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HomeMy WebLinkAbout27-Council Office CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACQ91 v I A L From: Councilwoman Wendy McCammack Subject: League of California Cities Seventh Ward Housing, Community and Economic Development Dept. Council Office Meeting Report Date: January 29, 2007 MCC Date: February 5, 2007 Synopsis of Previous Council Action: Recommended Motion: To receive and file. Signature Contact Person: Councilwoman Wendy McCammack Phone: 5068 Supporting Data Attached: Ward: FUNDING REQUIREMENTS: Amount: Source: (Acct. No.) (Acct. Description) —Finance: Council Notes: Agenda Item No. Z7 Implementation of Infrastructure Bonds "Ensure fair and effective implementation of the 2006 infrastructure bonds, consistent with the needs of California cities. Above is one of the strategic goals adopted by the League Board of Directors for 2007. The League Policy Committees and a newly-formed Infrastructure Task Force(which will meet on January 25,2007)must provide recommendations to the League Board on how to implement this goal. The passage of the Infrastructure Bond Package(Propositions lB-lE and 84)was a historic achievement. The challenge now is to spend these funds prudently and efficiently. With over$43 billion approved for schools, transportation,housing, flood control, and natural resources,the 2007 Legislative Session will be dominated by debates over how these funds will be allocated. While fund allocations in many categories are specified in the bonds,numerous funding designations require additional Legislative appropriation, and others await the Legislature's adoption of guidelines for project allocation. Additionally, there may be different interpretations about which funding categories may be modified and which may not by subsequent legislation. What are the most appropriate areas of focus and priorities for California Cities? (Please see subject discussions for individual policy committees for more details) • Proposition 113: $19.925 billion on various transportation projects to rebuild California,of which $1 billion will go to cities and $1 billion to counties for local streets and roads improvement projects. Significant potential open issues: Allocation schedule of$1 billion for cities for local streets and roads; Development of$2 billion State-Local Partnership Program; Development of$3.1 billion"goods movement" and air quality programs; Allocation schedule of$4 billion for public transit,intercity and commuter rail,and waterborne transit. • Proposition 1C: $2.85 billion for housing projects, including.$1.35 billion that helps cities address housing-related infrastructure issues,consisting of$850 million in grants for development infill projects. Other pots for transit-oriented development, affordable housing and park funds subject to criteria by the Legislature. Significant potential open issues: Several funds await further legislative guidance, including $850 million for urban infrastructure, $200 million for urban parks, 300 million for transit-oriented development and$100 million in the"innovations fund." • Proposition 84: $5.4 billion for improving natural resources and water programs including state projects and grants for flood control, safe drinking water, improving water quality, integrated water management, water planning,and sustainable communities. Significant potential open issues: Further definition of elements of the$580 million for climate change, including$90 million for incentives for planning;how the $lbillion for local agencies to meet local water needs will be spent, and anticipation of a possible effort to redirect$400 million in park funds to create a per capita grant program for park funds. • Proposition IE: $4.09 billion for critical river levee repair and construction,as well as flood control projects and the updating and repair of old water mains and sewage systems. Also includes$290 million for the creation of flood protection corridors and floodplain mapping. Significant potential open issues: Effort to include water storage into funding categories; addition of liability link to allocation of levee improvement funds. • Proposition 11): $10.4 billion for performing school building repairs and providing innovative learning facilities for Californian students, including seismic retrofitting and classroom repairs. Significant potential open issues: Allocation of$29 million to fund joint-use projects for construction of K-12 school facilities. What are the concerns and priorities of cities on allocation issues? • Potential distribution formulas: per capita, geographic,priority ranking systems, etc • Timing of allocations • Coordination of funding pots either within or between the different bonds • Priorities for coordination with regional blueprints, smart growth concepts, etc. ,27 P;_/O 7 League's General Principles on Infrastructure Investment' 1) Long Term Capital Plan. The League supports the adoption and implementation of a long-term capital investment plan and budget to upgrade and repair the state's vital infrastructure that is essential to sustainable growth in California. The plan should be updated regularly and financed through a variety of existing and new state revenue sources, including bonds and pay-as-you-go financing. The legislature and governor should update the plan as needed, and the state's voters should be regularly consulted on its implementation. 2) Protect Existing Infrastructure Funds. Existing infrastructure revenues should not be diverted to fund other state priorities. The League endorses a constitutional amendment to prevent future shifts of Prop. 42 transportation funds and repayment of all diverted funds. The authority and revenues of local redevelopment agencies should not be reduced. 3) Invest To Maximize Existing Infrastructure. State capital investments should maximize existing investments in state and local infrastructure and reinforce local land use practices that accomplish strategic state and local growth objectives such as compact land development patterns, revitalizing urban cores, transit-oriented development and preservation of open space and farmlands. The state should provide CEQA relief accordingly and approve new local capital financing tools (see No. 5, below) to balance the fact that it is far easier under current laws to provide infrastructure and services on converted farmland and open space than in existing urban core areas. 4) Use State Investments to Leverage Investments by Others in State-Local Priorities. The state should leverage its investments wherever possible, seeking to attract the investment of additional private and public funds in accordance with regional and local plans for long-term growth. Part of the funds that will be available when the state deficit reduction bonds are retired in FY 2010-11 should be used to match fiscal commitments by cities and counties to fund affordable housing and critical local and regional infrastructure projects that accomplish shared state-local priorities. 