HomeMy WebLinkAbout9545 5-2004 Updated Housing Element of the General Plann �
RESOLUTION NO. 9545 (2004 Series)
A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO
ADOPTING AN UPDATED HOUSING ELEMENT OF THE GENERAL PLAN
WHEREAS, State law requires cities and counties to adopt a general plan. The general
plan includes seven required elements, one of which is the housing element. The housing
element must be updated every five (5) years or as otherwise provided by State law; and
WHEREAS, the City of San Luis Obispo has prepared an updated Draft General Plan
Housing Element to address community wide housing needs, challenges and opportunities, and
to meet State law; and
WHEREAS, the Planning Commission and the City Council have held public hearings
on the updated Housing Element in accordance with the California Government Code; and
WHEREAS, the City Council has considered the input of diverse community interests
and housing stakeholders in the preparation of the updated Housing Element, including that of
the Housing Element Update Task Force, an ad hoc committee of community members
appointed by the City Council to identify community needs and to recommend housing policies
and programs; and
WHEREAS, the potential environmental impacts of the updated Housing Element have
been evaluated in accordance with the California Environmental Quality Act pursuant to an
initial environmental study (City File Number ER 33 -02), and the Community Development
Director has granted a negative declaration of environmental impact; and
WHEREAS, the Planning Commission recommends the City Council approve the
negative declaration of environmental impact and the updated Housing Element.
WHEREAS, by a separate resolution the City Council found that there is no evidence
from which it can be fairly argued that the project will have a significant, adverse effect on the
environment, and consequently certified and approved the negative declaration of environmental
impact for the Updated Housing Element
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis
Obispo as follows:
SECTION 1. Record of Proceedings. The City Council has received and considered the
Planning Commission recommendations, the Housing Element Update Task Force
recommendations, public testimony and correspondence, and the staff reports on the Housing
Element Update. Copies of these items or testimony are on file in the office of the City Clerk
and in the Community Development Department. The Planning Commission held eight public
hearings to consider the Housing Element Update and related matters. In addition, the City
Council conducted seven public hearings to consider the Update and related matters. The
minutes of those hearings indicate Commission and Council member comments on the Housing
Element Update and are on file in the office of the City Clerk.
R 9545
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Resolution No. 9545 (2004 Series)
Page 2
SECTION 2. Public and Agency Review. Drafts of the proposed Housing Element Update
have been made widely available for review and comment by interested agencies and individuals.
Copies were posted on the City's website and were distributed to the San Luis Obispo City -
County Library and the Cal Poly University Library, to the California State Department of
Housing and Community Development ( "HCD ") as required by law, and to governmental and
non - profit housing agencies whose jurisdiction includes housing issues within the San Luis
Obispo Area.
SECTION 3. Findings. This Council, after considering the 2004 Final Draft Housing Element,
the Planning Commission's recommendations, staff recommendations, public testimony and
correspondence, and reports thereon, makes the following findings:
1. The Housing Element Update, as contained in the document titled "Final Draft General
Plan Housing Element ", dated March 30, 2004, as further amended by the City Council
that same day and incorporated herein as Exhibit "A ", and on file in the Community
Development Department and the City Clerk's office, (hereinafter "the Update "), is
consistent with all elements of the General Plan, as amended by Council Resolution No.
9544 (2004 Series), adopted concurrently with this one.
2. The Update will promote public health, safety, and welfare by: preserving housing that is
affordable to very-low, low- and moderate income households; encouraging variety in
housing types, sizes, cost, and tenure; establishing programs to ensure that most new
development incorporates affordable housing, pays an "in- lieu" fee . toward the
development of affordable housing, or otherwise contributes to the production of
affordable housing; establishing incentives to encourage and help defray the costs of
affordable housing development; affirmatively furthering fair housing opportunities; and
by setting quantified objectives for housing production, rehabilitation, preservation and
conservation.
3. Consistent with provisions of California Government Code Section 65583 (b)(2), San
Luis Obispo has evaluated its ability to accommodate its Regional Housing Need
Allocation (RHNA) number of 4,383 dwellings by July 2009 and has adopted quantified
objectives that are less than the RHNA number. Limited water supplies prevent the City
from achieving the RHNA number within the planning period. The problem is chiefly
one of timing, since, as documented in the Housing Element, there is sufficient land
suitable for residential development to accommodate the RHNA number within the
planning period. The reasons for the difference between the City's RHNA and its
adopted Quantified Objectives are further described in Appendix C, Section 3 of the
Update, and said section hereby incorporated by reference.
4. The August 17, 2003 Draft Housing Element was submitted to HCD for its review, as
required by State law. The Update includes additional information and analysis in
response to HCD comments. The Council has determined that the Update conforms to
the statutory requirements of State housing element law (Article 10.6 of Government
Code).
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Resolution No. 9545 (2004 Series)
Page 3
5. Council hereby finds that the Update will not operate to directly limit the total number of
dwellings which may be constructed on an annual basis, since dwellings affordable very-
low, low -, and moderate income households, and dwellings constructed in the Downtown
Core (C -D Zone), are exempt from Residential Growth Management Regulations.
SECTION 4. Approval of the 2004 Housing Element. Council hereby approves the 2004
Housing Element, as set forth in Exhibit A.
SECTION 5. Publication and Availability. The Community Development Director shall
cause the updated Housing Element to be published and provided to City officials, concerned
agencies, public libraries, and to the public. The Director shall also transmit a copy of the
Update to HCD for its review, as required by State law.
SECTION 6. Effective Date. The 2004 Housing Element shall become effective immediately
upon adoption of this resolution, with the exception of the provisions of Program 2.3.1
( Inclusionary Housing Requirement), which shall be effective for all valid building permit
applications submitted to the Community Development Department on or after July 1, 2004.
Valid applications submitted prior to July 1, 2004 shall be subject to the Inclusionary Housing
Requirement in the 1994 Housing Element. "Valid building permit application" shall mean an
application for a development project which has received all required planning approvals prior to
the date of application fora building permit.
SECTION 7. Repeal of Previous Element. The Housing Element adopted September 20, 1994
and as subsequently amended, is repealed upon the effective date of the 2004 Housing Element,
with the exception of program 1.22.10, which shall be repealed effective July 1, 2004.
Upon motion of Council Member Ewan, seconded by Council Member Settle,
and on the following roll call vote:
AYES: Council Members Ewan and Settle and Mayor Romero
NOES: Council Member Mulholland and Vice Mayor Schwartz
ABSENT: None
The foregoing resolution was adopted this 30`s day of March, 2004.
L
Mayor David F. Romero
ATTEST:
Lee Price, C.M.C.
City Clerk
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Resolution No. 9545 (2004 Series)
Page 4
APPROVED AS TO FORM:
JonlathaRIP. Lowell
City Attorney
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Exhibit A
"FINAL DRAFT GENERAL PLAN HOUSING ELEMENT" IS ON FILE IN THE
OFFICE OF THE CITY CLERK AND THE COMMUNITY DEVELOPMENT
DEPARTMENT.
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MISSION STATEMENT
Our mission is to identify and serve the needs of all people in a positive and
courteous manner and to help ensure that San Luis Obispo remains a
healthy, safe, attractive and enjoyable place to live, work or visit. We help
plan the City's form and character, support community values, preserve the
environment, promote the wise use of resources and protect public health
and safety.
OUR SERVICE PHILOSOPHY
The City of San Luis Obispo Community Development Department staff
provides high-quality service whenever and wherever you need it. We will:
• Listen to and understand your needs;
• Give clear, accurate and prompt answers to your questions;
• Explain how you can achieve your goals under the City's rules;
• Help resolve problems in an open, objective and fair manner,
• Maintain the highest ethical standards; and
• Work to continually improve our services.
City of San Luis Obispo Housing Element
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Adopted March 30, 2004
San Luis Obispo City Council Resolution Nos. 9453, 9544, and 9545 (2004 Series)
SAN LUIS OBISPO CITY COUNCIL
David Romero, Mayor John Ewan
Christine Mulholland Kenneth Schwartz, Vice Mayor
Allen Settle
PLANNING COMMISSION
Orval Osborne, Chair Jim Aiken
Michael Boswell James Caruso, Vice -Chair
Carlyn Christianson Allen Cooper
Alice Loh
COMMUNITY DEVELOPMENT DEPARTMENT
John, Mandeville, Director
Michael Draze, Deputy Director, Long -Range Planning
Jeff Hook, Project Planner
Teri Bowen, Planning Intern
City of San Luis Obispo
990 Palm Street
P.O. Box 8100
San Luis Obispo, CA 93403 - 8100
City of San Luis Obispo Housing Element
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This Housing Element has been prepared to help San Luis Obispo City residents secure safe
housing that will meet their personal needs and their financial circumstances, and to comply with
State law. This is the adopted Housing Element, without most of the appendices. It includes the
main body of the Housing Element, Chapters One through Four, along with the Glossary and
City Council Resolutions adopting the Element. This version contains the policies and programs
that explain how the City plans to help meet the community's housing needs.
The appendices provide extensive background information, but are not official City policy. The
expanded version of the Housing Element, including Chapters One through Four, plus 15
appendices, was approved by the City Council after considering and revising the Element at
public hearings during January, February and March of 2004. The appendices include detailed
information on City demographics, housing needs, residential land resources, evaluation of
previous Housing Element policies, the Housing Element Update Task Force Report, and other
housing -related information and are available separately at the City's Community Development
Department as the Housing Element Supplement, or at www.slocity.org on the City's housing
webpage.
The Adopted Housing Element incorporates changes made by the Council during its review and
follows closely the Planning Commission's recommended Draft Housing Element. The Planning
Commission approved a draft and forwarded it to the City Council for action following
approximately four months of review and eight public hearings. The adopted Housing Element
also includes changes recommended by the Housing Element Update Task Force, a 17 -member
ad-hoc committee appointed by the City Council to provide diverse input. As part of the
required Housing Element update process and pursuant to State law, the adopted Housing
Element has been forwarded to the State Department of Housing and Community Development
for review and certification.
The Housing Element is part of the City's General Plan and is one of 10 "elements" or chapters
of that plan. It sets out the City's goals, policies and programs for housing over the next five
years. It works in concert with the other plan elements to help achieve the broader community
goals as expressed in the General Plan Land Use Element. The other elements are Land Use,
Open Space, Circulation, Noise, Safety, Conservation, Energy Conservation, Parks and
Recreation; and Water and Wastewater. Under State law, the Housing Element must be updated
at least every five years. The City intends to update this Element by July 1, 2009..
To purchase copies of the Housing Element or other elements of the General Plan, please contact
the Community Development Department, City of San Luis Obispo, 990 Palm Street, San Luis
Obispo, California 93401-3249. Phone: (805) 781-7170. Fax: (805) 781-7173. Web address:
www.slocity.org
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FOREWORD
Page
1. INTRODUCTION........................................................................................ I
1.10 Purpose.................................................................................................1
1.20 Citizen Participation.............................................................................2
1.30 Consistency with State Planning Law ................................................... 2
1.40 General Plan Consistency..................................................................... 4
1.50 New in this Element.............................................................................. 4
1.60 Housing Element Organization.............................................................5
2. COMMUNITY FACTORS.........................................................................7
2.10 Community Overview... ...........................................................................
7
2.10.10 Demographic Snapshots..................................................................
7
2.10.20 Housing Snapshots...........................................................................8
2.10.30 Neighborhood Snapshots.................................................................9
3. GOALS, POLICIES AND PROGRAMS...................................................11
3.10 Overview...............................................................................................11
3.20 Summary of New Programs..................................................................11
3.30 Goals, Policies and Programs..............................................................12
3.40 Implementation Tools.........................................................................:..30
4. QUANTIFIED OBJECTIVES....................................................................34
4.10 Overview...............................................................................................34
4.20 New Housing Construction Completed ................................................. 34
4.30 New Housing Construction Objectives ................................................. 35
4.40 Preservation of At -Risk Units............................................................... 35
4.50 Rehabilitation and Preservation Objectives.........................................36
4.60 Quantified Objectives Summary ............................................................37
City of San Luis Obispo Housing Element
LIST OF TABLES Page
1. State Housing Element Requirements.................................................................3
2. Inclusionary Housing Requirements....................................................................15
3. Resources/Incentives Available For Housing Activities......................................30
4. Housing Units Completed, January 2001 Through 2003 .....................................34
5. New Housing Construction Objectives, January 2004 to July 2009 ....................35
6. Rehabilitation, Preservation, and Conservation Objectives.................................36
7. Quantified Objectives Summary, 2001 -2009 .......................................................37
LIST OF FIGURES
1. Areas To Be Considered For Possible Rezoning................................................23
APPENDICES
APPENDIXM. GLOSSARY.......................................................................................38
APPENDIX N. COUNCIL RESOLUTIONS.............................................................43
Note: These Appendices are available separately as the Housing Element Supplement, available
for purchase at the Community Development Department, City of San Luis Obispo offices, 990
Palm Street, in San Luis Obispo. The Appendices are also available free of charge on the City's
website at www.slocitv.ore, as part of the Adopted 2004 Housing Element, under the
Department's Housing site.
