Implementation of Housing Element Update of Housing Element City Council Meeting Tuesday, September 24, 2013

HOUSING ELEMENT LAW Government Code Section – Update every planning period – Address RHNA (Regional Housing Needs Allocation) – Obtain certification from HCD (CA State Dept. of Housing and Community Development) – NEW: 8 year cycle Do not adopt 4 year cycle Do not gain certification

BACKGROUND Dec 2009-Nov 2012: Update of Housing Element – Two cycles    372 housing units – 45 Housing Element Task Force meetings – 3 community workshops – Planning Commission and City Council meetings Sept Nov 2012: M-Group assistance ($173,469) October 2012: Adopted Housing Element November 2012: Certified by HCD

February 24, 2012: HCD determination of need May 17, 2012: ABAG approved draft RHNA methodology April 25, 2012: Sausalito’s comment letter to ABAG June 19, 2012: ABAG adopted final RHNA methodology June 28, 2012: Sausalito’s 2 nd comment letter to ABAG July 18, 2013: ABAG adopted Final RHNA HOUSING ELEMENT UPDATE DEADLINE: JANUARY 31, PLANNING PERIOD

New! Benefits: – Priority HCD review status – Template to show changes – Flexibility in having to only minimally update – Permission to show changes to the Housing Element in a strikeout, underline, redline, or highlighting format Do not qualify for the streamlined review if do not adopt by 1/31/15 (the deadline) BENEFITS OF STREAMLINED HCD REVIEW

QUALIFICATIONS FOR HCD STREAMLINED REVIEW Streamlined Review RequirementsStatus  A housing element for the previous planning was adopted and found to be in compliance with State housing element law  The Housing Element was adopted and found to be in conditional compliance with State housing element law  Any programs which the City was given conditional certification for need to be completed (Housing Element Programs 10a, 10b and 11)  The ordinance regarding new and amnesty ADUs was adopted in late 2012  Work needs to be completed for the liveaboard commitment  Zoning Ordinance Amendment completed to permit emergency shelters without discretionary action (Housing Element Program 21)  Needs to be done  Zoning Ordinance Amendment completed to permit transitional and supportive housing as a residential use and only subject to those restrictions that apply to other residential dwellings of the same type in the same zone (Housing Element Program 21)  Needs to be done  Zoning Ordinance Amendment completed to authorize reasonable accessibility accommodations with respect the zoning, permit processing and building regulations(Housing Element Program 25)  Needs to be done  Zoning Ordinance Amendment completed to update the current density bonus provisions in the Zoning Ordinance (Housing Element Program 19)  Needs to be done Streamlined Review Requirements  A housing element for the previous planning was adopted and found to be in compliance with State housing element law  Any programs which the City was given conditional certification for need to be completed (Housing Element Programs 10a, 10b and 11  The Housing Element was adopted and found to be in conditional compliance with State housing element law  The ordinance regarding new and amnesty ADUs was adopted in late 2012  Work needs to be completed for the liveaboard commitment  Zoning Ordinance Amendment completed to permit emergency shelters without discretionary action (Housing Element Program 21)  Needs to be done  Zoning Ordinance Amendment completed to permit transitional and supportive housing as a residential use and only subject to those restrictions that apply to other residential dwellings of the same type in the same zone (Housing Element Program 21)  Needs to be done  Zoning Ordinance Amendment completed to authorize reasonable accessibility accommodations with respect the zoning, permit processing and building regulations(Housing Element Program 25)  Zoning Ordinance Amendment completed to update the current density bonus provisions in the Zoning Ordinance (Housing Element Program 19) Status

PENALTY FOR NON-COMPLIANCE Housing Element Due: January 31, 2015 Non-compliance: – 8 year cycle to four year cycle – Two updates: January 31, 2019 January 31, 2023 – Not eligible for streamlined review Additional staff/consultant time

CONSULTANT ASSISTANCE 16 Months to Complete: 4 major Zoning Ordinance amendments Finalizing the liveaboard work Updating the Housing Element

CONSULTANT ASSISTANCE M-Group Proposal Phase 1: Zoning Ordinance Amendments/ Liveaboard work Phase 2: Housing Element Update Council Engagement Council/Planning Commission subcommittee review Optional Legislative Committee review Council check-in prior to Planning Commission review Community Engagement Two Workshops

Phase 1: Zoning Ordinance Amendments City Council and Planning Commission Subcommittee review of Zoning Ordinance Amendments Community Workshop: Housing Element and Zoning Ordinance Amendments City Council reviews draft Zoning Ordinance Amendments Planning Commission hearing on draft Zoning Ordinance Amendments; makes recommendation City Council hearing on draft Zoning Ordinance Amendments; takes action Option for Subcommittee and/or Legislative Meeting(s) Option for Legislative Meeting(s) Option for Subcommittee and/or Legislative Meeting(s)

Phase 2: Housing Element Update City Council and Planning Commission Subcommittee review of draft Housing Element Community Workshop: Housing Element City Council reviews draft Housing Element Planning Commission hearing on draft Housing Element City Council hearing on draft Housing Element HCD reviews Draft Housing Element (Streamlined) City Council hearing on draft Housing Element; takes action Option for Subcommittee and/or Legislative Meeting(s) Option for Legislative Meeting(s) Option for Subcommittee and/or Legislative Meeting(s)

FISCAL IMPACT M-Group Proposal: $88,150 Fixed costs for both Phases 2 subcommittee meetings 2 community workshops 4 Planning Commission meetings 7 seven City Council meetings Buffer: 10% of contract amount ($8,850) for additional meetings Reallocation of FY Budget $75,000 allocated for the Downtown Historic District National Register Nomination; and $22,000 allocated for Other Planning Projects

STAFF RECOMMENDATION 1.Appoint one Councilmember to a City Council/Planning Commission subcommittee to work with staff on preparation of the Zoning Ordinance amendments and Housing Element Update and; 2.Re-allocate funding in the FY Budget to the Housing Element Implementation and Update project from the following projects:  $75,000 from the Downtown Historic District National Register Nomination; and  $22,000 from Other Planning Projects. 3.Authorize the City Manager to Execute a Professional Services Agreement with M-Group in the amount of $88,150 for the Implementation of Housing Element and Update of Housing Element with an approximate 10% contingency for an approved budget of $97,000.