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HomeMy WebLinkAboutItem 4 - Authorization to submit an application for Local Early Action Planning (LEAP) Grant Program Department Name: Community Development Cost Center: 4008 For Agenda of: April 7, 2020 Placement: Consent Estimated Time: NA FROM: Michael Codron, Community Development Director Prepared By: Rachel Cohen, Associate Planner SUBJECT: AUTHORIZATION TO SUBMIT AN APPLICATION FOR LOCAL EARLY ACTION PLANNING (LEAP) GRANTS PROGRAM RECOMMENDATION Approve a Resolution authorizing an application for Local Early Action Planning (LEAP) Grants program to the California Department of Housing and Community Development. DISCUSSION Background On January 27, 2020, the California Department of Housing and Community Development (HCD) released a Notice of Funding Availability (NOFA) for approximately $119,040,000 as part of the Local Early Action Planning Grants Program (LEAP or Program). LEAP is made available as a portion of the Local Government Planning Support Grants Program pursuant to Chapter 3.1 of Health and Safety Code (Sections 50515 to 50515.05) (Chapter 159, Statutes of 2019). LEAP provides funding to jurisdictions for the preparation and adoption of planning documents, process improvements that accelerate housing production, and facilitate compliance in implementing the sixth cycle of the regional housing need assessment (RHNA). LEAP is part of the broader program formerly known as the Local Government Planning Support Grants Program, which was established as part of the 2019-20 Budget Act. The 2019-20 Budget Act provides a spectrum of support, incentives, resources and accountability to meet California’s housing goals. Some specific elements include: • Planning Support (local and regional planning grants) • Incentives (Pro-housing preference and infill incentive grants) • Funding Resources • Accountability (penalties for noncompliant housing plans) • Reform (collaborative processes to reform regional housing needs) The Local Government Planning Support Grants Program provides one-time grant funding to regions and jurisdictions for technical assistance, preparation and adoption of planning documents, and process improvements. The over-arching goals of the program are to (1) accelerate housing production; and (2) facilitate compliance to implement the sixth cycle of the RHNA. Item 4 Packet Page 23 The program will provide grants through a non-competitive, over-the-counter process to eligible local governments that have met specific requirements. The City of San Luis Obispo (City) is eligible for funding as it has met these specific requirements. One of the required attachments in the LEAP Application (Attachment A) is to provide a signed resolution (Attachment B) from the local jurisdiction’s governing body, to authorize the submittal of the application to HCD. Policy Context Seeking alternative funding sources and applying to available grant opportunities is a theme commonly referenced throughout the City’s Housing Element (HE). HE Goal 6 is Housing Production, which specifically states “Plan for new housing to meet the full range of community housing needs.” HE Program 6.20 states, “Continue to financially assist in the development of housing affordable to extremely-low, very-low, low or moderate income households during the planning period using State, Federal and local funding sources, with funding priority given to projects that result in the maximum housing benefits for the lowest household income levels.” These align with the purpose of the LEAP grant, as it is intended to help local governments with a variety of housing programs, including updating the Housing Element. The Housing Element update will implement and facilitate compliance with the sixth cycle RHNA. This activity is consistent with the Council’s adopted 2019-21 Major City Goal for Housing. This activity, planning for housing production, is presently allowed under the State and Local emergency orders associated with COVID-19. Public Engagement As this is authorization to apply for grant funding, no public engagement is required. However, if the City is awarded funds for program(s) to support future housing production, public engagement may be required. ENVIRONMENTAL REVIEW The California Environmental Quality Act does not apply to the recommended action in this report, because the action does not constitute a “Project” under CEQA Guidelines Sec. 15378. FISCAL IMPACT Budgeted: No Budget Year: 2019-2020 Funding Identified: Yes Item 4 Packet Page 24 Fiscal Analysis: Funding Sources Current FY Cost Annualized On-going Cost Total Project Cost General Fund $25,000 to $150,000 State Federal Fees Other: Total $25,000 to $150,000 HCD