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R 2992 . , RESOLUTION NO. 2992 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE ADOPTING THE HOUSING ELEMENT OF THE GENERAL PLAN; ADOPTING A NEGATIVE DECLARATION AND INSTRUCTING THE CITY CLERK TO FILE A NOTICE OF DETERMINATION WHEREAS, the Section 65302 of the California Government Code directs all cities and counties to prepare a general plan housing element; and WHEREAS, the City of Arroyo Grande has determined that it is appropriate and necessary to update and revise the previous housing element adopted by the City in 1990; and WHEREAS, the public participation in the development of the housing element included a public hearing on November 12, 1992 to elicit community concerns about the availability of affordable housing and special housing needs in Arroyo Grande, and public hearing notices were distributed in English and Spanish; and a Spanish interpreter was available to increase public participation; and WHEREAS, duly noticed public hearings were held by the Planning Commission of the City of Arroyo Grande on January 5, 1993 and January 19, 1993, at which time all interested persons were given the opportunity to be heard; and WHEREAS, duly noticed public hearings were held by the City Council of the City of Arroyo Grande on January 26, 1993, May 11, 1993 and May 25, 1993, at which time all interested persons were given the opportunity to be heard; and WHEREAS, the preliminary draft housing element has been reviewed by the State Housing and Community Development Department and they suggested changes to the element. Exhibit "A", attached hereto and incorporated herein, amends the element based on the State Housing and Community Development Department's comments; and WHEREAS, the City Council has reviewed and considered the information and public testimony presented at the public hearings, the comments received from the State Housing and Community Development Department, and the information contained in the proposed documents and staff reports; and WHEREAS, the City Council has reviewed this project in compliance with the California Environmental Quality Act (CEQA) and has determined a negative declaration can be adopted after the State Office of Planning and Research indicated there are no comments on the initial study and negative declaration. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Arroyo Grande, California does hereby adopt the housing element with the amendments shown on Exhibit" A", attached hereto and incorporated herein by reference. Said action is taken based on the following findings of fact: Housing Element Update I. The proposed update of the housing element is consistent with the goals, objectives, policies and programs of the general plan and will not result in any internal inconsistencies within the plan. 2. The proposed update of the housing element will not adversely affect the public health, safety and welfare because it will help the City achieve housing for all economic segments of the community. 3. Based on the initial study and all the comments received, the potential environmental impacts of the proposed update of the housing element are insignificant. Department of Fish and Game Required Findings of Exemption I. The City of Arroyo Grande has prepared an initial study pursuant to Section 15063 of the Guidelines of the California Environmental Quality Act for the housing element. -_._------~~-_._- . , Resolution No. 2992 Housing Element June 22, 1993 Page Two 2. Based on the initial study, a negative declaration was prepared for review by the public I an review and approval by the City Council. 3. After holding a public hearing pursuant to State and City Codes, and considering the record as a whole, the City Council adopted the negative declaration and found that there is' no substantial evidence of any significant adverse effect, either individually or cumulatively on wildlife resources as defined by Section 711.2 of the Fish and Game Code or on the habitat upon which the wildlife depends as a result of development of this project. BE IT FURTIIER RESOLVED that the City Council of the City of Arroyo Grande, California hereby repeals the 1990 housing element. On motion of Council Member Moots , seconded by Council Member Brandy , and by the following roll call vote, to wit: AYES: Council Members Moots, Brandy, Burke, Souza and Mayor Gallagher NOES: None ABSENT: None the foregoing Resolution was adopted this 22nd day of June, 1993 -( ATTEST: ~f1.