Loading...
HomeMy WebLinkAbout02 Housing ElementReport to the Planning Commission DATE: MAY 27, 2008 TO: PLANNING COMMISSION FROM: COMMUNITY DEVELOPMENT DEPARTMENT ITEM #2 SUBJECT: GENERAL PLAN AMENDMENT 08-001 (HOUSING ELEMENT UPDATE) AND MINOR TEXT AMENDMENT TO THE TUSTIN GENERAL PLAN ENVIRONMENTAL STATUS: A MITIGATED NEGATIVE DECLARATION HAS BEEN PREPARED IN ACCORDANCE WITH THE PROVISIONS OF THE CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) ARTICLE 6 OF CALIFORNIA CODE OF REGULATIONS, TITLE 14, CHAPTER 3. RECOMMENDATION 1. That the Planning Commission adopt Resolution No. 4094 recommending that the City Council adopt a Mitigated Negative Declaration for General Plan Amendment 08-001. 2. That the Planning Commission adopt Resolution No. 4095 recommending that the City Council approve General Plan Amendment 08-001, updating the Housing Element and minor text amendment to the General Plan. BACKGROUND The availability of housing and a suitable living environment for every family has been of increasing concern to all levels of government. In California, this concern is addressed by the California Government Code requirement that each City adopt a Housing Element as a mandatory part of its General Plan. State Planning Law requires that cities and counties update their Housing Element at least every five (5) years. This Housing Element Update addresses that requirement. Housing Element Update May 27, 2008 Page 2 of 3 DISCUSSION Purpose of the Housing Element The purpose of the Housing Element is to assure that the City: 1) recognize its responsibility in contributing to the attainment of State housing goals; 2) prepare and implement the housing element toward attainment of State housing goals; 3) determine efforts that are required to contribute to the attainment of State Housing goals; and 4) ensure that the City cooperates with other local governments to address regional housing needs. In general, the Housing Element sets forth the City's strategy to: • Preserve and enhance the community's character; • Expand housing opportunities for the City's various economic segments; and • Provide the policy guidance for local decision making related to housing. Housing Element Content The City's Housing Element addresses the following topical areas: 1. Summary of Issues, Needs, Constraints, and Opportunities 2. Identification of Goals and Policies 3. Implementation Programs 4. Review of Previous Policies, Programs, and Objectives The Summary of Issues, Needs, Constraints, and Opportunities section summarizes Tustin's current and projected housing needs to form the basis for establishing program priorities and quantified objectives in the Housing Element. The Identification of Goals and Policies section contains the goals and policies the City intends to implement to address a number of housing -related issues. The Implementation Program section provides specific actions the City intends to undertake to achieve the established goals and policies. This section identifies quantified objectives, available financial resources and affordable housing resources, and provides a list of specific programs the City intends to pursue. The Review of Previous Policies, Programs, and Objectives section provides a summary of the City's previous policies, programs, and objectives. This allows the City to assess its past performance and provide evaluation of efforts in meeting the identified goals and objectives. Housing Element Update May 27, 2008 Page 3 of 3 The Housing Element Technical Memorandum is an accompanying document that provides background information and supporting documentation to the Housing Element. Minor Text Amendment In conjunction with the Housing Element update, a minor text amendment to the City of Tustin General Plan is also proposed. The minor text amendment proposed includes clean up items and minor text amendments as shown in Attachment C. Environmental Review Pursuant to the California Environmental Quality Act (CEQA) Guidelines Section 15063, the City of Tustin has completed an Initial Study and prepared a Mitigated Negative Declaration. Since the majority of the development of new housing units would take place at the Tustin Legacy, the Initial Study incorporates the analysis and applicable mitigation measures contained in the Program Final Environmental Impact Statement/Environmental Impact Report (FEIS/EIR) for the reuse and disposal of MCAS Tustin. The Initial Study determines that effects associated with the proposed housing element were adequately evaluated in the FEIS/EIR, that no new effects would occur, that no substantial increase in the severity of previously identified significant effects would occur, that no new mitigation measures would be required, that no applicable mitigation measures previously not found to be feasible would in fact be feasible, and that there are no new mitigation measures or alternatives applicable to the project that would substantially reduce effects of the project that have not been considered and adopted. Moreover, no new information of substantial importance has surfaced since certification of the FEIS/EIR and Addendum. The Initial Study prepared for this project is included as Exhibit A of Resolution No. 4094 (Attachment A). The draft Mitigated Negative Declaration was made available for public review from May 8, 2008, to June 9, 2008. No comments were received to date. SeniorIfir" X41, Planner Elizabeth A. Binsack Community Development Director Attachments: A. Planning Commission Resolution No. 4094 B. Planning Commission Resolution No. 4095 C. Minor Text Amendment to the Tustin General Plan SiCdd1PCREPORT120081GPA 08-001 (houeirg okment update 2ODS).doc ATTACHMENT A Planning Commission Resolution No. 4094 RESOLUTION NO. 4094 A RESOLUTION OF THE CITY OF TUSTIN PLANNING COMMISSION RECOMMENDING THAT THE CITY COUNCIL ADOPT A MITIGATED NEGATIVE DECLARATION PURSUANT TO THE CALIFORNIA ENVIRONMENTAL QUALITY ACT FOR GENERAL PLAN AMENDMENT 08-001 (HOUSING ELEMENT UPDATE). The Planning Commission of the City of Tustin does hereby resolve as follows: I. The Planning Commission finds and determines as follows: A. Implementation of the Housing Element Update's goals includes proposed housing development within the MCAS -Tustin Reuse Plan area and infill areas outside the Reuse Plan area throughout the City. Since the majority of future housing units described in the Housing Element Update would be located within the MCAS -Tustin Reuse Plan area, an Initial Study was prepared to determine if impacts to the environment of such housing were analyzed and addressed in the previously approved Final EIS/EIR for the Disposal and Reuse of the MCAS Tustin (Program EIS/EIR for MCAS - Tustin); B. That on January 16, 2001, the City of Tustin certified the Program Final Environmental Impact Statement/Environmental Impact Report (FEIS/EIR) for the reuse and disposal of MCAS Tustin. On April 3, 2006, the City Council adopted Resolution No. 06-43 approving an Addendum to the Final Environmental Impact Statement/Environmental Impact Report for the Disposal and Reuse of MCAS Tustin. C. The FEIS/EIR and its Addendum is a program EIR under the California Environmental Quality Act ("CEQA"). The FEIS/FEIR and its Addendum considered the potential environmental impacts associated with development on the former Marine Corps Air Station, Tustin; D. Pursuant to California Environmental Quality Act (CEQA) Guidelines Section 15063, the City of Tustin has completed an Initial Study and determined that all effects associated with the implementation of the Housing Element Update were evaluated in the Program EIS/EIR for MCAS Tustin, that no new effects would occur, that no substantial increase in the severity of previously identified significant effects would occur, that no new mitigation measures would be required, that no applicable mitigation measures previously not found to be feasible would in fact be feasible, and that there are no new mitigation measures or alternatives applicable to the project that would substantially reduce effects of the project that have not been considered and adopted. II. The Planning Commission of the City of Tustin does hereby find that the proposed project is within the scope of the Final EIS/EIR for the Disposal and Resolution No. 4094 Page 2 Reuse of MCAS Tustin (Program EIS/EIR for MCAS -Tustin), an EIR approved from earlier project, and that the Program EIS/EIR for MCAS -Tustin adequately describes the general environmental setting of the Housing Element Update, the significant environmental impacts of the implementation of the Housing Element Update, and aitematives and mitigation measures related to each significant effect. III. The Planning Commission of the City of Tustin recommends that the Tustin City Council adopt a Mitigated Negative Declaration incorporating herein by reference of all applicable mitigation measures identified in the Program EIS/EIR for MCAS -Tustin. PASSED AND ADOPTED at a regular meeting of the Tustin Planning Commission held on the 27th day of May, 2008. JOHN NIELSEN Chairperson ELIZABETH A. BINSACK Planning Commission Secretary STATE OF CALIFORNIA) COUNTY OF ORANGE ) CITY OF TUSTIN ) I, ELIZABETH A. BINSACK, the undersigned, hereby certify that I am the Recording Secretary of the Planning Commission of the City of Tustin, California; that Resolution No. 4094 passed and adopted at a regular meeting of the Tustin Planning Commission, held on the 27th day of May, 2008. ELIZABETH A. BINSACK Planning Commission Secretary City of Tustin Community Development Department 300 Centennial Way Tustin, CA 92780 IMITiAL STUDY FOM CITY OF TUST/N HOUSING ELEMENT UPDATE CITY OF TUST/N Contact : Elizabeth A Binsack Director Community Development Department Contact: Justin Willkom Senior Planner APRIL 2006 Table of Contents Section Page 1. BACKGROUND 1.1 PROJECT LOCATION....................................................................................................................1 1.2 ENVIRONMENTAL SETTING.........................................................................................................1 1.3 PROJECT DESCRIPTION..............................................................................................................5 1.4 CITY ACTION REQUIRED..............................................................................................................6 2. ENVIRONMENTAL CHECKLIST 2.1 ENVIRONMENTAL FACTORS POTENTIALLY AFFECTED............................................................7 2.2 DETERMINATION: (To Be Completed By The Lead Agency)......................................................7 2.3 EVALUATION OF ENVIRONMENTAL IMPACTS............................................................................8 2.4 REFERENCES................................................................................................................................9 3. ENVIRONMENTAL ANALYSIS 3.1 AESTHETICS...............................................................................................................................18 3.2 AGRICULTURE RESOURCES.....................................................................................................19 3.3 AIR QUALITY................................................................................................................................21 3.4 BIOLOGICAL RESOURCES.........................................................................................................23 3.5 CULTURAL RESOURCES............................................................................................................25 3.6 GEOLOGY AND SOILS................................................................................................................28 3.7 HAZARDS AND HAZARDOUS MATERIALS................................................................................31 3.8 HYDROLOGY AND WATER QUALITY.........................................................................................34 3.9 LAND USE AND PLANNING........................................................................................................39 3.10 MINERAL RESOURCES...............................................................................................................40 3.11 NOISE..........................................................................................................................................41 3.12 POPULATION AND HOUSING.....................................................................................................45 3.13 PUBLIC SERVICES......................................................................................................................46 3.14 RECREATION...............................................................................................................................49 3.15 TRANSPORTATION/TRAFFIC......................................................................................................50 3.16 UTILITIES AND SERVICE SYSTEMS...........................................................................................53 3.17 MANDATORY FINDINGS OF SIGNIFICANCE.............................................................................56 List of Figures Flaure Page FIGURE 1 REGIONAL LOCATION................................................................................................................ 4 List of Tables Table Page TABLE 1 NOISE LEVELS GENERATED BY TYPICAL CONSTRUCTION EQUIPMENT ............................. 44 City of Tustin • Page i 1. Background This Initial Study has been prepared to evaluate the potential environmental effects associated with the adoption of the City of Tustin Housing Element Update (Housing Element Update) and minor text amendments. This is a revision to the Housing Element that is required by Government Code Section 65588 (b). This analysis has been conducted in compliance with the California Environmental Quality Act (CEQA) and Guidelines, as amended. 1.1 PROJECTLOCATION The Regional Location Map (Figure 1) shows the location of the City of Tustin within the context of the Orange County region. Tustin is located in Central Orange County and is bordered by a developed unincorporated portion of Orange County (North Tustin) to the north, the City of Orange to the northwest, Santa Ana to the west and southwest, Irvine to the south, southeast, and east. The 55 Freeway forms the majority of the City's western boundary, the 1-5 transects the southwestern area of the City, and the Eastern Transportation corridor parallels the City's eastern border. 1,2 ENVIRONMENTAL SETT/NG 1.2.1 Existing Land Use The City of Tustin is developed with a mix of commercial, industrial, and residential uses. The growth trends in Tustin show significant population increases in the 1980s, followed by a slower rate of growth in the 1990s. From 1980 to 1990, the City's population increased from 36,119 to 50,689 (40.3 percent). The City's growth rate between 2000 and 2007 was slightly slower than the countywide growth rate but faster than surrounding cities. Recent projections cited in the Comprehensive Affordable Housing Strategy indicate that the City's population will increase by an annual rate of 2.6% during this Housing Element Implementation period. In 2007, the City's estimated population of 75,542 represented 2.34 percent of the County's total population. The California Department of Finance (DOF) estimated that in January 2007, 24,787 households existed in Tustin, and the average household size was 2.91 persons. Based on data derived from the Orange County Register, the median value for the owner -occupied units in the City is $493,125, which is slightly lower than the County as a whole, where the median value is $506,000. Overall, median resale home prices for zip codes in the City of Tustin ranged from $416,250 to $570,000. According to RealFacts (a database publisher specializing in the housing market), the average rent for the City of Tustin was $1,528 in March 2008. Tustin has a high percentage of multi -family units compared to other Orange County communities. Approximately 49 percent of the housing stock is comprised of single-family attached/detached units while 51 percent of the housing stock consists of multi -family units. Additionally, Tustin has a proportionally higher amount of renters than owners. In 2000, 49.6 percent of the housing stock was owner -occupied and 50.4 percent was renter -occupied. According to Table H-12 of the Housing Element Update, 399.14 acres of vacant land exists in the City of Tustin, while another 74.37 acres of land are underutilized. Based on established land use densities, this offers a potential for 30,984 total housing units on these properties at buildout capacity. Of the 399.14 acres of vacant land, 389.2 acres are located at the former MCAS -Tustin and 9.94 acres are located generally in infill neighborhoods. The 74.37 acres of underutilized land are located generally in the Old Town area and Tustin High school and other underutilized land through out the City. City of Tustin • Page 1 1. Background The City of Tustin is required, per California Housing Element law, to meet its "fair share" of existing and future housing needs for all income groups. As determined by the Southern California Association of Governments (SCAG), Tustin's "fair share" is 2,380 additional units for the 2006-2014 planning period. Based on the analysis of vacant land and underutilized land within the City, the majority of the required housing units would be provided at Tustin Legacy, also known as the former Marine Corps Air Station (MCAS) Tustin. Other housing units would be provided through infill developments within the rest of the City. Tustin Leaacv (former MCAS -Tustin Tustin Legacy is that portion of the former Marine Corps Air Station (MCAS) Tustin within the City of Tustin corporate boundaries. Owned and operated by the Navy and Marine Corps for nearly 60 years, approximately 1,585 gross acres of property at MCAS Tustin were determined surplus to federal government needs and the base was officially closed in July 1999. The majority of the Tustin Legacy lies within the southern portion of the City of Tustin. The remaining approximately 73 acres lies within the City of Irvine. On January 16, 2001, the City Council adopted a General Plan Amendment to change the City's land use designation for MCAS -Tustin from Military and Public/Institutional to the MCAS Tustin Specific Plan. The Specific Plan area is generally bounded by Edinger Avenue to the north, Harvard Avenue to the east, Barranca Parkway to the south, and Red Hill Avenue to the west. A Final Joint Environmental Impact Statement/Environmental Impact Report (FEIS/EIR) for the Disposal and Reuse of Marine Corps Air Station (MCAS) Tustin and Mitigation Monitoring and Reporting Program for the EIS/EIR was prepared by the City of Tustin and the Department of the Navy (DoN) in accordance with the California Environmental Quality Act (CEQA) and the National Environmental Policy (NEPA). The FEIS/EIR analyzed the environmental consequences of the Navy disposal and local community reuse of the MCAS Tustin site per the Reuse Plan and the MCAS Tustin Specific Plan/Reuse Plan. The CEQA analysis also analyzed the environmental impacts of certain "Implementation Actions" that the City of Tustin and City of Irvine must take to implement the MCAS Tustin Specific Plan/Reuse Plan. The FEIS/EIR and Mitigation Monitoring and Reporting Program were adopted by the Tustin City Council on January 16, 2001. The DoN published its Record of Decision (ROD) on March 3, 2001. On April 3, 2006, the City Council adopted Resolution No. 06-43 approving an Addendum to the FEIS/EIR. Infill develo mp ents The infill developments consist of utilizing vacant and underutilized land in other areas of City. The areas include infill neighborhoods primarily in the Old Town area, the existing Tustin High school site and scattered infill neighborhoods elsewhere in the City (Figure 1 of the Housing Element Update). Circumstances surrounding the implementation of the Housing Element Update at the MCAS -Tustin and in the infill sites are essentially the same. In general, these similar circumstances can be summarized as follows: 15 Housing units at MCAS -Tustin would be developed in an urban setting involving mixed land uses, similar to infill development in other areas of the City; City of Tustin • Page 2 1. Background • Development of housing units at MCAS -Tustin and infill sites will be required to comply with the City's and State's existing regulations pertaining to air quality, noise, water quality, construction standards, etc. • Both MCAS -Tustin areas and infill sites will be served by the same utility providers and will utilize the same utility system; • Both MCAS -Tustin areas and infill sites will be served by the same public service agencies such as Orange County Fire Authority, Tustin Police Department, Tustin Parks and Recreation Department, etc.; • Children in MCAS -Tustin and infill sites of Tustin would attend Tustin Unified and Irvine Unified schools; • Residents from MCAS -Tustin and infill sites would utilize existing and future parks and recreational facilities available to all City residents; etc. City of Tustin • Page 3 1. Background Figure 1 Regional Location. City of Tustin * Page 1. Background 1.2.2 Surrounding Land Use The City is located in a mature area with a mix of land uses. The surrounding cities of Santa Ana, Orange, unincorporated County of Orange, and Irvine contain a mix of residential, commercial, industrial, and open space uses. 1,3 PROJECT mscmpnoN 1.3.1 Proposed Project The Housing Element is one of the seven General Plan Elements mandated by the State of California, as articulated in Sections 65580 to 65589.8 of the Government Code. State Law requires that the Housing Element consist of "an identification and analysis of existing and projected housing needs and a statement of goals, policies, quantified objectives, and scheduled programs for the preservation, improvement and development of housing." The residential character of the City is, to a large extent, determined by the variety of its housing stock, its location and physical condition. The Housing Element is, therefore, an official municipal response to the need to provide housing for all economic segments of the population. The City of Tustin's General Plan Housing Element and this Housing Element Update detail the City's strategy for enhancing and preserving the community's character, sets forth strategies for expanding housing opportunities for the City's various economics segments, and provides the primary policy guidance for local decision-making related to housing. The Housing Element Update provides the implementation strategies for addressing the housing needs of Tustin residents through the 2006-2014 planning period. As described in Section 1.2.1, the majority of the housing units required by the Housing Element Update would be provided at the MCAS -Tustin. Other units would be provided through scattered infill developments within the City. As a result, the initial study prepared for the Housing Element Update focuses primarily on the MCAS -Tustin Specific Plan area. This is because the circumstances of the MCAS -Tustin project studied in the Program EIS/EIR and the Housing Element Update project are essentially the same. The Final EIS/EIR for the Disposal and Reuse of MCAS -Tustin is a Program EIS/EIR for MCAS -Tustin that was certified by the City Council on January 16, 2001. The DoN published its Record of Decision (ROD) on March 3, 2001. On April 3, 2006, the City Council adopted Resolution No. 06-43 approving an Addendum to the FEIS/EIR (herein after referred to as Program EIS/EIR for MCAS - Tustin). The Program EIS/EIR for MCAS -Tustin discusses impacts related to the implementation of the Specific Plan and is incorporated in the initial study by this reference. A copy of the Program EIS/EIR for MCAS -Tustin and its addendum are available for public review at the City of Tustin Community Development Department located at 300 Centennial Way, Tustin, California 92780. The Housing Element Update provides in-depth analysis of the City's population, economic, household, and household stock characteristics as required by State Law. The Element also provides a comprehensive evaluation of programs and regulations related to priority goals, objectives, and program actions that directly address the needs of Tustin residents. The Housing Element Update is only one facet of the City's overall planning program. The California Government Code requires that General Plans contain an integrated, consistent set of goals and policies. The Housing Element is, therefore, affected by development policies contained in other elements of the General Plan. In addition to the Housing Element Update, minor text amendments to the General Plan are also proposed. City of Tustin • Page 5 1. Background 1.3.2 Project Phasing The Housing Element Update addresses the 2006-2014, a seven and a half-year timeframe, consistent with the Regional Housing Needs Assessment (RHNA) planning period. 1.3.3 Purpose of Initial Study As discussed in Section 1.1 (Project Location) most of the development of new housing units would take place at the former MCAS -Tustin. The purpose of the initial study is to determine whether the Program EIS/EIR for MCAS -Tustin would adequately describe the project's general environmental setting, significant environmental impacts, project alternatives, and mitigation measures related to each significant impact. The initial study is also designed to determine whether there are any additional, reasonable alternatives or mitigation measures that should be considered as ways of avoiding or reducing the project's significant effects. The City of Tustin is close to its build -out capacity. Opportunities to meet its "fair share" to build an additional 2,380 housing units in the City largely depend on the availability of the former MCAS -Tustin land. This land is the only significant area of vacant and underutilized land that is available in the City to accommodate a large number of housing units. Other vacant lands identified are infill sites scattered throughout the City. The Program EIS/EIR for MCAS -Tustin identified several impact categories where significant impacts to the environment could not be mitigated to an insignificant level, and accordingly a Statement of Overriding Considerations was adopted by the City of Tustin for approval of the General Plan Amendment on January 16, 2001. For the purpose of this initial study, an evaluation has been made to ensure that impacts previously identified relating to this project have not been intensified. The Program EIS/EIR for MCAS -Tustin also identified several impact categories where impacts could be lessened to a level of insignificance with the imposition of mitigation measures. Each of these impact categories were analyzed to determine if new impacts associated with the project would occur that were not identified in the Program EIS/EIR. Impact categories not identified to have a potential impact in the Program EIS/EIR for MCAS -Tustin have been reviewed and identified in the initial study to determine if the project would create any additional or new significant impacts which were not considered by the Program EIS/EIR for MCAS -Tustin. 1.4 C/TYACr/ON REQUIRED The proposed action is the adoption of the Housing Element Update of the City's General Plan (the "Housing Element Update") and minor text amendments to the General Plan. City of Tustin # Page 6 2. Environmental Checklist 2.1 ENVIRONMENTAL FACTORS POTENT/ALLY AFFECTED The environmental factors checked below would be potentially affected by this project, involving at least one impact that is a "Potentially Significant Impact," as indicated by the checklist on pages 9 through 15. ❑ Aesthetics ❑ Agricultural Resources ❑ Air Quality ❑ Biological Resources ❑ Cultural Resources ❑ Geology / Soils ❑ Hazards & Hazardous Materials ❑ Hydrology / Water Quality ❑ Land Use / Planning ❑ Mineral Resources ❑ Noise ❑ Population / Housing ❑ Public Services ❑ Recreation ❑ Transportation / Traffic ❑ Utilities / Service Systems ❑ Mandatory Findings of Significance 2.2 DETERMINATION., (To Be Completed By The Lead Agency) On the basis of this initial evaluation, I find that: 1-1 The proposed project COULD NOT have a significant effect on the environment, and a NEGATIVE DECLARATION will be prepared. ZAlthough the proposed project could have a significant effect on the environment, there will not be a significant effect in this case because revisions in the project have been made by or agreed to by the project proponent. A MITIGATED NEGATIVE DECLARATION will be prepared. The proposed project MAY have a significant effect on the environment, and an ENVIRONMENTAL IMPACT REPORT is required. 1-1 Although the proposed project could have a significant effect on the environment, because all potentially significant effects (a) have been analyzed adequately in an earlier EIR pursuant to applicable standards and (b) have been avoided or mitigated pursuant to that earlier EIR, including revisions or mitigation measures that are imposed upon the project, nothing further is required. F] Pursuant to Section 15164 of the CEQA Guidelines, an EIR has been prepared earlier and only minor technical changes or additions are necessary to make the previous EIR adequate, and these changes do not raise important new issues about the significant effects on the environment. An ADDENDUM to the EIR shall be prepared. F] Pursuant to Section 15164 of the CEQA Guidelines, and EIR has been prepared earlier; however, subsequent proposed changes in the project and/or new information of substantial importance will cause one or more significant effects no previously discussed. A SUBSEQUENT EIR shall be prepared. Signature Date Elizabeth A. Binsack Printed name City of Tustin . page 7 2. Environmental Checklist 2.3 EVALUATION OF ENVIRONMENTAL IMPACTS A brief explanation is required for all answers except "No Impact" answers. The environmental checklist on pages 9-15 is the starting point of the analysis. A "No Impact" answer is adequately supported if the referenced information sources show that the impact simply does not apply to projects like the one involved (e.g. the project falls outside a fault rupture zone). A "No Impact' answer is explained where it is based on project -specific factors, as well as general standards (e.g. the project would not expose sensitive receptors to pollutants, based on a project -specific screening analysis). All answers take account of the whole action involved, including off-site and on-site, cumulative and project -level, indirect and direct, and construction and operational impacts. Once the lead agency has determined that a particular physical impact may occur, then the checklist answers must indicate whether the impact is potentially significant, less than significant with mitigation, or less than significant. "Potentially Significant Impact" is appropriate if there is substantial evidence that an effect may be significant. If there are one or more "Potentially Significant Impact" entries when the determination is made, an EIR is required. In this case, the Program EIS/EIR for MCAS -Tustin has been reviewed to determine if it is adequate for this project. Earlier analyses may be used for subsequent activities if the effects of the project have been adequately analyzed in a program EIR. In this case, a brief discussion should identify the following: Earlier Analysis Used. Identify and state where they are available for review. Impacts Adequately Addressed. Identify which effects from the above checklist were within the scope of and adequately analyzed in an earlier document pursuant to applicable legal standards, and state whether such effects were addressed by mitigation measures based on the earlier analysis. Mitigation Measures. For effects that are "Less than Significant with Mitigation Measures Incorporated," describe the mitigation measures which were incorporated or refined from the earlier document and the extent to which they address site-specific conditions for the project. Lead agencies are encouraged to incorporate into the checklist references to information sources for potential impacts (e.g. general plans, zoning ordinances). Reference to a previously prepared or outside document should, where appropriate, include a reference to the page or pages where the statement is substantiated. A source list should be attached, and other sources used or individuals contacted should be cited in the discussion. Supporting Information Sources. A source list should be attached, and other sourcesused or individuals contacted should be cited in the discussion. City of Tustin • Page 8 2. Environmental Checklist New More No Substantial Significant Severe Change From Impact Impacts Previous Analysis I. AESTHETICS — Would the project: a) Have a substantial adverse effect on a scenic vista? ❑ ❑ b) Substantially damage scenic resources, including, but not limited to, trees, rock outcroppings, and historic buildings within a state scenic 11 ❑ highway? c) Substantially degrade the existing visual character or quality of the 11 Elsite and its surroundings? ED d) Create a new source of substantial light or glare which would adversely affect day or nighttime views in the area? ❑ ❑ H. AGRICULTURE RESOURCES: In determining whether impacts to agricultural resources are significant environmental effects, lead agencies may refer to the California Agricultural Land Evaluation and Site Assessment Model (1997) prepared by the California Dept. of Conservation as an optional model to use in assessing impacts on agriculture and farmland. Would the project: a) Convert Prime Farmland, Unique Farmland, or Farmland of Statewide Importance (Farmland), as shown on the maps prepared pursuant to the Farmland Mapping and Monitoring Program of the California Resources Agency, to non-agricultural use? ❑ ❑ b) Conflict with existing zoning for agricultural use, or a Williamson Act contract? ❑ ❑ EJ c) Involve other changes in the existing environment which, due to their location or nature, could result in conversion of Farmland, to non- ❑ ❑ agricultural use? III. AIR OUALITY: Where available, the significance criteria established by the applicable air quality management or air pollution control district may be relied upon to make the following determinations. Would the project: a) Conflict with or obstruct implementation of the applicable air quality plan? ❑ ❑ b) Violate any air quality standard or contribute substantially to an existing or projected air quality violation? ❑ ❑ c) Result in a cumulatively considerable net increase of any criteria pollutant for which the project region is non -attainment under an applicable federal or state ambient air quality standard (including releasing emissions which exceed quantitative thresholds for ozone precursors)? ❑ ❑ City of Tustin • Page 9 2. Environmental Checklist New More No Substantial Significant Severe Change From Impact Impacts Previous Analysis d) Expose sensitive receptors to substantial pollutant concentrations? e) Create objectionable odors affecting a substantial number of people? ❑ ❑ IV. BIOLOGICAL RESOURCES: - Would the project: a) Have a substantial adverse effect, either directly or through habitat modifications, on any species identified as a candidate, sensitive, or special status species in local or regional plans, policies, or regulations, or by the California Department of Fish and Game or U.S. Fish and ❑ ❑ Wildlife Service? b) Have a substantial adverse effect on any riparian habitat or other sensitive natural community identified in local or regional plans, policies, regulations or by the California Department of Fish and Game ❑ ❑ 23 or U.S. Fish and Wildlife Service? c) Have a substantial adverse effect on federally protected wetlands as defined by Section 404 of the Clean Water Act (including, but not limited to, marsh, vernal pool, coastal, etc.) through direct removal, ❑ ❑ filling, hydrological interruption, or other means? d) Interfere substantially with the movement of any native resident or migratory fish or wildlife species or with established native resident or migratory wildlife corridors, or impede the use of native wildlife ❑ ❑ nursery sites? e) Conflict with any local policies or ordinances protecting biological resources, such as a tree preservation policy or ordinance? ❑ ❑ f) Conflict with the provisions of an adopted Habitat Conservation Plan, Natural Community Conservation Plan, or other approved local, ❑ ❑ regional, or state habitat conservation plan? V. CULTURAL RESOURCES: - Would the project: a) Cause a substantial adverse change in the significance of a ❑ ❑ historical resource as defined in § 15064.5? b) Cause a substantial adverse change in the significance of an ❑ ❑ archaeological resource pursuant to § 15064.5? c) Directly or indirectly destroy a unique paleontological resource or ❑ ❑ site or unique geologic feature? d) Disturb any human remains, including those interred outside of ❑ ❑ formal cemeteries? City of Tustin • Page 10 2. Environmental Checklist New More No Substantial VI. GEOLOGY AND SOILS: - Would the project: Significant Severe Change From Impact Impacts Previous a) Expose people or structures to potential substantial adverse effects, Analysis including the risk of loss, injury, or death involving: i) Rupture of a known earthquake fault, as delineated on the ❑ ❑ most recent Alquist-Priolo Earthquake Fault Zoning Map issued by the State Geologist for the area or based on other substantial evidence of a known fault? Refer to Division of Mines and Geology Special Publication 42. ii) Strong seismic ground shaking? ❑ ❑ EJ iii) Seismic -related ground failure, including liquefaction? ❑ ❑ iv) Landslides? ❑ ❑ b) Result in substantial soil erosion or the loss of topsoil? ❑ ❑ c) Be located on a geologic unit or soil that is unstable, or that would become unstable as a result of the project, and potentially result in on - or off-site landslide, lateral spreading, subsidence, liquefaction or ❑ ❑ collapse? d) Be located on expansive soil, as defined in Table 18-1-B of the Uniform Building Code (1994), creating substantial risks to life or ❑ ❑ property.' e) Have soils incapable of adequately supporting the use of septic tanks or alternative waste water disposal systems where sewers are not ❑ ❑ available for the disposal of waste water? VH.IIAZARDS AND HAZARDOUS MATERIALS: Would the project: a) Create a significant hazard to the public or the environment ❑ El ED through the routine transport, use, or disposal of hazardous materials? b) Create a significant hazard to the public or the environment through reasonably foreseeable upset and accident conditions involving ❑ ❑ the release of hazardous materials into the environment? c) Emit hazardous emissions or handle hazardous or acutely hazardous materials, substances, or waste within one-quarter mile of an existing or proposed school? ❑ ❑ d) Be located on a site which is included on a list of hazardous materials sites compiled pursuant to Government Code Section 65962.5 and, as a result, would it create a significant hazard to the public or the ❑ ❑ environment? e) For a project located within an airport land use plan or, where such a plan has not been adopted, within two miles of a public airport or public use airport, would the project result in a safety hazard for people ❑ ❑ residing or working in the project area? City of Tustin • Page 11 2. Environmental Checklist New More No Substantial Significant Severe Change From Impact Impacts Previous Analysis f) For a project within the vicinity of a private airstrip, would the ❑ ❑ project result in a safety hazard for people residing or working in the project area? g) Impair implementation of or physically interfere with an adopted ❑ ❑ emergency response plan or emergency evacuation plan? h) Expose people or structures to a significant risk of loss, injury or death involving wildland fires, including where wildlands are adjacent to urbanized areas or where residences are intermixed with wildlands? ❑ ❑ VIII HYDROLOGY AND WATER OUALITY: — Would the project: a) Violate any water quality standards or waste discharge ❑ ❑ requirements? b) Substantially deplete groundwater supplies or interfere substantially with groundwater recharge such that there would be a net deficit in aquifer volume or a lowering of the local groundwater table ❑ ❑ level (e.g., the production rate of pre-existing nearby wells would drop to a level which would not support existing land uses or planned uses for which permits have been granted)? c) Substantially alter the existing drainage pattern of the site or area, including through the alteration of the course of a stream or river, in a manner which would result in substantial erosion or siltation on- or off- ❑ Elsite? d) Substantially alter the existing drainage pattern of the site or area, including through the alteration of the course of a stream or river, or substantially increase the rate or amount of surface runoff in a manner ❑ ❑ which would result in flooding on- or off-site? e) Create or contribute runoff water which would exceed the capacity of existing or planned stormwater drainage systems or provide ❑ ❑ substantial additional sources of polluted runoff? f) Otherwise substantially degrade water quality? ❑ ❑ g) Place housing within a 100 -year flood hazard area as mapped on a federal Flood Hazard Boundary or Flood Insurance Rate Map or other El El Flood hazard delineation map? h) Place within a 100 -year flood hazard area structures which would ❑ ❑ impede or redirect flood flows? i) Expose people or structures to a significant risk of loss, injury or death involving flooding as a result of the failure of a levee or dam? ❑ ❑ j) Inundation by seiche, tsunami, or mudflow? ❑ ❑ City of Tustin • Page 12 2. Environmental Checklist New More No Substantial Significant Severe Change From Impact Impacts Previous Analysis IX. LAND USE AND PLANNING — Would the project: ❑ ❑ El a) Physically divide an established community? b) Conflict with any applicable land use plan, policy, or regulation of El an agency with jurisdiction over the project (including, but not limited to the general plan, specific plan, local coastal program, or zoning ordinance) adopted for the purpose of avoiding or mitigating an environmental effect? ❑ ❑ c) Conflict with any applicable habitat conservation plan or natural community conservation plan? X. MINERAL RESOURCES — Would the project: XH.POPULATION AND HOUSING — Would the project: a) Induce substantial population growth in an area, either directly (for ❑ ❑ example, by proposing new