SIXTH CYCLE (2023-2031) HOUSING
ELEMENT CERTIFICATION AND
IMPLEMENTATION
JOINT CITY COUNCIL/PLANNING COMMISSION
STUDY SESSION
OCTOBER 10, 2023
PETER GILLI
COMMUNITY DEVELOPMENT
AGENDA
I. Objective
II. Background
III. Overview of RHNA
IV. Overview of Programs
V. Schedule and Next Steps
VI. Implementation
VII. Key Takeaways and Questions
2 OBJECTIVE
• Staff presentation (30 minutes)
• Update continued efforts to revise the Housing Element to receive State certification
• Provide an overview of future implementation efforts
• Public comment
• Q&A, discussion
• City Council direction
3 KEY TAKEAWAYS
4 1. Housing Element places significant responsibilities on local jurisdictions
2. City Council already adopted the Housing Element on January 23, 2023 a. Revisions (5-10%) represent what staff considers necessary to receive HCD certification
3. RHNA can be met
a. San Bruno’s RHNA responsibility is to proactively work to allow the RHNA to be achieved
4. Reorganization of Programs, expanded commitments to respond to HCD a. The State will expect the City to meet its Program commitments
5. The City can successfully implement the Housing Element by:
a. Amend planning processes to open up capacity (CC Strategic Initiative 10.1) b. Team approach that distributes responsibility across staff, PC and City Council c. Identify funding through use of housing funds, fee schedule adjustments, and grants (CC Strategic Initiative 18.0)
BACKGROUND
5 BACKGROUND
• Significant housing crisis
• State legislation began in 1967
• Significant new legislation in last five years
• New legislation => uncertainty of what laws mean,
expectations
• Sixth Cycle Housing Element update (2023-2031)
• Significant responsibility placed on cities
• Greater than any past cycle
• As more Housing Elements have been certified, more clarity of what is expected
6 WHAT IS A HOUSING ELEMENT?
Chapter of the General Plan that:
1. Summarizes existing housing conditions in the City
2. Identifies adequate sites for City’s share of the regional housing need
3. Identifies program commitments the City will undertake to address and improve local housing issues
RHNA process
• HCD => ABAG (441k units)
• ABAG => San Bruno (3,165 units)
Programs
• Identify programs with commitments to address housing issues • Affirmatively furthering fair housing (AFFH)
7 HOUSING ELEMENT STATUS
• PC and City Council adopted Housing Element in January 2023 • Included ALUC override (new housing proposed in high noise areas) • Submitted to HCD by January 31, 2023, comments received March 30, 2023:
• Expand on methodology and justification for housing sites • Expand on aspects of the textual analysis of a handful of sections • Expand and strengthen commitments in the programs to address housing issues
• May 23, 2023 – City Council approval of additional funds for consultant (Good City) support
8 HOUSING ELEMENT STATUS
• Originally believed a moderate amount of revision needed for certification
• Learned greater amount of work needed
• HCD, consultants, 21 Elements, Certified HEs
• Added Veronica Tam and Associates (VTA) for additional support
• Confident the path to certification has been identified 9 OVERVIEW OF
RHNA
10 COMPARISON OF RHNA TABLES
11 Units in Previously
Adopted Housing Element
Units in Revised Housing
Element
Approved Projects 670 565
Accessory Dwelling Units
(ADU’s)
240 224
Sites Inventory (including
Pending Projects)
2,709 2,856
Housing Units Constructed
since July 1, 2022
43 36
Total 3,662 3,681
• San Bruno RHNA = 3,165 units
• +15% buffer = 3,640 units
12 City of San
Bruno
Sites
Inventory
Map
SITES INVENTORY SUMMARY
• Minimal changes (5%)
• Ample sites and buffer
• Challenge = provide significant written justification for each non-vacant site • If HCD does not accept every site, then staff intends to remove site(s) and take one of the following alternative measures (in order):
1. Accepting a smaller buffer
2. Committing to adding new sites in the future (Program 3d)
3. Identifying new sites
13 Question #1: Does the City Council support staff adjusting the Sites Inventory, if necessary, based on negotiations with HCD?