~ NANCY A. A VIS, CITY CLERK APPROVED AS TO FORM: APPROVED AS TO CONTENT: I, STIANSEN, CITY MANAGER I, 'NANCY A. DAVIS, City Clerk of the City of Arroyo Grande, County of San Luis Obispo, State of California, do hereby certify under penalty of perjury that the foregoing Resolution No. 2992 , is a true, full and correct =py of said Resolution passed and adopted at a regular meeting of said Council on the 22nd day of June, 1993. WITNESS my hand and the Seal of the City of Arroyo Grande affixed this 25th day of June, 1993. ~a.~ CITY CLERK ..- ,-~~-- . ' , . HESOLU'I'ION NO. 2992 ; EXHIBIT A PROPOSED MODIFICATIONS TO THE CITY OF ARROYO GRANDE HOUSING ELEMENT The proposed changes to the element are shown In italic text below. Page 7. Add new policy A.21., to read: ! To help ensure adequate densities for new low income housing in the condominium/townhouse and multi-family zones, the City shall offer the following additional density bonuses for lower cost housing projects In those districts: if at least 20% of the , project is for lower Income households, a density bonus 0/25% will be offered. For eveI}' additional percentage of the project reserved for lower income households above 20%, a corresponding increase In the density bonus will be allowed. For example, if 65% of the project is for low income housing, the density bonus shall be {25% + (65%-20%)J :: 70%. The maximum density bonus in any case shall be 100%. Page 7. Add the tollowing language to the end ot Program 3, to read: I" addition, the City will incorporate density bonus provisions {into the development code] to implement policy A.21. for the condominium/townhouse and multi-family districts. Page 17. Amend Program 38 10 read as tollows: I The City will continue to provide Information from the Department of Fair Employment and I Housing. Such information will be posted at City Hall, the City/County LibraI}', the Chamber of Commerce and other frequented public places. i J I Page 17. Add the following language to Program 39: ! and the Department of Fair Employment and Housing district office in Ventura. I , ! : Page 27, paragraph 3. Add the following language, replacing sentence 3 with: Such information is also shown for owner-occupied and rental housing. I i ! , I j I I I I i , i i I ! I I E,xhibit A. . Proposed Modifications to tlla Dralt Arroyo Granda lIous/llg Element Page 28. Amend Table 9 as follows: Table 9 Tenure By Persons per Occupied Unit City of Arroyo Grande, 1990 Owner Occupied Renter Occupied Persons in Occupied Housing Units Number Percent Number Percent 1 person 828 21.1% 576 31.7% 2 persons 1,642 ~2.0% 540 29.7% 3 persons 571 14.6% 288 15.8% 4 persons 559 14.3% 245 13.5% 5 persons 210 5.4% 102 5.6% 6 persons 54 1.3% 41 2.2% 7 or more persons 42 1.1% 26 1.4% TOTAL 3,906 100% 1,818 100% Average Persons per Unit 2.50 2.46 SOUICS: Csnsus 01 Populadon and Housing, Summaf)' Tape File t, 1990. ,. Page 31. Add Ihe following language Immedlalely following Ihe second paragraph under the heading of Homeless: The Homeless Services Coordinator of the San Luis Obispo County Department of.Social Services recently received HUD approval for their Abbreviated CHAS on Homelessness in San Luis Obispo County. The City of Arroyo Grande is one of the jurisdictions covered by that CHAS. The CHAS lists the fol/owing county-wide or regional services for low income and homeless individuals for 1990. . The Department of Social Services Emergency Homeless Assistance Program provides funds to 58 families (185 individuals); . The Economic Opportunity Commission (EOC) Rental Assistance and Eviction Prevention program served 27 families or 52 individuals; . . The Food Bank Coalition (food warehouse) served 30,000 families; . The Five Cities Christian Women (South County Food Pantry) served 2,300 .. families; . . The Loaves and Fishes (North County Food Pantries) served 13,000 families; and . The North County Women's Shelter provided housing for 10 to 14 women and clJi/dren per night for a total of 143 individuals throughout the year. 0 The latter two organizations are targeted for homeless individuals in /he northern portion of San Luis Obispo County. Arroyo Grande is in the southern portion of /he county, so those programs are not applicable. In fact, /he CHAS notes that the majority of homeless 2 -, Exhibit A . 