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HomeMy WebLinkAboutMINUTES - 12022014 - D.5RECOMMENDATION(S): 1. OPEN the public hearing and receive testimony on the 2014 Housing Element Update, 2015-2023 (County File: GP#14-0001). 2. CLOSE the public hearing. 3. ADOPT a Negative Declaration of Environmental Significance that the 2014 Housing Element Update will not result in any new significant impacts on the environment and determine that this environmental review is adequate consideration for this General Plan Amendment. 4. ADOPT the 2014 Housing Element Update (as recommended in County Planning Commission Resolution No. 12-2014) as the third consolidated General Plan Amendment for calendar year 2014, as allowed under State Planning Law, and acknowledge that this amendment would supersede and replace text, maps, and related appendices for Chapter 6. Housing Element contained within the Contra Costa County General Plan (2005-2020). 5. AUTHORIZE the Chair, Board of Supervisors, to sign cover transmittal letter and forward the adopted 2014 Housing Element update to the California Department of Housing and Community Development for final review and certification. 6. DIRECT the Department of Conservation and Development to file the Notice of Determination for the Negative Declaration on this project with the County Clerk. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 12/02/2014 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Mary N. Piepho, District III Supervisor Karen Mitchoff, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Patrick Roche 674-7807 or Kara Douglas 674-7880 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: December 2, 2014 David Twa, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: D.5 To:Board of Supervisors From:John Kopchik, Interim Director, Conservation & Development Department Date:December 2, 2014 Contra Costa County Subject:Public Hearing on 2014 Housing Element Update FISCAL IMPACT: The costs for preparing the 2014 Housing Element update have already been included in the Department of Conservation and Development’s budget. Some of the costs incurred by the Department for the 2014 Housing Element update may be reimbursable by the state. BACKGROUND: Each governing body (City Council or Board of Supervisors) of a local government in California is required to adopt a comprehensive, long-term general plan for the physical development of the city, city and county, or county. The Housing Element is one of the seven mandated elements of the local General Plan. Housing Element law, enacted in 1969, mandates that local governments adequately plan to meet the existing and projected housing needs of all economic segments of the community. The law acknowledges that, in order for the private market to adequately address housing needs and demand, local governments must adopt land use plans and regulatory systems which provide opportunities for, and do not unduly constrain, housing development. As a result, housing policy in the State rests largely upon the effective implementation of local General Plans and, in particular, local Housing Elements. Housing Element law also requires the California Department of Housing and Community Development (HCD) review local Housing Elements for compliance with State law and to report its written findings to the local government. The County’s current Housing Element (4th Cycle) was adopted by the Board of Supervisors on July 21, 2009, and it covers a 5 year planning period from 2009 to 2014. As required by Senate Bill (S.B.) 375, cities and counties in the nine-county San Francisco Bay Area must complete and submit the 5th cycle Housing Element to HCD by January 31, 2015. The Department previously reported to the Board of Supervisors in an October 15, 2013 Board Order that reviewed and recommended the process for the 2014 Housing Element update, at which time the Board authorized a General Plan Amendment study for the 5th Cycle Housing Element update pursuant to the mandates under S.B. 375. The Housing Element has two primary purposes: (1) to provide an assessment of current and future housing needs and an inventory of resources and constraints to meeting these needs; and, (2) to state the County’s goals, objectives and strategies for the development of housing to meet the identified needs, including the need for housing affordable to lower-income households. The geographic area covered under the Housing Element is the unincorporated area of Contra Costa County. The Housing Element update must satisfy all State regulations and guidelines, must be internally consistent with the General Plan, and must be submitted to the California Department of Housing and Community Development (HCD). The planning period for the 2014 Housing Element update covers the period from 2015 through 2023. The 2014 Housing Element update consists of the following major components: An analysis of the County’s demographic profile, housing characteristics, and existing and future housing needs based on more current Census Data; A review of potential market, governmental, and environmental constraints to meeting the County’s identified housing needs; An evaluation of the land, financial, and organization resources available to meet the County’s housing need; An evaluation of accomplishments under the current Housing Element; and, The County’s eight-year Housing Plan to address identified housing needs (through Yr. 2023), which sets forth housing goals, policies, and programs in seven specific program areas (Housing and Neighborhood Conservation, Housing Production, Special Needs Housing, Housing Affordability, Provision of Adequate Sites, Removal of Governmental Constraints, and Promotion of Equal Housing Opportunity). The County Planning Commission conducted two study sessions, March 11, 2014, and July 22, 2014, and a public hearing on October 28, 2014 for the 2014 Housing Element Update, and adopted a resolution recommending the Board of Supervisors approve the 2014 Housing Element update (see Exhibit 1: County Planning Resolution No. 12-2014; and, Exhibit 2: Report and Recommendation to County Planning Commission, October 28, 2014). Prior to the October 28, 2014 County Planning Commission public hearing, the Department submitted two versions of the 2014 Housing Element in August and September to HCD for the purpose of initiating the HCD's mandatory review of the element under their streamlined review process. Pursuant to State housing element law, HCD completed its 60-day review of the element by forwarding to the Department of Conservation and Development a review/conditional approval letter on the draft element. A copy of the October 2, 2014 HCD review/conditional approval letter is provided as part of the attached 10/28/2014 report to the County Planning Commission (see 10/2/2014 HCD letter under Attachment "C", Exhibit Two: Report and Recommendation to County Planning Commmission, October 28, 2014). Overall the modifications and additions to the element requested by HCD were generally minor in nature or easily correctable, and HCD’s initial review of the element does not require the County to alter its proposed approach to the 2014 Housing Element update. The final Revised-Draft version of the 2014 Housing Element update presented for the Board’s consideration, as recommended for approval by the County Planning Commission, reflects revisions to the element in response to comments received from HCD during the 60-day review. Enclosed with the 10/28/2014 staff Report and Recommendation to the County Planning Commission is a copy of the Revised-Draft version with sections in the element’s text highlighted in yellow to identify edits, revisions, or elaboration based on HCD’s review (see Revised Draft Housing Element under Attachment "A", Exhibit Two: Report and Recommendation to County Planning Commission, October 28, 2014). Additionally, presented for the Board’s consideration is a copy of the Updated Land Inventory – Vacant & Underutilized Sites Analysis that was prepared in support of the 2014 Housing Element Update. The Land Inventory is a required component to the Housing Element. Its purpose is to identify suitable sites for residential development and to evaluate the adequacy of these sites in fulfilling the County’s share of regional housing needs as determined by the Association of Bay Area Governments (ABAG). Note that for the 2014 Housing Element Update the Land Inventory originally prepared in 2009 for the current Housing Element has been updated to: (1) reflect residential development activity that has occurred through January 2014; (2) identify sites capable of accommodating emergency shelters and at least one year-round emergency shelter pursuant to the requirements of Senate Bill 2 (Chapter 633, Statutes of 2007); and, (3) identify sites that are within a Priority Development Area as designated by the County and submitted to the Association of Bay Area Governments. The Updated Land Inventory - Vacant & Underutilized Sites Analysis is provided under Attachment "B", Exhibit Two: Report and Recommendation to County Planning Commission, October 28, 2014. The regional housing or “fair share” need allocated to the County through ABAG for the 8-year planning period (2015-2023) covering the 5th Cycle is a total of 1,367 dwelling units. As documented in both the Revised-Draft version of the 2014 Housing Element Update and the accompanying Land Inventory, Contra Costa County can meet the regional housing allocation of 1,367 dwelling units within the 8-year planning period from 2015 through 2023. CONSEQUENCE OF NEGATIVE ACTION: There could be negative consequences for Contra Costa County if an updated Housing Element is not submitted in a timely manner to the California Department of Housing and