APPENDIX.A.
COMMUNITY PROFILE
APPENDIX B.
HOUSING
APPENDIX C.
HOUSING CONSTRAINTS AND RESOURCES
APPENDIX D.
RESIDENTIAL LAND RESOURCES
APPENDIX E.
REVIEW OF THE 1994 HOUSING ELEMENT RESULTS
APPENDIX F.
FIVE-YEAR IMPLEMENTATION PLAN
APPENDIX G.
HOUSING TASK FORCE RECOMMENDATIONS
APPENDIX H.
PUBLIC COMMENTS RECEIVED ON THE DRAFT
HOUSING ELEMENT
APPENDIX I.
GENERAL PLAN CONSISTENCY ANALYSIS
APPENDIX J.
PUBLIC DISTRIBUTION LIST
APPENDIX K.
HOUSING RESOURCES/OUTREACH INFORMATION
APPENDIX L.
REFERENCES
City of San Luis Obispo Housing Element
chaptEu i
inwoauction
1.10 Purpose
The City has prepared this document to help its citizen's secure adequate and affordable housing,
and to meet State law. In addition, this Housing Element update has the following basic
objectives:
• To evaluate and quantify community housing needs, constraints and available resources
to effectively satisfy those needs;
• To increase public awareness and understanding of the City's housing situation and its
goals to encourage public participation in addressing those housing needs;
• To provide a comprehensive document that includes goals, policies and programs to help
guide community efforts to meet housing needs through informed decision-making on
land use and housing choices;
• To help develop more affordable housing, and a wider variety of housing, to meet the
City's housing needs for the current planning period which runs from January 1, 2001 to
July 1, 2009;
• To track and document the effectiveness of City programs in meeting housing needs, and
to evaluate opportunities for improving those programs;
• To enable the City to secure financial assistance for the construction of affordable
housing for very low-, low- and moderate income persons.
Under State law, cities are responsible for planning for the well being of their citizens. This
Housing Element is the City's strategy for meeting the housing needs of its citizens, for
preserving and enhancing neighborhoods, and for increasing affordable housing opportunities for
very -low, low and moderate income persons and households. It is the primary policy guide for
local decision-making on all housing matters. Housing consumers, property owners, developers,
elected officials, planners and others will use this Element to help make important personal,
financial and business decisions that will have community -wide impact. The Housing Element
also describes the City's demographic, economic and housing stock as required by State law.
Last, it sets forth the goals, strategies, policies and detailed programs necessary to address
projected housing needs.
City of San Luis Obispo Housing Element
1.20 Citizen Participation
The Housing Element expresses the community's housing priorities, goals, values and hopes for
the future. Preparing the Element is a sizable task that involves extensive community input and
the work of many individuals. Under State law, local governments must be diligent in soliciting
participation by all segments of the community in this effort. During preparation of this Element
Update, citizen participation was actively encouraged through the following forums:
• Eight public hearings before the Planning Commission and seven public hearings before
the City Council;
• Eighteen Housing Element Update Task Force meetings held over a seven month period;
• Posting the Draft Housing Element on the City's website;
• Public notices in local newspapers.
Appendix K provides additional details regarding community outreach efforts.
1.30 Consistency with State Planning Law
California cities and counties must prepare housing elements as required by State law set forth in
Sections 65580 to 65589.8 of the California Government Code. The law mandates that housing
elements include "an identification and analysis of existing and projected housing needs and a
statement of goals, policies, quantified objectives and scheduled programs for the preservation,
improvement and development of housing." This Element fulfills that requirement and provides
a detailed strategy for implementing the City's housing goals through 2009.
State housing goals rely on the effective implementation of housing policies at the local level —
policies found primarily in local housing elements. To ensure local housing policies are
consistent with State law, the State Department of Housing and Community Development (HCD)
reviews local housing elements and reports its written findings to the local government.
Housing elements must also be consistent with the jurisdiction's other general plan elements and
must address several specific requirements regarding the element's scope and content. Table 1
summarizes State requirements and identifies the applicable sections of the City of San Luis
Obispo Housing Element where these requirements are addressed.
City of San Luis Obispo Housing Element 2
Table 1
State Housing Element Reauirements
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A. Housing Needs Assessment
Appendix B
1. Analysis of population trends in relation to countywide trends
Appendix A
2. Analysis of employment trends in relation to regional trends
Appendix A
3. Projection and quantification of existing and projected housing needs
P. 45
for all income groups
4. Analysis and documentation of housing characteristics, including:
Appendix A
a) housing costs in relation to incomes;
Appendix A
b) residential overcrowding;
Appendix A
c) housing stock condition
Appendix A
5. Inventory of land suitable for residential development, including vacant
Appendix D
and underutilized sites having development potential, and analysis of
residential sites and constraints to development of these sites.
6. Analysis of existing and potential government constraints on the
Appendix C
maintenance, improvement or development of housing for all income
levels and for persons with disabilities.
7. Analysis of existing and potential non-governmental and market
Appendix C
constraints on maintenance, improvement or development of housing for
all income levels and for persons with disabilities.
8. Analysis of special housing needs: disabled persons, elderly, large
Appendix B
families, female -headed households, students, farm workers.
9. Analysis of the needs of homeless individuals and families.
Appendix B
10. Analysis of opportunities for energy conservation with respect to
Appendix C
residential development.
B. Goals and Policies
P. 17
1. Identification of San Luis Obispo's housing goals, quantified objectives
P. 19-36
and policies regarding housing maintenance, improvement and
development.
C. Implementation Program
Appendix F
I . Identify adequate sites that will be made available through appropriate
Appendix D
action with required public services and facilities fora variety of
housing es and for all income levels.
2. Program to assist in the development of adequate housing for low- and
P. 19-36
moderate income households.
3. Identify, and when appropriate and possible, remove governmental
P. 19-36
constraints to housing maintenance, improvement and development.
4. Identify programs to conserve and improve San Luis Obispo's existing
P. 19-36
City of San Luis Obispo Housing Element
and affordable housing stock
5. Promote housing opportunities for all persons.
P. 19-36
6. Identify programs to address the potential conversion of assisted
housing developments to market rate units
P. 42
1.40 General Plan Consistency
The Housing Element is one part of the City of San Luis Obispo General Plan. State law requires
that general plans contain an integrated and internally consistent set of goals or policies.
Although the Housing Element is the primary source of information on housing policies,
programs and resources, other General Plan documents also address or affect housing. By law,
new development projects must be consistent with all elements of the General Plan.
For example, the Land Use Element and Circulation Element ser the City's policies for land use
and transportation, which in tum, affect how, when and where the City's housing needs can best
be met. While housing is important, it is but one of many community goals the General Plan
addresses. The other elements contain policies that seek to preserve and enhance the quality of
life San Luis Obispo citizens enjoy. Clean air and water, open space, parks and recreation,
preservation of natural, historic and cultural resources, public services and safety are also
essential qualities of the community. These policies are of equal importance with those of the
Housing Element.
This Element has been reviewed and determined to be consistent with the City's other General
Plan elements, and the policies and programs in the Housing Element reflect policies and
programs contained in other parts of the General Plan. Appendix I includes that evaluation. As
other elements are updated or amended, the Housing Element will be reviewed to ensure general
plan consistency is maintained.
1.50 New in This Element
In 2004, San Luis Obispo faces a more challenging housing environment than the one that shaped
the previous Housing Element. Significant changes, both in California's economy and in State
housing laws, have raised public awareness and concerns about the need for more affordable
housing. Changes to State law also have expanded the scope and complexity of housing
elements. And while efforts have been made to adhere to the previous Element's goals, policies
and programs where possible, this update contains new policies and programs to address these
statewide and regional changes. The updated element also has a new format designed to make it
simpler and easier to use. The updated Element includes new information in response to new
legal requirements:
• Analysis of constraints on housing for persons with disabilities (Ch. 671, Statutes of
2001)
• Programs to remove constraints or accommodate housing for persons with disabilities
(Ch. 671, Statutes of 2001)
• Programs addressing secondary dwelling units (Ch. 1062, Statutes of 2002)
City of San Luis Obispo Housing Element 4
• Policies regarding changes to residential density (Ch. 706, Statutes of 2002)
• Provisions to provide flexibility in identifying adequate sites (Ch. 796, Statutes of 1998)
In addition, the Appendices include several new sections on affordable housing and community
outreach, a glossary, identification of residential land resources, and housing resources to assist
those seeking to plan, build, buy or rent housing in San Luis Obispo.
The Housing Element will be updated by July 2009. Citizens, the Planning Commission or the
City Council may propose up to four amendments to the Element each year, and those changes
may be adopted by the City Council after public hearings are held. For more up-to-date or
detailed information concerning population, housing, land use and development review in San
Luis Obispo, please contact the Community Development Department at City Hall, 990 Palm
Street (P.O. Box 8100), San Luis Obispo, CA 93401-3249, phone (805) 781-7170, or access the
City website @ www.slocity.orQ.
1.60 Housing Element Organization
The Housing Element is organized into four chapters: Introduction, Community Factors, Goals,
Policies and Programs, and Quantified Objectives. These chapters summarize the demographic,
physical, economic, environmental and cultural factors that shape San Luis Obispo's housing
needs, and provide the policy and program map the City will follow to meet its housing needs.
Given the detailed and lengthy analysis involved in the preparation of the Housing Element,
supporting background material was prepared as appendices to the Element. The appendices are
not adopted general plan policy. They are available separately in the Housing Element
Supplement, and include detailed information on housing, land resources, development
constraints and other relevent data. These appendices are:
• Community Profile (Appendix A)
• Housing Needs (Appendix B)
• Housing Constraints and Resources (Appendix C)
• Residential Land Resources (Appendix D)
• Review of the 1994 Housing Element Results (Appendix E)
• Five -Year Implementation Plan (Appendix F)
• Housing Task Force Recommendations (Appendix G)
• Public Comments Received on the Draft Housing Element (Appendix H)
• General Plan Consistency Analysis (Appendix I)
City of San Luis Obispo Housing Element 5
• Public Distribution List (Appendix J)
• Housing Resources and Outreach Information (Appendix K)
• References (Appendix L)
• Glossary (Appendix M)
• Council Resolutions (Appendix N)
• State Certification (Appendix O)
Pursuant to the California Environmental Quality Act, an assessment of potential environmental
impacts resulting from the Housing Element also has been prepared and is available separately
from the Community Development Department.
City of San Luis Obispo Housing Element 6
ChaptER 2
community 4ctoRs
2.10 Community Overview
San Luis Obispo is a compact urban community blessed with rich ethnic, cultural and historical
traditions. Its namesake, Mission San Luis Obispo de Tolosa, founded in 1772, stands as the
community's physical, cultural and spiritual center. With an estimated population in 2003 of
44,359 people, San Luis Obispo is the largest city in terms of population in San Luis Obispo
County and serves as the County seat. Situated in a valley and framed by rolling hills, the City's
setting and visual character are distinctive. The "morros", a series of extinct volcanoes that
transect the city, produce a dramatic backdrop and create the City's unique skyline. San Luis
Obispo is home to California State Polytechnic University, Cuesta College and Camp San Luis
Obispo (California Army National Guard), and is the retail, business, governmental; and
transportation hub of the County.
In assessing the City's housing issues and needs, many factors were considered. These factors
became the foundation for the Element's preliminary goals, policies and programs. Preliminary
housing goals and policies were then refined through the public review process. An overview of
these factors is described below, including snapshots of the City's key demographic, economic
and housing characteristics. An analysis of community factors is provided in Appendix A.
2.10.10 Demographic Snapshots
❑ San Luis Obispo has grown at a slow, steady pace since 1980. Looking back over the last
23 years, the City has grown at an average rate of one percent per year, with periods of
faster or slower growth reflecting national and statewide economic cycles. For example,
in the late 1980s and early 1990s, the City grew at an annual average rate of two percent.
This was followed by a much slower rate of growth in the 1990s. Between 1990 and
1999, the City grew at annual average of only 0.3 percent, well below the General Plan's.
one percent growth target. In the new millennium, the City has grown at an annual
average rate of 1.3 percent.
❑ When compared with California, the most ethnically diverse state in the nation, the City
and County of San Luis Obispo are less ethnically diverse. The 2000 Census found that
over 84 percent of the City is white, about five percent is Asian, with much smaller
percentages of Native Americans, Pacific Islanders, other single races or persons self -
identifying with two or more races. Persons of Hispanic or Latino origin are classified
separately under the 2000 Census and can be of any race. About 12 percent of the City's
population is Hispanic, compared with 16 and 33 percent in the County and State,
respectively.
