Close Icon

February 24, 2011


Land Use & Housing Committee Public Comment



The San Diego Housing Commission is seeking public comment on recommendations that will be presented to the Land Use & Housing Committee (LU&H) of the City of San Diego on Wednesday, March 30, 2011 and to the City Council at a subsequent meeting.

Background

At the November 2010 LU&H meeting, the Housing Commission staff was directed to analyze the Jobs Housing Nexus Study prepared by Keyser Marston Associates in October 2010.  That study included analysis and explanation of the nexus between job creation and the need for additional affordable housing as well as recommendations and options for the Housing Impact Fee currently in place in the City of San Diego.  During the November 2010 LU&H meeting, the need for broader public review and input was discussed and the SDHC staff was instructed to provide an opportunity for the general public to review the proposed recommendations and to provide written comments that will be included in the March 2011 report to LU&H.

The City of San Diego Housing Impact Fee was established in 1990 to address the affordable housing demand created by non-residential development.  In 1996, during an economic turndown in San Diego, the City Council reduced the Housing Impact Fee by fifty percent (50%) and since that time, the fee has remained at those levels.

Recommendations & Alternatives for Review/Comment

To address the nexus between non residential development, job creation, and the need for affordable housing, while at the same time acknowledging the severity of the current economic situation in the region, the Housing Commission is recommending the following:

  1. Maintain current fees for two years (July 1, 2011 through June 30, 2013)
  2. Phase in fee increase using approved index UNLESS economy is not in recovery phase.
    1. Alternative:  Trigger increase based on regional employment trends, e.g., level of 2007 employment before any increase.  (Data source:  EDD)
  3. Future fee adjustments (increases/decreases) to be based on the Building Cost Index as published by Engineering News Record (ENR).  Linked closely to commercial construction costs, it is the index currently in place for Housing Impact Fee adjustments.  Further that the index be automatically applied, subject to review by City Council on an annual basis (as is done for the Inclusionary In Lieu Fee).
    1. Alternative:  Use the Housing affordability index for fee adjustments.  This alternative is currently used for the Inclusionary In Lieu Fee and is tied to housing affordability (based on what median household can afford vs. median housing cost).
  4. Revise ordinance to fund only rental housing development with Housing Impact Fee, until additional revenue sources are identified and approved.  At that point, revert to current ordinance language that includes funding of transitional housing, etc.

 

Please submit all comments no later than March 18, 2011 to:  John Nash, Director of Policy, San Diego Housing Commission; 1122 Broadway, Suite 300, San Diego California 92101 OR email to: johnn@sdhc.org

ALL WRITTEN COMMENTS RECEIVED WILL BE ACKNOWLEDGED AND INCLUDED IN REPORT.

Let's get you there…

I am looking for…