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HomeMy WebLinkAboutReso 155-1983RESOLUTION NO. 155-83 CITY COUNCIL, CITY OF SOUTH SAN FRANCISCO, STATE OF CALIFORNIA A RESOLUTION ACCEPTING THE TOTAL HOUSING NEEDS NUMBER IN THE ABAG HOUSING NEEDS REPORT, AND REJECTING THE INCOME DISTRIBUTION ALLOCATIONS WHEREAS, the Association of Bay Area Governments is the council of governments (hereinafter "ABAG") under the Joint Exercise of Powers Act (Section 6500 et seq. of the Government Code) for the San Francisco Bay Area; and WHEREAS, each council of governments is required by Section 65584 of the Government Code (hereinafter "Section 65584") to determine the existing and projected housing needs for its region; and WHEREAS, each council of governments is further required to determine each city's and county's share of the regional housing needs; and WHEREAS,ABAG's staff has prepared and circulated, for public review and comment, a draft Housing Needs Report meeting the requirements of Section 65584; and WHEREAS, the Housing Needs Report was approved by the ABAG ~ork Program and Coordination Committee for tile purpose of beginning the official review and revision of the determinations contained therein; and WHEREAS,ABAG's staff have worked with the staff of the City of South San Francisco to ensure that the most complete and reliable information has been used in the determination of housing needs for this jurisdiction; and WHEREAS, the City of South San Francisco is in accord with the total Housing Needs Report number prepared for the City, which number is 2,166; and WHEREAS, the City of South San Francisco has reviewed the income distribution allocations prepared by ABAG. NOW, THEREFORE,BE IT RESOLVED by the City Council of the City of South San ......... Francisco that, pursuant to Section 65584, the City of South San Francisco accepts the total Housing Needs Report number of 2,166 as contained in said Report. · RESOLUTION NO. ~age 2 155-83 BE IT FURTHER RESOLVED THAT: 1.The City of South San Francisco rejects ABAG's income distribution allocation as contained in the Housing Needs Report; and 2. The City recommends that ABAG approve an income distribution allocation of 0 units for Very Low income households, 129 units for Low Income households, 851 units for Moderate Income Households, and 1,186 units for Above Moderate Income households for the period 1980-1990; and 3.The rejection of ABAG's income distribution ..a!!.ocation is described in the attached report (Exhibit "A"); and 4. Documentation supporting the City's recommended income distribution allocation is described in attached Exhibits "A" and "B", which exhibits are incorporated herein by reference. I hereby certify that the foregoing Resolution was regularly introduced and adopted by the City Council of the City of South San Francisco at a regular meeting held on the 19th day of October 1983, by the following vote: AYES: Councilmembers Ronald G. Acosta, Mark N. Addiego, Emanuele N. Damonte, Gus Nicolopulos; and Roberta Cerri Teglia NOES: None ABSENT' None ATTEST: EXHIBIT "A" TO RESOLUTION 155-83 C. C. Mtng. 10/19/83 --'Fhe ABAG Housing Needs Report assigns an increase of 2,166 housing units to the :ity of South San Francisco for the 1980-1990 period~to satisfy projected housing leeds. Of these, 2,166 units, 931 (43%) are earmarked for above moderate income households; 477 (22%) for moderate income households;~ 347 (16% for low income households; and 411 (19%) for very low income households. Although the City accepts its responsibilities in meeting regional housing needs and is willing to accept the total housing figure of 2,166 units, it rejects the recommended distribution by income categories as specified in the Reports. The City recommends that the following alternate Housing Needs figures be approved by ABAG based on 1980 Census information attached to this ReSolution and findings specified below: Very Low Low "Moderate '~Above~MOderate Income ' IIncome "Income ~Income '~Total 0 129' 851'* 1,1 86'** 2,166 The City rejects the income distribution proposed by ABAG for the following reasons- 1. The distribution would serve to perpetuate existing patterns of housing inequity in the region. Further, the income allocation would negatively impact the city of South San Francisco by requiring a higher than reasonable proportion of lower income housing units. 2. The distribution is neither practical nor feasible considering present economic conditions (e.g. high interest rates) and limited Federal and State housing subsidies. 