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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 Disclaimer The information contained in this communication from the sender is confidential. It is intended solely for use by the recipient and others authorized to receive it. If you are not the recipient, you are hereby notified that any disclosure, copying, distribution or taking action in relation of the contents of this information is strictly prohibited and may be unlawful. 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