has determined available funding allocations for public jurisdictions based on population size. The City of San Luis Obispo is eligible to receive a minimum of $25,000 but can apply for a maximum of $150,000. City staff intends on applying for the maximum amount of $150,000 for implementation of the 2019-21 Financial Plan Housing Major City Goal work program, specifically updating the Housing Element. If awarded, this grant will have a positive fiscal impact, as it will reduce the fiscal burden on the General Fund to fund the Housing Element update. ALTERNATIVES Continue the recommendation to a later meeting. This alternative is not recommended as the funding will be available as early as this summer, which would allow City staff to begin reimbursement of work related to updating the Housing Element. Attachments: a - LEAP Grant Application b - Draft Resolution Item 4 Packet Page 25 Local Early Action Planning Grant Application State of California Governor Gavin Newsom Alexis Podesta, Secretary Business, Consumer Services and Housing Agency Doug McCauley, Acting Director Department of Housing and Community Development Zachary Olmsted, Deputy Director Department of Housing and Community Development Housing Policy Development 2020 West El Camino, Suite 500 Sacramento, CA 95833 Website: https://www.hcd.ca.gov/grants-funding/active-funding/leap.shtml Email: EarlyActionPlanning@hcd.ca.gov January 27, 2020 Item 4 Packet Page 26 LEAP Application Packaging Instructions The applicant is applying to the Department of Housing and Community Development (Department) for a grant authorized underneath the Local Early Action Planning Grants (LEAP) provisions pursuant to Health and Safety Code Sections 50515 through 50515.05. LEAP provides funding to jurisdictions for the preparation and adoption of planning documents, process improvements that accelerate housing production and facilitate compliance in implementing the sixth cycle of the regional housing need assessment. If you have questions regarding this application or LEAP, email earlyactionplanning@hcd.ca.gov. If approved for funding, the LEAP application is incorporated as part of your Standard Agreement with the Department. In order to be considered for funding, all sections of this application, including attachments and exhibits if required, must be complete and accurate. All applicants must submit a complete, signed, original application package and digital copy on CD or USB flash drive to the Department and postmarked by the specified due date in the NOFA. Applicants will demonstrate consistency with LEAP requirements by utilizing the following forms and manner prescribed in this application. o Pages 3 through 14 constitute the full application (save paper, print only what is needed) o Attachment 1: Project Timeline and Budget: Including high-level tasks, sub-tasks, begin and end dates, budgeted amounts, deliverables, and adoption and implementation dates. o Attachment 2: Nexus to Accelerating Housing Production o Attachment 3: State and Other Planning Priorities o Attachment 4: Required Resolution Template o Government Agency Taxpayer ID Form (available as a download from the LEAP webpage located at https://www.hcd.ca.gov/grants-funding/active-funding/leap.shtml o If the applicant is partnering with another local government or other entity, include a copy of the legally binding agreement; and o Supporting documentation (e.g., letters of support, scope of work, project timelines, etc.) Pursuant to Section XII of the LEAP 2020 Notice of Funding Availability (NOFA), the application package must be postmarked on or before July 1, 2020, and received by the Department at the following address: Department of Housing and Community Development Division of Housing Policy Development 2020 West El Camino Ave, Suite 500 Sacramento, CA 95833 LEAP NOFA Application Rev. 1/24/2020 Page 2 of 14 Item 4 Packet Page 27 A.Applicant Information and Certification Applicant (Jurisdiction) Applicant’s Agency Type Applicant’s Mailing Address City State California Zip Code County Website Authorized Representative Name Authorized Representative Title Phone Fax Email Contact Person Name Contact Person Title Phone Fax Email Proposed Grant Amount $ Pursuant to Health and Safety Code Section 50515.03 through (d) of the Guidelines, all applicants must meet the following two requirements to be eligible for an award: 1.Does the application demonstrate a nexus to accelerating housing production as shown in Attachment 1?Yes No 2.Does the application demonstrate that the applicant is consistent with State Planning or Other Priorities; Attachment 2?Yes No Is a fully executed resolution included with the application package? Yes No Does the address