervisor Mary N. Piepho, District III Supervisor Karen Mitchoff, District IV Supervisor Federal D. Glover, District V Supervisor ABSENT:John Gioia, District I Supervisor Contact: Patrick Roche (925-674-7807) I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: August 14, 2012 David Twa, County Administrator and Clerk of the Board of Supervisors By: STACEY M. BOYD, Deputy cc: C. 79 To:Board of Supervisors From:Catherine Kutsuris, Conservation and Development Director Date:August 14, 2012 Contra Costa County Subject:Update on the Association of Bay Area Governments' Regional Housing Needs Allocation Process will be required to prepare and adopt an updated Housing Element by October 2014. SB 375 has ushered a new era for Housing Element compliance, requiring for the first time that land use decisions and transportation investments be coordinated on a regional basis. As a result, ABAG and the Metropolitan Transportation Commission (MTC) have been working to prepare a Sustainable Communities Strategy (SCS) and RHNA methodology concurrently. The Housing Element update process for Bay Area jurisdictions for the 2014-2022 cycle formally commences when ABAG finalizes the RHNA for each jurisdiction. An important milestone was reached on July 19, 2012 in the RHNA process when the ABAG Executive Committee adopted the “Draft RHNA Methodology and Preliminary Subregional Shares” for the 2014-2022 cycle for all jurisdictions and subregions by income category (see attachment “A”). This action by ABAG begins the 60-day Revisions and Appeal process, during which time each jurisdiction and subregion are allowed to request revisions to its allocation or submit an appeal to the RHNA process. The official deadline to submit an appeal or to request a revision is September 18, 2012. ABAG anticipates formal adoption of the final RHNA by May 16, 2013. A more complete schedule for the 2014-2022 RHNA and Sustainable Communities Strategy (SCS) is provided under Attachment “B”. The RHNA process takes on more significance than previously because SB 375 amended the State Housing Element law to not only require each jurisdiction to plan and zone sufficient sites at appropriate densities to accommodate their regional fair share of housing, but also, for the first time, the law requires that when a jurisdiction identifies sites in the Housing Element designated for new zoning (e.g. increase in residential density) to meet RHNA, it must set a specific deadline to complete the re-zoning. As more fully described in the ABAG memo (see attachment “A”), the overall 8-year regional housing need assigned by the state to the Bay Area is 187,990 units. The three key components to the RHNA methodology proposed by ABAG are to allocate the region’s 187,990 units as follows: 1) 70% of the overall units will be allocated to the Priority Development Areas (PDAs) identified under the SCS; 2) every jurisdiction will be allocated at minimum 40% of its projected household growth (this means that jurisdictions without PDAs will nonetheless receive a RHNA share); and 3) no jurisdiction will be allocated more than 110% of its projected household growth (unless it has planned for more units within its own PDAs). For Contra Costa (including all 19 Cities and the County), the proposed RHNA translates into 20,568 new units or just under 11% of the region’s total units. The County's proposed RHNA total is 1,361 units in the unincorporated area (372 very low income units, 217 low income units, 242 moderate income units, and 530 above moderate units). Staff notes that the proposed RHNA would result in a marked change for the County when compared to the two previous RHNA/Housing Element cycles, as shown in the table below. The proposed RHNA allocation is more reflective of the planning environment in our County; more specifically, it reflects both the broader policy of channeling new growth to infill areas with existing transportation infrastructure as well as to discourage growth outside the county's urban limit line. BACKGROUND: (CONT'D) Housing Element Cycle Very Low (0 - 50% HH Median Income) Low (51 - 80% HH Median Income) Moderate (81 - 120% HH Median Income) Above Moderate (120% + HH Median Income Total 2001 - 2007 1101 642 1401 292 5436 2007 - 2012 815 598 687 1408 3508 2014 - 2022 372 217 242 530 1361 This status report is one of several periodic reports staff anticipates providing to the Board as ABAG and MTC work their way through the Senate Bill 375: Sustainable Communities Strategy (SCS) process. These status reports would be provided at key milestones during the SCS process. CONSEQUENCE OF NEGATIVE ACTION: None. CHILDREN'S IMPACT STATEMENT: None. ATTACHMENTS Attachment "A" Attachment "B" A SSOCIATION OF B AY A REA G OVERNMENTS Representing City and County Governments of the San Francisco Bay Area July 25, 2012 