HomeMy WebLinkAboutCorrespondence - #29
Orozco, Norma
From:Rich Gomez <RGomez@swcarpenters.org>
Sent:Tuesday, November 16, 2021 4:01 PM
To:eComment
Subject:Public Hearing Item #29
Dear Mayor and Council Members,
My name is Rich Gomez and I am with the Southwest Regional Council of Carpenters Local 714. I am representing our
members and their family members who reside in the city of Santa Ana and the surrounding communities.
I would like to comment on this item, because it so important to our members who live in Santa Ana and for our
members who live in the surrounding cities of Santa Ana.
We suggest that the Council phase in a complete Skilled and Trained Workforce over a period of 3 years, subject to bid
submittal by trades and include a provision that a workforce agreement with the LA/OC Building Trades, including the
Southwest Regional Council of Carpenters that would qualify the project for a $5.00 per square foot payment if paying
an in-lieu fee.
We would also like to ensure that any local hire requirement be phased in at the same period as the skilled and trained
workforce percentage is phased in and that it includes a commitment to work with Santa Ana, Garden Grove and Orange
Unified School Districts and Rancho Santiago Community College District to accelerate construction pathways into pre-
apprentice and apprenticeship programs to ensure a continuing supply of young residents for the area and to ensure
production of sufficient work force housing in the City’s Housing Element to help ensure that Santa Ana and local
residents do not have to move to other counties to find workforce housing.
I would like to close by stating in a perfect world we would like for all these projects to be built by our Santa Ana
members and residents only, but this simply would be impossible, But if you have a combination of Santa Ana residents
and residents of the surrounding communities, this workforce would spend their money in your great city providing
Community Wealth.
Thank you,
Rich Gomez
Local 714
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1
LATINO
HEALTHACCESS
November 16, 2021
Mayor Sarmiento and City Council Members
City of Santa Ana
20 Civic Center Plaza
Santa Ana, CA 92701
Latino Health Access
450 W. Fourth Street, Suite 130
Santa Ana, CA 92701
714-542-7792
www.latinohealthacc-ess.org
RE: Support to adopt Agenda Item #29, Housing Opportunity Ordinance Recommendations
Latino Health Access has been proudly working alongside community residents for over 27 years to
improve the social determinants of health in our city. We provide services that address immediate health
needs while providing information and facilitating opportunities to increase civic participation and impact
policies that will improve those social determinants in the long term. Therefore, we are writing in
support of the proposed amendments to the Homing Opportunity OrdinaRce.
The COVID-19 pandemic has altered everyday life across the globe. Beyond the disastrous health
consequences, the COVID-19 pandemic has disrupted the global economy with soaring income loss,
underemployment, and unemployment rates. An impact that has worsened and aggravated the living
conditions for many residents across the City of Santa Ana. The lack of affordable housing and the rising
cost of housing for our low-income residents has forced people into overcrowded living conditions and
rent -burden. Therefore, it is crucial that the City strengthen the Homing Opportunity Ordinance (HOO) to
ensure that homing opportunities are available for all residents in Santa Ana. Increasing affordable
homing development opportunities along with market -rate homing will be crucial in creating new homing
that residents in Santa Ana can truly afford The creation of housing at all income levels is vital to our
recovery and will provide stability for the majority of Santa Ana residents that are struggling with housing
availability and cost.
While the city has seen increased production of affordable housing it has not been enough to address the
past deficits and growing needs for affordable housing based on the population's housing needs and
incomes of residents in Santa Ana. As an example, according to the City's local data, 80•/u of Santa Ana
renters are moderate, low, and very low-income renters. Yet the most significant increase of housing has
been in the above moderate homing category with a total of 3,274 above moderate units produced
between 2013-2021, the City exceeded its RHNA allocation by 3,638% per the City's RHNA progress
reports submitted to the state. Hence, the majority of these new rental housing units, with an above
moderate average rent of $2000- S4000, are not available to address the housing needs of most working
families in Santa Ana
Homing costs in Santa Ana have been out of teach and will continue to be out of reach in this current
economic climate. Households in Santa Ana must earn S44.83 an hour to afford two -bedroom homing.'
PREVENTION EDUCATION ACTION
Latino Health Access
L,ATINQ 450 W. Fourth Street, Suite 130
HEALTH Santa Ana. CA 92701
ACCESS 714-542-7792
www.latinohealthaccess.org
The proposed amendments further incentivize housing units with market -rate rents and are not affordable
to the majority of the City's residents.
