Planning Commissions Study Session City of Manteca 2015-2023 Housing Element Planning Commissions Study Session August 25, 2015

Workshop Agenda Introductions Housing Element Update Housing Needs Assessment Regional Housing Needs Allocation (RHNA) Goals, Policies, & Programs Next Steps Discussion/Questions Expectations for this process and report: Manteca, 2015-2023 Housing Element Planning Commission Study Session | August 25, 2015

Housing Element Update 1 Housing Element Update

Housing Element Overview Plan to meet the existing and projected housing needs of all economic segments of the community One of seven mandated general plan elements New 8-year timeframe, set by State law Adoption deadline is December 31, 2015 Review by California Department of Housing and Community Development (HCD) for compliance with State law Primarily focused on affordable housing for meeting the State mandate Opportunity to discuss and address broader housing issues Not a complete market study, but an opportunity to talk about local housing needs and issues Within the policy context to address these things, but there’s not a detailed analysis to study these things because it’s not part of the scope Manteca, 2015-2023 Housing Element Planning Commission Study Session | August 25, 2015

Housing Element Contents Part 1: Background Report Housing Needs Assessment Existing Housing Needs Special Housing Needs Groups 8-Year Projected Housing Needs Potential Housing Constraints Governmental Constraints Non-Governmental Constraints Housing Resources Financial Resources Residential Sites Inventory Not a market study Manteca, 2015-2023 Housing Element Planning Commission Study Session | August 25, 2015

Housing Element Contents Part 2: Policy Document Goals, Policies, Programs, & Quantified Objectives Adequate vacant residential sites Assist in development of affordable housing Address governmental constraints Preserve existing affordable housing Promote equal housing opportunities Manteca, 2015-2023 Housing Element Planning Commission Study Session | August 25, 2015

Changes from the Existing HE Updated existing conditions information as needed Using HCD’s Streamlined Review process Reorganized goals, policies, and programs Removed and combined completed and irrelevant policies and programs Loss of redevelopment Manteca, 2015-2023 Housing Element Planning Commission Study Session | August 25, 2015

Housing Needs Assessment 2 Housing Needs Assessment

Population Growth in Manteca Manteca is rapidly growing with a projected population increase of 36% from 2015 to 2023. Population Year Source: DOF, 1850-2010 Historical US Census Populations of Counties and Incorporated Cities/Towns in California; Data Package. Manteca, 2015-2023 Housing Element Planning Commission Study Session | August 25, 2015

Percentage of Housing Units Owning versus Renting Manteca has a greater proportion of owner occupied housing units than San Joaquin County and California. Percentage of Housing Units Source: U.S. Census Bureau, 2010. Manteca, 2015-2023 Housing Element Planning Commission Study Session | August 25, 2015

Housing Units in Manteca Nearly 80% of the homes in Manteca are single family detached housing units, compared to less than 60% statewide. Manteca California Source: DOF, 20011-2014. Manteca, 2015-2023 Housing Element Planning Commission Study Session | August 25, 2015

Percentage of Households Household Income Manteca has a greater concentration of middle income residents ($50,000-74,000) compared to San Joaquin County and California. Percentage of Households Source: ACS 3-year, 2008-2010. Manteca, 2015-2023 Housing Element Planning Commission Study Session | August 25, 2015

Households Overpaying Housing Costs 47% of households in Manteca are paying in excess of 30 percent of their income on housing costs The HCD Housing Element Review Worksheet calls for an analysis of the proportion of “lower income” households “overpaying for housing.” Lower-income households are defined as those that earn 80 percent or less of the area median income. This is a share of income approach to measure housing affordability in terms of the percentage of income that a household spends on its housing. Percentage of Overpaying Households Source: ACS, 2008-2012. Manteca, 2015-2023 Housing Element Planning Commission Study Session | August 25, 2015

Special Needs Housing Homeless Individuals Single Female Households According to Central Valley Low Income, 88 adults and 2 children were homeless in Manteca in early 2015 Single Female Households 3,191of households in Manteca are single-female headed households with children 49.9% of all families under the poverty level in Manteca are single-female headed households. Manteca, 2015-2023 Housing Element Planning Commission Study Session | August 25, 2015

Special Needs Housing Persons with Disabilities Seniors (65+) 7.5% of the total Manteca population over age 5 has a disability Seniors (65+) Increased from 9.3% of population in 2000 to 9.9% in 2010 Still less than the County (10.4%) and California (11.4%) Manteca, 2015-2023 Housing Element Planning Commission Study Session | August 25, 2015

Special Needs Housing Farmworkers Large Families/Households 24,872 farmworkers were hired county-wide in 2012 No farmworker housing in Manteca Large Families/Households 19.4% of all households in Manteca had 5+ persons in 2010, which is greater than California (16.4%) Manteca, 2015-2023 Housing Element Planning Commission Study Session | August 25, 2015

Regional Housing Needs Allocation 3 Regional Housing Needs Allocation

Regional Housing Needs Allocation California (Housing and Community Development) SJCOG San Joaquin Council of Governments 2014 -2023 RHNA = 40,360 housing units Escalon 425 Lathrop 5,156 Lodi 1,931 Manteca 4,401 Ripon 1,480 Stockton 11,824 Tracy 4,976 San Joaquin County 10,167 Each jurisdiction must accommodate its “fair share” of the regional housing need Manteca, 2015-2023 Housing Element Planning Commission Study Session | August 25, 2015

