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Campbell - FINAL Housing Element THE CITY OF CAMPBELL HOUSING ELEMENT UPDATE 2009-2014 August 27, 2009 Prepared by Karen Warner Associates + Metropolitan Planning Group The City of Campbell 2009-2014 Housing Element August 27, 2009 The City of Campbell 70 North First Street Campbell California 95008 (408) 866-2140 www.cityofcampbell.com TOC-i Table of Contents Housing Element ................................................................................... H-1 Introduction ............................................................................................................... H-1 Community Context ............................................................................................. H-1 Role of Housing Element ...................................................................................... H-3 Public Participation .................................................................................................... H-4 Relationship to the General Plan ......................................................................... H-5 Housing Needs Summary ........................................................................................... H-6 Existing Housing Needs ........................................................................................ H-6 Future Housing Needs ........................................................................................ H-10 Housing Resources ................................................................................................... H-11 Availability of Sites for Housing ......................................................................... H-11 Financial Resources ............................................................................................ H-22 Administrative Resources .................................................................................. H-26 Opportunities for Energy Conservation ............................................................. H-27 Housing Plan ............................................................................................................ H-31 Goals, Policies, and Programs ............................................................................ H-31 Appendicies ................................................................................................ Appendix A ................................................................................................................... A1-1 Appendix A1: Housing Element Technical Report ............................................. A1-1 Appendix A2: Summary of Public Comments .................................................... A2-1 Appendix A3: Summary of Infill Development Projects .................................... A3-1 Appendix A4: Inventory of Opportunity Sites .................................................... A4-1 TOC-ii LIST OF FIGURES Figure H-1 Map of Opportunity Sites ............................................................................. H-13 Figure H-2 Area where Emergency Shelters are Permitted by Right ............................ H-21 LIST OF TABLES Table H-1 Existing Housing Needs ................................................................................... H-6 Table H-2 Opportunity Sites Analysis ............................................................................. H-15 Table H-3 Comparison of Regional Housing Growth Need and Residential Sites ......... H-19 Table H-4 Financial Resources for Available Housing Activities .................................... H-24 Table H-5 Housing Implementation Programs Summary .............................................. H-50 Draft Campbell Housing Element H-1 INTRODUCTION Community Context Incorporated in 1952, Campbell is a community of approximately 40,000 residents centrally located in Silicon Valley. Nearby communities include San Jose to the west, east and north, and Los Gatos and Saratoga to the south. From the mid-1850’s, Campbell was primarily an agricultural production center, with fruits as its major crops. By 1950, however, croplands were beginning to be transformed into residential neighborhoods. Campbell’s population doubled during the 1960’s, slowed down in the 1970’s, and grew again in the 1980’s. Between 1980 and 1990, the City’s population increased by 33 percent, a level of growth unmatched by nearby communities. Since 1990, however, population growth has been limited in Campbell. Today, Campbell is a suburban, built-out community. Campbell offers a mix of housing types, including single-family homes, townhomes, garden apartments, condominium developments, and live-work space. Of the nearly 17,000 housing units in the City, 56 percent are single-family homes, 43 percent are multi-family units, and one percent are mobile homes. Housing costs are relatively high in Campbell, as is typical in the Bay Area and Silicon Valley in particular. In Campbell, the median price of a single-family home sold in 2007-2008 was $735,000 with market rents for two-bedroom apartments ranging from $1,300 to $2,050. Since the last Housing Element adopted in 2001, the City of Campbell has been very active in processing and approving numerous housing projects of all types. From January 1, 2007 to January 2009, the City has approved or issued permits for 519 new housing units. This level of housing approval and production is equal to 58 percent of the City’s total Regional Housing Needs Allocation (RHNA) of 892 units for the 2007-2014 time period. Due to the economic downturn that began in late 2007, not all of the approved projects have proceeded to the construction phase. This progress to date on the current “fair share” housing goals represents a validation of the 2001 General Plan strategy to promote new in-fill mixed-use projects near transit corridors and within targeted revitalization areas. The City has also allowed development of new housing within established neighborhoods when consistent with adopted General Plan policies and zoning regulations. Campbell has been proactive in developing and implementing innovative housing policies including: • Adoption of an Inclusionary Zoning Ordinance; • General Plan vision for Transit Oriented Development; • Utilization of flexible parking requirements; • Provision of Senior Shared Housing; • Proactive response to foreclosure crisis through outreach; and • Active Redevelopment Agency in support of housing goals. H-2 Campbell General Plan Like most communities in Silicon Valley, Campbell is home to employers in the high technology industry, however most employers are small to mid-size companies. As of 2005, Campbell had an employment base of approximately 22,500 jobs, most of which are in the service and manufacturing/wholesale (including high tech) sectors. The City has been able to achieve a relative balance between jobs and housing, and will strive to maintain this balance. According to the Association of Bay Area Governments (ABAG) Projections 2007 in 2005, Campbell had a jobs/employed residents ratio of 1.2, indicating that there is an almost equal number of employed residents and jobs within the City. Housing affordability is a major issue in the Bay Area, with a significant number of households in the region overpaying for housing.1 The shortage of affordable housing particularly affects lower-income renters and first-time homebuyers, and has impacted the City’s ability to maintain civic workforce occupations such as public safety workers and teachers. The City of Campbell has been active in promoting housing affordability through its support of non-profit housing providers and home purchase assistance. As part of this Housing Element update, the City will look for additional means to expand the supply of affordable housing, including facilitating residential development in mixed- use areas and around light rail stations. Campbell’s housing stock is generally in good condition. However, there are older residential properties that exhibit signs of deferred maintenance and require varying degrees of repairs. To facilitate the improvement of housing and neighborhood quality, the City currently offers various rehabilitation programs. Campbell’s quality residential neighborhoods, strong employment base, high level of public services, and well regarded school system, all contribute to its attractiveness as a place to live. Over the next five years, Campbell is faced with various important housing issues and challenges: • Providing housing affordable to all segments of the population; • Preserving the quality of the housing stock; • Maintaining a balance between employment and housing opportunities; and • Providing new types of housing in response to changing demographic trends. This Housing Element provides policies and programs to address these and other related issues. 1 Spending 30% or more of income on housing costs, including utility payments. Draft Campbell Housing Element H-3 Role of Housing Element Every jurisdiction in California must have a General Plan and every General Plan must contain a Housing Element. While jurisdictions must review and revise all elements of their General Plan regularly to ensure that they remain up to date, State law is much more specific in regard to the schedule for updating the Housing Element, requiring an update at least every five years. Campbell’s Housing Element is thus a five-year plan extending from 2009-2014, unlike other General Plan elements that typically cover a 10 to 20-year planning horizon. This Housing Element identifies strategies and programs that focus on: 1) Preserving and improving housing and neighborhoods; 2) Providing adequate housing sites; 3) Assisting in the provision of affordable housing; 4) Minimizing governmental and other constraints to housing investment; and 5) Promoting fair and equal housing opportunities. The Housing Element consists of the following major components: • A summary of the City’s existing and projected housing needs; • An assessment of the land, financial and administrative resources available to address Campbell’s housing needs; • A Housing Plan to address the City’s identified housing needs, including housing goals, policies, and programs; and • A Technical Background Report consisting of a detailed housing needs assessment, an analysis of constraints to housing production and affordability, and an evaluation of the City’s progress in implementing the housing programs established in the 2001 Housing Element. Data Sources Various sources of information are used to prepare the Housing Element. Data from the 2000 Census on population and housing is used to a large extent in the Element. Although dated, the 2000 Census remains the most comprehensive and widely accepted source of information. Several data sources are used to update the 2000 Census information including: • Population and demographic data is updated by the State Department of Finance, and school enrollment data from State Department of Education; • Housing market information, such as home sales, rents, and vacancies, is updated through newspaper and internet rent surveys and DataQuick sales transactions; • Public and non-profit agencies are consulted for data on special needs groups, the services available to them, and gaps in the system; • Lending patterns for home purchase and home improvement loans are provided through the Home Mortgage Disclosure Act (HMDA) database. • Major Employers are provided by the City of Campbell Finance Department; • Association of Bay Area Governments (ABAG) Projections 2007 and ABAG’s Regional Housing Needs Determination (May 15, 2008) provides demographic projections and information on future housing needs; • Comparative data for income levels of various groups is provided by the Comprehensive Housing Affordability Strategy, 2000; and • Information on Campbell’s development standards are derived from the City’s Zoning Ordinance. H-4 Campbell General Plan PUBLIC PARTICIPATION Opportunities for residents to provide input on housing issues and recommend strategies are critical to the development of appropriate and effective programs to address Campbell’s housing needs. In 2008, the City conducted two public workshops as an opportunity to gather community input for the Housing Element. The first workshop in October 2008 focused on informing the residents about the housing needs for the City, and recorded their input and requirements. The second workshop held a month later in November 2008, reviewed the existing policies and goals as outlined in the current Housing Element. The participants provided their feedback on the existing programs and outlined three more programs that could be provided by the City. The City promoted the workshops through advertisements in two local newspapers, on the local government access television station, at the library and on the City’s website. The City also directly mailed workshop information to local non-profit housing developers, churches, PTAs, Mobile home parks and BMR developments. Workshop participants included homeowners, renters, developers, local housing and social service providers, and City staff. A summary of public comments received at the workshops are included in the Appendix A2. The workshops were also covered by a local newspaper. The following key issues were raised by members of the public at the two community workshops:  Concerns regarding the foreclosure crisis – what role can the city play to advocate for people at risk of foreclosure?  Need to outreach to rental property owners – develop standardized “house rules”, educate regarding how to address problem tenants.  Pursue creative ways to keep rental units affordable.  Senior citizens are particularly impacted by the housing crisis – need to pay special attention to their housing needs.  Modify inclusionary program to provide low income ownership units, and very low income rental units.  Provide for reduced parking and flexibility in other development standards for projects near transit.  