Gonzales City Council
August 4, 2025

RESOLUTION NO. 2025-52

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GONZALES APPROVING GENERAL PLAN AMENDMENT (GPA) 2025-01, AMENDING THE LAND USE ELEMENT OF THE GENERAL PLAN, AND ADOPTING THE 2023-2031

HOUSING ELEMENT UPDATE
WHEREAS, local governments are required by Government Code Section 65350 et. seq. to prepare, adopt, and amend general plans; and
WHEREAS, state law requires every general plan to include seven mandatory elements, and the Housing Element is one of the mandatory elements; and
WHEREAS, in accordance with state law, a draft Housing Element for the 2023-2031 planning period was prepared by the City of Gonzales; and
WHEREAS, on February 29, 2024, the City submitted a Public Review Draft of the 2023-2031 Housing Element to the California Department of Housing and Community Development (HCD) for review; and
WHEREAS, on May 29, 2024, HCD issued a letter regarding its review of the draft 2023-2031 Housing Element; and
WHEREAS, the City revised its draft 2023-2031 Housing Element in response to each of HCD’s comments; and
WHEREAS, on December 24, 2024, the City received a letter from HCD stating that the 2023-2031 Housing Element meets most statutory requirements and after implementation of program HE-1.1.4 to rezone six parcels (APNs 020-011-001, 223-081-015, 223-081-013, 223-081-012, 223-081-016, 223-081- 014) and amend the City’s Industrial Land Use designation in the Geneal Plan to allow for residential, the City will be found in compliance with state direction, and WHEREAS, to implement Program HE-1.1.4 of the City of Gonzales’s 2023-2031 Housing Element, and as directed by HCD, a General Plan Amendment to allow a new Affordable Housing Overlay Zone within the Industrial Land Use Designation to allow up to 30 units to the acre as shown on Exhibit “A” to this Resolution, is proposed; and
WHEREAS, on July 14, 2025, the Planning Commission of the City of Gonzales held a duly noticed public hearing at which all persons wishing to testify in connection with the proposed actions were heard; and
WHEREAS, on July 14, 2025, the Planning Commission of the City of Gonzales recommended that the City Council amend the Land Use Element of the General Plan, and adopt the 2023-2031 Housing Element Update; and
WHEREAS, based on its independent review and consideration, the City Council finds that revisions have been incorporated into the Housing Element to address HCD's May 29, 2024, and December 24, 2024, comments pursuant to Government Code Section 65585(f) as described in the August 4, 2025, City Council staff report; and
WHEREAS, the City Council further finds that the Housing Element amendment will not create conditions materially detrimental to the public health, safety and general welfare, will leave the City's General Plan internally consistent, and will comply with the requirements of state law; and WHEREAS, the staff report and supporting materials accompanying this Resolution are found to be true and correct; and
WHEREAS, the City will submit the 2023-2031 Housing Element to HCD for final review for compliance; and
WHEREAS, all legal prerequisites prior to adoption of this Resolution have occurred.

NOW, THEREFORE, BE IT HEREBY RESOLVED that the City Council of the City of Gonzales hereby approves:

SECTION 1. Recitals. All of the above recitals are found to be true and correct and by this reference are incorporated herein as findings.

SECTION 2. CEQA. Pursuant to Resolution 2025-051, the City Council has determined that adoption of the proposed Land Use Element amendment and Sixth Cycle Housing Element are exempt from analysis under the provisions of the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15061 (b)(3) on the grounds that it can be seen with certainty that the proposed actions will not have a significant, adverse effect on the environment.

SECTION 3. GPA 2025-01. On the basis of all information in the record, including written and oral reports and public testimony:
1) The Land Use Element of the General Plan is to be amended as attached hereto as Exhibit "A." 2) The Sixth Cycle Housing Element is adopted as attached hereto as Exhibit "B".

SECTION 4. Transmittal to HCD. The City Council directs that the City Manager transmit the adopted Housing Element to HCD for review pursuant to Government Code Section 65585(g). The City Manager is further directed to make any technical or clerical changes to the Housing Element as may be necessary to obtain a finding of substantial compliance from HCD.

PASSED AND ADOPTED by the City Council of the City of Gonzales at a meeting held on this 4th day of August 2025 by the following vote:

AYES: COUNCIL MEMBERS:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

Jose L. Rios, The Honorable Mayor
ATTEST:

Mary Villegas, Deputy City Clerk

EXHIBIT A
The Land Use Element of the Gonzales 2010 General Plan shall now read:

Chapter II: Land Use Element
Industrial/Manufacturing
The primary purpose of this designation is to define those areas that are appropriate for heavy industrial and manufacturing uses, the location of which may create land use conflicts with residential uses and schools. The emphasis is on agricultural services but other types of industry compatible with the policies in the General Plan are encouraged. The designation permits industrial parks, light manufacturing, warehousing, wineries, auto and farm equipment sales or repair establishments, feed stores, lumber yards, construction supply companies and similar compatible uses. Compatible highway-serving uses like gas stations, restaurants, motels, and truck stops are permitted in this area. The maximum permitted Floor Area Ratio is 0.5. Multifamily residential uses are permitted with the applicable Affordable Housing Overlay Zone at a minimum density of 20 units per acre and a maximum density of 30 units per acre.

This designation has been applied to 423 acres of land in Gonzales, including 383 acres of land west of Highway 101 and 40 acres of land east of Highway 101. This destination is also used in the urban reserve area.

CITY OF GONZALES HOUSING

ELEMENT UPDATE

SIXTH HOUSING ELEMENT CYCLE
2023-2031
Adoption Draft
June 2025

EXHIBIT B

Sections 1-3. p. i

TABLE OF CONTENTS
SECTION 1: INTRODUCTION ..............................................................1

1.1 Introduction....................................................................................................................................1

1.2 Definition and Purpose .................................................................................................................1

1.3 Consistency with State Laws and General Plan..........................................................................1

1.4 Public Participation........................................................................................................................2

1.5 Organization of the Housing Element.........................................................................................4

1.6 Definition and Terms.....................................................................................................................4

1.7 Data Sources ..................................................................................................................................5

1.8 Community Context ......................................................................................................................5

1.9 Changing Housing Needs and Demographics..........................................................................7

1.10 Characteristics of Housing Stock............................................................................................ 10

1.11 Summary of Constraints .......................................................................................................... 11

1.12 Summary of Fair Housing Assessment................................................................................... 12

1.13 Regional Housing Needs Allocation ...................................................................................... 13

1.14 2015 Gonzales Housing Element Review.............................................................................. 14 SECTION 2: HOUSING STRATEGY ....................................................15

2.1 Introduction................................................................................................................................. 15

2.2 Goals & Policies .......................................................................................................................... 16

2.3 Housing Programs...................................................................................................................... 19

2.4 Quantified Objectives ................................................................................................................ 40 SECTION 3: HOUSING SITES.............................................................41

3.1 Background................................................................................................................................. 41

3.2 Projected Development and RHNA Credits............................................................................ 41

3.3 Vacant Sites to Meet the RHNA................................................................................................. 45

3.4 Development Trends and Realistic Capacity Analysis ........................................................... 52

3.5 The Vista Lucia Specific Plan Annexation ................................................................................ 54

3.6 Summary of Site Suitability........................................................................................................ 58

3.7 Programs to Assist in the Development of Housing............................................................... 61

3.8 Fair Housing Considerations..................................................................................................... 61

3.9 Infrastructure Considerations.................................................................................................... 62

3.10 Environmental Considerations ............................................................................................... 64

3.11 Conclusion ................................................................................................................................ 68 Sections 1-3. p. ii

FIGURES
Figure 1: City of Gonzales Location within Monterey County ........................................................6 Figure 2: Location of Planned, Approved, and Pending Projects............................................... 43 Figure 3: Available Sites Map.......................................................................................................... 46 Figure 4: Location of Housing Sites ................................................................................................ 52 Figure 5: CTCAC/HCD Opportunity Areas, 2024......................................................................... 62 Figure 6: Fire Hazard Severity Zones.............................................................................................. 64 Figure 7: Earthquake Hazard Zones ............................................................................................... 65 Figure 8: Deep-Seated Landslide Susceptibility........................................................................... 66 Figure 9: Flood Hazard Zones ......................................................................................................... 67 TABLES
Table 1: Population by Race/Ethnicity 2010-2021...........................................................................7 Table 2: Income Distribution by Households 2021 .........................................................................8 Table 3: City of Gonzales 6th Cycle RHNA .................................................................................... 13 Table 4: Quantified Objectives, City of Gonzales, 2023-2031 .................................................... 40 Table 5: Gonzales Regional Housing Needs Allocation, 2023-2031.......................................... 41 Table 6: ADU Permits Issued or Completed by Year in Gonzales .............................................. 41 Table 7: Planned, Approved, and Pending Projects for RHNA Credit ....................................... 42 Table 8: RHNA Credits ..................................................................................................................... 44 Table 9: Capacity of Sites Allowing Residential Development ................................................... 45 Table 10: Nonvacant and Underutilized Sites ............................................................................... 47 Table 11: Realistic Capacity Project Examples in Soledad .......................................................... 53 Table 7: Vista Lucia Annexation Capacity ...................................................................................... 54 Table 12A: Credit Towards Meeting the RHNA ............................................................................ 60 Table 12B: Comparison of the 6th cycle RHNA with the City’s Identified Capacity................... 60 Sections 1-3. p. 1
SECTION 1: INTRODUCTION

1.1 Introduction
This chapter of the Gonzales General Plan presents goals, policies, programs, and supporting information related to the provision of housing for existing and future residents for the City.

The purpose of the Housing Element is twofold:

Present specific policies and actions for housing development to meet Gonzales’ specific, identified housing needs; and
Meet regional standards and achieve State certification, pursuant to statutory requirements and necessary for access to critical public infrastructure funding.

1.2 Definition and Purpose
The Housing Element of the General Plan is a detailed statement of the housing goals, policies, programs, and quantified objectives for the City. The Element is based on a comprehensive technical assessment of existing housing policies and programs; current and projected housing needs, especially related to low-income households and special needs populations; an analysis of market, environmental, governmental, and other factors that constrain housing production; an assessment of ways that the City can affirmatively further fair housing for its residents; an inventory of sites available for housing construction; and an assessment of new programs and policies that can enhance housing production in the City.

State law requires that Housing Elements be revised periodically. This document updates the 2015- 2023 Gonzales Housing Element and covers the planning period of December 31, 2023, to December 31, 2031. The purpose of the Housing Element is to guide decision-making by elected and appointed officials. Specifically, the Housing Element sets forth how the City will address the needs for housing, especially for low- and moderate-income households, and special needs groups and individuals. The Housing Element also provides housing-related data and information to the public.

1.3 Consistency with State Laws and General Plan
State law requires that the General Plan include an integrated, consistent set of goals and policies. The City of Gonzales’ General Plan contains elements relating to Land Use, Circulation, Housing, Community Health and Safety, Conservation and Open Space, Community Facilities and Services, Sustainability, Health and Wellness, and Climate Action.

The 2023 Housing Element provides goals, policies, and implementation measures that are consistent with all other elements of the General Plan. As the General Plan is amended in the future, the City will ensure the Housing Element remains consistent with the General Plan.

New State law requires that the Safety Element be updated to address climate adaptation upon revision of the Housing Element. The City will ensure compliance with this requirement.

Sections 1-3. p. 2

1.4 Public Participation
The public participation requirement of Housing Element law presents an opportunity to engage constituents in defining housing issues, and in creating solutions that both meet the needs of the community and the requirements of State law. It is the cornerstone of the process.

For the development of the 2023-2031 Gonzales Housing Element, methods of obtaining public participation and input included, but are not limited to the following:
• Public Hearing
• Public Review Period
• Housing Needs and Opportunities Community Opinion Survey (English and Spanish) • Community Meeting presentations
• Housing Element Study Session in Planning Commission
• Housing Element updates posted on the City of Gonzales website.

The City of Gonzales regularly has civic and special events in the City’s Centennial Park which are well-attended. In April of 2023, the city staffed a tabling event where we introduced the City of Gonzales Housing Needs and Opportunities Survey in both Spanish and English. Hard copies were offered and collected at the park, but the same survey was also posted on the City’s Webpage in both languages. (Total surveys received were 194 in English and 26 in Spanish= 220).
• https://www.surveymonkey.com/r/HousingGonzales
• https://es.surveymonkey.com/r/ViviendasGonzales
Additionally, a Planning Commission Study Session and joint City Council and Planning Commission workshop were conducted May 8, 2023, and August 21, 2023 date and live translation services were offered. The Planning Commission conducted another Housing Element Workshop on January 22, 2024 prior to sending the draft document to the state for first review.

Through the City’s website the City also offered two dedicated email addresses for people to inquire for information or be added to the contact list for the Housing Element Update.

[email protected] or [email protected] Social Media was also engaged by the City to better effect public participation and notices and updates were included on the City’s Facebook and Instagram accounts. https://www.facebook.com/profile/100064881690158/search/?q=Housing%20Element City of Gonzales, California - February 1, 2024
To access the Housing Element Draft: https://shorturl.at/rwyX5 To access the Summary of the Housing Element: https://shorturl.at/fiRY7 Para obtener acceso al Elemento de Vivienda: https://shorturl.at/rwyX5 Para obtener acceso al resumen del Elemento Vivienda: https://shorturl.at/flzC2 Sections 1-3. p. 3
Documents and notices have also been provided to the Gonzales Unified School District for posting and distribution, and Housing Element update information was also made available to the local branch of the Monterey County Library.

As provided in Appendix C, the City gathered information through a citywide Housing Needs and Opportunities Survey. The survey was made in both English and Spanish to ensure all community members were able to provide feedback on the existing and future housing needs in Gonzales, as well provide feedback on desired solutions. The feedback provided served as the foundation for the Housing Element.

A consistent theme across the survey was the need for more housing, including housing that is affordable to first-time homebuyers, housing in the lower price range, and lower-cost rental housing. As part of the site strategy, including the Vista Lucia annexation, the housing element demonstrates it is responsive to the desires of survey respondents by providing a mix of new single-family homes for purchase, as well as denser, multifamily housing that can serve multiple income levels. Comments and feedback received helped to inform the City’s sites approach as well as drafting of the implementation actions. The City will continue to incorporate feedback through the update process.

Future efforts for public participation are slated in the form of public hearings at the Planning Commission and City Council for the adoption of the Vista Lucia Specific Plan, completion of the annexation, and adoption of the Housing Element.

In January 2024 and May 2024 the City received public comments from LandWatch regarding the City’s Housing Element with comments centered on the HCD comment letter regarding the reliance of the Vista Lucia Annexation to meet the City’s RHNA, and the potential timing complications for this project as it relates to the planning period. In response to comments from LandWatch and to address HCD’s comments, the City is no longer relying on the Vista Sections 1-3. p. 4
Lucia Annexation to meet its RHNA, but assuming it will provide for additional capacity once annexed into the City.

The City will continue to employ outreach methods to solicit public participation from all populations as the Housing Element nears completion.

1.5 Organization of the Housing Element
The Gonzales Housing Element is comprised of the following five major components:

Section 1 introduces the overall Housing Element update effort, a summary of housing needs and constraints, a Fair Housing summary, and a review of the effectiveness of the 2015 Housing Element and the City’s progress in its implementation.

Section 2 sets forth the City’s Housing Strategy, which is comprised of the Goals, Polices, and Programs that it intends to implement over the next 8-year planning cycle. The City’s Quantified Objectives are also included in Section 2.

Section 3 presents a detailed Housing Site Inventory, including a discussion of the availability of services, and compares this Inventory to the City’s projected housing needs.

Section 4, the Technical Background Report, provides statutorily required data including an assessment of housing needs and programs, an analysis of non-governmental and governmental constraints to housing production, and a discussion of the housing needs of special needs populations. The Technical Background Report is attached under separate cover.

Section 5, the Fair Housing Assessment, details a comprehensive analysis of housing services and local and regional disparities, concluding with the methodology guiding policy actions to Affirmatively Further Fair Housing (AFFH) as established in Section 2. The Fair Housing Assessment is attached under separate cover.

1.6 Definition and Terms
Throughout the Housing Element, a variety of technical terms related to income levels are used in describing and quantifying conditions and objectives. The definitions of these terms follow:

Above Moderate-Income Households: Households earning over 120% of the County Area Median Income, adjusted for household size.

Acutely Low-Income: Households earning not more than 15% of the County AMI, adjusted for household size.

Area Median Income (AMI): The income figure representing the middle point of the County household income. Fifty percent of households earn more than or equal to this figure and 50% earn less than or equal to this figure. The AMI varies according to the size of the household.

For the year 2023, the AMI for a four-person household in County of Monterey was $100,400.

Extremely Low-Income Households (ELI): Households earning not more than 30% of the County AMI, adjusted for household size.

Sections 1-3. p. 5
Federal Poverty Threshold: Issued by the U.S. Census Bureau and varies by family size, number of children, elderly. There is no geographic variation. For 2022, the poverty threshold for a family of four was $29,950, and for a family of two, it was $18,900. (Note: this differs from the Federal Poverty Guidelines issued by Health & Human Services) Low-Income Households: Households earning between 51-80% of the County AMI, adjusted for household size.

Missing Middle Housing: A range of house-scale buildings with multiple units compatible in scale and form with detached single-family homes.

Moderate-Income Households: Households earning 81to 120 percent of the County AMI, adjusted for household size.

Plexes: Typically, a single structure that contains more than one dwelling unit. The units share common walls, and each typically has an outside entrance. Examples include duplex, triplex, quadruplex, etc.

Very Low-Income Households (VLI): Households earning between 31-50% of the County AMI, adjusted for household size.

1.7 Data Sources
In preparing the Housing Element, various sources of information were consulted. The 2020 U.S. Census provided the basis for population characteristics. The U.S. Census Bureau also provides updated survey data through the American Community Survey (ACS) process, which is used to supplement Census data whenever possible. The following sources of data were used to help identify historic patterns of segregation, assess constraints to housing and the market conditions in Gonzales; and to better identify specific housing needs:
• U.S. Census 2010 and 2020
• 2021 ACS 5-Year Estimates
• City of Gonzales Housing Element Annual Progress Reports 2015-2022 • City of Gonzales Geographic Information System (GIS) mapping layers • Monterey County Homeless Count and Survey Comprehensive Report 2022 • State of California Department of Finance, E-1 City/County Population Estimates with Annual Percent Change, 2022-2023

1.8 Community Context
Founded in the 1870s by the brothers Dr. Mariano and Alfredo Gonzales and incorporated in 1947, the City of Gonzales is located in the central part of the Salinas Valley, 16 miles south of the City of Salinas and 33 miles north of King City. The combination of climate, soil, terrain, and water has made the Salinas Valley one of the state's most productive agricultural regions for well over a century. In Gonzales, the valley floor is about six miles wide, with fields of lettuce, broccoli, asparagus, strawberries, grapes, nursery crops, and other field crops and vegetables Sections 1-3. p. 6
planted nearly to the base of the Sierra de Salinas on the west and the Gabilan Mountains on the east. The City is surrounded on all sides by prime agricultural lands. The temperate climate makes Gonzales conducive to wine cultivation.

Beyond Chualar, an unincorporated farming town, and Chualar Canyon to the northeast, Gonzales is the first community reached when traveling south from Salinas and the Monterey Bay area. The City’s proximity to Salinas and Monterey and the major population centers to the north, its location on Highway 101, its beautiful natural setting, a reputation as a safe, friendly family-oriented community with a relaxed pace of life, and the availability of open land for development of housing, business, and industry have all worked to bring pressure for growth to the City.

While the lack of physical constraints and the precedent of new housing and shopping areas east of Highway 101 would make Gonzales a likely candidate for additional growth during the coming decades, there are currently several agricultural preservation easements, and more are planned in the future as a mechanism to preserve prime agricultural land.

Figure 1: City of Gonzales Location within Monterey County Source: Wikimedia Commons
Sections 1-3. p. 7

1.9 Changing Housing Needs and Demographics
As Gonzales ages and demographics change, different housing needs have arisen, and new programs are needed to meet changing demands. This Section explores the characteristics and housing needs of future and existing Gonzales residents and helps to provide direction in updating the City’s Housing Element goals, policies, and programs.

Population Characteristics and Trends
Gonzales’ population increased 14.91% between 2000 and 2020, from 7,525 to 8,647. In comparison, Monterey County’s population increased 9.27% during the same period, from 401,762 in 2000 to 439,035 in 2020. In 2021, Gonzales’ population slightly decreased to 8,628.

As of 2023, the State Department of Finance reports that the population in Gonzales decreased to 8,300. By 2035, Gonzales projects to have an estimated 24,000 residents.

Age Composition
Gonzales’ population is younger than the region’s population. The median age in Gonzales is

28.8 years old compared to 35.8 in Monterey County. More than half of Gonzales’ population is age 34 or younger. Since 2000, the City has experienced increases in the age groups 0-4, 25-35, 55-64, and 65-74. This indicates that Gonzales needs housing for young families and has an increasing need for housing appropriate for seniors.

Race and Ethnicity
The U.S. Census statistics include the race and ethnicity of a City’s population. The most prevalent racial and ethnic categories are as shown in Table 1. The 2021 population estimates show that Gonzales’ Hispanic or Latino residents comprised more than 90% of the population at 7,813, a slight increase from 88.9% in 2010. The next largest population of White (NonHispanic) residents decreased from 615 in 2010 to 611 in 2021. The Asian population also decreased from 258 to 109 during this same period. Notably, the City’s Black or African American population fell from 143 in 2010 to only two in 2021. Modest increases were seen in the populations of Native American residents, from zero to 27, and Native Hawaiian or Other Pacific Islander residents, from zero to 40, in this period. Additional discussion of Gonzales’ racial and ethnic composition is included in Section 4.

Table 1: Population by Race/Ethnicity 2010-2021
Racial or Ethnic Group 2010 2021
Hispanic or Latino 6,901 7,813
White (Non-Hispanic) alone 615 611
Black or African American alone 143 2
Native American alone 0 27
Asian alone 258 109
Native Hawaiian or Other Pacific Islander alone 0 40
Some other race alone 0 0
Two or More Races 42 26
Sections 1-3. p. 8
Source: U.S. Census Bureau, American Community Survey 5-Year Estimates, 2010 and 2021 Employment
According to the 2021 ACS 5-Year Estimate, the City of Gonzales has 3,922 residents 16 years and older employed in the workforce. The top three industries with the highest percentage of employees are in agriculture, forestry, fishing and hunting, and mining (22.4%); education, health, and social services (17.4%); and retail trade (15.5%).

Household Income
Gonzales’ median household income was $73,906 in 2021. This is significantly lower than the Monterey County median household income of $92,840. Approximately 8% of the City’s 2,085 households are considered Extremely Low-Income. The distribution of income is shown in Table 2.

Table 2: Income Distribution by Households 2021
Households Income
Household Median Income $73,906
Families $77,371
Married-couple Families $90,794
Nonfamily Households $36,000
Source: U.S. Census Bureau, American Community Survey 5-Year Estimates, 2021 Special Needs Populations
Certain segments of the population may have more difficulty in finding decent, affordable housing due to their special needs. Special circumstances may be related to one’s employment and income, family characteristics, disability, and household characteristics, among other factors. Consequently, certain residents in Gonzales may experience incidences of discrimination, housing access obstacles, or other housing problems.

Homelessness
In 2022, zero people were reportedly experiencing homelessness in Gonzales, a decrease from 21 unsheltered persons identified in Gonzales during the 2019 Monterey County Pointin-Time Count of homelessness.

Persons with Disabilities
The term “disabled” refers to a disability (physical, mental, developmental, or sensory), which prevents or precludes a person from doing their work either in or outside of the home.

Individuals with disabilities are the most likely population to experience homelessness, be rent burdened or unable to afford housing, and face the highest rates of housing discrimination.

The number of disabled persons in a community has important implication for providing certain social services, in the removal of barriers to facilities, and in developing housing which has specialized access for disabled residents.

Sections 1-3. p. 9
Census data from the 2021 ACS 5-Year Estimate indicate that 1.7% of residents under age 65 in Gonzales have a disability. The most prevalent disability impacting 2.3% of adult residents is independent living difficulty. These numbers are not exclusive, as some residents have more than one type of disability and some disability types are not recorded for children below a certain age. Within this population, there are significant differences in disability status by race and ethnicity. Additional information on persons with disabilities is available in Section 5.

Elderly
Elderly persons often have fixed incomes and may have additional special needs related to access and care that may require physical improvements to their homes such as ramps, handrails, lower cupboards and counters, creation of a downstairs bedroom, or other modification to enable them to remain in their homes. They may also need assistance in the form of a part-time or live-in caretaker.

According to the 2021 ACS 5-Year Estimate, about 6.8% of Gonzales’ population is age 65 and above. This is significantly lower than the regional average of 15.3% in Monterey County.

Seniors are a majority of renters in the household age group 65-74, and two-thirds of senior households are considered low-income.

Through the United Way’s 211 Monterey County helpline, seniors can request assistance with emergency shelter, rent payments, and food. Senior support programs by the Alliance on Aging of Monterey County include HICAP Medicare Counseling Program, Ombudsman Program to protect long term care residents against abuse, and Senior Peer Counseling.

Monterey-Salinas Transit provides Senior Shuttles, a direct transportation service without transfers, and RIDES, a transportation service for persons with disabilities.

Large Households
Household size is an important consideration when it comes to planning for housing.

Household size can be influenced by a lack of affordable housing options, an increase or decrease in family formations, or families leaving an area. Ethnicity can also affect sizes of households if a particular ethic group has a tradition of living with family members upon retirement age.

In Gonzales, there are 2,293 households. The average household size is 3.60 persons, compared to a slightly higher household size of 3.11 persons in Monterey County.

Female-Headed Households
Single parent households are particularly female-headed households. They generally have lower incomes and higher living expenses and childcare costs, often making the search for affordable, decent and safe housing more difficult. The higher cost burdens for female-headed households increase housing insecurity.

In 2021, Gonzales had 489 female-headed households, or 21.3% of the total 2,293. About 12% of female-headed households have children under 18 and no spouse. Data from the same year show single female-headed households with children earning a median annual household Sections 1-3. p. 10
income of $15,603, significantly lower than the $59,375 median annual household income for single male-headed households with children.

Regardless of their incomes, female-headed households need access to a variety of attractive, safe, and affordable housing types close to parks, schools, libraries, and other community amenities.

Farmworkers
Farmworkers play a key role in the operation and delivery of the state’s food system. Gonzales is the center of the Salinas Valley's vegetable production and distribution industry. In 2021, 22% of Gonzales residents were employed in the agriculture, forestry, fishing and hunting, and mining industry. At the County level, 55% of farmworkers are classified as permanent farmworkers (working 150 days or more per year).

Given their precarious employment and low-income status, farmworkers encounter hardships finding affordable housing. As a result, many farmworkers live in overcrowded and substandard housing arrangements. This situation presents an urgent need to provide safe and affordable housing for Gonzales’ farmworker community. A detailed analysis of farmworker households in the City is provided in Section 4.

1.10 Characteristics of Housing Stock
Type
Gonzales’ housing stock is a mix of single-family residences, duplexes, 3-4 unit multifamily dwellings, 5+ unit multifamily dwellings, and mobile homes or other units. Between 2000 and 2020, Gonzales saw increases in the number of single-family residences, 5+ unit multifamily dwellings, and mobile homes, while duplexes and 3-4 unit dwellings decreased during the same 20-year period.

Tenure
Between 2000 and 2021, the number of homeowner households increased from 1,022 to 1,255. Nearly 55% of households in Gonzales are homeowners. However, the proportion of homeownership decreased from 60% in 2000. Because homeownership affords long term stability and investment equity, owning a home is a way to achieve greater housing security in Gonzales.

Age and Condition
In Gonzales, more than 77% of the housing stock was built between 1970 and 2009. As the housing stock begins to age, more units will need repair and rehabilitation, so this is an upcoming housing need for Gonzales. Only 60 new homes were built in the two decades between 2010 and 2019, and no new homes except Accessory Dwelling Units have been built after 2020.

Sections 1-3. p. 11
Overcrowding
Residential overcrowding is determined by the number of persons per room. According to the U.S. Census, more than one person occupying one room, excluding bathrooms, hallways, balconies, and porches, is considered overcrowded. Severely overcrowded households are more than 1.51 persons per room.

Overcrowding results from many conditions, such as a lack of affordable housing, insufficient housing stock, and an increasing population. Overcrowding is influenced by demographic and socioeconomic factors such as race and housing tenure. Older-adult immigrants, recent immigrants, low-income families, and renter-occupied households are more likely to experience overcrowding. Approximately 18% of households in Gonzales are overcrowded.

The full analysis of overcrowding is included in Section 5.

Vacancy
In 2021, Gonzales had a total of 2,312 housing units. Occupied units accounted for 2,293 of the total, and the remaining 19 units, or 0.8%, were vacant. The unoccupied units were classified as “Other Vacant” in U.S. Census America Community Survey, a large a category that includes vacancy due to foreclosure, personal/family reasons, legal proceedings, repairs/renovations, abandonment, preparation for being rented or sold, or extended absence for work reasons, military duty, or incarceration. A rental vacancy rate of less than 5% can indicate that people have difficulty finding homes to rent.

Prices
The median value of a home in Gonzales rose from $413,000 in 2010 to $450,000 in 2021, an increase of nearly 9%. Comparatively, the median value of a home in Monterey County is $732,500, substantially more than the City. During this same period, the median gross rent in Gonzales rose nearly 32%. Cost burden, or the ratio of housing costs to household income, has increased in the last several years. A household is considered cost burdened if more than 30% of monthly income pays for housing. Severely cost-burdened households pay more than 50% of monthly income to housing costs. Data from 2019 shows 45% of all renter households and 30% of owner households have experienced some level of cost burden.

1.11 Summary of Constraints
Constraints to affordable housing production are created by governmental, infrastructure, market, environmental, and social factors, among others. Constraints can be divided into two categories: “Governmental constraints” are those created by federal, state, and local governments, whereas “Nongovernmental constraints” do not arise from government policy, regulation, program, or practice.

Governmental constraints result from land use controls including policies, regulations, zoning ordinances, and development standards, permit processing times, and taxes and fees. The City has an ability to intervene directly into these constraints to housing production.

Gonzales’ zoning code guides development by establishing rules, districts, design standards, and permit types, along with review authority. Applicable to all privately owned land in the Sections 1-3. p. 12
City, zoning regulations set forth specific standards for density, lot coverage, setback area, floor area ratio, building height, open space provisions, and parking requirements. Zoning regulations also require certain new developments to provide improvements to the development site and off-site areas. City staff are charged with processing a variety of applications within a timeframe that complies with State law. City development fees offset the expenses incurred for processing, evaluation, and enforcement of the zoning code. While these various regulations and procedures are necessary to ensure orderly development, they have the potential to constrain new housing by slowing production. A review of Gonzales’ land use controls has found that they do not create significant or unique constraints to housing production. However, the City’s land use controls should be continually monitored for changes or conditions that can create constraints. Potential governmental constraints in Gonzales are explored in the Technical Background Report (Section 4).

Nongovernmental constraints arise from a range of factors impacting housing affordability but are not directly connected to government actions. These include construction costs, in particular, land prices, availability of mortgage financing, pricing, consumer preferences, demand, and competition and other market conditions, interest and capacity of developers, natural hazards and environmental conditions that impact housing availability and costs, and availability of infrastructure.

Nongovernmental constraints to housing production in Gonzales are related to mortgage financing, environmental conditions, and infrastructure. While financing is available for qualified homebuyers, home purchases may be difficult for lower and moderate-income buyers with limited down payments. The median value of a home in Gonzales is $450,000. With a down payment of 20% and an interest rate of 6.96% for a 30-year fixed mortgage, an annual household income of $100,000 would be required to purchase such a home in the City. The availability of financing can constrain new housing.

Gonzales is subject to environmental conditions that can also act as a constraint to housing production. Sited within a seismically active area, the City is susceptible to earthquakes. The City’s location partially within both a Special Flood Hazard Area and Fire Hazard Severity Zone places it at the dual risk for flooding and fires. The entirety of the City is identified as a potential habitat for the California Tiger Salamander, and this species is found throughout the Salinas Valley region. New housing development may need to assess environmental impacts on its habitat. Wastewater generation from infill development and proposed areas within the City’s Sphere of Influence produces 3.6 million gallons daily. New housing development will increase this output. The City must provide the infrastructure to address future wastewater generation incurred by new housing. Policies and programs are included in Section 2 to address the nongovernmental constraints analyzed in the Technical Background Report.

1.12 Summary of Fair Housing Assessment
Under State housing law, Affirmatively Furthering Fair Housing (AFFH) means “taking meaningful actions, in addition to combatting discrimination, that overcome patterns of segregation and foster inclusive communities free from barriers that restrict access to opportunity based on protected characteristics.” AFFH entails taking decisive actions to Sections 1-3. p. 13
remove entrenched housing discrimination barriers and to locate affordable housing to be equitably accessible to populations in need.

In compliance with Housing Element law, the City must prepare a Fair Housing Assessment to identify factors that contribute to local fair housing issues and barriers and include meaningful actions within the City’s Housing Element goals, policies, and programs to address those factors. The City must incorporate Fair Housing Assessment findings into the Housing Element’s Sites Inventory. To ensure meaningful public participation, outreach and engagements efforts for the Housing Element must also affirmatively further fair housing.

In addition to these factors, the Fair Housing Assessment addresses: Engagement, Enforcement and Outreach Capacity, Segregation and Integration Patterns and Trends, Disparities in Access to Opportunity, Disproportionate Housing Needs including Displacement, Areas of Concentrated Poverty and Affluence Across Racial and Ethnic Groups, Identification of Contributing Factors, Identification of Contributing Factors, and a Summary of Fair Housing Issues.

The City of Gonzales commits to affirmatively further fair housing and to incorporate the lens of fair housing and equity throughout this Housing Element and in all its related land use actions.

1.13 Regional Housing Needs Allocation
The Regional Housing Needs Allocation (RHNA) is a part of State housing element law that determines the projected and existing housing needs for each local jurisdiction in California.

State housing law requires each jurisdiction’s Housing Element to demonstrate that the jurisdiction has sufficient land zoned for housing and plans to meet its RHNA, and that there are no unnecessary barriers to the housing approval process to meet the RHNA targets. The Association of Monterey Bay Area Governments (AMBAG) conducts the RHNA process for jurisdictions in the Monterey Bay region every eight years as required by HCD.

For the 6th Cycle Housing Element period 2023 – 2031, Gonzales has a RHNA of 1,266 units, divided among income groups as shown in Table 3.

Table 3: City of Gonzales 6th Cycle RHNA
Income Group RHNA Allocation 2023-2031
Very Low (< 50% of AMI) 173
Low (50-80% of AMI) 115
Moderate (80-120% of AMI) 321
Above Moderate (>120% of AMI) 657
Total 1,266
Source: AMBAG
Note: It is assumed that 50 percent of the very low-income units are allocated to address the extremely lowincome need.

Sections 1-3. p. 14

1.14 2015 Gonzales Housing Element Review
Gonzales has several programs from its 5th Cycle Housing Element that have not yet been implemented due to staff shortages and emergencies. The following programs were successful and will be continued or modified and continued, whereas other programs were less successful and were not carried forward in this Housing Element update. The evaluation of the City’s successes in implementing its 5th Cycle Housing Element, including lessons learned for improvement in this current cycle, can be found in Appendix A. 5th Cycle Programs Being Continued
HE-1.1.1 – Housing for All Income Levels within 2010 General Plan Growth Area HE-1.1.2 – Infill Development
HE-1.1.3 – Coordination with Service Providers
HE-1.1.4 – Priority Service to Affordable Housing
HE-1.1.5 – Additional Housing Sites
HE-2.1.1 – Provide Incentives for Affordable Housing
HE-2.1.2 - Pursue State and Federal Funding to Assist in Development HE-2.1.3 – Encourage Non-Profit Developers
HE-2.1.4 – Innovative Housing Design
HE-2.1.5 – Housing above Commercial Uses
HE-3.1.1 – Assistance for Extremely Low -Income Residents and those with special housing needs
HE-3.1.2 – Information on Emergency Shelter
HE-3.1.3 – Universal Design
HE-3.1.4 – Large Units
HE-3.1.5 – Reasonable Accommodation and Other Zoning Provisions for Special Needs Housing
HE-3.1.6 – Farmworker Housing
HE-4.1.1 – Housing Rehabilitation
HE-4.1.2 – Rental Housing Inspection
HE-4.1.3 – Monitoring of Existing Affordable Units
HE-5.1.1 – Neighborhood Design
HE-5.3.1 – Housing Preservation
HE-6.1.1 – Fair Housing Services
HE-7.1.1 – Development Standards, Fees, and Procedures
HE-8.1.1 – Homelessness Census
HE-8.1.2 – Annual Progress Report
HE-9.4.1 – Water Conservation
HE-9.3.1 – Design Guidelines
Sections 1-3. p. 15
SECTION 2: HOUSING STRATEGY

2.1 Introduction
Housing Strategy Overview: Goals, Policies & Programs
The Housing Element provides an opportunity for jurisdictions to address housing issues more effectively. In accordance with state law, this Section contains the City’s Housing Strategy for the 2023-2031 Housing Element planning period. The Housing Strategy is made up of goals, policies, and implementation programs. Goals establish the purpose, policies establish a guiding action and commitment, and programs establish specific actions, procedures, programs, or other techniques to carry out a policy. The expected outcomes of each program are summarized as quantified objectives in Table 4.

Housing Strategies must include the following components to ensure effective implementation:
• The geography (citywide, or regarding particular sites, neighborhoods, or Specific Plan areas) in which the implementation program will take place. • A concise statement of the specific City actions that will be taken to implement each program.
• The agency or department responsible for implementation. • The funding source that will be used for implementation. • A timeframe that indicates when each action is anticipated to be completed. • A quantifiable objective to assess program success over the planning period.

The City’s 5th Cycle Housing Element contained nine goals. These goals, policies, and implementing programs have been restructured to maximize the City’s ability to implement its vision for the 6th Cycle Housing Element. Additionally, programs implemented and not applicable for continuation since the last Housing Element in 2015 have been removed from this document. A complete evaluation of program implementation from the 2015 Housing Element is included in Appendix A.

Stakeholder Input in Housing Policy Development
The Housing Element strategy was crafted through consultation with a diverse group of local stakeholders, ensuring a comprehensive and inclusive approach.