3. The distribution is both unfair and inequitable in that cities which have, in the past, done a good job in. providing housing for low and moderate income families are being required to do more in the future. Those cities which have, in the past, provided little or no housing for these income groups are being required to make a minimal effort in the future. 4. The distribution is based on arbitrary criteria in that it ignores current policies of the City which seek to upgrade existing housing stock and encourage a~higher quality of housing.in the City in the future. 5. The distribution ignores the relationship between incomes of households and the current availability of lower cost housing in the Community as documented in the 1980 U.S. Census. (Exhibit "B"). The City understands the practical difficulties associated with devising an income distribution for regional housing needs and encourages ABAG to approve the more equitable distribution herein recommended by the City. .. Fairway Apartments, Goldrick Kest (74 units) and Rotary Club Addition (55 units) .Based on percentage (41.8%) of total shortfall of Moderate and Above Moderate income housing contained in 1980 Census figures (5182 units). Times 2037'units. ***Based on percentage (58.2%) of total shortfall of Moderate and Above Moderate income housing contained in 1980 Census figures (5,182 units) Times.2037 units. EXHIBIT "B" TO RESO. 155-83 C.C.Mtng. lO/1 9/83 HOUSEHOLD INCOME/HOUSING COST CORRELATION The 1980 United States Census reports a 1979 median household income for the nine county Bay Area Region as $20,607; for San Mateo County as $23,175; and for the city of South San Francisco as $22,257. Very low, low, moderate, and above moderate household incomes are calculated as follows. 1. Very Low Income (0 - 50% of Median) 2. Low Income (51%- 80% of Median) 3. Moderate Income (81%- 120% of Median) 4. Above Moderate Income (over 120% of Median) Annual Household Income INCOME/COST CORRELATION Nine County San Mateo South San Region County Francisco $ 10,304 or less $ 11,588 or $ 11 ,129 or less less 10,305 - 11,589 - ll,130 - 16,486 18,540 17,806 16,487 - 18,541 - 17,807 - 24,728 27,810 26,708 Greater than 24,728 Greater Greater than 27,810 than 26,708 Federal and State agencies have established twenty-five percent (25%) of gross household income as a guideline for the maximum amount a household should have to pay for housing. An increase to thirty percent (30%) of gross household income is currently being considered as a more realistic guideline. Income ranges are translated into maximum income available for housing by dividing the total income by 12 (this gives monthly amount) and multiplying by 25 percent. Rent or Monthly Mortgage Payment (Up to 25% of Monthly Income) Nine County San Mateo South San Region County Francisco 1. Very Low Income $ 215/mo. $ 241/mo. $ 232/mo. 2. Low Income 343/mo. 386/mo. 371/mo. 3. Moderate Income 4. Above Moderate Income 515/mo. 579/mo. 556/mo. Above Above Above 515/mo. $579/mo. $556/mo. EXHIBIT "B"TO RESO. 155-83 C.C.Mtng.10/19/83 Pg.2 The 1980 Census reveals the following information regarding household income and monthly rents/mortgage payments made in South San Francisco. Households in City by Income Range Number % of City Available and Occupied Housing Units by Type Renter-Occupied Owner-Occupied Total % of City Number Max.pmnt. Number Max.pmnt. per mo. per mo. Housing Available/ Housing Needs $0- $12,499 4,098 23.5% (Very Low) 1,669 $ 249 4,311 $ 249 5,980 38.4% (+) 1,882 Units $12,500- $17,499 2,255 12.9% (Low) 2,248 349 1,408 349 3,656 23.5% (+) 1,401 Units $18,000 - $27,499 5,051 28.9% (Moderate) 1,743 499 1,141 499 2,884 18.5% (-) 2,167 Units $27,500 or more (Above Moderate) 6,063 34.7% 740 500 or 2,308 500 or 3,048 19.6% more more (-) 3,015 Units TOTALS 17,467 100.0% 6,400 321/mo. 9,168 339/mo. 15,568 100.0% (Median (Median Rent) Payment) The above data seems to indicate that, while 36% of all households in the City are in the "Very Low" and "Low" income category, 62% of South San Francisco's dwelling units are affordable by people in these income categories. It also appears that a large number of households having moderate and above moderate incomes are occupying dwellings which require payment of less than 25% of their monthly incomes. The conclusion which can be reached is that South San Francisco is already providing housing for low income households far in excess of the need for such housing.