As such, we support the following amendments to the Housing Opportunity Ordinance:
Housing Opportunity Ordinance Amendments
• The proposed amendment to Sec. 41-1902. Applicability and Inclusionary Unit
Requirement
The City should ensure that affordable housing is built on new housing developments
or allow for developers to pay their fair share of funds to provide Santa Ana residents
with affordable housing. We support the Planning Commission's recommendations to
increase the on site requirement options as follows: 200/o at low income, or 15% at
very -low income, or 100/9 at extremely -low income, or a blended option of I S% where
5% is at extremely low income, 5% very -low income and 5% low-income income.
• The proposed amendment to Sec. 41-1904.Options to Satisfy Inclusionary
Requirements
We support the Planning Commission's recommendations to increase the in -lieu fees
in the In -Lieu Fee Schedule as follows: S 10 sq. ft for a residential project consisting
of 5 to 9 units, $11.66 sq. ft. for residential project consisting of 10 to 14 units, $13.32
sq. ft. for residential project consisting of 15 to 19 units, and $15 sq. ft. for residential
projects consisting of 20 or more units. The $15+ sq. R fee is in line with regional in -
lieu fees and is further supported by a feasibility study of Santa Ana's housing and real
estate market where a higher in -lieu fee range of $17.10 sq.ft: S17.80 sq. ft. are
recommended by the City's consultant.
However, we strongly disagree with the following amendment to the Housing Opportunity
Ordinance:
• The proposed amendment to See.41-1903. Exempt projects.
We believe that all the development projects that have not paid their in-heu fees,
regardless of their entitlement status should comply with any amendments made to the
Housing Opportunity Ordinance, including new on -site affordability requirements and
in -lieu fee requirements.
I National Low Income Having Cmiuion. Om of Reach The Hlgh Cost of Housing 202I,pg.1 g. Out of Reach 2021 (nlihc.ural
PREVENTION EDUCATION ACTION
LATINO
HEALTH
ACCE55
Latino Health Access
450 W. Fourth Street, Suite 130
Santa Ana, CA 92701
714-542-7792
www.latinoheafthaccess.org
We urge you to support the proposed changes to the Housing Opportunity Ordinance. The
proposed amendments will help the city increase affordable housing options for residents and
help the city meet equitable housing production goals.
Sincerely,
4vt-0- ricx
l/
l� F AQss
PREVENTION EDUCATION ACTION
BUILDING INDUSTPYOF SOUTHERN CALIFORNIA, INC.
ORANGE COUNTY CHAPTER
November 16, 2021 EXECUTIVE COMMITTEE
Mayor Vicente Sarmiento
City of Santa Ana
22 Civic Center Plaza
Santa Ana, CA 92701
Dear Mayor and Council,
The Building Industry Association of Orange County stands in strong opposition to all proposed
amendments to the Santa Ana Housing Opportunity Ordinance (HOO). Specifically, both
proposals in the staff report fail to acknowledge a fundamental understanding of local housing
and labor realities resulting in language that will disincentivize nearly everything the Ordinance
purports to achieve. At a minimum, an open study session on the draft language's market
impacts is required. Such a request is supported by City Staff regarding proposals from the
Planning Commission, but it is similarly needed when considering the misguided attempts at
creating inducements for "Skilled and Trained" labor. The current approach detrimentally
misses the mark.
While the policy is flawed, so too is the process. It has come to our attention that a letter was
recently submitted establishing a clear conflict of interest that invalidates the Planning
Commission hearing on the HOO. The law clearly states invalidation of the hearing is
established where "an unacceptable probability of actual bias" by the municipal decisionmaker
is established and in this case, the letter clearly establishes this bias. A rehearing allowing for
a valid Planning Commission review of the Ordinance is required as called for in Government
Code Sections 65853 and 65854.
Further, there is questionable nexus in the fee as proposed. The HOO is to fund the creation of
affordable housing. The city is instead proposing to use this funding for "code enforcement,"
"quality of life" and "general health and safety activities" per Section 41-1909. Where are these
terms defined and how exactly are they related to the creation of new affordable housing? This
is tantamount to converting the HOO into a General Fund account, wholly lacking in
accountability and relation to the purpose for which the fee was collected. This can create
significant legal exposure for the city under Prop 218.
The list of concerns continues but if the aforementioned do not warrant an immediate pause, no
further facts will benefit. If the HOO is to be amended, it must be done in the daylight and with
a full understanding of the economic impacts it will inflict on Santa Ana. Do not advance a
politically attractive proposal to the detriment of your residents.
