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Planning Commission Resolution and Staff Report (available in the City Clerk's Reading File)

Santa Clarita City Council
May 10, 2022

Document
Planning Commission Resolution and Staff Report (available in the City Clerk's Reading File)
Meeting
May 10, 2022
Body
Santa Clarita City Council
Pages
17
Original file
3.9 MB
Text extracted from the city's file for reading and search. Open the original on santaclaritacityca.iqm2.com. That file is the official record.

Attachment
Planning Commission Resolution
and Staff Report
Master Case 21-088

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Agenda Item: 1

CITY OF SANTA CLARITA

PLANNING COMMISSION

AGENDA REPORT

PUBLIC HEARINGS

PLANNING MANAGER APPROVAL:

DATE: April 5, 2022
SUBJECT: Master Case 21-088 - Housing Element and Safety Element Update APPLICANT: City of Santa Clarita
LOCATION: Citywide
CASE PLANNER: James Chow

RECOMMENDED ACTION

Staff recommends that the Planning Commission:
1) Receive staff’s report;
2) Open the public hearing and receive testimony from the public; and 3) Adopt Resolution P22-04 recommending the City Council: a) adopt the Negative Declaration prepared for the project; and b) approve Master Case 21-088 (General Plan Amendment 21- 001) and adopt the Housing Element and Safety Element Updates.

BACKGROUND

STATE LAW

The City of Santa Clarita (City) is mandated by California state law to prepare an update to its Housing Element for certification by the state. This update covers the planning period between 2021 and 2029, also referred to as the sixth Housing Element cycle. The sixth Housing Element cycle process unofficially began in October 2019 when the California Department of Housing and Community Development (HCD) provided a Regional Housing Needs Assessment (RHNA) allocation of 1.34 million units to the Southern California Association of Governments (SCAG).

The Southern California Association of Governments subsequently distributed a RHNA allocation of 10,031 units to the City of Santa Clarita, which the City is responsible to plan and zone for. The proposed update to the Housing Element provides the capacity needed to accommodate the RHNA for the planning period under existing zoning, and thus does not require any re-zoning. It should also be noted that Housing Elements do not require or propose the actual construction of housing.

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All cities in California are required by state law to produce, update, and certify their Housing Elements every eight years. The Housing Element is one of seven mandated elements that comprise a city’s General Plan. It is the only element of the General Plan that must be certified by a state agency. The California Department of Housing and Community Development is the certifying agency that evaluates each city’s Housing Element. The City’s General Plan contains eight elements, including the Land Use, Economic Development (nonmandatory), Circulation, Noise, Conservation and Open Space (two elements combined), Safety, and Housing. Each of the elements contain maps and text setting forth goals, policies, and programs for the long-range physical development within the City’s planning area.

ONE VALLEY ONE VISION (OVOV) GENERAL PLAN

A comprehensive update to the City’s General Plan was adopted by the City Council in June 2011, following years of planning and collaboration between the City and County of Los Angeles (County), through the One Valley One Vision (OVOV) process. The OVOV process reflected the City’s and County’s decision to coordinate land uses and future development of the Santa Clarita Valley. Major goals of OVOV included achieving greater cooperation between the City and County and coordinated planning for land uses, roadways, infrastructure, and resource management.

A major component of OVOV was an update to the General Plan land use map, which was developed by balancing the goals and requirements of reducing future greenhouse gas emissions (e.g. Senate Bill 375) and planning for future regional housing needs. The General Plan land use map maximized opportunities for increasing jobs, redeveloping infill areas, and building near transit corridors, while decreasing densities in the more environmentally sensitive areas at the City’s periphery. The OVOV planning effort created a mixed use land use category along transit hubs, transit corridors, and at commercial centers and created additional opportunities for suitable housing sites that could accommodate a range of income levels.

2013-2021 HOUSING ELEMENT

Following the OVOV General Plan update, the 2013-2021 Housing Element was adopted by the City Council in October 2013 and certified by HCD. In the 2013-2021 Housing Element, the City planned for the expansion of the local housing supply for affordable and market-rate housing as well as maintenance and improvement of the existing housing stock. The City’s 2013- 2021 Housing Element RHNA allocation was 8,322 units, which then increased to 10,981 units through annexations. A total of 4,265 housing units were constructed from 2014 through 2020, which equals 39 percent of the RHNA.

A summary and evaluation of the City’s progress towards achieving the implementation programs is provided in Section 1.14 of the Draft Housing Element. The implementation programs include the following.

