HomeMy WebLinkAbout01/21/2003, C11 - RESOLUTION URGING THE CALIFORNIA LEGISLATURE TO REJECT THE GOVERNOR'S PROPOSED SHIFT OF LOCAL VEHI I
RECEIVED
JAN 21 200'
counat acEnaa SLO CITY CLERK
CITY OF SAN LUIS OBISPO
CITY HALL, 990 PALM STREET
Tuesday, January 21 , 2003
ADDENDUM #2
ADDED CONSENT ITEM:
C11. RESOLUTION R .IN G THE CALIFORNIA LE .IS AT IR TO REJECIIHIL
GOVERNOR'S PROPOSED.SHIET OF LOCAL VEHICLE I NS F (VLF)
REVENUES AND TO HONOR THE 1999 COMMITMENT TO RESTORE THE VLF TO
ITS NORMAL LEVEL (GEORGE/KISER)
RECOMMENDATION: Adopt a resolution urging the California Legislature to reject the
Governor's proposed shift of local VLF revenues and honor the 1998 commitment to restore
the VLF to its normal level.
® Regular City Council meetings are broadcast on KCPR, 91.3 FM and Charter Cable Channel 20. The City of San Luis
Obispo is committed to include the disabled in all of its services,programs,and activities. Telecommunications Device for the Deaf
(805)781-7410. Please speak to the City Clerk prior to the meeting if you require a hearing amplification device. For more agenda
information,call 781-7103.
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Public Tree Plantings Jan. 21,2003 lcoolearth.org
All ages are welcome
Saturday,January 25, 11 am to 3pm Morro Bay State Park
Planting 100 small Oak trees on Black Hill near highway One. Black Hill is the Pine
covered hill on the south side of Highway 1 that every one sees as they approach Morro
Bay. It's a beautiful wild, undeveloped area of the State Park favored by hikers and
wildlife. The past 10 years have seen an astounding Die-off of the Monterey Pines to the
point where a forest may not be there at all unless other native trees are planted. The
small trees have been grown from local seed and the soil on Black Hill is sandy and
easy to dig. The terrain is gently sloping and quite open and even small children can
plant with an adults assistance. Bring a shovel, wear work clothes, and bring some
drinking water. Pizza will be provided later . Meet on La Loma st. 1 block uphill from
Quintana road,which parallels Hwy 1 between South Bay Blvd and Morro Bay Blvd..
For more information call Lionel at 772-1701 or Bryan at 235-2319
Sunday February 2, 1 pm to 4pm Whale Rock Reservoir, Cayucos, Ca.
Plant 200+native Cypress, Oak,Redwood, and Sycamore
With Girl scouts from Los Osos, Morro Bay, and Cayucos at a very beautiful but eroding
, man made Lake that is a water supply for San Luis Obispo, Cuesta College, Cal Poly,
and Camp San Luis Obispo. These are small trees and easy to plant. Bring a shovel,wear
work clothes, and bring some drinking water. There are no trees there now, so whatever
we do will really add to the environment. The reservoir is located on Old Creek Road;
one mile off of Highway One at the South end of Cayucos. There is a stop light on
Highway One. For information Call Lionel 772-1701 or 441-1752.
Saturday,March 1, 2003, l Oam to 3pm Laguna Jr. High, San Luis Obispo, Ca.
Plant 200 + Redwoods and Oaks in previously prepared holes, to replace the hundreds of
existing eucalyptus trees on campus which are dying of eucalyptus pests. Bring a shovel,
wear work clothes and get ready to have some FUN beautifying the school. Keep in
mind that the Coastal School District has no budget for this so if volunteers don't plant
new trees this will be an ugly, windswept place. For information call Lionel at 772-1701
or 441-1752
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Workforce Housing:
Challenges and Responses
Table of Contents
Background . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
A 20/20 View of Housing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
What Choices Does the Business Community Have? . . . . . . . . . . . . 6
Processes and Goals . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
Recommendations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
A position paper of the
San Luis Obispo Chamber of Commerce
Developed by the 2002 Housing Task Force
Carlyn Christianson, Task Force Chair
Task Force Members
Kimberley Conti,Century 21 Realty
Lynn Cooper,Pacific Oak Foreclosure Services(former mayor)
John French,real estate consultant
Charlie Fruit,Coast National Bank
Gabe Garcia,CPA,Barbich Longcrier Hooper&King
Donna Lewis,Pacific Republic Mortgage Corp.