5) The State Should Either Expand Local Authority to Meet Local Needs or Fund Urban Infrastructure Needs. It is good public policy for local governments to finance purely local capital needs. California cities face mounting infrastructure deficits and population growth, but they actually have fewer capital investment financing tools today than they did decades ago. It is simple. If the state expects cities to directly finance the expansion of water and sewer systems, libraries, urban parks and other facilities that are desperately needed as cities grow, the state will have to give cities new financing powers and tools. Specifically, the voter threshold required for local capital projects should be changed from 2/3 to 55%, as is required for schools. 6) Projects Should Be Funded For Their Merit In Accordance With Identified Criteria; There Should Be No Legislative Earmarks. Projects should be chosen for their public merit as opposed to their political value. The desired outcomes for each category of investment should be clearly identified, and project selection criteria should be developed by state agencies through an open process in consultation with local and regional agencies. With few exceptions, local and regional agencies should nominate projects for funding that will achieve the desired outcomes and meet the criteria. The legislature should provide ongoing oversight to the project selection process,but it should not earmark funding for specific projects. The above general infrastructure investment principles were adopted by the League's Infrastructure Task Force and Board of Directors finalized February 15, 2006)following a review of the Governor's Strategic Growth Plan, to provide a framework for the League's advocacy and recommendations on the state bond package. COMMITTEE ON HOUSING,COMMUNITY AND ECONOMIC DEVELOPMENT POTENTIAL LEAGUE SPONSORED BILLS JANUARY 12,2007 • Bond Implementation. To the extent that this committee, the infrastructure task force and the League board adopts appropriate policies. • Meaningful Eminent Domain Reform. The League is committed to coming up with a responsible reform to protect property owners and is working with its coalition partners. • Housing Element Self Certification. Provide a means for local agencies that meet certain performance criteria to opt out of the HCD approval process. • RHN.A-LAFCO Issue. Require COGS to consider existing spheres of influence and LAFCO policies when determining allocations under the RHNA allocation. • Developer Requests for Down Zoning. Cities that zone land to assure that they meet their fair share housing need often face down zone requests, requiring cities to upzone land in other areas under the "no net loss" statute. This bill would also require developers to pay funds into an affordable housing trust fund account to mitigate against the lost density(which is presumed to be more affordable). • Increment Financing for Housing-Transit Zones. Last year the League sponsored SB 1754 (Lowenthal), which authorized the creation of 100 infill zones where cities that met certain housing density, mobility, and affordability standards would realize a higher property tax share. • Density Bonus Law. Sponsor.a bill that would relieve performing cities from the far reach of the density bonus law. A number of ideas have been forwarded: Inclusionary Housing Exception. Given that the density bonus law is really a voluntary inclusionary housing program, exempt the 170 agencies that now have inclusionary housing ordinances from the density bonus law (may have to set certain performance standards for the local program, such as percentage affordability, duration, fees calculation, etc). Streamline the concession-waiver parking standard process. Currently developers get up to four benefits: the density bonus, concessions, waivers, and reduced parking. Knowledgeable developers can "game" this process to maximize benefits. The bill would make the process easier to understand and apply and eliminate the incentive for developers to game the process. Start Over. This law is confusing and poorly written. Start from scratch and rewrite everything. COMMITTEE ON HOUSING,COMMUNITY AND ECONOMIC DEVELOPMENT OTHER KEY LEGISLATIVE ISSUES jANUARY 12,2007 • SB 2(Cedillo) Homeless Fair Share. The author offered a version of this bill(SB 1322—Cedillo),last year. The League opposed the bill and secured the Governor's veto. The League has suggested working with the author to see if there is some common ground on the issue of homelessness and resources for homeless shelters and housing first program. The committee chair will appoint a subcommittee.* • Housing Supply bill-SB 1800 Revisited. Last year, the builders offered SB 1500, a bill that would require local agencies to plan more sites for development in advance to assure more certainty for developers. There were many problems with the bill and it was held in the senate. The builders say they will offer a different version this year, but the League is likely to struggle with some of the fundamental concepts. • SCAG RHNA Process (SB 12). The Southern California Association of Governments is seeking a process change to their RHNA process. The League views this as a regional issue, but is working to assure that it does not undermine changes to the process agreed to by the League and other stakeholders three years ago. • Groups Homes. Need we say more? • Density Bonus Law. See Accompanying Handout, Potential League Sponsored Bills. • Attorneys Fees for Housing Suits. The attorney fee issue is likely to return again this year. These bills are usually offered by housing advocates who want to expand the scope of where attorney fees are required when local agencies lose a housing issue in court. • Ellis Act. Housing advocates will sponsor a bill to allow local agencies to limit the ability of landlords to take rental housing out of the rental market. • Floods. The League is currently studying at least two of the bills introduced by Senator Machado and Assemblywoman Wolk to determine their feasibility. The League will continue to oppose bills that seek to shift liability to cities for floods that may be caused by operation and maintenance issues for which they have no.control. • Climate Change. Bills will touch on climate change and AB 32. For example, how must climate change be addressed in CEQA documents? The League is forming a committee of the various policy committee members (with balanced representation).