To bolster the robustness of the housing strategy, and to ensure Gonzales is in step with regional efforts, recommendations from the Monterey Bay Economic Partnership’s (MBEP) Housing Initiative were taken into account in the development of the strategy.

Recommendations from the MBEP for the Housing Element process include streamlining permitting and reducing discretionary reviews, increasing allowable densities, and optimizing zoning ordinances. Additionally, MidPen Housing, a developer of affordable housing communities, developed a Housing Element Best Practices guide based on case studies of Sections 1-3. p. 16
successful implementation for the 2023 Housing Element update. The recommendations outlined in the guide were also taken into consideration in the development of the housing strategy. Recommendations included, but were not limited to, master-planned sites to maximize housing density and share infrastructure, reduced parking standards, overlay zones, and the identification of public and privately-owned sites with existing housing stock for redevelopment to increase density.

Additionally, trends from the Housing Needs and Opportunities Survey were used to identify program modifications and enhancements to the Updated Housing Element. Appendix C contains a summary of data and individual survey responses gathered through the City of Gonzales Housing Needs and Opportunities Survey. The survey was made in both English and Spanish to ensure community members with limited English proficiency were also able to provide feedback on the existing and future housing needs in Gonzales, as well provide feedback on desired solutions. The feedback provided serves as the foundation for the Housing Element.

2.2 Goals & Policies
As mentioned above, the 6th Cycle Housing Element Update restructures the Housing Goals, Policies, and Implementing Actions (Programs) to maximize the City’s ability to implement its vision for the 6th Cycle Housing Element. The City’s 5th Cycle Housing Element (2015-2023) contained nine overarching goals:

Goal HE-1: Adequate Sites & Services
Goal HE-2: Development of Affordable Housing
Goal HE-3: Special Needs Populations
Goal HE-4: Conservation & Improvement of Existing Housing Stock Goal HE-5: Community Character / Environmental Quality
Goal HE-6: Fair Housing
Goal HE-7: Reduce Constraints
Goal HE-8: Coordination & Monitoring
Goal HE-9: Energy & Water Conservation
The Housing Element includes the following four reconfigured goals:

Goal HE-1: Housing Production
Goal HE-2: Fair Housing: Preservation, Protection & Equity Goal HE-3: Program Administration & Energy Conservation Goal HE-4: Community Outreach
Each of the four goals has corresponding policies, which are listed below. The strategic changes made to the policies and programs from the 2015 Housing Element are recorded as parenthetical notes. See Section 2.3 for programs and implementation actions.

Sections 1-3. p. 17
Goal HE-1: Housing Production
Facilitate and encourage a broad range of housing types and affordability levels to meet the needs of all residents within the community.

Although the City's sites inventory has the capacity to accommodate Gonzales' RHNA, it is imperative to not only maintain adequate sites, but also implement policies and programs aimed at facilitating the development of these sites. Although the City is not a housing developer, jurisdictions play a vital role facilitating and encouraging housing development through land use control.

Policy HE-1.1 Adequate Sites
Maintain adequate sites for new housing development for all economic sectors to support the Regional Housing Needs Allocation. [Source: 2015-2023 Gonzales Housing Element, Policy HE-1.1, modified]
Policy HE-1.2 Support Housing Production
Ensure that development standards, development review procedures, and development fees are compliant with state law and do not form an unnecessary constraint to the development, conservation, and rehabilitation of housing. [Source: 2015-2023 Gonzales Housing Element, Policy 7.1, modified]
Policy HE-1.3 Encourage a Mix of Housing Types
Encourage the development of a mix of housing types to meet the diverse housing needs of Gonzales residents. [Source: 2015-2023 Gonzales Housing Element, Policy HE-5.1, modified] Goal HE-2: Fair Housing: Preservation, Protection & Equity Promote, preserve, and facilitate housing opportunities for all residents, including those in protected classes and those with special needs.

In the pursuit of the Housing Element’s goal to promote, preserve, and facilitate housing opportunities, it is essential to comply with and further the requirements and goals of Government Code Section 8899.50(b). By actively considering the needs of protected classes, as well as individuals with special needs, Gonzales can ensure that housing policies and programs are fair and equitable.

Policy HE-2.1 Encourage Affordable Housing with Incentives Encourage the construction of new housing that varies sufficiently in cost, design, and tenure to meet the needs of existing and future City residents in all income categories, and households with special needs. [Source: 2015-2023 Gonzales Housing Element, Policy HE-2.1, modified]
Sections 1-3. p. 18
Policy HE-2.2 Housing for Special Needs Populations
Encourage the development of housing for special needs groups, including extremely lowincome households, seniors, individuals with disabilities (including developmental disabilities), large families, female-headed households, farmworkers, and individuals experiencing homelessness. [Source: 2015-2023 Gonzales Housing Element, Policy HE-3.1, modified] Policy HE-2.3 Preservation of Existing Housing Stock and Affordability Preserve the City’s existing housing stock, maintain affordability, and work to prevent displacement of low-income communities and communities of color. [Source: 2015-2023 Gonzales Housing Element, Policy HE-4.1, modified]
Goal HE-3: Regional Collaboration & Energy Conservation Administer programs and coordinate with regional partners to promote sustainability and affordability.

In pursuit of the goal of implementing effective policies and programs that promote sustainability and affordability, the City is committed to being an active regional partner in the effort to combat California's current housing challenges.

Policy HE-3.1 Regional Coordination
Coordinate local housing efforts with Monterey County, other Salinas Valley cities, social service organizations/agencies, and local nonprofit developers of affordable housing. [Source:
2015-2023 Gonzales Housing Element, Policy HE-8.1, modified] Policy HE-3.2 Minimize Environmental Impacts through Land Use and Transportation Planning
Minimize adverse impacts on the environment through land use and transportation policies such as those encouraging housing construction close to planned employment and shopping and requiring sidewalks and bike lanes in new developments. [Source: 2015-2023 Gonzales Housing Element, Policy HE-5.2 & HE-9.3, modified]
Policy HE-3.3 Promote Energy and Water Conservation
Encourage the use of renewable energy and the use of water-saving devices, drought-tolerant landscaping, and other energy and water conservation measures to address climate change. [Source: 2015-2023 Gonzales Housing Element, Policy HE-9.2, modified] Goal HE-4: Community Engagement
Foster a community that is informed and empowered through comprehensive engagement.

In the pursuit of ongoing community engagement throughout the planning period, the City is committed to facilitating and participating in meaningful community engagement with all segments of the community.

Sections 1-3. p. 19
Policy HE-4.1 Fair Housing
Promote public education about affordable housing and support the enforcement of fair housing laws by appropriate State and Federal agencies. [Source: 2015-2023 Gonzales Housing Element, Policy HE-6.1, not modified]
Policy HE-4.2 Annual Reporting
Promote public awareness of the progress towards the achievement of the goals and objectives of the Housing Element. [Source: 2015-2023 Gonzales Housing Element, Policy HE8.1, modified] Policy HE-4.3 Stakeholder Engagement
Continue to engage developers about the incentives that are available and solicit feedback on the housing production regulations, programs, and processes in Gonzales. [New]

2.3 Housing Programs
The City is committed to achieving the goals and policies outlined above through the implementation of the following programs and implementing actions by December 31, 2031.

The effectiveness of the 26 housing implementation actions (programs) will be monitored, and adjustments will be made as deemed appropriate by the community and staff.

Implementation Action HE-1.1.1: Maintain Sites Inventory The City will maintain a current sites inventory of Housing Element sites throughout the planning period to accommodate the 2023-2031 RHNA. When rezoning or approving development projects that differ from the assumed number of units and/or affordability levels in the inventory, the City will evaluate the impact on its ability to meet the 2023-2031 RHNA.

The City shall comply with the no net loss provisions stipulated in Government Code § 65863.

When identifying sites, the City will focus on finding replacement sites in moderate resource areas, the highest designation in Gonzales, to affirmatively further fair housing.

Action (A): Maintain a site inventory of adequate densities and appropriate development standards to facilitate a range of housing opportunities.

Action (B): Establish a formal procedure to review sites and ensure no net loss of sites to accommodate remaining RHNA and to identify additional sites or rezone within 180 days when net loss would occur.

Geography Citywide
Responsibility Community Development Department & City Council Funding Source General Fund
Timeframe Action (A): Ongoing
Action (B): June 30, 2025
Objective Maintain capacity at all times to accommodate the RHNA by income group throughout the entire planning period.

Sections 1-3. p. 20
Implementation Action HE-1.1.2 Large Site Development
The City’s Housing Element Sites Inventory includes two sites that are over 10 acres in size designated to accommodate lower income housing: the Santa Lucia Neighborhood of the Vista Lucia Specific Plan Area (see Implementation Action 1.1.3) and a 138-acre vacant parcel located in southeast Gonzales. The Santa Lucia neighborhood is the first development phase of the Specific Plan to be built out and encompasses approximately 238 acres. Approximately twenty acres will accommodate 429 lower income housing units. Three acres of a 138-acre parcel is zoned R-2 (Medium Density Residential) and has the realistic capacity to accommodate 70 units of lower income housing. The City will encourage the development of large sites through an allowance of phasing of development and off-site improvements and, where applicable, through a Master Plan or Specific Plan process. The City will assist interested developers and property owners in the splitting of large sites into parcels of appropriate size (less than 10 acres) to accommodate lower-income housing and expedite the approval process of lot splits.

Geography Vista Lucia Specific Plan Area; 223-032-020
Responsibility Community Development Department
Funding Source General Fund
Timeframe As large site developments are submitted.

Objective Develop 499 units of lower income housing.

Implementation Action HE-1.1.3 Annexations
The City is in the process of completing the annexation of the Vista Lucia area within the first three years of the planning period, which will add a significant amount of residential units to the City’s housing inventory and promote housing mobility. This process will also identify any infrastructure needs to serve the annexation. The City anticipates completion adoption of the Vista Lucia Specific Plan area in February 2025, at which point the area will be prezoned. The City will then immediately file an application with LAFCO in February 2025, with approval of the annexation anticipated within 6 months. Occupancy is anticipated by the end of 2027. • Completion of Outstanding Agreements (December 2024)
• Final EIR / Mitigation Monitoring Reporting Program (January 2025) • Public Hearings at PC / CC (January and February 2025) • LAFCO Application & Hearings (February 2025, then June/July 2025) Geography Vista Lucia Annexation and APN 020-181-004
Responsibility Community Development Department
Funding Source General Fund
Timeframe Refer to action text for specific dates.

Objective Accommodate 1,247 units of the City’s RHNA.

Sections 1-3. p. 21
Implementation Action HE-1.1.4 Affordable Housing Overlay Rezone The City will implement an Affordable Housing Overlay (AHO) on sites used to meet the lowerincome RHNA identified in Table 9 (Sites 1 - 6). The sites inventory has identified 13.66 acres of land across six parcels zoned Industrial with a General Plan Designation of Industrial/Manufacturing that will yield a at least 273 units to meet the lower-income RHNA.

The AHO will comply with all provisions set forth in Government Code section 65583.2 (h) and (i), as listed below.
• Permit owner-occupied and rental multifamily uses by-right and not require a conditional use permit or other discretionary review or approval for developments in which 20 percent or more of the total units are affordable to lower-income households. • Ensure that each site can accommodate at least 16 units per site and require that all residential development achieve a minimum density of 20 dwelling units per acre on sites with the AHO and allow 30 units per acre.
• Ensure development standards are appropriate for development to achieve maximum densities.

Geography Sites # 1 – 6 in Table 9.

Responsibility Community Development Department
Funding Source General Fund
Timeframe Concurrent with adoption of the Housing Element; Sunset at the end of the planning period
Objective Provide additional capacity to meet the City’s RHNA.

Implementation Action HE-1.2.1: Streamline Housing Development Review The City will remove constraints to housing development through the establishment of streamlined review processes, as required by state law. [New] Action (A): Develop a formalized procedure and preliminary application for the SB 35 streamlining approval process and post materials on the City’s website.

Action (B): Develop a supplemental application form for projects eligible under AB 2162 and post on the City’s website.

Action (C): Develop a pre-application form and procedure, or adopt the Preliminary Application Form developed by HCD, pursuant to SB 330 and post on City’s website.

Geography Citywide
Responsibility Community Development Department
Funding Source General Fund
Timeframe December 31, 2024
Objective Streamline development review for eligible projects, as required by State law.

Sections 1-3. p. 22
Implementation Action HE-1.2.2: Coordinate with Service Providers Provide the certified Housing Element to utility providers and to Gonzales Unified School District to ensure that public utilities and school facilities are made available to meet the expected housing growth in those areas where development is planned. In addition, given the City provides water and wastewater services, upon adoption of the housing element, the City will prioritize water allocation for new affordable housing development pursuant to Government Code section 65589.7. [Source: 2015-2023 Gonzales Housing Element HE-1.1.3, modified]
Action (A): Send an electronic and hard copy of the adopted Housing Element to utility providers and the Gonzales Unified School District within 60 days.

Action (B): Meet with service providers upon request to ensure that utility providers and Gonzales Unified School District understand the expected housing growth in Gonzales.

Action (C): Establish priority allocation procedures for water and sewer services pursuant to Government Code section 65589.7.

Geography Citywide
Responsibility Community Development Department; Public Works Department Funding Source General Fund
Timeframe
Action (A): Within 60 days of Housing Element adoption
Action (B): Within 30 days of receipt of request
Action (C): Within 60 days of Housing Element adoption
Objective Ensure housing growth aligns with public utility and school facility availability.

Implementation Action HE-1.2.3: Objective Development Standards The City will amend its Zoning Code to include development standards that are clear, objective, and compliant with state law. [New]
Action (A): Eliminate density limits and develop form-based objective development standards for the Downtown Mixed Use (MU) and Downtown Mixed Use-Commercial Core (MU-CC) zone districts. Align the objective development standards with single-room occupancy (SRO) housing.

Action (B): Present a recommended ordinance regarding the elimination or reduction of parking minimums on commercial or residential uses in the MU and MU-CC zone districts to incentivize the redevelopment of downtown commercial lots and retain a mix of uses in the City’s commercial areas.

Action (C): Amend the City’s Zoning Code to use the reduced parking requirements for all multifamily projects (Government Code § 65915) and comply with the management standards for emergency shelters pursuant to state law (AB 139).

Geography Action (A-B): MU & MU-CC Zone Districts
Action (C): Citywide
Sections 1-3. p. 23
Action (D): I Zone District
Responsibility Community Development Department and City Council Funding Source General Fund
Timeframe
Action (A): June 30, 2025
Action (B): December 31, 2026
Action (C): December 31, 2025
Objective
Develop clear, objective development standards that comply with State law to increase certainty and accelerate housing production.

Reduce processing times by 30-45 days.

Implementation Action HE-1.2.4: Density Bonus Programs
The City will encourage the development of housing through density bonus programs. Density Bonus Law provides developers the option to maximize the use of a site and obtain concessions on land use regulations. [New]
Action (A): Amend the Density Bonus Ordinance to defer to statute and clarify that any local supplemental density bonus programs provide bonuses and incentives beyond those of State law.

Action (B): Pursuant to Government Code § 65914.7 (AB 2295 of 2022), amend the City’s Code to include the legislation that goes into effect on January 1, 2024, for the development of housing on local education agency (LEA) lands. City staff will conduct direct outreach to school districts annually to assess development opportunities.

Action (C): Amend the Zoning Code to include an Urban Agriculture Supplemental Density Bonus Program for projects including at least 500 square feet of edible garden space available to all residents in the development.

Action (D): Amend the Zoning Code to allow a Large Family Supplementary Density Bonus Program for rental developments of five or more dwelling units that provide more than thirtyfive percent (35%) of the rental units for large families (three-bedrooms), or at least twenty percent (20%) as 4+ bedrooms.

Action (E): Amend the Zoning Code to allow a Universal Design Supplementary Density Bonus Program for projects that incorporate the following Universal Design features in more than twenty percent (20%) of units, at a minimum: at least one stepless entry on an accessible path of travel, a complete livable entry floor, including 32 inches clear width doorways & hallways, and the provision of all environmental controls at accessible heights.

Geography Citywide
Responsibility Community Development Department and City Council Funding Source General Fund
Timeframe
Action (A): December 31, 2024
Action (B): January 1, 2024 – compliance with AB 2295, March 31, 2024 – December 31, 2031 – outreach
Action (C-E): December 31, 2025
Sections 1-3. p. 24
Objective
Maximize housing production and comply with State law. Facilitate the construction of five lower-income units to increase mobility opportunities in areas of higher-opportunity.

Implementation Action HE-1.2.5: Fee and Entitlement Transparency The City will update its website to include information required by State law to increase transparency regarding residential development project requirements and fees. [Source:
2015-2023 Gonzales Housing Element HE-9.1.1, modified]
Action (A): Post required information about development standards and fees on the City’s website along with relevant information on zoning, development standards, and affordable housing-related ordinances (Government Code § 65940.1).

Action (B): Develop and post a comprehensive list of the incentives available for housing development on the City’s website. This list will include information about the City’s density bonus programs, availability of fee waiver, deferral, and subsidy, and expedited review processes.

Action (C): Post required information regarding Post-Entitlement Permit Procedures, including a list of requirements, review timelines, and examples of complete, approved applications and permits for a variety of housing development projects, as required by Government Code § 65913.3.

Geography Citywide
Responsibility Community Development Department, Building Department, Finance Department
Funding Source General Fund
Timeframe Action (A-C): March 31, 2024, updated as needed thereafter Objective Increase transparency for residential development project applicants and comply with state law.

Implementation Action HE-1.2.6: Parking Standards
The City will amend the current parking standards to reduce any potential governmental constraints to residential development:

The City will either reduce the required guest parking for studio and one-bedroom units within multifamily developments or apply a parking space-to-units ratio (e.g. one guest parking space for every three units).

Geography Citywide
Responsibility Community Development Department & City Council Funding Source General Fund
Timeframe July 31, 2026
Objective Reduce potential constraints to development of smaller units Sections 1-3. p. 25
Implementation Action HE-1.3.1: Missing Middle Housing Production The City will establish development standards to encourage the development of missing middle housing and multi-dwelling unit housing types. Missing middle and multi-unit housing types include accessory dwelling units, duplexes, triplexes, fourplexes, townhomes, low-rise apartments, and SB 9 lot splits. In addition, the City will proactively promote the updated regulations through the City’s listserv, at Planning Commission and City Council meetings, and more broadly, to the development community. [New]
Action (A): Adopt ordinance to allow missing middle housing as a by-right use under the provisions of Senate Bill 10 of 2021 (Government Code § 65913.5) in applicable zones including planned community districts. Permit 10 units through updated SB 10 regulations.

Action (B): Review and amend the Development Code to incorporate objective standards to encourage these housing types in Residential Zoning Districts. Amendments may include increasing allowable heights and densities, reducing minimum lot sizes, and reducing setback requirements to facilitate more diverse housing types. The objective design standards will be developed to ensure that new missing middle and multi-unit housing is compatible with the scale of existing residential neighborhoods.

Action (C): Develop a bilingual Senate Bill 9 (Government Code § 65852.21 and 66411.7) fact sheet that includes information on the entitlement process to promote lot split opportunities.

The fact sheet will be posted on the City’s website and made available at City Hall. Permit 40 additional units using SB 9, including 30 in higher-opportunity areas.

Geography Citywide; R-1, R-1D, R-2 and Planned Community Zone Districts Responsibility Community Development Department & City Council Funding Source General Fund
Timeframe
Action (A): December 31, 2024
Action (B): July 31, 2027
Action (C): June 30, 2026
Objective Encourage the development of 50 units of missing middle housing.

Implementation Action HE-1.3.2: Zoning for a Variety of Housing Types The City will update its Zoning Code to accommodate a variety of housing types and comply with state law. (Source: 2015-2023 Gonzales Housing Element HE-1.1.1 & HE-1.1.2, modified) Action (A): Allow Permanent Supportive Housing, as defined in Government Code Section 65650, to be a by-right use in all zones where multifamily and mixed-uses are permitted. (California Government Code § 65650, AB 2162)
Action (B): Allow Low Barrier Navigation Centers to be a by-right use in zones where multifamily and mixed-uses are permitted, including the nonresidential zones where multifamily is permitted. (California Government Code § 65660)
Action (C): Allow Employee Housing, consistent with California Health and Safety Code, as follows,
Sections 1-3. p. 26
• H & S section 17021.5 which requires employee housing for six or fewer employees to be treated as a single-family structure and permitted in the same manner as other dwellings of the same type in the same zone,
• H & S section 17021.6 which allows no more than 36 beds in group quarters (or 12 units or less) designed for use by a single family or household to be treated as an agricultural use, and
• H & S section 17021.8 which requires that a development is subject to a streamlined, ministerial approval process and is not subject to a conditional use permit (CUP) if the development is an eligible agricultural employee housing development.

Action (D): Allow JADUs within all single-family dwellings and ensure all ADU/JADU requirements are compliant with State law. (Government Code § 65852.2) Action (E): Review site plan permit approval findings to identify and remove any potential constraints. Allow Residential Care Facilities for 7 or more persons as a permitted use in all zones residential uses of the same type, subject only to clear, transparent, objective standards.

In addition, permit group homes for six or fewer persons as a single-family use. (Health and Safety Code Section 1566.3)
Action (G): Allow Manufactured Homes – Amend the City’s Zoning Code to permit manufactured homes in the same manner, in the same zones, and only subject to the same requirements as other single-family residential uses. (Government Code § 65852.3) Action (H): Increase the allowable density in the R-2 zone district to at least 20 dwelling units per acre.

Action (I): Review existing Specific Plans to determine if amendments are needed to ensure consistency with State laws related to transitional housing, supportive housing, group homes, Low Barrier Navigation Centers, and ADUs. If deemed inconsistent with State law, the City will amend the Specific Plans to bring them into compliance.

Action (J): When 20 percent or more of the units are affordable to lower-income households on sites identified to accommodate the lower income RHNA that was previously identified in past Housing Elements, development shall be by-right at a density of at least 20 units per acre. (Government Code § 65583.2(i)).

Action (K): Include a broadened definition of family that provides zoning code occupancy standards specific to unrelated adults and does not limit the number of persons within the residence, and complies with fair housing laws. In addition, the City will amend the definition of emergency shelter to include other interim interventions, including, but not limited to, a navigation center, bridge housing, and respite or recuperative care.

Action (L): Clarify the definitions of transitional housing and supportive housing in the City’s Zoning Ordinance and permit as a residential use subject only to the restrictions that apply to other residential uses of the same type in the same zone.

Geography Citywide
Responsibility Community Development Department & City Council Funding Source General Fund
Sections 1-3. p. 27
Timeframe
Action (A-H, K, L): December 15, 2026
Action (I): December 15, 2025, review of Specific Plans December 15, 2026, amendments to Specific Plans, if deemed necessary for compliance with State law
Action (J): These provisions shall take effect upon adoption of the Housing Element.

Objective Ensure the Gonzales Zoning Code is compliant with State law.

Implementation Action HE-1.3.3: Accessory Dwelling Unit (ADU) Production Due to recent updates in State law, the City will update development standards for ADUs.

Additionally, the City will establish new programs to further promote the development of ADUs to help facilitate multi-generational living and reduce overcrowding. [Source: 2015-2023 Gonzales Housing Element HE-3.1.4, modified]
Action (A): Develop a pre-approved ADU program.

Action (B): Provide informational materials on the City’s website that contain information on ADUs and AB 916 allowances.

Action (C): Post an ADU hotline and an electronic copy of the California Department of Housing and Community Development ADU Handbook on the City’s website and make physical copies available at City Hall.

Action (D): Amend the Zoning Code to allow for the construction of one unrestricted ADU for every affordable ADU deed-restricted to lower and moderate-income residents for 15 years.

Action (E): Perform free on-site assessments for property owners interested in developing an ADU or JADU.

Action (F): Assist qualified homeowners with applications for HUD funding for ADU development.

Action (G): Maintain an inventory of ADU production and affordability. Affordability levels will be monitored through the development of an affordability survey. The survey will be sent to property owners on the City’s ADU inventory list on an annual basis.

Action (H): Determine if ADU production is occurring at the projected rate to meet the 6th cycle RHNA. If ADU development progress is determined to not meet the per-year average of the housing production goals when completing the Housing Element Annual Progress Report, the City will adopt an amendment to the ADU development regulations allowing two attached, one detached, and one JADU to further facilitate ADU production within six months.

Action (I): Explore the feasibility of allowing two ADUs with a shared wall as a means to facilitate the development of affordable housing, reduce overcrowding, and support multi-generational housing.

Action (J): Upon receipt of HCD’s comments on the City’s ADU Ordinance, update the ordinance consistent with State ADU law.

Sections 1-3. p. 28
Geography R-1, R-1D, R-2, MU, MU-CC Zone Districts
Responsibility Community Development Department & City Council Funding Source General Fund
Timeframe
Action (A-C): June 30, 2024
Action (D): December 31, 2024
Action (E-F): Ongoing
Action (G): Annually
Action (H-I): April 1, 2026 – determination
October 1, 2026 – Code amendment
Action (J): Within one year of receipt of HCD comments.

Objective 40 ADUs and JADUs in the planning period, with 60% of ADUs in areas of higher opportunity.

Implementing Action HE-2.1.1: Provide Incentives for Affordable Housing Use a variety of incentives to encourage affordable housing production, including but not limited to density bonuses, deferral or timed payments of development fees or dedications, streamlined permitting, and use of public funds to reduce development costs, such as use of CDBG, HOME, CHFA funds to make infrastructure improvements. Prioritize affordable incentives for residential development that includes affordable units for extremely low-income households and those with special needs. Additional implementation actions that address the need for housing for large families, individuals with disabilities, and farmworker housing are included in Program HE-2.2.2, HE-2.2.3 and HE-2.2.4, respectively.

Action (A): Establish a fee deferral program and establish effective partnerships with affordable housing developers and others interested in supporting an increase in housing stock to encourage the development of low and very low-income housing projects and special needs housing projects. The program will be designed to ensure the fee deferral would make the development of the housing units economically feasible in cases where they would not otherwise be feasible.

Action (B): Promote the use of innovative projects (such as planned unit developments) that help increase the number of affordable units. Where necessary to accommodate affordable units, residential density standards will be modified to allow smaller lot sizes, setbacks, and open space requirements. Concepts such as cluster development and zero-lot line housing will be considered, provided that projects meet the objective design criteria that are established by the City.

Action (C): The City will leverage partnerships with external organizations, such as affordable housing developers and service providers, to address the effectiveness of existing incentives and actions to support affordable housing for special housing needs groups on an every other year basis. Should additional incentives be necessary, the City will implement within six months.

Action (D): Broadly, the City will continue to build partnerships with affordable housing developers and service providers in the region to engage on a variety of activities, including Sections 1-3. p. 29
but not limited to, affordable housing development, identification of potential gaps in service, technical assistance on grant or other types of funding, and removal of potential governmental constraints to residential development or accessing services in the City. While this action is intended to be ongoing, the City will commit to engaging with external partners at least twice annually and implementing solutions within six months of identifying need.

Geography Citywide
Responsibility Community Development Department, Public Works Department, Planning Commission, City Council
Funding Source General Fund CDBG, HOME, CHFA
Timeframe
Action (A): December 31, 2025
Action (B): Adopt objective design standards by December 31, 2025, then ongoing
Action (C): Every other year, implement changes within six months of identifying need.

Action (D): At least twice annually, with implementation actions occurring within six months.

Objective
Incentivize the development of affordable housing, including the development of 10 lower-income units in areas of higher opportunity (such as the North and Eastern portions of the City).

Implementation Action HE-2.1.2: Prohousing Designation
Through addressing constraints to development and fair housing opportunity, the City will investigate the local feasibility to receive the Prohousing Designation from the California Department of Housing and Community Development. Receiving this designation will provide the City an advantage in applications for competitive funding sources, including the Infill Infrastructure Grant, Affordable Housing and Sustainable Communities Program, and Prohousing Incentive Pilot (PIP) exclusively eligible to Prohousing-designated communities.0F 1 Action (A): Review the implementation policies and programs to determine eligibility for the Prohousing Designation Program
Action (B): If eligible, submit an application for the Prohousing Designation Program. If received, the City will strive to maintain its designation by demonstrating a sufficient number of policies that significantly contribute to accelerating housing production.

Geography Citywide
Responsibility Community Development Department
Funding Source General Fund
Timeframe Action (A): May 30, 2024
Action (B): July 1, 2024
1 First round funding totals would support the City in receiving a direct allocation of up to $575,000.

Sections 1-3. p. 30
Objective
Obtain the Prohousing Designation to become more competitive in future housing, community development, and infrastructure programs.

Implementing Action HE-2.2.1: Pursue State and Federal Funding to Assist in Development of Special Needs Housing
Actively pursue funding from state and federal programs such as CDBG, HOME, Low Income Housing Tax Credits, Multi-family Housing Program and CHFA on an ongoing basis for development of affordable lower income housing for seniors, families, farmworkers, ELI households, and persons with disabilities, including persons with developmental disabilities.

Support funding applications by developers when the proposed projects are consistent with the goals and policies of the City’s General Plan.

In addition, the City will provide incentives to the development of special needs households listed above through one or more of the following incentives: priority processing, granting fee waivers or deferrals, modifying development standards, and granting concessions and incentives for housing developments that include specials needs housing.

Geography Citywide
Responsibility City Manager, Community Development Department, City Council Funding Source State and Federal Funding
Timeframe
Annually apply for funding
Establish appropriate incentives with developer at the pre-application phase
Objective Secure state and federal funding for the development of two housing project for special housing needs households, and/or at least 35 units.

Implementing Action HE-2.2.2: Housing for Large Families The City will encourage the development of housing that accommodates the needs of large family households in Gonzales. See also Program HE-1.2.4 for Implementation Actions related to Zoning Code amendments for large family household housing needs. [Source: 2015-2023 Gonzales Housing Element HE-3.1.4, modified]
Action (A): Draft a standard letter to be sent to applicants proposing or showing interest in a housing development of five units or more that lists the incentives available to them and encouraging the applicant to provide at least three bedrooms in at least 35 percent of the units to accommodate the needs of large family households. The letter can also be sent to listing offices when a property is put up for sale. The City will encourage the use of incentives through Program HE-4.3.1.

Action (B): Encourage new neighborhood areas approved through the specific plan process, or new subdivisions within the city boundaries to provide at least three bedrooms in at least 35 percent of the single-family units with other amenities such as open floor plans or large family rooms, or ADUs. This will be accomplished through meeting with developers within one month Sections 1-3. p. 31
of expressed interest to discuss the incentives available and provide technical assistance with the application of multiple incentives and/or concessions.

Geography Citywide
Responsibility Community Development Department & City Council Funding Source General Fund
Timeframe Action (A): March 31, 2024
Action (B): Ongoing
Objective Facilitate the development of housing for large households, with the goal of 100 housing units with three or more bedrooms.

Implementing Action HE-2.2.3: Housing and Services for Individuals with Disabilities The City acknowledges the diversity of individuals' abilities and the fact that many individuals experience temporary or permanent changes in their ability to perform tasks. With the goal of broadening services and housing options that are fully functional and accommodate the needs of people of all ages and abilities, the City will encourage the use of Universal Design features in housing and create a formalized procedure for reasonable accommodation requests. See also Program HE-1.2.4 for Implementation Actions related to Zoning Code amendments that incentivize projects that incorporate Universal Design features. [Source: 2015-2023 Gonzales Housing Element HE-3.1.3 and HE-3.1.5, modified]
Action (A): Create a Universal Design fact sheet and make available online and at the permit counter. The fact sheet will be made available in both English and Spanish.

Action (B): Meet with housing developers to encourage the incorporation of Universal Design features in tract homes.

Action (C): Amend Municipal Code to establish a simple, administrative procedure wherein persons with disabilities seeking equal access to housing may request reasonable accommodation in the application of zoning laws and other land use regulations, policies, and procedures. This action will replace the existing reasonable accommodations review process.

Action (D): Create a bilingual brochure on reasonable accommodation for the public and make available both online and at City Hall.

Geography Citywide
Responsibility Community Development Department, Building Department Funding Source General Fund
Timeframe
Action (A & D): July 31, 2025
Action (B): Annually
Action (C-D): December 15, 2026
Objective Facilitate 15 equitable housing access units for individuals of all ages and abilities throughout the planning period.

Sections 1-3. p. 32
Implementing Action HE-2.2.4: Farmworker Housing
The City will take an active role towards addressing this issue to ensure that farmworkers have access to adequate, safe, and affordable housing. See also Programs HE-1.2.4 and HE-1.3.2 for Zoning Code amendments that incentivize the development of affordable housing and a variety housing types. [Source: 2015-2023 Gonzales Housing Element HE-3.1.6, modified] Action (A): Continue to seek funding for farmworker housing through the Joe Serna Jr.

Farmworker Housing Grant Program at least every other year.

Action (B): Meet with surrounding jurisdictions and local organizations to collaborate on the implementation of the actions included in the Farmworker Housing Study and Action Plan for Salinas Valley and Pajaro Valley. Coordinate with the County of Monterey in their efforts to support and promote the development of farmworker housing (County HE Program H-5.G).

Action (C): Create a fact sheet on farmworker housing and make available online and at City Hall.

Action (D): Reach out to agricultural employers and non-profit developers operating in the region to identify site opportunities for the development of permanent housing for agricultural employees or rehabilitation of existing farmworker housing and provide technical assistance on funding applications and throughout the entitlement process, at least every other year.

Action (E): Amend the Municipal Code to adopt the opt-in provisions of the Farmworker Housing Act of 2019 (AB 1783 – Rivas).

Geography Citywide
Responsibility Community Development Department, Planning Commission, City Council
Funding Source General Fund, State and Federal Grant Funding Timeframe
Action (A & D): At least every other year.

Action (B): Biannually, at a minimum
Action (C): July 31, 2024
Action (E): December 31, 2025
Objective
Encourage the development of farmworker housing, particularly in the Northern and Eastern portions of the City, and reduce overcrowding, with a target of 90 units for farmworker housing. Target the rehabilitation of 45 farmworker housing units.

Implementing Action HE-2.3.1: Anti-Displacement Actions The City acknowledges the need to not only produce housing but preserve the existing housing stock and take action to prevent displacement of low-income communities and communities of color. [Source: 2015-2023 Gonzales Housing Element HE-4.1.1, 4.1.2, 4.1.3,

5.3.1, modified]
Action (A): Amend the Municipal Code to add commitments for Tenant Relocation Assistance that provides enhanced relocation payments beyond the requirements of CA Civil Code 1946.2 to Gonzales tenants earning low or moderate incomes evicted for no-fault just cause.

Sections 1-3. p. 33
Action (B): Post a bilingual (Spanish/English) fact sheet regarding the Tenant Relocation Assistance text amendment on the housing webpage of the City’s website.

Action (C): Assess options upon sunset of the Tenant Protection Act for eligibility of local provisions within the purview of State law.

Action (D): Maintain an active rehabilitation program by applying for the use of federal and state programs to assist lower-income homeowners and renters in the maintenance and rehabilitation of their properties.

Action (E): Continue to promote the preservation and rehabilitation of older homes and affordable homes at risk of conversion in Gonzales. Demolition of older homes will be discouraged unless: (1) the home poses a health or safety hazard and cannot be economically restored, or (2) the replacement housing will provide additional needed dwelling units and will be architecturally compatible with the neighborhood.

Action (F): Continue to implement the City’s Rental Housing Inspection program. Rental dwelling units, except units owned or managed by government agencies, are inspected every three years. [Source: 2015-2023 Gonzales Housing Element HE-4.1.2, not modified] Action (G): Monitor the continued affordability of the affordable housing projects in the City, including Gonzales Family RAD, South Canyon RAD (Casa de Oro, Los Ositos), Canyon Creek Apartments, and Fanoe Vista. The City will do so in cooperation with the developers and owners of the individual affordable housing projects.

Action (H): Establish or partner with the Monterey County Housing Authority to provide a listing of affordable units available Citywide and post a link on the City’s website. Include methods (in-person, online, mail) for providers to report vacancies and inform residents at public meetings and City outreach events.

Geography
Citywide, including Canyon Creek Apartments, Casa Santa Lucia, Casa de Oro, and Fanoe Vista, and portions of the City susceptible to higher displacement risk (areas West of Highway 101)
Responsibility Community Development Department, City Council Funding Source General Fund
Timeframe
Action (A): July 31, 2026
Action (B): Within 3 months of adopting ordinance of Action (A) Action (C): January 1, 2030 – December 31, 2031
Action (D-G): Ongoing
Action (H): By December 15, 2026
Objective
Maintain and rehabilitate 15 units of existing housing stock found in need of repair, replace 1 unit found in need of demolition, require code compliance for safer rental units, prevent displacement, and monitor the affordability of 174 affordable units, as well as ensure tenants are paid relocation payments for no-fault just cause throughout the duration of the planning cycle.

Sections 1-3. p. 34
Implementing Action HE-3.1.1: Homelessness Census
Participate in the biannual census of homeless persons in coordination with the Coalition of Homeless Services Providers.

Geography Citywide
Responsibility City Manager
Funding Source General Fund
Timeframe Every other year
Objective Assess and address the housing needs of individuals experiencing homelessness.

Implementation Action HE-3.1.2: Housing Choice Voucher Collaboration The Housing Choice Voucher Program (Section 8) is a federal subsidy program that helps families afford market-rate, private rental housing. Furthermore, landlords housing Section 8 tenants benefit from federally guaranteed rental income. Under State law (SB 329 and SB 222), landlords in California are legally required to accept rental applications from applicants using Section 8 and VASH vouchers and other forms of rental assistance. [New] Action (A): The City will continue to require developers utilizing tax-exempt financing to include language in agreements with the City permitting persons and households eligible for HUD Section 8 rental assistance or Housing Choice Voucher holders to apply for below-marketrate units provided in the development.

Action (B): The City will monitor the status of the Section 8 waiting list on a quarterly basis and issue a citywide notification via the City’s mailing list upon periodic opening of the waiting list, with a goal of reaching 100% of qualifying households.

Action (C): Assist the Housing Authority in holding annual informational meetings and discussions with property owners to expand the number of developments that accept HCV program tenants. In these efforts, the City will assist the Housing Authority in ensuring outreach efforts reach moderate resource areas.

Geography Citywide; with a focus on higher-opportunity areas.

Responsibility Community Development Department
Funding Source General Fund
Timeframe
Action (A): Ongoing
Action (B): Quarterly, beginning March 31, 2024
Action (C): Annually
Objective
Increase the number of property owner/landlord that accept HCV in moderate resource areas by 25%, in higher resource areas by 30%, and reach 100% of qualifying households to support housing mobility for lower-income and special needs households.