Regional Housing Needs Allocation RHNA for City of Manteca by Income Category, 2014-2022 Income Category RHNA (Housing Units) Income Range (3-pers. Household) Extremely Low Income (<30% of Median Income) 459 < $17,900 Very Low Income (30-50% of Median Income) 466 $17,900- $29,850 Low Income (50-80% of Median Income) 693 $29,850- $47,750 Moderate Income (80-120% of Median Income) 825 $47,750 - $71,600 Above Moderate Income (>120% of Median Income) 1,958 > $71,600 TOTAL 4,401 -- Manteca, 2015-2023 Housing Element Planning Commission Study Session | August 25, 2015

Who is low-income? Preschool Teachers Farmworkers and Laborers Security Guards Waiters and Waitresses Cashiers

What is “affordable” in Manteca? Affordable House Price Based on a Family of 3 2014 Median Home Sale Price was $315,000 $300,000 $200,000 $100,000 Median Income family earning $59,650 can afford $247,000 Income Gap Low Income family earning $47,750 can afford $198,000 Very Low Income family earning $29,850 can afford $124,000 A simplified way of looking at the affordability gap is to compare the median priced home to the affordable purchase price of a median income family. verbally state the percentage increase in housing cost from 2013 to 2014 (I believe it is about 17%) Source: HCD 2014, Dataquick, 2015. Manteca, 2015-2023 Housing Element Planning Commission Study Session | August 25, 2015

What is “affordable” in Manteca? Affordable Monthly Gross Rent Based on a Family of 3 $1,400 $1,300 $1,200 $1,100 $1,000 $900 $800 Median Income family earning $59,650 can afford $1,491 Low Income family earning $47,750 can afford $1,194 2014 Average Monthly Gross Rent was $1,170 Income Gap Monthly gross rent includes utilities Very Low Income family earning $29,850 can afford $746 Source: HCD 2014, Dataquick, 2015. Manteca, 2015-2023 Housing Element Planning Commission Study Session | August 25, 2015

Housing Types and Affordability Housing Element basic assumption: Density = Affordability Above Moderate Income Moderate Income Lower Income (20 units/acre) Large-lot single family home Townhome Accessory dwelling Multifamily housing Mobile home Small-lot single family home Duplex The City of Manteca must demonstrate that it has enough vacant land zoned at appropriate densities to accommodate the projected new housing units for each income category. Manteca, 2015-2023 Housing Element Planning Commission Study Session | August 25, 2015

How will Manteca meet the RHNA? Approved and pending housing projects (shown in green) Vacant/underutilized land inventory High density residential sites are considered appropriate for lower-income housing Manteca, 2015-2023 Housing Element Planning Commission Study Session | August 25, 2015

Built or Planned Projects Existing Capacity Manteca has sufficient capacity to meet its RHNA and there is no remaining need. Extremely Low Income Very Low Income Low Income Moderate Income Above Moderate Income Total Units Total RHNA 459 466 693 825 1,958 4,401 Built or Planned Projects 40 8,542 8,582 Capacity on Vacant/ Underutilized Sites that Allow Multifamily Development 4,292 1,490 5,782 Remaining Need (2,714) (665) (6,584) (9,963) Manteca, 2015-2023 Housing Element Planning Commission Study Session | August 25, 2015

What is “affordable” housing? Market rate housing Deed restricted housing Housing that receives government assistance Transitional and Supportive Housing Emergency Shelters Market rate housing that is affordable to a given income group Ownership limited to above moderate income groups Rental limited to low-income groups and above Deed restricted housing that is affordable to a target income group Almond Terrace Apartments (seniors) Estaton Manteca Manor (seniors) Almond Court Apartments (seniors) Magnolia Court (seniors) Union Court Apartments Cedar Glen Juniper Apartments Housing that receives other government assistance that is affordable to a target income group Vernal Apartments Yosemite Apartments

Goals, Policies, & Programs 4 Goals, Policies, & Programs

Goals, Policies, & Implementation Programs Goal 1: Affordable Housing Promote the development of affordable housing in the city of Manteca. Goal 2: Mixed-Use, Infill, and Downtown Development Promote mixed-use, infill, and downtown development in the city of Manteca. Goal 3: New Development Provide a range of housing types, densities, and designs, and meet existing and projected housing needs for all economic segments of the community. Goal 4: Maintaining and Preserving Existing Housing Encourage the maintenance and continued improvement of the existing housing stock and residential neighborhoods. Goal 5: Housing for Special Needs Provide adequate housing opportunities for persons with special needs, including seniors, persons with disabilities, single parents, large families, persons lacking permanent shelter, and residents with extremely low incomes. Goal 6: Promoting Fair Housing Practices Promote equal opportunity to secure safe, sanitary, and affordable housing for everyone in the community regardless of race, color, religion, sex, sexual orientation, marital status, national origin, ancestry, familial status, source of income, or disability. Goal 7: Energy Efficiency in Residential Development Encourage energy efficient residential and neighborhood designs that reduce total housing costs by lowering ongoing operation and maintenance costs. Goal 8: Implementing and Monitoring Ensure that Housing Element programs are implemented on a timely basis and the progress of each program is monitored and evaluated annually. Manteca, 2015-2023 Housing Element Planning Commission Study Session | August 25, 2015

5 Next Steps

Process & Schedule Milestone Estimated Date Planning Commission Study Session August 25, 2015 City Council Study Session September 15, 2015 HCD Review of Draft Housing Element September - November 2015 Environmental Review September - November 2015 Planning Commission Adoption Hearing November 2015 City Council Adoption Hearing December 2015* Submit to HCD for Certification December 2015 Today *According to the schedule established by SB 375, the City has until May 31, 2016, to adopt the Housing Element without incurring the four-year penalty. Manteca, 2015-2023 Housing Element Planning Commission Study Session | August 25, 2015

Discussion/ Questions 6 Discussion/ Questions