City of Sacramento
City Council - 5PM Report
915 I Street Sacramento, CA 95814
www.cityofsacramento.org
File ID: 2024-01457 8/27/2024 Consent Item 3.
Resolution Adopting a Policy and Procedures Regarding the Provision of Water and Sewer Services to Proposed Developments that Include Housing Units Affordable to Lower Income Households
File ID: 2024-01457
Location: Citywide
Recommendation: Adopt a Resolution: 1) establishing a policy and procedures regarding the provision of water and sewer services to proposed developments that include housing units affordable to lower income households; and 2) authorizing the City Manager or City Manager’s designee to review and re-adopt these policies at least once every five years in accordance with Government Code Section 65589.7.
Contact: Neal Joyce, Supervising Engineer, (916) 808-1912, [email protected]; Pravani Vandeyar, Director of Utilities, (916) 808-6755, [email protected]; Department of Utilities; Greta Soos, AICP, Associate Planner, (916) 808-2027, [email protected]; Tom Pace, Director of Community Development, (916) 808-2691, [email protected]; Community Development Department
Presenter: None
Attachments:
1-Description/Analysis
2-Resolution
Description/Analysis
Issue Detail: California Government Code Section 65589.7 requires all public and private utility providers of sewer or water services to adopt a written policy prioritizing providing these services for proposed developments that include housing units affordable to lower-income households. The City is subject to the requirements of California Government Code Section 65589.7 as a water and sewage collection service provider.
The required policy must include specific objective standards for prioritizing water and sewer services for these types of developments that are to be built within the city service areas. The law also requires the policies to be re-adopted every five years. Staff recommends adoption of the sewer and
File ID: 2024-01457 8/27/2024 Consent Item 3.
water service priority policy and procedures and recommends authorizing the City Manager or City Manager’s designee to review and re-adopt these policies at least once every five years in accordance with the California Government Code.
Policy Considerations: Adoption of the resolution will bring the City into compliance with existing state law and is consistent with the following Housing Element policies and programs:
• H-2.3 Assist in the Development of Affordable Housing. The City and SHRA shall assist affordable housing developments through site identification, direct funding, supporting funding applications, land donation, expedited permit review, and other incentives.
• Program H21. Prioritize Infrastructure for Affordable Housing. The City shall establish procedures for granting priority water and sewer service to developments with lower-income units in compliance with Government Code Section 65589.7.
Economic Impacts: None.
Environmental Considerations: The adoption of this resolution is an administrative activity and is not a project under the California Environmental Quality Act (CEQA), per Guidelines Section 15378 (b)(5).
Sustainability: Not applicable.
Commission/Committee Action: Not applicable.
Rationale for Recommendation: Staff recommends adoption of the resolution to ensure compliance with California Government Code Section 65589.7.
Financial Considerations: None.
Local Business Enterprise (LBE): Not applicable.
RESOLUTION NO.
Adopted by the Sacramento City Council
ADOPTING A POLICY AND PROCEDURES TO COMPLY WITH CALIFORNIA GOVERNMENT CODE SECTION 65589.7
BACKGROUND
A. Effective January 1, 2006, public agencies and private entities providing water or sewer services in the State of California are required to adopt written policies and procedures and re-adopt them at least once every five years thereafter, with specific objective standards for provision of services in conformance with section 65589. 7 of the California Government Code.
B. The City of Sacramento Department of Utilities (“DOU”) is the primary entity responsible for providing and maintaining water and sewer collection services for the City of Sacramento.
BASED ON THE FACTS SET FORTH IN THE BACKGROUND, THE CITY COUNCIL RESOLVES AS FOLLOWS:
(a) The housing element adopted by the Sacramento City Council and any amendments made to that element shall be immediately delivered to DOU and any other agencies that provide water or sewer services for municipal and industrial uses, including residential, within the territory of the City of Sacramento. DOU or the agency providing water or sewer services shall grant a priority for the provision of these services to proposed developments that include housing units affordable to lower income households. (b) In the event of a shortage of water supply or sewer capacity, the City and DOU shall prioritize providing service to proposed developments that include housing units affordable to lower income households. The City and DOU shall take into account (i) the City’s housing element; (ii) the Regional Housing Needs Allocation prepared by the Sacramento Area Council of Governments; (iii) the Urban Water Management Plan prepared by the County of Sacramento; and (iv) any other plans, documents, and information that provide a reasonable basis for making service determinations. (c) DOU or any other agency that provides water or sewer services shall not deny or condition the approval of an application for services to, or reduce the amount of services applied for by, a proposed development that includes housing units affordable to lower income households unless DOU or the other agency makes specific written findings that the denial, condition, or reduction is necessary due to the existence of one or more of the following:
1. DOU or the agency providing water services does not have “sufficient water supply,” as defined in paragraph (2) of subdivision (a) of Section 66473.7 of the Government Code, or is operating under a water shortage emergency as defined in Section 350 of the Water Code, or does not have sufficient water treatment or distribution capacity, to serve the needs of the proposed development, as demonstrated by a written engineering analysis and report.
2. DOU or the agency providing water service is subject to a compliance order issued by the State Department of Health Services that prohibits new water connections.
3. DOU or the agency providing sewer service does not have sufficient treatment or collection capacity, as demonstrated by a written engineering analysis and report on the condition of the treatment or collection works, to serve the needs of the proposed development.
4. DOU or the agency providing sewer service is under an order issued by the Central Valley Regional Water Quality Control Board that prohibits new sewer connections.
5. The applicant has failed to agree to reasonable terms and conditions relating to the provision of service generally applicable to developments projects seeking service from DOU or another public agency, including, but not limited to, the requirements of local, state, or federal laws and regulations or payment of a fee or charge imposed pursuant to Government Code Section 66013.
(d) The City Manager or the City Manager’s Designee shall review and re-adopt this policy at least once every five years in accordance with Government Code Section 65589.7.
(e) The following definitions apply for the purposes of this policy:
1. “Proposed developments that include housing units affordable to lower income households means that dwelling units shall be sold or rented to lower income households, as defined in Section 50079.5 of the Health and Safety Code, at an affordable housing cost, as defined in Section 50052.5 of the Health and Safety Code, or an affordable rent, as defined in Section 50053 of the Health and Safety Code.
2. “Water or sewer services” means supplying service through a pipe or other constructed conveyance for a residential purpose and does not include the sale of water for human consumption by a water supplier to another water supplier for resale. As used in this section, “water service” provided by DOU or the agency providing water service applies only to water supplied from public water systems subject to Chapter 4 (commencing with Section 116275) of Part 12 of Division 104 of the Health and Safety Code.