* • Other Issues. Several other issues are on the horizon: • Condominium Conversions. • Housing for Sexual Predators • Mobile Home Park Conversions 1 COMMITTEE ON HOUSING, COMMUNITY AND ECONOMIC DEVELOPMENT INFRASTRUCTURE BOND IMPLEMENTATION DISCUSSION JANUARY 2007 A. ADOPTED GUIDELINES FOR HOUSING INFILL AND PLANNING The following is an excerpt from the League's Final Infrastructure Resort adopted by the League Board on February 15, 2006 In 2002 the League strongly supported the approval of Proposition 46 that provided funding for a wide range of vital housing programs, including multi-family, shelters, individual and farm worker housing. The League believes the state needs to expand this investment through the use of both general obligation and pay-as-you-go financing. The League's specific recommendations are as follows: • General Obligation Bonds. The state should issue additional general obligation bonds to fund programs similar to those financed by Proposition 46. • Dedicated Pay-As-You-Go Financing. The state should dedicate an existing or new stream of revenue to provide pay-as-you-go financing that would match local investments in affordable/workforce housing construction projects on a dollar for dollar basis. This could be accomplished by dedicating part or all of the general funds currently dedicated to debt service on the state deficit reduction bonds when they are retired in 2010-11. Regional agencies could be designated to award these funds in the future to reward local investment in housing. • Protect and Expand Redevelopment Authority. Redevelopment Agencies are one of the few tools local governments have to rehabilitate urban core areas and promote infill and affordable housing. Existing redevelopment authority should be protected, and additional incentives should be offered to agencies that voluntarily agree to spend increasing amounts of limited local funding to support the development of high- density, affordable housing. • Infill Incentives, Environmental Conservation and Planning. Some bond proceeds should be awarded to provide incentives for urban infill, conservation of environmental resources, and improved regional and local planning while protecting the principle of local land use authority. B. REVIEW OF THE LEAGUE'S SMART GROWTH PRINCIPLES: POSSIBLE CRITERIA FOR UNDEFINED BOND FUNDS? The League's Smart Growth Principles begin on page 4 of the Summan of Existing Policy and Guiding Principles attached to the agenda packet. 1 The passage of the Infrastructure Bonds presents a unique opportunity for the state to shape how growth occurs in the future. Some stakeholders and administration officials have noted that the five separate bonds should be spent in a manner that does not conflict with one another. For example, if one of the goals of the housing bond is to encourage infill development, then the relevant elements of the transportation, flood, parks (Prop 84), and even the education should take this into consideration, or at least consider the extent that they may encourage sprawl at the expense of infill. Of course, many of the bond moneys will be allocated through existing programs. For example, the funds allocated to the Multifamily Housing Program will go out in the same way that Prop 46 funds were distributed (HCD will be issuing NOFAs--notice of funding availability--later this month). Nevertheless, several funds require further definition or legislative appropriation. (See Table 1 below). In addition to the $850 M in infrastructure funds, there is an opportunity to develop infill funding criteria that is consistent with the League's Smart Growth Principles, which highlight the role local agencies have in developing comprehensive plans for local and regional areas. These guidelines would encourage infill and infrastructure in urban areas and protect sensitive farmlands and habitats in rural areas. TABLE 1: PROPOSITION 1C AND PROPOSITION 84 FUNDS THAT NEED FURTHER DEFINITION,APPROPRIATION,OR CRITERIA Proposition 1C 1. $100M to the Affordable Housing Innovation Fund for innovative, cost-saving approaches to creating or preserving affordable housing. (2/3 vote req.). 2. $850M for the Regional Planning, Housing and Infill Incentive Account. 3. $200M for the Housing Urban-Suburban-and-Rural Parks Account. Proposition 84 1. $1 B (with defined regional pots) for safe drinking water and water quality needs, including wetland and watershed protection. Preference for projects that integrate water management with land use planning. 2. $30M for floodplain mapping to assist local land use planning. 3. $135M for habitat. Funds may be used for habitat mapping and information necessary to determine the priorities for restoration and acquisition statewide. 4. $90M to assist NCCP's. 5. $45M to protect ranches, farms and oak lands according to a schedule 6. $90M for urban greening projects. 7. $400M to the Dept. of Parks and Recreation for local and regional parks. �^h 8. $90M for planning grants and incentives, including revolving loan programs. 2 C. QUESTIONS FOR DISCUSSION Most agree that although the $850 M and other available bond funds represent a significant investment in California's infrastructure, it still falls short of the relative need. Currently, SB 46 (Perata) and AB 29 (Hancock) are spot bills (placeholders) that will likely have the proposed provisions for the Infill Incentive Account ($850 M). These bills will gain substantial provisions as they are heard in committee. The goal for Legislators will be to find a way to fairly distribute these funds in a way that also assures the state gets the most out of its investment while remaining true to the guidelines adopted in the various ballot measures. Issue 1: The Smart Growth Framework Question. The advantage to is that cities may become eligible for additional pots of money beyond the $850 M. To get there, however, would probably require agreeing to environmental and affordability criteria. The challenge would be to assure that the criteria would be drafted in a way to be consistent with the League's Smart Growth Principles. • Do the criteria in Smart Growth Principles provide a workable framework for distributing the bonds? Are there additional factors that should be considered? • Should the League seek to coordinate funds between the funding pools? Issue 2: The Affordability Question One of the League's strategic priorities this year is affordable housing: "expand the supply of affordably housing by adopting reforms that reduce the barriers to improve planning and expand the financial resources available." • Should the League support efforts to link infrastructure expenditures in the housing bond to affordable housing criteria? (for example, the $300 M Transit Oriented Development Fund requires a 15 percent affordability requirement)? Issue 3: The Blueprint Question Related to the questions above is how to deal with regional blueprints. Some have argued that the infill projects should be consistent with regional blueprints in the four major metropolitan areas (most people agree that any blueprint criteria would be impractical outside these areas). Others state that since there is no consistency in what actually constitutes a regional blueprint, it's hard to make that determination. • Should the League get support, oppose, or remain neutral in attempts to assure that projects are consistent with regional goals? • To what extent should local communities that have adopted plans that are consistent with regional blueprints be rewarded? 