HomeMy WebLinkAboutAB 720 - Housing Elements ��
CITY OF PALM DESERT -�
COMMUNITY SERVICES DEPARTMENT
STAFF REPORT
REQUEST: CONSIDERATION OF LEGISLATIVE REVIEW COMMITTEE ACTION
ON AB 720 (CABALLERO) AT ITS MEETING OF APRIL 28, 2009.
DATE: May 21, 2009
CONTENTS: AB 720 Language
RECOMMENDATION:
By Minute Motion, concur with the action taken by the Legislative Review Committee at its
meeting of April 28, 2009, and direct staff to prepare a letter of support for the Mayor's signature
with regard to AB 720 (Caballero) relative to housing elements.
BACKGROUND:
Planning and Zoning Law requires each City to prepare and adopt a General Plan that contains
certain mandatory elements, including a Housing Element that analyzes existing and projected
housing needs and includes a statement of goals, quantified objectives, policies, financial
resources, and scheduled programs for the maintenance, preservation, improvement, and
development of housing. If passed, AB 720 would authorize cities that use funding from its Low
and Moderate Income Housing Fund, within a redevelopment project area, for purposes of
substantially rehabilitating a unit to count the unit toward meeting its share of Regional Housing
Needs for Affordable housing, for low, very-low, or extremely low incomes. The language ofAB
720 would reinforce the City's ability to meet its RHNA obligation.
Therefore, Legislative Review Committee recommends that the City Council support AB 720
and direct staff to prepare a letter stating that position to appropriate legislators and committees
for the Mayor's signature.
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PATRICIA SCULLY, CFEE N WOHLMUTH
SENIOR MANAGEMENT A ALYST C Y MANAGER
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Originat on File with City Clerk s Oftice
AB 720 Assembly Bill - INTRODUC�D Page 2 of 5
available for their development, and any other relevant factors, as
determined by the department. Nothing in this section reduces the
responsibility of a city or county to identify, by income category,
the total number of sites for residential development as required by
this article.
(b) Sites that contain permanent housing units located on a
military base undergoing closure or conversion as a result of action
pursuant to the Defense Authorization Amendments and Base Closure and
Realignment Act (Public Law 100-526) , the Defense Base Closure and
Realignment Act of 1990 (Public Law 101-510) , or any subsequent act
requiring the closure or conversion of a military base may be
identified as an adequate site if the housing element demonstrates
that the housing units will be available for occupancy by households
within the planning period of the element. No sites containing
housing units scheduled or planned for demolition or conversion to
nonresidential uses shall qualify as an adequate site.
Any city, city and county, or county using this subdivision shall
address the progress in meeting this section in the reports provided
pursuant to paragraph (1) of subdivision (b) of Section 65400.
(c) (1) The Department of Housing and Community Development may
allow a city or county to substitute the provision of units for up to
25 percent of the community's obligation to identify adequate sites
for any income category in its housing element pursuant to paragraph
(1) of subdivision (c) of Section 65583 where the community includes
in its housing element a program committing the local government to
provide units in that income category within the city or county that
will be made available through the provision of committed assistance
during the planning period covered by the element to low- and very
low income households at affordable housing costs or affordable
rents, as defined in Sections 50052.5 and 50053 of the Health and
Safety Code, and —v�lric�r— that meet the
requirements of paragraph (2) . Except as otherwise provided in this
subdivision, the community may substitute one dwelling unit for one
dwelling unit site in the applicable income category. The program
shall do all of the following:
(A) Identify the specific, existing sources of committed
assistance and dedicate a specific portion of the funds from those
sources to the provision of housing pursuant to this subdivision.
(B) Indicate the number of units that will be provided to both
low- and very low income households and demonstrate that the amount
of dedicated funds is sufficient to develop the units at affordable
housing costs or affordable rents.
(C) Demonstrate that the units meet the requirements of paragraph
(2) .
