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CC 08-21-2018 Study Session Item No. 2 RHNA Subregion Presentation.. What is RHNA? tC J/~1/;g t;z • Pre-cursor to updating Housing Elements • Process of setting up targets for housing growth 1 How is RHNA distributed? • Provides assessment to Council of Governments Year-2022 COG • Provides allocation (RHNA) to local agencies RHNA subregions • Allowed by state law • HE Updates and Rezoning • Formed by jurisdictions dissatisfied with regional process • Distribute units in more locally relevant regional manner , 2 Subregion Process • Prov ides assessment to COG COG • Provides allocation (RHNA) to RHNA subregion ----• Acts as clearinghouse for RHNA transfers and venue for public input City/County RHNA Subregion • Allocation methodology in compliance with state law • Transfers and votes on subregional RHNA • Public process for allocation • Each jurisdiction to have some minimum affordable allocation • Submit subregional allocation to COG for approval 3 Other RHNA subregions? ---~ ~ ABAG71v\TC -region-in2-o-r5:zo23 cycle: • San Mateo • Napa • Solano • Allocations based on local factors Examples? • San Mateo (21 jurisdictions): • No change -seven; • Reduction -nine; • Increases -five; In most cases, increases where General Plan contemplated higher number of units already. 4 Why now? • Cities Association of Santa Clara County Board priority • Formed subcommittee • Report presented June 2018 • Input from individual council's before considering formation Housing Commission Update • Better to have a voice in subregional process than not • Collaborate with developers on amount of affordable housing built • Being on subregion may be able to help Cupertino justify its RHNA • Need more clarity on process~if-and1 -- when trades occur 5 Public Comment at HC • RHNA function of how much office gets built. rrudBs-n-ot-ue-pns-5ible-if-offic-e-d-evelaprrre-rT approved at Vallco • San Jose has strong representation on VTA Board. Concerns that RHNA subregion could also be formed sim ilarly • Regional cooperation on transportation as result of RHNA trades unlikely • Questions about affordable housing requirements in development Subcommittee • Overview • Pros and Cons • Model Draft Resolution • Draft By-laws 6 RHNA Subregion -Overview • Any two jurisdictions but must include county . • Develop its own methodology, • Issue draft allocations to member jurisdictions, • Conduct the revision and appeal processes, • Issue final allocations. • Ensure that final housing allocation is consistent with Bay Area's SCS (Plan Bay Area.) RHNA subregion -o ·verview • Not proposing to change methodology for allocation • Wou ld allow cities opportunity to make mutual agreements with cities in subregion to trade allocations: • Consistent with State-defined objectives • Each jurisdiction retain_aJ le~ast s_ome __ _ allocation of units for low-and very low · income households. 7 RHNA subregion -Overview •-Cjties Gan cr-1GGse oot-to mGk@-a_ny -- transfer agreements • One jurisdiction = one vote • If not a part of subregion, neither have opportunity to trade allocations nor have vote in proposed trades within subregion RHNA subregion -Pros/Cons • Allows flexibility and opportunity to trade RHNA allocations more easily. • City could choose to accept regional allocation or choose to make agreements to trade allocations. • Empowering cities to have say in regional planning. • Should appeal on regional allocation get upheld, up to ABAG/MTC to decide how to redistribute appealed allocation. With subregion, city can trade allocations with another city. 8 RHNA subregion -Pros/Cons • Allow collaboration on better planned development since cities can work together to address regional issues • Transit planning could be done w it hout necessarily being confined by ci t y boundaries. • Create a forum to discuss sharing of planning resources . • In San Mateo subregion, all 21 jurisdictions share in cost to pay a consultant to assis t in preparing their housing elements and data needs. RHNA subregion -Pros/Cons • Putting in time, effort and resources and ending up with same result as regional allocation . • Lack of trust for fair and equitable process. • Loss of political distance from ABAG/MTC which may result in pressure on community to produce additional housing . • No role model since no other exisflng subregioD has such large variance in population among cities. 9 Proposed Structure • _One jurisdicJion Qne vote_ -------~_,__ _____ . • Standing Committees: • Technical Advisory Committee (TAC) • Techn ical experts develop recommendations • City Manager's Association • Ongoing input and consideration of TAC recc. • Policy Advisory Committee (PAC) • Provide policy direction, review TAC recc. And adopt policy consensus for city and county ratification New Housin ·g Laws • SB 166 (2017}: If development is proposed at different affordability level than shown in HE, jurisdictions must: • make specific findings or • upzone more property • Increased standards for designating acceptable sites to accommodate housing 10 New Housing Laws • SB 1771 and SB 828(under consideration): • Give HCD additional review authority over RHNA • High Income, high job cities= more RHNA Fiscal Impact • $ related to administration, legal re~.dew, outreach, ooticiog, CS)Ordinating with ABAG/MTC • Subcommittee recommended sharing costs • · Budget dependent on scope of the su bre-gion -and services provided • Estimate to be provided later 11 Next Steps -;-council comments-to 5e forwaraea to -- Cities Association Board • Board to consider and initiate process • Then, each city to adopt resolutions to affirm decision to join • Subregion must be formed by Sept. '20 12