3 Issue 4: The Regional Distribution Question Whatever criteria are developed, the question that remains is how the bonds will be distributed around the state. In other programs, HCD separates moneys into regional pots to assure a fair geographic distribution. But other methods also exist: One Statewide Fund Very competitive,assures that Depending on criteria,may favor best developments are awarded some regions over others Distribute Regionally on Every region gets a share; Does not necessarily address Per Capita basis competition within region assures issues where new growth is that good projects are awarded occurring Distribute regionally,based Every region gets a share, May favor new growth at expense on RHNA allocation competition within region assures of traditional infill areas(to that good projects are awarded extent RHNA allocation encourages such growth) Divide into"prototype" Assures that like cities compete pools;e.g.built out cities, against one another;Fairness by May not assure that all the best fast growing suburbs,and alternative means: assures that all regional projects get funded rural w/growth pressure community types have a chance Set aside an infrastructure Recognizes the good work Limits impact of moneys to fund "catch up fund"for short already accomplished new"signature"projects falls where infill housing has already been built • How should the League approach the distribution issue? Issue S: The Parks Question. There are potentially three pots of park funds: $400 M for urban and regional parks in Prop 84; a specific $200 M in Prop 1 C for urban, suburban and rural parks, and up to an additional $200 M of the $850 M to encourage infill. Some suggest that since the Prop 84 money equals what was originally proposed in Prop 1 C, ihat none of the $850 M for infrastructure should be diverted to parks. This result would still leave $600 M for parks, or$200 M more than the maximum proposed in Prop 1 C. • To what extent should the League support efforts to pool or coordinate the distribution of these park specific funds? • What position should the League take on efforts to limit any expenditure of the $850 M toward parks? Could the League take different positions depending on whether the distribution of the funds are coordinated or not? • If an effort is made to include a per capita grant funding component for local parks, what position should the League take? (Neither Prop 84 or Prop 1 E included a per capita grant component). 4 EffL- f ATTACHMENT A 4 LEAGUE OF CALIFORNIA CITIES Summary of Existing Policy and Guidin g Principles Housing, Community and Economic Development R APRIL 2000 C t� per Housin , Community and Economic Development Housing • Zonin :The League believes local zoning is a primary function of cities and is an essential component of home rule.The process of adoption,implementation and enforcement of Community zoning ordinances should be open and fair to the public and enhance the responsiveness of local decision-makers.State and Economic policy should leave local siting and use decisions to the city and not interfere with local prerogative beyond providing a Development constitutionally valid procedure for adopting local regulations. State agency siting of facilities,including campuses and office buildings,should be subject to local notice and e Sco p o f Responsibility hearing requirements in order to meet concerns of the local community. The principle behind the policies reviewed by this Committee is to foster local control of community planning decisions as Housing they relate to land use and economic development.The issues within the purview of the HCED Policy Committee include general Housing Element:Housing issues should be addressed in plans and zoning,housing,rent control,subdivision map act, the general plan as other planning issues are.The housing residential care facilities,other land use regulation,development element should be prepared for the benefit of local governments fees including school fee adequacy,annexation and incorporation and should have equal status with the other elements of the policy,development agreements,building standards including general plan. seismic safety standards,economic development policy including The projections of regional and local growth and the redevelopment and enterprise zones,military base closure and allocations of housing units should account for state and local reuse,mobile home regulation,and sign regulation. planning factors and should be subject to a formal hearing and appeal process to ensure that they are realistic.Cities should be allowed to work together to allocate housing units Summaty of Existing Policy and among themselves within a subregion.Appeals should be Guiding Prijac1h heard by politically accountable officials at the state and regional levels. Planning And Zoning Cities should focus their efforts on facilitating the production of below market rate housing units.Local government efforts • General Plans:The League supports the use of the general should be subject to realistic performance standards not to plan as a guide to meeting community planning needs.A arbitrary state agency review of the housing element.Local city's general plan should guide the individual city's land use government housing efforts should be rewarded by incentives. planning and strategic decision-making.A city's general plan These incentives should include streamlining by not being should not be subject to mandatory review by regional or subject to HCD review,priority ranking for discretionary state agencies.General plan requirements should be flexible funds,and new discretionary funds available for general fund and provide guidance to local communities without requiring purposes. inappropriate levels of detail or mandating new topics or elements.The League has supported guidance by expert The League supports and encourages legislation that: state agencies in a consultation format but opposes granting Implements comprehensive reforms to the housing element mandatory review,certification or other approval authority to process to: another level of government. o Address conflicts between local growth projections and • Water Supply and Land Use Planning:The League supports state regional housing need numbers; having the best information available on the reliability of water o Resolve the problems associated with the distribution of