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Resolution 16005CITY OF ALAMEDA RESOLUTION NO. 16005 ADOPTING A GENERAL PLAN AMENDMENT TO UPDATE THE HOUSING ELEMENT OF THE GENERAL PLAN AND CHANGE THE LAND USE DIAGRAM DESIGNATION FOR TWO PROPERTIES TO ACCOMMODATE THE CITY'S REGIONAL HOUSING NEEDS ALLOCATION FOR THE PERIOD 2023-2031, AFFIRMATIVELY FURTHER FAIR HOUSING, AND COMPLY WITH STATE HOUSING ELEMENT LAW WHEREAS, the California legislature has found that "California has a housing supply and affordability crisis of historic proportions. The consequences of failing to effectively and aggressively confront this crisis are hurting millions of Californians, robbing future generations of the chance to call California home, stifling economic opportunities for workers and businesses, worsening poverty and homelessness, and undermining the state's environmental and climate objectives." (Gov. Code Section 65589.5.); and WHEREAS, the legislature has further found that "Among the consequences of those actions are discrimination against low-income and minority households, lack of housing to support employment growth, imbalance in jobs and housing, reduced mobility, urban sprawl, excessive commuting, and air quality deterioration." (Gov. Code Section 65589.5.); and WHEREAS, the legislature recently adopted the Housing Crisis Act of 2019 (SB 330) which states that "In 2018, California ranked 49th out of the 50 states in housing units per capita... California needs an estimated 180,000 additional homes annually to keep up with population growth, and the Governor has called for 3.5 million new homes to be built over 7 years"; and WHEREAS, State Housing Element Law (Article 10.6 of Gov. Code) requires that the City Council adopt a Housing Element for the eight-year period 2023-2031 to accommodate the City of Alameda's (City) regional housing need allocation (RHNA) of 5,353 housing units, comprised of 1,421 very -low income units, 818 low-income units, 868 moderate -income units, and 2,246 above moderate -income units; and WHEREAS, State law requires that the City take meaningful steps to promote and affirmatively further fair housing (Gov. Code Section 65583(c)(5)); and WHEREAS, State law requires that the City make zoning available for all types of housing, including multifamily housing (Gov. Code Sections 65583.2 and 65583(c)); and WHEREAS, Alameda City Charter Article 26 prohibits construction of multifamily housing and residential densities above 21 units per acre; and WHEREAS, State law generally states that the Housing Element and the City's zoning must support housing for all income levels, and residential densities under 30 units per acre do not support construction of housing for lower income households (Gov. Code Section 65583.2(c)(3)(B)(iv)). Although State law may allow different densities, subject to a market study which considers market demand and financial feasibility, that option would ultimately require greater densities given that the City is located in the heart of the San Francisco Bay Area, a region with some of the highest land costs and highest construction costs in the country; and WHEREAS, to address similar inconsistencies with State law, in 2012, the City adopted the Multi -Family (MF) overlay zone in Alameda Municipal Code (AMC) Section 30-4.23(b)(1) which allows densities of 30 residential units per acre and states, "In the event of a conflict between the provisions of the MF Combining District and the provisions of the underlying district or the Alameda Municipal Code or Alameda City Charter Article 26, the provisions of the MF District shall govern"; and WHEREAS, the analysis of available sites to accommodate the City's RHNA of 5,353 housing units demonstrates that multifamily housing at densities of greater than 21 units per acre is necessary to accommodate the RHNA; and WHEREAS, the Housing Element and amendments to AMC Chapter XXX (Development Regulations) must be adopted to comply with State law, accommodate the RHNA, affirmatively further fair housing, and facilitate and encourage a variety of housing types for all income levels, including multifamily housing (Gov. Code Sections 65583.2 and 65583(c)); and WHEREAS, the preparation, adoption, and implementation of the Housing Element and companion zoning amendments requires a diligent effort to include all economic segments of the community; and WHEREAS, the City conducted extensive community outreach over the last 18 months including over 25 public workshops before the Planning Board, Commission on Persons with Disabilities, Transportation Commission, and Historical Advisory Board; and WHEREAS, on May 25, 2022, the City submitted the draft Housing Element to the State Department of Housing and Community Development (HCD) for its review; and WHEREAS, in July 2022, HCD contacted the City with a number of questions and concerns about the adequacy of the draft Housing Element, and based upon those questions, City staff revised the draft Housing Element to include additional information and data to support the City's position that the proposed programs and zoning changes would be adequate to accommodate the RHNA and affirmatively further fair housing; and WHEREAS, on August 25, 2022, the City received a letter from HCD stating that the draft Housing Element is in substantial compliance with State Housing Element Law, and will comply with State Housing Element Law when it is adopted, submitted to and approved by HCD in accordance with Government Code Section 65585; and WHEREAS, the August 25, 2022 HCD letter emphasizes that adoption of the Programs #2, #3, and #4, which are the programs that address Alameda Point housing, shopping center rezoning, commercial street rezoning, and residential district rezoning are "crucial to compliance"; and WHEREAS, Programs #2, #3, and #4 are the associated zoning amendments are the actions which are necessary to address the inconsistencies between State Housing Law and City Charter Article 26; and WHEREAS, on August 29, 2022, the City published the final draft Housing Element (i.e., determined to be in substantial compliance by HCD) on the City website and www.alameda2040.or+ and requested public comment on the final draft; and WHEREAS, on September 26, 2022, the Planning Board held a duly noticed public hearing and recommended that the City Council adopt a General Plan Amendment to update the Housing Element and a comprehensive set of zoning text amendments; and WHEREAS, on October 10, 2022, the Planning Board held a duly noticed public hearing and recommended that the City Council adopt a General Plan Amendment to amend the General Plan Land Use Diagram for