❑ Many segments of the City's population have difficulty finding affordable housing due to
their economic, physical or sociological circumstances. These special needs groups may
City of San Luis Obispo Housing Element 7
include the elderly, families, single parent households, people with disabilities, very low
and low-income residents, and the homeless.
❑ In 1999, City households earned less, on the average, than their County and State
counterparts.. The median household income (including both family and non -family
households) was $31,926, compared with $42,428 for the County and $47,493 Statewide.
This reflects the high percentage of student households in San Luis Obispo. Many
students attending California State Polytechnic University (Cal Poly) and Cuesta College
are nominally classified as lower income, although they often have significant financial
resources through parental support.
❑ While median City household incomes were less than many other areas of coastal
California, median City housing costs were higher than both the County and State.
Housing costs in San Luis Obispo have risen sharply in recent years while average
household incomes have risen slowly or remained steady. A growing disparity between
household income and housing costs is forcing many to seek housing outside the City.
❑ San Luis Obispo contains the largest concentration of jobs in the County. During
workdays, the City's population increases to an estimated 70,000 persons.
2.10.20 Housing Snapshots
❑ City housing costs have risen dramatically since 1994. Housing cost increases have
outpaced household income increases. As a result, in 2003 only about 23 percent of San
Luis Obispo residents can afford to buy a median -priced home based on their income
alone.
❑ Slightly more city residents rent than own housing. Rental housing costs also have
increased, although not as dramatically as for sale housing.
❑ In the last decade, the rate of housing production in San Luis Obispo slightly exceeded
the rate of population growth. Between 1990 and 2000, the City added about 2,200
residents — an increase of just over five percent. During the same period, the City's
housing stock grew by about 1,400 units — an increase of about eight percent.
❑ San Luis Obispo's housing market is strongly influenced by Cal Poly University and
Cuesta College enrollment. At Cal Poly, on -campus student housing is very limited, and
is non-existent at Cuesta College. Most of the area's students live off campus, in single
family or multi -family rental units in the City of San Luis Obispo. Under City zoning
regulations, tip to five adult students can live together in a house and share rental costs.
Consequently, college students can often out -compete non -student households for rental
housing in areas that were historically single-family residential neighborhoods.
❑ Just over three quarters of the City's housing stock was built before 1980. Despite its
age, the City's housing stock is generally in fair to good condition, with little outward
City of San Luis Obispo Housing Element 8
evidence of substandard or blighted conditions. In recent years, illegal garage
conversions and "bootleg" second units in low- and medium -density residential
neighborhoods, lack of property maintenance, noise and parking have been the focus of
citizen complaints and city code enforcement actions.
❑ While San Luis Obispo City appears mostly "built out", significant areas of developable
land remain that could help meet existing and future housing needs. A land inventory
conducted by the City in 2003 indicated that within city limits, there were about 180 acres
of vacant land, plus about 250 acres of "underutilized" land with additional development
potential. Outside the existing city limits but within the City's Urban Reserve, there were
about 124 acres of vacant land, about 12 acres of underutilized land, plus 641 acres in two
residential expansion areas: the Margarita and Orcutt Specific Plan Areas. In 2003, draft
specific plans for these expansion areas indicate there is a total development potential of
about 1,840 dwellings.
2.10.30 Neighborhood Snapshots
❑ Code enforcement, neighborhood compatibility and property maintenance complaints in
low- and medium -density residential neighborhoods have increased dramatically in recent
years. Since 1994, Complaints received by the Community Development Department
regarding building and zoning code violations, garage conversions, substandard housing,
high -occupancy residential uses, fence height, trailers, noise disturbances, parking and
land use violations have grown by 51 percent. In 2000, the Office of Neighborhood
Services was established as part of the Police Department to address primarily parking.
and property maintenance issues. Since 2000, the ONS has issued over 1,850 citations
for property maintenance/neighborhood enhancement violations, and over 8,700 citations
for noise ordinance violations.
❑ San Luis Obispo became a city in 1856. It has evolved from a small rural village of just
over 2,200 people in 1880 to a vibrant "metropolitan" area of over 44,000 residents in
2003. Its diverse neighborhoods reflect that evolution in terms of land use, population
density, street width and appearance, applicable development codes and architectural
style. The oldest neighborhoods are close to the downtown area, roughly bordered by
State Highway 101, the railroad tracks and High Street. The newest neighborhoods are in
the south and southwest areas of the City.
❑ San Luis Obispo has a strong "sense of place." It began with the founding of Mission San
Luis Obispo De Tolosa in 1772, and before that, was home to a large Chumash
settlement, attracted to the area due to its mild climate and abundant resources. San Luis
Obispo has been shaped by persons of many backgrounds, including: Native Americans,
Spanish, Mexican, Chinese, English, French, German, Irish, Portuguese, Swiss -Italian,
Japanese, Filipino, and many others. The community takes pride in its rich, multi-ethnic
and multi -cultural heritage, and its many historic homes and commercial buildings.
Architectural and historic preservation are important considerations in many
neighborhoods.
City of San Luis Obispo Housing Element 9
❑ San Luis Obispo's neighborhoods traditionally have been made up mostly of single-
family housing. Low-density, detached single-family housing is still the City's
predominant residential land use by land area. Of the roughly nine square miles of zoned
land, about 28 percent is zoned for low-density residential development. By contrast,
about 14 percent is zoned for multi -family residential use (Medium, Medium -High, and
High density residential uses).
City of San Luis Obispo Housing Element 10
chaptER 3
coals, policies ana puocRams
3.10 Overview
This chapter of the Housing Element describes the City's housing goals, policies and programs
for the planning period January 2001 to July 2009. These are based on an assessment of the
City's needs, opportunities and constraints; an evaluation of its existing policies and programs;
and community input from the Housing Element Update Task Force, community groups, public
hearings, workshops and correspondence.
3.20 Summary of New Programs
Higher housing costs, population growth, and the State's economic recession are making it far
more difficult for many households to meet their housing needs today than in the mid-1990s.
Consequently, San Luis Obispo's housing strategy has expanded to meet those needs by:
• Exempting housing affordable to moderate income households, and housing in the
Downtown Core, from Residential Growth Management Regulations.
• Providing incentives to encourage developers to build more affordable compact rental
and ownership housing.
• Initiating rezoning of several areas suitable for higher density, infill housing.
• Establishing a "First-time Homebuyers Program" to assist low- and moderate income
households in purchasing a home.
• Using a combination of State and Federal grants, affordable housing funds, density
bonuses and other incentives, accommodate development of 4,087 dwellings during
the planning period from January 1, 2001 to July 1, 2009.
• Amending the City's Affordable Housing Standards to lower rent levels for dwellings
intended to be affordable for moderate income households and individuals.
• Using Section 108 Federal guaranteed loan funds and other funding sources, initiate
development of a major downtown mixed-use project with both affordable and
market -rate housing.
• Requiring most new multi -story buildings in the Downtown Core to provide housing
above the ground floor.
• Providing special incentives to encourage downtown residential development, and
instituting more flexible parking requirements for specified housing developments
City of San Luis Obispo Housing Element
where alternative parking/transportation strategies exist.
• Seeking new funding sources to help defray City development review and impact fees
for developers of very low-, low- and moderate income housing.
• Reducing obstacles to the production of small residential projects by exempting the
construction, remodeling or relocation of most developments of four small dwellings
or less from Architectural Review Commission review.
• Promoting mixed-use development, infill residential development, and more compact,
higher density housing where appropriate.
This strategy combines requirements and incentives to increase production of both affordable and
market -rate housing over the next five years.
Like many small cities with only limited public funds for housing, the City has relied on the
private sector to meet a portion of its affordable housing needs. Increasingly, local governments
are finding it necessary to assist developers if adequate housing is to be built at prices that
citizens can afford. Across the U.S., it has become apparent that the most effective programs
involve cooperative public/private efforts to produce affordable housing. This requires that the
City take a more active role in planning, funding and promoting affordable housing than has been
its practice. This Housing Element builds upon programs introduced in 1994 to promote
affordable housing and expands incentives for affordable housing construction. For example, the
City will use Affordable Housing Funds generated by the Inclusionary Housing program to help !
fund affordable housing developments; and using Community Development Block Grant funds,
the City has established a Housing Programs Specialist position to actively support affordable
housing by soliciting grants, loans, and other forms of assistance.
3.30 Goals, Policies and Programs
This chapter describes the City's housing goals, policies and programs, which together form the
blueprint for housing actions during the eight and one-half year period covered by this Element.
Goals, policies and programs are listed in top -to -bottom order, with goals at the top and being the
most general Statements, working down to programs, the most specific Statements of intent.
Here is how the three policy levels differ:
o Goals are the desired results that the City will attempt to reach over the long term. They are
general expressions of community values or preferred end states, and therefore, are abstract in
nature and are rarely fully attained. While it may not be possible to attain all goals during
this Element's planning period, they will, nonetheless, be the basis for City policies and
actions during this period.
v Policies are specific statements that will guide decision-making. Policies serve as the
directives to developers, builders, design professionals, decision makers and others who will
initiate or review new development projects. Some policies stand alone as directives, but
others require that additional actions be taken. These additional actions are listed under
City of San Luis Obispo Housing Element 12
"programs" below. Most policies have a time frame that fits within this Element's planning
period. In this context, "shall" means the policy is mandatory; "should" or "will" indicate the
policy should be followed unless there are compelling or contradictory reasons to do
otherwise.
o Programs are the core of the City's housing strategy. These include on-going programs,
procedural changes, general plan changes, rezonings or other actions that help achieve
housing goals. Programs translate goals and policies into actions.
Goal 1.1 Safely. Providing safe, decent shelter for all residents.
1.2 Policies
1.2.1 Assist those citizens unable to obtain safe shelter on their own.
1.2.2 Support and inform the public about fair housing laws and programs that allow equal
housing access for all city residents.
1.2.3 Maintain a level of housing code enforcement sufficient to correct unsafe, unsanitary
or illegal conditions and to preserve the inventory of safe housing.
13 Programs
1.3.1 Provide financial assistance to very -low, low- and moderate income homeowners and
renters for the rehabilitation of approximately 45 rental housing units and 45 single-
family or mobile home units using Federal, State and local housing funds, such as
Community Development Block Grant Funds.
1.3.2 Continue code enforcement to expedite the removal of illegal or unsafe dwellings, to
eliminate hazardous site or property conditions, and resolve chronic building safety
problems.
1.3.3 Enact a Rental Inspection Program to improve the condition of the City's housing
stock.
1.3.4 Continue to support local and regional solutions to homelessness by funding
programs such as the SLO Homeless Shelter and Prado Day Center for Homeless
Persons.
1.3.5 Create an educational campaign for owners of older residences informing them of
ways to reduce the seismic hazards commonly found in such structures, and
encouraging them to undertake seismic upgrades..
Goal 2.1 Affordability. Accommodate affordable housing production that helps meet the
City's Quantified Objectives.
City of San Luis Obispo Housing Element 13
2.2 Policies
2.2.1 Income Levels For Affordable Housing households. For purposes of this Housing
Element, affordable housing is that which is obtainable by a household with a
particular income level, as further described in the City's Affordable Housing
Standards. Housing affordable to Very -low, Low, and Moderate income persons or
households shall be considered "affordable housing." Income levels are defined as
follows:
Very low: 50% or less of County median household income.
Low: 51 % to 80% of County median household income.
Moderate: 81% to 120% of County median household income.
Above moderate: 121% or more of County median household income..
2.2.2 Index of Affordability. The Index of Affordability shall be whether the monthly
cost of housing fits within the following limits:
❑ For very low- and low-income households, not more than 25% of monthly income.
❑ For moderate income households, not more than 30% of monthly income.
❑ For above -moderate income households, no index.
These indices may be modified or expanded if the State of California modifies or
expands its definition of affordability for these income groups.
2.2.3 For housing to qualify as "affordable" under the provisions of this Element, guarantees
must be presented that ownership or rental housing units will remain affordable for the
longest period allowed by State law, or for a shorter period under an equity -sharing or
housing rehabilitation agreement with the City.
2.2.4 Encourage housing production for all financial strata of the City's population, in the
proportions shown in the Regional Housing Needs Allocation, for the 2001 — 2009
planning period. These proportions are: very low income, 34 %; low income, 19 %;
moderate income, 20 %; above moderate income, 27 %.
23 Programs
2.3.1 Amend the Inclusionary Housing Regulations to require that new residential
subdivisions and residential development projects meet the inclusionary requirement
by: 1) building the required affordable housing on- or off-site, 2) dedicating real
property, or 3) rehabilitating units with guarantees the units remain affordable,
pursuant to the Affordable Housing Standards, as shown in Tables 2 and 2A, and as
further described in the Inclusionary Housing Ordinance.