on the Government Agency Taxpayer ID Form exactly match the address listed above? Yes No Is the applicant partnering with another eligible local government entity? If Yes, provide a fully executed copy of the legally binding agreement. Yes No As the official designated by the governing body, I hereby certify that if approved by HCD for funding through the Local Early Action Planning Program (LEAP), the assumes the responsibilities specified in the Notice of Funding Availability and certifies that the information, statements and other contents contained in this application are true and correct. Signature: Name: Date: Title: LEAP NOFA Application Rev. 1/24/2020 Page 3 of 14 Item 4 Packet Page 28 B.Proposed Activities Checklist Check all activities the locality is undertaking. Activities must match the project description. 1 Rezoning and encouraging development by updating planning documents and zoning ordinances, such as general plans, community plans, specific plans, implementation of sustainable communities’ strategies, and local coastal programs 2 Completing environmental clearance to eliminate the need for project-specific review 3 Establishing housing incentive zones or other area based housing incentives beyond State Density Bonus Law such as a workforce housing opportunity zone pursuant to Article 10.10 (commencing with Section 65620) of Chapter 3 of Division 1 of Title 7 of the Government Code or a housing sustainability district pursuant to Chapter 11 (commencing with Section 66200) of Division 1 of Title 7 of the Government Code 4 Performing infrastructure planning, including for sewers, water systems, transit, roads, or other public facilities necessary to support new housing and new residents 5 Planning documents to promote development of publicly owned land such as partnering with other local entities to identify and prepare excess or surplus property for residential development 6 Revamping local planning processes to speed up housing production 7 Developing or improving an accessory dwelling unit ordinance in compliance with Section 65852.2 of the Government Code 8 Planning documents for a smaller geography (less than jurisdiction-wide) with a significant impact on housing production including an overlay district, project level specific plan, or development standards modifications proposed for significant areas of a locality, such as corridors, downtown or priority growth areas 9 Rezoning to meet requirements pursuant to Government Code Section 65583(c)(1) and other rezoning efforts to comply with housing element requirements, including Government Code Section 65583.2(c) (AB 1397, Statutes of 2018) 10 Upzoning or other implementation measures to intensify land use patterns in strategic locations such as close proximity to transit, jobs or other amenities 11 Rezoning for multifamily housing in high resource areas (according to Tax Credit Allocation Committee/Housing Community Development Opportunity Area Maps); Establishing Pre-approved architectural and site plans 12 Preparing and adopting housing elements of the general plan that include an implementation component to facilitate compliance with the sixth cycle RHNA 13 Adopting planning documents to coordinate with suballocations under Regional Early Action Planning Grants (REAP) that accommodate the development of housing and infrastructure and accelerate housing production in a way that aligns with state planning priorities, housing, transportation equity and climate goals, including hazard mitigation or climate adaptation 14 Zoning for by-right supportive housing, pursuant to Government Code section 65651 (Chapter 753, Statutes of 2018) 15 Zoning incentives for housing for persons with special needs, including persons with developmental disabilities 16 Planning documents related to carrying out a local or regional housing trust fund 17 Environmental hazard assessments; data collection on permit tracking; feasibility studies, site analysis, or other background studies that are ancillary (e.g., less than 15% of the total grant amount) and part of a proposed activity with a nexus to accelerating housing production 18 Other planning documents or process improvements that demonstrate an increase in housing related planning activities and facilitate accelerating housing production 19 Establishing Prohousing Policies LEAP NOFA Application Rev. 1/24/2020 Page 4 of 14 Item 4 Packet Page 29 C.Project Description Provide a description of the project and each activity using the method outlined below, and ensure the narrative speaks to Attachment 1: Project Timeline and Budget. a.Summary of the Project and its impact on accelerating production b.Description of the tasks and major sub-tasks c.Summary