OVERVIEW OF
PROGRAMS
14 HOUSING ELEMENT PROGRAMS
• Programs reorganized, expanded commitments
• Revised Housing Element:
• 19 programs (50+ actions) – Attachment 3, pages 16-21 of the packet • Previously adopted January 2023 Housing Element:
• 40+ programs (100+ actions) – Attachment 4, pages 22-50 of the packet • Cross-reference list – Attachment 5, pages 51-55 of the packet • Notable programs listed in Table 2 of the staff report – page 6 of the packet 15
NOTABLE PROGRAMS:
PRODUCTION OF HOUSING AND PROVISION OF SITES
16 # Description Type
3a Rezone Housing Element sites (Tanforan, Russo
Dental, Pet Hospital sites) Carryover
3d Add sites for 500 more units to the Sites Inventory by the end of 2026 New
4b Establish ADU amnesty program to encourage
legalization of unpermitted ADUs New
4d Develop financial incentives for owners to provide
income-restricted ADUs in high resource areas
Expanded
commitment
NOTABLE PROGRAMS:
PRODUCTION OF HOUSING AND PROVISION OF SITES
17 # Description Type
5 Place ballot measure to amend Ordinance No. 1284 to
expand housing opportunities (2028)
Expanded
commitment
6a Identify priorities for use of housing funds (Council Strategic Initiative 18.0) Carryover
6b Amend policies/ regulations for affordable housing,
including nexus study
Expanded
commitment
6c Agreement with affordable housing developer for one
city-owned site (Council Strategic Initiative 19.0)
Expanded
commitment
8 Proactively share information on website and social
media about Housing Element implementation
Expanded
commitment
NOTABLE PROGRAMS:
REMOVE GOVERNMENTAL CONSTRAINTS
18 # Description Type
9a Amend Municipal Code to allow ministerial processing for certain multi-family projects (Council Strategic Initiative 10.1) Expanded
commitment
9c Establish faster permit review process for affordable housing projects (Council Strategic Initiative 10.1)
Expanded
commitment
9d Amend Municipal Code to simplify review processes for single-family homes and additions (Council Strategic Initiative 10.1) New 10a Amend Municipal Code to reduce parking requirements for housing projects
Expanded
commitment
10c Simplify Master Fee Schedule for housing projects, and develop an online fee calculator (Council Strategic Initiative 10.1) Expanded
commitment
11 Amend Municipal Code to reflect new State Housing laws (numerous amendments required) Carryover
NOTABLE PROGRAMS:
FAIR HOUSING
19 # Description Type
16a Prioritize capital improvements (CIP) in low
resource areas (east of El Camino Real)
Expanded
commitment
17 Adopt an Environmental Justice Element to the
General Plan
New (State
Requirement)
18 Adopt ordinances related to tenant protection, first right of purchase/refusal, and an anti-
displacement plan for low resource areas.
Expanded
commitment
AFFIRMATIVELY FURTHERING FAIR
HOUSING (AFFH MATRIX )
20 AFFH Goal Programs Additional Commitments
Fair Housing Outreach and Education 8, 12 Spanish
translation/interpretation
Housing Mobility 6, 11, 13,
14, 15
Maintain BMR units (next
cycle study at-risk units)
Choice and Affordability in High
Opportunity Areas 4, 6, 10
Place-Based Strategies for Community
Preservation and Revitalization 1, 16, 17
Support FAA noise
mitigation program
Improve park acreage in low
resource areas
Displacement Protection 1, 11, 18
21 TCAC
Opportunity
Map of San
Bruno
HOUSING ELEMENT PROGRAMS AND
AFFH MATRIX
22 Question #3: Does the City Council support staff adjusting the Programs, if necessary, based on negotiations with HCD?
Question #2: Does the City Council support the Housing Element programs and AFFH commitments?