supplies when land use decisions are made by local agencies, RHNA units within a council of governments; while protecting and retaining local land use decision-making authority. o Achieve improvements to the housing element review process; and League o/Calilorniu Cities truwxacilies.or,S • ;I/ril-1006 —2— Housing, Community and Economic Development o Develop a neutral dispute resolution process and fair Enterprise Zones:The League supports the expansion of enforcement alternatives to deal with disputes over enterprise zones to assist city economic development. questions of compliance. The definition of enterprise zones should be expanded to o Requires state laws and policies which affect housing and include a range of activities including base closure and gang land use to be internally consistent. suppression. o Establishes additional legal protections to local agencies Rent Control that approve affordable housing and that establish local pro-active affordable housing policies. • The League opposes any legislation that restricts the ability of o Authorizes communities which achieve quantifiable cities to enact rent control ordinances for mobile homes and affordable housing production levels to self-certify their stick-built housing that are tailored to meet local conditions housing elements without being subject to state review. and circumstances. • The League opposes any legislation that would require a city • Housing Finance:The League supports legislation and state to adopt a mobile home rent control ordinance. and federal programs that assist in providing financing for affordable housing,including the development of fiscal tools and incentives to assist local governments in their efforts to Subdivision Map Act encourage housing and finance the infrastructure to support The League supports maximizing local control over housing,as well as establishing an ongoing state commitment subdivisions and public improvement financing.Discretion for funding affordable housing.The League supports the re- over the conditions and length of subdivision and parcel maps establishment of federal tax incentives which were in effect should be retained by cities. prior to 1986 which encouraged private development and ownership of rental housing. Residential Care Facilities Economic Development The League supports permitting cities to exercise review and land use regulation of group home facilities and residential • Job Creation,Retention and Expansion:The League supports care facilities in residential neighborhoods including the legislation that will provide tangible and productive tools and application of zoning,building and safety standards.State and incentives to support job creation and retention in housing- county licensing agencies should be required to confer with rich,jobs-poor communities,such as the awarding of direct the city's planning agency in determining whether to grant a grants to fund the development of infrastructure that results license to a community care facility.The League recognizes in the creation and retention of jobs;the elimination of that better review and regulation of residential care facilities matching dollar requirements for economic development and will protect both the community surrounding a facility and the infrastructure state grants;the provision of grant funding residents within a facility from a poorly managed facility or the for infrastructure planning and design and the creation absence of state oversight. of economic development strategies;and,allowing cities the maximum flexibility in the use of state funds toward Development Fees local priorities that support job creation.The League also encourages the state to adopt policies and programs that The League supports providing local discretion in the establish a comprehensive solution to the infrastructure and assessment,collection and usage of development fees. jobs/housing needs of all communities within the state. The state should provide infrastructure funding to help local communities meet California's growth demands and to • Redevelopment:The League supports continuing flexibility in increase housing affordability.The League opposes limiting the use of redevelopment authority.Redevelopment authority the ability of cities to levy fees to provide for infrastructure or has been one of the few tools that cities have been provided services. that encourages economic development.The League opposes limiting authority or increasing the liability of redevelopment agencies. Len,,,ue o/ Cu/i/orniu Cilies uvw.cocilies.orq • Jpril 2006 —3— Housing, Community and Economic Development • The League recognizes that school facilities are a component Military Base Closure And Reuse of a community's infrastructure and must be maintained to Base Closures and Reuse:The League supports local foster positive outcomes for youth and economic development. decision-making over military base closure and reuse.The The League supports maintaining city discretion over the affected cities independently or subregionally should work extent to which legislative authority should be exercised to together towards efficient reuse planning. fully mitigate impacts from development to the adequacy of school facilities,Consistent with maintaining discretion,cities Economic Reuse:The League supports incentives for broad should maintain the ability to condition and deny projects economic reuse of closed military facilities.Cities should that the city determines inadequately mitigate impacts to work on a regional and interstate basis to maintain economic community schools. productivity.Economic reuse includes both reuse of military • The League opposes the elimination of any development fee facilities and the retooling of related industries to continue to or tax including excise taxes.Tax shifts and initiative measures provide jobs for residents of California's cities. have severely limited city abilities to provide for community Mobile Home Regulation needs.The state must ensure that cities have adequate revenues for local infrastructure and services. The League supports initiatives that maintain cities as the enforcement authority for mobile home regulation. Annexation and Incorporation Sign Regulation • The League supports strengthening city control over urban boundaries.Sphere of Influence law should be modified to The League supports the authority of cities to regulate ban county development and to allow cities to annex logical billboards and other signage.The League opposes mandatory growth.The Revenue and Taxation Code should not allow local abatement programs. counties to block annexations in exchange for unreasonable principles for Smart Growth' property tax sharing agreements.In addition,cities should have expanded authority over adjacent lands outside of their 1. Well-Planned New Growth:Recognize and preserve open sphere