▪ Provide adequate sites at a range of densities to accommodate future housing needs; ▪ Assist in the development of adequate housing to meet the needs of extremely low, very low, and moderate-income households;

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▪ Conserve and improve the existing housing stock through Community Preservation and the handy worker program;
▪ Preserve the affordability of existing homes that were at risk of conversion to market-rate; ▪ Address and, where appropriate and legally possible, remove governmental constraints to the maintenance, improvement, and development of housing for all income levels; and ▪ Promote housing opportunities for all persons regardless of race, religion, sex, marital status, ancestry, national origin, color, familial status, or disability.

2021-2029 HOUSING ELEMENT

Following receipt of grant funding from HCD under the Planning Grants Program provisions of Senate Bill (SB) 2, the City Council authorized a contract with the City’s consulting team of 4LEAF, Inc. and Rincon Consultants, Inc. on January 26, 2021, to prepare the update to the Housing Element (hereafter “Housing Element Update” or “2021-2029 Housing Element”).

Since that time, staff and the consultant team have been preparing the Housing Element Update for the 2021-2029 planning period.

The public outreach and participation process for the Housing Element Update took place between January and September 2021. Various public participation opportunities were provided including the creation of the Housing Element Update webpage, stakeholder meetings, an online community opinion survey, a virtual community workshop, and a study session before the Planning Commission. A thorough summary of the public participation component of the Housing Element can be found under the Public Participation section of this staff report and in Appendix B of the Housing Element Update.

A draft of the Housing Element was published on the City’s website on October 29, 2021 for public review. The 2021-2029 Housing Element Update will replace the previously adopted/certified Housing Element. Included as part of the Housing Element Update are various implementing programs to ensure consistency with state laws and local planning objectives. Key components of the Housing Element Update are summarized under the Statutory Requirements section of this staff report.

Key conclusions of the 2021-2029 Housing Element are as follows:

▪ No General Plan land use changes or zoning changes were necessary to accommodate the City’s RHNA allocation. Future residential development is expected to occur in those areas already identified for residential uses. No areas have been identified for re-zoning or up- zoning.
▪ The Housing Element Update recommends minor modifications to the City’s current Housing Element goals and policies. Other updates to goals, policies, objectives, and programs are required to comply with state law.
▪ The Housing Element Update includes a number of new programs to address state housing law including future amendments to the Unified Development Code (UDC), new programs to support affirmatively furthering fair housing, and tracking and reporting requirements for housing sites.

SAFETY ELEMENT UPDATE

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Pursuant to Government Code Section 65302(g), upon the next revision of the Housing Element on or after January 1, 2014, the Safety Element is required to be reviewed and updated as necessary to address the risk of wildfire for land classified as state responsibility areas and as very high fire hazard severity areas. The update is also required to include updates to address climate adaptation as required by SB 379. The proposed updates to the Safety Element incorporate goals, policies, objectives, and implementation measures to address climate adaptation and wildfire risks. The update of the Safety Element does not warrant a comprehensive rewrite, but rather, includes revisions to address new statutory requirements and incorporates and relies upon information from the Local Hazard Mitigation Plan, which was adopted by the City Council on September 14, 2021.

In accordance with California Government Code Section 65302.5, the Safety Element Update was submitted to the California Board of Forestry and Fire Protection (BOF) and the California Geological Survey for review. On January 7, 2022, the Resource Protection Committee of the BOF completed its review and assessment of the Safety Element Update and determined it meets the requirements of Government Code Section 65302.

STATUTORY REQUIREMENTS

NEW HOUSING ELEMENT REQUIREMENTS

Recent changes to state law have imposed new requirements for the 2021-2029 Housing Element. These more stringent requirements combined with a high RHNA allocation have presented various challenges with this Housing Element Update. Key new Housing Element requirements are described below.

1. Higher RHNA Allocations

As compared to the prior Housing Element cycle, RHNA allocations have increased significantly across the state, but especially here in the SCAG region. For context, the SCAG region’s allocation increased threefold from 412,000 units from the prior cycle to 1.34 million units for this current cycle. Whereas many cities are seeing a threefold or greater increase, the City is seeing roughly a 1,000-unit decrease in the RHNA (from 10,981 units to 10,031 units) as compared to the last cycle. A detailed discussion of the City’s RHNA allocation is provided below and in Section 1.13 of the Housing Element.

2. Eligibility of Sites (Assembly Bill (AB) 1397)

Assembly Bill 1397 amended the Housing Element Law and places stricter requirements on local jurisdictions when identifying adequate and available sites to meet their RHNA allocations. This law resulted in added scrutiny and more eligibility requirements for identifying housing sites, including a strong justification threshold if non-vacant sites and sites smaller than ½ acre or greater than 10 acres are included. The legislation also includes new requirements for streamlining the permitting of projects on sites included in previous Housing Elements that are reused in the updated sites inventory.

