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HomeMy WebLinkAboutItem 5j. Authorization to submit a Prohousing Designation Program Application Item 5j Department: Community Development Cost Center: 4003 For Agenda of: 6/20/2023 Placement: Consent Estimated Time: N/A FROM: Michael Codron, Community Development Director Prepared By: Kyle Bell, Housing Coordinator & Ryan Tomlinson, CDD Intern SUBJECT: PROHOUSING DESIGNATION PROGRAM APPLICATION RECOMMENDATION Adopt a Draft Resolution entitled, “A Resolution of the City Council of the City of San Luis Obispo, California, authorizing application to and participation in the Proho using Designation Program” authorizing the City Manager to: 1. Submit a Prohousing Designation Program application to the California Department of Housing and Community Development (HCD); and if the application is approved by HCD, 2. Execute all documents deemed necessary or appropriate to participate in the Prohousing Designation Program. POLICY CONTEXT The City of San Luis Obispo's two-year budget approach has a long tradition of involving the community in its goal-setting process, emphasizing long-range financial planning, and supporting effective program management. As part of the 2021-23 Financial Plan and the now adopted 23-25 Financial Plan, the City Council established four Major City Goals for the City to address within the two-year financial plan cycle. One of the Major City Goals that was established was for Housing and Homelessness which states: “In order to expand housing options for all, continue to facilitate the production of housing, including the necessary supporting infrastructure, with an emphasis on affordable and workforce housing…” The Prohousing Designation Program is consistent with the City’s policies established in the City’s General Plan Housing Element, including: Program 6.17. Financially assist in the development of 20 housing units per year that are affordable to extremely low, very-low, low- and 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. Page 645 of 802 Item 5j Program 8.20. Actively seek and collaborate with non-profit housing providers to (jointly) apply for two revenue sources each year during the planning period for State, Federal, and local funding sources to financially assist with the development of housing for persons with developmental disabilities. DISCUSSION The City of San Luis Obispo has an opportunity to become one of the Prohousing Designation jurisdictions in the State – gaining a competitive advantage for critical grant funding and sending a strong signal to the housing development community statewide that the City of San Luis Obispo is focused on meeting its housing production goals. In 2019, as part of the 2019-2020 Budget Act, Assembly Bill 101 established the Prohousing Designation Program (PDP) administered by the California Department of Housing and Community Development (HCD). The PDP creates incentives for jurisdictions that are compliant with housing laws, housing element requirements, and have enacted local policies that go beyond existing housing law. Jurisdictions awarded a Prohousing Designation will receive a competitive advantage for critical affordable housing and infrastructure grant programs, including:  Affordable Housing & Sustainable Communities (AHSC)  Infill Infrastructure Grant (IIG)  Transformative Climate Communities (TCC)   Solutions for Congested Corridors  Local Partnership Program  Transit and Intercity Rail Capital Program (TIRCP)  Pro Housing Designation (PDP) Overview HCD’s review and consideration for designating jurisdictions include the following: A. The Jurisdiction’s actions to facilitate the planning, approval, or construction of a variety of housing types (e.g., increasing zoned capacity for supply, facilitating affordability for all income levels, removing regulatory barriers to development, and streamlining approval). Such action should be balanced by the Jurisdiction’s equal efforts to prevent displacement, preserve existing affordable housing, and establish tenant protections. B. The Jurisdiction’s accomplishment of integrated planning and development consistent with the state planning priorities set forth at Government Code section 65041.1 and/or the regional transportation plan adopted by the relevant transportation agency pursuant to Government Code sections 65080 and 65080.01. The Jurisdiction may accomplish this outcome through various actions, including, but not limited to, the facilitation of Location Efficient Communities that reduce auto dependence and Vehicles Miles Traveled (VMT), and that are consistent with climate change priorities (e.g., climate change adaptation and hazard mitigation). Page 646 of 802 Item 5j C. The Jurisdiction’s meaningful actions to foster inclusive and equitable communities with adequate, affordable, and accessible housing and transportation infrastructure pursuant to Government Code Section 8899.50. D. The Jurisdiction’s collaboration with public entities to align policies and programs, and with private entities to implement policies and to leverage funding and other resources. E. The Jurisdiction’s compliance with established housing law and recent housing reform statutes (e.g., the Housing Accountability Act, the Streamlined Ministerial Approval Process (SB 35), and the Housing Crisis Act of 2019 (SB 8)). The application will ascribe points using four scoring categories. Applicants shall demonstrate that they have enacted or proposed at least one policy that significantly contributes to the acceleration of housing production in each of the four categories as outlined in Attachment B. A Prohousing Designation requires a total score of 30 points or more across all four categories: (1) Favorable Zoning and Land Use (18 possible points). Examples include allowing duplexes, triplexes, and fourplexes by right in single -unit dwelling zones, going beyond the State Density Bonus Law, going beyond State law for Accessory Dwelling Units (ADUs), eliminating off-street parking requirements, and allowing residential land uses in non-residential zones. (2) Acceleration of Housing Production Timeframes (19 possible points). Examples include ministerial approval processes for a variety of housing types, streamlined environmental review processes, streamlined permitting processes, and reduced plan check times. (3) Reduction of Construction and Development Costs (11 possible points). Examples include deferred, reduced, or waived impact fees1 and pre-approved plans for ADUs and missing middle housing types. (4) Providing Financial Subsidies (12 possible points). Examples include participating with a local housing trust fund, offering surplus City-owned land for affordable housing development, and prioritization of local general funds for affordable housing. 1 The City cannot waive Development impact Fees per se and any fees that are not within the reasonable nexus of mitigating impacts must be offset by other revenue sources. The City generally reduced Transportation Impact Fees by 25% which required the General Fund to backfill to otherwise have a fee program that met the requirements of the Mitigation Fee Act. Page 647 of 802 Item 5j Staff has completed a summary of the City’s compliance with each of the four categories, with a score of 43 points, plus 19 enhancement factor points, resulting in a total s core of 62 points (Attachment C). Once the application is released, HCD has 60 days from the time the application is submitted to issue preliminary findings to the City. The City has 15 days to provide a written response to HCD. HCD then has 60 days to iss ue a final determination of the designation as a Prohousing Jurisdiction. Public Engagement Public notice of this hearing has been published in a widely circulated local newspaper, and hearing agendas for this meeting have been posted at City Hall, consistent with adopted notification procedures. Public comment on the item can be provided to the City Council through written correspondence prior to the meeting and through public testimony at the meeting. CONCURRENCE The Prohousing Designation Application was compiled with input from multiple City Departments including the Planning Division, Housing Team, Building Division, engineering Division, and the Transportation Division . ENVIRONMENTAL REVIEW The proposed report contemplates the receipt of State designation and will not result in a significant effect on the environment. Future projects that utilize grant funding will undergo CEQA review. (CEQA Guidelines sections 15061(b)(3) (the common-sense exemption); 15378(b)(4) (the creation of government funding mechanisms). FISCAL IMPACT Budgeted: n/a Budget Year: 2022-23 Funding Identified: n/a Fiscal Analysis: Funding Sources Total Budget Available Current Funding Request Remaining Balance Annual Ongoing