Sections 1-3. p. 35
Implementing Action HE-3.2.1: Design Guidelines
Adopt Neighborhood Design Guidelines as part of each new Specific Plan, supporting development of environmentally conscious neighborhoods comprise of compact, pedestrianand bicycle-friendly areas where residences are within walking distance to commercial services, schools and recreation facilities.

Geography Specific Plan Areas
Responsibility Community Development Department; City Manager, Planning Commission, City Council
Funding Source General Fund
Timeframe Upon adoption of specific plans
Objective Ensure new development minimize environmental impacts through design requirements.

Implementing Action HE-3.3.1: Water and Energy Conservation Energy conservation in housing not only saves tenants and homeowners money but also contributes to a more sustainable future. To promote energy conservation in housing, the City will develop informational materials to provide to the public. The City will also The City will continue to promote ways to reduce monthly home water bills.

Action (A): Continue to require new houses to utilize low-flow toilets, low-flow shower heads, and low flow faucets consistent with the requirements of the Monterey County Water Resources Agency.

Action (B): Continue to require the use of drought-tolerant landscaping within new developments during the entitlement review process (as specified in the State Model Landscape Ordinance).

Action (C): Support new water retrofitting programs undertaken by the Monterey County Water Resources Agency, such as providing free low flow plumbing fixtures to existing customers in Gonzales.

Action (D): Continue to increase the City’s reliance on renewable energy sources through the microgrid joint project between the new Gonzales Electric Authority and Concentric Power.

This will be accomplished through the monitoring of the project and annual meetings between the Gonzales Electric Authority and Concentric Power.

Action (E): Develop bilingual (English and Spanish) utility bill inserts that encourage the use of energy-efficiency programs and energy conservation methods.

Action (F): Develop a bilingual brochure (English and Spanish) with information energy conservation programs and make available online and at City Hall.

Action (G): Host an annual Earth Day celebration to raise awareness of the energy conservation programs available, as well as educate individuals about the benefits of energy efficiency and provide actionable tips on conserving energy. A flyer for the event will be posted on the City’s Sections 1-3. p. 36
website and social media, and will be distributed to local organizations, including Gonzales Unified School District.

Geography Citywide
Responsibility Public Works Department, Community Development Department Funding Source General Fund
Timeframe
Action (A-C): Ongoing
Action (D): Annually
Action (E): Biannually
Action (F): December 31, 2024
Action (G): Annually (April)
Objective
Promote energy and water conservation, with a target of reducing residential water use by 15% and increasing the use of energy conservation programs by 15%.

Implementing Action HE-4.1.1: Fair Housing Information, Education, and Enforcement
The City will increase awareness of and connect individuals and households to resources available to them to meet the need for immediate shelter and other essential services and support. [Source: 2015-2023 Gonzales Housing Element HE-3.1.2, modified to educate tenants and landlords on their rights and responsibilities under fair housing laws] Action (A): Continue to provide information sheets at City Hall about the 211-phone system and post a link to the City’s website that guides users to the 211 Monterey County website.

Action (B): Continue to make an updated version of “Sam’s Guide to Monterey County Resources” available at City Hall and post the guide on the City’s website.

Action (C): Post information about the HCV Program on the City’s website including income eligibility, landlord resources, program fraud hotline, HCV Family Self-Sufficient Program, and a link to the HCV application hosted by the Housing Authority of the County of Monterey. The information will also be made available in Spanish.

Action (D): Distribute a tenant and landlord rights toolkit in collaboration with housing advocacy groups. The toolkit will include information about the identification of fraud related to mortgages, lending and foreclosure, evictions, discrimination, harassment, reasonable accommodations, housing conditions and repairs, filing a complaint, legal entry, security deposits, and reporting violations. The toolkit shall be made available both on the City’s website and at City Hall. The toolkit will also be made available at the annual Housing Resource Fair of Implementation Action HE-4.1.1(E).

Action (E): Host an annual Housing Resource Fair to share information about affordable housing, tenant and landlord rights, first-time homebuyer education, City programs, and energy conservation. The City will invite partner organizations and service providers to attend and share information with attendees. Interpretation and translation services will be made available to ensure that all information developed and disseminated is made available to Sections 1-3. p. 37
individuals with limited English proficiency. The City will, at a minimum, publicize the Housing Resource Fair one month in advance of the event via social media and the City’s website.

Action (F): Partner with fair housing service providers, faith-based institutions, Gonzales Unified School District, community-based organizations, and local newsletters or message boards to ensure fair housing information and resources reach linguistically isolated and underserved populations.

Action (G): Refer all fair housing complaints to service providers including California Rural Legal Assistance and Legal Services for Seniors.

Action (H): Partner with the Monterey County Association of REALTORS® to educate residents about first-time homebuyer assistance programs and overall education.

Geography Citywide, particularly in areas of higher displacement risk.

Responsibility Community Development Department
Funding Source General Fund
Timeframe
Action (A-B): Ongoing
Action (C): June 30, 2025, update as needed
Action (D): March 31, 2025
Action (E): Annually
Action (F & H): December 31, 2024, ongoing annually thereafter Action (G): Immediately upon adoption, ongoing thereafter Objective
Educate a total of 20 tenants and landlords per year on fair housing laws and resources available to promote increased housing stability, fair housing practices, and affirmatively further fair housing.

Implementation Action HE-4.2.1: Annual Reporting
The City will assess the effectiveness of Housing Element implementation on an annual basis and will provide an opportunity for the public to learn about and provide feedback on the effectiveness of the housing programs. [Source: 2015-2023 Gonzales Housing Element HE8.1.2, modified] Action (A): Assess the City’s progress towards Housing Element implementation and complete the Housing Element Annual Progress Report (APR).

Action (B): Facilitate a public workshop to promote awareness of the progress made towards the implementation of the Housing Element programs.

Action (C): Submit the APR to HCD.

Geography Citywide
Responsibility Community Development Department, Planning Commission, & City Council
Funding Source General Fund
Timeframe Action (A): Annually
Action (B): Annually, prior to April 1
Sections 1-3. p. 38
Action (C): Annually, by April 1
Objective Maintain capacity at all times to accommodate the RHNA by income group throughout the entire planning period.

Implementation Action HE-4.3.1: Developer Engagement
The City recognizes the importance of continued stakeholder engagement after adoption of the Housing Element. The City will continue to develop relationships with developers to encourage housing production and ensure the incentives made available by the City are effective. [Source: 2015-2023 Gonzales Housing Element HE 2.1.3, HE-2.1.5 & HE-3.1.1, modified]
Action (A): Develop and distribute a survey that seeks feedback from developers on the effectiveness of the incentives created through the Housing Element in Gonzales.

Action (B): Invite non-profit housing providers in the Gonzales housing market to meet with City staff to promote the use of incentives available and encourage projects incorporating affordable residential units. The City will do so by dedicating staff time to provide information and technical assistance to property owners and developers.

Action (C): Partner with housing developers to pursue funding opportunities at the regional, state, and federal levels to create housing for extremely low-income households and those with special needs.

Action (D): Develop a marketing package to raise awareness of the newly formed incentives and post to the City’s website, make available to City Hall, and send to housing developers, real estate professionals, property owners, and local organizations.

Geography Citywide
Responsibility Community Development Department
Funding Source General Fund
Timeframe
Action (A): Annually, beginning January 2025
Action (B): Biannually
Action (C): Ongoing
Action (D): June 30, 2025, update as needed
Objective
Monitor the effectiveness of programs, procedures, and other incentives and secure funding for housing development and partner with a housing developer on at least one application.

Implementation Action HE-4.3.2: Place-based and Anti-Displacement Strategies The City shall take the following actions to encourage place-based revitalization and improve access to resources and opportunities Citywide, but with a particular emphasis on neighborhoods with a concentration of lower-income residents who often face additional barriers in accessing resources:

Action (A): Support infrastructure planning and design for annexations, such as providing developers with technical assistance on grant funding applications, or other methods to assist Sections 1-3. p. 39
with off-setting infrastructure costs. Complete at least one project during the planning period to assist with expanding infrastructure capacity.

Action (B): Prioritize projects that facilitate place-based revitalization through the City’s Capital Improvement Plan (CIP) and budget, such as projects that improve public infrastructure in deteriorating or underserved areas. Review funding opportunities that will allow the City to fund projects currently listed in the CIP to ensure community amenities and improvements, such as finalization of additional recreational spaces and street and sidewalk improvements, on an annual basis and apply as they become available. Apply for supplemental funding to support CIP projects at least twice during the planning period.

Action (C): Finalize existing projects in the Capital Improvement Plan centered on street and sidewalk improvements, including but not limited to, implementing the recently identified Safe Routes to School areas. Improvements to divert heavy industrial commercial and agricultural traffic away from major school crossings are in place and the City shall complete at least two improvements related to sidewalks and/or active transportation during the planning period.

Action (D): Support growth by increasing community services and amenities. The City shall execute the Capital Improvement Plan by completing at least two projects that promote public safety, such as those supporting public safety and emergency response services.

Action (E): Facilitate place-based revitalization and promote healthy environments for new or newly-constructed housing by implementing bikeways, trains, sidewalk, and intersection improvements to promote active transportation. Apply for funding from programs such as the Active Transportation Program, Safe Routes to School, Highway Safety Improvement Program, or other similar programs as NOFAs are available, at least once per year. Complete an average of one active transportation or street improvement a year.

Action (F): Promote commercial opportunities in the City in conjunction with new development.

Action (G): Meet with school district representatives by December 2026 to analyze whether housing security poses a barrier to student achievement. As affordable projects are completed, require developers to coordinate with the school district to market households to teachers or other school employees (not including projects that are exclusive to senior residents) with the goal of connecting at least 5 district households with affordable housing opportunity. In addition, work with the school district to assist in securing grant funding for teacher recruitments and other incentives for teachers to facilitate positive learning environments citywide.

Action (H): Work with Monterey-Salinas Transit (MST) to increase awareness of available transit options. The City will meet with MST Transit at least twice during the planning period to strategize how best to reach at least 50 residents with this information.

Geography Citywide
Responsibility Community Development Department
Funding Source General Fund; grant funding and other sources Timeframe Action (A) – (H): Timeframes listed individually Sections 1-3. p. 40
Objective
Increase place-based strategies throughout the City, focusing on neighborhoods that are lower-income. Individual action objectives listed in the action text.

2.4 Quantified Objectives
Table 4 below summarizes Gonzales' quantified housing objectives for the 2023-2031 Housing Element planning period.

Table 4: Quantified Objectives, City of Gonzales, 2023-2031 Program Types Extremely
Low-Income
Very LowIncome Low-Income ModerateIncome
AboveModerate
Income
New Construction 50 175 399 176 792
Rehabilitation 2 23 25 10 0
Conservation 12 0 15 0 0
ADUs/JADUs 6 6 12 12 4
Total 68 204 451 203 796
Sections 1-3. p. 41
SECTION 3: HOUSING SITES

3.1 Background
Under Government Code Section 65583(a)(3), the City must identify suitable sites with enough capacity to fulfill its fair share of regional housing needs, as determined by the Association of Monterey Bay Area Governments (AMBAG) Regional Housing Needs Assessment (RHNA).

These sites can include vacant sites that currently allow, or those that will allow through a rezone action, residential development and underutilized sites that are capable of being redeveloped to add or increase the number of residential units. Cities may receive credit towards their RHNA for planned, approved, and pending residential projects, as well as projected development of accessory dwelling units. Gonzales has a RHNA of 1,266 units, divided among the following income categories:

Table 5: Gonzales Regional Housing Needs Allocation, 2023-2031 Jurisdiction Very Low Income
(<50% AMI)
Low Income
(50-80% AMI)
Moderate Income
(80-120% AMI)
Above Moderate
Income
(>120% AMI)
Total
Gonzales 173 115 321 657 1,266
Source: Association of Monterey Bay Area Governments (AMBAG), 2023

3.2 Projected Development and RHNA Credits

3.2.1 ADUs & JADUs
An Accessory Dwelling Unit (ADU) is a secondary living unit found on residentially zoned property with an existing single-family or multifamily residence. ADUs are characterized by their compact size and offer affordable housing options for various groups, including students, in-home health care providers, persons with a disability, the elderly, among others. ADUs have a few variations, including detached, attached, converted existing space, and junior ADUs (JADUs). JADUs are a specific type of conversion of existing space that is contained entirely within an existing or proposed residence.

Recent legislative changes in California have streamlined the permitting and production process for ADUs, leading to an increase in their numbers. From 2018 to 2022, the City issued an average of five ADU permits annually, ranging from two to 11 permits per year.

Table 6: ADU Permits Issued or Completed by Year in Gonzales Year 2018 2019 2020 2021 2022 2023 Total
ADU Permits 2 2 2 3 11 10* 30
Source: 2018-2022 Housing Element Annual Progress Reports; 2023 City of Gonzales Permit Data As of July 1, 2023, five ADU permits have been issued. It is anticipated that five more ADUs will have been issued permits by the end of the year. Per state law, jurisdictions may count the potential for ADU development as credits towards their RHNA. The City foresees a continued upward trend in ADU development throughout the planning period and is actively supporting Sections 1-3. p. 42
this assumption with various programs designed to facilitate and incentivize the production of ADUs. For the purpose of the Housing Element, it is assumed that ADU production will continue at the same pace experienced since 2018, resulting in 40 ADUs counted toward the 2023-2031 RHNA.

Although Gonzales is not located in the Association of Bay Area Governments (ABAG) region, the regional analysis of the affordability levels of ADUs conducted by ABAG serves as the basis for the affordability assumptions of ADUs anticipated to be produced during the planning period. The ABAG ADU affordability analysis indicates assumed affordability levels of 30% of ADUs to very low-income households, 30% to low-income households, 30% to moderateincome households, and 10% to above-moderate-income households.

Because there is a lack of available regional affordability analysis for ADUs, the City then used rental rates for one- and two-bedroom units as a proxy for ADU rental rates. According to data from 2017-2021 ACS 5-year estimates, the median gross rent for one-bedroom units in Gonzales is $944, while for two-bedroom units, it is $1,246. Very low-income households in the area can afford between $1,053 for one-person households and $1,505 for four-person households in monthly housing costs without facing cost burden1. Based on the median gross rent of one- and two-bedroom units and the affordability of very low-income households, ADUs are a suitable option to contribute towards the City's lower-income RHNA. Gonzales assumes 60% of its anticipated ADU production will be affordable to the low-income households, 30% will be available to moderate-income households, and 10% will be available to abovemoderate households. As shown in Table 7, 40 units are anticipated to be built over the planning period. Of the 40 units, 24 are anticipated to be affordable to low-income households, 12 to moderate-income households, and four to above-moderate households.

3.2.2 Planned, Approved and Pending Projects
As shown in Table 7, there is one planned project in Gonzales anticipated during the planning period: the Community Housing Improvement Systems and Planning Association (CHISPA) project. While initially this planned project included the construction of a multifamily residential complex consisting of thirty-six (36) units, the project is undergoing a project re-scope and will not be counted towards meeting the RHNA.

Table 7: Planned, Approved, and Pending Projects for RHNA Credit Project LI MI AMI Total Status Resource
Area
Anticipated
Occupancy
CHISPA
498 S Alta
TBD TBD TBD TBD Rescoped High Project being
rescoped*
Sections 1-3. p. 43
Figure 2: Location of Planned, Approved, and Pending Projects Sections 1-3. p. 44

3.2.3 Capacity from Approved Projects and Projected Units As shown in Table 8, the City is able to take credit for approved projects and projected ADUs as a way of meeting a portion of the RHNA. The City is relying on the CHSPA project to meet a portion of the lower and moderate RHNA and has assumed ADUs will accommodate units in all income categories. After taking credit for these units, Table 8 shows a remining RHNA of 1,190 units.

Table 8: RHNA Credits
Lower
Income
Moderate
Income
Above Moderate
Income Total
2023 – 2031 RHNA 288 321 657 1,266
Projected ADUs/JADUs 24 12 4 40
Total Capacity 24 12 4 40
Remaining RHNA 264 309 653 1,226
Sections 1-3. p. 45

3.3 Vacant Sites to Meet the RHNA
Table 9 depicts the vacant sites available to accommodate the City’s remaining RHNA. An analysis of realistic capacity and site suitability can be found in Section 3.4.

Table 9: Capacity of Sites Allowing Residential Development Site # Site Address APN Zone General Plan Acreage Allowable Density
Realistic
Capacity**
Income
Category
1 1 N. Alta Rd. 020-011-001 I Industrial/ Manufacturing 3.22 20 64 Lower 2 1 Katherine St. 223-081-015 I Industrial/ Manufacturing 2.00 20 40 Lower 3 1 Katherine St. 223-081-013 I Industrial/ Manufacturing 2.18 20 44 Lower 4 1 Katherine St. 223-081-012 I Industrial/ Manufacturing 2.27 20 45 Lower 5 1 Katherine St. 223-081-016 I Industrial/ Manufacturing 2.00 20 40 Lower 6 1 Katherine St. 223-081-014 I Industrial/ Manufacturing 1.99 20 40 Lower 7 Gloria Rd. 223-032-019 R-2 Highway Commercial 20 16 240** Moderate 8A * El Camino Real 223-032-020 R-2 Low-Density Residential 3 16 36** Moderate 8B * El Camino Real 223-032-020 R-1- PUD Low-Density Residential 135 7 709** Above Moderate Total 1,258
Source: City of Gonzales, September 2024
1Capacity on sites 1- 6 is based on implementation of Action HE-1.1.4, which applies an affordable housing overlay consistent with Government Code section 65583.2, subdivisions (h) and (i). However, this overlay will sunset at the end of the planning period. * Sites 8A and 8B were identified in the 5
th Cycle Housing Element but were not assumed to meet the lower income RHNA. ** Sites 7, 8A, and 8B have a realistic capacity assumption of 75% of the maximum allowable densities.

Sections 1-3. p. 46
Figure 3: Available Sites Map
Note: As shown in Table 9, Sites 7, 8A, and 8B only use portions of the site located within city limits for RHNA purposes.

Sections 1-3. p. 47

3.3.2 Nonvacant & Underutilized Sites - Not Assumed to Meet the RHNA Table 10 identified seven nonvacant sites that have potential for residential development.

While the City is not relying on these sites to meet the RHNA however, these sites will provide additional capacity as they are development and have been included to provide additional surplus.

Table 10: Nonvacant and Underutilized Sites
Site # Site
Address APN Zone General Plan Total Acreage
Developable
Acreage
Realistic
Capacity
Assumed
Affordability
9 301 Day St 020-111-
019 R-1D Low-Density Residential 1.21 0.79 3
Above
Moderate
10 428 Day St 020-121-
002 R-2
Medium Density
Residential 0.89 0.74 8
Moderate
11 617 Elliott
Ave
020-181-
004 R-2 Unincorporated 1.30 0.8 8
Moderate
12 250 S Alta
St
020-055-
017 MU Downtown Mixed Use 0.27 0.27 12 Moderate
13 500 S Alta
St
020-041-
015 I
Industrial /
Manufacturing 11 1.41 9
Moderate
14 46 7th St 020-076-
010 MU Downtown Mixed Use 0.14 0.12 2
Above
Moderate
15 810 Alta St 020-085-
005
MUCCDowntown Mixed
Use 0.32 0.10 1
Above
Moderate
Total 43
The existing and underutilized sites indicated in the Nonvacant and Underutilized Sites inventory are expected to continue. City staff intends to share the re-development potential of each property with owners and inheritors and give incentive to explore re-investment in these community assets.

Sections 1-3. p. 48
Site #9 is a 1.21-acre site
developed with a singlefamily residence on a

0.42-acre area of the
parcel. The site is zoned
R-1D and has the
capacity for an
additional three (3)
moderate-income units.

Site #10 is a 0.89-acre
property located to the
north of Day Street,
between 4th and 5th
Street. Approximately

0.15 acres of the site is
developed with a singlefamily residence. The
site has additional
capacity for an
additional 8 moderateincome units.

Sections 1
-3. p. 49
Site #11 is a 1.30-acre,
non-vacant property
within the City’s Sphere
of Influence. The site is
developed with two
single-family residences
and has the
development potential
for additional residential
development. Program
HE-1.1.3 has been
included to ensure the
annexation of the site is
completed within three
years of the planning
period.

Site #12 is a 0.27-acre
property that is
developed with one
motel. The opportunity
site is zoned Mixed Use
(MU) and is located to
the north of South Alta
Street, between A and B
Street. The site presents
a conversion
opportunity for 12
single-room occupancy
units affordable to lower
income households.

Development trends in
the surrounding area
show that three hotels
have been acquired and
converted into
permanent housing in
the nearby jurisdiction of
Salinas. See Section 3.4.
for additional
information.

Sections 1-3. p. 50
Site #13 is an 11-acre site
that is currently
developed with an
industrial use. The site
contains an opportunity
for the development of
nine (9) residential units
on a 1.41-acre portion of
the parcel. To help
facilitate housing
development for
moderate-income
households on the site, a
workforce housing
overlay will be applied to
the developable
acreage.

Sites #14 and #15 are
nonvacant parcels that
have the development
potential to be
revitalized with the
development of
residential units. The
former commercial uses
have been discontinued
for nearly a decade.

Sections 1-3. p. 51
Sections 1-3. p. 52
Figure 4: Location of Housing Sites

3.4 Development Trends and Realistic Capacity Analysis
The regulations pertaining to the Housing Element mandate that local governments must demonstrate through analysis that the areas designated for lower-income families are adequately zoned to promote this type of development. To fulfill this requirement, the law outlines two methods: firstly, by detailing market conditions, economic viability, and patterns in recent construction; or secondly, by applying predetermined density benchmarks that are considered sufficient for passing the relevant zoning criteria. As specified by the State legislation (referencing California Government Code Section 65583.2(c)(3)(B)), the established default density threshold for Gonzales is set at 20 housing units per acre.

Sections 1-3. p. 53
While Gonzales lacks recent development from which to measure trends, data provided by the adjacent jurisdiction City of Soledad shows that the built densities of all recent single-family and multifamily developments are approximately equal to the allowed density and are often greater. Although the data suggests a realistic capacity of 99%, the Housing Element assumes sites identified to meet the lower-income RHNA will be built using the minimum density of 20 dwelling units per acre, as set forth in Government Code section 65583.2 (h). All calculations were rounded down.

Table 11: Realistic Capacity Project Examples in Soledad Project
Name Affordability Acres Project Status
General
Plan /
Zoning
Total
Units
Max.

Units
Built
Density
Realistic
Capacity
Liberty
Court Mixed 4.2 Under Construction
SFR /
R-1
27 31 6.4 du/ac 87%
Vintage
Estates Market-Rate 29.95 Under Construction
SFR /
R-1
163 217 5.4 du/ac 75%
1428
Monterey
St.

Mixed 1.3 Under
Construction
MDR /
R-2
20 16 15.4
du/ac 125%
230 8th St. Mixed 2.8 Approved2022
MDR /
R-2
42 34 15
du/ac 124%
Las
Viviendas Mixed 5
Under
Construction
HDR /
R-3
92 110 18.4
du/ac 84%
Average 99%
Source: City of Soledad, 2023
Sections 1-3. p. 54

3.5 The Vista Lucia Specific Plan Annexation
The Vista Lucia Annexation project is located on approximately 770 acres in the northeast area of Gonzales. The project is located within the City’s Sphere of Influence (SOI) and is comprised of two neighborhoods: Santa Lucia (Village One) and Gabilan (Village Two). It is anticipated that the project will be developed in phases, with Village One developing during the Housing Element planning period. Village One includes five land use designations: Neighborhood Residential Low, Neighborhood Residential Medium, Neighborhood Residential MediumHigh, Neighborhood Residential High, and Neighborhood Commercial/Mixed-Use. Twenty acres of land is designated as Neighborhood Residential High and will be dedicated for lowerincome housing. As shown in Table 6, a total of 1,247 units are anticipated to be built as part of Village One and will be distributed amongst the various income categories.

Table 7: Vista Lucia Annexation Capacity
Project LI MI AMI Total Status Resource
Area
Anticipated
Occupancy
Vista Lucia
Annexation
Project
429 26 792 1,247 Planned High 2027
Total 429 26 792 1,247
While the City is not relying on capacity from the Vista Lucia Annexation project to meet the RHNA until annexed into the City, the progress towards development, which is anticipated before the end of the planning period with occupancy planned for 2027, is detailed below.

Program HE-1.1.3 has been included in the Housing Element committing the City to completing the annexation before the end of the planning period.

Status of Work done to date (May 2024)
• Applicant Re-Submittal and Completion of Draft Specific Plan • Submittal of First Tentative Map
• Adoption of LAFCO Ag Mitigation Policy
o Ongoing "Good Faith" Effort
o Phased Annexation Approach
• Draft Development Agreement Nearly Completed
• Draft Affordable Housing Agreement Nearly Completed
• Draft Environmental Impact Report Circulated to Public Review • Meetings with Gonzales Unified School District on School Site / Completion of Agreement
• Meetings with LAFCO Staff
• Progress on Project Staff Reports & Exhibits, LAFCO Plan For Services Status of Anticipated work ahead
• Complete Outstanding Agreements (December 2024)
Sections 1-3. p. 55
• Final EIR / Mitigation Monitoring Reporting Program (January2025) • Public Workshop. with Planning Commission and City Council together (October 2024
• Public Hearings at Planning Commission /City Council (January and February 2025) • LAFCo Application & Hearings (February 2025, then June/July 2025) To create a balanced approach to housing in the future, the City initiated the “NeighborhoodCentered Growth” concept (City of Gonzales 2010 General Plan, Chapter II: Land Use, Page II19), which focused on “affordability by design.” (City of Gonzales 2010 General Plan, Chapter IV: Housing, Page IV-55) The goal of these concepts is to build neighborhoods comprised of “a variety of housing types that create an interesting residential character suited to a variety of living situations and income status.” Within a 3/8 mile radius, each neighborhood should include a school, a central park, neighborhood-serving commercial, and civic/public uses, all of which are intended to provide those services needed to support housing for all income levels. The Vista Lucia Specific Plan proposal does just this.

These concepts require that the Vista Lucia Specific Plan incorporate an overall minimum average density of 7 dwelling units per acre. (City of Gonzales 2010 General Plan, Chapter II:

Land Use, Page II-38) To reach this goal, the City requires that:
• at least 15% of all new development be zoned high density (15-24 du/acre of attached housing),
• at least 15% be zoned medium-high density (9-15 du/acre of attached and detached housing), and
• at least 15% be zoned medium density (6-9 du/acre) (City of Gonzales 2010 General Plan, Chapter II: Land Use, Page II-38).

At these zoning densities, low and very low income households will be served by dwelling units constructed within the high density category (primarily rental units), low and moderate income households will be served by dwelling units constructed in the medium-high density category (rental and for- sale units), and workforce (above moderate) income households will be served by dwelling units constructed within the medium density category (primarily for-sale units).

To add greater specificity to the targets intended with the differing density requirements; • Low/Very Low Income—
o 211 High Density (VL-NRH Zoning) dwelling units—Walk-up apartments on 10 acres (Block 6 )
o 218 High Density (VL-NRH Zoning) dwelling units—Walk-up apartments on 10.7 acres (Block 7 )
o 26 Mixed Use (VL-NC/MU Zoning) dwelling units—Attached Units above office/retail on 1.6 acres (Block 8)
• Moderate Income –
o 127 Medium Density (VL-NRM Zoning) dwelling units—Cluster or Small-Lot homes on 14.2 acres (Block 3)
Sections 1-3. p. 56
High Density Apartment Site Called out. (Phase/Block 6) Sections 1-3. p. 57
Small lot detached homes sites called out. (Phase/Block 3) Furthering the vision of the City’s General Plan will be a Development Agreement and Affordable Housing Agreement tied to the Vista Lucia Specific Plan that puts teeth in the affordability of the development with thresholds and agreements put in place that include funding conventions and opportunities, infrastructure installation and new homebuyer education.

Accommodation of LAFCo Policy
While the City seeks to incorporate all ~770 acres of the Vista Lucia Specific Plan through our coming LAFCo application, recent policy determinations and guidance from LAFCo necessitate that the project be considered in smaller pieces. As the full plan will be realized over 30-35 years, this Policy approach from LAFCo to consider large projects in approximate 25% land area increments, actually reduces the project area to fewer 8 year cycles of the state requirements for housing element updates and RHNA unit distribution. Therefore, the City of Gonzales and project proponents are only proposing a tentative map that neatly accounts for 29% of the anticipated annexation area. The “Phase A” map below includes Low Density blocks, Medium Density blocks, High Density blocks, parks, promenades, a school site and will likely accommodate a new city fire station / public safety facility.

Sections 1-3. p. 58
Planning and finance efforts are fully being pursued as of the writing of this element (May 2024) to accommodate appropriate and timely Agricultural Resource Mitigation, wastewater systems capacity, water systems capacity, electrical power connection to regional utility systems, and to accommodate new and needed roadway and arterial access.

3.6 Summary of Site Suitability
The City has sufficient capacity to meet the RHNA relying on pipeline projects, projected ADUs, and vacant sites. While the City is planning to apply an Affordable Housing Overlay (AHO) (refer to Action 1.1.4) to sites 1-6, existing zoning is sufficient to meet the moderate and abovemoderate income RHNA.

The Department of Housing and Community Development has determined that sites that are identified to accommodate lower-income RHNA should range between 0.5 and 10 acres.

While none of the sites identified in the Sites Inventory for lower-income RHNA are larger than 10 acres, Program HE-1.1.2 and Program HE-1.1.3 have been included to help facilitate the development of housing on large sites used to meet RHNA for the moderate and abovemoderate income categories.

Sections 1-3. p. 59
As of the writing of this Housing Element Update (September 2024), the Vista Lucia Specific Plan is planned for prezoning in January and February 2025, and the LAFCo application will be submitted in February 2025. The anticipated LAFCo hearing is in June or July 2025. The plan will have thresholds and targets for the construction of the units affordable to lower income household within the timeline of this 6th Cycle Housing Element.

Sections 1-3. p. 60

3.6.1 Meeting the RHNA
As described throughout Section 3, the City has utilized a variety of strategies to meet the RHNA. In addition, there are strategies (Vista Lucia Annexation and nonvacant sites) that are, or will, become available during the planning period to provide additional capacity. Table 12A and Table 12B summarizes the strategies used to meet the RHNA.

Table 12A: Credit Towards Meeting the RHNA
Lower
Income
Moderate
Income
Above
Moderate
Income
Total
2023 – 2031 RHNA 288 321 657 1,266
Projected ADUs/JADUs 24 12 4 40
Total Capacity 24 12 4 40
Remaining RHNA 264 309 653 1,226
Table 12B: Comparison of the 6th cycle RHNA with the City’s Identified Capacity.

Lower
Income
Moderate
Income
Above
Moderate
Income
Total
Remaining RHNA 264 309 653 1,226
Vacant Site Capacity 273 276 709 1,258
RHNA Surplus 9 (33)* 56 32
Vista Lucia Annexation 429 26 792 1,247
Nonvacant Sites 0 37 6 43
Additional RHNA Surplus 438 30 854 1,322
* It is assumed that a combination of the lower- and above moderate income (density up to 7 du/ac) RHNA surplus with meet the moderate income need. Additionally, any development within the Vista Lucia Specific Plan and development on non vacant sites will add additional capacity.

Sections 1-3. p. 61

3.7 Programs to Assist in the Development of Housing
The City’s four Housing Goals contain a suite of policies and programs to ensure that the City can fulfill and maintain its RHNA over the eight-year planning period.

Specific program actions to support residential development include:

HE-1.1.1: Maintain Sites Inventory
HE-1.1.2: Large Sites Inventory
HE-1.1.3: Annexations
HE-1.2.1: Streamline Housing Development Review
HE-1.2.3: Objective Development Standards
HE-1.2.4: Density Bonus Programs
HE-1.2.5: Fee and Entitlement Transparency
HE-1.3.1: Missing Middle Housing Production
HE-1.3.2: Zoning for a Variety of Housing Types
HE-1.3.3: Accessory Dwelling Unit (ADU) Production
HE-2.1.1: Provide Incentives for Affordable Housing
HE-2.2.2: Housing for Large Families
HE-2.2.4: Farmworker Housing
HE-4.3.1: Developer Engagement

3.8 Fair Housing Considerations
Gonzales is categorized as a Moderate and High Resource area in the California Tax Credit Allocation Committee (CTCAC) Opportunity Area 2024 Composite Score. Gonzales' housing sites that fulfill the RHNA are primarily located within High Resource Areas. A comprehensive examination of fair housing conditions can be found in Section 5.

Sections 1-3. p. 62
Figure 5: CTCAC/HCD Opportunity Areas, 2024
Source: California Tax Credit Allocation Committee (CTCAC/HCD), 2024 Opportunity Maps

3.8.1 Improved & Exacerbated Conditions
Housing sites and pipeline projects are predominantly located within High Resource Areas with no concentration of sites for one income group. The Sites Inventory will result in improved conditions for fair housing in Gonzales.

3.9 Infrastructure Considerations
Gonzales is a full-service City providing water, wastewater, and solid waste services. The City has adequate infrastructure to accommodate the development of its RHNA, including water, sewer, and dry utilities. Infrastructure capacity is summarized below with a more detailed discussion of infrastructure included within the Technical Background Report.

As development within the City’s Sphere of Influence will add additional surplus to the RHNA obligations, Infrastructure will be upsized and conditioned upon phases of the pending specific plan project coming under construction, to serve going above and beyond meeting our housing needs under RHNA, at all income and demographic levels. No improvements are needed to meet the RHNA and serve the sites identified in the inventory. Future infrastructure needs for the annexation will be identified in the Vista Lucia Specific Plan.

Sections 1-3. p. 63

3.9.1 Water
Gonzales’ public water system is managed by its Public Works Department, and consists of four groundwater wells, pipes for distribution and conveyance, tanks for storage, and a control system. The City’s water system has sufficient capacity for the planned City buildout and SOI, including sufficient capacity to accommodate future demands during various hydrologic scenarios such as normal season, single dry season, and multiple dry seasons.

3.9.2 Sewer
Gonzales maintains wastewater collection system composed of pipes, manholes, lift stations, forced and gravity fed mains, and a trunk line that runs two miles to the wastewater treatment plant. This plant operates under a permit from the State Water Board.

The existing wastewater collection system serves all properties within the City. New development within the planned annexation areas would create an incremental increase in demand for wastewater treatment, and new development associated with the annexations will be required to prepare analyses and fund the needed upgrades to expand the system.

3.9.3 Solid Waste
Solid waste collection and disposal, mixed recycling, and green waste recycling are managed by Tri-Cities Disposal and Recycling. Solid waste (trash), mixed recycling, and green waste recycling in Gonzales are collected at all residences on Monday mornings, with street sweeping on Tuesday mornings. Curbside large item collection service is available at no extra charge, and customers can request pick up of up to five items, up to ten times per year.

The cities of Gonzales, Greenfield, and Soledad worked together to form a franchise to manage solid waste and recycling services. The franchise contract with Tri-Cities is administered by Salinas Valley Recycles (Salinas Valley Solid Waste Authority).

3.9.4 Dry Utilities
Gonzales energy and natural gas is provided by Pacific Gas & Electric (PG&E) with 60 kV transmission lines. Additionally, Central Coast Community Energy (3CE) is a community choice aggregation energy provider serving participating Gonzales residents utilizing PG&E’s existing network, along with a variety of rebates and incentives targeted at residential and commercial energy customers. Other dry utilities include:

Spectrum cable internet provides services to 95% of the City’s population.

The Internet for All Initiative is a partnership between the City of Gonzales and T-Mobile, through T-Mobile’s Empower ED 2.0 program providing internet services to the city’s residents.

Currently, 1,000 residents have benefited from the initiative.

T-Mobile, Verizon and AT&T are top mobile wireless carriers providing coverage for the city’s residents.

Sections 1-3. p. 64

3.10 Environmental Considerations

3.10.1 Fire
Fire Hazard Severity Zones (FHSZ) are demarcated areas created and mapped by CAL FIRE, which categorize zones based on factors such as fuel, slope, and fire weather conditions. These zones are classified into different levels of fire hazard severity, including moderate, high, and very high. While FHSZ does not forecast the exact occurrence or location of wildfires, it serves the purpose of identifying regions where wildfire risks are more pronounced and require increased attention.

Gonzales does not have any land that is within State-designated fire hazard zones (Figure 5).

Therefore, the displacement risk due to wildfire is relatively minor in comparison to the County.

Figure 6: Fire Hazard Severity Zones
Source: CAL FIRE Fire Hazard Severity Zones Database: 2023 Sections 1-3. p. 65

3.10.2 Seismic & Landslide Hazards
The City of Gonzales is situated in a region prone to seismic activity, with multiple active faults present in the surrounding area. The closest fault, the San Andreas Fault, is approximately 14.6 miles northeast of the city (Figure 6). The soil in the area is loosely consolidated, which increases the City's vulnerability to landslides during strong earthquakes. The City faces potential exposure to both direct and indirect impacts from earthquakes.

Figure 7: Earthquake Hazard Zones
Source: California Geological Survey, Earthquake Zones of Required Investigation Sections 1-3. p. 66
As depicted in Figure 7, a minor portion of the City is located in an area susceptible to landslide. The susceptibility to landslide is minor in comparison to the County and is only located on a small portion of land designated as Open Space.

Gonzales is relatively flat, located at an elevation of 135 feet (41 m). The city is surrounded by prime agricultural land in the heart of the 90-mile long Salinas Valley between the Sierra de Salinas and Gabilan Mountains. It is much less likely that the City will be impacted by landslide hazard due to its flat topography.

Figure 8: Deep-Seated Landslide Susceptibility
Source: California Geologic Survey Data Viewer, CGS Map Sheet 58 Sections 1-3. p. 67

3.10.3 Flood
Gonzales is situated in Special Flood Hazard Areas (SFHA), which are designated as high-risk zones that are susceptible to flooding from a storm event with both a 1-percent (100-year floodplain) and 0.2% (500-year floodplain) chance of occurring or being surpassed in any given year (Figure 8).

As depicted in the figure below, a small portion of the land in Gonzales is located in a 1-percent Annual Chance Floor Hazard Zone (a 100-year flooding scenario with base flood elevation determined). Two sites are within the 100-year flood zone. The 0.2-percent Annual Flood Hazard Zone (500-year flooding scenario) covers a larger portion of land in Gonzales. The location of sites within Floor Hazard Zones does not preclude development on these sites.