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3. No Net Loss (SB 166)

Senate Bill 166, the “No Net Loss” law, requires a jurisdiction to ensure a Housing Element sites inventory with continual capacity to accommodate the RHNA by income group throughout the eight-year planning period. If sites identified for lower‐income housing are developed with less units than identified in the Housing Element, or are developed for a higher income group, the jurisdiction must demonstrate that there are sufficient remaining sites or additional substitute sites to meet the jurisdiction’s RHNA obligation in all income categories. Because of this requirement, HCD recommends an increased buffer of at least 15 to 30 percent more capacity than required, especially for the lower-income RHNA. The Housing Element sites inventory includes roughly a 23 percent surplus or buffer for lower-income units and utilizes conservative estimates for development capacity in order to account for this need. Additionally, programs are included within the Housing Element to ensure the City complies with new ‘No Net Loss’ requirements and maintains sufficient sites in inventory.

4. Affirmatively Furthering Fair Housing (AFFH) (AB 686)

Assembly Bill 686 requires state and local agencies to take proactive measures to correct any housing inequalities related to race, national origin, color, ancestry, sex, marital status, disability, religion, or other protected characteristics. Agencies must ensure that their laws and programs affirmatively further fair housing, and that they take appropriate actions to do so.

Under state law, affirmatively furthering fair housing, or 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.” Agencies must include in their Housing Elements a program that promotes fair housing opportunities for all persons. In the context of a community’s housing needs, AFFH is not just about the number of units needed, but also about where the units are located and who has access to them. Based on HCD guidance, analysis was provided in five different subsections, including:

▪ Enforcement and Outreach Capacity
▪ Segregation and Integration Patterns and Trends
▪ Disparities in Access to Opportunity
▪ Disproportionate Housing Needs
▪ Areas of Concentrated Poverty and Affluence Across Racial and Ethnic Groups

A full assessment of fair housing can be found in Section 4.5 of the Housing Element.

KEY COMPONENTS OF THE HOUSING ELEMENT UPDATE

1. Public Participation

The Housing Element Update has been undertaken during the COVID-19 pandemic. Public outreach, which is the cornerstone of the preparation process, had to be adjusted to allow and encourage meaningful public participation and input without the ability to meet or gather in- person. Staff and consultants made use of multiple digital platforms to facilitate public input,

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including mechanisms that used cell phones so that persons without internet access were still able to fully participate. Community opinion surveys were conducted in English and Spanish to ensure that all residents had an opportunity to be heard. Public participation opportunities were provided as outlined in the list below.

▪ Housing Element Update Webpage – In March 2021, the City established a dedicated website (santa-clarita.com/housingelement) for the Housing Element Update with information on the update process, RHNA, upcoming events, frequently asked questions, and how to get involved. The website also included a link to the survey in English and Spanish, as well as a dedicated email address, and phone number for more information.

▪ Stakeholder Meetings – Meetings and interviews were conducted with local and regional non-profit and for-profit housing providers, service providers, and community groups from January to September 2021.

▪ Online Community Opinion Survey – Beginning on April 19, 2021, an online community opinion survey was conducted in English and Spanish to collect input from Santa Clarita residents, housing and service providers, and other interested parties. This survey was advertised through June 2021 and received responses through September 2021. The survey asked questions regarding current living situations and opinions on various housing issues and approaches.

▪ Virtual Community Workshop – On April 29, 2021, the City conducted a virtual community workshop to introduce major elements of the Housing Element Update process and outline the City’s current RHNA requirements. The public was invited to provide initial comments regarding the Housing Element Update process and general housing needs in the City. Public comments received at this meeting are summarized in Table 49 of the Housing Element.

▪ Informational Flyers – The City posted a Housing Element Update informational flyer, in English and Spanish, at all City libraries. The flyer included information about the Housing Element Update and advertised the dedicated website for the Housing Element Update and the online survey. The City also advertised the Housing Element Update on all City buses during the month of June 2021. Digital fliers, in English and Spanish, were displayed on the on-board widescreen monitors and included the address and a QR Code link to the dedicated Housing Element Update website.

▪ Planning Commission Study Session – The City held a public study session meeting with the Planning Commission on June 15, 2021 to introduce the Housing Element process and seek initial input from the Planning Commission. The staff presentation covered important housing topics including affordable housing, Housing Element requirements, RHNA, new housing laws, demographics, project objectives, and survey results. Public comments received at this meeting are summarized in Table 48 of the Housing Element Update.

▪ Public Draft Housing Element – On October 29, 2021, the complete public review Draft Housing Element was released, emailed to interested parties, and made available on the City’s website.