City of San Luis Obispo Housing Element 14
Table 2
Inclusionary Housing Requirement
;, ur,tin
Type of Development Project'
Residential - Adjust base requirement per Table 2A Commercial
Build 3% low or 5% moderate income Affordable
Build 2 ADUs per acre, but not less
y
Dwelling Units (ADUs'), but not less than I ADU per
than 1 ADU per project;
project;
or'
Or
U
pay in -lieu fee equal to 5% of building valuation."
pay in -lieu fee equal to 5 % of
building valuation.
0
Build 5% low- and 10% moderate income ADUs, but
Build 2 ADUs per acre, but not less
Qnot
less than 1 ADU per project;
than 1 ADU per project;
c
°
h
or
or
pay in -lieu fee equal to 15% of building valuation.
pay in -lieu fee equal to 5% of
building valuation.
'Residential developments of four or less dwellings, and commercial developments of 2,500 gross square feet of
floor area or less are exempt from these requirements.
ZAffordable Dwelling Units must meet City affordability criteria listed in Goal 2.1.
'Developer may build affordable housing in the required amounts, pay in -lieu fee based on the above formula, or
dedicate real property, or a combination of these, to City approval.
'"Building valuation" shall mean the total value of all construction work for which a permit would be issued, as
determined by the Chief Building Official using the Uniform Building Code.
City of San Luis Obispo Housing Element 15
TABLE 2A
Project
Density
(Density
Units/Net
Acrei
Inclusionary Housing Requirement
Adjustment Factor
Average Unit Size (sq. ft.)
Up to
1,100
1,101-1,500
1,501-2000
2,001-2,500
2,501-
3 000
>3,000
36 or more
0
0
.75
1
1.25
1.5
24-35.99
j 0
0
.75
1
1.25
1.5
12-23.99
0
.25
1
1.25
1.5
1.75
7-11.99
0
.5
1
1.25
1.5
1.75
<7
0
.5
1.25
1.5
1.75
2
Including allowed density bonus, where applicable.
2Multiply the total base Inclusionary Housing Requirement (either housing or in -lieu percentage) by the adjustment
factor to determine requirement. At least one enforceably-restricted affordable unit is required per development of
five or more units.
2.3.2 Maintain a city housing fund to be used to develop affordable housing units and
acquire land for affordable housing projects. To qualify for such public assistance,
the development of affordable units must include guarantees the units will remain
affordable for the longest period allowed by State law. Inclusionary housing in -lieu
fees will be placed into this fund.
2.3.3 Review existing and proposed building and planning policies regulations to determine
whether there are changes possible that could assist the production of affordable
housing but that do not conflict with other General Plan policies. Such periodic
reviews will seek to remove regulations that are no longer needed.
2.3.4 Adopt permit streamlining procedures to speed up the processing of applications and
construction permits for affordable housing projects. City staff and commissions
should give such projects priority in allocating work assignments, scheduling,
conferences and hearings, and in preparing and issuing reports.
2.3.5 Review and revise existing and proposed building and planning policies and
regulations to encourage "green building technology", and to allow construction of
personalized, unconventional housing types that reduce cost and/or energy and
materials consumption relative to conventional construction, provided that residential
quality and safety can be maintained.
2.3.6 Pursue outside funding sources for the payment of City impact fees so that new
dwellings that meet the City's affordable housing standards can mitigate their facility
and service impacts without adversely affecting housing affordability.
City of San Luis Obispo Housing Element 16
2.3.7 To the extent outside funding sources can be identified to offset impacts on City
funds, exempt dwellings that meet the moderate income, Affordable Housing
Standards from planning, building and engineering development review and permit
fees, including water meter installation fee. Retain current exemptions for very -low
and low-income households.
2.3.8 Help coordinate public and private sector actions to encourage the development of
housing that meets the City's housing needs.
2.3.9 Assist with the issuance of bonds, tax credit financing, loan underwriting or other
financial tools to help develop or preserve affordable units through various programs,
including, but not limited to: (1) below-market financing and (2) subsidized
mortgages for very -low, low- and moderate income persons and first-time home
buyers, and (3) self-help or "sweat equity" homeowner housing.
2.3.10 Amend Affordable Housing Standards to modify the method for calculating
maximum moderate income rental costs, so that moderate income rents are
proportionately consistent with rental costs for very low- and low-income renters, to
the extent allowed by State and Federal law.
2.3.11 In conjunction with the Housing Authority and other local housing agencies, provide
on-going technical assistance and education to tenants, property owners and the
community at large on the need to preserve at -risk units as well as the available tools
to help them do so.
2.3.12 In conjunction with local housing providers and the local residential design
community, provide technical assistance to the public, builders, design professionals
and developers regarding design strategies to achieve affordable housing.
Goal 3.1 Housing Conservation. Conserve existing housing and prevent the loss of safe
housing and the displacement of current occupants.
3.2 Policies
1.2.1 Encourage the rehabilitation, remodeling or relocation of sound or rehabitable housing
rather than demolition. Demolition of non -historic housing may be permitted where
conservation of existing housing would preclude the achievement of other housing
objectives or adopted City goals.
1.2.2 Discourage the removal or replacement of housing affordable to very -low, low- and
moderate income households by higher -cost housing, and avoid permit approvals,
municipal actions or public projects that remove or adversely impact such housing
;. unless such actions are necessary to achieve General Plan objectives and: (1) it can be
demonstrated that rehabilitation of lower-cost units at risk of replacement is financially
City of San Luis Obispo Housing Element 17
or physically infeasible, or (2) an equivalent number of new units comparable or better
in affordability and amenities to those being replaced is provided, or (3) the project
will correct substandard, blighted or unsafe housings and (4) replacement will not
adversely affect a designated historic resource.
1.2.3 Encourage seismic upgrades of older dwellings to reduce the risk of bodily harm and
the loss of housing in an earthquake.
3.2.4 Encourage the construction, preservation; rehabilitation or expansion of residential
hotels, group homes, integrated community apartments, and single -room occupancy
dwellings.
3.2.5 Preserve historic homes and other types of historic residential buildings, historic
districts and unique or landmark neighborhood features.
3.2.6 Preserve the fabric, amenities, yards (i.e. setbacks), and overall character and quality of
life of established neighborhoods.
33 Programs
3.3.1 When the City finds affordable unit removal is necessary in connection with a
municipal project, it shall help displaced residents find affordable replacement housing
and assist with relocation costs.
3.3.2 When the City permits private development projects that displace affordable housing,
it will require the developer to assist displaced residents find affordable local
replacement housing. Such measures may include: first priority in purchasing or
renting new affordable dwellings to be developed on-site, assistance with relocation
costs, or other financial measures.
3.3.3 Evaluate, and where necessary, revise building, zoning and fire code requirements
which discourage housing and encourage the conversion of housing to other uses.
3.3.4 Using State or Federal grant funds such as Community Development. Block Grants, or
other funding sources, the City will establish a housing rehabilitation program
offering low-cost loans or other rehabilitation assistance to those who cannot afford or
obtain conventional financing. The purposes of the program shall be to remove
unsafe, unsanitary or illegal conditions, maintain safe housing, and preserve
neighborhoods.
3.3.5 Preserve the number of dwellings in the Downtown Core (C -D Zone) and the
Downtown Planning Area by adopting a "no net housing loss" program by amending
the Downtown Housing Conversion Permit ordinance. The amendment shall ensure
that within each area, the number of dwellings removed shall not exceed the number
of dwellings added.
City of San Luis Obispo Housing Element 18
3.3.6 Identify residential properties and districts eligible for local, State or Federal listing
and prepare guidelines and standards to help property owners repair, rehabilitate and
improve properties in a historically and architecturally sensitive manner.
3.3.7 To encourage housing rehabilitation, amend the Affordable Housing Standards to
allow a reduced term of affordability for rehabilitated units, to the extent allowed by
State or Federal law, with a minimum term of three years and in proportion to the
level of City assistance.
3.3.8 Establish a monitoring and early warning system to track affordable housing units at -
risk of being converted to market rate housing.
Goal 4.1 Mixed -Income Housing. Preserve and accommodate existing and new mixed -
income neighborhoods and seek to prevent neighborhoods or housing types that are
segregated by economic status.
4.2 Policies
4.2.1 Within newly developed neighborhoods, housing that is affordable to various
economic strata should be intermixed rather than segregated into separate enclaves.
The mix should be comparable to the relative percentages of very -low, low, moderate
and above -moderate income households in the City's quantified objectives.
4.2.2 Include both market -rate and affordable units in apartment and residential
condominium projects and intermix the types of units. Affordable units should be
comparable in appearance and basic quality to market -rate units.
4.2.3 Very low-income housing, such as that developed by the Housing Authority of the
City of San Luis Obispo or other housing providers, may be located in any zone that
allows housing, and should be dispersed throughout the City rather than concentrated
in one neighborhood or zone. In general, 23 dwellings should be the maximum
number of very -low-income units developed on any one site.
4.2.4 In its discretionary actions, housing programs and activities, the City shall
affirmatively further fair housing and promote equal housing opportunities for
persons of all economic segments of the community.
4.3 Program
4.3.1 Review new development proposals for compliance with City regulations and revise
projects or establish conditions of approval as needed to implement the mixed -
income policies.
City of San Luis Obispo Housing Element 19
Goal 5.1 Housing Variety and Tenure. Provide variety in the location, type, size, tenure,
and style of dwellings.
5.2 Policies
5.2.1 Encourage the integration of appropriately scaled, special -use housing into
developments or neighborhoods of conventional housing.
5.2.2 Encourage mixed-use residential/commercial projects to include live -work and work -
live units where housing, offices or other commercial uses are compatible.
4.2.3 Encourage the development of housing above ground -level retail stores and offices to
provide housing opportunities close to activity centers and to use land efficiently.
5.2.4 In general, housing developments of twenty (20) or more units should provide a
variety of dwelling types, sizes or forms of tenure.
53 Program
5.3.1 Review new developments for compliance with City regulations and revise projects or
establish conditions of approval as needed to implement the housing variety and
tenure policies. .
Goal 6.1 Housing Production. Plan for new housing to meet the full range of community
housing needs.
6.2 Policies
6.2.1 Consistent with the growth management portion of its Land Use Element and the
availability of adequate resources, the City will plan to accommodate up to 2,909
exempt and non-exempt dwelling units between January 2001 and July 2009. Cal
Poly University intends to provide up to 1,178 housing units on State land during the
planning period.
6.2.2 New commercial developments in the Downtown Core (C -D Zone) shall include
housing, unless the City makes one of the following findings:
❑ Housing is likely to jeopardize the health, safety or welfare of residents or
employees;
❑ The property's shape, size, topography or other physical factor makes
dwellings infeasible.
6.2.3 If City services must be rationed to new development, residential projects will be
given priority over non-residential projects.
6.2.4 City costs of providing services to housing development will be minimized. Other
City of San Luis Obispo Housing Element 20
than for existing housing programs encouraging housing affordable to very -low and
low income persons, the City will not make new housing more affordable by shifting
costs to existing residents.
63 Programs
6.3.1 Amend the General Plan and Residential Growth Management Regulations (SLOMC
17.88) to exempt all new housing in the Downtown Core (C -D zone), and new
housing in other zones that is enforceably restricted for very low-, low- and moderate
income households, pursuant to the Affordable Housing Standards. In expansion
areas, the overall number of units built must conform to the city -approved phasing
plan.
6.3.2 Amend the Zoning. Regulations to allow flexible parking regulations for housing
development, especially in the Downtown Core (C -D Zone), including the possibility
of reduced or no parking requirements where appropriate guarantees limit
occupancies to persons without motor vehicles or who provide proof of reserved, off-
site parking.
6.3.3 Provide incentives to encourage additional housing in the Downtown Core (C -D
Zone), particularly in mixed-use developments. Incentives may include flexible
density, use, height, or parking provisions, fee reductions, and streamlined
development review and permit processing.
6.3.4 Amend the Parking Management program to promote housing in the Downtown Core
(C -D Zone) by allowing flexible use of city parking facilities by Downtown residents,
where appropriate. Such use may include requirements for parking use fees, use
limitations and enforcement provisions.
6.3.5 Specific plans for designated Expansion Areas shall include appropriately zoned land
to meet the City's regional housing need for dwellings affordable to very low- and
low-income households, including R-3 and R-4 zoning. These plans shall include
sites suitable for subsidized rental housing and affordable rental and owner -occupied
units. Such sites shall be integrated within neighborhoods of market -rate housing and
shall be architecturally compatible with the neighborhood.
6.3.6 Specific plans shall designate sufficient areas at appropriate densities to
accommodate the types of dwellings that would be affordable in the percentages
called for by this Element. Also, specific plans will include programs to assure that
the affordable dwellings actually will be produced.
