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Home My WebLink AboutMINUTES - 11161999 - D5 TO: REDEVELOPMENT AGENCY ,. Contra FROM: Phil Batchelor Costa Executive Directoru� / DATE: November 16, 1999 "� SUBJECT: 20002004 Redevelopment Agency AB 1290 Implementation SPECIFIC REQUEST(S)OR RECOMMENDATIONS(S)&BACKGROUND AND JUSTIFICATION RECOMMENDATIONS MOLD Public Hearing and ADOPT the Contra Costa County Redevelopment Agency 2000 — 2004 AB 1290 Implementation Plan in compliance with California Community Redevelopment Law. FISCAL IMPACT No General Fund money will be used on this project. BACKGROUND/REASONS FOR RECOMMENDATIONS California Redevelopment Law AB 1290, the Community Redevelopment Law Reform of 1993, requires all redevelopment agencies administering redevelopment plans adopted prior to January 1, 1994, adopt a five-year Implementation Plan by December 31, 1994, and every five years thereafter. The Implementation Plan has a non-housing and housing component which, in total, must describe the following: (1) specific goals and ob' tives for the next five years; (2) specific projects, including a CONTINUED ON ATTACHMENT: X YES SIGNATURE: _RECOMMENDATION OF EXECUTIVE DIRECTOR,„` COMM ATION OF AGE Y COMMITTEE APPROVE OTHER ' j SIGNATURE(S): ACTION OF AGENCY ON November, 1.6, 1999 APPROVED AS RECOMMENDED XX OTHER The ppblic hearing was OPENED : he one desiring to speak; the hearing was CLOSED, and the Commissioners APPROVED staff ' s recommendation above . VOTE OF COMMISSIONERS a I HEREBY CERTIFY THAT THIS IS A TRUE AND CORRECT COPY OF AN XX UNANIMOUS(ABSENT #iii _) ACTION TAKEN AND ENTERED ON THE AYES: NOES: MINUTES OF THE REDEVELOPMENT ABSENT: ABSTAIN: AGENCY ON THE DATE SHOWN. Contact: Beth Lee 335-1256 ATTESTED November 16, 1999 cc: Community Development PHIL BATCHELOR, Redevelopment Agency AGENCY SECRETARY Auditor-Controller County Counsel ' County Administrator B ,DEPUTY program of activities and expenditures to be made within the five years of the plan,(3) an explanation of how the goals, objectives, projects, and expenditures will eliminate blight;(4) an explanation of how the goals, objectives, projects and expenditures will implement the low-and moderate-income housing set-aside and housing production requirements; (5) the number of housing units to be rehabilitated, price-restricted, assisted or destroyed; (5) plans for using annual deposits to the Housing Fund; (7) if a planned project will result in destruction of existing affordable housing, an identification of proposed locations for the replacement housing the Agency will be required to produce; and (8)the project area affordable housing production plan(AB 315). The Agency adopted its first AB 1290 Implementation Plan in December 1995. The original Implementation Plan included a five-year capital program and a ten-year housing program as required by California.Redevelopment Law (CRL). This new Implementation Plan will provide for Agency activities for the years 2000 through 2004. Because the original Implementation Plan provided for the ten-year housing program, this new document provides a mid-term review of the housing production numbers and programs to determine if planned activities will meet the CRL housing production requirements. The housing portion of the plan will be fully revised concurrently with the 2005 to 2009 Implementation Plan. AB 1290 further requires that prior to adoption, the Redevelopment Agency conduct a public hearing for the Implementation Plan for the Agency's five existing redevelopment areas; (1) the North Richmond Redevelopment Project Area;(2)the Rodeo Redevelopment Project.Area;(3)the Pleasant Hill BART Station Area Redevelopment Project Area; and(4)the Bay Point Redevelopment Project Area. This implementation plan has been reviewed and supported unanimously by the various local Redevelopment Area Committees. The Oakley Redevelopment Project Area Implementation Plan was prepared as a separate document anticipating the transfer of the redevelopment function to the newly incorporated City of Oakley in July 2000. Because the City will assume the responsibility of carrying out the programs and projects identified in the Implementation Plan, Agency staff worked closely with the Oakley City Council, staff, and residents to create the Oakley Redevelopment Project Area 2000 —2004 Implementation Plan. The Oakley City Council reviewed the Implementation Plan and unanimously voted to approve it on October 12, 1999. H AB12901AB1290.199%bos Contra " A Costa TO: BOARD OF SUPERVISORS CountyFROM: Dennis M. Barry, AICD Community Development Director DATE: November 16, 1999 SUBJECT: 2000-2004 Redevelopment Agency AB 1290 Implementation SPECIFIC REQUEST(S) OR RECOMMENDATIONS) & BACKGROUND AND JUSTIFICATION RECOMMENDATIONS HOLD Public Hearing and ADOPT the Contra Costa County Redevelopment Agency 2000-2004 AB 1290 Implementation Plan in compliance with California Community Redevelopment Law. FISCAL IMPACT No General Fund money will be used on this project, BACKGROUND/REASONS FOR RECOMMENDATIONS California Redevelopment Law AB 1290, the Community Redevelopment Law Reform of 1993, requires all redevelopment agencies administering redevelopment plans adopted prior to January 1, 1994, adopt a five-year Implementation Plan by December 31, 199r, and every five years thereafter. The Implementation Pian has a non-housing and housing component which, in total, must describe the following: (1) specific goals and objectives for the next five yearl, (2) specific o' cts including a CONTINUED ON ATTACHMENT XX YES SIGNATURE: _RECOMMENDATION OF COUNTY ADMINISTRATOR R RECO ENDATION OF B ARD COMMITTEE APPROVE OTHER s i 1 J SIGNATURE(S): ACTION OF BOARD ON November 16, 1999 APPROVED AS RECOMMENDED IX_ OTHER The public hearing was OPENED; no one desiring to speak, the hearing was CLOSED, and the Board APPROVED staff 's recommendation VOTE OF SUPERVISORS above . I HEREBY CER'T'IFY THAT THIS IS A X)JNANIMOUS (ABSENT #III ) TRUE AND CORRECT COPY OF AN AYES: NOES: ACTION TAKEN AND ENTERED ON THE ABSENT: ABSTAIN: MINUTES OF THE BOARD OF SUPERVISORS ON THE DATE SHOWN. Contact: Beth Lee 335-1256 335-1257 ATTESTED November 16, 1999 335-1258 PHIL BATCHELOR, CLERK OF cc: Community Development THE BOARD OF SUPERVISORS County Counsel AND COUNTY ADMINISTRATOR Redevelopment Agency Deputy Auditor-Controller B , DEPUTY BACKGROUND/REASONS FOR RECOMMENDATIONS (CONTD.) Program of activities and expenditures to be mad within the five years of the plan; (3) an explanation of how the goals, objectives, projects, and expenditures will eliminate blight; (4) an explanation of how the goals, objectives, projects and expenditures will implement the low-arid moderate-income housing set-aside and housing production requirements; (5) the number of housing units to be rehabilitated, price-restricted, assisted or destroyed; (6) plans for using annual deposits to the Housing Fund; (7) if a planned project will result in destruction of existing affordable housing, an identification of proposed locations for the replacement housing the Agency will be required to produce; and (S) the project area affordable housing production plan (AB 315). The Agency adopted its first AB 1290 Implementation Plan in December 1995. The original Implementation Plan included a five-year capital program and a ten-year housing program as required by California Redevelopment Law (CRL). This new Implementation Plan will provide for Agency activities for the years 2000 through 2004. Because the original Implementation Plan provided for the ten-year housing program, this new document provides a mid-term review of the housing production numbers and programs to determine if planned activities will meet the CRL housing production requirements. The housing portion of the plan will be full revised concurrently with the 200r to 2009 Implementation Plan, AB 1290 further requires that prior to adoption, the Redevelopment Agency conduct a public hearing for the Implementation Plan for the Agency's five existing redevelopment areas; (1) the North Richmond Redevelopment Project Area; (2)the Rodeo Redevelopment Project Area; (3)the Pleasant Hill BART Station Area Redevelopment Project Area; and (4) the Bay Point Redevelopment Project Area. This implementation plan has been reviewed and supported unanimously by the various local Redevelopment Area Committees. The Oakley Redevelopment Project was prepared as a separate document anticipating the transfer of the redevelopment function to the newly incorporated City of Oakley in July 2000. Because the City will assume the responsibility of carrying out the programs and projects identified in the Implementation Plan, Agency staff worked closely with the Oakley City Council, staff, and residents to create the Oakley Redevelopment Project Area 2000-2004 Implementation Plan. The Oakley City Council reviewed the Implementation Pian an unanimously voted to approve it on October 12, 1999. BL-Js Ii:U3dordrs111169AI31290.doc CONTRA COSTA COUNTY REDEVELOPMENT AGENCY AB 1290 IMPLEMENTATION PLAN 2000-2004 Draft 11/16/99 6 TABLE OF CONTENTS 1.0 INTRODUCTION 4 1.1 PURPOSE 4 1.2 BACKGROUND 4 1.3 ORGANIZATION OF THE IMPLEMENTATION PLAN 5 2.0 AGENCY HOUSING OBLIGATIONS AND POLICIES 7 2.1 OVERVIEW OF LEGAL REQUIREMENT 7 2.1(A)IMPLEMENTATION PLAN REQUIREMENTS: HOUSING ACTIVITIES 2.1(B) MAJOR STATUTORY PROVISIONS OF CRL FOR AFFORDABLE HOUSING 2.1(C)HOUSING PRODUCTION REQUIREMENT 2.1(D)REPLACEMENT HOUSING REQUIREMENT 2.1(E)HOUSING FUND REQUIREMENT 2.2 AFFORDABLE HOUSING GOALS AND POLICIES 12 2.3 PROPOSED HOUSING PROGRAMS 12 3.0 NORTH RICHMOND 15 3.1 NON-HOUSING COMPONENT 15 3.1(A)GOALS, OBJECTIVES, PROGRAMS,AND EXPENDITURES 3.1(B)GOALS 3.1(C)OBJECTIVES 3.1(D)PROJECTS 3.1(E)ELIMINATION OF BLIGHT 3.2 HOUSING COMPONENT 22 3.2(A)POPULATION PROFILE 3.2(B)HOUSING REQUIREMENTS AND STRATEGIES 3.2(C)AFFORDABILITY GAP ANALYSIS 3.2(D)HOUSING SET-ASIDE FUND 3.2(E) SPECIFIC PROJECT AREA GOALS 4.0 RODEO 35 4.1 NON-HOUSING COMPONENT 35 4.1(A)GOALS, OBJECTIVES, PROGRAMS, AND EXPENDTIURES 4.1(B)GOALS 4.1(C) OBJECTIVES Contra Costa County Redevelopment Agency -1 2000-2004 AB 1290 Implementation Plan 11 WVii' LIST OF TABLES, GRAPHS, & MAPS AGENCY HOUSING OBLIGATIONS AND POLICIES 7 TABLE 2-1: ABAG HOUSING NEEDS DETERMINATIONS 1989 TABLE 2-2: AFFORDABLE HOUSING COST NORTH RICHMOND 15 TABLE 3-1:HISTORICAL&PROJECTED HOUSING PRODUCTION SUMMARY' TABLE 3-2: POTENTIAL HOUSING PRODUCTION ON VACANT RESIDENTIAL LAND TABLE 3-3: HISTORICAL&PROJECTED HOUSING PRODUCTION&AFFORDABLE OBLIGATION TABLE 3-4: HOUSING SET-ASIDE FUND BALANCE TABLE 3-5: UNITS PRODUCED WITH HOUSING FUNDS BY INCOME CATEGORY GRAPH 3-1: HOUSE PRICE&AFFORDABILITY COMPARISON GRAPH 3-2: RENT&AFFORDABILITY COMPARISON MAP 3-1: NORTH RICHMOND REDEVELOPMENT PROJECT AREA RODEO 73 TABLE 4-1:HISTORICAL&PROJECTED HOUSING PRODUCTION SUMMARY TABLE 4-2: POTENTIAL HOUSING PRODUCTION ON VACANT RESIDENTIAL LAND TABLE 4-3: HISTORICAL&PROJECTED HOUSING PRODUCTION&AFFORDABLE OBLIGATION TABLE 4-4: HOUSING SET-ASIDE FUND BALANCE TABLE 4-5: UNITS PRODUCED WITH HOUSING FUNDS BY INCOME CATEGORY GRAPH 4-1: HOUSE PRICE&AFFORDABILITY COMPARISON GRAPH 4-2: RENT&AFFORDABILITY COMPARISON MAP 4-1: RODEO REDEVELOPMENT PROJECT AREA PLEASANT HILL BART STATION 55 TABLE 5-1:HISTORICAL&PROJECTED HOUSING PRODUCTION SUMMARY TABLE 5-2: POTENTIAL HOUSING PRODUCTION ON VACANT RESIDENTIAL LAND TABLE 5-3: HISTORICAL&PROJECTED HOUSING PRODUCTION&AFFORDABLE OBLIGATION TABLE 5-4: UNITS REMOVED BY INCOME CATEGORY TABLE 5-5: HOUSING SET-ASIDE FUND BALANCE TABLE 5-6: UNITS PRODUCED WITH HOUSING FUNDS BY INCOME CATEGORY GRAPH 5-1: HOUSE PRICE&AFFORDABILITY COMPARISON GRAPH 5-2: RENT&AFFORDABILITY COMPARISON MAP 5-1: PLEASANT HILL BART STATION REDEVELOPMENT PROJECT AREA BAY POINT 73 TABLE 6-1:HISTORICAL&PROJECTED HOUSING PRODUCTION SUMMARY TABLE 6-2: POTENTIAL HOUSING PRODUCTION ON VACANT RESIDENTIAL LAND TABLE 6-3: HISTORICAL& PROJECTED HOUSING PRODUCTION&AFFORDABLE OBLIGATION TABLE 64: HOUSING SET-ASIDE FUND BALANCE TABLE 6-5: UNITS PRODUCED WITH HOUSING FUNDS BY INCOME CATEGORY GRAPH 6-1: HOUSE PRICE&AFFORDABILITY COMPARISON GRAPH 6-2: RENT&AFFORDABILITY COMPARISON MAP 6-1: BAY POINT REDEVELOPMENT PROJECT AREA Contra Costa County Redevelopment Agency -3 2000-2004 AB 1290 Implementation Plan 1.0 INTRODUCTION 1.1 PURPOSE On January 1, 1994 Assembly Bill (AB) 1290, called the Community Redevelopment Law Reform Act of 1993, became effective as a law. AB 12903 enacted extensive changes to the California Community Redevelopment Law (CRL). Among those changes, AB 1290 requires that all redevelopment agencies to adopt an implementation plan for all project areas prior to December 31, 1994, and to adopt an updated plan every five years thereafter. Implementation plans must detail specific goals, objectives, policies, programs and fiscal expenditures for the redevelopment project area(s) over the next five years. The implementation plan must address all these elements for both the non-housing and housing components of the redevelopment plans. The Implementation Plan establishes a linkage between Agency programs and the elimination of blight in the Redevelopment Project Area. The intent is to ensure that tax increment revenues are used to correct the blighting conditions that justified the creation of the redevelopment project area. Moreover, implementation plans must describe how the agency will implement the state requirements to increase, improve and preserve the supply of low- and moderate-income housing as well as address the housing production requirements of CRL. 1.2 BACKGROUND Contra Costa County is located adjacent to Alameda, San Joaquin, Sacramento and Solano counties in Northern California. The County stretches over a total of 805 square miles and is approximately forty miles from west to east and twenty miles from north to south. Because the County is so vast, and because of the natural topography, it has generally been referred to by subregions as West County, Central County, and East County The West County area includes urbanized shoreline of the San Francisco and San Pablo Bays, which is separated from the rest of the County by the Briones Hills. West County was among one of the first areas in the County to develop with suburbs and industry. Two of the County's Redevelopment Project Areas, North Richmond and Rodeo, are located in West County. The Central County area is the largest of the three areas, with over half of the County's total population. Central County is comprised of mostly bedroom communities that have developed in the flat valleys between the East Bay Hills and the Diablo Range to the east, extending north and south of Mt. Diablo. The County's Pleasant Hill BART Station Area Redevelopment Project Area is located in this area. The East County area is the largest land area in the County and includes much of the hilly terrain of the Diablo Range. A large portion of this area tends to be rural in nature, with pockets of suburban communities. The Bay Point Redevelopment Project Area is located in this easterly portion of the County. The Oakley Redevelopment Project Area is also located in the easterly portion of the County but on July 1, 1999, Oakley was established as a city. The redevelopment Contra Costa County Redevelopment Agency -4 2000-2004 AB 1290 Implementation Plan function is expected to transfer to the City of Oakley on July 1, 2000. To facilitate the expected transition from County to City administration of the redevelopment program, the 2000—2004 Oakley Project Area Implementation Plan has been prepared as a separate document. The Contra Costa County Redevelopment Agency was established on December 6, 1983. The first Redevelopment Project Area, the Pleasant Hill BART Station Area, was adopted in 1984. Since that time, the Redevelopment Agency has adopted four additional Project Areas located throughout the County, and include: North Richmond, Rodeo, added territory to the Pleasant Hill Station Area, Bay Point, and Oakley. Redevelopment Project Areas and Plans were designed for each community and address specific physical and economic conditions prevalent in each respective Project Area. The Redevelopment Plans provide direction for the revitalization and rehabilitation for each Project Area. The Plans do not establish a specific implementation plan for the redevelopment activities nor do they outline specific methods to solve or alleviate the concerns and problems of the community relating to the project area. Rather, the Plans provide a legal process and framework within which specific plans, projects and solutions can be established. The Plans provide the redevelopment agency the ability to design, develop and proceed with the implementation of specific plans, projects and solutions. 1.3 ORGANIZATION OF THE IMPLEMENTATION PLAN This section provides a brief overview of the contents of this report and outlines the most important components of this implementation plan. Chapter 1.0 provides general background regarding the Contra Costa County Redevelopment Agency and each project area, as well as the following synopsis of the report contents below. Chapter 2.0 presentsan overview of the Agency's overall housing obligations and activities as AB 1290 requires each agency to evaluate its affordable housing obligations and describe how they will be met. Due to the separate and distinct nature of each Project Area, this Implementation Plan is then divided into four subsequent chapters (Chapters 3.0 to 6.0). Each Redevelopment Project Area has a separate chapter which details the goals, objectives, program activities, policies and fiscal information for both the non-housing and housing components of that area's Redevelopment Plan. All five chapters include the following components: ■ Goals, objectives, programs and expenditure discussion for the non-housing components. • Discussion on how programs eliminate blight. ■ Evaluation of the existing socioeconomic data and housing supply characteristics. • The number of new and rehabilitated housing units developed or assisted by the Agency since the adoption of each Redevelopment flan. Contra Costa County Redevelopment Agency -5 2000-2004 AB 1290 Implementation Plan y �G • The number of housing units to be developed or rehabilitated with the assistance of the Agency during the remaining five years (of the ten year housing plan) is calculated by determining annual goals for production and rehabilitation of housing units. • The development of an affordable housing strategy which meets the specifications of the Housing Production CRL Requirement. ■ A Housing Replacement Strategy, if necessary, in the event that housing units are projected to be removed from the market. ■ Targeting objectives for the production, rehabilitation and, if necessary, the replacement of housing units. ■ Program priorities for the expenditure of annual housing fund deposits for redevelopment housing projects. • The funding and implementation schedule for the housing components. ■ The monitoring and evaluation process for housing components as specified in AB 1290. Contra Costa County Redevelopment Agency -6 2000-2004 AB 1290 Implementation Plan A✓ 2.0 AGENCY HouSING OBLIGATIONS AND POLICIES This chapter summarizes the Agency's housing obligations pursuant to the legal requirements of AB 1290 and AB 315, The Agency must meet these requirements in each of the five project areas as described in chapters 3.0 to 6.0. This chapter also provides an overall framework for the Agency's housing goals, policies and programs. The Agency is guided by the County's adopted and certified Housing Element and the Consolidated Plan. The Agency intends to implement all relevant goals, policies, strategies and programs from the Housing Element and Consolidated Plan in each Project Area, as generally described in this chapter. 2.1 OVERVIEW OF LEGAL REQUIREMENTS This section presents an overview of the legal obligations of the Contra Costa County Redevelopment Agency related to the provision of affordable housing in the Contra Costa County Redevelopment Project Areas. 2.I(A) IMPLEMENTATION PLAN REQuiREMENTs: HOUSING ACrIVTTIEs The housing portion of the Implementation Plan is required to set forth specific goals and objectives, outline the specific programs and expenditures planned, and explain how the stated goals, objectives, programs and expenditures will produce affordable housing units to meet these obligations for the ten-year planning period. However, since the overall implementation plan is a five-year update, the housing portion of the plan is only a midterm review and will be updated in the year 2005. In addition, CRI, AB 1290 requires the housing component of the Implementation Plan to describe the following: • An explanation of how the goals, objectives, programs and expenditures will implement the low and moderate-income housing set-aside and housing production requirements set forth in Sections 33334.2, 33334.4, 33334.6 and 33413. This explanation must contain a housing program for each of the five years of the Implementation Plan in enough detail to measure performance. ■ Projection of housing, units to be rehabilitated, price-restricted, assisted or destroyed. • Plans for using annual deposits to the Housing Fund. • Identification of proposed locations for the replacementhousing, which the Agency will be required to produce pursuant to Section'33413, if a planned project will result in the destruction of existing affordable housing. Contra Costa County Redevelopment Agency -7 2000-2004 AB 1290 Implementation Plan ■ The.Project Area Affordable Housing Production Plan (AB 315 Plan) required by Section 33413 [b][4]. 2.1(B)MAJOR STATUTORY PROVISIONS OF CRL FOR AFFORDABLE HOUSING The major statutory affordable housing requirements imposed on redevelopment agencies by the CRI,, may be categorized generally as: ■ Housing Production Requirement- Specified minimum percentages of new or rehabilitated housing units in a project area are to be made available at a specified affordable housing cost. ■ Replacement Housing Requirement- Agencies must replace housing units removed from the housing stock as a result of redevelopment activities. ■ Housing Fund Requirement- Redevelopment agencies are required to expend specified percentages of tax increment revenue for provision of affordable housing. 2.1(C) HOUSING PRODUCTION REQUIREMENT General Housing Production Requirement- Project areas created by 'redevelopment plans adopted on or after January 1, 1976, and territory newly added to project areas by amendments adopted on or after January 1, 1976, must meet an affordable housing inclusionary production obligation (the"Housing Production Requirement"). The CRL, requires that 30% of all agency directly developed or substantially rehabilitated housing must be available at affordable housing cost to low and moderate income households. Of those units, 50% must be af-ordable to very low-income households. The 50% very low- income requirement translates to 15% of the total units developed or rehabilitated by the agency (5010 of 30% = 15%). This requirement applies only to units developed directly by the agency and does not apply to units developed by housing developers pursuant to agreements (for financing and land assemblage assistance) with an agency(Section 33413). When housing is developed or substantially rehabilitated in a project area by public or private entities other than the agency, including entities receiving agency assistance and housing built without any agency assistance, 15% of the total number of units must be affordable to low and moderate income households. Of those units, 40% must be affordable', to very low-income households. The 40% very low-income requirement translates to 6% of the units developed and substantially rehabilitated in the Project Area(40% of 15% d 6%). The definition of substantial rehabilitation triggering the Housing Production Requirement is rehabilitation which involves either three or more multifamily rental units, or, one or two rental Contra Costa County Redevelopment Agency -8 2000-2004 AB 1290 Implementation Plan or owner-occupied single family units which have received agency assistance and which constitutes at least 25%of the after-rehabilitation value of the dwelling, inclusive of land value. Housing Production Plan-a the CRL requires agencies to adopt a plan for each project area over each successive ten-year period of the redevelopment program showing how the agency intends to meets its dousing Production Requirement(the"Housing Production Plan"). 2.1(D) REPLACEMENT HOUSING REQUIREMENT The Replacement Housing Requirement applies to project areas established by redevelopment plans (or areas added by amendments) adopted on or after January 1, 1976, and merged project areas regardless of the date of establishment of the individual project areas subsequently merged. The Agency must replace units destroyed or taken out of the housing inventory occupied by low and moderate-income persons with new or newly rehabilitated low and moderate-income units. At least thirty days prior to acquiring property or adopting an agreement that will lead to the destruction or removal of low and moderate income housing units, an agency must adopt by resolution a replacement housing plan. The replacement-housing plan generally must include: ■ The general location of housing to be rehabilitated, developed, or constructed to meet the particular Replacement Housing Requirement. ■ An adequate means of financing such rehabilitation, development, or construction. ■ A finding that the replacement housing does not require the approval of the voters pursuant to Article XXXIV of the California Constitution or that such approval has been obtained. • The number of dwelling units housing persons and families of low or moderate income planned for construction or rehabilitation. ■ The timetable for meeting the plan's relocation, rehabilitation, and replacement housing objectives. Replacement units may be located anywhere within the territorial jurisdiction of the agency (H&S Code 0334I3[a]). An agency may construct replacement housing itself or cause that housing to be developed through agreements with housing developers. The basic income and affordability standards for replacement housing are the same as those described for use of Housing Fund monies. The units must be available at affordable housing cost to households of low and moderate income. In addition, for dwelling units destroyed or removed after September 1, 1989, the CRL requires that 75% of the replacement units be Contra Costa County Redevelopment Agency -9 2000-2004 AB 1290 Implementation Plan available at affordable costs to the same income level of households(very low, low or moderate income) displaced from the units removed or destroyed(H&S Code §33413(aj). Replacement housing must remain affordable for the longest feasible time, but not less than the period of time that the land use controls of the redevelopment plan remain in effect (H&S code §33413jc)). The affordability controls on such units must be made enforceable by recorded covenants or restrictions. 2.1(E) HousiNG FuND REQumEMENT The CRL requires the agency to set aside in a separate segregated Low and Moderate Income Housing Fund (the"Housing Fund") at least 20% of all tax increment revenue generated from its project areas for the purpose of increasing, improving and preserving the community's supply of low and moderate income housing. Under the CRL, Housing Fund monies must be targeted to specific income levels. Agencies are specifically required to expend their Housing Funds to assist very low, low and moderate-income households, generally defined as: • Very Low Income Incomes at or below 50%of area median income, adjusted for family size. ■ Low Income Incomes between 51% and 80% of area median income, adjusted for family size. • Moderate Income incomes between 81% and 120% of area median income, adjusted for family size. Over the life of the redevelopment plan, Housing Fund monies must be used to assist housing for persons of low and very low income in at least the same proportion as the total number of housing units needed for those income groups bears to the total number of units needed for persons of very low, low and moderate income within the community. Centra Costa County's Housing Element of the General Plan, adopted in 1992, sets out the affordable housing need for the unincorporated areas of the county as determined by the Association of Ray Area Governments in its regional "fair share" allocation. The following table shows that fair share allocation and the targeting objective currently applicable to the Agency in all of its Redevelopment Project Areas. The following Table 2-1 shows the fair share allocation of the County(unincorporated)and the targeting objective currently applicable to the Agency. Contra Costa County Redevelopment Agency -10 2000-2004 AB 1290 Implementation Plan TABLE 2-1 A$AG HOUSING NEEDS DETERMINATIONS 1989 Income Group & Relation Required Percentage Total Hous nz Unit Need to County Median Income Very Low(0-50%) 37% 1,295 Low Income(50-80%) 26% 903 Moderate(80-120%) 37% 1,295 Total 100°10 3,493 Source: Association of Bay Area Governments The table indicates that at least 37 percent of units assisted with Housing Fund moneys should be for very low income housing units and at least 26 percent should be for low-income units. The remaining 37 percent of units assisted by means of the Housing Fund may be affordable to very low, low or moderate-income households. Housing assisted with Housing Fund moneys must be "available at an affordable housing cost." As shown in Table 2-2 below, for housing assisted by Housing Funds afterJanuary 1, 1991, the following affordable housing cost definitions apply: TABLE 2-2 AFFORDABLE HOUSING COST Housing receiving assistance after January 1, 1991 Income Level Rental Housing Ownership Housing Very Low Income 30%of 50% 30% of 50% Low Income 30% of 60% 30% of 70% Moderate Income 30% of 110% 35%of 110% (but not less than 28% if actual income) For housing assisted by Housing Funds prior to January 1, 1991, affordable housing cost is defined as rent or cost for rental or ownership housing that does not exceed'25% of gross income of the upper income limit for the target income category. Contra Costa County Redevelopment Agency -11 2000-2004 AB 1290 Implementation Plan _r 4 2.2 AFFORDABLE HOUSING GOALS AND POLICIES In addition to discussion of Agency progress in meeting its specific affordable housing obligations under the CRL, the Implementation Plan must set forth the Agency's goals and objectives for affordable housing during the next five years. in developing its affordable housing program, the agency has been guided by the goals and objectives of the County's Housing Element and Consolidated Plan which are incorporated into this Implementation Plan by this reference. Through its affordable housing activities, the Agency intends to support and advance the overall Housing Element program. The Agency proposes to assist the County's overall Housing Element program by focusing on achievement of the following specific affordable housing goals during the coming five years. Goal 1s To provide housing to meet the present and future needs of residents in the County and provide a fair share of the market area housing needs. Goal 2: To provide housing to meet the needs of all income',groups in the County and provide a fair share of the allocations by incomecategories. Goal 3. To promote adequate maintenance, and, where needed, improvement of the County's housing stock and conserve affordable housing. Goal 4: To address the housing needs of senior, physically disabled, homeless, large families, farm workers and female head of households. Goal 5: To adhere to or exceed the housing requirements of the State Redevelopment Law. Goal 6. To ensure decent, safe living environments for the County's residents regardless of age, sex, family composition, race, ethnicity, religion, physical or mental disability, or income. The Redevelopment Agency will continue to dedicate its housing activities to achieving these goals. The Agency's new affordable housing strategy and programs for each Project Area will reflect the above-stated goals. In particular, projects such as rehabilitation activities will assist the County in achieving Goal 3, while the Agency's prospective new housing development will assist the County to achieve Goals 4 and 6. 2.3 PROPOSED HOUSING PROGRAMS The Agency recognizes the important role of housing programs and activities in its redevelopment program. Consequently, the proposed affordable housing, programs should be viewed not simply as the means of implementing the Agency's stated goals and objectives related to affordable housing but as key elements in its overall revitalization efforts.. Contra Costa County Redevelopment Agency -12 2000-2004 AB 1290 Implementation Plan The housing programs undertaken in each project area by the Agency and non-agency developers will address the goals and policies set forth in the Housing Element and Consolidated Plan. The Housing Fund and programs proposed to meet the Agency's Housing Fund requirement over the next five years are discussed below. The Redevelopment Agency has five basic programs, which seek to assist affordable housing production in the Project Area where relevant. L Muldi family Housing - This program assists in new construction of multifamily rental housing affordable to and occupied by very low to moderate-income households. The multifamily program is appropriate in all redevelopment areas. 