Pursue programs to address the following areas: 1) health friendly environment; 2) standards for green building; and 3) incentives for affordable housing. Each of the issues from the community workshop is addressed within the Housing Element’s policies and programs. For example, a new Program 2.3c has been added to provide foreclosure intervention services. In terms of senior housing needs, Program 2.5a involves establishment of a regional shared housing program for seniors. And Program H-6.1a includes conducting training for rental property owners and managers to provide information on standard lease agreements, and tools to address problem tenants. Draft Campbell Housing Element H-5 Following the community workshops, City staff conducted a public study session with the City Council to confirm direction on appropriate policy and programmatic responses to address the community’s identified housing needs. The City Council directed staff to integrate the following policy direction in the Housing Element update:  Revisions to the Inclusionary Ordinance to provide deeper income targeting on for-sale units;  Use of RDA set-aside funds to support the provision of very low and low income inclusionary units on a case by case basis;  Policies to encourage development at planned-for densities near transit and specified mixed-use corridors (i.e.. minimum densities);  Identification of areas within the M-1 zone appropriate for emergency shelters, and;  Identification of the R-3 zone as suitable for single room occupancies Upon completion of the draft Housing Element, the document is reviewed by the City Council and the public. After approval, the draft Housing Element is sent to the State Department of Housing and Community Development (HCD) for review. After review, the Planning Commission and the City Council hold public hearings. Comments received from HCD are required to be heard before those decision-making bodies. To ensure that all economic segments of the community maintain involvement throughout the process, notification is published in the local newspaper in advance of each hearing, and copies of the Element are available for public review at City Hall, the Public Library, and on the City’s website. Relationship to the General Plan The 2009-2014 Housing Element is one of the six elements of Campbell’s comprehensive General Plan. The Plan consists of the following elements: Land Use and Transportation; Open Space, Parks and Public Facilities; Conservation and Natural Resources; Health and Safety; and Housing. The Housing Element builds upon the other General Plan Elements and is consistent with the policies set forth in those elements. For example, the Draft Land Use Element focuses residential growth along commercial corridors and around transit stations, and provides the basis for the residential sites inventory contained in the Housing Element. Whenever any Element of the General Plan is amended in the future, the Housing Element will be reviewed and modified, if necessary, to ensure continued consistency between elements. H-6 Campbell General Plan Habitat for Humanity Homes at Victor Avenue HOUSING NEEDS SUMMARY In the 1940s, Campbell’s fruit orchard heritage slowly began being replaced by housing subdivisions. Today, most of the new residential development in Campbell occurs on commercial property, designated for mixed use. The City of Campbell is committed to assuring the availability of adequate housing for all social and economic segments of the community. This section presents a summary of Campbell’s existing and future housing needs as identified in the Housing Element Technical Report (Appendix A1). This Report provides a more detailed analysis of local demographic, household, and housing characteristics and trends in an effort to determine the nature and extent of specific housing needs in Campbell. Existing Housing Needs The summary of existing housing needs is organized into four areas: housing availability, housing affordability, housing adequacy and special needs households. These needs are summarized in Table H-1. Table H-1: Existing Housing Needs Housing Availability Housing Affordability Vacancy Rate1 2.23% Overpaying Households 5,235 (33%) Renter 3,290 (40%) Owner 1,945 (29%) Housing Adequacy Special Needs Households/Persons Substandard Housing Units2 800 (9%) Households with Seniors 2,510 (16%) Suitable for Rehabilitation 550 (6%) Disabled Persons 5,450 (15%) Need Replacement 250 (3%) Female-Headed Families 1,602 (10%) Overcrowded Households1 1,206 (8%) Large Households 1,092 (7%) Renter 956 (12%) Homeless Persons3 96 (<1%) Owner 250 (3%) Sources: 2000 Census unless otherwise noted 1 State Department of Finance 2008 – Population and Housing Estimates 2 Based on proportions from 2001 Housing Element 3 2007 Santa Clara County Homeless Census Note: Overpayment is defined as paying greater than 30% of gross income towards housing costs. Overcrowding is defined as greater than 1.01 persons per room, excluding kitchens, bathrooms, and hallways. Draft Campbell Housing Element H-7 Housing Availability Campbell’s 2008 housing stock consists of 16,932 housing units, of which 56 percent are single- family homes attached, detached and condominiums, 43 percent are multi-family apartment units and duplexes and triplexes, and 1 percent are mobile homes. Residential growth during the 2000s was rather limited, with less than 4 percent of the housing stock built between 2000 and 2008. Vacancies indicate the demand and availability of housing. As is the case in most Silicon Valley communities, residential vacancy rates are extremely low in Campbell. According to 2008 State Department of Finance statistics, the City’s overall vacancy rate was just 2.2 percent, well below the 5 percent ideal vacancy for rentals and 3 percent ideal for ownership units. However, with the recent economic downturn and associated job losses in the Silicon Valley, residential vacancies have opened up somewhat and the associated demand for housing has declined slightly. During the one year period from October 2007 to September 2008, a total of 360 homes were sold in Campbell. Two-thirds of these were single-family homes, and one-third were condominium units. The median single-family home price was $735,000, whereas the median priced condominium was $505,000. The rental market is comprised primarily of apartment units. Most of the apartment rental stock consists of one- and two-bedroom units, with median rents of $1,355 and $1,705 respectively. Few three bedroom rental units are available, thus limiting the rental options for large family households. Housing Affordability The level of overpayment is commonly used as a measure of housing affordability. Overpayment is defined as spending more than 30 percent of gross household income on housing. By this standard, 40 percent of renters and 29 percent of homeowners in Campbell overpaid for housing in 2000, slightly higher than the overpayment rate countywide. Rental overpayment is particularly acute among senior households, with one-third of senior renters spending more than half their incomes on rent. An assessment of the affordability of current market rents and housing prices in Campbell reveals the following. Citywide median rents are above the level affordable to very low and low income households, making it difficult for lower income occupations such as nursing aides, retail salespersons and childcare providers to rent in Campbell. For-sale housing prices in Campbell are beyond the reach of moderate income households, impacting the ability of occupations such as school teachers, clergy, and computer support specialists to purchase housing where they work. However, with the recent decline in housing prices, the affordability gap for moderate income households to purchase a condominium is narrowing, providing opportunities for the City to move more households into homeownership through its First Time Homebuyer Program. Home foreclosures are having a major impact on housing sales, with foreclosures comprising 40 percent of all housing re-sales in Santa Clara County. Based on January 2009 data, Campbell’s residential properties comprise approximately two percent of all properties in the County that are in foreclosure. H-8 Campbell General Plan Housing Adequacy A common measure of housing adequacy and quality is the age distribution of the housing stock. As of 2008, over half of housing units in Campbell were over 35 years old, with 28 percent over 50 years old. A general rule in the housing industry is that structures over 30 years typically begin to show signs of deterioration and require reinvestment to maintain/upgrade their quality. Unless properly maintained, homes older than 50 years often require major renovations to remain in good working order. Campbell’s San Tomas neighborhood, located in the southwestern quadrant of the City, contains some of the City’s older housing stock, with many homes in need of rehabilitation improvements. As stated in the 2001 Housing Element, approximately nine percent of Campbell’s housing stock is estimated to be in substandard condition, with six percent of units suitable for rehabilitation and three percent requiring replacement. Applying these same percentages to Campbell’s current pre- 1970 housing stock, an estimated 800 units in Campbell may be substandard. Of these units, 550 are estimated to be suitable for rehabilitation and 250 may require replacement. The level of household overcrowding is another indicator of housing adequacy and quality. Overcrowding occurs when a household is too large for a particular housing unit. When overcrowding happens, it tends to accelerate the deterioration of homes. As of the 2000 Census, a total of 1,200 Campbell households were overcrowded (8%), of which 80 percent were renters. While renter overcrowding has increased from 8 to 12 percent in Campbell over the past decade, overcrowding still remains approximately half of that experienced Countywide. Special Needs Groups Certain segments of the community may have particular difficulties in finding decent, affordable housing because of their special needs and circumstances. In Campbell, these special needs groups include the elderly, disabled persons, female-headed families with children, large households, and the homeless. • Seniors: Seniors typically have special housing needs due to three concerns: limited/fixed income, higher health care costs, and physical limitations. According to the 2000 Census, 16 percent (2,510) of households in Campbell contain one or more persons age 65 years and older. Over 60 percent of the City’s elderly households are homeowners. Because of physical and/or other limitations, senior homeowners may have difficulty in performing regular home maintenance or repair activities. Elderly renters also have significant housing needs. Nearly two- thirds of Campbell’s elderly renter households overpay for housing, reflecting their limited income and the high costs of housing in Campbell. Currently (2008), over 300 of the City’s senior households are on the waiting list for Section 8 rental assistance. • Disabled Persons: Physical and mental disabilities can hinder access to traditionally designed housing units (and other facilities) as well as potentially limit the ability to earn income. Disabilities refer to mental, physical, or health conditions that last over six months. The 2000 Census documented 5,450 persons with a disability in Campbell, representing 15 percent of the Draft Campbell Housing Element H-9 population 16 years old and above. As of 2008, over 400 Campbell residents with disabilities are on the waiting list for assistance through the Section 8 program. • Female-Headed Families with Children: Female-headed households with children require special consideration and assistance as a result of their greater need for affordable housing, accessible day care, health care, and other supportive services. Campbell is home to 1,602 female-headed households, of which 836 are with children under 18 years of age (2000 Census). These households are particularly vulnerable because they must balance the needs of their children with work responsibilities. Approximately 16 percent of female-headed families with children under 18 lived in poverty. • Large Households: Large households are defined as those with five or more members and typically consist of mostly families with children. Lower-income large households often live in overcrowded conditions because of the income limitations and the limited supply of affordable housing units with three or more bedrooms. Campbell is home to approximately 1,100 large households, of which half are renter households (2000 Census). Nearly three-quarters of Campbell’s large renter households suffer from housing problems related to overcrowding and/or overpayment. • Homeless: Homelessness continues to be one of most visible reminders of the pressing needs facing families and individuals in marginal economic, housing, and health conditions. This population consists of a wide range of persons and families suffering from domestic violence, mental illness, substance abuse, and joblessness among a number of other conditions. The 2007 Santa Clara Homeless Count and Survey identified 96 homeless persons in Campbell, and according to the Campbell Police Department, there are an average of 20-30 homeless persons in the City on any given day. In 2007-08, 128 homeless persons from Campbell stayed in shelters offered by EHC and InnVision, two major homeless service providers in the San Jose area. H-10 Campbell General Plan Future Housing Needs Future housing needs refer to the share of the region’s housing need that has been allocated to a community. In brief, the Association of Bay Area Governments (ABAG) calculates future housing need based upon household growth forecasts, plus a certain amount of units needed to account for a normal and appropriate level of vacancies and the replacement of units that are normally lost to conversion or demolition. In allocating the region’s future housing needs to jurisdictions, ABAG is required to take the following factors into consideration:  Water and sewer capacity  Land suitable for urban development or conversion to residential use  Protected open space – lands protected by state and federal government  County policies to protect prime agricultural land  Distribution of household growth  Market demand for housing  City-centered growth policies  Loss of units in assisted housing developments  High housing cost burdens  Impact of universities and colleges on housing needs in a community In 2008 ABAG developed its Regional Housing Needs Allocation (RHNA) based on forecasts contained in Projections 2007: Forecasts for the San Francisco Bay Area to the Year 2035. ABAG’s allocation formula of the region’s projected housing growth is based on the following factors and weights:  Household growth (45%)  Existing employment (22.5%)  Employment growth (22.5%)  Household growth near existing transit (5%)  Employment growth near existing transit (5%) ABAG’s goals in the weighting of these factors include: 1) directing housing units to areas where local governments are planning growth; 2) planning for housing in tandem with jobs growth and addressing existing jobs-housing imbalances; 3) directing housing to communities with transit infrastructure; and 4) minimizing housing growth in outlying areas, thereby reducing pressures on open space and agricultural lands. According to ABAG, Campbell’s share of future regional housing needs is a total of 892 new units over the 2009-2014 planning period. The affordability levels/income categories of Campbell’s future housing unit growth is as follows: • Very Low-income: 199 (22%) • Low-income: 122 (14%) • Moderate-income: 158 (18%) • Above Moderate-income: 413 (46%) Total Need: 892 (100%) Note: An estimated half of Campbell’s 199 very low income units need is for extremely low income units (100 units). Through this Housing Element, the City is required to demonstrate the availability of adequate sites to accommodate these projected new units. Draft Campbell Housing Element H-11 HOUSING RESOURCES A variety of resources are available for the development, rehabilitation, and preservation of housing in Campbell. This includes the availability of land resources and the City’s ability to meets its share of regional housing needs, the financial resources available to support the provision of affordable housing, and administrative resources available to assist in implementing City housing programs. Availability of Sites for Housing ABAG has determined the projected housing need for its region for the 2009-2014 Housing Element cycle, and has allocated this housing need to each jurisdiction by income category. This Regional Housing Needs Allocation (RHNA) represents the minimum number of housing units each community is required to plan for by providing “adequate sites” through the general plan and zoning. An important component of the Housing Element is the identification of adequate sites for future housing development, and evaluation of the adequacy of these sites in fulfilling the City’s share of regional housing needs (RHNA). Campbell has a RHNA allocation of 892 units distributed among the following income groups: 199 very low income; 122 low income; 158 moderate income; and 413 above moderate income units. The City plans to fulfill its share of regional housing needs using a combination of the following methods:  Focused development opportunity sites  Development of secondary dwelling units  Residential projects with development entitlements  Residential permits issued during the RHNA “gap period” (January 2007 – December 2008). In aggregate, the City’s residential sites capacity from the above sources provides for 1,311 additional units, including sites suitable for development of 630 lower income; 315 moderate income; and 473 above moderate income units, reviewed in detail in the following narrative. General Plan Site Capacity The 2001 General Plan identifies Campbell’s ultimate build out of residential development by land use categories. This