Cost General Fund $ $ $ $ State Federal Fees Other: Total $ $ $ $ There are no fiscal impacts (costs) directly related to this item. Local governments with Prohousing Designation are eligible to apply for new Prohousing Incentive Program grant funding, such as the $26 million state investment from the Building Homes and Jobs Trust Fund. Page 648 of 802 Item 5j ALTERNATIVES Deny the Project. Council could direct staff not to pursue the Prohousing Designation Program. ATTACHMENTS A - Draft Resolution authorizing an application to the Prohousing Designation Program B - Prohousing Designation Application C - Prohousing Compliance Summary Page 649 of 802 Page 650 of 802 R ______ RESOLUTION NO. ______ (2023 SERIES) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, AUTHORIZING APPLICATION TO AND PARTICIPATION IN THE PROHOUSING DESIGNATION PROGRAM WHEREAS, Government Code section 65589.9 established the Prohousing Designation Program (“PDP” or “Program”), which creates incentives for jurisdictions that are compliant with state housing element requirements and that have enacted Prohousing local policies; and WHEREAS, such jurisdictions will be designated Prohousing, and, as such, will receive additional points or other preference during the scoring of their competitive applications for specified housing and infrastructure funding; and WHEREAS, the Department of Housing and Community Development (“Department”) has adopted emergency regulations (Cal. Code Regs., tit. 25, § 6600 et seq.) to implement the Program (“Program Regulations”), as authorized by Government Code section 65589.9, subdivision (d); and WHEREAS, the City of San Luis Obispo desires to submit an application for a Prohousing Designation (“Application”). NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of San Luis Obispo as follows: SECTION 1. The City of San Luis Obispo is hereby authorized and directed to submit an Application to the Department. SECTION 2. The City of San Luis Obispo acknowledges and confirms that it is currently in compliance with applicable state housing law. SECTION 3. The City of San Luis Obispo acknowledges and confirms that it will continue to comply with applicable housing laws and refrain from enacting laws, developing policies, or taking other local governmental actions that may or do inhibit or constrain housing production. Examples of such local laws, policies, and actions include moratoriums on development; local voter approval requirements related to housing production; downzoning; and unduly restrictive or onerous zoning regulations, development standards, or permit procedures. SECTION 4. The City of San Luis Obispo further acknowledges and confirms that it commits itself to affirmatively furthering fair housing pursuant to Government Code section 8899.50. Page 651 of 802 Resolution No. _______ (2023 Series) Page 2 R _______ SECTION 5. If the Application is approved, the City of San Luis Obispo is hereby authorized and directed to enter into, execute, and deliver all documents required or deemed necessary or appropriate to participate in the Program, and all amendments thereto (the “Program Documents”). SECTION 6. The City of San Luis Obispo acknowledges and agrees that it shall be subject to the Application; the terms and conditions specified in the Program Documents; the Program Regulations; and any and all other applicable laws. SECTION 7. The City Manager is authorized to execute and deliver the Application and the Program Documents on behalf of the City of San Luis Obispo for participation in the Program. Upon motion by______________, seconded by ______________, and on the following roll call vote: AYES: NOES: ABSENT: The foregoing resolution was adopted this ______ day of _________ 2023. ___________________________ Mayor Erica A. Stewart 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 Page 652 of 802 Prohousing Designation Program Application State of California Governor Gavin Newsom Lourdes Castro Ramírez, Secretary Business, Consumer Services and Housing Agency Gustavo Velasquez, Director Department of Housing and Community Development Megan Kirkeby, Deputy Director Division of Housing Policy Development 2020 West El Camino, Suite 500 Sacramento, CA 95833 Website: https://www.hcd.ca.gov/community-development/prohousing Email: ProhousingPolicies@hcd.ca.gov July 2021 Page 653 of 802 Prohousing Designation Program Application Package Instructions The applicant is applying for a Prohousing Designation under the Prohousing Designation Program (“Prohousing” or “Program”), which is administered by the Department of Housing and Community Development (“Department”) pursuant to Government Code section 65589.9. The Program creates incentives for Jurisdictions that are compliant with Housing Element requirements and that have enacted Prohousing Policies. These incentives will take the form of additional points or other preference in the scoring of applications for competitive housing and infrastructure programs. The administrators of each such program will determine the value and form of the preference. In order to be considered for a Prohousing Designation, the applicant must accurately complete all sections of this application, including any relevant appendices. The Department reserves the right to request additional clarifying information from the applicant. This application is subject to Government Code section 65589.9, and to the regulations (Cal. Code Regs., tit. 25, § 6600 et seq.) adopted by the Department in promulgation thereof (“Regulations”). All capitalized terms in this application shall have the meanings set forth in Section 6601 of the Regulations. All applicants must submit a complete, signed application package to the Department, in electronic format, in order to be considered for a Prohousing Designation . Please direct electronic copies of the completed application package to the following email address: ProhousingPolicies@hcd.ca.gov. A complete application will include all items identified in the Application Checklist. In relation to Appendix 1, the Formal Resolution for the Prohousing Designation Program, please use strikethrough and underline if proposing any modifications to the text of the Resolution. Appendix 2, the Proposed Policy Completion Schedule, applies only if an application includes proposed policies. Appendix 3, Project Proposal Scoring Sheet and Sample Project Proposal Scoring Sheet, includes a blank template to be completed by the applicant as part of the application, as well as a Sample Project Proposal Scoring Sheet with an example of how this template may be completed. Appendix 4 lists examples of Prohousing Policies with enhancement factors to aid applicants in understanding how enhancement factors may be applied . Appendix 5 is where the applicant will include any additional information and supporting documentation for the application. If you have questions regarding this application or the Program, or if you require technical assistance in preparing this application, please email ProhousingPolicies@hcd.ca.gov. Page 654 of 802 Application Checklist Yes No Application Information ☒ ☐ Certification and Acknowledgement ☐ ☐ The Legislative Information form is completed. ☒ ☐ The Threshold Requirements Checklist is completed. ☒ ☐ A duly adopted and certified Formal Resolution for the Prohousing Designation Program is included in the application package. (See Appendix 1 for the Formal Resolution for the Prohousing Designation Program (New 04/21) form.) ☐ ☐ If applicable, the Proposed Policy Completion Schedule is completed. (See Appendix 2.) ☒ ☐ The Project Proposal Scoring Sheet is completed. (See Appendix 3 for the Project Proposal Scoring Sheet and the Sample Project Proposal Scoring Sheet) ☒ ☐ Additional information and supporting documentation (Applicant to provide as Appendix 5) ☐ ☐ Application Information Applicant (Jurisdiction): City of San Luis Obispo Community Development Department Applicant Mailing Address: 919 Palm Street City: San Luis Obispo, CA ZIP Code: 93401 Website: https://www.slocity.org/government/department- directory/community-development Authorized Representative Name Michael Codron Authorized Representative Title: Director Phone: 805.781.7187 Email: mcodron@slocity.org Contact Person Name: Kyle Bell Contact Person Title: Housing Coordinator Phone: 805.781.7524 Email: KBell@slocity.org Proposed Total Score (Based on Appendix 3): Page 655 of 802 CERTIFICATION AND ACKNOWLEDGMENT As authorized by the Formal Resolution for the Prohousing Designation Program (Resolution No. ), which is attached hereto and incorporated by reference as if set forth in full, I hereby submit this full and complete application on behalf of the applicant. I certify that all information and representations set forth in this application are true and correct. I further