homes and businesses) or indirectly (for example, through extension of roads or other infrastructure)? City of Tustin • Page 13 ❑ ❑ ED a) Result in the loss of availability of a known mineral resource that would be of value to the region and the residents of the state? b) Result in the loss of availability of a locally -important mineral ❑ ❑ resource recovery site delineated on a local general plan, specific plan or other land use plan? XI. NOISE — Would the project result in: ❑ ❑ a) Exposure of persons to or generation of noise levels in excess of standards established in the local general plan or noise ordinance, or applicable standards of other agencies? ❑ ❑ b) Exposure of persons to or generation of excessive groundborne vibration or groundborne noise levels? ❑ ❑ c) A substantial permanent increase in ambient noise levels in the project vicinity above levels existing without the project? ❑ ❑ d) A substantial temporary or periodic increase in ambient noise levels in the project vicinity above levels existing without the project? e) For a project located within an airport land use plan or, where such a plan has not been adopted, within two miles of a public airport or ❑ ❑ public use airport, would the project expose people residing or working in the project area to excessive noise levels? f) For a project within the vicinity of a private airstrip, would the ❑ ❑ project expose people residing or working in the project area to excess noise levels? XH.POPULATION AND HOUSING — Would the project: a) Induce substantial population growth in an area, either directly (for ❑ ❑ example, by proposing new homes and businesses) or indirectly (for example, through extension of roads or other infrastructure)? City of Tustin • Page 13 2. Environmental Checklist XIII. PUBLIC SERVICES a) Would the project result in substantial adverse physical impacts associated with the provision of new or physically altered governmental facilities, need for new or physically altered governmental facilities, the construction of which could cause significant environmental impacts, in order to maintain acceptable service ratios, response times or other performance objectives for any of the public services: New More No Substantial Fire protection? Significant Severe Change From Police protection? Impact Impacts Previous Schools? ❑ ❑ Analysis b) Displace substantial numbers of existing housing, necessitating the ❑ ElOther construction of replacement housing elsewhere? ❑ ❑ c) Displace substantial numbers of people, necessitating the construction of replacement housing elsewhere? ❑ ❑ XIII. PUBLIC SERVICES a) Would the project result in substantial adverse physical impacts associated with the provision of new or physically altered governmental facilities, need for new or physically altered governmental facilities, the construction of which could cause significant environmental impacts, in order to maintain acceptable service ratios, response times or other performance objectives for any of the public services: City of Tustin • Page 14 n 10 Fire protection? ❑ ❑ Police protection? ❑ ❑ Schools? ❑ ❑ Parks? ❑ ElOther public facilities? XIV. RECREATION — a) Would the project increase the use of existing neighborhood and i'egioval parks or other recreational facilities such that substantial ❑ ❑ physical deterioration of the facility would occur or be accelerated? b) Does the project include recreational facilities or require the construction or expansion of recreational facilities which might have an ❑ ❑ adverse physical effect on the environment? XV. TRANSPORTATION/TRAFFIC — Would the project: a) Cause an increase in traffic which is substantial in relation to the existing traffic load and capacity of the street system (i.e. result in a ❑ ❑ substantial increase in either the number of vehicle trips, the volume to capacity ratio on roads, or congestion at intersections)? b) Exceed, either individually or cumulatively, a level of service ❑ ❑ standard established by the county congestion management agency for designated roads or highways? c) Result in a change in air traffic patterns, including either an ❑ ❑ increase in traffic levels or a change in location that results in substantial safety risks? d) Substantially increase hazards due to a design feature (e.g. sharp curves or dangerous intersections) or incompatible uses (e.g., farm ❑ ❑ equipment)? e) Result in inadequate emergency access? ❑ ❑ f) Result in inadequate parking capacity? ❑ ❑ City of Tustin • Page 14 2. Environmental Checklist New More No Substantial Significant Severe Change From Impact Impacts Previous Analysis g) Conflict with adopted policies, plans, or programs supporting El alternative transportation (e.g., bus turnouts, bicycle racks)? XVI. UTILITIES AND SERVICE SYSTEMS — Would the project: a) Exceed wastewater treatment requirements of the applicable Regional Water Quality Control Board? El 11 z b) Require or result in the construction of new water or wastewater treatment facilities or expansion of existing facilities, the construction of which could cause significant environmental effects? c) Require or result in the construction of new storm water drainage facilities or expansion of existing facilities, the construction of which could cause significant environmental effects? d) Have sufficient water supplies available to serve the project from existing entitlements and resources, or are new or expanded ❑ ❑ entitlements needed? e) Result in a determination by the wastewater treatment provider which serves or may serve the project that it has adequate capacity to serve the project's projected demand in addition to the provider's existing commitments? f) Be served by a landfill with sufficient permitted capacity to accommodate the project's solid waste disposal needs? g) Comply with federal, state, and local statutes and regulations related to solid waste? XVII. MANDATORY FINDINGS OF SIGNIFICANCE a) Does the project have the potential to degrade the quality of the environment, substantially reduce the habitat of a fish or wildlife species, cause a fish or wildlife population to drop below self- sustaining levels, threaten to eliminate a plant or animal community, reduce the number or restrict the range of a rare or endangered plant or animal or eliminate important examples of the major periods of California history or prehistory? b) Does the project have impacts that are individually limited, but cumulatively considerable? ("Cumulatively considerable" means that the incremental effects of a project are considerable when viewed in connection with the effects of past projects, the effects of other current F projects, and the effects of probable future projects)? c) Does the project have environmental effects which will cause substantial adverse effects on human beings, either directly or E-1 E indirectly? City of Tustin • Page 15 2. Environmental Checklist 2.4 REFERENCES ,No. Reference 1. City of Tustin General Plan, January 16, 2001. 2. City of Tustin Housing Element Update, 2008. 3. State Department of Finance, Population, and Housing Estimates, 2007. 4. Final Environmental Impact Statement/Environmental Impact Report (EIS/EIR) for the Disposal and Reuse of MCAS -Tustin (Program EIS/EIR for MCAS -Tustin), January 16, 2001 and its addendum. 5. Marine Corps Air Station (MCAS) Tustin Specific Plan/Reuse Plan, October 1996 and September 1998 Errata adopted by the City Council February, 2003 and its amendments. City of Tustin • Page 16 2. Environmental Checklist This page is intentionally lett blank. City of Tustin • Page 17 3. Environmental Analysis The previous Section 2.3 provided a checklist of environmental impacts. This section provides an evaluation of the impact categories and questions contained in the checklist, and identifies mitigation measures where applicable. Mitigation measures identified in the Program EIS/EIR for MCAS -Tustin shall be implemented through implementation of the Specific Plan for MCAS -Tustin. 3.1 AESTHETICS a) Have a substantial adverse effect on a scenic vista? b) Substantially damage scenic resources, Including, but not limited to, trees, rock outcroppings, and historic buildings within a state scenic highway? Development anticipated by the Housing Element Update would be located in mostly urbanized areas or areas that are planned to be urbanized that are not part of scenic vistas. No scenic vistas are located in the vicinity of any proposed development locations such as, infill developments identified in Table H -6A and Figure 1 of the Housing Element Update, and potential residential development at the Tustin Legacy. Further, the City of Tustin does not contain any City- or County - designated scenic highways. Therefore, implementation of the proposed project would not create significant impacts on scenic vista, scenic resources, and scenic highway. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-81 to 4-87) and Addendum (Pages 5-3 to 5- 7) c) Substantially degrade the existing visual character or quality of the site and its surroundings? The proposed project estimates up to 2,380 units for development. The majority of these housing units would be constructed within the Tustin Legacy (MCAS Tustin Specific Plan). As each component of the Specific Plan is developed, there would be visual contrast created as previously undeveloped land at the former MCAS -Tustin converts to urban uses or existing structures are demolished. The visual quality of the project sites would be improved through application of the specific urban design features such as landscaping, as development occurs. Mitigation Measure Vis -1 of the Program EIS/EIR for MCAS -Tustin would provide measures to reduce the potential visual impacts to a level of insignificance. Infill developments outside of the Tustin Legacy would be developed in accordance with the City's Land Use Element and development standards and would not create a demonstrable negative aesthetic effect to the City's visual qualities. With the City's existing Design Review process that requires specific findings for development compatibility with the surroundings, including height and bulk of the building, exterior materials and colors, landscaping, etc., it is not anticipated that future infill developments would create any significant visual impacts. No further mitigation measures would be required beyond those identified in the Program EIS/EIR for MCAS -Tustin, which are hereby incorporated by reference. City of Tustin • Page 18 3. Environmental Analysis Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-81 to 4-87) and its Addendum (Pages 5-3 to 5-7) d) Create a new source of substantial light or glare, which would adversely affect day or nighttime views in the area? New development in accordance with the City's Housing Element Update would create new sources of light and glare such as exterior lighting, lighting of streets and walkways, and interior lighting which could be visible from the outside. However, the development would not result in any impacts beyond those identified in the Program EIS/EIR for MCAS -Tustin. To minimize potential light and glare impacts for infill developments, future development would be required to comply with Tustin's Security Ordinance. In addition, the lights and glare shall be controlled through design controls and building materials restrictions as part of the City's existing Design Review process. The Design Review process requires specific findings to be made for development compatibility with its surroundings including exterior illumination. No further mitigation measures would be required beyond those identified in the Program EIS/EIR for MCAS -Tustin, which are hereby incorporated by reference. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-81 to 4-87) and its Addendum (Pages 5-3 to 5-7) 3.2 AGR/CULTURE RESOURCES a) Convert Prime Farmland, Unique Farmland, or Farmland of Statewide Importance (Farmland), as shown on the maps prepared pursuant to the Farmland Mapping and Monitoring Program of the California Resources Agency, to non-agricultural use? According to the Farmland Mapping and Monitoring Program, the City of Tustin had Prime Farmland located at the Tustin Legacy. The implementation of the MCAS Tustin Specific Plan would result in a significant adverse effect of converting prime agricultural land to a variety of urban uses. Approximately 289 acres of Prime Farmland would ultimately be developed with housing units. The Program EIS/EIR for MCAS -Tustin has provided detailed analysis of the alternatives and potential mitigation measures and concluded that the impact is unavoidable. Other available vacant or underutilized land within the City identified as potential land for residential developments are not zoned or used for agricultural uses. Therefore, no significant impacts to farmland resources would result from the development of these infill lands. The implementation of the Housing Element Update would potentially result in a significant impact of converting agricultural land to urban uses at the Tustin Legacy area. However, the implementation City of Tustin • Page 19 3. Environmental Analysis of the Housing Element Update would not result in any impacts beyond those identified in the Program EIS/EIR for MCAS -Tustin. No further mitigation measures would be required. Mitigation Measures/Monitoring Required: No mitigation measures were determined to be feasible for MCAS -Tustin. A Statement of Overriding Considerations was adopted. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-109 to 4-113) and Addendum (Pages 5-8 to 5-9) b) Conflict with existing zoning for agricultural use, or a Williamson Act contract? The City of Tustin General Plan does not include any land designated for agricultural use. Furthermore, there is no land zoned solely for agricultural purposes or covered by a Williamson Act contract in the City. The Williamson Act was adopted in 1965 and established a voluntary farmland conservation program which restricts contracted land to agricultural and/or open space uses for at least ten years. Landowners who enroll their lands would receive preferential tax treatment based on the actual use of the land for agricultural purposes, as opposed to the unrestricted market value. The previous interim agricultural uses at MCAS -Tustin have been discontinued since preparation of the Program EIS/EIR for MCAS -Tustin, nor are infill developments areas within the City under a Williamson Act contract. Mitigation Measures/Monitoring Required. No mitigation measures are necessary. Sources: Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-109 to 4-113) and Addendum (Pages 5-8 to 5-9) c) Involve other changes in the existing environment which, due to their location or nature, could result in conversion of Farmland, to non-agricultural use? The City of Tustin General Plan does not contain any land designated for agricultural use. Furthermore, there is no land zoned solely for agricultural purposes. Except for those impacts identified under Section 3.2 (a) above, there is no evidence or changes in the existing environment which, due to their location or nature, could result in conversion of Farmland, to non-agricultural use. Mitigation Measures/Monitoring Required: No mitigation measures are required. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-109 to 4-113) and Addendum (Pages 5-8 to 5-9) City of Tustin • Page 20 3. Environmental Analysis 3.3 A/R QUAL/TY a) Conflict with or obstruct implementation of the applicable air quality plan? b) Violate any air quality standard or contribute substantially to an existing or projected air quality violation? c) Result In a cumulatively considerable net increase of any criteria pollutant for which the project region Is non -attainment under an applicable federal or state ambient air quality standard (including releasing emissions that exceed quantitative thresholds for ozone precursors)? d) Expose sensitive receptors to substantial pollutant concentrations? The Housing Element Update identifies an assigned fair share growth in the City for 2,380 new housing units through 2014. According to the South Coast Air Quality Management District CEQA Air Quality Handbook, the air quality impacts of the development of 2,380 dwelling units would exceed the District's threshold of significance. New development would generate pollutant emissions due to new vehicle trips, use of construction equipment, and off-site power and natural gas generation. During the construction phases of individual development projects, construction vehicles and activities would also generate emissions. Air pollutant emissions associated with the project could occur over the short-term for demolition, site preparation and construction activities to support the proposed land use. In addition, emissions could result from the long-term operation of the completed development. • Short -Term Construction -Related Impacts Short-term emissions are those occurring during the construction phases of individual developments in the City. Air quality impacts may occur during the site preparation and construction activities required to prepare the proposed on-site land use. Major sources of emissions during this phase include exhaust emissions generated during demolition of an existing structure, site preparation and subsequent structure erection and fugitive dust generated as a result of soil disturbances during excavation activities. The Program EIS/EIR for MCAS -Tustin identifies impacts that would result from the construction of the housing units at the Reuse Plan area. To minimize these impacts, future development projects would be required to comply with specific construction control measures identified in mitigation measure AQ -1 and A42, if not already required by the SCAQMD Rule 403 related to wind entrainment of fugitive dust. These mitigation measures are incorporated herein. For infill developments, the City will require compliance with AQMD Rule 403 related to air quality construction control measures and the City's standard construction control measures (i.e. controlling construction parking to minimize traffic interference, providing temporary traffic control during construction activities to improve traffic flow, etc.). This would reduce air quality construction -related impacts to a less than significant level. City of Tustin • Page 21 3. Environmental Analysis • Long -Term Air Quality Impacts Long-term air quality impacts are those associated with the emissions produced from project - generated vehicle trips as well as from stationary sources related to the use of natural gas for heating and use of electricity for lighting and ventilation. The net increase in new development anticipated by the Housing Element Update is related to a change in the number of housing units and additional vehicle trips. Long-term emissions from mobile (vehicular) and stationary sources within the Reuse Plan area are identified in the Program EIS/EIR for MCAS -Tustin as significant and unavoidable. Mitigation measure AQ -4 related to individual development's Transportation Demand Management (TDM) plan would reduce the impact, but there are no feasible mitigation measures that will reduce the impact to a less -than -significant level. A statement of overriding consideration was adopted. Long-term emissions resulting from infill developments are insignificant if developed individually but could be significant cumulatively. These impacts shall be reduced through urban design planning as suggested in the CEQA Air Quality Handbook prepared by the South Coast Air Quality Management District (i.e. incorporation of bus turnouts, pedestrian friendly site design, provision for bike lanes, etc.). Through the City's Design Review process, these design measures shall be determined on a case-by-case basis as developments are proposed. Compliance with these measures would reduce impacts related to long-term emission to a less than significant level. • Consistency with South Coast Air Basin (SCAB) Air Quality Management Plan (AQMP) The City's measures related to air quality for infill development and development of the Tustin Legacy have been identified in the 2007 AQMP prepared by the SCAQMD. In summary, development anticipated by the Housing Element Update is in compliance with the growth projections in the City's Land Use and Circulation Elements. The implementation of the Housing Element Update would result in both short-term and long-term impacts. These impacts include construction -related impacts associated with clearing and grading of the site and construction of building and infrastructure and operational impacts attributable to air emissions from vehicular travel and generation of air contaminants by the development. These impacts would not result beyond those identified in the Program EIS/EIR for MCAS -Tustin. No further mitigation measures would be required beyond those identified in the Program EIS/EIR for MCAS -Tustin. Infill developments would be evaluated on an individual basis when the specific development is proposed. Such development must comply with the City's Design Review process and would be required to reduce potential impacts to a less than significant level. In addition, under CEQA, the degree of specificity required in an environmental review corresponds to the degree of specificity involved in the project (14 C.C.R. § 15146). Thus, an environmental analysis of the adoption of a general plan element will necessarily be much more general than an environmental review on a construction project. Mitigation Measures/Monitoring Required: No further mitigation measures would be required beyond those identified in the Program EIS/EIR for MCAS -Tustin, which are hereby incorporated by reference. City of Tustin • Page 22 3. Environmental Analysis Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-207 to 4-224) and Addendum (Pages 5-10 to 5-27) e) Create objectionable odors affecting a substantial number of people? Odors are one of the most obvious forms of air pollution to the general public. Odors can present significant problems for both the source and the surrounding community. Although offensive odors seldom cause physical harm, they can cause agitation, anger, and concern to the general public. Most people determine an odor to be offensive (objectionable) if it is sensed longer than the duration of a human breath, typically 2 to 5 seconds. The potential odors associated with the project are from the application of asphalt and paint during construction periods. These odors, if perceptible, are common in the environment and would be of very limited duration. In addition, due to their nature as residential housing units, no obnoxious odor would result from development of housing units identified in the Housing Element Update. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin 3.4 BIOLOGICAL RESOURCES a) Have a substantial adverse effect, either directly or through habitat modifications, on any species identified as a candidate, sensitive, or special status species In local or regional plans, policies, or regulations, or by the California Department of Fish and Game or U.S. Fish and Wildlife Service? b) Have a substantial adverse effect on any riparian habitat or other sensitive natural community Identified In local or regional plans, policies, regulations, or by the California Department of Fish and Game or U.S. Fish and Wildlife Service? d) Interfere substantially with the movement of any native resident or migratory fish or wildlife species or with established native resident or migratory wildlife corridors, or impede the use of native wildlife nursery sites? e) Conflict with any local policies or ordinances protecting biological resources, such as a tree preservation policy or ordinance? Q Conflict with the provisions of an adopted Habitat Conservation Plan, Natural Community Conservation Plan, or other approved local, regional or state habitat conservation plan? City of Tustin • Page 23 3. Environmental Analysis Biological resources include plant and animal species and the habitats or communities within which they occur. The implementation of the Housing Element Update consists of development within MCAS -Tustin and infill areas outside the MCAS -Tustin. Impacts associated with Biological Resources within the MCAS -Tustin area would occur at the construction phase for implementing the Reuse Plan development. In general, impacts can be summarized as follows: Vegetation Vegetation in the Reuse Plan can generally be categorized as low quality cultivated fields or non- native grassland. The agricultural fields on the former Air Station were regularly cultivated with row crops. Because of the agricultural and historic military uses, the cultivated fields and landscaped areas do not provide suitable habitat for rare plant species known from the region. In addition, the Program FEIS/EIR determined that replacement of the agricultural fields, non- native grassland, and ornamental landscaping with the development of housing units was not considered to be significant because of the low quality vegetation and past disturbances on the site. As such no mitigation measure related to vegetation is necessary. Wildlife, Sensitive, Threatened, and Endangered Wildlife Species Industrial, commercial, and residential land uses surrounding the Tustin Legacy and other vacant land area typically would limit a site's value. as wildlife habitat. The Program EIS/EIR for MCAS -Tustin identified Southwestern Pond Turtle, "species of special concern," within the MCAS boundary; however, based upon the analysis in the Program EIS/EIR, the sighting was found within areas identified for development of commercial and commercial businesses. Therefore, no impact to southwestern pond turtle habitat would result from the implementation of the Housing Element Update at the MCAS -Tustin. Nevertheless, Mitigation measures were included in the Program FEIS/EIR to require the relocation of the turtles and establishment of an alternative off-site habitat, and to require the applicant to obtain Section 404, Section 1601, and other permits as necessary for areas on the project site affecting jurisdictional waters of the U.S. or vegetated wetlands. Infill developments identified in Table H-17 of the Housing Element Update would occur in the urbanized area of the City. The properties are not located on any riparian habitat or other sensitive natural community. Therefore, it is not anticipated that the sites would contain endangered wildlife, protected riparian habitats, or any other biological resources. Mitigation Measures/Monitoring Required: No further mitigation measures would be required beyond those identified in the Program EIS/EIR for MCAS -Tustin, which are hereby incorporated by reference. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-103 to 4-107) and Addendum (Pages 5-28 to 5-39) City of Tustin • Page 24 3. Environmental Analysis c) Have a substantial adverse effect on federally protected wetlands as defined by Section 404 of the Clean Water Act (including, but not limited to, marsh, vernal pool, coastal, etc.) through direct removal, filling, hydrological Interruption, or other means? The development of housing units within the MCAS -Tustin Reuse Plan would have impacts to wetlands. The Reuse Plan is situated in the Tustin Plain, which is underlain by the Irvine groundwater basin. The site is situated in historic marshland which was filled over 60 years ago for cultivation. The Peters Canyon Channel, an unlined drainage channel, traverses the MCAS -Tustin area. The Program EIS/EIR identified impacts to jurisdictional waters total approximately 16.64 acres, including 13.88 acres of temporary impacts and 2.76 acres of permanent impacts. The Program EIS/EIR has identified mitigation measures to reduce impacts associated with jurisdictional waters and wetlands to a level of insignificance. These mitigation measures are incorporated herein. Infill development sites identified in Table H-17 of the Housing Element Update are not located on federally protected wetlands. As such, no impact would result from the development of the sites. In summary, the implementation of the Housing Element Update, particularly the development at the Tustin Legacy, would potentially create impacts to vegetated and seasonal wetlands. The Program EIS/EIR for MCAS -Tustin identifies wetland impact mitigation. There would not be any additional impacts beyond those identified in the Program EIS/EIR for MCAS -Tustin. Mitigation Measures/Monitoring Required: No further mitigation measures would be required beyond those identified in the Program EIS/EIR for MCAS -Tustin. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-103 to 4-107) and Addendum (Pages 5-28 to 5-39) 3.5 CULTURAL RESOURCES a) Cause a substantial adverse change In the significance of a historical resource as defined In §15064.5? Section 10564.5 defines historic resources as resources listed or determined to be eligible for listing by the State Historical Resources Commission, a local register of historical resources, or the lead agency. Generally a resource is considered to be "historically significant," if it meets one of the following criteria: Is associated with events that have made a significant contribution to the broad patterns of California's history and cultural heritage; ii. Is associated with the lives of persons important in our past; iii. Embodies the distinctive characteristics of a type, period, region, or method of construction, or represents the work of an important creative individual, or possesses high artistic values; or City of Tustin • Page 25 3. Environmental Analysis iv. Has yielded, or may be likely to yield, information important in prehistory or history (§15064.5) The majority of the construction of residential units described in the Housing Element Update would occur at Tustin Legacy. The Program FEIS/EIR identified two discontiguous eligible historic districts in which two hangars are located in Tustin Legacy as historic resources. Pursuant to Section 106, the State Historic Preservation, the Advisory Council on Historic Preservation, the Navy, the City of Tustin, and the County of orange executed a Memorandum of Agreement (MOA) that indentifies measures to mitigate the effects of the destruction of portions of the eligible historic district, including the hangars. If financially feasible for adaptive reuse, both blimp hangars would be preserved. However, if it is determined that it is not financially feasible to retain either of the hangars, removal of the hangars was determined to be a significant unavoidable impact pursuant to CEQA. There is no new technology or methods available to reduce the identified significant unavoidable project -specific and cumulative impacts to historical resources to a level considered less than significant. Therefore, these unavoidable project -specific and cumulative impacts also occur with development of housing units at Tustin Legacy. A Statement of Overriding Consideration for the FEIS/EIR was adopted by the Tustin City Council on January 16, 2001, to address potential significant unavoidable impacts to historical resources resulting from the removal of the historic resources. No substantial change is expected from the analysis previously completed in the FEIS/EIR for MCAS Tustin and Addendum. Infill developments may occur within the City's designated Cultural Resources Overlay District. Development within this district is required to comply with development standards in the Zoning Code, including a Design Review process in the District. The Design Review process requires specific findings to be made to ensure the proposed design is compatible and consistent with the City's Cultural Resources District design criteria and development standards. Compliance with the City's Design Review and Certificate of Appropriateness procedures would reduce potential impacts to a level of insignificance. Mitigation Measures/Monitoring Required: Applicable mitigation measures have been adopted by the Tustin City Council in the Program FEIS/EIR; these measures are incorporated herein. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-93 to 4-99) and Addendum (Pages 5-40 to 5-45) ' b) Cause a substantial adverse change In the significance of an archaeological resource pursuant to § 15064.5? Impacts to archeological sites are considered significant only if the sites themselves are deemed significant. .The majority of the housing development identified in the Housing Element Update would be located in the Tustin Legacy. To determine if there are any archeological sites located in the Tustin Legacy, various surveys were conducted. In summary, one archeological site was recorded but it is believed to have been destroyed. The State Historic Preservation Office (SHPO) has concurred with the assessment that the site has been adequately surveyed and the site has been considered to be insignificant due to its lack of integrity. Therefore, there would not be an adverse affect on the one known archeological resource in the Tustin Legacy. Grading activities at the Tustin Legacy, however, may uncover buried archeological resources. In this case, appropriate City of Tustin • Page 26 3. Environmental Analysis mitigation measures were identified in the Program EIS/EIR for MCAS -Tustin and are incorporated herein. Infill developments outside of the Tustin Legacy are located in the urbanized areas of the City. The City's General Plan does not identify the infill sites as sensitive areas and there are no known archeological resources exist in the infill sites. However, through City's standard procedures and policies, if buried archeological resources are found, certified archeologists would need to be retained to assess the site significance and perform appropriate mitigation. The implementation of Housing Element Update would not result in any impacts beyond those identified in the Program EIS/EIR for MCAS -Tustin. Mitigation Measures/Monitoring Required: No further mitigation measures would be required beyond those identified in the Program EIS/EIR for MCAS -Tustin. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-93 to 4-99) and Addendum (Pages 5-40 to 5-45) C) Directly or Indirectly destroy a unique paleontological resource or site or unique geologic feature? Development anticipated by the housing element would be located mostly in the Tustin Legacy. Grading in the Tustin Legacy may destroy geological deposits within which unique paleontological resources are buried. In anticipation of possible impacts to resources, a Paleontological Resources Management Plan (PRMP) has been prepared which would apply to any type of grading/development activity at the Reuse Plan. The Program EIS/EIR for MCAS -Tustin has incorporated mitigation measures to reduce potential impacts to less than significant levels by requiring certified paleontologists to be retained to assess the site significance of archeological resources and conduct salvage excavation of unique paleontological resources, if they are found. Infill developments would be located in the urbanized areas. The City's General Plan does not identify the infill sites as sensitive areas and there are no known paleontological resources exist in the infill sites. However, through City's standard procedures and policies, if buried paleontological resources are found, a certified paleontologist would need to be retained to assess the site significance and perform appropriate mitigation. The implementation of Housing Element Update would not result in any impacts beyond those identified in the Program EIS/EIR for MCAS -Tustin. Mitigation Measures/Monitoring Required: No further mitigation measures would be required beyond those identified in the Program EIS/EIR for MCAS -Tustin. Sources: Tustin City Code Tustin General Plan Housing Element Update City of Tustin • Page 27 3. Environmental Analysis Program EIS/EIR for MCAS -Tustin (Pages 4-93 to 4-99) and Addendum (Pages 5-40 to 5-45) d) Disturb any human remains, including those interred outside of formal cemeteries? Due to past agricultural uses at the Tustin Legacy and current urbanized character of the City, it is considered highly unlikely that any human remains would be uncovered due to the proposed project. For development in the Tustin Legacy, the Program EIS/EIR for MCAS -Tustin has incorporated mitigation measures to reduce potential impacts to less than significant levels by requiring a certified archeologist to be retained to assess the site significance of archeological resources and conduct salvage excavation if any human remains are found. Infill developments would be located in the urbanized areas. Although unlikely, grading of these sites may uncover human remains. If any human remains are found during grading, a qualified archaeologist would be required to assess the site significance and perform the appropriate mitigation. The implementation of the Housing Element Update would not result in any impacts beyond those identified in the Program EIS/EIR for MCAS -Tustin. Mitigation Measures/Monitoring Required: No further mitigation measures would be required beyond those identified in the Program EIS/EIR for MCAS -Tustin. Sources: Tustin City'Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin. (Pages 4-93 to 4-99) and Addendum (Pages 5-40 to 5-45) 3.6 GEOLOGYAND SO/LS a) Expose people or structures to potential substantial adverse effects, including the risk of loss, injury, or death Involving: Rupture of a known earthquake fault, as delineated on the most recent Alquist-Priolo Earthquake Fault Zoning map, issued by the State Geologist for the area or based on other substantial evidence of a known fault? Refer to Division of Mines and Geology Special Publication 42. ii. Strong seismic ground shaking? iii. Seismic -related ground failure, Including liquefaction? iv. Landslides? Geotechnical hazards that may affect the development of housing units within the Reuse Plan area and Infill areas are either related to seismic events or non -seismic events. Geotechnical hazards not related to earthquake activity include local settlement, regional subsidence, expansive soils, construction -related slope instability, erosion, landslides, and mudflows. Seismic hazards include City of Tustin • Page 28 3. Environmental Analysis surface default displacement, high-intensity ground shaking, ground failure, ground lurching, tsunami and seiches, and flooding attributable to dam failure after an earthquake. According to the City's General Plan, there are several unnamed faults within 10 to 45 miles of the City, mapped by the Division of Mines and Geology. The fault with the most potential for activity is the EI Modena Fault; however, it and all other faults are considered inactive. The City does not lie within the bounds of an "Earthquake Fault Zone," as defined by the State of California in the Alquist- Priolo Earthquake Fault Zoning Act. There are a number of faults in the southern California area which are considered active and which could have an effect on the site in the form of moderate to strong ground shaking, should they be the source of an earthquake. These include, but are not limited to: the San Andreas fault, the San Jacinto fault, the Whittier -Elsinore fault, the Chino fault and the Newport -Inglewood fault zone. The possibility of ground acceleration or shaking at the site may be considered as approximately similar to the southern California region as a whole. The Newport -Inglewood Fault (about 10 miles southwest of the City) would likely generate the most severe site ground motions. The Newport -Inglewood Fault would be capable of a maximum credible magnitude of 7.1. Estimated peak horizontal ground accelerations resulting from the above -stated maximum credible earthquakes on the Newport -Inglewood Fault are on the order of 0.43g. The duration of strong motion on the Newport -Inglewood Fault would be about 26 seconds for a 7.1 magnitude earthquake and about 11 seconds for a maximum probable earthquake of 5.9 magnitude. Since any areas in the City would be subject to strong ground shaking during major earthquakes, similar to other areas in California, any development that occurs would be required by City Ordinance to comply with seismic design parameters contained in the most current version of the Uniform Building Code for seismic zone 4, Title 24 of the California Building Code, and the standards of the Structural Engineers Association of California. Compliance with these existing building standards I is considered the best possible means of reducing seismic hazards. Therefore, no significant impacts are anticipated as a result of implementation of the Housing Element Update. Mitigation Measures/Monitoring Required: No mitigation measures are necessary Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-115 to 4-121) and Addendum (Pages 5-46 to 5-49) b) Result in substantial soil erosion or the loss of topsoil? Developments anticipated by the housing element are mostly located in the Tustin Legacy. The Program EIS/EIR for MCAS -Tustin identified the soils in the Tustin Legacy area as expansive, unstable, and subject to erosion. Grading within the Tustin Legacy could result in increased erosion rates, especially if grading is conducted in dry, but windy, summer weather. Such activities are required to comply with existing City regulations related to erosion and runoff control. Once an individual site is graded and landscaping vegetation is established, the erosion potential of the soils would be diminished to a level of insignificance. Therefore, the impact is considered less than significant. City of Tustin • Page 29 3. Environmental Analysis Infill areas outside the Tustin Legacy are relatively fiat and surface runoff would be similarly controlled by existing City regulations. Future developments would also be required to comply with Best Management Practices and other City regulations to minimize potential erosion and sedimentation impacts into City storm drains. In addition, development sites are required by City Code to be improved with landscaping which would reduce the potential for on-site erosion, after construction. No significant impacts are anticipated. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-115 to 4-121) and Addendum (Pages 5-46 to 5-49) c) Be located on a geologic unit or soil that Is unstable, or that would become unstable as a result of the project, and potentially result in on- or off-site landslide, lateral spreading, subsidence, liquefaction or collapse? Liquefaction describes a phenomenon in which cyclic stresses, produced by earthquake induced ground motion, create excess pore pressures in relatively cohesionless soils. This occurs in areas where the ground water table is within 50 feet of the ground surface. According to the City's General Plan, soils in Tustin are more susceptible to liquefaction in the southern portion of the City. The area north of the Santa Ana freeway is identified as being moderately susceptible. Soils in the foothill areas are generally not susceptible to liquefaction due to the more solid underlying geologic structure and lower water table. The Tustin Legacy located south of the Santa Ana freeway, has a high probability of liquefaction in the event of a major earthquake. The Program EIS/EIR for MCAS -Tustin addresses potential impacts that may result from liquefaction, and mitigation measures were incorporated to reduce the potential impacts to a level of less than significant. Areas within the Tustin Legacy have also been determined by the State geologist to be within a liquefaction hazard zone. Compliance with existing State and local regulations and standards and established engineering procedures and techniques would provide adequate protection from geotechnical hazards. As a result, the potential impact would be less than significant. Similar to the Tustin Legacy, infill developments outside the Tustin Legacy would also be required to comply with existing State and local regulations and standards, and the State Department of Conservation, Mines and Geology Division's established engineering procedures and techniques, to identify necessary improvements to ensure long-term geotechnical stability. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-115 to 4-121) and Addendum (Pages 5-46 to 5-49) City of Tustin • Page 30 3. Environmental Analysis d) Be located on expansive soil, as defined in Table 18-1-B of the Uniform Building Code (1994), creating substantial risks to life or property? Developments anticipated by the Housing Element Update consist of development in the Tustin Legacy and Infill areas outside the Tustin Legacy. The Program EIS/EIR for MCAS -Tustin noted that the Tustin Legacy lies within an area of high to very high expansivity of soils. Infill areas outside the Tustin Legacy have not been identified as areas with expansive soils. As part of the City's development review, each development would be required to provide a determination of the expansion potential of on-site soils and implement appropriate remedial measures in accordance with the City's requirements. The measures might include the removal of clay -rich soils and replacement with specific thickness of non -expansive granular soil beneath the structures, concrete slabs, and footings. Mixing during grading of localized expansive soils with granular non -expansive soils could also be used to reduce this hazard. Post -construction drainage control to keep water from collecting under or adjacent to structures might also be used to reduce the hazard. Compliance with State and local regulations and standards, and established engineering procedures would not result in an unacceptable potential risk of loss, injury, or death. Impacts related to expansive soils would be less than significant. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-115 to 4-121) and Addendum (Pages 5-46 to 5-49) e) Have soils incapable of adequately supporting the use of septic tanks or alternative wastewater disposal systems where sewers are not available for the disposal of wastewater? Developments anticipated by the Housing Element Update consist of development in the Tustin Legacy and Infill areas outside the Tustin Legacy. The implementation of the Tustin Legacy would require improvement to the existing sewer system located at the Tustin Legacy area. The Program EIS/EIR for MCAS -Tustin discusses the needed improvements to accommodate the anticipated development. In general, the existing facilities located in the Tustin Legacy area would ultimately be replaced with installation of new sewer systems. Infill developments are located within urbanized areas of the City. Developments that occur in the infill areas are required by existing City regulation to utilize the local sewer system. Compliance with existing State and local regulations and standards related to soil condition and compliance with the State Department of Conservation, Mines and Geology Division's established engineering procedures would reduce any potential impact to a level of insignificance. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-32 to 4-46) and Addendum (Pages 5-46 to 5-49) City of Tustin • Page 31 3. Environmental Analysis 3.7 HAZARDS AND HAZARDOUS MATER/ALS a) Create a significant hazard to the public or the environment through the routine transport, use, or disposal of hazardous materials? b) Create a significant hazard to the public or the environment through reasonable foreseeable upset and accident conditions Involving the release of hazardous materials into the environment? c) Emit hazardous emissions or handle hazardous or acutely hazardous materials, substances, or waste within one-quarter mile of an existing or proposed school? d) Be located on a site which Is included on a list of hazardous materials sites compiled pursuant to Government Code Section 65962.5 and, as a result, would it create a significant hazard to the public or the environment? The Program EIS/EIR for MCAS -Tustin has identified areas with potential environmental contamination and debris on the site as a result of military activities. The Department of the Navy (DON) is in the process of implementing various remedial actions that will remove, manage, or isolate potentially hazardous substances. This is required by the Federal Law. Although the development of residential units within the Tustin Legacy would not result or create significant hazardous substance, recreational uses (commercial, linear parks, etc.) to support the residential uses may utilize pesticides. Within the high tech research and development area of the commercial land use designation, various hazardous substances may be used. However, through compliance with existing applicable Federal, State, and local regulations, any potential impacts would be reduced to below a level of significance. Infill developments would be unlikely to use, transport, or dispose significant hazardous materials due to their nature as residential properties. Other than those chemicals typically found in residential properties (i.e. cleaning solutions, fertilizers, etc. regulated by the Orange County Health Department if disposed improperly), no hazard or hazardous materials would likely be transported, used, disposed, released, or emitted. Therefore, no significant impact would result from the infill developments. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-130 to 4-135) and Addendum (Pages 5-49 to 5-55) e) For a project located within an airport land use plan or, where such a plan has not been adopted, within two miles of a public airport or public use airport, would the project result in a safety hazard for people residing or working in the project area? John Wayne Airport is located approximately two miles southwest of the City of Tustin. This facility is the primary airport serving Orange County. Land use restrictions exist for areas adjacent to and under flight patterns for John Wayne Airport. These regulations restrict sensitive uses in order to City of Tustin • Page 32 3. Environmental Analysis minimize the potential loss of life and property in the event of an aircraft accident, to reduce noise impacts, and to reduce the risk of aircraft colliding with tall buildings or other structures. The developments anticipated by the Housing Element Update consist of developments in the Tustin Legacy and infill areas outside the Tustin Legacy. The aircraft pattern for John Wayne Airport crosses north of the westerly portion of Tustin and in the vicinity of Red Hill Avenue, adjacent to the Tustin Legacy area. According to Airport Land Use Commission (AELUP), no restrictions are in place in conjunction with possible crash zones. However, the Tustin Legacy falls within a 20,000 foot area of concern for buildings with heights ranging from 110 feet to 200 feet. Any structures within the Tustin Legacy that exceed the height thresholds would be subject to review by the Federal Aviation Administration (FAA) and the Airport Land Use Commission. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 3-13 to 3-17) and Addendum (Pages 5-49 to 5-55) f) For a project within the vicinity of a private airstrip, would the project result In a safety hazard for people residing or working In the project area? There are no private airstrips located within the City of Tustin; therefore, the proposed project would not result in any significant safety hazards from private airstrip/airport related activity. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 3-13 to 3-17) and Addendum (Pages 5-49 to 5-55) g) Impair implementation of or physically Interfere with an adopted emergency response plan or emergency evacuation plan? The proposed project would not conflict with the City of Tustin's emergency response or evacuation plans. As housing units at the Tustin Legacy area develop overtime, a new roadway network system would be added in accordance with the phasing plan described in the Program EIS/EIR for MCAS - Tustin. The new roadway system includes an emergency response plan and emergency evacuation plan. Therefore, no adverse impact would be anticipated. With respect to the infill areas, no conflict with the City of Tustin's emergency response or evacuation plans would be anticipated. Compliance with the City's Land Use Element, Circulation Element, and Public Safety Element would ensure that proposed developments would not interfere or impair the implementation of an adopted emergency response plan or emergency evacuation plan. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code City of Tustin • Page 33 3. Environmental Analysis Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin and Addendum (Pages 5-49 to 5-55) h) Expose people or structures to a significant risk of loss, Injury, or death involving wildland flres, including where wildlands are adjacent to urbanized areas or where residences are intermixed with wildlands? The Orange County Fire Authority (OCFA) identified two major sections of the City—residential and commercial districts south of the Santa Ana Freeway and north of Edinger Street—as having inherent fire danger problems, which could result in extensive fires under worst-case conditions. This whole area includes high-density residential development composed of wood frame buildings with shake shingle roofs. The second area of concern is the Peters Canyon area. This is adjacent to a wildland interface area from which natural fires could spread to residential neighborhoods. Urban and wildland fire hazards could result from a number of causes, including arson, carelessness, home or industrial accidents, or from ignorance of proper procedures for home or business repairs. Low water pressures could also contribute to fire hazards in Tustin. The current practice and code requirements for use of fire retardant roofing materials, the enforcement of building code that assure adequate fire protection, the upgrading of emergency water line capacities in conjunction with development as required by the Orange County Fire Authority, and the City's and Orange County Fire Authorities maintenance of its mutual aid agreement with surrounding jurisdictions will reduce the risk of loss, injury, or death from fires. New development as a result of the Housing Element would be required to comply with the City's and OCFA rules and regulations. Thus, any impacts would be reduced to a level of insignificance. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin and Addendum (Pages 5-49 to 5-55) 3.8 HYDROLOGYAND WATER QUAL/TY a. Violate any water quality standards or waste discharge requirements? The Housing Element Update anticipates the development of 2,380 housing units. As these units are developed, wastewater would be discharged into the local sewer system and on-site drainage would flow into the City's existing storm drain system. As part of Section 402 of the Clean Water Act, the U.S. Environmental Protection Agency (EPA) has established regulations under the National Pollution Discharge Elimination System (NPDES) program to control direct storm water discharges. In California, the State Water Quality Control Board (WCQB) administers the NPDES permitting program and is responsible for developing NPDES permitting requirements. The NPDES program regulates industrial pollutant discharges, including construction activities. The City of Tustin is a co - permittee with the County in the National Pollution Discharge Elimination System (NPDES) permit. City of Tustin • Page 34 3. Environmental Analysis Future development would be required to comply with the NPDES program. Additionally, through the City's existing regulations, compliance with water quality standards and waste discharge requirements in construction operations is required, thereby reducing potential water quality impacts to a level that is less than significant. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-32 to 4-46) and Addendum (Pages 5-56 to 5.91) Tustin Water Department and Irvine Ranch Water District b. Substantially deplete groundwater supplies or Interfere substantially with groundwater recharge, such that there would be a net deficit In aquifer volume or a lowering of the local groundwater table level (e.g. the production rate of pre-existing nearby wells would drop to a level which would not support existing land uses or planned uses for which permits have been granted)? Groundwater resources in the area consist of a complex system of aquifers and aquicludes, separated by bedrock or layers of soil. The City of Tustin is located within the East Coastal Plain/Orange County groundwater basin. The City straddles the Irvine, Forebay, and Pressure sub- areas of the Orange County Basin. Within these systems the aquifers are separated by low - permeability strata known as aquitards, which generally limit the vertical hydraulic exchange between the aquifers. The Basin is replenished with flows from the Santa Ana River and imported water supplies purchased from Metropolitan Water District. The Orange County Water District actively and beneficially manages the Basin. The development of 2,380 additional housing units by 2014 would increase water consumption in the City as well as increase dependence on local and imported supplies of groundwater. The Program EIS/EIR for MCAS -Tustin discusses impacts related to groundwater supplies and recharge, and according to the IRWD, there is adequate water capacity to supply civilian reuse development at the former MCAS -Tustin. As in the infill areas, the City's Water Department has also determined that there would be adequate water supply to support infill developments. Therefore, no significant impact to groundwater supplies or groundwater recharge would result from the implementation of the Housing Element Update. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-32 to 4-46) and Addendum (Pages 5-56 to 5-91) Tustin Water Department and Irvine Ranch Water District City of Tustin • Page 35 3. Environmental Analysis c. Substantially alter the existing drainage pattern of the site or area, Including through the alteration of the course of a stream or river, in a manner which would result in flooding on- or off-site? d. Substantially alter the existing drainage pattern of the site or area, Including through the alteration of the course of a stream or river, or substantially increase the rate or amount of surface runoff in a manner, which would result In flooding on- or off-site? Erosion is not anticipated to be substantial during construction or operation of developments anticipated by the City of Tustin Housing Element. Development of the Tustin Legacy area would replace undeveloped areas with urban -type development. While the proposed linear parks would provide some pervious surfaces to absorb rainwater, the overall amount of impervious surface would increase, thereby increasing the amount of surface water runoff. Utilizing the existing storm drain system at the former MCAS -Tustin would not be a practical alternative because most of those pipes and channels are undersized. To accommodate the development at the Tustin Legacy, a conceptual storm drain plan has been developed in coordination with the Orange County Flood Control District (OCFCD). This conceptual system includes five major drainage areas with mainline facilities and improvements to the OCFCD Barranca Channel. This system shall be provided by the cities of Irvine, Tustin and OCFCD as a condition or pre -condition of development approvals; therefore, impacts would be less than significant. Infill areas within the City are connected to the City's storm drain system and are not anticipated to create substantial erosion or siltation on- or off-site. In addition, adherence to existing City codes and required City's standards in the Grading Manual designed to prevent erosion and siltation during the construction phase would reduce potential impacts to a level of insignificance. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-32 to 4-46) and Addendum (Pages 5-56 to 5-91) e. Create or contribute runoff water which would exceed the capacity of existing or planned stormwater drainage systems or provide substantial additional sources of polluted runoff? Development anticipated by the Housing Element Update involves developing primarily vacant land and some infill land. Since the sites anticipated for development are currently vacant, the construction of proposed housing would increase the amount of impervious surface coverage; therefore, the total volume of surface water runoff would be increased by the proposed project, although sediment transport will decrease significantly. Under the NPDES Stormwater Permit issued to the County and City of Tustin (as a co -permittee), all development and significant redevelopment must be implemented with pollution control measures more commonly referred to as Best Management Practices (BMPs). Under existing City's regulations, compliance with BMP and other NPDES requirements will reduce potential impacts to a level of insignificance. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. City of Tustin • Page 36 3. Environmental Analysis Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-32 to 4-46) and Addendum (Pages 5-56 to 5-91) f. Otherwise substantially degrade water quality? Development at Tustin Legacy and some of the infill areas would increase the amount of impervious surfaces, particularly by developing areas currently used for agriculture. Contaminants commorrly associated with urban development include leaking motor oils, fuels, and other vehicular fluids, and trash can be washed by rain and carried with runoff into local and regional waterways. Under the existing NPDES permit, all development and significant redevelopment must be implemented with non -point source pollution control measures. These existing measures would reduce potential impacts to a level of insignificance. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-32 to 4-46) and Addendum (Pages 5-56 to 5-91) g. Place housing within a 100 -year flood hazard area as mapped on a federal Flood hazard Boundary of Flood Insurance Rate Map or other flood hazard delineation map? The development of housing units at Tustin Legacy is outside of the 100 year flood plain; however, the General Plan Land Use Element identifies some infill residential uses in the 100 -year floodplain. Therefore some of the development proposed by the Housing Element could possibly be placed in the 100 -year flood zone. In accordance with the City's Floodplain Management Ordinance, the City shall require all new development to comply with provisions to reduce the flood hazards by either anchoring, increasing building elevation, or utilizing materials and equipment resistant to flood damage. Compliance with this existing Ordinance would reduce potential impacts to a level of insignificance. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin Floodplain Management Ordinance (Tustin City Code Section 9801 to 9806) Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-32 to 4-46) and Addendum (Pages 5-56 to 5-91) h. Place within a 100 -year flood hazard area structure, which would impede or redirect flood flows? The General Plan Land Use Element identifies some residential uses in the infill areas are located in the 100 -year floodplain. The development at the Tustin Legacy; however, is not located within a 100 - year flood hazard area structure. Development in areas with flood hazards would be subject to the City of Tustin • Page 37 3. Environmental Analysis existing Floodplain Management Ordinance to limit the personal and property damage that may occur due to flooding and inundation. Compliance with the existing Uniform Building Codes and the Floodplain Management Ordinance would reduce potential impacts to a level of insignificance. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin Floodplain Management Ordinance (Tustin City Code Sections 9801 to 9806) Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-32 to 4-46) and Addendum (Pages 5-56 to 5-91) i. Expose people or structures to a significant risk of loss, Injury, or death involving flooding, including flooding as a result of the failure of a levee or dam? According to the City's Water Department, catastrophic dam failure or flooding resulting from the failure of any one of the main reservoirs in the Tustin area could generate flooding impacts in the City of Tustin. The risk of flooding resulting from dam breaches or failures would be reduced by working directly with the State Office of Emergency Services to make physical improvements (if necessary) and monitor the safety of the reservoirs. With respect to the Tustin Legacy area, if either of the Santiago and Villa Park reservoirs failed during or after a major earthquake, this would cause a flooding impact to the Tustin Legacy area and potentially to infill areas. However, both reservoirs have been designed and constructed according to applicable earthquake standards to reduce the chance of reservoir failure. The City has also implemented emergency response plans in the case of an earthquake to respond to this hazard. These plans would ensure the removal of people from the site to avoid loss of human life, but property could be exposed. Property loss would be experienced with reservoir failure, but by working directly with the State Office of Emergency Services to make physical improvements (if necessary) and through proper monitoring of the safety of the reservoirs, unacceptable potential risk of loss, injury, or death would be avoided. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-32 to 4-46) and Addendum (Pages 5-56 to 5-91) Tustin Water Department and Irvine Ranch Water District J. Inundation by selche, tsunami, or mudflow? A seiche is a surface wave created when a body of water such as a lake or reservoir is shaken, usually by earthquake activity. Seiches are of concern relative to water storage facilities because inundation from a seiche can occur if the wave overflows a containment wall, such as the wall of a reservoir, water storage tank, dam, or other artificial body of water. Neither the Tustin Legacy area nor the infill areas are located near any confined bodies of water that might be subject to seiche in the event of an earthquake. City of Tustin # Page 38 3. Environmental Analysis A tsunami is ocean waves induced by large earthquake. Low-lying coastal areas may be subject to flooding and other related property damage. According to the County of Orange, neither the Tustin Legacy area nor the infill areas lie within an area of tsunami run-up risk. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin and Addendum (Pages 5-56 to 5-91) 3.9 LAND USE AND PLANNING a) Physically divide an established community? Development anticipated by the Housing Element Update would involve development of vacant land at Tustin Legacy and infill developments. The implementation of the Housing Element Update would involve a change in land use from vacant to residential urban uses and/or intensification of uses at certain sites. The change in land use and/or intensification of uses at certain sites however would not significantly divide any community or reduce access to community amenities. Compliance with the Land Use Element of the General Plan and the City's zoning regulations would ensure that the development of new housing units would not divide an established community. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-6 to 4-7) and Addendum (Pages 5-92 to 5- 94) b) Conflict with any applicable land use plan, policy, or regulation of an agency with jurisdiction over the project (including, but not limited to, the general plan, specific plan, local coastal program, or zoning ordinance) adopted for the purpose of avoiding or mitigating an environmental effect? Development anticipated by the Housing Element Update would take place on lands designated for residential use by the General Plan and zoned residential per the City's Zoning Ordinance. With respect to the Tustin Legacy area, development would result in substantial change in existing land use by replacing military and agricultural uses with civilian urban uses. Individual, site-specific compatibility impacts are addressed by appropriate site design such as buffering, screening, setbacks, landscaping, etc. with proposed Specific Plan. Infill areas would be developed in accordance with the City's Code that requires compliance with Zoning designations and the General Plan. Therefore, no conflict with any applicable land use plan, policy, or regulations is anticipated nor additional mitigation will be required. Mitigation Measures/Monitoring Required: No mitigation measures are necessary Sources: Tustin City Code Tustin General Plan City of Tustin • Page 39 3. Environmental Analysis Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-6 to 4-7) and Addendum (Pages 5-92 to 5- 94) c) Conflict with any applicable habitat conservation plan or natural community conservation plan? Development anticipated by the Housing Element Update is located on land designated for residential uses in developed urban neighborhoods and on vacant land at the Tustin Legacy. The proposed project would not conflict with any habitat conservation plans or natural community conservation plans. No significant impacts would result from project development. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin and Addendum (Pages 5-92 to 5-94) 3.10 ARNERAL RESOURCES a) Result In the loss of availability of a known mineral resource that would be a value to the region and the residents of the state? Currently there are no mineral extraction activities in the City of Tustin. Regionally significant resources are found north of the City in the Cities of Orange and Anaheim, but future developments within Tustin would not impact those resources. No significant impacts are anticipated to result from project development. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin and Addendum (Page 5-95) b) Result in the loss of availability of a locally important mineral resource recovery site delineated on a local general plan, specific plan, or other land use plan? The City does not contain any mineral resource recovery sites or mineral resource recovery areas. No significant impacts would result from the development of the proposed project. No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin and Addendum (Page 5-95) City of Tustin • Page 40 3. Environmental Analysis 3.11 NO/SE a) Exposure of persons to or generation of noise levels In excess of standards established In the local general plan or noise ordinance, or applicable standards of other agencies? Noise impacts can be broken down into three categories. The first is "audible" impacts, which refers to increases in noise level that are perceptible to humans. Audible increases in noise levels generally refer to a change of three dBA or more since this level has been found to be barely perceptible in exterior environments. The second category, "potentially audible," refers to a change in noise level between one and three dBA. This range of noise levels was found to be noticeable to sensitive people in laboratory environments. The last category is changes in noise level of less than one dBA that are typically "inaudible" to the human ear except under quiet conditions in controlled environments. Only "audible" changes in noise level are considered as potentially significant. Mobile -source noise (i.e. vehicles) is preempted from local regulation. For mobile sources, an impact would be considered significant if the project were to increase noise by 3 dBA (a barely discernable increase) and the resultant noise exceeded the City's noise standards, or 5 dBA (notable to most people) if the resultant noise remained below City standards. The proposed project site is located within the City of Tustin and thus is subject to the General Plan and existing City's noise ordinances. The General Plan discusses the effects of noise exposure on the -population and sets landuse compatibility goals aimed at protecting residents from undue noise. The Plan follows the recommendations set forth in Title 25 of the California Administrative Code and discourages residential development in areas where exterior noise levels exceed 65 dBA CNEL, unless measures are implemented to reduce noise levels to below this value. The Tustin Noise Element contains the following residential noise level standards: Noise Standards' Land Use InteriorZA Exterior Residential - Single-family multifamily, CNEL 45 dB CNEL 65 dB duplex, mobile home Residential - Transient lodging, hotels, CNEL 45 dB CNEL 65 dB 1. CNEL: Community Noise Equivalent Level. Leq (12): The A -weighted equivalent sound level averaged over a 12 -hour period (usually the hours of operation). 2. Noise Standards with windows closed. Mechanical ventilation shall be provided per UBC requirements to provide a habitable environment. 3. Indoor environment excluding bathrooms, toilets, closets, and corridors. 4. Outdoor environment limited to rear yard of single-family homes, multi -family patios, balconies (with a depth of 6' or more), and common recreation areas. Noise Ordinance The Tustin Noise Ordinance establishes standards for maximum noise levels within residential areas in the City. The exterior noise level standard is 65 dBA, and the interior noise level standard is 45 dBA. The City realizes that the control of construction noise is difficult at best. It City of Tustin • Page 41 3. Environmental Analysis does however implement its Land Use Compatibility Standards, which provide development standards for exterior noise levels across the various land use categories. State of California Standards The California Office of Noise Control has set acceptable noise limits for sensitive uses. Sensitive -type land uses, such as schools and homes, are "normally acceptable" in exterior noise environments up to 65 dBA CNEL and "conditionally acceptable" in areas up to 70 dBA CNEL. A "conditionally acceptable" designation implies that new construction or development should be undertaken only after a detailed analysis of the noise reduction requirements for each land use type is made and needed noise insulation features are incorporated in the design. By comparison, a "normally acceptable" designation indicates that standard construction can occur with no special noise reduction requirements. Future development would be required to comply with the City's Building Code and State's existing regulations on vehicle noise, roadway construction, and insulation standards. This would ensure that noise levels in Tustin residential areas are maintained within acceptable standards that prevent extensive disturbance, annoyance, or disruption. The implementation of the Tustin Legacy would result in additional vehicular noise from traffic generated by new development. Projected noise levels along major roadways are included in the Program EIS/EIR for MCAS -Tustin. The proposed extension of Tustin Ranch Road could expose existing residences to noise levels greater than 65dB(A) CNEL. Some existing residential units within the Tustin Legacy area may experience noise levels greater than 65dB(A) CNEL. With reuse and future development, noise levels at residential and park locations adjacent to Warner Avenue may exceed 65dB(A) CNEL. The Program EIS/EIR for MCAS -Tustin addresses potential impacts that may result in noise impacts and mitigation measures were incorporated to reduce the potential impacts to a level of less than significant. Infill developments would generate additional noise typically associated with residential uses to the area. However, compliance with the City's existing noise regulations would reduce impacts to a less than significant level. Development of any infill sites adjacent to arterial noise exceeding the maximum noise levels would be required to comply with State and Building Code standards for insulation and interior noise levels. In summary, the implementation of the Housing Element Update would not result in any impacts beyond those identified in the Program EIS/EIR for MCAS -Tustin. Mitigation Measures/Monitoring Required: No further mitigation measures would be required beyond those identified in the Program EIS/EIR for MCAS -Tustin, which are hereby incorporated by reference. No mitigation measures are necessary for infill developments. Sources: Tustin City Code (Section 4611 to 4624) Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-231 to 4-237) and Addendum (Pages 5-96 to 5-101) b) Exposure of persons to or generation of excessive groundborne vibration or groundborne noise levels? City of Tustin a Page 42 3. Environmental Analysis The development of residential housing units would not result in exposure of people with excessive groundborne vibration or groundborne noise levels. However, during the construction of potential new units, there could be temporary groundborne vibration during the grading of the sites which will be reduced with implementation in the field of City's standard procedures and policies related to construction (i.e. complaints regarding vibration would require construction hours to be altered, replacement of construction equipment to minimize vibration, etc.) Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code (Section 4611 to 4624) Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-231 to 4-237) and Addendum (Pages 5-96 to 5-101) c) A substantial permanent Increase in ambient noise levels in the project vicinity above levels existing without the project? Traffic related to the increased development contemplated by the Housing Element Update would result in permanent increases in ambient noise levels. The Program EIS/EIR for MCAS -Tustin addresses potential noise impacts that may result from the implementation of the Tustin Legacy and mitigation measures were identified to reduce the potential impacts to a level of less than significant. Infill developments proposed by the Housing Element Update would be required to comply with the City's existing ordinances that would ensure that noise levels in infill areas are maintained within acceptable standards. The implementation of the Housing Element Update, particularly the development at the Tustin Legacy, would potentially create noise impacts. However, the implementation of the Housing Element Update would not result in any impacts beyond those identified in the Program EIS/EIR for MCAS -Tustin. Mitigation Measures/Monitoring Required: No further mitigation measures would be required beyond those identified in the Program EIS/EIR for MCAS -Tustin. No mitigation measures are necessary for infill developments. Sources: Tustin City Code (Section 4611 to 4624) Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-231 to 4-237) and Addendum (Pages 5-96 to 5-101) d) A substantial temporary or periodic increase in ambient noise levels In the project vicinity above levels existing without the project? Noise levels associated with construction activities would be higher than the ambient noise levels in the City, but would subside once construction of the residential units proposed in the Housing Element Update are completed. City of Tustin • Page 43 3. Environmental Analysis Two types of noise impacts could occur during the construction phase. First, the transport of workers and equipment to the construction site would incrementally increase noise levels along site access roadways. Even though there would be a relatively high single event noise exposure potential with passing trucks (a maximum noise level of 86 dBA at 50 feet), the increase in noise would be less than one dBA when averaged over a 24-hour period and should therefore have a less than significant impact at noise receptors along City truck routes. The second type of impact is related to noise generated by on-site construction operations. Local residents would be subject to elevated noise levels due to the operation of on-site construction equipment. Construction activities are carried out in discrete steps, each of which has its own mix of equipment, and consequently its own noise characteristics. Table 2 lists typical construction equipment noise levels recommended for noise impact assessment at a distance of 50 feet. Noise ranges have been found to be similar during all phases of construction, although the erection phase tends to be less noisy. Noise levels range up to 89 dBA at 50 feet during the erection phase of construction, which is approximately 2 dBA lower than other construction phases. The grading and site preparation phase tends to create the highest noise levels, because the noisiest construction equipment is found in the earthmoving equipment category. This category includes excavating machinery (backfillers, bulldozers, draglines, front loaders, etc.) and earthmoving and compacting equipment (compactors, scrapers, graders, etc). Typical operating cycles may involve one or two minutes of full power operation followed by three to four minutes at lower power settings. Noise levels at 50 feet from earthmoving equipment range from 73 to 96 dBA. TABLE 1 NOISE LEVELS GENERATED BY TYPICAL CONSTRUCTION EQUIPMENT Range of Sound Levels I Suggested Sound Levels for Tvpe of Equipment I Measured (dBA at 50 feet) Analysis (dBA at 50 feet) ack Hammers Tractor Trucks I 81-87 86 Source: Noise Control for Buildings and Manufacturing Plants, BBN 1987. All construction -related noise shall be subject to existing City's noise regulations. The City's Noise Ordinance limits construction noise to 7:00 a.m. to 6:00 p.m. Monday through Friday and from 9:00 a.m. to 5:00 p.m. on Saturdays. All construction activities are prohibited on Sundays and City - observed Federal holidays. Compliance with the construction noise limitations and dBA noise standards would ensure that temporary or periodic noise levels are maintained within acceptable standards. City of Tustin • Page 44 3. Environmental Analysis Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code (Sections 4611 to 4624) Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-231 to 4-237) and Addendum (Pages 5-96 to 5-101) e) For a project located within an airport land use plan or, where such a plan has not been adopted, within two miles of a public airport or public use airport, would the project expose people residing or working In the project area to excessive noise levels? John Wayne Airport is located a little over two miles southwest of the City of Tustin. According to the John Wayne Quarterly Noise Abatement Reports, the noise level resulting from aircraft noise is below the acceptable 65 dB Community Noise Equivalent Level (CNEL). Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code (Sections 4611 to 4624) Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 3-13 to 3-17) and Addendum (Pages 5-96 to 5-101) John Wayne Airport Quarterly Noise Abatement Reports f) For a project within the vicinity of a private airstrip, would the project expose people residing or working In the project area to excessive noise levels? There are no private airstrips located within the City of Tustin; therefore, the proposed project would not result in any significant safety hazards from private airstrip related activity. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code (Section 4611 to 4624) Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 3-13 to 3-17) and Addendum (Pages 5-96 to 5-101) 3,11 POPULAT/ONANDHOUS/NO a) Induce substantial population growth In an area, either directly (for example, by proposing new homes and businesses) or Indirectly (for example, through extension of roads or other Infrastructure)? The City of Tustin had an estimated population of 72,542 in 2007. The City has experienced rapid population growth over the last 30 years. This population growth has occurred with increases in the number of housing units. The Housing Element Update anticipates an additional 2,380 housing units, including single-family residential and multi -family residential, for development through 2014. The anticipated units are within the constraints set forth in the City's current General Plan. City of Tustin • Page 45 3. Environmental Analysis The development of an additional 2,380 housing units, of which the majority would be located at the Tustin Legacy, would result in an increase in the City's population and housing over a 20 year period, not a significant impact on the City's population. The development of the Tustin Legacy would also result in the development of affordable housing in selected areas which would address the needs of the homeless, as well as those of low and moderate income. Therefore, the implementation of the Tustin Legacy would provide a beneficial impact. Infill developments that would occur outside the Tustin Legacy area would also generate population and housing growth in the City. However, this growth is insignificant given the City's total population and if is within the constraints set forth in the City's General Plan. This will help the City to achieve its Regional Housing goals. Again, this impact would have a beneficial impact for the City's housing stock. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-14 to 4-21) and Addendum (Pages 5-101 to 5-111) b) Displace substantial numbers of existing housing, necessitating the construction of replacement housing elsewhere? c) Displace substantial numbers of people, necessitating the construction of replacement housing elsewhere? Future developments anticipated by the Housing Element Update would be constructed primarily on vacant land in the City. However, there may be new infill construction activities that could result in the displacement of existing housing units, necessitating the construction of replacement housing elsewhere. Consistent with State Law, the City would be required to prepare relocation and/or displacement plans, where necessary, and to replace units displaced or destroyed and provide relocation services and benefits to displaced households. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-14 to 4-21) and Addendum (Pages 5-101 to 5-111) 3.13 PUBLIC SERVICES Would the project result in substantial adverse physical impacts associated with the provision of new or physically altered governmental facilities, need for new or physically altered governmental facilities, the construction of which could cause significant environmental impacts, in order to maintain acceptable service ratios, response times or other performance objectives for any of the public services: City of Tustin • Page 46 3. Environmental Analysis a) Fire protection? b) Police protection? c) Schools? d) Parks? e) Other public facilities? Fire protection The City of Tustin contracts with the Orange County Fire Authority (OCFA) for fire protection services. The Fire Authority maintains three stations in the City. New housing developments would increase demand for fire protection, as well as emergency medical services. Individual development projects would be required to meet existing OCFA regulations regarding construction materials and methods, emergency access, water mains, fire flow, fire hydrants, sprinkler systems, building setbacks, and other relevant regulations. Adherence to the OCFA regulations would reduce the risk of uncontrollable fire and increase the ability to efficiently provide fire protection services to the City. The number of fire stations in the areas surrounding the site will meet the demands created by the proposed project. Police protection The City of Tustin operates its own Police Department. New housing developments at the Tustin Legacy would increase the need for police emergency and protection services. The need for police protection services is assessed on the basis of resident population estimates, square footage of industrial uses, and square footage of retail uses. The Program EIS/EIR for MCAS -Tustin identifies that the need for additional police services could be accommodated at the existing City police station and no new facilities would be required. Schools Development of additional housing would induce population growth, therefore increasing the number of school age children. Of the 2,380 housing units proposed in the Housing Element Update, most housing developments anticipated would be located in the Tustin Legacy. The Tustin Legacy is located within the Tustin Unified School District (IUSD), Irvine Unified School District (IUSD), and Santa Ana Unified School District (SAUSD). The implementation of the Tustin Legacy would provide for two 10 -acre elementary school sites and one 40 -acre high school site within the TUSD. The TUSD has agreed that these sites would be considered adequate to accommodate new students generated by the Tustin Legacy development, as well as some of the future growth anticipated for the Tustin community as a whole. With respect to the IUSD, the implementation of the Tustin Legacy would provide for a 20 -acre school site to IUSD to serve the growing student population within its district. With respect to the SAUSD, although no housing exists in this area to be reused and no new housing would be constructed in its boundaries, indirectly new students could be generated through the provision of new employment. The commercial uses would generate employment and if new employees were to seek housing in City of Tustin • Page 47 3. Environmental Analysis locations served by the SAUSD, they would indirectly generate students. However, where these students would locate within SAUSD is not known at this time, and accordingly, construction or housing impacts cannot be identified. There is no impact on community college facilities because students in Tustin can attend any community college in the County. Therefore, except for construction level impacts which will be mitigated to a level of insignificance due to required compliance with existing City regulations, no other school impacts are anticipated. With respect to the infill areas, all potential sites are located within the TUSD boundaries. Future anticipated growth for the anticipated infill sites will be assessed school impact fees to accommodate any impacts to existing schools. Parks The City of Tustin currently has 12 parks and 4 community/recreation facilities. The implementation of the Tustin Legacy would provide new park sites. These park sites include a regional park, a community park, and several smaller neighborhood parks. A privately owned linear park would be constructed as well but would be available for public usage. These facilities would provide park and recreation opportunities to the population of the Tustin Legacy areas as well as the City and the region and their development will not result in a significant impact on the environment. Once constructed, these parks would meet residential population demand. Existing parks in the City of Tustin will serve new infill development as well. Other public facilities Most of the development of these new housing units would be provided within the Tustin Legacy. The Program EIS/EIR for MCAS -Tustin discusses impacts related to other public facilities that may result from the implementation of the Tustin Legacy. These facilities include libraries and recreational bikeway/trails. • Library Using the County's criteria, the implementation of the Tustin Legacy would result in a demand of up to approximately 2,500 square feet of library space. This relatively small amount of space is well below the library system's general minimum size of 10,000 square feet for a branch library, and would not trigger the need for a new facility. Therefore, there would be no significant effects on the environment. Nevertheless, a new library twice the capacity of the existing library is being constructed to accommodate existing and future Tustin residents. • Recreational Bikeway/Trails Implementation of the Tustin Legacy would include bikeway/riding and hiking trails, although such is not required by the Housing Element Update. This system would connect vital links necessary for a comprehensive regional and improved local bikeway/riding and hiking trail system and would be a beneficial impact. With respect to the infill areas, consistent with the policies of the City's Circulation Element, the City would support and coordinate the development and maintenance of bikeway/riding and hiking trails with the County of Orange. As development of bikeways/trails occurs, City regulations would reduce construction related impacts to a level of insignificance. City of Tustin • Page 48 3. Environmental Analysis Mitigation/Monitoring Required: No mitigation is required. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-56 to 4-70) and Addendum (Pages 5-112 to 5-122) 3.14 RECREATION a) Would the project Increase the use of existing neighborhood and regional parks or other recreational facilities, such that substantial physical deterioration of the facility would occur or be accelerated? The City of Tustin has 16 parks and recreation facilities on approximately 82 acres and, through the school district, operates school playgrounds. In addition, the City maintains one senior citizen center and three family and youth community centers. The implementation of the Tustin Legacy would provide new park sites to serve residents generated under the Housing Element Update. There is no evidence that the infill development or Housing Element Update will cause or accelerate the physical deterioration of parks. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-56 to 4-70) b) Does the project Include recreational facilities or require the construction or expansion of recreational facilities, which might have an adverse physical effect on the environment? New development anticipated by the Housing Element Update would increase the demand for parks and recreation facilities in the City. The implementation of the Tustin Legacy would provide new park sites. These park sites include approximately 296 acres of public and private parkland which comprises of 202 acres of public parks and recreational areas (including the 84.5 acres of Urban Regional Park). Since sufficient parkland is provided within Tustin Legacy, development of new housing units would not generate an increase in the use of existing off-site parks and recreational facilities. However, the development of these facilities will result in construction level impacts that can be mitigated to a level of insignificance under existing City regulations. Infill developments would likely utilize the City's existing recreational facilities. Therefore, no significant impact would result from the development of infill areas. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-56 to 4-70) and Addendum (Pages 5-122 to 5-127) City of Tustin • Page 49 3. Environmental Analysis 3,15 TRANSPORTATION/TRAFFIC a) Cause an increase in traffic, which is substantial in relation to the existing traffic load and capacity of the street system (i.e. result in a substantial increase In either the number of vehicle trips, the volume to capacity ratio on roads, or congestion at intersections)? The Housing Element Update anticipates development of over 2,380 housing units required by the Regional Housing Needs Assessment (RHNA). This development would be located in the Tustin Legacy and at infill sites. The additional development and associated traffic volumes of developing the Tustin Legacy are included in the traffic analysis portion of the Program EIS/EIR for MCAS -Tustin. As the impacts of traffic due to housing alone were not separated out and analyzed, the following discussion includes impacts due to commercial, industrial, and institutional uses, as well as housing. In general, a number of intersections would be significantly impacted at the buildout of the Tustin Legacy. Most of these impacted can be mitigated to a level of less than significant. However, significant traffic impacts would remain at the intersections of Tustin Ranch Road and Walnut Avenue, and Jamboree Road and Barranca Parkway until full builtout (year 2020). Infill areas are located within the established street system. Although traffic in the City of Tustin is within the acceptable level of service standard, there are intersections that are at an unacceptable level of service. Through the City's existing Design Review process, development located at an unacceptable level of service which contributes 10 percent or more of traffic will be assessed with mitigation fee as part of the City's Capital Improvement Program. In addition, where applicable, the City would require dedication of right-of-ways and/or require developers to construct the needed improvements to improve the level of service. Therefore, compliance with the existing City's regulations would reduce potential traffic impacts to a level that is less than significant. In summary, the implementation of the Housing Element Update, particularly the development at the Tustin Legacy and infill locations, would potentially result in ummitigable impacts at two intersections described above. However, the implementation of the Housing Element Update would not result in any impacts beyond those identified in the Program EIS/EIR for MCAS -Tustin. Mitigation Measures/Monitoring Required: No further mitigation measures would be required beyond those identified in the Program EIS/EIR for MCAS -Tustin. No mitigation measures are necessary for infill developments. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-139 to 4-163 and 7-32 to7-41) and Addendum (Pages 5-127 to 5-146) b) Exceed, either Individually or cumulatively, a level of service standard established by the county congestion management agency for designated roads or highways? Potentially Significant Impact. The City's Circulation Element establishes a standard for a Level of Service (LOS) "C" or better for major intersections in the City; the City considers LOS "A" through "C" as acceptable, and LOS "D" or greater as unacceptable. The County's Congestion Management Plan (CMP) indicates the LOS should be LOS "E" or better for CMP roadways (freeways and major highways). City of Tustin • Page 50 3. Environmental Analysis Development anticipated by the Housing Element Update would be provided in the MCAS -Tustin Tustin Legacy and at Infill land. The Program EIS/EIR for MCAS -Tustin provides traffic impact analysis and mitigation measures to address the requirements of the Growth Management Plan and the Congestion Management Plan to reduce the impacts to a level of insignificance. In general, a number of intersections would be significantly impacted at the builtout of the Tustin Legacy. Most of these impacted can be mitigated to a level of less than significant. However, significant traffic impacts would remain at the intersections of Tustin Ranch Road and Walnut Avenue, and Jamboree Road and Barranca Parkway under full buiitout (year 2020). Infill developments would be subject to review to ensure that individual development would not exceed the level of service standards, individually or cumulatively. Compliance with the City's Circulation Element and City Ordinances related to streets and highways would reduce potential traffic impacts to a level that is less than significant. In summary, the implementation of the Housing Element Update, particularly the development at the Tustin Legacy, would potentially result in ummitigable impacts at the two intersections described above. However, the implementation of the Housing Element Update would not result in any impacts beyond those identified in the Program EIS/EIR for MCAS -Tustin. Mitigation Measures/Monitoring Required: No further mitigation measures would be required beyond those identified in the. Program EIS/EIR for MCAS -Tustin. A Statement of Overriding Consideration was adopted by the City Council on January 16, 2001 for the identified unavoidable impact. No mitigation measures are necessary for infill developments. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin Addendum (Pages 5-127 to 5-146) (Pages 4-139 to 4-163 and 7-32 to7-41) and c) Result in a change In air traffic patterns, including either an increase in traffic levels or a change In location that results in substantial safety risks? Development anticipated by the Housing Element Update involves the development of 2,380 housing units on parcels of land throughout the City. The anticipated amount of development would not result in any changes to air traffic patterns, nor would the anticipated amount of development result in any substantial safety risks related to aircraft traffic. Compliance with the Airport Environs Land Use Plan standards under existing City ordinances would reduce potential impacts to a level of insignificance. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 3-13 to 3-17) and Addendum (Pages 5-127 to 5-146) City of Tustin • Page 51 3. Environmental Analysis d) Substantially increase hazards due to a design feature (e.g. sharp curves or dangerous intersections) or incompatible uses (e.g. farm equipment)? Any needed traffic improvements associated with the anticipated development would be constructed to the City's existing roadway safety standards. With respect to the development at the Tustin Legacy area, the Program EIS/EIR for MCAS -Tustin includes mitigation measures related to traffic control plans and needed traffic improvements to accommodate the implementation of the Tustin Legacy. With respect to infill developments, compliance with the City's existing public works standards, zoning codes, and fire codes would reduce potential impacts to a level of insignificance. in summary, the implementation of the Housing Element Update would not result in any impacts beyond those identified in the Program EIS/EIR for MCAS -Tustin. Mitigation Measures/Monitoring Required: No further mitigation measures would be required beyond those identified in the Program EIS/EIR for MCAS -Tustin. No mitigation measures are necessary for infill developments. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin Addendum (Pages 5-127 to 5-146) e) Result In Inadequate emergency access? (Pages 4-139 to 4-163 and 7-32 to7-41) and Housing development projects would be required to conform to existing City regulations that specify adequate emergency access measures. Compliance with the City's public works standards and the Uniform Fire Codes related to emergency access would reduce potential impact to a level of insignificance. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin and Addendum (Pages 5-127 to 5-146) Q Result in inadequate parking capacity? Development anticipated by the Housing Element Update involves the development of residential dwelling units. Each development would be required to satisfy City parking standards under existing City regulations. Compliance with the City's parking standards would ensure adequate parking capacity be provided as developments occur. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update City of Tustin • Page 52 3. Environmental Analysis Program EIS/EIR for MCAS -Tustin (Pages 4-4 to 4-7) and Addendum (Pages 5-127 to 5- 146) g) Conflict with adopted policies, plans, or programs supporting alternative transportation (e.g. bus turnouts, bicycle racks)? City of Tustin residents have access to several forms of alternative transportation such as the Metrolink, buses, and bicycle paths. The development of 2,380 housing units would impact public transit by creating additional demand for bus service. At the same time, the new arterial roadways proposed through the Tustin Legacy area would provide opportunities for future bus routing, serving persons residing and working in the Tustin Legacy area. The new routes would provide improved service with more direct routes for riders not associated with the Tustin Legacy. The Orange County Transportation Agency (OCTA) prepares regular updates of the countywide transit system. Bus stops would be included in the updates and would be accommodated as development occurs. In addition, a commuter rail station located at the corner of Jamboree Road and Edinger Avenue provides transit opportunities to residents and workers. The Tustin Legacy also identifies additions to the bikeway system, providing additional segments and greater connectivity. The added bike trails would provide an overall benefit to the County bike trail system. Infill developments would be located in the established area, and it would be unlikely to conflict with adopted policies, plans, or programs supporting alternative transportation. . Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin Addendum (Pages 5-127 to 5-146) 3.16 UTILITIES AND SERV/CE SYSTEMS (Pages 4-139 to 4-163 and 7-32 to7-41) and a) Exceed wastewater treatment requirements of the applicable Regional Water Quality Control Board? e) Result in a determination by the wastewater treatment provider, which serves or may serve the project that it has adequate capacity to serve the project's projected demand In addition to the provider's existing commitments? Wastewater originating from the proposed new housing units would be treated by facilities owned by the Irvine Ranch Water District (IRWD) and/or the Orange County Sanitation District (OCSD). OCSD provides sewage treatment service to the City of Tustin. Sewage from the City is diverted to Reclamation Plant Number 1 located in the City of Fountain Valley. For the Tustin Legacy, the Program EIS/EIR for MCAS -Tustin indicates that implementation of the Tustin Legacy will cause additional demand on the existing sewer system from increased sewage flows. The OCSD and IRWD has confirmed that sewer treatment facilities will be adequate to City of Tustin • Page 53 3. Environmental Analysis accommodate the Tustin Legacy development. As in the infill areas, the development would create an insignificant impact on wastewater treatment facilities. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-32 to 4-46) and Addendum (Pages 5-147 to 5-164) b) Require or result in the construction of new water or wastewater treatment facilities or expansion of existing facilities, the construction of which could cause significant environmental effects? Increased water consumption would result in a higher demand for water resources. Most housing developments under the Housing Element Update would occur within the Tustin Legacy. The Tustin Legacy is located within the water service jurisdiction of the Irvine Water Ranch Districts (IRWD). The IRWD imports approximately 67 percent of its water via Metropolitan Water District (MWD). The remaining 33 percent is predominantly pumped from local wells. IRWD has indicated that they would be able to provide water services to the project area and thus the impact would be less that significant. Infill projects would be served by existing systems owned and operated by the City of Tustin and IRWD. Reclaimed water for non-domestic uses such as for agriculture and landscape irrigation is treated at the district's Michelson Reclamation Plant and used as reclaimed water. Potable Water supply is purchased by the IRWD and the City of Tustin from the MWD distribution system or pumped from local wells. Sewer lines in Tustin are owned and maintained by the Orange County Sanitation District (OCSD) and IRWD. With the implementation of the MCAS -Tustin Tustin Legacy, a new water and sanitary sewer system would be necessary. The only impacts would be construction level; these impacts would be mitigated to a level of insignificance by existing City regulations to reduce construction impacts. With respect to the infill areas, replacement of existing facilities with new residential units would not create the need for a new water or wastewater facility. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-32 to 4-46) and Addendum (Pages 5-147 to 5-164) Tustin Water Department and Irvine Ranch Water District c) Require or result in the construction of new storm water drainage facilities or expansion of existing facilities, the construction of which could cause significant environmental effects? Storm drainage is provided through reinforced concrete pipes and open channels throughout the City. Storm water flows are directed towards Orange County Flood Control open channels or indirectly to the Santa Ana River. Storm water in the City generally flows in a general southwesterly City of Tustin • Page 54 3. Environmental Analysis direction towards the Pacific Ocean. The City maintains an NPDES co -permit with Orange County for storm drain facilities serving Tustin. , New development in the Tustin Legacy would require improvement to the existing storm drain system. A conceptual storm drain plan has been developed in coordination with the Orange County Flood Control District (OCFCD). The improvement would include five major drainage areas with mainline facilities and improvements to the OCFCD Barranca Channel. New retention basins would also be incorporated to handle storm flows from the Linear Park of the Tustin Legacy. Other on-site facilities would discharge into the County's existing regional facilities. Construction level impacts would be mitigated to a level of insignificance by existing City regulations to reduce construction impacts. With respect to the infill areas, replacement of existing facilities with new residential units would not create the need for a new water or wastewater facility. New development in the infill areas would utilize existing storm drain lines. Compliance with NPDES requirements through the development review process would reduce potential impacts to a less than significant level. Mitigation Measures/Monitoring Required: • No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-32 to 4-46) and Addendum (Pages 5-147 to 5-164) d) Have sufficient water supplies available to serve the project from existing entitlements and resources, or are new or expanded entitlements needed? Most of the new housing development would occur within the Tustin Legacy. The area is located within the water service jurisdiction of the Irvine Water Ranch Districts (IRWD). The IRWD imports approximately 67 percent of its water via Metropolitan Water District (MWD). The remaining 33 percent is predominantly pumped from local wells. The increase in water consumption that may occur with new development anticipated by the Housing Element Update would not result in significant impacts to local and imported water supplies requiring new or expanded entitlements. According to the IRWD, there is adequate water capacity to supply civilian reuse development. In the infill areas, no impact to the existing water supply owned by the City of Tustin is anticipated. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-32 to 4-46) and Addendum (Pages 5-147 to 5-164) Tustin Water Department and Irvine Ranch Water District. 9 City of Tustin a Pae 55 3. Environmental Analysis Q Be served by a landfill with sufficient permitted capacity to accommodate the project's solid waste disposal needs? The Frank R. Bowerman Landfill is the primary facility that receives solid waste from Tustin. This landfill is scheduled to be closed in the year 2024. Based upon the 1998 County of Orange determination, only about 18 percent of the maximum capacity hase been used. Accordingly, the landfill has ample capacity to accommodate solid waste generated by the Housing Element Update. Further, the City has adopted a Source Reduction and Recycling Element (SRRE) that provides implementation programs for achieving a 50 percent reduction in the City's solid waste stream. All new development is required by existing City regulation to comply with the SRRE programs. Therefore, impacts related to solid waste would be less than significant. Mitigation Measures/Monitoring Required: • No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-32 to 4-46) and Addendum (Pages 5-147 to 5-164) g) Comply with federal, state, and local statutes and regulations related to solid waste? The developments anticipated by the Housing Element Update include 2,380 additional units. Although there would be increased generation of solid waste due to the proposed project, solid waste disposal facilities in Orange County would have ample capacity to accommodate solid waste generation. All new development would be subject to the existing SRRE requirements and thus would reduce solid waste generation. The impacts are not significant. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 4-32 to 4-46) and Addendum (Pages 5-147 to 5-164) 3.17 MANDATORY FINDINGS OF SIGNIFICANCE a) Does the project have the potential to degrade the quality of the environment, substantially reduce the habitat of a fish or wildlife species, cause a fish or wildlife population to drop below self-sustaining levels, threaten to eliminate a plant or animal community, reduce the number or restrict the range of a rare or endangered plant or animal or eliminate Important examples of the major periods of California history or prehistory? b) Does the project have impacts that are individually limited, but cumulatively considerable? ("Cumulatively considerable' means that the incremental effects of a project are considerable when viewed In connection with the effects of past projects, the effects of other current projects, and the effects of probable future projects.) c) Does the project have environmental effects, which will cause substantial adverse effects on human beings, either directly or indirectly? City of Tustin • Page 56 3. Environmental Analysis The adoption of the Housing Element Update would not cause negative impacts. However the implementation of the Tustin Legacy could cause significant impacts to the environment. These impacts are identified in the Program EIS/EIR for MCAS -Tustin and Addendum, and there are no additional impacts that would be created. On January 16, 2001, the City Council considered the benefits of the General Plan Amendment incorporating the Tustin Legacy and balanced those benefits against the unavoidable effects related to aesthetics, cultural, and paleontological resources, agricultural resources, traffic/circulation, and air quality. A Statement of Overriding Consideration was adopted along with the General Plan Amendment. Mitigation Measures/Monitoring Required: No mitigation measures are necessary. Sources: Tustin City Code Tustin General Plan Housing Element Update Program EIS/EIR for MCAS -Tustin (Pages 5-1 to 5-11) City of Tustin • Page 57 ATTACHMENT B Planning Commission Resolution No. 4095 ATTACHMENT B Planning Commission Resolution No. 4095 RESOLUTION NO. 4095 A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF TUSTIN RECOMMENDING THAT THE CITY COUNCIL APPROVE GENERAL PLAN AMENDMENT 08- 001, UPDATING THE TUSTIN HOUSING ELEMENT PURSUANT TO GOVERNMENT CODE SECTION 65588 AND MINOR TEXT AMENDMENT TO THE TUSTIN GENERAL PLAN. The Planning Commission does hereby resolve as follows: The Planning Commission finds and determines as follows: A. That California State Law Section 65588 requires each City to review as frequently as appropriate and to revise its Housing Element as appropriate. B. That minor text amendment to the Tustin General Plan is desirable to clean up and clarify certain items to bring the Tustin General Plan up to date. C. That a public workshop was held on May 21, 2008, to familiarize the general public with the purpose and intent of the Housing Element Update. D. That a public hearing was duly called, noticed, and held on said application on May 27, 2008, by the Planning Commission to consider and provide further opportunity for the general public to comment on and respond to the proposed Housing Element Update. E. That pursuant to the California Environmental Quality Act (CEQA) Guidelines Section 15063, the City of Tustin has completed an Initial Study to evaluate the potential environmental impacts associated with General Plan Amendment 08-001 and a Mitigated Negative Declaration was prepared for the project. II. The Planning Commission hereby recommends that the City Council approve General Plan Amendment 08-001, updating the Housing Element and minor text amendment to the Tustin General Plan as identified in "Exhibit A" and "Exhibit B" respectively attached hereto. PASSED AND ADOPTED by the Planning Commission of the City of Tustin, at a regular meeting on the 27"' day of May, 2008. JOHN NIELSEN Chairperson ELIZABETH A. BINSACK Planning Commission Secretary Resolution No. 4095 Page 2 STATE OF CALIFORNIA ) COUNTY OF ORANGE ) CITY OF TUSTIN ) I, ELIZABETH A. BINSACK, the undersigned, hereby certify that I am the Planning Commission Secretary of the City of Tustin, California; that Resolution No. 4095 was duly passed and adopted at a regular meeting of the Tustin Planning Commission, held on the 27 day of May, 2008. ELIZABETH A. BINSACK Planning Commission Secretary Element TUSTIN GENERAL PLAN May 2008 Final Draft This page intentionally left blank. A ;. TABLE OF CONTENTS Section INTRODUCTION TO THE HOUSING ELEMENT Purpose Of The Housing Element Scope And Content Of Element Consistency With State Planning Law General Plan Consistency Citizen Participation SUMMARY OF ISSUES, NEEDS, CONSTRAIN'T'S AND OPPORTUNITIES Summary Of Housing Needs Preservation Of Units At Risk Of Conversic� x Summary Of Housing Issues. Housing Constraints Housing Opportunities HOUSING ELEMENT GOALS AND POLICIES Housing Supply/Housing Opportunities Maintenance And Conservation Environmental S Related Goals Ar HOUSING ELEMENT I1 Five Ydu Quanti Identific-A Of Housing Pr€ gran dlicies ATION PROGRAM Objectives irdable Housing Resources APPENDICES A - Review of Past Performance B - Affordability Gap Analysis C - Public Participation Mailing List D - References Page 1 1 2 2 4 5 7 7 21 27 27 40 53 53 58 59 60 61 61 66 86 CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN i 2008 LIST OF TABLES Page TABLE H-1: STATE HOUSING ELEMENT REQUIREMENTS 3 TABLE H- 2: POPULATION GROWTH 8 TABLE H- 3:EMPLOYMENT PROJECTION 9 TABLE H- 4: LIST OF MAJOR EMPLOYERS 11 TABLE H- 5: JOBS/ HOUSING BALANCE 12 TABLE H- 6: APARTMENT INVENTORY CHARACTERISTICS 15 TABLE H- 7: TENURE OF HOUSEHOLDS WITH HEAD OF HOUSEHOLD 63 AGED 65 YEARS OR OLDER 16 TABLE H- 8: EMERGENCY SHELTER/TRANSITIONAL 65 HOUSING FACILITIES 20 TABLE H- 9: ASSISTED HOUSING INVENTORY 24 TABLE H-10: SUMMARY OF EXISTING HOUSING NEEM:., 27 TABLE H-11: ANTICIPATED DEVELOPMENT AT MCAS-TUSTIN 35 TABLE H-12: LAND INVENTORY AND RESIDENTIAL DEVELOPMENT POTENTIAL 41 TABLE H-13: PROGRESS TOWARD RHNA CONSTRUCTION NEEDS 42 TABLE H-14: VACANT AND UNDERUTILIZEI?�LAND WITH RESIDENTIAL D ME * POTENTFl L" 45 TABLE H-15: VACANT LAND SUITABLE FOR RESIDENTIAL DEVELOPIVI'ENTS 49 TABLE H 16r MOUSING R TED GOALS AND POLICIES BY ELEMENT 60 TABLE H 17 CON UCTION QUANTIFIED OBJECTIVES SUMMARY 63 TABLE H-18: REHA$ TION, PRESERVATION, AND OTHER AFFOABLE HOUSING QUANTIFIED OBJECTIVES 65 TABLE H-19: SUMMARY OF QUANTIFIED OBJECTIVES 66 TABLE H- 20: LOW AND MODERATE INCOME HOUSING SET ASIDE FUNDS PROJECTIONS 67 TABLE H- 21: AFFORDABLE HOUSING RESOURCES 69 TABLE H- 22: HOUSING ELEMENT PROGRAMS 2006-2014 87 CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN ii 2008 INTRODUCTION TO THE HOUSING ELEMENT The availability of decent housing and a suitable living environment for every family has been of increasing concern to all levels of government. In California, this concern is addressed by the California Government Code requirement that each City adopt a Housing Element as a mandatory part of its General Plan. State Planning Law mandates that jurisdictions within the Southern California Association of Governments (SCAG) region adopt revisions to their Housing Elements by June 30, 2008. As a consequence of for various aspects of the Housing Element pi three relevant time periods: 4"11 1998-2005: The previous planning 1 30, 2005. January 2006 -June 2014: a construction needs. due date, a series of time frames ration are established. There are qr h1t 1998, and ended on June r for assessing short-term housing ° 2008-2014: an mentation period for hofg programs The planning period for the Regional Housing Needs Assessment (RHNA) as prepared by SLAG, is from January 1, 2006 W June 30, 2014, an eight and one-half year perioch 'Thw, implenuntafim period cowered by this element is June 2008 to June 2414 By 201Xt" Ci along wig other jurisdictions in the SLAG region, again will begin preparation ' for a revision of the housing element to cover the period from 2014-2019 PURPOSEOF THE HOUSING ELEMENT The Lai d Use Element is concerned with housing in a spatial context while the Housing Element identifies housing programs aimed at meeting the identified housing needs of the City's population. The Tustin Housing Element includes the identification of strategies and programs that focus on: 1) housing affordability, 2) rehabilitating substandard housing, 3) meeting the existing demand for new housing, and 4) conserving the existing affordable housing stock. The Tustin Housing Technical Memorandum provides background information and supporting documentation. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 1 2008 SCOPE AND CONTENT OF ELEMENT The State Legislature recognizes the role of the local general plan, and particularly the Housing Element, in implementing statewide housing goals. Furthermore, the Legislature stresses continuing efforts toward providing affordable housing for all income groups. The Legislature's major concerns with regard to the preparation of Housing Elements are: Recognition by local contributing to the at Preparation and coordinate- with housing goals; goverrunents of their responsibility in ainrnent of State housing goals; ementation of hour` ,elements which ,"and Federal efforts in wing State r Particinati6m by local required to a►ttaiw* Cooperation bF hati6ing needs. The State Department of (HCD`) . sets forth specific in determining efforts housing governments to address regional , and Community Development ents regarding the scope and content of Housing exnwnt*. CONSISTENCY WITH S'K'ATE PLANNING LAW The preparation of the City's Housing Element is guided by and must conft m to Section 65580 et seq. of the California Government Cade. In the introduction of these Government Code sections, the Legiture establishes a policy that the availability of housing in a suitable environment is of vital statewide importance, and a priority of the highest order. It further states that local governments are to address the housing needs of all economic segments, while considering the economic, environmental and fiscal factors and community goals set forth in the General Plan. The following table cites the required components for the Housing Element and cites the document and page references for the required components. CITY OF TUSTIN GENERAL PLAN 2 HOUSING ELEMENT 2008 TABLE H-1 STATE HOUSING ELEMENT REQUIREMENTS CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 3 2008 Required Housing Element Component Page A. Housing Needs Assessment 1. Analysis of population trends in Tustin in relation to regional treIds HTM 9 & HE 8 2. Analysis of employment trends in Tustin in relation to regional trends HTM 12 & HE 9 3. Projection and quantification of Tustin's existing,, and projected housing meds HE 27, HE 40, HTM for all income groups ' _ 40 4. Analysis and documentation of Tustin's housing characteri�cslacluding the following: a level of housing cost compared to a to pay; '' HTM 22 b overcrowdin • HTM 17 c) housing stock condit HTM 31 5. An inventory of land suitable fai residential development including vacant sites HE 40 and having redeveibpment potential and an analysis of the relationship of zoning, public facilitieit slid services to these sites 6. Analysigt - existg anc potential gnental constraints upon the HTM 49 & HE 32 maintenance, im�ent, or dowelopment of housing for all income levels 7. Analysis of existing and" potential twh-governmental and market constraints HTM 62 & HE 30 upon maintenance, impro4ment, or' development of housing for all income levels 8. 71 Analysis of spe' 7.W housing need: disabled, elderly, large families, female- HE 15 & HTM 23 headed householdis, fanv*orkers 9. Analysis concerning the needs of homeless individuals and families in Tustin HE 18 & HTM 26 10. Analysis of opportunities for energy conservation with respect to residential HTM 67 development B. Goals and Policies 1. Identification of Tustin's goals, quantified objectives and policies relative to HE 53 maintenance, improvement, and development of housing CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 3 2008 TABLE H-1 STATE HOUSING ELEMENT REQUIREMENTS Source: California Government Code, §65583 et aL While a city must Consider housing needs for all economic segments, it must also maintain internal consistency among other elements of the General Plan as required by state law. Neither the Housing Element nor any other element may supersede any other required Tustin General Plan elements. The Housing Element relates to other elements in a variety of ways. The Land Use Element directly relates to the Housing Element by designating areas of the City in which a variety of residential types and densities exist. The Housing Element's relationship to the Conservation, Open Space, and Recreation Element is conditioned by the need to serve a growing population's recreational needs in the areas of the City with CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 4 2008 Required Housing Element Component Page C. Implementation Program An implementation program should do the following: 1. Identify adequate sites which will be made available through appfopriate action HE 58-98 with required public services and facilities for a variety of housing types for all income levels 2. Assist in the development of adequate housing to meet the needs of Idw-and HE 58-98 moderate -income households 3. Identify and, when appropriate and possible, remov+ overnmental constraints - 58 9S to the maintenance, improvement, and development ofusiing' 4. Conserve and improve the condition a the existing and affordable housing HIE 58-98 stock 5. Promote housing opportunities for all persons HE 58-98 6. Identify programs to address the potential- Conversion of assisted housing HE 58-98 developments to ttkrket rate unfits Source: California Government Code, §65583 et aL While a city must Consider housing needs for all economic segments, it must also maintain internal consistency among other elements of the General Plan as required by state law. Neither the Housing Element nor any other element may supersede any other required Tustin General Plan elements. The Housing Element relates to other elements in a variety of ways. The Land Use Element directly relates to the Housing Element by designating areas of the City in which a variety of residential types and densities exist. The Housing Element's relationship to the Conservation, Open Space, and Recreation Element is conditioned by the need to serve a growing population's recreational needs in the areas of the City with CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 4 2008 the highest density. Also, housing needs for low cost land must be balanced by the need to conserve natural resources. The Circulation Element attempts to provide an efficient and well- balanced circulation system. This system must be designed to accommodate allowed land uses, including residential uses, and the intensity of allowable uses should not exceed the ultimate capacity to accommodate them. The Safety Element relates to the Housing Element by designating areas that are unsafe for development such as Alquist-Priolo Zones, floodplain, etcetera. Similar to the Safety Element, the Noise Element relates to the Housing Element by addressing a : health related., issue area. Techniques for reducing noise o,,involve buffers, between land uses. The Growth Managenient tWment overlaps, the issues raised in the Housing Element in , its effortw,..to erasure that the planning, manage, and implementation 0,6,` traffic improvements and pubic facilities are adequate to meet the current and projected needs of Change County. The Housing Element has been reviewed for consistency with the City's other Caeneral Man elements and policy directions. As parts of the Gneral Pt are amended in the future, this housing element will be reviewed to ensure that consistency is maintained. CITIZEN PARTICIPATION ThO-Ca ornia Government Code requires that local governments make diligent efforts to solicit public participation from all segments of the community in the development of the Housing Element. Public participation in the Housing Element Update process occurred through the following methods: ° A public workshop was conducted on May 21, 2008 to present the draft Housing Element and provide an opportunity for interested persons to ask questions and offer suggestions. Notice of this workshop was published in the Tustin News, on the City's website, and was also mailed to CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 5 2008 the City's list of local housing interest groups. A copy of the mailing list is included as Appendix C. ° Specific implementation programs included in the Housing Element Update were also discussed at various public hearings over the last 18 months in anticipation of the Housing Element Update. These.,. hearings include the Federal Community Developmerd Block Grant Program public hearings held on February 25, 2008, April 15, 2008, and May 6, 2008, adoption of, the City's of Tustin's Comprehensive Housing, Affordabithy Strategy for fiscal years 2008-2018 public heartng held on and adoption of the- Second Five-year Implementation Piart the Town Center and South Central Redevelopment Project k, easy f6i - fiscal years 2005-2006 to 2009-2010 public hearing hon December 6, 2004. ° Public hearings ,were held on Commission sand o June 17, provide addiWnal oppdrtur coiii*ent on the Musing El documents. .Y 27, 2008, by the Planning k1by the City Council to for public review and t Update and supporting CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 6 2008 SUMMARY OF ISSUES, NEEDS, CONSTRAINTS AND OPPORTUNITIES This section of the Housing Element summarizes Tustin's current and projected housing needs to form the basis for establishing program priorities and quantified objectives in the Housing Element. This section also: • Estimates the number of households that mee# F special consideration when discussing specialized nef • Evaluates assisted units at risk of conversion: • Describes constraints that may disco • Examines housing opportunity sites. SUMMARY OF HOUSING NEEI or State criteria for of new housine; and A number r( factors will influence tl :degree of demand or "need" for housing in Tustin. Themajor "needs" categories considered in this Element include: Ho4shig ne!eds., resulting from increased population and emtment grtrtt in the City and the surrounding region; Housing needs resulting from household overcrowding; Housing needs resulting from the deterioration or demolition of existing units; Housing needs that result when households are paying more than they can afford for housing; Housing needs resulting from the presence of "special needs groups" such as the elderly, large families, female -headed households, households with a disabled person, and the homeless; and Housing needs resulting from conversion of the assisted housing stock to market rate. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 7 2008 Population Growth As shown in Table H-2, between 2000 and 2007 the City's population grew from 67,504 to 72,542, an increase of 7.5%. The City of Tustin's growth rate between 2000 and 2007 was slightly slower than the countywide growth rate but faster than most surrounding cities. Recent projections cited in the Comprehensive Affordable Housing Strategy 2008, indicate that Tustin's population will increase by an annual rate of approximately 1.5% during this implementation period, bringing the total population to 86,Qj by the year 2015. Table H-2 compares the City's growth rate betweOn 2000 and 2007 with other Orange County cities and the County as a whole. A large percentage of Tustin�apopulati+©n growth cane attributed to annexations that have occurredw-,since..1980. The rem der can be attributed to a variety of other yrs, including shifts in family structures from smaller to larger fan4hei s, redevelopment of existing developed areas, infill.., developme and new residential construction in East Tustin andTustin Leggy''(former Marine Corps Air Station [MCAS] tustin) ,, }�stantiaf population and housing erowth wilftpntinue du ting this plarv# g period with the continued development a Tustin Legacy. TABLE H- 2 POPULATION GROWTH 2000-2007 CITY bF TUST , SWMOUNDING JURISDICTIONS AND ORANGE COUNTY % Growth urJ ction 2000' 2007 2 2000-07 Tustin67,5134 72,542 7.5% Aiuhe' 328,014 345,556 5.3% Gardot Grove 165,196 172,781 4.6% Irvine 143,072 202,079 41.2% Santa Ana 337,977 353,428 4.6% r-,,,. - +„ 2.846.289 3,100,313 8.9% Source: 1 2000 U.S. Census 2 Devarhnent of Finance estimates, 2007 Population projections are shown in Table H -2A. According to Orange County Projections (OCP) 2006 data, the population in the City of Tustin is expected to increase by approximately 10 percent to 88,694 persons by the year 2025. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 8 2008 TABLE H- 2A Population Projection Employment According to 2000 Census. data, the City o€'i stin had 36,681 residents in the labor forces cwhich 34,906 (95.2%yre in the labor market. Of these, 79.3% wezwlpnvate,*ages and s workers. Table HTM-4 in the Technical and't shows die breakdown of employees by occupation. _rr}. In 2000, the largest oeeupAtional categiory ;.was professional and related occupations, in wl ich 'tt total of 7,467 were employed. The second la t categoryWas the ement, business, and financial operations 6&u pations, employing 6.0&7. Table H-3 provides employment projections between the years 2010 and 2026-;�'p& to OCP�M Modified data, employment in the of Tush, is expec'W-increase by approximately 47 percent by the year 2025tl��,,, TABLE H- 3 Employment Projection 2010 2015 2020 2025 Percent Change (2010-2025) Tustin 80,728 86,621 881245 88,694 10% Employment According to 2000 Census. data, the City o€'i stin had 36,681 residents in the labor forces cwhich 34,906 (95.2%yre in the labor market. Of these, 79.3% wezwlpnvate,*ages and s workers. Table HTM-4 in the Technical and't shows die breakdown of employees by occupation. _rr}. In 2000, the largest oeeupAtional categiory ;.was professional and related occupations, in wl ich 'tt total of 7,467 were employed. The second la t categoryWas the ement, business, and financial operations 6&u pations, employing 6.0&7. Table H-3 provides employment projections between the years 2010 and 2026-;�'p& to OCP�M Modified data, employment in the of Tush, is expec'W-increase by approximately 47 percent by the year 2025tl��,,, TABLE H- 3 Employment Projection ....,,.....,...,... �....,�, ..avu.aicu, A IcFmt!u-uy %--tmier ror uemograplllC KesearctL In terms of industry, the manufacturing, and educational, health and social service sectors employed the largest number of persons with 5,980 (17.1%a) and 5,081 (14.6%) employees, respectively. Table H-4 is a summary of the number of employees by industry. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 9 2008 2015 2020 2025 Percent Change (Zma2o25) Tustin 46,742 56,340 64,386 68,551 47% ....,,.....,...,... �....,�, ..avu.aicu, A IcFmt!u-uy %--tmier ror uemograplllC KesearctL In terms of industry, the manufacturing, and educational, health and social service sectors employed the largest number of persons with 5,980 (17.1%a) and 5,081 (14.6%) employees, respectively. Table H-4 is a summary of the number of employees by industry. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 9 2008 Due to its favorable location, demographics, and business environment, Tustin is home to several best known employers. Appendix C lists major employers in the City of Tustin. The City's top ten employers include: Tustin Unified School District, AT&T, Ricoh Electronics, Inc., Rockwell Collins, Cherokee International, ADC Telecommunications, Balboa Instruments, Toshiba America Medical Systems, the City of Tustin, and Costco Wholesale. Table H-4 provides a list of the L Tustin in 2007. The list includes manufacturing, health care, retail, ate sector employers in of industries, including kw -v sectors. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 10 2008 TABLE H- 4 LIST OF MAJOR EMPLOYERS IN TUSTIN. CA Company/Address/Telephone No. Emp. Product/Service Tustin Unified School District - (714) 730-7301 1,886 Education 300 South C St. - Tustin 92780 AT&T - (714) 259-6667 1,300 Telecommunications 1442 Edinger Ave.- Tustin 92780 Ricoh Electronics, Inc - (714) 259-1220 1,039 - Manufacturer 1100 Valencia Ave. - Tustin, 92780 Rockwell Collins - (714) 317-8102 700 Manufacturer 14192 Franklin Ave.- Tustin, 92780 Cherokee International - (714) 544-6665 2841 330 Power Supplies Dow Ave. - Tustin, 92780 7 f ADC Telecommunications, Inc - (714) 259-7729 3001. Tel kbanimmications 15621 Red Hill Ave. - Tustin, 92780 ui� _„t Balboa Instruments- (714) 384-0384 Electaaonic 1382 Bell Ave. - Tustin, 92780. Manufacturer Toshiba America Medical Systems - (714) 735000 Distributor, Medical 2441 Michelle Dr. - Tustin, 92780” Equipment City of Tustin - (714) 573-3000 - r 300 Government 300 Centennial Way - Tustin 92780 Costco Wholesale - (714) 83&79%24 Wholesale Trade 2655 El Camino Real - Tustin 92719 Woodbridge GlassIns (714) 838-44 205 Glass & Glazing Work 14321 M ford Rd. - Tustlit 92780 Costco Wholesale - (714)331943 s 200 Wholesale Trade 2700 Park Avt -Justin 927W -' Logomaj*ft'tc. - (71#'OV5-610tY°-<fw 7 3 200 Wholesale Trade 1201 BeIrAve. - Tustin 922 � SME Corporation of Amer"- (714) 66940941 200 Manufacturer 14191 rd Rd. - Tustin 92780 Tustin Hoaa! - (714) 669-5893200 , Hospital 14662 Ne _ Ave. - Tustin, 80 Vitatech Internatal, Inc. - (714) 832-9700 178 Pharmaceutical 2832 Dow Ave. - T b. ' 927 Preparations Home Depot - (714) 85&946 154 Retail 2782 El Camino Real - 'I' tis M 92780 Straub Distributing Company - (714) 247-7300 150 Wholesale Trade 2701 Dow Ave. - Tustin, 92780 Dawn Food Products, Inc - (714) 258-1223 150 Wholesale Bakery 15601 Mosher Ave. - Tustin, 92780 Durabag Company Inc - (714) 259-8811 150 Manufacturer 1301 Santa Fe Dr. - Tustin, 92780 wv..�.u. �..uy vi 1 - vvemize, uuover Lb, zw/, I ustln (Aamber of Commerce, Tustin Community Development Department, and Orange CountyWorkforce Investment Board 2007 CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 11 2008 Jobs -Housing Balance The "jobs -housing balance" test is a general measure of a community's employment opportunities with respect to its residents' needs. A balanced community would reach equilibrium between employment and housing opportunities so the majority of the residents could also work within the community. Table H-5 shows the 2005 jobs -housing balanc as well as Orange County and the Southern C had a jobs/housing ratio of 1.56 in 2005, whi the region had jobs/ housing ratios of 1.48 and demonstrates that Tustin is ar job -rich commm county and regional averagesC,� TASU1- 5 2005 for the City of Tustin ifornia region. Tustin Orange County and .19, respectively. This ty �r lien compared to SCAG 7,12 Lo bs/Housir#g Ratio 1.56 1.48 1 1.19 Sour W Califaania Department of Finance; Center for Demographic Research; SCAG; !'..w.ybn aa� Ta AffnrriahloHnuSin¢Strateev2008-2018. "V Chum"'V Wiar, Along wit'll the City's population growth, there has been an increase in unit overcrowding, as households "double up" to save on housing coats. Ovettrowding is often reflective of one of three conditions: 1) a far iBy 0.. household is living in too small a dwelling; 2) a family shoos to house extended family members (i.e., grandparents or grown children and their families living with parents, termed doubling); or 3) a family is renting living space to non -family members. State and Federal Housing Law defines overcrowded housing units as those in which the ratio of persons -to -rooms exceeds 1.0. The rooms considered in this equation exclude bathrooms, kitchens, and hallways, but includes other rooms such as living and dining rooms. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 12 2008 According to SCAG's 2007 Final RHNA, the incidence of overcrowding in Tustin was high in 2006, at 4,285 households, or 18.0 percent of all households. Renter households had a significantly higher incidence of overcrowding than owner households: 28.9 percent of renter and 6.9 percent of owner households were overcrowded. The 2007 Regional Housing Needs Assessment (RHNA) prepared by the Southern California Association of Governments (SCAG) figures showed 2,390 (9 percent) households living in overcrowded conditions of which 51 percent were Low- income households. Low-income households are those earning 80 percent or less than the county median family income (MFI). Income levels are discussed further in the `aiff6rdabilitV0" tinn Substandard Units By 2010, 68 percent of the City's hung stock will be over 30 years old, the age at why housing tend" q require significant repairs. This indicates a potentai4: need for rehabilitation and continued maintenance of over 14,500 dwelj ng units'. Affwdabilif State aad Federal standard. fpr rental housing overpayment are used oralsin Ito- houg cost ratio of 30 percent and above. 1lkd hold Vaying ger than this percentage will have less income left ov*r for other necessities, such as food, clothing and , health cafe. Uppok income households are generally capable of 4 paying a %ger proportion of their income for housing, and therefore estimates a housing overpayment generally focus on lower income The 2907 RHNA estimates show 6,190 of Tustin households were paying more than 30 percent (overpaying) of their income on housing needs. Of these over -payers, 3,935 or 64% were lower- income households (<80% of MFI), of which 2,410 were classified as Extremely -Low and Very Low-income households (<50% of MFI). The distinction between renter and owner housing overpayment is important because, while homeowners may over -extend themselves financially to afford the option of home purchase, the owner always I Housing Element Technical Memorandum Table HTM-21. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 13 2008 maintains the option of selling the home, thereby generally lowering housing costs. In addition, home ownership affords tax benefits to reduce monthly costs. Renters are limited to the rental market, and are generally required to pay the rent established in that market. According to the RHNA, of the total 3,935 lower income households identified as overpayers, 2,660 were renter households and 1,275 were owner households. This discrepancy is, largely reflective of the disproportionate number of rental housing units in the City and the tendency of renter households to have lower incomes than owner households (see Table HTM-12 in Technical Memorandum). Table H-6 summarizes the inventory in the City of Tus data from REALFACTS. , I arscteristics of the current apartment as of the second quarter 2007 based on properties and 5,903 units, with ani, av All properties in the inventory has between 1957 and IW7. Therefore, multifamily propertki, r The overall rental vacancy rater 2007 was 4A percent, up slightly fror we a total ouL�,F-apartmernt lg*,of 203 units per property. least 93 units and were built e data do not include small f'in the second quarter of percent in the first quarter of 2007. Generally, a vacaixcy rate of v6 percent is considered to reflect a "tight" housing market. 'As noted above, Department of Finance data for Tustitf as of January 2007 show a vacancy rate of 2.71 percent far. all homing type in Tu§tfri (single- and multi -family, owner and The data show diA approximately 40 percent of apartment units in the City have one bedroom, 52 percent have two bedrooms, and 5 percent hae three bedrooms. Average' monthly rents are $1,292 for a one-bedro6m, one -bath unit. For two-bedroom units, average rents are $1,436 for units with one bath, $1,253 for units with thalf baths, $1,810 for units with two baths, and $1,674 for two-bedroom townhouse units. The average monthly rent for a three-bedroom unit with one and a half baths is $1,641 and for a three-bedroom unit with two baths the average rent is $2,431. The average rent for a three-bedroom townhouse unit is $1,861. The weighted average rental rate for the inventory increased 5.4 percent over the past year2. Rents for one-bedroom/one-bath 2 These weighted average rents weight the average rent by bedroom count by the number of units in that bedroom count category. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 14 2008 properties increased the most at 6.9 percent, followed by three- bedroom townhouse units at 6.8 percent, junior one -bedrooms at 6.6 percent and two-bedroom/one-bath units at 5.2 percent. TABLE H- 6 Apartment Inventory Characteristics City of Tustin June 2007 Unit Size Units Percent Average, SF Average Rent Average Rent/SF Studio 200 3.4% 521 $1,138 $2.18 r 1 BR 32 0.5`' 470 $1,050 $2.23 1 BR/1 BA 2,312 342° 733 $1.292 $1.76 2 BR/1 BA 706 12.0 974 $1,4 $1.47 2 BR 1.5 BA 266 4.564 � � _ "51111- $1,2W $1.33 2 BR/2 BA 1,885 31.9% 1,024 $1,8f6 $1.77 2 BR TH 1? ,. 3.3°k ' 074 $1,674 $1.56 3 BR 1.5 BA 36 0.6% 131 $1,641 $1.20 3 BR/2 BA 216 z _�'V0/0 1,1a $2,431 $2.07 3 BR TH 56 0.9 1,441. , $1,861 $1.29 TOTAL 5,903 1000% 8 49 $1,528 $1.72 vruruuse ur= the Total row are weighted averages. 2008 - 2018 AttordAbility Gap Analysis: In addition to information related to Housing " Contra t* provided in the City's Housing Element Technical Memorandum, a Comprehensive Housing Affordability Strategy has been prepared. The report contains a detailed affordability gap analysis to illustrate the "gap" between the cost of deVelopulg housing for rent and ownership and what households at a vary of income levels can afford to pay toward their housing expenses. A Summary of Renter and Owner Affordability Gaps for certain prototypical unit types and incomes are provided as Appendix "B.3" 3 Summary based on data contained in Comprehensive Housing Affordability Strategy, 2008. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 15 2008 Special Needs Groups Certain segments of the population may have a more difficult time finding decent, affordable housing due to special circumstances and may require specific accommodation or assistance to meet their housing needs. Included as special needs groups are the elderly, disabled, female -headed households, large families, and homeless. With the closure of MCAS -Tustin, military personnel are no longer covered as a special needs group. Additionally, there are no known "farmworkers" residing in Tustin and, therefore, this group is not discussed. Elderly: The special needs of many elderly households result from their lower, fixed income ? physical. disabilitiesj­ands need for assistance. As shown in Tablk,HTI�»±; `` persons aged 65 years or older in Tustin comprised 7.1 perre'"'Ilr-if the population in 2000. Table H-7 shows the,, tenure of h6b§eholds with the head of household aged 65 years -or older in the City of Tustin in 2000. The City had 747 renter hbusehoi4t and 2,086 owner households with a head of household aged 65 years or. ldgr. Households with a senior hnii-Phoider enresented11.9 percent of all households in the City. TABLE H- 7 Tenure , Hbtis+e� with Fuad of Household Aged 65 Years or Older City of Tustin �2000 Head of Household 65 Years or Older If Households % Households Pqre 747 6.2%1 2,086 17.6%2 useholds 2,833 11.9°b3 3 As $-percentage of 1202 renter households. 2 As a percentage of 11,829 owner households. 3 As a percentage of 23,831 total households. Source: 2000 U.S. Census; Comprehensive Affordable Housing Strategy 2008 - 2018. Table H -7A shows the estimated household income distribution for householders aged 65 years or older in 2000. Approximately 27 CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 16 2008 percent of elderly households earned less than $20,000 annually, or about 36 percent of AMI for a household of two persons in 20W.4 TABLE H -7A Estimated Household Income Distribution Households with Head of Household Aged 65 Years or Older City of Tustin 2000 Income Range Number' Percent Cumulative % Less Than $10,000 300 10.49 10.4% $10,000-$19,999 467 y 16.2% 26.6% $20,000-$34,999 618 21.4% 48.0% $35,000-$49,999 439 15.2% 63.2% $50,000-$74,999 520 18� x'.91.2% $75,000-$99,999 211"1 .3% "88.5% $100,000 or More 332 11.5% 100.0% Total Households Derived by applying the percentage of%p .olds with hea household aged 65 years or older by income category from Suspmary F 3 Fatale F55 (based on sample data; total number of households s *Wn as 23,853) to a total 43,SA lig lds from Summary File 1, Table H-1 for consistency wifsa#her Census daft pt the numberchouseholds used in this report. r , Source: 2* U.S. Censuo�ComprehensiviAffordable Housing Strategy, 2008-2018. Uisablec Yhysknk disabilitiefcan hinder access to housing units of tt*ditional = 4esign and ntiaally limit the ability to earn adequate incoi.,According to the 2000 U.S Census, a total of 7,610 persons in Tustin bRtween, 16 Rand 65 years of age reported a disability. In addition, 1,1795 persons over age 65 reported a disability in 2000. Special housing needs of disabled individuals include wheelchair aoo;essibil.W' , railings, and special construction for interior living spa6s,.The Housing Element sets forth policies to encourage the development of disabled -accessible housing (see policies 1.14, 1.17, 1.19). Large Families: A family household containing five or more persons is considered a large family, as defined by the Census. Large families are identified, as groups with special housing needs because of the limited availability of adequately sized, affordable housing units. Large families are often of lower income, frequently resulting in the 4 HUD median household income for a family of four in Orange County in 2000 was $69,600. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 17 2008 overcrowding of smaller dwelling units and accelerating unit deterioration. According to the 2000 Census, 3,267 family households, or 15 percent of all households, had five or more persons (see Housing Element Technical Memorandum Table HTM-14). Of those, approximately 40 percent were owner -households and 60 percent were renter households. Female -Headed Parent Households The�ousing needs of female - headed households with children are `generally related to affordability since such households typical* _ have lower than average incomes. Accordin&to the 2000 Census,'`dke City of Tustin had 1,178 female -headed hou�olds with children lei than 18 years of age. The Homeless: M uring the extet+of the homeless population specifically in Tustin: remsA s a challenge for community leaders. To complicate the challenge of ' eeting hom s ess personneeds, the issue of homelessness is cgpside : regional in nature. Nomadic tendencies 6k, homeless persons nye it difficult to assess the population ac+rately on a citywide basis; therefore,, homelessness should be addressed on a" countywide basis, in conjunction with cities and focal nowprofit orp izations. Tt,?rang"ipunty Pigg and Community Services Department (HC5-' defines homelessness as not having a permanent address, sleeping in placei"not meant for habitation, not having ample food and medical attention or a place to change clothes or bathe. Per this definition, PCS estimates there are nearly 35,000 homeless in the �County. The County's homeless population is comprised of about 30 pepcent individuals and 70 percent families, including an estimated 16,300, homeless children. For those 35,000 homeless, there are only about 3,400 available beds, including 1,512 emergency shelter beds and 1,888 beds in transitional housing facilities. The homeless population is comprised of subgroups, which include: a) The economic homeless who lack financial resources to pay rent; b) The situational homeless who have suffered economic or personal trauma and find themselves in personal disorganization; and, CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 18 2008 c) The chronic homeless who are unable to care for themselves due to chronic illness, disability or debilitating substance abuse. The City of Tustin's 2005-2010 Consolidated Plan states that, according to police reports and windshield surveys performed within the City of Tustin, most homeless persons migrate through Tustin to other parts of the County rather than stay for extended periods of time within the City. The City's Police Department estimates that there are 10-12 homeless per residing in the City at any given time. There are numerous factors thatc6ri ribute to hmaelessness in Tustin and Orange County. The known causes of honi elessness include unemployment, limited -,,"and a breakdown in dw family as a social and economic unit. AdtftonaW, cutbacks in social service programs and the de-institutiona 4 -on of the mentally ill during the 1980s have cortbaj uted to the hon*ss population. A new trend, however, is emerging, as, a significant, contributing element to homelessness: a fast-*owin lwk of affordab a housing, which could exacerbate any of the above ccxtdifions, but may increasingly become a starul a3 ,cause of h essness. -, Although then* are no established areas where homeless persons congregate in the City, there `several homeless services facilities in the, City. '' Of the shelters in Tustin, the 45 -bed Sheepfold shelter prudes shag, food, ck&n& job training, and job -referral services primari to ba6ved women and children. Guests are admitted on a first -comb, first-seived basis. Usually all beds are fully occupied. The shelter services a large area including many portions of Orange and San Bernardino Counties. WAtlzin the City of Tustin, there are a variety of Non -Profit Orgaations (NPOs) that provide direct housing and related services to homeless persons. These include Village of Hope, an emergency/ transitional home; Sheepfold, a feeding program affiliated with the United Way; Families Forward, . a homeless provider; Olive Crest, transitional homes and services for abused and neglected children, a and Laurel House, an emergency shelter and transitional housing provider for homeless youth in the City. Additional programs will also be provided at the Tustin Legacy site. A Homeless Assistance Plan has been established for MCAS, Tustin that is consistent with the continuum of care model embodied in the CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 19 2008 Consolidated Plans for the Cities of Tustin and neighboring Irvine. The fundamental components of the continuum of care system to be implemented with the WAS Tustin Specific Plan would: Provide emergency shelter beds and intake assessment Offer transitional housing and services Provide opportunities for permanent affordable housing by the private sector. in the Tustin Legacy, the Local Reclevelopraent Agency owns sites and four homeless service providers including,the Salvation Army, Orange Coast Interfaith Shelter, Families Forward, and Human Options have been approved and currently are operating 48 family units. The Orange Count' Rescue Mission opera*s;. a 192 -unit transitional/ emergency shelter iI1W of, Hope) and- the Orange County Social Services Agency wil( operate a 90 beds facility for abused and neglect children and thett family. Numerous other agencies pro le shelter and other services to the homeless *,the nearby' cities of Sarft Ana, Irvine, and Orange. The Orange Courity Homele Issues Tas 'Force, a non-profit homeless advocacy organization, maintains a list of these and other homeless servie& in Orange County. "cable HTM-16 is a list of organizations in Tustin that prd'' ide homeless services. TABLE H- S y EMERGENCY SHELTERIMANSITIONAL HOUSING FACILITIES CITY OF TUSTIN Facility Services Provided Provides shelter, food, clothing, job training, and Sleepf°Id job -referral services to women with children. Temporary housing for teenagers in crisis. The Laurel House facility also provides food, informal counseling, and access to medical care and clothing.. St. Cecilia's Distributes food supply to needy populations. gates emergency food program where a Redhill Lutheran rson can receive food supply 3 times a year. Collects food supplies and distributes the food to Tustin Presbyterian various organizations involved in providing homeless services. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 20 2008 Aldergate Refers interested persons to Ecumenical Services Alliance in Santa Ana. 192 beds transitional home at the Village of Hope Village of Hope to be operated by the Orange County Rescue Mission 90 beds intermediate care shelter for abused Tustin Family Campus children and their parents to be operated by the Orange County Social Services Agency. Salvation Army Six (6) new transitional units at Tustin Field I to be operated ) y Sedvation Army and Acquisitidii of 16 transitional units in Buena Park Salvation Army to be©Krated by Sa1v&Wn Army. The City aested iii acquisition and'ntributed grant ft(nds to ac the units Fti rteen (14 new transitional urAtsof Columbus Families Forward' Gra .to be G Ysted by Families rward, form a Temporary Housing in Irvine. Human Options Six (6) new) itional units at Columbus Grove to be operated* Human Options h Orange Coast Interfaith ' six new transitipnal units at Columbus Grove Sheltertq be odd �y Orange Coast Interfaith Shelter. Chough ffrWunits are locaW in the City of #vine, these units were negotiated as part the base wa nment/conveywxe process which Tustin is the Local Redevelopment AdditioAg discus� regarding land use regulations that apply to facilities sowing the homeless is found in the Housing Constraints section of this document and in the Technical Memorandum PRESERVATT UNITS AT RISK OF CONVERSION According to 2007 RHNA, Tustin has one project that contains units at risk of converting to unrestricted market rate during the 2006-2014 planning period. Tustin Gardens is a 101 -unit Section 221(D)(4) project with a Section 8 contract for 100 units that is due to expire on July 13, 2008. Projects financed under the Section 221(D)(4) market rate program alone have no binding income use restrictions. Current provisions under the law allow for the existing project to opt out of contracts or for HUD to terminate such contracts. The project owners CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 21 2008 of Tustin Gardens have indicated that they intend to continue or to accept the conversion of the project to individual Section 8 certificates (household by household income qualifying criteria). In addition to Tustin Gardens, there are at total of 177 units in three other bond financed projects (Rancho Alisal, Rancho Maderas, and Rancho Tierra) located in Tustin Ranch that are at risk of converting to market rate by 2012. Table H-9 is an inventory of all multi -family rental units assisted under federal, state, and/ or local programs, including HUD programs, state and local bond; programs, redevelopment programs, and local in -lieu fee, inclusiostary, density bonus, of direct assistance programs. The inventory inclines all units, that are ekole,'to convert to non -lower income housing `itses dv4 to terminatiari of subsidy contract, mortgage prepayment, or eiring use restrictions. Various restrictions and 0 units will convert to other Housing_ Preservation} (LIHPWJ 1991. TWO woufd be preserved for tai were "assured of fair -marks to the Act in 1996 restored the previsions' tom; dw, 01 ntives af%.the likelihood that at risk s. Congress sed the Low Income Lc- ": Resident" Homeownership. Act inure asd residents that their homes r remaining useful lives while owners compensation. However, modifications he owners right to prepayment, under 6erwould be encouraged to sell the l or other non-profit organizations. Tustin Gardens is tbe`only project based Section 8 subsidized project at -risk of losing affordability restrictions during the Housing Element planning griod. However, it appears unlikely that the affordability of these units will be threatened based on the determination that rn iect based Section 8 contracts can be renewed on an annual basis. Given the relative weakness of economic conditions and the current housing market, the city will proceed to negotiate the extension of affordability restrictions on these units. The amount of assistance provided will be negotiated based on the specific economics of each development and the potential availability of leverage financing, such as tax-exempt bonds and 4% tax credits. The total amount of funds allocated to this program during this planning period is $2,181,672. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 22 2008 Programs for Preservation of At-Risk Units: The City will make efforts to preserve units "at risk" at Tustin Gardens and the three projects owned by The Irvine Company in Tustin Ranch. The cost of acquiring and preserving the at-risk units is less than replacing the units with new construction. As discussed earlier, the City allocated $2,181,672 of the Redevelopment Housing Set Aside funds as the City enters into negotiation with respective property owners. Actual amount required to preserve these units is currently unknown. The City will also be looking at possible' subsidizing units and/or work with nonprofits in the community to explore possible new construction of replacement housing by nonprofits or acquisition of existing buildings with at risk units by nonprofit Organizations. The specific actions that the City *ill take'to protect (or replace) at risk units are identified in the kousmi g` Element Implementation Program. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 23 2008 12 w O H P7-1 vC4 C� �'HwHN G cuyr., v [ w u w X w a, ON ONN n 4 Lf)6 w w w Ln N rp" N N r l.4to N O N t 0 Z 0 o ° z 0 a 05 o'j �5y C lr F {.i Yui Fy F Fr � I.i M 1 bO 3 Q 60 y >� = uo�� u Pon o b o b s U° b m LO o 0 rn =C 0 0, 3 A c°c O. a� 3 C4 CLQ°zuo Lr) zuO Zg HLo u v33 � R G N a) p0 ° ¢ b w �c o a [ o x 8 G � 0� N . N N FQ U 0 0 0 y a� K a� > 2 c7 U (� w w w z Q¢ z z ON ' M ' N cli cn M d Ln w w w N 00 N O z z -,n - n�'s>-, !g a v`° Lw . 0 z o 0 z o 0 z o :� L ^�4 //���r ° •f(�� i+ rzW/S �y1 ° .IUWJ1{ �'a C {�y, (�°�y.. fY�% y +I' ��yy eye (°� 0 V ¢' . ���QaQ aQ �Q aQ ar �Q a� aQ LO r R; ° z bo �•» � �D OSE•- � °QH w��FHH Ri HN ¢H � U cu Q) w v w v w E- 00 wC'l c7 z Ncq N 8 N N (n + a 47 Un rn oG a > o ° Q) 1.y l F•i Q) Q,Z wau q. z^d Lo Cl w o Qb a a a vul IV 41 �+ 3 d o Z 7 v a, G 06 z , 4 0 U C7 SUMMARY OF HOUSING ISSUES Housing is a fundamental component of land use within a community necessary to support the resident population. Obtaining affordable housing has become a problem for persons of all income groups in California. The following Table H-10 presents an overview of households in the City with special housing needs or problems with their existing housing, such as overpayment or overcrowded conditions. The following text highlights the issues relevant to the City of Tustin, which are addressed by dw goals, policies and implementation plans. TALE H-19 a,. SUMMARY OF EXIMNG HbUSING NEED CITY OW"'> INTTN 2006-2014 Growth Deeds 1a-,; S ecial Needs Grou VeryLow nits ` �� 512 �� Elderl Pns2 4,804 Low Units 4? Disabled P `` 2,162 Moderate nits 46$ . a HouseW ds3 3,095 Above-Madetate (Units) 99'1' Fe 6* Households 1,700 x with C en under 18 ears TOTAL 3,380 Overcrowding Overpaying Households 1 Renter '_, 3,465 Renter - Total 3,080 Owner �. 826 ` Renter - <80% MFI 2,660 ., Owner - Total 3,110 Owner - <80% MFI 1,275 TOTA1 `,-L 4,285 1 Total 8,569 •-b ................,...8 ...,.:.,.:.--.a�c��„ac..a, .�nl,, cwt. 2 Persons age b5 and over. 3 Householdstlpritaining 5 or more people. Sources: 20Wensus; Comprehensive Affordable Housing Strategy 2008-2018. k_ ° Overpayment. 44 percent of the City's lower income households (households which earn less than 80 percent of the County median) are currently overpaying for housing (see Table HTM- 12). Overcrowding. Household overcrowding has increased over the past decade as individuals and families "double up" to save on housing costs. Over 18 percent of lower income households currently experience overcrowded conditions (see Table HTM-8). CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 27 2008 ° Housing Growth Needs. For the 2006-2014 planning period, SLAG identifies a housing growth need of 2,380 dwelling units in Tustin. These units are allocated among the following income categories: 991 above -moderate income units; 468 moderate - income units; 410 low-income units; and 512 very -low income units (see Table H-10). ° Large Families. 15.2 percent of City's households contain 5 more persons in the households. The average household size in the City was 2.91 in 2007, up slightly from 24.82 in 2000, largely due to changes in the ethnic composition. This i.cates a potential need for larger housing units to accommodate thesgfamilies (see Table HTM-14). pati Affordability Gap. Based upon avatfable information on rental rates in the City, it is difficult Uk id rental housing that is large enough and affordable for large;�w-income families (see Table HTM-24 and TaM-25).a . Elderly. As the C* s pointkwn agog, the number of elderly perste Wffli increase.This un res an increasing need to addressspecial housing needs -'of the elderly (see Table HTM- DisablkoDjjabJ . individuals have particular housing needs relating s ,access ancaptability. ° Femafe-Heacearent Households. Female -headed households made up 18 percent of all families with children under 18 in Tustin 1 2000. Many of these households have incomes below the poverty level and have special housing needs such as access tn childcare services. ° homeless. Growing numbers of homeless persons in Southern California have created particular housing and social service needs. The redevelopment of MCAS Tustin for civilian uses provides an opportunity for additional housing supply in the City including accommodation of the needs of the homeless and the need for affordable housing (see Table HTM-15). In addition, a group housing arrangement (with less than six (6) residents) in a single family home is not subject to a Conditional Use Permit (consistent with State Law). A group housing arrangement of over six (6) residents is classified as a boarding house. The R-3 CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 28 2008 and R4 zoning districts would allow for boarding houses with a Conditional Use Permit (CUP). ° First Time Homebuyers. High housing costs have put home ownership beyond the reach of many potential first-time homebuyers. • Governmental Constraints. Governmental regulations, such as land use controls, fees, and processing procedures, can act as constraints to the maintenance and production of housing. ° Units at Risk of Conversion to,Market Rate: By State law, the City must identify and develop progr`p ams and icies to address affordable housing u�itec `fat are at risk of converting` to market rate housing. During the 2-2014 `planning perk the City of Tustin faces the potential coneergi in of 100 low-ineome units (see Table HTM-277 : Tenure. The Cid hak a,,,, high prop n of renter -occupied housing as compared to otter iurisdictkins in Orange County. in 2000, 344 percent `'of the Cite nits were renter -occupied, cmpare to 38.6 percent rent occupied units countywide. P'romotion�of home ownership opportunities in the City may be necessary to maintain a ba)anced community (see Table HTM- 20). ° A�using 561r,,k Condition. Over 64 percent of the City's housing stoct is 30 yeas old or older - the age at which housing typically � . beginty to require major repairs. In addition, the lack of adequely sized affordable housing can lead to overcrowding k and in#turn, deteriorated housing conditions. Maintenance and 4=going of existing housing conditions over the long term maintenance of existing units, rehabilitation of replacement of substandard housing and programs to maintain neighborhood quality (see Table HTM-21). ° Historic Resources. Older neighborhoods in Tustin contain several historic residences that should be preserved as part of the community's heritage. These historic homes were identified through an inventory of historic buildings in 1990. Target Neighborhoods. A large portion of the City's lower income housing is concentrated in the southwest neighborhoods. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 29 2008 Targeted programs such as graffiti removal, proactive code - enforcement, loan and grant housing rehabilitation program, removal of abandoned vehicles, increased police presence, removal/ trimming overgrown trees in public right-of-way, various physical improvements for street widening, and street lighting and alley improvements have been implemented. Energy Conservation. Due to its climate, the City can take advantage of solar energy to reduce reliance on non-renewable energy supplies. HOUSING CONSTRAINTS Actual or potential constrai affect the development of existing units for all i infrastructure, arw env development in Tust� _4, greater detail in the Housin, the provision and' 60st of housing houses and the maintenance of N levels. Market, governmental, 'R, constraints to housing narize4 below and discussed in 2nt Techal Memorandum. renting 'or buying adequate housing is a primary it. High construction costs, land costs and market nts are contributing to increases in the cost of Constru ion (:Ai.,The 2005-2010 Tustin Consolidated Plan reports that the' single lamest cost associated with building a new house is the cost of building materials, usually comprising between 30 to 50 ,percent of the sales price of a home. Thesecosts are influenced by i y fact,�rs such as the cost of labor, building materials, and site prrati6n. The Residential Cost Handbook, published by Marshall & Svtt estimates that the cost of residential two-story wood frame construction averages $87.85 per square foots. This estimate includes labor and materials, excluding the cost of land, off-site improvements, and indirect costs such as financing costs, escrow fees, property tax, etc. The costs attributed to construction alone for a typical 2,200 square foot, wood frame home would be at minimum $193,270. 