potential is expressed in terms of the number of additional housing units that can be developed on vacant and underutilized parcels. As indicated, a total of 1,600 additional units may be developed in Campbell before the City reaches General Plan “build-out.” Much of this housing growth will be accommodated on underdeveloped sites, because Campbell is urbanized and has a limited amount of vacant land remaining. Specifically, in 2001, 144.2 acres of land were determined to be underdeveloped, while only 6.4 acres were vacant. Underdeveloped parcels refer to properties that are developed with less than half of the density permitted under the General Plan. H-12 Campbell General Plan Geographically, most of the 1,600 new housing units will be developed in mixed-use areas along major commercial corridors and light rail transit stations. These areas include parcels of land designated for central commercial (365 new units), residential/commercial (269 units), and residential/commercial/office (518 units) uses. In addition, significant residential growth will likely occur in areas designated for medium and high-density residential uses, which can accommodate 106 and 245 new units, respectively. The specific year in which full development or “build-out” will occur is not specified in the City’s General Plan. Build-out may be reached in a 15 to 25-year period. Campbell’s Land Use Element establishes various policies and strategies in support of housing development, including (but not limited to) the following: Policy LUT-14.6: Mixed Residential and Non-residential Uses: Allow residential uses that are mixed whether horizontally or vertically with non-residential uses. Policy LUT-15.1: Parcel Consolidation: Encourage property owners to combine parcels into larger building sites to accommodate quality mixed-use developments. Strategy LUT-1.5a: Transit-Oriented Developments: Encourage transit-oriented developments including employment centers such as office and research and development facilities and the city’s highest density residential projects by coordinating the location, intensity and mix of land uses with transportation resources, such as Light Rail. Strategy LUT-1.5d: Higher Floor Area Ratios (FARs): Develop provisions for allowing higher FARs in new projects that provide a mix of uses, maintain a jobs/housing balance or are located within proximity to Light Rail. Strategy LUT-3.1c: High Density Residential: Allow higher residential densities in the North of Campbell Area (NOCA), South of Campbell Area (SOCA), and areas near the Light Rail stations as an incentive to redevelop older, less intensive uses. Strategy LUT-14.4c: Density Bonus: A density bonus of up to 35 percent may be permitted for projects that provide below market rate housing or housing which meets a special community-wide need such as housing for the disabled or housing for the elderly. To specifically facilitate mixed-use development in the Winchester Boulevard and East Campbell Avenue areas, the City has developed mixed-use design guidelines and detailed area master plans, which have been adopted by the City Council. Residential Opportunity Sites A detailed opportunity sites analysis has been completed to demonstrate with specific sites that an adequate inventory of vacant and underutilized land with appropriate general plan and zoning designations currently in place. Table H-2 provides an analysis of the various Opportunity Sites for the City of Campbell. The opportunity sites are located within six areas found in the City. Some of these areas correspond to actual plan areas, as indicated, while others are grouped geographically (as depicted in Figure H-1). Draft Campbell Housing Element H-13 Figure H-1: Map of Opportunity Sites, City of Campbell The methodology used to determine the realistic density and development capacity of each of the Opportunity Sites was a combination of factors specific to each site including zoning designation and accompanying development standards, lot size, development trends and other land constraints applicable to the specific site. Campbell’s development standards have proven to be effective in allowing projects to achieve maximum densities, and given high land costs in the area, the majority of multi-family and mixed use developments are built at or near maximum permitted densities. Recent examples include Gateway mixed use (25 du/acre); Water Tower Lofts (27 du/acre); Onyx (27 du/acre); Campbell Center (26 du/acre); Gilman Cottages (27 du/acre); Creekside Commons (27 du/acre); and Merrill Gardens (34 du/acre with density bonus). These and other infill project examples are included in Appendix A3 of the Element. Where mixed use densities of 27 units/acre are permitted under the General Plan, the densities assumed on the mixed use Opportunity Sites have been conservatively estimated at between 20 to 23 units/acre. Given the City’s desire to promote well-designed infill development, the Housing Element includes the following new policy: Policy H-4.3: Planned For Densities: To encourage the efficient and sustainable use of land, the City encourages residential development that is proposed near existing light rail stations (within 1/4 mile radius) and/or within the boundaries of the Winchester Boulevard Plan and East Campbell Avenue plan areas, to achieve at least 75 percent of the maximum General Plan Land Use category densities. H-14 Campbell General Plan Since establishment of mixed use districts under the 2001 General Plan, development on mixed use parcels has consisted entirely of residential uses, in some cases with supporting ground floor commercial. None of the mixed use sites has been developed with an entirely commercial use. The stated intent of the General Plan mixed use categories is to integrate residential uses with traditional commercial and/or professional office uses. In furtherance of this goal, residential uses are permitted at 27 units per acre in mixed use zones, and the residential component is not counted against the allowable commercial Floor Area Ratio (FAR). In this way, sites currently occupied by commercial uses may be redeveloped with residential and commercial uses, improving the financial feasibility of projects. Furthermore, the City provides additional zoning incentives for the inclusion of residential uses in new mixed-use developments, such as reduced parking requirements, including shared parking between commercial and residential uses. A reduction in the required open space for the residential component may be granted where site characteristics preclude fulfillment of the entire open space requirement. Draft Campbell Housing Element H-15 Table H-2: Opportunity Sites Analysis Site No. APN Address Name/Status General Plan Designation Zoning Gross Acres Net Acres Units Density (du/ acre) Income Category (based on density) Description of Site Very Low Low Mod. Above Mod. HAMILTON/STEX AREA 1 308-38-001/ 003/ 004 651, 655, 671 W. Hamilton Ave. Riverside Plaza Site/Filed Application Comm./ Office/ Res. PD 5.5 4.6 108 20 108 Vacant Shopping Center under control of residential developer 2 307-40- 037/040/ 041 780-890 W. Hamilton Ave. Petsmart Plaza Site/ No application Comm./ Office/ Res. PD 6.57 5.16 132 20 132 Shopping Center originally constructed in 1970. Under performing WEST CAMPBELL AVENUE AREA 3 403-02-039 125 S. San Tomas Aquino Road Kirkorian Auto Center/ Pre- Application Neigh. Comm. C-1 2.7 2.03 50 19 50 Various car repair businesses and car wash. Owner has submitted plans for res. redevelopment. 4 305-24- 047/052 511, 555 W. Campbell Ave. Water Co. Property/Entitled Low-Medium PD 4.25 3.17 40 9 20 10 10 Property in process of being acquired by RDA. Approval granted in 2005 for 40 affordable units. 5 305-30- 005/006/ 007 Intersection of Dot and Campbell Dot Ave. Property/Vacant Site - No Application Medium Density PD 2.72 2.1 40 15 40 Vacant property. Owner interested in partnering w. RDA & Non-profit. BASCOM/HAMILTON AREA 6 288-02-007/008/ 009/010/ 011/012 1627-1667 S. Bascom Ave. North of Boyce property/No Application Comm./ Office/ Res. PD 2.63 2.19 54 21 54 Small underutilized properties would require lot consolidation. EAST CAMPBELL AVENUE PLAN AREA 7 279-46- 011/012 621 E. Campbell Ave. Hicks Property/ Pre-Application Filed Central Comm. PD 1.94 1.4 40 21 40 Under developed low rise office complex built in 1957. 8 412-09- 029/030/ 031 530-600 E. Campbell Ave. PDG Property/No Application Filed Central Comm. PD 1.02 0.61 21 21 21 Blighted car repair and machine shop near downtown. Ripe for redevelopment. H-16 Campbell General Plan Table H-2: Opportunity Sites Analysis Site No. APN Address Name/Status General Plan Designation Zoning Gross Acres Net Acres Units Density (du/ acre) Income Category (based on density) Description of Site Very Low Low Mod. Above Mod. WINCHESTER BLVD PLAN AREA 9 412-04-014 2260 Winchester Blvd. Car Wash/No Application Filed Central Comm. PD 0.8 0.51 16 20 16 Under developed property on prime corner of Winchester near Light Rail. Ripe for redevelopment. 10 305-39-050 2565 Winchester Blvd. Automotive Repair Center/No Application Filed Comm./ Prof. Office/Res. PD 2.5 1.8 50 20 50 Various car repair businesses. Near Light Rail. 11 305-53-001 1799 Winchester Blvd. Home Church Property Central Comm. PD 6.99 6.2 70 20 70 Assumes half of site redevelops at 20 du/ac. NOCA/SOCA AREAS 12 412-09- 040/041/ 042/043 90, 100, 130, 136 Gilman Ave. Campbell Park/ Pre-Application Filed Comm./ Medium Dens/ Prof. Office PD 1.2 1.06 27 23 27 Under Developed property in close proximity to downtown, Light Rail and freeways. 13 412-08-030/034/ 035 230, 280, 282 Dillon Ave. Biddle Roofing/ Pre-Application High Density Res. PD 1.97 1.93 53 27 53 Nearly vacant property with developer plans for housing. 14 279-33-047 509 Salmar Ave. Public Storage Facility Comm./ Prof. Office/Res. PD 3.97 3.4 80 20 80 Under Developed property in close proximity to downtown, light rails and freeways. 15 279-33-007 479 Salmar Ave. Industrial Buildings Comm./ Prof. Office/Res. PD 1.27 0.97 26 20 26 Non conforming Industrial uses in the downtown. 16 279-33- 008/009 423-425 Salmar & 240 Harrison Industrial Buildings Comm./ Prof. Office/Res. PD 1.81 1.41 40 22 40 Non conforming Industrial uses in the downtown. 17 279-42-016 500 Salmar Ave. Old Metal Bldgs. Comm./ Prof. Office/Res. PD 1.17 1.06 25 21 25 Non conforming Industrial uses in the downtown. Built in 1945. 18 279-32-006 536 Salmar Ave. Old Metal Bldgs. Comm./ Prof. Office/Res. PD 1 0.78 20 20 20 Non conforming Industrial uses in the downtown. Built in 1971. Total 20 619 208 0 847 TOTAL OPPORTUNITY SITES Draft Campbell Housing Element H-17 The following summarizes the land use context within the six major areas with identified opportunities for residential infill and mixed use development, as indicated in Table H-2 (refer to Appendix A-4 for additional detail on the opportunity sites inventory). Hamilton/San Tomas Expressway Area This area is located where Hamilton Avenue and San Tomas Expressway intersect; a very heavily travelled intersection located within the north-west corner of the city. The two sites identified within this area received General Plan land use designations for Commercial/Professional Office/Residential (up to 27 du/ac) by the 2001 General Plan. The two sites are currently occupied by single story commercial shopping centers. The Riverside Plaza site has been vacated of all tenants and is controlled by a residential developer who has submitted plans that are currently under review to the City. These two sites are estimated to yield 240 units in the 20 du/ac range because of the density planned for allows up to 27 du/ac. Adequate infrastructure including roads, water, sewer and electricity is in place for the planned-for development. West Campbell Avenue Area Three opportunity sites are found in proximity to West Campbell Avenue, one of the major east/west corridors in the City. Two of the sites are vacant while one is occupied by a single story multi-tenant car repair center. The 511/555 W. Campbell Avenue site is currently in the process of being obtained by the Redevelopment Agency for an affordable housing project. The property is being acquired from the Santa Clara Valley Water District for a 40 unit project which has been entitled. Adequate infrastructure including roads, water, sewer and electricity is in place for the planned-for development. Bascom/Hamilton Avenue Area This area is in close proximity to the Hamilton Avenue Station of the Vasona Light Rail Line. The area received a General Plan land use designation change in 2001 to Commercial/Professional Office/Residential (up to 27 du/ac). This area has seen two active development projects: The Onyx, a mixed-use 45 unit project, was approved in 2005 and completed in 2008, and the Boyce Property at 1677 S. Bascom Avenue received approval in 2007 for a mixed-use 123 unit condominium project. The six parcels that comprise the opportunity site within this area total 2.63 gross acres and would allow for a mixed-use development opportunity abutting Los Gatos Creek to the rear of the site. Adequate infrastructure including roads, water, sewer and electricity is in place for the planned-for development. East Campbell Avenue Plan Area The East Campbell Avenue Plan Area extends from Downtown Campbell to the west to Highway 17 to the east. This area has been identified as an important gateway to Downtown Campbell as well as an extension of the Downtown. This area also serves to connect the Downtown to the PruneYard Shopping Center, a major 40-acre retail and office destination for the South Bay region. These two opportunity sites within this area are across the street from each other and have the potential for a major revitalization of this area. Proximity to Downtown, Light Rail, Campbell Park and the Los Gatos Creek Trail make these ideal mixed-use infill development H-18 Campbell General Plan opportunities. Allowable densities provide for development up to 27 du/ac. To account for unique site configurations and transitions to adjoining land uses, a conservative density of 21 du/ac has been utilized for purposes of estimating a realistic unit potential. Adequate infrastructure including roads, water, sewer and electricity is in place for the planned-for development. Winchester Boulevard Master Plan Area The City has provided the planning framework for redevelopment of underutilized properties within the Winchester Boulevard Master Plan Area. The planning foundation was laid with the mixed-use emphasis of the 2001 General Plan Update that incorporated large portions of this area into the Downtown through General Plan and Zoning tools. As a follow up measure, the Winchester Boulevard Master Plan was adopted in 2009 to allow for greater clarity and predictability for both the public and private developers. Several new projects have been approved within the Plan Area including the 127-unit mixed-use senior Merrill Gardens project. NOCA/SOCA Plan Areas These two planning areas, North of Campbell Avenue (NOCA) and South of Campbell Avenue (SOCA) exist to promote new development close to the Downtown and within Campbell’s Redevelopment Area. The zoning and General Plan designations support new residential and mixed-use development at the City’s highest density range of 27 du/ac. Residential densities are not counted towards the floor area ratio calculations in a mixed use development. The City has seen the successful redevelopment of numerous properties within these areas including Orchard Grove, Ainsley Square, and Gilman Cottages, as detailed in Appendix A4: Summary of Infill Development Projects. Given land costs in Campbell, housing for lower- and moderate-income households will most likely be developed in high density residential and mixed-use areas where the maximum permitted density is the highest in the City at 27 units per gross acre. The gross acre allowance has enabled densities to be higher. For example, a one acre site with a gross acreage of 1.25 acres would be allowed 33 units, for an effective net density of 33 du/ac. The Density Bonus ordinance provides housing opportunities in lower income levels in conjunction with Inclusionary requirements. In order to specifically encourage and facilitate development on these Opportunity Sites, the City has included a new Housing Element Program H-4.1a which sets forth the following actions:  Contact property owners within the Opportunity Sites to discuss the City’s desire to develop housing in these areas and the availability of financial and regulatory development incentives, where appropriate.  