6.3.7 Consider amendments to the General Plan to rezone commercial, manufacturing or
public facility zoned areas for residential use, to promote higher -density, infill or
mixed-use housing where land development patterns are no longer valid and where
impact to Low Density Residential areas is minimal. For example, areas to be
City of San Luis Obispo Housing Element 21
considered for possible rezoning include, but are not limited to the following sites
(shown in Figure 1):
a) Little Italy district and portions of Broad Street corridor
b) Mid-Higuera corridor, between Fontana Avenue and Prado Road
c) 791/861 Orcutt Road
d) West side of Ferrini Road, between Cerro Romauldo and Felton Way
e) 3730 South Higuera Street
f) 1642 Johnson Avenue and 1499 San Luis Drive (rezone vacant and underutilized
school district property)
g) 1030 Southwood Drive
6.3.8 Support regional efforts to establish a countywide affordable housing fund to be
funded through a countywide, dedicated revenue source rather than diverting existing
affordable housing trust funds. The City should manage its Affordable Housing
funds generated through the Inclusionary Housing Program to assist affordable
housing development in the City.
6.3.9 Balance City efforts to encourage residential development by focusing as much on
ill development and densification within City Limits as on annexation of new
residential land.
6.3.10 Seek opportunities with other public agencies and public utilities to identify,
assemble, develop, redevelop and recycle surplus land for housing, and to convert
vacant or underutilized public, utility or institutional buildings to housing.
6.3.11 Develop multi -family housing design standards to promote innovative, attractive, and
well -integrated higher -density housing. Developments that meet these standards shall
be eligible for a streamlined level of planning and development review.
Developments that include a significant commitment to affordable housing may also
be eligible to receive density bonuses, parking reductions and other development
incentives, including City financial assistance.
6.3.12 Financially assist in the development of 90 new ownership or rental units affordable
to very -low, low- and moderate income households during the planning period using
State, Federal and local funding sources.
6.3.13 Actively seek new revenue sources, including State, Federal and private/non-profit
sources, and financing mechanisms to assist affordable housing development and
first- time homebuyer assistance programs.
City of San Luis Obispo Housing Element 22
Figure 1
Areas to be Considered for Possible Rezoning
6.3.14 Exempt the construction, relocation, rehabilitation or remodeling of up to four
dwellings of up to 1200 square feet each from Architectural Review Commission
review. New multi -unit housing may be allowed with "Minor or Incidental" or staff
level architectural review, unless the dwellings are located on a sensitive or
historically significant site.
City of San Luis Obispo Housing Element
23
6.3.15 Consider amendments to the Zoning Regulations to increase residential density limits
in the Downtown Core (C -D Zone).
6.3.16 Assist in the production of long-term affordable housing by identifying vacant or
underutilized City -owned property suitable for housing, and dedicate public property,
where feasible and appropriate, for such purposes.
Goal 7.1 Neighborhood Quality. Maintain, preserve and enhance the quality of
neighborhoods, encourage neighborhood stability, and improve neighborhood appearance and
function.
7.2 Policies
7.2.1 Within established neighborhoods, new residential development shall be of a
character, size, density and quality that preserves the neighborhood character and
maintains the quality of life for existing and future residents.
7.2.2 Higher density housing should maintain high quality standards for unit design,
privacy, security, on-site amenities, and public and private open space. Such
standards should be flexible enough to allow innovative design solutions in special
circumstances, e.g. in developing mixed-use developments or in housing in the
Downtown Core.
7.2.3 Within established neighborhoods, housing should not be located on sites designated
in the General Plan for parks or open space..
7.2.4 Within expansion areas, new residential development should be an integral part of an
existing neighborhood or should establish a new neighborhood, with pedestrian and
bicycle linkages that provide direct, convenient and safe access to adjacent
neighborhoods, schools and shopping areas.
7.2.5 The creation of walled-off residential enclaves, or of separate, unconnected tracts, is
discouraged because physical separations prevent the formation of safe, walkable,
and enjoyable neighborhoods.
7.2.6 Housing shall be sited to enhance safety along neighborhood streets and in other
public and semi-public areas.
7.2.7 The physical designs of neighborhoods and dwellings should promote walking and
bicycling, and should preserve open spaces and views.
73 Programs
7.3.1 Implement varied strategies to ensure residents are aware of and able to participate in
planning decisions affecting their neighborhoods early in the planning process.
City of San Luis Obispo Housing Element 24
7.3.2 Identify specific neighborhood needs, problems, trends and opportunities for
improvements. Work directly with neighborhood groups and individuals to address
concerns.
7.3.3 Help fund neighborhood improvements, including sidewalks, traffic calming devices,
crosswalks, parkways, street trees and street lighting to improve aesthetics, safety and
accessibility.
7.3.4 Continue to develop and implement neighborhood parking strategies, including
parking districts, to address the lack of on- and off-street parking in residential areas.
Goal 8.1 Special Housing Needs. Encourage the creation and maintenance of housing for
those with special housing needs.
8.2 Policies
8.2.1 Encourage housing development that meets a variety of special needs, including large
families, single parents, disabled persons, the elderly, students, the homeless, or those
seeking congregate care, group housing, single -room occupancy or co -housing
accommodations, utilizing universal design.
8.2.2 Preserve manufactured housing parks and support changes in this form of tenure only
if such changes provide residents with greater long-term security or comparable
housing in terms of quality, cost, and livability.
8.2.3 Encourage manufactured homes in Expansion Areas by:
a) Encouraging developers to create owner -occupied manufactured home parks with
amenities such as greenbelts, recreation facilities, and shopping services within a
master planned community setting. Such parks could be specifically designed to
help address the needs of those with mobility and transportation limitations.
b) Establish lot sizes, setback, and parking guidelines that allow for relatively dense
placement of manufactured homes within the master planned neighborhood.
c) Locate manufactured home parks near public transit facilities or provide public
transportation services to the manufactured home parks to minimize the need for
residents to own automobiles.
8.2.4 Encourage Cal Poly University to continue to develop on -campus student housing to
meet existing and future needs and to lessen pressure on City housing supply and
transportation systems.
8.2.5 Strengthen the role of on -campus housing by encouraging Cal Poly University to
City of San Luis Obispo Housing Element 25
require entering freshmen students to live on campus during their first year.
8.2.6 Locate fraternities and sororities on the Cal Poly University campus. Until that is
possible, they should be located in Medium -High and High Density residential zones
near the campus.
8.2.7 Encourage Cal Poly University to develop faculty and staff housing, such as sites
designated H-8 and H-9 located on State-owned land along State Highway 1, and
consistent with the General Plan
8.2.8 Encourage Cuesta College to explore opportunities and strategies for the development
of student housing to meet both existing and future needs, to lessen pressure on City
housing supply and transportation systems.
8.2.9 Disperse special -needs living facilities throughout the City rather than concentrate
them in one district.
8.3 Programs
8.3.1 As funding allows, support local and regional solutions to meeting the needs of the
homeless and continue to support, jointly with other agencies, shelters for the
homeless and for displaced women and children.
8.3.2 Continue the mobile home rent stabilization program to minimize increases in the
cost of mobile home park rents.
8.3.3 Identify sites in specified expansion areas suitable for tenant -owned mobile -home
parks, cooperative housing, manufactured housing, self-help housing, or other types
of housing that meet special needs.
8.3.4 Advocate developing non -dormitory housing on the Cal Poly University campus and
refurbishing existing campus housing and its associated programs to make campus
living more attractive and affordable.
8.3.5 Work with Cal Poly University Administration to secure designation of on -campus
fraternity/sorority living groups.
8.3.6 Jointly develop and adopt a student housing plan and "good neighbor program" with
Cal Poly University, Cuesta College and City residents. The program would seek to
improve communication and cooperation between the City and the schools, set on
campus student housing objectives and establish clear, effective standards for student
housing in residential neighborhoods.
8.3.7 Provide public educational information at the City's Community Development
Department public counter on universal design concepts in new construction.
City of San Luis Obispo Housing Element 26
Goal 9.1 Sustainable Housing, Site, and Neighborhood Design. As part of its
overall commitment to quality of life for its citizens, and to maintaining environmental quality,
the City encourages housing that is resource -conserving, healthful, economical to live in,
environmentally benign, and recyclable when demolished.
9.2 Policies
9.2.1 Residential developments should promote sustainability in their design, placement,
and use. Sustainability can be promoted through a variety of housing strategies,
including the following:
a) Maximize use of renewable, recycled -content, and recycled materials, and
minimize use of building materials that require high levels of energy to produce or
that cause significant, adverse environmental impacts.
b) Incorporate renewable energy features into new homes, including passive solar
design, solar hot water, solar power, and natural ventilation and cooling..
c) Minimize thermal island effects through reduction of heat -absorbing pavement and
increased tree shading.
d) Avoid building materials that may contribute to health problems through the
release of gasses or glass fibers into indoor air.
e) Design dwellings for quiet, indoors and out, for both the mental and physical
health of residents.
f) Design dwellings economical to live in because of reduced utility bills, low cost
maintenance and operation, and improved occupant health.
g) Use construction materials and methods that maximize the recyclability of a
building's parts.
h) Educate public, staff, and builders to the advantages and approaches to sustainable
design, and thereby develop consumer demand for sustainable housing.
i) City will consider adopting a sustainable development rating system, such as the
LEED program.
9.2.2 Residential site, subdivision, and neighborhood designs should be coordinated to
make residential sustainability work. Some ways to do this include:
a) Design subdivisions to maximize solar access for each dwelling and site.
b) Design sites so residents have usable outdoor space with access to both sun and
shade.
c) Streets and access ways should minimize pavement devoted to vehicular use.
d) Use neighborhood retention basins to purify street runoff prior to its entering
creeks. Retention basins should be designed to be visually attractive as well as
functional. Fenced -off retention basins should be avoided.
e) Encourage cluster development with dwellings grouped around significantly -
sized, shared open space in return for City approval of smaller individual lots.
i
City of San Luis Obispo Housing Element 27
f) Treat public streets as landscaped parkways, using continuous plantings at least
six feet wide and where feasible, median planters to enhance, define, and to buffer
residential neighborhoods of all densities from the effects of vehicle traffic.
9.2.3 Preserve the physical neighborhood qualities in the Downtown Planning Area that
contribute to sustainability. Some ways to do this include:
a) Maintain the overall scale, density and architectural character of older
neighborhoods surrounding the Downtown Core.
b) Encourage the maintenance and rehabilitation of historically designated housing
stock.
9.2.4 To promote energy conservation and a cleaner environment, encourage the
development of dwellings with energy-efficient designs, utilizing passive and active
solar features, and the use of energy-saving techniques that exceed minimums
prescribed by State law.
9.2.5 Actively promote water conservation through housing and site design to help
moderate the cost of housing..
93 Programs
9.3.1 Educate planning and building staff and citizen review bodies on energy conservation
issues, including the City's energy conservation policies and instruct that they work
with applicants to achieve the housing goals that conserve energy.
9.3.2 Revise the Energy Conservation Element to address residential energy conservation
for both new and existing dwellings. Disseminate this information to the public.
9.3.3 Evaluate present solar siting and access regulations to determine if they provide
assurance of long-term solar access for new or remodeled housing and for adjacent
properties, and revise regulations found to be inadequate.
9.3.4 Consider adopting street and access way standards that reduce the amount of paving
devoted to vehicular use.
Goal 10.1 Local Preference. Maximize affordable housing opportunities for those who live
or work in San Luis Obispo while seeking to balance job growth and housing supply.
10.2 Policies
10.2.1 Administer City housing programs and benefits, such as First Time Homebuyer
assistance or affordable housing lotteries, to give preference to: 1) persons living or
working in the City or within the City's Urban Reserve, and 2) persons living in San
City of San Luis Obispo Housing Element 28
Luis Obispo County.
10.2.2 Cal Poly State University and Cuesta College should actively work with the City and
community organizations to create positive environments around the Cal Poly
Campus by:
a) Establishing standards for appropriate student densities in neighborhoods near
Campus,
b) Promoting homeownership for academic faculty and staff in Low -Density
Residential neighborhoods near Campus; and
c) Encouraging and participating in the revitalization of degraded neighborhoods.
10.3 Programs
10.3.1 Work with the County of San Luis Obispo to mitigate housing impacts on the City
due to significant expansion of employment in the unincorporated areas adjacent to
the City. Such mitigation might include, for example, County participation and
support for Inclusionary Housing Programs.
10.3.2 Encourage residential developers to promote their projects within the San Luis
Obispo housing market area (San Luis Obispo County) first.
10.3.3 Advocate the establishment of a link between enrollment and the expansion of
campus housing programs at Cal Poly University and Cuesta College to reduce
pressure on the City's housing supply.
10.3.4 Work with other jurisdictions to advocate for State legislation that would: 1) provide
funding to help Cal Poly University and Cuesta College provide adequate on -campus
student housing, and 2) allow greater flexibility for State universities and community
colleges to enter into public-private partnerships to construct student housing.
Goal 11.1 Suitability. Develop and retain housing on sites that are suitable for that purpose.
11.2 Policies
11.2.1 Where property is equally suited for commercial or residential uses, give preference
to residential use. Changes in land use designation from residential to non-residential
should be discouraged.