Community Development (HCD) for certification. These include: County would become ineligible to receive Measure J Contra Costa County ½ Cent Transportation Sales Tax, Local Street Maintenance and Improvement Funds. The County receives approximately $2 million annually in Measure J Local Street Maintenance and Improvement Funds (sometimes referred to as “Return To Source”), which are used for maintaining and improving roadways countywide. Maintaining the County's eligibility for this funding is linked to meeting the Growth Management Program requirements for Measure J, which as administered by the Contra Costa Transportation Authority requires local jurisdictions to demonstrate reasonable progress in providing housing opportunities for all income levels. An adopted housing element that has been certified by HCD would demonstrate the County's compliance with the housing opportunities component to the Growth Management Program; County would become ineligible to receive certain State housing, transportation, and infrastructure funding grants; and, County would be vulnerable to lawsuits from developers and housing advocates for not complying with State Housing Element Law; and, County would be required to carryover the unfilled RHNA from the 4th Cycle (current Housing Element cycle, planning period from 2009 through 2014) to the next (5th Cycle) Housing Element planning period. CHILDREN'S IMPACT STATEMENT: Not applicable. CLERK'S ADDENDUM By unanimous vote approved addition of a PowerPoint presentation into the record (attached). CLOSED the public hearing; ADOPTED a Negative Declaration of Environmental Significance that the 2014 Housing Element Update will not result in any new significant impacts on the environment and determine that this environmental review is adequate consideration for this General Plan Amendment; ADOPTED the 2014 Housing Element Update (as recommended in County Planning Commission Resolution No. 12-2014) as the third consolidated General Plan Amendment for calendar year 2014, as allowed under State Planning Law, and acknowledged that this amendment would supersede and replace text, maps, and related appendices for Chapter 6. Housing Element contained within the Contra Costa County General Plan (2005-2020); AUTHORIZED the Chair, Board of Supervisors, to sign cover transmittal letter and forward the adopted 2014 Housing Element update to the California Department of Housing and Community Development for final review and certification (attached); and DIRECTED the Department of Conservation and Development to file the Notice of Determination for the Negative Declaration on this project with the County Clerk. ATTACHMENTS Resolution No. 2014/430 Exhibit 1: County Planning Commission Resolution No. 12-2014 Exhibit 2: Report and Recommendation to County Planning Commission, October 28, 2014 Exhibit 3: Report and Recommendation to County Planning Commission, October 28, 2014 - List of Attachments Exhibit 4: Transmittal letter to HCD Powerpoint Presentation PUBLIC HEARING 2014 HOUSING ELEMENT UDPATE (County File: GP#14-0001) BOARD OF SUPERVISORS MEETING DECEMBER 2, 2014 1 Contra Costa County Department of Conservation & Development BACKGROUND / PURPOSE State Housing Element Law requires a City or County to adequately plan for housing needs of all economic segments of the community, based on a Regional Housing Need Allocation (RHNA) wherein Council of Governments (ABAG) allocates to the City or County its share of region’s housing need by income category Housing Element is 1 of 7 mandatory elements to the General Plan Only element requiring state review - CA Dept. of Housing & Community Development (HCD) certifies compliance with State Housing Element law Current Housing Element adopted in 2009 covers the 4th Cycle, or 5- year planning period from 2009 to 2014 Senate Bill 375 passed in 2008 - lengthened planning period from 5 to 8 years (2015 to 2023); requires 5th Cycle Housing Element for jurisdictions in SF Bay Area to be adopted by January 31, 2015 2 2014 HOUSING ELEMENT UPDATE Major areas of change/update to the element: 1.New RHNA: 1,367 units for new 8-yr. planning period (2015 to 2023) 2.Demographic information updated based on U.S. Census Bureau 2010 Census and American Community Survey 3.Latest Housing market data 4.Current Development Fees 5.Residential Development Project List: Approved and Under Consideration updated as of Sept. 2014 6.Land Inventory (Sites Analysis) updated as of Sept. 2014 7.Program Accomplishments 8.Housing Plan/Programs updated and based on 8-year program objectives, 2015 to 2023 3 HCD REVIEW PROCESS / COMMENTS County qualified for streamlined HCD review process; update only, not a complete re-write of the element An iterative process, two draft versions submitted to HCD within a statutory 60-day review period: o August 5, 2014 o September 26, 2014 Key HCD comments: Housing Stock Age & Conditions – additional information on units needing rehabilitation or replacement Emergency Shelter Ordinance – remove distance from schools/parks requirement and adopt prior to submitting final Housing Element Land Inventory (Sites Analysis) – clarification about underutilized sites 4 HCD REVIEW PROCESS / COMMENTS - continued Remaining RHNA obligations - update as of 8/31/2014 Affordable Housing Financing Programs – elaborate on type of funding used by County and how it’s allocated Housing Programs o Explain anti-discrimination outreach efforts o Elaborate on farmworker housing assistance program o Add monitoring of transportation/traffic impact fees on housing production costs o Elaborate on housing programs for persons with developmental disabilities o Retain program relating to zoning text amendment (e.g. emergency shelter ord.) until actually adopted HCD Review / Conditional Approval Letter, 10/2/2014 5 PUBLIC OUTREACH / COMMENTS 6 Public Outreach 130 organization/individuals contacted during update process Established webpage for Housing Element update Presentations offered to MACs / Interested Organizations Public Comment Public Outreach Meetings: No comments Written Comments (to date): Nov. 26, 2013 letter from Bay Area Business Coalition’s; see copy of response DCD’s response letter, dated 8/6/2014, in report and recommendation to County Planning Commission COUNTY PLANNING COMMISSION Two Study Sessions: March 11, 2014 and July 22, 2014 Public Hearing on Draft Housing Element: October 28, 2014 Adopted Resolution 12-2014 on October 28, 2014 7 CEQA REVIEW Initial Study/Checklist and Intent to Adopt Negative Declaration issued on Sept. 15, 2014 30-day Public Review / Comment Period closed on October 15, 2015 State Clearinghouse (SCH) - Acknowledgement Letter Comment letters: o Central Valley Regional Water Quality Control Board – explains agency’s permit requirements, non-CEQA issue o Delta Protection Commission – determined HE Update consistent with Commission’s Land Use Resource Management Plan 8 CONSEQUENCES IF HOUSING ELEMENT IS NOT UPDATED County would become ineligible to receive Measure J Contra Costa Co. ½ Cent Transportation Sales Tax, Local Street Maintenance and Improvement Funds (“Return To Source”); County receives approx. $2 million annually in Measure J “Return To Source” Funds used for maintaining and improving roadways countywide County would become ineligible to receive certain State transportation, infrastructure, and housing funding County would be vulnerable to lawsuits from developers and housing advocates for not complying with State Housing Element Law County would be required to carryover unfilled RHNA (4TH Cycle)to the next (5th Cycle) Housing Element planning period 9 RECOMMENDATION Board Resolution No. 2014/430 1. ADOPT the CEQA Negative Declaration prepared for the 2014 Housing Element Update. 2. ADOPT the 2014 Housing Element Update, as recommended under County Planning Commission Resolution No. 12-2014, as the 3rd consolidated General Plan Amendment for Calendar Yr. 2014 (County File: GP#14-0001). 3. AUTHORIZE Chair to sign cover transmittal letter and FORWARD the adopted 2014 Housing Update to CA Dept. of Housing and Community Development 10 Key Facts: Contra Costa County Households (HH) Profile Households Unincorporated Area Countywide Total Occupied Units (HH)55,010 368,085 Total Renter HH 14,980 (26%)112,420 (30.5%) Total Owner HH 43,040 (74%)255,805 (69.%) Renter HH Characteristics Total Renter HH 14,980 112,420 Moderate or Above Income HH Renter 6,441 (43%) 46,675 (41.5%) Lower Income HH Renter 8,540 (57%) 65,675 (58.5%) Owner HH Characteristics Total Owner HH 43,030 255,805 Moderate or Above Income Owner HH 32,440 (75%) 194,060 (76%) Lower Income Owner HH 10,590 (25%) 61, 745 (24%) Source: U.S. HUD, CHAS Data Set based on American Community Survey 2006-2010 11 Key Facts: Definition of Affordable Housing Prices and Rents AMI = Area Median Income Source: State Income Limits for 2014, issued by CA Dept. of Housing and Community Development (HCD) on 2/28/2014 Income Level Income Limit For Sale Rental Extremely Low 0-30% AMI 30% of 30% of AMI 30% of 30% of AMI Very Low 31-50% AMI 30% of 50% of AMI 30% of 40% of AMI Low 51-80% AMI 30% of 70% of AMI 30% of 70% of AMI Moderate 81-120% AMI 30% of 110% of AMI 30% of 110% of AMI Above Moderate < 120% AMI 12 Key Facts: Ability to Pay (2014) Contra Costa County Median Household Income*: $93,500 HH Income by Category MonthlyRent Max. Purchase Price ExtremelyLow Income HH (30% of Median Income): $28,050 $690 $ 61,580 Very Low Income HH (50% of Median Income): $46,750 $1,115 $139,370 Low Income HH (80% of Median Income): $66,250 ** $1,403 $290,057 Moderate Income HH (120% of Median Income): $112,200 $2,805 $349,016 * HCD State Income Limits, 2014, assumes a 4-person household and a 3-bedroom unit ** U.S. Dept. of Housing and Urban Development (HUD)13