ORIGINATED BY: Reuben J. Arceo, Community Development Director

PUBLIC HEARING City Council October 11, 2011 TO: FROM: City Council Thomas E. Robinson, City Manager ORIGINATED BY: Reuben J. Arceo, Community Development Director SUBJECT: RESOLUTION NO. 11-37 ADOPTING THE UPDATED HOUSING ELEMENT OF THE GENERAL PLAN OF THE CITY OF LA MIRADA BACKGROUND On September 15, 2011, the Planning Commission approved a resolution recommending the City Council adopt the proposed Housing Element. If the proposed Housing Element is adopted by the City Council, it will be in effect for a year and a half as the new Regional Housing Element Allocation (RHNA) 5 th cycle starts in February 2012. RHNA allocations will be issued in December 2011. Another Housing Element for the 5 th RHNA cycle must be adopted prior to October 2013. FINDINGS The Housing Element addresses existing and future housing needs for all economic segments. The Housing Element is part of the La Mirada General Plan and is subject to detailed statutory requirements, policies, and programs that agencies are required to address to fulfill existing and projected housing needs, including meeting their RHNA share. The Housing Element must identify the overall goals, objectives, policies and action programs the City intends to implement to facilitate housing for existing and future residents of La Mirada. The City must prepare the Housing Element to meet state law requirements and achieve certification by the California Department of Housing and Community Development (HCD). Certification qualifies the City for funding programs offered by the State. The City received conditional certification as noted in Exhibit A from HCD on December 24, 2010 Housing Elements must be updated at least every five years. The City retained the services of Blodgett/Baylosis Associates in January 2008 to update the Housing Element. Mr. Blodgett was involved with assisting the City in appealing the City s RHNA in 2007 and is familiar with the City s efforts in attempting to meet its RHNA mandate. The City s current Housing Element was adopted in May 2001 and updates were due prior to June 30, 2006 by HCD. HCD extended the deadline to June 30, 2008 as the state required the Southern California Association of Governments (SCAG) to adopt a final RHNA plan at least one year before Housing Elements were due. SCAG s final

RHNA allocation plan was adopted by the Regional Housing Needs Assessment Board (RHNAB) on June 7, 2007. Local Housing Issues The draft Housing Element identifies several housing issues that are characteristic of the existing housing stock in La Mirada. According to the most recent Department of Finance (DOF) estimates, there were 15,075 housing units in La Mirada. Of this total, 11,892 units (78.9%) were single-family detached units; 800 housing units (5.4%) were single-family attached units; 480 units (42.1%) were smaller multiple-family developments containing between two to four units per structure; and 1,737 units (11.9%) were included in larger multi-family developments containing five or more units per structure. The 2000 Census identified 166 mobile units. Approximately 53.8 percent of the City s housing stock are over fifty years old as these units were constructed between 1940 and 1960. A total of 2,590 units were constructed between 1960 and 1969; 1,691 units from 1970 through 1979; approximately 1,069 from 1980 to 1989; and 1,895 units between 1990 and 2000. The 2000 Census indicated that there were 11,959 owner occupied units and 2,621 rental units in the City. Constraints Analysis As required by State law, the Housing Element includes a discussion of physical, market and environmental constraints that affect the development of housing in La Mirada. Physical constraints are those environmental factors that could affect housing development such as the lack of available undeveloped land and sites that are suitable for redevelopment, including limited opportunity for infill development. At this time, no vacant land for new residential development is identified in the La Mirada Land Use Element. Future residential development will be limited to infill opportunities that involve the replacement of either non-residential uses with new housing or construction of higher density housing on lots containing lower density residential. The proposed Imperial Highway Specific Plan identifies sites along Imperial Highway where mixed-use development opportunities would mitigate future housing constraints. Market constraints include land costs, construction costs, impact fees and availability of financing. In addition, tight credit opportunities in conjunction with the state s recession have significantly restricted housing construction and other development opportunities. The City does not impose any development impact fees on new residential development, nor require land dedication or other exactions of affordable housing development. Government constraints include outmoded zoning requirements and regulatory constraints, green building requirements, development review and plan check process, fees, building codes and enforcement. The City has worked to reduce entitlement constraints that affect the development of housing in the community. The City does not impose additional zoning, building code, or permitting procedures than those allowed by State law, such as for example adult care facilities and group homes, nor restrict distances between such uses or the number of uses in any part of the City other than 2