Sincerely,
Adam Wood
Vice President
BIA/SC — Orange County Chapter
PRESIDENT
SUNTI KUMJIM
MBK RENTAL LIVING
1'TVICE PRESIDENT
EPIC NELSON
TRUMARK HOMES
TREASURER
BROOKE DOI
SHEA HOMES
SECRETARY
NICOLE MURRAY
TAYLOR MORRISON
TRADE CONTRACTOR VP
ALAN BOUDREAU
BOUDREAU PIPELINE CORPORATION
ASSOCIATE MEMBER VP
MARK HIMMELSTEIN
NEWMEYER & DILLION, LLP
MEMBER ATLARGE
PETER VANEK
INTREGAL COMMUNITIES
MEMBER AT LARGE
SEAN MATSLER
COX, CASTLE, & NICHOLSON LLP
IMMEDIATE PAST PRESIDENT
RICK WOOD
VICE PRESIDENT, OC CHAPTER
ADAM WOOD
BIASC
M92 MU RPHY AVE #14445, I RVI N E, CA 92623
949-553-9500 I BIAOC_COM
Chispa
November 16, 2021
Mayor Sarmiento and the City Council Members
City of Santa Ana
22 Civic Center Plaza
P.O. Bo 1988, M31
Santa Ana, CA 92701
Re: Support Item 29: Strengthen Housing Opportunity Ordinance and Affordable Housing Funds
Policies and Procedures
Dear Mayor Sarmiento and City Council Members,
We are writing in support of the proposed amendments to the Housing Opportunity Ordinance
and Affordable Housing Funds Policies. Many working families in Santa Ana continue to be impacted
by the rising cost of housing and the scarce housing opportunities available at rents they can afford. In
addition, many continue to face economic uncertainty because of the ongoing COVID-19 pandemic. The
creation of housing at all income levels is vital to our recovery and will provide stability for the majority
of Santa Ana residents that are struggling with housing availability and cost that existed long before the
pandemic. It is crucial that the City strengthen the Housing Opportunity Ordinance (HOO) to ensure that
housing opportunities are available for all residents in Santa Ana along with new housing options being
created in the City.
The City of Santa Ana is a renter majority city and despite the City's progress towards meeting its
Regional Housing Needs Assessment (RHNA) allocation for very low- and low- income housing,
there continues to be a great need for housing that is affordable to its residents. The current pandemic
has increased the economic and housing pressures on low-income families in Santa Ana. As incomes
are decreasing and jobs are being lost, many low-income families are struggling to remain housed.
This is especially true for the majority of Santa Ana's low-income households that are suffering with
the impacts of housing cost and economic uncertainty. According to the City's local data, 70 % of
Santa Ana renters are low and very low-income renters. 80% of renters in Santa Ana fall into the
moderate, low- and very low-income categories and 84 % of residents hold low-income occupations
that pay less than $53,500 per year'. Santa Ana's households are predominantly families comprising
81% of households.2 These households are also rent burdened and live-in overcrowded conditions'.
While the City has seen increased production of affordable housing there has been a disproportionate
production of above moderate housing with a total of 3,274 above moderate units produced between
1 City of Santa Ana General Plan Housing Element 2014-2021, p. 14, January 2014.
2 City of Santa Ana General Plan Housing Element 2014 — 2021 page 11
3 City of Same. Ana General Plan Housing Element 2014 — 2021 page 20
2013-2021, the City exceeded its RHNA allocation by 3,638% per the City's RHNA progress reports
submitted to the state. With average rents of $2000 - $4000, none of these above market rental units
are affordable to most of Santa Ana's working families.
The need will be much greater as the COVID-19 pandemic has exacerbated housing needs that were
already existing in our communities. Housing costs in Santa Ana have been out of reach and will
continue to be out of reach in this current economic climate. Households in Santa Ana must earn
$44.83 an hour to afford two -bedroom housing.' The proposed amendments further incentivize
housing units with market rate rents and are not affordable to the majority of the City's residents.
As such, we support the following amendments to the Housing Opportunity Ordinance and
Affordable Housing Funds Policies and Procedures:
Housing Opportunity Ordinance Amendments
• Proposed amendment to increase the in -lieu fee from $5 to $15+ per sq ft and
Amendment to add percentage of rental units for extremely low income households
The City should ensure that affordable housing is built on new housing developments or allow
for developers to pay their fair share of funds to provide Santa Ana residents with affordable
housing. The Commission supports the Planning Commission's recommendations to increase
the on site requirement options as follows: 20% at low income, or 15% at very -low income, or
10% at extremely -low income, or a blended option of 15% where 5% is at extremely low
income, 5% very -low income and 5% low-income income. The City must update the in -lieu
fee to $15 or above per sq ft to be in line with a fee that is fair and allows the City to fund
affordable housing for its residents. The City has identified that out of the $26 million in
collected in -lieu fees, $6 million was collected at $5 and the rest was collected at $9 or above.