5 Two-story wood frame average quality for Orange County area CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 30 2008 A reduction in amenities and quality of building materials (above a minimum acceptability for health, safety, and adequate performance) could result in lower sales prices. Additionally, pre -fabricated, factory built housing may provide for lower priced housing by reducing construction and labor costs. An additional factor related to construction costs is the number of units built at the same time. As the number of units developed increases, construction costs over the entire development are generally reduced; based on economies of scale. This reduction in costs is of particular benefit when density bonuses are utilized for the provision of affordable housing. Although it should be noted that the reduced costs are most attributed to a reduction in land cats; when the cost is spread on a per unit basis.. Land: Although the Consolidated Plan;} 2005-10 reported that the single largest cost was related ti' c6nstruction cosh other factors such as the cost of land, depending. upon the type of residential product and market ctirtdition is often'* more significant cost than that of labor and matorial§V'With the except n of the former MCAS Tustin site that is now referred t6'as Tustin -Legacy, the City of Tustin is gen ial ' built out. Tj scarcity eland within the developed areas of the Oily and the price of land on the fringes are constraints addiiig to the obst of hoes* and pricing housing out of the reach of low- to�rgoderate-income farru es. A ng: h*'est rates -can have an impact on housing costs. Some mortgage fuming is variable rate, which offers an initial lower interest rate than &Od financing. The ability of lending institutions to raise rates to adjust for inflation will cause existing households to overextend themselves financially, and create situations where high financing tests constrain the housing market. An additional obstacle fot- the ,first-time homebuyer is the minimum down -payment requd by lending institutions. Even if Tustin homebuyers are able to provide a 3 percent down - payment and obtain a 6.00 percent 30 -year loan (loan rate for FHA or VA guaranteed loans for January 2008), monthly mortgage payments on median priced single-family detached homes in the City place such homes out of the reach of moderate and lower-income households in the City. At a 6.00 percent interest rate, monthly mortgage payments on median priced condominiums and CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 31 2008 townhouses can place such units out of reach of Tustin's low and very low income households (see Tables HTM-23 and HTM-25). The greatest impediment to homeownership, however, is credit Worthiness. According to the Federal Housing Authority, lenders consider a persons debt -to -income ratio, cash available for downpayment, and credit history, when determining a maximum loan amount. Many financial institutions are willing to significantly decrease downpayment requirements and increase loan amounts to persons with good credit rating. Persons with poor credit ratings may be forced to accept a higher interest' rate or a loan amount insufficient to purchase a house.. Poor credit rating can be especially damaging to lower-income, residents, who have-, fewer financial resources with which to qualify for a2 loan. The FkA is, generally more flexible than conventional lendera in its qualifying guidelines and allows many residents to re-esiish a good credit history. Under the Home mortgage Disclosi a Act (HMDA), lending institutions are required 6 report lending octivity by census tract. Analysis of available NMDA reports does not indicate documented cases of undeyserved lower income cenatts tracts in the City. a Proft Marketi* and Overread: Developer profits in the last several years lix Orange County generally comprise 6 to 9 percent of the selling price of single-family, homes and slightly higher for attached units, A,rding tib ` ,die recently completed Comprehensive AffoAble 1t6wing Strategye, minimum developer profit is estimates at 12 parent of development costs, based on input from developeni and the Building Industry Association. This level is considered a baseline profit or "hurdle rate," representing the minimum necessary for the deal to proceed. In the past, due to high market demand in the communities like Tustin, developers were able to co iunand for higher prices and realized greater margins for profit. As demand increased and prices rose, this profit margin was impacted by the escalating costs of land resulting from a shrinking supply of land. Marketing and overhead costs also add to the price of homes. The Comprehensive Affordable Strategy 2008 - 2018 estimated developer overhead is at 4 percent of total development costs. 6 City of Tustin Comprehensive Affordable Housing Strategy, 2008 - 2018. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 32 2008 Governmental Constraints Housing affordability is affected by factors in the private and public sectors. Actions by the City can have an impact on the price and availability of housing. Land use controls, site improvement requirements, building codes, fees and other local programs intended to improve the overall quality of housing may serve as a constraint to housing development. Land Use Controls: In efforts to protect the publics health, safety, and welfare, government agencies mai, place administrative constraints on growth through thee.adoption an4 implementation of land use plans and ordinance The General Plan ihay restrict growth if only limited areas are setaside fov, residential t6d uses, and if higher residential densities a4k not aiecommodated. The zoning ordinance may impose further reAt*dons'if development standards are too rigid, or if ,zoning designstt s do not conform to existing land uses. On the" trary, the zoridig ordinance may also be utilized as a tool in etcoura&& and diree6n#,affordable housing, i.e. relaxed developmen stand, high" density, provision of incentivte&`,�',(waiver of -' feed;' expredh review process, etc.) in exchange of, producticyA-of afford le housing, etc. Tustin"*,,existing zoning ordfiii,ce allows for a range of residential densities 'frpm an effective density of 4.35 units per net acre in the E4 l Adentiaflstate bisi4 to 24.9 units per net acre in the R-3 Multf* Fan*, ;Residential District Tustin's General Plan allows a maximum of seve t (7) units per acre with effective density of 5.61 dwelling units ped acre within the Low Density Residential land use to a maxivium of 25 units per acre with effective density of 21.53 dwelling u#idts per acre within High Density Residential land use. A la'units Or net acre is also permitted in the MHP Mobilehome Park District (see Table HTM-32). The Planned Community District has authorized residential subdivisions with single-family lots of 3,500- 5,000 net square feet, which significantly increases density potential. Within the Multi -Family Residential District (R-3), a 35 foot height limitation and 65 percent coverage precludes the development of housing projects with building height above the 35 foot limitation. In the interest of protecting adjoining single-family lot owners, multifamily structures above 20 feet in height require a conditional use permit when the structures are within 150 feet of single-family residentially zoned lots. While these height limits may place some CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 33 2008 restrictions on housing development, these limits are designed to maintain compatibility of land use intensity and to ensure proper and effective transportation within the community and are commonly used by local governments as a development tool to further this ideal. Conversely, within Planning Area D of the WAS Tustin Specific Plan, a 150 foot height limitation up to 180 foot if approved by the Community Development Director would be allowed which provides for layering products (i.e. stacked flats, podium style, etc.) with mixed use developments, thereby providing opportunities for the development. of higher density residential products. The Land Use Element indicates that residentiafdevelopment that supports commercial use* n*X also be permitted inti the City's Old Town Commercial area. A market analysis of the Oi Town area prepared in conjunction with c6Jn rehensive 1994 -General Plan Amendments, indicated that rWW multi -family residential development would 1 mixed -used commerd Plan was amended in units irt The :. prod while the 3.000 net Town a with the important sl WA developn to permit, up standards for ied comity y sporting use for the area's AwAs a result, the General r 291 additional residential ares" To ensure compatibility of &area, the location, density, and these residential units will be regulations or adoption of a i-46 Specific Plan provides for single-family detached be developed at a variety of densities. The Low Density requires a minimum lot area of 5,000 net square feet [edium Low designation requires a minimum lot area of uare feet and densities not to exceed 5 and 10 units per The 1VICAS Tustin Specific Plan designation provides opportunities for development of a variety of residential products at varied density ranging up to 25 dwelling units per acre. The Final Joint EIS/EIR for the Disposal and Reuse of the MCAS -Tustin (hereafter referred to as Program EIS/EIR for MCAS -Tustin) for the reuse of the base identifies specific improvements needed to support residential development. The buildout of the MCAS Tustin Specific Plan is expected to occur incrementally over a 20+ year timeframe. The actual level of development within any given phase will be tied to CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 34 2008 the availability of infrastructure necessary to support such development. Implementation triggers of specific infrastructure improvements are included in the EIS/EIR for the project. The anticipated timing of residential development of the MCAS - Tustin Specific Plan is as follows: TABLE H-11 Anticipated Development at MCAS -Tustin Land Uses Acreage; `' Through 2011-2015 (gross) 2010 Low Density (1-7 DU/acre) «' Planning Area 4 and 21 182-2 1,630 Medium Density (8-15 DU/acre) Planning Area 5 51.7 1,34-- 116 Medium to High Density (16-25 DU/acre) Planning Area 20 ?9.4 568 Community Core (16-25 DU/acre) Planing Area 8,13, and 14 11'tw, 891 Transitional/Emergency/Social Service�" 9.1 332 To 'i;1WR 4,817 116 Kmscue Numon 192 unit project, su unit transitional housing to be operated by various non -profits and 90 beds ltwmtional housing to be operated by the County of Orange Social Services Agency. Notes: All figures ate estkhaies as schedule wi416a impacted by market conditions. Figures in text are Winded for dhocussionp`UV6MW. Figures are based on estimated anticipated development , it d in the 'OWYonmental domment for MCAS Tustin Specific Plan Actual construction figures vy be diM4bn1t Source: Final Joint PTS/FIR for the Disposal and Reuse of MCAS -Tustin, MCAS Tustin Specific Plan/ Reuse Plan and its Addendum (City of Tustin June 2007). Future market demand and the complexity and timing of en�Uonx>6ntal cleanup efforts are additional factors influencing the schedre of development. Other than the WAS Tustin area, a large proportion of the small amount of vacant and underutilized land is located within Redevelopment Project areas within the City or Old Town residential areas where infrastructure is available and no major improvements would be anticipated. Limited residential uses are also permitted in areas designated Public/ Institutional provided the intended occupants are associated with the primary institutional uses. Additionally, homeless facilities are permitted by right in the WAS Tustin Specific Plan and are allowed throughout the remainder of the City either as an outright CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 35 2008 permitted or conditionally permitted use depending on the number of residents in the project. Parking requirements in Tustin are generally two spaces per unit, with an additional requirement of one guest space per every four units in multi -family development. In response to State mandated requirements and local needs, the City has adopted ordinances allowing for the development of accessory rental units and density bonuses. Beyond local requirements, state law created a sliding scale which allows developers to increase the density of a residential development by at least- 20 percent up to 35 percent provided that certain` numbers of unifi are allocated for lower and moderate-inconwhousing. In addition, in response to state�hWdated requiremtents and local needs, the City allows for second duelling units. Second units serve to augment resources; for senior housing and the needs of other segments of the popular Second dwellmg units are outright permitted in residen*Hy zor propertied that are at least 12,000 square feet i lot size. A'two-ear gars required. They City's`land use regulatory mechanisms accommodate the development cf housing at a range of densities and products and do not constrain tie potential for new construction at densities suitable to: meet tlt.needs'otall imOme ranges, although assistance may be requtred fop 'units offered at prices affordable to lower income households. Homeless Accommodation "HomelessrWss is a statewide concerns that affects many cities and cdunties.Throughout the country, homelessness has become an increng problem. Factors contributing to the rise in homeless include the general lack of housing affordable to low and moderate income persons, increases in the number of persons whose incomes fall below the poverty level, reductions in public subsidy to the poor, and the deinstitutionalization of the mentally ill. The issue of homelessness is considered regional in nature. Nomadic tendencies of homeless persons make it difficult to assess the population accurately. Within the City of Tustin, Police reports and windshield surveys indicate a limited numbers of persons on the street and have shown that there are no established areas where homeless persons congregate CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 36 2008 in the City and that most persons migrate through Tustin to other areas within Orange County, rather than stay for extended periods of time. Information regarding the nature and extent of homelessness by racial and ethnic groups is not available at this bine. Nevertheless, in response to Senate Bill (SB) 2, statute of 2007, the City is required to engage in more detailed analysis of emergency shelters, transitional, and supportive housing (See Technical Memorandum for further details). SB 2 requires cities to identify the needs fd emergency shelters in its Housing Element and to designate zoning; districts adequate to accommodate the need. In thou districts, emegency shelters must be allowed without a condi nal use permit or, ot4er discretionary permit. Within the City of Tustin, emergemy shelters, transitional homes, and supportive housing are de., Planning Areas 1 and- 3 of the addition, community, care, fi homes, elderly care facilities, eine as permitted uses within :AS . Tustin Specific Plan. In such ag group homes, foster th she (6) or fewer people are tally zoned properties. Table regulations for homeless AB E H -11A SUMMARY OF HOAOLESS ACCOMMODATION ZONING REGULATIONS Permitted/ Housing Ty1* Conditionally Zoning Transitional%IomePeed Peng Area 3 of WAS -� Tustin Specific Plan Emergency Shelte *, peed Planning Area 3 of MCAS - Tustin Specific Plan Supportive housing Peed Planning Areas 1 and 3 of MCAS Tustin Specific Plan Community Care Facility for six (6) or Pernutted All residentially zoned fewer properties Family care home, foster home, or Permitted All residentially zoned group home for six (6) or fewer' DI'OperlleS I Includes congregate care facility, single room occupancy hotel, and children's intermediate care shelter Source: City of Tustin CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 37 2008 The following are transitional homes that have been provided at Tustin Legacy. • A 192 -bed transitional home at the Village of Hope to be operated by the Orange County Rescue Mission. • A 90 -bed intermediate care shelter for abused children and their parents to be operated by the Orange, County Social Services Agency. • Six (6) new units at Tustin Field I operated by Salvation Army. • Acquisition of 16 units in Buena Park operated by the Salvation Army. The City assisted inacquisition at4 contributed grant funds to acquire the unif,6 • Fourteen (14) new` unite, at Columbus Grov6 operated by Families Forward, formerly Irv' Temporary Housing 7 • Six 6 new tomtits at Colum.,.Grove operated by Human Options. • Six (6) new unift at Cotnbus Grover operated by Orange the with not crez shelters, ception of t1fe transitioflal homes, these units are ind dispersed'' through out the community consistent � 6, goals and policies to provide adequate supply of teet t need for, variety of housing types and the econom> And to promote the dispersion and Al"ing for all socio-economic through out the 'ffij CAYs policies for homeless accommodation do onstrants in the location of adequate emergency Lsitional homes, shelters, and supportive housing. In vent provision of homeless accommodation supports need of the city but the county as well. Fees and Improvements: Various fees and assessments are charged by the City and other outside agencies (e.g., school districts) to cover costs of processing permits and providing services and facilities, such as utilities, schools and infrastructure. These fees are assessed based on the concept of cost recovery for services provided. 7 Although these units are located in the City of Irvine, these units were negotiated as part of the base realignment/ conveyance process which Tustin is the Local Redevelopment Agency CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 38 2008 Tustin is urbanized with most of the necessary infrastructure, such as streets, sewer and water facilities in place. Nonetheless, site improvements can significantly add to the cost of producing housing. Cost-effective site planning or use of housing set-aside funds for those projects within redevelopment project areas can minimize site improvement costs. The Housing Element Technical Memorandum describes in detail required site improvements and provides a list of fees associated with development (Table HTI.34) Development fees are not considered "`a constraint to housing. However, fees do contribute to t1* total cost of development and impact the final purchase or renb&pri+ e. Building Codes and Enfcmement: The City of Tii tin adopts the Uniform Construction Codeaj ` as required by Stat+"., law, which establish minimum construction 'Aapdar& as applied to residential buildings. The Cur's building cod are the minimum standards necessary to protect t ublic health, sifety and welfare and ensure safe housing. Only ltqal ir-' ications to th# codes are made which respond to local climatic ori graphic conditions and clarify ia,ndated fit do so, the City has adopted the State that relaxes building code requirements citywide for t resjlbu ldings. Adoption of codes reduces Local Pressing ang# Permit Procedures: The evaluation and review process r"edr,�by City procedures contributes to the cost of housing. State law establishes maximum time limits for project ji approvals. #nd City_ policies provide for the minimum processing time necessary to comply with legal requirements and review The Community Development Department serves as the coordinating agency to process development applications for the approval of other in-house departments such as Redevelopment Agency, Police, Public Works/ Engineering, and Parks and Recreation. All projects are processed through plan review in the order of submission. The City has eliminated the potential increase in financing costs caused by a delay in permit processing by assigning priority to the plan review and permit issuance for low- income housing projects. If a complete application is submitted, all CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 39 2008 Design Review Committee members and plan checking departments simultaneously review the plans. This process provides for a "one- stop processing system. For projects of significant benefit to the low- income community, costs can be waived by the City Council or the use of redevelopment set-aside funds can reduce or eliminate these costs to the developer. Workload. Another governmental constraint is the number of staff and amount of staff time available for processing development projects. Since the workload is uncontrolled forces (economy, a availability of general fund revenu occur which could lead to increased projects. HOUSING OPPORTUNITIES Y% a pined by sket for ortatw of processing outside and housing and staff time may )r development Table H-12 shows the_existir and potent6i dwelling units permitted under each General Ian lant awe category,; as well as the potential net increase, within each catego ry. Aased,on the City's Land Use Plan, Tustin has a' residential':' bolding ca�tcity, of approximately 29,793 dwelling units, The Land Vse Plan provides for a mix of unit types and aWsities, - including low-density single-family homes, medium density mei; higher dens# j homes, and mixed-use projects that altaw for a rnmhina4ari bfcommercial and residential uses. A large I Tustin w h The other rtiox of future residential development in the City of take pe in the MCAS Tustin Reuse Specific Plan area. Lrge Specific Plan community in Tustin, Tustin Ranch (the Specific Plan) has been built out. Between 2006 and 2008, were constructed in the City of Tustin A total of 322 Very e. 48 Low Income, 57 Moderate Income, and 649 Above Income were built mostly at Tustin Legacy. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 40 2008 �a zo wN 00 z w � w a bo b o 3 z �A w a � a 1 ov� x Qj: �i v Z � a Fa w� Ow O C U C7 O a O O O cog a o o 0 0 0 0 m O m O O O O O M Mb 4 O ti to C7d� I 0 0 a. i O OUN N G c-4 er� a O Ln tN L q� O v p Oi A o0u a xF. u0 z zo wN � w � w a bo b o 3 z �A � a 1 ov� x �i v Z � a Fa w� Ow �z w U C7 a a D 4 v� p a bo b o 3 �A ru a 1 ov� �i Z � a Fa w� Ow �z w U C7 Table H-13 illustrates Tustin's progress in achieving RHNA construction needs for the 2006-2014 planning period. As of 2008, the City has satisfied approximately 45 percent of its total RHNA Construction Need. TABLE H-13 PROGRESS TOWARD RHNA CONSTRUCTION NEEDS 2006-2014 CITY OF TUSTII" Income Category RHNA Construction. Need ,: , 2006-2014 Units Added,, 2006-2007 Net RHNA Construction Need 2005-2014 512"', 322 63% 190 -Very-Low Low 410 49: 12% 362 Moderate 468 57 12% 411 Above Moderate 991 649 65% 342 Total 2,381 1E6 45% 1,305 Source: 2007 RHNA; City of Tustin, Redevelopment Agency and Community Development Department. Table H-14 illustrates the residential development potential of the vacant and underutilized land inventory in the City of Tustin. The Tustin�Ugacy site, (,formerly MCAS Tustin) presents the City with :3&9,2 acrft, suite fm ,�. residential development that could accommodate an additional 4,049 units. During the planning period, the majority of the, anticipated units will be accommodated at Tustin Legacy and is being implemented through both the adoption of a Specific Pn by the City and the adoption of a Redevelopment Project Area. Based on State Redevelopment Law and the proposed Specific Plan requirements, at least 15 percent of the units (607 units) constructed at the MCAS Tustin site will be affordable to Very -Low, Low, and Moderate -income households, of which at least 6 percent or 243 units must be affordable to Very Low-income households. The remaining 364 units would be distributed among the Low and Moderate income households by utilizing RHNA Low and Moderate income percentages. In addition to these inclusionary obligations, the acreage and densities permitted by the MCAS -Tustin Reuse Plan would create 282 additional for Very Low-income households (192 transitional housing units and 90 social services housing units). CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 42 2008 Aside from MCAS Tustin, additional sites are located either within existing Redevelopment project areas or in Old Town Tustin area. Sites that are located within the Redevelopment Project area subject to Redevelopment Law as well. As a means to ensure affordability and the use of housing set-aside funds, the City and its Redevelopment Agency will require developers to provide at least 15 percent of all units constructed or rehabilitated at prices affordable to Very Low, Low, and Moderate Income households consistent with State Redevelopment Law affordable housing requirements. The City's Redevelopment Agency aggressively negotiates affordable housing units with individual potential project. An example of approved infill site is the . development of a fifty-four (54) unit affordable senior housing pro}e.ct on a 176 acre site. The project was granted a twenty-five (25) percent dertst bonus above the City's maximum allowable density. In addition, the City entered into a Disposition and developer Agreeme& with the developer to issue loans not to exceed" $600,000. The lcians are secured by loan agreements, promisg6ry notea and dee(W of trust, along with Regulatory Agreement' and DieclaiFat ion of Restrictive Covenants to be recorde& against the property for eperiod of not less than 55 yearn. The project is 100 percent affordable to very low and low incon* seniors Thit rpnu it capacity in Old Town Tustin will be achieved through recyclihg of uhderutihzed and vacant infill sites (see Figure 1). According to the'City's Land Use Element, the sites in Old Town Tustin area are able to accommodate an overall population range for residential 'use of 2-54 persons per acre$. The Land Use Element further identifies the potential development of dwelling units in the Ol+d Tow0i Commercial area, which will be facilitated by the proposed adoption of zoning regulations and development standards which will allow mixed-use development (see Program 1.21 of Table H-22 Housing Element Programs). This development potential is supported by the market analysis of the Old Town area. To further create housing opportunities, the City provides the issuance of tax-exempt bonds for the development of affordable 8 See Table LU -3 - "Future Land Use Density/ Intensity and Population Capacity of the Land Use Plan" in the City of Tustin General Plan Land Use Element, January 16, 2001. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 43 2008 housing through a Joint Powers Authority with the California Statewide Communities Development Authority. Other means would include the City's participation in the State and Federal programs such as the Low- Income Housing Revenue Bond Financing program, Low Income Tax Credits, CHFA financing programs, and others. Additionally, a Density Bonus Ordinance is available and can be applied to infill sites to increase allowable density and the Tustin City Code also provides for a Planned Community District which allows flexibility in site developmera standards such as the creation of smaller lots to allow for higher density. As demonstrates in Table H-14, there are a total of 151.69 acres of land (74.10 acres from MCAS Tustink. 7.27 acres vacant land, and 70.32 acres underutilized land) with High Density residential development potential. These sites could potential be developed with approximately 3,426 units. This demonstrates that the City has sufficient amount of land available to accommodate the residential developments to meed the renaming aRHNA construction needs through the 2014 period.. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 44 2008 Irl I zo Wo N W C� z a 0 x LO I�r H Q 0 o � of „� A � Q O � � l b a_ A 0° o L 0 a U Qti 00 c °� tV �. N O n W M tV l� pj ma Q A � �C �a r tt) p o a � — � a u > Q c� A u � x x � Irl I zo Wo N W C� z a 0 x LO I�r Figure 1 and Table H-15 detail the zoning designations of vacant and underutilized land in Tustin. The vacant and underutilized land inventory includes land that is currently zoned medium and high- density residential and land that could potentially be designated as high-density residential. Although the availability of vacant and underutilized land for the provision of housing is not considered a constraint for the 2006-2014 planning period, future planning periods may be marked by a lack of available land. While the City's Land Use Plan provides an adequate land capacity to fulfill housing needs, current development costs in Tustin may preclude the private housing market from providing affordability for low and very low- income households without improvements and htigatiox the build -out development of Satisfaction of the City's quaie construction will be heavily deperWA trends, cooperation of private funding and programs at the local, city, state s. Necessary infrastructure s may caves some delays in 'Tustin project I objectives through new nt upon real estate market noaxces, and available funding andfederal levels. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 46 2008 Figure 1- Conventionally Zoned Vacant and Underutilized Land In the Citv of Tiwin* v v a v 1 v v v C4 W P4 W z p4 W Am �cn wF W Ul O O 0 3°3° ZO C3° ❑C GG g GG G ,±p; Q C7 a G G G G � C z z" vF� uw u a v eq s o .y u, � o 3 ac q H 3 N en .p Ln O h OD v v a v 1 v v v C4 W P4 W (Y. W p4 W Am �cn wF W Ul i 0 Am �cn wF wF 0 in aaj Q C7 a a o � C z z" vF� uw u a eq �tI " �A V r Q •� o w z asN V W a QN V ta, g z d F- 3d d � wwcn' N �pp hH G a Ln C -4Q � W as � N N Lo to ~ N °o Q N N w W A o �tI " a u 3° b O I z o0 wo N 00 V r Q asN V p�{ 0 PL{ (aryl d F- 3d d � wwcn' N �pp " Q to m N N Lo to ~ N M W N a u 3° b O I z o0 wo N 00 � I � I "t I H - F F. -1, LO m A � � w �a a b "e� b a 9a s b b �Q"�wGWr. OC rn M 'W of G Q H N M 'Y� 1fl LO This page intentionally left blank. HOUSING ELEMENT CITY OF TUSTIN 2008 GENERAL PLAN 52 HOUSING ELEMENT GOALS AND POLICIES This section of the Housing Element contains the goals and policies the City intends to implement to address a number of housing -related issues. To implement the Housing Element, the following five major issue areas are identified with related goals and policies: 1) ensure that a broad range of housing types are provided to meet the needs of existing and future residents; 2y provide equal housing opportunities for all City residents; 3) ensure a reasonable balance between rental and owner occupied housing; 4) preserve existing, affordable housing; 5) promote conservation and rehabilitation of housing an&'neighb64wod identity; and 6) ensure housing is sensitive to the existing natural and built envinment. HOUSING SUPPLY/HOUSING OPI RTUNMES Tustin is home to persons requiring-jr Variety of housing options. At different stages in tbtir, lives, peop* require different housing arrangements. Additionaity„ the City mustspond to the housing needs of all economic t segmer 'of . the community and ensure that housing d riminatiore does not' se as a barrier. It is also important tha* the City mutantain a balance of housing types and that the City's housing stock is not overly skewed towards the provision of one type of housing. Fin, the continuing need for affordable housing in ,the regWn require§ the City to attempt to preserve Low- irrce a house units 64 re at risk of converting to other uses. The City ' ed th"llowing goals and policies to achieve the above GOAL 1: Provide an adequate supply of housing to meet the need for a variety of housing types and the diverse socio-economic needs of all community residents. Policy 1.1: Promote the construction of additional dwelling units to accommodate Tustin's share of regional housing needs identified by the Southern California Association of Governments (SCAG), in accordance with adopted land use policies. Policy 1.2: Apply available Tustin Community Redevelopment Agency financial resources to meet the requirements of any identified "Opportunity Sites' as part of the Tustin "Town Center- A CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 53 2008 New Beginning" comprehensive implementation study to respond to RHNA requirements. Policy 1.3: Examine potential increases in residential density as part of the "Town Center -A new Beginning" implementation study as it specifically impacts the Center City Study Area (a portion of which is within the Town Center and South Central Redevelopment Project Areas), the Southern Gateway Study Area (a large portion of which is within the South Central Project Area), and the West Village Area generally located west of the SR -55 Freeway between McFadden Avenue and Main Street to assist the City in accommodating its housing needs. Policy 1.4: Pursue smart g pwth principles by sup rting the construction of higher densit ', housi nt,,_ affordable housing, and mixed use development (the verdcat and horizontal' integration of commercial and residential uses) in''proxisnity to transit, services, shopping, schools, se dam. centers and recreational facilities, where possible. Policy. 1S, Consider site,, scoring,, ipcome targeting, and other selection criteria for competitive funding sources for affordable housing, such as Low Income Housing Tax Credits, when allocating Agency resources for affordae housing to maximize leverage of local fun e Policy �.6: C6ntinue to implement best practices for developer selection-, project `underwriting and due diligence for affordable housing developments that receive financial and other assistance to ensure long-term viability of affordable housing and to ensure the maxin» z4leverage of local resources. Polio 1.7: Preserve affordable housing units, where possible, through actions such as the maintenance of a mobile home park zone, restrictions on R-3 zone uses to preserve the multiple family residential characters, facilitate resident access to funding sources for preservation of low income and assisted housing. Policy 1.8: Promote the dispersion and integration of housing for low- and very -low income families throughout the community as opposed to within any particular geographic area, neighborhood, or project. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 54 2008 Policy 1.9: Encourage the County of Orange to exercise its responsibilities for housing accommodations for low- and very -low income families within Tustin's sphere of influence. Policy 1.10: Utilize the Tustin Community Redevelopment Agency's authority, where feasible, to assist in creating opportunities which will expand opportunities for development of affordable housing in the community. Policy 1.11: Allow second (attached/ detached) units in single- and multi -family districts consistent with the Tustin City Code. Policy 1.12: Utilize Planned Community Districts and Specific Plans to authorize and promote a viviety of W sizes and hoiisin& types. Policy 1.13: Promote cluster hour consistent with General Plan land use densi :..standards to' reduce the cost of housing construction. :.. ray r�. Policy 1.14: Encouragg the availability of affordable housing for special: needs households,.. ncludiiig.: large, low-income families. Sped need, households includ` the elderly, large families, female-headeci householdsf; households with a disabled person, and the homeless (see discussiori under Summary of Housing Needs for Special gbeds Grdt".. rol:cr 1.15: Encourage incentives to assist in the preservation and develo0hent of, affordable housing such as 1) reducing permit processin*, time and waiving or reducing applicable permit fees; 2) on-site dem- ity bonuses when appropriate; 3) tax-exempt financing including continuing to make use of the City's membership in the C�lifornW Statewide Communities Development Authority to provic opportunities for developer assistance in pre -development and development financing of affordable housing programs; 4) flexibility in zoning or development standards; and 5) other financial incentives using Tustin Community Redevelopment Agency housing set-aside funds and a variety of special State and Federal grant and housing programs. Policy 1.16: Use tax increment housing set-aside funds of the South Central, Town Center, and MCAS Tustin Redevelopment Areas to CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 55 2008 assist in constructing, rehabilitating, and preserving low and moderate income housing within the jurisdiction of the City. Policy 1.17: Encourage the design and occupancy of housing for senior citizens and the disabled. Promote the construction or rehabilitation and adoption of dwelling units accessible to seniors and/or the disabled. Policy 1.18: Provide continued support for the County Homeless Assistance Program and other homeless assistance programs within Tustin and in adjacent cities, including this continued use of the City's membership in California Statewide Communities Development Authority to issue private activity mortgage bonds in support of these progran-w Policy 1.19: Encourage the pr4;k*ion of grants and technical assistance to various organizations. and agencies that provide assistance to persons -with special needs such as the homeless, disabled, low -incomes and elderly person& Policy:,1'articipate in federal anc state housing assistance and rehabilitatiortprograms aimed at assisting households in need. Polio 1,21: Utilize design criteria in evaluating projects to ensure compatibffit�r with surrounding developments, while taking into consideratioYlways to m oii ize housing costs. Policy 1.22: Prom6tq and encourage non-profit and for-profit private sector interests to use available federal and state programs for new or rehabilitated affordable housing. F� t policy 1;5: Support state -enabling legislation for employers to contrte to the cost of housing for their employees. GOAL 2: Ensure equal housing opportunities for all existing and future City residents regardless of race, religion, ethnicity, sex, age, marital status or household composition. Policy 2.1: Promote equal opportunity housing programs within the community. Policy 2.2: Provide active support to provide fair housing opportunities. CI'T'Y OF TUSTIN HOUSING ELEMENT GENERAL PLAN 56 2008 Policy 2.3: Support programs to match elderly and low and moderate -income individuals who want to share housing costs in a joint living arrangement. Policy 2.4: Support public and private efforts to eliminate all forms of discrimination in housing. Policy 2.5: Minimize displacement of lower income and special needs households, whenever possible, to ensure that displacement is carried out in an equitable manner. GOAL 3: Increase the percentage of ownership housing to ensure a reasonable balance of rental and owner -occupied housing within the City. Policy 3.1: Encourage new housin cortstruction for home -ownership in a mixture of price ranges. , Policy 3.2: Examine ex,g City and 1ency home purchasing assistance programs for lo*,� ' and moderate -income households, including dawn -payment assistance'- and mortgage revenue bond financing, and recommend program modifications to make them moti* effective'vi n the current housing market. Policy 3-1, E.nc6drage rental unit conversion and alternative forms of h6weowneis p, such stared equity ownership and limited equity cooperatives where feasible. Policy 3.41s, ine Examexisting condominium conversion standards to promote renovation of existing units through rental conversion. AL 4: Preserve the existing supply of affordable housing in the Policy 4.1: Continue to use Federal and State housing initiatives available for low-income households. Policy 4.2: Monitor all federal, state and local funds available to preserve and/or replace lower income units at risk of converting to market rate housing, including tax credit bond financing and redevelopment tax increment funds. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 57 2008 Policy 4.3: Assist non-profit organizations in securing the resources necessary to preserve/ replace lower to moderate income units at risk of converting to market rate housing. Policy 4.4: Consider incentives to non-profit housing and for-profit private sector interests to purchase and/or maintain lower income units at risk of converting to non lower income housing. Policy 4.5: Take advantage of favorable market conditions, as appropriate, to pursue early negotiation and preservation of at -risk affordable housing through extension of existing affordability restrictions. MAINTENANCE AND CONSERVATION Maintenance and: preservation of 4l City's housing stock prevents unhealthy living conditions; eh ninatew the need for future, more costly housing rehabilita kw,, prevents neighborhood deterioration; and encourages community, pe. The City enforces codes and provides incentives to promote maintnce and conservation. GOAL 5: Conserve, maintain, rehabilitate, and/or replace existing housing in neitghborhoods which are safe, healthful and attractive, in accordAnce with adopted Land Use Policy. Improve the residential characterot the City with an emphasis on revitalizing 11 nei"g aorhood&, showing signs of deterioration. Promote conservation of 'theCity's sound housing stock, rehabilitation of deteriorated units where they may exist Citywide, and elimination of dilapidated units that endanger the health, safety and well being of occupans. p Polley 511 Through available financial incentives, encourage owners of rental housing units that are determined to be substandard, in need of repair and a hazard to the health and safety of the occupants to remove and replace or rehabilitate the structures. Policy 5.2: Promote the availability of funds for the rehabilitation of single-family dwellings and apartments. Policy 5.3: Periodically evaluate housing conditions and, when appropriate, address any increase in deteriorated housing conditions. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 58 2008 Policy 5.4: Continue to enforce health, safety, and zoning codes to eliminate conditions which are detrimental to the health, safety and welfare of residents. Policy 5.5: Promote preservation of historic and architecturally significant residential properties. Policy 5.6: Study and revise existing zoning codes, if warranted, to provide flexibility to facilitate additions and improvements to existing historic and architecturally significant residential properties. Policy 5.7: Review existing guidelines for single- and multi -family rehabilitation programs, including income L---, , targeting and neighborhood location, tom;, achieve, maximum" neighborhood revitalization, particularly aroWund identified Opporttvity Sites as part of the Town Center -A New Bening Implementation Study. ENVIRONMENTAL SENSIT] Housing design and land use patterns can have substantial impacts on the nahn-il as well as the built environment. City policies and programs seek to minirmzL negative environmental impacts. GOAL, Ens; that new housing is sensitive to the existing natµral and built envhv pent. Policy, &1: Attefi% t to locate new housing facilities in proximity to services and employment centers thereby enabling walking or bicycling to places of employment. romote energy conservation measures in the design of units and the redevelopment of older housing units. Polity 6.3: Require design review of lot placement in subdivisions to maximize passive solar energy and solar access. Policy 6.4: Promote water efficient landscapes, efficient irrigation, and use of permeable paving materials. Policy 6.5: Streamline processing for approved green building. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 59 2008 Policy 6.6: Consider, support, or partner with utility companies to promote energy rebate programs. RFT.ATFD GOALS AND POLICIES The goals and policies described in the Housing Element are related to and support the goals and policies included within other General Plan elements. Many goals and policies from the other elements directly or indirectly support the goals and policies of the Housing Element. These supporting goals artd policies are identified in Table H-16. TABLE H- W-,, HOUSING RELATE GOALS AND POLICIES BY sMENT CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 60 2008 RELAX GOALS AND POWES BY ELEMENT Housing Land F _ Conservatio*,, �' Public Growth Issue Area Use Housing Circalatien '' " Open S aclt Safety Noise Management 1.8,10.2. Y Housing 13.3,13.4 2.5, 3.1, 4.1 Opportunities 13.10 3.4, 3.5, Maintenance 1.1, 4.6,x.8, 5.4 i.7,2.2 and Preservation 6.4, 6.6 Affordable Housing Support Service/ . Fair Housing5.3 4.1 3.6, 9.6, Environmental' 9.7, 9.8, 1.14,1.17, 3.3, 4.8, 1.11, Sensitivity 13.1 3.5 12-12,31,4A 4.12 1.12 CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 60 2008 F CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 60 2008 HOUSING ELEMENT IMPLEMENTATION PROGRAM The Housing Element Implementation Program provides specific actions the City intends to undertake to achieve the goals and policies of the Element. This section identifies quantified objectives, available financial resources and affordable housing resources, and provides a list of specific programs the City intends to pursue. Housing programs include those currently in operation and new programs added to address housing needs. A description of each program 4 provided, along with the program funding source, responsible ager,„ and time frame for implementation. A review of City's past perfCSina on housing element implementation programs is contained in Apper A of the Housing Element. FIVE YEAR QUANTIFIED OBJECTIVES 2006-2014 State law requires the City to housing need. In doing so, homes that are vroiected to quantified objec Tustin's housing It Will st these n the pri housing fundinj prograa modera heavily iportat to note U are required to be accomtnodate`its fair share of the State's the Cita, must quantify the number of be built 414.conserved. The following iopted as guidelines toward meeting Z14 ,. �y while the quantified objectives of the rt of the Housing Element and the City ain these objtives, Tustin cannot guarantee that 4 -met givers its own limited financial resources and rdabilityt gap. Satisfaction of the City's regional gill partially depend upon cooperation of private Ad, the funding levels of County, State, and Federal Bused to support the needs of the very -low, low and persons. Additionally, outside economic forces the housing market. The City of Tustin promotes and encourages the development of a variety of housing opportunities to accommodate current and projected housing needs which include 512 very low-, 410 low-, 468 moderate-, and 991 above moderate -income households per the Regional Housing Needs Assessment (RHNA) allocation. While the Land Use Plan provides adequate sites to fulfill needs established by RHNA, construction of new units will depend upon the timing of the landowner and developer in the submission of building plans to meet market demands. Housing subsidies will depend upon the availability of government funds - local, County, State, and Federal. Redevelopment projects are subject to the interests of private CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 61 2008 developers. The construction of secondary units depends upon the desires of the property owners as related to family needs for housing and economic resources. The achievements of the housing objectives are thus dependent upon the private sector and other governmental agencies. The responsibility of the City is to encourage the construction of affordable housing by providing programs and assistance to developers and to assist in its creation by facilitating the review and approval of development permits. Table H-17 provides new construction housing objectives for the period 2006-2014. With the exception of the MCAS -Tustin, all sites identified in Table H-17 are privately,ciwned. Units identified are broken down into various income limits in light of RHNA percentages and production requirements unclear, the Redevelopment Law. Based upon past developmem Lane) that utilized Planned Corn densities, the actual number of identified. The Citj Will strive to are developed at sufficiei* densit very low income needs by ei nVl sites located, within recievelopini in Old Tow Tustin, density be for and to ds.. (Tustin Grove a Ambrose nity Districts to allow for higher created could be higher than s,that newly constructed units to assist in fulfillment of low and ng incho onary zoning for those n==11y ixed use zoning in infill sites to :commodate affordable housing nuunity Districts to allow for CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 62 2008 TABLE H-17 NEW CONSTRUCTION QUANTIFIED OBJECTIVES SUMMARY CITY OF TUSTIN 11lV1L AM A MCAS Tustin Housing Unitsi ' 3,645 Very 192 MCAS Tustin Transitional Family Housing 48 MCAS Tustin Social Services z Total # Low Low Moderate Upper Program of Units <500/0 200% 80-120% 1200/.+ NPW 7-nW4Zrre1rtr-Mr1 MCAS Tustin Housing Unitsi ' 3,645 WAS Tustin Emergency Ho—us ing 2 192 MCAS Tustin Transitional Family Housing 48 MCAS Tustin Social Services z 90 Granny Flats 10 New Owner Housing 3 155 New Senior Housing Recycling of SFD to MFD 25 Total Quantified Objectives 4,366 RHNA 2381 WAS Tustin Specific Plan authorized a tote 4144 Redevelopment Law and the proposed Specific Ptat units) would be affordable to Very -Low, Low, and M 243 units would be afford4k to Very Low income units information z These housing units shown as septirate line items wi City counts these unik as new cone =ate as they ado Projects at the end of pt%ning petted, 4 Includes MCAS Tustin adrb#ional iittalusionary units (: Source: 2007 U NA, City of Tuscan; MCA STusba 5 ecu 1994 22( 3424 192 �- 155 126 75 25 5 410 468 2,959 54 410 468 991 17 0 0 1,965 potential units ala Tustin Legacy. Based upon State rtgwement, at lea�l$'percent of the total units (607 de"aie tnwme households, of which at least 6 percent or tDusehokbl See footnote 4 for additional inclusionary serve as transitional/emergency housing facilities. The new additions to the housing inventory. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 63 2008 Preservation, Rehabilitation, and Other Affordable Housing Program Objectives The primary beneficiaries of Preservation and Rehabilitation and Assistance programs are renters and low-income homeowners. It is assumed that above -moderate -income households will rehabilitate units as needed through private efforts. Tustin's affordable housing strategy is based on the City's housing needs, affordability gap analysis, and available financial resources. Several broad policies establish the fraznework for the City's Housing strategy as applied to preservation, sthabilitation, and other housing program objectives. These includiL r 1. Conserve, maintain, and rehabilitate existi housing and revitalize existing neighb000ds; 2. Maximize the supply of affordaW housing; 3. Increase homeownership; 4. Preserve the existing supply of affordable housing; and, Consistent with the above policies theCity has devised a number of programs of "housing asristance to address the preservation, rehabition, and other housing program objectives. Specific details on these programs can be found in the City of Tustin Comprehensive Housing Af*dabihty Strategy for Fiscal Years 2006-2007 to 2009- 2010f `'q addi&i, Table H-22 - Housing Element Programs 2006- 2014, ouilines thea City's specific housing programs during the planning period. . Table H-19 provides the City's rehabilitation, preservation, and other affordable housing objectives during the planning period. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 64 2008 TABLE H-18 REHABILITATION, PRESERVATION, AND OTHER AFFORDABLE HOUSING QUANTIFIED OBJECTIVES SUMMARY CITY OF TUSTIN 2006-2014 Total # VeryLow I Low Moderate I Upper Pro m aCate o of Units (<Wo) <80% 80-120% 120%+ RIxABrr.1TAT><ON Multi -Family Rehab Sin le Famil 54 32 16 6 Multi- Famil 108 214-21 66 Rental Rehabilitation Loans Grants 120 Z Multi -Family Rental 31 48 31 Acquisition/ Rehab Conversion/Resale Total Rehabilitation 313 77 116 120 PRIES ek'ITON _ Tustin Gardens 100 100 Rancho Alisal 72 181 " 54 Rancho Maderas 54 6° _ 48 Rancho Tierra 51 38 13 Affordable Senior Housing - Mitchell 2D 12 8, Avenue Senior Board & Care - Bryan Avenue 18 0 18 Herita a Place 54 54 Total Preservation :: 369` 218 151 OTS AITORDoAd" IR(MSING 11t Time Homebuyer and/or Klosut* 30 5 10 Negotiated Purchase 15 Section 8 Rental Voucher Assistance; 1,5Q't 1,500 Shared Housing Referrals 75 50 25 Homeless HousingPartnershi` Pro am z 242 242 Emer Shelter 282 282 Total Other Programs 21129 2,079 1 351 15 Source: Fffectiveness sof Housing Programs 1998-2008,City of Tustin Five Year Implementation Plan for the Town Center and South CentrtdRedevelopme Project Areas for Fiscal Years 2005-06 to 2009-10; Comprehensive Housing Affordability Strategy for PWA Years 2M&18. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 65 2008 SummAa of Quantified Objectives Table H-19 summarizes the City's Quantified Objectives for the 2006- 2014 period. TABLE H-19 SUMMARY OF QUANTIFIED OBJECTIVES CITY OF TUSTIN 2006-2014 Income Group RHNA New Constructkm Rehabilitation/ Preservation Other Programs Very -Low 512 529 " 295 2079 Low 410 410-1267, 35 Moderate 468 468 120' 2, 15 Above Moderate 1 991 959 0 Total 1 2,381 1 4,366 682 2129 Source: City of Tustin IDENTIFICATION OF AFFORDABLE HOUSING RESOURCES The City has prepared a Consolidated Plan and Comprehensive Housing Affordability Strategy identifying and describing all funding programs availabli .to the City and Tustin Redevelopment Agency to assist in meeting the City's housing needs. Included in the plan are descriptions of awide variety of major housing assistance programs available from federal and state agencies and private lending,'institutibra, More specific information including details regarding -eligible Projects and activities and funding availability can be found in the document. The following is a summary of this information along with updates to reflect new state and federal programs. Table H-20 provides an illustrative example of the estimated amount of locally identified resources that could be available to finance housing program objectives on an annual basis over the remaining six-year planning period. The amounts shown are estimates; actual revenue amounts and the timing of their availability could be more or less and would adjust over time. Specific decisions are made on an annual basis as part of the City and Redevelopment Agency budget process. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 66 2008 is d Tuul C� R�� vv bdv d�b'��CCv 9�wGw•p�' ��",� � ma a G a�Hw a °OUpVc a� a�F x °� Vdd 8 v 3°w v a ° vi�U z �.. Y, a OCQ z 4 z 14 A ` � x w w00 bo '� v V U a o a e; .4.. N N N cz ° 0�4. Zo 6y W u0 Ln O O �� cvc �n 66 a 1ric: ���n uivoQQc,� cn XiJ d pp .cuip(�p Q M�ta��ouNidl °'"'gigg F 00 z O 12 00 W Hdfi (V� '=K1M Yi di d9 dT en p �.pp otl�3 ADO O iJ x m Ln u� V1 1ip1flpl p yN� o �° °� d? F^ Ft•"' �p�.�p 1v/1a O000 NS Hf Vf di N .gyp u'i n T � N�ry~�1i FR b9 iAp�p 1!1 �v�1 1f) u�'i [� W 4G m a y� �.�{ �O O S n o p o p a to R a f�ppA tff Vf .o�pp a0 all aa pp �O �j � paO�p �y1� e�A cq i1pS �.y Spey N E-' F H 1( pp. jR Q Q S •:�rS Q �i c��(11112A f15 H iiiA11 ��1 tai crl pp z+ op NMal pp� O. to Q� q1 .p ^11111 S c�fi N O A" 00 1� Q1 �o �c N ko mGCHa �yp'ccV2j(� 2Q525g4�285 �J3cS oo �a Vai d3 Vf fi�K d? is d Tuul C� R�� vv bdv d�b'��CCv 9�wGw•p�' ��",� � ma a G a�Hw a °OUpVc a� a�F x °� Vdd 8 v 3°w v a ° vi�U z �.. Y, a OCQ z 4 z 14 A ` � x w w00 bo '� v V U a o a e; .4.. N N N cz ° 0�4. Zo 6y W u0 The key source of local funding for affordable housing development and preservation in Tustin is the Tustin Community Redevelopment Agency's Low and Moderate Income Housing Fund, also known as the 20 Percent Set -Aside Fund. The estimated fund balance in the Agency's Low and Moderate Income Housing Fund as of June 30, '2007 was $17.86 million. The City is not an entitlement jurisdiction for HOME funds, but may apply to the State for HOME funds as described in a separate report prepared by DRA entitled Affordable Housing Assistance Programs, presented as Appendix C of the Comprehensive Affordable Housing Strategy. The City is an entitlement jurisdiction for Communit3p: TABLE H- 21 AFFORDABLE HOUSING RESOURCES' C TY OF TUSTIN New Construction Financial assistance for • New Construction new affordable housing ro'ects. Rental Housing Financial assistance for • Acquisition Program affordable multi -family . Rehabilitation rental projects. • New Construction Density Bonus The City allows an increase • Density Bonus in density to developers who set-aside certain number of units in accordance with the City's Density Bonus Code to very low avA low-income persons. Tax -Exempt Bonds The RedevelopmW' • New Housing Agency and the Citi have Development thq:authority to issue to* • Rental Acquisition/ exebonds. The City i;��, Rehabilitation also a membc of California Statewide Com#ttputies �. Development Au*lmit ' Bond proceeds are used to develop, affordable housing.,,.,, City/Ager y Ownetj;. If availableand • Housing Land appropriate, City or • Community Facilities Red elbpment Agency owned land may be made available CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 70 2008 TABLE H- 21 AFFORDABLE HOUSING RESOURCES' CITY OF TUSTIN CalHome Grants to local public agencies and nonprofit developers to assist individual households through deferred -payment,' loans. Direct, forgivable loans to assist developments projects involving multiple ownership units; includinz • Predevelopment • Site development • New construction • Rehabilitation • Acquisition and rehabilitation • Down payment assistance • Mortgage financing • H-9mebuyer counseling • Technical assistance for self-help projects or shared,h6using. A share of funds is allocated for the rehabilitation, replacement and repair of manufactured homes. calitornia Help Grants am made to sponsor Training and Housing Progm* organizations that provide supervision of low and (CSHHP) technicid assistance to moderate income self - participating owner- help home -builders or builder families. repairers CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 71 2008 TABLE H- 21 AFFORDABLE HOUSING RESOURCES' CITY OF TUSTIN Downtown Rebound Planning Grants Program Assistance (EHAP) Fund local planning for infill housing, adaptive reuse (conversion) of commercial and industrial space into residential units, and the development of other forms of high density housing within existing urbanized areas. Grants for emergency shelters, transitional housing, and supportive services for homeless individuals and families. • Infill site inventories, development feasibility studies, strategic action plans to remove barriers and promote infill housing, mixed- use developments and transit corridor development a Updates of general plans and zoning ordinances to encourage odaptive reuse, higher density residential development, mixed- use development, residential development within walking distance of transit nodes, employment centers and other urban amenities • Seismic and structural feasibility studies on candidate buildings for adaptive reuse. • Rehabilitation, construction, renovation, expansion of existing facilities • Site acquisition (including lease or purchase of an existing site or facility) • Equipment purchase, vouchers, operational costs, direct and indirect client services • Administration of the award (limited to 5 percent). CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 72 2008 TABLE H- 21 AFFORDABLE HOUSING RESOURCES' CITY OF TUSTIN Jobs -Housing Balance Incentives Mobilehome Park Resident Ownership Program (MPROP) Financial incentives to cities and counties that demonstrate an increase in the number of new residential units. Grant amounts are based on an increase in the number of new housing units for which residential building permits were issued during calendar 200t, compared to the average number of permits daring the most recent measurable 36 - month period pitar to Loans to finance the preservation of affordabit , mobilehome parks by conversion fivin private resident housing sponsors, or local public ager es. • Funds awarded can be used for any project, service, or other local need determined by the city to be in the community's best interest, including traffic improvements, neighborhood parks, bike paths, libraries, school facilities, play areas, community centers, police and fire stationN etc. Purchase (conversion) of a mobilehome park by a resident organization, nonprofit entity or local public agency; rehabilitation or relocation of a purchased park Purchase by a low income resident of a share or space in a converted park. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 73 2008 TABLE H- 21 AFFORDABLE HOUSING RESOURCES' CITY OF TUSTIN Multifamily Deferred payment loans to • New construction, Housing Program assist new construction, rehabilitation, or (MHP) rehabilitation and acquisition and preservation of permanent rehabilitation of and transitional rental permanent or housing for lower income transitional rental households. housing, and the Urban £ Predeveldpment Loan Progitam (PDLP) Short-term loans to provide predevelopment capital to finance the start of low- income housing projects in urban areas. conversion of nonresidential structures to rental housing. • Eligible costs include the cost of child care, after-school care and social service facilities integrally linked to the assisted housing units; real property acquisition; refinancing to retain affordable rents; necessary onsite and offsite improvements; reasonable fees and consulting costs; and capitalized reserves. • Predevelopment costs include, but are not limited to, site control, site acquisition for future low-income housing developments, engineering studies, architectural plans, application fees, legal services, permits, bonding and site preparation. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 74 2008 TABLE H- 21 AFFORDABLE HOUSING RESOURCES' CITY OF TUSTIN Urban Short-term loans to finance . Capital assessments to Predevelopment the initial costs of establish a project's Loan/Preservation preserving existing condition and potential Program (PDLP-P) affordable housing rehabilitation costs developments for existing . Purchase option tenants. agreements • Professional services such as consultant, architect, engineering and legal • Permit and application Urban • bond ties; etc. Short-term loans to dance • Land purchase, options Predevelopment the initial costs of- � `,�, to buy land, options or LoarVjobs-Housing constructing, converthW deposits to buy or Balance Program (PDLP-J) per§ or rehabilitati* preserve existing assisted ho lsing publicly assisted rental developmental near transit housing to preserve the stations.: affordability of the units, professional services, permit and application fees, bonding, site preparation, related water or sewer a. development, etc., for affordable housing projects within one-half mile of an existing or planned transit station. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 75 2008 TABLE H- 21 AFFORDABLE HOUSING RESOURCES' CITY OF TUSTIN Proposition lA Proposition 1A includes • Downpayment provisions to establish a Assistance Downpayment Assistance . Rental Assistance Program and a Rent Assistance Program using school fees collected from affordable housing projects. Potential buyers or tenants of affordable housing projects are: eligible to receive assistance in the form of downpayritent assistance or rent subsidies from this,, State at amounts egyivalent to the school fees p* by tl affordable housing , developers for that prole:, i rus-propams sunt arr and implementation : strategy_ has not yet been determined by the State of Emergency Shelter PitWarn Grants awarded to non- pro �r'ganizations for shelter support services 0 Support Services Housing ., Califor . Below market rate • New Construction Finance Agency financing offered to a Rehabilitation/ (CHFA) Multiple builders and developers of Acquisition Rental Housing multiple family and elderly Programa housing. Tax-exempt bonds `, provide below-market Housing Program Low interest loans for the rehabilitation of substandard homes owned and occupied by lower- income households. City and non -profits sponsor housing rehabilitation projects. • Rehabilitation • Repair of Code Violations • Property Improvements CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 76 2008 TABLE H- 21 AFFORDABLE HOUSING RESOURCES' CITY OF TUSTIN California Housing CHFA sells tax-exempt • Homebuyer Assistance Finance Agency bonds to provide below - Home Mortgage market loans to first time Purchase Program homebuyers. Program is operated through participating lenders that originate loans purchased by CHFA California Housing Unsecured loan from Acquisition Finance Agency CHFA to provide, . ' Rehabilitation HELP Program affordable housing',Infill opportuni%s through • Pred�velopment (construction program pArtnership with • New local governinent entitiaec,, . Code Ettfbrcement > Low Income Tax credits availaW to • Rehabilitation/ Housing Tax Credit itdividuals and � a Acquisition (LIHTQ corpomt o that invest ii ~,, s�. New Construction fbw-incorrW rental housing; =r ai Tcredits are sold to corppraUmis and peoPW with high tax liability" of which I*e proceeds are utilized for housing develo mem ` County Stati%ride TW. pity,, of Tustin is now a • Multi -family Housing Couto untie& n d p{ember of the Private Mortgage ProSr*, program through a Joint Revenue Bonds Powers Authority and can Acquisition participate directly. • Rehabilitation CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 77 2008 TABLE H- 21 AFFORDABLE HOUSING RESOURCES' CITY OF TUSTIN California Debt Allocation of private • Mortgage Credit Limit Allocation activity bond (tax-exempt Certificate Committee (CDLAC) mortgage revenue bond) to • Multi -family private single-family housing. mortgage revenue bond Low interest loan for multi* family housing rehabilitation or acquisition, or botk Provides limited term housing assistance combined with case services, childca and other supportive s�ices to welfare recipients.„ Grants, Ids, and nxutgage assisbnce to low an(tmoderate-income r, f un rovm ami' P g ","V properly with their own labor. Loans for pre development or *abed' money to nonprofit corporations and local governments. Construction, maintenance, use, and occupancy of privately owned and operated employee - housing facilities. Provides unsecured loan for affordable housing projects. • Land lease Payment • New Construction • Pre -development costs • Employee Housing of five or more employees • Erode Enforcement • First Time Homebuyers • . Acquis#o • Rehabilllation CI`T'Y OF TUSTIN HOUSING ELEMENT GENERAL PLAN 78 2008 TABLE H- 21 AFFORDABLE HOUSING RESOURCES' CITY OF TUSTIN CDLAC continued Community Development Block Grant (CDB G) Low interest loans for housing construction for individuals and families with special needs. Low interest and downpayment program for low and moderate -income first time homebuyers. Permanent financing for new construction. and ac family 4MIMMent program that is awarded to the City on a formula basis. The objectives are to furl housing activities and, expandeconomic opportunities. Projects must meet one of three national Aectives: benefit Iow- aid moderate -income persons; aid in the prevention or elimination of slums or blight; or meet other urgent needs. Federal tax credit for low - and moderate -income homebuyers who have not owned a home in the past three years. Allocation for MCC is provided by the State through the County of Orange. • Section 108 Loan Repayments • Public Services Activities • Historic Preservation • Admin. & Planning • Code Enforcement • Public Facilities. Improvements • Housing Activities • Economic Development • Rehabilitation • First Time Home Buyer Assistance CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 79 2008 TABLE H- 21 manage housing for lower- AFFORDABLE HOUSING RESOURCES' CITY OF TUSTIN income owners and sinters HOME Investment Grant program for 0 Multi -Family Partnership (HOME) housing. The intent of this Acquisition/ Rehab Program program is to expand the • Single -Family new construction, supply of decent, safe, and Homebuyer Assistance rehabilitation, sanitary affordable • CHDO Assistance conversion) housing. HOME is • Administration • Supportive Services designed as a partnership . Rental Assistance •Operating Expenses program between thy' Funds are made available Rental Assistance federal, state, and local countywide for supportive • Supportive Social governments, non-profit social services, affordable Services and for-profit housing housing�development, and • Administration entities to finance, renWaiisistance. CITY" OF TUSTIN HOUSING ELEMENT GENERAL PLAN 80 2008 manage housing for lower- income owners and sinters Emergency Shelter Annual grant fund ale • Homelessness Grants (ESG) `allocated on a formu � Prevention (acquisition, ba,l?unds are intend_,, new construction, to assist the provisiort rehabilitation, of shelter and social conversion) services for homeles* • Supportive Services •Operating Expenses -------------- Housing Funds are made available Rental Assistance Opportunities fat countywide for supportive • Supportive Social Persons with AWS, social services, affordable Services (HOPWA) .',, housing�development, and • Administration renWaiisistance. Shelter flus Carr. Supportive housing and Rental Assistance Program (s+C) � z services for persons with disabilities -grants for rental assistance offered with supportive services to x homeless with disabilities and disabled households. Federal Resources —Com 'time Supportive Housing Grants to improve quality • Acquisition Grant of existing shelters and • Rehabilitation transitional housing. • New Construction Increase shelters and transitional housing facilities for the homeless CITY" OF TUSTIN HOUSING ELEMENT GENERAL PLAN 80 2008 TABLE H- 21 AFFORDABLE HOUSING RESOURCES' CITY OF TUSTIN Section 8 Rental Rental assistance program • Rental Assistance Assistance which provides a subsidy to very low-income families, individuals, seniors and the disabled. Participants pay 30 percenx of their adjusted income toward rent. The Orange County Housing Authority pays the balance of rent to property owners, and administen the Program. Section 202 Grants to ricin -profit • AcquW iov, developers o>pportive� . Rehabilitation housing for the eldedy . New Construction • Rental Assistance • Support Services Section 811 Granth to non-profit • Acquisition developerrsoisupportive Rehabilitation ha"4sing for perste with . New Construction disabilitio, includint . Rental Assistance group Homes, independent living fitcilities and intermediate care facilities HOPE Homeownership assistance • Homeownership of awarded on a competitive Multi -family units basil; lvquires non-federal (HOPE 2) matching funds. Homeownership of Single-family homes OPE 3 McKinney Act Grants to develop • Transitional Housing Supportive Mousing supportive housing and • Permanent Housing For Program (SHIP) services and services that Homeless With will enable homeless Disabilities people to live as . Supportive Services, independently as possible. such as child care, employment assistance and outpatient services for the homeless Section 8 Moderate Funds to rehabilitate • Rehabilitation Rehabilitation single -room units within a . New Construction Single Room building of up to 100 units. Occupancy Program The provision of (SRO -Section 8) supportive services is optional. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 81 2008 TABLE H- 21 AFFORDABLE HOUSING RESOURCES' CITY OF TUSTIN Small Projects Mortgage Insurance • Acquisition Processing (SPP)- program for small multi- • Rehabilitation (221 (d)(4) and 223 (f) family new construction or • New Construction substantial rehabilitation (221)(d)(4) and small multi- family rehabilitation Section 108 Loan Provides loan guarantee to • Acquisition CDBG entitlement • Rehabilitation jurisdictions for pursuing . Home Buyer Assistance large capital improvement f "' Homeless Assistance or other projects. The • Public Improvement jurisdiction must pledge its • Ecoigmic Development future CD9G allocations • Relocabon, clearance, for loan repayment site improvements Maximum loan ambit carte be up to five times t entitlement jurisdictiat. § mosty cent approved annual afl&ation. Maximum loan term is 20 tw ehly yeo&s- HUD MortgW, ,,, Mortgage Insurance for • Acquisition Insurance for L" purchase or refinance of • New Construction Purchase/ Refina>'rce existing Tultifamily • Operation projects. Administration HUD Reha$slitatiott. Pmv des mortgage 0 Energy Conservation Loans for insurowe for • Rehabilitation Muitlnily Prods improvements, repairs, or additions to multi -family projects. Disposition of HU13 ` To dispose of multi -family o Acquisition Mulitfamilp housing owned or financed • New Construction Housing by HUD that is delinquent, • Operation under workout or Administration �= foreclosed with Preservation mechanisms designed to preserve the low- and moderate -income housing stock. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 82 2008 TABLE H- 21 AFFORDABLE HOUSING RESOURCES' CITY OF TUSTIN HUD Single -Family Sells HUD -acquired single- -*Acquisition Property Disposition family properties to . Rehabilitation Program expand homeownership opportunities and strengthen neighborhoods. Up to 10% of HUD -help single-family properties are made available for lease for use in homeless programs. Rent is $1 Per vear. Homeless Providers I Provides grits to'develop Acquisition Grant and Per Diem progranw#at help Operation Program Federal Nati Mmtpge As Ass n Mae) establishing housing and services for 1 . Home Morte Program - d ges for both N, chase and MAN, rehabilitation of a home • Fannie Neighbor - Under served low- income minorities are eligible for low down - payment mortgages for the purchase of Adm 6 strati • Single Rtiom Occupancy Hotels • Social Services • Transitional Housing • Homebuyer Assistance • Homebuyer Assistance/ Rehab • Expand Home Ownership for Minorities CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 83 2008 TABLE H- 21 AFFORDABLE HOUSING RESOURCES' CITY OF TUSTIN Federal Home Loan Purchases/secures high • Homebuyer Assistance Mortgage loan to value ratio single- • Acquisition Corporation family home purchase loan e Rehabilitation (Freddie Mac) to assist low income families Rehabilitation Mortgages Program insured mortgages for property acquisition and rehabilitation California Assistance to low income • New Construction Community minority neigshborhoods, o Rehabilitation Reinvestment Act including the constructic+i#,, • Acquisition (CRA) rehabilitation, bruiog and , acquisition finance needs of dgyelopers of affordat , rentatand for -sale housi. is welt as first time, low and moderaW fhcome horii buyers. t Providiss funds to qualified ' affordable housing projects that would nat meet customary criteria or e secondary mortgage market requirements or for which there is no secondary market Provides interest rate at 20 basis point below 11th District costs of funds. Federal Home Loan Direct subsidies to non- • New Construction Bank Affordable profit and for-profit • Expand Home Housing Program developers, and public Ownership for Lower agencies for affordable Income Persons low-income ownership and rental projects California Organized Provides financing for • Affordable housing Investment Network affordable rental or financing (COIN) I ownership housing. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 84 2008 TABLE H- 21 AFFORDABLE HOUSING RESOURCES' CITY OF TUSTIN K4, A I I 44 u ey ns tote Revolving Loan fund and technical assistance to build or rehabilitate housing. Mercy Loan Fund Neighborhood Housing Servicef Initiative Makes loans to projects in which conventional financing isnot available or not affordeble and promotes innovative and effective financing arrangements. 1 NHS is a three-way partnership among neighborhood residents, local Sw, rnments and local &usinesses. The Neighborhood Reinvestment Corporation provides direct technical assistance, expendable grants, and capital grants to NHS, which makes loans for rehabilitation. Provides lower -interest construction financing for affordable or mixed - income rental housing or affordable home ownership through a consortium of World Savings/ Calpers/Wells; Fargo/Bank of America • Acquisition • Homeless Shelters • New Construction • Rehabilitation • Self -Help Housing • Single Room Occupancy Hotels • Transitional Housing; • Acquisition • Group Homes/ Congregate Care • Infrastructure Development • Mobilehome Park Purchase Assistance • New Construction • Preservation Rehabilitation • Self -Help Housing • Single Room Occupancy Hotels • Transitional Housing • Energy Conservation • Operation Administration • Rehabilitation • New Construction • Rehabilitation • Acquisition CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 85 2008 TABLE H- 21 AFFORDABLE HOUSING RESOURCES' CITY OF TUSTIN Non Profit According to the State Acquisition and Organizations Department of Housing rehabilitation and Community • Management of multi - Development, three family units nonprofit agencies in Orange County have expressed interest in purchasing and or managing at risk or replacement units in the Tustin area, .'> Orange County Affordable Housing Financing ' The Replacement Housing, Housing Rehabilitation, Housing Production and Land Cost write -Down programs all use the Redevelopmmthgency's low- to moderate -income housing set-aside funds to leverage other regional, state, and federal funding sources. These sources include, but are not limited tft Orange County Housfhg funds, California Housing Finance HELP funds, Department of Honihi and Urban Development HOME funds, along with housing revenue bond financing and lore income housing tax credits. Such sources help to ensure an adequate level of funding to satisfy the City's affordable housing production requirement&...'>, Source: City of Tusbn Redevelopment Agency Comprehensive Affordable Housing Strategy 2006-MI8 In ad tion t6, these resources, there are also potential public and private iesourcea that; may be available to the City. HOUSING PROG Tiie,foilo* ing matrix identifies existing and new housing programs to be, implemented during the 2006-2014 period. Table H-22 is a comprehensive summary of the City's quantified objectives set forth for each program for the planning period 2006-2014. The programs are organized according to the goals described previously. Appendix C is a six-year capital plan showing anticipated expenditures of projected local revenues for affordable housing (FY 2008-09 to 2013-14). CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 86 2008 I a 0 z0 • wo °n °n0 > Cq W G w eo z z y •v t b O a 0 0 0 v -1:5 o • c. > G u U w [�lu E bo G w cu �0 U.�.. ems•+ N (� u �.•� �o 0 UU +. o o>aao 0 E> aa°'>a. ur r�x� uu0 uu ua¢ ur r G tv uA p .tS O R 'O b0 0 O v Q 0 O ` '� ;� y ;'3 w ay rl� C q y �7 m -.00 d1 � V f 3 U0 10Lu 0. COSdj 00 ~ U �i���.� ~ 3Q r"^c7f 60 mo° �m bo30° ob U �. Or ajs C'. m�oY!x+v �0.� 1 aio�°c,a� oisT3• Q ° w o y c o o�~C1 v °'OG a o -g E p.c id a� ti. o 'O G R cu 0 cm ti u ui "c T ri u � � o e+� ,, o � o � er �, w°� 0 0 p p� � 0 G a� `�." rl U o 6Y N �: rl ai ro u G. c�. �" rr U ° Ll'. W t- oo o c S3 b > � o °ecu0 ts d U ^r, •o ao t U U U cJ �.. w Gy 00 G' 7 g asi3 cCl. g� °A `" q as�s .2 013 "0ou � � 0 00, 0 it w .� v Lr)�yo ww 3 rr °°aa',�'v�" Jy' Vy G ""' �"� �,, •� 41 OV .a ~ 7 yyC I.f) ZO�w bo �+ ., oD m o° 33 c �' O a :o a R o R 00w ti ° r.° o w a ��m c rZ o °�Q �.5 �•5 o a end R aon° 01 A E- 00 W N w C,7 z O z e 0 0> 0> u & a Q U & w Gy 00 G' 7 g asi3 cCl. g� °A `" q as�s .2 013 "0ou � � 0 00, 0 it w .� v Lr)�yo ww 3 rr °°aa',�'v�" Jy' Vy G ""' �"� �,, •� 41 OV .a ~ 7 yyC I.f) ZO�w bo �+ ., oD m o° 33 c �' O a :o a R o R 00w ti ° r.° o w a ��m c rZ o °�Q �.5 �•5 o a end R aon° 01 A E- 00 W N w C,7 z O z e 0 a01 .�oa a� 0 0 o 0 w Gy 00 G' 7 g asi3 cCl. g� °A `" q as�s .2 013 "0ou � � 0 00, 0 it w .� v Lr)�yo ww 3 rr °°aa',�'v�" Jy' Vy G ""' �"� �,, •� 41 OV .a ~ 7 yyC I.f) ZO�w bo �+ ., oD m o° 33 c �' O a :o a R o R 00w ti ° r.° o w a ��m c rZ o °�Q �.5 �•5 o a end R aon° 01 A E- 00 W N w C,7 z O z e H00 zo Wo �+ N w O z O x H 0 v y y O H OA G o � o � � v cu aocu w 0 a a o 6 b .a Q. o q' C's� w � 0 G �G ° t o 1 w oo S.0 6 t��� 0 0 H 72 U y tT °p. .bbdeAc 00 7 C vo;o° o a 0 5 ; cn 3 �� �� c�.°G �A..� C7 w go p� a W 06 0o UaQ p, .8y0 b'o c o G a, 'oo a a, o tt -" o 0 x r y w Ln L^ O o -a ao o > w 0, �o Rx-0 'o > v w oq H00 zo Wo �+ N w O z O x H zo (4o a W C7 z O x v � Com. o G � cu Q) F � q� v y p l7 a Ts ¢ o u;w Ucn uir$QrS.52 '9 onUL�¢ oa°xU o d v *' y v O U q C y o O > O O > x �Q U CU ad atO A� � a cu a>v ��' �3�.�eo Ei >x .2-0 0 � O 79 "O °O +� O a • o i3 cn oO .� Xcu �O G. O�b O y .o Q p„ 0. O E 2 G 1 t � A O Go Z Z o Q. u'Q, w o, aoi bo 0> 3 t ao, tea. o a� a o cu M O p 04 N a� O �O 3 M pbA cr to O O o 0 a4 .4 y Z 2 W ,� y 0 �., y o G U a o C7 P.< x rrcn as x v-4 (.(-A 2U sU x o R �4 0 y v oug A4 O m U O C G1 > N O O zo (4o a W C7 z O x v � Com. o G � cu Q) F � q� v y p l7 a Ts ¢ o u;w Ucn uir$QrS.52 '9 onUL�¢ oa°xU o d v *' y v O U q C y o O > O O > x �Q U CU ad atO A� � a cu a>v ��' �3�.�eo Ei >x .2-0 0 � O 79 "O °O +� O a • o i3 cn oO .� Xcu �O G. O�b O y .o Q p„ 0. O E 2 G 1 t � A O Go Z Z o Q. u'Q, w o, aoi bo 0> 3 t ao, tea. o a� a o cu M O p 04 N a� O �O 3 M pbA cr to O O o 0 a4 .4 y Z 2 W ,� y 0 �., y o G U a o C7 P.< x rrcn as x v-4 (.(-A 2U sU x � 0 y A4 m U O zo (4o a W C7 z O x v � Com. o G � cu Q) F � q� v y p l7 a Ts ¢ o u;w Ucn uir$QrS.52 '9 onUL�¢ oa°xU o d v *' y v O U q C y o O > O O > x �Q U CU ad atO A� � a cu a>v ��' �3�.�eo Ei >x .2-0 0 � O 79 "O °O +� O a • o i3 cn oO .� Xcu �O G. O�b O y .o Q p„ 0. O E 2 G 1 t � A O Go Z Z o Q. u'Q, w o, aoi bo 0> 3 t ao, tea. o a� a o cu M O p 04 N a� O �O 3 M pbA cr to O O o 0 a4 .4 y Z 2 W ,� y 0 �., y o G U a o C7 P.< x rrcn as x v-4 (.(-A 2U sU x 04 �O xx wa �z WA WA z x O x 00N q ar o O o uQ .� W W O z bi) w o� o 0 w o o°60 O 04 �O xx wa �z WA WA z x O x q ar off" v o O o uQ .� 04 �O xx wa �z WA WA z x O x r. � y o G a U d � o ° aQ�A a uC� V w 0 C O'� N G C 00 �Q o o o e -i O N Q,Y• O '�+ �C O u� a LL �j ,/C� UZo -E5 Cp .� f0 i. ° y ° •� ° V X. f.• G o C r d0 �" O O GJ O.' N� GJ U cU 3 w °Sod'° i. w w ° te a w V+ � (Z w oo a. o E wo 3+ o o D x A O te+Ga 8V-4 o Q r+iOX r4 x rU q ar off" v o V �Qc�xUQ.vi oC1 uQ r. � y o G a U d � o ° aQ�A a uC� V w 0 C O'� N G C 00 �Q o o o e -i O N Q,Y• O '�+ �C O u� a LL �j ,/C� UZo -E5 Cp .� f0 i. ° y ° •� ° V X. f.• G o C r d0 �" O O GJ O.' N� GJ U cU 3 w °Sod'° i. w w ° te a w V+ � (Z w oo a. o E wo 3+ o o D x A O te+Ga 8V-4 o Q r+iOX r4 x rU Ts R ° z o v �C11 c a • x a p, a O O 0 �O ° G O CD o o v v aj N 0 0 O Amb � sz. 0 tbv�xo C y O ,.4 Ts z o �C11 c a o a O li w O CD ¢(U z N � v - g a a car. �o o a.� 0 o r1 G A a w c v a V s as 0 > a U C� 6 0 m .2y o -d nv o avy � ¢ 'C (u G. O O 'CS '� cu.O cu to 03 r. ami �°'C o w �.�o °3 SUE° -iii o03 y Rw m c,�'o a° a N R T3 ° X o, y' y �' ° o S U U Raw R5va, r w �vba N m ° � � rl o '�0'O Ou 0u v x zo wC'l w a w C) z O x rn W 04 oz a F I a Q H za wN w a w 0 z 0 x v Lo "oa F cn° a°i'0� o oa > a ° °- w O x 7 bOp O cu 75 w Q I"G v E a oo 0 y cc d G v d v v v.. bboo y •� '� eo ;C � ;ki ;� O p O yV C �r O }G y 3 7 R, e„ p 0 O 0 a p p Q n u 4O .� c e-� Qj ooao3�c vol In oo .. a loz 01 =0 : w 7 .� 'b � � vO o p ob 0 5�" `o a �p vV v h F O o�pp ^" v F W 0 0 a O N O o y O N p 0 O N U p U C7 Z F F W zo C� A wp N a w 0 o a z o Lo "oa F cn° a°i'0� o oa > a ° °- w O x 7 bOp O cu 75 w Q I"G v E a oo 0 y cc d G v d v v v.. bboo y •� '� eo ;C � ;ki ;� O p O yV C �r O }G y 3 7 R, e„ p 0 O 0 a p p Q n u 4O .� c e-� Qj ooao3�c vol In oo .. a loz 01 =0 : w 7 .� 'b � � vO o p ob 0 5�" `o a �p vV v h F O o�pp ^" v F W 0 0 a O N O o y O N p 0 O N U p U C7 Z F F W C� A Lo "oa F cn° a°i'0� o oa > a ° °- w O x 7 bOp O cu 75 w Q I"G v E a oo 0 y cc d G v d v v v.. bboo y •� '� eo ;C � ;ki ;� O p O yV C �r O }G y 3 7 R, e„ p 0 O 0 a p p Q n u 4O .� c e-� Qj ooao3�c vol In oo .. a loz 01 =0 : w 7 .� 'b � � vO o p ob 0 5�" `o a �p vV v h F O o�pp ^" v F W 0 0 a O N O o y O N p 0 O N U p U C7 Z 8' e I zo N a v w I x 71 O � w N ,a v ^d U) w w� b � � �Q UV i ,0 G " oma' a. a o ao > v lz w4 R. x a°aAuAaQ clS cii w ° �v ra y �i O Ri R 2y O 00 m � O � � V u � � 4f �r- Q G R5 G7 A 7 O O N 40 O7 i7 y t v v° �+c�. y G w,G,, y •oY3 ci; Trh `°d o -o 2 3 E.Q O yb u J ajp z C 0 o0 � N . ° 9 OaOp. V 6ur bAQ N 4 o > •wOqAl u a o. o G o 2,10 p Y3 w oo .� p, G v wO O O d pp (� y �f d F o a o a> u t '� cu cu�. Qy ba w aeD O Tj °° .o v o o v o v a� �+ •: W MoTs > H ao Hx �^aU �mx O o�1Jiu0•� W x O u 0�� ci U . a.O • • • j R • . • vi, �a ' o o tog 3�� 0 ogo.�° 003" x va � r ON 0 0 eo 0 0o 6 .5 0 oO bfS w b0 � N . b �a�1 aciiaob N C �r O x ,� vG U 0 0 o i� C 00o 4 G C 4 aY3 cu A o M o x (z C b 14 L ^ 0 o°. v W �f! LO co Lfi R J W 0 zz E�-1 a F Ow z u0 $ m m 0 o y Ys 13 r N U/ �'' N p(U v t^ tY, N d o 0 N U x C7 bfS w b0 � N . b �a�1 aciiaob N C �r O x ,� vG U 0 0 o i� C 00o 4 G C 4 aY3 cu A o M o x (z C b 14 L ^ 0 o°. v W �f! LO co Lfi R J W 0 zz E�-1 a F Ow z u0 zo W N a � z a 0 x 2 L a � ° ,y u L� R d > O O tt C OA m y v p0>7N O w a U Q W > w d N 't 00 r o Q 0 0 06 O G a a 19 c c, d0 0o o ani $ �' � .� y •� +' � •� b oo i3 00� c ts so 603 a o :3kiQ�o 0 .5oa��333aCo,00Gvy�30 ao , v , v m cru � vol 9 o � oa4 CU S � en O .0 C cC o G 3 a°i a� �3 > G o X w Q o R -4 r. y is WO v G 10 Z �w�'Gj 3 aa?o�s3�i•�a13 opts. o a w o Fz u O O L yj O p U y C y +• x CJS oM (Uv G G C> �° °� o Q -CS WW °o' 5 o 3 c n�2i � x pW cu w T7 cu a, y� E y O G1 > G y E-, d0 G v G 0. 0 �i O T P4 °^ O �O v Rf w U C7 0 ftt T. 'C1 Q. i u v d O 0 'CS H 00 w °� o �s u��.°��. Wo i� �N w M W U � 00 � z v �79 Lf) 'CS w °� o �s u��.°��. i� o -fl o M � U U °� o �s u��.