'Proposed Modifications /0 'ile Draft Arroyo Grande Housing Element HESOLU'!'ION NO. 2992 . . are in North County (31 percent) and the City 01 San Luis Obispo (50 percent). Only 15 percenl 01 the homeless ara estimatad to coma Irom South County. (The ragionallocation 01 tha ramaining 4 percent ara unknown). ! , Based on inlormation provided by tha Homalass SaNicas Coordinator 01 tha San Luis I I Obispo County Departmani 01 Social Sarvicas, approximataly 15% 01 Iha County's ! homalass ara In tha .South County. (Pismo Baach, Grover Beach, Arroyo Granda and tha i unincorporatad araas surrounding thasa citias, to Iha Santa Barbara County bordar). This i Is approxlmataly 300 peopla. /I tha distribution of tha homalass population approximatas that 01 tha tolal population, aboUI 90 homalass parsons l/va in Arroyo Granda. Howavar, obsarvations by saNlca providars and law anforcamant suggasl that a disproportlonata shara ollha south county homalass population raslda In ,Iha baach towns. Thus, tha A'froyo Granda homalass population Is astimatad at lewer than 75 peopla. - : Tha Arroyo Granda Police Dapartment coordinatas tha distribution of lunds lor tha South County Ministarial Association and Salvation Army. Such funds are used for emergancy i lodging, load and gasolina. ! I Homeless shellars are al/owad in saveral zoning districts in Arroyo Grande, in conjunction I with religious or social organizations, subject to approval of a conditional use permit. I These zones includa the MF, MFA, SR, PF, GC, ve and He districts. I .I Page 44. Amend Table 28 10 read as follows: ! . _I Table 28 ! , I Vacant Land Suitable tor ResIdential Development City 01 Arroyo Grande, 1992 ; ..j , Zoning Vacant Density PotentIal Income 1 Acres (uniles/acre) Units Category II) " ! Residential Estate 8.4 0.4 3 Above Moderate Residential Hillside 152 0.67 101 Above Mode""te Rural Residential 47 1 47 Above Moderate' , .; Residential Suburban 17 2.5 42 Moderale i I j Single Family Residential 42 4.5 190 Moderate/Low I CondomlniumIT ownhouse 9 18 (31 162 (31 Moderate/low I I Multi-Family 13 22 (31 286 (31 lowNery low Senior Housing 2.6 25 65 LowNery low Planned Development 153 varies 121 531 Above Moderate , Total NA NA 1,427 NA I Noles: (1) Units affordable 10 Ihese incomes groups are feasible at Ihese sites at the Indicated I I densities. Actual projects may involve housing mixes that are affordable to more than one I I income group. I (2) Density within the Planned Development zone depends upon the terms of the . I ! I implementing ordinance. (3) Sea Policy A.21. Source: City of Arroyo Grande, 1992. : , , 3 ! i I I' ! I I Ii'f.i,iblt A -: Propoeed Modil/catlons 10 the Dralt Arroyo Grande "ouslng Ii/emellt Page 44. Add Ihe following language Immediately following Table 28: In addition to residential zoning districts, muhiple family residential uses are allowed subject to approval of a conditional Use permit In the Village Commercial and Office and Professional zoning districts when such uses are located above a permitted commercial or office Use. There Is currently 40 acres of land zoned Village Commercial and 35 acres zoned Office and Professional; however, much of this land is already developed. It is difficult to determine the housing development potential In these zones because many projects would Involve additions to, rehabilitation of or replacement of existing structures. Still, the potential for housing in these districts Is significant. ..If one assumes that additions, --., . I remodels replacement and infill occurs to an average of 5% of these areas each year, then I the annual residential development is estimated to be approximately 20 units. Of course, I I actual residential development will val}' depending on a number of variables Including market demand, development potential elsewhere, and willingness of financial institutions to loan on mixed-use projects, among others. Page 46, paragraph 5. Delete Ihe last senlence In paragraph 5 and add Ihe following language immediately following Ihe second sentence, changing the period 10 a comma: , new wells in aquifers not already tapped by the City and sewage effluent Iteatment and reclamation. However, It is not clear when other water sources may become available nor /Jaw much water such sources may provide. -, rhe City's regional hOLlsing allocation is 1,075 units while the City's existing annual 0 dependable supply of water is sufficient to allow construction of only 928 units. Thus, if no additional water source is secured within the life of this housing element, water may pOse a significant constraint to the provision of the City's regional share of housing as suggested by the Regional Housing Needs plan. However, It should be kept In mind that the City does allow development to proceed if it is "water neutral;" that Is, if savings to offset expected demand can be realized