San Francisco Bay Area City Managers and Planning/Community Development Directors, The Regional Housing Need Allocation (RHNA) process for the San Francisco Bay Area reached its second milestone. On July 19, 2012, the ABAG Executive Board adopted the Draft RHNA Methodology and Preliminary Subregional Shares for the fifth cycle: 2014 - 2022 for all jurisdictions and subregions by income category. The adoption finalized the Draft RHNA Methodology according to the recommendations submitted by ABAG Staff in response to the input received during the 60-day public comment period that began on May 18, 2012 and closed on July 16, 2012. This milestone was reached through your involvement and the diligent efforts performed by the Housing Methodology Committee (HMC). The HMC represents a diverse set of interests that reflect both local and regional needs. This regional committee created the adopted Draft RHNA Methodology through an iterative process of workshops and meetings that began in January 2011. As we have reached the half-way point in the RHNA process, this memo provides an overview of the adopted RHNA Methodology and Subregional Shares as reflected in Resolution(s) 12-12 and 12-13. Finally, this memo details the next RHNA steps for local jurisdictions and subregions. Page 2 of 6 Final Draft RHNA Methodology 1. Sustainability Component This component advances the goals of SB 375; this factor is based on the Jobs-Housing Connection Strategy, which allocates new housing development into Priority Development Areas (PDAs) and non-PDAs. By concentrating new development in PDAs, the Strategy helps protect the region’s natural resources, water supply, and open space by reducing development pressure on rural areas. This allows the region to consume less energy, reducing household costs and the emission of greenhouse gases. Following the land use distribution specified in the Jobs-Housing Connection Strategy, 70% (131,593) of the 187,990 units determined by HCD will be allocated to PDAs and the remaining 30% (56,397) will be directed to non-PDA locations. As of July 19, 2012, the Jobs-Housing Connection Strategy has been modified to a feasible growth concentration over the 2014-2022 RHNA cycle. This new distribution results in a shifting of approximately 3,500 units or 1.5 percent of the total regional allocation. This modification shifts housing units from Oakland, Newark, and San Jose primarily to medium sized cities within the employment commute shed of these cities. 2. Fair Share Component This component achieves the requirement that all cities and counties in California work to provide a fair share or proportion of the region’s total and affordable housing need. In particular, cities that had strong transit networks, high employment rates, and performed poorly on the 1999-2006 RHNA cycle for very-low and low income units received higher allocations. Fair Share scoring is addressed through the factors listed below.  Upper Housing Threshold: If growth projected by the Jobs-Housing Connection Strategy in PDAs meets or exceeds 110% of the jurisdiction’s household formation growth, it is not assigned additional growth outside the PDA, which ensures that cities with large PDAs are not overburdened. Page 3 of 6  Minimum Housing Floor: Jurisdictions are assigned a minimum of 40 percent of their household formation growth but not to exceed 1.5 times its 2007–2014 RHNA. This factor encourages all jurisdictions to produce a fair proportion of total housing need.  Past RHNA Performance: In non-PDA areas, the total low- and very-low income units that were permitted in the 1999–2006 RHNA cycle were used as a factor for this cycle. For example, cities that exceeded their RHNA obligation in these two income categories received a lower score.  Employment: In non-PDA areas, the employment was factored using the 2010 job estimates for a jurisdiction. Jurisdictions with higher employment received a higher score.  Transit: In non-PDA areas, transit was factored for each jurisdiction. Jurisdictions with higher transit frequency and coverage received a higher score. 3. Income allocation (Amended as of July 19, 2012) The income allocation factor ensures that jurisdictions that already supply a large amount of affordable housing receive lower affordable housing allocations. This also promotes the state objective for increasing the mix of housing types among cities and counties equitably. The income allocation requirement is designed to ensure that each jurisdiction in the Bay Area plans for housing people of every income. The income distribution of a jurisdiction’s housing need allocation is determined by the difference between the regional proportion of households in an income category and the jurisdiction’s proportion for that same category. Once determined, this difference is then