certify that any proposed Prohousing Policy identified herein will be enacted within two (2) years of the date of this application submittal. I acknowledge that this application constitutes a public record under the California Public Records Act (Gov. Code, § 6250 et seq.) and is therefore subject to public disclosure by the Department. Signature: _______________________________________ Name and Title: Kyle Bell, Housing Coordinator Date: June 21, 2023 Page 656 of 802 Legislative Information District Number Legislator’s Name Federal Congressional District 24 Salud Carbajal State Assembly District 30 Dawn Addis State Senate District 17 John Laird 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/ Page 657 of 802 Threshold Requirements Checklist The applicant meets the following threshold requirements in accordance with Section 6604 of the Regulations: Yes No The applicant is a Jurisdiction. ☒ ☐ The applicant has adopted a Compliant Housing Element. ☒ ☐ The applicant has submitted or will submit a legally sufficient Annual Progress Report prior to designation. ☒ ☐ The applicant has completed, on or before the relevant statutory deadlines, any rezone program or zoning that is necessary to remain in compliance with Government Code section 65583, subdivision (c)(1). ☐ ☐ The applicant is in compliance, at the time of the application, with applicable state housing law, including, but not limited to, Housing Element Law; “No Net Loss” Law (Gov. Code, § 65863); the Housing Accountability Act (Gov. Code, § 65589.5); State Density Bonus Law (Gov. Code, § 65915 et seq.); laws relating to the imposition of school facilities fees or other requirements (Gov. Code, § 65995 et seq.); Least Cost Zoning Law (Gov. Code, § 65913.1); the Housing Crisis Act of 2019 (Stats. 2019, ch. 654); and antidiscrimination law (Gov. Code, § 65008). ☒ ☐ The applicant has duly adopted and certified a Formal Resolution for the Prohousing Designation Program, which is hereby incorporated by reference. (A true and correct copy of the resolution is included in this application package.) ☐ ☐ Page 658 of 802 Project Proposal Category 1: Favorable Zoning and Land Use Category Prohousing Policy Description Points 1A Sufficient sites, including rezoning, to accommodate 150 percent or greater of the current or draft RHNA, whichever is greater, by total or income category. 3 1B Permitting missing middle housing uses (e.g., duplexes, triplexes, and fourplexes) by right in existing low-density, single-family residential zones. 3 1C Sufficient sites, including rezoning, to accommodate 125 to 149 percent of the current or draft RHNA, whichever is greater, by total or income category. These points shall not be awarded if the applicant earns three points pursuant to Category (1)(A) above. 2 1D Density bonus programs which exceed statutory requirements by 10 percent or more. 2 1E Increasing allowable density in low-density, single-family residential areas beyond the requirements of state Accessory Dwelling Unit law (e.g., permitting more than one ADU or JADU per single-family lot). These policies shall be separate from any qualifying policies under Category (1)(B) above. 2 1F Reducing or eliminating parking requirements for residential development as authorized by Government Code sections 65852.2; adopting vehicular parking ratios that are less than the relevant ratio thresholds at subparagraphs (A), (B), and (C) of Government Code section 65915, subdivision (p)(1); or adopting maximum parking requirements at or less than ratios pursuant to Government Code section 65915, subdivision (p). 2 1G Zoning to allow for residential or mixed uses in one or more non- residential zones (e.g., commercial, light industrial). Qualifying non - residential zones do not include open space or substantially similar zones. 1 1H Modification of development standards and other applicable zoning provisions to promote greater development intensity. Potential areas of focus include floor area ratio; height limits; minimum lot or unit sizes; setbacks; and allowable dwelling units per acre. These policies must be separate from any qualifying policies under Category (1)(B) above. 1 1I Establishment of a Workforce Housing Opportunity Zone, as defined in Government Code section 65620, or a housing sustainability district, as defined in Government Code section 66200. 1 1J Demonstrating other zoning and land use actions that measurably support the Acceleration of Housing Production. 1 Page 659 of 802 Project Proposal Category 2: Acceleration of Housing Production Timeframes Category Prohousing Policy Description Points 2A Establishment of ministerial approval processes for a variety of housing types, including single-family and multifamily housing. 3 2B Establishment of streamlined, program-level CEQA analysis and certification of general plans, community plans, specific plans with accompanying Environmental Impact Reports (EIR), and related documents. 2 2C Documented practice of streamlining housing development at the project level, such as by enabling a by-right approval process or by utilizing statutory and categorical exemptions as authorized by applicable law (Pub. Resources Code, §§ 21155.1, 21155.4, 21159.24, 21159.25; Gov. Code, § 65457; Cal Code Regs., tit. 14, §§ 15303, 15332; Pub. Resources Code, §§ 21094.5, 21099, 21155.2, 21159.28). 2 2D Establishment of permit processes that take less than four months. Policies under this Category (2)(D) must address all approvals necessary to issue building permits. 2 2E Absence or elimination of public hearings for projects consistent with zoning and the general plan. 2 2F Establishment of consolidated or streamlined permit processes that minimize the levels of review and approval required for projects, and that are consistent with zoning regulations and the general plan. 1 2G Absence, elimination or replacement of subjective development and design standards with objective development and design standards that simplify zoning clearance and improve approval certainty and timing. 1 2H Establishment of one-stop-shop permitting processes or a single point of contact where entitlements are coordinated across city approval functions (e.g., planning, public works, building) from entitlement application to certificate of occupancy. 1 2I Priority permit processing or reduced plan check times for ADUs/JADUs, multifamily housing, or homes affordable to lower- or moderate-income households. 1 2J Establishment of a standardized application form for all entitlement applications. 1 2K Practice of publicly posting status updates on project permit approvals on the Internet. 1 2L Limitation on the total number of hearings for any project to three or fewer. Applicants that accrue points pursuant to Category (2)(E) are not eligible for points under this Category (2)(L). 1 2M Demonstration of other actions, not listed above, that quantifiably decrease production timeframes or promote the streamlining of approval processes. 1 Page 660 of 802 Project Proposal Category 3: Reduction of Construction and Development Costs Category Prohousing Policy Description Points 3A Waiver or significant reduction of development impact fees for residential development. 3 3B Adoption of ordinances or implementation of other mechanisms that result in less restrictive requirements than Government Code sections 65852.2 and 65852.22 to reduce barriers for property owners to create ADUs/JADUs. Examples of qualifying policies include, but are not limited to, development standards improvements, permit processing improvements, dedicated ADU/JADU staff, technical assistance programs, and pre-approved ADU/JADU design packages. 2 3C Adoption of other fee reduction strategies separate from Category (3)(A) above, including fee deferrals and reduced fees for housing for persons with special needs. 1 3D Promoting innovative housing types (e.g., manufactured homes, recreational vehicles, park models) that reduce development costs. 1 3E Measures that reduce costs for transportation-related infrastructure or programs that encourage active modes of transportation or other alternatives to automobiles. Qualifying policies include, but are not limited to, publicly funded programs to expand sidewalks or protect bike/micro-mobility lanes; creation of on-street parking for bikes; transit- related improvements; or establishment of carshare programs. 1 3F Adoption of universal design ordinances pursuant to Health and Safety Code section 17959. 1 3G Establishment of pre-approved or prototype plans for missing middle housing types (e.g., duplexes, triplexes, and fourplexes) in low-density, single-family residential areas. 1 3H Demonstration of other actions, not listed above, that quantifiably reduce construction or development costs. 