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▪ City Council Development Committee Meeting – On March 30, 2022, the City Council Development Committee met to discuss HCD’s comments on the Draft Housing Element and the City’s proposed responses.

Prior to the posting of the public review draft of the Housing Element, staff received 163 form letters from members of the Southwest Regional Council of Carpenters (SWRCC) requesting that labor standards be incorporated into the plan. Copies of these emails were provided to the City Council for their consideration. During the public review period of the Draft Housing Element, the attorney representing the SWRCC submitted a comment letter recommending the City require the use of a local skilled and trained workforce due to its benefits to the environment and economic development. During the public review period, staff also received a letter from the Los Angeles County Sanitation District, that included general information regarding sewerage service. Copies of these letters are provided as Attachment F.

Throughout the public participation process, the City proactively solicited input and feedback on proposed goals, policies, and programs. Table 1 provides a summary of common themes provided by the public and how they have been incorporated in the Housing Element Update.

Table 1: Summary of Community Input

Summary of Comments – Key Themes How These Comments are Addressed in the Housing Element Update
Streamline permit processing for various
housing types.
- Program HP-1.13: Permitting housing by-
right on sites in prior Housing Elements, if
20% of units are affordable
- Policy H2.11: The City will continue to
expedite processing for affordable housing
projects
- Policy H4.9: Streamline approvals for
housing for the disabled
Encourage a variety of housing types.

- Program HP-2.1: Zoning for a Variety of
Housing Types
- Policy H2.3: Encourage a variety of housing
types

Consider repurposing older commercial areas
with housing.
- Program HP-1.5: Mixed use overlay zone
- Program HP-1.6: Graduated density zoning
in Old Town Newhall
- Program HP-2.1: Zoning for a variety of
housing types
When developing the sites inventory, make
sure realistic capacity methods are used.

- The sites inventory uses conservative
development estimates based on recent
development trends in the City.
- Program HP-1.1: Addresses “No Net Loss”
- Program HP-1.12: List of Additional Sites
Need to limit ADU (Accessory Dwelling Unit) - ADU assumptions were based on

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assumptions to HCD’s "safe harbor”
allowances.

HCD/SCAG safe harbor numbers.

High cost of land and housing is a constraint in
the area, but is not unique to Santa Clarita.
- Program HP-2.2: Update development impact
fees per AB 602
Provide and maintain quality housing
opportunities.
- Program HP-3.5: Preservation of At-Risk
Housing
Support housing rehabilitation and improve
neighborhood conditions.
- Program HP-3.2: Handyworker Program
- Program HP-3.3: Property Rehabilitation
Program
Explore public/private partnerships for
potential affordable housing opportunities.

- Program HP-2.5: Collaborate with Non-
Profit Affordable Housing Developers
- Policy H3.6: Workforce Housing partnership
opportunities
Provide additional options for affordable
housing opportunities.

- Objective H2-3: Increase opportunities for
the production of affordable housing.
- Objective H2-2: Eliminate unneeded
regulatory constraints to the production of
housing, especially affordable housing.
- Program HP-1.4: Affordable Housing
Density Bonus
Consider establishing an inclusionary or mixed
income ordinance.

- Program HP-1.7: Inclusionary Housing
Feasibility Study
- Policy H2.7: Consider the adoption of an
inclusionary ordinance
Missing-middle housing is a low-cost solution.

- Section 4.3.7 includes information on
“Missing-Middle” zoning
- Policy H3.6: Workforce Housing partnership
opportunities
- Program HP-2.6: Provide for ADUs and
Junior ADUs
Comply with fair housing requirements and
continue efforts to promote fair housing.

- Program HP-4.11: Fair Housing Programs &
Actions
- Program HP-4.4: Analysis of Impediments to
Fair Housing Choice/Fair Housing Analysis

2. Housing Needs Assessment and RHNA Allocation

The Housing Element Update must include an analysis of current and projected housing needs in the City of Santa Clarita. Goals, policies, and programs are based on such an assessment.

Detailed data on household characteristics, housing stock conditions, and demographic and employment trends is also required. Other data requirements include updated demographic information such as: 1) the total population; 2) the number of households overpaying for housing; 3) the number of households living in overcrowded conditions; and 4) special housing needs. It must also include the number of housing units that need rehabilitation, as well as assist affordable units at risk of converting to market rate.

The Housing Element Update must also discuss the City’s fair share of the RHNA established by

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SCAG. The RHNA allocation establishes the number of new units anticipated to be needed (by income category) to accommodate the expected population growth over the planning period.

State law requires that cities incorporate this allocation into their Housing Element Update and plan accordingly. The Housing Element Update identifies the City’s RHNA, sets forth housing goals, policies, and programs and plans housing production for all household types and income categories, including seniors, large households, persons with disabilities, and the workforce.