11.2.2 Prevent new housing development on sites that should be preserved as dedicated
open space or parks, on sites subject to natural hazards such as unmitigatable
geological or flood risks, or wild fire dangers, and on sites subject to unacceptable
levels of man-made hazards or nuisances, including severe soil contamination, airport
noise or hazards, traffic noise or hazards, odors or incompatible neighboring uses.
City of San Luis Obispo Housing Element 29
113 Program
11.3.1 The City will adopt measures ensuring the ability of legal, conforming non-
residential uses to continue where new housing is proposed on adjacent or nearby
sites.
3.40 Implementation Tools
A variety of Federal, State and local programs and resources are available to help implement the
City's housing goals and activities. These include both financial resources, as well as in-kind
incentives that help address housing needs. Table 3 lists the available resources, incentives and
other tools that can help address housing needs.
Table 3
Resources/Incentives Available Yor rious>tng ActIVInes
Local Resources
City of San Luis Obispo Affordable
In -lieu fees paid by developers to
Any expense in support of
Housing Fund
meet inclusionary housing
affordable housing development,
requirements.
subject to City Council approval and
adopted criteria (Res. No. 9263,
2001 Series).
Development Services Fee Waivers
Residential development projects
• Affordable housing projects
that meet City affordable housing
• Mixed-use developments with
standards for very low- and low-
affordable units
income households are exempt from
• Senior housing projects
all planning, engineering and
building review, processing and
permit fees, water and sewer meter
hook-up fees. Projects with a
combination of market -rate and
affordable units receive the waiver
on aper -unit basis.
Impact Fee Waivers
Citywide development impact fees
• Affordable housing projects
are waived for affordable residential
• Mixed-use developments with
units that: 1) exceed the minimum
affordable units
required under inclusionary housing
• Senior housing projects
standards, or 2) are built, owned and
managed by the San Luis Obispo
Housing Authority, other government
agencies, or not-for-profit housing
agencies.
Density Bonus
The City allows an increase in
• Affordable housing
residential density of at least 25% for
projects
development projects that reserve at
• Mixed-use developments
least 20% of the units for low, or
with affordable units
moderately affordable housing; or
• Senior housing projects
10% of the units for very low
City of San Luis Obispo Housing Element 30
Alternative Incentives
Flexible Development Standards
Grants -In -Aid Funds
Mills Act Program
Technical Assistance
Multi -Family Housing Revenue
Bonds
Mortgage Credit Certificate
income; or at least 50% of the units
for qualifying seniors.
When developers agree to construct
very low-, low-, moderate income or
senior housing, the City may
negotiate an alternative incentive of
comparable value to the density
bonus, such as exceptions to
development standards, direct
financial assistance, or city
A variety of flexible development
standards is available for affordable
and senior housing, and for the
preservation and rehabilitation of
historic homes and apartments.
These include easing of parking
standards and building setbacks,
height and lot coverage exceptions
(with approval of Planned
Development rezoning), and
provisions for restoring non-
conforming residential buildings
Grants -In -Aid funds are available
annually to assist social service and
housing providers with special, non-
recurring costs to augment affordable
Reduces property taxes on historic
residential and commercial
properties in return for owner's
agreement to preserve, and in some
cases, improve
the property. Minimum 10 years'
participation; up to 10 properties can
be added to the program per year.
Technical assistance is available to
help renters, homeowners, housing
developers, and not-for-profit
housing developers find, design, fund
or build affordable housing.
State Resources
Cooperate with non-profit housing
providers to enable issuance of
multi -family housing revenue bonds
Federal tax credit for low- and
moderate income homebuyers who
have not owned a home in the past
three years.
City of San Luis Obispo Housing Element
• Affordable housing
projects
• Mixed-use developments
with affordable units
• Senior housing projects
• Affordable housing
projects
• Mixed-use developments
with affordable units
• Senior housing projects
• Historic homes and
apartments
• Planned residential
developments
• Non -conforming residential
restoration
• Not-for-profit social service
and housing providers
• Historic preservation
• Residential rehabilitation
• Mixed-use historic
rehabilitation
• Affordable housing
developments
• Market -rate housing
developments
• Hnmino rnncnme
• Affordable housing projects
• Mixed-use developments with
affordable units
• Senior housing oroiects
• First-time homebuyer's
assistance
31
Proposition 46 Funds
$2.1 billion bond measure adopted
e Affordable housing projects
by California voters in 2002
• Mixed-use developments with
establishes various housing grants
affordable units
and loans for affordable housing.
• Senior housing projects
• Special needs housing
Mobile Home Park Conversion
Funds awarded to mobile -home park
• Mobile -home park acquisition
Program
tenant organizations to convert
and development
mobile -home parks to resident
ownership.
Ca1HFA — California Housing
HELP Program and other below-
• Low- and moderate income
Finance Agency
market -rate financing and deferred
affordable single- and multi -
loans for affordable housing
family housing
development.
CaHLIF — California Housing Loan
Provides primary mortgage insurance
e First-time homebuyers
Insurance Fund
for hard -to -qualify borrowers,
• Low- and moderate- income
expanding home ownership
homebuyers
opportunities.
• Workforce housing loans
CIEDB — California Infrastructure
Provides low-cost financing for
• Cities
and Economic Development Bank
public infrastructure to support
• Private sector
housing and economic development.
• Non -profits
Low Housing Tax Credit
Tax credits available to individuals
• Acquisition
-Income
and corporations investing in low-
. Housing rehabilitation
income rental housing. Tax credits
. New construction
are issued through the State and sold
to corporations and others with high
tax liability, with proceeds used for
housing development.
Federal Resources — Entitlement
Community Development Block
Grant awarded to the City annually
• Section 108 Loan Payments
Grants (CDBG)
on a formula basis to fund housing
e Historic preservation
and economic development for low-
• Property acquisition for
and moderate income persons.
housing
• Housing rehabilitation
• Public services and facilities
• Code enforcement
• Fair housing activities
• Economic development
HOME Investment Partnership
Grant program specifically for
• Single- or multi -family housing
(HOME) Program
housing. Designed as partnership
acquisition/rehab/construction
funding, requires local match funding
a CHDO Assistance
and one of the best sources of new
. Administration
housing funding.
Emergency Shelter Grants
Grant awarded on an annual formula
• Homelessness prevention
basis for shelter and services to
• Continuum of care
homeless persons.
• Operating expenses
Housing Opportunities for Persons
Funds available county -wide for
a Rental assistance
With AIDS (HOPWA)
supportive services and housing for
. Social services
persons with HIV/AIDS.
• Housing
Historic Rehabilitation Tax Credit
Provides a 10-20% one-time, IRS tax
• Rental housing rehabilitation
credit on eligible rehabilitation costs
• Mixed-use projects
for pre -1936 and National Register
• Seismic strenathenina
City of San Luis Obispo Housing Element 32
t
Source: City of San Luis Obispo, Community Development Department
City of San Luis Obispo Housing Element
33
historic properties. Work must
• Ownership housing ineligible
follow Secretary of the Interior
rehabilitation standards.
Federal Resources — g d_d: iw
Supportive Housing Grant
Grant to improve quality of existing
• Housing rehabilitation
shelters and transitional housing.
Section 8 Rental Assistance
Very -low income families,
• Rental assistance for very low
individuals, seniors and the disabled.
income, elderly and disabled
pay 30% of their income toward rent.
persons
The SLO Housing Authority pays
the balance of rent payment.
Section 202
Grants to non-profit housing
• Acquisition and Rehabilitation
developers for supportive housing
• New construction
for the elderly.
• Rental assistance
• Support services
Section 811
Grants to non-profit developers for
• Acquisition
supportive housing for disabled
• Rehabilitation
persons, including group homes,
New construction
intermediate -care facilities and
. Rental assistance
independent -living facilities.
Section 108
Provides loan guarantee to CDBG
• Acquisition
entitlement jurisdictions, enabling
• Rehabilitation
them to borrow up to five times their
• New construction
annual entitlement for major housing
. Infrastructure
or capital improvement projects.
• Historic preservation
• Economic development
Source: City of San Luis Obispo, Community Development Department
City of San Luis Obispo Housing Element
33
chaptCR 4
quantl flea osje=ves
4.10 Overview
State housing law requires that each jurisdiction identify the number of housing units that will be
built, rehabilitated and preserved during the Housing Element's planning period. These
projections are termed "quantified objectives." Quantified housing objectives allow the
community to evaluate its progress toward meeting key housing needs and help prioritize
planning and funding efforts. They are based on the City's housing needs assessment and
regional housing needs allocation, and are adopted policy. However, San Luis Obispo cannot
guarantee these objectives will be met, given limited financial resources, costs to provide public
facilities to serve new development, and the growing, statewide gap between housing costs and
incomes. Meeting the City's quantified housing objectives will depend, in part, upon real estate
market forces, developers' and lenders' financial decisions and the availability of local, State and
Federal funding.
4.20 New Housing Construction Completed
Table 4 shows the number of new housing units completed between January 1, 2001 and
December 31, 2003. Dwellings completed during this period are credited toward meeting the
City's quantified objectives during the seven -and -one -half-year planning period from January 1,
2001 to July 1, 2009.
Table 4
Housing Units Completed
iannary 2M1 thmnoh December 2003
UnitType
Very Low
Low
Moderate
Above
Moderate
Total
Single-family
0
0
46
334
380
Multi -family
19
70
185
203
477
TOTALS
19
70
231
537
857
Source: City of San Luis Obispo, Community Development Department
'Includes 201 on -campus apartments at Cal Poly State University
City of San Luis Obispo Housing Element 34
4.30 New Housing Construction Objectives
Table 5 shows the new housing construction objectives for January 1, 2004 through June 30,
2009. It includes all types of housing, both rental and for -sale units, and these are added to the
completed housing units from Table 4 to meet the City's quantified housing needs for new
construction.
Table 5
New Housing Construction Objectives
Jan ary 2004 to July 2009
Unit Type
Very Low
Low
Moderate
Above
Moderate
Total
Single-family
20
283
234
226
1,291
Multi -family
1,351
424
352
340
1,939
Subtotal
1,371
707
586
566
3,230
Units Completed,
1/l/01 thru 12/31/03
19
70
231
537
857
TOTAL
1,390
777
817
1,103
4,087
Assigned RHNA
1,484
844
870
1,185
4,383
Source: City of San Luis Obispo, Community Development Department
'Given the deep subsidies needed to construct very -low income single-family units, most housing for very -low
income expected to be multi -family units.
New housing construction objectives include 977 units of student and faculty housing to be
developed by the Cal Poly University Foundation, in addition to 201 apartments developed on
campus in 2003. The objectives are based on an assumed construction ratio of single family to
multi -family housing of 40:60, and a percent distribution of housing for income groups which is
similar to that of the City's RHNA number: Very -low — 34%, Low — 19%, Moderate — 20%, and
Above Moderate — 27%. A reduced objective was set for Very -Low, Single -Family construction
given the high cost and deep subsidies needed for this type of housing. To meet this income
need, it is likely that virtually all of the units will be higher density, multi -family rental housing.
4.40 Preservation of At -Risk Units
Dwellings built with some form of government assistance or subsidy typically must remain
affordable to very low-, low- or moderate income households for a specific period. As the end of
the affordability term nears, an affordable unit is said to be at -risk of conversion to market -rate
housing. There are several reasons why government -assisted housing might convert to market -
rate housing, including expiring subsidies, mortgage prepayments, or most commonly, expiration
of affordability and resale restrictions. A 30 -year affordability requirement is common; however,
the term varies depending upon the source and terms of funding.
State law requires jurisdictions to identify government -assisted, multi -family housing that is at
risk of converting to market rate during the next 10 years. These include units receiving funding
under a variety of government programs, such as HUD Section 8, HUD Section 202, IRS Section
City of San Luis Obispo Housing Element 35
42 (Tax Credit projects), Federal Community Development Block Grants and local programs
using inclusionary housing requirements, in -lieu fees and density bonuses. In addition,
jurisdictions also must describe measures to prevent at -risk from converting to market rate.
Based on information provided by the City's Housing Authority, local non-profit housing
providers, and the State Housing and Community Development Department, there are no very -
low or low-income units at risk of losing their affordability restrictions and converting to market
rate between January 2001 and January 2011. Appendix K includes an inventory of subsidized
or assisted housing developments in San Luis Obispo. Nevertheless, Housing Element programs
2.3.11 and 3.3.8, and quantified objectives have been incorporated into the Housing Element to
help preserve these affordable units. These programs will establish a monitoring and early
warning system to track affordable housing units at -risk of being converted to market rate
housing within subsequent planning periods (after July 2009); and with the Housing Authority of
the City of San Luis Obispo and other local housing agencies, provide ongoing technical
assistance and education to tenants, property owners and the community at large on the need to
preserve at -risk units as well as the tools available to help do so.