that required by the State. There are no City initiated constraints on housing for persons with disabilities. The City also works with applicants who need special accommodations in their homes to ensure that application of building code requirements does not create constraints. Constraints that warrant consideration by the City include that of providing emergency housing. The City of La Mirada will consider initiating a program in response to the requirement of Senate Bill 2 (SB 2) concerning the designation of an area where an emergency shelter must be permitted by right. The City will consider using a new Overlay Zone District as a means to comply with the requirements of SB 2 that call for specific geographic areas of the City to be assigned a land use designation that permits emergency shelters by right. The City will consider amending the Zoning Ordinance to permit emergency shelters in an area zoned as commercial and industrial along the south side of the Santa Ana Freeway. Housing Policies and Programs The attached draft Housing Element contains programs that address both the City s and State s objectives. Several programs are repeated from the current Housing Element and some are new. Cited below are a number of policies and programs the Housing Element addresses and proposes. Policies Policy 2.1 The City of La Mirada shall promote and, where possible, require the continued affordability of all residential units that may be produced with participation by the City or its authorized agents. Policy 3.3 The City of La Mirada shall encourage the infilling of vacant residential land. Policy 3.4 The City of La Mirada shall encourage the recycling of underutilized residential land, where such recycling is consistent with established land use plans. Policy 5.6 The City of La Mirada shall periodically reexamine local building and zoning codes for possible amendments to reduce construction costs without sacrificing basis health and safety consideration. Housing Programs Home Improvement Program (HIP) A home assistance program for low to moderate-income La Mirada homeowners to assist in the correcting of violations and repair of deteriorating conditions. The program provides repairs from $5,000 as a means to address immediate health and safety risks up to $30,000 to address exterior and or interior repairs and improvements. Loans are secured by a deed of trust. Foster Park Home Improvement Loan program designed for exterior and or interior repairs and improvements. The maximum loan amount is $30,000 Transitional Housing Program Transitional will be subject to the same permitting procedures as that required for other permitted uses for the zone 3

without undue special regulatory requirements. To comply with State law, the City will amend the Zoning Ordinance requirements for the residential zone districts so that the development of transitional housing will be permitted by right within the R-1 and R-3 Zones. Emergency Housing Program As previously discussed, the City will consider amending the Zoning Ordinance to allow emergency shelters in an area zoned as commercial and industrial along the south side of the Santa Ana Freeway to permit the development of housing by right. The City will consider adopting performance standards associated with such uses to ensure that the use operates within required guidelines In addition to the above, the attached draft Housing Element contains the following discussion: Population and demographic characteristics Employment and income characteristics Household characteristics Special housing and at risk housing Goals, policies and quantified housing objectives Five-year housing programs and review of past accomplishments (Government Code Section 65583) Public Contact/California Environmental Quality Act (CEQA) Section 65583 (c)(6)(b) of the Government Code states that The local government shall make a diligent effort to achieve public participation of all economic segments of the community in the development of the Housing Element and the program shall describe this effort. Public participation has and will continue to be an important role in the formulation of La Mirada s housing goals and policies. To develop the Housing Element, a window survey was conducted to ascertain the condition of housing throughout the community. A workshop was held with the Planning Commission in June 2008 to discuss the update with the Commission and public. Prior to adoption of the resolution by the Planning Commission recommending that the Council adopt the Housing Element, the draft Housing Element was subsequently reviewed by the Planning Commission in a workshop discussion on April 15, 2010 and on May 19, 2011. An initial study was completed per the requirements of the California Environmental Quality Act and the negative declaration circulated for a period of thirty (30) days from July 15, 2011 through August 15, 2011. The negative declaration and Initial Study, were also posted on the City s web site for comments. Regional Housing Needs Assessment The RHNA establishes the new housing objectives that must be considered in local Housing Elements for the 2006-2011 planning period. Each Housing Element is required to designate zoning opportunities for meetings its share of low, medium and high density housing. Failure to comply with its RHNA allocation subjects a city to a lawsuit challenging the validity of the General Plan s Housing Element. If a city is ruled 4