The 100-Year Flood Zone affects 3,432 residents, 54 residential properties valued at $24,099,061 and 55 non-residential properties valued at $48,318,809.2 Figure 9: Flood Hazard Zones
Source: FEMA National Flood Hazard Boundaries
Sections 1-3. p. 68

3.10.3 Special Status Species
Gonzales, along with the rest of the Salinas Valley, is recognized as a potential habitat for the California Tiger Salamander (CTS). While the California Natural Diversity Database has acknowledged a clustered CTS population northeast of Gonzales, there are no areas within the City's Sphere of Influence designated as "critical habitat" by the U.S. California Department of Fish & Wildlife.

In summary, environmental constraints were considered as part of the site selection methodology and do not constitute a constraint to development. In addition to the factors listed above, parcel shapes, right-of-way access, property conditions, easements, Williamson Land Act contracts, and agricultural land loss mitigation policies were also considered as part of the site selection methodology and do not pose a constraint to residential development.

3.11 Conclusion
Section 3 concludes the policy document of the Housing Element. The core of the Housing Element includes Section 1 (Introduction), Section 2 (Housing Strategy), and Section 3 (Housing Sites).

The supplemental sections of the Housing Element address technical research requirements to support the Housing Element policy document:

Section 4 (Technical Background Report) analyzes Housing Needs, Resources, and Constraints.

Section 5 (Fair Housing Assessment) analyzes fair housing conditions and Affirmatively Furthering Fair Housing (AFFH).

Appendices provide background context on sites, community engagement, and program implementation.

The City of Gonzales is well positioned to successfully implement the policies, programs, and actions of this Housing Element. The 2023 Housing Element serves the housing needs of the next eight years for current and future residents and fulfills the statutory requirements of the State of California.

The Housing Element demonstrates that the City has the housing sites and planned projects needed to address and surpass its Regional Housing Needs Allocation. Moreover, the selected sites are integrated throughout the City in consideration of existing and enhanced fair housing requirements. Programs have been identified to mitigate constraints to the production of housing, and to ensure that Gonzales can continue to be an affordable and vibrant community for a wide variety of residents in the years to come.

CITY of GONZALES HOUSING

ELEMENT UPDATE

SIXTH HOUSING ELEMENT CYCLE
2023-2031

TECHNICAL BACKGROUND REPORT &

FAIR HOUSING ASSESSMENT

ADOPTION DRAFT
January 2025

Sections 4-5 p. i

TABLE OF CONTENTS
SECTION 4: TECHNICAL BACKROUND REPORT................................................... 1

4.1 INTRODUCTION......................................................................................................................................... 1

4.2 HOUSING NEEDS ANALYSIS .................................................................................................................... 1

4.3 HOUSING RESOURCES ........................................................................................................................... 21

4.4 HOUSING CONSTRAINTS....................................................................................................................... 31 SECTION 5: FAIR HOUSING ASSESSMENT ......................................................... 55

5.1 BACKGROUND ......................................................................................................................................... 55

5.2 FAIR HOUSING ENFORCEMENT AND OUTREACH CAPACITY ........................................................ 56

5.3 PATTERNS OF INTEGRATION AND SEGREGATION .......................................................................... 60

5.4 DISPARITIES IN ACCESS TO OPPORTUNITY........................................................................................ 75

5.5 DISPROPORTIONATE HOUSING NEEDS & DISPLACEMENT............................................................ 85

5.6 FAIR HOUSING GOALS AND PRIORITIES BASED ON IDENTIFIED CONTRIBUTING FACTORS.. 94

5.7 FAIR HOUSING & HOUSING SITES ........................................................................................................ 98 TABLES
Table 1: Population Trends, 1970 - 2021..........................................................................................2 Table 2: Population by Race/Ethnicity 2010-2021...........................................................................3 Table 3: Households by Tenure .........................................................................................................3 Table 4: Median Home Value and Gross Rent, 2010-2021 ............................................................4 Table 5: Cost Burden by Income Range and Tenure ......................................................................4 Table 6: Market Rental Costs..............................................................................................................5 Table 7: Home Values of Owner-Occupied Units............................................................................5 Table 8A: Employment by Industry ...................................................................................................6 Table 9: Year Built of Housing Units ................................................................................................7 Table 10: Vacancy by Type.................................................................................................................8 Table 11: Inventory of Assisted Affordable Housing.......................................................................9 Table 12: Median Hourly Wage by Occupation, Monterey County, 2020................................. 10 Table 13: Gonzales Household Income Level by Tenure ............................................................ 11 Table 14: Cost Burden and Housing Problems by Tenure, Gonzales, 2018 ............................. 11 Table 15: Senior Households by Tenure........................................................................................ 12 Table 16: Senior Households (Age 62+) by Income and Tenure................................................ 12 Table 17: Disability Status by Age Group and Employment Status............................................ 13 Table 18: Persons with Developmental Disabilities by Age ........................................................ 14 Table 19: Household Size by Tenure.............................................................................................. 15 Table 20: Large Household by Income Group, Gonzales, 2019................................................. 15 Table 21: Monterey County Farms and Farmworkers .................................................................. 16 Table 22: Female-Headed Households in Gonzales, 2021 ......................................................... 19 Sections 4-5 p. ii
Table 23: Persons Experiencing Homelessness by Shelter Status, Gonzales and Monterey County, 2017-2022........................................................................................................................... 20 Table 24: Permitted Uses................................................................................................................. 37 Table 25: Development Standards by Zoning District ................................................................. 39 Table 26: Parking Requirements..................................................................................................... 41 Table 27: ADU Standards ................................................................................................................ 42 Table 28: Development Improvement Requirements.................................................................. 43 Table 29: Cumulative Impacts Analysis, Multifamily Zones ......................................................... 44 Table 30: Timelines for Permit Procedures and Decision-Making Authority............................. 48 Table 31: Permitting and Processing Fees, FY 2022-2023 .......................................................... 50 Table 32: Development Impact Fees for Single – and Multifamily Residential Development. 51 Table 33: Fees for Typical Single-Family Units.............................................................................. 52 Table 34: Fees for Typical Multifamily Units .................................................................................. 52 Table 35: Population by Race, Gonzales and the Region, 2000-2019 ....................................... 64 Table 36: Racial Isolation Values for Segregation in Gonzales and the Region........................ 68 Table 37: Racial Dissimilarity Values for Segregation in Gonzales and the County.................. 68 Table 38: Disability Status by Race and Ethnicity in Gonzales..................................................... 69 Table 39: Student Demographics in the Gonzales Unified School District, 2022..................... 77 Table 40: FDIC-Regulated Bank Branches, Monterey County Municipalities, 2022................. 83 Table 41: Projected Change in Jobs and Population in Gonzales, 2010-2040......................... 83 Table 42: Occupants Per Room for Households by Race and Ethnicity in Gonzales, 2019..... 87 Table 43: Severe Overcrowding for Households by Tenure in Gonzales, 2019 ....................... 88 Table 44: Substandard Housing Issues in Gonzales & Monterey County, 2019 ....................... 89 Table 45: Housing Program Metrics to Affirmatively Further Fair Housing............................... 95

FIGURES
Figure 1: Population by Age in Gonzales, 2000-2021.....................................................................2 Figure 2: Housing Units by Type........................................................................................................8 Figure 3: Nationwide Annual Average Mortgage Rates .............................................................. 32 Figure 4: Seismic Hazard Zones...................................................................................................... 33 Figure 5: Flood Hazard Zones......................................................................................................... 34 Figure 6: Fire Severity Zones ........................................................................................................... 35 Figure 7: City of Gonzales Zoning Map.......................................................................................... 63 Figure 8: Predominant Population, Hispanic Majority Tracts ...................................................... 65 Figure 9: Racial Demographics of Gonzales, Monterey County, and California, 2000-2021.. 65 Figure 10: Racial Demographics by Block Group, 2018.............................................................. 66 Figure 11: Racial Dot Map of Gonzales and Surrounding Areas, 2020...................................... 66 Figure 12: Racial Dot Map of Gonzales, 2020 ............................................................................... 67 Figure 13: Population with a Disability in the Monterey Bay Area, 2019................................... 70 Figure 14: Percent of Children in Single Female-Headed Households, 2019 .......................... 70 Figure 15: Percent of Single Adult Householders, 2019.............................................................. 71 Figure 16: Households by Income Group, Gonzales and the Region, 2015............................. 72 Figure 17: Median Income by Block Group, Gonzales, 2019...................................................... 72 Sections 4-5 p. iii
Figure 18: Low to Moderate Income Population by Block Group, Gonzales, 2019 ................. 73 Figure 19: Population by Poverty Status in Gonzales, 2019 ........................................................ 73 Figure 20: Racially or Ethnically Concentrated Areas of Poverty (R/ECAP) ............................... 74 Figure 21: Racially Concentrated Areas of Affluence................................................................... 75 Figure 22: TCAC Opportunity Map Composite Score, City of Gonzales, 2024........................ 76 Figure 23: TCAC Opportunity Map Composite Score, Monterey Bay Region, 2024............... 76 Figure 24: CalEnviroScreen 4.0 by Census Tract, Monterey Bay Area, 2021............................ 78 Figure 25: Healthy Places Index, 2021 ........................................................................................... 79 Figure 26: Monterey-Salinas Transit 23/23X Bus Map, 2023 ...................................................... 81 Figure 27: Job Proximity Index Map of Gonzales ......................................................................... 84 Figure 28: Job Proximity Index Map of Monterey County........................................................... 84 Figure 29: Inflow and Outflow of Workers in Gonzales................................................................ 85 Figure 30: Overpayment by Renters, 2019.................................................................................... 86 Figure 31: Overpayment by Homeowners, 2019 ......................................................................... 86 Figure 32: Median Gross Rent......................................................................................................... 87 Figure 33: Overcrowded Households by Census Tract ............................................................... 88 Figure 34: Regional Households with Substandard Housing Issues .......................................... 89 Figure 35: Age of Structures in Gonzales ...................................................................................... 90 Figure 36: Displacement Risk for All Households, 2022.............................................................. 91 Figure 37: Displacement Risk for Low-Income Households, 2022 ............................................. 91 Figure 38: Displacement Risk for Very Low-Income Households, 2022 .................................... 92 Figure 39: Special Flood Hazard Areas in Gonzales, 2020.......................................................... 92 Figure 40: Special Flood Hazard Areas in the Monterey Bay Area, 2020.................................. 93 Figure 41: Monterey County Emergency Shelter Housing, 2020 ............................................... 94 Figure 42: Housing Sites and Resource Areas .............................................................................. 98 Sections 4-5 p. iv
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Sections 4-5 p. 1
SECTION 4: TECHNICAL BACKROUND REPORT

4.1 INTRODUCTION
Section 4 of the Housing Element, the Technical Background Report (TBR), includes the required quantification and analysis of needs, resources, and constraints.

The Technical Background Report supplements the Housing Strategy & Sites Inventory and prefaces the Fair Housing Assessment. Key data from this analysis is summarized in Section 1 of the Housing Element.

From 2010 to 2021, Gonzales’s population increased by 8% and its housing stock increased by 15%. An 82% increase in population and a 100% increase in housing stock is projected by 2045. 1 Through the Housing Element, the City is planning to accommodate future population growth and address local housing needs.

To meet all statutory requirements in Government Code §65583(a) (1 and 2) related to quantification and analysis of existing housing needs, this Technical Background Report includes locally acquired information and data including, but not limited to, housing needs, housing resources, constraints to housing development, and the Fair Housing Assessment.

4.2 HOUSING NEEDS ANALYSIS
Housing Element law requires a quantification and analysis of existing housing needs. This section of the Technical Background Report includes the required quantification and analysis of needs, identification and analysis of the housing needs for special needs populations, and an analysis of zoning for a variety of housing types. Key information from this analysis is summarized in Section 1 of the Housing Element.

4.2.1 Population Characteristics and Housing Data
This section explores the characteristics of the population and housing stock in Gonzales.

This information helps to provide direction in updating the goals, policies, and programs of the Housing Element.

Population Trends
As of 2021, Gonzales has an estimated population of 8,628. Most of the City’s population growth occurred between 1980 and 2000. Around the year 2000, the City annexed approximately 600 areas of land, including approximately 200 acres of residential land east of Highway 101, which supported an increased population.2 The City’s population has grown slowly since the year 2000 (Table 1).
1 Moving Forward Monterey Bay 2045, Appendix A: Regional Growth Forecast, 2021 2 City of Gonzales 2010 General Plan Sections 4-5 p. 2
Table 1: Population Trends, 1970 - 2021
Year 1970 1980 1990 2000 2010 2021
Population 2,575 2,891 4,660 7,564 7,959 8,628
Source: U.S. Census Bureau, American Community Survey, 2010, 2021; Population Estimates For California Counties And Cities, 1970-200
Over half of the Gonzales population is between the ages of 5 and 34. Over the past two decades, the age group from 55-64 and 65-74 have increased the most, while the age group from 5-14 has decreased the most (Figure 1).

Figure 1: Population by Age in Gonzales, 2000-2021
Source: U.S. Census Bureau, American Community Survey 5-Year Estimates, 2010, 2021; Decennial Census Profile of General Demographic Characteristics, 2000
Over 90% of the Gonzales population is Hispanic or Latino. Between 2010 and 2021, the Hispanic or Latino population increased by over 900 individuals. During this same time span, there were decreases in the Black/African American population and Asian populations, as well as increases in the Native American and Native Hawaiian/Pacific Islander populations (Table 2).
0 500
1000
1500
2000
Age 0-4 Age 5-14 Age 15-
24 Age 25-
34 Age 35-
44 Age 45-
54 Age 55-
64 Age 65-
74 Age 75-
84 Age 85+
2000 2010 2021
Sections 4-5 p. 3
Table 2: Population by Race/Ethnicity 2010-2021
Racial or Ethnic Group 2010 2021
Hispanic or Latino 6,901 7,813
White (Non-Hispanic) alone 615 611
Black or African American alone 143 2
Native American alone 0 27
Asian alone 258 109
Native Hawaiian or Other Pacific Islander alone 0 40
Some other race alone 0 0
Two or More Races 42 26
Source: U.S. Census Bureau, American Community 5-Year Estimates, 2010 and 2021 Over 50% of households in Gonzales are homeowners. Since the year 2000, renter households have increased, both numerically and as a proportion of the population (Table 3).

Table 3: Households by Tenure
2000 2010 2021
Tenure Number Percent Number Percent Number Percent
Owner 1,022 60.0 1,110 60.5 1,255 54.7
Renter 682 40.0 725 39.5 1,038 45.3
Total 1,704 100.0 1,835 100.0 2,293 100.0
Source: U.S. Census Bureau, Decennial Census Table H007, 2000; American Community Survey 5-Year Estimates Table B25003, 2010, 2021
Residential overcrowding is determined by the number of persons per room, with thresholds for overcrowded households being 1.01 to 1.5 persons per room and severely overcrowded households being more than 1.51 persons per room. Overcrowding is influenced by demographic and socioeconomic factors such as race and housing tenure. Certain groups, such as older-adult immigrants, recent immigrants, low-income families, and renter-occupied households, are more likely to experience overcrowding. The full analysis of overcrowding is included in Section 5.

Housing Cost and Affordability
As of 2021, the median household income in Gonzales is $73,906, lower than the median household income of Monterey County ($82,013). The median household income in both Gonzales and Monterey County increased by approximately 38% from 2010 to 2021. From 2010 to 2021, the median home value increased by 8.9%, while the median gross rent increased by 31.6% (Error! Reference source not found. 4). Cost burden is the ratio of housing costs (rent or mortgage, utilities, taxes) to household income. The U.S. Department Sections 4-5 p. 4
of Housing and Urban Development (HUD) defines cost-burdened households as those whose monthly housing costs exceed 30% of monthly income, while severely cost-burdened households are those whose monthly housing costs exceed 50% of monthly income.

Table 4: Median Home Value and Gross Rent, 2010-2021
2010 2021 2010-2021 Percent Change
Median Home Value $ 413,200 $ 450,000 + 8.9%
Median Gross Rent $ 916 $1,206 +31.6%
Source: U.S. Census Bureau American Community Survey 5-Year Estimates Tables B25077 and B25058, 2010, 2021
According to CHAS 2020, 28.4% of total households spent more than 30% but less than 50% of their income on housing, and 10.9% spent over 50%. This means that 39.3% of households struggled with overpayment situations. Furthermore, within the total households, 26.7% were renter households overpaying for housing, while 14.6% were owners experiencing the same issue. This data indicates that a significant number of households in Gonzales experienced cost burdened, and renter households are more likely to experience housing overpayment than owner households.

Table 5: Cost Burden by Income Range and Tenure
Total Households Characteristics Number Percent of Total Households
Total occupied units (households) 2,165 100.0%
Total Renter households 960 44.3%
Total Owner households 1,205 55.7%
Total lower income (0-80% of HAMFI*) households 1,215 56.1% Lower income renters (0-80%) 800 37.0%
Lower income owners (0-80%) 415 19.2%
Extremely low income renters (0-30%) 175 8.1%
Extremely low income owners (0-30%) 75 3.5%
Lower income households paying more than 50% 235 10.9%
Lower income renter HH severely overpaying 185 8.6%
Lower income owner HH severely overpaying 50 2.3%
Extremely Low Income (0-30%) households paying more than 50% 165 7.6% ELI Renter HH severely overpaying 125 5.8%
ELI Owner HH severely overpaying 40 1.8%
Income between 30%-50% 60 2.8%
Income between 50% -80% 10 0.5%
Lower income households paying more than 30% 730 33.7%
Lower income renter HH overpaying 525 24.2%
Sections 4-5 p. 5
Total Households Characteristics Number Percent of Total Households
Lower income owner HH overpaying 205 9.5%
Extremely Low Income (0-30%) 210 9.7%
Income between 30%-50% 360 16.6%
Income between 50% -80% 160 7.4%
Total Households Overpaying 850 39.3%
Total Renter Households Overpaying 535 24.7%
Total Owner Households Overpaying 315 14.6%
Source: HUD, CHAS 5-Year Estimates, 2020
*Note: HAMFI = HUD Area Median Family Income
The market rent for different unit sizes in Gonzales is shown in Table 6. These prices are slightly higher than median market rents in the nearby cities of Salinas and Soledad.3 This number may be affected by a low sample size of rental listings in Gonzales. Over 90% of owner-occupied units in Gonzales have home values between $200,000 and $750,000. In Monterey County, over 40% of owner-occupied units have home values of $750,000 or greater (Table 6).

Table 6: Market Rental Costs
Type Median Market Rents
Studio $1,900
One-Bedroom $2,006
Two-Bedroom $2,569
Three-Bedroom $2,433
Source: www.apartmenthomeliving.com, accessed 01/21/2023 Table 7: Home Values of Owner-Occupied Units
Gonzales Monterey County
Home Value Number Percent Number Percent
Less than $200,000 34 2.7% 4,978 7.4%
$200,000 to $399,999 468 37.3% 6,369 9.4%
$400,000 to $499,999 251 20.0% 5,852 8.6%
$500,000 to $749,999 425 33.9% 22,758 33.6%
$750,000 to $999,999 52 4.1% 13,417 19.8%
$1,000,000 or Higher 25 2.0% 14,376 21.2%
Source: U.S. Census Bureau, American Community Survey 5-Year Estimates Table B25075, 2021 3 Zillow Rental Manager, Rental Market Data, Accessed 02/04/2023 Sections 4-5 p. 6
Employment Characteristics
According to the California Employment Development Department, the City had an unemployment rate of 5.5 percent, with 200 individuals unemployed, which was notably lower than the rates in Monterey County (8.3 percent) and the state (7.3 percent) in 2021 (See Table 8).

Based on the 2021 ACS 5-Year Estimate, the City of Gonzales had 3,922 residents 16 years and older employed in the workforce. The top three industries with the highest percentage of employees were in agriculture, forestry, fishing and hunting, and mining (22.4 percent); education, health, and social services (17.4 percent); and retail trade (15.5 percent). The number of employees in the agricultural industry has decreased from 40.2 to 22.4 percent between 2010 and 2021, while there was a significant increase of 5 percent in the retail trade and 11.1 percent in the education industries in 2021
In the first quarter of 2024, according to the Occupational Employment and Wage Statistics Survey, agricultural workers in Salinas, located 18 miles northeast of Gonzales, earned an average of $22.83 per hour, equating to $47,485 annually. Retail salespersons made $20.67 per hour, equating to $43,005 annually. Both agricultural workers and retail salespersons are considered very low-income households based on 2024 HCD income limits. Their maximum purchase price would be $173,843, considering a mortgage interest rate of 7.0 percent for a 30-year fixed-rate loan. The maximum monthly gross rent was $1,099. This deduction indicates that the majority of employees in those industries live in overcrowded households or poor housing conditions.

Table 8A: Employment by Industry
Industry Type Number Percent
Agriculture, forestry, fishing and hunting, and mining 879 22.4% Education, health, and social services 682 17.4%
Retail trade 606 15.5%
Manufacturing 360 9.2%
Arts, entertainment, recreation, and services 257 6.6%
Construction 239 6.1%
Public administration 219 5.6%
Finance, insurance, real estate, rental and leasing 199 5.1% Professional, scientific, management, administration 179 4.6% Wholesale trade 178 4.5%
Other services 96 2.4%
Transportation, warehousing, and utilities 28 0.7%
Total 3,922 100%
Source: U.S. Census Bureau, American Community Survey 5-Year Estimates Table DP03, 2021 Sections 4-5 p. 7
Major employers in the City include agricultural companies, with Taylor Farms employing roughly 600 employees, Growers Express with 200 employees, and Jackpot Harvesting with 187 employees. In addition, the Gonzales Unified School District employs 283 employees and is the City’s largest non-agricultural employer and the only non-agricultural employer in the Top 9 Employers in the City.

Table 8B: Major Employers in Gonzales
# Employer # of Employees
1 Taylor Farms 600
2 Gonzales Unified School District 283
3 Growers Express 200
4 Jackpot Harvesting 187
5 Constellation Brands 100
6 Silva Farms 100
7 Green Valley Farm Supply 75
8 Gonzales Packing Company 66
9 Ramsay Highlander 55
Source: Gonzales, CA Economic Development – Largest Employers List Housing Stock Conditions
Most of the Gonzales housing stock was built between 1970 and 2009 (Table 9). Between 2000 and 2021, the number of single-family and 5+ unit multifamily dwellings increased, while the number of duplexes and 3–4-unit dwellings decreased (Figure 2).

Table 9: Year Built of Housing Units
Year Built Number
Built after 2020 0
Built 2010 through 2019 60
Built 2000 through 2009 412
Built 1990 through 1999 520
Built 1980 through 1989 468
Built 1970 through 1979 383
Built 1960 through 1969 86
Built 1950 through 1959 78
Built 1940 through 1949 177
Built 1939 or earlier 128
Total 2,312
Source: U.S. Census Bureau, American Community Survey 5-Year Estimates Table B25034, 2021 Sections 4-5 p. 8
Figure 2: Housing Units by Type
Source: U.S. Census Bureau, Decennial Census Table H030, 2000; American Community Survey 5-Year Estimates Table B25024, 2010, 2021
An estimated 0.8% of housing units in Gonzales are vacant, all of which are considered “other vacant,” a category that includes units that are vacant due to foreclosure, personal/ family reasons, legal proceedings, repairs/renovations, abandonment, preparation for being rented or sold, or vacant for an extended absence for reasons such as a work assignment, military duty, or incarceration (Table 10).

Table 10: Vacancy by Type
Number Percent
Occupied 2,293 99.2%
Vacant 19 0.8%
For rent 0 0.0%
Rented, not occupied 0 0.0%
For sale only 0 0.0%
Sold, not occupied 0 0.0%
For seasonal, recreational, or occasional use 0 0.0%
For migrant workers 0 0.0%
Other vacant 19 0.8%
Source: U.S. Census Bureau, American Community Survey 5-Year Estimates Table B25002 and B25004, 2021 0 500
1,000
1,500
2,000
2,500
2000 2010 2021
Single-Family Duplex 3-4 Units 5+ Units Mobilehome and Other Sections 4-5 p. 9
At-Risk Assisted Affordable Housing
At-risk assisted housing developments refer to any existing multi-family, rental housing complexes which receive funding under public programs and are at risk of being converted from low-income housing to market rate housing within ten years of the beginning of the housing element planning period. The conversions can occur due to termination and opting out of programs such as rental subsidies, mortgage repayment, expiration of restricted uses or direct loans. Gonzales has no assisted affordable housing developments at-risk of conversion to market rate prices within ten years of the beginning of the planning period (Table 11).

Table 11: Inventory of Assisted Affordable Housing
Name Address Affordable
Units
Total
Units
Active
Program(s)
Estimated
Affordability
End Year/Date
Risk
Level
Gonzales
Family RAD
15 10th
Street 28 30 LIHTC4
;
HUD5 2069 Low
South County
RAD (Casa de
Oro, Los
Ositos)
48 C Street 68 70 LIHTC; HUD 2069 Low
Canyon Creek
Townhomes
1834
Chablis
Way
35 36 LIHTC; HCD 2059 Low
Fanoe Vista
Apartments
550 Fanoe
Road 43 44 LIHTC 2063 Low
Total 174 180

4.2.2 Special Housing Needs Analysis
An analysis of the housing needs for special needs housing populations is required by Housing Element law. In the context of the Housing Element, the term special needs refer to demographic or occupational groups that may need specific program responses. These groups often spend a disproportionate amount of their income to secure safe and decent housing and are sometimes subject to discrimination based on their specific needs or circumstances. This analysis considers a variety of special needs groups, including:
 Extremely low-income households
 Seniors
4 The Low-Income Housing Tax Credit (LIHTC) program is an indirect federal subsidy used to finance the construction and rehabilitation of low-income affordable rental housing. 5 The U.S. Department of Housing and Urban Development (HUD) is a government agency responsible for overseeing and implementing policies related to housing and urban development.

Sections 4-5 p. 10
 People with disabilities, including developmental disabilities  Large households (five or more people)
 Farmworkers
 Female-headed households
 People experiencing homelessness
Extremely Low-Income Households
Extremely low-income (ELI) households are those with an income of 30 percent or less of the AMI, adjusted for family size.

In 2024, a family of four making $31,200 or less would be classified as ELI. Assuming 50 percent of the regional housing need allocation (RHNA) for very low-income households (173 units) qualify as ELI households, the projected housing need for ELI is 87 households for the planning period. Nearly all ELI households are expected to need aid, including housing cost subsidies and social services. In addition to the challenge of finding affordable housing, ELI households may also have members with mental or other disabilities and special needs, making it even harder to secure housing.

As indicated in Table -5 above, among all households, 11.8 percent of those considered to have extremely low incomes suffered from cost burdens, while 7.6 percent of households with extremely low incomes were considered to have severe cost burdens. Specifically, 5.8 percent of renters in extremely low-income households experienced severe cost burdens, while 1.8 percent of owners in extremely low-income households had cost burdens. This indicates that although extremely low-income households were most likely to be severely cost burdened, regardless of tenure, renter households with extremely low incomes experienced higher rates of overpayment.

Members of extremely low-income households may be unable to work full-time, or may be employed in low-wage positions, such as those listed in Table 12. Many other extremely lowincome households are on fixed incomes from sources including disability benefits and social security.

Table 12: Median Hourly Wage by Occupation, Monterey County, 2020 Occupation Median Hourly Wage
Restaurant Servers (Waiters & Waitresses) $14.55
Cashiers $14.39
Retail Salespersons $14.73
Farmworkers/Laborers, Crop, Nursery, and Greenhouse $14.27 Source: U.S. Bureau of Labor Statistics, Quarterly Census of Employment and Wages (QCEW), 2020 Q1 employment
Sections 4-5 p. 11
There are an estimated 170 extremely low-income (ELI) households in Gonzales, 8% of the City’s total households. In Gonzales, 32% of the ELI households own their homes and 68% rent. By comparison, 52% of the City’s total households own their homes and 48% rent (Table 13).

Table 13: Gonzales Household Income Level by Tenure
Income Level Owner-Occupied Renter-Occupied Total
0-30% of AMI 55 115 170
31-50% of AMI 50 220 270
51-80% of AMI 225 360 585
81-100% of AMI 50 75 125
Greater than 100% AMI 700 235 935
Total 1,080 1,010 2,085
Source: HUD, CHAS ACS Tabulation, 2014-2018 release
ELI households may be more likely to face housing problems and cost burden. Housing problems include a lack of complete kitchen facilities, lack of complete plumbing facilities, an overcrowded household, or a cost burdened household. In Gonzales, 87% of ELI renters experience housing problems, 87% are cost burdened, and 70% are extremely cost burdened.

Table 14: Cost Burden and Housing Problems by Tenure, Gonzales, 2018 Renters Owners Households
0-30% of AMI 115 55 170
Any housing problem 100 35 135
Cost burden > 30% 100 35 135
Cost burden > 50% 80 20 100
31-50% of AMI 220 50 270
Any housing problem 205 20 225
Cost burden > 30% 185 14 199
Cost burden > 50% 40 4 44
51-80% of AMI 360 225 585
Any housing problem 290 140 330
Cost burden > 30% 200 120 320
Cost burden > 50% 50 20 70
Source: HUD CHAS, 2014-2018
Sections 4-5 p. 12
Programs and Resources
ELI households can benefit from County programs and services that provide assistance to lower and very low-income households in general. The Housing Choice Vouchers Program (Section 8) extends assistance to large households with overcrowding and cost burden issues. Monterey County’s Community Benefits Branch provides temporary public assistance benefits and services to assist eligible residents of Monterey County to meet their basic needs. Programs include temporary cash assistance, general assistance, Medi-Cal, CalFresh, and CalWORKS. Residents in need of immediate reference for community services can benefit from 2-1-1 Monterey County operated by United Way Monterey County. This service provides free assistance to persons in need to find emergency shelter, rental and utility assistance, and food assistance.

Senior Households
Existing and Projected Needs
As of 2021, approximately 10% of the Gonzales population is aged 62 years and over, and the senior population increased by an estimated 167% between 2010 and 2021. 6 Senior households with a householder 75 years or older have higher rates of homeownership, and households with householder age 65-74 are more likely to rent (Table 15). About two-thirds of senior households are low-income, and senior rental households are more likely to be lowincome than homeowners (Table 16).

Table 15: Senior Households by Tenure
Householder Age Owners Renters Total
65-74 years 85 105 190
75+ years 88 39 127
Total 173 144 317
Source: U.S. Census Bureau, American Community Survey 5-Year Estimates Table B25007, 2019 Table 16: Senior Households (Age 62+) by Income and Tenure Income Level Elderly Owner
Households
Elderly Renter
Households
Below 50% AMI 49 59
51% to 80% AMI 75 20
81% to 100% AMI 10 20
Above AMI 70 0
TOTAL 204 99
Source: HUD, CHAS, 2014-2018
6 U.S. Census Bureau, American Community Survey 5-Year Estimates Table S0101, 2021 Sections 4-5 p. 13
Programs and Resources
Monterey-Salinas Transit (MST) operates Senior Shuttles, a destination operating service for seniors without the need to transfer buses. RIDES, a demand responsive service, is MST’s ADA paratransit program for people with disabilities and is also available for seniors. RIDES offers transportation throughout the Monterey Peninsula to Gonzales. MST is also exploring the implementation of an Eco Pass program in Monterey County that would enable housing developers that strategically locate developments near public transit to purchase Eco Passes to provide no-cost transit passes to fixed-income seniors and other lower income residents that reside in their housing projects.

As the sole source provider in Monterey County for essential senior services, the Alliance on Aging of Monterey County offers numerous programs for seniors. Programs offered include:

HICAP Medicare Counseling Program, Ombudsman Program to protect long term care residents against abuse, IRS Tax Counseling Program, Senior Service America, Employment Training Program, and Senior Peer Counseling, among others. Older residents in need of immediate assistance can also benefit from 2-1-1 Monterey County operated by United Way Monterey County. This program provides free assistance to persons in need to find emergency shelter, rental and utility assistance, food assistance, etc.

Housing for Persons with Disabilities, including Developmental Disabilities Existing and Projected Needs of People with Disabilities An estimated 2.8% of the Gonzales population has a disability. Disabilities are most common in age groups 65 and over. Only 1.5% of Gonzales residents aged 18 to 64 have a disability (Table 17).

Table 17: Disability Status by Age Group and Employment Status Age Group
Total
Population
With a
Disability
No
Disability
Percent with
a Disability
Total Population 8,628 245 8,383 2.8%
Under 5 years: 820 0 820 0.0%
5 to 17 years: 1,803 57 1,746 3.2%
18 to 34 years: 2,559 28 2,531 1.1%
35 to 64 years: 2,855 54 2,801 1.9%
65 to 74 years: 403 65 338 16.1%
75 years and over: 188 41 147 21.8%
Source: U.S. Census Bureau, American Community Survey 5-Year Estimates Table B18101, 2021 Sections 4-5 p. 14
Around 70 people living in or near Gonzales have a developmental disability, the majority of whom are children (Table18).

Table 18: Persons with Developmental Disabilities by Age Zip Code 0 to 17 years 18+ years Total
93926 40 30 70
Note: The California Department of Development Services provides ZIP code level counts. Gonzales residents make up 95% of the total residents in ZIP code 93926 (ACS 2021).

Source: California Department of Developmental Services, Consumer Count by California ZIP Code and Residence Type, 2022
The most prevalent types of disabilities in Gonzales are cognitive difficulties, ambulatory difficulties, and independent living difficulties.7 Housing needs for these types of disabilities include accessibility retrofits, universally designed housing, community care facilities, supportive living facilities, and in-home care arrangements.

Programs and Resources for People with Disabilities
While most services and facilities in Monterey County are located in larger cities, Gonzales residents can benefit from the MST "RIDES" program. The demand-responsive service for seniors and the disabled offers transportation throughout the Monterey Peninsula to Gonzales. The Monterey County Department of Social Services (MCDSS) maintains a comprehensive resource guide that details contact information for a wide range of agencies offering services for persons with disabilities. For example, individuals with disabilities may report any disability access issues to the MCDSS. Residents in need of immediate reference for community services can benefit from 2-1-1 Monterey County operated by United Way Monterey County. This service provides free assistance to persons in need to find emergency shelter, rental and utility assistance, food, and more. Programs HE-1.2.4, HE-2.2.1, and HE2.2.3 are included to support the development of housing opportunities for people with disabilities.

Large Households
Existing and Projected Needs of Large Households
Large households consist of five or more persons residing together. This may include multiple generations of a family, multiple families, or other non-related household members.

Large households make up approximately 31% of total households in Gonzales (Table 19). Of the 640 large households, 40% rent their homes and 39% are either extremely low-income (0- 30% AMI), very low-income (31-50% AMI), or lower income (51-80% AMI). 7 U.S. Census Bureau, American Community Survey 5-Year Estimates, Table S1810, 2021 Sections 4-5 p. 15
Table 19: Household Size by Tenure
Household Size Owner-Occupied Renter-Occupied All Households 1-person 109 149 258
2-person 213 111 324
3-person 91 196 287
4-person 296 272 568
5 or more-person 387 253 640
Total 1,096 981 2,077
Source: U.S. Census Bureau, ACS 5-Year Estimates, Table B25009, 2019 Table 20: Large Household by Income Group, Gonzales, 2019 Income Group 1-4 Person
Households
5+ Person
Households All Households
0-30% AMI 43 20 170
31-50% AMI 90 110 270
51-80% AMI 210 120 585
81-100% AMI 45 40 125
Above 100% AMI 205 290 935
Source: HUD, Comprehensive Housing Affordability Strategy (CHAS) ACS Tabulation, 2013-2017 Programs and Resources for Large Households
Large households can benefit from County programs and services that provide assistance to lower and moderate-income households in general. The Housing Choice Vouchers Program (Section 8) also extends assistance to large households with overcrowding and cost burden issues. Additionally, large family households will be able to utilize the newly drafted standard ADU plans to construct additional living space. Program HE-2.2.2 is included to support the development of housing opportunities for large families, including in new growth areas identified in the 2010 Gonzales General Plan.

Farmworker Households
Existing and Projected Needs of Farmworkers
Gonzales is the center of Salinas Valley's production and distribution of vegetables that feed the world. In 2021, an estimated 879 Gonzales residents were employed in the agriculture, forestry, fishing and hunting, and mining industry, comprising 22% of its total workforce. The California Department of Food and Agriculture and the Employment Development Department provide agricultural employment totals for Monterey County but not for the City Sections 4-5 p. 16
of Gonzales. Countywide, 55% of farmworkers are permanent farmworkers (working 150 days or more) and 96% of farmworkers work on farm operations with 10 or more employees (Table 21).

Type Number
of Farms
Permanent
Farmworkers
(150 days or
more)
Seasonal
Farmworkers (less
than 150 days)
Total
Farmworkers
Farm operations with
less than 10 employees 307 638 440 1,078
Farm operations with
10 (or more) employees 207 14,168 11,683 25,851
Total 514 14,806 12,123 26,929
Source: USDA, National Agricultural Statistics Service, Census of Agriculture, 2017 Given their low-income status and precarious employment, farmworkers often face challenges in competing for housing on the open market, resulting in substandard living conditions. A 2018 study highlighted that a significant majority of farmworkers interviewed shared households with non-family members who were also farmworkers, leading to severe overcrowding conditions where two people per room and more than five people per bathroom were common. The study found that approximately 40% of respondents lived in houses, 30% in apartments, and 19% in rented rooms without kitchens. Additionally, 12% resided in alternative dwellings such as motels, boarding houses, or barracks. Among the farmworkers, 89% were renters, while 11% were owners, with a quarter of the latter group owning mobile homes. This data is further supported by information from a UC Merced study on “Farmworker Health in California”. Amongst other findings, the study highlighted the limited economic mobility opportunities associated with agricultural work, coupled with either a deteriorating farmworker housing stock or limited programs to rehabilitate housing for farmworkers leads to a higher proportion of individuals who work in agriculture to live in unsafe housing conditions8.

Given these circumstances, there is a pressing need for affordable farmworker housing, ensuring safe accommodations with access to nearby medical and dental services, as well as childcare and schools for their children. Collaborating with organizations like Habitat for Humanity and implementing housing voucher programs can help address these needs.

Programs and Resources for Farmworkers
Farmworkers and their families occupy many of the rental units in Gonzales. Housing primarily rented to, or built for, farmworkers in Gonzales includes:
 25 Ninth Street – 11 dormitories and 7 single-family units 8 FARMWORKER HEALTH IN CALIFORNIA (ucmerced.edu).