2. Senior Housing New Development - This program promotes development of new rental multifamily housing affordable to very low to moderate-income senior households. This program is active in several project areas including North Richmond and Rodeo. 3. Single Family Housing and Infill Development-This program provides homeownership opportunities for very low to moderate-income households. The Agency assists developers in construction of single family housing with units affordable to low and very low income households such as the Community Housing Development Corporation of Forth Richmond, which is constructing the 87-unit Parkway Estates development. The First-Time Homebuyer Program is part of the Agency's strategy for promoting the development of affordable single family housing. This is a permanent financing program for silent second mortgages to very low to moderate-income households, income targeting is tailored to the community being served. A pilot program was initiated and completed in Bay Point. Subsequent programs have been implemented in North Richmond and Bay Point. The Agency assistance is typically structured as a second loan with a principal and interest deferred for the life of the loan. The loan and accrued interest or equity share will only become due and payable at the time of sale or transfer. s 4. Mortgage Credit Certificate Program - This program provides qualified homebuyers with a 20 percent Federal tax credit, based upon the amount of interest on the homebuyer's loan. This credit is often used in combination with the First-Tinge Homebuyer Program. $. Substantial Rehabilitation - The Agency is evaluating the passibility of establishing an Agency sponsored residential rehabilitation program or supplementing existing countywide programs in Project Areas where needed. The program goal would be to assist in the maintenance and rehabilitation of housing owned and/or occupied by very low to moderate income households through subsidized loans. The Agency will seek to combine its Housing Fund revenue with other funding sources devoted to the prevision of affordable housing to maximize the number of affordable units that can be developed or rehabilitated with the limited amount of available Housing Funds. These other funding sources include Community Development Block Grants (CDBG) and HC?11riE Investment Partnership funds from the U.S. Department of Housing and Urban Development, California Housing Finance Agency (CHFA) and Department of Housing and Community Contra Costa County Redevelopment Agency -13 2000-2004 AB 1290 implementation Plan 4 Development (HCD) program funds at the State level, and low income housing tax credit equity funds. Any other loans, grants, or financial assistance from any other public or private source may be utilized if available. The Agency primarily intends to stimulate the production of new housing to strengthen the economic vitality of each project area. The Agency plans to target its housing set-aside funds to assist very low, low, and moderate income housing units. Contra Costa County Redevelopment Agency -14 2000-2004 AB 1290 implementation Plan 3.0 NORTH FJCHMOND The North Richmond Redevelopment Project Area was adopted by Ordinance No. 87-50 on July 14, 1987. The North Richmond Project Area is a continuous area of approximately 900 acres located in West County. North Richmond is bordered on the south, east and north by the City of Richmond and on the west by the San Francisco Bay and the City of Richmond. :Map 3-1 on page 16 shows the Project Area boundaries. As a generally older area of West Contra Costa County, the North Richmond Area has seen very little development in the last quarter century. The area is characterized by an abundance of substandard housing and vacant and dilapidated commercial structures. The industrial area has historically been underdeveloped and the underlying infrastructure tends to be very substandard. Pursuant to California Redevelopment Law (CRL), the North Richmond',Redevelopment Plan was designed to achieve three major goals. First, the Plan seeks to revitalize and expand industrial and employment related development in the northern portion of the Project Area in order that it may become a productive and attractive economic center, providing job opportunities for community residents and enhancing the local tax base. Second, the Plan is intended to strengthen the existing residential neighborhood in the southern'portion of the Project Area through development of a neighborhood commercial district, park and open space development, street improvement and landscaping, and expansion of community facilities. Third, the Plan seeks to upgrade the deteriorated housing stock in the Project Area and to stimulate the construction of new affordable housing in the Project Area. 3.1 NON-HousING COMPONENT The non-housing component of the implementation plan must address the following three issues: (1) Specific goals and objectives for the next five years; (2) Specific programs, including a program of activities and expenditures to be made within the next five years of the plan; and (3) An explanation of how the goals, objectives, programs and expenditures will eliminate blight. 3.1(A) GOALS, OBJECTIVES, PROGRAMS AND EXPENDITuRm The proposed redevelopment strategy consists of two program component areas: (1) Industrial and Employment Related and (2) Community Facilities. Redevelopment objectives and goals for the improvement projects are detailed for the above Redevelopment Plan component areas for a five-year implementation plan. The goals and objectives reflect the priorities of the redevelopment plan and the agency empowered to implement the plan. The goals and objectives will be evaluated periodically to ensure their continued applicability to non-housing needs within the Redevelopment Project Area and will be Contra Costa County Redevelopment Agency -15 2000-2004 AB 1290 Implementation Plan MAP 3-1 NORTH RICHMOND REDEVELOPMENT PROJECT AREA BOUNDARIES Contra Costa County Redevelopment Agency -16 2000-2004 AB 1290 implementation Plan ,/4 c modified as necessary to be responsive to changes in the nature and extent of the non-housing needs. 3.1($) GoALs The goals and strategies are derived from the priorities stated in the Redevelopment Plan to promote the non-housing component of the Redevelopment Project Area,. Goal 1 Facilitate economic development, stimulate and attract private investment, and create employment opportunities for area residents in the Project Area. Goal 2 Improve the infrastructure and public facilities. Goal Expand and improve the commercial and neighborhood service opportunities. Goal Encourage and support public-private partnerships which address community needs. Goal 5 Encourage and support citizen participation. Goal 6 Capitalize on existing and fixture financing resources and opportunities. Goal 7 Eliminate blighting influences and remove impediments to development. Goal 8 Provide the framework to restore the economic and social health through public and private actions. 3.1(c)OwEcrtvLs The following objectives are intended to provide a framework for efforts to attain the goals outlined above. Objective 1 Improving the infrastructure through property acquisition, road, drainage and sewer improvements in the industrial section of the Project Area. Infrastructure improvements are required to provide full and safe access to, and construct public utilities for, the newly developable land from the completion of the Richmond Parkway. Contra Costa County Redevelopment Agency -17 2000-2004 AB 1290 implementation Plan Objective 2 Create a career development program for North Richmond residents, industries and businesses. The Agency works with employers during the project application stage and is therefore knowledgeable about future employment needs. A career development program would provide the much-needed link between new job creation with training and employment opportunities for residents. Objective 3 Create a strong marketing program to attract new ;businesses, generate revenue and change the area's image upon initiation of some of the infrastructure improvements. Objective 4 Initiate a reuse development planning process for specific sites in the Project Area. Objective 5 Initiate a commercial/retail development program for specific sites in the Project Area, 3.1(D) PROJECTS The following are projects proposed to achieve and implement the aforementioned goals and objectives. However, depending upon unforeseen circumstances, the Agency may participate in other activities to most fully redevelop the North Richmond area. Included with each project is the proposed funding source and estimated total project cost. Between 2000 and 2004, the Agency is projected to receive a cumulative total of$2,101,600 in non-housing tax increment funds, equal to 80% of gross tax increments. The Agency's planned programs, as follows, for the North Richmond Redevelopment Project Area greatly exceeds the projected tax increment revenue stream. Therefore, the Agency expects to seek applicable Federal, State, other local and private funding necessary to bring these programs to fruition PROJECrs COMPLETED FROM THE 1995-1999 IMPLEMENTATION PLAN: Project 1 Road realignment and improvements to Brookside Drive, west of the railroad tracks and east of 3rd Street. Project 2 Roars extension and improvements to Pittsburg .Avenue, west of the Richmond Parkway and east to 3rd Street. Project 3 Agency worked with the City of Richmond and other County departments and interested parties to facilitate the development of a park/ball field on the parcel adjacent to "verde Elementary School. Project 4 Railroad crossing improvements to Market Avenue and Chesley Avenue, at the easterly boundary of the Project Area. Contra Costa County Redevelopment Agency -18 2000-2004 AB 1290 Implementation flan ,y.4j,F3 Project 5 Light Industrial Business Incubator Feasibility Analysis. The Agency initiated a planning process to decide economic feasibility of siting/developing a light industrial business incubator in the community. PROJECTS PROPOSED FOR THE 2000-2004 IMPLEMENTATION FLAN: Project I City Operational Management Expert Team ("COMET") Community Improvement Activities. COMET is a joint City of Richmond and County program formed to upgrade the community through clean-up, beautification and special law enforcement activities. Funding Source: County General Fund, City of Richmond funds, Tax Increment Revenue Estimated Cost: $50,000 Annually Project 2 Commercial and neighborhood serving business development. The North Richmond area lacks the basic commercial and neighborhood serving businesses (i.e. grocery stores, barber shops, etc.) which provide a foundation for a community. Funding Source: Community Development Block Grant funds, Foundation funds, Private Sector funds, and Tax Increment Revenue. Estimated Cost: $3 Million Project 3 Light Industrial Business Incubator Development Program - Phase II. Phase II will include reaffirmation of the market and financial feasibility, business plan development, financial leveraging, and site acquisition/improvements. Agency assistance may include financing, acquisition, construction and/or rehabilitation,' or on/off site improvements. Funding Source: State and Federal Funds, Foundation Grants and Loans, Tax Increment Revenue, and Private Sector Funds Estimated Cost: $3+Million Project 4 Weed and Seed Program. A collaborative effort of county law enforcement, social service, housing and economic development Contra.Costa County Redevelopment Agency -I9 2000-2004 AB 1290 implementation Plan providers, North Richmond residents, local community-based organizations, and other relevant groups formed to crime, youth, and neighborhood revitalization. North Richmond (along with Rodeo) was designated as a Weed and Seed area in 1998. Funding Source: State and Federal Funds, Foundation Grants and Loans, Tax Increment Revenue, and Private Sector Funds Estimated Cost: $250,000+ Annually Project 5 Community Preservation— Abatement and Revolving Loan Program. The creation of a revolving loan program to fund community preservation and abatement activities. The area has a multitude of substandard and an increasing incidence of unsafe structures, which require some level of abatement to improve health and safety conditions and clean up the community. Funding Source: Tax Increment Revenue, State and Federal Funds, Foundation Grants and Loans, and Private Sector Funds Estimated Cost: $50,000+ Annually Project 6 3d Street corridor transportation and Community Streetscape Improvements project. Funding Source: State and Federal Funds, Tax, Increment Revenue, and Private Sector Funds Estimated Cost: $500,000 Project 7 Development of a Commercial/Retail Center on 3'd Street, adjacent to the Center for Health and Senior Housing projects. Funding Source: Tax Increment Revenue, State and Federal Funds, and Private Sector Funds Estimated Cost: $1.4 Million Project 8 Infrastructure improvements such as sewer, roads, and utilities in the industrial area. Centra Costa County Redevelopment Agency -20 2000-2004 AB 1290 Implementation.Plan Funding_Source: State and Federal Funds, Tax ;Increment Revenue, and Private Sector Funds Estimated Cast: $3+Million Project 9 infrastructure improvements such as read continuations, streetlights, and landscaping in the residential areas. Funding Source: Tax Increment Revenue, State; and Federal Funds, and Private Sector Funds Estimated Cost: $1+Million Project 10 Assess and implement an economic development assistance program for industrial, commercial, retail and office projects to attract neve businesses and generate employment opportunities throughout the Project Area. Funding; Source: Tax increment Revenue, State and Federal Funds, and Private Sector Funds Estimated Cost: $250,000+ Project 11 Create and implement a marketing strategy with collateral materials for the community. Funding Source: Private Sector Funds and Tax Increment Revenue Estimated Cost: $200,000(for 5 years) 3.1(n) ELUMNATION OF BLIGHT The proposed redevelopment strategy and identified projects will provide several public benefits, as follows: 1. The infrastructure improvements will eliminate a serious blighting influence in the Project Area. As described in the documents set forth in Appendix A (which documents are incorporated into this plan by this reference), the Project Area is characterized by deteriorated, dilapidated, and obsolete public facilities, open spaces, and utilities which have a deleterious physical and economic impact on the Project Area. The proposed infrastructure and open j space projects listed above are classic examples of this documented blighting condition. Contra Costa County Redevelopment Agency -21 2000-2004 AB 1290 Implementation Flan r �w 2. The education and employment projects will eliminate a serious existing social and economic condition in the Project Area. As described in the documents set forth in Appendix A, the Project Area is also characterized by a prevalence of social and economic maladjustment. The social and economic maladjustment is simultaneously both a cause and an effect of the aspects of physical blight plaguing the area. The proposed education and employment projects are designed to address the root cause of the social and economic maladjustment. 3. This Implementation Plan provides for two improved roadways and other infrastructure, education and employment training, clean-up and beautification activities, reuse opportunities, open space improvements, and industrial/commercial/retail development opportunities, thereby providing a catalyst for private reinvestment in the Project Area. 4. The Implementation Plan will serve goals and objectives set forth in Part IV of the Redevelopment Plan, including goals and objectives related to: a. Facilitate Industrial and Employment RelatedDevelopment; and b. Encourage the Development of Community Facilities. 3.2 HOC.ISING COMPONENT 3.2(A) POPULATION PROFILE According to the 1990 Census, the population of the North Richmond Project Area was 2,347 people living in 709 households. The majority of these individuals (89 percent) lived in family households with an average household size of 3.32 persons. HOUSING CHARACTERIsTICS/NEEDs ANALYSIS According to the 1990 Census, it was reported that there were a total of 813 housing units in the North Richmond Project Area. Of these, 447 (55 percent) were single family detached houses, 350 (43 percent) were multifamily units and the remaining three percent of housing units were mobile homes or other types of housing. Owner-occupied units comprised 25 percent (202 units) of the housing stock and 507 (62 percent) were renter units. The vacancy rate was 13 percent (104 vacant units), and four percent of the housing stock was vacant and boarded-up (31 units). North Richmond's housing stock is predominantly single-family. The condition of the housing can be generally categorized as poor, although there are well-maintained single-family dwellings and some new infill housing scattered throughout the Project Area. The Agency estimates that approximately 45 percent of existing single-family dwellings could use some level of Contra Costa County Redevelopment Agency -22 2000-2004 AB 1290 Implementation Plan rehabilitation and an estimated 20 percent appear to need substantial rehabilitation, which is defined as a cost of $25,400 or more. Roughly one quarter of the area's Dousing stock is public Dousing, comprising the vast majority of multifamily units. The public housing stock ranges from well maintained to boarded-up but the overall level of dilapidation is high. However, the Housing Authority has recently upgraded 82 of the total 22,6 units in the Los Deltas multifamily Public Housing complex LEVEL OF HOUSING NEED Excessive cost burden is a significant housing problem in the Project Area. A cost burden exists if total housing costs exceed 30 percent of gross household income. In the County, both renter and owner households are cost burdened. Renters are more cost burdened than owners, with 44 percent of renter households having housing costs in excess of 30 percent. This compares to 53 percent of renter households spending 30 percent or more on their housing in North Richmond. RESIDENTIAL MARKET CONDITIONS Although single family houses in North Richmond are the most affordable in Contra Costa County, there is little demand for owner or renter housing. A majority of the available housing stock is substandard resulting in little demand from households who can afford market rate housing. However, the demand for the recently developed affordable housing shows the potential for North Richmond to capture a residential market. As of October 1994, the averag'e assessed value of residential single family homes in North Richmond was$78,783.1 :pew "for rent" signs are displayed on single-family housing. 3.2(B) HOUSING REQUIREMENTS AND STRATEGIES This section constitutes the Housing Production Plan for the North Richmond Project Area. The Agency expects to meet its legal housing production obligations pursuant to recent legislation related to housing, AB 315 and AB 1290. This section discusses in detail the specific housing production obligations of the Agency in the Project Area. The first part describes historical housing production within the Project Area from the adoption of the Plan in 1987 through 1999. The second part discusses future-housing production within the Project Area as follows: • Annual production goals for the next five years(1995 to 1999) • Midterm review of the ten year compliance period (1995 to 2004) • Projected production through the life of the Project (1947 to 2027) Contra Costa County Redevelopment Agency -23 2000-2004 AB 1290 Implementation Plan Vs.- 11-1.1e- 11-1 ' The third and fourth parts discuss affordable housing production and replacement housing in the Project Area and the Agency's strategy for meeting its inclusionary and replacement obligations. HISTORICAL HOUSING PRODUCTION: 1987 To 1999 Historically, from the adoption of the Plan in 1987 through 1994, the Agency has determined that a total of 72 housing units (55 new units and 17 substantially rehabilitated units) have been produced in the Project Area. Table 3-1 below shows the historical housing annual production in the Project Area. To date, the Agency has assisted in the development of eight units through a homeownership program. The Agency also has two affordable housing projects under construction and an active First Time Homebuyers Program. These projects will provide very low, low and moderate income housing opportunities beginning in early 2000. TABLE 3-1 Housing Production Summary Historical and Projected Total Units Produced Year New Rehabilitated Total Historical 1987-1999 55 17 72 I'ro'ected 2000-2004 ;3;05 10 157 2005-2009 to 70 2009-2027 0 43 Total 1987-2027 35 340 Source:Contra Costa County Redevelopment Agency&building Dept. *Projections based on potential residential buildout per existing General Plan,not including density bonuses NEW CONSTRUCTION Since 1387, the Agency has determined that 55 new units have been constructed in the Project Area. Eight of these units have been developed with Agency assistance and have recorded affordability controls. SUBSTANTIAL REHABILITATION Based on analysis of the County Assessor and Building Department records, a total of 17 dwelling units have been substantially rehabilitated, which are structures with three or more units. There were no affordability restrictions on these rehabilitated units. Table 3-1 above Contra Costa County Redevelopment Agency -24 2000-2004 AB 1290 Implementation Plait shows the number of new and substantially rehabilitated housing constructed in the Project Area since plan adoption. The Agency created a First Time Homebuyer Program to assist very low and low-income households become homeowners. The Agency program works in combination with the Department of Housing and Urban Development 203k Program, which provides a cost effective way to purchase and rehabilitate a home. Agency assistance is structured as a silent second mortgage (maximum of$35,000 per household) which is fully deferred until sale or transfer of the property. The loan is fully forgiven if the household remains in the home for the life of the loan. The mortgage assistance is made available by a combination of Agency tax increments and federal HOME funds. The program was launched in 1996 and anticipated assisting 10 to 20 very low and low-income households acquire homes. There have not been any loans as yet in North Richmond. The Agency is increasing marketing efforts and is exploring (program changes to make it more effective. In addition to the Agency's program, two programs for housing rehabilitation exist countywide. The wilding Inspection Department administers the Neighborhood Preservation Program, which provides hands for the rehabilitation of single-family ownership housing, and the Housing Authority administers a rehabilitation program for multifamily rental units. Both programs utilize HOME and CDBG funds as well as provide matching grants from private investors. These programs provide low interest loans with terms dependent on the feasibility of the project and are reserved for rehabilitation projects targeting very low and low-income households. Occupancy and affordability restrictions apply. The Housing Authority plans to rehabilitate approximately 20 multifamily rental units over the ten year planning period. The Redevelopment Agency is evaluating the possibility of assisting in substantial rehabilitation activities in the Project Area in the future. P'ROJECT'ED FUTURE HOUSING PRODUCTION .Based on an analysis of the potential for new development on existing vacant residential parcels, the potential for Federal and State funding and the anticipated date of development, the Agency has developed a projection for the number of units likely to be built in the North Richmond Project Area over the next ten years, 1995 to 2004, and through the life of the flan, 2005 to 2027. Table 3-1 on page 23 summarizes the future housing production within the Project Area.. Numerous vacant residential parcels exist in North Richmond with a combined total of about 41 acres. Some of thesis are contiguous and offer potential for assembly into sizable building parcels. However, the majority are small scattered parcels through the western portion of the residential area of the Project Area. Table 3-2 below provides a summary of available vacant parcels. Contra Costa County Redevelopment Agency -25 2000-2004 AB 1290 Implementation Plan TALE 3-2 Potential Housing Production on Vacant Residential Land Parcel Number General Plan D scri tion Acres Potential units 408-160-038 SH 5.0-7.2 DUTAcre 17.19 105 408-160-035 SH 5.0-7.2 DU/Acre 10.48 65 Total-Large Parcels 27.92 170 Total-All Parcels 40.79 253 Single-Fancily Total 40.12 245 IKulti-Family Total 0.67 8 Source:Contra Costa County Redevelopment Agency If fully built out, there is capacity for a total of 253 units over the remaining life of the Plan, from 1999 to 2027. The vast majority of'these units will be developed as single Family housing units. FIVE YEAR ANNUAL HOUSING PRODUCTION GOALS: 2000 To 2004 The Agency plans to achieve the following annual housing production goals over the next five years: 2000 Construction will continue on Parkway Estates, which will contain 87 total single family detached homes at buildout. The Parkway Estates is a phased project, with the first 15 units currently under construction with total of 45 units to be completed in 2000. The Agency will provide administrative support for a neighborhood based non-profit housing developer, the Community Housing Development Corporation of North Richmond, The 52 unit Senior Housing project will be completed. The Agency will develop an affordable housing production strategy to meet the inclusionary redevelopment requirement of 15 percent affordable and 6 percent very low-income units. The Agency will asses a Lease-to-Own affordable housing program. The Agency will continue the First Time homebuyer program to provide silent second mortgages to lower income households to purchase and rehabilitate homes. 2001 Parkway Estates will be completed. The First Time Homebuyer program should be completed. The Agency will evaluate the continued need for the First Time Homebuyer program and, if a need still exists, find additional funding to continue the program. The Agency will begin to promote the development of infill lots for residential uses. 2002 The Agency will evaluate the potential for a residential project on the 17-acre Color Spot property that could include higher density residential development (i.e. duets and townhouses). If the project proves feasible, the Agency will initiate soliciting a developer(s) for the project. The Agency will also develop a tracking Contra Costa County Redevelopment Agency -26 2000-2004 AB 1290 Implementation Plan O program for new development production and substantial rehabilitation in the Project Area. 2€03 The Agency will evaluate infill development potential for various sites in the Project Area. If development proves feasible, the Agency will initiate soliciting a developer(s)for the project. The Agency will implement the tracking system. PROJECTED UNITS: 1995 TU 2004, MIDTER 4i REvIEw OF THE TEN YEAR PRODUCTION PERIOD The Agency about 147 new units were developed in the first five years (1995-1999). Most were single family detached homes, with some limited multifamily (i.e., duplexes) development. The Agency anticipates that 147 units will be developed in the last five years of this production period. Of these, approximately two thirds will be single family (87 units at the Parkway Estates) and the remainder multifamily (52 units at the North Richmond Senior Housing). The Agency expects that 60 units will be developed in the between 2000 and 2004. Approximately two thirds of these will be single family. PROJECTED UNITS. 2005 To 2027, PROJECT LIFE PRODUCTION Based on the inventory of remaining developable residential land., the Agency estimates that 43 new dwelling units could be developed within the Project Area from 2005 until the end of the Project in 2027. Most of these units could be developed on a 17-acre parcel on the western edge of the residential portion of the Project Area(immediately north of the planned Parkway Estates development). Eight of these would have affordability restrictions. 1995-1999 HOUSING PRODUCTION COALS UPDATE The five-year annual housing production goals that were laid out in the restated implementation plan done in 1997 have been partially achieved. The statuses on these projects are listed below. • The Senior Housing Development is under construction and is expected to be inhabited by summer 2000. • Construction on 15 units in the Parkway Estates project has begun, but none of the units are fully completed as of yet. • The first time home buyer program has been established • The development of a tracking programs is in progress and will continue into the next five-year period. Contra Costa County Redevelopment Agency -27 2000-2004 AD 1290 Implementation flan ■ Off site improvements for the Parkway Estates housing project have been completed. AFFORDABLE(INCLUSIONARY) HOUSING PROIJ LIMON The Agency has not and does not plan to directly produce any dwelling units in the North Richmond Project Area. Consequently, the 15 percent affordable housing (inclusionary) production obligation under the CRL applies to all units constructed and substantially rehabilitated. The Agency expects to meet its affordable production obligation over the life of the Plan, as required by law. Table 3-3 on page 28 shows historical and projected housing production and the inclusionary obligation incurred by the Agency. TABLE 3-3 Historical & Projected Housing Production & Af'f'ordable Obligation Affordable Obli ation** Affordable Production Production Surplus licit OnlyTotal-Very OnlyTotal-Very OnlyTotal-Very Very Low Very Low Very Low Year Total Units* Low,Low& Low,Low& Low,Loco& Moderate Moderate Moderate Tfistorical- 1987-1999 55 4 9 1 8 -3 -1 Projected Totals- 2000-2004 147 9 23 30 75 15 52 1987-20271 340 21 51 34 113 13 62 Source:Contra Costa County Redevelopment Agency The Agency has not yet met its 15 percent affordable requirements in the Project Area for the historical period, 1987 to 1999. Three very low-income units are and one total affordable unit is currently needed to meet this obligation. The Agency expects to meet its 15 percent affordable production requirement on an aggregate level over the next five years and the life of the Plan. In the next five years, 75 of the 147 units constructed or substantially rehabilitated will be affordable to very low, low and moderate- income households and 24 will be affordable to very low-income households. At the end of the ten-year compliance period in 2404, 35 percent of all units constructed or substantially rehabilitated in the project area will be affordable to very low, low and moderate-income households and 10 percent will be affordable to very low-income households. From 2005 through the end of the Plan in 2027, the Agency expects another 138 units to be developed of which 9 units (7%) will be affordable to very low income and 21 units (15%) will be affordable to low and moderate income households. At the end of the Plan in 2027, 35 percent of all units constructed or substantially rehabilitated in the project area will be affordable Contra Costa County Redevelopment Agency -28 2000-2004 AB 1290 Implementation Plan to very low, low and moderate-income households and 10 percent will be affordable to very low- income households. REPLACEMENT HOUSING OBLIGATION In 1995, the Agency incurred a 9-unit replacement housing obligation (seven law and two moderate-income units). As a result, the Agency will incur a replacement obligation of five low- income units, two moderate-income units and two units, which can be very low, low or moderate income. The units were removed to develop the North Richmond Senior Dousing project. Of the 52 units in this project, 24 will be reserved for very low-income households. The replacement obligation will be met with replacement units either at the North Richmond Senior Housing development or at Parkway Estates. 