1 Page 661 of 802 Project Proposal Category 4: Providing Financial Subsidies Category Prohousing Policy Description Points 4A Establishment of local housing trust funds or collaboration on a regional housing trust fund. 2 4B Provide grants or low-interest loans for ADU/JADU construction affordable to lower- and moderate-income households. 2 4C A comprehensive program that complies with the Surplus Land Act (Gov. Code, § 54220 et seq.) and that makes publicly owned land available for affordable housing, or for multifamily housing projects with the highest feasible percentage of units affordable to lower income households. A qualifying program may utilize mechanisms such as land donations, land sales with significant write-downs, or below-market land leases. 2 4D Establishment of an Enhanced Infrastructure Financing District or similar local financing tool that, to the extent feasible, directly supports housing developments in an area where at least 20 percent of the residences will be affordable to lower income households. 2 4E Directed residual redevelopment funds to affordable housing. 1 4F Development and regular (at least biennial) use of a housing subsidy pool, local or regional trust fund, or other similar funding source . 1 4G Prioritization of local general funds for affordable housing. 1 4H Demonstration of other actions, not listed above, that quantifiably promote, develop, or leverage financial resources for housing. 1 Page 662 of 802 Project Proposal Enhancement Factors The Department shall utilize enhancement factors to increase the point scores of Prohousing Policies. Each Prohousing Policy will receive extra points for enhancement factors in accordance with the chart below. Category Prohousing Policy Description Points 1 Policy that represents one element of a unified, multi-faceted strategy to promote multiple planning objectives, such as efficient land use, access to public transportation, affordable housing, climate change solutions, and/or hazard mitigation. 2 2 Policies that promote development consistent with the state planning priorities pursuant to Government Code section 65041.1. 1 3 Policies that diversify planning and target community and economic development investments (housing and non-housing) to improve lower opportunity areas. Such areas include, but are not limited to, Low Resource and High Segregation & Poverty areas designated in the most recently updated TCAC/HCD Opportunity Maps, and disadvantaged communities pursuant to California Senate Bill 535 (2012). 1 4 Policies that go beyond state law requirements in reducing displacement of lower income households and conserving existing housing stock that is affordable to lower income households . 1 5 Rezoning and other policies that support high-density development in Location Efficient Communities. 1 6 Rezoning and other policies that result in a net gain of housing capacity while concurrently mitigating development impacts on or from Environmentally Sensitive or Hazardous Areas. 1 7 Zoning policies that increase housing choices and affordability in High Resource and Highest Resource areas, as designated in the most recently updated TCAC/HCD Opportunity Maps. 1 8 Other policies that involve meaningful actions towards affirmatively furthering fair housing pursuant to Government Code section 8899.50, including, but not limited to, outreach campaigns, updated zoning codes, and expanded access to financing support. 1 Page 663 of 802 Project Proposal Scoring Sheet Instructions The Department shall validate applicants’ scores based on the extent to which each identified Prohousing Policy contributes to the Acceleration of Housing Production. The Department shall assess applicants’ Prohousing Policies in accordance with Government Code section 65589.9, subdivision (f)(2), and Sections 6605 and 6606 of the Regulations. The Department shall further assess applicants’ Prohousing Policies using the following four scoring categories: Favorable Zoning and Land Use; Acceleration of Housing Production Timeframes; Reduction of Construction and Development Costs; and Providing Financial Subsidies. Applicants shall demonstrate that they have enacted or proposed at least one policy that significantly contributes to the Acceleration of Housing Production in each of the four categories. A Prohousing Designation requires a total score of 30 points or more across all four categories. Instructions Please utilize one row of the Scoring Sheet for each Prohousing Policy.  Category Number: Select the relevant category number from the relevant Project Proposal list in this application. Where appropriate, applicants may utilize a category number more than once.  Concise Written Description of Prohousing Policy: Set forth a brief description of the enacted or proposed Prohousing Policy.  Enacted or Proposed: Identify the Prohousing Policy as enacted or proposed. For proposed Prohousing Policies, please complete Appendix 2: Proposed Policy Completion Schedule.  Documentation Type: For enacted Prohousing Policies, identify the relevant documentary evidence (e.g., resolution, zoning code provisions). For proposed Prohousing Policies, identify the documentation which shows that implementation of the policy is pending.  Web Links/Electronic Copies: Insert the Web link(s) to the relevant documentation or indicate that electronic copies of the documentation have been attached to this application as Appendix 5.  Points: Enter the appropriate number of points using the relevant Project Proposal list in this application.  Enhancement Category Number (optional): If utilizing an enhancement factor for a particular Prohousing Policy, enter the appropriate category number using the relevant Project Proposal list in this application.  Enhancement Points (optional): If utilizing an enhancement factor for a particular Prohousing Policy, enter the point(s) for that Prohousing Policy.  Total Points: Add the enhancement point(s) to the Prohousing Policy’s general point score. Page 664 of 802 Formal Resolution for the Prohousing Designation Program (New 04/21) Appendix 1: Formal Resolution for the Prohousing Designation Program Formal Resolution for the Prohousing Designation Program (New 04/21) RESOLUTION NO. [INSERT RESOLUTION NUMBER] A RESOLUTION OF THE GOVERNING BODY OF The City of San Luis Obispo AUTHORIZING APPLICATION TO AND PARTICIPATION IN THE PROHOUSING DESIGNATION PROGRAM WHEREAS, Government Code section 65589.9 established the Prohousing Designation Program (“PDP” or “Program”), which creates incentives for jurisdictions that are compliant with state housing element requirements and that have enacted Prohousing local policies; and WHEREAS, such jurisdictions will be designated Prohousing, and, as such, will receive additional points or other preference during the scoring of their competitive applicatio ns for specified housing and infrastructure funding; and WHEREAS, the Department of Housing and Community Development (“Department”) has adopted emergency regulations (Cal. Code Regs., tit. 25, § 6600 et seq.) to implement the Program (“Program Regulations”), as authorized by Government Code section 65589.9, subdivision (d); and WHEREAS, the [CITY OF SAN LUIS OBISPO] (“Applicant”) desires to submit an application for a Prohousing Designation (“Application”). THEREFORE, IT IS RESOLVED THAT: 1. Applicant is hereby authorized and directed to submit an Application to the Department. 2. Applicant acknowledges and confirms that it is currently in compliance with applicable state housing law. 3. Applicant acknowledges and confirms that it will continue to comply with applicable housing laws and to refrain from enacting laws, developing policies, or taking other local governmental actions that may or do inhibit or constrain housing production. Examples of such local laws, policies, and actio n include moratoriums on development; local voter approval requirements related to housing production; downzoning; and unduly restrictive or onerous zoning regulations, development standards, or Page 665 of 802 Formal Resolution for the Prohousing Designation Program (New 04/21) 4. permit procedures. Applicant further acknowledges and confirms that it commits itself to affirmatively furthering fair housing pursuant to Government Code section 8899.50. 5. If the Application is approved, Applicant is hereby authorized and directed to enter into, execute, and deliver all documents required or deem ed necessary or appropriate to participate in the Program, and all amendments thereto (the “Program Documents”). 