Most importantly, the Housing Element Update must demonstrate that the City can accommodate its RHNA over the next eight-year planning period. Table 2 provides a summary of the City’s RHNA and its breakdown by income category:

Table 2: Regional Housing Needs Assessment Allocation for the City of Santa Clarita

Very Low-
income
(0-50% AMI)
Low-income
(51-80%
AMI)
Moderate-
income
(81-120%
AMI)
Above
Moderate-
income
(above
120% AMI)
Total

RHNA
Allocation

3,397

1,734

1,672

3,228

10,031
Income Category (based on AMI – Area Median Income for Los Angeles County)

3. Housing Sites and Inventory

The 2021-2029 Housing Element Update must include a sites inventory demonstrating the City has enough suitable sites to accommodate the number of units by each income category included in the City’s RHNA allocation. The Housing Element sites inventory demonstrates that the City has adequate sites to meet its RHNA allocation under existing zoning. All sites included in the sites inventory are currently zoned appropriately for residential development; therefore, no re- zoning of sites is required. Table 3 provides the City’s 2021-2029 RHNA allocation and the summary of the sites inventory and RHNA surplus by income category.

Maps and a corresponding table of the sites can be found in Figures 14 and 15 and Appendix D, respectively, in the Housing Element Update. Of the City’s 10,031-unit total RHNA obligation, 186 lower-, 22 moderate, and 9,177 above moderate-income units is accounted for by approved and planned units (refer to Table 12 of the Housing Element) and through ADU development.

After subtracting these units from the RHNA allocation, there is a sum of 6,595 units needed to accommodate the City’s remaining RHNA allocation, including 3,349 units affordable at the very low- and extremely low-income levels, and 1,596 units affordable at the low-income level.

The City has identified suitable sites to realistically accommodate an additional 9,845 potential units under current zoning, with an approximately 23 percent buffer for the very low- and low- income categories and a 46 percent buffer for the moderate-income category, as shown in Table

3. More than 50 percent of the City’s low-income RHNA obligation can be met on vacant sites.

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Table 3: RHNA Surplus by Income Group

Very
Low-
income
Low-
income
Moderate-
income
Above
Moderate-
income Total
RHNA Allocation 3,397 1,734 1,672 3,228 10,031
Approved and Planned
Units 0 53 0 9,082 9,135
ADUs 48 85 22 95 250
Remaining RHNA
Allocation After Credits 3,349 1,596 1,650 0 6,595
Units on Vacant Sites 1,956 920 1,777 -- 4,653
Units on Non-vacant Sites 2,181 1,027 625 1,359 5,192
Total Units After Credits 4,137 1,947 2,402 1,359 9,845 Total Unit Surplus 788 351 752 7,308 9,199
Buffer above Remaining
RHNA After Credits 24% 22% 46% >100%

4. Housing Constraints

In compliance with Government Code Section 65583, sections 4.4.1 and 4.4.2 of the Housing Element Update identify and analyze potential non-governmental and governmental constraints to the production and retention of housing.

Housing Element law requires local jurisdictions to identify governmental constraints to the production of housing, such as land use regulations, housing policies, fees, zoning, and other factors that influence the price and availability of housing opportunities. The Housing Element must analyze land use controls, fees and exactions, on- and off-site improvement requirements, building codes and their enforcement, permit and processing procedures, and potential constraints on the developments or improvements of housing for persons with disabilities. The Housing Element Update generally finds that the City’s land use controls do not create unnecessary constraints to housing development. In addition, non-governmental constraints must be analyzed, including the availability and cost of land, as well as construction. These constraints are often out of the City’s control and can result in housing that is not affordable to low- and moderate-income households.

5. Housing Resources

Section 4.3 of the Housing Element Update identifies housing resources, including financial and administrative resources that are available to assist the City in meeting its housing needs.

Identified housing resources include housing assistance programs, resources for the homeless population, supportive and transitional housing resources, an inventory of assisted rental housing developments, and planning and zoning programs.

6. Goals and Policies

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The Housing Element Update includes three goals that serve as the framework for implementing its housing policies and programs over the eight-year planning period. The Housing Element Update recommends minor modifications to the City’s current Housing Element goals and policies. Other updates to goals, policies, objectives, and programs are required to comply with state law. The following is a summary of those goals and key implementing policies. A complete list of the 35 policies is provided in Section 2.1 of the Housing Element Update.

