CITY COUNCIL STAFF REPORT
Meeting Date: March 06, 2023
TO: THE HONORABLE MAYOR AND CITY COUNCILMEMBERS
SUBJECT: PUBLIC HEARING AND ADOPT RESOLUTION NO. ___-23
AUTHORIZING TRANSMITTAL OF THE ANNUAL GENERAL PLAN
AND HOUSING ELEMENT IMPLEMENTATION REPORT TO THE
GOVERNOR’S OFFICE OF PLANNING AND RESEARCH AND THE
STATE DEPARTMENT OF HOUSING AND COMMUNITY
DEVELOPMENT
SYNOPSIS
Government Code Section 65400 requires the City to provide an annual report to the Governor’s Office of Planning and Research and the State Department of Housing and Community Development (HCD) concerning the status of the General Plan, progress in its implementation, and progress toward meeting the City’s share of regional housing needs. The Planning Commission has reviewed the report and concurs with its content.
DISCUSSION
Background
Specifically, Government Code Section 65400 requires the City’s Planning Agency to:
1. Investigate and make recommendations to the legislative body regarding reasonable and practical means for implementing the General Plan or element of the General Plan, so that it will serve as an effective guide for orderly growth and development, preservation and conservation of open-space land and natural resources, and the efficient expenditure of public funds relating to the subjects addressed in the General Plan.
2. Provide an annual report to the legislative body, the Office of Planning and Research, and the Department of Housing and Community Development that includes all of the following:
a. The status of the plan and progress in its implementation. b. The progress in meeting its share of regional housing needs determined pursuant to Section 65584 and local efforts to remove governmental constraints to the maintenance, improvement, and development of housing pursuant to paragraph (3) of subdivision (c) of Section 65583. c. The degree to which the approved General Plan complies with the guidelines developed and adopted pursuant to Section 65040.2 and the date of the last revision to the general plan.
This report provides an update on the status of the General Plan, and in particular, the Housing Element, and the progress made in meeting goals and objectives for the year 2022.
The Planning Commission reviewed the report at its February 14, 2023 meeting and recommended approval to the City Council (Attachment C).
Analysis
Progress in Meeting Regional Housing Needs
The regional Council of Governments (COG) is charged by the State with the responsibility for determining the number of new housing units needed in a community for the upcoming planning period. The Association of Bay Area Governments, or “ABAG,” is the regional COG for the Bay Area. The State of California provides population estimates to each regional COG, after which the agency then allocates the estimated housing units needed by income category among its member communities. The estimated number of housing units needed in Pleasant Hill, as determined and approved by ABAG, is set forth in Table 1. This table reflects the planning period from January 31, 2015 to January 31, 2023.
TABLE 1
HOUSING NEED BY INCOME CATEGORY (2015-2023)
Income Category Five Year Need
Housing Units (% of Total)
Extremely Low (<30% median income) 59 (13.2%)
Very Low Income (<50% median income) 59 (13.2%)
Low Income (<80% median income) 69 (15.4%)
Moderate Income (<120% median income) 84 (18.8%)
Above Moderate (>120% median income) 177 (39.5%)
TOTAL 448 (100%)
Source: Based on Association of Bay Area Governments (ABAG) figures.
Generally, Very Low Income households have incomes which do not exceed 50% of the area median income; Low Income households have incomes which do not exceed 80% of area median income; Moderate Income Households have incomes which do not exceed 120% of area median income; and Above Moderate Income households have incomes greater than 120% of area median income (see Title 25 Cal. Code of Regs. §6910 et. seq.).
Table 2 includes information reflecting units added to Pleasant Hill’s housing stock through 2022.
TABLE 2
UPDATED REGIONAL HOUSING NEED ALLOCATION TO YEAR 2022
Overall, while the City has produced affordable units this past year (in the form of accessory dwelling units), in addition to market rate units, which added to the City’s cumulative unit count for this Housing Element period, there is still an unmet need. However, the City has entitled a significant number of units in 2022 (109 units), including an 82-unit senior housing development project containing 81 affordable units at 490 Golf Club Road.