George Moylan, San Luis Obispo County Housing Authority
Jeanne Potter,CPA, Glenn Burdette Philips&Bryson
Jonathan Reich,Cal Poly,College of Architecture
Charley Senn, Senn Commercial and Industrial Real Estate(past-chair,planning
commission)
Sandi Sigurdson, San Luis Obispo Symphony
Scott Smith,People's Self-Help Housing
Elizabeth(Biz) Steinberg,Economic Opportunity Commission
Patti Whelen, Cannon and Associates
Staff
Dave Garth, President/CEO
Patricia Wilmore, Director of Governmental Affairs
Workforce Housing: Challenges and Responses,Page 2
Background
At its 2001 retreat, the San Luis Obispo Chamber's Board of Directors determined
that lack of affordable workforce housing was the number one business issue
facing the community. For that reason, a Housing Task Force was formed in early
2002 to first study the issue, prepare findings for the Board and advocate
solutions.
The problem was confirmed by anecdotal evidence gathered by the Chamber and
the media, as well as scientifically valid data from the California Department of
Housing, the UCSB Economic Forecast Project, and the local ACTION for Healthy
Communities 2001 Community Survey. The Chamber's September 2002
membership survey shows that, a year later,
the situation continues to be of significant
concern. As reported in the survey, 85%of
respondents agreed that the Chamber needs to
� •=•�" focus on housing as a major part of its
program and 83%agreed that the cost of
housing has made it more difficult to hire
well-qualified employees. Members report that
even when cost is not the predominant factor,
availability certainly is. The recommendations
which follow were developed by the
Chamber's Housing Task Force and, after
review, endorsed by the Chamber's Board of
Directors.
Initially, the Task Force agreed that it would spend one year working on the
housing issue, and then evaluate its
usefulness to the Chamber. Task
Force members felt strongly that
modest, incremental goals were not
only important in terms of what can Home Prices in SLO
actually be accomplished and
measured, but also for psychological 400
reasons. The housing issue is of 350300-
enormous proportions and 0
zso
ramifications, and incremental S200-
progress would help those who feel ,00
"this is just too big to tackle." 50
0
19951996199719981999200020012002
Workforce Housing: Challenges and Responses,Page 3
A 20/20 View of Housing
"Nothing is going to solve the housing crisis in San Luis Obispo."
Even though this is a truism often used to justify the wringing of hands and lack
of action by leaders, it is a truism best left behind; doing nothing will surely make
the future even worse. Specific, significant steps can be taken to address our city's
housing challenges.
Many of the reasons behind the current housing problems in San Luis Obispo are
not specific to the city itself. These external factors include California's increased
population, the decline in public funds to address infrastructure, and the growth
restrictions and environmental concerns arising in
y past decades. In San Luis Obispo the problems are
exacerbated by its highly desirable coastal
location, the added pressures of two large
educational facilities, an influx of wealthy out of
` t c town buyers willing to purchase housing at big-
city prices, and an historically lower local wage
structure as a formerly"rural" area of California.
The San Luis Obispo area is an extremely desirable
place to live, work or retire and will continue to
attract and retain people with the ability to buy
homes at prices which cannot be afforded by many
Even substandard housing in San Luis Obispo is local residents.
beyond the means of many of our citizens.
The Chamber has long recognized that a livable,
balanced community depends on widely diverse types of workers—from field
workers to police officers, waiters to bank tellers, teachers to nurses, doctors to
software technicians—and each has to have somewhere to live. Typically less
expensive starter homes such as
condominiums, apartments, duplexes, v '
manufactured homes, and smaller
single family detached homes are all
in short supply and are very '
expensive.
i IR
This small 1,000 square foot house sold for
$375,000 last year.