▪ Goal H1: Identify and maintain adequate sites to accommodate the City’s regional housing need through the planning period.
o H1.1 – Maintain a sufficient inventory of sites for all income levels o H1.2 – Encourage development of housing affordable to lower income groups in well- served areas
o H1.3 – Affirmatively further fair housing
o H1.6 – Encourage housing suitable for first-time homebuyers

▪ Goal H2: Promote the production of housing units, including affordable units, to meet the City’s identified housing needs.
o H2.2 – Require all rental units under the City’s affordable housing programs to remain affordable for at least 55 years
o H2.4 – Continue to encourage development of affordable units through density bonuses and incentives as provided by state law
o H2.6 – Promote construction of shared housing such as group homes, residential care facilities, and senior board & care facilities
o H2.7 – Consider adoption of an inclusionary housing ordinance that requires a certain percentage of new units to be affordable
o H2.11 – Expedite processing of affordable housing projects

▪ Goal H3: Sustain and improve existing housing units and programs. o H3.2 – Provide grants and loans to eligible homeowners for safety, habitability, accessibility repairs
o H3.4 – Monitor status of affordable units at risk of converting to market-rate o H3.5 – Encourage preservation of mobilehome parks
o H3.6 – Continue to seek opportunities for partnerships to create workforce housing

▪ Goal H4: Ensure fair access to quality housing and services for all members of the community, including those with special needs.
o H4.2 – Encourage and facilitate transition of the homeless population to stable housing o H4.5 – Continue to implement the reasonable accommodations ordinance o H4.6 – Ensure programs reduce or eliminate health risks in disadvantaged communities o H4.8 – Affirmatively further fair housing by facilitating actions to combat disparities o H4.9 – Continue to encourage the provision of housing to serve the developmentally disabled population in new affordable projects

7. Programs

The Housing Element Update includes 37 programs that implement the housing policies

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referenced above. Many of the programs are existing programs that will be continued. The Update also includes a number of new programs to address state housing law including future required updates to the UDC, new programs to support affirmatively furthering fair housing, and tracking and reporting requirements for housing sites. The following is a summary of the key implementing programs. A complete list of programs is provided in Section 2.2 of the Housing Element Update.

▪ Housing Sites and No Net Loss
o HP-1.1 – Track units built on identified housing sites to ensure sufficient residential capacity is maintained to accommodate the RHNA for each income category. o HP-1.2 – Identify replacement sites and ensure compliance with SB 166. ▪ Zoning Programs
o HP-1.4 – Complete a study to determine potential additional local density bonuses and incentives for affordable housing developments.
o HP-1.7 – Complete a feasibility study to determine the financial and programmatic feasibility of an inclusionary housing ordinance/requirement. o HP-1.5 – Continue incentives allowed for developments in the mixed use overlay zone. o HP-1.6 – Continue the density/height incentives granted to certain development projects in Old Town Newhall.
o HP-1.13 – Amend the zoning code and/or create an overlay zone for housing sites used for multiple Housing Elements and allow by-right approval requirements if at least 20 percent of units are affordable to lower income households. o HP-2.1 – Amend the zoning code to address recent changes to state law; update the ADU ordinance to ensure compliance with state law.
▪ Housing Rehabilitation, Preservation, and Affordable Housing Programs o HP-2.5 – Collaborate with non-profit affordable housing developers. Enter into an agreement with a developer to identify suitable land for the development of an affordable housing project.
o HP-3.2 – Continue to provide financial support to the handyworker program, which offers grants up to $5,000 to lower income households for home repairs. o HP-3.3 – Continue to provide financial support to the property rehabilitation program, which offers grants up to $1,500 to lower income households for property maintenance and repairs.
o HP-3.5 – Work to preserve the affordable units that are at risk of converting to market- rate rents.
o HP-3.6 – Continue to implement the mobilehome rent adjustment policies to protect park residents from unreasonable rent increases.
▪ Fair Housing
o HP-4.4 – Continue to update the fair housing assessment every five years. o HP-4.5 – Continue to contract with the City’s fair housing services consultant and conduct outreach and education on fair housing.
o HP-4.11 – Implement the identified actions to address fair housing issues.

IMPLEMENTATION MEASURES

Several housing programs include implementation components that will require review by the Planning Commission and/or the City Council at a future date. Some of these include future

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amendments to the City’s UDC as required by the state. A summary of these implementation measures is provided below.

1. Program HP-1.7: Inclusionary Housing Feasibility Study – Complete a feasibility study to determine the financial and programmatic feasibility of an inclusionary housing ordinance/requirement. Once completed, present the study to the City Council Development Committee by early 2025.

2. Program HP-1.4: Affordable Housing Density Bonus – As a part of the inclusionary housing feasibility study, a study will be completed to determine the appropriate additional local densities and incentives, above those allowed by the state, to development projects that meet the City’s housing needs.