to be in violation of its Housing Element, a court order can require that a city bring its Zoning Ordinance and General Plan into compliance. The court can also suspend the City s ability to grant certain entitlements for all types of development, including the authority to issue building permits, approve zone changes, variances and subdivision maps until such time as the City s Housing Element substantially complies with statemandated requirements (Gov. Code section 65754). In June 2007, the Regional Housing Needs Assessment Board (RHNAB) imposed a RHNA requirement of 1,751 units for La Mirada. Staff was successful in reducing the initial RHNA by 60 percent from 2,736 units to 1,751. As a matter of information, RHNAB levied La Mirada the highest RHNA of any Gateway city with the exception of Long Beach. Noted in the table below are the RHNA requirements of each of the Gateway cities. City RHNA Requirement Bellflower 1,058 Cerritos 90 Downey 1,098 Hawaiian Gardens 144 La Habra Heights 116 Lakewood 667 Long Beach 11,193 Norwalk 329 Paramount 1,008 Signal Hill 245 La Mirada 1,751 The City s previous RHNA for the 1998-2005 RHNA Cycle adopted by the RHNAB was 682 units and by means of the appeal process the City was able to reduce this to 371 units. The City exceeded its housing production goals in the previous cycle as approximately 530 housing units were constructed. In June 2007, the City filed a lawsuit against SCAG to set aside its RHNA allocation in State Superior Court, County of Los Angeles. An appeal was subsequently filed with the State Court of Appeal in November 2009 when the Superior Court refused to act on the lawsuit on the basis that the RHNA process is a legislative matter in which the court has no jurisdiction. The Court of Appeal, Second Appellate District, upheld the RHNA process and dismissed the City s lawsuit against SCAG in December 2009, citing the judgment by the State Supreme Court in October 2009 where the court supported the decision by RHNAB to uphold the 35,000 RHNA allocation levied upon the City of Irvine. Given the State Supreme Court decision, it appears that future changes to modify RHNA will need to be accomplished through the legislative process. As the City had exhausted both its administrative and legal means to modify its RHNA, staff reinitiated the process for certification and adoption of the Housing Element. Staff 5