of the plans for adoption or implementation Please be succinct and use Appendix A or B if more room is needed. LEAP NOFA Application Rev. 1/24/2020 Page 5 of 14 Item 4 Packet Page 30 D.Legislative Information District # Legislator Name Federal Congressional District State Assembly District State Senate District Applicants can find their respective State Senate representatives at https://www.senate.ca.gov/, and their respective State Assembly representatives at https://www.assembly.ca.gov/. LEAP NOFA Application Rev. 1/24/2020 Page 6 of 14 Item 4 Packet Page 31 Attachment 1: Project Timeline and Budget Task Est. Cost Begin End Deliverable Notes Total Projected Cost $ Include high-level tasks, major sub-tasks (Drafting, Outreach, Public Hearings and Adoption), budget amounts, begin and end dates and deliverables. If other funding is used, please note the source and amount in the Notes section. LEAP NOFA Application Rev. 1/24/2020 Page 7 of 14 Item 4 Packet Page 32 Attachment 2: Application Nexus to Accelerating Housing Production Applicants shall demonstrate how the application includes a nexus to accelerating housing production by providing data regarding current baseline conditions and projected outcomes such as a reduction in timing, lower development costs, increased approval certainty, increases in number of entitlements, more feasibility, or increases in capacity. An expected outcome should be provided for each proposed deliverable. If necessary, use Appendix B to explain the activity and its nexus to accelerating housing production. Select at least one *Baseline **Projected ***Difference Notes Timing (e.g., reduced number of processing days) Development cost (e.g., land, fees, financing, construction costs per unit) Approval certainty and reduction in discretionary review (e.g., prior versusproposed standard and level of discretion) Entitlement streamlining (e.g., number of approvals) Feasibility of development Infrastructure capacity (e.g., number of units) Impact on housing supply and affordability (e.g., number of units) *Baseline – Current conditions in the jurisdiction (e.g. 6-month development application review, or existing number of units in a planning area) **Projected – Expected conditions in the jurisdiction because of the planning grant actions (e.g. 2-month development application review) ***Difference – Potential change resulting from the planning grant actions (e.g., 4-month acceleration in permitting, creating a more expedient development process) LEAP NOFA Application Rev. 1/24/2020 Page 8 of 14 Item 4 Packet Page 33 Attachment 3: State and Other Planning Priorities Certification (Page 1 of 3) Applicants must demonstrate that the locality is consistent with State Planning or Other Planning Priorities by selecting from the list below activities that are proposed as part of this application or were completed within the last five years. Briefly summarize the activity and insert a date of completion. State Planning Priorities Date of Completion Brief Description of the Action Taken Promote Infill and Equity Rehabilitating, maintaining, and improving existing infrastructure that supports infill development and appropriate reuse and redevelopment of previously developed, underutilized land that is presently served by transit, streets, water, sewer, and other essential services, particularly in underserved areas. Seek or utilize funding or support strategies to facilitate opportunities for infill development. Other (describe how this meets subarea objective) Promote Resource Protection Protecting, preserving, and enhancing the state’s most valuable natural resources, including working landscapes such as farm, range, and forest lands; natural lands such as wetlands, watersheds, wildlife habitats, and other wildlands; recreation lands such as parks, trails, greenbelts, and other open space; and landscapes with locally unique features and areas identified by the state as deserving special protection. Actively seek a variety of funding opportunities to promote resource protection in underserved communities. Other (describe how this meets subarea objective) Encourage Efficient Development Patterns Ensuring that any infrastructure associated with development, other than infill development, supports new development that does the following: (1) Uses land efficiently. LEAP NOFA Application Rev. 1/24/2020 Page 9 of 14 Item 4 Packet Page 34 Attachment 3: State and Other Planning Priorities Certification (Page 2 of 3) (2) Is built adjacent to existing developed areas to the extent consistent with environmental protection. (3) Is located in an area appropriately planned for growth. (4) Is served by adequate transportation and other essential utilities