3. Program HP-1.13: Sites that were identified in prior Housing Elements and are used again in the Housing Element Update are subject to by-right approval requirements if at least 20 percent of units are affordable to lower-income households. A future UDC amendment and/or overlay zone to address this statute will be completed. By adopting a local ordinance, the City will be able to reserve its ability to apply design review to these projects.

4. Program HP-2.1 and HP-2-3: Zoning Code and Specific Plan Amendments for a Variety of Housing Types:
▪ Several new bills were recently signed into law that require revisions to permitting requirements for transitional and supportive housing, low barrier navigation centers, and employee and agricultural worker housing. Unified Development Code amendments are required to ensure consistency with state law.
▪ The City submitted its adopted ADU ordinance to HCD in February 2021 but has not received a formal review letter; however, HCD noted some inconsistencies with state law and is requiring amendments to ensure consistency with state law.

HCD’S REVIEW LETTER AND CITY RESPONSES

Following their 60-day review of the Draft Housing Element Update, HCD issued a letter to the City on January 11, 2022, finding that the “draft element addresses many statutory requirements; however, revisions will be necessary to comply with State Housing Element Law (Article 10.6 of the Government Code).” A copy of this letter is provided in this staff report as Attachment A.

Since receipt of the letter, staff and the consultant team have coordinated with HCD and prepared the necessary revisions to the Housing Element Update to ensure compliance with Housing Element Law. A draft response matrix summarizing HCD’s comments and how each of the comments are addressed in the public hearing Draft Housing Element is provided in this staff report as Attachment B. A summary of key HCD comments and the City’s responses are provided in Table 4. State law requires the Planning Commission and City Council to consider HCD’s comments and make appropriate findings as part of the Housing Element adoption process. City staff will then forward the final response matrix and Housing Element to HCD for their final review.

Table 4: HCD Comments and City Responses

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HCD Comment

City’s Response
AFFH – Include a complete assessment of fair
housing, including additional data and analysis
in the areas of: enforcement and outreach;
integration and segregation; disparities in
access to opportunities; disproportionate
housing needs; areas of concentrated poverty
and affluence.

All subsections of the Assessment of Fair
Housing (Section 4.5) include additional data
and analysis. Where fair housing issues are
identified in the assessment, the issues are
linked to policies, programs, and specific
actions that address the identified issues.

Sites Inventory – The element should include
information and analysis on typical densities of
existing or approved residential developments
to support assumed densities in the inventory.

For non-vacant sites, the element must include
an analysis demonstrating the potential for
redevelopment.

Section 3.6 has been added to include
information and analysis on redevelopment
trends and describes recently built, under
construction, and entitled projects, including
unit total, acreage, built density, percent of
maximum density achieved, other uses,
previous uses, zones, and project photos.

ADUs – Adjust projections to reflect actual
annual average ADUs permitted. Revise ADU
ordinance once HCD has completed its review.

Add program that promotes information on
ADUs.

ADU projections have been adjusted. A new
program has been included that commits to
updating the ADU ordinance per HCD’s
review. A new program has been added to
promote information on ADUs.

Sites identified in multiple planning periods –
Ensure compliance with new statute requiring
sites used in prior Housing Elements to allow
by-right approvals for residential developments
that include 20% or more of its units affordable
to lower income households.

A new program has been included that
commits to a future UDC amendment and/or
overlay zone to ensure compliance with this
requirement.

Zoning for a variety of housing types –
Revisions to permitting requirements in the
UDC are necessary for transitional and
supportive housing, low barrier navigation
centers, and employee and agricultural worker
housing.

A new program has been added to complete
UDC amendments to ensure consistency with
state law regarding the permitting requirements
related to transitional and supportive housing,
low barrier navigation centers, and employee
and agricultural worker housing.

Fees and Exactions – Clarify all fees for single-
family and multifamily residential. The
Element must address impact fees as a
potential constraint to multifamily
development and add a program to address it.

Fees have been clarified. Program HP-2.2 has
been added, requiring the next fee study update
to update impact fees in compliance with AB
602 requirements.

Local ordinances – Include additional analysis
on local ordinances (growth management,
short-term rentals, etc.) to ascertain potential
governmental constraints.

Additional information and analysis were
provided on local ordinances like the Oak Tree
Preservation ordinance and Hillside
Development ordinance. The analysis also
clarifies that the City does not have a growth
management or vacation rental ordinance.

Housing programs – various programs did not
include specific implementation components.

Housing programs have been updated to
include specific implementation components

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and actions.

Program HP-4.6 – Administrative process for
reasonable accommodations. Update program
to include the elimination of fees for applicants
requesting reasonable accommodations.

