TO:
Honorable Mayor and Members of the City Council
THROUGH:
Bruce Moe, City Manager
FROM:
Carrie Tai, AICP, Community Development Director
Talyn Mirzakhanian, Planning Manager
SUBJECT:Title
Consider Appropriating $150,000 from Local Early Action Planning (LEAP) Grant Funds to the Preparation of the City’s 6th Cycle Housing Element Update, Associated California Environmental Quality Act (CEQA) Documentation, and Associated Housing Policy Implementation (Community Development Director Tai).
APPROPRIATE FUNDS
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Recommended Action
RECOMMENDATION:
Staff recommends that the City Council appropriate $150,000 in the Fiscal Year 2020-2021 General Fund budget for the preparation of the City’s 6th cycle Housing Element update, associated CEQA documentation, and associated housing policy implementation, with up to $150,000 reimbursable by the State through the executed LEAP grant contract (Attachment).
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FISCAL IMPLICATIONS:
The City pursued and was awarded a $150,000 LEAP grant from the State of California Department of Housing and Community Development (HCD) to perform the work associated with the 6th cycle Housing Element update and implementation. Staff is requesting for City Council to appropriate $150,000 from the General Fund to support this work effort. The State HCD will reimburse the City for all related costs up to an amount not to exceed $150,000 with LEAP grant funding. Accordingly, budgeted revenues will also be adjusted in the amount of $150,000.
BACKGROUND:
All jurisdictions in the Southern California Association of Governments (SCAG) region are required to update their General Plan Housing Element for the 2021-2029 planning period (the “6th cycle”). The Housing Element is the portion of the City’s General Plan that plans for and implements the production and maintenance of housing. In June 2020, the City pursued and was awarded a $150,000 LEAP grant from the State HCD. The purpose of the LEAP grant program is to provide financial support and technical assistance to local governments for the preparation and adoption of planning documents that will accelerate housing production consistent with the Regional Housing Needs Assessment (RHNA); more specifically, for the preparation and implementation of the 6th cycle Housing Element update.
In order for City staff to commence work on the preparation and implementation of the 6th cycle Housing Element update and to seek reimbursement for these costs from HCD, the City Council would first have to appropriate the funds in an amount not to exceed $150,000.
DISCUSSION:
The City is mandated by the State to update the 6th cycle Housing Element and to obtain certification by HCD by October 2021. The appropriated funds would support preparation of the 6th cycle Housing Element update, preparation of CEQA documentation as required to support the Housing Element update, and implementation of zoning and General Plan amendments as necessary to address the City’s RHNA allocation and updated housing policies. The work will be performed by a combination of Planning staff and various consultants who will actively engage community stakeholders and residents and encourage, promote and advertise public involvement and participation with a branded public outreach effort, formulate realistic and creative solutions to address housing challenges in the community that comply with State law and fit into the City’s General Plan and Planning and Zoning Code framework, prepare associated environmental documents, and implement the necessary amendments to current regulations to accommodate the updated goals and policies. An outline of the anticipated project timeline and budget is provided as an attachment.
Staff has initiated consultant solicitations for the various efforts associated with the overall preparation and implementation of the City’s 6th cycle Housing Element update. Staff anticipates that individual contracts awarded for components of the work described herein will not exceed $50,000 and will be awarded administratively. However, in the event that any individual contract associated with this effort is expected to exceed $50,000, it will be brought forward to City Council for consideration at that time.
At this time, staff is requesting that City Council appropriate $150,000 of General Fund monies to all work efforts associated with the preparation and implementation of the City’s 6th cycle Housing Element update, with all related costs, up to a maximum amount of $150,000, reimbursable by the State HCD through awarded LEAP grant funding.
PUBLIC OUTREACH:
While public outreach was not required for the appropriation of said funds, the planning activities supported by this appropriation will include community engagement, public review, and public noticing Citywide, including to the public, stakeholders, community groups and/or other governmental agencies. Future public outreach will include, but is not limited to, community meetings, social media outreach, printed noticing and advertising, and public meetings and hearings.
ENVIRONMENTAL REVIEW:
The appropriation of funds has been determined to be exempt from CEQA pursuant to State CEQA Guidelines Section 15061(b)(3), the common sense exemption (formerly the “general rule”) that CEQA applies only to projects which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question can have a significant effect on the environment, the activity is not subject to CEQA, as is the case with the appropriation of funds to support preparation and implementation of the City’s 6th cycle Housing Element update. Future City actions to consider approval of the 6th cycle Housing Element update and related zoning amendments will be subject to CEQA, and appropriate environmental analysis will be conducted in connection with those actions.
LEGAL REVIEW:
The City Attorney has reviewed this report and determined that no additional legal analysis is necessary.
ATTACHMENTS:
1. Agreement - State of California - Local Early Action Planning (LEAP)
2. Anticipated Project Timeline and Budget