multiplied by 175 percent. The result becomes that jurisdiction’s “adjustment factor.” The jurisdiction’s adjustment factor is added to the jurisdiction’s initial proportion of households in each income category. The result is the total share of the jurisdiction’s housing unit allocation for each income category. Page 4 of 6 On July 19, 2012, the calculation of current income groups by jurisdiction was modified. This calculation was based on the regional median household income instead of the county median household income. This adjustment provided a better regional alignment of the income distribution formula of 175 percent. Using the median income for the region eliminates this disparity and places all counties on equal footing. This adjustment did not change a jurisdiction’s total allocation, but shifted the distribution across its income categories. Counties with residents that are above the regional median household income (Contra Costa, Marin, San Mateo, and Santa Clara) experienced a shift towards a greater concentration of units in the very-low, low, and moderate income categories. Counties with residents below the regional median household income (Alameda, Napa, San Francisco, Solano, and Sonoma) experienced shifts towards a greater concentration in the above moderate income category 4. Sphere of Influence Adjustments Every city in the Bay Area has a Sphere of Influence (SOI) which can be either contiguous with or go beyond the city’s boundary. The SOI is considered the probable future boundary of a city and that city is responsible for planning within its SOI. The SOI boundary is designated by the county’s Local Area Formation Commission (LAFCO). The LAFCO influences how government responsibilities are divided among jurisdictions and service districts in these areas. The allocation of the housing need for a jurisdiction’s SOI where there is projected growth within the spheres varies by county. In Napa, San Mateo, Santa Clara, Solano, and Sonoma counties, the allocation of housing need generated by the unincorporated SOI is assigned to the cities. In Alameda and Contra Costa counties, the allocation of housing need generated by the unincorporated SOI is assigned to the county. In Marin County, 62.5 percent of the allocation of housing need generated by the unincorporated SOI is assigned to the city and 37.5 percent is assigned to the county. Page 5 of 6 Subregions Shares Napa, San Mateo and Solano counties with the inclusion of all cities within each county have formed the three subregions for this RHNA cycle. These counties are each considering an alternative housing allocation methodology. The share of the RHND total for each of these subregions is defined by the ratio between the subregion and the total regional housing growth for the 2014 to 2022 period in the Jobs-Housing Connection Strategy, which is the same ratio as in RHNA. Napa will receive 0.7883%, San Mateo will receive 8.7334%, and Solano will receive 3.7113% of the region’s total RHND. Next Steps The most recent adoption authorizes the beginning of the 60-day Revisions and Appeals process. During this period, each jurisdiction and subregion are allowed to request for revisions to its allocation or submit an appeal to the RHNA process.1 The objective of the appellate process is to allow ABAG Staff to work directly with local jurisdictions and subregions to discuss its proposed allocation of housing units for the 5th 2014-2022 RHNA cycle. The deadline to submit an appeal or to request for a revision is September 18, 2012. To ensure that ABAG Staff will have adequate time to respond to requests before or by the next Executive Board Meeting on September 20, 2012, we are recommending that jurisdictions and subregions submit their request by September 10, 2012. Requests or questions regarding the Revision and Appeals process should be sent to RHNA_Feedback@abag.ca.gov. By April 2013, ABAG will issue Final Allocations that will be subject to a final adoption by the ABAG Executive Board. In June and July 2013, the Department of Housing and Community Development (HCD) will review the San Francisco Bay Area RHNA Plan. Thank you for your involvement in this process. By the end of August we will be distributing a technical report that details the mechanics of the RHNA methodology. In this report, you will find worksheets and explanations to each step we took to calculate the individual allocations to jurisdictions and subregions. For a list of the upcoming phases for the RHNA process, please see the attached list of events at the end of the enclosed packet. 