The program has been revised to eliminate the
$872 fee.

Program HP-3.5 – Preservation of at-risk
housing. Include proactive outreach to owners
at least three years prior to expiration of
affordability restrictions.

The program has been revised to include
annual monitoring of status and available
funding and outreach to owners three years
prior to expiration of affordability restrictions.

ENVIRONMENTAL REVIEW

A Draft Negative Declaration and Initial Study were prepared for the proposed project and made available for public review from December 16, 2021, to January 18, 2022, during which the Community Development Department received comments. During the public review period, a copy of the Negative Declaration and all supporting documents were available at the City Clerk’s Office, at 23920 Valencia Boulevard, Suite 120, Santa Clarita, CA 91355. A copy of the Draft Negative Declaration was also posted on the City’s website (www.santa-clarita.com/planning).

Five comment letters were received during the public review period, including those from the California Department of Fish and Wildlife, Los Angeles County Sanitation Districts, Los Angeles County Sheriff’s Department, County of Los Angeles Fire Department, and the Southwest Regional Council of Carpenters. The written comments and responses to comments are provided as Attachment D, within the Final Initial Study. The Final Initial Study was made available for public review and sent to all commenters on March 18, 2022.

PUBLIC NOTICING

All noticing requirements for the public hearing have been completed as required by Section

17.06.110 of the UDC. A 1/8th page advertisement was placed in The Signal newspaper on March 15, 2022. An email notification was sent to the project notification list. As of the writing of this staff report, staff has received one letter (provided in Attachment F) during the public noticing period from Californians for Homeownership, indicating the City did not adopt a sixth cycle Housing Element by the February 2022 deadline. In coordination with the City Attorney’s Office, staff provided a response indicating the City’s continued coordination with HCD on their requested revisions and the schedule for adoption.

HCD CERTIFICATION

BENEFITS OF CERTIFICATION AND RISKS OF NONCERTIFICATION

Because housing needs are recognized as a matter of statewide concern, the state, through HCD, must certify the compliance of every jurisdiction’s Housing Element upon adoption.

Benefits of a certified Housing Element include maintaining eligibility for state funding, maintaining discretionary review over housing projects, and the presumption of legal adequacy if litigated. A noncompliant Housing Element, however, can result in consequences including loss

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of certain state funding sources, reduced local zoning control, and more abbreviated timelines for re-zoning. State Housing Element laws have been greatly strengthened in recent years. This includes referring jurisdictions to the Office of the Attorney General. The Court could fine a city and cities could also lose their ability to issue residential building permits. Therefore, certification of the Housing Element is very important.

NEXT STEPS

Following this public hearing, and if recommended by the Planning Commission for adoption, staff will work with the consultant team to incorporate any Planning Commission and public comments into the final Draft Housing Element Update. At the May 10, 2022 City Council meeting, a public hearing to consider the final draft of the Housing Element would then be conducted. If adopted by the City Council, staff would then submit the final Draft Housing Element to HCD for a 60-day review for compliance with the state Housing Element Law.

If HCD determines that the Housing Element needs additional analysis and revisions to comply with the state Housing Element Law, staff will revise and may bring the Housing Element for re- adoption at future public hearings, if needed. Once HCD certifies that the Housing Element is compliant, the City’s 2021-2029 Housing Element Update will be complete.

STATUTORY DEADLINE

The statutory deadline and the grace period for the City to adopt the 2021 -2029 Housing Element Update was October 15, 2021, and Febuary 11, 2022, respectively . According to SCAG, 191 out of 197 Southern California jurisdictons did not have certified Housing Elements as of February 11, 2022. Delays in adopting and certifying Housing Elements could be attributed to a number of factors including, stringent new requirements, additional HCD scrutiny, record-high RHNA allocations, delayed final RHNA allocations, and the COVID -19 pandemic.

The City has made significant progress in address ing all of the comments provided by HCD following their review of the Draft Housing Element and remains committed to completing the public hearing process and diligently working with HCD to address their comments and complete the Housing Element Update.

ATTACHMENTS
Resolution P22-04
Exhibit A - Housing Element Update (Hearing Draft) (available in the Planning Commission reading file)
Exhibit B - Safety Element Update (Hearing Draft) (available in the Planning Commission reading file)
Attachment A - HCD's Findings Letter
Attachment B - City Responses to HCD Letter Matrix
Attachment C - Safety Element Update Redlines (available in the Planning Commission reading file)

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Attachment D - Negative Declaration and Draft and Final Initial Study (available in the Planning Commission reading file)
Attachment E - Public Hearing Notice
Attachment F - Housing Element Comment Letters

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