and services. (5) Minimizes ongoing costs to taxpayers. Other (describe how this meets subarea objective) Other Planning Priorities Affordability and Housing Choices Incentives and other mechanisms beyond State Density Bonus Law to encourage housing with affordability terms. Efforts beyond state law to promote accessory dwelling units or other strategies to intensify single- family neighborhoods with more housing choices and affordability. Upzoning or other zoning modifications to promote a variety of housing choices and densities. Utilizing surplus lands to promote affordable housing choices. Efforts to address infrastructure deficiencies in disadvantaged communities pursuant to Government Code Section 65302.10. Other (describe how this meets subarea objective) LEAP NOFA Application Rev. 1/24/2020 Page 10 of 14 Item 4 Packet Page 35 Attachment 3: State and Other Planning Priorities Certification (Page 3 of 3) Conservation of Existing Affordable Housing Stock Policies, programs or ordinances to conserve stock such as an at-risk preservation ordinance, mobilehome park overlay zone, condominium conversion ordinance and acquisition and rehabilitation of market rate housing programs. Policies, programs and ordinances to protect and support tenants such as rent stabilization, anti- displacement strategies, first right of refusal policies, resources to assist tenant organization and education and “just cause” eviction policies. Other (describe how this meets subarea objective) Climate Adaptation Building standards, zoning and site planning requirements that address flood and fire safety, climate adaptation and hazard mitigation. Long-term planning that addresses wildfire, land use for disadvantaged communities, and flood and local hazard mitigation. Community engagement that provides information and consultation through a variety of methods such as meetings, workshops, and surveys and that focuses on vulnerable populations (e.g., seniors, people with disabilities, homeless, etc.). Other (describe how this meets subarea objective) Certification: I certify under penalty of perjury that all information contained in this LEAP State Planning and Other Planning Priorities certification form (Attachment 2) is true and correct. Certifying Officials Name: Certifying Official’s Title: Certifying Official’s Signature: Date: LEAP NOFA Application Rev. 1/24/2020 Page 11 of 14 Item 4 Packet Page 36 Attachment 4: Required Resolution Template RESOLUTION NO. [insert resolution number] A RESOLUTION OF THE [INSERT EITHER “CITY COUNCIL” OR “COUNTY BOARD OF SUPERVISORS”] OF [INSERT THE NAME OF THE CITY OR COUNTY] AUTHORIZING APPLICATION FOR, AND RECEIPT OF, LOCAL GOVERNMENT PLANNING SUPPORT GRANT PROGRAM FUNDS WHEREAS, pursuant to Health and Safety Code 50515 et. Seq, the Department of Housing and Community Development (Department) is authorized to issue a Notice of Funding Availability (NOFA) as part of the Local Government Planning Support Grants Program (hereinafter referred to by the Department as the Local Early Action Planning Grants program or LEAP); and WHEREAS, the [insert either “City Council” or “County Board of Supervisors”] of [insert the name of the City or County] desires to submit a LEAP grant application package (“Application”), on the forms provided by the Department, for approval of grant funding for projects that assist in the preparation and adoption of planning documents and process improvements that accelerate housing production and facilitate compliance to implement the sixth cycle of the regional housing need assessment; and WHEREAS, the Department has issued a NOFA and Application on January 27, 2020 in the amount of $119,040,000 for assistance to all California Jurisdictions; Now, therefore, the [insert either “City Council” or “County Board of Supervisors”] of [insert the name of the city or county] (“Applicant”) resolves as follows: SECTION 1. The [insert the authorized designee’s TITLE ONLY] is hereby authorized and directed to apply for and submit to the Department the Application package; SECTION 2. In connection with the LEAP grant, if the Application is approved by the Department, the [insert the authorized designee’s TITLE ONLY] of the [insert the name of the City or County] is authorized to submit the Application, enter into, execute, and deliver on behalf of the Applicant, a State of California Agreement (Standard Agreement) for the amount of [$ enter the dollar amount of the Applicant’s request], and any and all other documents required or deemed necessary or appropriate to evidence and secure the LEAP grant, the Applicant’s obligations related thereto, and all amendments thereto; and SECTION 3. The Applicant shall be subject to the terms