Workforce Housing: Challenges and Responses,Page 4
The City of San Luis Obispo is now the fourth least affordable housing market in
the nation. Clearly, the gap between wages and housing costs has reached crisis
proportions. In 2001, 47.5% of respondents to anACTION for Healthy
Communities survey stated that one-half or more of their income went to
housing, including utilities. Local school populations are down and schools are
closing, neighborhood character is changing and the homeless shelter population
of families is increasing.According to the 2002 UCSB Economic Forecast Project,
in the past five years, population growth in the City has been less than 1%while
job growth has been 24%. In 2001,the City of San Luis Obispo issued permits for
only 109 single family units and 23 multiple family units. While we are unlikely
to build our way out of this crisis or to increase wages to meet costs, an effort
must be made to build more units in the affordable to moderate price range that
are available to our workforce.
SLO Housing Affordability Index
E 40-
35 -
Cb
035
m 30
'o
`0 25-
20-
15-
10-
5-
0
520151050
1992 1993 19941995 1996 1997 1998 1999 2000 2001 2002
Workforce Housing:Challenges and Responses,Page 5
What choices does the business
community have?
Both empirical and anecdotal evidence point to established businesses relocating to
communities where housing is within reach of manufacturing employees(e.g.,Ernie
Ball), community leaders choosing work in other areas where owning a home is possible
(e.g., San Luis Obispo High School's Principal)and companies missing opportunities to
hire topnotch professionals because of the county's high housing costs and limited
supply(e.g., Promega BioSciences).
Government, services and retail trade account
for about 75%of the city's employment or
30,600 jobs and do not typically provide the
highest paying jobs.Lack of housing
affordability causes increased commuting
times, leading to increased pollution,more
crowded roads,and less time at home with
family. Quality of life suffers and the social
balance of the community} ted.
ty is disrupted.
A lack of workforce housing in San Luis
Obispo is already affecting each of us, in
Most of the new housing being built in SLO consists of services not available and higher prices for
expensive,detached single family homes. every service and product.With the flight of
families from our city to more affordable areas,
we are exporting our future.Dr.Bill Watkins confirmed this in his Economic Outlook
Report for 2003 in which the demographics highlight the aging of our population and a
noticeable gap in the number of residents in the 38-45 age range. San Luis Obispo needs
more housing developed immediately if we are to maintain our economic health and
vitality as well as the social fabric.
Workforce Housing: Challenges and Responses,Page 6
Process and Goals
The Chamber's Housing Task Force(CHTF)members divided housing issues into four
broad categories:
1. Funding and Costs
2. Zoning and Land Use
3. Infrastructure Challenges • " -
Y.
4. Political Issues involving the t
public,the media and our elected
and appointed leadership.
Within each of these categories,the
group's goals and recommended actions '
are as follows:
1. Address the funding and cost ^
aspect by investigating areas where {
the Chamber could support new
revenue sources for housing. The
community also needs to �'.
understand the benefits of money
spent on housing.Although = ',
housing is seen as a"financial ' . =
z
loser"in the City's budget,we People living in SLO strengthen the community
need to understand that when both economically and socially.
people live here,more of their
income stays here and gets cycled into the system for services.This benefits and
strengthens the community both economically and socially.Both the private and
public sector need to work together to understand the actual cost of creating
housing. Decision makers have been reluctant to look at real numbers and to take
the steps needed to bring costs down. To that end, Chamber staff and the CHTF
chair spoke persuasively during public comment at a Cuesta College Trustees
meeting in support of putting college resources into exploring new alterative
housing options for Cuesta students.The CHTF also unanimously recommended
to the Chamber Board that the Chamber officially support the concept of the
Affordable Housing Trust Fund, a recommendation the Board adopted.
2. Address the zoning and land use aspect by making specific suggestions to the
City for changes in the zoning and land use elements that would encourage,
streamline and provide incentives for housing development within the city.