3.2(c) AFFORDABILITY GAP ANALYSIS Based on income information from the 1990 Census, a typical household in North Richmond is estimated to earn less than 20 percent of the County median, or $10,700 in 19941. This means that North Richmond residents cannot afford to pay as much to either rent or purchase housing as most other County residents. Even though housing in North richmond is substantially less expensive than the County, it is still too expensive for many North Richmond residents. As discussed previously, Federal and State programs use three primary definitions of affordability: very low income (households earning up to 50 percent of Countywide median income), low income (households earning between 51 percent and up to 80 percent of Countywide median income) and moderate income (households earning'over 129 percent of Countywide median income). These definitions are used as a standard for administering Federal and State housing programs, including Redevelopment Tax Increment low and moderate income housing funds. The Federal Department of Housing and Urban Development (HUD) publishes the median income, adjusted by family size, for Contra Costa County each year. In 1994, the Contra Costa County median income is $55,300 for a family of four. According to the 1990 Census, most North Richmond residents would have been considered very low-income using HUD's definitions. Although some of richmond residents are unemployed, there are many North Richmond residents who are employed in lower paying jobs in the County. Most North Richmond households do not have sufficient incomes to qualify for a mortgage to purchase a home. In 1994, the typical North richmond four-person ',owner household is estimated to have a median household income of$10,700. Based on commonly used mortgage qualifying standards, a typical North richmond family could only afford a $28,000 housel. The current estimated average cast of housing in North richmond is about `579,000 and in the County is about$244,000. Therefore, a large "affordability gap" exists between what typical households can afford to pay and the cost of purchasing a home as shown in Graph 3-1 below. Contra Costa County R.edeveloprnent Agency -29 2000-2004 AB 1290 Implementation Plan GRAPH 3-1 HOUsINO PRIGS&AFFORDABILITY COMPARISON NORTH RICHMOND VS. CONTRA COSTA CouN`I`Y $300,000 $250,000 $200,000 $150,000 $100,000 $50,000 $0 County North Richmond Typical Renter Household Household 1994 Average douse Values Affordable Housing Prices Similarly with renters,North Richmond residents cannot afford to pay the typical east of housing in the County. A renter family of four in North Richmond has a median income of$10,7002. A typical renter family at this income level can only afford to pay about $228 per month for rent3. This is in stark contrast to the County where a renter family earning 100 percent of median income can afford to pay about $642 per month, as shown in Graph 3-2 below. Thus, the typical North Richmond family can only afford to pay about 36 percent of the Countywide affordable rent. GRAPH 3-2 RENT& AFFORDABILITY COMPARISON NORTH RimmoND VS. CONTRA COSTA COUNTY $800 $700 $600 $500 $400 $300 $200 $100 $0 County North Typical Renter Very Low Richmond Income Renters 1994 Average Rent Affordable Rent Contra Costa County Redevelopment Agency -30 2000-2004 AB 1290 Implementation Plan 3.2(D)HousING SET-ASIDE FuND The primary funding source for the Agency's affordable housing activities during the Implementation Plan period will be the 20 percent portion of annual tax increment revenue deposited by the Agency into its Housing Fund. Table 3-4 below summarizes historical and projected housing set-aside fund deposits and expenditures from 1987 to 1994 and over the next five years. The history, status and estimated level of future deposits to the Housing Fund are described below. Table 3-4 HousingSet-Aside Fund Balance Total Tax Requirett 20% Actual& Year Housing Set- Proposed Fund Fund Balance Increment Aside Deposit Historical- 1987 to 1994 1987-FY19931_L$892,930 $178,586 $315,675 $32,480 199.5-1999 FY 1994/95 $257,000 $51,400 $57,114 s0 FY 1995/96 $390,000 $78,000 $76,254 $1.,400 FY 1996/97 $488,897 $97,779 $97,779 $.3,000 FY 1997/98 $522,504 $104,501 $104,501 $90,000 FY 1998f99 $530,502 $146,100 $106,100 $0 Total- $2,188,903 $437,781 $441,749 N/A Future-2000-2004 FY 1999/2000 $509,000 $101,800 $101,800 s0 FY 2000/01 $518,000 $103,600 $103,6100 $0 FY 2001/02 $525,000 $105,000 $105,000 $0 FY 2002/0.3 $533,000 $106,600 $106,000 $0 FY 2403/04 $542,000 $108,400 J $108,400 $0 Total- $2,627,040 $525,400 $524,8£14 N/A Tota11987-2044 $5,748,833 $1,141,767 $1,282,225 N/A Source:Contra Costa County Redevelopment Agency/Building Dept.&,Katz Hollis Fiscal Consultant Report March 1999 Totals are prior to Pass-Through Agreements and other financial obligations. Non-housing program funds available atter payment of Oscal agreements and other financial obligations. Fuad balance amounts reflect carryover amounts form the fiscal years budget. HISTORY AND STATUS From 1987 to 1999, the Agency has allocated at least 20% of the cumulative tax increment revenue to the Housing Set-Aside Fund. Over this period, the Agency has made deposits to the Housing Fund in the amount of$757,425. At the beginning of Fiscal Year 1999/00, the Dousing Fund had a balance of$0. In the last two years, the Agency has participated in development of eight new single-family houses, which have been sold to buyers with household incomes less than 80 percent of the median income for the county. The Agency has also participated in the development of the Parkway Estates and Senior Housing Project and the implementation of the First Time Contra Costa County Redevelopment Agency -31 2000-2004 AB 1290 Implementation Plan _. _. JrAr Homebuyer Program. All Agency projects/programs are targeted to very low, low, and moderate-income households. DEPOSITS DURING NExT FIVE YEARS The Agency estimates that the total five-year(2000-2004) deposit of tax increment revenue into the Housing Fund will be $1,282,225, equal to 20% of the projected gross tax increment. The Agency plans to expend all of its available housing funds in the next five years. This projection assumes that tax increments will grow at about $10,000 annually over the next five years (using a conservative estimate). PROPOSED HOUSING PROGRAMS& PROJECTED ExPENDITURES The Agency recognizes the important role of housing programs and activities in its redevelopment program. Consequently, the proposed affordable housing programs should be viewed not simply as the means of implementing the Agency's stated goals and objectives related to affordable housing but as key elements in its overall revitalization efforts. The Agency primarily intends to stimulate the production of new housing to assist low and very low income housing units to strengthen the economic viability of the area. The Agency will use Housing Set-Aside funds to assist in the following planned projects. a 87 units of single-family homeownership housing, known as Parkway Estates, on a 10-acre parcel on the northeasterly corner of Richmond Parkway and Gertrude Street. Construction began in 1999 and sales are expected to extend from late 1999 through 2001. Sales prices are projected at between $135,000 and $165,000; 27 units will be restricted for low and moderate-income households. M 52 units of senor rental housing; 49 percent of units for very low income and 51 percent for low to moderate-income senior households. The project includes a mixed-use component with a health center; a police office and potentially some retail/office space. Construction began in 1999; opening in 2000. r 11 to 50 units of affordable new single-family homes on scattered infill parcels in the next five years. * 20 (estimated) first time very low and lower income homebuyers to be assisted in purchasing homes that have been rehabilitated with the Department of Housing and Urban Development 203k program. The Agency will expend the Housing Fund over the next five years on the programs and activities described in this section and will focus its efforts to achieve the next five--year annual Contra Costal County Redevelopment Agency -32 2000-2004 AP 1290 Implementation flan 1 production goals. Table 3-5 below summarizes proposed housing production by income level through 2004 and illustrates that the Agency will meet its housing need targeting requirements. TABLE 3-5 Assisted V Low LM M krate Taal Affordable [nits Prodic ed Celts % Units % Units % J Units Asta c d- 1957--1999 7 M 0 0% 8 1( % 1999-2004 30 20% 20 14% 25 170/0 75 1(X0/o TOW 31 1S%a 27 13%u 25 120/6 833 1 /e Source:Contra Costa County Redevelopment Agency The Agency will also seek to combine its Housing Fund revenue with rather funding sources devoted to the provision of affordable housing to maximize the number of affordable units that can be developed or rehabilitated with the limited amount of available Housing Funds. These other funding sources include Community Development Block Grants '(CDBG) and HOME Investment Partnership funds from the U.S. Department of Housing and Urban Development, California Housing Finance Agency (CHFA) and Department of Housing and Community Development (HCD) program fonds at the State level, and low income housing tax credit equity funds. Any other loans, grants, or financial assistance from any other public or private source may be utilized if available. The Agency also plans to leverage funds through other affordable housing programs that the County administers such as the Neighborhood Preservation Program for housing rehabilitation. The Agency will continue to focus on homeownership and rehabilitation programs to achieve a better balance of housing. 3.2(E)SpEciFtc PRoiwr AREA GoALs The housing programs undertaken in the Project Area by Agency and non-Agency developers will address the goals and policies set forth in the Housing Element as described in Chapter 2.0. The North Richmond Redevelopment Plan sets specific goals with respect to affordable housing in the Project Area. The Plan is designed to achieve two major goals and one objective relating to housing in the Project Area, which are consistent with the General Plan. GoALs ■ Strengthen the,existing residential neighborhood in the southern portion of the Project Area through development of a neighborhood< commercial district, park and open space development, street improvement and landscaping, and expansion of community facilities. Contra Costa County Redevelopment Agency -33 2000-2004 AB 1290 Implementation Plan ZAP- • To upgrade the deteriorated housing stack in the Project Area and to stimulate the construction of new affordable housing in the Project Area. OB.I`ECTWES • Assist in Dousing Rehabilitation and New Construction. The Agency also has its own goals for affordable housing activities within the Project Area. It plans to develop an affordable housing production strategy to meet the inclusionary redevelopment requirement of 15 percent affordable and 6 percent very low-income units. It also plans to develop a tracking program for new development production in the Project Area. Contra Costa County Redevelopment Agency -34 2000-2004 AB'1290 Implementation Plan �1w, 4.0 RODEO The Rodeo Redevelopment Project Area was adapted by Ordinance No. 90-50 on July 10, 1990. The Rodeo Project Area consists of approximately 650 acres of land. The Project Area is generally bounded on the west and south by the City of Hercules, on the north by San Pablo Bay, and on the east by Interstate 80. Map 4-1 details the Rodeo Redevelopment Project Area. The Project Area is largely residential with commercial strips located along the major corridors. The Project Area is characterized by a number of substandard and deteriorating structures, particularly in the Old Town area. Large parts of the area either lack or need neighborhood amenities such as sidewalks, gutters and curbs, as well as adequate public improvements. The commercial areas are old, in which many buildings are unreinforced masonry, and are in need of revitalization and increased investment. In accordance with CRL, the Rodeo Redevelopment Plan was designed to achieve five major goals. First, it proposes to fund circulation and transportation improvements throughout the Project Area. Second, the Plan seeks to provide where lacking, or upgrade or replace where inadequate, public and community facilities. Third, the Plan is intended to provide other infrastructure improvements, including drainage improvements and utility upgrading. Fourth, the Plan seeks to upgrade existing older residential neighborhoods through rehabilitation of a substantial number of existing housing units, the facilitation of infill housing construction, and development of neighborhood amenities such as landscaping and parks, Fifth, the Plan is intended to stimulate new employment generating land use development and rehabilitation activities in the Project Area in order that it may become a productive and attractive economic center, providing jobs and services for area residents and enhancing the local tax base. 4.1 NON-HOUSING COMPONENT The non-housing component of the implementation plan must address the fallowing three issues: (1) Specific goals and objectives for the next five years; (2) Specific programs, including a program of activities and expenditures to be made within the neat five years of the plan; and (3) An explanation of how the goals, objectives, programs and expenditures will eliminate blight. 4.1(A) GOALS, OWEC'TIVES,PROGRAMS AND EXPENDITURES The proposed redevelopment strategy consists of three program component areas: (1) Public Infrastructure and Facilities; (2) Employment Generating and Land Use Development Activities; and (3) Circulation and Transportation Improvements. Redevelopment objectives and goals for the improvement projects are detailed for the above Redevelopment Plan component areas for a five-year implementation plan. The goals and Contra Costa County Redevelopment Agency -35 2000-2004 AR 1290 Implementation Plan _.._. . . ......_. ......... ......... ......... ........_......._.. _._..._. .......-. .....__.. ......... ..._....... ........ ......._... ........ ....................................... .. MAP 4-1 RODEO REDEVELOPMENT PROJECT AREA BOUNDARIES Contra Costa County Redevelopment Agency -36 2000-2004 AB 1290 Implementation Flan objectives reflect the priorities of the Redevelopment Plan and the Agency. The goals and objectives reflect the priorities of the Redevelopment Plan and Agency. The goals and objectives will be evaluated periodically to ensure their continued applicability to non-housing needs within the Redevelopment Project Area and will be modified as necessary to be responsive to changes in the nature and extent of the non-housing needs. 4.1(B) GoALs The goals and strategies are derived from the priorities stated in the Redevelopment Plan to promote the non-housing component of the Redevelopment Project Area.. Goal 1 Facilitate economic development, stimulate and attract private investment, and create employment opportunities for area residents in the Project Area. Geral 2 Improve the infrastructure and public facilities. Glial 3 Expand and improve the commercial and neighborhood service opportunities. Goal Encourage and support public-private partnerships and citizen participation which address community needs and participation. Coal 5 Capitalize on existing and future financing resources and opportunities. Coal 6 Eliminate blighting influences and remove impediments to development. Geral 7 Provide the framework to restore the economic health through public and private actions. 4.1(c) OWECTWES The fallowing objectives are intended to provide a framework for efforts to attain the goals outlined above. Objective 1 Improving the infrastructure through property acquisition, read, drainage, water and sewer improvements in the Project Area, Objective 2 Create and implement a Downtown/Waterfront Improvement Program for the older and more historic section of the Project Area. Contra Costa County Redevelopment Agency -37 2000-2004 AB 1290 Implementation Plan ......... ......... ......... ......... ...__..........._.. _. ......... ......... ......... ....._... ...._....... ._......_. ............. .......... .......... ........ ........................... 5 Objective 3 Create a strong marketing program to attract new businesses, generate revenue and change the area's image upon initiation of some of the infrastructure and downtown/waterfront area improvements. Objective 4 Improve the attractiveness of Rodeo, particularly at community entranceways and in the downtown area. Objective 5 Improve the quality of community facilities available in the community. 4.1(D) PROJECTS The following are projects proposed to achieve and implement the aforementioned goals and objectives. However, depending upon unanticipated circumstances, the Agency may participate in other activities to most fully redevelop the Rodeo area. Included with each project is the proposed funding source, and estimated total project cost. Between fiscal year 2000 and 2004, the Agency is projected to receivea cumulative total of $1,835,000 in non-housing tax increment funds, equal to 80% of gross tax increments. The Agency's planned programs, as follows, for the Rodeo Redevelopment Project Area greatly exceeds the projected tax increment revenue stream. Therefore, the Agency expects to seek applicable Federal, State, other local and private funding necessary to bring these programs to fruition. See Housing Set-Aside Fund discussion for further information. PROJECTS COMPLETED FROM THE, 1995-1999 IMPLEMENTATION PLAN: Project I Fire Station renovation improvements. PROJECTS PROPOSED FOR THE 2000-2004 IMPLEMENTATION PLAN: Project 1: Downtown/Waterfront Improvement Program. The County adopted the Rodeo WaterfrdntlDowntown Specific flan in May 1997, and will initiate the identified catalyst projects, either directly or through public-private partnerships, to implement the plan. Projects may;include infrastructure, facilities and/or assistance to private sector activities. Funding Source: Tax Increment Revenue, State and Federal Funds, Foundation Grants and Loans, and Private Sector Funds. Estimated Cost: $10 Million + Project 2: Parker Avenue repaving and utility (i.e. water, sewer, electric) improvements, 7th Street to San Pablo Avenue. The Parker Avenue road Contra.Costa County Redevelopment Agency -38 2000-2004 AB 1290 Implementation Plan ................................... ......... _. . ........................................................... improvements project is anticipated to begin with underground of utilities in early 2000. The underground ng of the utilities will be primarily funded; through PCr& E. The read improvements on Parker Avenue will be ready' for construction immediately after the undergrounding project is complete in year 2001. Parker Avenue streetscape improvements include installation of landscape median, curb, gutter and sidewalk. Funding Source: Tax Increment Revenue, Area of Benefit Funds, Special District funds and Utility Undergrounding funds. Estimated Cost: $3.5 Million Project 3: Unreinforced masonry building improvement program. Provide financial assistance for commercial structures, located in the downtown area and to bring unreinforced masonry buildings up to current code requirements. Funding Source: Tax Increment Revenue, State/Federal Loans and Grants, and Private Sector Funds. Estimated Cost: $1,000,000 Project 4: Access and park improvements for Lone Tree Park, with particular emphasis on those improvements that enhance the relationship of park functions to the downtown Rodeo area. Funding Source: East .Bay Regional Park funds and Tax Increment Revenue. Estimated Cost: $1,000,000 Project 5: Develop and implement a marketing plan for Rodeo. The County has retained a consultant to develop a marketing plan for the unincorporated areas in the County, including the Redevelopment Agency's project areas. The County and the Redevelopment Project Areas will share cost of the project. Funding Source: Tax Increment Financing Estimated Cost. $10,000 Project 6: Marina/Waterfront Feasibility Analysis. The Redevelopment Agency will initiate a feasibility analysis to identify alternative uses of the marina and Contra Costa County Redevelopment Agency -39 2000-2004 AB 1290 Implementation Plan VS-- //-/V- S5'//+-/V-0 waterfront, and assess the economic feasibility of such uses. Development of the Rodeo marina and waterfront will be a joint effort between the Redevelopment Agency, state and regional agencies, East Bay Regional Park District, and ether private interests. Funding Source: East Bay Regional Park District, Tax Increment Financing, Private Funding, and Federal Programs. Estimated Cost: $50,000 Project 7. Rodeo Senior Housing Development. Construction of 50-unit senior rental housing development is proposed in year 2000. The site is a 1.1-acre parcel located at the intersection of San Pablo, Parker and Willow Avenues. The project will provide housing for seniors with very low and low and moderate incomes. Funding;Source: Tax Increment Financing, Bond Proceeds, state and federal funds. Estimated Cost: $1.325 million Project 8: Pl-Rezoning Program. The Agency will initiate the rezoning of Rodeo Redevelopment Project area to a Planned Unit Development (P-1). The rezoning will provide for consistent development of growth within the area and streamline the permitting process to encourage orderly growth. Funding Source: Tax Increment Financing Estimated Cost: $50,000 Project 9: Community Preservation— Abatement and Revolving Loan Program. The creation of a revolving loan program to fund community preservation and abatement activities. The area has substandard and unsafe structures, which require some level of abatement to improve health and safety conditions and clean up the community. Funding Source: Tax Increment Financing Estimated Cost: $50,000+(annually) Project 10: Infrastructure and Urban Design Improvements Related to the Marina/Waterfront area. Infrastructure improvements to facilitate the revitalization of the marina area as described in the Rodeo Specific Plan. Contra Crista County Redevelopment Agency -40 2000-2004 AB 1290 Implementation Plan Fundingource: Tax Increment Financing, other public agencies, private local funds, grants from federal, state and foundation sources. Estimated Cost: Project 11: Improvements to Existing Park Facilities. Project may include improving the multi-purpose room at Lefty Gomez Park. This project would include electrical and structural upgrades and exterior improvements. Funding Source: Tax Increment Financing, County Service Area funds. Estimated Cost: Project 12: Rodeo Senior Center Improvements. The Agency will provide funds to improve the Rodeo Senior Center Fagade and to finance upgrades to the building system (i.e., electric, roof, and plumbing). Funding Source: Tax Increment Financing Estimated Cost: $50,000 Project 13: Weed and Seed Program. A collaborative effort of county law enforcement, social service, housing and economic development providers, Rodeo residents, local community-based organizations, and other relevant groups formed to prevent crime, empower youth, and revitalize the neighborhood. Rodeo (along with North Richmond) was designated as a geed and Seed area in 1998. Funding Source: State and Federal Funds, Foundation Grants and Loans, Tax Increment Revenue, and Private Sector Funds Estimated Cost: $250,000+ Annually Project 14. Downtown Development Catalyst, including the possible initiation of strategic land assemblage activities, identification of a master developer and pubic improvements. This project would be designed to proactively implement the goals and policies of the Rodeo Waterfront/Downtown Specific Plan. Funding Source: Tax Increment, Private Funds, and Mello-Roos Estimated Cost: $20 million Centra Costa County Redevelopment Agency -41 2000-2004 AB 1290 Implementation Plan ......................................................... _ �G Contra Costa County Redevelopment Agency 42 20W-2004 AB 1290 Implementation Ilan ............................................................... _.. _.._ ................................................... ,V7 4.1(E) ELII#+IINATIoN OF B uGHT The proposed redevelopment strategy and identified projects will provide several public benefits, as follows: 1. The infrastructure improvements will eliminate a serious blighting influence in the Project Area. As described in the documents set forth in Exhibit VIII (which documents are incorporated into this plan by this reference), the Project Area is characterized by inadequate public improvements, public facilities, open spaces, and utilities which have a damaging physical and economic impact on the Project Area. The proposed infrastructure and open space projects listed above are designed to address these classic examples of blighting conditions. 2. The Implementation Plan will provide improved roadways, clean-up and beautification activities, open space improvements, and commercial/retail development and improvements opportunities, thereby providing a catalyst for private reinvestment in the Project Area. 3. The Implementation Plan will serve goals and objectives set forth in Part IV of the Redevelopment Plan, including goals and objectives related to: a. Facilitate New Employment generating Land Use Development and Enhance Existing Employment generating Land Use Area. b. Provide circulation and transportation improvements. C. Construct or Rehabilitate Public Facilities. d. Provide Infrastructure Improvements. 4.2 HOUSING COMPONENT 4.2(A) POPULATION PROFILE/SOCIOECONOMIC PROFILE According to the 1990 Census, the population of Rodeo included 4,476 people living in 1,800 households. The majority of these individuals (83 percent) lived in family households. The average household size was 2.49 persons. About 50 percent of households received public assistance in the Rodeo Project Area and 659 persons, 15 percent of the papulation, were living below the poverty line. Contra Costa County Redevelopment Agency 43 2000-2004 AB 1290 Implementation Plan _1111_.. ......... 1.11.1 .. ... .................._..... ......... ......... ....._... ......... .......__.. ......... ......... ........ . _ .... ...._.._. ....... ......__. ..........._.....__._....... Jf-Jl w '9' HOUSING CHARACTERLS cs/NEEDs ANALYSIS The 1990 Census reported a total of 1,884 housing units in the Rodeo Redevelopment Project Area. Approximately 1,241 housing units were single family detached units, 561 were multifamily units, and the remaining four percent were mobile homes and other types of housing. Rodeo's housing stock consists principally of single family homes (66 percent) which vary in style from 1930's bungalows to relatively new housing built in the 1960's to 1980's. The Report on the Redevelopment Plan indicated that 51 percent of the housing units in the Census Tract were built prior to 1950 and about 25 percent were built prior to 1940. This data reflects' conditions that still exist in the central part of the Project Area. A small percentage of the older housing stock is in need of some level rehabilitation. The Agency estimates that approximately> five percent of the existing single family dwellings could use some level;of rehabilitation and two percent need substantial rehabilitation(costing$25,000 or more). Most of the multifamily units are public housing and are generally well maintained. The Bayo Vista public housing development containing 250 units was extensively modernized in 1991. LEVET,OF HOUSING NEED Excessive cost burden is a significant housing problem in the Project Area. A cost burden exists if a household pays more than 30 percent of gross household income for housing. According to the 1990 Census, both renter and owner households in Contra Costa County are cost burdened. Renters are more cost burdened than owners, with 44 percent of renter households having housing costs in excess of 30 percent. Among renters in Rodeo, 40 percent of the households spend 30 percent or more of household income for rent. RESiDENTIAL MARKET CONDITIONS Based on analysis of real estate sales data, listings of properties for sale, and rental listings in the Contra Costa Times, there are limited opportunities for new home purchases in Rodeo. The average priced new home was $192,040 in October 1994. This is 79 percent of the County's average sale price of$244,383. There were no listings for any type of multifamily dwellings during the week real estate data was collected. 4.2(B) HOUSING REQUIREMENTS AND STRATEGIES This section constitutes the Housing Production Plan for the Rodeo Redevelopment Project Area as required under the California Community Redevelopment Law (CRL). The Contra Costa County Redevelopment Agency expects to meet its legal housing production obligations under CRL requirements pursuant to AB 315 and AB 12.90 in Rodeo Project Area. Part of the report discusses specific housing production obligations of the Agency in the Project Area since adoption of the Redevelopment Plan in 1990 to the end of the Plan in 2030. Contra Costa County Redevelopment Agency -44 2000-2004 AB 1290 Implementation Plan _. _. ................................................................................... ..................................... The first part describes historical housing production within the Project Area from the start of the Project in 1990 through 1999. The second part discusses future housing production within the Project Area as follows: • Annual production goals for the next five years(1999 to 2004 ) • Projected production over the next ten year compliance period (1995 to 2004) • Projected production through the life of the Plan (2005 to 2030) The third and fourth part discusses affordable housing production and replacement housing in the Project Area and the Agency's strategy for meeting its affordable production and replacement obligation. HISTORICAL HoUSIN+G PRODUCTION Historically, from the adoption of the Plan in 1990 through 1999, the Agency has determined that a total of 39 new housing units were developed in the Project Area (see Table 4-1 below). To date, the Agency has not directly produced or assisted in the development of any dwelling units in the Project Area. TABU 4-1 Housing Production Summary Historical and Projected `fatal Units Produced Year New Rehabilitated Total historical 1990-1999 39 30 69 I'ro'ected 2000-2004 108 15 123 2005-2009 0 15 15' 2009-2030 0 60 60' Total 1990-2030 147 60 207 Source:Contra Costa County Redevelopment Agency. Projections based on potential residential buildout. NEW CoNSTRumom. MULTI-FAMILY Since 1990, the Agency has determined that 14 multifamily units have been developed in the Project Area. These units are located in the mixed-use corridor on the northern side of Parker Avenue between Fifth and Seventh Street. All of these units were privatelybuilt without Agency assistance, and have no recorded affordability controls. Constriction of 50-unit senior rental housing development is proposed in year 2000. The site is a Contra Costa County Redevelopment Agency 45 2000-2004 AB 1290 Implementation Ptah _.... _._. 