(2) Only units that comply with subparagraph (A) , (B) , or (C)
qualify for inclusion in the housing element program described in
paragraph (1) , as follows:
(A) Units that are to be substantially rehabilitated with
committed assistance from the city or county and constitute a net
increase in the community' s stock of housing affordable to low- and
very low income households. For purposes of this subparagraph, a unit
is not eligible to be "substantially rehabilitated" unless all of
the following requirements are met:
(i) At the time the unit is identified for substantial
rehabilitation, (I) the local government has determined that the unit
is at imminent risk of loss to the housing stock, (II) the local
government has committed to provide relocation assistance pursuant to
Chapter 16 (commencing with Section 7260) of Division 7 of Title 1
to any occupants temporarily or permanently displaced by the
rehabilitation or code enforcement activity, or the relocation is
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otherwise provided prior to displacement either as a condition of
receivership, or provided by the property owner or the local
government pursuant to Article 2 .5 (commencing with Section 17975) of
Chapter 5 of Part 1.5 of Division 13 of the Health and Safety Code,
or as otherwise provided by local ordinance; provided the assistance
includes not less than the equivalent of four months' rent and moving
expenses and comparable replacement housing consistent with the
moving expenses and comparable replacement housing required pursuant
to Section 7260, (III) the local government requires that any
displaced occupants will have the right to reoccupy the rehabilitated
units, and (IV) the unit has been found by the local government or a
court to be unfit for human habitation due to the existence of at
least four violations of the conditions listed in subdivisions (a) to
(g) , inclusive, of Section 17995.3 of the Health and Safety Code.
(ii) The rehabilitated unit will have long-term affordability
covenants and restrictions that require the unit to be available to,
and occupied by, persons or families of low- or very low income at
affordable housing costs for at least 20 years or the time period
required by any applicable federal or state law or regulation.
(iii) Prior to initial occupancy after rehabilitation, the local
code enforcement agency shall issue a certificate of occupancy
indicating compliance with all applicable state and local building
code and health and safety code requirements.
(B) Units that are located in a multifamily rental housing complex
of four or more units, are converted with committed assistance from
the city or county from nonaffordable to affordable by acquisition of
the unit or the purchase of affordability covenants and restrictions
for the unit, are not acquired by eminent domain, and constitute a
net increase in the community's stock of housing affordable to low-
and very low income households. For purposes of this subparagraph, a
unit is not converted by acquisition or the purchase of affordability
covenants unless all of the following occur:
(i) The unit is made available at a cost affordable to low- or
very low income households.
(ii) At the time the unit is identified for acquisition, the unit
is not available at an affordable housing cost to either of the
following:
(I) Low-income households, if the unit will be made affordable to
low-income households.
(II) very low income households, if the unit will be made
affordable to very low income households.
(iii) At the time the unit is identified for acquisition the unit
is not occupied by low- or very low income households or if the
acquired unit is occupied, the local government has committed to
provide relocation assistance prior to displacement, if any, pursuant
to Chapter 16 (commencing with Section 7260) of Division 7 of Title
1 to any occupants displaced by the conversion, or the relocation is
otherwise provided prior to displacement; provided the assistance
includes not less than the equivalent of four months' rent and moving
expenses and comparable replacement housing consistent with the
moving expenses and comparable replacement housing required pursuant
to Section 7260.
(iv) The unit is in decent, safe, and sanitary condition at the
time of occupancy.
(v) The unit has long-term affordability covenants and
restrictions that require the unit to be affordable to persons of
low- or very low income for not less than 55 years.
(C) Units that will be preserved at affordable housing costs to
persons or families of low- or very low incomes with committed
assistance from the city or county by acquisition of the unit or the
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purchase of affordability covenants for the unit. For purposes of
this subparagraph, a unit shall not be deemed preserved unless all of
the following occur:
(i) The unit has long-term affordability covenants and
restrictions that require the unit to be affordable to and reserved
for occupancy by persons of the same or lower income group as the
current occupants for a period of at least 40 years.