two properties and zoning map amendments for a total of seven properties identified in the Housing Element as housing opportunity sites; and WHEREAS, on November 15, 2022, the City Council conducted a duly noticed public hearing, reviewed the 2023-2031 Housing Element and all pertinent maps, documents and exhibits, including the findings made by HCD and public comments, and determined the Housing Element and the Land Use Diagram amendments to be consistent with State law and the General Plan of the City of Alameda; and WHEREAS, on that same date, the City Council introduced a companion Ordinance to amend the AMC and citywide zoning map to implement the Housing Element of the General Plan. NOW, THEREFORE, BE IT RESOLVED, that the City Council makes the following findings pertaining to the General Plan Amendment to update the Housing Element and Land Use Diagram of the General Plan: 1. City Charter Conflict. Article 26 of the City Charter and its implementing regulations are in direct conflict with State housing law and preempted and unenforceable to the extent necessary to adopt a Housing Element in compliance with state law. More specifically, Article 26 of the City Charter is preempted by Government Code Sections 65583.2(c), (h), and (i) and section 65583(c)(1), which require the City to allow multi -family housing, and Government Code Section 65583.2(c)(3), which requires zoning appropriate to accommodate housing for lower-income households and zoning for a variety of housing types, and Government Code sections 8899.50 and 65583(c)(10), in that strict compliance with Article 26's requirements, without the necessary modifications as proposed, would not meet state law requirements. 2. The proposed General Plan text and diagram amendments are consistent with the policies and intent of the General Plan. The proposed amendments to the General Plan clarify and improve existing Housing Element policies and objectives and ensure internal consistency between the Housing Element and Land Use Element. The amendments ensure consistency between the City General Plan and State law, which is necessary to achieve General Plan policies and objectives for equal access to housing, access to transportation improvement funds, and mixed use, transit oriented housing opportunities. 3. The proposed General Plan text and diagram amendments will have acceptable effects on the general welfare of the community. Because several federal, state, and regional funding programs consider housing element compliance as an eligibility or ranking criteria, the proposed amendments will facilitate the City's ability to attract new grant funds to improve transportation, infrastructure, open space, and housing. The amendments will help ensure that households seeking different housing types and affordable housing will have opportunities to find housing in Alameda. 4. The proposed General Plan text and diagram amendments are in the public interest. Maintaining consistency with State law requirements ensures that the City General Plan is adequate for City decision making, preserves access to State funding sources and reduces the risk to the community of lawsuits over the adequacy of the General Plan. 5. California Environmental Quality Act. The City Council finds that, based on substantial evidence in the record, the potential environmental impacts of the project have been evaluated and disclosed pursuant to California Environmental Quality Act (CEQA). On November 30, 2021, by Resolution No. 15841, the City Council certified a Final Environmental Impact Report (EIR) for the Alameda 2040 General Plan (State Clearinghouse No. 2021030563) in compliance with CEQA, and adopted written findings, a Statement of Overriding Considerations, and a Mitigation Monitoring and Reporting Program for the General Plan Amendment to update the Alameda General Plan (General Plan EIR), which evaluated the environmental impacts of 12,000 additional housing units in Alameda over 20 years, including 5,353 housing units to accommodate the RHNA between 2023 through 2031. Pursuant to CEQA Guidelines Sections 15162 and 15163, none of the circumstances necessitating further CEQA review are present with respect to the General Plan EIR. Adoption of the Housing Element and corresponding amendments to the AMC to implement the policies and goals of the Housing Element would not require major revisions to the General Plan EIR due to new significant impacts or due to a substantial increase in the severity of the significant environmental effects. There have been no substantial changes with respect to the circumstances under which the project would be undertaken that would require major revisions of the General Plan EIR due to new or substantially increased significant environmental effects. Further, there has been no discovery of new information of substantial importance that would trigger or require major revisions to the General Plan EIR due to new or substantially increased significant environmental effects. For these reasons, no further environmental review is required; and BE IT FURTHER RESOLVED, that the City Council hereby adopts a General Plan Amendment to update the Housing Element of the General Plan as shown in Exhibit A; and BE IT FURTHER RESOLVED, that the City Council hereby adopts a General Plan Amendment to amend the Land Use Diagram for two properties shown below; 2363-2433 Mariner Square Drive Land Use Diagram Amendment: Change from Business Employment to Mixed Use. APN'S: 74-1315-1, 74-1315-5, 74-1315-6, 74-1315-7 Approximate Acreage: 2.39 Webster Street Plaza Location: Webster Street, Atlantic Avenue Land Use Diagram Amendment: Change from Medium Density Residential to Community Mixed Use. APN'S: 73-426-26, 73-426-27, 73-426-28, and 73-426-25 Approximate Acreage: 2.27 And; BE IT FURTHER RESOLVED, that the City Clerk is hereby directed to distribute copies of the Housing Element in the manner provided in Government Code Section 65357. EXHIBIT A 2023-2031 HOUSING ELEMENT (On file in the Clerk's office) I, the undersigned, hereby certify that the foregoing Resolution was duly and regularly adopted and passed by the Council of the City of Alameda in a regular meeting assembled on the 15th day of November 2022, by the following vote to wit: AYES: Councilmembers Knox White, Vella, and Mayor Ezzy Ashcraft - 3 NOES: Councilmembers Daysog and Herrera Spencer — 2. ABSENT: None. ABSTENTIONS: None. IN WITNESS, WHEREOF, I have hereunto set my hand and affixed the official seal of the said City this 16th day of November 2022. Lara Weisiger, City Clerk City of Alameda APPROVED AS TO FORM: Celena H. Chen, Chief Planning Counsel City of Alameda