AgdaPkt 2015-02-09 Closed and Joint SA

Browse Search

9.A. - Page 1 REPORT To the Honorable Mayor and City Council From the City Manager February 9, 2015 SUBJECT Update on the City Housing Program RECOMMENDATION Receive Report and Provide Input on the City's Housing Program. BACKGROUND Background: Redwood City Housing Programs In October 2014, the State of California certified the City's Housing Element. The Housing Element laid out the City's strategy for the production of housing for all income levels. The adoption of the Housing Element comes at a critically important time for our region, which has been struggling to produce the necessary amount of housing for decades. The recent economic recovery has amplified this need for housing, as the number of jobs created in the region has far outpaced the number of housing units created. Those with lower incomes have been the most affected by the housing shortage, as the regional demand for housing has rapidly increased housing costs. Although Redwood City has generated more housing than the majority of Cities in the Bay Area the last few years, the entire region is challenged to generate enough inventory at all income levels for the local population. As noted in the Council Housing Element staff report in October, the State previously provided an important tool that enabled further construction of housing at all income levels. The tool was known as Redevelopment. Through Redevelopment, the City subsidized and participated in the construction of over 800 affordable units that still house Redwood City residents today. Unfortunately, Redevelopment was abolished by the State of California in 2012. California cities with Redevelopment Agencies are left to develop new practices and programs aimed at generating housing for all income levels within their respective communities. In the post — Redevelopment era, Redwood City has been developing a three - pronged approach to housing policy which includes: (1) increasing the overall supply of housing (2) programs and new regulations aimed to allow existing Redwood City residents to "stay in place" and (3) the creation of new funding sources and incentive structures necessary for the production of affordable housing. The following report outlines information contained in the October Housing Element report to Council, and details further information and strategies related to the City's housing program in 2015.