1.1-acre parcel located at the intersection of San Pablo, Parker and Willow Avenues. Approximately 24 units will be reserved for very low-income senior households and the remaining will be available to mpderate=income. To date, the Agency has;acquired the site and rezoned the area to a Planned Unit Development. This zoning allows for multi-family residential' development of no greater than 50 units per acre. The Rodeo Citizens for Affordable Senior Housing(R-CASH), was formed to work with Ecumenical Association for Housing (EAH), the developer, to implement the project. NEW CONSTRUCTION. SINGLE-FAMILY Since 1990, the Agency has determined that 25 new single family homes have been constructed on scattered infill sites in the Project Area. All of these units were privately built without Agency assistance, and have no recorded affordability controls. The constructions of 58 single-family homes are proposed to be completed and ready for occupancy in early 2000. The homes are located on a 5.98 acres site bounded by Willow Avenue, Parker Avenue, Seventh Street and Rodeo Creek. Fifteen percent of these homes are subject to the Agency's Inclusionary requirement for moderate-income families. SUBSTANTIAL.REHABILITATION The Agency has not assisted in the rehabilitation of any housing units to date. The Housing Authority's residential rehabilitation program has assisted in the rehabilitation of six single- family rental units. Based on analysis of the County Assessor and Building';Department records, 30 housing units have been substantially rehabilitated in the Project Area since the adoption of the Plan in 1990. Residential rehabilitation assistance to two existing is provided by two existing programs in the county. The Building Inspection Department administers the Neighborhood Preservation Program which provides funds for the rehabilitation of single-family ownership housing; and the Housing Authority administers a rehabilitation program for multifamily rental units. Both of these programs utilize HOME and CDBG funds as well as provide matching grants from private investors. These programs provide low interest loans with terms dependent on the feasibility of the project and are reserved for rehabilitation projects targeting very low and low-income households. Occupancy and affordability restrictions apply. PROJECTED FUTURE HOUSING PRODUCTION Based on an analysis for potential new development on existing vacant residential parcels as currently provided for in the General Plan, the potential for Federal and State funding and the anticipated date of development, the Agency has developed a projection for the number of units likely to be built in the Rodeo Project Area over the remaining ten years compliance period, 1995 to 2004, and through the life of the Plan, 2005 to 2030. Table 4-1 on page 39 also summarizes the future housing projection within the Project Area. Contra Costa County Redevelopment Agency -46 2000-2004 AB 1290 Implementation Plan _..... .... ............................................................................. .................................. .., �i The Rodeo Redevelopment Project Area is largely built-out, there is limited potential for new residential development in the future. The Project Area has approximately eight acres of vacant developable residential land. There are a few contiguous parcels, which offer the potential for assembly into sizable building sites. The majority of the acreage is in the downtown mixed-use corridor. Table 4-2 below provides a summary of available vacant parcels and potential residential buildout. TABLE 4-Z Potential Housing Production on Vacant Residential Land Parcel Number General Flan Discri tion Acres Potential units 357-252-014 SH 5.0-7.2 DU/Acre 1.11 7 357-194-001 SH 5.0-7.2 DU/Acre 0.8 5 357-260-027 SH 5.0-7.2 DU/Acre 0.4 2 357-281-005 SH 5.0-7.2 DU/Acre 0.31 2 357-191-013 ML 7.3-11.9 DU/Acre 0.26 2 357-171-002 MH 21.0-29.9 DU/Acre 0.113 Total -Large Parcels 2.99 21 Total - Small Parcels 5.29 39 Total-All Parcels 8.28 60 Single-Family Total 6.83 40 Multi-Family Total 1.45 20 Source:Contra Costa County Redevelopment Agency. Based on the mid-points of the General Plan density ranges. The Agency estimates that 60 new residential units, 40 single family units and 20 multifamily units, could be developed in the Project Area based on the amount of vaunt developable land available for residential uses. The Agency is exploring opportunities for residential development on currently underutilized parcels. in addition, the Agency continues to pursue the development of the Downtown/Waterfront Specific Plan process, although potential for housing development is uncertain at this time. FrvE YEAR ANNUAL HOUSING ftom Mort GOALS: 2040 To 2044 The Agency plans to achieve the fallowing annual housing production goals over the next five years: 2040 Construction will be completed on a 58-unit single family housing development with 15% of the units affordable for moderate income families. The homes are located on a 6.98 acres site bounded by Willow Avenue, Parker Avenue, Seventh Street and Rodeo Creep. Contra Costa County Redevelopment Agency -47 2000-2004 AB 1290 Implementation Plan _. _ A 50 unit of senior rental housing development for very low and moderate income senior households is anticipated for construction. 2001 The Agency will continue planning efforts for an Affordable Housing Production' Strategy to meet'the inclusionary redevelopment requirement of 15 percent; affordable and 6 percent very low and to evaluate programs for the productionlrehabilitation of affordable housing units in the future. The Agency plans to evaluate the status and potential of the following program; • Assess feasibility of establishing a homebuyer assistance program; and + A rehabilitation program in Rodeo. 2002 The Agency will develop a tracking program for development production and rehabilitation in the Project Area. 2003 The Agency will begin an analysis of infill parcels for first time homebuyer and other special needs housing for the Project Area. If the Waterfront/Downtown Specific Plan is implemented, the Agency will encourage new home ownership housing production based on the Specific Plan. 2004 If infill and Specific Plan area development potential provefeasible, the Agency will initiate soliciting a developer(s) for the project(s). PROJECTED NEw UNITS: 1995 TO 2004, TEN-YEAR PRODUCTION PERIOD Based on analysis of property valuation and building permit records from 1995 to 1999, 39 new units of housing were developed in the Rodeo Project Area. Between 1999 and 2004, the Agency projects that a total of 108 new dwelling units will be developed in the Project Area. Approximately 50 of these units will be multifamily senior housing and the remaining 58 would be single family units. PROJECTED UNITS: 2005 TO 2030, PROJECTED LIFE PRODUCTION Based on the inventory of remaining vacant developable residential land, the Agency concludes that no additional housing units can be developed within the Project Area from 2005 through the life of the Plan in. 2030. Any new housing units would have to be developed on underutilized land. AFFORDABLE HOUSING PRODUCTION The Agency has not and does not plan to directly produce or rehabilitate any dwelling units in the Rodeo Project Area. Consequently, the 15 percent affordable housing production obligation applies under the CRL. The Agency has found it most cost effective and administratively Contra Costa County Redevelopment Agency -48 2000-2004 AB 1290 Implementation Plan ........ efficient to provide financial assistance, as necessary, to private developers (both for profit and nonprofit) and homeowners to produce and rehabilitate affordable housing, than for the Agency to act as a housing developer. Table 4-3 below shows historical and projected housing production, as well as the affordable obligation incurred by the Agency. TABLE 4-3 Historical+& Projected Housing Production & Affordable Obligation Affordable Obli tion** Affordable Production Production S lus cit Only Total-Very Chi! Total-Very Total-Very Year Total Units* y Low Low y Low Low& Y L,ow,Low& Very Low Moderate Very Low Moderate Very Low Moderate Historical- 1990-1999 39 2 5 0 0 (2) (5 Projected Totals- 2000-2004 108 6 14 24 35 1$ 2l 1990-2030 108 6 14 24 35 18 21 Source:Contra Costa County Redevelopment Agency&building Dept. *Based on General flan Projections. **As required by Community Redevelopment Law. The Agency has not yet met its 15% affordable housing production requirements in Rodeo for the historical period 1990 to 1999. There is currently a small affordable',production deficit of five low and moderate units and two very low-income units. These restricted affordability requirements will be made up over the ten-year compliance period. All 39 new units produced in the Project Area from 1990 to 1999 were constructed privately without affordability restrictions. The Agency will meet its 15% affordable production requirement on an aggregate level over the ten-year compliance period, 1995 to 2004, as required by law. Of the 108 new units expected to be developed within the Project Area in the next ten years, 35 units will be affordable to low and moderate-income households and 24 units will be affordable to very low-income households. At the end of the ten-year compliance period (2004), 32% of the units constructed will be affordable to low and moderate-income households and 22% will be affordable to very low-income households. From 2005 through the end of the Project in 2030, the Agency does not 'anticipate that it will incur an additional affordable obligation as no new units are expected to be developed. REPLACEMENT HOUSING OBLIGATION No housing units have been removed from the Project Area to date. Consequently, the Agency has not incurred a replacement-housing obligation. The Agency intends to implement its activities to require the minimum relocation of persons consistent with achievement of the goals and objectives of the flan. At this point, the Agency has no pians to demolish or relocate any housing units. Contra Costa County Redevelopment Agency 49 2000-2004 AB 1290 Implementation Plan 4.2(C)AFFORUABILM GAP ANALYSIS Based on income information from the 1990 Census, a typical householdin Rodeo earns about 66 percent of the typical countywide household income. This means that Rodeo residents cannot afford to pay as much to either rent or purchase housing as most other County residents. Even though housing in Rodeo is relatively less expensive than the County, it is still too expensive for many Rodeo residents. As discussed previously, Federal and State programs use three primary definitions of affordability: very low income (households earning up to 50% of countywide median income), low income (households earning between 51% and up to 80% of countywide median income) and moderate income (households earning over 120% of countywide median income). These definitions are used as a standard for administering Federal and State housing programs, including Tax Increment funds. The Federal Department of Housing and Urban Development (HUD) <publishes the median income, adjusted by family size, for Contra Costa County each year. In 1994, the Contra Costa County median income is $55,300 for a family of four. Workers who are employed at such jobs as food preparers, nursing aides, truck drivers, accounting clerks and secretaries typically earn less than 50% of the County median income and are considered very low income. In Rodeo, a typical four-person household (including bath owners and renters) is estimated to earn about 66%of the County median, or $36,300 in 19941. Renter households are estimated to earn significantly less, about $25,700 in 1994. Based on commonly used mortgage qualifying standards, a typical four-person household in Rodeo could afford to pay about $95,500 to purchase a house3. The current estimated average cost of purchasing a house in Rodeo is about $192,000. Therefore, a typical four person household cannot afford even one half the cost of a new house in Rodeo.', Furthermore, half of the households who live in Rodeos will earn less than this typical household4. For example, a renter household typically earning $25,700 annually could only afford to purchase a house which was priced at about $57,900. Furthermore, new housing in Rodeo is typically more expensive than the Rodeo average, and most households in Rodeo cannot afford to pay the average price for housing in the County, currently estimated at $192,000. As shown in Graph 4-1 below, an "affordability gap" exists between what some Rodeo households can afford to pay and the cost of purchasing a home in Rodeo and in the County. Contra Costa County Redevelopment Agency -50 2000-2004 AB 1290 Implementation flan GRAPH 4-1 H©UsING PRICES& AFFIJRDABII..ITY Co vIPAmoN RODEO VS. CONTRA COSTA COUNTY $300,000 $250,000 $200,000 $150,000 ' $100,000 $50,000 $0 k County Rodeo Typical Renter Household Household 1994 Average louse values Affordable Housing Prices Graph 4-2 below shows a similar affordability gap analysis comparing the difference between the cost of rental housing and what typical renter households can afford to pay. A typical renter household in Rodeo can afford to pay about $510 per month for rent. However, half of the Rodeo renter households earn less than the typical renter household. For example, renters who earn at or below 50% of the median renter income in Rodeo, considered very lova income for purposes of this analysis, can only afford to pay about $235 per month'; in rent. The current average rent in Rodeo is currently about $459 per month. GRAPH 4-2 HousiNG PRICES& AFFoRDA.BILITY CONVARISON RODEO VS. CONTRA COSTA COUNTY $800 $700 $600 $500 .. $400 $300 $200 { $100 $0 County Rodeo Typical Renter Very Low Household Income Resters 1994 Average Rent Affordable hent Contra Costa County Redevelopment Agency -51 2000-2004 AB 1290 Implementation Plan The current cast of rental housing in Rodeo is estimated to average $459 per month. This is about 64 percent of the average cost to rent in the County. Thus, a typical Rodeo renter household can afford to rent in Rodeo, but not in the County. However, a very low-income renter household cannot afford the typical cost to rent in Rodeo and would be considered cost burdened if it had to pay the average rent. HOUSING SET-ASIDE FUNIS The primary funding source for the Agency's affordable housing 'activities during the Implementation Plan period will be the 20 percent portion of annual tax increment revenue deposited by the Agency into its Housing Fund, Table 44 below summarizes historical and projected Housing Set-Aside Fund deposits and expenditures from 1990 to 1994 and over the next ten years. The history, status and estimated level of future deposits to the Housing Fund are described below. TABLE 4-4 Housing Set-Aside Fund Balance Total Tax Required 20% Actual& Year Increment Housing Set- Proposed Fund Fund Balance Aside Deposit Historical-1990 to 1994 1989-FY1993/94 $756,243 1 $151,249 $151,.248 $158,280 1995-1999 FY 1994/95 $367,000 $73,400 $76,229 $158,000 FY 1995/96 $400,000 $80,000 $80,884 $244,000 FY 1996/97 $405,680 $81,136 $81,136 $337,000 FY 1997/98 $435,172 $87,034 $85,335 $436,000 FY 1998/99 $457,515 $91,503 $93,276 • $70,555 Total- $2,065,366 $413,073 $416,860 N/A Future-2000-2004 FY 1999/2000 $509,000 $101,800 $102,000 $0 FY 2000/01 $518,000 $103,600 $103,600 $0 FY 2001/02 $525,000 $105,000 $105,000 $0 FY 2002/03 $533,000 $106,600 $107,000 $0 FY 2003/04 $542,000 $108,400 $108,400 $0 Total- $2,627,000 $525,400 $526,000 N/A Total 199,-2004 $5,448,619 $1,089,722 $1,094,108 N/A Source:Contra Costa County Redevelopment Agency. Totals are prior to Pass-Through Agreements and other financial obligations. Non-housing program funds available after payment of fiscal agreements and other financial obligations. Fund balance amounts reflect carryover amounts form the fiscal years budget "Fund amount reflects$453,000 drawn to purchase property for senior housing development. HISTORY AND STATUS From 1990 to 1999, the Agency has allocated at least 20% of the cumulative tax increment revenue to the Housing Set-Aside Fund. Over this period, the Agency has made deposits to the Housing Fund in the amount of$564,322. Contra Costa County Redevelopment Agency -52 2000-.2004 AB 1290 Implementation flan As of the beginning of Fiscal Year 1998/99, the Agency's Housing Fund was $74,555, which is expected to be programmed for housing activities. The level of unencumbered Mousing Fund deposits does not constitute an excess surplus. DEPOsrrs DURING Nom'TEN YEARS The Agency estimates that the total five-year(2000-2444) deposit of tax increment revenue into the Housing Fund will be $1,021,049, equal to 20°lo of the projected gross tax increment. The Agency plans to expend all of its available housing funds in the next five years.This projection assume that tax increment revenues will grow at about$24,400 annually over the next five years. PROPOSED HOUSING PROGRAMS& PROJECTED ExPENDITUREs The Agency recognizes the important role of housing programs and activities in its redevelopment program. Consequently, the proposed affordable housing programs should be viewed not simply as the means of implementing the Agency's stated goals and objectives related to affordable housing but as key elements in its overall revitalization efforts'. The Agency primarily intends to stimulate the production of new housing to strengthen the economic viability of the area. The Agency will expend the Housing Fund over the next ten years on the programs and activities described in this section and will focus its efforts to achieve the next five-year annual production goals. Table 4-5 below summarizes proposed housing production by income level through 2004 and illustrates that the Agency will meet its housing need targeting requirements. TABLE 4-5 Wts Padumd% tl Ftmds by hmm Assisted Y I�v„rr LOW 1 �e Total Affordaie LhitsPmd"d I hits % Chits °J° Ihits % Llufs 11stcxical- 1990-1998 0 0°l0 0 filo 0 00/- 0 I00�/0 . :.:..:................. eater!° 2000-Ml 74 4MIo 1 0 1 ONo 26 5r/o 50 1(1 :. .. Tc�t- 2448% 0 d°lo 26 59°l® . 3 1W°l° Source:Contra Costa County Redevelopment Agency&building Dept 1he Agency will seek to combine its blousing Fund revenue with other funning sources devoted to the provision of affordable housing to maximize the number of affordable units that can be developed or rehabilitated with the limited amount of available Housing;Funds. These other funding sources include Community Development dock Grants (CDBG) and HOME Investment Partnership funds from the U.S. Department of blousing and Urban Development, California Housing Finance Agency (CHFA) and Department of Dousing and Community Contra Costa County Redevelopment Agency -53 2000-2004 AB 1290 Implementation Plan c' Development (HCD) program funds at the State level, and low income housing tax credit equity funds. Any other loans, grants, or financial assistance from any other public or private source may be utilized if available. 4.2(D) SPECEFIC PROJECT AREA GOALS The housing programs undertaken in the Project Area by Agency and non-Agency developers will address the goals and policies set forth in the Dousing Element as described in Chapter 2.0. The Rodeo Redevelopment Plan is designed to achieve five major goals. The fourth goal applies to housing and states: the Plan seeks to upgrade existing older residential neighborhoods through the rehabilitation of a substantial number of existing housing units, the facilitation of infill housing construction, and development of neighborhood amenities such as landscaping and parks. Objective 5 of the Redevelopment Plan states: the Agency shall assist in new affordable housing development and strengthen existing residential neighborhoods. In order to accomplish this objective, the Redevelopment Agency will: • Promote, assist in financing and provide subsidies for the development of affordable housing in the Project Area; • Acquire, assemble, prepare, and dispose of parcels for housing development; • Provide rehabilitation loans for owners of housing; • Promote, assist in financing and provide subsidies for the development of infill housing; and, • Assist in the provision of adequate infrastructure to serve residential areas. The Agency also has its own goals for affordable housing activities within the Project Area. If plans to develop an affordable housing production strategy to meet the inclusionary redevelopment requirement of 15% affordable and 6% very low-income units. It also plans to develop a tracking program for new development production in the Project Area. Contra Costa County Redevelopment Agency -54 2000-2004 AB 1290 Implementation Plan _44Y -(t r .0 PLEASANT HILI. BART STATION The Pleasant Hill BART Station Area Redevelopment Project Area was adopted by Ordinance No. 84-30 on July 10, 1984. An Amended and Restated Pleasant HillBART Station Area Redevelopment Plan was adopted by Ordinance 88-58 on July 19, 1988. The Pleasant Hill BART Project Area consists of approximately 130 acres of land. The Project Area is generally bounded on the west by the 680 Freeway, on the east by the former Southern Pacific right-of- way, on the north by the south property line of properties fronting Coggins Drive, and on the south by Jones Road. One finger extends east along the north side of Treat Boulevard to Walnut Creek Channel. Another finger extends north along a former railroad right of way to Mayhew Drive. Map 5-1 on page 48 details the Pleasant Hill BART Redevelopment;Project Area. The Pleasant Hill BART Station project was explicitly designed to reduce regional traffic by locating new office and housing development next to a regional transportation hub. The master planned community provides a balance of jobs and housing. At completion the Station Area will consist of approximately 2.5 million square feet of office and commercial development and over 1,200 residential units (an additional 900 residential units are outside the redevelopment project boundaries, but are contiguous to the Station Area). The Pleasant Hill BART Station Area is an emerging model for the development of suburban employment/housing centers next to transportation facilities. The Pleasant Hill BART Station Area, in 1984, primarily consisted of low'-density single family housing development. Because of the location of the BART system and the proximity of the Project Area to major arterial streets and the 580 Freeway, the Project Area is one, which logically should be developed with relatively high-density office/commercial and residential uses. To that end,the County of Contra Costa, in cooperation of the surrounding cities, and local property downers and homeowners, undertook a joint planning process to detail the allowable land uses and densities in the Project Area. The Specific Plan also detailed the nature and extent of some of the public improvements, which must be constructed in order to allow development of the Project Area to take place in the manner contemplated in the Specific Plan. The County then adopted the Pleasant Hill BART Station Area Redevelopment Project Area to facilitate the implementation of the Specific P,Ian. Using a similar process, the County updated and amended the Pleasant Hill BART Station Area Specific Plan in 1998. In accordance with CRL, the Pleasant Hill BART Station Area Redevelopment Plan was designed to achieve the following overall goals and objectives relative to land use and development and transportation and urban design. Land Use and Development There are eleven goals identified: (1) increase the concentration of high intensity employment uses and housing in the Project Area to benefit the community and to better utilize the regional transit accessibility provided by BART; (2) integrate housing into the Project Area wherever environmental constraints or overall land use considerations do not preclude it; (3) provide sufficient retail, commercial, public services and public open Contra Costa County Redevelopment Agency -55 2000-2004 AB 1290 Implementation Plan eplo MAI'S-1 PLEASANT HILL BART STATION Contra Costa County Redevelopment Agency -56 2000-2004 AB 1.290 Implementation Plan _... ... _........ ......... _...._... ......... ......... ...._.... ......... ......... ......... ......._. ......... ......._. ............ .__........ ..................._.._..............._......................_....... .. .... ........ ..... t space amenities for the Project Area; (4) prevent preemption of land suitable for intensification by low intensity development or uses which will not contribute to increased regional and local transit usage; (5) prevent underutilizaticn of the Project Area land supply and a discordant development pattern by either assemblage of small parcels into functionally viable sites or cooperative planning and development by groups of contiguous property owners; (6) achieve cooperative development actions by BART and private sector which will more fully utilize the Project Area resources; (7) protect housing within and adjacent to the Project Area from adverse effects of intensification including noise, traffic intrusions, parking conflicts, visual incompatibilities and obstruction of sunlight; (8) provide for the partial public recapture of value created by BART and other public investment so that these revenues can be used to support further public improvements;(9) achieve an equitable distribution among area property owners of area-wide development costs required to facilitate intensification of uses in the Project Area;(10) provide childcare facilities to serve the expanding population of the Project Area; and (11) provide low- and moderate-income housing as required to achieve a balance of jobs and affordable housing for the effective redevelopment of the entire Project Area, including provision of such housing in the area generally bounded by Las Juntas Way, Coggins Drive and Oak Road. Transportation and Circulation There are six goals identified: (1) maximize use of and improve public transit as a means of transportation; (2) improve, where feasible, automobile access to the BART station and other alternative transportation modes (pedestrian, bicycle, Icar pools, etc.) and discourage through auto traffic in the Project Area which would preempt roadway capacity needed to serve the BART facility and land uses in the Project Area; (3) provide for safe and convenient pedestrian movement within and in and out of the Project Area; (4) provide for BART parking facilities to levels which will avoid overflow of parked vehicles to nearby residential areas, be consistent with the objective of encouraging local transit use for BART access, and not generate traffic congestion jproblems which will impede attraction of transit dependent development of the Project, Area; (5) encourage reductions in long-term employee parking for commercial uses in the Project Area; and (6) provide for the integration of proposed regional rail systems within the former Southern Pacific Railroad right of way into and through the Project Area. Urban Design There are six goals identified: (1) promote an appearance which will project a positive image and have high regional and local identity; (2) provide for an appearance which both contrasts with and complements adjoining areas: (3) Protect major stands and individual specimens of native oaks and make the trees a major design feature of the Project Area, and protect other natural environmental resources to the extent feasible; (4) provide for a network of public open spaces (parks and urban plazas) to promote a unified sense of development and provide for other amenities in the Project Area; (5) maintain views to Mr. Diablo and other distant but dominant natural features from the BART platform; and (6) ensure that buildings and related site improvements through the Project Area are well designed and functionally and visually compatible with their surroundings. Contra Costa County Redevelopment Agency -57 2000-2004 AB 1290 Implementation Plan 5.1 NON-HOUSING COMPONENT The non-housing component of the implementation plan must address the fallowing three issues. (1) Specific goals and objectives for the next five years; (2) Specific programs, including a program of activities and expenditures to be made within the next five years of the plan; and (3) An explanation of how the goals, objectives, programs and expenditures will eliminate blight. 5.1(A) GOALS,OwEc Ivs,PRoGRAms AND ExPENDrruREs The proposed redevelopment strategy consists of two program component areas: (1) Public Facilities and Infrastructure; and (2) Community Facilities, which are in the Redevelopment Agency's jurisdiction of service and intervention. Redevelopment objectives and goals for the improvement projects are detailed for the above Redevelopment Plan component areas for a five-year implementation 'plan. The goals and objectives reflect the priorities of the Redevelopment Plan and the Agency. The goals and objectives will be evaluated periodically to ensure their continued applicability to non-housing needs within the Redevelopment Project Area and will be modified as necessary to be responsive to changes in the nature and extent of the non-housing needs. 5.1(B) GOALS The goals and strategies are derived from the priorities stated in the Redevelopment Plan to promote the non-housing component of the Redevelopment Project Area. Goal 1 Continue access and infrastructure improvements necessary to facilitate development. Goal 2 To expand and improve public facilities. Goal Encourage and support public-private partnerships that address community needs. Goal 4 .Encourage and support citizen participation. Gaal 5 Capitalize on existing and future financing resources and opportunities. Goal 6 Eliminate blighting influences and remove impediments to development. 5.1(C)OBJEcrIVES Contra Costa County Redevelopment Agency -58 2000-2004 AB 1290 Implementation Plan The following objectives are intended to provide a framework for efforts to attain the goals outlined above. Objective 1 Implement improvements which will promote alternative forms of access to the area from the North and determine the Preferred Projects. Objective 2 Complete remaining planned infrastructure improvements through property acquisition, road, drainage and sewer improvements in the Project Area. infrastructure improvements are required to facilitate development, enhance appearance and safety, and to further enhance the access to the station area by alternative modes. Objective 3 Continue to undertake a Transportation Demand Management (TDM) Program. A TDM Program is necessary to reduce trip generation and to facilitate the use of public transit. Objective 4 Provide the final section of regional pedestrian trail jline. Objective 5 Encourage and facilitate the establishment of public facilities and open space amenities that are consistent with the transit based development concept. SA(D)PROJECTS The fallowing are specific projects proposed to achieve and implement the aforementioned goals and objectives. However, depending upon unforeseen circumstances, the Agency may participate in other activities to most fully redevelop the Pleasant Hill area. Included with each project is the proposed funding source, time frame in which the project is to be implemented, and estimated total project cost. Between 2000 and 2004, the Agency is projected to receive a cumulative total of$10,978,000 in non-housing tax increment funds, equal to 80% of gross tax increments. The Agency's planned programs, as follows, for the Pleasant Hill BART Redevelopment Project Area greatly exceeds the projected tax increment revenue stream. Therefore, the Agency expects to seek applicable Federal, State, other local and private funding necessary to bring these programs to fruition. See Housing Set-Aside Fund discussion for further information. PROJECTS PROPOSER FOR THE 2000-2004 Iivf€'LEMEIVTATION PLAN: Project 1 Pedestrian/Bicycle Overcrossing Program, including the iron Horse Trail Crossing of Treat Blvd., and a pedestrian crossing at Treat Blvd. and Oak Road. Additional pedestrian/bicycle links to the east and west are being evaluated for longer-term implementation. Contra Costa County Redevelopment Agency -59 2000-2004 AB 1290 Implementation Pian Funding Source: Tax Increment Revenue, Developer Fees, Mello- Roos Proceeds, Federal and/or State Transportation funds, and Measure C funds. Estimated Cost: $6 Million Project 2 Complete construction of Iron Horse Trail links along the former Southern Pacific right of way between Hookston and Mayhew, including business relocation. Funding Source: Tax Increment Revenue Estimated Cost: $500,000 Project 3 BART property development assistance, including construction of BART patron replacement parking structure, public infrastructure, and public benefit facilities. Funding Source: Estimated Cost: $15 Million Project 4 Greenspace/Respite improvements. Funding Source_: Park Dedication funds, Tax Increment Revenue and Property Owner Donations. Estimated Cost: $2,000,000 5.1(E) ELIMINATION OF BLIGHT The proposed redevelopment strategy and identified projects will provide several public benefits, as follows: I. The infrastructure improvements will eliminate a serious blighting influence in the Project Area. As described in the documents set forth in Exhibit 'VIII (which documents are incorporated into this plan by this reference), the Project Area is characterized by a lack of public infrastructure and improvements necessary to permit redevelopment of the area in the appropriate manner. The proposed infrastructure and open space projects listed above are classic examples of this documented blighting condition. Contra Costa County Redevelopment Agency -60 2000-2004 AB 1290 Implementation Plan _ 2. This Implementation Plan will provide an improved access and open space improvement, thereby providing a catalyst for private reinvestment in the Project Area. 3. The Implementation Plan will serve goals and objectives set forth in Part IV of the Redevelopment Plan, including goals and objectives related to: a. Improve alternative mode access to the BART station and discourage through auto traffic in the Project Area which would preempt roadway capacity needed to serve the BART facility and land uses in the Project Area; b. Provide for safe and convenient pedestrian movement within and in and out of the Project Area; and C. Provide for a network of public open spaces (parks and urban plazas) and facilities to promote a unified sense of development and provide for other amenities in the Project Area. 5.2 HousING COMPONENT 5.2(A) HOUSING CHARACTEI sacs AND RESIDENTIAL MARKET CONDITIONS According to a residential market study, there are currently over 2,000 multifamily apartments and condominiums in or around the Pleasant Hill BART Station Area. The market study indicated that market rents average $650 for a studio, $770 for a one- bedroom/one bath unit, and $1,020 for a two-bedroom/two-bath unit with a vacancy rate of three percent. Average new home prices are $117,000 for a one-bedroom/one-bath and $171,000 for a two-bedroom/two-bath unit. The study projects that the market area will generate a demand for 2,960 multifamily units between 1995 and 2000, and 2,180 multifamily units between 2000 and 2005. Based on an analysis of recent real estate sales and listings in the Contra Costa Times, residential activity in the adjacent cities of Pleasant Hill and Walnut Creek is active, and a variety of housing options are available. During a one-week period in October '1994, 21 sales were registered. Single-family sales prices during this period ranged from $154,000 to $388,000. The average sale price was $244,357, nearly equal to the County's overall average sale price of $244,3831. There were numerous listings during the target week for apartments, condominiums, townhouses, and single-family homes, some of which advertised proximity to BART as a feature. Condominiums and townhouses in the adjacent cities of Pleasant Hill and Walnut Creek had listed sale prices ranging from $100,000 to $279,500, with an average of$122,500. Contra Costa County Redevelopment Agency -61 2000-2004 AB 1290 Implementation Plan 5.2(B)HOUSING REQUIREMENTS AND STRATEGIES This section constitutes the Housing Production Plan for the Pleasant 'Hill Project Area as required under the California Community Redevelopment Law (CRL). The Contra Costa County Redevelopment Agency expects to meet its legal housing production obligations in the Project Area, including requirements adopted recently pursuant to AB 315 and AB 1290. This part of the report discusses the specific housing production obligations of the Agency in the Project Area since adoption of the Redevelopment Plan in 1984 to the end of the Plan in 2024. The first part describes historical housing production within the Project Area from the start of the Project in 1984 through 1994. The second part discusses future-housing production within the Project Area as follows: • Annual production goals for the next five years (2000 to 2004) • Projected production over the next ten year compliance period (2005 to 2009) • Projected production through the life of the Project (2009 to 2024) The third and fourth parts discuss affordable housing production and replacement housing in the Project Area and the Agency's strategy for meeting its inclusionary and replacement obligations. HISTORICAL,HOUSING PRODUCTION Historically, from 1984 through 1999, the Agency estimates that a total of 1042 housing units have been developed in the Project Area. The Agency has not directly produced any dwelling units historically and does not plan to directly produce any dwelling units in the future. Table 5-1 below summarizes the historical housing production in the Project Area. TABLE 5-1 Housing Production Summary Historical and Projected Total Units Produced Year NerveRehabilitated Total Historical 1984-1999 1042 0 1042 Projected 2000-2004 140 0 140 2005-2009 200 0 200 2009-2031 0 0 0 'k`<";a�:a?a\:,.