The $15+ sq. ft. fee is in line with regional in -lieu fees and is further supported by a feasibility
study of Santa Ana's housing and real estate market where a higher in -lieu fee range of $17.10
sq.ft.- $17.80 sq. ft. are recommended by the City's consultant. This funding will allow the
City to secure additional state and federal funding sources to create much needed affordable
housing. The City risks losing state and federal housing matching funds by not having the
in -lieu fee for their local housing funds..
• The HOO should apply to all City initiated Land Use changes and rezoning.
The HOO should apply to all residential developments in the City. At a minimum the HOO
affordable housing requirements should apply to all residential and mixed use developments
that are asking for zone changes, upzonings, following city initiated specific plans, general
plan updates or those asking for other development incentives. In addition, the HOO should
apply to all developments taking advantage of City initiated land use and zoning changes,
specific plans and general plan updates and amendments. Land use changes may create
'National Low Income Housing Coalition. Out of Reach The High Cost of Housing 2021,pg.18. Out of Reach 2021 (nlihc.ore)
higher land values, profit, and incentives for market rate developers. At the same time many
of these market developments are not affordable to the majority of Santa Ana's residents. In
exchange for these development incentives, new affordable housing for Santa Ana residents
must be created.
• HOO- Inclusionary Housing Fund
The City needs to make new construction of affordable housing for extremely low- and very
low-income families a priority when using the housing fund monies. These are the families
that have the most pressing needs in the City of Santa Ana In addition, the fund should also
prioritize addressing housing insecurity, eviction prevention, and housing legal assistance for
residents that would directly help current Santa Ana residents with the exception of code
enforcement. Diversion of these funds to other programs unrelated to housing and direct help
for families would not increase or improve the supply of affordable housing.
• Pipeline Projects
The City must ensure that all the development projects, regardless of their current status,
comply with any amendments made to the Housing Opportunity Ordinance, including new
on -site affordability requirements and in -lieu fee requirements.
We urge you to support the proposed changes to the Housing Opportunity Ordinance. The proposed
amendments will help the city increase affordable housing options for residents and help the city
meet equitable housing production goals.
Sincerely//
A��z4v' f
Boomer Vicente
Policy Director of Chispa
November 16, 2021
City Council
City of Santa Ana
20 Civic Center Plaza
P.O. Bo 1988, M31
Santa Ana, CA 92701
www. ken n edyc onnmiss ion . ag
17701 Cowan Ave., Suite 200
Irvine, CA 92614
949 250 0909
Re: Support Item 29: Strengthen Housing Opportunity Ordinance and Affordable Housing Funds
Policies and Procedures
Dear Mayor and City Council Members,
The Kennedy Commission (the Commission) is a broad -based coalition of residents and
community organizations that advocates for the production of homes affordable for families
earning less than $27,000 annually in Orange County. Formed in 2001, the Commission has
been successful in partnering and working with Orange County jurisdictions to create effective
housing and land -use policies that has led to the new construction of homes affordable to
lower -income working families.
We are writing in support of the proposed amendments to the Housing Opportunity
Ordinance and Affordable Housing Funds Policies. Many working families in Santa Ana
continue to be impacted by the rising cost of housing and the scarce housing opportunities
available at rents they can afford. In addition, many continue to face economic uncertainty
because of the ongoing COVID-19 pandemic. The creation of housing at all income levels is
vital to our recovery and will provide stability for the majority of Santa Ana residents that are
struggling with housing availability and cost that existed long before the pandemic. It is crucial
that the City strengthen the Housing Opportunity Ordinance (HOO) to ensure that housing
opportunities are available for all residents in Santa Ana along with new housing options being
created in the City.
The City of Santa Ana is a renter majority city and despite the City's progress towards meeting
its Regional Housing Needs Assessment (RHNA) allocation for very low- and low- income
housing, there continues to be a great need for housing that is affordable to its residents. The
current pandemic has increased the economic and housing pressures on low-income families in
Santa Ana. As incomes are decreasing and jobs are being lost, many low-income families are
struggling to remain housed. This is especially true for the majority of Santa Ana's low-income
households that are suffering with the impacts of housing cost and economic uncertainty.