6. Applicant acknowledges and agrees that it shall be subject to the Application; the terms and conditions specified in the Program Documents; the Program Regulations; and any and all other applicable law. 7. [The Director of the Community Development Department] is authorized to execute and deliver the Application and the Program Documents on behalf of the Applicant for participation in the Program. PASSED AND ADOPTED this ____ day of ________, 20__, by the following vote: AYES: [Insert #] NOES: [Insert #] ABSENT: [Insert #] ABSTAIN: [Insert #] The undersigned, [INSERT NAME AND TITLE OF NONSIGNATORY] of Applicant, does hereby attest and certify that the foregoing is a true and full copy of a resolution of the Applicant’s governing body adopted at a duly convened meeting on the date above- mentioned, and that the resolution has not been altered, amended, or repealed. SIGNATURE: _____________________ DATE: _____________________ NAME: __________________________ TITLE: _____________________ Page 666 of 802 Appendix 2: Proposed Policy Completion Schedule Category Number Concise Written Description of Proposed Policy Key Milestones and Milestone Dates Anticipated Completion Date Notes 1B Permitted missing middle housing uses by allowing duplexes, and triplexes by right in existing low-density, single-family residential zones. 12/31/2023 Page 667 of 802 Appendix 3: Project Proposal Scoring Sheet and Sample Project Proposal Scoring Sheet Project Proposal Scoring Sheet Page 668 of 802 Category Number Concise Written Description of Prohousing Policy Enacted or Proposed Documentation Type (e.g., resolution, zoning code) Insert Web Links to Documents or Indicate that Electronic Copies are Attached as Appendix 5 Points Enhancement Category Number Enhancement Points Total Points 1D Density bonus programs which exceed statutory requirements by 10 percent or more. E Zoning Code Zoning Code Section 17.140.070.B. 3 2 1 2 4 1F Reducing or eliminating parking requirements for residential development as authorized by Government Code sections 65852.2; adopting vehicular parking ratios that are less than the relevant ratio thresholds. E Zoning Code Zoning Code Section 17.86.020.B.3. f 2 2 1G Zoning to allow for residential or mixed uses in one or more non-residential zones (e.g., commercial, light industrial). Qualifying non-residential zones do not include open space or substantially similar zones. E Zoning Code Zoning Code Section 17.10.020 Table 2-1 (Uses Allowed by Zone) 2 1 2 3 Page 669 of 802 1H Modification of development standards and other applicable zoning provisions to promote greater development intensity. Potential areas of focus include floor area ratio; height limits; minimum lot or unit sizes; setbacks; and allowable dwelling units per acre. These policies must be separate from any qualifying policies under Category (1)(B) above. E Zoning Code Zoning Code Section 17.70.040.A.1 2 6 1 2 1J Demonstrating other zoning and land use actions that measurably support the Acceleration of Housing Production. E Zoning Code Zoning Code Section 17.141 (Downtown Flexible Density) 1 1 2 3 2A Establishment of ministerial approval processes for a variety of housing types, including single-family and multifamily housing. E Zoning Code Zoning Code Section 17.106.020.C 3 2 1 4 2B Establishment of streamlined, program - level CEQA analysis and certification of general plans, community plans, specific plans with accompanying Environmental Impact Reports (EIR), and related documents. E Climate Action Plan & Land Use and Circulation Element Final EIR CEQA GHG Emissions Analysis Compliance Checklist Land Use and Circulation Element Programmatic Final EIR 2 1 2 4 Page 670 of 802 2C Documented practice of streamlining housing development at the project level, such as by enabling a by-right approval process or by utilizing statutory and categorical exemptions as authorized by applicable law E Resolutions Resolution No. PC-1066-22 Resolution No. ARC-1005-18 2 7 1 3 2D Establishment of permit processes that take less than four months. E Website Document Building Permit Process Guide 2 2 2E Absence or elimination of public hearings for projects consistent with zoning and the general plan. E Zoning Code Zoning Code Chapter 17.69 (Objective Design Standards for Qualifying Residential Projects) 2 2 2F Establishment of consolidated or streamlined permit processes that minimize the levels of review and approval required for projects, and that are consistent with zoning regulations and the general plan. E Zoning Code Zoning Code Section 17.106.030 (Levels of Development Review) 1 1 2G Absence, elimination or replacement of subjective development and design standards with objective development and design standards that simplify zoning clearance and improve approval certainty and timing. E Zoning Code Zoning Code Chapter 17.69 (Objective Design Standards for Qualifying Residential Projects) 1 1 Page 671 of 802 2H Establishment of one- stop-shop permitting processes or a single point of contact where entitlements are coordinated across city approval functions (e.g., planning, public works, building) from entitlement application to certificate of occupancy. E Website Community Development Department 1 1 2I Priority permit processing or reduced plan check times for ADUs/JADUs, multifamily housing, or homes affordable to lower- or moderate- income households. E Zoning Code Zoning Code Section 17.86.020.B.4 1 1 2K Practice of publicly posting status updates on project permit approvals on the Internet. E Website Current Development Projects Planning & Building Logs 1 1 2M Demonstration of other actions, not listed above, that quantifiably decrease production timeframes or promote the streamlining of approval processes. E Website Document Application Checklist – Pre- Application 1 1 3A Waiver or significant reduction of development impact fees for residential development. E Resolution Resolution No. 9903 (2007 Series) 3 8 1 4 Page 672 of 802 3B Adoption of ordinances or implementation of other mechanisms that result in less restrictive requirements than Government Code sections 65852.2 and 65852.22 to reduce barriers for property owners to create ADUs/JADUs. E Zoning Code & Website Zoning Regulations Section 17.86.020.B.3. d.iv.(a). 2 2 3D Promoting innovative housing types (e.g., manufactured homes, recreational vehicles, park models) that reduce development costs. E Zoning Code Zoning Code Section 17.86.210.E 1 1 3E Measures that reduce costs for transportation- related infrastructure or programs that encourage active modes of transportation or other alternatives to automobiles. Qualifying policies include, but are not limited to, publicly funded programs to expand sidewalks or protect bike/micro- mobility lanes; creation of on-street parking for bikes; transit-related improvements; or establishment of carshare programs. E Zoning Code Zoning Code Section 17.72.050 (Parking Reductions) 1 1 2 3 Page 673 of 802 3F Adoption of universal design ordinances pursuant to Health and Safety Code section 17959. E Zoning Code Zoning Regulations Chapter 17.112 (Reasonable Accommodati on) 1 1 3H Demonstration of other actions, not listed above, that quantifiably reduce construction or development costs. E Website Document & Resolution Comprehensiv e Fee Schedule 2022-2023 Resolution No. 8415 (1995 Series). 1 1 TOTAL: 43 19 62 Sample Project Proposal Scoring Sheet Note: This is a Sample Project Proposal Scoring Sheet; an actual submission may include more specificity when an applicant completes the “Concise Written Description of Prohousing Policy.” Category Number Concise Written Description of Prohousing Policy Enacted or Proposed Documentation Type (e.g., resolution, zoning code) Insert Web Links to Documents or Indicate that Electronic Copies are Attached as Appendix 5 Points Enhancement Category Number Enhancement Points Total Points 1B Permitted missing middle housing uses by allowing duplexes, and triplexes by right in existing low-density, single-family residential zones. E Zoning code Electronic copy attached 3 6 1 4 1C Sufficient sites to accommodate 131 percent of the current P Resolution Electronic copy attached 2 1 2 4 Page 674 of 802 Category Number Concise Written Description of Prohousing Policy Enacted or Proposed Documentation Type (e.g., resolution, zoning code) Insert Web Links to Documents or Indicate that Electronic Copies are Attached as Appendix 5 Points Enhancement Category Number Enhancement Points Total Points RHNA with rezoning by total or income category. 1D Density bonus program exceeds statutory requirements by 12 percent. E Zoning code Electronic copy attached 2 2 1F Reduced parking requirements for residential development as authorized by Government Code sections 65852.2. E Zoning code Electronic copy attached 2 2 1G Zoning that allows mixed uses in one or more light industrial zones. E Zoning code Electronic copy attached 1 1 2 3 1H Modified development standards/other applicable zoning provisions to promote greater development intensity including floor area ratio and minimum lot or unit sizes. E Zoning code Electronic copy attached 1 1 2 3 1J Other zoning and land use actions that measurably support the Acceleration of Housing Production. P Resolution Electronic copy attached 1 1 2B Streamlined program- level CEQA analysis and certification of general plans, E Zoning code Electronic copy attached 2 2 Page 675 of 802 Category Number Concise Written Description of Prohousing Policy Enacted or Proposed Documentation Type (e.g., resolution, zoning code) Insert Web Links to Documents or Indicate that Electronic Copies are Attached as Appendix 5 Points Enhancement Category Number Enhancement Points Total Points community plans, specific plans with accompanying Environmental Impact Reports (EIR), and related documents. 