of influence regardless of jurisdictional lines so long as space,watersheds,environmental habitats,and agricultural the land is not within another city's sphere. lands,while accommodating new growth in compact forms, • The League also supports facilitating the incorporation of in a manner that: cities that have met procedural requirements and voter • De-emphasizes automobile dependency; approval. • Integrates the new growth into existing communities; Development Agreements • Creates a diversity of affordable housing near employment centers; and • The League recognizes voluntary development agreements as Provides job opportunities for people of all ages and one tool for providing flexibility in development approvals. income levels. Building Standards 2. Maximize Existing Infrastructure:Accommodate additional growth by first focusing on the use and reuse of existing • The League supports flexibility in the adoption and urbanized lands supplied with infrastructure,with an emphasis implementation of health and safety standards contained in on reinvesting in the maintenance and rehabilitation of existing the building codes.Statutes should maximize local control infrastructure. over standards applying to local conditions.The League opposes new standards imposed by statute rather than 3. Su000rt Vibrant City Centers:Give preference to the regulation. redevelopment and reuse of city centers and existing transportation corridors by supporting and encouraging: • The League supports authorizing cities to adopt independent occupancy standards to prevent overcrowding and associated Mixed use development; health and safety hazards,including fire-related fatalities. • Housing opportunities for all income levels; • Safe,reliable and efficient multi-modal transportation systems; and League o/Culilurniu Lilies mvwxacilies.oq April 2006 —4— Dousing, Community and Economic Development s • Retaining existing businesses and promoting new 10. Establish a Secure Local Revenue Base:Support the business opportunities that produce quality local jobs. establishment of a secure,balanced and discretionary local 4, Coordinated Planning For Regional Impacts:Coordinate revenue base necessary to provide the full range of needed planning with neighboring cities, counties,and other services and quality land use decisions. governmental entities so that there are agreed upon regional Note:The League will review new legislation to determine how strategies and policies for dealing with the regional impacts it relates to existing League policies and guiding principles.In of growth on transportation,housing,schools,air,water, addition,because this document is updated every two years to wastewater,solid waste,natural resources,agricultural lands include policies and guiding principles adopted by the League and open space. during the previous two years,there may be new,evolving 5. Support Hi h Quality Education and School Facilities:Develop policies under consideration or adopted by the League that are and maintain high quality public education and neighborhood- not reflected in the current version of this document.However,all accessible school facilities as a critical determinant in: policies adopted by the League Board of Directors or the League's • Making communities attractive to families; General Assembly become League policy and are binding on the League,regardless of when they are adopted and whether they • Maintaining a desirable and livable community; appear in the current version of"Summary of Existing Policies • Promoting life-long learning opportunities; and Guiding Principles." • Enhancing economic development; and • Providing a work force qualified to meet the full range of job skills required in the future economy. 6. Build Strong Communities:Support and embrace the development of strong families and socially and ethnically diverse communities,by: • Working to provide a balance of jobs and housing within the community; • Avoiding the displacement of existing residents; • Reducing commute.times; • Promoting community involvement; • Enhancing public safety;and • Providing and supporting educational,mentoring and recreational opportunities. 7. Emphasize Joint Use of Facilities:Emphasize the joint use of existing compatible public facilities operated by cities, schools,counties and state agencies,and take advantage of opportunities to form partnerships with private businesses and nonprofit agencies to maximize the community benefit of existing public and private facilities, 8. Support Entrepreneurial/Creative Efforts:Support local economic development efforts and endeavors to create new products,services and businesses that will expand the wealth and job opportunities for all social and economic levels. 9. Encourage Full Community Participation:Foster an open and inclusive community dialogue and promote alliances and partnerships to meet community needs. Lcagueof Cul/fornru (Vices rruu..cncilies.or,S .1pril 2006 —5— ATTACHMENT B HOUSING, COMMUNITY,AND ECONOMIC DEVELOPMENT POLICY COMMITTEE 2007 DRAFT WORK PROGRAM LEGISLATIVE UPDATES/MONITORING The committee will review pending legislation, and take action, where appropriate, on all issues within the sphere of housing,community and economic development. Special attention will be paid to legislation concerning implementing infrastructure bonds, eminent domain reform, the housing element, local land use control, developer fees, and the impacts of the state budget discussions on local planning, housing and land use. WORK PRIORITIES For 2007,The League Board has adopted the following strategic focus and goals: Strategic Goals: In 2007 the League of California Cities, and its divisions, departments, caucuses and policy committees will advocate for: • Infrastructure: Ensure fair and effective implementation of the 2006 infrastructure bonds, consistent with the needs of California cities. In furtherance of this goal, the committee will pursue opportunities to assist in the implementation of the state infrastructure bonds. The committee will invite key legislators as well as administrative representatives to discuss infrastructure issues. • Eminent Domain: Adopt statutory and constitutional reforms of the laws governing the use of eminent domain for private economic development purposes. The committee will work with the California Redevelopment Association on strategies for protecting redevelopment funding and resist efforts to limit redevelopment authority. The committee will continue to monitor state and federal legislation as it affects eminent domain reform. The committee will review and revise if necessary, the League's existing policy concerning eminent domain and redevelopment. • Affordable Housing: Expand the supply of affordable housing by adopting reforms that reduce the barriers to improved planning and expand the financial resources available. The