1 Government Code §65584.05(b) Page 6 of 6 Respectfully, Miriam Chion Acting Director of Planning and Research, ABAG Attachment A: Draft RHNA (released on July 19, 2012) DRAFT REGIONAL HOUSING NEED ALLOCATION (2014‐2022) Very Low 0‐50% Low 51‐80% Moderate 81‐120% Above Moderate 120%+ Total REGION 46,680 28,940 33,420 78,950 187,990 Alameda County Alameda 442 247 282 745 1,716 Albany 80 53 57 144 334 Berkeley 530 440 581 1,395 2,946 Dublin 793 444 423 615 2,275 Emeryville 275 210 258 749 1,492 Fremont 1,707 922 974 1,829 5,432 Hayward 862 490 625 2,044 4,021 Livermore 835 472 494 916 2,717 Newark 328 166 157 422 1,073 Oakland 2,050 2,066 2,803 7,782 14,701 Piedmont 24 14 15 7 60 Pleasanton 713 389 405 551 2,058 San Leandro 502 269 350 1,156 2,277 Union City 316 179 191 415 1,101 Alameda County Unincorporated 428 226 294 814 1,762 9,885 6,587 7,909 19,584 43,965 Contra Costa County Antioch 348 204 213 677 1,442 Brentwood 233 123 122 278 756 Clayton 51 25 31 34 141 Concord 794 442 556 1,670 3,462 Danville 195 111 124 125 555 El Cerrito 100 63 69 165 397 Hercules 219 117 100 243 679 Lafayette 146 83 90 107 426 Martinez 123 72 78 194 467 Moraga 75 43 50 60 228 Oakley 316 173 174 500 1,163 Orinda 84 47 53 42 226 Pinole 80 48 42 126 296 Pittsburg 390 253 315 1,058 2,016 Pleasant Hill 117 69 84 176 446 Richmond 436 304 408 1,276 2,424 San Pablo 55 53 75 264 447 San Ramon 514 278 281 338 1,411 Walnut Creek 601 353 379 892 2,225 Contra Costa County Unincorporated 372 217 242 530 1,361 5,249 3,078 3,486 8,755 20,568 RHNA Methodology adopted by ABAG Executive Board on July 19, 2012. ABAG is scheduled to issue Final Allocation in April 2013 and to adopt in May 2013. DRAFT REGIONAL HOUSING NEED ALLOCATION (2014‐2022) Very Low 0‐50% Low 51‐80% Moderate 81‐120% Above Moderate 120%+ Total Marin County Belvedere 4345 16 Corte Madera 22 13 13 24 72 Fairfax 16 11 11 23 61 Larkspur 40 20 21 51 132 Mill Valley 41 24 26 38 129 Novato 111 65 72 166 414 Ross 6444 18 San Anselmo 33 17 19 37 106 San Rafael 239 147 180 437 1,003 Sausalito 26 14 16 23 79 Tiburon 24 16 19 19 78 Marin County Unincorporated 55 32 37 60 184 617 366 422 887 2,292 Napa County American Canyon 116 54 58 164 392 Calistoga 6 2 4 15 27 Napa 185 106 141 403 835 St. Helena 8 5 5 13 31 Yountville 4238 17 Napa County Unincorporated 51 30 32 67 180 370 199 243 670 1,482 San Francisco County San Francisco 6,207 4,619 5,437 12,482 28,745 6,207 4,619 5,437 12,482 28,745 RHNA Methodology adopted by ABAG Executive Board on July 19, 2012. ABAG is scheduled to issue Final Allocation in April 2013 and to adopt in May 2013. DRAFT REGIONAL HOUSING NEED ALLOCATION (2014‐2022) Very Low 0‐50% Low 51‐80% Moderate 81‐120% Above Moderate 120%+ Total San Mateo County Atherton 36 27 29 14 106 Belmont 116 63 67 121 367 Brisbane 25 13 15 30 83 Burlingame 280 149 158 388 975 Colma 20 8 9 30 67 Daly City 408 194 225 681 1,508 East Palo Alto 64 54 83 266 467 Foster City 148 87 76 119 430 Half Moon Bay 52 31 36 67 186 Hillsborough 50 29 34 16 129 Menlo Park 237 133 145 219 734 Millbrae 193 101 112 272 678 Pacifica 121 68 70 154 413 Portola Valley 21 15 15 13 64 Redwood City 706 429 502 1,147 2,784 San Bruno 365 166 208 555 1,294 San Carlos 195 107 111 183 596 San Mateo 859 469 530 1,172 3,030 South San Francisco 576 290 318 922 2,106 Woodside 23 13 15 11 62 San Mateo County Unincorporated 100 61 72 106 339 4,595 2,507 2,830 6,486 16,418 Santa Clara County Campbell 252 137 150 390 929 Cupertino 354 206 230 269 1,059 Gilroy 235 159 216 473 1,083 Los Altos 168 99 112 96 475 Los Altos Hills 46 28 32 15 121 Los Gatos 200 112 132 173 617 Milpitas 1,000 568 563 1,145 3,276 Monte Sereno 23 13 13 12 61 Morgan Hill 272 153 184 315 924 Mountain View 810 490 525 1,088 2,913 Palo Alto 688 430 476 585 2,179 San Jose 9,193 5,405 6,161 14,170 34,929 Santa Clara 1,045 692 752 1,586 4,075 Saratoga 147 95 104 92 438 Sunnyvale 1,780 992 1,027 2,179 5,978 Santa Clara County Unincorporated 22 13 14 28 77 16,235 9,592 10,691 22,616 59,134 RHNA Methodology adopted by ABAG Executive Board on July 19, 2012. ABAG is scheduled to issue Final Allocation in April 2013 and to adopt in May 2013. DRAFT REGIONAL HOUSING NEED ALLOCATION (2014‐2022) Very Low 0‐50% Low 51‐80% Moderate 81‐120% Above Moderate 120%+ Total Solano County Benicia 94 54 56 123 327 Dixon 50 24 30 93 197 Fairfield 861 451 514 1,664 3,490 Rio Vista 15 12 16 56 99 Suisun City 105 40 41 169 355 Vacaville 287 134 173 490 1,084 Vallejo 283 178 211 690 1,362 Solano County Unincorporated 16 9 12 26 63 1,711 902 1,053 3,311 6,977 Sonoma County Cloverdale 39 29 31 111 210 Cotati 35 18 18 66 137 Healdsburg 31 24 26 75 156 Petaluma 198 102 120 321 741 Rohnert Park 180 107 126 482 895 Santa Rosa 943 579 756 2,364 4,642 Sebastopol 22 17 19 62 120 Sonoma 24 23 27 63 137 Windsor 120 65 67 187 439 Sonoma County Unincorporated 219 126 159 428 932 1,811 1,090 1,349 4,159 8,409 REGION 46,680 28,940 33,420 78,950 187,990 RHNA Methodology adopted by ABAG Executive Board on July 19, 2012. ABAG is scheduled to issue Final Allocation in April 2013 and to adopt in May 2013.