• Similar to previously approved Housing Element (90%)
• Programs reorganized, expanded commitments
SCHEDULE AND
NEXT STEPS
23 SCHEDULE AND NEXT STEPS
24 • Major challenge
• Goal to get the Housing Element certified as quickly as possible, and with the next formal resubmittal
SCHEDULE AND NEXT STEPS
25 Question #4: Does the City Council support the recommended schedule for Housing Element Certification?
By Mid-
November 2023
• Complete
revised draft
• Consultant
peer review
By end of
December 2023
• HCD informal
review
• Receive
informal
feedback
January to
February 2024
• Provide
CC/PC memo
• Resubmit to
HCD
• Receive
approval
response
from HCD
March to April
2024
• Hold PC and
CC hearings
for re-
adoption and
rezonings
If HCD calls for significant changes, staff will bring item back to CC before resubmittal, which will delay overall schedule
IMPLEMENTATION
26 IMPLEMENTATION
27 • Major challenge
• Insufficient resources (staff, funding) to successfully complete implementation
• HCD will hold City accountable for not fulfilling Program commitments
IMPLEMENTATION SOLUTION
Keys to successful implementation of the Housing Element:
28 Increase staff capacity through efficiency and productivity ordinance amendments
Distribute program implementation responsibilities
between staff, Planning Commission and City Council
Identify funding sources to minimize General Fund impact 29 • Topic already being explored with CC Strategic Initiative 10.1 • Schedule
• Joint PC/CC Study Session in December 2023
• Public hearings in February and March 2024
• Update fees accordingly in April 2024
• New processes in effect July 2024
Increase staff capacity through efficiency and productivity ordinance amendments
Question #5: Does the City Council support the schedule for efficiency and productivity Municipal Code Amendments?
30 Distribute program implementation responsibilities
between staff, Planning Commission and City Council
• Revised Housing Element has 19 programs, 50+ actions
• Team approach with City Council, Planning Commission, staff • ~50% of the actions are administrative or operational in nature (staff) • ~20% of the actions => staff => CC/PC SS kickoff => PC => CC action • ~20% of the actions => staff => PC => CC action
• ~10% of the actions => staff => CC action
• Utilizing PC for policy work common approach in California Question #6: Does the City Council generally support the assignment of implementation actions between staff, the Planning Commission and City Council?
31 Identify funding sources to minimize General Fund impact • Very preliminary estimates at this point:
• On-going (about $840k), includes one additional staff member in CD • One-time costs (about $1.7 M)
• Identify non-General Fund sources
• CC Strategic Initiative 18.0 – how to prioritize use of housing funds • Master Fee Schedule – adjust overhead costs or establish a % fee for certain permits
• Grants
Question #7: Does the City Council support efforts to explore using housing funds and grants to fund Housing Element implementation to reduce the impact to the General Fund?
COORDINATED INITIATIVES
32 Certification
Work with
HCD toward
certification
Readoption hearings (with
rezonings)
Mar/Apr 2024
Efficiency/
Productivity
Ordinance
Amendments
Dec PC/SS
study
session
Hearings
Feb/Mar
2024
Fee
Schedule
April 2024
New
processes
July 2024
Funding
Prioritize
housing fund
use
Budget and
fee schedule
development
Fee
Schedule
April 2024
Budget
adoption
June 2024
(Part of City Council Strategic Initiative 10.1)
(Includes City Council Strategic Initiative 18.0)
KEY TAKEAWAYS
AND QUESTIONS
33 KEY TAKEAWAYS
34 1. Housing Element places significant responsibilities on local jurisdictions
2. City Council already adopted the Housing Element on January 23, 2023 a. Revisions (5-10%) represent what staff considers necessary to receive HCD certification
3. RHNA can be met
a. San Bruno’s RHNA responsibility is to proactively work to allow the RHNA to be achieved
4. Reorganization of Programs, expanded commitments to respond to HCD a. The State will expect the City to meet its Program commitments
5. The City can successfully implement the Housing Element by:
a. Amend planning processes to open up capacity (CC Strategic Initiative 10.1) b. Team approach that distributes responsibility across staff, PC and City Council c. Identify funding through use of housing funds, fee schedule adjustments, and grants (CC Strategic Initiative 18.0)
KEY QUESTIONS
DOES THE CITY COUNCIL:
35 1. Support staff adjusting the Sites Inventory, if necessary, based on negotiations with HCD?
2. Support the Housing Element program commitments and AFFH commitments?
3. Support staff adjusting the Programs, if necessary, based on negotiations with HCD?
4. Support the recommended schedule for Housing Element Certification?
5. Support the schedule for efficiency and productivity Municipal Code Amendments?
6. Generally support the assignment of implementation actions between staff, the Planning Commission and City Council?
7. Support efforts to explore using housing funds and grants to fund Housing Element implementation to reduce impact to the General Fund? 36