through conservation practices, water-saving plumbing and landscaping, and retrofits to more water conserving fixtures, etc. This incr.eases development potential significantly. Furthermore, the projected supply is based on all the units being treated equally; however, the City does not consider second units (an important source of affordable housing) to require a full unit's allocation. The "water neutrality" program is intended to allow flexibility so that new development can go forward even if water resources are limited. The program is based on an assumption that the remaining available water resources are distributed among the remaining properties. If a project is proposed for a vacant site, the assigned water is credited toward the project. If the project requires more water that is assigned to the site, it may still proceed by reducing water demand through special water conserving features, or by making savings off-site through retrofits and other means, or by a combination of the two. Each case is evaluated individually to allow maximum flexibility for creative solutions to water conservation. . Considering the water that Is available for neW development and the flexibility for new projects afforded through the water neutrality program, it appears that there Is sufficient supply to allow development of the City's fair share during the time frame of this element. 4 , Exliivlt A - 'Proposed Modillcatlons to tile Dralt Arroyo Grande lIoutllng Element HESOLU'!'ION NO. 2992 Page 48. Add the following language at the end of the first paragraph under the heading of Local Land Use Controls: The larger minimum lot requirements In Affoyo Grande do not appear to significantly i constrain the development of affordable housing. For example, In the City of Alascadero fn northem San Luis Obispo County, the minimum lot size for all single family ,esidentlal ! development Is one-half acre, yet the 1990 medIan housing value was almost $10,000 less I than Arroyo Grande. Conversely, In the City of Plsmo Beach, adjacent to Arroyo Grande, smaller lot sizes are permitted but the median housing value Is almost $85.000 higher than In Arroyo Grande. Thus, there are many other factors besides lot sizes In determining the cost of housing. I I This element Includes a program for the City to reconsider the calculation of residential densities to allow greater numbers of smaller units under appropriate circumstances. See I Program 9. . , Page 49. Add the following language. immediately following Table 29: , i I Parking Requirements I I Parking requirements In the City of Arroyo Grande are Intended to alleviate street I congest/on, Insure emergency vehicle access, and protect residential neighborhoods from , noise and congestion. The City's parking requirements for residential uses are shown I i below in Table 30. The parking standards are similar to those. of other cities throughout ! California. They are not excessive and therefore do not constitute a constraint to the 1 provision of housing In Arroyo Grande. , Table 30 I Parking Standards - City of Arroyo Grande I Residential Use Parking Requirements ., Single Family Residences 2 spaces per unit with an enclosed garage i Duplexes 1 covered space and 1 uncovered space per unit Second Residential Units 1 covered space and 1 uncovered space per 'unit i Multi-Family, Townhouse & Condominiums: I I Studios and 1 bedroom units 1 covered space ! 2 bedroom units 2 covered spaces 3+ bedroom units 2 covered spaces plus 0.5 space per bedroom above 2 plus guest parking 0.5 uncovered space per unit Senior Housing Studios and 1 bedroom units 1 covered space I 2,. bedroom units 1 covered space plus 0.5 uncovered spaces per units for each bedroom over 2 j plus guest parking 0.5 uncovered space per unit I i Sgurce: Arroyo Grande Development Code, 1991. - , Page 52. Add the following language immediately atler the paragraph under the heading of Finance , Charges: ! I ! i I I 5 ! : , . &hibit A ~ Proposed Modifications to the Draft Arroyo Grande Housing Element One potential problem to receiving financing for residential development Is the practice of Nredlining. N Redlining is a form of discrimination in which certain groups are not given financing because of racial, ethnic, or other characteristics unrelated to their ability to repay a loan. Discussions with the Iocel Housing Authority and the State Fair Employment and Housing Department indicate that such practices have not been a problem In Arroyo Grande in particular, nor Iii San Luis Obispo County in general. " - '--1 " - , -~-" 6