4.50 Rehabilitation and Preservation Objectives
The City's existing affordable housing stock is a valuable resource that should be preserved and,
where necessary and feasible, rehabilitated rather than demolished. By enforcing City building
and zoning codes, the safety, quality and durability of existing homes and neighborhoods is
enhanced, thus maintaining the housing stock's diversity in type, tenure and cost. Often, the
primary beneficiaries of preservation and rehabilitation programs are renters and low-income
homeowners. Table 6 lists the number of units to be rehabilitated, preserved or financially
assisted, and the number of conservation/code enforcement cases during the planning period.
Table 6
Rehabilitation, Preservation, and Conservation Objectives
Ja uary 2001 to July 2009
City of San Luis Obispo Housing Element 36
Very
Low
Low
Moderate
Total
REHABILITATION
• Single-family rehab
10
7
3
20
• Multi -family rehab
30
20
--
50
• Historic preservation rehab
10
5
5
20
PRESERVATION
• At -risk units preserved
n/a
n/a
n/a
n/a
CONSERVATION/CODE ENFORCEMENT
• Code enforcement cases
150
50
25
225
FINANCIAL ASSISTANCE
• 1 st-time homebuyer program
1 0
1 25
25
50
City of San Luis Obispo Housing Element 36
I • Affordable housing fund
Source: City of San Luis Obispo,
50 1 25
Community Development Department
4.60 Quantified Objectives Summary
25 1 100
During the Housing Element's eight and one-half year planning period from January 2001 to July
2009, policies and programs will accommodate a net increase of up to 4,087 dwellings. This
goal is based on anticipated water supplies and land available and suitable for residential use.
The objectives seek to develop housing that meets affordability standards for the income groups
in the same proportion as the RHNA allocation, and to emphasize the production of multi -family,
higher density housing, where appropriate. A key component is new housing to be developed by
Cal Poly University on and adjacent to the campus on State land, using University Foundation
funding.
Table 7
Quantified Objectives Summarv, 2001- 2009
Income Level
New
Constructions
Rehabilitation
Financial
Assistance
Conservation
Very Low
1,390
50
50
150
Low
777
32
50
50
Moderate
817
8
50
25
Above Moderate
1,103
—
--
--
Totals
4,087
90
150
225
Source: City of San Luis Obispo, Community Development Department
'Includes 1,178 dwellings developed on State land for Cal Poly University students, faculty and staff
ZNot included in summary totals.
Although the quantified objectives are theoretically achievable, they are not specific development
quotas. The City of San Luis Obispo intends to use the financial, planning and administrative
resources at its disposal to accomplish the objectives, but cannot guarantee that these
construction goals will be achieved given limited financial resources, economic uncertainty,
independent marketing decisions regarding housing development, and the present gap between
housing cost and incomes. Satisfaction of the quantified objectives will hinge largely upon
private development decisions and the City's ability to leverage additional Federal, State or local
funding to meet very -low, low- and moderate income housing needs.
City of San Luis Obispo Housing Element 37
Appendix M
Glossa
Affordable Housing. Housing that meets the rental or sales price standards as established by the
City and published annually in the Affordable Housing Standards. Such housing is made
available for very -low, low and moderate income persons or households, and subject to deed
restrictions or other instrument that ensure the housing remains affordable for a predetermined
period.
Assisted Housing. Housing units, including multi -family or single-family, whose construction,
financing, sales prices, or rents have been subsidized by Federal, State, or local housing
programs, and units developed pursuant to local inclusionary housing and density bonus
programs.
Below -market -rate Housing. Housing that is sold or rented at prices less than the fair market
value or prevailing market rent for the unit, and the financing of housing at less than prevailing
interest rates.
Boarding/Rooming House. A dwelling or part of a dwelling where lodging is furnished for
compensation to more than three persons living independently from each other. Meals may also
be included. Does not include fraternities, sororities, convents, or monasteries.
Building. Any structure used or intended for sheltering or supporting any use or occupancy.
Build -out. That level of urban development characterized by full occupancy of all developable
sites within the City's Urban Reserve, in accordance with the General Plan; the maximum level
of development anticipated by the General Plan by the year 2022. Build -out does not assume that
each parcel is developed with the maximum floor area or dwelling units possible under zoning
regulations.
Community Development Block Grant (CDBG). A grant program administered by the U.S.
Department of Housing and Urban Development (HUD) on a formula basis for entitlement
communities and urban counties, and by the State Department of Housing and Community
Development (HCD) for non -entitled jurisdictions. CDBG funds are used by cities and counties
for land purchase, housing rehabilitation and community development, public services and
facilities, economic development, and other purposes that primarily benefit persons or
households with incomes less than 80 percent of County median income.
Covenants, Conditions and Restrictions (CC&Rs). Restrictions or requirements that are
placed on a property and its use by a property owner, usually as a condition of subdivision
approval. CC&Rs are a deed restriction and "run with the land", and are legally binding.
City of San Luis Obispo Housing Element 38
Density Bonus. An increase in the allowed base density applied to a residential development
(J j project. The increase allows the development of more dwellings than a property's zoning would
otherwise allow, and is usually in exchange for the provision or preservation of affordable
housing or housing amenity.
Density, Residential. The number of permanent dwellings per net acre, measured in Density
Units, as further described in Chapter 17.16 of the Zoning Regulations. In the AG, C/OS and R-
1 zones, each dwelling counts as one density unit. In all other zones, dwellings with different
bedroom numbers have density unit values as follows:
a. Studio Apartment (450 sq. ft. or less)
0.50 Density Unit
b. One -bedroom Dwelling
0.66 Density Unit
c. Two-bedroom Dwelling
1.00 Density Unit
d. Three-bedroom Dwelling
1.50 Density Units
e. Dwelling with four or more bedrooms
2.00 Density Units
Director. The Director of the City's Community Development Department, or another staff
person authorized by the Director to act on his or her behalf.
Dormitory. A building used as a group quarters for students, as an accessory use for a college,
university, boarding school, or other similar institutional use.
Downtown Core. The City's central business district, comprising the most diverse mix of
1, J residential, commercial, governmental, and public uses, and defined by the "C -D" zone boundary
as shown in the Zoning Map.
Downtown Planning Area. The central area of the City generally defined by the boundaries
formed by State Highway 101, the Union Pacific Railroad Right -of -Way, and High Street, and
the intersections thereof, as described in the General Plan Land Use Element.
Elderly or Senior Housing. Housing designed to meet the needs of and enforceably restricted
to occupancy by persons 62 years of age and older or, if more than 150 units, persons 55 years of
age and older.
Enforceably Restricted. Refers to housing that is deemed affordable under the City's
Affordable Housing Standards and that is subject to deed restrictions, affordable housing
agreements or other mechanisms to ensure the housing remains affordable for a prescribed
period.
Expansion Area. An area located outside City limits but within the Urban Reserve and
designated for future urban development, as further described in the General Plan Land Use
Element text and map.
Fair Market Rent. The rent, including utility allowances, determined by the United States
Department of Housing and Urban Development ("HUD") for purposes of administering the
City of San Luis Obispo Housing Element 39
Section 8 Housing Choice Voucher Program.
Fraternity House (or Sorority House). A Residence for college or university students who are
members of a social or educational association, and where such an association holds meetings or
gatherings.
Granny Flat. See "Second Residential Unit."
Historic Property. A property, including land and building, determined by the City to have
archaeological, historical, or architectural significance as described in the Historic Preservation
Program Guidelines, and listed on the Contributing Properties List or Master List of Historic
Resources.
Household. All persons, including those related by birth, marriage or adoption and unrelated
persons, who occupy a single dwelling.
Housing or "Dwelling" Unit. A building, a modular home, a mobile home, a.cooperative, or
any other residential use considered real property under State law and on a permanent foundation,
with provisions for sleeping, cooking and sanitation, and with permanent connections to utilities.
Infill Housing. Development of housing on vacant lots within the City limits on property zoned
for such uses.
l
Jobs -Housing Balance. A ratio describing the number of jobs compared with dwelling units in
a defined geographic area, and a measure of the adequacy of the housing stock to meet
community needs.
Live -Work or Work -Live Unit. An integrated housing unit and work space, occupied and
utilized by a single household in a structure, either single-family or multi -family, that has been
designed or structurally modified to accommodate joint residential occupancy and work
activities, and which includes:
1) Complete kitchen and sanitary facilities in compliance with City building code, and
2) Working space reserved for and regularly used by one or more occupants of the unit.
The difference between "live -work" and "work -live" units is that the work component of a live -
work unit is secondary to its residential use, and may include only commercial activities and
pursuits compatible with the character of a quiet residential environment, while the work
component of a work -live unit is the primary use, to which the residential component is
secondary.
Mixed -Use Development. Development in which various uses, such as office, commercial,
manufacturing, institutional, and residential are combined in single building or in multiple
buildings on a single parcel or on multiple, contiguous parcels, developed as integral unit with
significant functional interrelationships and a coherent physical design; property designated
City of San Luis Obispo Housing Element 40
"MU" on the City's Zoning Map.
\.._� Multi -family Dwelling. A dwelling that is part of a structure containing one or more other
dwellings, or a non-residential use. An example of the latter is a mixed-use development where
one or more dwellings are part of a structure that also contains one or more commercial uses
(retail, office, etc.). Multi -family dwellings include: duplexes, triplexes, fourplexes (buildings
under one ownership containing two, three or four dwellings, respectively, in the same structure);
apartments (five or more units under one ownership in a single building); and townhouse
development (three or more attached dwellings where no unit is located above another unit. It
does not include Granny Flats or Secondary Dwelling Units.
Municipal project. A development project designed, funded, or carried out by the City of San
Luis Obispo and described as a "capital project" in the City's Financial Plan.
Parcel. A area of land defined by boundaries set by the Tax Assessor of the County of San Luis
Obispo, roughly equivalent to the meaning of a "lot" for development purposes.
Regional Housing Needs Assessment (RHNA). A determination of a locality's housing needs
by the local Council of Government and based on State law, that takes into account various
factors such as population growth, employment growth, vacancy rates, housing removals, and
concentration of poverty.
Rehabilitation. The repair, preservation, and or improvement of housing; and for historically
designated structures, work done according to rehabilitation standards established by the U.S.
Secretary of the Interior and described in the Secretary of the Interior's Standards for the
Treatment of Historic Properties and related documents.
Residential. Land designated in the General Plan and Zoning Regulations for dwellings and
accessory uses.
Second Residential Unit. An attached or detached studio, or one -room dwelling, with not more
than 450 square feet of gross floor area and that includes permanent provisions for cooking,
sleeping and sanitation, and is located on the same parcel on which the primary dwelling unit is
located, pursuant to requirements in Ch. 17.21 of the Zoning Regulations.
Sensitive Site. A site determined by the Community Development Director, Planning or
Architectural Review Commission, or City Council, to have special characteristics or limitations,
such as historic significance, creekside location, or visual prominence, requiring more detailed
development review than would otherwise be required for other similarly zoned lots nearby.
Single-family Dwelling, Detached. A dwelling occupied or intended for occupancy by only one
household, and that is structurally and physically separate from any other such dwelling.
-. Single Room Occupancy (SRO) Unit. A single -room dwelling, typically 80-250 square feet in
floor area, with a sink and a closet, with communal or individual facilities for cooking and
City of San Luis Obispo Housing Element 41
sanitation.
Tenure. The mode or status of residency, whether by renting or owning real property. J
Transitional Housing. Housing provided to homeless persons, abused women or children, or
other persons with special housing needs for a temporary period, and generally integrated with
other social services and programs including counseling, education, and training to assist in the
transition to self-sufficiency through gaining stable income and permanent housing.
Underutilized Site. A site that has the land area capacity to accommodate additional dwelling
unit(s) while meeting all General Plan policies and all zoning regulations, including setbacks,
building height and lot coverage requirements without the application of variances.
Universal Design. Universal design is the design of products and environments to be usable by
all people, to the greatest extent possible without the need for adaptation or specialized design.
1
City of San Luis Obispo Housing Element 42 //
•
Appendix N
Council Resolutions
City of San Luis Obispo Housing Element 43
RESOLUTION NO. 9543 (2004 Series)
A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO
APPROVING AND CERTIFYING A NEGATIVE DECLARATION OF
ENVIRONMENTAL IMPACT FOR THE UPDATED HOUSING ELEMENT
OF THE GENERAL PLAN
WHEREAS, State law requites cities and counties to adopt a general plan. The general
plan includes seven requited elements, one of which is the housing element. The housing
element must be updated every five (5) years or as otherwise provided by State law; and
WHEREAS, the City of San Luis Obispo has prepared an updated Draft General Plan
Housing Element to address community wide housing needs, challenges and opportunities, and
to meet State law; and
WHEREAS, the Planning Commission and the City Council have held public hearings
on the updated Housing Element in accordance with the California Government Code; and
WHEREAS, the potential environmental impacts of the updated Housing Element have
been evaluated in accordance with the California Environmental Quality Act pursuant to an
initial environmental study (City File Number ER 33-02), and the Community Development
Director has granted a negative declaration of environmental impact; and
WHEREAS, the Planning Commission recommends the City Council approve the
negative declaration of environmental impact and the updated Housing Element; and
WHEREAS, The City Council has reviewed and considered the information contained in
the initial study and the negative declaration for ER No. 33-02 prepared for this Housing Element
Update.