Table 21: Monterey County Farms and Farmworkers
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 825 Alta Street – 25 units
 17 3rd Street (Vincent Hotel) – 35 dormitories
 Fanoe Vista, 550 Fanoe Road – 44 townhomes – 43 low-income family units.

Listed on The John Stewart Company (for-profit housing developer) site as owned by Housing Authority of the County of Monterey
 Canyon Creek Townhomes, 1834 Chablis Way – 36 units – for low-income families and individuals. At least one household member must be employed as an agricultural worker.
 Casa de Oro, 48 C Street – 20 units – managed by Housing Authority of the County of Monterey
 Casa Santa Lucia, 8th, 9th & 10th Streets, Belden Street and Alta Street – 12 units – managed by Housing Authority of the County of Monterey Other programs and resources include:
 Farmworker housing facilities (farm labor camps, permanent residential buildings, and mobile homes) outside of Gonzales city limits that are operated by CHISPA and the Housing Authority of Monterey County (HAMC)  Zoning that permits permanent housing for agricultural workers in all residential zoning districts, as well as density bonus provisions  Center for Community Advocacy (CCA) housing program that helps farmworkers organize housing-site committees to improve substandard conditions in their housing units
 State and Federal financing programs, including USDA Section 514/516 Farm Labor Housing, USDA Section 521 Rural Rental Assistance, California Joe Serna, Jr., Farmworker Housing Grant, State Farmworker Housing Tax Credit, and Multifamily Housing Program
There are also several farmworker housing facilities throughout the County, outside of Gonzales, primarily built and operated by CHISPA and the HAMC. As of 2023, six of these have open waitlists or are accepting applications. Of the 22 family and individual rentals listed on the CHISPA site, only four have waitlists open with locations in Soledad, Salinas, and Hollister.

As noted above, roughly 190 units within the City limits of Gonzales are primarily rented to, or made available to, farmworkers. Using the Monterey County average household size of

3.14 persons, a gap of 90 units exists to house all Gonzales residents who work in agriculture.

Action HE-2.2.4 (Farmworker Housing) currently identifies a target objective of creating 90 farmworker housing units, thus addressing the existing gap in available units and units needed.

Sections 4-5 p. 18
Throughout Monterey County, farmworkers are housed predominately in farm labor camps (owned and operated by the HAMC) and camps privately owned in the unincorporated County. Housing in these camps consists of both permanent residential buildings and mobile homes. Both mobile homes and farm labor camps provide important housing for seasonal or year-round workers who may otherwise have a difficult time obtaining housing at an affordable price and within close proximity to their jobs.

Existing zoning and development standards encourage and facilitate a variety of housing types for farmworkers. Within the City of Gonzales, permanent housing for agricultural workers is permitted in all residential zoning districts. In addition, multi-family housing densities of up to 24 units per acre, density bonus provisions, and a strong working relationship between the City of Gonzales, CHISPA and the HAMC have resulted in over 100 housing units within the City of Gonzales available to area farmworkers. These projects were built with special amenities such as quality play areas/equipment for young children, community buildings for social gatherings and meetings, and on-site management. Many farmworkers and their families are also housed in single-family neighborhoods in Gonzales— either as renters or owners. The City tries to ensure that new residential subdivisions provide some portion of the project as affordable for lower income buyers and negotiates with subdividers on a case-by-case basis to achieve this goal. Proposed subdivisions within the SOI should encompass a diverse range of designs and affordability levels, with a specific emphasis on incorporating housing units that are affordable to low- and extremely lowincome households.

Local, State, and Federal programs and agencies provide resources and funding for farmworker housing needs.

Farmworkers in need of housing can benefit from advocacy work done by the Center for Community Advocacy (CCA). The CCA’s housing program helps farmworkers organize housing-site committees to improve substandard conditions in their housing units. CCA also helps farmworkers to mobilize members from the various housing committees to advocate for the construction of new, quality, affordable housing for farmworkers and other lowincome working families. Gonzales city staff coordinates with the CCA and other farmworker housing advocates to identify opportunities.

State and Federal financing programs, including USDA Section 514/516 Farm Labor Housing, USDA Section 521 Rural Rental Assistance, California Joe Serna, Jr., Farmworker Housing Grant, State Farmworker Housing Tax Credit, and Multifamily Housing Program can help provide funding for farmworker housing.9 To leverage existing funding, the City may also consider housing vouchers or other forms of rental assistance with an emphasis on addressing housing needs during off-season and during times when work cannot be done due to natural causes (e.g., rain, heat) or other reasons (e.g., pandemic, poor air quality). 9 For more information on funding resources, see Section 4.3.1.

Sections 4-5 p. 19
Female-Headed Households
Female-headed (FH) households often rely on a single income and can experience increased cost burden due to high living costs and childcare costs. Additionally, lack of resources needed for childcare or job training services may exacerbate housing cost burdens and increase risk of housing insecurity.

Existing and Projected Needs of Female-Headed Households As of 2021, there were 489 female headed family households in Gonzales. Of these, 42 percent owned their homes and 58 percent rented. An estimated 275 of these households have children under 18 years and no spouse, and 29.9% percent of these households have incomes below the poverty level (Table). In 2020, the median annual household income for single female headed households with children was $15,603. In comparison, the median annual household income was $59,375 for single male-headed households with children and $87,309 for married couple households with children.

Low-income female-headed households may qualify for housing vouchers or other rental subsidies that lower housing costs. These households may also benefit from transitional or shared housing, middle missing housing types, ADUs/JADUs that allow for long-term residency, and a matching service that connects low-income female headed households to affordable units throughout the region. Other unconventional multifamily housing strategies such as cooperative housing projects with on-site daycare and communal facilities may provide additional opportunities to expand living options for these households.

Household Type Number Percent of Total
Households
Total Gonzales Households 2,293 100
Nonfamily Female Householder 109 0.1
Female-Headed Family Households 489 21.3
FH Households with Children Under 18
(No Spouse) 275 12
FH Family Households Under the Poverty
Level (No Spouse)
No Child(ren)
1 or 2 Children
3 or 4 Children
146
0 100
46 6.3
0 4.3
2 Source: U.S. Census Bureau, American Community Survey 5-Year Estimates Tables B17012, S1903, 2021 Table 22: Female-Headed Households in Gonzales, 2021
Sections 4-5 p. 20
Programs and Resources for Female-Headed Households
The best opportunities to assist the housing needs of single-parent families headed by females is to increase the availability of attractive, safe, and affordable multi-family units that are in close proximity to services, parks suitable for younger children, and childcare/daycare providers.

Single-parent households can benefit from most affordable housing programs, including Housing Choice Vouchers in the City (formerly known as Section 8). The County’s Community Benefits Branch provides temporary public assistance benefits and services to assist eligible residents of Monterey County to meet their basic needs. Programs include temporary cash assistance, General assistance, Medi-Cal, CalFresh, and CalWORKS. Eligibility for these public benefits is based upon income and resource levels. Other branches within the MCDSS can also serve female-headed householders with children such as Family and Childrens’ Services and CalWORKS Employment Services. Additionally, assistance programs supported by First Five Monterey County can aid these households.

Homelessness
Existing and Projected Needs of People Experiencing Homelessness Homeless individuals and families have perhaps the most immediate housing need of any group. They also have one of the most difficult sets of housing needs and support services to meet, due to both the diversity and the complexity of factors that lead to homelessness.

Monterey County Point-In-Time (PIT) Count data reported no individuals experiencing homelessness in 2022, a decrease from 21 reported in 2019 but consistent with zero counted in 2017. Gonzales was the only incorporated jurisdiction in Monterey County to report zero homelessness in 2022.10
Table 23: Persons Experiencing Homelessness by Shelter Status, Gonzales and Monterey County, 2017-2022
Shelter
Status
Gonzales Monterey County
2017 2019 2022 2017 2019 2022
Unsheltered 0 21 0 2,113 1,830 1,357
Sheltered 0 0 0 724 592 690
Total 0 21 0 2,837 2,422 2,047
Source: Monterey County Homeless Count and Survey Comprehensive Report, 2022 Programs and Resources for People Experiencing Homelessness The Coalition of Homeless Services Providers (CHSP) is a group of private non-profit and public organizations that came together to address the complex issues of homelessness in Monterey and San Benito Counties by promoting regional partnerships and interagency collaboration. Specifically, the CHSP is charged with developing the County’s Continuum of Care system, by assessing any gaps in services for those homeless and by developing 10 Monterey County Homeless County and Survey Comprehensive Report, 2022 Sections 4-5 p. 21
programs to bridge those gaps through interagency coordination efforts. CHSP is not a direct service provider, but its member organizations, including Community Homeless Solutions, MidPen Housing, and 19 other organizations, provide a variety of services including mobile case management, medical assistance, food, and hygiene resources in the area.

The City of Gonzales participates in the Monterey Urban County Community Development Block Grant (CDBG) program. Annually, 15 percent of the CDBG allocation can be spent on public services. During the last two years, the Urban County CDBG program has allocated funding to Mobile Outreach Services Team (MOST) to provide mainstream and specific services for the homeless throughout the unincorporated areas and the cities of Gonzales and Del Rey Oaks.

Interim, Incorporated is a private nonprofit organization that provides direct services to homeless adults with mental illnesses throughout Monterey County. Residents with an immediate need for community services can also benefit from 2-1-1 Monterey County, operated by United Way Monterey County. This service provides free assistance to persons in need to find emergency shelter, rental and utility assistance, and food assistance.

4.3 HOUSING RESOURCES

4.3.1 Housing Assistance Programs
The following programs are federal, state, and locally run programs providing funding for construction, rehabilitation, or rental assistance for very low-, low-, and moderate-income households. This section describes programs utilized by the City and those that may be locally available and potentially applicable within the jurisdiction.

The Community Development Block Grant (CDBG) Program funds a wide variety of local housing and community development projects that improve the quality of living for lowerincome residents whose incomes are less than 80 percent the Area Median Incomes as established by the U.S. Department of Housing and Urban Development (HUD). For the current 5-year CDBG Consolidated Plan Cycle (2020-2025), the City is likely to receive approximately $700,000 in CDBG funding. The City of Gonzales, along with the County and other non-entitlement cities have entered into a Joint Powers Authority (JPA) to create an urban county and pool their CDBG, HOME (see below) and Emergency Solutions Grant (ESG) funds. The Housing Authority of the County of Monterey (HACM), administers funds, sets funding policies, and makes recommendations for funding awards, which are then approved by the Monterey County Board of Supervisors.

The City and local developers with projects in participating jurisdictions can apply for CDBG funds through the annual Notice of Funding Availability (NOFA); however, the City is not guaranteed any minimum allocation. CDBG funds can be used for activities that meet one of the following objectives:

Sections 4-5 p. 22
 Benefits low- and moderate- income persons;
 Aids in the prevention or elimination of blight; and/or  Meets a need from having a particular urgency (e.g., disasters).

Examples of such activity include the following:
 Housing rehabilitation
 Community and senior centers
 Acquisition of real property for affordable housing
 Infrastructure improvements
 Public services
 Accessibility modifications
 Permanent supportive housing for people experiencing homelessness  Homeless shelters
Home Investment Partnerships (HOME) grants are provided by HUD to fund a wide variety of projects that implement local housing strategies and create affordable housing for lowincome households including building, buying, rehabilitating affordable housing, or providing direct rental assistance. HOME funds are administered through the same process as CDBG funds (see description above). The City and local developers with projects in participating jurisdictions can apply for HOME funds through the annual Notice of Funding Availability (NOFA); however, the City is not guaranteed any minimum allocation. The City can work with affordable housing developers to support applications for these funds that can be used for all aspects of affordable housing development.

Housing Choice Voucher Section 8 (HCV Program) is a major federal program for assisting very low-income families, the elderly, and the disabled to afford decent, safe, and sanitary housing in the private market. To become a participant of the HCV Program, individuals and families must sign up on the Waiting List with the Housing Authority of the County of Monterey (HACM). This is a list of people who are waiting to receive rental assistance. Names can only be added to the Waiting List when the list is open, which is approximately every three to five years. While the list is open, applications are randomly selected and assigned a place in line. Once a name reaches the top of the Waiting List, the applicant is interviewed to determine whether they are eligible for the program. If selected, participants may choose any housing that meets the Housing Quality Standards of the program. The HACM pays a housing subsidy directly to the landlord, and the participant pays the difference between the actual rent charged and the amount subsidized by the program. The tenant's share of rent Sections 4-5 p. 23
and utilities is typically between 30 to 40 percent of their monthly income. As of 2021, over 94 Gonzales households were using HCVs.11
Project-Based Voucher Program is also administered by the Housing Authority of the County of Monterey (HACM) and is administered similar to the HCV program, except the voucher is tied to an individual unit, rather than “owned” by the person. Project-based vouchers are an important tool to ensure long-term financial stability of projects serving lower-income persons, especially extremely low-income households. In recent years, HACM has awarded new project-based vouchers, with priority given to projects with set-aside units for people experiencing homelessness.

The Emergency Solutions Grant (ESG) Program is administered by HACM through the same process as CDBG (see description above) and provides HUD funds to rehabilitate and operate emergency shelters and transitional shelters, provide essential social services, provide permanent housing solutions, and prevent homelessness.

The Federal Home Loan Bank System facilitates Affordable Housing Programs (AHP) which subsidize the interest rates for affordable housing. The San Francisco Home Loan Bank District provides local services within California. AHP grants are awarded annually through a competitive application process to Bank members working in partnership with housing developers and community organizations. Basic eligibility requirements include having at least 20 percent of units in rental housing reserved for very low-income households and any owner-occupied housing reserved for lower-income households.

HUD Section 811/202 Programs provide critical affordable housing to the elderly and persons who experience disabilities. The Section 811 program provides non-profits with funding to develop and operate supportive housing for disabled very- and extremely-lowincome persons. The Section 202 program funds development and operation of affordable housing for very low-income elderly households.

Low-Income Housing Preservation and Residential Home Ownership Act (LIHPRHA) requires that all eligible HUD Section 236 and Section 211(d) projects which are “at-risk” of conversion to market-rate rental housing through the mortgage prepayment option be subject to LIHPRHA incentives. The incentives include HUD subsidies which guarantee owners an eight percent annual return on equity. Owners must file a Plan of Action to obtain incentives or offer the project for sale to a) non-profit organizations, b) tenants, or c) public bodies.

Low Income Housing Tax Credits (LIHTC) provide state and local LIHTC- allocating agencies the equivalent of approximately $8 billion in annual budget authority to issue tax credits based on population for the acquisition, rehabilitation, or new construction of rental housing targeted to lower-income households. Several affordable projects in Gonzales, including 11 HUD, Housing Choice Vouchers by Census Tract, 2021
Sections 4-5 p. 24
Gonzales Family RAD, South County RAD, Canyon Creek Townhomes, and Fanoe Road Apartments, received funding through this program.

National Housing Trust Fund (NHTF) is a federal program administered in California by HCD whereby funds can be used to increase and preserve the supply of affordable housing, with an emphasis on permanent housing for extremely low-income households. Previously, NHTF funding was allocated through the Housing for a Healthy California Program. Beginning in Fiscal Year 2022, the NHTF will be aligned with federal regulations.

Off-Farm Labor Housing Direct Loans & Grants is a federal program administered by the US Department of Agriculture (USDA) Rural Development. This program provides affordable financing to develop housing for year-round and migrant or seasonal domestic farm laborers.

Housing construction may be in urban or rural areas if there is a demonstrated need for farmworkers nearby. The rental housing is for very low- to moderate-income farmworkers and their families.

The Joe Serna, Jr., Farmworker Housing Grant Program helps fund new construction, rehabilitation, and acquisition of owner-occupied and rental units for agricultural workers, prioritizing lower-income households. Funds may be used for land acquisition, site development, construction, rehabilitation, design services, operating and replacement reserves, repayment of predevelopment loans, provision of access for the elderly or disabled, relocation, homeowner counseling, and other reasonable and necessary costs. The City previously utilized Joe Serna funds in the 74-unit Cipriani Estates project, to provide 10 inclusionary for-sale units for farmworkers.

4.3.2 Zoning for a Variety of Housing Types
The following section provides an analysis of zoning and availability of sites for a variety of housing types as required by Government Code Sections 65583(a)(4), (c)(1), and 65583.2(c).

The City will bring its Zoning Code into full compliance with State requirements, including those for supportive housing, low barrier navigation centers, and employee housing, through Program HE-1.3.2.

Single-Family Rental Housing
Single-family detached units are permitted in the Low Density Residential (R-1), Low Density Residential Downtown (R-1D), Medium Density Residential (R-2), and Downtown Mixed Use (MU) districts. Single-family attached units are permitted in the R-2 and MU districts and are permitted with the approval of a Conditional Use Permit (CUP) in the R-1, R-1D, and Downtown Mixed Use-Commercial Core (MU-CC) districts.

Multi-Family Rental Housing
Multi-family rental housing units are permitted in the R-1, R-1D, R-2, and MU districts and are permitted with the approval of a CUP in the MU-CC district. Other multi-family rental housing uses such as duplexes are permitted in the R-1, R-1D, and R-2 Districts, and are permitted Sections 4-5 p. 25
with the approval of a CUP in the MU and MU-CC districts. The code also defines bungalow courts and refers to them as multiple-family dwellings (a group of two or more detached or semidetached one family, two family, or multiple family dwellings).

Housing for Agricultural Employees/Employee Housing
Agricultural employees can be and are housed in a range of housing types in Gonzales such as single-family homes and apartments. However, there are also two types of employee housing in Gonzales: (1) employee housing, large and (2) employee housing, small.

Employee housing, large is defined in the Gonzales Zoning Code as "any housing that provides accommodations for no fewer than six (6) employees, but no more than thirty-six (36) beds in group quarters or twelve (12) units or spaces designed for use by a single family or household, located on property zoned for agricultural use". Employee housing, small is defined as “Any housing that provides accommodations for six (6) or fewer employees. Use of a family dwelling for purposes of employee housing serving six (6) or fewer persons shall not constitute a change of occupancy for purposes of the local building codes.” The City has included Program HE-1.3.2 to ensure compliance with the Health and Safety Code sections 17021.5 17021.6, and 17021.8.

Emergency Shelters and Low Barrier Navigation Centers
Emergency shelters do not require a discretionary permit in Gonzales and are permitted in the MU and MU-CC districts. The MU and MU-CC districts allow for residential uses, therefore complying with the zoning provision of Government Code section 65583 subdivision (a)(4) A.

The City has included Program HE-1.3.2 to amend its Zoning Code to clarify the definition of emergency shelters to include other interim interventions, including, but not limited to, a navigation center, bridge housing, and respite or recuperative care. The City will also revise parking standards for emergency shelters to allow sufficient parking to accommodate all staff working in the emergency shelter, provided that the standards do not require more parking for emergency shelters than other residential or commercial uses within the same zone, in compliance with Government Code Section 65583(a)(4)(A)(ii)). See Program HE-1.3.2.

The City of Gonzales did not have any persons experiencing homelessness in the 2022 Pointin-Time (PIT) count. However, sites #12, 14, and 15 all represent opportunities for the development of an emergency shelter in either the Mu or MU-CC zones.

SRO (Single Room Occupancy) Housing
The Zoning Code defines single room occupancy (SRO) housing units as "a residential facility in which furnished rooms are rented on a weekly or monthly basis and which provides common facilities and services for laundry, cleaning and cooking.” SRO housing units are permitted in the MU and MU-CC districts. The City has included Program HE-1.2.3 to amend its Zoning Code to describe specific development standards for SROs.

Sections 4-5 p. 26
Transitional Housing
The Zoning Code defines transitional housing as “buildings configured as rental housing developments, but operated under program requirements that require the termination of assistance and recirculating of the assisted unit to another eligible program recipient at a predetermined future point in time that shall be no less than six (6) months from the beginning of the assistance.” Transitional housing is currently permitted in Residential Care Facilities (both large and small). The City has included Program 1.3.2 to amend its Zoning Code to define transitional housing and permit transitional housing as residential uses and subject only to the restrictions that apply to other residential uses of the same type in the same zone. Residential care facilities (large) are permitted in the R-1, R-1D, and R-2 districts, and are permitted with the approval of a CUP in the MU and MU-CC districts. Residential care facilities (small) are permitted in the R-1, R-1D, R-2, and MU districts, and are permitted with the approval of a CUP in the MU-CC district.12
Supportive Housing
The Zoning Code defines supportive housing as “housing with no limit on length of stay, that is occupied by the target population, and that is linked to an onsite or off site service that assists the supportive housing resident in retaining the housing, improving his or her health status, and maximizing his or her ability to live and, when possible, work in the community.” Supportive housing is permitted under the Residential Care Facilities (both large and small) use classification. 13 Residential care facilities (large) are permitted in the R-1, R-1D, and R-2 districts, and are permitted with the approval of a CUP in the MU and MU-CC districts.

Residential care facilities (small) are permitted in the R-1, R-1D, R-2, and MU districts, and are permitted with the approval of a CUP in the MU-CC district. The City has included Program

1.3.2 to amend its Zoning Code to define supportive Housing and permit supportive housing as residential uses and subject only to the restrictions that apply to other residential uses of the same type in the same zone. Additionally, the City will permit permanent supportive housing as a permitted use without discretionary review in zones where multifamily and mixed-use developments are permitted, including nonresidential zones permitting multifamily uses in compliance with Government Code Sections 65650 – 65656.

Residential Care Facilities
The Zoning Code breaks down residential care facilities into two subgroups: residential care facility, large and residential care facility, small. Per the Gonzales Zoning Code residential care facility, large is defined as “any use, including supportive and transitional housing, of a residential unit serving seven (7) or more persons on a twenty-four (24) hour per day basis.

Also includes "dwelling group." Also includes a state-authorized, certified, or licensed family care home, foster home, or a group home serving seven (7) or more disabled persons or dependent and neglected children on a twenty-four (24) hour per day basis. Residential care 12 Gonzales City Code 12.08.020
13 Gonzales City Code 12.08.020
Sections 4-5 p. 27
facilities, small holds the same definition, but is limited to six (6) or fewer persons and is a State-mandated residential use of the property. Small residential care facilities are currently a permitted use subject to a site plan permit in residential zones, except in the MU-CC zone, where the use is permitted through a conditional use permit. To ensure compliance with State law, the City has included Action HE-1.3.2 to review site plan permit approval findings to remove any constraints, allow residential care facilities for six or fewer persons in accordance with Health and Safety Code 1568.0831, and residential care facilities regardless of size in all zones that permit residential uses of the same type.

Manufactured Housing
Manufactured housing is referred to as residential manufactured structures in the Zoning Code and is defined as "a residential unit constructed off site and delivered and installed on a lot. State law mandates that cities allow the installation of manufactured homes certified under the National Manufactured Housing Construction and Safety Standards Act of 1974 on a foundation system, pursuant to California Health and Safety Code Section 18551 on lots zoned for conventional single-family residential dwellings; also includes residential, mobile home.” Residential manufactured structures are permitted in the R-1, R-1D, R-2, and MU districts, and are permitted with the approval of a CUP in the Open Space (OS) district.

Mobile Home Parks
The Zoning Code defines mobile homes as “a trailer coach that is used as a dwelling all the year round, has water faucets and shower or other bathing facilities that may be connected to a water distribution system, and has facilities for washing and a water closet or other similar facility that may be connected to a sewerage system.” Mobile home parks are permitted with the approval of a CUP in the Mobile Home Park (MHP) district.

Accessory Dwelling Units (ADUs)
Accessory Dwelling Units (ADUs) are permitted in the R-1, R-1D, R-2, MU, and MU-CC districts. In order to comply with state law, the City will update its zoning code to permit ADUs in all zone districts where residential uses are permitted by-right or by conditional use.

Missing Middle Housing
Under State law, a single-family residentially zoned property is allowed one primary dwelling unit, one ADU, and one JADU, for a total of three housing units. Senate Bill (SB) 9 (Atkins), signed into law by Governor Newsom in 2021, allows property owners within a single-family residential zone to build two 800 square foot units and/or to subdivide a lot into two parcels, for a total of four units. These provisions apply to most single-family parcels in Gonzales, as the typical single-family parcel is above the 3,000 square foot minimum lot size. Constraints to SB 9 development may include parking requirements and setbacks that limit the market feasibility of such units. Under Program HE-1.3.1, the City will develop objective design and development standards that will assist in the implementation of these provisions and Sections 4-5 p. 28
allowance of missing middle housing types throughout the City of Gonzales.4.3.3 Opportunities for Energy Conservation in Residential Development Government Code §65583(a)(7), requires that housing elements include an analysis of energy conservation opportunities in residential development. This analysis includes a discussion of the subsidies and incentives that are available from public and private sources for energy conservation. and changes that could be made to local building codes to increase energy conservation, while not placing undue constraints on housing development.

Existing Residential Energy Use in Gonzales
Based on data from the American Community Survey (ACS) 2021: 5 Year Estimates, electricity stands as the primary method for household heating in Gonzales, with 67 percent of households indicating its use. Following closely, natural gas emerges as the second most prevalent heating option, utilized by 22 percent of Gonzales residents. When juxtaposed with statewide statistics, Gonzales showcases a distinct variation in heating preferences, as it diverges from the predominant statewide pattern. Notably, 28 percent of statewide residents rely on electricity, while the majority, at 63 percent, utilize utility gas for home heating.

Residential heating, cooling and water consumption account for a significant portion of the nation’s energy consumption and greenhouse gas emissions. Therefore, the need to understand fuel consumption and the opportunities for energy conservation has never been more pressing.

In early 2017, the City of Gonzales joined Monterey Bay Community Power (MBCP), a threecounty joint powers authority establishing a community choice aggregation agency and began service for residential customers in 2018 with a power portfolio of 100 percent carbon-free and/or renewable. The Gonzales Climate Action Plan (CAP), also adopted in 2018 identified the residential electrification program as goal for existing and new homes.

Natural gas service will not be installed into new specific plan areas.

General Plan Policies
As part of the City’s 2010 General Plan update, the City incorporated policies and programs to conserve natural resources and minimize adverse impacts of housing on the environment, including:
 Land Use Element policies requiring efficient use of land by establishing a minimum overall density requirement and encouraging compact, walkable neighborhood design.
 Sustainability Element policies and programs addressing energy efficiency.  Community Design and Conservation and Open Space Element policies to enhance the role of natural environment, especially topography and historic drainages, in the design of new neighborhoods.

Sections 4-5 p. 29
Subsidies and Incentives
The U.S. Department of Energy (DOE) has a program oriented towards assisting low-income persons with energy efficiency. Low Income Home Energy Assistance Program (LIHEAP). is a federally funded assistance program overseen by the California Department of Community Services and Development (CSD) and administered by 42 Action Agencies throughout California. LIHEAP offers the following types of assistance:
 Help with residential utility bill payment
 Emergency assistance with residential energy-related crisis (utility shut-off notices and energy-related life-threatening emergency)
 Home weatherization
LIHEAP may prioritize applicants based on the greatest need and income, as well as households with vulnerable populations, including the elderly, disabled and households with young children. Individuals can dial 211 for LIHEAP income guidelines and a list of participating agencies or find information online.

Energy Conservation in New Residential Developments
The City implements the California Green Building Standards Code, which includes a 50 percent increase in landscape water conservation and a 15 percent reduction in energy use compared to previous standards.

There are several relatively simple and yet proven community design techniques that can significantly improve not only the energy efficiency of a home but can contribute to the livability of a home and neighborhood. Such design techniques should be implemented through ordinance revisions or as required design guidelines for specific plan areas. Those design techniques include the following:

Street and Subdivision Patterns for Maximum Solar Access Residential streets laid-out to maximize southern exposure can increase the exposure to solar radiation and provide warmth for the home in the winter months.

Home Design
There are many home design techniques that can significantly enhance residential energy efficiency. These include:
 Incorporating passive solar design techniques, such as maximizing the area of south-facing windows for solar gain in the winter, combined with the addition of large roof overhangs, such as broad porches to provide much needed cooling shade in the summer, into home design. Proper placement of operable windows and skylights for cross-ventilation and natural lighting, and the use of light-colored roofing material to deflect summer heat-gain, can Sections 4-5 p. 30
similarly make homes more comfortable and reduce the need for mechanical cooling and lighting.
 Use of energy efficient materials and construction techniques, such as enhanced insulation in walls, floors and ceilings, installation of energy efficient windows, and tightly sealing openings for doors, windows, ducts and electrical systems to reduce infiltration. Also, the use of white or reflective roofs (and by extension buildings) that reflect light and heat into the atmosphere help to reduce global warming.
 Use of building materials which have been produced in an energy efficient and sustainable manner, such as recycled building materials, materials with recycled content, or materials that are derived from sustainable or rapidly renewable sources.
 Installation of efficient home heating and cooling systems, water heaters, appliances and lighting, as well as water conserving plumbing fixtures.  Installation of solar panels for renewable energy production While some of these techniques for increasing home energy efficiency may have higher frontend costs, they will result in cost savings over the long-term through reduced energy costs.

Sustainable Landscape Design
Use of drought-tolerant and native plants and efficient irrigation systems can significantly reduce water and energy use associated with landscape maintenance. In addition, careful placement of deciduous trees to provide summer shading can dramatically cool the residence by as much as 10 to 15 degrees. In the winter, when deciduous trees are dormant and leaf-less, maximum solar access is provided to the home.

Energy Efficiency beyond the Residence
In addition to the simple residential design techniques for energy efficiency, Gonzales can broaden energy conservation and livability goals by requiring the placement of new homes in close, walkable proximity to schools, parks and commercial land uses, thus reducing dependence on air-polluting autos for short-distance vehicle trips. The Neighborhood Design Guidelines implement this strategy in the Gonzales 2010 General Plan Growth Areas.

Sections 4-5 p. 31

4.4 HOUSING CONSTRAINTS

4.4.1 Nongovernmental Constraints
Land Costs
Land costs play a crucial role in shaping the local housing landscape. The price of land is influenced by various factors, including land availability, development density, and market conditions. Since the pandemic began, home prices have increased. However, the price of homes and land in Gonzales have remained lower than the rest of the County despite rising prices. According to the Monterey County Association of Realtors and Zillow housing data, the median sale price of a single-family residence in Gonzales was $530,000 in 2021, lower than that of Soledad ($600,000), Salinas ($808,000), Greenfield ($447,000), Pacific Grove ($940,000), Monterey ($1,235,000), and Carmel ($1,900,000). There are currently no vacant lots for sale in the City of Gonzales, however, estimates can be made using a combination of recently sold homes and County Assessor data. According to Zillow, homes sold within the last year in the City ranged from $250,000 to $720,000, with the median sale price roughly being $590,000. Removing typical “improvements” listed in County Assessor data, we can assume the cost of land in the City ranges from $300,000 to $400,000. This estimate aligns with other similar cities in the region, such as Salinas, which demonstrates similar land costs.

Construction Costs
Construction costs are primarily determined by materials and labor expenses and are influenced by market demands and changes in material costs. Factors such as the type and quality of the unit being built also impact construction costs. However, regional and national factors play a significant role in driving construction costs and can pose challenges to local housing development. According to the website ProMatcher Home Builder, the cost of basic home construction in the nearby city of Salinas ranges between $150 and $220 per square foot. However, the HomeBlue Contractor Network website estimates as much as $330 per square foot in the Salinas area. According to a September 2022 report from the Associated Builders & Contractors, Inc., residential construction costs have risen as high as 40.5% since February 2020 across the nation.

Availability of Financing
Mortgage interest rates significantly impact housing affordability. Higher rates lead to increased monthly payments and limit the range of affordable housing for buyers.

Conversely, lower interest rates result in lower monthly payments and enhance purchasing power. When interest rates rise, the housing market typically responds by reducing prices, while lower interest rates tend to drive housing prices upward. However, there is often a lag, as demonstrated during the COVID-19 pandemic. As of July 2023, the interest rate for a 30- year fixed-rate mortgage is 6.96% (see Figure 3).

According to the 2021 American Community Survey, the median value of owner-occupied units in the City of Gonzales is $450,000. In comparison, the median home value in Monterey Sections 4-5 p. 32
County is $683,200. At that cost and with the current interest rate of a 30-year fixed-rate mortgage, a yearly household income of $100,000 (assuming a 20% down payment of $90,000) would be required to purchase a home that is of median value in Gonzales.

Figure 3: Nationwide Annual Average Mortgage Rates
Source: Freddie Mac Primary Mortgage Market Survey (2013-2023) Developer Interest
Local developer interest is vital for the development of housing. Requests to develop housing at densities lower than those identified or long development timeframes after receiving project approval may constrain housing development. In recent years, the landscape of new development activity within the City has been sparse. Consequently, the City has not encountered any requests for a reduction in density.

Environmental Conditions
Government Code Section 65583.2(b)(4) requires the Housing Element to include an analysis of existing environmental hazards that may constrain housing development within the jurisdiction. The areas surrounding the city of Gonzales are subject to various seismic, flooding, and fire hazards.

Seismic and Geologic Hazards
The City of Gonzales is located in a seismically active area. Several active faults are located within the Salinas Valley. The San Andreas Fault is the closest and lies 14.6 miles to the northeast of the city.

Sections 4-5 p. 33
Figure 4: Seismic Hazard Zones
Source: California Department of Conservation
Sections 4-5 p. 34
Flooding
Gonzales is located within Special Flood Hazard Areas (SFHA), which are high-risk areas that will be inundated by the storm event having a 1-percent (100-year floodplain) chance of being equaled or exceeded in any given year. Flooding events generally follow the Salinas River, west of the City that flows from the southeast to the northwest.

Figure 5: Flood Hazard Zones
Source: FEMA National Flood Hazard Layer Database
Sections 4-5 p. 35
Fire Hazards
Fire Hazard Severity Zones (FHSZ), classify a wildland zone as a Moderate, High, or Very High fire hazard based on the average hazard across the area included in the zone. The city of Gonzales lies protected in an agriculturally cultivated valley that has wildland areas categorized with moderate to high fire hazard severity. There is an abundance of natural grasses both to the east of city limits and along the Salinas River basin, yet the irrigated crop lands that surround the city provide a buffer from these hazards Figure 6: Fire Severity Zones
Source: CAL FIRE Hazard Zones Database
Sections 4-5 p. 36
Sensitive Habitats
The Salinas Valley is identified as a potential habitat for the California Tiger Salamander (CTS) Modeled habitats identified near Gonzales are primarily concentrated along the Salinas River.

The California Natural Diversity Database acknowledged a clustered CTS population northeast of Gonzales, with no areas within the City’s sphere of influence designated as a “critical habitat” by the California Department of Fish & Game.1415 Availability of Infrastructure
Water
Gonzales’ water supply comes from three groundwater wells. Water supply for City buildout and the Sphere of Influence (SOI) are planned to continue to be provided by groundwater wells, according to the Water Supply Assessment (WSA) for the Vista Lucia and Puente Del Monte Specific Plan Projects. There is sufficient groundwater to supply future demands during various hydrologic scenarios such as normal season, single dry season, and multiple dry seasons. Necessary infrastructure to provide water service to the SOI include the construction of new municipal wells, related infrastructure, and potential adjudication of municipal groundwater basins that further express appropriative rights.

Wastewater
Gonzales operates and maintains a wastewater collection system composed of pipes, manholes, lift stations, forced and gravity fed mains, and a trunk line that runs two miles to the wastewater treatment plant, which operated under a permit from the Central Coast Regional Water Quality Control Board Flow. Generation of wastewater flow is determined by land use type and is measured by unit flow factors or number of dwelling units planned.

Wastewater generation from infill development and the proposed sphere of influence areas are anticipated to produce 3,602,086 million gallons per day. The existing treatment facility and planned upgrades will address future capacities to serve the new developments.

Dry Utilities
Gonzales suffers from the lack of electrical grid capacity. PG&E maintains 115 kilovolt (kV) transmission lines from San Luis Obispo north to Soledad; it also maintains 115 kV transmission lines from Moss Landing south to Salinas. Between Salinas and King City, however, service is limited by 60 kV transmission lines. The City of Gonzales has also partnered with ENGIE Services to implement infrastructure upgrades, installing approximately 683 Kilowatts of solar capacity across five city facilities. Last, recent information made available by PG&E suggests that additional capacity will be added in Gonzales to assist with new projects in the City, such as a new industrial agricultural cooler and the Vista Lucia Specific Plan Project.
15 “Monterey County Regional Conservation Investment Strategy,” Transportation Authority of Monterey County, 2021. https://www.montereycountyrcis.org/static/pdf-cards/CTS.pdf Sections 4-5 p. 37
Several broadband services are also available, including Charter Communications, T-Mobile, Razzolink, and Arroyo Seco ISF.

The City has sufficient water, sewer, and dry utilities infrastructure capacity to accommodate the 6th cycle RHNA.

Vista Lucia Specific Plan
The City is in the process of adopting the Vista Lucia Specific Plan (VLSP). Amongst other actions, the VLSP outlines the necessary infrastructure improvements needed to serve this development. The process for the adoption is laid out in Implementation Action HE-1.1.3 (Annexations).

As noted in the Draft Vista Lucia Specific Plan, dry utilities will be provided through an extension of existing service provider facilities adjacent to the development area, thus serving the development and accommodating the City’s RHNA.

4.4.2 Governmental Constraints
Land Use Controls
Use Regulations
Zoning codes are the primary planning tool to guide development. They apply specific regulations such as allowable uses within designated communities or districts, design standards, permit types, and associated review authority to each parcel that is located within jurisdictional boundaries. Table-24 describes the zoning districts in Gonzales that allow for a variety of residential development types.

Table 24: Permitted Uses
Housing Type R-1 R-1D R-2 MHP MU MU-CC I OS PF
Accessory Dwelling
Unit P P P P P
Boarding House P1 P1
Caretaker or
Live/Work Units C
Condominium C P C
Duplex P P P C C
Manufactured
Structure (Residential) P P P P C
Mobile Home Park C
Multiple family P P P P C
Residential Care
Facility, Large P P P C C C
Residential Care
Facility, Small P P P P C
Sections 4-5 p. 38
Housing Type R-1 R-1D R-2 MHP MU MU-CC I OS PF
Second Single-Family
Dwelling P P C
Single-family attached C C P P C
Single-family
detached P P P P
Single room
occupancy units (SRO) P P
Emergency Shelters P P
* A boarding house of more than two (2) persons other than the residents requires approval of a CUP ** Manufactured homes certified under the National Manufactured Housing Construction and Safety Standards Act of 1974 (42 USC section 5401 et seq.) on a permanent foundation.