2G Absence of subjective development and design standards with objective development and design standards. E Zoning code Electronic copy attached 1 1 2I Priority permit processing or reduced plan check times for ADUs/JADUs. P Resolution Electronic copy attached 1 1 2 3 2M Other actions that quantifiably decrease production timeframes. E Zoning code Electronic copy attached 1 1 3A Waiver of residential development impact fees. E Zoning code Electronic copy attached 3 3 3B Adopted ordinances that result in less restrictive requirements than Government Code sections 65852.2 and 65852.22. P Resolution Electronic copy attached 2 1 2 4 3E Measures that reduce costs for transportation- related infrastructure. E Zoning code Electronic copy attached 1 1 3H Other actions that quantifiably reduce construction or development costs. E Zoning code Electronic copy attached 1 1 Page 676 of 802 Category Number Concise Written Description of Prohousing Policy Enacted or Proposed Documentation Type (e.g., resolution, zoning code) Insert Web Links to Documents or Indicate that Electronic Copies are Attached as Appendix 5 Points Enhancement Category Number Enhancement Points Total Points 4A Local housing trust funds. E Zoning code Electronic copy attached 2 2 4C Surplus Land Act program making publicly owned land available for affordable housing. E Zoning code Electronic copy attached 2 2 1 3 4E Directed residual redevelopment funds to affordable housing. E Zoning code 1 1 4G Prioritization of local general funds for affordable housing. E Zoning code 1 1 4H Other actions, that leverage financial resources for housing. E Zoning code 1 1 TOTAL 31 12 43 Page 677 of 802 Appendix 4: Examples of Prohousing Policies with Enhancement Factors If a Prohousing Policy incorporates any of the enhancement factors specified in the Project Proposal Enhancement Factors chart, it will receive extra points as indicated therein. Examples of such qualifying Prohousing Policies include the following: Category 1: Favorable Zoning and Land Use  Rezoning sufficient sites to accommodate 150 percent or greater of the Regional Housing Needs Allocation by total or income category, including sites in Location Efficient Communities  Rezoning sufficient sites to accommodate 150 percent or greater of the Regional Housing Needs Allocation by total or income category, including sites in High Resource and Highest Resource areas (as designated in the most recently updated TCAC/HCD Opportunity Maps).  Rezoning to accommodate 125 to 149 percent of the Regional Housing Needs Allocation in downtown commercial corridors or other infill locations.  Expanding density bonus programs to exceed statutory requirements by 10 percent or more in Location Efficient Communities.  Reducing or eliminating parking requirements for residential development as authorized by Government Code section 65852.2 in Location Efficient Communities.  Increasing allowable density in low-density, single-family residential areas beyond the requirements of state Accessory Dwelling Unit law in High Resource and Highest Resource areas (as designated in the most recently updated TCAC/HCD Opportunity Maps).  Modification of development standards and other applicable zoning provisions to promote greater development intensity in downtown commercial corridors or other infill locations.  Coupling rezoning actions with policies that go beyond state law requirements in reducing displacement of lower income households and conserving existing housing stock that is affordable to lower income households. Category 2: Acceleration of Housing Production Timeframes  Ministerial approval processes for multifamily housing in High Resource and Highest Resource areas (as designated in the most recently updated TCAC/HCD Opportunity Maps).  Streamlined, program-level CEQA analysis and certification of specific plans in Location Efficient Communities.  Documented practice of streamlining housing development at the project level in downtown commercial corridors and other infill locations.  Expedited permit processing for housing affordable to lower income households in High Resource and Highest Resource areas (as designated in the most recently updated TCAC/HCD Opportunity Maps). Category 3: Reduction of Construction and Development Costs  Fee waivers for affordable housing in High Resource and Highest Resource areas (as designated in the most recently updated TCAC/HCD Opportunity Maps). Page 678 of 802  Fee waivers or reductions for higher density housing in downtown commercial corridors or other infill locations.  Measures that reduce costs and leverage financial resources for transportation-related infrastructure or programs in Low Resource and High Segregation & Poverty areas (as designated in the most recently updated TCAC/HCD Opportunity Maps).  Adoption of universal design ordinances to increase housing choices and affordability for persons with disabilities in High Resource and Highest Resource areas (as designated in the most recently updated TCAC/HCD Opportunity Maps).  Permitting innovative housing types, such as manufactured homes, recreational vehicles or park models, in High Resource and Highest Resource areas (as designated in the most recently updated TCAC/HCD Opportunity Maps). Category 4: Providing Financial Subsidies  Targeting local housing trust funds to acquisition or rehabilitation of existing affordable units, or to affordable units at risk of converting to market rate uses, in Low Resource and High Segregation & Poverty areas (as designated in the most recently updated TCAC/HCD Opportunity Maps).  Marketing grants and other financial products for ADUs/JADUs in High Resource and Highest Resource areas (as designated in the most recently updated TCAC/HCD Opportunity Maps).  Utilizing publicly owned land for affordable housing in High Resource and Highest Resource areas (as designated in the most recently updated TCAC/HCD Opportunity Maps).  Establishment of an Enhanced Infrastructure Financing District or similar local financing tool in a Low Resource or High Segregation & Poverty area (as designated in the most recently updated TCAC/HCD Opportunity Maps).  Directing residual redevelopment funds or general funds to conservation or preservation of affordable housing in areas at high risk of displacement . Page 679 of 802 Appendix 5: Additional Information and Supporting Documentation Page 680 of 802 PROHOUSING DESIGNATION CRITERIA ASSESSMENT The application will ascribe points using four scoring categories. Applicants shall demonstrate that they have enacted or proposed at least one policy that significantly contributes to the acceleration of housing production in each of the four categories. A Prohousing Designation requires a total score of 30 points or more across all four categories. Enhancement Factors The Department shall utilize enhancement factors to increase the point scores of Prohousing Policies. Each Prohousing Policy will receive extra points for enhancement factors in accordance with the chart below. Category Prohousing Policy Description Points 1e Policy that represents one element of a unified, multi-faceted strategy to promote multiple planning objectives, such as efficient land use, access to public transportation, affordable housing, climate change solutions, and/or hazard mitigation. 2 2e Policies that promote development consistent with the state planning priorities pursuant to Government Code section 65041.1. 1 3e Policies that diversify planning and target community and economic development investments (housing and non-housing) to improve lower opportunity areas. Such areas include, but are not limited to, Low Resource and High Segregation & Poverty areas designated in the most recently updated TCAC/HCD Opportunity Maps, and disadvantaged communities pursuant to California Senate Bill 535 (2012). 1 4e Policies that go beyond state law requirements in reducing displacement of lower income households and conserving existing housing stock that is affordable to lower income households. 1 5e Rezoning and other policies that support high-density development in Location Efficient Communities. 