*.. .<�:• :;;iC;;,$.!irz5,e::py?ki'ri �W£:+. ;;q%..%3):.t?',//5:frk ..`:, =1382 Total1984-2031 1382 0 Source:Contra Costa County Redevelopment Agency. *Projections based on potential residential buildout. Contra Costa County Redevelopment Agency -fit 2000.2004 AB 1290 Implementation Plan N,Fw CONST`RUCTIOm MULTI-FAMmY All 1,042 new residential developed in the Project Area were high density multifamily units. These included the 852 unit Park Regency apartment complex and the 150-condominium unit Wayside Plaza complex. An 86-unit affordable apartment project (Coggins Square) and a 54-unit market rate townhouse project should see construction completion in 2000-2001. NEW CONSTRUCTION: SINGLE-FAMILY Since the adoption of the Plan, no single-family units have been built in the Project Area. SUBSTANTIAL REHABILITATION No residential units have been rehabilitated in the Project Area either publicly or privately to date. Currently, the Agency has no plans to assist in residential rehabilitation activities in the Project Area in the next five years term. The Agency defers residential rehabilitation assistance to existing programs in the county. The Housing Authority administers a rehabilitation program for multifamily rental units. This program utilizes H011f and Cl_1BG funds as well as provide matching grants from private investors. The program provides low interest loans with terms dependent on the feasibility of the project and are reserved for rehabilitation projects targeting very low and low-income households. Occupancy and affordability restrictions apply. PROJECTED FUTURE HOUSING PRODUCTION The Agency has carefully evaluated the potential housing unit production that can occur in the Project Area throughout its life. Based on an analysis of the potential for new development on existing vacant residential parcels, the potential for Federal and State funding and the anticipated date of development, the Agency has developed a projection for the number of units likely to be built in the Pleasant Hill BART Station Project Area over the next ten years, 2000 to 2005, and through the life of the Plan, 2005 to 2024. Table 5-2 below shows the available vacant parcel and estimates residential buildout, and also summarizes the future housing production within the Project Area. TABLE 5-2 Potential Housing Production on Vacant residential Land Parcel Number General Plan Dktiptm Acres Potential units Sub Area 4-5 W 29.9-44.5 DLJ/Acre 4.9 140 Area 11-12 Mxed 11 2003 Total-All PaErcets 15.9 34U Source:Contra Costa County Redevelopment Agency Contra Costa County Redevelopment Agency -63 2000-2004 AB 1290 Implementation Flan The BART Joint Development site (Areas 11/12) is approximately 11 'acres of land with a Specific Plan land use designation of mixed use. No formal development approvals have been provided, however, the ultimate project is likely to be an integrated mixed-use project that would include residential (multi-family). An estimate of the number of units is 200. FIVE YEAR ANNUAL HOUSING PRODUCTION GOALS: 2000 To 2004 The Agency plans to achieve the following annual housing production goals over the next five years: 2000 The Coggins Square Apartments (86 units) is expected to be completed in 2000. At least the initial phase of the townhouses should be completed (approximately 70 units). The Agency will continue to distribute Housing, 'Set Aside to the Park Regency Apartments for the tenth year of its 15-year annual obligation to subsidize 134 very low-income units. 2001 The Agency distributes Housing Set-Aside funds to the Park Regency apartments for the 11th year of its 15-year annual obligation to subsidize 134 very low- income units. The Agency distributes its initial annual payment to the Coggins Square Apartment owner. 2002 The Agency distributes Housing Set-Aside funds to the Park Regency apartments for the 12th year of its 15-year annual obligation to subsidize 134 very low- income units. The Agency distributes its 2"d year payment to the Coggins Square Apartment owner. 2003 The Agency distributes Housing Set-Aside funds to the Park Regency apartments for the 13th year of its 15-year annual obligation to subsidize 134 very low income units. The Agency distributes its initial 3rd year payment to the Coggins Square Apartment owner. PROJECTED NEW UNITS: 2000 To 2009, TEN YEAR PRODUCTION PERIOD Between 2000 and 2009, the Agency projects that a total of 340 new housing units could be developed in the Project Area. The Agency anticipates that all new multifamily units could be developed in the next five years, between 2000 and 2004, however, the ,units on Areas 11/12 could be deferred until between 2004 and 2009. PROJECTED NEW UNITS: 2005 To 2024, PROJECTED L EEE PRODUCTION The Agency anticipates that full buildout will occur prior to 2005. Some rehabilitation may be appropriate to maintain unit quality and affordability. Should additional funds be available, opportunities for additional new construction assistance will be evaluated. Centra Costa County Redevelopment Agency -64 2000-2004 AB 1290 Implementation Plan �f b rt AFFORDABLE(INCLUSIONARY) HOUSING PRoT1UCTIUN The Agency has not and does not plan to directly produce or rehabilitate any dwelling units in the Pleasant Hill BART Station Project Area. Consequently, the 15 percent affordable housing production obligation under the CRL applies.2 The Agency has found it most cost effective and administratively efficient to provide financial assistance, as necessary, to private developers (both for profit and nonprofit) and homeowners to produce and rehabilitate affordable housing, than for the Agency to act as a housing developer. Table 5-3 below 'shows historical and projected housing production and the affordable obligation incurred by the Agency. TABLE 5-3 Historical & Projected Housing Production & Affordable Obligation Affordable t3bli ation** Affordable Production Production Su lus frcit Total-Very Total-Very Total-Very L Year Total Units* (7nLow,Low& Only Low,Low& rL Low,Low& Very ow Moderate Very Low Moderate Very Low Moderate Historical- 1984-1999 1042 63 157 134 134 71 (23 Projected Totals- 2000-2004 340 2l 51 86 86 65 35 1984-2.024 1382 84 208 220 220 136 12 Source:Contra Costa County Redevelopment Agency. *Based on General Plan projection and Agency assisted units. **As required by Community Redevelopment Law. The Agency currently has a 23-unit deficit in its affordable requirement in the Pleasant Hill BART Station Project Area. Historically, the Agency's 15 percent affordable housing obligation is 157 units, while 134 affordable units have been produced. The Agency has met its 6% very low-income housing production obligation and currently has a surplus of 71 units in this category. The Coggins Square Apartment project in 2000 will put the Agency in a surplus position. By 2004, more than 15 percent of housing units produced in the Project Area will be affordable to low and moderate-income households and most will be affordable to very low-income households. REPLACEMENT HOUSING OBLIGATION The Agency does not have a remaining replacement housing obligation, as all housing units that were historically removed from the Project Area have been replaced as required by Law. Redevelopment activities resulted in the removal of 57 housing units in 1984 and 36 units in 1988. The replacement units were produced in the Park Regency apartment development, which was completed in 1991. Table 5-4 below shows the units removed and replaced in the Project Area. The Agency does not anticipate that any housing units will be removed in the future. Contra Costa County Redevelopment Agency -65 2000-2004 AB 1290 Implementation Plan TABLE 5-4 Units Removed* Production Remaining Years Obligation V Low Low Moderate Other Total VeryLow Low Moderate Other Total (Deficit)Surplus** Historical- 1984** 8 8 27 14 57 0 0 1985 0 0 0 1986 0 0 0 1987 0 57 0 1988*** 2 8 17 9 36 0 0 1999 0 0 0 1990 0 0 0 1991 0 36 0 1992 0 0 0 1993 0 0 0 994 1 0 Subtotal- t0 16 -44---,.—L-- 23 93 93 0 Proiected- 1995-2005 0 0 0 Total- 10 f6 44 23 93 0 0 0 0 93 0 Source:Contra Costa County Redevelopment Agency. Contra Costa County Redevelopment A.gency -66 2000-2004 AB 1290 Implementation Plan W 5.2(C)AFFoRDABELrrY GAP ANALYsIs Federal and State programs use three primary definitions of affordability: very low income (households earning up to 50 percent of countywide median income), low income (households earning between 51 percent and up to 80 percent of countywide median income) and moderate income (households earning over 120 percent of countywide median income). These definitions are used as a standard for administering Federal and State housing programs, including Redevelopment Tax Increment funds. The Federal Department of Housing and Urban Development (HUD) publishes the median income, adjusted by family size, for Contra Costa County each year. In 1994, the Contra Costa County median income is $55,300 for a family of four. Workers who are employed at such jobs as food preparers, nursing aides, truck drivers, accounting clerks and secretaries typically earn less than 50 percent of the County median income and are considered very lbw income. Incomes of residents in the Pleasant Hill/ Walnut Creek Market area approximately reflect the conditions in the Pleasant Hill BART Project Area. A typical four person household in the market area (including both owners and renters) is estimated to earn $57,300 in 1994 which is more than 100 percent of the County median of$55,300. Renter households are estimated to earn significantly less, about $42,900 in 1994. This means that City of Pleasant Hill residents can afford to pay slightly more to rent or purchase housing than typical County residents. Based on commonly used mortgage qualifying standards, a typical four person household in the City could afford to pay about $151,300 to purchase a home. According to the 1994 market study, the current estimated average cost of purchasing a home in the market area is about $171,000 for a two bedroom condominium. Therefore, a typical four-person household can almost afford to buy a house in the market area. However, half of the households who live in the market area will earn less than this typical household. For example, a renter household typically earning $42,900 annually could only afford to purchase a house which was priced at about $112,900. Furthermore, new housing in the Pleasant Hill BART Station Area will typically be more expensive than the market area average due to higher land and development costs. As shown in Graph 5-1 below, an "affordability gap" exists between what some market area households can afford to pay and the cost of purchasing a home in the Pleasant Hill/Walnut Creek market area and in the County. Contra Costa County Redevelopment Agency -67 2000-2004 AB 1290 Implementation Plan .......... ......_. _. .. .. _._..... ................................................................. ..... GRAPH 5-1 HOUSING PRICES& AFFORDABILITY COMPARISON PLEASANT HILL BART vs. CONTRA COSTA CouNrrY $300,000 $250,000 $200,000 $150,000 4. M $100,000 s $50,000 kA $0 County Pleasant Hill Typical Renter BART Household Household 1994 Average House values Affordable Housing Prices Graph 5-2 shows a similar affordability gap analysis comparing the difference between the cost of rental housing and what typical renter households can afford to pay. So far, rents do not reflect the transit location; rather they reflect the market area rents. A typical renter household in the Pleasant Hill/Walnut Creek market area can afford to pay about $1,033 per month for rent. However, half of the renter households who live in the market area will earn less than the typical renter household. For example, renters who earn at or below 50% of the median renter income, considered very low income for purposes of this analysis, can only afford to pay about $496 per month in rent. GRAPH 5-2 HOUSING PRICES& AFFORDABILITY COMPARISON PLEASANT HILL BART vs. CONTRA COSTA COUNTY Housing Prices & Affordability Comparison: Pleasant Hill SART vs. Contra Costa County $1,500 $9,000 County pleasant Hill Typical Renter Very Low BART Household income Renters Contra Costa County Redevelopment Agency -E8 2000-2004 AB 1290 Implementation Plan J)'J '73, The current cost of rental housing in the market area is estimated to average $1,000 per month i6f a two-bedroom/two-bath apartment. This is about the same as the average cost to rent in the County. Thus, a typical renter household can afford to rent in the Project Area. However, a very low-income renter household cannot afford the typical cast to rent in the Project Area and would be considered cost burdened if it had to pay the average rent.6 5.2(D) HousiNG SET-ASIDE FUND The primary funding source for the Agency's affordable housing activities during the Implementation Plan period will be the 20 percent portion of annual tax increment revenue deposited by the Agency into its Housing Fund. Table 5-5 below summarizes historical and projected Housing Set-Aside Fund deposits and expenditures from 1984 to 1994 and over the next ten years. The history, status and estimated level of future deposits to the Housing Fund are described below. TABLE 5-5 Housing Set-Aside Fund_ Balance Total Tax Required 20% Actual& Year Increment Housing Set- Proposed Fund Fund Balance Aside Deposit Historical-1984 to 1994 1984-FY1993/94 $12,174,545 $2,434,909 $2,468,836 5328 1995-1999 4 FY 1994/95 $2,276,/0,00� $455,200 $473,317 $0 FY 1995/96 $2,588,000 $517,600 $525,245 $0 FY 1996/97 $2,641,000 $528,200 $532,579 $0 FY 1997/98 $2,720,561 $544,112 $544,112 $0 FY 1998/99 $2,891,639 $578,328 $578,328 $0 Total- $13,117,200 $2,623,440 $2,653,581 N/A Future-2000-2004 FY 1999/2000 $3,050,000 $610,000 $610,000 $0 FY 2000/01 $3,343,000 $668,600 $668,600 $fl FY 2001/02 $3,404,000 $680,800 $681,000 $0 FY 2002/03 $3,459,000 $691,800 $692,000 $0 FY 2003/04 $3,5L6,000 $703,200 $703,200 $0 Total- $16,772,000 $3,354,400 $3,354,800 N/A Total 1984-2004... .. $42,063,7. 5 _.... 45 $8,412,749 $8,477,217 N/A Source:Contra Costa County Redevelopment Agency/Building Dept.&Katz Mollis Fiscal Consultant Report March 1999 Totals are prior to Pass-Through Agreements and other financial obligations. Non-housing program funds available after payment of fiscal agreements and other financial obligations. Fund balance amounts reflect carryover amounts form the fiscal years budget. Contra Costa County Redevelopment Agency -69 2000-2004 AB 1290 Implementation Plan HISTORY AND STATUS From 1984 to 1994, the Agency has allocated at least 20% of the cumulative tax increment revenue to the Housing Set-Aside Fund. Over this period, the Agency has made deposits to the Housing Fund in the amount of $5,122,417. At the beginning of Fiscal Year 1999/04, the Housing Fund had a balance of$4. The Agency has not assisted in the rehabilitation or development of housing units to date. . DEPOSITS DURING NEXT TEN YEARS The Agency estimates that the total five-year(2000-2004) deposit of tax increment revenue into the Housing Fund will be $8,477,217. This projection assumes that tax increment will grow at about $50,444 annually over the next five years (using a conservative estimate). The Agency plans to expend all of its available housing funds in the next ten years. (The Agency has already contractually committed all of its 20 percent Housing Set-Aside Funds, which are estimated to be available over the next ten years.) PROPOSED HOUSING PICOGRAMS& PROJECTED EXPENDITURES The Agency recognizes the important role of housing programs and activities in its redevelopment program. Consequently, the proposed affordable housing programs should be viewed not simply as the means of implementing the Agency's stated goals and objectives related to affordable housing but as key elements in its overall revitalization efforts. The Agency primarily intends to stimulate the production of new housing to strengthen the economic viability of the area. The Agency will expend the Housing Fund over the next ten years on the programs and activities described in this section and will focus its efforts to achieve the next five-year annual production goals. Table 5-6 below summarizes proposed housing production by income level through 2044 and illustrates that the Agency will meet its housing need targeting requirements. TABLE 5-6 Contra Costa County Redevelopment Agency -70 2000-2004 AB 1290 Implementation Plan Pleasant Hill BART Units Produced with Housing Funds bv Income Catepm Assisted Very Low Low Moderate Ttstal Affordable Units Produced Units % Units % Units % Units % 84- 0 ado 0 0 0% 1 I % t - - °/ J 0 Ja %a 00% Total- 182 1 92% 0.----I- 4% 16 8% 148 140•!6 Bray Point Units Produced with Housing Funds bv Income Category Assisted Very Low Low Moderate I Total Affordable Units Produced I Units % Units % Units % Furf,ts % istorical- - 99 0% 5°/ 1 3 1 75%° o`ect d- 9 - 4 % 17 7% $ 0% 63 1 120% Total- 1 27 40% 18 27% 22 33% 67 100% Source:Contra Costa County Redevelopment Agency&building Dept. The Agency will seek to combine its Housing Fund revenue with other funding sources devoted to the provision of affordable housing to maximize the number of affordable units that can be developed or rehabilitated with the limited amount of available Housing Funds. These other funding sources include Community Development Block Grants (CDBG) and HOME Investment Partnership funds from the U.S. Department of Housing and ',Urban Development, California Housing Finance Agency (CHFA) and Department of Housing and Community Development (HCD) program funds at the State level, and low income housing tax credit equity funds. Any other loans, grants, or financial assistance from any other public or private source may be utilized if available. 5.2(E) SPECr'IC PRo rEcr AREA GoALs The housing programs undertaken in the Project Area by Agency and non-Agency developers will address the goals and policies set forth in the Housing Element as described in Chapter 2.0. l be Redevelopment Plan states specific Agency goals and objectives for housing activities within the Project Area. In conformance with the General Plan and the Specific Plan, the following overall goals and objectives concerning housing development have been identified with respect to the Project Area: Contra Costa County Redevelopment Agency -71 2000-2004 AB 1290 Implementation Plan ■ Integrate housing into the Project Area wherever environmental constraints or overall land use considerations do not preclude it. • Protect housing within and adjacent to the Project Area from adverse effects of intensification including noise, traffic intrusions, parking conflicts, visual incompatibilities and obstruction of sunlight. • Provide low ar.d moderate income housing as required to achieve a balance of jobs and affordable housing for the effective redevelopment of the entire Project Area, including provision of such housing in the area generally bounded by Las Juntas Way, Coggins Drive, Oak Road and Wayside Lane. Contra Costa County Redevelopment Agency -72 2000-2004 AB 1290 Implementation Plan Z/? . r ; 6.0 BAY POINT The Bay Paint (formerly "West Pittsburg") Redevelopment Project Area was adopted by Ordinance No. 87-102 on December 29, 1987. The Bay Point Project Area consists of approximately 1550 acres of land. The Project Area is generally bounded on the east by the City of Pittsburg, on the south by State Route 4, on the west by Port ChicagoHighway, and on the north by Suisun Bay and the Sacramento Northern right-of-way. Map 6-1 on page 62 details the Bay Point Redevelopment Project Area. The Project Area is largely residential with commercial strips located along the major corridors and an industrial component located at midpoint. As a generally older area of East Contra Costa County, the Bay Point Redevelopment Project Area has seen little development in the last quarter century. As a result, the Project Area is characterized by many aging, deteriorating and poorly maintained structures; and inadequate and obsolete utilities, drainage, sewers and streets. The commercial areas are old and are in need of revitalization and increased investment. In accordance with CRL, the Bay Point Redevelopment Plan was designed to achieve five major goals. First, it is intended to stimulate new industrial development in the Project Area in order that it may become a productive and attractive economic center, providing jobs for community residents and enhancing the local tax base. Second, the Plan seeks to revitalize and expand commercial development in the area. Third, the Plan is intended to provide major infrastructure improvements in the Project Area in order to better serve the existing area residents and businesses, as well as to accommodate new residential, commercial, and industrial development. Fourth, the Plan seeks to upgrade the existing residential neighborhoods through rehabilitation of a substantial number of existing housing units, the facilitation of infill housing construction, and development of neighborhood parks and infrastructure improvements. Fifth, it seeks to stimulate the construction of new affordable housing in the Project Area. 6.1 NUN-HOUSING COMPONENT The non-housing component of the implementation plan must address the following three issues: (1) Specific goals and objectives for the next five years; (2) Specific programs, including a program of activities and expenditures to be made within the next five years of the plan; and (3) An explanation of how the goals, objectives, programs and expenditures will eliminate blight. Contra Costa County Redevelopment Agency -73 2000-2004 AB 1290 Implementation Flan t MAI'6-1 BAY POINT REDEVELOPMENT PROSECT AREA BOUNDARIES Centra Costa County Redevelopment Agency -74 2000-2004 AR 1290 Implementation Plan _.__. . _.._..::_ .......: . ...... ... . _. __ _ __ _....................... .. ....... ........ ......... ......... ........ . Objective 1 Improving the infrastructure through property acquisition, road, drainage, water and sewer improvements in the Project Area. Objective 2 Create and implement a Specific Plan, in cooperation with the City of Pittsburg and BART, for the Bay Point BART Station Area. Objective 3 Create a strong marketing program to attract new businesses that will enhance the tax base and create jobs, as well as change the area"s image. Objective 4 Improve the attractiveness of Bay Point, particularly at community entranceways and the waterfront. Objective 5 Improve and expand the type and quality of community facilities available in the community. Objective 6 Expand and improve the commercial/economic development opportunities in the Project Area and create focal points to the existing commercial strips. Objective 7 Create and implement a strategy to improve the North Broadway Area. 6.1(D) PROJEcrs The following are projects proposed to achieve and implement the aforementioned goals and objectives. However, depending upon unanticipated circumstances, the Agency may participate in other activities to most fully redevelop the Bay Point area. Included with each project is the proposed funding source, time frame in which the project is to be implemented, and estimated total project cost. Between 2000 and 2004, the Agency is projected to receive a cumulative total of$3,529,000 in non-housing tax increment funds, equal to 80% of gross tax increments. The Agency's planned programs, as follows, for the Bay Point Redevelopment Project Area greatly exceeds the projected tax increment revenue stream. Therefore, the Agency expects to seek applicable Federal, State, other local and private funding necessary to bring these programs to fruition. See Housing Set Aside Fund discussion for further information. PROJECTS CONWLETED FROM THE 1995-1999 I'LEMENTATION PLAN: Project 1 Port Chicago Highway/Willow Pass Road landscaping. The Agency has initiated a community entranceway improvement project to beautify the westerly gateway to Bay Point. Project 2 Bailey Road/BART Station Area Specific Plan. The Agency is undertaking a joint planning process with the City of Pittsburg and BART Contra Costa County Redevelopment Agency -76 2000-2004 AB 1290 Implementation Plan AV at the present time around the newly constructed BART Station Area. A Specific Plan should be adopted in early 2000. Funding; Source: Tax Increment Revenue, City of Pittsburg funds, and BART funds. Estimated Cost: $180,000 Project 3 Flood Control improvement projects to upgrade the sewer and drainage system along Bailey Road, from the City of Pittsburg line northerly to the railroad tracks. Project 4 North Broadway Area Infrastructure Program. Construction of Phase I, which included widening and paving of streets, installation of curb, gutter, and sidewalks, improving the water and sewer systems, and the installation of storm drains and street lights. Project 5 Bay Point Marketing Brochures. As part of the marketing strategy for Bay Point, the Agency produced marketing brochures to highlight the community's asset. PROJECT'S PROPOSED FOR THE 2000-2004 INIP'LENIENTATION PLAN. Project 1 Economic development activities; including acquisition of four properties to be developed for commercial uses around the BART Station Area and the westerly entrance to the community. Funding Source: Tax Increment Revenue Estimated Cost: $1.01 Million Project 2 Implementation of the Bailey Road/BART Station Area Specific Plan. Upon completion of the planning process, the Agency anticipates undertaking those projects identified to facilitate the relationship of economic development activities to the BART Station Area. Activities could include land assemblage, relocationand infrastructure improvements. Funding Source: Tax Increment Revenue, State and Federal funds, Private Sector funds. Estimated Cost: $5,000,000 Contra Costa County Redevelopment Agency -77 2000-2004 AB 1290 Implementation Plan Project 3 Marina[Waterfront Feasibility Analysis. The Redevelopment Agency will initiate a feasibility analysis to identify alternative uses of the marina and waterfront, and assess the economic feasibility of such uses. Development of the marina and waterfront will be a joint effort between the Agency, property owners, state and regional agencies and other private interests. Funding; Source: Tax Increment Revenue, State and Federal funds, Private Sector funds. Estimated Cost: $50,000 Project 4 Encourage and facilitate development of designated light industrial sites. The Agency should work with the property owners to determine development potential of these industrial properties. Upon determination of development potential, the Agency should assist in providing infrastructure(i.e. road, utilities and storm drainage)to these sites. Funding Source: Tax Increment Revenue, Area of Benefit funds, Collect and Convey funds, and Private Sector funds. Estimated Cost: $1,000,000 Project 5 Evaluate alternatives for upgrading public library services. FundingL Source: Tax Increment Revenue and Private Sector funds. Estimated Cost: $150,000 Project 6 Improve and upgrade the water distribution system. Funding Source: Tax Increment Revenue and Private Sector funds. Estimated Cost: $1.5 Million Project 7 Phase II of the North .Broadway Area Infrastructure Program. The Redevelopment Agency has allocated a total of$2.4 million in Fiscal Year 1997/1998 for this program. Under the recommendation of the Bay Point PAC, an additional $300,000 was allocated for the design/preliminary engineering of Phase 11 and III. Contra Costa County Redevelopment Agency -78 2000-2004 AB 1290 Implementation Plan �L r Funding Source: Bund Proceeds, CDBG Funds(Limited), Tax Increment Financing, and Assessment District/Community Facilities District Estimated Cost: $4.5 million Project 8 Create and implement the North Broadway Area Revitalization Strategy. A Draft North Broadway Area Revitalization Strategy was prepared and presented to the community in August 1997. In Fiscal Year 1997/1998 the Redevelopment Agency has allocated $50,000 in capital funds towards the County's Revolving Loan Fund for abatement activities in Bay Point. In addition, a total of$600,000 in housing set-aside funds has been allocated for new housing construction and a targeted housing rehabilitation program in the North Broadway Area. Funding Source: Tax Increment Financing, Bond Proceeds, HOME, CDBG, State and Federal Programs, Private Sector Funds, and other County Programs Estimated Cast: $650,000 Project 9 Implement a Community Funding Program. This program will provide funding for neighborhood"beautification" projects initiated by volunteer groups in Bay Point. Projects may involve vacant lot and yard and pay the group for volunteer hours spent on the project. The volunteer group can then use the money they earn to pay for their own projects or activities. Funding Source: Tax Increment Financing Estimated Cost: $20,000 Project 10 Develop and implement a marketing plan for Bay Paint. The County has retained a consultant to develop a marketing strategy and implementation plan for the unincorporated communities in Contra Costa County, including the Redevelopment Agency's five redevelopment project areas. The County and the Redevelopment Agency will share total cost of the project. Funding Source: Tax Increment Financing Estimated Cost: $10,000 Contra Costa County Redevelopment Agency -79 2000-2004 AB 1290 Implementation Plan f Project 11 Initiate a re-use study for Shore Acres Center to evaluate the potential for commercial and residential uses at the site. Funding Source: Tax Increment Financing Estimated Cost: $25,000 Project 12 Abatement Program -Revolving Loan Fund. In Fiscal Year 1997198,the Redevelopment Agency will contribute a total of$50,000 towards the creation of a revolving lean fund. The Redevelopment Agency funds will be used to fund abatement activities in Bay Point. Funding Source: Tax Increment Financing, Keller Canyon Mitigation Funds Cost Estimate: $50,000 (Agency funds) Project 13 Light Industrial Area Feasibility Analysis. The Pittsburg/Bay Point BART Station Specific Plan has identified a section of the Willow Pass Road Commercial District as a potential site for light industrial area, with office space and some retail uses. The Redevelopment Agency will work with Criterion Catalyst and other property owners of industrial properties in preparing a light industrial area feasibility analysis and implementation plan. Redevelopment Agency assistance may involve planning and financing of an infrastructure program. Funding Source: Tax Increment Financing, private contributions Estimated Cost: $50,000 ($25,000 in Redevelopment Agency Funds) Project 14 Mixed-Use, Residential/Commercial Development. Agency is proposing for new housing construction and a targeted housing rehabilitation program in the North Broadway Area. A total of 80-120 residential units are anticipated, including market rate, single family homes and affordable, multifamily units. Redevelopment Agency funds may be required for predevelopment, construction and/or land acquisition. Funding Source: Tax Increment Financing, Bond Proceeds, DOME, CDBG, State and Federal Programs, Private Sector Funds, and other County Programs. Contra Costa County Redevelopment Agency -80 2000-2004 AB 1290 Implementation Plan Estimated Cost: $19.8 million Project 15 Urban Design and Street Improvements North of State Highway 4. The Pittsburg/Bay .Point BART Station Area Specific Plan identifies the need to encourage pedestrian and bicyclist movement along the routes leading to the BART Station. The Bailey Road corridorserves as a primary entryway from the freeway and Willow Pass Road to the BART Station Area. The Specific Plan recommends street improvements that provide adequate pedestrian, bicycle and transit facilities and enhance the image and character of the Bailey Road corridor. Funding;Source: Tax Increment Financing, federal and state funds, and private sector funds. Estimated Cost: $900,000 Project 16 Willow Pass Road Neighborhood Commercial District- Urban Design and Street Improvements. Willow Pass Road Neighborhood Commercial District is identified as a special district in the Pittsburg/Bay Point BART Station Area Specific Plan. The boundaries of the neighborhood commercial district are from Alves Lane to the west and Bailey Road to the east. Improvements on Willow Pass Road are intended to enhance the overall image of the area and establish a focal point for the Bay Point Community. Funding Source: Tax Increment Financing, federal and state funds, and private sector funds. Estimated Cost: $850,000 Project 17 P1-Rezoning Program. Funding Source: Tax Increment Financing Estimated Cost: $50,000 6.1(D) ELIMMATION OF BLIGHT The proposed redevelopment strategy and identified projects will provide several public benefits, as follows: Contra Costa County Redevelopment Agency -81 2000-2004 AB 1290 Implementation Plan 1. The infrastructure improvements will eliminate a seriousblighting influence in the Project Area. As described in the documents set forth in Exhibit I (which documents are incorporated into this plan by this reference), the Project Area is characterized by the existence of deteriorated, dilapidated,';and inadequate public improvements, public facilities, open spaces, and utilities which have a damaging physical and economic impact on the Project Area. The proposed infrastructure and open space projects listed above are designed to address these classic examples of blighting conditions. 