HomeMy WebLinkAboutCORRESPONDENCE - 80ACity Council•Correspondence
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Item 80A
No.
CITY COUNCIL AND HOUSING AUTHORITY JOINT ACTION: APPROVE AN AGREEMENT FOR
AFFORDABLE HOUSING FINANCIAL, ANALYTICAL AND ADVISORY SERVICES
Date of Name Representative of In Favor of In Apposition
Correspondence RA*. of RA*.
1 8/21/2018 Steven C. LaMotte Building Industry Association of
Southern California OC Chapter
*RA - Recommended Action
Tuesday, August 21, 2018 Page 1 of 1
Yes
Comment
Building Industry Association of Southern California, Inc
ORANGE COUNTY CHAPTER
August 21, 2018
Mayor Miguel Pulido
City of Santa Ana
22 Civic Center Plaza
Santa Ana, CA 92702
Re: Item 80A — Inclusionary Zoning Study Contract
Dear Mayor Pulido,
The Building Industry Association of Southern California, Orange County
Chapter (BIA/OC) is a non-profit trade association of over 1,100 member
companies employing over 100,000 people in the home building industry. On
behalf of our industry, we write to express our concerns with Item 80A.
Housing remains a critical issue in California with the situation growing more
serious with each passing day. Studies show that the State needs over 180,000
new units each year and at best we are producing 80,000. This has caused a
cascading spike in home prices across the region.
With this ever-growing deficit, it is essential that cities work with home builders
to do everything in their power to increase the supply of housing. In light of that,
we need to have an honest conversation about Inclusionary Zoning. In total, such
policies restrain housing production, increase ownership costs and further
complicate attainability for the majority of the region.
In a study by Benjamin Powell, Ph.D. and Edward Stringham, Ph.D., titled,
Housing Supply and Affordability: Do Affordable Housing Mandates Work?, the
authors discovered that in the 45 cities where data was available, new housing
production drastically decreased by an average of 31% within one year of
adopting inclusionary housing policies. Additionally, a recent report from the
Legislative Analyst's Office titled Perspectives on Helping Low -Income
Californians Afford Housing states that attempting "to make housing more
affordable without increasing the overall supply of housing.., does very little to
address the underlying cause of California's high housing costs: a housing
shortage."
Next consider the results from the City of Portland's "Review of Inclusionary
Housing Zoning Code Program" stating that "the rate of filing new applications
is significantly slower compared to other years," and that "this slow down
coincides with the new [Inclusionary Zoning] requirements and market
factors..."
PRESIDENT
MIKE GARTLAN
KB HOME
VICE PRESIDENT
RICK WOOD
TRI POINTE HOMES
TREASURER/SECRETARY
SUNTI KUMJIM
MBK HOMES
IMMEDIATE PAST PRESIDENT
PHIL BODEM
MERITAGE HOMES
TRADE CONTRACTOR V.P.
ALAN BOUDREAU
BOUDREAU PIPELINE
CORPORATION
ASSOCIATE VICE PRESIDENT
MARK HIMMELSTEIN
NEWMEYER & DILLION, LLP
MEMBER -AT -LARGE
PETERVANEK
FOREMOST COMPANIES
MEMBER -AT -LARGE
SEAN MATSLER
MANATT, PHELPS & PHILLIPS, LLP
EXECUTIVE OFFICER
STEVE LA MOTTE