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CC 2021-01-26_09a Resolution Adopting the 2020 Housing Element Update_PP Presentation Consideration of Adoption of General Plan Amendment 19-002, Housing Element Update 2/2/2021 1 What is a Housing Element? One of eight mandated General Plan elements Reviewed and certified by California Department of Housing and Community Development (HCD) State sets schedule for Housing Element updates 6th cycle Housing Element on 8-year timeframe Planning period: 2020-2028 2/2/2021 2 2/2/2021 Review of current housing element Updates existing conditions information regarding housing, residents, and regulations Analysis of potential constraints to housing production Inventory and analysis of adequate sites to meet RHNA Housing policies, programs, and quantified objectives What’s in a Housing Element? 3 2/2/2021 HCD assigns each region the number of housing units it must accommodate during the planning cycle SLOCOG assigns each jurisdiction in SLO County a “fair share” of the total 10,810 units Arroyo Grande’s RHNA – 692 units Not required to construct all 692 units, but must show they can be accommodated within the City’s land use plans and policies. Regional Housing Needs Allocation 4 2/2/2021 Regional Housing Needs Allocation Increase of 242 units from the previous cycle 5 2/2/2021 Site inventory and analysis Identify sites to meeting RHNA Review of 5th cycle programs Remove programs that were accomplished or redundant Add new programs to comply with State housing law Update housing related data Population characteristics, housing statistics, i.e. conditions, affordability, etc. Regional Chapter Highlights regional efforts to address housing and infrastructure needs HEU Draft 6 2/2/2021 Submitted portion of the HEU to HCD to obtain feedback about the City’s approach to meeting RHNA HCD was supportive of the City’s efforts: Evaluate reliance on ADU development Consider revising Minor Use Permit findings to be less subjective Consider expanding programs A.10-2 and F.1-2 to encourage development Clarification on various Development Code sections HCD Preliminary Feedback 7 2/2/2021 Planning Commission reviewed the draft HEU on October 6th Regional Housing Needs Allocation – 692 units State housing legislation New programs and policies Received comments from the public and Planning Commission HEU Study Session 8 2/2/2021 Comments from the public and PC primarily focused on the following areas: Address development of “missing middle” housing types Encourage the incorporation of child care facilities in multi-family housing projects Streamlined review for housing projects Concern with the reliance on accessory dwelling units (ADUs) to meet RHNA Study Session Comments 9 2/2/2021 Revisions to address comments from study session Missing Middle Housing Types Policy A.15 and Program F.1-4 Childcare facilities Policies I.7 and I.8 Streamline Housing Review Program F.1-4 HEU Revisions 10 2/2/2021 Reliance on ADU Development ADUs were reduced from 350 to 236. Projection uses ADU data from 2019 & 2020 extrapolated over the next 8 years to get to 236 units. Non-vacant sites were identified as opportunity sites to account for the 114 units previously identified as ADUs in the draft HEU. HEU Revisions (cont.) 11 2/2/2021 October 12th, the draft HEU was submitted to HCD for review and conditional certification November 23rd, the following comments were received from HCD: Revise Program A.10-2 to include other mixed-use zones Revise Program F.1-2 to reduce permit requirements for multi-family residential projects Add a program to eliminate subjective design review standards Add a program to establish an official process to implement SB 1087 HCD Comments 12 2/2/2021 Revised Program A.10-2 to include other mixed-use zones Revised Program F.1-2 to reduce permit requirements for multi-family residential projects Added a program to eliminate subjective design review standards Added a program to establish an official process to implement SB 1087 December 10th, HCD granted conditional certification for the HEU Revisions for HCD 13 2/2/2021 January 5th – staff presented final draft to PC Responses to comments from the study session Public comment received prior to January 5th hearing Resulted in two additional revisions to the HEU PC adopted a Resolution recommending the Council adopt the HEU. Planning Commission Recommendation 14 2/2/2021 HEU requires environmental review pursuant to the California Environmental Quality Act (CEQA) An addendum to the General Plan EIR was prepared to document reliance on that EIR for the HEU The Housing Element is a policy document that does not directly result in a change to the environment The General Plan EIR considers potential impacts from projects consistent with the General Plan Individual projects are required to comply with the General Plan, therefore the HEU is not anticipated to create new or significant impacts that have not been previously accounted for in the General Plan EIR. Environmental Review 15 2/2/2021 Staff recommends that the City Council adopt a Resolution to adopt the 2020 Housing Element Update and rely upon an addendum to the General Plan EIR in compliance with the California Environmental Quality Act (CEQA). Upon adoption, the HEU will be submitted to HCD for final review and certification. Recommendation & Final Steps 16