2. This Implementation Plan will provide improved roadways, beautification activities, open space improvements, and industrial/commercial/retail development and improvements opportunities, thereby providing a catalyst for private reinvestment in the Project Area. 3. The Implementation Plan will serve goals and objectives set forth in Part IV of the Redevelopment Plan, including goals and objectives related to: a. Provide Infrastructure Improvements. b. Facilitate Commercial Development. C. Facilitate Industrial Development. 6.2 HOUSING COMPONENT 6.2(A)POPULATION PROFILE According to the 1990 census, there were 17,453 people living in 5,967 'households in the Bay Point Redevelopment Project Area(Project Area). The majority of these individuals (83 percent) lived in family households and the average household size was 2.91 persons. There were 1,131 households receiving public assistance in Bay Point, representing seven percent of all households in the Project Area. A total of 2,396 persons (14 percent) were living below the poverty line in 1990. HOUSING CHARACTERISTICS/NEEDs ANALYSIS According to the housing and population data from the 1990 Census there was a reported 6,291 housing units in the Project Area. Of those, 4,232 units were single-family'(67%) and 1,238 units were multi-family (20%). The remaining 821 units were mobile homes (13%), a high percentage Contra Costa County Redevelopment Agency -82 2000-2004 AB 1290 Implementation Plan ..................................... compared to the rest of the County. Owner occupied housing comprised 60 percent of housing units, 35% were renter-occupied, and five percent were vacant. Boarded-up units represented less than one percent of the housing stock. The overall condition of housing varies widely from new housing to well-maintained older single family dwellings to dilapidated and boarded-up dwellings. The density of housing ranges from multifamily apartments to low density single family houses on two acre lots in a rural setting. The Project Area contains two Public Housing developments. The 86 unit Los Medanos family housing development was modernized five years ago. The 50 unit Casa de Serena senior housing development is scheduled for modernization in the next few years. The Project Area has deteriorated significantly over the past decade. The overall level of dilapidation is high with approximately 35% of existing single family dwellings needing some level of rehabilitation, about 201/o of the housing stocks needs substantial rehabilitation, defined as costing $25,000 or more. The mean value of owner occupied housing units in Bay Point in 1990 was $125,720 and mean monthly rent was $502. The median year built for occupied housing units was 1975; for vacant units it was 1963. LEVEL OF HOUSING NEED Excessive cost burden is a significant housing problem in the Project Area. A cost burden exists if a household pays more than 30% of gross household income for housing. In Bay Point, 23 percent of renter households spend 30% or more on their housing. RESIDENTIAL MARKET CONDITIONS .Based on analysis of real estate data, listings of properties for sale, and listings in the Contra Costa Times in October, there are limited opportunities to purchase new lhomes in the Project Area. The average sale price for single-family houses and condominiums was $106,900. The few apartments listed for rent had monthly rental rates ranging between $400 and $575 with an average of$525. Rental rates for single family homes ranged between $455 and $1,100, with an average of$840. After completion of the Pittsburg BART extension in 1995, demand for housing in Bay Point is expected to rise due to the proximity of rapid transit to affordable housing opportunities. 6.2(B) HOUSING REQUIREMENTS ANIS STRATEGIES This section constitutes the Housing Production Plan for the Bay Point Redevelopment Project Area as required under Community Redevelopment Law (CRL). The Contra Costa County Redevelopment Agency expects to meet its legal housing production obligations in the Project Area including requirements adopted recently pursuant to AB 315 and AB 1290. This part of the report discusses in detail the specific housing production obligations of the Agency in the Project Contra Costa County Redevelopment Agency -83 2000-2004 AB 1290 Implementation Plan ........................ . _ _._ Area since adoption of the Redevelopment Plan (the Plan) in 1987 through the life of the Plan in 2028. The first part describes historical housing production within the Project Area from the start of the Plan in 1987 through 1999. The second part discusses future-housing production within the Project Area as follows: ■ Annual production goals for the next five years (1999 to 2004) • Projected production over the next ten year compliance period (1995 to 2004) • Projected production through the life of the Project (2005 to 2028) The third and fourth parts discuss affordable housing production and replacement housing in the Project Area and the Agency's strategy for meeting its affordable production and replacement obligations. HISTORICAL HousiNG PRODucTION Historically, from the adoption of the Plan in 1987 through 1999, the Agency has determined that a total of 162 units were developed in the Project Area. Table 6-1 below summarizes the historical housing production in the Project Area. The Agency has not and does not plan to directly produce any dwelling units in the Project Area. TABLE 6-1 Housing Production Summary Historical and Projected Total Units Produced Year New Rehabilitated Total Historical 1987-19991 162 20 182 Projected 2000-2004 190 10 200 2005-2009 75 10 85 2009-2028 356 0 356 Total 1987-2028[_ 783 40 823 Source:Contra Costa County Redevelopment Agency. *Projections based on potential residential buildout per existing general plan and does not include density bonuses. NEW CONKMUCTION: MULTI-FAMILY Since 1987, four multifamily and two duplex developments have been constructed in the Project Area resulting in the addition of 34 new multifamily housing units. Fiveof the developments Contra Crista County Redevelopment Agency -84 2000-2004 AB 1290 Implementation Plan were privately built without Agency assistance, and have no recorded affordability controls. In 1994, the Agency assisted in the development of a 14-unit multifamily rental housing located at 112 Alves Lane. The development includes 6 units affordable to very lover income and 8 units affordable to low-income households. NEW CONSTRUCTION: SINGLE-FAMED' Since 1987, 156 single-family units have been constructed by private individuals in the Project Area with no affordability restrictions. Of these 131 are in two housing subdivisions (Harris Circle and Westwood Cove) and the remaining 25 are on scattered site infill sites. SLTEoTA►NTIAL REI°IABILITATION Based on analysis of the County Assessor and Building Department records, 33 housing units have been substantially rehabilitated in the Project Area since the adoption of the Plan in 1987. The Housing Authority's Rental Rehabilitation Program has assisted in the rehabilitation of 57 rental units, of which the Agency has determined that 10 units are in structures with three or more units. Table 6-1 above shows the number of new and substantially rehabilitated housing constructed in the Project Area since Plan adoption. The Agency created a First Time Homebuyer Program to assist very low and low-income households become homeowners. The Agency program works in combination with the Department of Housing and Urban Development (HUD) 203K program providing a cost effective way to purchase and rehabilitate a home. Agency assistance is structured as a silent second mortgage (maximum of $35,000) which fully deferred until sale or transfer of the property. The loan is ultimately forgiven if the household remains in the home for the life of the loan. The mortgage assistance is made available by a combination of Agency tax increments and HOME funds. The program was launched in 1996 and anticipated in assisting 10 to 15 low and very low families acquire homes. The First Time Home Buyer program has assisted in the rehabilitation of four homes in Bay Point. The families assisted were of low and moderate incomes and received silent second mortgages of$30,000 to $35,000. Although all homes received a certain level of rehabilitation, one was substantially rehabilitated with cast of repairs at approximately $33,000. The Agency is increasing marketing efforts and is exploring program changes to make it more effective for the community. In addition to the Agency's program, two programs for housing rehabilitation exist countywide. 1"he Building Inspection Department administers the Neighborhood Preservation Program, which provides funds for the rehabilitation of single-family ownership housing, and the Housing Authority administers a rehabilitation program for multifamily rental units. Both of these programs utilize HOME and CDBG funds as well as provide matchinggrants from private investors. These programs provide low interest loans with terms dependent on the feasibility of Contra Costa County Redevelopment Agency -85 2000-2004 AB 1290 Implementation Plan _... _._. �r l:r the project and are reserved for rehabilitation projects targeting very 'low and low-income households. Occupancy and affordability restrictions apply. PRWECTED FUTURE IIOUsl:NG PRODUCTION Based on an analysis for potential new development on existing vacant residential parcels as currently provided for in the General Plan, the potential for Federal and State funding, and the anticipated date of developments, the Agency has developed a projection for the number of units likely to be built in the Bay Point Project Area over the next ten year compliance period, 1995 to 2004, and through the life of the Plan, 2005 to 2028. Table 6-1 on previous page summarizes potential future housing production within the Project Area. Bay Point has a total of about 80 acres of vacant residential land on 72 scattered sites including 16 acres zoned for mixed use. Many of these parcels are contiguous and offer potential for assembly into sizable building parcels. The majority of vacant residential land is north of Dillow Pass Road, which has several large tracts for sizable development projects. Table 6-2 below provides a summary of available vacant parcels. Fable d-2 Potential Housing Production on Vacant Residential Land Parcel Number General Plan Description Acres Potential units 095-032-008 SH 5.0-7.2 DU/Acre 11.5 70 097-121-001 SH 5.0-7.2 DU/Acre 11.2 68 096-020-015 SH 5.0-7.2 DU/Acre 3.08 19 098-230-047 SH 5.0-7.2 DU/Acre 2.61 16 098-180-012 SM 3.0-4.9 DU/Acre 2.66 11 095-140-008 ML 7.3-11.9 DU/Acre 2.87 28 095-140-009 ML 7.3-11.9 DU/Acre 9.11 87 095-140-010 ML 7.3-11.9 DU/Acre 4.05 39 Total-Large Parcels 47.08 338 Total-Small Parcels 32.61 289 Total:-All Parcels 79.69 627 Single-Family Total 42.53 247 Multi-Family Total 21.56 230 Mixed Use Total 15.6 150 { Source:Contra Costa County Redevelopment Agency&building Dept.Elased on mid-point of General Pian density range If fully built out, there is a projected capacity for a total of 627 new housing units through the remaining life of the Plan. About 60 percent would be multifamily and the rest single family units. Roughly one half ofthe multifamily units would be in mixed-use developments. Contra Costa County Redevelopment Agency -86 2000-2004 AB 1290 implementation Plan FrvE YEAR ANNUAL HOUSING PRODUCTION GOALS: 2000 To 2004 The Agency plans to achieve the following annual housing production goals over the next five years: 2000 North Broadway Mixed-Use Development. The Agency currently has an option to purchase an 8-acre site in the North Broadway area, where it anticipates development of mixed-use development, including approximately 100-120 units of multifamily and single family residential units. The Agency will work with a selected master developer to ensure that a portion of the units will serve very low, low, and moderateancome households, at affordable housing cost. The Agency is exploring partnerships with non-profit and for-profit developers, for the development of the site. First Time Homebuyer Program. The Agency has assisted four families to purchase and rehabilitate homes in Bay Point. The First Time Homebuyer Program provides silent second mortgages assistance to very-low and low-income households who purchase and rehabilitate a home utilizing the HUD 203K program. The Agency will continue to work with the program lender to market the program through community workshops and publicizing the program in newspapers. 2001 Upon adoption of the Pittsburg/Bay Point BART Specific Plan, new housing production will be initiated. The Specific Plan is expected to be adopted in January 2000. The Agency plans to begin development of at Specific Plan for the Bailey Road area and begin plans for future housing production based on the Specific Plan. 2002 The Agency will also continue planning efforts for an Affordable Housing Production Strategy to meet the inclusionary redevelopment requirement of 15 percent affordable and 6 percent very low and to evaluate programs for the production of affordable housing units in the future. The Agency plans to evaluate the status and potential of the following programs: ■ Mixed-use residential commercial development as part of a Specific Plan for the BART area. A Draft Specific Plan will be presented to the community in the fall, 1997. The plan includes residential and commercial development along Bailey Road and mixed-use development along the Willow Pass Road corridor. ■ Assemblages of property east of Bailey Road for multifamily residential housing near the proposed BART station. Action on 'hold pending BART Area Specific Plan adoption. Contra Costa County Redevelopment Agency -87 2000-2004 AB 1290 Implementation Plan . .......... ..... ......................... ... ... . . • Mortgage Credit Certificate Program: potential for expansion to more units. A total of 14 units were assisted under the MCC Program from May 1995 through July 1999. • Facilitation of private and non-profit development of affordable housing. The Redevelopment Agency will continue to work with for-profit and non-profit housing developers to identify sites and develop affordable housing units in the Bay Point project area. 2+003 Creation of a tracking program for new development production in the Project Area. The Redevelopment Agency is working with staff of the County Community Development Department to set up a database program which would trach new development production in all redevelopment project areas. 2004 If infill and Specific Plan area development potential prove feasible, the Agency will initiate soliciting a devleoper(S) for the projects(s). PROTECTED NEW UNITS: `ISN YEAR PRODUCTION PERIOD Based on analysis of property valuation and building permit records from 1995 to 1999, 162 new units of housing were developed in the Bay Point Project Area, Between 1999 and 2004, the Agency projects that a total of 190 new dwelling units will be developed in the Project Area. Planned projects in the latter five years, 2000 to 2004, include: • Eight acres of'vacant land at 'Willow Pass and Fairview to be developed as mixed use with commercial/retail and a potential for 100-120 new affordable residential units. • Up to 20 affordable units on the former Anchor Cove site west of Bailey Road. Negotiating with EBMUD for an easement across an aqueduct to increase parcel from 0.5 to 1.5 acres. Development of this site may more logically occur with properties west of Canal Road and south of the EBMCJD aqueduct, or for a small housing facility for special populations. • Small site north of Willow Pass on Solano Avenue to be developed with up to twelve residential units. For the 1995 to 2004 ten-year period, the Agency projects that a total of 352 new housing units could be developed in the Project Area. The Agency anticipates that 87 of the total units produced within this time frame would be single family and the remaining 178 units would be multifamily. Contra Costa County Redevelopment Agency -88 2000-2004 AB 1290 Implementation Plan PROJECTED NEW UNITS. 2005 To 2028, PROJECTED LIFE PRODUCTION Based on the inventory of remaining developable residential land, the Agency estimates that 431 new dwelling units could be developed within the Project Area from 2005 until the end of the Project in 2028. These units would include 160 single-family homes and 202 multifamily units. Potential projects include: • Acquisition and development of properties located in Orbisonia Heights. • Seven potential residential development opportunities north of Willow Pass Road. Private developers would build all of these in a mix of multifamily and single family housing. * Acquisition and development of sites along WillowPass Road west of Ambrose Community Center. • Acquisition and development of properties on Canal Road. AFFORDABLE(INCLUSIONARY) HOUSING PRODUCTION Since the Agency has not and does not plan to directly produce any housing units in the Bay Point Project Area, the 15% affordable housing production obligation under the CRL is applicable. Upon completion of planned projects in the next 10 years, the Agency will meet its affordable production obligation as required by law. Thus, at least 15 percent of units produced, in aggregate, in the Project Area will be affordable to low and moderate income households and at least 6 percent affordable to very low-income households. Table 6-3 below shows historical and projected housing production, as well as the affordable obligation incurred by the Agency TABLE 6-3 Mstoric al&Projected Hong Production&Affordable Oftatiorl AOordaHe Ot i 'cn** Aftordabie ProcbMcn Production S is{Deficit WY Total-Vey only TOW-Vey Total-Vey Year Total I.hits* Very LM,Lowayl & V Low'ow ,L,ow& Chly Law,L w& LJCWVey LDW Mme hie ULStcricai_ 1987-1999 162 10 24 8 22 (2) (2 Pr4ectedTotals- 1987-2004 352 21 53 21 53 0 0 1987-= 783 47 117 47 117 0 0 Source.Contra Costa County Redevelopment Agency *Based on General Plan projection and Agency assisted units *"As required by Community Redevelopment Law Contra Costa County Redevelopment Agency -89 2000-2004 AB 1290 Implementation Plan The Agency has a current affordable obligation of 7 low and moderate-income units of which 3 must be very low-income units. To date, 22 low to moderate-income units have been developed and 8 very low-income units in the Project Area. 4f the 162 new dwelling units produced historically in the Project Area, 1322 were built privately without affordability restrictions and 30 received some form of Agency assistance and have affordability controls. The Agency expects to meet its 15 percent affordable requirement at the aggregate level by the end of the ten-year compliance period, 1995-2004. The Agency anticipates that by year 2004, 15 percent, or 53 units developed in the Project Area will be affordable to very low, low and moderate-income households, and six percent, or 21 will be affordable to very low-income households. The Agency also plans to meet its affordable requirement over the life of the project. Replacement Housing Obligation To date, the Agency satisfied a portion of its Section 33413 housing production requirements with the construction of Elaine Mull Apartments in 1996; a 14 unit multi-family rental building located at Alves Lane and Water Street. The construction of these apartments required 12 dilapidated units housing low or moderate-income households to be demolished in 1993. The Elaine Null Apartments replaced these units with the development of six very low-income and eight low to moderate-income units. The Agency anticipates approximately ten additional units may be destroyed to accommodate the North Broadway Mixed Use Development. These units will be replaced by a new affordable housing development and other Agency assisted housing programs. The Agency is leveraging its Low and Moderate Housing Fund to provide one new 100-120 unit affordable housing development as part of the North Broadway Mixed Use Development, and a first time homebuyers program to assist lower income households in purchasing and rehabilitating a home. The Agency previously assisted eleven lower-income households with its initial first time homebuyer program and has assisted four low-income households through its current first time homebuyer program. 6.2(c) AFFORDABILITY GAP ANALYSIS Based on income information from the 1990 Census, a typical household in Bay Point earns about 72 percent of the typical,countywide household income. This means that Bay Point residents cannot afford to pay as much to either rent or purchase housing as most other County residents. Even though housing in Bay Point is relatively less expensive than the County, it is still too expensive for many Bay Point residents. As discussed previously, Federal and State programs use three primary definitions of affordability: very low income (households earning up to 50 percent of Countywide median income), low income (households earning between 51 percent and up to 80 percent of Contra Costa County Redevelopment Agency -90 2000-2004 AB 1290 Implementation Plan _. _. _. ............................... ... ._. Countywide median income), and moderate income (households earningover 120 percent of Countywide median income). These definitions are used as a standard for administering Federal and State housing programs, including Redevelopment Tax Increment funds. The Federal Department of Housing and Urban Development (HUD) publishes the median income, adjusted by family size, for Contra Costa County each year. In 1994, the Contra Costa County median income is $55,300 for a family of four. Workers who are employed at such jobs as food preparers, nursing aides, truck drivers, accounting clerks and secretaries typically earn less than 50 percent of the County median income and are considered very low income. In Bay Point, a typical four person household (including both owners and renters) is estimated to earn about 72% of the County median or $39,600 in 1994.7 Renter households are estimated to earn significantly less, about $25,300 in 1994. Based on commonly used mortgage qualifying standards, a typical four person household in Bay Point could afford to pay about $104,2.00 to purchase a house.8 The current estimated average cast of purchasing a house in Bay Point is about $106,900. Therefore, 'a typical four-person household can almost afford to buy a house in Bay Point. However, half of the households who live in Bay Point will earn less than this typical household.9 For example, a renter household typically earning $26,300 annually could only afford to purchase a house which was priced at about $69,200. Furthermore, new housing in Bay Point will typically be more expensive than the Bay Point average, and most households in Bay Point cannot afford to pay the average price for housing in the County, currently estimated at $244,400. As shown in Graph 6-1 below, an "affordability gap" exists between what some Bay Point households can afford to pay and the cost of purchasing a home in Bay Point and in the County. GRAPH 6-1 HOUsiNG PRICES& AFFORDABILITY COMPARISON BAY POINT Vs. CONTRA COSTA COUNTY $300,000 $250,000 >....< $200,000 $150,000 $100,000 $50,000 .�. .. F $0 r' County Bay Point Typical Renter Household Household 1994 Average House Values Affordable Housing Prices Contra Costa County Redevelopment Agency -91 2000-2004 AB 1290 Implementation Plan ......... ___..._.. .-_...... .__...... ...._... . ..._.. _.. ....._........_. ........ ........ ..._..... ........ ........ ....... ........ ... .... f. Graph 6-2 below shows a similar affordability gap analysis comparing the difference between the cost of rental housing and what typical renter households can afford to pay. A typical renter household in Bay Point can afford to pay about $618 per month for rent 10. However, half of the renter households who live in Bay Point will earn less than the typical renter household. For example, renters who earn at or below 50%of the median renter income in Bay Point, considered very low income for purposes of this analysis, can only afford to pay about $289 per month in rent. GRAPH 6-2 HOUSING PRICES& AFFoRDAjMITY COMPARISON BAY POINT VS. CONTRA COSTA COUNTY $800 $700 " k . $600 $500 $4002, 1 $300 $200 £ $900 $0 County Bay Point Typical Renter Very Low Household Income Renters 1994 Average Rent Affordable Rent The current cost of rental housing in Bay Point is estimated to average $561 per month. This is about 80 percent of the average cost to rent in the County. Thus, a typical Bay Point renter household can afford to rent in Bay Point, but not in the County. However, a very low-income renter household cannot afford the typical cost to rent in Bay Point and would be considered cost burdened if it had to pay the average rent. 6.2(D) HOUSING SET-ASIDE FUND The primary funding source for the Agency's affordable housing activities during the Implementation Plan period will be the 20 percent portion of annual tax increment revenue deposited by the Agency into its Housing Fund. Table 6-4 below summarizes historical and projected Housing Set-Aside Fund deposits and expenditures from 1987 to 1994 and over the Contra Costa County Redevelopment Agency -92 2000-2004 AB 1290 Implementation Plan f� next ten years. The history, status and estimated level of future deposits to the Housing Fund are described below. TABLE 6-4 HousingSet-Aside Fund Balance Tota1.1 l Tax wired 20% Actual& Year Housing Set- Proposed Fund Fund Balance Increment Aside I3 sit Historical- 1987 to 1994 1987-FY1993/94 $2,668 983 1 $533,797 $561,236 $729,777 1995-1999 FY 1994/95 $818,000 $163,600 $173,883 $334,000 FY 1995/96 $832,000 $166,400 $166,925 $89,000 FY 1996/97 $962,814 $192,563 $192,563 $235,600 FY 1997/98 $1,097,939 $219,588 $219,588 $595,200 FY 1998/99 $1,103,579 $220,716 5220,716 $766,400 Total $4,814,332 5962,866 $973,675 N/A Future-2000-2004 FY 1999/2000 $1,062,000 $212,400 $212,400 $0 FY 2000/01 $1,079,000 $215,800 $215,800 $0 FY 2001/02 $1,095,000 $219,000 $219,000 $0 FY 2002/03 $1,110,000 $222,000 $222,000 $0 FY 2003/04 $1,126,000 $225,200 $225,200 $0 Total $5,472,000 $1,094,400 $1,094,400 N/A Total 1987-2004 512,955,315 $2,591,863 $2,629,311 N/A Source:Contra Costa County Redevelopment Agency. Totals are prior to Pass-Through Agreements and other financial obligations. Non-housing program funds available after payment of Oscal agreements and other financial obligations. Fund balance amounts reflect carryover amounts form the fiscal years budget HISTORY AND STATUS From 1987 to 1999, the Agency has allocated at least 20% of the cumulative tax increment revenue to the Housing Set-Aside Fund. Over this period, the Agency has made deposits to the Housing Fund in the amount of $973,675. As of the beginning of Fiscal Year 1998/99, the Agency's Housing Fund balance was $766,400. The level of unencumbered Housing Fund deposits does not constitute an excess surplus. The Agency is currently setting aside 20% of its tax increment revenue for affordable love and moderate income housing and is,undertaking various activities to stimulate the production and rehabilitation of the affordable housing stock, using both tax increment revenue and other funding sources. The Agency currently has an option to purchase an 8-acre site, where it anticipates facilitating a mixed-use development, including approximately 100-120 units of multifamily and single family residential units. The Agency has not assisted in the rehabilitation or development of housing units to date. Contra Costa County Redevelopment Agency -93 2000-2004 AB 1290 Implementation Flan DEPOSrrs DURING NExT TEN YEARS The Agency estimates that the total five-year(2000-2004)deposits of tax increment revenue into the Housing Fund will be $1,094,400, equal to 20% of the projected gross tax increment. This projection assumes that tax increment will grow at about $15,000 annually over the next five years. The Agency plans to expend all of its available housing funds in this period. PROPOSED HOUSING PICOGRAMS& PROJECTED ExPENDrrUREs The Agency recognizes the important role of housing programs and activities in its redevelopment program. Consequently, the proposed affordable housing] programs should be viewed not simply as the means of implementing the Agency's stated goals and objectives related to affordable housing but as key elements in its overall revitalization ,efforts. The Agency primarily intends to stimulate the production of new housing to strengthen the economic viability of the area. The Agency primarily intends to stimulate the production of new housing to assist low and very low income housing units to strengthen the economic viability of the area. The Agency primarily intends to stimulate the production of new housing to assist low and very low income housing units to strengthen the economic viability of the area. The Agency will expend the Housing Fund over the next ten years on the programs and activities described in this section and will focus its efforts to achieve the next five-year annual production goals. Table 6-5 below summarizes proposed housing production by income level through 2004 and illustrates that the Agency will meet its housing need targeting requirements. TABLE 6-5 Units Produced with Housing Funds by Income Catego Assisted V Low, i.ow I Moderate Total Affordable Units Produced Units % I Units % I Units J % Ifistorical- 1987-1999 8 27% 20% 16 MLM 53% 1000/0 P'roi acted- 1995-2004 Total- .. ...... _..... ..... ... . Source:Contra Costa County Redevelopment Agency The Agency will seek to combine its Housing Fund revenue with other funding sources devoted to the provision of affordable housing to maximize the number of affordable units that can be developed or rehabilitated with the limited amount of available Housing Funds. These other funding sources include Community Development Block Grants (CDBG) and HOME Investment Partnership funds from the U.S. Department of Housing and Urban Development, Contra Costa County Redevelopment Agency -94 2000-2004 AB 1290 Implementation Pian X'? ' California Housing Finance Agency (CHFA) and Department of Housing and Community Development (HCD) program funds at the State level, and low income housing tax credit equity funds. Any other loans, grants, or financial assistance from any other public or private source may be utilized if available. 