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6.3C Page 2 Local jurisdictions have 60 days to file an appeal to the sub-region. A public hearing must be held to hear the appeal. Between February and April of 2008, the sub-region must issue the final housing allocations. Refer to Exhibit B for a comprehensive timeline. Sub-regions must follow the same substantive and procedural rules and guidelines that ABAG follows when distributing housing allocations. Sub-regions must also enter into an agreement with ABAG that specifies the process, timing, and other terms and conditions for administering the local housing needs determination process. While the sub-regional process will not reduce the overall number of housing units that the state (HCD) and ABAG require of San Mateo County cities as part of the Housing Element update for 2009, it does offer local jurisdictions greater control over how the housing units are distributed within the County. Members of the sub-region will have the flexibility to negotiate with other members for adjustments to their housing allocations. Jurisdictions that want fewer housing units might offer incentives to other jurisdictions that are willing to accept additional units. Incentives could include cash payments to help subsidize the cost of providing services for new development or the costs of roadway and transportation improvements. Jurisdictions that want fewer units could also be required to make cash payments to the Housing Endowment and Regional Trust of San Mateo County to help build more housing in the County. This concept of swap and credits is not possible under state law using the current ABAG RHNA process. However, swaps and credits can be developed through the sub-regional delegation process. Staff recommends that the City join the new program, keeping in mind that the Council can withdraw at any time should cost and benefits not meet expectations. Alternative Do not authorize Redwood City's participation in ABAG's Regional Housing Needs Allocation (RHNA) Sub-regional Process. This alternative would mean that Redwood City would receive its regional housing needs allocation from ABAG in the traditional manner. Fiscallmpact~ The City's general fund, housing and/or redevelopment revenues would be needed to cover the costs for city staff resources (Le. planning, housing, city attorney and/or other necessary 'ty staff) and/ or the cost of a consultant. Staff proposes to track costs for a period 0 me before requesting funds. C/CAG would also provide staff support under CI cuzrOVed budget. ~ ' ': /~ .. fit. (/ fa#- M ureen R ord n Peter Ingra Ed Everett nior Plann Community City Manager Attachment Exhibit A: Resolution Exhibit B: Schedule for ABAG Regional Housing Needs Allocation -