Allow for reductions in parking for properties within ¼ mile of light rail.  Post the Housing Element sites inventory on the City’s website as a tool for developers, and provide as a handout to the public.  Provide technical assistance to property owners and developers in support of lot consolidation, including assessor parcel data and information on density and design incentives.  Assist developers in completing funding applications in support of development, and as appropriate, provide local funds and/or land as leverage. Draft Campbell Housing Element H-19 Secondary Dwelling units The City allows secondary dwelling units on 10,000 square foot sized lots for the development of secondary units, resulting in 1,000 properties being eligible for secondary units. Given their relatively limited size and historical rent levels, secondary units will most likely be occupied by lower-income residents, including the elderly, college students and low-income wage earners. Based on the level of secondary unit development during prior planning period of 14 units, the City can reasonably anticipate 14 additional secondary units during the current period, helping to address the needs of lower income renters. Comparison of Sites Inventory with RHNA As presented in Table H-4, Campbell’s new construction need (RHNA) for the 2009-2014 period is for 892 new units. Housing units receiving building permits during the 2007-2008 RHNA “gap period” can be credited toward the RHNA. As documented in Appendix A1, 213 newly constructed units were issued residential permits during this period. In addition, 306 units in projects have received entitlements, including: • Merrill Gardens: 127 units including 99 senior assistant living units, 28 non-age-restricted apartment units, plus a 21-unit Alzheimer’s unit (convalescent facility). This project received a density bonus resulting in 19 very low income units. • Boyce Property: 123 above moderate condominiums (approved prior to inclusionary zoning in place). • Campbell Center Project: the Redevelopment Agency created this infill development opportunity: 22 units (includes 1 very low-income unit and 2 moderate income units). Table H-3 compares Campbell’s RHNA for 892 new units with the City’s aggregate residential sites inventory derived from the following:  213 units issued building permits in 2007-2008  306 units in projects with entitlements  14 second units based on past development trends  847 units in Opportunity Sites Inventory Table H-3: Comparison of Regional Housing Growth Need and Residential Sites Income Category Building Permits (1/2007 – 12/2008) Entitled Projects Second Units Minimum Density Guidelines Opportunity Sites Inventory Total Unit Potential Total RHNA Very Low 8 38 -- 20 units/acre 619 679 199 Low -- -- 14 122 Moderate 7 84 -- 15 units/acre 208 299 158 Above Moderate 198 184 -- <15 units/acre -- 382 413 Total Units 213 306 14 847 1,360 892 H-20 Campbell General Plan In terms of evaluating the adequacy of these sites to address the affordability targets established by the RHNA, Housing Element statutes now provide for use of “default densities” to assess affordability. Based on its population, Campbell falls within the default density of 20 units/acre for providing sites affordable to very low and low income households. For moderate income households, based on several moderate income projects developed in the City, the City has chosen a threshold of 15 units/acre to reflect a reasonable density for achieving moderate income development. Allocating Campbell’s residential sites inventory based on these density thresholds, combined with projects with entitlements, results in the provision of sites suitable for development of 679 units affordable to lower income households, 299 units affordable to moderate income households, and 382 units for above moderate income households for a total of 1,360 units. In summary, the City has adequate sites zoned for the RHNA requirement of 892 units. The City will further encourage and facilitate production of affordable units on these sites through regulatory incentives and direct financial assistance, described in the Housing Programs section of the Element. Availability of Public Facilities and Services As an urbanized community, Campbell has in place the necessary infrastructure to support additional residential development. All land designated for residential use is served by sewer and water lines, streets, storm drains, telephone, electrical and gas lines. Pursuant to the 2001 General Plan EIR, there is adequate water and sewer capacity to serve the projected build out. To ensure the availability and adequacy of public facilities and services for future development, the City, along with other providers of public services (e.g., water and sewer), will continue to carry out regular infrastructure improvements and upgrading. Draft Campbell Housing Element H-21 Sites for Special Needs Housing Consistent with the requirements of SB-2, the City will allow emergency shelters by right in a portion of the M-1 zone. This location is centrally located within the City in an area well served by transit, commercial services and open space. See Figure H-2 for the location of this area. This element also contains policies that address governmental constraints to the provision of housing by adding Single Room Occupancy (SRO) facilities within the Code’s definition section, and conditionally allow within the R-3 zoning district. Figure H-2: Area where Emergency Shelters are Permitted by Right H-22 Campbell General Plan Financial Resources Campbell has access to a variety of existing and potential funding sources available for affordable housing activities. They include programs from local, state, federal and private resources. The following section describes the four largest housing funding sources currently used in Campbell– CDBG grants, redevelopment set-aside funds, Section 8 rental assistance, and the Housing Trust Fund of Santa Clara County. Table H-4 provides a more comprehensive inventory of potential funding sources. Community Development Block Grant (CDBG) Funds The CDBG program provides funds for a range of community development activities. A small part of the CDBG funds has been historically spend on rehabilitation and for non-profit service providers. The program is flexible in that the funds can be used for a variety of activities. The eligible activities include, but are not limited to: acquisition and/or disposition of real estate or property, public facilities and improvements, relocation, rehabilitation and construction (under certain limitations) of housing, homeownership assistance, and also clearance activities. Through the County, the City of Campbell receives approximately $130,000 in CDBG funds annually for housing and community development activities. Using CDBG funds, the City offers housing rehabilitation assistance programs to residents and supports non-profit housing/social services providers to provide a range of services, including emergency rental assistance, domestic violence counseling, senior and homeless services. Redevelopment Housing Set-Aside State law requires the Campbell Redevelopment Agency (RDA) to set-aside a minimum of 20 percent of all tax increment revenue generated from the Central Campbell Redevelopment Project Area for affordable housing activities. The Agency’s set-aside funds must be used for activities that increase, improve, or preserve the supply of affordable housing. Housing developed under this program must remain affordable to the targeted income group for 30 years for ownership housing and 55 years for rental housing. The Campbell Redevelopment Agency has approximately $8.0 to $8.5 million in set-aside funds anticipated during the 2009-2013 period.  New Construction Incentives $4.2 million  Rehabilitation Assistance $2.0 million  First Time Homebuyers Program $1.2 million  Housing Trust Fund/Rental Assistance $0.6 million Draft Campbell Housing Element H-23 Section 8 Rental Assistance The Section 8 program or housing voucher program is a federal program that provides rental assistance to extremely low to very low-income persons in need of affordable housing. The Section 8 program offers a voucher that pays the difference between the payment standard (an exception to fair market rent) and what a tenant can afford to pay (e.g., 30% of their income). A voucher allows a tenant to choose housing that may cost above the payment standard, with the tenant paying the extra cost. The Santa Clara County Housing Authority administers the Section 8 program for most communities in the County, including Campbell. As of December 2008, approximately 300 Campbell households received Section 8 assistance from the Housing Authority. Housing Trust Fund of Santa Clara County (HTSCC) HTSCC is a non-profit 501(c)(3) community based organization created in 2001 through a cooperative effort of the private and public sectors, including the Housing Collaborative on Homelessness and Affordable Housing, the Silicon Valley Manufacturing Group, Santa Clara County, Community Foundation Silicon Valley, and all 15 Santa Clara towns and cities. The purpose of the Trust is to increase the supply of affordable housing in Santa Clara County within three program areas: first-time homebuyer assistance, multi-family rental housing, and homeless with special needs. Funds are available for acquisition, rehabilitation, new construction, predevelopment costs and supportive housing services. Since HTSCC’s inception in 2001 through October 2008, it reports raising $28.9 million in investment dollars, which it has leveraged into $1.3 billion to create 7,168 affordable housing opportunities. Campbell has to date committed up to $800,000. Redevelopment anticipates contributing to the HTSCC, which can then be leveraged with private Trust Fund resources to increase the number of Campbell households to be assisted. H-24 Campbell General Plan Table H-4: Financial Resources Available for Housing Activities Program Name Description Eligible Activities 1. Federal Programs Community Development Block Grant (CDBG) Grants awarded to the City on a formula basis for housing and community development activities benefiting lower income households. Campbell receives approximately $130,000 in CDBG funds annually.  Acquisition  Rehabilitation  Home Buyer Assistance  Homeless Assistance  Public Services HOME Funding used to support a variety of County housing programs that the City can access for specific projects.  New Construction  Acquisition  Rehabilitation  Home Buyer Assistance  Rental Assistance Section 8 Rental Assistance Program Rental assistance payments to owners of private market rate units on behalf of very low income tenants.  Rental Assistance Section 202 Grants to non-profit developers of supportive housing for the elderly.  Acquisition  Rehabilitation  New Construction Section 811 Grants to non-profit developers of supportive housing for persons with disabilities, including group homes, independent living facilities and intermediate care facilities.  Acquisition  Rehabilitation  New Construction  Rental Assistance 2. State Programs Low-income Housing Tax Credit (LIHTC) Tax credits are available to persons and corporations that invest in low-income rental housing. Proceeds from the sale are typically used to create housing.  Construction of Housing Multi-Family Housing Program (MHP) Deferred payment loans to local governments and developers for new construction, rehabilitation and preservation of rental housing.  New Construction  Rehabilitation  Preservation  Conversion of nonresidential to rental Multi-Family Housing Program –Supportive Housing Deferred payment loans for rental housing with supportive services for the disabled who are homeless or at risk of homelessness.  New Construction  Rehabilitation  Preservation  Conversion of nonresidential to rental Building Equity and Growth in Neighborhoods (BEGIN) Grants to cities to provide downpayment assistance (up to $30,000) to low and moderate income first- time homebuyers of new homes in projects with affordability enhanced by local regulatory incentives or barrier reductions.  Homebuyer Assistance CalHome Grants to cities and non-profit developers to offer homebuyer assistance, including downpayment assistance, rehabilitation, acquisition/rehabilitation, and homebuyer counseling. Loans to developers for property acquisition, site development, predevelopment and construction period expenses for homeownership projects.  Predevelopment, site development, site acquisition  Rehabilitation  Acquisition/rehab  Downpayment assistance  Mortgage financing  Homebuyer counseling Transit-Oriented Development Program Funding for housing and related infrastructure near transit stations.  Capital improvements required for qualified housing developments  Capital improvements enhancing pedestrian or bike access from qualified housing development to nearest transit station  Land acquisition Draft Campbell Housing Element H-25 Table H-4: Financial Resources Available for Housing Activities Program Name Description Eligible Activities Affordable Housing Innovation Fund Funding for pilot programs to demonstrate innovative, cost-saving ways to create or preserve affordable housing.  Regulations pending Infill Incentive Grant Program Funding of public infrastructure (water, sewer, traffic, parks, site clean-up, etc) to facilitate infill housing development.  Development of parks and open space  Water, sewer, or other utility service improvements  Streets, roads, parking structures, transit linkages, transit shelters  Traffic mitigation features  Sidewalks and streetscape improvements CalHFA Residential Development Loan Program Low interest, short term loans to local governments for affordable infill, owner-occupied housing developments. Links with CalHFA’s Downpayment Assistance Program to provide subordinate loans to first-time buyers.  Site acquisition  Pre-development costs CalHFA Homebuyer’s Downpayment Assistance Program CalHFA makes below market loans to first-time homebuyers of up to 3% of sales price. Program operates through participating lenders who originate loans for CalHFA. Funds available upon request to qualified borrowers.(temporarily unavailable for new reservations as of 12/19/08)  Homebuyer Assistance 3. Local Programs Redevelopment Housing Fund State law requires that at least 20% of Redevelopment Agency funds be set aside for a wide range of affordable housing activities governed by State law. Campbell’s 2009-2013 RDA Expenditure Plan projects $8.2 million in Housing Set-Aside funds will be available for housing activities during the 5 year period.  Acquisition  Rehabilitation  New Construction Housing Trust Fund of Santa Clara County (HTSCC) Non-profit community based organization created through the collaborative efforts of private and public sector organizations. The Campbell RDA has identified a $450,000 contribution to the Trust Fund over the planning period, which will be leveraged with Trust Fund resources to increase the numbers of households to be assisted.  Mutli-family Rental Housing  Homebuyer Assistance  Homeless with Special Needs 4. Private Resources/Financing Programs Federal National Mortgage Association (Fannie Mae)  Fixed rate mortgages issued by private mortgage insurers.  Home Buyer Assistance  Mortgages that fund the purchase and rehabilitation of a home.  Home Buyer Assistance  Rehabilitation  Low Down-Payment Mortgages for Single-Family Homes in under-served low-income and minority cities.  