6.2(E) SPECIFIC PROJECT AREA GOALS The housing programs undertaken in the Project Area by the Agency and non-Agency developers will address all of the goals and policies set forth in the Housing dement as described in Chapter 2.0. The Redevelopment Plan sets out specific Redevelopment Agency goals and objectives for housing activities in the Bay Point Project Area. The Plan states one housing goal: to upgrade the existing residential neighborhoods through rehabilitation of a substantial number of existing housing units and the facilitation of infill housing construction. The Plan states two objectives for housing: 1) assist in affordable housing development and 2) strengthen existing residential neighborhoods. In order to accomplish these objectives, the Agency would: • Promote, assist in financing and provide subsidies for the development of affordable housing in the Project Area; • Acquire, assemble, prepare, and dispose of parcels for housing development; • Provide rehabilitation loans for owners of housing; • Promote, assist in financing and provide subsidies for the development of infill housing, and, Assist in the provision of adequate infrastructure to serve residential areas. Contra Costa County Redevelopment Agency -95 2000-2004 AB 1290 Implementation Plan ....... ......... ......... ......... ......... ._....... ........... ............ ........ ........ . _. _. ......... ........... ........ APPENDLxA DOCUMENTS CONTAINING EVIDENCE OF BLIGHTING CONDITIONS RELEVANT TO THE PROJECT AREAS 1. CHAPTER 3: NORTH Ricllmom a. Redevelopment Plan for the North Richmond Redevelopment Project Area, adopted July 14, 1987. b. Preliminary Report on the North Richmond Area Redevelopment Project, adopted March 24, 1987. C. Draft Environmental Impact Report for the Redevelopment Plan of the North Richmond Redevelopment Project Area, submitted April 1987. 2. CHAPTER 4: RODEO a. Redevelopment Plan for the Rodeo Redevelopment Project Area, adopted July 10, 1990. b. Preliminary Report on the North Richmond Area Redevelopment Project, adopted July 10, 1990. C. Final Environmental Impact Report for the Redevelopment Plan of the Rodeo Redevelopment Project Area submitted and adopted July 10, 1990. 3. CHAPTER 5: PLEASANT HILL BART STATION AREA a. Redevelopment Plan for the Pleasant Hill BART Station Area, adopted July 10, 1984. b. Amended and Restated Redevelopment Plan for the Pleasant Hill BART Station Area, adopted July 19, 1988. C. Preliminary Report on the Pleasant Hill BART Station Area Redevelopment Project, submitted June 1984. d. Draft Environmental Impact Report for the Redevelopment Plan of the Pleasant Hill BART Station Area Redevelopment Project Area, submitted October 1982. Contra Costa County Redevelopment Agency -96 2000-2004 AB 1290 Implementation Plan rr 4. CHAPTER 6: BAY POINT a. Redevelopment Plan for the West Pittsburg (Bay Point) Redevelopment Project Area, adopted December 29, 1987. b. Preliminary Report on the West Pittsburg (Bay Paint) Area Redevelopment Project, submitted December 1987. C. Draft Environmental Impact Report for the Redevelopment Plan of the West Pittsburg (Bay Paint) Redevelopment Project Area, submitted October 1987. Contra Costa County Redevelopment Agency -97 2000-2004 AB 1290 Implementation Plan i6J Oakley Redevelopment Project Area 2000-2004 AB 1290 Implementation Plan September 30,1999 TABLE OF CONTENTS 1.0 INTRODUCTION 3 1.1 PURPOSE 3 1.2 BACKGROUND 3 1.3 ORGM417ATION OF THE IMPLEMENTATION PLAN 4 2.0 AGENCY HOUSING OBLIGATIONS AND POLICIES 5 2.1 OVERVIEW OF LEGAL REQUIREMENT 5 2.1(A)IMPLEMENTATION PLAN REQUIREMENTS: HOUSING ACTIVITIES 5 2.1(B) MAJOR STATUTORY PROVISIONS OF CRL FOR AFFORDABLE HOUSING 6 2.1(C)HOUSING PRODUCTION REQUIREMENT 6 2.I(D) REPLACEMENT HOUSING REQUIREMENT 7 2.1(E)HOUSING FUND REQUIREMENT g 2.2 AFFORDABLE HOUSING GOALS AND POLICIES 9 2.3 PROPOSED ROUSING PROGRAMS 10 3.0 OAKLEY 12 3.1 NON-HOUSING COMPONENT 12 3,1(A)GOALS, OBJECTIVES, PROGRAMS, AND EXPENDITURES 12 3.1(B) GOALS 14 3.1(C) OBJECTIVES 14 3.1(D)PROJECTS 15 3.1(E) ELIMINATION OF BLIGHT 18 3.2 HOUSING COMPONENT 19 3.2(A) POPULATION/SOCIOECONOMIC PROFILE 19 3.2(B)HOUSING REQUIREMENTS 20 3.2(C)AFFORDABILITY GAP ANALYSIS 25 3.2(D)SPECIFIC PROJECT AREA GOALS 29 LIST OF TABLES, GRAPHS, & MAPS 2 Appendix 30 APPENDIX A: DOCUMENTS CONTAINING EVIDENCE OF BLIGHTING{CONDITIONS Contra Costa County Redevelopment Agency -1- 2000-2004 AB 1290 Implementation Plan LIST OF TABLES, GRAPHS, & NEAPS AGENCY HOUSING OBLIGATIONS AND POLICIES 5 TABLE 2-1: ABAG HOUSING NEEDS DETERMINATIONS 1989 9 TABLE 2-2: AFFORDABLE HOUSING COST 9 OAKLEY 12 TABLE 3-1:HISTORICAL&PROTECTED HOUSING PRODUCITON S€ NSIARY 21 TABLE 3=2: POTENTIAL HOUSING PRODUCTION ON VACANT RESIDENTIAL LAND 22 TABLE 3-3:HISTORICAL&PROJECTED HOUSING PRODUCTION &AFFORDABLE OBLIGATION 24 TABLE 3-4: HOUSING SET-ASIDE FUND BALANCE 27 TABLE 3-5: UNITS PRODUCED wmi HOUSING FUNDS BY INCOME CATEGORY 28 GRAM 3-1: HOUSE PRICE&AFFORDABILITY COMPARISON 26 GRAFi3 3-2: RENT c-: AFFORDABILITY CONVAR.ISON 26 MAP 3-1:OAKLEY REDEVELOPN ENT PROJECT AREA 13 l"`r nf. 'lam-7MA Ata 1"7811 Irr+rylr•mr}rtat*nri PCarn /moi .5- v4;- 1.0 5- t - 1.0 Introduction 1.1 PURPOSE On January 1, 1994 Assembly Bill (AB) 1290, called the Community Redevelopment Law Reform Act of 1993, became effective as a law. AB 1290 enacted extensive changes to the California Community Redevelopment Law (CRL). Among those changes, AB 1290 requires that all redevelopment agencies to adopt an implementation plan for all project areas prior to December 31, 1994, and to adopt an updated plan every five years thereafter. Implementation plans must detail specific goals, objectives, policies,', programs and fiscal expenditures for the redevelopment project area over the next five years. The implementation plan must address all these elements for both the non--housing and housing components of the redevelopment plans. The Implementation .Plan establishes a linkage between Agency programs and the elimination of blight in the Redevelopment Project Area. The intent is to ensure that tax increment revenues are used to correct the blighting conditions that justified the creation of the redevelopment project area. Moreover, implementation plans must describe how the agency will implement the state requirements to increase, improve and preserve the supply of low- and moderate-income housing as well as address the housing production requirements of CRL, 1.2 BACKGROUND The Redevelopment Plan for the Oakley Redevelopment Project Area was adopted by the Contra Costa County Board of Supervisors on December 21, 1989. The Plan has been implemented by the Contra Costa County Redevelopment Agency since that date. The', City of Oakley was incorporated on July 1, 1999, and contains all of the Project Area within its boundaries. The City of Oakley is taking the actions prescribed by the CRL to establish the City's Redevelopment Agency and initiate the transfer of jurisdiction over the Project Area from the County's Agency to the City's Agency. It is anticipated that the transfer will be accomplished on July 1, 2000. After that date, the City's Agency will be responsible for implementing the Redevelopment Plan for the Oakley Redevelopment Project Area. Oakley's 2000-2004 Implementation Plan was prepared in close collaboration with the City of Oakley staff`and members of the City Council. The Implementation Plan has been prepared as a stand-alone document to facilitate its transfer to the City's Agency for implementation after July 1, 2000. Unless specifically stated otherwise, references to the County or the County's Agency shall apply equally to the City or the City's Agency, respectively. The Redevelopment Plan provides direction for the revitalization and rehabilitation of the Oakley Project Area. The Plan does not establish a specific implementation plan for the redevelopment activities nor outline specific methods to solve or alleviate the concerns;and problems of the community relating to the Project Area. Rather, the Plan provides a legal process and framework within which specific plans, projects, and solutions can be established. The Plan provides the redevelopment agency the ability to design, develop and proceed with the implementation of those specific plans, projects and solutions. 1.3 ORGANIZATION OF THE IMPLEMENTATION PLAN This section provides a brief overview of the contents of this report and outlines the most important components of this implementation plan. Chapter 1.0 provides general background regarding the Oakley Project Area, as well as the following synopsis of the report contents below. Chapter 2.0 presents an overview of the Agency's overall housing obligations and activities as AB 1290 requires each agency to evaluate its affordable housing obligations and describe how they will be met. Chapter 3.0 details the ,goals, objectives, program activities, policies and fiscal information for both the non-housing and housing components of the Oakley Project Area's Redevelopment Plan. This chapter includes the following components: • Goals, objectives, programs and expenditure discussion for the non-housing components. • Discussion on how programs eliminate blight. • Evaluation of the existing socioeconomic data and housing supply characteristics. • The number of new and rehabilitated housing units developed or assisted by the Agency since the adoption ofOakley's Redevelopment Plan.' • The number of housing units to be developed or rehabilitated with the assistance of the Agency during the next five years (of the ten-year planning period) is calculated by determining.annual goals for production and rehabilitation of housing units. • The development of an affordable housing strategy which meets the specifications of the Housing Production CRI...Requirement. • A Housing Replacement Strategy, if necessary, in the event that housing units are projected to be removed from the market. • Targeting objectives for the production, rehabilitation and, if necessary, the replacement of housing units. • Program priorities for the expenditure of annual housing fund deposits for redevelopment housing projects. • The funding and implementation schedule for the housing components. i--l— 4`.,141!`......�..D..A,...,,t.......,..,a ........... i hnnn inn ♦n .inn r-----._.._-. ... The monitoring and evaluation process for housing components as specified in AB 1290. 2.0 AGENCY.' HOUSING OBLIGATIONS ANIS POLICIES This chapter summarizes the Agency's housing obligations pursuant to the legal requirements of AB 1290 and AB 315. Chapter 3.0 describes in detail how the Agency intends to meet these obligations in the Project Area.. This chapter also provides an overall framework for the Agency's housing goals, policies and programs and is based upon the County's adopted and certified Housing Element. The Agency is guided by the County's adopted and certified Housing :Element and the County's Consolidated Plan. The Agency intends to implement all relevant goals, policies, strategies and programs from the Housing Element and Consolidated Plan in the Oakley Project Area, as generally described in this chapter. At its incorporation, the City of Oakley assumed the County's adopted General plan and Housing Element but will eventually adopt its own General Flan and Housing Element. In addition, the City will be assigned a fair share allocation of projected housing needs, which will need to be considered in future policy/plan development_ This implementation Plan may be amended as required to reflect the City's future housing objective. 2.1 OVERVIEW OF LEGAL REQUIREMENTS This section presents an overview of the legal obligations of the Contra Costa County Redevelopment Agency related to the provision of affordable housing in the Oakley Project Area. 2.1(A) IMPLEMENTATION PLAN REQUIREMENTS. Rousm AC IVITIES The housing portion of the Implementation Plan is required to .set forth specific goals and objectives, outline the specific programs and expenditures planned, and explain how the stated goals, objectives, programs and expenditures will produce affordable housing units to meet these obligations for the ten-year planning period. However, since the overall implementation plan is a five-year update,the housing portion of the plan is only a midterm review and will be updated in the year 2005. CRL AB 1290 also requires the housing component of the Implementation Plan to describe the following. An explanation of how the goals, objectives, programs and expenditures will implement the low and moderate income housing set-aside and housing production requirements set forth in Sections 33334.2, 33334.4, 33334.6 and 33413. This explanation must contain a housing program for each of the five years of the Implementation Plan in enough detail to measure performance. f ; ;_FFA • Projection of housing units to be rehabilitated, price-restricted, assisted or destroyed. • Plans for using annual deposits to the Housing Fund. • Identification of proposed locations for the replacementhousing, which the Agency will be required to produce pursuant to Section' 33413, if a planned project will result in the destruction of existing affordable housing. • The Project Area Affordable Housing Production Plan (AB 315 Plan) required by Section 33413 [b][4]. 2.1(B) MAJOR STATUTORY PROVISIONS OF CRL FOR AFFORDABLE HOUSING The major statutory affordable housing requirements imposed on redevelopment agencies by the CRL may be categorized generally as: • Housing Production Requirement- Specified minimum percentages of new or rehabilitated housing units in a project area are to be made available at a specified affordable housing cost. • Replacement Housing Requirement- Agencies must replace housing units removed from the housing stock as a result of redevelopment activities. • Housing Fund Requirement- Redevelopment agencies are required to expend specified percentages of tax increment revenue for prevision of affordable housing. 2.1(C) HOUSING PRODUCTION REQUIREMENT General Housing Production Requirement- Project areas created by redevelopment plans adopted on or after January 1, 1976, and territory newly added to project areas by amendments adopted on or after January 1, 1976, must meet an affordable housing inclusionary production obligation(the "Housing Production Requirement"). The CRL requires that 30% of all agency developed or substantially rehabilitated housing must be available at affordable housing cost to low and moderate income households. Of those units, 501/o must be affordable to very low-income households. The 50% very low-income requirement translates to 15% of the total units developed or rehabilitated by the agency (50°/a of 30% = 15%). This requirement applies only to units developed directly by the agency and does not apply to units developed by housing developers pursuant to agreements with an agency (Section 33413). When housing is developed or substantially rehabilitated in a project area by public or private entities other than the agency, including entities receiving agency assistance and housing built without any agency assistance, 15% of the total number of units must be affordable to low and . ... ._....... ......._. ......... ......_.. ......... ................................_...._.... ...... ...... .............._..._...... ......... ..._..... ......_... ......... ......... ......... ........ ........ moderate income households. Of those affordable units, 40% must be affordable to very low- income households. The 40% very low-income requirement translates to 6% of the units developed and substantially rehabilitated in the Project Area(40°do of 15%'=6%). The definition of substantial rehabilitation triggering the Housing .Production Requirement is rehabilitation which involves either three or more multifamily rental units, or, one or two rental or owner-occupied single family units which have received agency ',assistance and which constitutes at least 25%of the after-rehabilitation value of the dwelling, inclusive of land value. Housing Production Flan -the CRL requires agencies to adopt a plan for the project area over each successive ten-year period of the redevelopment program showing how the agency intends to meets its Housing Production Requirement(the "Housing Production Plan"). 2.1(D) REPLACEMENT HOUSING REQuiREMENT The Replacement Housing Requirement applies to project areas established by redevelopment plans (or areas added by amendments) adopted on or after January 1, 1976, and merged project areas regardless of the date of establishment of the individual project areas subsequently merged. The Agency must replace units destroyed or taken out of the housing inventory occupied by low and moderate income persons with new or newly rehabilitated low and moderate-income units. At least thirty days prior to acquiring property or adopting an agreement that will lead to the destruction or removal of low and moderate income housing; units, an agency must adopt by resolution a replacement housing plan. The replacement-housing,plan generally must include: ■ The general location of housing to be rehabilitated, developed, or constructed to meet the particular Replacement Housing Requirement. • An adequate means of financing such rehabilitation, development, or construction. ■ A finding that the replacement housing does not require the approval of the voters pursuant to Article XXXIV of the California Constitution or that such approval has been obtained. • The number of dwelling units housing persons and families of low or moderate income planned for construction or rehabilitation. • The timetable for meeting the plan's relocation, rehabilitation, and replacement housing objectives. Replacement units may be located anywhere within the territorial jurisdiction of the agency (H&5 Code 033413[a]}. An agency may construct replacement housing itself or cause that housing to be developed through agreements with housing developers. _.. _... ........1.11.1.. .__.. ........_ ......... ......._. .......... _........ ......_.. ......... ..._................__......_...._. .......__. ........ ......... ........ ......... ._..... ....... ........ ....... The basic income and affordability standards for replacement housing are the same as those described for use of Housing Fund monies. The units must be available at affordable housing cost to households of low and moderate income. In addition, for dwelling units destroyed or removed after September 1, 1989, the CRL requires that 75% of the replacement units be available at affordable costs to the same income level of households (very low, low or moderate income)displaced from the units removed or destroyed(H&S Code §33413[a)). Replacement housing must remain affordable for the longest feasible time, but not less than the period of time that the land use controls of the redevelopment plan remain in effect (H&S code §33413[c]). The affordability controls on such units must be made enforceable by recorded covenants or restrictions. 2.1(E) HousiNG FUND REQUIREMEW The CRL requires the agency to set aside in a separate segregated Low and Moderate Income Housing Fund (the "Housing Fund") at least 20% of all tax increment revenue generated from its project areas for the purpose of increasing, improving and preserving the community's supply of low and moderate income housing. Under the CRL, Housing Fund monies must be targeted to specific income levels. Agencies are specifically required to expend their Housing Funds to assist very low, low and moderate-income households, generally defined as: ■ Very Low Income Incomes at or below 50%of area median income, adjusted for family size. • Low Income Incomes between 51% and 80% of area median income, adjusted for family size. ■ Moderate Income Incomes between 81% and 120% of area median income, adjusted for family size. Over the life of the redevelopment plan, Housing Fund monies must be used to assist housing for persons of low and very low income in at least the same proportion as the total number of housing units needed for those income groups bears to the total number of units needed for persons of very low, low and moderate income within the community. Contra Costa County's Housing Element of the General Plan, adopted in 1992, sets out the affordable housing need for the unincorporated areas of the county as determined by the Association of Bay Area Governments (ABAG) in its regional "fair share" allocation. Oakley's targeting objectives may change over time upon the assignment of the City of Oakley's fair share needs and future adoption of its Housing Element of the General Plan. This implementation Ilan may be amended as required to reflect the City's future housing objectives. The following, Table 2-1, shows that fair share allocation and the targeting objective currently applicable to the .Agency. TABLE 2-1 ABAG HOUSING NEEDS DETERMINATIONS 1989 Income Group & Relation Required Percentage Total Housinz Unit Need to County Median Income Very Low(0-50%) 37% 1,295 Low Income(50-80%g) 26% 9013 Moderate 80-12C}d/o 37% 1 295 Total 100% 3,493 The table indicates that at least 37 percent of units assisted with Housing Fund moneys should be for very low income housing units and at least 26 percent should be for law-income units. The remaining 37 percent of units assisted by the Housing Fund may be affordable to very low, low, or moderate income households. Housing assisted with Housing Fund moneys must be "available at an affordable housing cost." For housing assisted by Housing Funds after January 1, 1991, the following affordable housing cost definitions in Table 2-2 below apply: TABLE 2-2 AFFORDABLE HOUSING COST Housing receiving assistance after January 1, 1991 Income Level Rental Housing Ownership Housing Very Low Income 30%of 50% 30% of 50% Low Income 30%of 60% 30r'/,o of 70% Moderate Income 30% of 110% 35% of 110% (but not less than 28% if actual income) For housing assisted by Housing Funds prior to January 1, 1991, affordable housing cost is defined as rent or cost for rental or ownership housing that does not exceed 25% of gross income of the upper income limit for the target income category. 2.2 AFFORDABLE HOUSING GOALS ANIS POLICIES In addition to discussion of Agency progress in meeting its specific affordable housing obligations under the CRL, the Implementation Plan must set forth the Agency's goals and objectives for affordable housing during the next five years. In developing its affordable housing program, the agency has been guided by the goals and objectives of the County's Housing Element (the "Housing Element Program") and Consolidated Plan which are incorporated into this Implementation Plan by this reference. Through its affordable housing activities, the Agency intends to support and advance the overall Housing Element Program. The Agency proposes to assist the Housing Element Program by focusing on achievement of the following specific affordable housing goals during the coming five years: Goal 1: To provide housing to meet the present and future needs of residents and provide a fair share of the market area housing needs. Goal 2: To provide housing to meet the needs of all income groups and provide a fair share of the allocations by income categories. Goal 3: To promote adequate maintenance, and, where needed, improvement of the housing stock and conserve affordable housing. Goal 4: To address the housing needs of senior, physically disabled, homeless, large families, farm workers and female head of households. Goal 5: To adhere to or exceed the housing requirements of the State Redevelopment Law. Goal 6: To ensure decent, safe living environments for residents regardless of age, sex, family composition, race, ethnicity, religion, physical or mental disability, or income. The Redevelopment Agency will continue to dedicate its housing activities to achieving these goads. The Agency's new affordable housing strategy and programs for each Project Area will reflect the above-stated goals. In particular, projects such as rehabilitation activities will assist in achieving Goal 3, while the Agency's prospective new housing development will assist to achieve Goals 4 and 6. 2.3 PROPOSED HOUSING PROGRAMS The Agency recognizes the important role of housing programs and activities in its redevelopment program. Consequently, the proposed affordable housingprograms should be 'Viewed not simply as the means of implementing the Agency's stated goals and objectives related to affordable housing but as key elements in its overall revitalization efforts. The Dousing programs undertaken in the Oakley Project Area by the Agency and non-agency developers will address the goals and policies set forth in the housing Element and Consolidated Plan. The Housing Fund and programs proposed to meet the Agency's Housing Fund requirement over the next five years are discussed below. The Agency has four basic programs, which seek to assist affordable housing production in the Project Area, which include: �w..f«n !'....<.+!"...... ..T1..,.i,...».{............• a {I1 f1/+IA "{Y`AY A 7'1 4, Y > 1. Multi fancily Housing - This program assists in neve construction of multifamily rental housing affordable to and occupied by very low to moderate-income households. Oakley has the Silver Oaks .Apartments project, which will providetwenty-four units of affordable housing for physically disabled households, under construction. 2. Senior Housing New Development - This program promotes development of new rental multifamily housing affordable to very low to moderate-income senior households. Oakley has Golden Oak Manor, which includes 50 units. The possibility for development of affordable congregate care or assisted living facilities has been discussed for Oakley. 3. ,Single Fancily Housing and Infill Development-This program provides homeownership opportunities for very low to moderate-income households. The Agency assists developers in construction of single family housing with units affordable to low and very low income households. Although there are no single family homes in Oakley such as what was just described, the First-Time Homebuyer Program is part of the Agency's strategy for promoting the development of affordable single family,housing and has been used in Oakley in the past. The First-Time Homebuyer Program is a permanent financing program for second mortgages to very low to moderate-income households. The Agency assistance is structured as a second loan with a principal and interest deferred for the life of the loan. The loan will only become due and payable at the time of sale or transfer. The initial program was very successful and there has been discussion of potentially implementing a similar program in the future. 4. Substantial Rehabilitation -The program goal would be to assist in the maintenance and rehabilitation of housing owned and/or occupied by very low to moderate income households through subsidized loans. Oakley has not developed such a program for the housing funds. The County offers both homeowner and rental property rehabilitation loan programs in which interested parties are currently referred to. The Agency will seek to combine its Housing Fund revenue with other funding sources devoted to the provision of affordable housing to maximize the number of affordable units that can be developed or rehabilitated with the limited amount of available Housing Funds. These other funding, sources include Community Development Block Grants (CDBG) and HOME Investment Partnership funds from the U.S. Department of Housing and Urban Development, California Housing Finance Agency (CHFA) and Department of Housing and Community Development (HCD) program funds at the State level, and low income housing tax credit equity funds. Any other loans, grants, or financial assistance from any other public or private source may be utilized if available. The Agency primarily intends to stimulate the production of new housing to strengthen the economic vitality of the Oakley Project Area. The Agency plans to target its housing set-aside funds to expand the supply of very low, low, and moderate income housing units. A' 3.0 OAKLEY PROJECT AREA The Oakley Redevelopment Project Area was adopted by Ordinance No. 8 -89 on December 21, 1989. The Oakley Project Area consists of approximately 964 acres of lana. The Project Area is generally bounded on the east by the Atchison, Topeka and Santa Fe(AT&SF) Railroad Right- of-Way ight- afWay and State Route 4; on the south by Oakley Road, State Route 4 and Cypress Road; on the west by Bridgehead/Neroly Road; and on the north by the AT&SF Right-of-Way. Map 3-1, on the following page, details the Oakley Redevelopment Project Area.. The Project Area is largely residential with commercial strips located along State Route 4, the major corridor through the community. Historically, the Project Area has seen little commercial and employment development and, thus, has an extreme imbalance of jobs and housing. The Project Area is further characterized by the existence of inadequate public improvements, public facilities, open spaces and utilities. The older commercial areas are in need of revitalization and increased investment. In accordance with CRL, the Oakley Redevelopment Plan was designed to achieve five major goals. First, it proposes to fund circulation and transportation improvements throughout the Project Area, but primarily those related to state Route 4 deficiencies. Second, the Plan seeks to provide where lacking, or upgrade or replace where inadequate, public and community facilities. Third, the Plan is intended to provide other infrastructure improvements, including drainage improvements and utility upgrading. Fourth, the Plan seeks to upgrade existing older residential neighborhoods through rehabilitation of a substantial number of existing housing units, the facilitation of infill housing construction, and development of neighborhood amenities such as landscaping and mini parks. Fifth, the Plan is intended to stimulate new industrial development in the Project Area in order that it may become a productive and attractive economic center, providing jobs for area residents and enhancing the local tax base. 3.1 NON-HOUSING COMPONENT The non-housing component of the implementation plan must address the following three issues: (1) Specific goals and objectives for the next five years; (2) Specific programs, including a program of activities and expenditures to be made within the next five years of the plan; and (3) An explanation of how the goals, objectives, programs and expenditures will eliminate blight. 3.1(A) GOALS,OBJECTIVES, PROGRAMS AND EXPENDITURES The proposed redevelopment strategy consists of three program component areas: (1) Public Infrastructure and Facilities; (2) Employment Generating and Land Use Development Activities; and (3) Circulation and Transportation Improvements. Contra Costa County Redevelopment Agency -12- 2400-2044 AB 1290 Implementation Plan .mala � w �mg--g } s �R1 O fM t{ 11 .is( ' R 3 31�j3 /'�" �+�'E�Ettt..t�t:t�*` •tomI •� °°,� C ttitlj �� .:_..,.A_r,..� _ IWO Yr �,�►�.i�S`tfe'a ti t�r £� lea..w,R'! � C•".•°t" � a" ��►,., ��ill�� t %fettYSi � �51111t Kim - t{�A�liRi « F�� '"""°•��tFt,'�., `'� }�•�#+ret�"i�tast:x,)ttr f RC �; x.iw,ew.w.nw..sa- � Redevelopment objectives and goats for the improvement projects are detailed for the above Redevelopment Plan component areas for a five-year implementation plan. The goals and objectives reflect the priorities of the Redevelopment Plan and the Agency. The goals and objectives will be evaluated periodically to ensure their continued applicability to non-housing needs within the Redevelopment Project Area and will be modified as necessary to be responsive to changes in the nature and extent of the non-housing needs. 3.1(B) GALS The goals and strategies are derived from the priorities stated in the Redevelopment Pian to promote the non-housing component of the Redevelopment Project Area. Goal I Facilitate economic development, stimulate and attract private investment, and create employment opportunities for area residents in the Project Area. Goal 2 Improve the infrastructure and public facilities. Goal 3 Expand and improve the commercial corridors. Goal Encourage and support public-private partnerships which address community needs. Goal 5 Encourage and support community participation. Goal 6 Capitalize on existing and future financing resources and opportunities. Goal 7 Eliminate blighting influences and remove impediments to development. Goal S Provide the framework to restore the economic health through public and private actions. 