identified a number of potential sites for accommodating the City s RHNA allocation for review and consideration by the City Council. Based on input from the City Council, the draft was modified to reflect the Council s direction and the report forwarded to the state Department of Housing and Community Development (HCD) for review and certification. The City s draft Housing Element was sent to HCD for comment in July 2008 and again in June 2010 for comments. The City received certification of the Housing Element by HCD in December 2010. The potential sites for accommodating the mandated RHNA allocation were identified for review and consideration by the City Council in the table below during the many discussions it took to identify adequate housing sites the Council would support. The process for locating adequate housing sites was complex given the built out character of the City. However, single family residentially zoned properties were not modified, only certain commercial and industrial zoned areas. Selected housing sites will ultimately be overlaid with a housing zone that lists both residential and mix-use standards. The table below summarizing eleven sites were initially identified to accommodate up to 2,432 units. Staff requested City Council input as to which of the identified sites were best suited to accommodate the required 1,751 units. Previous sites identified for potential mixed-use development included the Crossroads Center, Marshalls Shopping Center, Vons site and Savers Center. The proposed Imperial Highway Specific Plan also zones for mixed-use development. It is important to indicate that the RHNA is not a production quota, but the City must show that the housing units can be accommodated. There is no mechanism at the state, regional or city level that requires the units identified in the RHNA to be constructed. SUMMARY OF POTENTIAL DEVELOPMENT Area No. Location Area (in acres) Density (units/acre) Potential Units 1 13970 Imperial Highway (Big Lots Shopping Center) 5.4 acres 45 243 2 12841 Valley View (Former National Lumber Store) 2.0 acres 30 60 3 15000 Leffingwell Road and 11550 La Mirada Boulevard 3.3 acres 30 99 4 11854 La Mirada Boulevard (Granada Av & La Mirada Blvd) 2.4 acres 30 72 5 11954 La Mirada Boulevard (Granada Av & La Mirada Blvd) 6.2 acres 30 186 6 15744 Imperial Highway 5.9 acres 15 89 7 14801 Alondra Blvd. (G.I. Trucking Operation) 25.3 acres 30 759 8 14860 Alondra Blvd. (Classic Burger Café) 0.8 acres 45 36 9 15018 Stage Road (Xpress Market Neighborhood Shopping Ctr) 3.7 acres 30 111 10 14003 Rosecrans Avenue (Industrial and Distribution Bldgs.) 21.0 acres 30 630 11 14524 Telegraph Rd. (Shopping Center Leffingwell & Telegraph) 4.9 acres 30 147 *Total 80.9 acres 2,432 units *Units Required to Meet RHNA 1,751 units Potential Units in 11 areas 2,432 units Difference 681 units At the February 16, 2010 Study Session, the City Council reviewed the 11 potential locations and directed staff to prioritize the feasible sites for housing development. Pursuant to the City Council s direction, staff proposed the nine sites listed on Table 2. 6

These sites would provide a total of 1,786 units, 35 more units than the City s RHNA of 1,751. Table No. 2: Potential Housing Sites Summary of Potential Development Area No. Area (in Acres) Density (units/acre) No. of Units 1 5.4 45 243 2 2 45 90 3 3.3 40 132 4 2.4 40 96 5 6.2 40 248 6 5.9 15 89 7 3.7 30 111 8 21 30 630 9 4.9 30 147 Total 54.8 1,786 The proposed nine sites are located within areas that meet the following guidelines: The core single-family residential areas of the community are protected. The proposed high-density sites are located along major arterials that could feasibly support traffic increases although future street accommodations may be required. Existing infrastructure is available to support housing, although future upgrades will be necessary to accommodate changes in density. Public, private and educational resources and services are within relatively close proximity of the locations. The proposed sites along Imperial Highway meet the sustainability provisions of the Compass Blueprint guidelines required by SCAG as part of the Imperial Highway Specific Plan. The proposed housing densities meet HCD requirements. The proposal accomplishes the City s RHNA. New development standards drafted in the future will help to ensure efficient site planning, building design, and land use and building connectivity to mitigate the effects that such development could have on adjacent land uses. 7

The following table is the breakdown illustrating how the City s RHNA share must apply across income groups. Each income distribution would need to be taken into consideration during the planning process as proposed housing sites are developed in the future to minimize any one area from assuming a disproportionate share of lowincome households. Income Groups Household Units County Median Income 1 Very Low 452 50% or less of county Median H/H income. Low 280 50% to 80% of county median. Moderate 303 80%-120% of county median. Above Moderate 716 120% and above of county median. 1. $62,100, based on 2009 median income for Los Angeles County, Department of Housing and Urban Development Upon adoption of the resolution by the City Council, the City will have one year to initiate the change in zoning to provide for the City s RHNA. The housing policies enumerated in the Housing Element will go into effect immediately once the Housing Element is adopted by the Council. RECOMMENDED ACTION It is recommended the City Council: 1. Conduct a Public Hearing as prescribed by law; 2. Adopt the associated Negative Declaration; and 3. Adopt Resolution No. 11-37 adopting the Updated Housing Element of the General Plan of the City of La Mirada. 8