Meeting #32 April 20, 2017 21 Elements

Agenda Welcome, Introductions and Announcements Updates Legislative Interest List Affirmatively Furthering Fair Housing Affordable Housing Sustainable Communities ADUs Products and Related Topics 2017/2019 Workplan Schedule and Next Steps Close at 3:00 PM

I. Announcements

II. Updates HEART, Armando Sanchez County Budget, Lindsay Haddix Budget and Invoicing, Janet Stone Housing Reporting, ABAG Home for All Planning Directors Meeting

III. Legislative Update Funding Housing Element Reform Promoting Housing Generally Affordable Housing Specific Minor Edits

“Is there any legislation about funding” At the Water Cooler “There are three potential sources of revenue – a bond, eliminating the second home mortgage deduction or a document recording fee. It could be big money, but we’ve heard that before” “Is there any legislation about funding”

“I heard the State might make some changes in Housing Element Law” At the Water Cooler “They continue to add teeth to Housing Elements, specifically if you don’t meet your RHNA. In particular, developments might qualify for ministerial approval. They also are proposing making it harder to count some housing sites in the inventory, particularly small sites.” “I heard the State might make some changes in Housing Element Law”

“I heard the governor is serious about promoting new housing” At the Water Cooler “There is a bill to make it harder to reject housing projects by referendum and one to expand the Housing Accountability Act to moderate income developments. Also, there is the bill that allows by right development if a city doesn’t meet it’s RHNA.” “I heard the governor is serious about promoting new housing”

“What’s going on with affordable housing” At the Water Cooler “A bunch of things could be happening here. So big, it didn’t fit in this bubble. There is a bill that says inclusionary units do not qualify for density bonuses and the ever elusive Palmer fix. They might drop the bond threshold to 55% for affordable housing and infrastructure bonds. There could be a big change that establishes Massachusetts style affordable housing review boards. Also, there could big consequences if jurisdictions do not do annual mitigation fee act reports. “What’s going on with affordable housing”

Legislative Summary Funding – “There are three potential sources of revenue – a bond, eliminating the second home mortgage deduction or a document recording fee. Any one of the bills would contribute hundreds of millions of dollars.” Housing Element Reform – “They continue to add teeth to Housing Elements, specifically if you don’t meet your RHNA. In particular, developments might qualify for ministerial approval. They also are proposing making it harder to count some housing sites in the inventory, particularly small sites.” Promoting Housing Generally – “There is a bill to make it harder to reject housing projects by referendum and one to expand the Housing Accountability Act to moderate income developments. See above as well. ” Affordable Housing Specific – “There is a bill that says inclusionary units do not qualify for density bonuses and the ever elusive Palmer fix. They might drop the bond threshold to 55% for affordable housing and infrastructure bonds. There could be a big change that establishes Massachusetts style affordable housing review boards. Also, there could big consequences if jurisdictions do not do annual mitigation fee act reports. More information – http://21elements.com/Resources/legislation.html or follow the link on the home page

Funding Eliminate second mortgage deduction ($300 million) – AB 71 Add $75 fee on real estate documents – SB2 Place $3 billion affordable housing bond on ballot – SB3

Housing Element Reform Streamlined, ministerial approval for cities that do not meet their RHNA – SB 35 Limits to available sites, including small sites - AB 1397 Analyze time to approve projects as nongovernmental constraint – AB 879 APR must list remaining units – AB 1156 Available sites must be maintained throughout the HE period – SB 166 Money to AG to enforce HE law – AB 72

Promoting Housing Generally 2/3 vote for limiting growth control or rejecting development – AB 943 Housing Acct Act applies to Mod income – AB 167

Affordable Housing Specific Inclusionary units do not trigger density bonus – AB 915 Palmer fix, enables inclusionary housing on rental – AB 1505 Consequences for not doing annual mitigation fee act reporting – SB 697 Establishes affordable housing approval boards (like MA) – AB 1585 55% vote for affordable housing or infrastructure bonds – ACA 4 Prevailing wages for certain affordable housing projects – AB 199

Minor Edits ADU cleanup – AB 494 Artist housing / Live work space – AB 565 and AB 886 Consider AFFH – AB 686 Revises water efficient landscaping standards – SB 780

Affirmatively Furthering Fair Housing Lindsay Haddix

Affordable Housing Sustainable Communities Rose Cade

ADUs Small group discussion ADU survey (Blue form and white survey) ADU website and products (yellow forms)

New Products

RHNA Sharing

Employee Housing

Requirements Provisions regarding ccommodations that are, “maintained in connection with any work or place where work is being performed.” Employee housing for 6 or fewer people located in single family home must be treated as single family home =

Response “Employee housing for six or fewer employees in a single-family dwelling shall be deemed a single-family use and shall be treated the same as any single-family dwelling in districts where single-family dwellings are allowed. Employee housing shall not be included within the definition of a boarding house, rooming house, hotel, dormitory or other similar term that implies the employee housing differs in any way from a family dwelling and shall not constitute a change in occupancy for purposes of local building codes. It shall not be subject to any fees to which other family dwellings of the same type in the same zone are not likewise subject.

Impact Fee Progress

ADU New State Law Requirements Progress

Displace- ment

Housing Trends Overview and Summary The County and Regional Landscape: Planning for Housing State and regional context Housing Elements and related re- zonings* Summary of major initiatives: Home for All, HEART, and GBI Housing Production by Jurisdiction by AMI (2010 to present) Present production numbers by income level* Relate housing production to jobs Relate production to zoning potential and RHNA * Review pipeline for key jurisdictions Compare production to nearby counties State of Housing Policy Highlight best practices and major wins Countywide Affordable Housing Impact Fees Major rezoning efforts Major policy directions State of housing policy in the county Chart of housing policies by jurisdiction* Highlight new policies/efforts Include a narrative for each jurisdiction Looking Forward: Housing Policy and Trends ADUs Addressing displacement Other topics

2017/2019 Workplans

Reach Out 2/2/17 Where can we find statistics about Airbnb usage? 2/3/17 Review of impact fee report What are deadlines for impact fee reports and expenditures? 2/7/17 Help accessing short term rental data 2/8/17 Sample powerpoints for impact fees 2/9/17 Help with impact fee ordinance 2/14/17 New second unit law question 2/16/17 How to incentive other regions to cooperate, replicate 21 Elements 2/23/17 Short term vacation rentals How to make ___ mulit city collaboration more effective

IX. Schedule and Next Steps Schedule for 21 Elements Meetings Summer Meeting Date (TBD) Other Meetings RHNA Sharing Technical Meeting – February 15th, 2017 Planning Directors Meeting – 12:00 – 1:30 pm, San Mateo City Hall, April 27th