Development Standards
Zoning regulations are designed to protect and promote the health, safety, and general welfare of residents, and to preserve the character and integrity of neighborhoods without acting to exclude protected classes. The Gonzales zoning regulations set forth specific development standards which designate the allowable density, lot area, setback requirements, floor area ratio, building height, and open space provisions for various types of development. These standards are outlined in Table 25.

Sections 4-5 p. 39
Table 25: Development Standards by Zoning District
Zoning
District
Min. Lot
Size (Sq.

Ft)
Min.

Lot
Width
(Feet)
Min.

Lot
Depth
(Feet)
Max.

Density
(du/ac)
Max.

FAR
Max.

Height
(Feet)
Min.

Front
Yard
Setback
(Feet)
Min. Side Yard
Setback
(Feet)
Min.

Rear
Yard
Setback
(Feet)
Max. Lot
Coverage
(Percent)
Min.

Open
Space
(Percent) Interior Corner
R-1 6,0001 50 90 7 - 35 156 5 10 20 65 35
R-1D
5,000
(SFR)
8,000
(MFR)
50 80 7 - 35 156 5 10 20 65 30%- 35
R-2 2,625 303 100 16 - 355 107 510 10 15 7010 600 sq.
ft/site
MHP 2,4002 - See note
#4 - 158 158 158 158 40
MU 2,000 20 - - 2.5 405 0 0 0 - 100 -
MU-CC 2,000 20 - - 3.0 40 0 0 0 - 100 10
I 10,000 50 - - 0.5 50 20 10 10 - 90 10
OS 21,780 100 - - - 50 50 50 50 - -
PF - - - - 0.7 35 See note
#9
See note
#9
See note
#9
See note
#9 50 -

1. Unless a Planned Unit Development;

2. Applies to individual mobile home sites.

3. Existing and proposed lots less than four thousand square feet shall have a minimum lot width of thirty feet; thirty-five feet if greater than four thousand square feet;

4. The planning commission shall determine the allowable density for each mobile home park;

5. Not to exceed three stories;

6. Fifteen feet when a front porch is provided; twenty feet when no porch is provided;

7. Ten feet when a front porch is provided; fifteen feet when no porch is provided.

8. Fifteen feet from all property lines; twenty feet from the ultimate public right of way of any adjoining public street.

Sections 4-5 p. 40
Zoning
District
Min. Lot
Size (Sq.

Ft)
Min.

Lot
Width
(Feet)
Min.

Lot
Depth
(Feet)
Max.

Density
(du/ac)
Max.

FAR
Max.

Height
(Feet)
Min.

Front
Yard
Setback
(Feet)
Min. Side Yard
Setback
(Feet)
Min.

Rear
Yard
Setback
(Feet)
Max. Lot
Coverage
(Percent)
Min.

Open
Space
(Percent) Interior Corner

9. The minimum front, side, and rear yards in the PF district shall be equal to the respective front, side, and rear yards required in the most restrictive abutting district; provided, that no yard adjoining a street shall be less than twenty feet and that no interior yard shall be less than ten feet.

10. Existing lots of less than two thousand six hundred square feet shall not exceed seventy percent; proposed lots of less than four thousand square feet shall not exceed sixty-five percent; existing or proposed lots greater than four thousand square feet shall not exceed sixty percent.

Sections 4-5 p. 41
Parking Standards
If parking standards are excessive, they can pose a constraint to housing development by increasing development costs and reducing land that may otherwise be available for amenities or residential units. The Gonzales City Code establishes residential parking standards, shown in Table 26. The Gonzales Planning Commission may waive the requirement for covered parking for multiple-family dwellings when such requirement is found not to be in the best interest of good design or the public health, safety or welfare.

Such finding may be made if one or a combination of the following will result from elimination of carports: project will be better suited to unusual lot shape or topography, design or appearance of the project will be improved, or the housing costs will be made affordable to low- and moderate-income residents.

In addition, while the guest parking provides an allotment for residents’ guests, requiring the same guest parking for a studio and a three-bedroom apartment might impede the ability to provide smaller units within the development.

Table 26: Parking Requirements
Type of Unit Required Parking Required Guest Parking
Multi-Family
Studio 1 covered space 0.5 spaces
One bedroom 1 covered space 0.5 spaces
Two bedroom 1 covered and 1 uncovered space 0.5 spaces
Three bedroom 1 covered and 1 uncovered space 0.5 spaces Four bedroom 1 covered and 2 uncovered spaces 0.5 spaces Single-Family
Single-family
dwellings 2 covered spaces
None
Mobile Home Parks
Mobile Home 2 spaces 1 space/2 mobile homes
Accessory Dwelling Unit Requirements
Development standards for Accessory Dwelling Units (ADUs) and Junior Accessory Dwelling Units (JADUs) are codified in the Gonzales City Code Section 12.112.020. The development standards for ADUs and JADUs are consistent with the intent and requirements of Government Code Section 65852.2. The development of ADUs has been promoted via flyer.

The flyer is available in the two dominant languages spoken in Gonzales: English and Spanish.

To foster ADU development, the City of Gonzales has taken the initiative to create preapproved building plans (Table 27). These plans encompass six distinct structural footprints and four architectural styles. Although these plans are not provided free of charge, they Sections 4-5 p. 42
adhere to building codes and offer community members the advantage of avoiding expenses associated with hiring an architect, designer, or civil engineer to formulate design and construction plans. Development standards for ADUs do not pose a constraint to housing development.

Table 27: ADU Standards
Type Max Unit Size
(sq. ft.)
Parking
Requirements
(space/unit)
Maximum Side and
Rear Yard Setbacks
(feet)
Height
(feet)
Attached
1 bedroom: 850
2 bedrooms:1000
One space per
unit1
Must meet
the base
zoning
district
requirements
Detached
ADU 1,200 42
Converted
Existing Space
(Within)
May include an
expansion of up
to one hundred
fifty square feet
to accommodate
ingress and
egress
Must be sufficient
for fire and safety
JADU 500 0 Must be sufficient
for fire and safety
Notes: (1) Parking requirements shall be waived for studios and for exemptions listed in Government Code section 65852.2, subdivisions (d)(1-5) and (j)(10); (2) The rear of an ADU shall not face a public road or street if within twenty feet of the property line fronting that public road or street.

Sections 4-5 p. 43
On and Off-Site Improvements
Like other cities, the City of Gonzales requires new development to provide a variety of onand off-site improvements. Improvements required by the City of Gonzales are standard for California cities and do not pose an extraordinary constraint to residential development.

Table 28: Development Improvement Requirements
Category Requirements
Street
Improvemen
ts
Provide on-site streets, curbs, gutters, sidewalks, fire hydrants, and street lighting. The typical city street has a 50- to 60-foot right-of-way with a 40- foot pavement area, a five-foot sidewalk with attached vertical curb, and on the 60-foot right-of-way, a five-foot utility corridor on each side.

Property owners must repair, replace, or install street improvements on the subject property’s street frontage(s) if the project is subject to zoning approvals.

If the existing street network is inadequate, the developer must provide offsite streets, curbs, gutters, sidewalks, and street lighting meeting standard specifications adopted by the City.

Parks
Designated parks or recreational facilities located within a proposed subdivision requires the subdivider to dedicate sufficient parkland based on dwelling type to serve the residents (e.g., 2 acres for 100 single-family residences, 2 acres for 160 duplex or low-density apartment units).

Dedication of land, dedication of improvements, in-lieu fees, or a combination of these, as determined acceptable by the City.

Landscaping
Multi-family residential: At least 40% of net area as open space, with 15 feet of landscaped perimeter.

Subdivisions: New subdivisions are required to install street trees. The City requires 15-gallon trees one per house (40’ intervals on corner lots).

Mobile home parks: Landscaping with live material in at least 40% of open areas, including a minimum of one five-gallon sized tree per site.

All open areas (excluding home sites) must be landscaped and maintained.

Public
Services
Pay fees for defraying the actual or estimated costs of constructing planned drainage and sewer facilities prior to filing of any final map or parcel map.

Provide all on-site water, sewer, and storm drain infrastructure improvements to accommodate projects.

If the existing infrastructure system does not have capacity to serve a project, provide necessary off-site water, sewer, and storm drain infrastructure to adequately accommodate the project.

Miscellaneous
Sound walls are required for new development when an environmental analysis has determined that there is a significant noise impact that could be mitigated by the construction of a sound wall.

Sections 4-5 p. 44
Growth Controls
Gonzales does not have growth management policies or requirements limiting the number of units that may be constructed in a single year.

Cumulative Impact of Land Use Controls
As shown in Table 29, the City evaluated the cumulative impact of its land use controls that limit sites’ building envelope (setbacks, private open space, and parking) and lot coverage restrictions as potential constraints to development. The first step in the analysis was to determine the allowable building footprint given the site size and the maximum lot coverage permitted. The next step was to determine the maximum allowed developable space given the lot coverage and setback and parking requirements. Occupiable area on the second floor, and additional floors, was set equal to the first floor building footprint, based on the smaller of either the maximum lot coverage or the remaining lot area once setbacks and parking spaces were subtracted. The average unit size was calculated by dividing the total occupiable building area by the permitted number of units (site acreage * density). Density bonus units are not factored into the calculations.

Current development standards for zones allowing multifamily housing were analyzed hypothetical sites. Based on this evaluation, none of the land use controls in conventional residential zoning districts allowing multifamily housing would prevent an applicant from reaching the approximate maximum densities, or otherwise constrain housing development.

The cumulative impact of the land use controls in Gonzales, including zoning, fees, building codes, and development standards, do not pose a significant or unique constraint to housing production. By implementing the programs outlined in this document, the City will refine its requirements and procedures to meet the demand for affordable housing, such as eliminating parking minimum requirements while also maintaining compliance with state regulations.

Table 29: Cumulative Impacts Analysis, Multifamily Zones Zone MU R-2
Site Hypothetical Site Hypothetical Site
Area (SF) 9,000 8,200
Minimum Lot Area (SF) 2,000 -
Minimum Floor Area (SF)
for 2-bedroom unit 800 -
Minimum Lot Area Based on Number of
Units (SF) 8,800 -
Lot Coverage Maximum 100% 80%
Sections 4-5 p. 45
Zone MU R-2
Site Hypothetical Site Hypothetical Site
Maximum Building Footprint Using
Maximum Lot Coverage (SF) 9,000 4,920
Site Area After Setbacks Removed (SF) 4,545 1,885
Parking Spaces per Unit 2.5 2.5
Area Required for Parking
(162 sf per parking space) 4,455 1,215
Remaining Site Area After Setbacks and
Parking Removed (SF) 4,545 1,885
Maximum First Floor Area (SF) 4,545 1,885
Maximum Number of Stories 3 2
Maximum Building Square Footage 13,635 3,770
Units on Lot 11 3
Average Unit Size (SF) 1,240 1,257
Maximum Density Achievable
(Dwelling Units per Acre) 11 15.9
Density Permitted
(Dwelling Units per Acre) - 16
Note. Assuming a 2-bedroom unit multifamily apartment development.

Consistency with State Law
Assembly Bill 1483 (AB 1483) went into effect on January 1, 2021. This legislation aims to enhance transparency for residential development project applicants. Cities, counties, and special districts with websites are required to make specific financial and zoning information available online. The mandated information includes the current schedule of fees, exactions, and affordability requirements for proposed housing development projects, zoning ordinances, design and development standards for each parcel, annual fee or financial reports for the current and five previous years, and an archive of impact fee nexus studies or cost of service studies conducted from January 1, 2018 onwards. The City's website, gonzalesca.gov, houses some, but not all of the required information under AB 1483. The implementation of Program HE-1.2.5 will ensure compliance with state law.

Gonzales provides for the preservation and maintenance of the city’s affordable housing supply in part through the state mandated density bonus program. However, Section 12.48 Density Bonus of the Gonzales City Code has not been modified since it was first adopted in 2014. Since then, the State Density Bonus Law has been amended. Program HE-1.2.4 will bring the City’s Code into compliance with current state law requirements.

The Housing Accountability Act (HAA), outlined in Government Code section 65589.5, sets forth constraints on the capacity of local governments to reject, lower the density of, or Sections 4-5 p. 46
render impracticable housing development projects, emergency shelters, or farmworker housing, as long as they adhere to objective, quantifiable, written development standards and help fulfill housing requirements. Gonzales has not violated the HAA through the denial of affordable and market-rate housing developments. Various programs will help ensure continued compliance with the HAA through the of the City’s Code to include written, objective development standards for emergency shelters and procedures that comply with application completeness timelines that comply with Government Code Section 65943.

Local Processing and Permit Procedures
Processing Procedures and Timeline
The City adheres to the mandates outlined in State law regarding the administration of the permits. Additionally, State law imposes limitations on the timeframe within which local governments must process, review, and take action on permit applications. City staff regularly holds predevelopment conferences with developers to identify major concerns and to avoid delays during the formal review and public hearing process. In addition, the City usually prepares detailed time schedules and coordinates with housing developers and others on the timing of processing their projects. Adjustments are made frequently, and activities are overlapped where possible to save time. To ensure compliance with applicable state laws, the City closely monitors the progress of all applications.

The Gonzales Zoning Code (Section 12.20.030) lists out the Site Plan Permit approval findings. Approval findings are limited to the use, site plan, building architecture, and site design. As noted in Table 30 below, this review conducted by the Planning Director lasts 7 – 10 business days. While this review has not resulted in a constraint to residential development, several programs in Section 2.3 (Housing Programs) aim to reduce governmental constraints, including, but not limited to, Actions 1.2.3 (Objective Development Standards), 1.2.4 (Density Bonus Programs), 1.2.6 (Development Standards),

1.3.1 (Missing Middle Housing Production), and 2.1.1 (Provide Incentives for Affordable Housing).

The housing projects proposed proximate to Gonzales have been submitted as large master planned subdivisions (Specific Plans) on farmed agricultural lands east of the City limits, but within the City’s SOI as negotiated through Local Area Formation Commission (LAFCo) with the County of Monterey in 2014. Such large-scale projects will require multiple approvals from the City, including general plan amendments, specific plans, prezoning, subdivision maps, phased improvement plans, and development agreements. Additionally, Environmental Impact Reports (EIRs) are in progress at this time (December 2023). It's important to note that these very large projects will also require permits from numerous other public agencies such as:
• California Department of Fish and Wildlife –
• California Department of Transportation
Sections 4-5 p. 47
• Monterey Bay Air Resources District
• Regional Water Quality Control Board
• United States Army Corp of Engineers
• United States Federal Emergency Management Agency
Once the EIR(s) are completed and the Development Agreements negotiated and agreed upon with the City Council of the City of Gonzales, the Specific Plans, finance plans and infrastructure plans may be acted upon by the City Council, including any Tentative maps proposed, analyzed and reviewed for consistency with all necessary documentation. All such reviews and “pre-zoning-type “activities are contingent upon the approval of LAFCo and the State Board of Equalization for incorporation into the city limits of the City of Gonzales, which will stretch the City’s incorporation boundaries around the pre-approved projects. The tentative maps will have a life of 15-20 years in keeping with the negotiated Development Agreements and in-line with the phased construction of these major developments over many years.

Construction of single-family dwellings that are not part of a subdivision are permitted by right in the Gonzales City Code. The construction of a new single-family dwelling necessitates site plan approval by the planning director. This approval process entails a review of compliance with development standards, such as setbacks and yard areas, lot coverage, building height, driveway placement, street trees, and landscaping. The City has an official permit application for this purpose and issues a permit commonly referred to as a site plan permit. This permit encompasses the approved site plan, elevations, and a comprehensive listing of applicable regulations and standard conditions.

Multi-family residential projects in the R-2 zoning district are a permitted use, while condominium projects within this district require a conditional use permit. In the MU and MUCC zoning districts, both multi-family projects and condominium projects necessitate conditional use permits. Additionally, multi-family residential projects are permitted by right in the R-1 and R-1D zoning districts.

The review process for use permit applications adheres to the guidelines outlined in the permit streamlining act, including time limitations. In cases where an application for a use permit does not meet the criteria for exemption from the CEQA, additional steps may be required. This can involve conducting an initial study, followed by the preparation of a negative declaration or, potentially, an EIR. These accompanying documents generally require more time for preparation and processing compared to the use permit application itself. They also establish the timeline for project approval. The typical amount of time from project approval to submittal of an application for building permits is dependent on client action and energy to prepare those construction plans. Plans consistent with approvals can be turned by the City in 5 – 14 business days. As previously noted, factors such as financing, Sections 4-5 p. 48
project modification requests, and other factors have an impact on the timing for developers to apply for building permits would typically pushes the time from project approval to building permits into the 4 – 6 month range, consistent with other cities in the region. The City has not permitted multifamily projects, as reported in the APR, so these dates are estimates. The City will use projects such as CHISPA and the Vista Lucia Annexation to better understand non-governmental constraints developers face.

Affordable housing production in Gonzales is not currently hindered by permit processing time constraints. However, the City remains committed to exploring additional measures aimed at expediting and streamlining its permitting procedures.

Table 30: Timelines for Permit Procedures and Decision-Making Authority Permit Type Typical Processing
Time Approval Authority Appeal Authority
Site Plan Permit 7 – 10 business days Planning Director Planning Commission
Conditional Use
Permit
30 – 45 business
days
Planning
Commission
City Council
General Plan
Amendment 180 days City Council n/a
Tentative Map 90 days City Council n/a
Parcel Map 50 days Planning
Commission
n/a
Annexations n/a City Council n/a
Variance 30 – 45 business
days
Planning
Commission
City Council
Environmental
Impact Report 12-15 months City Council n/a
Streamlining Applications
Senate Bill 35 (SB 35) became effective on January 1, 2018. It enacted Government Code Section 65913.4 to require cities and counties to use a streamlined ministerial review process for qualifying multifamily housing developments that comply with the jurisdiction's objective planning standards, provide specified levels of affordable housing, and meet other specific requirements. An SB 35 eligibility determination will be made within 60 days of application submittal for projects of 150 or fewer units, and 90 days for projects containing more than 150 units. If the project is not SB 35 eligible as proposed, or staff requests additional information to make such a determination, the 60- or 90-day timeline will restart upon submittal of a revised application in response to that written notice. Staff review must be completed in 90-days for 150-or fewer units and 180 days for projects with more than Sections 4-5 p. 49
150 units, measured from the date of the SB-35 application submittal. Any project that has been approved using the SB 35 review process may then apply for building permits.

Gonzales does not have a process in place to determine if a project is eligible for streamlined processing under SB 35. However, staff adheres to the timeline required by State law.

Program HE-1.2.1 has been created to develop a formalized procedure for the streamlining of eligible projects under SB 35.

Assembly Bill 2162 (AB 2162) became effective January 1, 2019. AB 2162 amends Government Code Section 65583 (Housing Element Requirements) and adds Article 11, Sections 65650-65656 (Supportive Housing) to require local agencies to streamline the approval of housing projects containing a minimum amount of Supportive Housing by providing a ministerial approval process, removing the requirement for CEQA analysis, and removing the requirement for Conditional Use Permit or other similar discretionary entitlements granted by the Planning Commission. Specifically, AB 2162 requires that affordable housing projects that include at least 25 percent or 12 units, whichever is more, of supportive housing be a use by right in zones where multi-family and mixed uses are permitted, including non-residential zones permitting multi-family uses. The City currently does not have a formalized process in place to determine if a project is eligible for streamlined processing under AB 2162. The City will ensure that supportive housing projects that meet the eligibility criteria pursuant to Government Code Sections 65650 – 65656 are streamlined and approved via a ministerial approval process, as detailed in Program HE1.2.1.

Assembly Bill 101 (AB 101), passed in 2019, requires local governments to permit low barrier navigation centers (LBNC) as a use by right in areas zoned for mixed use and nonresidential zones that permit multifamily uses if the center meets specific criteria. For LBNC that meet the criteria, AB 101 prescribes the following: (1) provides a “by-right” process and expedited review for low-barrier navigation centers in certain types of zones; and (2) prohibits local governments from requiring a conditional-use permit or other discretionary approval of lowbarrier navigation centers in mixed-use and nonresidential zones permitting multifamily uses if certain operational standards are met. The City does not currently have a formalized process to ensure compliance with AB 101. The City will ensure compliance with State law through the implementation of Program HE-1.3.2.

Design Review Process
The design review process varies widely depending on the size and complexity of the project. Applicants may request a preapplication review of their project by staff of the Planning, Public Works, Building, Engineering, and Fire Departments. Depending upon the complexity of the project, this process can take from one to three weeks but can save time later by resolving issues in the review process. One pre-application meeting may be requested without fee.

The design review approval findings are written in a manner to provide flexibility in the approval of residential projects. However, some of the language in the approval findings Sections 4-5 p. 50
(“harmonious with the neighborhood”, “attractive, efficient and cohesive development of sustained desirability”, etc.) could be construed as an impediment given the lack of fixed standards. As a result, the City’s Actions HE-1.3.1 (Missing Middle Housing Production), 2.1.1 (Incentives for Affordable Housing), and 3.2.1 (Design Guidelines) have been revised to address identified constraints.

Fees and Other Exactions
The City of Gonzales imposes various permitting fees for housing development, as indicated in Table 31. These fees are designed to cover the costs associated with processing, evaluating, and ensuring compliance with the relevant regulations. In accordance with Government Code Section 66020, the City is legally obligated to set permit and development fees at amounts that do not exceed the actual cost of providing the associated services. These fees are established at the time of imposition or project approval. It is important to note that some permit application fees are fixed, while others are initially charged as a deposit, subject to potential adjustments during the permit process.

Table 31: Permitting and Processing Fees, FY 2022-2023
Fee Category Fee
Permits and License
Annexation Actual Cost varies - with $5,000 deposit
Variance $598
Conditional Use Permit Actual Cost + deposit Minor $1,200; Major $5,000
General Plan Amendment Actual Cost - with $5,000 deposit Zone Change
Site Plan Permit Actual Cost plus deposit Minor $1,200; Major $5,000
Pre-application/Development Review $120 per hour after the first two hours Development Agreement Actual Cost - with a $5,000 deposit Density Bonus Permit Actual Cost with a $5,000 deposit
Appeal Fee $64
Subdivision
Certificate of Compliance Actual Costs vary based on time to prepare - with a $2,000 deposit
Lot Line Adjustment Actual Costs vary based on the time to prepare - with a $5,000 deposit
Tentative Parcel Map or Final Map 1-4
lots
Tentative Tract Map or Final Map 5+
lots
Actual Costs - with a $7,500 deposit
Actual Costs -with a $10,000 deposit
Extend Tentative Map Expiration Actual Costs - with a $5,000 deposit Environmental
Sections 4-5 p. 51
Fee Category Fee
Initial Environmental Study Actual Cost with $20,000 deposit Environmental Impact Report
Negative Declaration
Mitigated Negative Declaration
Notice of Exemption Filing Fee $50
Source: City of Gonzales, 2023
Development Impact Fees
Development impact and building permit fees typically constitute a larger percentage of housing costs than do the planning permit fees discussed above. Development impact and building permit fees pay the capital costs of public facilities that serve a project, such as:
• Water
• Sanitary sewer
• Circulation System
• Parks
• Fire
• Police
Gonzales most recently updated its impact fees in June 2024. The current fee list, shown in Table 32, displays fees for both single- and multifamily development.

Table 32: Development Impact Fees for Single – and Multifamily Residential Development Circulation
System Fire Police Water Sanitary
Sewer
Parks &
Park
Facilities
General
City
Facilities
Total
Fees
Single-Family
Residential $889.09 $2,719.63 $318.55 $14,120.71 $7,441.08 $10,701.81 $5,248.36 $41,439 Multifamily
Residential $595.64 $2,202.54 $257.45 $11,438.17 $6,026.18 $8,663.99 $4,248.00 $33,432 Note: Assumes a 20-unit building for multifamily residential development.

Source: City of Gonzales, Cost for Services Fee Schedule FY24-25 Developers are also required to pay impacts fees to the Gonzales Unified School District for the construction of educational facilities. The school district’s fee for residential development is currently $4.79 per square foot, and $1.85 per square foot in the area of the District where only high school services are provided.

The total planning and impact fees for a typical single-family dwelling are shown in Table 33 below.

Sections 4-5 p. 52
Table 33: Fees for Typical Single-Family Units
Single Family Unit Amount
Planning Fees for Project $1,200
City and Regional Impact
Fees Per Unit
$30,112 (city impact fee)
$4.79 per square foot (Gonzales Unified School District) 1 $4,194 (Monterey County Joint Powers Agency Impact Fee) Total Fees Per Unit $56,413
Source: City of Gonzales, Cost for Services Fee Schedule FY24-25 1 Typical single-family unit assumes 2,000 square foot house (1,500 sf with a 500-sf garage) The total planning and impact fees for a multifamily dwelling in a typical apartment complex are shown in Table 34 below.

Table 34: Fees for Typical Multifamily Units
Multi Family Unit Amount
Planning Fees for Project $5,000
City and Regional Impact Fees
Per Unit
$24,290
$4.79 per square foot (Gonzales Unified School District) 1 $2,949 (Monterey County Joint Powers Agency Impact
Fee)
Total Fees Per Unit $46,832
Source: City of Gonzales, Cost for Services Fee Schedule FY24-25 1 Multifamily project is assumed to be a 1,138 sf, 2 bed, 2 bath unit City development impact fees are an estimated 72.4 percent of the total development costs for both single-family and multifamily development. The City has included HE1.2.5 Fees and Entitlement Transparency to update its website to include information required by state law to increase transparency regarding residential development project requirements and feeds.

In addition, HE 2.1.1 Provide Incentives for Affordable Housing is included in this cycle housing element to establish a fee deferral program and an effective partnership with affordable housing developers to encourage the economically feasible development of housing units in the City. The City makes every effort to work with developers to offset the cost of fees.

Building Codes and Enforcement
Building codes play a vital role in the planning and development process by setting forth design standards that encompass the correct installation of plumbing, mechanical, electrical, and fire safety systems in any building construction. These standards safeguard the health, safety, and overall well-being of the general public. They are also essential in ensuring the long-term durability and protection of both life and property. Gonzales has adopted the 2022 California Standards Building Code. The City’s Building Department administers, inspects, and applies requirements of the 2022 CBC for all buildings within Gonzales. Staff of the Building Department interpret codes during construction operations to allow for some flexibility in dealing with unforeseen site constraints. Minor amendments, have been adopted Sections 4-5 p. 53
by the City and are in place to ensure consistency with updated Building Code, Energy Code, and Fire Code requirements instead of imposing additional requirements on residential development.

The City’s building codes are consistent with the codes used in other jurisdictions throughout California and do not negatively impact the construction of affordable housing.

In addition to adopting the most recent building code, the City has also implemented an online permit system to streamline and enhance the building permit process. This online platform provides a convenient and efficient way for residents, contractors, and developers to apply for permits, report code violations, submit drawings and other documents for review, pay permit fees, request an inspection, search pending applications, issued permits, and inspection results, and review parcel information.

Constraints to Housing for People with Disabilities
Americans with Disabilities Act (ADA) provisions include requirements for a minimum percentage of units in new multi-family developments to be fully accessible to the physically disabled. Enforcement of ADA requirements is not at the discretion of the City but is mandated under federal law. The provisions of the ADA applicable to residential uses apply to multifamily developments and provide minimum standards that must be followed to ensure the development of safe and accessible housing. Under the ADA, cities must reasonably modify policies when necessary to avoid discrimination because of disability, unless they can show that the modifications “would fundamentally alter the nature of the service, program or activity.” In general, the law states that local agencies retain their ability to regulate land uses and to apply neutral, non-discriminatory regulations, but are required to make accommodations to allow persons with disabilities an equal opportunity to use and enjoy housing in the community.

Gonzales’ fifth cycle housing element describes a program to amend its City Code that would create a procedure wherein persons with disabilities seeking equal access to housing may request reasonable accommodation in the application of zoning laws and other land use regulations, policies and procedures. Federal and state laws require that cities provide procedures to request reasonable accommodation for persons with disabilities seeking equal access to housing. Currently, the City provides reasonable accommodation for persons with disabilities in the enforcement of building codes and the issuance of building permits on a case-by-case basis. Program HE-2.2.3 has been added to establish a formalized procedure to allow reasonable accommodation or exceptions to zoning standards to accommodate those with disabilities.

The Gonzales Zoning Code defines family as “More than one person occupying a premises and living as a single housekeeping unit, as distinguished from a group occupying a hotel, club, fraternity or sorority house. A "family" shall be deemed to include necessary servants.” This definition may conflict with fair housing laws and/or pose a constraint to housing for persons with disabilities and will be addressed under Program HE-1.3.2.

The City of Gonzales encourages applicants to incorporate Universal Design elements in projects and has adopted accessibility requirements pursuant to the California Building Sections 4-5 p. 54
Code. Although the City does not require Universal Design elements, State law requires that housing elements provide a program to “address and where appropriate and legally possible, remove governmental constraints to the maintenance, improvement, and development of housing for persons with disabilities”. Program HE-2.2.3 has been added to encourage building design methods for accommodating people with disabilities.

Residential care facilities for 6 or fewer individuals are permitted in all residential zones and in downtown mixed-use areas. Residential care facilities for 7 or more individuals are individuals are permitted in all residential and conditionally permitted in all mixed-use areas. Residential care facilities are subject to the same development standards as other residential uses of the same type in the same zone.

Sections 4-5 p. 55
SECTION 5: FAIR HOUSING ASSESSMENT

5.1 BACKGROUND
The requirement to affirmatively further fair housing (AFFH) is derived from the Fair Housing Act of 1968, which prohibited discrimination concerning the sale, rental, and financing of housing based on race, color, religion, national origin, or sex, and later amended to include familial status and disability. The 2015 U.S. Department of Housing and Urban Development (HUD) Rule to Affirmatively Further Fair Housing and California Assembly Bill 686 (2018) mandate that each jurisdiction takes meaningful actions to address significant disparities in housing needs and access to opportunity. These measures are intended to address disproportionate housing needs of the City’s most vulnerable residents, including renters and cost-burdened households.

Though housing costs continue to rise, and affordable housing is in too short supply, the City of Gonzales has made notable efforts in the past several years to promote development of housing through annexations, and the prior Housing Element includes programmatic efforts to preserve existing and naturally occurring affordable housing. The Fair Housing Assessment (FHA) details the efforts and progress that the City has made to promote fair and equitable housing opportunities and highlights remaining fair housing issues to address.

5.1.1 Housing Element Requirements
Under State law, affirmatively furthering fair housing means “taking meaningful actions, in addition to combatting discrimination, which overcome patterns of segregation and foster inclusive communities free from barriers that restrict access to opportunity based on protected characteristics.” Housing Element law as amended by AB 686 requires that jurisdictions incorporate AFFH into their Housing Element updates, including community engagement and outreach, an assessment of fair housing, identification of housing sites, and goals, policies, and programs that meaningfully address local fair housing issues. The City of Gonzales is addressing these requirements through the following means:
 Meaningful Engagement: Meaningful engagement and outreach efforts were conducted throughout the Housing Element process. These efforts and the incorporation of feedback received is detailed in Appendix C.  Fair Housing Assessment (FHA): This section contains the assessment including the analysis and comparison of local data and regional data, trends, and patterns. This data is supplemented by local knowledge wherever available. The FHA identifies fair housing issues and contributing factors based on the analysis in the five different subsections:
o Enforcement and Outreach Capacity
o Segregation and Integration Patterns and Trends
o Disparities in Access to Opportunity
Sections 4-5 p. 56
o Disproportionate Housing Needs, including Displacement o Areas of Concentrated Poverty and Affluence Across Racial and Ethnic Groups
 Identification of Contributing Factors: Factors that contribute to fair housing issues have been identified for each area of the FHA and prioritizes these factors within Section 5.6.
 Summary of Fair Housing Issues: Fair housing issues are summarized in the FHA, along with the description of goals and actions.
 Sites Inventory: Housing sites identified to meet regional housing needs have been evaluated relative to the components of the FHA. Section 3 contains the housing sites information, maps, and the sites analysis. The FHA contains additional analysis of the housing sites relative to the fair housing topics.

5.2 FAIR HOUSING ENFORCEMENT AND OUTREACH CAPACITY
Fair housing enforcement and outreach capacity relate to the ability of the City and local fair housing entities to disseminate information related to fair housing and provide outreach and education to ensure community members are aware of fair housing laws and rights. In addition, enforcement and outreach capacity include the ability to address compliance with fair housing laws, such as investigating complaints and obtaining remedies. While the City does not directly enforce fair housing laws, it does partner with and refer residents to local fair housing and housing legal support organizations.

5.2.1 Compliance with Existing Fair Housing Laws and Regulations Federal and State laws prohibit intentional housing discrimination and prohibit any actions or policies which may have a discriminatory effect on a protected group of people make it illegal to discriminate based on a person’s protected class, including race, color, religion, sex, national origin, familial status, and disability. In California, the Fair Employment and Housing Act (FEHA) and the Unruh Civil Rights Act also make it illegal to discriminate based on marital status, ancestry, sexual orientation, source of income, or any other arbitrary forms of discrimination. Examples of policies or practices with discriminatory effects include exclusionary zoning and land use policies, predatory mortgage lending and insurance practices, and residential rules that may indirectly inhibit religious or cultural expression.

Both the Federal and State governments have structures in place to process and investigate fair housing complaints. In California, the Department of Fair Employment and Housing (DFEH) maintains the authority to investigate complaints of discrimination related to employment, housing, public accommodations and hate violence. The agency processes complaints online, over the phone and by mail and provides protection and monetary relief to victims of unlawful housing practices. At a federal level, HUD also processes, investigates, and enforces any complaints in violation of the Federal Fair Housing Act.

Additional State protections include the following:

Sections 4-5 p. 57
 The Ralph Civil Rights Act (California Civil Code Section 51.7) forbids acts of violence or threats of violence because of a person’s race, color, religion, ancestry, national origin, age, disability, sex, sexual orientation, political affiliation, or position in a labor dispute.
 The Bane Civil Rights Act (California Civil Code Section 52.1) provides another layer of protection for fair housing choice by protecting all people in California from interference by force or threat of force with an individual’s constitutional or statutory rights, including a right to equal access to housing.  California Civil Code Section 1940.3 prohibits landlords from questioning potential residents about their immigration or citizenship status. In addition, this law forbids local jurisdictions from passing laws that direct landlords to make inquiries about a person’s citizenship or immigration status.  The California Tenant Protection Act (AB 1482; California Civil Code 1946.2, 1947.12 and 1946.13) prohibits tenants from being evicted without “just cause,” which means that multifamily tenants who have lived in a unit for at least a year may only be evicted for enumerated reasons, such as failure to pay rent, criminal activity, or breach of a material term of the lease. The law also caps rent increases at 5% plus inflation up to a 10% maximum cap.

The City has also passed local ordinances to promote the development of affordable housing and further fair housing, including the following sections of the Gonzales City Code (GCC):
 Reasonable Accommodations for Special Needs Housing (GCC Chapter 1.56)  Density Bonus Ordinance (GCC Chapter 12.48)
 Development Impact Waiver for Accessory Dwelling Units (GCC Chapter

12.112)
In addition, the City also complies with the following fair housing laws and regulations:
 Government Code Section 65008
 Government Code Section 8899.50
 Government Code Section 11135 et seq.
 Housing Accountability Act
 No Net Loss Law (Government Code Section 65863)
 Least Cost Zoning Law (Government Code Section 65913.1)  Excessive subdivision standards (Government Code Section 65913.2)  Limits on growth control (Government Code 65302.8)
Sections 4-5 p. 58
Title Statute Description Compliance
Efforts
Density Bonus
Law
Government
Code section
65915
The density bonus ordinance allows up to a

50.0 percent increase in project density
depending on the proportion of units that
are dedicated as affordable, and up to 80.0
percent for projects that are completely
affordable, in compliance with state law.

The City currently
defaults to State
Law and will
implement Action
HE-1.2.4 to codify.

No Net Loss
Law
Government
Code section
65863
The City has identified a surplus of sites
available to meet the Regional Housing
Needs Allocation.

The City complies
with this.

Housing
Accountability
Act
Government
Code section
65589.5
The City does not condition the approval of
housing development projects for very low-,
low-, or moderate-income households, or
emergency shelters unless specific written
findings are made. Further, the City currently
allows emergency shelters by-right, without
limitations, in at least one zone that allows
residential uses.

The City complies
with this.

Senate Bill 35 Government
Code Section
65913.4
The City has established a written policy or
procedure, as well as other guidance as
appropriate, to streamline the approval
process and standards for eligible projects.

The City currently
defaults to State
Law and will
implement Action
HE-1.2.1 to codify.

Senate Bill
330
Government
Code Section
65589.5
The City relies on regulations set forth in the
law for processing preliminary applications
for housing development projects,
conducting no more than five hearings for
housing projects that comply with objective
general plan and development standards,
and making a decision on a residential
project within 90 days after certification of an
environmental impact report or 60 days after
adoption of a mitigated negative declaration
or an environmental report for an affordable
housing project.

The City currently
defaults to State
Law and will
implement Action
HE-1.2.1 to codify.

California Fair
Employment
and Housing
Act and
Government
Code Section
12900 - 12996
The City provides protections to residents
through referrals to legal assistance
organizations.

The City complies
with this provision
through referrals to
legal assistance
organizations.

Sections 4-5 p. 59
Title Statute Description Compliance
Efforts
Federal Fair
Housing Act
Title VIII of the
Federal Civil
Rights Act
AntiDiscrimination
in Zoning and
Land Use
Government
Code Section
65008
The City reviews affordable development
projects in the same manner as market-rate
developments, except in cases where
affordable housing projects are eligible for
preferential treatment, including, but not
limited to, on residential sites subject to AB
1397.

The City complies
with this.

Assembly Bill
686
Government
Code section
8899.50
The City has completed this AFH analysis and
has identified programs to address identified
fair housing issues.

Completed.

Equal Access Government
Code section
1195 et seq.

The City offers translation services for all
public meetings and offers accessibility
accommodations to ensure equal access to
all programs and activities operated,
administered, or funded with financial
assistance from the state, regardless of
membership or perceived membership in a
protected class.

The City complies
with this.

5.2.2 Fair Housing Services, Outreach, and Enforcement at a Local Level The City of Gonzales maintains compliance with all Federal and State fair housing laws and is committed to ensuring access to fair housing and services. The City primarily distributes information through its website, but also has flyers available with information in City Hall.

Residents who contact City Hall or who come in person to request assistance are directed to the appropriate staff members who will discuss the available resources.