1 6e Rezoning and other policies that result in a net gain of housing capacity while concurrently mitigating development impacts on or from Environmentally Sensitive or Hazardous Areas. 1 7e Zoning policies that increase housing choices and affordability in High Resource and Highest Resource areas, as designated in the most recently updated TCAC/HCD Opportunity Maps. 1 8e Other policies that involve meaningful actions towards affirmatively furthering fair housing pursuant to Government Code section 8899.50, including, but not limited to, outreach campaigns, updated zoning codes, and expanded access to financing support. 1 Page 681 of 802 Prohousing Designation Criteria Assessment Page 2 Category 1: Favorable Zoning and Land Use (18 possible points). Category Prohousing Policy Description City’s Policy Response EF* + Score 1A Sufficient sites, including rezoning, to accommodate 150 percent or greater of the current or draft RHNA, whichever is greater, by total or income category. Sites identified in the Housing Element do not exceed the current RHNA by income category. 0/3 1B Permitting missing middle housing uses (e.g., duplexes, triplexes, and fourplexes) by right in existing low-density, single- family residential zones. Duplexes are allowed by right in exiting low-density single family residential zones, as authorized by Government Code Section 65852.21. However, points are only awarded for programs that exceed the minimum requirements of State Law. 0/3 1C Sufficient sites, including rezoning, to accommodate 125 to 149 percent of the current or draft RHNA, whichever is greater, by total or income category. These points shall not be awarded if the applicant earns three points pursuant to Category (1)(A) above. Sites identified in the Housing Element do not exceed the current RHNA by income category. 0/2 1D Density bonus programs which exceed statutory requirements by 10 percent or more. Zoning Code Section 17.140.070.B.3 allows for density bonus applications to statutory requirements by 10 percent or more. 1e + 2 4/2 1E Increasing allowable density in low-density, single-family residential areas beyond the requirements of state Accessory Dwelling Unit law (e.g., permitting more than one ADU or JADU per single-family lot). These policies shall be separate from any qualifying policies under Category (1)(B) above. Up to two detached ADU’s are allowed within the low-density single family residential zones consistent with provisions under Government Code Section 65852.21 (SB 9). However, points are only awarded for programs that exceed the minimum requirements of State Law. 0/2 1F Reducing or eliminating parking requirements for residential development as authorized by Government Code sections 65852.2; adopting vehicular Zoning Code Section 17.86.020.B.3.f permits ADUs and JADUs without any parking requirements. 2/2 Page 682 of 802 Prohousing Designation Criteria Assessment Page 3 parking ratios that are less than the relevant ratio thresholds. 1G Zoning to allow for residential or mixed uses in one or more non- residential zones (e.g., commercial, light industrial). Qualifying non-residential zones do not include open space or substantially similar zones. Zoning Code Section 17.10.020 Table 2-1 (Uses Allowed by Zone) allows Mixed-Use developments by right in multiple commercial zones. 1e + 2 3/1 1H Modification of development standards and other applicable zoning provisions to promote greater development intensity. Potential areas of focus include floor area ratio; height limits; minimum lot or unit sizes; setbacks; and allowable dwelling units per acre. These policies must be separate from any qualifying policies under Category (1)(B) above. Zoning Code Section 17.70.040.A.1 incentivizes smaller residential units by decreasing the density allocation for 1-bedroom and studio units that are less than 1,000 square feet in size. This program allows for more residential units to be constructed on a property than under standard density allocations. 6e + 1 2/1 1I Establishment of a Workforce Housing Opportunity Zone, as defined in Government Code section 65620, or a housing sustainability district, as defined in Government Code section 66200. The City has not yet designated a Workforce Housing Opportunity Zone. 0/1 1J Demonstrating other zoning and land use actions that measurably support the Acceleration of Housing Production. Zoning Code Section 17.141 (Downtown Flexible Density) adds to the city’s housing toolkit and measurably accelerates housing production. This is achieved by rezoning portions of downtown and eliminating density limitations for residential units that are less than 600 square feet in size within the City’s Downtown Area, which was funded through Senate Bill 2. 1e + 2 3/1 Category 1 Score: 14/18 * EF stands for “Enhancement Factors” which are represented by #e, which means that the policy or program qualifies for a specific EF and earns additional points towards the score. Page 683 of 802 Prohousing Designation Criteria Assessment Page 4 Category 2: Acceleration of Housing Production Timeframes (19 possible points) Category Prohousing Policy Description City’s Policy Response EF* + Points 2A Establishment of ministerial approval processes for a variety of housing types, including single-family and multifamily housing. Zoning Code Section 17.106.020.C allows single-unit, duplexes, triplexes, and fourplexes to be reviewed ministerially. 2e + 1 4/3 2B Establishment of streamlined, program-level CEQA analysis and certification of general plans, community plans, specific plans with accompanying Environmental Impact Reports (EIR), and related documents. The City’s Climate Action Plan identifies, in Appendix C, a method to streamline CEQA analysis through a CEQA GHG Emissions Analysis Compliance Checklist that can be utilized in plan- and project- level CEQA review documents. The City’s General Plan Land Use and Circulation Element Programmatic Final EIR addresses the program’s effects as specifically and comprehensively as possible, many subsequent activities could be found to be within the Program EIR scope and additional environmental review may not be required (CEQA Guidelines Section 15168(c)). 1e + 2 4/2 2C Documented practice of streamlining housing development at the project level, such as by enabling a by-right approval process or by utilizing statutory and categorical exemptions as authorized by applicable law 1142 Monterey Mixed-Use project, consisting of 106 affordable units that was approved through a categorical exemption (Class 32). Resolution No. PC-1066-22 San Luis Square consists of 63 residential units and was approved through a categorical exemption (Class 32) Resolution No. ARC- 1005-18 7e + 1 3/2 2D Establishment of permit processes that take less than four months. The City’s Building Permit Process Guide establishes a permit review process of 4 weeks for Minor projects, 6 weeks for Moderate projects, and 8 weeks for Major projects. If subsequent reviews are necessary, the review timelines are reduced by 50% upon resubmittal. 2/2 2E Absence or elimination of public hearings for projects consistent Zoning Code Chapter 17.69 (Objective Design Standards for Qualifying Residential Projects) 2/2 Page 684 of 802 Prohousing Designation Criteria Assessment Page 5 with zoning and the general plan. established a by-right ministerial review process for qualifying housing projects. 2F Establishment of consolidated or streamlined permit processes that minimize the levels of review and approval required for projects, and that are consistent with zoning regulations and the general plan. Zoning Code Section 17.106.030 (Levels of Development Review) reduces the number of public hearings for housing projects with less than 49 units. 1/1 2G Absence, elimination or replacement of subjective development and design standards with objective development and design standards that simplify zoning clearance and improve approval certainty and timing. Zoning Code Chapter 17.69 (Objective Design Standards for Qualifying Residential Projects) provides objective design standards for qualifying housing projects. 1/1 2H Establishment of one-stop-shop permitting processes or a single point of contact where entitlements are coordinated across city approval functions (e.g., planning, public works, building) from entitlement application to certificate of occupancy. Community Development Department has been established as a one-stop shop for all planning entitlements, parcel/final map reviews, grading permits, encroachment permits, building permits, and inspections. 