Zoning changes are needed to allow greater density and concurrently make the
permitting process reliable and efficient.Developers need to be able to depend
Workforce Housing: Challenges and Responses,Page 7
a 1i f r! on what the General Plan and the Housing Element state in
ti^ �L regard to allowed uses so that projects can proceed in a
timely manner without facing undue,costly and seemingly
endless levels of review and alteration.The Chamber
encourages more diversity in housing type and
affordability,while still following the General Plan and the
City's important goals regarding the preservation of urban
a ° reserve lines and open space. This goal dovetailed perfectly
with the City beginning work on its Housing Element
Update. Specific suggestions were passed to the City,and
the Chamber expects to be included on any public outreach
committee formed to work on the Housing Element
Update.
The City's uncertain,costly,complex and lengthy
review process is a significant obstacle to new
housing development.
3. The Chamber's Housing Task Force specifically declined to address major
infrastructure implications of housing development during this year.These
issues were felt to best be addressed by other Committees and Task Forces of the
Chamber,such as the Water Task Force and the Economic Development
Committee.The CHTF notes that, in addition to water,roads and transportation
issues are a major aspect of housing development that may need special
attention.One critical City policy that has hampered residential development
calls for new development to"pay its own way."This policy has been used as a
method to fund transportation and
other improvements currently
needed-even without any new
develo
at will serve
many existingthresidents. In some o i'
cases,these additional costs are
enough to make a prospective
residential development
economically unfeasible. `':
4) Address the political aspect by
taking several types of action
involving both education and °
advocacy. First,membership
involvement and education was The cost of infrastructure improvements which
encouraged and supported.The benefit the entire community must be more
fairly distributed.
Chamber gathered feedback and
opinion through member surveys,
its slobusiness.com newsletter and E-Insider, and by scheduling housing speakers
at the Good Morning San Luis Obispo monthly membership breakfast.
Workforce Housing: Challenges and Responses,Page 8
Second,media involvement and education was promoted through those same
avenues. Dramatic, interesting membership stories,along with the hard cold
facts,were provided to the media on a regular basis. Indeed,the CHTF
discovered that,merely by forming the task force,the Chamber went a very long
way toward bringing the problem to the media's attention.
Third, a specific and focused effort was made to educate city leadership and the
general population regarding the importance of adequate housing to the city's
economic vitality.A number of CHTF meetings were held with individual City
planning staff and planning commissioners.One-on-one meetings by Chamber
staff and individual CHTF members with City council members also occurred,
and were felt to be important in addressing the political aspect. The problem of
NIMBYism was addressed specifically at all these meetings,as well as
discussions regarding the other aspects of the housing issue in the areas of cost,
zoning and land use.
:;7
71
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Very few new apartment units have been constructed
recently,even though rental apartrnents can be both
attractive and affordable.
Workforce Housing:Challenges and Responses, Page 9
1
Recommendations
It is important for the Chamber to take a number of actions on several fronts.
Positive results can be accomplished with a united effort of the.Housing Task
Force, other Chamber committees and task forces, the Chamber staff and general
membership.
The San Luis Obispo Chamber of Commerce Housing Task Force recommends
that the Board reconvene a Housing Task Force for at least one more year with a
focused agenda. Listed below are 20 recommendations for action in 2003.
• Keep(. focused on the goal of producing more actual housing
units.
^ i Don't be satisfied with lip service from elected officials,
government staff or anyone else. Keep pressuring for
i-''''` decisions that get housing built.
i
• Concurrently maintain and protect the Chamber's
environmental priorities.
European-style condo projects use Communicate with Chamber membership to educate and
land more efficiently and should gather feedback on housing issues.
be more affordable..
• Keep Chamber members informed about what the housing
shortage will mean to them as employers, employees,
residents, and parents.
• Continue outreach to media on the housing issue with specific facts and
newsworthy human-interest stories.
• Combat NIMBYism on every front, including within the Board and the
Chamber membership itself. Keep explaining how housing is related to
economic vitality, and how economic vitality is related to the individual.