3.1(C) OWECrIVES The following objectives are intended to provide a framework for efforts to attain the goals outlined above. Objective 1 Conclude the establishment and begin implementation of a Specific Plan to address transportation, land use and economic development issues prevalent in the Old Town Area of Oakley. Objective 2 Improving the infrastructure through property acquisition, road, drainage, water and sewer improvements in the Project Area. Objective 3 Intensify and facilitate development of the Old Town Area to provide an economic and community activity core. Objective 4 Create a strong marketing program to attract new businesses and generate revenue. Objective 5 Improve and expand the type and quality of community facilities available in the community. Objective 6 Improve the attractiveness of Oakley, particularly at community entranceways, in the Old Town Area, and along State Route 4. Objective 7 Conclude the program development and begin implementation of the Light industrial Area to provide an economic core for business attraction and generating revenue. 3.I(D) PROJECTS The following are projects proposed to achieve and implement the aforementioned goals and objectives. However, depending upon unanticipated circumstances, the Agency may participate in other activities to most fully redevelop the Oakley area. Included with each project is the proposed funding source and estimated total project cost. Between 2000 and 2004, the Agency is projected to receive a cumulative total of$'4,239,090 in non-housing tax increment funds, equal to 80% of gross tax increments. The Agency's planned programs, as follows, for the Oakley Project Area greatly exceeds the projected tax increment revenue stream. Therefore, the Agency is expected to seek applicable Federal, State, other local and private funding necessary to bring these programs to fruition. PROJECTS COMPLETED FROM THE 1995-1999 IMPLEMENTATION PLAN: Project 1 Improve the Marsh Creek trail system. Project 2 Master Plan development of the Moira parcel. PROJECTS PROPOSED FOR T14E 2990-2094 IMPLEMENTATION PLAN: Project 1 State Route 4 improvements as provided for in the Old Town Specific Plan. This project would also include reconstruction of Main Street, facade improvements, and development of a pedestrian walkway to make the Old Town Area more accessible and desirable. Funding Source: Tax Increment Revenue, Area of Benefit funds, and Private Sector funds Estimated Cost: $14 Million Project 2 Sand Hill infrastructure improvements including circulation/traffic, drainage, water and sewer. Fundiniz Source: Tax Increment Revenue, Area of Benefit funds and Private Sector funds. Estimated Cost: $1.25 Million Project 3 Upgrading and expanding the utility systems (i.e. 'water and sewer) to parcels, which are currently vacant or underutilized as well as undergrounding existing utilities. Funding Source: Special District Capital Funds, Private Development Fees and State funds. Estimated Cost: $1.5 Million Project 4 If State Route 4 is realigned, acquire land between Main Street and the new alignment for a public parking lot to serve the Old Town area. Funding Source: Tax Increment Revenue. Estimated Cost: $300,000 Project 5 Identify and acquire a parcel for development of a community center. Funding Source: Tax Increment Revenue. Estimated Cost: $400,000 Project 6 Improve library facilities. Funding Source: Tax Increment Revenue, Private Sector funds, and State funds. Estimated Cost: $4,752,000 Project 7 Create and implement an unreinforced masonry building improvement program. Funding Source: Tax Increment Revenue, State and Federal funds, Private Sector funds. Estimated Cost: $1 Million ✓f',r Project S Improve the infrastructure(i.e. road and drainage)and create and initiate a marketing program for the tight industrial section of the Project Area. Funding Source: Tax Increment Revenue, Area of Benefit funds, Collect and Convey funds, and Private Sector funds. Estimated Cost: $6,000,000 Project 9 Develop and construct the Main Street Park to provide a passive recreational opportunity an aesthetically pleasing entrance into the Old Town area. Funding Source: Tax Increment Revenue Estimated Cost: $200,000 Project 10 Road and landscaping improvements to Highway 4 in the Project Area. Funding Source: Area of Benefit Funds and Tax Increment Revenue Estimated Cost: $1.4 Million Project i 1 Acquire land for the development of a landscaped community entranceway along Highway 4. Funding_Source: Private Sector, State and Federal Funds, and Tax Increment Revenue. Estimated Cost: $250,000 Projekt 12 Assess and implement the siting of a Town Center for the co-location of civic and community uses. Funding Source: Any available and accessible private/public funding sources. Estimated Cost: $1.5 Million Project 13 Create and implement a marketing strategy with collateral materials for the community. Funding Source: Private Sector funds and Tax Increment Revenue. Estimated Cost: $2001,000(for 5 years) __ _ Project 14 Assess feasibility, and implement if so determined the development of City owned land on the northeast corner of Highway 4 and Carol Lane. The preferred development may include joint marketing and developing of the City land with a privately owned parcel abutting on the north. Fundin Source: Private Sector, State and Federal Funds, public funding sources, and Tax Increment Revenue. Estimated Cost: $150,000 Project 15 Assess and implement an economic development assistance program for industrial, commercial, retail, and office projects to attract new businesses and generate employment opportunities through out the Project Area. Funding Source: Tax Increment Revenue, State and Federal Funds, and Private Sector Funds. Estimated Cast: $250,000 3.I(E) ELIMINATION OF BLIGHT The proposed redevelopment strategy and identified projects will provide several public benefits, as follows: 1. The infrastructure improvements will eliminate a serious blighting influence in he Project Area. As described in the documents set forth in Exhibit VIII (which documents are incorporated into this plan by this reference), the Project Area is characterized by the existence of inadequate public improvements, public facilities, open spaces, and utilities which have a damaging physical and economic impact on the Project Area. The proposed infrastructure, public facilities and economic development projects listed above are designed to address these classic examples of blighting conditions. 2. This Implementation Plan will provide improved roadways, beautification activities, public facility improvements, and industrial/commercial/retail development and improvements opportunities, thereby providing a catalyst for private reinvestment in the Project Area. 3. The Implementation flan will serve goals and objectives set forth in Part IV of the Redevelopment Plan, including goals and objectives related to: a. Provide Circulation and Transportation Improvements. b. Construct or Rehabilitate Public Facilities. C. Provide Infrastructure Improvements. +'+_..<.._ r.__._ i"+,,._.._._.ry_.a.._.,.i__...__... ♦-._�__. ____t0 "IA(V1 '1Af1 4..A.10 1rans..1... d. Facilitate Industrial Development. 3.2 HOUSING COMPONENT 3.2(A) POPULATION/SOCIOECONONUC PROFILE The following housing and demographic analysis is based on 1990 Census data for the entire Oakley unincorporated area. The Oakley .Project Area is considerably smaller and had a population of roughly 2,500 in 1989. According to the 1990 Census, the population of Oakley was 18,374. There was a household population of 18,319 living in 5,967 households. The majority of these individuals (92 percent) lived in family households. About nine percent of households received public assistance and 1,011 persons, six percent of the population, lived below the poverty line. The average household size was 3.07 persons. HOUSING CHARACTERIsTIcsINEEDS ANALYSIS The ratio of single family to multifamily housing is extremely high. According to the 1990 Census, there were 6,143 housing units including 5,560 single family ',detached houses (91 percent) and 140 multifamily units (two percent). Mobile homes and other types of housing totaled 443 units, which exceeds the number of multifamily units Owner-occupied units comprised 79% of the housing stock, with renter units constituting 17%. The vacancy rate of all units was four percent. Boarded-up units represented less than one percent of the housing stack. The condition of housing in the Oakley Project Area can generally be categorized as good to excellent. The majority of single family homes have been built since 1980 in the overall Oakley unincorporated area. This new housing development has caused the population too nearly triple from 1980 to 1990. According to the 1990 Census, the median year built for occupied housing units was 1984; for vacant units it was 1986. Since 1990, the pace of housing development has been steady, although the average house being offered for sale is generally smaller and less expensive than units available before 1991. Older homes are largely small bungalows and cottages, which are generally well maintained. There is little dilapidation in the community housing stock and, thus, little need for rehabilitation at this time. Existing substandard housing is largely confined to the more rural areas or significantly older areas of the community. There are two public housing developments in Oakley: Los Arboles, which consists of 20 single family units which were modernized and Casa de Manana, a 40 unit senior development which has plans for modernization in the near future. The Agency estimates that approximately five percent of existing single family dwellings could use some level of rehabilitation and not more than two percent of the housing units need substantial rehabilitation, defined as costing $25,000 or more. �. �. �.... ~.... ... ♦ri whrilY +S'1!Y• l TS ryh.A T._._t.._.-. . .• T'{ .. LEVEL OF HOUSING NEED Excessive cost burden is a significant housing problem in the Project Area. A cost burden exists if household pays more than 30 percent of gross household income for housing. According to the 1990 Census, both renter and owner household units in Contra Costa County are cost burdened. Renters are more cost burdened than owners, with 44 percent of renter households having housing costs in excess of 30 percent. Among renters in Oakley, 43 percent of households spend 30 percent or more of household income for rent. RESIDENTIAL.MARKET CONDITIONS Eased on assessment of real estate sales data, listings of properties for sale and rental listings in the Contra Costa Times, there are numerous opportunities for new home'purchases in Oakley. The average priced new'home was $153,000 in October 1994. This is 63 percent of the County's average sale price of$244,383. Single family homes were listed for rent at an average of$904 per month. There were no listings for any type of multifamily dwellings' during the week real estate data was collected. 3.2(B) HOUSING REQUIREMENTS AND STRATEGIES This section constitutes the Housing Production Plan for the Oakley Project Area as required under the California Community Redevelopment Law (CRL). The Contra Costa County Redevelopment Agency expects to meet its legal housing production obligations under the CRL including requirements pursuant to Ala 315 and AB 1290, in the Oakley Project Area. This part of the report discusses the specific housing production obligations of the .Agency in the Project Area since adoption of the Redevelopment Plan in 1989 to the end of the Plan in 2029. The first part describes historical housing production within the Project Area from the adoption of the Plan in 1989 through 1999. The second part discusses future housing production within the Project Area as follows: ■ Annual production goals for the next five years(1999 to 2004) • Midterm-review of the ten year compliance period (1995 to 2044) of Projected production through the life of the Project (2005 to 2029) The third and fourth parts discuss affordable housing production and replacement housing in the Project Area and the Agency's strategy for meeting its affordable production and replacement obligation. HISTORICAL HOUSING PRODUCTION Historically, from the adoption of the Plan in 1989 through 1999, the Agency has determined that a total of 242 new housing units were developed in the Project Arca. Table 3-1 below summarizes the historical housing production in the Project Area. The Agency has not and does not plan to directly produce any dwelling units in the Project Area.. .'t_....._ .+`__._ r._....._ fY.J__._t,._..__ .. ♦ .._.__.. +1n 'i"�IK1 11111[ .l L} 11l�`.i...,,«I..w...... ..+Y:+...DI..,,, TABLE 3-1 oustng Proilucfioii Summary Historical and Projected "Total Units Produced Year New 2ehabilitated Total Historical 1989-19991 242 7 249 Pro'ected 2040-2004 168 0 168 2445-202.9 (11220 0 220 Total 1989-20291_ 634 0 634 tit Projections based on potential residential buildout per existing General Plan and doses not include density bonuses Source:Contra Costa County Redevelopment Agency&Building Dept. NEW CONSTRUCTION: MULTIFAMILY Multifamily units that have been developed in the Oakley Project Area since 1989 include; • Golden Oak manor, a 50 unit senior Dousing development completed in 1997. • Silver Oak Apartments, a 24 unit complex for the physically disabled, which is currently under construction (and thus not included in the production count) with occupancy expected by January 2000. NEW CONSTRUCTION: SINGLE FAMILY Since 1989, 192 new single family homes have been constructed in the Project Area. The Heather Park housing subdivisions had 101 new units, the Sundance development had 81 units, and ten homes were built on scattered sites by private developers. SUBSTANTIAL REHABILITATION The Agency has not as in the rehabilitation of any housing units to date. The dousing Authority's Residential Rehabilitation Program has assisted in the rehabilitation of three single family units. Based on analysis of the County Assessor and Building Department records, seven applicable housing units have been privately rehabilitated in the Project Area since the adoption of the Plan in 1989. Currently, the Agency defers residential rehabilitation assistance to existing programs in the county. Two programs for housing rehabilitation exist countywide; the Building inspection Department administers the Neighborhood Preservation Program which provides funds for the rehabilitation of single family ownership housing and the Housing Authority administers a Rental Rehabilitation Program for multifamily rental units. Both of these programs utilize HOME and CDBG funds as well as provide matching grants from private investors. These programs provide low interest loans with terms dependent on the feasibility of the project and are reserved for rehabilitation projects targeting very low and low-income households. Occupancy and affordability restrictions apply. PROJECTED I+`uruRE HOUSING PRODUCTION Based on an analysis for potential new development on existing vacantresidential parcels as currently provided for in the General Plan, the potential for Federal and ;State funding and the anticipated date of development, the Agency has developed a projection for the number of units likely to be built in the Oakley Project Area over the remaining ten year compliance period, 1995 to 2004, and through the life of the Plan, 2005 to 2029. Table 3-1 on page 21 also summarizes the future housing production within the Project Area. The Oakley Project Area has a total of 53 acres of vacant developable land, including 17 acres zoned for mixed-use development with a combined capacity for 522 additional housing units. Many of these are contiguous parcels and offer potential for assembly',into sizable building parcels. For example, one site consists of two contiguous parcels for a combined potential for 247 multifamily units. Table 3-2 below provides a summary of available vacant parcels and potential residential buildout. TABLE 3-=2 Potential Housing Production on Vacant Residential Land Parcel Number General Plan Discri tion Acres Potential units 035-011-021 ML 7.3-11.9 DU/Acre 8.22 79 037-110-018 MM 12.0-20.9 DU/Acre 10.24 168 037-150-023 SH 5.0-7.2 DU/Acre 15.13 92 Total - Large Parcels 3 3.5 9 340 Total - Small Parcels 19.71 182 Total - All Parcels 53,3 522 Single-Family Total 17.16 I05 Multi-Family Total 19.62 258 Mixed Use Total 16.52 159 Source:Contra Costa County Redevelopment Agency Information is based on that provided for the beginning of the ten-year planning period The Agency anticipates that about 80% of new housing in the Project Area will be multifamily. If fully built out, there is a projected capacity for 105 new single family units and 417 new f'._�a__ I'._..... +`_....r..Fl..y—....11_�_.___. ♦ ___..... "1+y '11'yMl 'i!\1'\f AYi t^1 AYE P.«. R..�.,,.« ...i......S7Y..« _._. .. ......_..... .. . _ .................................................... multifamily units (consisting of 258 on multifamily-zoned parcels and 159 on mixed use zoned parcels.) RvE YEAR ANNUAL HOUSING PRODUCTION GOALS: 1999 To 2004 (MIDTERM OF THE TEN YEAR PLANNING PERIOD) The Agency plans to achieve the following annual housing production goals over the next five years: 2000 Construction will be completed on a 24 unit multi-family housing development for the physically disabled with 49 percent very low income. 2001 The Agency will also continue planning efforts for an Affordable Housing Production Strategy to meet the inclusionary redevelopment requirement of 15 percent affordable and 6 percent very low and to evaluate programs for the production of affordable housing units in the future. The Agency plans to evaluate the status and potential of the following programs: • Assess feasibility of first-time homebuyer program to provide second mortgage and down payment assistance to; eligible first time homebuyers; • Assess feasibility of developing congregate care and assisted living facility projects for seniors and disabled households. 2002 The Agency will develop a tracking program for development production and rehabilitation in the Project Area. 2003 The Agency will begin an analysis of infill parcels for first'-time homebuyer and other special needs housing for the Project Area. If the Specific Plan is implemented, the Agency will encourage new housing production based on the Plan. The Oakley Specific Plan envisions full utilization of the currently vacant land in the area. 2004 If infill and Specific Plan area development potential prove' feasible, the Agency will initiate soliciting a developer(s) for the project(s). PROJECTED NEW UNTTS: 1995 To 2004, TEN-YEAR PRODUCTION Based on analysis of property valuation and building permit records from 1935 to 1999, 84 new units of housing were developed in the Oakley Project Area. Between 1999 and 2004, the Agency projects that a total of 122 new dwelling units will be developed in the Project Area. Approximately 90 of these units will be multifamily and the remaining 32 would be single family units. f rYvs PROJECTED NEw UNITS: 2005 TO 2029, PROJECTED LIFE PRODUCTION Based on the inventory of remaining developable residential land, the Agency estimates that 220 new dwelling units could be developed within the Project Area from 2005 until the enol of the Project in 2029. These units would include 77 single-family homes and 143 multifamily units. AFFORDABLE HOUSING PRODUCTION Since the Agency has not and does not plan to directly produce any housing units in the Oakley Project Area, the 15% affordable housing production obligation under the CRL is applicable. Table 3-3 below shows historical and projected housing production and the inclusionary obligation incurred by the Agency. TABLE 3-3 Affordable Obli at'son** Affordable Production Production S lus{Deficit} OnlyTotal-Very OnlyTotal-Very OnlyTotal-Very Year Total Units* Low,Low& Lown,Low& Low,Low& Very Low Moderate Very Law Moderate Very Low Moderate Historical- 1989-1999 242 15 37 24 45 9 8 Projected Totals- 2000-20041 168 11 26 14 33 3 7 1989-20291 630 38 95 44 111 6 16 Source:Contra Costa County Redevelopment Agency * Based on General flan projections ** As required by California Redevelopment Law The Agency has met its 15% affordable requirements in the Oakley Project Area and currently has a surplus of 8 very low to moderate income units. This housing production information does not include the Silver Oaks apartments which will provide another 11 units restricted for very low income physically disabled households by January 2000. Of the 2.42 new dwelling units produced historically in the Project Area, 197 were built privately without affordability restrictions and 45 received some form of Agency assistance and have affordability controls. The Agency will continue to meet or exceed its 15% affordable housing requirement on an aggregate level in the remaining five years (1999-2004) of the ten-year planning period. Over this period, the Agency anticipates that 33 dwelling units constructed within the Project Area will be affordable to very low, low and moderate-income households, and 14 units will be affordable to very low-income households. Of these, 11 will be part of the Silver Oaks Apartments development. Thus, by the 2004, 19% (78 units) of the new dwelling units developed within the Project Area, will be affordable to very low, low and moderate income households and 9% (38 units) will be Contra Costa County Redevelopment Agency -24- 2000-2004 AB 1290 implementation Plant x/-A,/- affordable Ai/-affordable to very low income households. The Agency will also continue to meet or exceed meet its affordable housing production requirements over the life of the project. REPLACEMENT HOUSING OBLIGATION No housing. units have been s-enioved fi-orn the Project A, ;a �hv «o=ption of the Redevelopment Plan and the Agency does not anticipate that any housing units will be removed in the future, based on adopted Plans. Therefore, the Agency has not incurred a replacement- housing obligation and does not anticipate any replacement obligation in the future. 3.2(c)AFFORDABILITY GAP ANALYSTS As discussed previously, Federal and State programs use three primary definitions of affordability_ very low income (households earning up to 50% of countywide median income), low income (households earning between 51% and up to 80% of countywide median income), and moderate income (households earning over 120% of countywide median income). These definitions are used as a standard for administering Federal and State housing programs, including Tax Increment funds. The Federal Department of Housing and Urban Development (HUD) publishes the median income, adjusted by family size, for Contra Costa County each year. In 1994, the Contra Costa County median income is $55,300 for a family of four. Workers who are employed at such jobs as food preparers, nursing aides, truck drivers, accounting clerks and secretaries typically earn less than 50 percent of the County median income and are considered very low income. In Oakley, a typical four person household (including both owners and renters) is estimated to earn about 102% of the County median or $56,500 in 1994. Renter households are estimated to earn significantly less, about $36,000 in 1994. Based on commonly used mortgage qualifying standards, a typical four-person household in Oakley could afford to pay about $148,700 to purchase a house. The 1994 estimated average cost of purchasing a house in Oakley is about $153,000. Therefore, a typical four-person household can almost afford to buy a house in Oakley. However, half of the household's who live in Oakley will earn less than the average. For example, in 1994, a renter household typically earning $36,000 annually could only afford to purchase a house which was priced at about $94,700. Furthermore, new housing in Oakley will typically be more expensive than the Oakley average, and most households in Oakley cannot afford to pay the average price for housing in the County, estimated at $244,400. As shown in Graph 3-1 below, an "affordability gap" exists between what some Oakley households can afford to pay and the cost of purchasing a home in Oakley and in the County. Contra Costa County Redevelopment Agency -25- 2000-2004 AB 1290 Implementation Plan v- GRAPH 3-1 HOusm PRICES& AFFORDABuTY COMPAmSON Oakley vs. Contra Costa County tsso,eao `, s $150,000 ti55 Il 35# 1USiV }xt t . z ? x z Et ss£}4tr35t $100,0003Y+ia` ,,�' 3J� 5 $W.000 s e#� V� County Oakley Typical Renter Household Household 194 Average House Values &M—Osble Housing Prices Graph 3-2 below shows a similar affordability gap analysis comparing the difference between the cost of rental housing and what typical renter households can afford to pay. A typical renter household in Oakley can afford to pay about $860 per month for rent. However, half of the renter households who live in Oakley will earn less than the typical renter household. For example, renters who earn at or below 50% of the median renter income in Oakley, considered "very low income" for purposes of this analysis, can only afford to pay about $410 per month in rent. GRAPH 3-2 RENT& AFFORDABILITY COMPARISON OAKLEY VS. CONTRA COSTA COUNTY $1,000 $800 $600 # 53 s r $400 X410 r $200 € f x 3' x $0 County Oakley Typical Very Low Renter Income Household Renters 1944 Average Rent Affordable Rent Contra Costa County Redevelopment Agency -26- 2000-2004 AB 1290 Implementation Plan _ The 1994 cost of rental housing in Oakley is estimated to average $641 per month. This is about 90 percent of the average cost to rent in the County. Thus, a typical Oakley renter household can afford to rent in Oakley and in the County. However, a very low-income renter household cannot afford the typical cost to rent in Oakley, and would be considered cost burdened if it had to pay the average rent. HOUSING SET-ASIDE FUND The primary funding source for the Agency's affordable housing activities during the Implementation Ilan period will be the 20*/o portion of annual tax increment revenue deposited by the Agency into its Housing Fund. Table 34 below summarizes historical and projected Housing Set-Aside Fund deposits and expenditures from 1990 to 1999 and over the remaining five years of the ten-year planning period. The history, status and estimated level of future deposits to the Housing Fund are described below. TABLE 3-4 Housing Set-Aside Fund Balance Total Tax Required 20% Actual& Year Increment Housing Set- Proposed Fund Fund Balance Aside Deposit Historical- 1989 to 1994 1989-FY1993/941 $2,441,132 1 $488,226 1 $523,576 $672,384 1995-1999 FY 1994/95 $1,139,703 $227,941 $239,337 $383,000 FY 1995196 $1,170,864 $234,173 $235,271 $361,000 FY 1996/97 $1,237,519 $247,504 $247,504 $84,800 FY 1597198 $1,276,322 $255,264 $255,264 $310,600 FY 1498/99 $1,262,931 $2.52,586 $252,586 $226,600 Total- $6,087,339 $1,217,468 $1,229,962 NA Future-2000-2004 FY 1999/2400 $1,245,000 $249,000 $249,000 $0 FY 2000/01 $1,277,000 $255,400 $255,400 $0 FY 2001/02 $1,309,000 $261,800 $261,800 $0 FY 200.2/03 $1,341,000 $268,200 $268,200 $0 FY 2003/04 $1,376,000 $275,200 $275,200 J $0 Total- $6,548,000 $1,309,600 $1,309,600 NA Tcrt 589-2004' $15,076,471 $3,015,294 $3,(63,138 N/A Source:Contra Costa County Redevelopment Agency Totals are prior to Pass-Through Agreements and other financial obligations. Non-housing program funds available after payment of fiscal agreements and other financial obligations. Fund balance amounts reflect carryover amounts from the fiscal years budget_ Contra Costa County Redevelopment Agency -27- 2000-2004 AB 1290 Implementation Plan �i HISTORY AND STATUS From 1989 to 1999, the Agency has allocated at least 20% of the cumulative tax increment revenue to the Housing Set-Aside Fund. Over this period, the Agency has made deposits to the Housing Fund in the amount of $1,229,962. As a result, the Agency has a current surplus in its Housing Fund. As of the beginning of Fiscal Year 1998199,the Agency's Housing Fund was $226,600. The Agency has assisted in the development of 50 affordable senior housing units, 21 first-time homebuyer homes, and is providing funds to an affordable 24 unit development for physically disabled households which is currently under construction. The Agency has not assisted in the rehabilitation of any housing units to date. DEPOSITS DURING NEXT FIVE YEARS The Agency estimates that the total five-year (2000-2004) deposit of tax increment revenue into the Housing Fund will be $1,309,600, equal to 20% of the projected gross tax increment. The Agency plans to expend all of its available housing funds in the next five years. This projection assume that tax increment revenues will grow at about $30,000 annually over the next five years. PROPOSED HOUSING PROGRAMS& PROJECTED EXPENDITURES The Agency recognizes the important role of housing programs and activities in its redevelopment program. Consequently, the proposed affordable housing programs should be viewed not simply as the means of implementing the Agency's stated goals and objectives related to affordable housing but as Ivey elements in its overall revitalization efforts. The Agency primarily intends to stimulate the production of new housing to assist low and very low income housing units to strengthen the economic viability of the area. The Agency will expend the Housing Fund over the next five years on the programs and activities described in this section and will focus its efforts to achieve the next five-year annual production goals. Table 3-5 below summarizes proposed housing production by income level through 2004 and illustrates that the Agency will meet its housing need targeting requirements. TABLE 3-5 Assisted Very Low Low Moderate Total Affordable Units Produced Units °lo Units °l° Units % Units % Historical- 198 24 10% 0 0% 21 9% 45 19% PEo'ected- 2000-2004 14 8% 9 5°l0 10 6°!0 33 20% Total- 38 9°!° 9 2°!0 31 $°!° 7$ I9°!o Source.Contra Costa County Redevelopment Agency Contra Costa County Redevelopment Agency -28- 2000-2004 AB 1290 Implementation Plan !, Z- The Agency will seek to combine its Housing Fund revenue with other funding sources devoted to the provision of affordable housing to maximize the number of affordable units that can be developed or rehabilitated with the limited amount of available Housing Funds. These other funding sources include Community Development Block Grants (CDBG) and HOME Investment Partnership funds from the U.S. Department of Housing and Urban Development, California Housing Finance Agency (CHFA) and Department of Housing and Community Development (HCU) program funds at the State level, and low income housing tax credit equity funds. Any other loans, grants, or financial assistance from any other public or private source may be utilized if available. 3.2(D) SPECIFIC PROJECT AREA GOALS The housing programs undertaken in the Project Area by Agency and non-Agency developers will address the goals and policies set forth in the Housing Element as described in Chapter 2.0. The Redevelopment Plan sets out specific Redevelopment Agency goals and objectives for housing activities in the Oakley Project Area. The Plan states one housing goal: to upgrade the existing older residential neighborhoods through rehabilitation of a substantial number of existing housing units and the facilitation of infill housing construction. Objective 4 of the Redevelopment Plan states that the Agency will assist in new affordable housing development and strengthen existing residential neighborhoods. In order to accomplish these objectives, the Agency could: • Promote, assist in financing and provide subsidies for the development of affordable housing in the Project Area; • Acquire, assemble, prepare, and dispose of parcels for housing development; • Provide rehabilitation loans for owners of housing; • Promote, assist in financing and provide subsidies for the development of infill housing; and, • Assist in the provision of adequate infrastructure to serve residential areas. The Agency also has its own goals for affordable housing activities within the Project Area. It plans to develop an affordable housing production strategy to meet the inclusionary redevelopment requirement of 15% affordable and 6% very low-income units. It also plans to develop a tracking program for new development production in the Project Area, Contra Costa County Redevelopment Agency -29- 2000-2004 AB 1290 Implementation Plan APPENDIX A DOCUMENTS CONTAINING EVIDENCE OF $LIGHTING CONDITIONS RELEVANT TO THE PROJECT AREAS a. Redevelopment Plan for the Oakley Redevelopment Project Area, adopted December 21, 1989. b. Preliminary Report on the Oakley Area Redevelopment Project, adopted December 21, 1989. c. Final Environmental Impact Report for the Redevelopment Pian of the Oakley Redevelopment Project Area submitted and adopted December 21, 1989.