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HomeMy WebLinkAboutPresentation - #28CITY COUNCIL HOUSING AD HOC COMMITTEE PROGRESS REPORT & HOO RECOMMENDATIONS J U LY 61 2021 PURPOSE For the City Council to: Receive a report on the progress of the Housing Ad Hoc Committee Discuss the changes recommended by the Committee to the Housing Opportunity Ordinance Provide direction to staff HOUSING AD HOC COMMITTEE Progress & Recap ✓ Mayor & City Council formed the Housing Ad Hoc Committee on March 2, 2021 ✓ Key Affordable Housing Discussion Topics a. Housing Opportunity Ordinance b. Rent Stabilization/Rent Control c. Just Cause Eviction Policies d. Forms of land ownership e. Fee Reductions f. Regulatory Streamlining ✓ Recommending changes to the HOO ✓ Committee will return with additional recommendations regarding rent stabilization & rent control and just cause evictions policies ✓ Remaining topics (d-f) to be evaluated and considered as part of the General Plan and Housing Element updates The Gap: Rent & Income 40% 30% 20% 10% 0% f -10% -20% 2006 2010 2015 2019 2006 2010 2015 2019 Orange County, California Santa Ana, California Cumulative % Change (Rent) —Cumulative % Change (Income) Housing Wage to Afford 2- Bedroom Multi -Family Rental Unit Pa` $30.72 �•i I • • 92706• s •• 92703 92701 $28.30 $30.90 �92704 39.32 ,$32.57 36.14 705 a< Legend Housing Starts 2010 — 2020 SFD (383 points) • RDU (106 points) MF2-4 (21 points) • MF5, (851 points) Housing Wage for 2-bedroom unit $28 30 $28.31 - $30.90 $30.91 - $32,57 — $32.58 - $39.32 DJN 0.5 0 1 �M fles 3-Bedroom Affordability for 5- Person Families, by Zip Code 92707 92706 '.l► 061 92704 92703 _ 92701 L 92701 92703 92704 92705 92706 92707 Subsidized 51 117 - - 16 18 * NOAH 43 - 1 2 1 5 ■ Unaffordable 55 46 133 118 150 128 Market + No rate data 87 26 16 2 4 16 92705 a` 2% 92706 10% 701 703 0 40% - r 1% 92704 2% 92707 92705 kG asp Legend Percent of Units Affordable 0.00% - 10.00 Omni 10,01%-25-00% - 25-01'A - 45.00% - 45.%- 0 N 0-5 0 Miles KEY HOO PROVISIONS & COMMITTEE RECOMMENDED CHANGES Residential projects with 20 or more units • Increase in the residential density prescribed by the General Plan or mixed -use development standards • Conversions of rental units to condominium ownership • Applies to only incremental units above the permitted density • Requires construction on site if the project will displace existing low & very low income households • 10% Moderate Income (81-120%AMI) • 15% Low Income (51-80% AMI) • 10% Very Low Income (31-50% AMI) • Build onsite • Build offsite • Rehabilitate existing housing stock • In -Lieu Fee: $5/sf • No Change • Include increase in the residential density permitted by the zoning classification • Inclusive of all City initiated General Plan Amendments and Zone Changes after November 28, 2011 • 5% Extremely Low Income (0-30% AMI) category for Units for Rent • Set In -Lieu Fee at $15/sf AdditionalIn addition to existing eligible uses the inclusionary enhancements housing fund, prioritize housing security, eviction prevention, housing legal assistance, and programs promoting creation of large bedroom units and focusing on extremely low income families. Supportable In -Lieu Fee $17.10 to $17.80/Sq. Ft. of Leasable Area $13.00/Sq. Ft. of Saleable Area 2021 In -Lieu Fee Analysis by KMA City Council Discussion