(ii) The unit is within an "assisted housing development, " as
defined in paragraph (3) of subdivision (a) of Section 65863 . 10.
(iii) The city or county finds, after a public hearing, that the
unit is eligible, and is reasonably expected, to change from housing
affordable to low- and very low income households to any other use
during the next five years due to termination of subsidy contracts,
mortgage prepayment, or expiration of restrictions on use.
(iv) The unit is in decent, safe, and sanitary condition at the
time of occupancy.
(v) At the time the unit is identified for preservation it is
available at affordable cost to persons or families of low- or very
low income.
(3) This subdivision does not apply to any city or county that,
during the current or immediately prior planning period, as defined
by Section 65588, has not met any of its share of the regional need
for affordable housing, as defined in Section 65584, for low- and
very low income households. A city or county shall document for any
housing unit that a building permit has been issued and all
development and permit fees have been paid or the unit is eligible to
be lawfully occupied.
(4) Notwithstanding paragraph (3) , any city or county that uses
funding from its Low and Moderate Income Housing Fund, pursuant to
Section 33334.3 of the Health and Safety Code, within a redevelopment
project area, as defined in Section 33320.1 of the Health and Safety
Code, for purposes of substantially rehabilitating a unit, as
specified in subparagraph (A) of paragraph (2) , may count the unit
towards meeting its share of the regional housing need for affordable
housing, as defined in Section 65584, for low-, very low, or
extremely low income households.
—��'
(5) For purposes of this subdivision, "committed
assistance" means that the city or county enters into a legally
enforceable agreement during the first two years of the housing
element planning period that obligates sufficient available funds to
provide the assistance necessary to make the identified units
affordable and that requires that the units be made available for
occupancy within two years of the execution of the agreement.
"Committed assistance" does not include tenant-based rental
assistance.
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(6) For purposes of this subdivision, "net increase"
includes only housing units provided committed assistance pursuant to
subparagraph (A) or (B) of paragraph (2) in the current planning
period, as defined in Section 65588, that were not provided committed
assistance in the immediately prior planning period.
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(7) For purposes of this subdivision, "the time the
unit is identified" means the earliest time when any city or county
agent, acting on behalf of a public entity, has proposed in writing
or has proposed orally or in writing to the property owner, that the
unit be considered for substantial rehabilitation, acquisition, or
preservation.
—�'H-
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AB 720 Assembly Bill - INTRODUCED Page 5 of 5
(8) On July 1 of the third year of the planning period,
as defined by Section 65588, in the report required pursuant to
Section 65400, each city or county that has included in its housing
element a program to provide units pursuant to subparagraph (A) , (B) ,
or (C) of paragraph (2) shall report in writing to the legislative
body, and to the department within 30 days of making its report to
the legislative body, on its progress in providing units pursuant to
this subdivision. The report shall identify the specific units for
which committed assistance has been provided or --�-.=i�
that have been made available to low- and very
low income households, and it shall adequately document how each unit
complies with this subdivision. If, by July 1 of the third year of
the planning period, the city or county has not entered into an
enforceable agreement of committed assistance for all units specified
in the programs adopted pursuant to subparagraph (A) , (B) , or (C) of
paragraph (2) , the city or county shall, not later than July 1 of
the fourth year of the planning period, adopt an amended housing
element in accordance with Section 65585, identifying additional
adequate sites pursuant to paragraph (1) of subdivision (c) of
Section 65583 sufficient to accommodate the number of units for which
committed assistance was not provided. If a city or county does not
amend its housing element to identify adequate sites to address any
shortfall, or fails to complete the rehabilitation, acquisition,
purchase of affordability covenants, or the preservation of any
housing unit within two years after committed assistance was provided
to that unit, it shall be prohibited from identifying units pursuant
to subparagraph (A) , (B) , or (C) of paragraph (2) in the housing
element that it adopts for the next planning period, as defined in
Section 65588, above the number of units actually provided or
preserved due to committed assistance.
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