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis
Obispo as follows:
SECTION 1. Environmental Determination. This Council, as a result of its deliberations,
Planning Commission recommendation, the initial environmental study, and the evidence
presented at hearings on this matter, determines that as required by the California Environmental
Quality Act ("CEQA') and the State CEQA Guidelines, a negative declaration adequately
addresses the potential environmental impacts of the Housing Element Update. On the basis of
this review, the City Council finds that there is no evidence from which it can be fairly argued
that the project will have a significant, adverse effect on the environment, and hereby certifies
and approves the negative declaration of environmental impact for the Updated Housing
Element; and finds that the further amendments thereto, as contained in the 2004 Final Draft
Housing Element are substantially consistent with the August 2003 Draft Housing Element on
which the initial study was prepared, and do not pose any significant adverse impacts which were
not previously considered as part of ER 33-02.
R 9543
City of San Luis Obispo Housing Element 44
J Resolution No. 9543 (2004 Series)
Page 2
SECTION 2. Effective Date. The approval and certification of the negative declaration of
impact shall take effect immediately.
Upon motion of Council Member Ewan, seconded by Council Member Settle,
and on the following roll call vote:
AYES: Council Members Ewan and Settle, Vice Mayor Schwartz and
Mayor Romero
NOES: Council Member Mulholland
ABSENT: None
The foregoing resolution was adopted this 3e day of March, 2004.
Lee Price, C.M.C.
City Clerk
APPROVED AS TO FORM:
Joi@thafft Lowell
City Attorney
Mayor David F. Romero
City of San Luis Obispo Housing Element 45
Exhibit A
"FINAL DRAFT GENERAL PLAN HOUSING ELEMENT" IS ON FILE IN THE
OFFICE OF THE CITY CLERK AND THE COMMUNITY DEVELOPMENT
DEPARTMENT.
City of San Luis Obispo Housing Element 46
RESOLUTION NO. 9544 (2004 Series)
A RESOLUTION OF THE COUNCIL OF THE
CITY OF SAN LUIS OBISPO AMENDING THE GENERAL PLAN
LAND USE ELEMENT TO MAINTAIN CONSISTENCY WITH THE
UPDATED HOUSING ELEMENT OF THE GENERAL PLAN
WHEREAS, State law requires cities and counties to adopt a general plan. The general
plan includes seven required elements, one of which is the housing element. The housing
element must be updated every five (5) years or as otherwise provided by State law; and
WHEREAS, the City of San Luis Obispo has prepared an updated Draft General Plan
Housing Element to address community wide housing needs, challenges and opportunities, and
to meet State law; and
WHEREAS, the Planning Commission and the City Council have held public hearings
on the updated Housing Element in accordance with the California Government Code; and
WHEREAS, review of the proposed updated Housing Element has necessitated the need
for minor revisions to the General Plan Land Use Element in order to maintain consistency
between it and the updated Housing Element
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis
Obispo as follows:
SECTION 1. Environmental Determination. The City Council has reviewed and considered .
the effects of the proposed minor revisions as part of the Housing Element update, as described
in the initial study and the negative declaration for ER No. 33-02, and hereby approves a negative
declaration of environmental impact for the project.
SECTION 2. Land Use Element Amendments. The General Plan Land Use Element is
hereby amended to maintain consistency with the updated Housing Element, as shown in Exhibit
A.
SECTION 3. Effective Date. The Land Use Element Amendments shall take effect
immediately.
Upon motion of Council Member Settle, seconded by Council Member Ewan,
and on the following roll call vote:
AYES: Council Members Ewan, Mulholland and Settle, Vice Mayor Schwartz
and Mayor Romero
f NOES: None
ABSENT: None
City of San Luis Obispo Housing Element 47
R 9544
Resolution No. 9544 (2004 Series)
Page 2
The foregoing resolution was adopted this 3& day of March, 2004.
City Clerk
APPROVED AS TO FORM:
Jo P. Lowell
City Attorney
Mayor David F. Romero
IN
City of San Luis Obispo Housing Element 48
j 1
EXHIBIT A
CITY OF SAN LUIS OBISPO
LAND USE ELEMENT AMENDMENTS
(Text to be deleted is in sttileew text to be added is underlined
Amend the General Plan Land Use Element as follows:
LU 3.1.6: Building Intensity
The ratio of building floor area to site area shall not exceed 3.0, except that downtown
sites which receive transfers of development credits for open space protection shall not
exceed 4.0. The Zoning Regulations will establish maximum building height and lot
coverage, and minimum setbacks from streets and other property lines, as well as
procedures for exceptions to such standards in special circumstances. Architectural
review will determine a project's realized building intensity, to reflect existing or desired
architectural character in a neighborhood With the exception of the Downtown
when dwellings are provided in General Retail districts, they shall not exceed 36 units per
acre. Council may, by ordinance, establish flexible development standards for residential
and mixed-use developments in the Downtown Core, including residential density that
exceeds 36 units ger acre. So long as the floor area ratio is not exceeded, the maximum
residential density may be developed in addition to nonresidential development on a site.
LU 422. Dwellings and Offices
Residential uses within some downtown areas designated Office prior to this element's
1994 update should be maintained, or replaced as new offices are developed. The City
should amend the Downtown Housing Conversion Permit process to preserve the number
of dwellings in the Downtown Core (C -D zone) and the Downtown Planning Area by
ado tinf a "no net housing loss" RMMn by amending the Downtown Housing
Conversion Permit ordinance. The amendment shall ensure that within each area, the
number of dwellings ranwved_shalLitot_exceed the number of dwellings added_ idAnH£u
I
.nsr....... e:... .
City of San Luis Obispo Housin.- Element 49
Land Use Element.Amendments, Exhibit A
Page 2
tart Ve ams
City of San Luis Obispo Housing Element 50
i RESOLUTION NO. 9545 (2004 Series)
A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO
ADOPTING AN UPDATED HOUSING ELEMENT OF THE GENERAL PLAN
WHEREAS, State law requires cities and counties to adopt a general plan. The general
plan includes seven required elements, one of which is the housing element The housing
element must be updated every five (5) years or as otherwise provided by State law; and
WHEREAS, the City of San Luis Obispo has prepared an updated Draft General Plan
Housing Element to address community wide housing needs, challenges and opportunities, and
to meet State law; and
WHEREAS, the Planning Commission and the City Council have held public hearings
on the updated Housing Element in accordance with the California Govemment Code; and
the City Council has considered the input of diverse community interests
and housing stakeholders in the preparation of the updated Housing Element, including that of
the Housing Element Update Task Force, an ad hoc committee of community members
appointed by the City Council to identify community needs and to recommend housing policies
and programs; and
WHEREAS, the potential environmental impacts of the updated Housing Element have
been evaluated in accordance with the California Environmental Quality Act pursuant to an
i initial environmental study (City File Number ER 33-02), and the Community Development
Director has granted a negative declaration of environmental impact; and
WHEREAS, the Planning Commission recommends the City Council approve the
negative declaration of environmental impact and the updated Housing Element.
WHEREAS, by a separate resolution the City Council found that there is no evidence
from which it can be fairly argued that the project will have a significant, adverse effect on the
environment, and consequently certified and approved the negative declaration of environmental
impact for the Updated Housing Element
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis
Obispo as follows:
SECTION 1. Record of Proceedings. The City Council has received and considered the
Planning Commission recommendations, the Housing Element Update Task Force
recommendations, public testimony and correspondence, and the staff reports on the Housing
Element Update. Copies of these items or testimony are on file in the office of the City Clerk
and in the Community Development Department. The Planning Commission held eight public
hearings to consider the Housing Element Update and related matters. In addition, the City
Council conducted seven public hearings to consider the Update and related matters. The
minutes of those hearings indicate Commission and Council member continents on the Housing
l�
Element Update and are on file in the office of the City Clerk.
R 9545
City of San Luis Obispo Housing Element 51
Resolution No. 9545 (2004 Series)
Page 2
SECTION 2. Pnblic and Agency Review. Drafts of the proposed Housing Element Update
have been trade widely available for review and comment by interested agencies and individuals.
Copies were posted on the City's website and were distributed to the San Luis Obispo City -
County library and the Cal Poly University Library, to the California State Department of
Housing and Community Development ("HCD") as required by law, and to governmental and
non-profit housing agencies whose jurisdiction includes housing issues within the San Luis
Obispo Area.
SECTION 3. Findings. This Council, after considering the 2004 Final Draft Housing Element,
the Planning Commission's recommendations, staff recommendations, public testimony and
correspondence, and reports thereon, makes the following findings:
1. The Housing Element Update, as contained in the document titled "Final Draft General
Plan Housing Element", dated March 30, 2004, as further amended by the City Council
that same day and incorporated herein as Exhibit "A", and on file in the Community
Development Department and the City Clerk's office, (hereinafter "the Update"), is
consistent with all elements of the General Plan, as amended by Council Resolution No.
9544 (2004 Series), adopted concurrently with this one.
2. The Update will promote public health, safety, and welfare by: preserving housing that is
affordable to very -low, low- and moderate income households; encouraging variety in
housing types, sizes, cost, and tenure; establishing programs to ensure that most new
development incorporates affordable housing, pays an "in -lieu" fee toward the
development of affordable housing, or otherwise contributes to the production of
affordable housing; establishing incentives to encourage and help defray the costs of
affordable housing development; affirmatively furthering fair housing opportunities; and
by setting quantified objectives for housing production, rehabilitation, preservation and
conservation.
3. Consistent with provisions of California Government Code Section 65583 (b)(2), San
Luis Obispo has evaluated its ability to accommodate its Regional Housing Need
Allocation (RHNA) number of 4,383 dwellings by July 2009 and has adopted quantified
objectives that are less than the RHNA number. limited water supplies prevent the City
from achieving the RHNA number within the planning period The problem is chiefly
one of timing, since, as documented in the Housing Element, there is sufficient land
suitable for residential development to accommodate the RHNA number within the
planning period. The reasons for the difference between the City's RHNA and its
adopted Quantified Objectives are further described in Appendix C, Section 3 of the
Update, and said section hereby incorporated by reference.
4. The August 17, 2003 Draft Housing Element was submitted to HCD for its review, as
required by State law. The Update includes additional information and analysis in
response to HCD comments. The Council has determined that the Update conforms to
the statutory requirements of State housing element law (Article 10.6 of Government
Code).
City of San Luis Obispo Housing Element 52
�l Resolution No. 9545 (2004 Series)
J Page 3
S. Council hereby finds that the Update will not operate to directly limit the total number of
dwellings which may be constructed on an annual basis, since dwellings affordable very -
low, low-, and moderate income households, and dwellings constructed in the Downtown
Core (C -D Zone), are exempt from Residential Growth Management Regulations.
SECTION 4. Approval of the 2004 Housing Element. Council hereby approves the 2004
Housing Element, as set forth in Exhibit A.
SECTION 5. Publication and Availability. The Community Development Director shall
cause the updated Housing Element to be published and provided to City officials, concerned
agencies, public libraries, and to the public. The Director shall also transmit a copy of the
Update to HCD for its review, as required by State law.
SECTION 6. Effective Date. The 2004 Housing Element shall become effective immediately
upon adoption of this resolution, with the exception of the provisions of Program 2.3.1
(Inclusionary Housing Requirement), which shall be effective for all valid building permit
applications submitted to the Community Development Department on or after July 1, 2004.
Valid applications submitted prior to July 1. 2004 shall be subject to the Inclusionary Housing
Requirement in the 1994 Housing Element. "Valid building permit application" shall mean an
application for a development project which has received all required planning approvals prior to
the date of application for a building permit.
SECTION 7. Repeal of Previous Element. The Housing Element adopted September 20,1994
and as subsequently amended, is repealed upon the effective date of the 2004 Housing Element,
with the exception of program 1.22.10, which shall be repealed effective July 1, 2004.
Upon motion of Council Member Ewan, seconded by Council Member Settle,
and on the following roll call vote:
AYES: Council Members Ewan and Settle and Mayor Romero
NOES: Council Member Mulholland and Vice Mayor Schwartz
ABSENT: None
The foregoing resolution was adopted this 30'h day of March, 2004.
ATTEST:
Lee Price, C.M.C.
City Clerk
-L�__
Mayor David F. Romero
City of San Luis Obispo Housing Element 53
Resolution No. 9545 (2004 Series)
Page 4
APPROVED AS TO FORM:
�
Jo . Lowell
City Attorney
City of San Luis Obispo Housing Element 54