According to the City's local data, 70 % of Santa Ana renters are low and very low-income
renters. 80% of renters in Santa Ana fall into the moderate, low- and very low-income
categories and 84 % of residents hold low-income occupations that pay less than $53,500 per
year'. Santa Ana's households are predominantly families comprising 81% of households.2
These households are also rent burdened and live-in overcrowded conditions3.
While the City has seen increased production of affordable housing there has been a
disproportionate production of above moderate housing with a total of 3,274 above moderate
units produced between 2013-2021, the City exceeded its RHNA allocation by 3,638% per the
City's RHNA progress reports submitted to the state. With average rents of $2000 - $4000,
none of these above market rental units are affordable to most of Santa Ana's working families.
The need will be much greater as the COVID-19 pandemic has exacerbated housing needs that
were already existing in our communities. Housing costs in Santa Ana have been out of reach
and will continue to be out of reach in this current economic climate. Households in Santa Ana
must earn $44.83 an hour to afford two -bedroom housing.' The proposed amendments further
incentivize housing units with market rate rents and are not affordable to the majority of the
City's residents.
As such, we support the following amendments to the Housing Opportunity Ordinance
and Affordable Housing Funds Policies and Procedures:
HousinEr Opportunity Ordinance Amendments
• Proposed amendment to increase the in -lieu fee from $5 to $15+ per sq ft and
Amendment to add percentage of rental units for extremely low income households
The City should ensure that affordable housing is built on new housing developments or
allow for developers to pay their fair share of funds to provide Santa Ana residents with
affordable housing. The Commission supports the Planning Commission's
recommendations to increase the onsite requirement options as follows: 20% at low
income, or 15% at very -low income, or 10% at extremely -low income, or a blended
option of 15% where 5% is at extremely low income, 5% very -low income and 5% low-
income income. The City must update the in -lieu fee to $15 or above per sq.ft to be in
line with a fee that is fair and allows the City to fund affordable housing for its
residents. The City has identified that out of the $26 million in collected in -lieu fees, $6
million was collected at $5 and the rest was collected at $9 or above.
The $15+ sq. ft. fee is in line with regional in -lieu fees and is further supported by a
feasibility study of Santa Ana's housing and real estate market where a higher in -lieu fee
range of $17.10 sq.ft.- $17.80 sq. ft. are recommended by the City's consultant. This
funding will allow the City to secure additional state and federal funding sources to
create much needed affordable housing. The City risks losing state and federal housing
matching funds by not having the in -lieu fee for their local housing funds.
' City of Santa Ana General Plan Housing Element 2014-2021, p. 14, January 2014.
2 City of Santa Ana General Plan Housing Element 2014 - 2021 page 11
3 City of Santa Ana General Plan Housing Element 2014 -2021 page 20
4 National Low Income Housing Coalition. Out of Reach The High Cost of Housing 2021,pg.18. Out of Reach 2021 (nlibc.ora)
• The HOO should apply to all City Initiated Land Use changes and rezoning.
The HOO should apply to all residential developments in the City. At a minimum the
HOO affordable housing requirements should apply to all residential and mixed use
developments that are asking for zone changes, up zonings, following city initiated
specific plans, general plan updates or those asking for other development incentives. In
addition, the HOO should apply to all developments taking advantage of City initiated
land use and zoning changes, specific plans and general plan updates and amendments.
Land use changes may create higher land values, profit, and incentives for market rate
developers. At the same time many of these market developments are not affordable to
the majority of Santa Ana's residents. In exchange for these development incentives,
new affordable housing for Santa Ana residents must be created.
• HOO- Inclusionary Housing Fund
The City needs to make new construction of affordable housing for extremely low- and
very low-income families a priority when using the housing fund monies. These are the
families that have the most pressing needs in the City of Santa Ana. In addition, the
fund should also prioritize addressing housing insecurity, eviction prevention, and
housing legal assistance for residents that would directly help current Santa Ana
residents with the exception of code enforcement. Diversion of these funds to other
programs unrelated to housing and direct help for families would not increase or
improve the supply of affordable housing.
• Pipeline Projects
The City must ensure that all the development projects, regardless of their current
status, comply with any amendments made to the Housing Opportunity Ordinance,
including new on -site affordability requirements and in -lieu fee requirements.
We urge you to support the proposed changes to the Housing Opportunity Ordinance. The proposed
amendments will help the city increase affordable housing options for residents and help the city meet
equitable housing production goals.
Sincerely,
Cesar Covarrubias
Executive Director