1/1 2I Priority permit processing or reduced plan check times for ADUs/JADUs, multifamily housing, or homes affordable to lower- or moderate-income households. Zoning Code Section 17.86.020.B.4 establishes a building permit review process of a maximum of 60 days. 1/1 2J Establishment of a standardized application form for all entitlement applications. A standard Planning Application form has been established for all entitlement applications: 1/1 2K Practice of publicly posting status updates on project permit approvals on the Internet. Current Development Projects are quarterly updated on the City’s website. A complete inventory of all entitlement applications received, and all building permits issues is also available on the City’s Planning & Building Logs webpage. 1/1 2L Limitation on the total number of hearings for any project to three or fewer. Applicants that accrue Already covered under Category (2)(E) 0/1 Page 685 of 802 Prohousing Designation Criteria Assessment Page 6 points pursuant to Category (2)(E) are not eligible for points under this Category (2)(L). 2M Demonstration of other actions, not listed above, that quantifiably decrease production timeframes or promote the streamlining of approval processes. A pre-application process has been created to assist with early conceptual development review assistance prior to formal application submittal. Providing early comments on projects helps streamline the review procedures during formal review. Application Checklist – Pre- Application. 1/1 Category 2 Score: 22/19 Category 3: Reduction of Construction and Development Costs (11 possible points) Category Prohousing Policy Description City’s Policy Response EF* + Points 3A Waiver or significant reduction of development impact fees for residential development. Resolution No. 9903 (2007 Series) waives development impact fees for affordable housing projects that exceed the inclusionary housing requirement. 8e + 1 4/3 3B Adoption of ordinances or implementation of other mechanisms that result in less restrictive requirements than Government Code sections 65852.2 and 65852.22 to reduce barriers for property owners to create ADUs/JADUs. Zoning Regulations Section 17.86.020.B.3.d.iv.(a). allows detached ADU’s to be constructed up to 25 feet in height, whereas, Government Code Section 65852.2 allows for a maximum height of 16 feet. The County of San Luis Obispo has adopted Pre-Reviewed ADU Design Packages. The City is working with the County to use the Pre-Reviewed ADU Designs within the City limits. 2/2 3C Adoption of other fee reduction strategies separate from Category (3)(A) above, including fee deferrals and reduced fees for housing for persons with special needs. Already covered under Category (3)(A) 0/1 3D Promoting innovative housing types (e.g., manufactured homes, recreational vehicles, park Zoning Code Section 17.86.210.E established that moveable tiny houses shall be considered an 1/1 Page 686 of 802 Prohousing Designation Criteria Assessment Page 7 models) that reduce development costs. additional type of accessory structure, allowed as an accessory use to a single-unit residential dwelling unit. 3E Measures that reduce costs for transportation-related infrastructure or programs that encourage active modes of transportation or other alternatives to automobiles. Qualifying policies include, but are not limited to, publicly funded programs to expand sidewalks or protect bike/micro-mobility lanes; creation of on-street parking for bikes; transit-related improvements; or establishment of carshare programs. Zoning Code Section 17.72.050 (Parking Reductions) establishes criteria for development projects to reduce on-site parking requirements. Parking Reductions applications may request up to 100% reductions to eliminate all on- site parking requirements. 1e + 2 3/1 3F Adoption of universal design ordinances pursuant to Health and Safety Code section 17959. Zoning Regulations Chapter 17.112 (Reasonable Accommodation) provisions allow for flexibility in the application of regulations and procedures to ensure equal access to housing, under which a disabled person may request a reasonable accommodation in the application of zoning requirements. 1/1 3G Establishment of pre-approved or prototype plans for missing middle housing types (e.g., duplexes, triplexes, and fourplexes) in low-density, single- family residential areas. The City does not have any pre- approved prototype plans for missing middle housing. 0/1 3H Demonstration of other actions, not listed above, that quantifiably reduce construction or development costs. Reduction of development costs are granted for smaller/higher density units through reducing impact fees by up to 50% (Comprehensive Fee Schedule 2022-2023). The City exempts very-low and low income affordable housing developments from all planning, building, or engineers development review fees and from water meter and sewer meter installation fees through Resolution No. 8415 (1995 Series). 1/1 Category 3 Score: 12/11 Page 687 of 802 Prohousing Designation Criteria Assessment Page 8 Category 4: Providing Financial Subsidies (12 possible points) Category Prohousing Policy Description City’s Policy Response EF* + Points 4A Establishment of local housing trust funds or collaboration on a regional housing trust fund. The City helped create and funds opportunities with the County of San Luis Obispo Housing Trust Fund. 8e + 1 3/2 4B Provide grants or low-interest loans for ADU/JADU construction affordable to lower- and moderate-income households. The City has awarded $300,000 from the Affordable Housing Fund for an affordable housing project by Transitions Mental Health, which will assist with the development of a project that includes two ADUs that will be reserved for lower-income households. Resolution No. 11321 (2022 Series). 8e + 1 3/2 4C A comprehensive program that complies with the Surplus Land Act (Gov. Code, § 54220 et seq.) and that makes publicly owned land available for affordable housing, or for multifamily housing projects with the highest feasible percentage of units affordable to lower income households. A qualifying program may utilize mechanisms such as land donations, land sales with significant write-downs, or below- market land leases. Housing Element Program 6.15 directs the City to identify excess, surplus, and underutilized parcels for residential development. The City identified 851 and 860 Humbert as available surplus land for affordable housing and authorized the sale of the property to the Housing Authority of San Luis Obispo. Resolution No. 10066 (2009 Series) The city implements Housing Element Program 6.15, biannually to identify surplus lands that may be underutilized or vacant. This resulted in a 100% affordable housing project provided by the Housing Authority of SLO. 2/2 4D Establishment of an Enhanced Infrastructure Financing District or similar local financing tool that, to the extent feasible, directly supports housing developments in an area where at least 20 percent of the residences will be affordable to lower income households. The City has not yet established any Enhanced Infrastructure Financing District. 0/2 4E Directed residual redevelopment funds to affordable housing. The City does not have any residual redevelopment funds. 0/1 Page 688 of 802 Prohousing Designation Criteria Assessment Page 9 4F Development and regular (at least biennial) use of a housing subsidy pool, local or regional trust fund, or other similar funding source. The City annually participates in the Community Development Block Grant Program through the Urban County Cooperative Agreement. The majority (65%) of these funding allocations are designated for affordable housing projects. The City works with local non-profit partners to ensure that it receives competitive affordable housing project applications biennially at a minimum, but always encourages partners to apply annually. Additionally, the City of San Luis Obispo founded the San Luis Obispo Housing Trust Fund and annually contributes $40,000.00 to this fund. Resolution No. 11376 (2022 Series). 8e + 1 2/1 4G Prioritization of local general funds for affordable housing. The City has prioritized local funding for affordable housing through fee deferrals, the Grants-in- Aid Program, and partnering with a Below Market Housing Administrator (HouseKeys) which is overseen by the City’s Housing Team. 8e + 1 2/1 4H Demonstration of other actions, not listed above, that quantifiably promote, develop, or leverage financial resources for housing. The City coordinates the designation of funding instruments such as the Tax Credit Allocation Committee program or the Tax Equity and Fiscal Responsibility Act program to our local non-profit partners. Resolution No. 11196 (2020 Series). The City exercises it’s option to waive reimbursement fees under the Local Reviewing Agency Evaluation for these programs to reduce overall costs to the project and schedules notices and hearings to ensure the funds can be distributed correctly under the program guidelines. 8e + 1 2/1 Category 4 Score: 14/12 Total Score: 62/60 Page 689 of 802 Page 690 of 802