CITY COUNCIL STAFF REPORT
Meeting Date: March 18, 2024
TO: THE HONORABLE MAYOR AND CITY COUNCILMEMBERS
SUBJECT: ADOPT RESOLUTION NO. ___-24 AUTHORIZING TRANSMITTAL OF
THE ANNUAL GENERAL PLAN AND HOUSING ELEMENT
PROGRESS 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 progress 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, concurs with its content, and recommends City Council’s acceptance.
DISCUSSION
Background
State law requires the City to prepare an annual status report on the General Plan. 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 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 2040 General Plan, and in particular, the 2023- 2031 Housing Element, and the progress made in meeting goals and objectives for the year 2023 (Exhibit A).
The Planning Commission reviewed the report at its February 27, 2024, meeting and recommended acceptance by the City Council (Attachment B).
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 (i.e., “6th RHNA Cycle”) from January 31, 2023, to January 31, 2031.
TABLE 1
HOUSING NEED BY INCOME CATEGORY (2023-2031)
Income Category Eight Year Need
Housing Units (% of Total)
Extremely Low (<30% median income) 283 (15.7%)
Very Low Income (<50% median income) 283 (15.7%)
Low Income (<80% median income) 326 (18.1%)
Moderate Income (<120% median income) 254 (14.1%)
Above Moderate (>120% median income) 657 (36.4%)
TOTAL 1,803 (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 (AMI); Low Income households have incomes which do not exceed 80% of AMI; Moderate Income Households have incomes which do not exceed 120% of AMI; and Above Moderate Income households have incomes greater than 120% of AMI (see Title 25 Cal. Code of Regs. §6910 et. seq.).
Table 2 below includes information reflecting units added to Pleasant Hill’s housing stock through 2023.
TABLE 2
UPDATED REGIONAL HOUSING NEED ALLOCATION TO YEAR 2023
Overall, the City issued certificates of occupancy for 14 affordable units this past year (in the form of accessory dwelling units), in addition to 23 market rate units, which added to the City’s cumulative unit count for this Housing Element period, for which there is still an unmet need.
However, the City issued building permits for a significant number of units in 2023, 250 units, 51 of which are considered affordable, including those provided by the 189-unit project at 85 Cleaveland Road, which is currently under construction. Additionally, the City entitled 49 new units.
HOUSEHOLD
INCOME
LEVEL
REGIONAL
HOUSING NEED
DETERMINATION
(2023-2031)
Units
Added to
Housing
Stock,
2023-2031
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
2023 2023 2023
Extremely
Low 283 - - - - 283
Very Low 283 9 - 9 - 274
Low 326 4 1 2 - 324
Moderate 254 49 34 40 14 204
Above
Moderate 657 207 14 199 23 450
Total 1,803 269 49 250 37 1,535
The City has a total of approximately $5,700,000 in available assets from dedicated housing funds received as in-lieu fees paid pursuant to the City’s inclusionary housing ordinance (Fund 34) and from housing successor agency assets (Fund 78). Of those assets, $4,700,000 have been committed to other existing and future affordable housing projects, including $2.5 million to SAHA to assist with the previously approved (2022) 82-unit affordable housing development, and $685,000 to Habitat for Humanity for the development of two separate sites and 15 total affordable units (neither site has received entitlements at this time). A majority of the remaining $1,000,000 has been set aside for future administrative costs related to monitoring and administration of Housing Successor Agency responsibilities. Therefore, there is approximately $200,000 to $250,000 in available funds to assist with the production of very low-income units when the opportunity arises.
Progress in Implementation of the Housing Element
The City of Pleasant Hill Housing Element was adopted by the City Council on May 18, 2023, and subsequently certified by the HCD on November 22, 2023. 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, 2023, to January 31, 2031.
Status of General Plan Activities
Attachment A, Exhibit B contains an update of the General Plan implementation actions by the City during 2023, including highlights from the City’s Capital Improvement Program.
Environmental Review
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 progress 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.
Prepared by: Haley Croffoot, Senior Planner
Reviewed by: Troy Fujimoto, City Planner
Approved by: Ethan Bindernagel, City Manager
Attachments:
Attachment A: Proposed Resolution
Exhibit A – 2023 Annual Progress Report – California Housing and Community Development Form, including the 2023 City of Pleasant Hill Evaluation of Housing Element Programs
Exhibit B – Status of 2040 General Plan Activities
Attachment B - Planning Commission Resolution 04-24