Home Buyer Assistance Savings Association Mortgage Company Inc. Pooling process to fund loans for affordable ownership and rental housing projects. Non-profit & for profit developers contact member institutions.  New construction of rentals, cooperatives, self help housing, homeless shelters, and group homes Federal Home Loan Bank Affordable Housing Program Direct Subsidies to non-profit and for profit developers and public agencies for affordable low- income ownership and rental projects.  New Construction Freddie Mac Home Works-Provides first and second mortgages that include rehabilitation loan. City provides gap financing for rehabilitation component. Households earning up to 80% MFI qualify.  Home Buyer Assistance combined with Rehabilitation Source: City of Campbell, 2009. H-26 Campbell General Plan Administrative Resources Described below are several non-profit agencies that have been involved or are interested in housing activities in Campbell. These agencies serve as resources in meeting the housing needs of the community. In particular, they are involved in the improvement of the housing stock, provision of affordable housing, and/or housing assistance to households in need. Catholic Charities of Santa Clara County Catholic Charities is a Countywide non-profit organization that offers various housing programs to assist persons with special needs, including single parents, the homeless, and those threatened with homelessness. Under its Shared Housing Program, Catholic Charities helps single parents with one or two small children find affordable rooms to rent in private homes. In partnership with the Campbell Redevelopment Agency, Catholic Charities also offers the Rental Assistance Program, providing temporary financial assistance to lower-income residents who are at risk of homelessness due to an unexpected financial setback. Charities also helped Campbell preserve 100 units of affordable housing in the San Tomas Gardens Apartments. Mid-Peninsula Housing Coalition (MPHC) Mid-Peninsula is an established regional non-profit organization involved in the development and acquisition and rehabilitation of affordable rental housing. MPHC also has two affiliated corporations that provide professional management services and on-site coordination of services to residents. Between 1970 and the end of 2004, MPHC has designed and built or acquired and rehabilitated almost 5,500 units of affordable housing throughout northern California. In partnership with the Campbell Redevelopment Agency, MPHC acquired and rehabilitated 60 units in the Sharmon Palms neighborhood. Additionally, MPHC has also been involved in the preservation of affordable housing units that are at risk of converting to market rate uses. Senior Housing Solutions Senior Housing Solutions (SHS), formerly Project Match, is a Milpitas-based non-profit organization that offers affordable housing opportunities for seniors. Under its Group Residence Program, SHS provides affordable living spaces for seniors within a single-family home shared with 5 to 6 seniors. SHS currently manages 37 units of affordable housing for seniors in San Jose, Santa Clara, Sunnyvale, Campbell, Saratoga and Los Gatos. The average cost to live in a SHS shared home, including rent and utilities, is $265 per month. Campbell has supported Senior Housing Solutions in acquiring three homes in Campbell, providing affordable rental opportunities to 15 seniors. Draft Campbell Housing Element H-27 Habitat for Humanity Silicon Valley Habitat for Humanity is a non-profit, faith-based organization dedicated to building affordable housing and rehabilitating homes for lower income families. Habitat builds and repairs homes with the help of volunteers and partner families. Habitat homes are sold to partner families at no profit with affordable, no-interest loans. Volunteers, churches, businesses, and other groups provide most of the labor for the homes. Government agencies or individuals usually donate land for new homes or write down the cost of the land. Incorporated in 1986, the Silicon Valley affiliate of Habitat for Humanity has built 38 homes and rehabilitated one home in Santa Clara County. Since 2000, the organization has completed six homes in Campbell for very low-income working families who had previously lived in overcrowded apartment units. Rebuilding Together Silicon Valley This non-profit agency continues to partner with the City of Campbell in providing rehabilitation of homes of very low income residents, in particular seniors and disabled so that they may live in warmth, safety, and independence. Rebuilding home repairs will assist residents preserve affordable housing by making necessary repairs. Many of repairs deal with roof patching, new furnaces, upgrade wiring and plumbing, grab bars in the bathroom and banisters leading into homes. Opportunities for Energy Conservation Conventional building construction, use and demolition along with the manufacturing of building materials have multiple impacts on our environment. In the United States, the building industry accounts for:  65 percent of electricity consumption  30 percent of greenhouse gas emissions  30 percent of raw materials use  30 percent of landfill waste  12 percent of potable water consumption Interest in addressing these impacts at all levels of government has been growing. In 2004, the State of California adopted legislation requiring LEED (Leadership in Energy and Environmental Design) certification for new and renovated public buildings. Some local jurisdictions have not only adopted similar standards for their public buildings, but have also required LEED certification for larger commercial and residential developments. LEED certification building standards are one piece of a coordinated green building program. In an effort to promote green buildings, cities are adopting green building programs. Most local building standards already consider energy and stormwater issues. In addition, many jurisdictions have programs related to energy, recycling, water conservation, stormwater management, land use, and public health. However, these programs are often overlapping and uncoordinated. One of the primary goals behind establishing a green building program is to create a holistic, integrated design approach to green building. H-28 Campbell General Plan A green building program considers a broad range of issues including community and site design, energy efficiency, water conservation, resource-efficient material selection, indoor environmental quality, construction management, and building maintenance. The end result will be buildings that minimize the use of resources, are healthier for people, and reduce harm to the environment. Both the public and private sectors currently offer grants, refunds, and other funding for green building. In addition, developments built to green standards assist both the owners and tenants with energy and maintenance costs over time. The following presents a variety of ways in which Campbell can promote energy conservation and green building:  Develop green (energy-efficient and environmentally-sensitive) building standards for public buildings.  Provide incentives, such as expedited plan check, for private developments that are building green.  Encourage higher densities and mixed use development within walking distance of commercial, thereby reducing vehicular trips and reducing greenhouse gas emissions.  Promote financial resources available through the California Energy Commission for use of solar panels.  Provide resource materials and training opportunities regarding green building and energy conservation.  Apply green building criteria to rehabilitation of single and multi-family buildings. The City of Campbell has recently adopted the three Green policies as recommended by the Santa Clara County Cities Green Building Collaborative (GBC). The Green Building Collaborative is a subcommittee of the Santa Clara County Cities Association, charged with developing policy intended to promote climate protection strategies and regional reductions in greenhouse gas emissions. The City of Campbell’s participation in the GBC was part of the Community Development Department’s 2007-08 Work Plan to explore alternatives for enhancing green practices. GBC’s three near-term policy recommendations, adopted by Campbell, include the following:  Recognizing/adopting the LEED and GreenPoint Rated rating systems as a standard for green building evaluation (this recommendation would not require the development of buildings meeting the LEED or GreenPoint program standards);  Require the completion of a “Green Checklist” as part of development applications; and  Require LEED Silver certification for all new or renovated municipal buildings over 5,000 square feet. The City of Campbell implemented a requirement for the submittal of a green building checklist, beginning July 1, 2008 for single and multi-family construction. The adoption of this policy emphasizes the City’s leadership role in encouraging “green” building techniques. It both illustrates Campbell’s initiative to limit the environmental impact of municipal facilities, and also sets an example for the community at large. In addition to the three green policies, the City has adopted a Construction and Demolition Debris Ordinance in 2008. This ordinance is intended to assist Campbell in maintaining a waste diversion level of 50 percent in accordance with the mandate of the California Waste Management Act adopted in 1989. Under the ordinance, contractors are required to recycle or reuse at least 50 Draft Campbell Housing Element H-29 percent of the construction and demolition debris waste tonnage from demolition projects greater than 500 square feet, and all renovations or additions to an existing structure or construction of a new structure, greater than 2000 feet or where const of the work exceeds $250,000, as determined by the Building Office. Energy Conservation Programs Offered through Local Utilities In addition to green building, Campbell promotes energy conservation by advertising utility rebate programs and energy audits available through Pacific Gas and Electric, particularly connected to housing rehabilitation programs. Lower-income households are also eligible for State sponsored energy and weatherization programs. Some non-profit organizations also provide free energy audits. Bo Enterprises conducts free energy audits for low income renters, and Sacred Heart received state grant funds to conduct the same. Pacific Gas & Electric (www.pge.com) Pacific Gas & Electric provides both natural gas and electricity to residential consumers in Santa Clara County, including Campbell. The company provides a variety of energy conservation services for residents and PG&E also participates in several other energy assistance programs for lower- income households, which help qualified homeowners and renters conserve energy and control electricity costs. These include the following: • The California Alternate Rates for Energy (CARE) Program – Provides a 20 percent monthly discount on gas and electric rates to income qualified households, certain non-profits, facilities housing agricultural employees, homeless shelters, hospices and other qualified non-profit group living facilities. • The Relief for Energy Assistance through Community Help (REACH) Program – Provides one-time emergency energy assistance to low income customers who have no other way to pay their energy bill. REACH aims to assist who are in jeopardy of losing their electricity services, particularly the elderly, disabled, sick, working poor, and the unemployed, who experience severe hardships and are unable to pay for their necessary energy needs. Customers who have experienced an uncontrollable or unforeseen hardship may receive an energy credit up to $200. • The Balanced Payment Plan (BPP) – Designed to eliminate big swings in a customer’s monthly payments by averaging energy costs over the year. On enrollment, PG&E averages the amount of energy used by the household in the past year to derive the monthly BPP amount. PG&E checks the household’s account every four months to make sure that its estimated average is on target. If the household’s energy use has increased or decreased dramatically, PG&E will change the amount of monthly payment so that the household does not overpay or underpay too much over the course of a year. • The Low-Income Home Energy Assistance Program (LIHEAP) Block Grant – Funded by the federal Department of Health and Human Services, it provides two basic types of services. H-30 Campbell General Plan Eligible low-income persons, via local governmental and nonprofit organizations, can receive financial assistance to offset the costs of heating and/or cooling dwellings, and/or have their dwellings weatherized to make them more energy efficient. This is accomplished through these three program components: o The Weatherization Program provides free weatherization services to improve the energy efficiency of homes, including attic insulation, weather-stripping, minor home repairs, and related energy conservation measures. o The Home Energy Assistance Program (HEAP) provides financial assistance to eligible households to offset the costs of heating and/or cooling dwellings. o The Energy Crisis Intervention Program (ECIP) provides payments for weather- related or energy-related emergencies. • The Family Electric Rate Assistance (FERA) Program – PG&E’s rate reduction program for large households of three or more people with low- to middle-income. It enables low income large households to receive a Tier 3 (131 percent to 200 percent of baseline) electric rate reduction on their PG&E bill every month. • Medical Baseline Allowance Program – PG&E offers additional quantities of energy at the lowest (baseline) price for residential customers that have special medical or heating/cooling needs. In addition, PG&E launched a campaign to hand out one million compact fluorescent light bulbs (CFLs) as part of Energy Star’s “Change a Light, Change the World” campaign in October 2007. PG&E is also educating its customers on how to work directly with manufacturers and retailers to discount the bulbs at the point of sale and are working with state and local governments to promote fluorescent lamp recycling through the California Take-It-Back Partnership. Draft Campbell Housing Element H-31 HOUSING PLAN Goals, Policies, and Programs The goals and policies presented are implemented through a series of housing programs offered primarily through the City’s Community Development Department and Redevelopment Agency. Housing programs define the specific actions the City will undertake to achieve the stated goals and policies. Campbell’s housing plan for addressing identified needs and related issues is detailed according to the six areas listed below: • Housing and Neighborhood Preservation; • Housing Affordability; • Housing Production; • Provision of Adequate Residential Sites; • Reduction of Governmental Constraints; and • Promotion of Equal Housing Opportunity The housing programs described on the following pages include existing programs as well as several new programs that have been added to address the City’s identified housing needs. The program summary (Table H-5) included at the end of this section specifies for each program the following: five-year objective(s), funding source(s), and agency responsible for implementation of the program. Housing Element statutes now require an analysis of the needs of extremely low income (<30% AMI) households, and programs to assist in the creation of housing for this population. The Campbell Housing Element sets forth several programs that help to address the needs of extremely low income households, including: Housing Rehabilitation Loan Program (Program H-1.1a); Emergency Repair Grants (Program H-1.1b); Multi-family Acquisition and Rehabilitation (Program H-1.2a); Preservation of Assisted Housing (Program H-2.1a); Section 8 Rental Assistance (Program H-2.2a); One-Time Rental Assistance (Program H-2.2b); Shared Housing (Program H-2.5a); Homeless Assistance/Shelter Provisions (Program H-2.5b); Affordable Housing Development Assistance (Program H-3.1a); Zoning Ordinance Revisions to facilitate special needs housing (Program H-5.3a); and Reasonable Accommodations (Program H-6.3a). H-32 Campbell General Plan Housing and Neighborhood Preservation Goal H-1: Maintain and enhance the quality of existing housing and residential neighborhoods in Campbell. Policy H-1.1: Property Maintenance: Encourage property owners to maintain properties in sound condition through the City’s residential rehabilitation assistance programs and code enforcement efforts. Program H-1.1a: Housing Rehabilitation Loan Program: Through the Housing Rehabilitation Loan program, the City provides financial assistance to owners of owner occupied homes and mobile homes that lack sufficient resources to make needed health and safety repairs. Under this program, the maximum loan amount is $40,000 for single-family homeowners and $15,000 for owners of mobile homes. Eligible repair activities include (but are not limited to) electrical upgrade, water heaters, plumbing, roofs, exterior painting, energy efficient windows, and dry rot and termite damage. Up to 25 percent of a loan can be used for cosmetic improvements, such as paint and carpeting. Funds may also be used for room additions to relieve household overcrowding. Five-year Objective: The City will continue to offer the Housing Rehabilitation Loan Program. Coordinate with Code Enforcement to identify additional applicants, and conduct targeted mailings. The City’s objective is to assist 10 households per year, for 50 households over the 2009-2014 planning period, including 10 extremely low, 35 very low, and 5 low income households. Program H-1.1b: Emergency Home Repair Grant Program: The City offers the Emergency Home Repair Grant Program with assistance from Rebuilding Together Silicon Valley to assist lower-income families and seniors in making repairs to correct urgent safety or health problems. Under the program, the average grant amount is $2,500. Eligible repair items/activities include water heater, furnace, roof, grab bars, exterior painting, and other similar items. Five-year Objective: The City will continue to offer the Emergency Home Repair Grant Program. The City’s objective is to assist 10 households per year, for 50 households over the five-year planning period, including 35 extremely low and 15 very low income households. Draft Campbell Housing Element H-33 Program H-1.1c: Code Enforcement: The City administers a Code Enforcement Program to preserve and maintain the livability and quality of neighborhoods. Code enforcement staff investigates violations of property maintenance standards as defined in the Municipal Code as well as other complaints. When violations are identified or cited, staff encourages property owners to make repairs or seek assistance through the rehabilitation assistance programs offered by the City or non-profit partners, if applicable. The City will also continue code enforcement activities aimed at identifying housing units in need of rehabilitation and repair, providing referrals to City rehabilitation staff. Five-year Objective: The City will continue to administer the Code Enforcement Program. The City will also establish an annual goal for the Code Enforcement Officer to identify a certain number of housing units (including ownership and rental units in single- and multi-family buildings) that could qualify for rehabilitation assistance. Policy H-1.2: Acquisition and Rehabilitation: Strengthen multi-family neighborhoods through partnership with non-profit housing providers in the acquisition and rehabilitation of older residential structures, and maintenance as long-term affordable housing. Program H-1.2a: Multi-family Acquisition and Rehabilitation: Under this program, the Redevelopment Agency assists non-profit housing corporations in identifying and acquiring deteriorating and/or problem properties in need of rehabilitation. Using set-aside funds, the Agency may help acquire a property for a non-profit organization, which in turn coordinates the rehabilitation, maintenance, and management of the project. This is a means of transforming residential structures in poor condition to longer-term affordable housing for families and/or special needs households, including households earning extremely low incomes. In the past, the Agency has worked successfully with housing providers in rehabilitating the Sharmon Palms, Rincon Gardens and San Tomas Gardens projects. Five-year Objective: The Redevelopment Agency will allocate housing set-aside funds towards the acquisition and rehabilitation of substandard multi-family properties. The City will also coordinate the efforts of code enforcement and public safety staff to identify deteriorating and/or problem properties in need of rehabilitation and contact non-profit housing providers regarding the availability of financial assistance for the acquisition, rehabilitation and long-term management of such properties. H-34 Campbell General Plan Housing Affordability Goal H-2: Improve housing affordability for both renters and homeowners in Campbell. Policy H-2.1: Preservation of Affordable Housing: Work with property owners, tenants and non- profit purchasers to facilitate the preservation of assisted rental housing. Program H-2.1a: Preservation of Assisted Housing: As of 2009, the City has a total of 629 rent-restricted units in twelve developments in its jurisdiction. While none of these units is considered at high risk of conversion to market rents, three projects totaling 390 units are technically considered at-risk due to the need for continued renewals by the federal government of project-based Section 8 contracts. The City will take the following actions to facilitate long-term preservation of these units:  Monitor the at-risk units by continuing to maintain close contact with property owners regarding their long-term plan for their properties.  Participate in the preservation of at-risk units by providing financial and/or technical assistance to existing property owners and/or other organizations interested in purchasing and maintaining the properties should the owners be interested in selling.  Conduct tenant education by:  Notifying tenants at least one year prior to potential conversion to market-rate housing.  Providing information regarding tenant rights and conversion procedures should an owner decide to convert his property to non-low-income use.  Offering tenants information regarding Section 8 rental subsidies and other available assistance through City and County agencies as well as non-profit organizations. Five-year Objective: The City will maintain close contact with the owners of the at-risk properties, and provide financial and other assistance as necessary to maintain the affordability of the 390 extremely low and very low income units at risk. When necessary, the City will conduct tenant education and support tenants in their search for alternative housing. Draft Campbell Housing Element H-35 Policy H-2.2: Rental Assistance: Support the provision of rental assistance to lower-income households. Program H-2.2a: Section 8 Rental Assistance: The Section 8 Rental Assistance Program extends rental subsidies to very low-income households, including families, seniors, and the disabled. The Section 8 Program offers a voucher that pays the difference between the current fair market rent (FMR) and what a tenant can afford to pay (i.e., 30% of household income). The voucher allows a tenant to choose housing that cost above the payment standard, provided the tenant pays the extra cost. Approximately 300 Campbell residents currently receive Section 8 assistance. Given the significant gap between market rents and what very low income households can afford to pay for housing, Section 8 plays a critical role in allowing such households to remain in the community, and is a key program to address the needs of extremely low and very low income households. Five-year Objective: Through the County Housing Authority, the City will continue to provide Section 8 rental assistance to extremely low to very low-income residents. The City will encourage landlords to register units with the Housing Authority, and provide a handout for rental property owners for distribution at the Business Licensing Division. Program H-2.2b: One-time Rental Assistance Program: In partnership with Catholic Charities and Sacred Heart, the Campbell Redevelopment Agency has offered a Rental Assistance Program since 1997. Under this program, one-time or temporary financial assistance is made available to lower- income residents who are at risk of homelessness due to an unexpected financial setback. The Redevelopment Agency allocates $26,600 annually for assistance through this program. Five-year Objective: In partnership with Catholic Charities, Sacred Heart or other non-profit organizations, the Redevelopment Agency will continue to offer temporary financial assistance to residents at risk of homelessness. The City’s goal will be to assist at least 50 households annually, for 250 households over the planning period, including 175 extremely low, 50 very low, and 25 low income. H-36 Campbell General Plan Policy H-2.3: Homeownership Opportunities: Support the provision of homeownership assistance to lower- and moderate-income households. Program H-2.3a: First Time Homebuyer Program: The First Time Homebuyer Program is a specialized home finance program in which the City offers deferred loans up to $25,000. The principle is deferred and payable upon sale of the property. The first loan may be refinanced at the discretion of the Redevelopment Agency. An equity share amount may be added to the principle owed if the buyer does not sell the property to another income-qualified first-time homebuyer. The Homebuyer Program is designed to serve low- and moderate-income families (up to 115% Area Median Income) who have not owned a home in Santa Clara County within the last three years. Five-year Objective: The Redevelopment Agency will allocate $250,000 annually towards the First-Time Homebuyer Program, with an annual goal to assist 10 households, for a total of 50 households during the planning period. Promote the program in conjunction with the local real estate community. Program H-2.3b: Mortgage Credit Certificate: The Mortgage Credit Certificate (MCC) program is a federal program that allows qualified first-time home-buyers to take an annual credit against federal income taxes of up to 15 percent of the annual interest paid on the applicant’s mortgage. This enables homebuyers to have more income available to qualify for a mortgage loan and make the monthly mortgage payments. The value of the MCC must be taken into consideration by the mortgage lender in underwriting the loan and may be used to adjust the borrower’s federal income tax withholding. The MCC program has covenant restrictions to ensure the affordability of the participating homes for a period of 15 years. The City of Campbell participates in the MCC program through the County of Santa Clara. Five-year Objective: The City will continue to participate in the MCC program, working closely with the San Jose Real Estate Board, local realtors and lenders, and the County to promote the program. The City will also continue to make available a brochure of all City housing programs, including the MCC, and will continue to provide information about the program on the City’s web site. Draft Campbell Housing Element H-37 Program H-2.3c: Foreclosure Prevention: While home foreclosures are not as prevalent in Campbell as in many other areas of the County, many residents are at-risk of defaulting on their mortgages and potentially losing their homes. Several area agencies provide foreclosure intervention counseling services, including Neighborhood Housing Services Silicon Valley, Project Sentinel, and Acorn Housing. The City will play an active role in promoting the services of these and other agencies to provide residents with the education and resources to help reduce foreclosures. Five-year Objective: The City will promote available foreclosure counseling services through its website, the quarterly City newsletter, and a letter mailed to every household in Campbell. The City will also subscribe to a foreclosure tracking service to allow early contact with households identified as in default on their mortgage payments. Policy H-2.5: Special Needs Housing: Assist in the provision of housing and supportive services to persons with special needs, including (but not limited to): seniors, single parents with children, persons with disabilities, the homeless, and those at risk of homelessness. Program H-2.5a: Shared Housing Program: The City will continue to encourage and support the provision of shared housing opportunities in Campbell. Under a shared housing program, a home provider, a person who has a home to share, is matched with a home seeker, a person in search of a home to share. The City provides financial assistance to Catholic Social Services of Santa Clara or other non-profits, to administer a shared housing program for single-parent households in Campbell. While the City is also interested in providing shared housing services for its senior population, there are currently no service providers in the area offering this service. Five-year Objective: Continue to provide financial assistance to Catholic Social Services of Santa Clara County to provide shared housing services to single-parent households, serving extremely low, very low and low income populations. Contact nearby jurisdictions about their interest in participating in a senior shared housing program, and depending on the level of interest, contact key service providers about re-establishing a program in the Silicon Valley. Initiate contact with HIP Housing in San Mateo who H-38 Campbell General Plan administers one of the largest senior shared housing programs in the nation about opportunities for expansion into Santa Clara County. Program H-2.5b: Homeless Assistance/Shelter Provisions: The City will continue to support area non-profit agencies that serve the homeless and those at risk of becoming homeless. Supported in part by financial and other assistance from the City, these agencies offer emergency shelters, transitional housing facilities, housing assistance, food, clothing, and job referrals to persons in need. Organizations currently being supported by the City include Emergency Housing Consortium (EHC), InnVision, Catholic Charities and Sacred Heart. Five-year Objective: The City will continue to financially support area homeless shelter and service providers to serve extremely low and very low income populations. Program H-2.5c: Physically Accessible Housing: Development of new housing can provide an opportunity to increase the limited supply of handicapped-accessible housing in Campbell. As part of new residential development projects, the City will work with developers and provide financial assistance as appropriate to integrate physically accessible units. Five-year Objective: The City will work with developers to increase the number of fully accessible housing units compliant with American with Disabilities Act (ADA) standards. Draft Campbell Housing Element H-39 Housing Production Goal H-3: Encourage the provision of housing affordable to a variety of household income levels. Policy H-3.1: Housing Development: Support the development of additional affordable housing by non-profit and for-profit developers through financial assistance and/or regulatory incentives. Program H-3.1a: Affordable Housing Development: Non-profit and for-profit housing developers play an important role in providing affordable housing in Campbell. The City has granted land write-downs, regulatory incentives, and direct financial assistance to a number of developers to provide both ownership and rental housing to lower- and moderate- income households. Non-profit developers that the