In addition to these housing approvals, the City has approximately $5.7 million in dedicated housing funds as a result of in-lieu fees paid pursuant to the City’s inclusionary housing ordinance (Fund 34) and from housing successor agency assets (Fund 78). These funds are available to assist with the production of very-low income units when the opportunity arises. In addition, the City, has committed $2.5 million in Housing Successor funds to Satellite Affordable Housing Associates (SAHA) to assist with the previously mentioned 82-unit affordable housing development. The City also sold two former redevelopment agency properties to Habitat for Humanity for the development of 11 affordable ownership housing units. The City committed $285,000 in Housing Successor funds to develop 4 units at one site and $400,000 from City in-lieu fee funds to develop 7 units at a second site. The City provided a $10,000 loan and entered into an Affordable Housing Regulatory Agreement with The Post Preservation, LLP to preserve 35 rental units (50% of the units) for low-income households at 1460 Contra Costa Boulevard. The loan and affordability restriction allow the property owner to obtain a property tax exemption that makes it financially feasible for them charge affordable rents at the property for ten years.
HOUSEHOLD
INCOME
LEVEL
REGIONAL
HOUSING NEED
DETERMINATION
(2015-2023)
Units
Added to
Housing
Stock,
2015-2022
Units
Approved
(received
Planning
entitlements)
Building
Permits
Issued
Units Issued a
Building
Permit Final or
Certificate of
Occupancy or
Newly
Affordable
Deed
Restricted
Units
REMAINING
BALANCE OF
REGIONAL
HOUSING NEED
DETERMINATION
2022 2022 2022
Extremely Low 59 - - - - 59
Very Low 59 - - - - 118
Low 69 2 83 2 - 67
Moderate 84 71 17 23 11 13
Above
Moderate
177 145 9 40 21 32
Total 448 218 109 65 32 230
Progress in Implementation of the Housing Element
The City of Pleasant Hill Housing Element update was adopted by the City Council in April 2015, and subsequently certified by the State Department of Housing and Community Development in April 2015. The Housing Element includes multiple mandatory programs with specific timeframes for implementation. The Housing Element identifies a Housing Program Strategy with nine goals, 26 policies and 57 programs. Exhibit A (Evaluation of Housing Element Implementation Programs) lists these goals and programs in detail and reports on their current statuses for this reporting period of January 31, 2015 to January 31, 2023.
Status of General Plan Activities
Attachment B contains an update of the General Plan implementation actions by the City during 2022, including highlights from the City’s Capital Improvement Program.
CEQA Stats
This annual report is statutorily exempt pursuant to Section 15262 of the Guidelines for the Implementation of the California Environmental Quality Act pertaining to preparation of feasibility and planning studies.
FISCAL IMPACT
None
PUBLIC CONTACT
Public contact was made through posting of the City Council agenda on the City’s official notice bulletin board, at the Pleasant Hill Senior Center, and at the Pleasant Hill Police Department. The agenda and staff report are posted on the City’s web page.
RECOMMENDED CITY COUNCIL ACTION
Adopt the resolution accepting the annual report of the current status of implementation of the Housing Element and General Plan, and authorize transmittal of the report to the Governor’s Office of Planning and Research and the State Department of Housing and Community Development.
ALTERNATIVES TO RECOMMENDED ACTION
Provide staff with direction to modify the annual General Plan and Housing Element report prior to transmittal.
ATTACHMENTS
Attachment A Proposed Resolution
Exhibit A Revised Annual Element Progress Report – California Housing and Community Development Form, including the 2022 City of Pleasant Hill Evaluation of Housing Element Programs
Attachment B Status of General Plan Activities
Attachment C Planning Commission Resolution 03-23
Prepared by: Haley Croffoot, Senior Planner
Reviewed by: Ethan Bindernagel, Community Development Director/Assistant City Manager Approved by: June Catalano, City Manager