Continue to point out the small number of NIMBY voices but realize there
may be a large number of silent NIMBY hearts. This task is a never-ending but
crucial battle in itself.
• Promote and provide one-on-one educational efforts with policymakers and
elected and appointed officials (City council, planning commission, City
planning staff) with Chamber members, staff and housing stakeholders.
Worldorce Housing:Challenges and Responses,Page 10
r
• Offer the Chamber's support and show appreciation to leaders when they
make difficult decisions that will benefit the city in the long run but may be
unpopular now. "Make it safe"for decision-makers to do the right thing.
• Initiate a"Follow that Development"program with a "real world" model,
modest sized development noting the time and costs involved. Host or
promote focused`workshops"between developers, City leadership and City
planning staff to foster factual understanding of what it takes to build
housing locally in real time and actual dollars. Include workshops with non-
profit housing developers. Note that compact urban form needs to become
cost effective if we are to avoid sprawl.
• Involve the Chamber in housing related City processes and activities,
especially goal-setting and budget processes, the
Housing Element Update and other zoning and
land-use discussions.
• Insist that our big institutional employers,
_ particularly Cal Poly and Cuesta, take an active
role in developing housing for their faculty,
staff and students.
r Advocate for changes in City policy that would
encourage creative and progressive housing
�r?' .y development such as providing incentives,
Innovative combinations of commercial and which may include increasing residential
housing uses are necessary. density in the C-C (central commercial), O
(office) and C-R (retail commercial) zones,
revising non-conforming structure rules for
greater flexibility, reducing minimum
residential lot sizes and adopting streamlined
processing procedures for housing projects.
• Development standards should be changed to promote housing. Some
possibilities: allow detached second residential units by right, eliminate the
downtown in-lieu parking fee for dwellings, re-establish the R-O (residential-
office) zone, and develop new multi-family housing design guidelines. Land
use changes should expand areas designated for R-3 and R-4 zoning.
Development of annexation areas needs to be expedited. We recommend
taking a serious look at rezonings of C-R, C-S, and M zoned properties to
mixed-use residential/commercial.
Workforce Housing: Challenges and Responses,Page 11
• Lobby for streamlined and coordinated laws that govern the construction of
market rate rental housing. Currently, numerous and conflicting laws make
the development of market rate rental housing too confusing and expensive.
• Encourage federal and state agencies to move decision making down to
officials at the local level. These"transfer of compliances"would greatly
improve the pace of review of many small projects that are currently trapped
in the black hole of the U.S.Army Corps of Engineers and the California
Regional Water Quality Board.
• Sponsor specific demonstrations showing
the visual aspects of various types of
housing. Show people how attractive ^—
higher density projects can look and what
good design and planning can do.
• Enlist the Cal Poly College of Architecture
to co-sponsor a national design contest for
innovative, attractive compact urban
design. Design competitions such as Even single family detached homes
Seattle's can serve as a model. can break away from traditional lot
sizes and backyards.
• The City needs a true housing advocate on
staff.
• Emphasize the City's duty and responsibility to proactively cooperate and
support housing development by addressing the policy and staffing situations
mentioned above. The City complains continuously about the State imposing
its demands without support, funding or resources.Why does the City expect
housing to miraculously appear, built by private developers, and yet it does
little in the way of providing the non-monetary resources only it can provide?
"New development must pay for its own way"has had the effect of squelching
affordable and moderately priced housing.
Workforce Housing: Challenges and Responses,Page 12
l
Conclusion
The San Luis Obispo Chamber of Commerce strongly encourages a three-pronged
approach for 2003.First, we must realize that no one entity or action is going to
solve the problem. Collaboration is key, particularly in the revision of the City's
housing element which is due by the end of next year. Action is the next
important element; we must have the creativity and the will to take every step
possible toward the real production of housing. Education and Advocacy must be
continued on all fronts to make available workforce housing for the community
and for our membership.
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Workforce Housing:Challenges and Responses,Page 13