and conditions as specified in the NOFA, and the Standard Agreement provided by the Department after approval. The Application and any and all accompanying documents are incorporated in full as part of the Standard Agreement. Any and all activities funded, information provided, and timelines represented in the Application will be enforceable through the fully executed Standard Agreement. Pursuant to the NOFA and in conjunction with the terms of the Standard Agreement, the Applicant hereby agrees to use the funds for eligible uses and allowable expenditures in the manner presented and specifically identified in the approved Application. ADOPTED ON [insert the date of adoption], by the [insert either “City Council” or “County Board of Supervisors”] of [insert the name of the City or County] by the following vote count: AYES: NOES: ABSENT: ABSTAIN: ATTEST: APPROVED AS TO FORM: [Signature of Attesting Officer] ___________________________________________APPROVED [Signature of approval] LEAP NOFA Application Rev. 1/24/2020 Page 12 of 14 Item 4 Packet Page 37 Appendix A LEAP NOFA Application Rev. 1/24/2020 Page 13 of 14 Item 4 Packet Page 38 Appendix B LEAP NOFA Application Rev. 1/24/2020 Page 14 of 14 Item 4 Packet Page 39 R ______ RESOLUTION NO. _____ (2020 SERIES) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, AUTHORIZING APPLICATION FOR, AND RECEIPT OF, LOCAL EARLY ACTION PLANNING (LEAP) GRANTS PROGRAM WHEREAS, pursuant to Health and Safety Code 50515 et. Seq, the Department of Housing and Community Development (HCD) is authorized to issue a Notice of Funding Availability (NOFA) as part of the Local Government Planning Support Grants Program (hereinafter referred to by the Department as the Local Early Action Planning Grants program or LEAP); and WHEREAS, the City Council of San Luis Obispo desires to submit a LEAP grant application package (“Application”), on the forms provided by the HCD, for approval of grant funding for projects that assist in the preparation and adoption of planning documents and process improvements that accelerate housing production and facilitate compliance to implement the sixth cycle of the regional housing need assessment; and WHEREAS, the HCD has issued a NOFA and Application on January 27, 2020 in the amount of $119,040,000 for assistance to all California Jurisdictions. NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: SECTION 1. The City Council is hereby authorizes and directs City staff to apply for and submit to the HCD the Application package; and SECTION 2. In connection with the LEAP grant, if the Application is approved by the HCD, the City Council, acting through its Community Development Director, is authorized to submit the Application, enter into, execute, and deliver on behalf of the City, a State of California Agreement (Standard Agreement) for the amount of $150,000, and any and all other documents required or deemed necessary or appropriate to evidence and secure the LEAP grant, the City’s obligations related thereto, and all amendments thereto; and SECTION 3. The City shall be subject to the terms and conditions as specified in the NOFA, and the Standard Agreement provided by the HCD after approval. The Application and any and all accompanying documents are incorporated in full as part of the Standard Agreement. Any and all activities funded, information provided, and timelines represented in the Application will be enforceable through the fully executed Standard Agreement. Pursuant to the NOFA and in conjunction with the terms of the Standard Agreement, the City hereby agrees to use the funds for eligible uses and allowable expenditures in the manner presented and specifically identified in the approved Application. Item 4 Packet Page 40 Resolution No. _____ (2020 Series) Page 2 R ______ SECTION 4. The City Community Development Director or his designee is authorized and directed to execute the City’s LEAP application, the LEAP documents, and any amendments thereto, on behalf of the City as required by HCD for receipt of the LEAP Grants Program. Upon motion of _______________________, seconded by _______________________, and on the following roll call vote: AYES: NOES: ABSENT: The foregoing resolution was adopted this 7th day of April 2020. ____________________________________ Mayor Heidi Harmon ATTEST: ____________________________________ Teresa Purrington City Clerk APPROVED AS TO FORM: _____________________________________ J. Christine Dietrick City Attorney IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo, California, on ______________________. ____________________________________ Teresa Purrington City Clerk Item 4 Packet Page 41 Page intentionally left blank. Item 4 Packet Page 42