Public Policy

Sonoma County Housing Coalition Public Policy

Approved unanimously at the SCHC Convention November 14, 2003

Objective

To evaluate and recommend appropriate financing and public policy tools that will help jurisdictions meet their housing allocation requirements for all income categories as determined by the Association of Bay Area Governments (ABAG) Regional Housing Needs Projections.

Overview

The Sonoma County Housing Coalition supports the County and its cities and towns in their efforts to build housing for all levels of income as well as for those special needs. All jurisdictions have certified housing elements. Implementing housing element programs needs to be a high priority.

  • Very Low and Low Income Housing. For Very Low and Low Income Housing, jurisdictions use public policy and government subsidies to support these types of development. Jurisdictions with limited financial support and inadequate public policy are unable to meet their allocation for these most needy categories.
  • Moderate income Housing. Recently, the development of Moderate Income Housing is showing signs of falling seriously behind in meeting the needs of most communities. As a rule, this segment has not benefited from public subsidy. Without zoning and other public policies that support is development, there is little incentive to meet this critical community need.
  • Above Moderate Income Housing. The public policies, particularly zoning, of most jurisdictions and the internal policies of financial institutions make it possible to meet and surpass the Above Average Income Housing needs of our communities.

Cities not meeting their housing needs while allowing more job growth make it more difficult for businesses to compete in the labor market. It also forces worker to commute, which adds to traffic congestion, road maintenance, need for public transit, and air pollution. It also creates other community impacts of economic, social, and environmental concern.

Need for Education

The Sonoma County Housing Coalition further realizes that there is an abundance of financial programs and incentives, as well as public policies that are working in other communities that can help alleviate Sonoma County’s housing crisis. Jurisdictions need to make a substantial effort to educating their elected officials, housing and planning commissioners, planning staffs, and the general public on programs and polices that work. They especially need to be knowledgeable about specific programs that will help developers build Special Needs, Very Low, Low and Moderate Income Housing. Programs need to be developed to bring developers and affordable housing specialists together to learn how to leverage various financing and public policy mechanisms that support affordable housing.

Local Financial Support

All jurisdictions receive federal and state housing dollars that come in a variety of forms including federal HOME funds and Community Development Block Grants (CDBG). They can also compete for federal and state tax credits, California Proposition 46 funds, and the federal Mortgage Revenue Bond Program. All Local governments raise money for affordable housing through their Redevelopment Agencies. Additional revenue is also generated by some jurisdictions that allow in-lieu fees as part of an inclusionary Housing Ordinance. (Note: the City of Santa Rosa does have a formula that allows Real Estate Transfer Tax t be allocated to affordable housing program above a threshold). In 2002, the County of Sonoma County committed one million dollars from their General Fund to support affordable housing. In addition, the County participates with SEIU matching employee contributions for housing – a benefit for County Employees.

The Bureaucratic Challenge

The staff and appointed commissioners dealing with housing issues and all elected officials of every jurisdiction must have the political will and commitment to make affordable housing a focus of their government. Planning for housing is extremely complex with local general plan policies, zoning codes and ordinances, federal and state programs and policies, and market and financial considerations. Multiple layers of authority and responsibility create a bureaucracy that can seem overwhelming to those responsible for public policy as well as builders. Focus on housing must be a high priority if jurisdictions are to meet their goals.

Sonoma County Housing Coalition believes that all jurisdictions must make affordable housing a constant priority. We believe that serious attention to this issue is the only thing that can make a difference.

Public Policy Tools

Overview

Sonoma County Housing Coalition urges all jurisdictions to study the following programs and policies.  We believe these recommendations are essential components to implementing housing elements and meeting affordable housing needs for the entire community.

  • Commitment to Essential Housing Areas: Each jurisdiction should make a commitment to expand, add, or emphasize an activity or program in each of these essential housing areas- rental housing, first time homebuyers, rehab/preservation, and special needs housing.
  • Annual Housing Review: Conduct and schedule an annual public hearing that incorporates the items required by state Housing and Community Development.  In addition to these reporting requirements the following additional information should also be included:  How does the jurisdiction compare with the rest of the county?  What jurisdictional policies are supporting the development of affordable units?  Are there jurisdictional policies that are impeding the development of affordable housing?  What are the jurisdiction’s goals for the coming year for affordable housing?  What programs in the jurisdiction’s element are working?
  • Publicly Owned Land: Institute a policy that prioritizes any use of city or county owned land in a jurisdiction for affordable housing if a jurisdiction has not met their affordable housing allocation.
  • Article XXXIV: Every jurisdiction should obtain voter approval per State Constitution, Article XXXIV, to participate in the creation of affordable housing project within its jurisdiction.
  • State Public Policy Change: Lobby the state legislature and state agencies to provide more money for the wide range of affordable housing projects/programs, including homeless shelter, and to allow more flexibility in meeting the jurisdiction’s housing numbers, including allowing jurisdictions to receive some credit for contributing financial resources to projects.
  • Insurance: Every Jurisdiction should explore and examine the concept of providing liability insurance for the construction of affordable housing projects.  This could mitigate the difficulty local contractors having to secure defect liability insurance for condominium development.
  • Policy Evaluation: Each jurisdiction should examine and evaluate financial policies and procedures that may be limiting the number of affordable housing developers in a market or limiting the potential sources of financial support and take measures to correct any problems.
  • Reasonable Accommodation Ordinances: Evaluate adoption of “reasonable accommodation ordinances,” including providing sites and funding for special needs housing and shelters.

Land Use Support

The Coalition may consider specific plans, masters and general plan amendments that would likely result in housing developments that reflect the guidelines in this statement.