1. California Housing Accountability Act

2. Housing Crisis Housing growth not keeping up with population growth
Current shortage of 2,000,000 units increasing to 3,500,000 units by 2025
Strategies suggest building on vacant urban land, intensifying housing around transit, adding density to multifamily development, increasing supply of affordable housing through various methods

3. Housing Accountability Act
The Housing Accountability Act, among other things, prohibits a local agency from disapproving, or conditioning approval in a manner that renders infeasible, a housing development project for very low, low, or moderate-income households or an emergency shelter
Sets policy for all cities having a “fair share” of housing development obligations

4. 2017 Housing Package Effective Jan. 1, 2018
State Declares Housing /crisis in part fault of local government, seeks to find ways to streamline housing approvals
Regional Housing Needs Allocation (RHNA) Cities required to produce units at specific affordability levels ; ELI, VLI, LI, Moderate, Above Moderate during 8-year housing cycle; Creates new reporting and monitoring
Establishes fines for non-compliance; withholding grants
Creates persons/entities of new standing to enforce compliance
Streamlines certain projects; reduces public input; ADU exemptions
Introduces SB 35 - reduces public input – no CEQA required
HCD given extended audit authority and ability to refer to Attorney General

5. City RHNA Accomplishments
Current 5th Cycle ( ) Summary with Pledged Affordable Units
Morgan Hill
RHNA
Units Permitted
Units Pledged
Remaining / (Surplus)
% Complete
VLI
273 72 86
115
26% LI
154
179 13
(38)
116%
Mod
185
393
320
(528)
212%
Above Mod
316
1250
TBD
(934)
396%
TOTAL
928
1894
419
(1385)
204%

6. What’s on the Horizon Further Legislation
Further restraint of Cities’ land use authority
Bigger Housing numbers - production goals in future – 2023 – 2031
More scrutiny
SCC Grand Jury Report: “Affordable Housing Crisis Density is our Destiny”
Frontrunning Gubernatorial candidate committed to production of 3.5 M new units; should “punish cities” which do not comply

7. New Compliance Pending
SB 66 No net Loss zoning density – 180 days
No net loss development unit accountability
AB 1397 Site Inventory changes
Replacement housing
Identification of Governmental restraints, impact fees, process (HCD to study reasonableness of local fees AB 879)
SB 828 Identification of 125% of RHNA need
Carryover of underproduced units into new RHNA cycle

8. New Compliance Continued:
AB 1771 Increase RHNA allocation to areas of high opportunity for lower income residents and allocate high % of housing to an income category of which a city has low existing share
New housing units should be in urban areas and not agricultural or environmentally sensitive areas. New housing should respect Ag preservation
SB 831New streamlining for ADU’s; no ability to charge sewer meter or impact fees. Ministerial approval, permitted on all residential lots, increase in permitted size to 800 s.f.; prohibits owner occupancy reqs. ; no FAR, lot coverage