City and Redevelopment Agency will continue to work with include (but are not limited to): Habitat for Humanity Silicon Valley, Catholic Charities, Mid-Peninsula Housing Coalition, Eden Housing, and Bridge Housing. The City will work with these and other developers to identify opportunities for new for- sale town homes and mixed-use rental and for-sale projects. Additionally, the City through the Redevelopment Agency will continue, as funds permit, to contribute to the Housing Trust Fund of Silicon Valley. Five-year Objective: The City will continue to grant land write-downs, regulatory incentives, and/or direct assistance to developers of affordable housing for families, seniors, and those with special needs. Promote available assistance to prospective developers in conjunction with the residential sites inventory (Program H-4.1a), as appropriated on a case-by-case basis. The City will also meet with developers annually to facilitate the projects as part of their outreach process. The City’s Redevelopment Agency will partner with affordable housing developers to integrate extremely low income units within new rental developments, providing incentives to gain an increased number of such units. H-40 Campbell General Plan Policy H-3.2: Inclusionary Housing: Ensure that new residential development in Campbell integrates units affordable to lower- and moderate-income households, or contributes funds to support affordable housing activities. Create additional levels of affordability within the Inclusionary Housing ordinance in a way that does not create a governmental constraint to housing production. Program H-3.2a: Citywide Inclusionary Housing Ordinance Amendments: Continue to implement the City-wide Inclusionary Housing Ordinance to require 15 percent affordable units within new residential projects of ten or more units. For-sale housing is currently required to provide 15 percent moderate units, whereas rental housing is required to provide 15 percent very low and low income units, with at least six percent very low income and nine percent of low/moderate income. The City will revise the Inclusionary Housing Ordinance to allow for case-by-case determination on the appropriate percentage of low and moderate income units within the 15 percent total requirement for for-sale unit projects. The goal is to require, where feasible as determined by the City Council, Very-Low and Low Income affordable units in addition to the Moderate income units currently required. Develop policy within the Redevelopment Agency’s 2009- 2014 Five Year Implementation Plan that would establish criteria for the use and leverage of RDA Housing Funds to help increase the number of very low and low income housing units than would otherwise be required under the Inclusionary Housing Ordinance. Five-year Objective: Amend the Inclusionary Ordinance to provide more flexibility for targeting lower affordability levels. Establish policy direction for the use of RDA funds to assist in achieving greater affordability. Policy H-3.3: Green Building: Encourage the use of sustainable and green building design in new and existing housing. Program H-3.3a: Green Building: The City is concerned about the continued availability of all resources for the development of affordable housing. The City of Campbell has recently adopted three Green policies as recommended by the Santa Clara County Cities Green Building Collaborative (GBC), intended to promote climate protection strategies and regional reductions in greenhouse gas emissions. GBC’s three near term policy recommendations, adopted by Campbell include the following: Draft Campbell Housing Element H-41  Recognizing/adopting the LEED and GreenPoint Rated rating systems as a standard for green building evaluation;  Completion of the “Green Checklist” as part of development applications, including remodels over 500 square feet; and  LEED Silver certification for all new or renovated municipal buildings over 5,000 square feet. Campbell promotes its Green Building Program on the homepage of the City’s website, and provides an on-line version of its required Green Building Checklist. Furthermore, staff works closely with applicants early in the process to explain the City’s Green Building goals and the long-term financial and environmental benefits of integrating sustainable features in project design. For example, a mixed-use commercial/residential project (11,000 square feet retail/ 108 townhouses and condominiums) was approved in April 2009 that required the project to achieve “GreenPoint Rated” certification. The City will consider an ordinance to strengthen its green building goals and evaluate various financial and non- financial incentives as part of the City's method to reduce the costs of compliance. To address energy conservation in existing buildings, Campbell’s website promotes Pacific Gas and Electric utility assistance programs offered through two non-profit agencies, Catholic Charities and Sacred Heart Community Services. These programs primarily serve extremely low and very low income households. The City has also adopted a Construction and Demolition Debris Ordinance in 2008, intended to help and maintain a waste diversion level of at least 50 percent in accordance with the mandate of the California Waste Management Act. Five-year Objective: Campbell participated with other agencies in the region to establish common thresholds for Green Buildings. The City will evaluate these thresholds, as well as others currently in use in the region, and determine Campbell’s desired thresholds. An ordinance to implement the recommended Green Building thresholds will be considered in 2010, and will include evaluation of various financial and non-financial incentives to reduce the costs of compliance. The City will continue to promote its Green Building Program and PG&E utility assistance programs on its website, and will develop brochures for distribution at the Community Development Department public counter, at the library and the Community Center. H-42 Campbell General Plan Provision of Adequate Residential Sites Goal H-4: Provide adequate housing sites through appropriate land use and zoning designations to accommodate the City’s share of regional housing needs. Policy H-4.1: Residential Sites: Assist developers in identifying sites suitable for residential and mixed use development, and facilitate development through the provision of financial and regulatory incentives, as appropriate. Program H-4.1a: Housing Opportunity Sites: As part of the update to the Housing Element, a parcel-specific analysis of vacant and underutilized sites was conducted to identify Opportunity Sites for development within the planning period. The Opportunity Sites analysis identifies 18 sites that have adequate capacity to address Campbell’s 2009-2014 housing production goals. In order to specifically encourage and facilitate development on these Opportunity Sites, the City will undertake the following actions:  Contact property owners within the Opportunity Sites to discuss the City’s desire to develop housing in these areas and the availability of financial and regulatory development incentives.  Allow for reductions in parking for properties within 1/4 mile of light rail.  Post the Housing Element sites inventory on the City’s website as a tool for developers, and provide as a handout at the public counter. Describe P-D development standards, derived from applicable Area Plans and comparable zoning districts, in sites inventory to provide greater clarity to developers.  Update on an annual basis in conjunction with the General Plan progress report.  Provide technical assistance to property owners and developers in support of lot consolidation, including assessor parcel data and information on density and design incentives.  Assist developers in completing funding applications in support of development, and as appropriate, provide local funds and/or land as leverage. Five-year Objective: Maintain an active listing of residential and mixed use Opportunity Sites, and update annually. Where appropriate, provide regulatory concessions and financial assistance to encourage housing development. Draft Campbell Housing Element H-43 Policy H-4.2: Mixed-Use Development: Promote mixed-use development where housing is located near jobs, services, shopping, schools, and public transportation. Program H-4.2a: Mixed-Use Development: Within Campbell, there are several areas where a mix of uses is encouraged. Adding residential development along some of the City’s commercial corridors will create activity along the street, provide a variety of housing types near work, shopping and transportation; and enhance public safety. The City will ensure that residential development is included in the mixed-use projects on opportunity sites in order to address RHNA goals. Mixed-use development will be located next to sidewalks or landscape setback areas adjacent to the public street to enhance visibility, pedestrian access and interaction with the commercial uses. The maximum floor area ratios (FAR) are contained in specific land use policies within each Area or Specific Plan. Residential densities are not counted against the allowable FAR. The inclusion of residential uses in new mixed-use developments will be encouraged through the use of incentives such as reduced parking requirements, such as shared parking between commercial and residential uses. In addition, residential uses will be encouraged by not counting the Floor Area Ratio (FAR) of the residential component towards the project FAR. Similarly, the commercial portion of the project does not count against the density of the residential portion. In this way, sites that are currently being occupied by commercial uses may be redeveloped with residential and commercial uses, improving the financial feasibility of projects. Furthermore, a reduction in the required open space for the residential component may be granted where site characteristics preclude fulfillment of the entire open space requirement. Five-year Objective: The City will continue to allow and promote residential uses in conjunction with commercial and/or office uses. The City may provide financial, technical, and/or other assistance to facilitate mixed-use development along commercial corridors and around transit stations. H-44 Campbell General Plan Policy H-4.3: Planned For Densities: To encourage the efficient and sustainable use of land, the City encourages residential development that is proposed near existing light rail stations (within 1/4 mile radius) and/or within the boundaries of the Winchester Boulevard Plan and East Campbell Avenue plan areas, to achieve at least 75 percent of the maximum General Plan Land Use category densities. Program H-4.3a: The City will work closely with property owners and developers to inform them of this policy and its purpose to encourage infill development, create pedestrian oriented areas, reduce vehicle miles travelled and improve air quality. Unique site circumstances relating to interface with adjoining residential properties will require a degree of flexibility as to the application of this policy to limit potential environmental impacts resulting from projects. Five-year Objective: The City will review proposals for residential and mixed-use development and strive to achieve “planned-for” densities within the specified areas of this policy. Removal of Governmental Constraints Goal H-5: Minimize the impact of potential governmental constraints on the maintenance, improvement and development of housing. Policy H-5.1: Regulatory Incentives: Provide regulatory and/or financial incentives where appropriate to offset or reduce the costs of affordable housing development, including density bonuses and flexibility in site development standards. Program H-5.1a: Density Bonus: In compliance with current State law, the City offers density bonuses and regulatory incentives/ concessions to developers of affordable and/or senior housing in all residential zones. Applicants of residential projects of five or more units may apply for a density bonus and additional incentive(s) if the project provides for one of the following:  10 percent of the total units for lower income households; or  5 percent of the total units for very low income households; or  A senior citizen housing development or mobilehome park that limits residency based on age requirements for housing for older persons; or  10 percent of the total dwelling units in a condominium for moderate income households. Draft Campbell Housing Element H-45 As per State Law, the amount of density bonus varies according to the amount by which the percentage of affordable housing units exceeds the established minimum percentage, but generally ranges from 20 to 35 percent above the specified General Plan density. In addition to the density bonus, eligible projects may receive one to three additional development incentives, depending on the proportion of affordable units and level of income targeting. The following development incentives may be requested: 1. A reduction in site development standards (e.g., setback and square footage requirements, and/or parking requirements) or architectural design requirements. At the request of the developer, the City will permit a parking ratio (inclusive of handicapped and guest parking) of one space for 0-1 bedroom units, two spaces for 2-3 bedroom units, and 2½ spaces for four or more bedrooms. 2. Approval of mixed-use zoning in conjunction with the housing project if nonresidential land uses would reduce the cost of individual units in the housing project, and the nonresidential land uses would be compatible with the housing project and adjoining development. 3. Other regulatory incentives or concessions proposed by the permit applicant or the City that would result in identifiable cost reductions. In addition, the City has approved the following set of concessions:  Reduction in required on-site parking as described in CMC Section 21.20.120(4);  Expedited processing pursuant to a mutually agreed upon schedule; and,  Deferral of the collection of impact fees on market rate units until issuance of a certificate of occupancy. Five-year Objective: The City will continue to offer density bonus and/or regulatory incentives/ concessions to facilitate the development of affordable and/or senior housing. The City will advertise its density bonus provisions on its website, explain how density bonuses work in tandem with inclusionary requirements, and promote in discussions with prospective development applicants. H-46 Campbell General Plan Program H-5.1b: Modified Parking Standards: In addition to parking reductions available to affordable and senior housing projects under the City’s density bonus ordinance, Campbell’s Planning Commission has the authority to determine that certain circumstances warrant an adjustment to a project’s parking requirements. Such circumstances include, but are not limited to, the proximity of a project to light rail stations, transit corridors, or major employment centers. The Commission may also allow for shared parking for mixed-use projects. Five-year Objective: The City will continue to offer modified parking standards, on a case-by-case basis, as a way to facilitate development of projects with reduced parking demands. Policy H-5.2: Secondary Dwelling Units: Provide for the infill of modestly priced rental housing by encouraging secondary units in residential neighborhoods. Program H-5.2a: Secondary Dwelling Units: A secondary dwelling unit is a separate dwelling unit that provides complete, independent living facilities for one or more persons. It includes permanent provisions for living, sleeping, cooking, eating, and sanitation on the same parcel as the primary unit is situated. Given the limited developable land remaining in Campbell, integrating secondary dwelling units in existing residential neighborhoods presents an opportunity for the City to accommodate needed rental housing. The development of secondary dwelling units is effective in dispersing affordable housing throughout the City and can provide housing to lower-income persons, including seniors and college students. Approximately 1,000 single-family parcels in Campbell are of sufficient size to add a secondary dwelling unit. Five-year Objective: The City will facilitate the construction of new second units by making information available to the public. Policy H-5.3: Revise the City’s Zoning Code to clarify provisions for transitional and supportive housing, emergency shelters and Single Room Occupancy (SRO) facilities. Program H-5.3a: Zoning Text Amendments: As part of the Governmental Constraints analysis for the Housing Element update and pursuant to new requirements under SB 2, several revisions to the Campbell Zoning Code have been identified as appropriate to better facilitate the provision of a variety of housing types. These zoning revisions include: Draft Campbell Housing Element H-47  Specifically list manufactured housing as a permitted use within the R-1 zone, subject to architectural requirements within the parameters of State law.  