The City of Gonzales benefits from local and regional organizations that provide fair housing information, outreach, and enforcement, including their capacity and resources available to them. These organizations include:
 California Rural Legal Assistance – CRLA is a statewide organization assisting rural communities on legal aid in support of tenants’ rights and housing justice.

Though statewide, CRLA is based in Salinas and has a strong presence in Monterey County.
 ECHO Housing – ECHO is committed to ending discrimination in housing by providing fair housing counseling, investigation, mediation, enforcement, and education.

Sections 4-5 p. 60
 Department of Fair Employment and Housing (DFEH) – The California DFEH is a state agency dedicated to enforcing California’s civil rights laws. Its mission targets unlawful discrimination in employment, housing, and public accommodations, hate violence, and human trafficking. Victims of discrimination can submit complaints directly to the department. DFEH is also a HUD Fair Housing Assistance Program (FHAP) agency and receives funding from HUD to enforce fair housing laws.

At the County level, the County of Monterey promotes the preservation and creation of affordable housing and works to affirmatively further fair housing through their own policies, programs, projects, and practices. The Housing Authority of the County of Monterey (HACM) was established in 1941 and is dedicated to creating housing that is affordable, available, and accessible to the County’s low- and moderate-income residents. HACM provides rental assistance and facilitates the development and management of affordable housing.

5.2.3 Complaints, Findings, Lawsuits, Enforcement Actions, Settlements or Judgments Related to Fair Housing and Civil Rights
Federally, Title VIII fair housing case may be filed based on race, color, national origin, religion, sex, disability, familial status, and retaliation for filing a Fair Housing and Equal Opportunity (FHEO) complaint. Between January 1, 2013, and March 19, 2021, there were no FHEO Inquiries in the City of Gonzales. In Monterey County, FHEO Inquiries were only filed in communities along the Pacific Coast from Carmel to Marina, with no inquiries reported in the Salinas Valley from King City to Salinas. The lack of reported cases may be due to a lack of data, inaccessibility of services, aversion to system involvement among marginalized groups, or perceived fear of discrimination or retaliation on the basis of documentation status. There have been no known recent fair housing related lawsuits, settlements, consent decrees or other related legal matters.

5.2.4 Housing Enforcement and Outreach Capacity
The City of Gonzales is in full compliance with applicable fair housing regulations at the State and Federal levels. As discussed above, while the City does not directly enforce fair housing laws, it does disseminate information about and refer residents to local fair housing and housing legal support organizations. Challenges related to fair housing enforcement are primarily due to limited administrative capacity and resources of local fair housing organizations. There is also a continued need for more frequently and widely dispersed fair housing resources so that the right to fair housing is enforced for all residents.

5.3 PATTERNS OF INTEGRATION AND SEGREGATION
Segregation is the separation of different demographic groups into different geographic locations or communities, meaning that groups are unevenly distributed across geographic space. Integration in the equal distribution of demographic groups within a geographic location or community. This section of the Fair Housing Assessment will assess the extent of Sections 4-5 p. 61
racial and income segregation and integration both on the neighborhood level and between the City and neighboring jurisdictions.

Segregation is partly a result of historical exclusionary zoning practices, which is a practice that either intentionally or unintentionally excludes certain types of land uses and/or races and ethnicities from a given community. Exclusionary zoning was introduced in the early 1900s, often to prevent racial and ethnic minorities from moving into middle- and upper-class neighborhoods. Zoning codes that discriminate based on race and ethnicity are now illegal; however, nearly all communities in the United States have land use patterns that reflect past practices. Moreover, in a statewide and national housing shortage this form of zoning can limit the supply of available housing units. In many cities, the implementation of these zoning practices, along with a host of other factors including historical disinvestment in low-income neighborhoods, has resulted in segregation. Currently, most residentially zoned land in Gonzales exclusively allows single-family homes (FIGURE 1).

Although some differences exist within the City from West/East of Highway 101, functionally, there is minimal difference between the communities. Residential development in the Eastern portion of the City tends to have a smaller percentage of units built prior to 1960 than those in the Western portion of the City. However, no significant difference exists in the number of units lacking complete plumbing or a complete kitchen.

In addition, incomes (as demonstrated by Median Income 2017-2021) tend to be the same from West/East. Moreover, poverty status, percentage of the population with a disability, children in female-headed household, and predominant population show minimal difference between the two portions of the City.

5.3.1 Land Use & Zoning
Monterey County experiences considerable racial and economic segregation on a regional level, with wealthier and whiter communities on the coast and lower-income communities and communities of color concentrated inland including within the Salinas Valley.

Housing types in Gonzales are divided between single-family homes (69.8%), multifamily homes of two or more units (26.9%), and mobile homes and other housing types (3.3%).

Slightly more homes are owned (52.8%) than rented (47.2%).1 The share of single-family homes (69.8%) and homeownership (52.8%) is slightly higher in Gonzales than Monterey County.

Historical Factors
The Southern Pacific Railroad laid tracks through the area in 1872, and later a depot was built to service freight and passenger trains. In 1874, Mariano and Alfredo Gonzalez planned the original town, consisting of 50 blocks on land originally deeded to their father, Teodoro Gonzalez, in 1836. Twenty years later in 1894, the earliest recorded population was 500 residents. While the City has a very well-defined Southern Pacific Railroad corridor, the adjacent “old highway” (now Alta Street and Foletta Road), Old Stage Road, and the present Sections 4-5 p. 62
US Highway 101 running through the City, the City does not really experience a strong influence on socio-economic patterns.

While the “newer” suburban-patterned neighborhoods” east of Highway 101 are present and distinguished from the east side of Highway 101 and the “older part of town from Highway 101 and to Alta Road and the Railroad tracks, the newer homes are now 30+ years old. US Census data and the California Department of Finance data indicates a pretty homogeneous socio-economic community in Gonzales, regardless of defining (transportation) features to the land use pattern.

Cattle and grain raising dominated the area until the 1890s when Swiss immigrants founded dairies. At the turn of the century, the Alpine Condensary was established to produce condensed milk, a process originated by a local resident. In the 1920s dairy farming gave way to vegetable crops in which thrived because of rich soils and advancements in irrigation, machinery, and transportation.

The first school house was built in 1874. The Gonzales Baptist Church was built in 1884 and still holds weekly worship services at the corner of Fourth and Day Streets. On January 10, 1947, Gonzales residents voted to incorporate the City. Today, historic buildings still stand on Fourth Street in downtown Gonzales and contribute to the City’s small town charm that is enjoyed by residents and visitors.

Gonzales is a simple small town in the heart of a very agricultural region. National and regional trends in immigration and immigration policy, wars, and decades of advancements in transportation, irrigation and agricultural practices have affected the town as well as all others towns in the Salinas Valley and greater Monterey County.

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Figure 7: City of Gonzales Zoning Map
Sections 4-5 p. 64

5.3.2 Race and Ethnicity
The City of Gonzales is over 90% Hispanic/Latino. The percentage of Latino residents in Gonzales has increased since 2010, and the share of White, Black, and Asian residents has decreased since 2010 (Table 35). In absolute terms, the Hispanic or Latino population has increased the most while the Black and Asian populations decreased the most.

Within the city, there is no known neighborhood that has a higher or lower concentration of minority residents.

Table 35: Population by Race, Gonzales and the Region, 2000-2019 Race or Ethnicity Gonzales Monterey County California
2010 2021 2010 2021 2010 2021
Hispanic or Latino 6,901 7,813 218,868 261,961 13,456,157 15,593,787 White (Non-Hispanic)
alone 615 611 139,535 126,356 15,107,042 14,109,297
Black or African American
alone 143 2 12,089 10,124 2,163,955 2,128,184
Native American alone 0 27 1,158 686 153,430 124,341
Asian alone 258 109 24,523 24,534 4,683,828 5,802,086
Native Hawaiian or Other
Pacific Islander alone 0 40 1,736 1,794 131,505 134,692 Some other race alone 0 0 1,105 1,020 109,184 149,096
Two or More Races 42 26 8,421 12,478 832,189 1,413,870
Source: U.S. Census Bureau, American Community 5-Year Estimates, 2010 and 2021 Compared to the greater Monterey Bay Area, there is a higher percentage of Latino residents in Gonzales (Figure 8), and the increase is comparable to the County and State as a whole.

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Figure 8: Predominant Population, Hispanic Majority Tracts Source: U.S. Census Bureau, American Community 5-Year Estimates, 2010 and 2021 Figure 9: Racial Demographics of Gonzales, Monterey County, and California, 2000-2021 Source: U.S. Census Bureau, American Community 5-Year Estimates, 2010 and 2021 Sections 4-5 p. 66
As shown in Figure 10, the population in Gonzales and the surrounding Salinas Valley is majority non-White.

Figure 10: Racial Demographics by Block Group, 2018
Source: AFFH Data Viewer
At the regional level, segregation is measured between cities instead of between neighborhoods. Racial dot maps can be useful for examining racial segregation between different jurisdictions in the region. Figure 11 below presents a racial dot map showing the spatial distribution of racial groups in Gonzales and nearby jurisdictions. This visual reflects a broader concentration of Latino communities in the Salinas Valley.

Figure 11: Racial Dot Map of Gonzales and Surrounding Areas, 2020 Source: AFFH Data Viewer
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Racial dot maps are also useful for examining neighborhood racial segregation within a jurisdiction. Generally, when the distribution of dots does not suggest patterns of clustering, segregation measures tend to be lower. Conversely, when clusters of certain groups are apparent on a racial dot map, segregation measures may be higher. The racial dot map of Gonzales (Figure 12) offers a visual representation of the spatial distribution of racial groups within the jurisdiction.

Figure 12: Racial Dot Map of Gonzales, 2020
Two quantitative metrics, racial isolation and racial dissimilarity, are used to assess the racial and ethnic segregation in a geographic area. The racial isolation index compares each neighborhood’s composition to the jurisdiction’s demographics. It identifies patterns of geographic segregation and compares a group’s share of the overall population to the average share within a given sub-area. This index ranges from 0 to 1. Higher values (closer to 1) indicate that a particular group is more isolated from other groups. The index can be interpreted as the experience of the average member of that group. Racial dissimilarity measures the evenness between which two racial / ethnic groups are distributed across a geographic area. The index ranges from 0 (no segregation) and 1 (complete segregation Sections 4-5 p. 68
between two groups) and is depicted in Table 36: Racial Isolation Values for Segregation in Gonzales and the Region.

The Monterey County Average column provides the average isolation index value across Monterey County jurisdictions for different racial groups in 2020. The data in this column can be used as a comparison to provide context for the levels of segregation experienced by racial groups in Gonzales. For example, the average isolation index value for white residents across all Monterey County jurisdictions is 0.508, which is higher than that of Gonzales.

Table 36: Racial Isolation Values for Segregation in Gonzales and the Region

Race or Ethnicity
Gonzales County
2010 2020 2020
Asian/Pacific Islander 0.002 0.005 0.098
Black/African American 0.002 0.001 0.089
Hispanic or Latino 0.033 0.058 0.753
White 0.044 0.075 0.508
People of Color 0.004 0.001 N/A
Source: U.S. Census Bureau, American Community Survey 5-Year Estimates The UC Berkeley Othering & Belonging institute rated both of the City’s census tracts as High Segregation for people of color in 2010, and downgraded the City’s eastern tract to LowMedium Segregation in 2020 (See Table 37).2 Racial segregation can also be measured by the multi-race entropy index, also known as the Thiel’s H Index. Monterey County’s index is 1.065, placing it in the 69th percentile. The County is less racially diverse than most California areas under this metric, but only 31% of areas nationwide were more diverse.3
Table 37: Racial Dissimilarity Values for Segregation in Gonzales and the County

Race or Ethnicity
Gonzales County
2010
Score
2020
Score
2020
Score Percentile
Asian/Pacific Islander-White Dissimilarity 0.270 0.420 0.382 50th Black-White Dissimilarity 0.002 0.453 0.501 65th
Latino-White Dissimilarity 0.197 0.361 0.611 99th
People of Color-White Dissimilarity 0.379 0.310 N/A
Sources: U.S. Census Bureau, American Community Survey 5-Year Estimates; U.C. Berkeley Othering & Belonging Institute, “Mapping Race in America”
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5.3.3 Persons with Disabilities
The Americans with Disabilities Act (ADA) defines a disability as a “physical or mental impairment that substantially limits one or more major life activities.” People with disabilities are at greater risk for housing insecurity, homelessness, and institutionalization, particularly when they lose aging caregivers. According to 2019 American Community Survey data 4.0 percent of Gonzales residents have a disability of some kind. The most prevalent disability in Gonzales is an independent living difficulty, which affects 2.3 percent of Gonzales adults (See Table 38).

Table 38: Population by Type of Disability in Gonzales
Disability Percentage
With an independent living difficulty 2.3%
With an ambulatory difficulty 1.8%
With a cognitive difficulty 1.4%
With a vision difficulty 1.1%
With a self-care difficulty 0.8%
With a hearing difficulty 0.7%
Source: U.S. Census Bureau, American Community Survey 5-Year Estimates, 2019 Within this population, there are differences in disability status by race and ethnicity. White residents are more likely to have disabilities than Latino, Asian, and multiracial residents. It is possible that the small number of Black, Native American, Native Alaskan, Native Hawaiian or Pacific Islander residents explains zero estimated individuals with a disability among those groups (See Table 39).

Table 38: Disability Status by Race and Ethnicity in Gonzales Race or Ethnicity Total
Population
# with a
disability
% with a
disability
Total non-institutionalized population 8,375 334 4.0%
White alone 4,073 243 6.0%
Black or African American alone 31 0 0.0%
American Indian and Alaska Native alone 62 0 0.0%
Asian alone 302 11 3.6%
Native Hawaiian and other Pacific Islander
alone
33 0 0.0%
Some other race / two or more races 4,315 139 3.2%
Hispanic or Latino (of any race) 7,564 255 3.4%
Source: U.S. Census Bureau, American Community Survey 5-Year Estimates, 2019 Sections 4-5 p. 70
The share of the population with a disability in Gonzales is lower than Monterey County and the Monterey Bay region. There is no significant concentration of residents with a disability within the City (Figure 13).

Figure 13: Population with a Disability in the Monterey Bay Area, 2019

5.3.4 Familial Status
American Community Survey data indicates that Gonzales has a slightly lower share of singleperson households, a slightly lower share of total family households, and a slightly lower share of single-parent family households compared to both Monterey County and the Monterey Bay Area (Figure 14, Figure 15).

Figure 14: Percent of Children in Single Female-Headed Households, 2019 Sections 4-5 p. 71
Figure 15: Percent of Single Adult Householders, 2019

5.3.5 Income
Household income is the principal factor in determining a household’s ability to balance housing costs with other basic life necessities. Households with lower incomes are limited in their ability to balance housing costs with other needs, and often face additional barriers when seeking adequate housing. While economic factors that affect a household’s housing choice are not a fair housing issue per se, the relationships among household income, household type, race/ethnicity, and other factors often create misconceptions and biases that raise fair housing concerns. The following Table 40 and figures depict household income levels in Gonzales.

Table 40: Households by Household Income Level, 2017
<30% AMI 30-50% AMI 50-80% AMI 80-100% AMI >100% AMI
Gonzales 170 270 585 125 935
Monterey
County
15,610 17,385 25,040 13,900 55,215
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Figure 16: Households by Income Group, Gonzales and the Region, 2015 Figure 17: Median Income by Block Group, Gonzales, 2019 Sections 4-5 p. 73
Figure 18: Low to Moderate Income Population by Block Group, Gonzales, 2019

5.3.6 Poverty
Poverty thresholds, as defined by the Census Bureau, vary by household type but remain constant throughout the country and do not correspond to Area Median Income.

Approximately 8.1% of Gonzales residents were determined to be living below the poverty level, less than 12.1% of Monterey County residents and 12.3% of Californians in poverty.

The City is economically homogenous, and there are no known concentrations of poverty or high-income areas in the city.

Figure 19: Population by Poverty Status in Gonzales, 2019 Sections 4-5 p. 74

5.3.7 Racially & Ethnically Concentrated Areas of Poverty (R/ECAP) and Affluence (RCAA)
The U.S. Department of Housing and Urban Development (HUD) has determined that white Americans are the most racially segregated group in the United States and “in the same way neighborhood disadvantage is associated with concentrated poverty and high concentrations of people of color, conversely, distinct advantages are associated with residence in affluent, white communities.”
HUD defines census tracts with a majority non-white population (greater than 50%) that have either a poverty rate that exceeds 40%or is three times the average tract poverty rate for the metro/micro area, whichever threshold is lower, as Racially/Ethnically Concentrated Areas of Poverty (R/ECAPs). There are no R/ECAPS in the City of Gonzales, and Monterey County’s R/ECAPs are concentrated in the City of Salinas (Figure 20).

Figure 20: Racially or Ethnically Concentrated Areas of Poverty (R/ECAP) While R/ECAPs have long been the focus of fair housing policies, racially concentrated areas of affluence are increasingly analyzed to ensure housing is integrated, a key to fair housing choice. Researchers at the University of Minnesota Humphrey School of Public Affairs have created the Racially Concentrated Areas of Affluence (RCAAs) metric to tell the story of segregation more fully in the United States. RCAAs are generally defined as census tracts where 1) 80% or more of the population is white, and 2) the median household income is $125,000 or greater. There are no RCAAs in Gonzales. There are several RCAAs in Monterey and the surrounding region, mainly in coastal Monterey County and the Carmel Valley including rural and small urbanized areas with lower density housing (Figure 21).

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Figure 21: Racially Concentrated Areas of Affluence
In February 2017, the California Fair Housing Task Force (Task Force) was tasked with creating a map that more effectively reflects that level of racial and ethnic diversity in many parts of California. The map that filters areas that are both non-whites racially segregated and high poverty. Census tracts and rural block groups that have both a poverty rate of over 30 percent and that are designated as being racially segregated are categorized by this statewide standard as “High Segregation and Poverty.” There are no Block Groups of High Segregation and Poverty in Gonzales.

5.4 DISPARITIES IN ACCESS TO OPPORTUNITY

5.4.1 Resource Areas
The TCAC Opportunity Area 2024 Composite Score assesses the level of resources related to education, poverty, proximity to jobs and economic opportunities, low pollution levels, and other factors in neighborhoods across the City. The Composite Opportunity Score, an index that weighs all these factors, indicates that one of the census tracts in Escalon is categorized as Moderate Resource and the rest of the city is categorized as High Resource (Figure 22).

Because census tract boundaries extend beyond City limits, these composite scores are influenced by non-City residents in census tracts areas that fall outside of Gonzales.

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Figure 22: TCAC Opportunity Map Composite Score, City of Gonzales, 2024 On a regional level, the Salinas Valley has lower opportunity scores than other areas of the Monterey Bay Area (Figure 23).

Figure 23: TCAC Opportunity Map Composite Score, Monterey Bay Region, 2024 Sections 4-5 p. 77

5.4.2 Education
The TCAC Opportunity Areas Education Scores provide an index for measuring the level of educational outcomes within a census tract. Education Scores are influenced by proficiency in math and reading, high school graduation rates, and the number of students not in poverty.

All areas in Gonzales meet or exceed the regional median threshold for education indicators.

Kindergarten through high school (12th grade) education within the City of Gonzales is provided by the Gonzales Unified School District (District) which serves 2,181 students from Transitional Kindergarten to Grade 12 across three schools and has a high school graduation rate of 92.9%. The City is also served by the higher education institutions CSU Monterey Bay, Hartnell College, and Monterey Peninsula College which offer various certificate and degree programs.

The California School Dashboard calculates the number of Socioeconomically Disadvantaged students in a district based on the number of students who are eligible for free or reduced priced meals or have parents/guardians who did not receive a high school diploma. The District has an enrollment of 2,181 students, 88 percent of which are socioeconomically disadvantaged, and 45 percent of which are English learners. The District is predominantly Hispanic/Latino at 98 percent (See Table 41).

Table 39: Student Demographics in the Gonzales Unified School District, 2022 Student Group Total Percentage
English Learners 973 44.6%
Foster Youth 1 0.0%
Homeless 299 13.7%
Socioeconomically
Disadvantaged
1922 88.1%
Students with Disabilities 284 13.0%
Race/Ethnicity Total Percentage
African American 0 0.0%
American Indian 0 0.0%
Asian 2 0.1%
Filipino 7 0.3%
Hispanic 2,127 97.5%
Pacific Islander 2 0.1%
Two or More Races 4 0.2%
White 29 1.3%
Total Enrollment 2,181 100%
Source: California School Dashboard, Gonzales Unified School District, 2022 Sections 4-5 p. 78
The California Assessment of Student Performance and Progress from 2021-2022 for all grades shows that the District had similar average English Language Arts/Literacy scores than the County and lower scores than that of the State. The District’s Math scores are higher than the County, but lower than the State average (See Table ).

Table 42: English & Math Proficiency, Gonzales Unified School District, 2021-2022 Achievement Level
English Language Arts/Literacy Mathematics Achievement
GUSD County State GUSD County State
Standard Exceeded: Level 4 8.08% 11.30% 20.50% 4.36% 1.69% 16.06% Standard Met: Level 3 22.56% 19.77% 26.56% 12.23% 7.34% 17.32% Standard Nearly Met: Level 2 26.93% 24.86% 22.62% 24.37% 20.34% 24.66% Standard Not Met: Level 1 42.43% 44.07% 30.33% 59.04% 70.62% 41.96% Source: California Assessment of Student Performance and Progress

5.4.3 Access to Healthy Environment
In October 2021, the California Office for Environmental Health Hazard Assessment (COEHHA) released the latest version of CalEnviroScreen, a tool that uses environmental, health, and socio-economic indicators to map and compare community environmental scores. A community within the 75th percentile or above is one with higher levels of pollution and/or has other negative environmental traits and is considered a “disadvantaged community.” As of October 2021, Gonzales contains no census tracts within the 75th percentile and therefore does not contain any disadvantaged communities by COEHHA metrics (Figure 24).

Figure 24: CalEnviroScreen 4.0 by Census Tract, Monterey Bay Area, 2021 Source: AFFH Data Viewer
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The California Healthy Places Index (HPI) combines 25 community characteristics, like access to healthcare, housing, and education, into a single indexed HPI score. According to this index, Gonzales has higher scores in the transportation and clean environment categories, with lower scores in categories assessing economics, education, social engagement, neighborhood, housing, and healthcare access (Figure 25).

Figure 25: Healthy Places Index, 2021
Source: AFFH Data Viewer
The California Healthy Places Index (HPI) placed Gonzales in the 8th percentile for tree canopy. Adequate urban tree coverage can reduce urban heat island effects, encourage active transportation uses, and prevent health issues related to excessive heat. Further scores in the bottom quartile include overcrowded housing, insured adults, drinking water contaminants, voting, preschool enrollment, high school enrollment, college education, and per capita income.

There are no differences between neighborhoods with respect to shopping access and access to healthy foods.

5.4.4 Transportation
Public transit is of paramount importance to households affected by low incomes and rising housing prices. Good public transit links lower-income persons, who are more likely to be transit-dependent, to major employers where job opportunities exist. Access to employment via public transportation can reduce welfare usage rates and increase housing mobility, which enables residents to locate housing outside of traditionally lower- and moderateincome neighborhoods. The lack of a relationship between public transit, employment opportunities, and affordable housing may impede fair housing choice because persons who Sections 4-5 p. 80
depend on public transit will have limited choices regarding places to live. In addition, elderly and disabled persons also often rely on public transit to visit doctors, go shopping, or attend activities at community facilities. Public transit must provide a link between job opportunities, public services, and affordable housing to help ensure that transit-dependent residents have adequate opportunity to access housing, services, and jobs.

Bus service in Gonzales is provided by Monterey-Salinas Transit (MST) and Paratransit.

Monterey-Salinas Transit is the primary transit provider for all Monterey County jurisdictions; it provides regularly scheduled fixed-route service to major activity centers and transit hubs within the City limits. The 23 and 23X travels from Salinas to King City with hourly service (Figure 26).

The Transportation Agency for Monterey County (TAMC) is in the process of extending passenger rail service from San Jose to Salinas, which will improve transit options for longerrange travel transferring north to Silicon Valley, the San Francisco Bay Area, and Sacramento.

Paratransit, also known as dial-a-ride or door-to-door service, is available for those that are unable to independently use the transit system due to a physical or mental disability.

Individuals must be registered and certified as ADA eligible before using the service.

Paratransit operators are required by the ADA to service areas within three-quarters of a mile of their respective, public fixed-route service. MST RIDES serves as the paratransit operator for Monterey-Salinas Transit and the City of Gonzales. Ride reservations can be scheduled daily. A one-way fare costs $2.00.

The California Healthy Places Index (HPI) placed Gonzales in the 78th percentile for transportation (its highest API score). Automobile access ranked in the 77th percentile while active commuting ranked in the 41st percentile (meaning that Gonzales had slightly below average resources to support walking and biking). These rankings were comparable to Monterey County’s overall scores.

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Figure 26: Monterey-Salinas Transit 23/23X Bus Map, 2023 Sidewalks are available in the city, yet there are many street crossings with residential, commercial, institutional and industrial traffic. Striping, crosswalks, signs, flashing lights, reduced speed limits are in place, and large semi-trucks are required to avoid Fifth Street.

The City recently worked with the Gonzales Youth Council to identify Safe Routes to School.

Fifth Street is of particular concern for the City as it is the street separating the high school and the middle school. Fifth Street also has the one mid-city narrow bridge over Hwy 101 and connects housing and a commercial district on the east side of Gonzales, to the schools, downtown homes and businesses and the industrial business park on the west side.

Other Infrastructure Investments
The City maintains a seasonal swimming pool with events and Summer and Fall hours. The pool is centrally located in the heart of the City, near the middle and elementary schools. The pool is also near Centennial Park, which has a lighted baseball facility. The City also has a skate park close to the pool and baseball park. Presently under construction is a community Sections 4-5 p. 82
center on Fifth Street across from the high school and very centrally located in the City. The community center project represents a more than 30 million dollar investment. Community members have easy access to these facilities regardless of where in the city they live.

As of December 2024, there is also a Industrial Wastewater Treatment Plant under construction. The groundbreaking occurred November 22, 2024. Once the wastewater treatment plant is completed, the City will modernize the existing Municipal Wastewater treatment plant and adding capacity. Major new arterial roads, water, sewer, and electrical substation facilities will be associated with the coming Vista Lucia Specific Plan neighborhoods upon annexation to the City.

5.4.5 Economic Development and Job Access
The TCAC Opportunity Maps accounts for regional differences in access to opportunities within census tracts. The Economic Domain score factors in the following indicators to generate Economic Scores for each tract:
 Poverty: Percent of population with income level above 200% of federal poverty line
 Adult Education: Percent of adults with a bachelor’s degree or above  Employment: Percent of adults aged 20-64 who are employed in the civilian labor force or in the armed forces
 Job Proximity: Number of jobs filled by workers with less than a BA that are all within a given radius of each census tract
 Median Home Value: Value of owner-occupied units
A score of less than 0.25 is considered a less positive economic outcome, while scoring greater than 0.75 indicates greater access to economic opportunities. The entirety of Gonzales scores in the lowest quartile by these metrics. According to the 2024 TCAC Opportunity Map, the Moderate resource area in Gonzales has a lower percentage of residents above 200% of the federal poverty line (43.1%) compared to other areas of the city (66.8-79.9%).

The HUD Jobs Proximity Index quantifies the accessibility of a given residential neighborhood as a function of its distance to all job locations, with larger employment centers weighted more heavily. The higher the index value, the better the access to employment opportunities for residents in a neighborhood. In Gonzales, residents closer to downtown have the closest job proximity, whereas residents northeast of US-101 are in furthest proximity to jobs. Rankings are influenced by job accessibility in all parts of the block group, including those outside of City limits.

Bank access is limited in Gonzales. Mechanics Bank is the sole Federal Deposit Insurance Corporation (FDIC)-regulated institution, lower than most jurisdictions in Monterey County Sections 4-5 p. 83
(Table ). Lack of access to FDIC-regulated banks increases the likelihood of discrimination in lending and credit services as well as predatory lending practices that further racial and socio-economic inequities.

Table 40: FDIC-Regulated Bank Branches, Monterey County Municipalities, 2022 Municipality Population Population of
Color
FDIC-Regulated
Full-Service Brick
and Mortar
Branches
FDIC-Regulated
Non-Brick and
Mortar Branches
Gonzales, CA 8,647 92.9% 1 0
Carmel, CA 3,789 10.1% 7 0
Del Rey Oaks, CA 1.518 23.9% 1 0
Greenfield, CA 18,937 96.7% 2 0
King City, CA 13,443 91.9% 5 0
Marina, CA 22,359 61.6% 2 0
Monterey, CA 30,218 35.1% 12 0
Pacific Grove, CA 15,090 24.5% 5 0
Salinas, CA 163,542 87.8% 26 2
Sand City, CA 320 47.5% 0 0
Seaside, CA 32,366 69.5% 3 0
Soledad, CA 24,925 89.7% 2 0
County Total 439,095 71.6% 66 2
Source: Federal Deposit Insurance Corporation (FDIC), BankFind Suite: API for Data Miners & Developers

5.4.6 Housing the Workforce
Future housing needs depend in part on the trajectory of the local workforce. Changes in the types and pay levels of jobs available in Gonzales and the surrounding region will impact the type and cost of housing that current and future residents can afford. Employment trends indicate a need for a range of housing types that support Gonzales residents who are employed in various industries. There is a particular need for more moderate- and lowerincome housing units to support workers in agriculture, retail, manufacturing, and other lower-wage industries. The Association of Monterey Bay Area Governments (AMBAG) anticipates a 20% increase in jobs and an 86% increase in population by 2045 (Table 44).

Table 41: Projected Change in Jobs and Population in Gonzales, 2010-2040 Year Jobs % Change Population % Change
2015 5,764 - 8,441 -
2020 6,326 9.8% 8,506 0.7%
2025 6,382 0.8% 9,650 13.4%
2030 6,533 2.4% 13,492 39.8%
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2035 6,660 1.9% 14,630 8.4%
2040 6,788 1.9% 15,398 5.2%
2045 6,920 1.9% 15,711 2.0%
Total +1,156 20% +7,270 86%
Source: Association of Monterey Bay Area Governments (AMBAG), Regional Growth Forecast, 2022 The Smart Locations Index found that the two census tracts in Gonzales were within a 45- minute drive to between 8,000-10,000 jobs. This figure was higher than all Salinas Valley jurisdictions to the south, comparable to jurisdictions in coastal Monterey such as Carmel-bythe-Sea and Pebble Beach, and lower than the countywide high in Salinas (40,000 jobs).4 Data from the U.S. Department of Housing & Urban Development (HUD) measured job proximity on a block group basis and found that downtown Gonzales had the greatest proximity to jobs among the City, with comparable scores to coastal Monterey and central Salinas. Eastern neighborhoods of Gonzales received less favorable scores (Figure 27, Figure 28).

Figure 27: Job Proximity Index Map of Gonzales
Figure 28: Job Proximity Index Map of Monterey County
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Employment Inflow/Outflow analyses highlight the movement of workers commuting into and out of Gonzales and are useful in understanding where residents and non-resident workers are employed and live. Gonzales has a high number of workers commuting in and out of the City, with few residents working in the City (Figure 29).

Figure 29: Inflow and Outflow of Workers in Gonzales
Source: U.S. Census Bureau, OnTheMap, 2019

5.5 DISPROPORTIONATE HOUSING NEEDS & DISPLACEMENT

5.5.1 Cost Burden and Severe Cost Burden
Housing cost burden is commonly measured as the percentage of gross income spent on housing, with a 30% threshold for cost burden and 50% threshold for severe cost burden. A lower-income household spending the same percent of income on housing as a higherincome household is therefore more likely to experience a cost burden. Some of the implications of high-cost burden can include housing-induced poverty, where overspending on housing leaves households little financial resources for other expenditures, and reduced savings which can impact asset accumulation. The typical housing cost for a unit in Gonzales was $1,145-$1,519 in 2019. To rent a typical apartment without cost burden, a household Sections 4-5 p. 86
would need to make $60,760 per year. Home prices have skyrocketed in the last decade; however, most homeowners have mortgages with fixed rates or own outright and are therefore less likely to be impacted by market increases. Renters are subject to rent increases based on market rates and tend to experience more cost-burden. This is the case in Gonzales where 42-52% of renters are either cost-burdened or severely cost-burdened (Figure 30), while 30-42% percent of homeowners are cost burdened or severely cost-burdened (Figure 31).

Figure 30: Overpayment by Renters, 2019
Figure 31: Overpayment by Homeowners, 2019
However, as shown in Figure 32, the median gross rent in Gonzales is lower than that of the coastal cities in the County. Overpayment by homeowners and renters in Gonzales decreased from 2014 to 2019.

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Figure 32: Median Gross Rent

5.5.2 Overcrowding
Households having more than 1.01 to 1.5 persons per room are considered overcrowded and those having more than 1.51 persons per room are considered severely overcrowded.

The person per room analysis excludes bathrooms, porches foyers, halls, and half-rooms.

Residential overcrowding reflects demographic and socioeconomic conditions as it has been correlated with increased risks of contracting communicable diseases, higher rates of respiratory illness, and greater vulnerability to being homeless.

Older-adult immigrant and recent immigrant communities, families with low incomes, and renter-occupied households are more likely to experience household crowding. A form of residential overcrowding known as "doubling up" is co-residing with family members or friends for economic reasons. Doubling up is the most reported living situation for families and individuals before the onset of homelessness.5 The majority of Gonzales experiences overcrowding levels of approximately 20% (Table , Figure 33).

Table 42: Occupants Per Room for Households by Race and Ethnicity in Gonzales, 2019 Race or Ethnicity Total
Households
# in Units with 1.00 or
Fewer Occupants
Per Room
#in Units with 1.01 or
More Occupants
Per Room
Total Non-Institutionalized
Population
2,077 1,703 374
White Alone, Not Hispanic
or Latino
264 264 0
Black or African American
Alone
18 18 0
Asian Alone 72 72 0
Hispanic or Latino (of any
race)
1,903 1,328 374
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Figure 33: Overcrowded Households by Census Tract
Data concerning severe overcrowding by race and ethnicity is not available, but there is data on severe overcrowding by housing tenure, a factor that is often correlated with race and ethnicity. In Gonzales and the region, white households are relatively more likely to be homeowners while Hispanic households are relatively more likely to be renters. As the data above shows, Renter-Occupied households are much more likely to be subjected to severe overcrowding than Owner-Occupied households (Table 46).

Table 43: Severe Overcrowding for Households by Tenure in Gonzales, 2019 Tenure Total Households # in Units with 1.00 or
Fewer Occupants Per
Room
# in Units with 1.01 or More
Occupants Per Room
Owner-Occupied 1096 960 136
Renter-Occupied 981 743 238
The California Healthy Places Index (HPI) placed Gonzales in the 8th percentile for uncrowded housing, indicating that only 8% of California communities have more severe overcrowding issues. Overcrowding is substantial in Gonzales, and Programs HE-1.3.1 to HE-1.3.3, HE-2.1.1, and HE-2.2.2 to HE-2.2.4 are included to allow and promote a variety of housing types for large households, including support for multi-generational housing through increased allowance of multiplexes and ADUs/JADUs.

5.5.3 Substandard Housing
As defined by the U.S. Census, there are two types of substandard housing problems: (1) Households without hot and cold piped water, a flush toilet and a bathtub or shower; and (2) Households with kitchen facilities that lack a sink with piped water, a range or stove, or a refrigerator. In Gonzales, 2.4% of renter households lack a kitchen amenity and 4.6% of households lack plumbing (Table 47). Rates of substandard housing are among the highest Sections 4-5 p. 89
in the region, with four to twelve times the County rates of substandard housing problems among Gonzales renters.

Table 44: Substandard Housing Issues in Gonzales & Monterey County, 2019 Gonzales
(2010)
Gonzales
(2019)
Monterey County
(2010)
Monterey County
(2019)
Owner Renter Owner Renter Owner Renter Owner Renter
Lacking Complete
Kitchen (%)

0.0 0.0 0.0 2.4 0.4 0.7 0.2 0.6
Lacking Plumbing
(%)

0.0 0.0 0.0 4.6 0.4 0.5 0.3 0.4
Figure 34: Regional Households with Substandard Housing Issues Source: AFFH Data Viewer
There are 15 units that may be in need of rehabilitation and 7 in need of replacement. Local officials indicate that units in need of rehabilitation are generally located south of US-101 due to the relative age of the homes in the original neighborhoods of the City (Figure 35). The California Healthy Places Index (HPI) placed Gonzales in the 33rd percentile for housing habitability, and Program HE-2.3.1 is included to support rehabilitation of substandard units. However, the City estimates a low percentage (10%) of homes in need of rehabilitation and/or replacement.

Due to overcrowded housing conditions throughout the city stemming from a lack of readily available unoccupied land citywide, a given residence typically has a large number of vehicles associated with it. Parking on lawns, unpermitted and oversized driveways for cars, and recreational vehicles in various states of operation are constant battles for the City’s Code Enforcement Division and Police Department. Parking at crosswalks, corners and encroachments on driveway aprons are common. Furthermore, when a garage is converted to ADU, four or five vehicles are displaced to the surrounding streets.

Sections 4-5 p. 90
Figure 35: Age of Structures in Gonzales
Source: AFFH Data Viewer

5.5.4 Displacement
Shifts in neighborhood composition are often framed and perpetuated by established patterns of racial inequity and segregation. Neighborhood change is influenced by three processes: movement of people, public policies, and investments, such as capital improvements and planned transit stops, and flows of private capital. These processes can disproportionally impact people of color, as well as lower income households, persons with disabilities, large households, and persons at-risk or experiencing homelessness. They can also cause displacement and homelessness.

For the purposes of this assessment, displacement is used to describe any involuntary household move caused by landlord action or market changes. Displacement is fueled by a combination of rising housing costs, income inequality, stagnant wages, and insufficient market-rate housing production. Decades of disinvestment in low-income communities can result in rent gaps, or disparities between current rental income and potentially achievable rental income if the property is converted to its most profitable use. Because of this, market forces and investor speculation can play a part in displacement.

The University of California, Berkeley (UCB) Urban Displacement Project Bay Area Model 2020 identifies most of Gonzales as Low-Risk and At-Risk of Displacement, a common designation in the Salinas Valley as depicted in the following figures. This is most likely due to increasing housing costs.