committee will focus on the major growth and housing issues affecting cities and look for opportunities to support more resources for affordable housing development. The committee will invite key legislators, as well as administration representatives to discuss housing and growth issues. —6— ATTACHMENT C HOUSING, COMMUNITY, AND ECONOMIC DEVELOPMENT POLICY COMMITTEE 2006 WORK PROGRAM UPDATE LEGISLATIVE UPDATES/MONITORING The committee will review pending legislation, and take action, where appropriate, on all issues within the sphere of housing, community and economic development. Special attention will be paid to legislation concerning infrastructure, the housing element, local land use control, developer fees, and the impacts of the state budget discussions on local planning, housing and land use. UPDATE: The committee reviewed legislation affecting housing, community and economic development. The committee was updated on all League sponsored legislation. Strategic Goals: In 2006 the League of California Cities, and its divisions, departments, caucuses and policy committees will advocate for: • Expanded funding for state and local investment in the physical infrastructure of California, including,but not limited to, its roadways, bridges, levees,parks, libraries, and systems for delivering and treating water, wastewater and storm water. UPDATE: The committee pursued opportunities to assist in the shaping of the state infrastructure investment package by inviting Senator Bob Dutton and Senator Alan Lowenthal to the January Policy Committee, who both played key roles in shaping the infrastructure package. • Expanded housing supply and affordability for all Californians, consistent with the planning and environmental quality objectives of the League's Principles for Smart Growth and the League's mission to restore and protect local control. UPDATE: The committee examined legislation that was moving through the legislative process on the major growth and housing issues affecting cities. The committee received regular updates on League-sponsored legislation aimed at providing more resources for affordable housing development. • Protection of critical Redevelopment funding and authority, the critical tools necessary for local investment in future affordable housing and the infrastructure so necessary for the continued expansion of the California economy. UPDATE: The committee worked with the California Redevelopment Association to create strategies for protecting redevelopment funding. The committee was updated regularly on both legislation and ballot initiatives that affected redevelopment at both the state and federal levels. —7— ATTACHMENT D League Board Adopts Strategic Goals for 2007 The League of California Cities set the course of the organization for the coming year, when the League Board of Directors met with the leaders of the League's departments, divisions, policy committees and caucuses at the board of directors meeting on November 17-18, 2006, in Anaheim. After participating with other League leaders in eight separate discussion groups, the Board considered a list.of proposed strategic goals formulated by the discussion groups. The following goals were adopted by the League Board and will be the focus of work programs for the League and its divisions, departments, caucuses and policy committees for 2007: • Infrastructure: Ensure fair and effective implementation of the 2006 infrastructure bonds, consistent with the needs of California cities. • Eminent Domain: Adopt statutory and constitutional reforms of the laws governing the use of eminent domain for private economic development purposes. • Affordable Housing: Expand the supply of affordable housing by adopting reforms that reduce the barriers to improved planning and expand the financial resources available. -8- ATTACHMENT E L E AG U E 1400 K Street, Suite 400 • Sacramento, California 95814 OF CALIFORNIA Phone: 916.658.8200 Fax: 916.658.8240 C IT I E S www.cacities.org FEDERAL PRIORITIES FOR 110T11 CONGRESS TELECOMMUNICATIONS The League strongly supports and encourages telecommunication innovation and increased competition in any Federal telecommunications policy overhaul. To ensure consumer access to efficient, cost-effective and innovative telecommunication services, the League urges Congress to: • Maintain local government's ability to negotiate franchise agreements with telecommunications providers to maximize consumer benefit. Through these negotiations, municipalities are able to ensure the provision of key services, including public, education and government channels, as well as make sure that local emergency alerts and institutional networks meet specific local needs. • Address a reasonable timeframe for deployment of telecommunications services by providers that includes a clear plan for sequencing of the build-out of facilities within an entire franchise area. • Protect the authority of local governments to collect revenues from telecommunications providers and ensure that any future changes are revenue neutral for local governments. • Support local government's ability to regulate use of public rights-of-way. Local governments are important and proven stewards of the public rights-of-way, and are pivotal in helping to prevent public safety issues resulting from overcrowding and improper use; ensuring local emergency (911) services are provided; as well as addressing customer service and local business concerns. • Preserve local authority to deploy and operate municipal broadband networks, either through public-private partnerships or systems wholly owned by the municipality. COMMUNITY DEVELOPMENT/AFFORDABLE HOUSING Approximately 80 percent of California's nearly 37 million people live in cities. As the state continues to grow by almost 500,000 people each year, California cities are deeply concerned about the need for housing -especially affordable housing in balance with jobs and transportation systems. The League urges Congress to increase support for existing programs within the U.S. Housing and Urban Development and establish new affordable housing programs and incentives: • Community Development Block Grant: Support increased funding, and oppose proposals to reduce or eliminate funding, for the Community Development Block Grant (CDBG) program, which is critical in assisting urban and rural cities throughout California with creating jobs, providing affordable housing, eliminating blight and generating new economic investment. In addition, seek flexibility in the CDBG state program to enhance the use of the program by California's 314 non-entitlement communities. • Section 8 Housing Choice Vouchers: Support full funding of the Section 8 program, which assists very low-income families, the elderly and the disabled afford decent and safe housing. • Home Investment Partnerships Program (HOME) Program: Support increased funding for the HOME program, which provides formula grants to local governments to create affordable housing for low-income households. • National Housing Trust Fund: Support the creation of a new National Housing Trust Fund to help fund the production of new housing, and the preservation or rehabilitation of existing housing that is affordable for low-income people. • Workforce Housing: Seek the creation of new programs that provide affordable housing to working families, including targeted resources for mixed use, affordable housing arou nd transit. —9— The housing shortage has particularly affected low- and middle-income families. In many areas, workers who provide basic services to local governments - like teachers, firefighters, and police officers - cannot afford to live in the communities where they work, forcing them to drive from far away and impose additional stress on an already overburdened traffic system. • Housing Tax Incentives: Seek new tax incentives to promote private investment in the production of rental housing, including expanding the Low Income Housing Tax Credit to create mixed income developments. INFRASTRUCTUREINVESTMENT California cities' water, wastewater and transportation systems, which are vital to fueling and keeping the fifth largest economy in the world moving, are in need of major overhaul with tremendous deficits in capacity and deferred maintenance. California's transportation systems, which face rapidly growing vehicle use by an ever increasing number of new drivers, has seen the costs of building new lane miles rise much faster than inflation and road maintenance needs increase with the age of the freeway system. California's water and wastewater systems, with the state's population growth of 30% in 20 years, has seen close to no new investment in the state's water supply infrastructure for over 30 years. In addition, stringent new standards for safe drinking water and clean water are placing more pressure on our cities' systems. The League urges Congress to advance legislation in the 110th Congress that provides targeted Federal resources to assist cities facing significant population growth with improving these vital systems for our nation's communities. EMINENT DOMAIN/TAKINGS • Eminent Domain: Ensure that Federal legislation addressing eminent domain does not severely impact states, like California, which have strong laws that limit the use of the tool and have strong protections for property owners. The seldom-used but important tool allows communities in California to convert to safe, affordable housing, to clean up environmentally toxic areas, and to assist impoverished, economically depressed neighborhoods. • Takings: Oppose the so-called federal Private Property Rights Implementation Act. While this measure is being promoted as a necessary response to the Supreme Court's verdict in the Kelo v. City of New London case, it does not address direct condemnations, eminent domain, or Kelo-style economic development projects in any way. The Act is designed to help developers sue cities over land use issues in federal court. The legislation would encourage developers to bypass State courts and local resolution procedures, where most land use disputes are now resolved. The existing rules, developed over hundreds of years, allow courts to strike a fair balance between takings claimants, neighboring property owners, and the public. HOMELAND SECURITY/DISASTER PREPAREDNESS California's cities are on the front line of the war on terrorism. To strengthen California's homeland security and emergency preparedness efforts, the League urges Congress to: • Support a revised formula for distribution of homeland security grant funding and a reduction in the per-state minimum allocation, which ensure funding is targeted to areas where the threat of terrorism is greatest. The current system directs more funding to low-risk, low-population states instead of high-risk states, like California. • Maximize first responder funding to California cities, including providing continued f unding for the Homeland Security Grant Program and Urban Area Security Grants, as well as flexibility in the use of funds to assist areas of need (i.e. personnel, training, and targ et hardening). • Ensure adequate broadcast spectrum is available to local governments for public safety communications. • Support increased funding for disaster preparedness, prevention, recovery, and response for all-hazard threats. —10— ATTACHMENT F Lynn Jacobs Director of the Department of Housing and Community Development Lynn Jacobs has more than 20 years of experience in the fields of affordable housing and community development. She is currently the president of Ventura Affordable Homes, a developer of ownership housing under affordable housing programs in Ventura County. Jacobs has also served as a member of the California Housing Partnership Corporation since her appointment in 2005 and is a member of the Loan and Grant Committee for the Department of Housing and Community Development. Before founding Ventura Affordable Homes in 1998, she was the president of Affordable Communities and Ventura Communities from 1985 to 1998. Prior to that, Jacobs was a project manager for The Ramos/Jensen Company and a financial assistant for the Ojai Land Co. She is the chair of the Workforce Investment Board of Ventura County, a member of the Board of Directors and Executive Committee of the California Building Industry Association, a member of the Ventura County Unified School District Bond Oversight Committee and a former member and chair of the City of Ventura Planning Commission. Jacobs, 59, of Ventura, earned a Bachelor of Arts degree from Radcliffe College of Harvard University. This position requires Senate confirmation and the compensation is $123,255. Jacobs is a Republican. The Department of Housing and Community Development is California's principal housing agency and operates under the aegis of the Business, Transportation and Housing Agency. The Department administers housing finance, rehabilitation, and community development programs; oversees the state's housing planning and code-setting processes, and regulates manufactured housing and mobile home parks. -11- ATTACHMENT G w o � 0 Q U c E a 4° D D V Qn 0 0 0 O Wc •� v ° � � ��+ o L C� L, C� L o O p .0 ca � � CIJ O >,•� +.+ C.. C � c.% � � by O � O � C 4. O U � w to p Q y > 6. tb ` .—>'+ w >, t �_ O .U c: C 1�1 L 5A CC �i-w L •�" E C. L 3"' �" O 'to.— O C h Cd = O C� = p `� C� '> = C 'O ,O > I O N O - U 7— N N �- .2 L u -a U U _ Y v, C > U to PEO to 0 co wn cn 3 p No L E -0 3 � CC ._ � O X M cz p &_ C O O O Q > O 0 0 '" L a°i 2 O C. L O a a O E X041-0 X292 � x —12— Q Q Q x x x U cl U 3•. to) .� CA 0 ^p O z fl � � ° o o 0 to 03 W ca U Co En s0,. 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