Revise the current zoning definition of “family” consistent with state and federal fair housing laws.  Add single room occupancy (SRO) facilities within the Code’s definition section, and conditionally allow them within the R-3-S zone.  Eliminate the CUP and spacing requirements for transitional housing in residential zones.  Identify emergency shelters as a permitted use in that portion of the M-1 zone bounded generally by Camden Avenue, Los Gatos Creek County Park, Hacienda Avenue and Winchester Boulevard. See Figure H-2. Emergency shelters will be subject to the same development and operational standards as other permitted uses in M-1 zone. However, the City will develop written, objective standards to regulate the following, as permitted under SB 2:  The maximum number of beds or persons permitted to be served nightly by the facility;  Off-street parking based on demonstrated need, but not to exceed parking requirements for other residential or commercial uses in the same zone;  The size and location of exterior and interior onsite waiting and client intake areas;  The provision of onsite management;  The proximity of other emergency shelters, provided that emergency shelters are not required to be more than 300 feet apart;  The length of stay;  Lighting;  Security during hours that the emergency shelter is in operation. Five-year Objective: Amend the Zoning Ordinance in 2010 to make explicit provisions for a variety of special needs housing, including housing that serves extremely low income households. Develop objective standards to regulate emergency shelters as provided for under SB 2. H-48 Campbell General Plan Promotion of Equal Housing Opportunity Goal H-6: Promote equal opportunity for all residents to reside in the housing of their choice. Policy H-6.1: Fair Housing: Support the provision of fair housing services. Program H-6.1a: Fair Housing Program: The City will continue to support programs that provide fair housing information and referral to Campbell residents. Project Sentinel, a non-profit organization, offers fair housing investigative and enforcement services in northern California, including Santa Clara County. The organization also conducts educational seminars for owners and managers of rental property, as well as free workshops for tenants to address rights and responsibilities. Project Sentinel receives funding from local cities and counties as well as the federal Department of Housing and Urban Development (HUD). The City of Campbell will continue to allocate a portion of its Business License Fees to support Project Sentinel and promote the services of the organization. Five-year Objective: The City will coordinate with Project Sentinel to conduct training for Campbell rental property owners and managers to provide information on standard lease agreements, and tools to address problem tenants within the parameters of fair housing law. The City will provide fair housing information through its website and through the Profile, a quarterly newsletter that goes out to all Campbell households. In addition, fair housing posters will be posted at City Hall, the community center, and the library. Policy H-6.2: Rights of Tenants and Landlords: Assist in educating tenants and landlords, and settling disputes between the two parties. Program H-6.2a: Rental Increase Dispute Resolution Ordinance and Rent Mediation Program: The purpose of the Rental Increase Dispute Resolution Ordinance is to permit landlords a fair and reasonable return on the value of their property while protecting tenants from excessive and unreasonable rent increases. The ordinance establishes a process for the resolution of tenant/landlord disputes concerning rent, housing services or proposed evictions. Under the ordinance, landlords must provide a 60-day written notice of the amount of a rent increase to tenants if the rent increase is 10 percent or higher. Draft Campbell Housing Element H-49 Under the Rent Mediation Program, Campbell renters and rental property owners of four or more units participate in counseling, conciliation, and mediation regarding their rights and responsibilities under California tenant/landlord law. Participation in the program is mandatory, but the outcome is advisory. Five-year Objective: The City will continue to enforce the Rental Increase Dispute Resolution Ordinance and offer the Rent Mediation Program. The City will continue to make program brochures available at the public counter and other public locations. The City will also continue to mail out to new rental property owners a packet of information regarding the City’s Rent Mediation Program as well as contact information for tenant/landlord and fair housing services. Policy H-6.3: Housing Accessibility: Address the special needs of persons with disabilities through provision of supportive housing, homeowner accessibility grants, and provision of reasonable accommodation procedures. Program H-6.3a: Reasonable Accommodation: The City will monitor its reasonable accommodation procedure for its effectiveness and potential impacts on housing for persons with disabilities. For example, the City will evaluate factors used to determine a reasonable accommodation request such as: the potential benefit of the requested modification, and impact on surrounding uses listed in the City’s zoning code to ensure they do not act as a constraint. The review will be conducted as part of the City’s Housing Element Annual Report submitted to the state and will evaluate criteria such as: • Number of requests approved • Revisions to initial applications • Number of requests declined • Reasons for declining request The City will evaluate potential revisions to its reasonable accommodation procedure as appropriate based on this annual evaluation. Additionally, the City will consider public outreach efforts, such as a marketing plan that will increase awareness to City residents in its evaluation. Five-year Objective: The City will provide annual monitoring to ensure the reasonable accommodation procedure does not act as a constraint on housing for persons with disabilities. The responsible agency for this program shall be the Community Development Department which will also H-50 Campbell General Plan mitigate identified constraints. This monitoring program shall submit its findings annually as part of the Housing Element Annual Report submitted to the State; from the time period of 2009 to 2014. Table H-5: Housing Implementation Programs Summary Housing Program Program Goal Key Five-year Objective(s) Funding Source Responsible Agency/ Department Time-Frame Housing and Neighborhood Conservation H-1.1a Housing Rehabilitation Loan Program Facilitate home rehabilitation. Assist 50 households, including 10 extremely low, 35 very low, 5 low income. Coordinate w/h Code Enforcement. Conduct targeted mailings. CDBG Community Development Conduct annual mailings H-1.1b Emergency Home Repair Grant Program Facilitate home rehabilitation. Assist 50 households, including 35 extremely low and 15 very low income. CDBG/set -aside fund Community Development /RDA 2009-2014 H-1.1c Code Enforcement Ensure ongoing maintenance of housing stock. Establish annual goal to identify units suitable for rehabilitation. CDBG Community Development Establish annual goal for rehab H-1.2a Multi-family Acquisition/ Rehabilitation Acquire & rehabilitate deteriorating properties. Identify deteriorating properties. Contact non-profit providers re: acquisition opportunities. Set-aside funds RDA Contact non-profits by 2010. Housing Affordability H-2.1a Preservation of Assisted Housing Preserve assisted housing stock. Monitor at-risk units. Participate in preservation. Conduct tenant education. Set-aside funds Community Development; RDA Contact at-risk property owners on an annual basis H-2.2a Section 8 Rental Assistance Assist extremely low and very low-income households with rental payments. Encourage landlords to register units with Housing Authority; prepare handout for rental property owners. HUD Section 8 Community Development; Housing Authority of Santa Clara County Prepare and disseminate property owner handout in 2009. H-2.2b One-time Rental Assistance Program Provide emergency rental assistance and PGE utility assistance to prevent homelessness. Assist 250 households, including 175 extremely low income, 50 very low income, 25 low income. Set-aside funds RDA; Catholic Charities/Sacred Heart; non-profit providers On-going H-2.3a First Time Homebuyer Program Expand home- ownership opportunities to moderate income households. Assist 50 households. Promote program through the real estate community. Advertise through brochures and on City’s website. Set-aside funds RDA Ongoing advertisement of program H-2.3b Mortgage Credit Certificate Expand home- ownership opportunities. Promote program in conjunction with the real estate community. Advertise through brochures and on City’s website. County Community Development Ongoing advertisement of program Draft Campbell Housing Element H-51 Table H-5: Housing Implementation Programs Summary Housing Program Program Goal Key Five-year Objective(s) Funding Source Responsible Agency/ Department Time-Frame H-2.3c Foreclosure Prevention Prevent home foreclosures. Promote foreclosure counseling via City newsletter, website and direct mail. Initiate early contact with households delinquent on mortgage payments. Set-aside funds Community Development; RDA Initiate foreclosure outreach in 2009 H-2.5a Shared Housing Program Support provision of shared housing opportunities. Assist 25 single-parent households in finding shared housing. Contact cities and service providers about re- establishing a senior shared housing program. CDBG Community Development; Catholic Charities Contact cities and service agencies in 2010 H-2.5b Homeless Assistance/ Shelter Provisions Coordinate efforts with Silicon Valley jurisdictions and service providers to assist the homeless. Allocate funds to homeless service providers. CDBG Community Development; EHC; InnVision Annual CDBG allocation process. Housing Production H-3.1a Affordable Housing Development Increase supply of affordable housing, including housing affordable to extremely low income households. Provide financial assistance and regulatory incentives. Market in conjunction with Sites Inventory. (Program H-4.1a) Meet with developers annually to facilitate projects by outreach. Set-aside funds Community Development; RDA Meet with developers annually. H-3.2a Citywide Inclusionary Housing Ordinance Increase affordable housing within market-rate developments. Revise Zoning Code to provide deeper income targeting. Provide policy direction for use of RDA funds to assist inclusionary units. General; Set-aside funds Community Development; RDA Update Implementation Plan in 2009. Revise Zoning Code in 2010. H-3.3a Green Building Promote energy conservation and sustainable design in new and existing development. Work closely with applicants early in process to explain Green Building goals & benefits. Require completion of “Green Checklist” for retrofits and new development. Evaluate and determine thresholds for Green Buildings, and consider ordinance including financial and non-financial incentives to reduce the costs of compliance. Promote green building and energy conservation on City website and through brochures. General Community Development Evaluate local ordinance and incentives by 2010. Develop and disseminate brochures by 2010. Provision of Adequate Housing Sites H-4.1a Sites Inventory Provide adequate sites to meet City’s share of regional housing needs. Maintain active listing of Opportunity Sites; contact property owners; promote sites on website and update annually. General; Set-aside funds Community Development; RDA Contact property owners in 2010. Update sites inventory on annual basis. H-4.2a Mixed-Use Development Encourage mixed -use projects. Ensure residential development is included in mixed-use projects on opportunity sites. Provide regulatory incentives and assistance to support mixed-use development. General; Set-aside funds Community Development; RDA 2009-2014 H-52 Campbell General Plan Table H-5: Housing Implementation Programs Summary Housing Program Program Goal Key Five-year Objective(s) Funding Source Responsible Agency/ Department Time-Frame H-4.3a Planned for Densities Promote compact development by encouraging properties to develop to General Plan densities. Inform developers of policy to achieve at least 75% of General Plan density within specified areas. General Community Development Inform developers in conjunction with application submittal Removal of Governmental Constraints H-5.1a Density Bonus Provide density and other incentives to facilitate affordable housing development. Advertise density bonus provision on City website; promote in discussion with prospective developers. General Community Development 2009-2014 H-5.2a Secondary Dwelling Units Facilitate development of second units. Continue to implement City’s ordinance, and promote second units as a viable housing option. General Community Development 2009-2014 H-5.3a Zoning Text Amendments Provide appropriate zoning to facilitate the provision of affordable and special needs housing. Amend Zoning Code to make explicit provisions for a variety of special needs housing. Develop objective standards to regulate emergency shelters. General Community Development Amend the Code in 2010 Promotion of Equal Housing Opportunity H-6.1a Fair Housing Program Further fair housing practices in Campbell. Advertise program through City website and newsletter, and through Recreational pamphlet. Coordinate with Project Sentinel to conduct property manager training. County CDBG; Business License Fees Community Development; Project Sentinel Conduct property manager training in 2010 H-6.2a Rent Mediation Program Assist in settling disputes/issues between tenants & landlords. Continue to offer & advertise program. Provide program brochures at public counter. Mail new property owners information. CDBG Community Development; Project Sentinel 2009-2014 H-6.3a Reasonable Accommodation Facilitate the provision of housing for the disabled population. Provide annual monitoring to ensure that the reasonable accommodation procedure does not act as a constraint on housing for persons with disabilities. Mitigate identified constraints. General Community Development Submit findings annually as part of Housing Element Annual Report submitted to State; from 2009-2014 QUANTIFIED OBJECTIVES: TOTAL UNITS TO BE CONSTRUCTED: 892 units (100 extremely low, 99 very low, 122 low, 158 moderate, 413 above moderate income) TOTAL UNITS TO BE REHABILITATED WITH CITY ASSISTANCE: 100 units (45 extremely low, 50 very low, 5 low income) TOTAL UNITS TO BE CONSERVED: 300 ext. low and very low-income (Section 8) rental subsidies; 175 ext. low, 50 very low, 25 low income One Time Rental Assistance; 390 extremely low and very low income at-risk units Draft Campbell Housing Element H-53