Sections 4-5 p. 91
Figure 36: Displacement Risk for All Households, 2022
Source: AFFH Data Viewer
Figure 37: Displacement Risk for Low-Income Households, 2022 Source: AFFH Data Viewer
Sections 4-5 p. 92
Figure 38: Displacement Risk for Very Low-Income Households, 2022 Source: AFFH Data Viewer
Displacement can also occur as a result of natural disasters. Figure 39 identifies areas that are at risk of flooding and disaster-driven displacement. The Special Flood Hazard Areas in Gonzales are concentrated along the most riparian (riverine) areas of the City where there are 1% (dark purple) Annual Chance Flood Hazard zones and a Regulatory Floodway. In Gonzales, these areas do not coincide with populated areas that are susceptible to displacement or have high concentrations of protected classes or low-income residents.

Figure 39: Special Flood Hazard Areas in Gonzales, 2020 Sections 4-5 p. 93
Figure 40: Special Flood Hazard Areas in the Monterey Bay Area, 2020

5.5.5 Homelessness
The Department of Housing and Urban Development (HUD) defines homelessness as any “individual or family who lacks a fixed, regular, and adequate nighttime residence,” or an individual whose “primary nighttime residence [is] not designed for or ordinarily used as a regular sleeping accommodation… including a car, park, abandoned building, bus or train station, airport, or camping ground.” This also includes those at risk of being homeless, those fleeing domestic violence, those who have no other residence, and those who lack the resources to obtain permanent housing. HUD defines a ‘‘chronically homeless’’ individual as “a homeless individual with a disability [who has been homeless] … continuously for at least twelve (12) months or on at least four (4) separate occasions in the last three (3) years, where the combined occasions total a length of time of at least twelve (12) months.” Homelessness is a long-standing, complex and challenging issue for many cities in California.

As discussed in Section 4.2, no individuals experiencing homelessness were identified during the Point-In-Time count. Emergency shelter housing is located in the nearby jurisdictions of Salinas, Seaside, Monterey, and Marina (Figure 41).

Sections 4-5 p. 94
Figure 41: Monterey County Emergency Shelter Housing, 2020

5.6 FAIR HOUSING GOALS AND PRIORITIES BASED ON

IDENTIFIED CONTRIBUTING FACTORS
In Gonzales, the main factors that contribute to fair housing issues that were identified include:
 Land use and zoning laws, including minimum lot sizes, limits on multi‐unit properties, height limits, or minimum parking requirements  Lack of affordable units appropriately sized for large families  Economic pressures, including increased rents or land and development costs  Patterns of community opposition
 Lack of resources for fair housing agencies and organizations Programs identified in Table 48 will help ensure the City takes meaningful action to address the contributing factors identified above.

Sections 4-5 p. 95
Table 45: Housing Program Metrics to Affirmatively Further Fair Housing Contributing
Factors Priority Meaningful Action
Land use and
zoning laws High
Program 1.2.3: Objective Development Standards
• Eliminate density limits in the MU and MU-CC zone districts. • Reduce parking requirements downtown and for all
multifamily projects.

Program HE-1.3.1: Missing Middle Housing Production
• Incorporate objective development standards (i.e.,
increased allowable heights and densities, reduced
minimum lot sizes, and reduced setback requirements)
Program HE-2.1.1: Provide Incentives for Affordable Housing • Develop overlay zones that offer flexibility in development standards
• Promote the use of innovative projects and where
necessary to accommodate affordable units, modify
standards to allow smaller lot sizes, setbacks, and open space requirements
Lack of
affordable units
appropriately
sized for large
families
High
Program HE-1.2.4: Density Bonus Programs
• Adopt a Large Family Supplementary Density Bonus
Program for rental developments of five or more dwelling units that provide more than 35% of the rental units for large families (three-bedrooms), or at least 20% as 4+
bedrooms
Program HE-2.2.2: Housing for Large Families
• Encourage new development to provide at least three
bedrooms in at least 35% of the single-family units with other amenities such as open floor plans or large family rooms, or ADUs
• Encourage applicants interested in a housing development of five or more units to be innovative in order to
accommodate the needs of large family households
Economic
pressures
Moderate
Program HE-2.1.1: Provide Incentives for Affordable Housing • Establish a fee deferral program to encourage the
development of low and very low-income housing projects and special needs housing projects. The program will be Sections 4-5 p. 96
Contributing
Factors Priority Meaningful Action
designed to ensure the fee deferral would make the
development of the housing units economically feasible in cases where they would not otherwise be feasible.
• Establish effective partnerships with affordable housing developers and others interested in supporting an increase in housing stock.

Program HE-2.2.1: Pursue State and Federal Funding to Assist in Development of Special Needs Housing
• Pursue funding for the development of affordable housing for seniors, families, farmworkers, and persons with
disabilities
Program HE-2.3.1: Anti-Displacement Actions
• Add commitments for Tenant Relocation Assistance that go beyond the requirements of CA Civil Code 1946.2 to
Gonzales tenants earning low or moderate incomes evicted for no-fault just cause
• Post bilingual fact sheets regarding Tenant Relocation Assistance
• Maintain an active rehabilitation program and rental
housing inspection program
Program HE-4.3.1: Developer Engagement
• Develop a marketing package to raise awareness of newly formed incentives
• Invite non-profit housing providers in the Gonzales housing market to meet with City staff to promote the use of
incentives available
• Partner with housing developers to pursue funding
opportunities at the regional, state, and federal levels Community
opposition Moderate
Program HE-1.2.1: Streamline Housing Development Review • Develop formalized procedures and applications to
establish streamlined review processes
Program HE-4.1.1: Fair Housing Information, Education, and Enforcement
• Host an annual Housing Resource Fair to share information about affordable housing, tenant and landlord rights, first- Sections 4-5 p. 97
Contributing
Factors Priority Meaningful Action
time homebuyer education, City programs, and energy
conservation
• Partner with local organizations to ensure fair housing information and resources reach linguistically isolated and underserved populations
• Partner with the Monterey County Association of
REALTORS® to educate residents about first-time
homebuyer assistance programs and overall education
• Distribute a tenant and landlord rights toolkit in
collaboration with housing advocacy groups
Lack of
resources for
fair housing
agencies and
organizations
Moderate
Program HE-4.1.1: Fair Housing Information, Education, and Enforcement
• Host an annual Housing Resource Fair to share information about affordable housing, tenant and landlord rights, firsttime homebuyer education, City programs, and energy conservation
• Partner with local organizations to ensure fair housing information and resources reach linguistically isolated and underserved populations
• Partner with the Monterey County Association of
REALTORS® to educate residents about first-time
homebuyer assistance programs and overall education
• Distribute a tenant and landlord rights toolkit in
collaboration with housing advocacy groups
Sections 4-5 p. 98

5.7 FAIR HOUSING & HOUSING SITES
The City can be divided into three zones: the area south of Alta Street, which is largely industrial, the area to the west of Fifth Street, which is primarily residential, and the area to the east of Fifth Street, which is residential with larger commercial areas. All of the unit capacity counted toward the lower-income RHNA (273 units) is within the industrial area. The majority of the unit capacity counted toward the moderate-income RHNA is on the east side of the city (256 of 295 units, or 87.1 percent of moderate-income unit capacity), with a small amount in the west side of the city (38 units, or 12.9 percent of moderate-income unit capacity). All of the unit capacity counted toward the higher-income RHNA (708 units) is located on the west side of the city.

5.7.1 Segregation & Integration
Housing sites identified to meet the City’s RHNA are distributed throughout the community in a manner that affirmatively furthers fair housing. Gonzales contains areas designated as Moderate and High Resource and the lower-income unit capacity is located within Moderate Resource areas. Moderate and above moderate-income unit capacity is located within High Resource areas.

Figure 42: Housing Sites and Resource Areas
Sections 4-5 p. 99

5.7.2 Racially and Ethnically Concentrated Areas of Poverty There are no racially/ethnically concentrated areas of poverty or racially concentrated areas of affluence within Gonzales. The identified housing sites neither exacerbate nor improve conditions in the City with regard to combined concentrations of poverty and ethnic groups.

5.7.3 Disproportionate Housing Needs Including Displacement Among the most significant housing needs in Gonzales are high-cost burden and overcrowding. The identified lower-income housing sites are located in areas with a lowerincome population compared to the north and east sides of the city. The west side of the city, where lower-income sites were identified, was determined to have a displacement risk according to the Urban Displacement Project, but were not determined to be experiencing displacement of lower-income residents. Development of RHNA sites at the identified income levels will improve disproportionate housing needs through increasing the stock of affordable housing and will prevent future displacement of lower-income residents.

Additionally, sites identified for lower-income housing development are outside of any flood hazard areas, preventing future displacement or high housing repair costs in case of flooding. Housing programs with place-based strategies to prevent and mitigate displacement are included in the Housing Element, including Program HE-2.3.1: AntiDisplacement Actions.

5.7.4 Disparities in Access to Opportunity
Access to opportunity is similar in all areas of Gonzales. The City has higher scores on the TCAC/HCD Opportunity maps in the educational category, and the lowest scores in the economic category with no differentiation between different areas of the city. Students all attend the same schools, so the development of RHNA sites at the identified income levels is not expected to create or exacerbate educational inequality. The identified housing sites will improve access to opportunity in high resource areas. The whole city is within a similar score within the CalEnviroScreen analysis, so lower-income households are not expected to be disproportionately burdened by environmental conditions. Sites counted toward the lowerincome RHNA are in the area closest to employment opportunities as defined by the HUD Jobs Proximity Index, which may help lower the overall cost of living by reducing the transportation costs associated with commuting.

Sidewalks are generally available throughout the city, though some areas in the Industrial section of the city may need to have additional sidewalks installed when housing is developed in the area. Parks are located on the east and west sides of the city, as are the city’s schools. Because the development of housing in the Industrial areas would represent a shift in the land use mix, facilities such as parks are not available yet. However, if lowerincome housing is developed in this area, the City will use the Capital Improvement Plan process to create open space opportunities in this area. However, if lower-income housing is instead developed on the Vista Lucia Specific Plan Annexation on the northwest side of the Sections 4-5 p. 100
city, community parks will instead be developed in close proximity to higher-density development as part of the specific plan buildout.

5.7.5 Improved and Exacerbated Conditions
The identified housing sites are spread throughout the west side of the City and sites with capacity for lower-income housing are not concentrated in areas with a high concentration of existing affordable housing. All units designated for lower-income households are located in Moderate Resource areas. The development of housing on the sites inventory will help prevent displacement and create new housing opportunities for households while increasing access to opportunity for lower-income households. Additionally, fair housing considerations are not exacerbated by the housing development anticipated within the Housing Element.

5.7.6 Local Data and Knowledge
Development patterns in Gonzales differ than those in other communities in California. For example, Gonzales lacks the traditional “downtown” seen in other communities and is primarily a residential community with commercial located east of Highway 101.

Current capital projects managed by Public Works include improvements to water and wastewater treatment infrastructure; street tree trimming; park improvements in Meyer, Centennial, and Central Parks; and improvements to the Fifth Street Bridge. These projects are distributed throughout the city and do not disproportionately serve any side of the city.

Recent projects partially funded by Measure X funds include the Alta Street Pavement Rehabilitation project, which improves roadway conditions on the west side of the city, where lower-income RHNA sites were identified.

City of GONZALES HOUSING

ELEMENT UPDATE

SIXTH HOUSING ELEMENT CYCLE
2023-2031

ADOPTION DRAFT
January 2025
Appendix A p. 1
APPENDIX A: 5TH CYCLE HOUSING ELEMENT

PROGRAM IMPLEMENTATION PROGRESS
A.1 Policy Changes in 2023 Housing Element
The 2023 Housing Element update is not a comprehensive "new" Housing Element, but rather an update of the 2015 Housing Element. The focus of the update process has been to continue to implement the programs that are working, adding new policies and programs where community needs have changed or where necessary to comply with new State laws.

Many goals, policies, and programs of the existing 2015 Housing Element have been maintained or consolidated, with new or revised policies and programs proposed to meet changing needs and legal requirements. Ongoing policies and programs are continued in the Housing Element update; limited-term programs that have already been accomplished have not been carried forward. A brief summary of the policy changes and additions are listed by Goal below:
2015 Housing Element Goals:
 Goal HE-1: Adequate Sites and Services
 Goal HE-2: Development of Affordable Housing
 Goal HE-3: Special Needs Populations
 Goal HE-4: Conservation and Improvement of Existing Housing Stock  Goal HE-5: Community Character / Environmental Quality  Goal HE-6: Fair Housing
 Goal HE-7: Reduce Constraints
 Goal HE-8: Coordination and Monitoring
 Goal HE-9: Energy and Water Conservation
2023 Housing Element Goals:
 Goal HE-1: Housing Production
 Goal HE-2: Fair Housing: Preservation, Protection & Equity  Goal HE-3: Program Administration & Energy Conservation  Goal HE-4: Community Outreach
The 2023 Housing Element also updated the policies contained in the 2015 Housing Element. There are 12 policies in the 2023 Housing Element and are listed beneath the corresponding goal in Section 2.2.

Appendix A p. 2
A.2. Efforts to Address Special Housing Needs
California Government Code Section 65588 requires that local governments review the effectiveness of housing element goals, policies, and related actions to meet the community’s special housing needs. As shown in Table A-1, the City worked diligently to continuously promote housing for special-needs groups through Programs in the 5th Cycle Housing Element. The City is currently dealing with challenges arising from staffing shortages and budget constraints. However, the City remains committed to actively addressing the needs of special housing groups with Programs established in the 6th Cycle Housing element. Key accomplishments are highlighted below:
• The City amended the definition of transitional and supportive housing consistent with the Government Code 65582(f)(g)(h).
• The City amended the Municipal Code to remove the conditional use permit requirement and allow residential care facilities as permitted use regardless of size, in all zones that permit residential uses of the same type. • The City established Redevelopment Agency (RDA) Program of housing rehab for owner occupied and rental housing to assist lower income homeowners and renters in the maintenance and rehabilitation of their properties. Following the demise of all RDAs in the state of California, Gonzales started using CDBG funds to provide loans at a 1% interest rate. The City has a Fund Balance estimated to be $177,749, that can be used for housing rehabilitation.
• In 2021, the City of Gonzales enacted Ordinance Ord. 2021-128, 10-4-2022, which waived Development Impact Fees for all Accessory Dwelling Units (ADUs) until February 28, 2025. Additionally, the City adopted regulations in Ordinance No. 2021- 128, to comply with six state Senate and Assembly Bills concerning affordable housing, including SB 13, AB 68, AB 587, AB 670, AB 671, and AB 881. • The City annually contacts developers to monitor the ongoing affordability of affordable housing projects within the City for lower income households. These include the 36-unit Canyon Creek Apartments, 12-unit Casa Santa Lucia, 20-unit Casa de Oro, and 45-unit Fanoe Vista.

A.3 Status of 5th Cycle Programs
The following table provides an evaluation of the programs from the 5th Cycle Housing Element, the City’s level of success in achieving them, and any lessons learned for implementation in the 6th Cycle Housing Element. Programs that addressed populations with special housing needs are indicated with an asterisk. While the City was not able to implement programs due to staffing and budgetary constraints, the City will seek to maximize external partnerships to implement 6th Cycle programs. These actions are listed in Section 2.

Appendix A p. 3
Table 1: 2015-2023 Housing Element Program Implementation Status Program Timeframe Progress and Lessons Learned Status
Implementing
Action HE-1.1.1 –
Housing for All
Income Levels
within 2010 General
Plan Growth Area.

Using the minimum
standards for the mix
of housing to be
achieved in new
neighborhoods (set
forth in Table II-3 of
the Land Use
Element), require
Specific Plans to
design each new
neighborhood to
contain housing
suited for all income
levels in roughly the
proportion set forth
in the AMBAG
Regional Housing
Needs Allocation of
293 units for the
2014-2023 planning
period.

Prior to or at the
adoption of each
new Specific Plan
The City of Gonzales
is processing two
Specific Plan
Proposals: the Vista
Lucia and the Puente
Del Monte Specific
Plan Proposals, both
aligning with the
"Affordability by
Design" concept
from the City's
General Plan. These
proposals will
require a minimum
o15% of new
development in each
of the high density,
medium-high
density, and medium
density zones to be
provided as to low
and very low
income, low and
moderate income,
and workforce
income households,
respectively.

Program has been
modified to reflect
the City’s current
RHNA and carried
forward.

Implementing
Action HE-1.1.2 –
Infill Development.

Support the
development of
vacant, residentially
zoned "infill" sites
within the city limits
by collaborating with
HAMC to encourage
redevelopment of
small sites in their
ownership, and by
Ongoing, with the
goal of achieving
five units over eight
years
No development
requests were
received in 5th Cycle.

There is one large
parcel (138 acres) of
vacant, low- and
medium-density
residential land
available for
development.

Program has been
modified to further
facilitate
development of infill
parcels and carried
forward.

Appendix A p. 4
Program Timeframe Progress and Lessons Learned Status
working proactively
with specific private
property owners that
have expressed
interest in further
developing their
property.

Implementing
Action HE-1.1.3 –
Coordination with
Service Providers.

Forward the certified
Housing Element to
public utilities
providing gas,
electricity and
telephone and cable
services and to the
Gonzales Unified
School District, to
ensure that public
utilities and school
facilities are made
available to meet the
expected housing
growth in those
areas where
development is
planned.

Immediately upon
certification of the
Housing Element by
HCD
This action was done
in 2015 after
certification of the
Housing Element.

Program has been
carried forward.

Implementing
Action HE-1.1.4 –
Priority Service to
Affordable Housing.

Adopt a City of
Gonzales policy that
establishes specific
procedures to grant
priority service to
housing with units
affordable to lower
income households
Within one (1) year
of Housing Element
certification by HCD
The City has not
established policies
in this regard.

However, the City
will be subject to
whatever current
State laws may be
applicable as it
relates to expediting
development of
affordable housing.

In addition, the City
does, as a matter of
Program has been
modified and carried
forward.

Appendix A p. 5
Program Timeframe Progress and Lessons Learned Status
whenever capacity is
limited.
course, and when
the opportunity
arises, prioritize
affordable housing
projects by
expediting the
approval process.

Implementing
Action HE-1.1.5 –
Additional Housing
Sites.

As appropriate,
pursue annexation of
properties within the
City’s sphere of
influence to increase
supply of vacant
land for new
housing.

As necessary and
appropriate
The City is pursuing
annexation of the
areas within the
City's Sphere of
Influence to
accommodate the
development of the
proposed Vista Lucia
Specific Plan area.

Final action by
LAFCO is
anticipated in early
2025 potentially
resulting in the
phased construction.

Program has been
modified to address
housing element
requirements
pertaining to
annexations and
carried forward.

Appendix A p. 6
Program Timeframe Progress and Lessons Learned Status
Implementing
Action HE-2.1.1 –
Provide Incentives
for Affordable
Housing.*
Use a variety of
incentives to
encourage
affordable housing
production,
including but not
limited to density
bonuses, deferral or
timed payments of
development fees or
dedications,
streamlined
permitting, and use
of public funds to
reduce development
costs. Prioritize
affordable incentives
for residential
development that
includes affordable
units for extremely
low-income
households and
those with special
needs.

Ongoing In 2021, the City of
Gonzales enacted
Ordinance Ord.
2021-128, 10-4-
2022, which waived
Development Impact
Fees for all
Accessory Dwelling
Units (ADUs) until
February 28, 2025.

Additionally, the city
adopted regulations
in Ordinance No.
2021-128, passed on
September 20, 2021,
to comply with six
state Senate and
Assembly Bills
concerning
affordable housing,
including SB 13, AB
68, AB 587, AB 670,
AB 671, and AB 881.

Program has been
modified to further
incentivize the
provision of
affordable housing
and housing for
special needs
groups and carried
forward.

Appendix A p. 7
Program Timeframe Progress and Lessons Learned Status
Implementing
Action HE-2.1.2 -
Pursue State and
Federal Funding to
Assist in
Development.

Actively pursue
funding from state
and federal
programs such as
CDBG, HOME, Low
Income Housing Tax
Credits, Multi-family
Housing Program
and CHFA on an
ongoing basis for
development of
affordable lower
income housing for
seniors, families,
farmworkers, and
persons with
disabilities, including
persons with
developmental
disabilities. Support
funding applications
by developers when
the proposed
projects are
consistent with the
goals and policies of
the City’s General
Plan.

Ongoing The City actively
searches for state
and federal funding.

Funding continues
to be a priority in the
City and would
benefit from
continuing the
program.

Program has been
carried forward.

Implementing
Action HE-2.1.3 –
Encourage NonProfit Developers.

Encourage the
participation of nonprofit housing
providers in the
Ongoing
Initially within two
years of adoption of
Housing Element
and thereafter when
appropriate funding
The City Manager
began negotiations
of the purchase of a
property at 498 S.

Alta Street (APN
020-041-016) for the
purposes to partner
with a non-profit
Program has been
modified and carried
forward.

Appendix A p. 8
Program Timeframe Progress and Lessons Learned Status
Gonzales housing
market, both in the
construction of
affordable singlefamily homes within
subdivisions and in
the construction of
affordable mediumand high-density
housing
developments in the
areas designated for
such uses on the
Land Use Diagram
or in new Specific
Plans. Encourage
developers of
specific plan areas to
meet a part of their
affordable housing
obligations by
working with nonprofit developers
such as CHISPA or
Habitat for
Humanity. As
appropriate, partner
with or support
housing developers
in the application of
funding for
affordable housing.

Annually review
funding availability
at the state and
federal levels to
explore funding
opportunities (such
as CDBG, Low
Income Housing Tax
Credits, HOME,
Multi-Family
Housing Program,
programs are
available.
housing developer
to develop a senior
housing project.

These efforts
continue in 2024
and the City and
non-profit housing
developer continue
to engage with each
other and progress
on the project.

Appendix A p. 9
Program Timeframe Progress and Lessons Learned Status
and other housing
funds).

Implementing
Action HE-2.1.4 –
Innovative Housing
Design.

Promote the use of
innovative projects
(such as planned
unit developments)
that help increase
the number of
affordable units.

Where necessary to
accommodate
affordable units,
residential density
standards may be
modified to allow
smaller lot sizes,
setbacks, and open
space requirements.

Concepts such as
cluster development
and zero-lot line
housing may be
considered,
provided that
projects meet
design criteria that
are established by
the City and are
compatible with the
desired character of
the community.

Ongoing No opportunities
have arisen that
would permit the
City to exercise this
Action. However, the
review and approval
and eventual
annexation of the
Specific Plan areas
within the City's
Sphere of Influence
will accommodate
innovative
approaches to
housing.

Program has been
modified and carried
forward.

Implementing
Action HE-2.1.5
Housing above
Commercial Uses.

Ongoing No opportunities
have arisen that
would permit the
City to exercise this
Action. However,
Program has been
modified and carried
forward.

Appendix A p. 10
Program Timeframe Progress and Lessons Learned Status
Work with housing
providers to
encourage projects
incorporating
affordable
residential units,
including SRO units,
above commercial
uses within
neighborhood
centers and in the
Mixed-Use Zoning
District. Approaches
that the City can take
include
requirements for the
provision of such
housing during
review and approval
of specific
plans/neighborhood
plans in the new
growth areas of the
Gonzales 2010
General Plan. Within
the Mixed-Use
zoning district in
downtown Gonzales
the City can provide
technical assistance
to property owners
concerning design
and development
issues.
the review, approval,
and eventual
annexation of the
Specific Plan areas
within the City's
Sphere of Influence
includes mixed-use
housing types and
will accommodate
this type of housing.

Implementing
Action HE-3.1.1 –
Assistance for
Extremely LowIncome Residents
and those with
At least annually
explore housing
funds available at
regional, State, and
Federal levels (such
as CDBG, Low
The City Manager
began negotiations
of the purchase of a
property at 498 S.

Alta Street (APN
020-041-016) for the
Program has been
modified and carried
forward.

Appendix A p. 11
Program Timeframe Progress and Lessons Learned Status
special housing
needs.*
Work with housing
developers to
pursue funding
opportunities at the
regional, state, and
federal levels to
create housing for
extremely lowincome households
and those with
special needs.

Income Housing Tax
Credits, HOME,
Multi-Family Housing
Program, and other
housing funds).
purposes to partner
with a non-profit
housing developer
to develop a senior
housing project.

Implementing
Action HE-3.1.2 –
Information on
Emergency Shelter.*
Provide information
sheets at City Hall
about the 211-
phone system, which
provides phone
assistance to
persons in need of
emergency shelter.

Also make “Sam’s
Guide to Monterey
County Resources,”
which provides a
comprehensive list
of social service
agencies, available
at City Hall.

Ongoing The City has
implemented this
Action.

Program has been
modified to include
Transitional Housing
and Supportive
Housing and carried
forward.

Implementing
Action HE-3.1.3 –
Universal Design.*
Promote the use of
“Universal Design” in
Ongoing No opportunities
have arisen that
would permit the
City to exercise this
Action.

Program has been
modified to include
the creation of
educational
Appendix A p. 12
Program Timeframe Progress and Lessons Learned Status
new housing to
better accommodate
persons with
disabilities and the
elderly.
materials and carried
forward.

Implementing
Action HE-3.1.4 –
Large Units.*
Encourage all new
multi-family housing
developments with
four units or more to
provide at least
three bedrooms in at
least 35 percent of
the units. Encourage
new neighborhood
areas approved
through the specific
plan process, or new
subdivisions within
the city boundaries
to provide at least
three bedrooms in at
least 35 percent of
the single-family
units. Generally,
these units shall be
placed on larger lots
in the project.

Building plans shall
also include other
features of benefit to
large households
such as open floor
plans or large family
rooms.

Ongoing No opportunities
have arisen that
would permit the
City to exercise this
Action.

Program has been
modified and carried
forward to further
incentivize the
development of
housing for large
families.

Implementing
Action HE-3.1.5 –
Reasonable
Accommodation
and Other Zoning
Within one (1) year
of the Housing
Element adoption
The City has
completed 75% of
this implementation
action through the
amendment of the
Program has been
modified and carried
forward to ensure a
formalized
procedure for
Appendix A p. 13
Program Timeframe Progress and Lessons Learned Status
Provisions for
Special Needs
Housing.*
The City shall amend
its Municipal Code
to create a
procedure wherein
persons with
disabilities seeking
equal access to
housing may request
reasonable
accommodation in
the application of
zoning laws and
other land use
regulations, policies
and procedures. The
City will also amend
the Municipal Code
to clarify the
provisions for
residential care
facilities (including
group homes)
consistent with the
Lanterman Act. The
Municipal Code will
also be amended to
include definitions of
transitional and
supportive housing
consistent with the
Government Code
65582(f)(g)(h).

Gonzales Municipal
Code. The City has
not yet adopted a
formal procedure to
accommodate
persons with
disabilities seeking
equal access to
housing, therefore,
requests are
considered as
projects are brought
forward.
reasonable
accommodation
requests is adopted.

Implementing
Action HE-3.1.6 –
Farmworker
Housing.*
Explore funding
opportunities and
potential projects
with Housing
Authority and nonAlthough there have
been no
opportunities to
exercise this Action,
the City is ready,
Program has been
modified to take
additional action
and carried forward.

Appendix A p. 14
Program Timeframe Progress and Lessons Learned Status
The City will work
with the Housing
Authority of
Monterey County
and other non-profit
housing developers
to obtain funding for
farmworker housing
through the Joe
Serna Jr.

Farmworker Housing
Grant Program (as
funding is available).
profit developers
annually
willing and able to
cooperate.

Implementing
Action HE-4.1.1 –
Housing
Rehabilitation.

Maintain an active
rehabilitation
program by
applying for the use
of federal and state
programs that assists
lower-income
homeowners and
renters in the
maintenance and
rehabilitation of their
properties.

Pursue funding at
the regional, state,
and federal levels as
funding is available
The City established
through its previous
Redevelopment
Agency (RDA) a
program of housing
rehab for owner
occupied and rental
housing. However,
no funding was
available and the
program did not
come to fruition.

This Program is not
active and will be
deleted. The City will
refer interested
homeowners to the
County’s available
programs.

Implementing
Action HE-4.1.2 –
Rental Housing
Inspection.

Continue to
implement the City’s
Rental Housing
Inspection program.

Rental dwelling
units, except units
owned or managed
by government
Ongoing Ongoing Program has been
carried forward.

Appendix A p. 15
Program Timeframe Progress and Lessons Learned Status
agencies, are
inspected every
three years.

Implementing
Action HE-4.1.3 –
Monitoring of
Existing Affordable
Units.

Monitor the
continued
affordability of the
affordable housing
projects in the City,
including the 36-unit
Canyon Creek
Apartments, 12-unit
Casa Santa Lucia, 20-
unit Casa de Oro,
and the 45-unit
Fanoe Vista.

However, these
projects are not
considered at risk of
converting to nonlow income uses in
the next ten years.

Annually contact
project owners
(including the
County Housing
Authority) to
determine if there
are anticipated
changes to project
status. Work with the
project owners to
maintain these units
as affordable
housing or to
develop strategies
for creating
replacement units.

Ongoing with the
36-unit Canyon
Creek Apartments,
12-unit Casa Santa
Lucia, 20-unit Casa
de Oro, and the 45-
unit Fanoe Vista.

Program has been
carried forward.

Implementing
Action HE-5.1.1 –
Neighborhood
Design
Guidelines for the
2010 General Plan
Area. Utilize
neighborhood
design guidelines to
promote a diverse
range of housing
types and
affordability levels
Adopt
Neighborhood
Design Guidelines as
part of each new
Specific Plan
As the Specific Plans
mature, all will be
subject to preparing
neighborhood
design guidelines.

Program has been
modified and carried
forward.

Appendix A p. 16
Program Timeframe Progress and Lessons Learned Status
within new
neighborhoods,
while protecting the
integrity and
character of existing
neighborhoods. The
design guidelines
shall address design
issues important to
neighborhood
quality as well as
individual
residences,
including the design
of neighborhood
commercial uses,
neighborhood
streets, and
pedestrian and
bicycle paths.

Implementing
Action 5.3.1 –
Housing
Preservation.

The City will
continue to promote
the preservation and
rehabilitation of
older homes and
affordable homes at
risk of conversion in
Gonzales. Exterior
alterations and
additions to singlefamily homes will be
reviewed to ensure
that the architectural
integrity of the
structure is
maintained.

Demolition of older
homes will be
Ongoing No opportunities
have arisen that
would permit the
City to exercise this
Action. It doesn’t
appear that
affordable homes
are at risk of
conversion.

Program has been
modified and carried
forward.

Appendix A p. 17
Program Timeframe Progress and Lessons Learned Status
discouraged unless:
(1) the home poses a
health or safety
hazard and cannot
be economically
restored, or (2) the
replacement
housing will provide
additional needed
dwelling units and
will be architecturally
compatible with the
neighborhood.

Implementing
Action HE-6.1.1 –
Fair Housing
Services.

Coordinate with fair
housing service
providers under the
Urban County
Community
Development Block
Grant (CDBG)
program to provide
fair housing
outreach and
education services.

Coordinate with fair
housing service
providers to conduct
outreach and
education activities
in Gonzales at least
annually
The City exercises
this action on an as
needed basis.

Program has been
carried forward.

Implementing
Action HE-7.1.1 –
Development
Standards, Fees, and
Procedures.

Monitor the City’s
development
standards and
permitting
Annually review the
City’s development
standards, fees, and
permitting
procedures to
ensure that they do
not unduly constrain
housing
Staff is not aware of
Annual Reviews
having been
performed. Staff will
now program these
into February and
March yearly,
beginning 2024.

Program has been
modified to include
fee transparency (AB
602) and carried
forward.

Appendix A p. 18
Program Timeframe Progress and Lessons Learned Status
procedures to
ensure they do not
unduly constrain the
development and
improvement of
housing.
development and
improvement.

Implementing
Action HE-8.1.1 –
Homelessness
Census.*
When funding and
staff resources allow,
participate in the
biannual census of
homeless persons in
coordination with
the Coalition of
Homeless Services
Providers.

Biannually Ongoing Program has been
carried forward.

Annual Progress
Report HE-8.1.2
Monitor local
progress towards
the achievement of
the objectives of this
Housing Element by
preparing and
submitting an annual
report to HCD.

Annually Ongoing Program has been
carried forward.

Implementing
Action HE-9.1.1 –
Public Information.

Make bilingual
information
promoting
techniques and
resources for
reducing energy and
Implemented The City has
instituted this Action.

More importantly,
the City has a
Climate Action Plan
that was updated in
August 2018. This
Plan addresses
energy conservation
as conducted by the
Program has been
completed and will
not be carried
forward.

Appendix A p. 19
Program Timeframe Progress and Lessons Learned Status
water use readily
available at City Hall.

City and lays out
how future
development in the
city will reduce
energy use.

Implementing
Action HE-9.3.1 –
Design Guidelines.

Adopt
Neighborhood
Design Guidelines as
part of each new
Specific Plan,
supporting
development of
compact,
pedestrian-and
bicycle-friendly
neighborhoods
where residences
are within walking
distance to
commercial services,
schools and
recreation facilities.

Include
Neighborhood
Design Guidelines in
each new Specific
Plan
As the Specific Plans
mature, all will be
subject to preparing
neighborhood
design guidelines.

Program has been
combined with
Action HE-5.1.1 and
carried forward to
ensure the adoption
of Neighborhood
Design Guidelines as
part of each new
Specific Plan.

Implementing
Action HE-9.4.1 –
Water Conservation.

The City will
continue to promote
ways to reduce
monthly home water
bills. Such measures
already include: (a)
requiring new
houses to utilize lowflow toilets, low-flow
Ongoing Ongoing Program has been
carried forward.

Appendix A p. 20
Program Timeframe Progress and Lessons Learned Status
shower heads, and
low flow faucets
consistent with the
requirements of the
Monterey County
Water Resources
Agency, and (b)
requiring the use of
drought-tolerant
landscaping within
new developments
(as specified in the
State Model
Landscape
Ordinance). The City
will also support new
water retrofitting
programs
undertaken by the
Monterey County
Water Resources
Agency, such as
providing free low
flow plumbing
fixtures to existing
customers in
Gonzales.

CITY of GONZALES HOUSING

ELEMENT UPDATE

SIXTH HOUSING ELEMENT CYCLE
2023-2031
APPENDIX B – development trends
Adoption Draft - January 2025

B-1
APPENDIX B: DEVELOPMENT TRENDS

IN THE REGION
B.1 Introduction
As a small community, Gonzales lacks sufficient recent development trends from which to determine realistic capacity for sites in the 2023 Housing Element. The analysis detailed below examines development trends in the region and was used to help shape the 2023 Housing Element.

There are currently approximately 21,000 entitled residential projects throughout Monterey County. The list below includes examples of successful projects with a focus on higher density and mixed-use.

B.2 Projects in Salinas
 Downtown Core Adaptive Reuse Projects: Transformation of the former Dick Bruhn and Rabobank commercial buildings. Resulted in 68 units with retail and dining on the ground floors. Completion of construction in 2022.
 Project Homekey Funding Acquisitions: Acquisition and conversion of three hotels into permanent housing through multiple rounds of Project Homekey funding. Site #12 contains one abandoned motel and has the capacity to accommodate 12 SRO units.  Chinatown Affordable Housing Development: Collaboration between MidPen Housing and the City. Consolidation of eight parcels into a 0.8-acre site. Construction of an 88- unit affordable, permanent supportive housing development. Includes ground floor space for a community art gallery.
 34 Soledad Street: Land Acquisition of a lot for future development. Ongoing efforts to acquire additional property in the area for site assembly.  Abbott Street Mixed-Use Housing Development: Consolidation of three lots formerly used for car sales. Development of 110 units of mixed-use housing. Construction completion is expected before July 2023.
 John and Abbott Streets Planned Unit Development: Proposal includes 242 housing units, a hotel, and other commercial uses. Currently in the planning review stages.  1486 Constitution Boulevard Market Rate Housing: Utilization of a commercial center's excess parking area. Demolition of a vacant gym to create 50 rental units. Development by a market rate developer.

B-2
B.3 Projects in Monterey
 601 Lighthouse Avenue, 0.14-acre site: Conversion of existing commercial building to create four new apartment units and retail and office space. Under construction as of May 2023.
 2000 Garden Road, 1.77-acre site: Conversion of existing commercial building to multifamily building with 34 apartment units. In architectural review as of May 2023.  1015 Cass Street, 0.41-acre site: Conversion of existing commercial office space to create seven apartment units. Planning permits underway as of May 2023.  480 Cannery Row, 0.15-acre site: Mixed-use development with 51 residential units and commercial, restaurant, community uses. In application phase as of May 2023.  857 Cass Street, 0.16-acre site: Conversion of existing commercial space to create two new apartment units, resulting in a mixed-use building. Planning permit underway as of May 2023.
 2560 Garden Road, 1.86-acre site: Remodel of an existing industrial-zoned office building, resulting in 25 new apartment units. In the application phase as of May 2023.  2200 North Fremont, 0.67-acre site: Mixed-use development with 40 apartments and commercial space. Building permit in review as of May 2023.  300 Cannery Row, 0.05-acre site: Conversion of existing building to create eight condominium units and retail and commercial space. Planning permit approved as of May 2023.
 2300 Garden Road, 6.79-acre site: Conversion of existing office building into 64 apartment units. In architectural review as of May 2023.  476 Tyler Street, 0.54-acre site: Conversion of existing ground floor commercial space within an existing mixed-use building into three studio apartments. Planning permits approved as of May 2023.

B.4 Projects in Scotts Valley (Santa Cruz County)
 Oak Creek Park project, Mt. Hermon Road and Glen Canyon Road, 3.56-acre site:

Mixed-use development with 52 units and commercial space on a vacant parcel. The project was approved on December 7, 2022.
 Valley Gardens, 263 Mt Hermon Road, 18.36-acre site: Conversion of a golf course to a mixed-use project with 171 units and commercial space.
 La Madrona – Gateway South, 17.6-acre site: Mixed-use development with 184 units, a hotel and commercial space on a vacant parcel.

City of Gonzales Housing Element Screencheck Draft Appendix C p. 1 APPENDIX C: COMMUNITY

ENGAGEMENT
Appendix C contains a summary of data and individual survey responses gathered through the City of Gonzales Housing Needs and Opportunities Survey. The survey was made in both English and Spanish to ensure community members with limited English proficiency were also able to provide feedback on the existing and future housing needs in Gonzales, as well provide feedback on desired solutions. The feedback provided serves as the foundation for the Housing Element. For more information regarding other community outreach effort, please see Section 1.