°��. �b o 04 ooU •� v 'C u o 3 o -fl o U v �79 Lf) ° 0 o a� v v F v1 O v Qj riu 20 41 2uG°� Z UC7 r 3 bO ,u 0. G1 G C O z hr Appendix to Housing Element CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 107 2008 9Y CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 107 2008 Appendix to Housing Element This page intentionally left blank. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 108 2008 Appendix to Housing Element REVIEW OF PAST PERFORMANCE State law establishes a five-year cycle regulating housing element updates. In compliance with the SCAG cycle, the Tustin Housing Element was updated in 1989 at which time it was found to be in compliance with State law, and was updated again in 1994. In 1997, the City of Tustin initiated a comprehensive General Plan update, and the Housing Element was again updated to accommodate the MCAS Reuse Plan and to ensure consistency with other General Plan Elements, as well as to address recent changes in State law. These amendments were adopted on January 16, 2001.:- In 2002, the City once again updated its Housing Element and was certified by The State's Housing and Community Development bent in compliance with State's Law. Review of Past Housing Element The 1999 SCAG Regional Housinf construction need in Tustin by IN were for veep low income house: moderate income and 1,337 upper (1998-2008) atilt Model indicated a new 298 units, of which 694 units 489 for low income, 778 for The followmg discussion highlights the progress, effectiveness and appxopriat ess of 199-24105 Housing Element Objectives and the progress achieved duringthe 1998-2008 time period. Table HTM-36 in the Technical Menwrandum provides a more detailed summary of the City's overall accomplishments for the years 1998-2008, broken into two time periods (1998-2000; 2001-2008). As, indicated in Table HTM-36, the City was successful in accomplishing the majority of the objectives established for the past planning period. According to City Staff, the following objectives were met or exceeded: New construction 4,289 units were constructed during the 1998-2008 period, exceeding the City's objective of 3,298 units for the planning period. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 109 2008 Appendix to Housing Element Available Sites The program objective was to utilize Planned Community Districts and Specific Plans to authorize and encourage mixed-use developments to assist in the development of new affordable owner and rental housing, including 3,151 infill units at WAS Tustin. The program has seen development of 1,486 units over the 10 year period, including a new 12 unit live/work development (known as Prospect Village) in Old Town. Mobile homes The objective to maintain, existing units was a&omplished. In addition, entitlement for the creation of 10 new mobile home spaces was accomplished. Deed restricted affordble units The objective of requiring deed restrictions to ensure continued affordability for low -'or moderatie-income housing constructed or rehabilitatesa"- with the assistance of' any public or Redevelopment Agency fundi. as may ba legally required was successfully met. Between the years 1998-2000, 207 units deed restricted units were established, an4, from 2001-2008, 243 restricted units were es ablishe, for a to t :4 i deed restricted units established during h. the program implementation period. Pre -application conferences The objective to continue to utilize pre -application conferences and processing °procedures to expedite processing was carried out on a total of projects during the review period. Transitional Housing The program objectives were to promote, assist, and facilitate the development of emergency and transient shelters through continued support of the County Homeless Assistance Program, and to supporting local agencies that provide homeless services with financial assistance. The program has been effective in maintaining 3 homes with a total of 16 beds through the period, as well as 90 beds at the Orange County Social Services Tustin Family Campus facility CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 110 2008 Appendix to Housing Element as a shelter for abused and neglected children and their parents and for emancipated youth. Temporary housing for the homeless The program to support countywide efforts to assist approved homeless providers as part of the MCAS Tustin reuse effort was outlined in a series of specific objectives, all of which were achieved. A large variety of temporary and transitional facilities to be operated by various homeless providers have been developed at Tustin Legacy, as follows: Construction► of the 192 -bed Village of Hope facility to be operated by the ' Orange County Rescue Mission is complete. Twenty-three units of transitional housih-g to be operated by the Salvation Army have been completed at Tustin FWld I, as well as acquired in the city of Buerti VUrk with the City of Tustin's assistance. Six new transitional uni& for women and children have been completed in the ,Columbus drove development at Tustin Legacy, to be operated by Human Options, An additional 6 units have been completed at Columb Grove frig families with children, to be operated by Orange Coast Interfai t Shelter. Finally, 14 units at Columbus Grqve will provide transitional housing for families with children by Fatrilies Forward (formerly Irvine Temporary Housing). Housing opportutuhes for all economic segments The` prograrn ` to monitor the implementation of the affordable housing program adopted as a part of the East Tustin Specific Plan has successfully met the objective of monitoring 174 units in East Tustin oven the la year period. The Redevelopment Agency has successfully administered a bond financing program which has processed a total of 252 restricted units for very -low and low income households to accomplish Five -Year Quantified Objectives and help meet the City's affordable housing needs. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 111 2008 Appendix to Housing Element Senior Citizen Housing The objective in protecting and providing senior citizen housing was identified as the preservation of 100 at -risk and creation of 60 new units by 2005. The 100 at -risk units were preserved throughout the review period. In the 1998-2000 period, a site on Sycamore Avenue was identified for a 60 -unit senior housing project, which was ultimately developed into 54 one -hundred percent affordable senior units, known as Heritage Place at Sycamore, Senior Services Program The City's objective to develop a senior services program consisting of a comprehensive transportation program, case management, information and referral, and a shard housing programto assist 850 elderly annually was exceeded with 9,20 elderly receiving assistance annually between 2 2008. Recycling Single -Family Usei into Multiple -Family Units The program- to encoura a developers fo consolidate individual lots into larger cohesive developments b� responding to all requests for density bonuses per City codes was accomplished in that the City saw thy' construction of oner additional unit at 135 A Street and density bcmaases ' w� granted to Lennar as an incentive for the creiiiido of afibrdable uniti at the Villages of Columbus. tw v Ongoing, Review of Housing Element Programs The objective to conduct an on-going review of Housing Element programs,," by preparing an annual report to the Planning Commission assessing the previous years' accomplishments toward meeting "I Housing Element objectives and then submitting the annual report to the State HCD was achieved. Zoning Studies The City was to undertake zoning studies to consider new programs to encourage and promote affordable housing and recommend appropriate amendments for action by the Planning Commission and City Council. The program was effective in adopting the density bonus ordinance in 1999, subsequently revising it in compliance with CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 112 2008 Appendix to Housing Element the change in state law, and in adopting a Planned Community District to accommodate a mixed use project (Prospect Village) in Old Town. Private Streets In order to reduce construction costs, the City adopted standards for private streets and continued to permit developers to install private rather than public streets when feasible. In the 1998-2000 period, 69 private streets were created. Site Improvements New developments require the construction of site 'kmprovements which are often costs that are p'ssei�k ono from the developer to the housing consumer, creating an eve greater barrier to qualifying for the purchase of home: , In order to reduce these added housing costs, the objective was to evafuate the use of 'special assessment district funding at MCAS Tustin (Tustin. Legacy) by, 2005 as well as in other developing areas. During the 1998-20� 'period, portions of public works assessment distract `bonds wed converted to fixed rate to lower cost. firing the 2001-2008 period, assessment districts were created at Tustin Legacy. Environmimtal Consh"Ah* � `' The on-going 90 was to require program Environmental Impact Reports (EIR) on' 4 major development projects to decrease the delays in processing and incorporating mitigation requirements into the devel4ment plans. In the first half of the review period, 11 negative declarations (ND) were adopted and a draft and final program joint EIS/EIR for the MCAS Tustin project was prepared. In the'second half of the review period, the Final Program EIS/ EIR for MCAS Tustin was completed. Density Bonus Program The objective was to process all request for density bonuses in order to facilitate the construction of affordable housing. In 1999, the Density Bonus Ordinance was adopted and one application was processes. Between 2001-2008, Lennar/ Lyon were granted 182 CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 113 2008 Appendix to Housing Element density bonus units for the creation of affordable units at Columbus Square and Grove. MCAS Tustin Redevelopment Project Area The goal to create a new redevelopment project area for the MCAS - Tustin site by adopting the MCAS -Tustin Specific Plan and Redevelopment Project area was attainecL Fair Housing The City's objective to contact with the Fair Housing Council of Orange County (FHCOC) to assure equal housing'opportunities by assisting approximately 400 residents annually and 2,000 residents by 2005 was exceeded. Betweeit 19200, 2,289 complaints were processed, and an, additional 1,54t -.":were processed between 2001- 2008. Shared Housing The City continued to'' prvide coo nation and support to an Orange Coup housing sharing program by handling a total of 75 cases`during tfi review period. Housing Werral PbWam, The Ct3 contend to provide housing referral services to families in need of housing assistance and information through the Police, Parks and Redeatiorv, Services, and Community Development r Departmes. The objective was to make 8,750 referrals to social agencies and 50 referrals for shard housing by 2005. Between 1998- 2000, 4,375 social service referrals and 25 shared housing referrals were made; between 2001-2008, an additional 4,850 social service referrals and 50 shared housing referrals were made. Replacement Housing The program objective was to ensure rehabilitation or construction of an equal number of replacement units when low and moderate income residential units are destroyed or removed from the market pursuant to California Community Redevelopment Law. Over the CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 114 2008 Appendix to Housing Element 10 year period, 86 units were removed and replacement was completed. Housing Rehabilitation The goal to rehabilitate 100 units by allocating CDBG and Redevelopment Agency (RDA) funds to finance public improvements and rehabilitation of residential units in target areas was achieved. A total of 119 units were assisted with RDA funs over the review period. Housing Authority The program to contract with the Orange County Housing Authority (OCHA) for the development arid, operation of federal -assisted low and moderate income housing programs was continued and 1 developer contract (Tustin Gardens) was processed with OCHA. Rental Assistance The program to provide rental u, assistance through Section 8 certificates and voucher certificate program assistance funds through the OCHA wafi successful over the review period. The objective to issue 200 ,certificates/ vouchers' annually and 1,000 by 2005 was exceeded. Between 1998-200f1, 632 certificates vouchers were issued, and, approximately 350 were issued annually between 2001-2008. Affordable Senior Housing Project and Senior Board and Care Facility E The program objective to maintain 38 units of affordable senior housing (20 units in a housing complex and 18 units in a board and care facility) was exceeded. Over the review period, 112 housing units were maintained as well as the 18 board and care units. Preservation of Assisted Housing Tustin has a total of 100 low income units that have been at risk of conversion during the review period. The objective to monitor and preserve all of these units at risk was completed successfully. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 115 2008 Appendix to Housing Element Enforcement of Building and Housing Codes The City's Code enforcement conducted over 6,000 property maintenance and housing code related inspections during the past review period. The City has been successful in getting property owners to abate code violations. Cultural Resources District The purpose of the City's Cultural Resources Overlay District is to safeguard the heritage of the City by preserving neighborhoods and structures that reflect the City's heritage and past., The objective in the planning period was to rate historic structures.where applicable and process 20 certificates of, appropriateness. �In ttl�, 1998-2000 period, nine units were rehabilitated ' In the 2001-2008 period, the Community Development Department issued 79 Certificates of Appropriateness certifying building changes were consistent with design guidelines and appropriate within the District context. Energy Conservation All new construction is ' required to be subject to state energy conservation (Title 24) requirements as a condition for the issuance of a building permit. In the review period, 1,556 new units were the City to mem these standards. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 116 2008 CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 117 2008 Appendix to Housing Element APPENDIX C AFFORDABLE HOUSING CAPITAL PLAN FY 20M TI? FY 2013-14 CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 119 2008 Appendix to Housing Element This page intentionauy left blank. CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 120 2008 Appendix to Housing Element APPENDIX D► PUBLIC PARTICIPATION MAILING LIST CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 121 2008 Appendix to Housing Element CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 122 2008 APPENDIX 6 PUBLIC PARTICIPATION MAILING LIST Appendix to Housing Element CITY OF TUSTIN HOUSING ELEMENT GENERAL PLAN 124 2008 Veterans Service Dept. Dayle McIntosh Center Orange Coast Interfaith Shelter 4220 Lemon Street 13272 Garden Grove 1963 Wallace Street, Apt. A Riverside, CA 92501 Garden Grove, CA 92843 Costa Mesa, CA 92627 YMCA Community Counseling Services 2 Executive Circle, Suite 280 Irvine, CA 92714 Tustin Area Historical Society & Museum 395 El Camino Real Tustin, CA 92780 Probation Community Action Assoc. 1111 N. Main Street, #176 Santa Ana, CA 92701 Helen Anderson Hunger Coalitions 14452 Wildeve Lane Tustin, CA 92780 Barbara Benson Tustin Area Council for Fine Arts P.O. Box 145 Tustin, CA 92781 Vanessa Bruner Learning for Life 1211 East Dyer Santa Ana, CA 92705 Shirley Cohen Feedback Foundation, Inc. 1200 N. Knollwood Circle Anaheim, CA 92801 Pat Davis Big Brothers & Sisters of OC 14131 Yorba Street Tustin, CA 92780 Assistance League of Tustin P.O. Box 86 Tustin, CA 92780 Legal Aid Society of Orange County 2101 N. Tustin Avenue Santa Ana, CA 92705 Families First 12012 Magnolia Street Garden Grove, CA 92641-3346 Community Services Program 16842 Von Karman, Suite 425 Irvine, CA 92714 Mardan Center of Educational Therapy Susan Alexander 1 Osborn New Horizons Irvine, CA 92604 13821 Newport Avenue Tush, CA 92780 Allen Baldwin OC Community Housing Corp. 1833 E. 17th Street, Suite 207 Santa Ana, CA 9270V Doug Bistry O.C< Affordable Housing 23862 EI T`t Road, Suite 207 Lake Forest, CA 92640-4733 Jerry Can initi Disability Awareness Coalition 3773 University Drive, #118 Irvine, CA 92612 Donna Core Meals on Wheels 1001 N. Tustin Santa Ana, CA 92707 John Drew Family Solutions 203 N. Golden Circle Drive, #101 Santa Ana, CA 92705 Joan Basile Mary's Shelter 17671 Anglin Lane Tustin, CA 92780 Helen Brown Civic Center Barrio 1665 E. 4th Street, #210 Santa Ana, CA 92701 Patrick Carroll Life Share 11421 Garden Grove Boulevard Garden Grove, CA 92643 Julie Damon The Seed Institute 6271 Tarssa Lane Mission Viejo, CA 92691 Jennifer Feldstein Women Helping Women 425 E. 18th Street #14 Costa Mesa, CA 92627-3161 John Von Glahn Melinda Guinaldo Suzanne Guthrie Family Service Association Assessment & Treatment Services Center Four H Clubs of Orange County 18001 Cowan, # c -d 1981 Orchard Road 1045 Arlington drive Irvine, CA 92714-6801 Newport Beach, CA 92660 Costa Mesa, CA 92626 Mary Hadley Larry Haynes Colin Henderson Info Line Orange County Mercy House Transitional Living Ctr. Friendship Shelter, Inc. 2081 Business Center Drive, suite 130 P.O. Box 1905 P.O. Box 4252 Irvine, CA 92715 Santa Ana, CA 92702 Laguna Beach, CA 92652 Elmer Hothus Christian Temporary Housing Facility 704 N. Glassell Street Orange, CA 92867 Becky Johnson Alliance for the Mentally Ill 621 S. "B" Street, Suite B Tustin, CA 92780 Susan Knopick Children's Bureau of So. Calif 50 S. Anaheim Boulevard Ananheim, CA 92805 Laura Archuleta, President Jamboree Housing Corp. 17701 Cowan Avenue, Suite 200 Irvine, CA 92614 Warren Johnson Salvation Army 10200 Pioneer Road Tustin, CA 92780 Elizabeth Jones C.O.P.E.S. 2025 N. Broadway Santa Ana, CA 92706 Robyn Class Orange Children & Parents Together 3550 E. Chapman Avenue Orange, CA 92869 Elaine Lintner OCSPCA-Paw* 5660 Avenida Antigua Yorba Linda, CA 92687 Theresa Marji Wendy Marohnic, Legal Aid of Orange County Human Options Second Step 2101 N. Tustin Avenue P.O, Box 9445 Santa Ana, CA 92705 South tag, CA 92677 Easter Seal Society, 4321 Walnut #Sll Irvine, CA 92604 Sherry McCulley Legal Aid Society of Orange County 2101 N. Tustin Avenue Santa Ana, CA 92705 Jim Miller Shelter for the Homeless 15161Jackson Street Midway City, CA 92655-1432 Boys & Girls Club of Tustin 580 W. Sixth Street Tustin, CA 92780 Joyce Riley Learning Disabilities of Southern Calif P.O. Box 25772 Santa Ana, CA 92799 Lutheran Social Srvc. of Southern Calif. 2560 North Santiago Blvd. Orange, CA 92867 David Levy Fair Housing Council of O.C. 201 S. Broadway Santa Ana, CA 92701 Jon Schlemmer St. Vincent de Paul Center for Reconciliation 2525 N. Grand Avenue, #N Santa Ana, CA 92703 Judy Johnson ESA/ Corporate Office 23861 El Toro Road, Suite 207 Lake Forest, CA 92640-4733 JoAnn Ruden Tustin Public School Foundation 17411 Irvine Boulevard, #I Tustin, CA 92780 Doris La Magna The Villa Center, Inc. 910 North French Santa Ana, CA 92701 Marisa Charette, President & CEO Tustin Chamber of Commerce 399 El Camino Real Tustin, CA 92780 Brenda Martin Laurel House 13722 Fairmont Way Tustin, CA 92780 OC Council on Aging 1971 E. 41h Street #200 Santa Ana, CA 92705 Beverly Nestande Olive Crest Homes 2130 E. Fourth Street, Suite 200 Santa Ana, CA 92705 Barbara Resnick Western Dev. for Affordable Housing 112 E. Chapman Avenue Orange, CA 92867 Orange County Homeless Issues Task Forc 1770 N. Broadway Santa Ana, CA 92706 Mary Atkinson Smith The Blind Children's Learning Center 18542-B Vanderlip Avenue Santa Ana, CA 92705 Sister Marie Therese Lestonnac Free Clinic 1215 E. Chapman Avenue Orange, CA 92869 Clyde Weinman Irvine Temporary Housing 6427 Oak Canyon Irvine, CA 92620 Randy Wenz Orange County Council 3590 Harbor Gateway North Costa Mesa, CA 92626 Carol Anne Williams Interval House P.O. Box 3356 Seal Beach, CA 90740 Susan Stokes Turning Point Center for Families 2101 E. 4th Street, #150-B Santa Ana, CA 92705-3814 Lynne Tsuda Central Orange County YWCA 146 North Grand Street Orange, CA 92866 Karen Weisenberger Consumer Credit Counseling Service P.O. Box 11330 Santa Ana, CA 92711 Thomas Whaling Shelter for the Homeless 24621 Ridgewood Circle Lake Forest, CA 92630K,t Bob Winandy Pilgrimage Family Therapy 27405 Puerta Real, Suite 180 Mission Viejo, CA 92691-6314 Hunter L. Johnson, President & CEO William O'Connell, Executive Director LINC Housing Colette s Children's Home 110 Pine Street, Suite 500 17301 Beach Blvd., Suite 24 Long Beach, CA 90802 Huntington Beach, CAS 92647 Patrick McCabe, Project Manager Marsha Santry, Community Manager William Lyon Homes, Inc. Lennar Homes 4490 Von Karman Avenue, 25 Enterprise Newport Beach, CA 92660 ` Aliso Viejo, CA 92656 Steve Kabel Orange County Social Services John Laing Homes Tustin Family Center 895 Dove Street, Suite 200 c/o Steven Johsz, Senior A&E Project Mgr. Newport Beach, CA 92660 Resources & Development Management 1152 E. Fruit Street, Bldg.1 Santa Ana, CA 92701 Kathleen Maloney Mercy Charities Housing 500 S. Main Street #110 Orange, CA 92868 Maria I. Marquez Interim Division Manager Adult Mental Health Services 405 West Fifth Street, Suite 550 Santa Ana, CA 92701 Donald Taylor Veteran Charities of Orange County 201 S. Sullivan Street Santa Ana, CA 92704 Serving People in Need 151 Kalmus #H-2 Costa Mesa, CA 92626 Tim Wells Episcopal Service Alliance 1872 Drew Way Orange, CA 92869 Kimberlee White The Eli Home, Inc. 3128 E. Chapman Avenue Orah8p CA 92869 OC Housing Providers Attn: Vickie Talley 25241 Paseo de Alicia #120 Laguna Hills, CA 92653 Rebecca F. Clark, President National Community Renaissance 9065 Haven Avenue, Suite 100 Rancho Cucamonga, CA 91730 Ellizabeth Cobb, VP, Director of Development Tustin Legacy Community Partners c/o Shea Properties 130 Vantis, Suite 200 Aliso Viejo, CA 92656 Gina Martinez Orange County Congregation Community Organization (OCCCO) 310 W. Broadway Anaheim, CA 92805 Maury Ruano Mercy Housing 500 S. Main Street #110 Orange, CA 92868 Randy Gibeaut Trinh LeCong, Executive Director Lynne Fishel, CEO Community Housing Resources Affordable Housing Clearinghouse BIA Orange County Chapter 1411 North Broadway 23861 El Toro Road #401 9 Executive Circle, Suite 100 Santa Ana, CA 92706 Lake Forest, CA 92630 Irvine, CA 92614 Bart G. Hess Affordable Home Owners Alliance 2 Park Plaza, Suite 100 Irvine, CA 92614-5904 Homeless Issues Coordinator County of Orange 10 Civic Center Plaza, 3rd Floor Santa Ana, CA 92701 Maya Dunne, Asst. Vice President SJHS Foundation & Community Outreach 500 S. Main St., Suite 1000 Orange, CA 92868 Margie Wakeham Families Forward 9221 Irvine Irvine, CA 92618 Kennedy Commission Attn: Linda Tang 17701 Cowan Avenue, Suite 200 Irvine, CA 92614 David Levy 14331 Browning #24 Tustin, CA 92780 Habitat for Humanity of Orange County 2200 S. Ritchey Street Santa Ana, CA 92705 Ronald M. Griffith Acting President & CEO Century Housing 1000 Corporate Pointe, Suite 200 Culver City, CA 90230 Jim Palmer, President Orange County Rescue Mission 1 Hope Drive Tustin, CA 92782 Karen Roper, Director Orange County Housing/ Community Development Department 1770 N. Broadway Santa Ana, CA 92706 Dara Kovel, Associate Director Mercy Charities Housing California 500 S. Main Street, Suite 110 Orange, CA 92868 Joan B. Margol Orange Coast Interfaith Shelter 635 Vista Bonita Newport Beach, CA 92660 Vickie Talley, Board Member Orange County Housing Providers 25241 Paseo de Alicia Laguna Hills, CA 92653 Gerald W. Dingivan, President & CEO Southern California Presbyterian Homes 516 Burchett Street Glendale, CA 91203 Scott Larson, Executive Director HomeAir Orange county 17744 Sky Park Circle, Suite 170 Irvine, CA 92614 Community Action Partnership of Orange County 12640 Knott Street Garden Grove, CA 92841 Public Law Center 600 Civic Center Drive West Santa Ana, CA 92701-4002 Captain Lee Lescano The Salvation Army 10200 Pioneer Road Tustin, CA 92780 Cynthia Campbell Human Options, Inc. (DOVE Housing) PO Box 9376 Newport Beach, CA 92658 Sheri Barrios, Executive Director Orange Coast Interfaith Shelter 1963 Wallace Avenue Costa Mesa, CA 92627 Cesar Covarrubias Senior Project Manager The Kennedy Commission 17701 Cowan Ave., Suite 200 Irvine, CA 92614 Lucy Dunn, President & CEO Orange County Business Council 2 Park Plaza, Suite 100 Irvine, CA 92614 Glenn Hayes, Executive Director Neighborhood Housing Services of Orange County 198 W. Lincoln Ave., 2nd Floor Anaheim, CA 92805 Affirmed Housing Group 13520 Evening Creek Dr. North, #360 San Diego, CA 92128 Appendix to Housing Element APPENDIX E REFERENCES Appendix to Housing Element Appendix to Housing Element REFERENCES A. Documents 1. 1990 Census Report. U.S. Department of Commerce, Bureau of the Census. 2. 2000 Census Report. U.S. Department of Commerce, Bureau of the Census. 3. Comprehensive Housing Affordability Strategy for Fiscal Years 2007-2008 to 2017-2018, David Paul Rosen & Associates (DRA). 4. Marine Corps Air Station (MCAS} Tustin Specific Plan/ Reus4 Plan, Adopted February 2003, Amendments through J*e 20071 � 5. California State Department of Finance, 2002 6. Demographic Profile and Survey of Homeless Persona Seeking Services in Orange County. The Research Commies of the Orange County Homeless Issues Task Force, 1999. 7. Southern California Association of Governments, Regional Housing Needs Assessment, 2007. 8. City of Tustin, Zoning Oidihane , .,, 9. City of Tustin, General Plan, ?s amended January 16, 2001. 10. Third Five -Year Implementation Plan for The Town Center and South Central Redevelopment Project Areas (FY 2005-06 to 2009-2010), Tustin Community Redevelopment Agency, December 2004. 11. Final Environmental Impact Statement/ Environmental Impact Report (EIS/EIR) for the Disposal and Reuse of MCAS -Tustin (Program EIS/EIR for MCAS -Tustin), January 16, 2001. 12. City Council Staff Report, 13. Response to Comments, Final Volume 2 and 3 of Final Environmental Impact Statement/ Environmental Impact Report (EIS/ EIR) for the Disposal and Reuse of MCAS -Tustin. Appendix to Housing Element 14. State of California, Department of Housing and Community Development, Website. B. Persons and Organizations 1. Christine A. Shingleton, Assistant City Manager Tustin Community Redevelopment Agency (714) 573-3107 2. Elizabeth A. Binsack, Community Community Development Depart (714)573-3031 3. Douglas C. Holland, City Attorney Woodruff, Spradlin & Smart (714) 564-2642'° 4. Jerry Craig, Redevelopment Program Manager Tustin Community Redevelopment Agency, (714) 573-3121 " =r 5. Kimberly McAllen, Redevelopment Project Manager Tustin Community Redevelopment Agency (714),„57.�-3128 �0 6. Justina Willkom, Senior Planner Community Development Department, Tustin (71,4) 573-3115 7. Reina-kapadia, Assistant Planner Community Development Department, Tustin (714) 573-3118,1'- 8. Lieutenant Steve Lewis Tustin Police Department (714) 573-3271 9. David Paul Rosen & Associates (DRA) Nora Lake -Brown, Principal 3941 Hendrix St. Irvine, California 92614 Appendix to Housing Element 10. Dawn Lee, Executive Director Orange County Partnership (714) 288-4007 11. Robert Stiens Tustin Community Foundation (714) 777-4653 12. Karen Roper, Homeless Prevention Coordinator Orange County Housing and Community Services Agency (HCS) (714)480-2841 Housing Element TUSTIN TECHNICAL MEMORANDUM May 2008 Final Draft This page intentionally left blank. TABLE OF CONTENTS Section Page INTRODUCTION ...................... STATE LAW AND GENERAL PLAN GUIDELINES SOURCES OF INFORMATION 6 SUMMARY OF HOUSING ISSUES, NEEDS, OPPORTUNITIES, AND CONSTRAINTS........ 7 HOUSING NEEDS ASSESSMENT .............................................. 9 POPULATION/ EMPLOYMENT TRENDS 9 HOUSEHOLD CHARACTERISTICS 14 HOUSING STOCK CHARACTERISTICS 31 ASSISTED HOUSING PRESERVATION ANALYSIS 40 CONSTRAINTS TO THE DEVELOPMENT, IMPROVEMENT AND MAINTENANCE OF HOUSING ........................... GOVERNMENTAL CONSTRAINTS 49 MARKET CONSTRAINTS 62 ENERGYCONSERVATION.......................................................................................................... 67 SUMMARY OF PREVIOUS HOUSING ELEMENT PROGRAMS ............................................. 69 PROGRESS IN IMPLEMENTING THE 1989 GOALS AND OBJECTIVES 69 REVIEW OF PAST PERFORMANCE 70 APPENDICES: A. AFFORDABILITY GAP ANALYSIS' B. REFERENCES C. MAJOR EMPLOYERS IN TUSTIN D. ORANGE COUNTY BUSINESS COUNCIL SCORECARD CITY OF TUSTIN — HOUSING ELEMENT TECHNICAL MEMORANDUM i 2008 LIST OF TABLES CITY OF TUSTIN — HOUSING ELEMENT TECHNICAL MEMORANDUM ii 2008 Page TABLE HTM-1: Population Growth 2000-2007 City of Tustin, Surrounding 10 Jurisdictions and Orange County TABLE HTM- 2: Age Trends 1990 - 2000 11 TABLE HTM- 3: Race and Ethnicity: 1980, 1990, 2000 12 TABLE HTM- 4: Employment by Occupation 2000 13 TABLE HTM- 5: Employment by Industry 2000 _ 14 TABLE HTM- 6: Household Type: 1990 - 2007 15 TABLE HTM- 7: Household Size 1990 Through 2007--- � , 15 TABLE HTM- 8: Households in Overcrowded Conditions 2006 17 TABLE HTM- 9: Median Household Incomes Tustin and Surrounding Areas 2000 18 TABLE HTM-10: Household Income Distribution 19 TABLE HTM-11: Household fwome Distribution by Household Tenure 20 Table HTM 11-A: Household Income Distribution AS PERCENTAGE OF AMI by Household Tenure 21 TABLE HTM-12 Households Overpaying for Shelter 2006 City of Tustin 23 TABLE HTM-13: Household Size Distribution City of Tustin 25 TABLE HTM-14: Households with Five or More Persons 25 TABLE HTM-15: Summary Of Homeless Accommodation 29 Zoning Regulations TABLE HTM-16: Emergency Shelter/ Transitional Housing Facilities 2008 30 TABLE HTM-17: Housing Growth Trends 1990 - 2007 Tustin and Surrounding 31 Areas TABLE HTM-18: Tustin Residential Unit Mix 1990 - 2007 32 TABLE HTM-19: Vacancy rates 2000-2007 32 TABLE HTM- 20: Tenure 1990 and 2000 33 TABLE HTM- 21: Age of Housing Stock 34 CITY OF TUSTIN — HOUSING ELEMENT TECHNICAL MEMORANDUM ii 2008 TABLE HTM- 22: Resale Price of Homes and Condominiums Tustin and Neighboring Jurisdictions March 2008 35 TABLE HTM- 23: Affordable Monthly Housing Cost 36 TABLE HTM- 24: Average Rental Rates 37 TABLE HTM- 25: Affordable Net Rents 38 TABLE HTM- 26:2006-2014 Housing Needs 40 TABLE HTM- 27: Assisted Units At Risk for Conversion 42 TABLE HTM- 28: Assisted Housing Inventory 43 TABLE HTM- 29:2008 Fair Market Rents 47 TABLE HTM- 30 Affordable Net Rents 47 TABLE HTM- 31: Cost of Providing Rental Subsidy for Very Low Income Households 48 TABLE HTM- 32: General Plan Residential Land Use Categories 50 TABLE HTM- 33: Summary of Residential Zoning Regulations City of Tustin 53 TABLE HTM- 34: Comparative Development Fee Summary ,; 60 TABLE HTM- 35: Summary Table Effectiveness of Housing Element Programs: 1998-2008 70 TABLE HTM- 36: Effectiveness of Housing Element Programs 1998 2008 72 TABLE HTM- 37: Progress Towards objectives 1998-2008 98 CITY OF TUSTIN - HOUSING ELEMENT TECHNICAL MEMORANDUM iii 2008 This page intentionally left blank. CITY OF TUSTIN — TECHNICAL MEMORANDUM HOUSING ELEMENT iv 2008 INTRODUCTION This memorandum is a reference document intended to provide background data that will serve as a partial basis for policies and programs in the Housing Element. In accordance with State law a significant amount of data is required in this memorandum. Where possible, the data has been summarized in graphic form (table, bar charts, and pie charts) for easy reference. The reader is urged to use the table of contents at the front of this document as a guide. Once the Housing Element has been completed, the Technical Memorandum will be incorporated therein. State law largely determines the content of this Technical` Memorandum. Five sections follow the introduction. The Summary of Housing Issues, Conditions, Opportunities and Constraints provides an overview of the key issues facing the City, which are addressed by the Goals, policies and, programs of the Housing Element. The Housing Needs Assessment sectio addresses housing needs. More specifically, it discusses how the population hay grown and changed, how households are changing (i.e., size, composition), anct how the housing supply is changing. This section also analyzes the potential loss of assisted lower income housing units in the City. The third section addresses governmental and non-governmental constraints, such as market condition,, and natural environment, to housing development. The fourth section addresses energy conservation. Finally, the fifth section summarizes the housing issues, opportunities, and constraints that have emerged through background research and public meetings and which must be addressed in the Housing Element. STATE LAW AND GENERAL PLAN GUIDELINES The State of California provides very specific requirements and guidelines for preparing Housing Elements. This section describes those requirements and explains the relationship between this element and the rest of the General Plan. The State of California requires that each jurisdiction prepare and adopt a Housing Element. The State Requirements for Housing Elements are far stricter and more detailed than for any other General Plan Element. CITY OF TUSTIN — HOUSING ELEMENT TECHNICAL MEMORANDUM 1 2008 State Planning law requires local governments to review their housing elements as frequently as appropriate and to revise the elements as appropriate, not less than every five years. The fourth revision date for jurisdictions within the Southern California Association of Governments (SLAG) is June 30, 2008. The planning period for the Regional Housing Needs Assessment (RHNA) as prepared by SCAG, is from January 2006 to June 2014, an eight and one-half year period. The implementation period covered by this element is January 2006 to June 2014. By 2012, the City, along with other jurisdictions in the SLAG region, again will begin preparation for a revision of the housing element to cover the period from 2014-2019. Organization of the Housing Element Under the provisions of Section 65583 of the Government Code, the Housing Element shall generally consist of an identification and analysis of existing and projected housing needs and a statement of goals, policies, quantified objectives, and scheduled programs for the preservatiom improvement, and development of housing. The Housing Element shall identify adequate sites for housing, including rental housing, factory -built housing, and mobile homes, and shall make adequate provision for the existing and projected needs of all economic" segments of the community. More specifically, the Housing Element must meet the requirements outlined below. A. An assessment of housing needs and an inventory of resources and constraints relevant to meeting these needs. The assessment and inventory shall include the following: Analysis of population and employment trends and documentation of the locality's existing and projected housing needs for all income levels. These existing and projected needs shall include the locality's share of the regional housing needs in accordance with Section 65584. Analysis and documentation of household characteristics, including level of payment compared to ability to pay, housing characteristics, including overcrowding, and housing stock condition. CITY OF TUSTIN - HOUSING ELEMENT TECHNICAL MEMORANDUM 2 2008 • An inventory of land suitable for residential development, including vacant sites and sites having potential for redevelopment, and an analysis of the relationship of zoning and public facilities and services to these sites. • Analysis of potential and actual governmental constraints upon the maintenance, improvement, or development of housing for all income levels, including land use controls, building codes and their enforcement, site improvements, fees and other exactions required of developers, and local processing and permit procedures. • Analysis of potential and actual non-governmental constraints' upon the maintenance, improvement, development of housing for all income levels, including the availability of financing, the price of land, and the cost of construction. • Analysis of any special housing needs, such as those of the handicapped, elderly, large families, farmworkers, families with female heads of households-, and families and persons in need of emergency shelter. • Analysis of opportunities for energy conservation with respect to residential development. B. A statement of the community's goals, quantified objectives, and policies relative to the maintenance, improvement, and development of housing. It is recognized that the total housing needs identified pursuant to Section 65583(a) may exceed available resources and the community's ability to satisfy this need within the content of the general plan requirements. Under these circumstances, the quantified objectives need not be identical to the identified existing housing needs, but should establish the maximum number of housing units that can be constructed, rehabilitated, and conserved over a five-year time frame. C. A program which sets forth a schedule of actions over the implementation period that the local government is undertaking or intends to undertake in order to implement the policies and achieve the goals and objectives of the housing element through CITY OF TUSTIN — HOUSING ELEMENT TECHNICAL MEMORANDUM 3 2008 the administration of land use development controls, provision of regulatory concessions and incentives, and the utilization of appropriate federal and state financing and subsidy programs when available. In order to make adequate provision for the housing needs of all economic segments of the community, the program will incorporate the following: Identify adequate sites which will be made available through appropriate zoning and development standards and with public services and facilities needed to facilitate and encourage the development of a variety of types of housing, factory -built housing, mobile homes, emergency shelters and transitional housing in order to meet the community's housing goals. Assist in the development of, adequate housing to meet the needs of low- and moderate -income households. Address ands where appropriate and legally possible, remove governmental 'constraints to the maintenance, improvement, and development of housing; Conserve and improve the condition of the existing affordable housing stock. Promote housing opportunities for all persons regardless of race, religion, sex, marital status, ancestry, national origin, or color. The program shall include an identification of the agencies and officials responsible for the implementation of the various actions and the means by which consistency will be achieved with other general plan elements and community goals. The local government shall make a diligent effort to achieve public participation of all economic segments of the community in the development of the housing element, and the program shall describe this effort. In addition, an amendment to housing element law (Chapter 1451, Statutes of 1989) requires all housing elements to include additional need analyses and programs to address the potential conversion of all Federal, State and locally assisted housing developments that are eligible to convert to market rate use during the next ten-year period. CITY OF TUSTIN - HOUSING ELEMENT TECHNICAL MEMORANDUM 4 2008 Such units are considered to be "at risk" of being lost as part of the affordable housing stock. Relationship to Other General Plan Elements The preparation of the City's Housing Element must conform to Section 65580 of the California Government Code. The Legislature has established a policy that the availability of housing in a suitable environment is of vital statewide importance, and a priority of the highest order. State policy requires local governments to address the housing needs of all economic segments, while considering the economic, environmental and fiscal factors and community goals set forth in the General Plan. While a city must consider housing needs for all economic segments, it must also maintain internal consistency among the various elements of the General Plan. Neither the Housing Element nor any other element may supersede any other required element of the Tustin General Plan. The Housing„ Element relates to other elements in a variety of ways. The Land Use Element directly relates to the Housing Element by designating areas of the City in which a variety of residential types and densities may exist. The Housing, Element's relationship to the Conservation, Open Space, and Recreation Element is conditioned by the need to serve a growing population's recreational needs, especially in the areas of the City with the highest density. The Circulation Element attempts to provide an efficient and well- balanced circulation system. This system must be designed to accommodate allowed land uses, including residential uses, and the intensity of allowable uses must not exceed the ultimate capacity of the circulation system. The Safety Element relates to the Housing Element by designating areas that are deemed unsafe for development, such as the Alquist- Priolo Zones and floodplains. Similar to the Safety Element, the Noise Element relates to the Housing Element by addressing a health related issue area. CITY OF TUSTIN — HOUSING ELEMENT TECHNICAL MEMORANDUM 5 2008 Techniques for reducing noise often involve buffers between land uses to reduce noise. The Growth Management Element overlaps the issues raised in the Housing Element in its efforts to ensure that the planning, management, and implementation of traffic improvements and public facilities are adequate to meet the current and projected needs of Orange County. SOURCES OF INFORMATION A variety of sources were used`' to prepare this Technical Memorandum. The most recent source of population and housing counts is the State Department of Finance (DOF) population and housing estimates for January 2007. The "population, household and employment statistics are taken from the 1990 and 2000 Census. More current estimates of population characteristics are provided by the Center for Demographic Research at California State University, Fullerton. in the absence of more recent data, extrapolations were made based upon 2000 Census data. The 2007 Southern California Association of Governments (SLAG) Regional Housing Needs Assessment (RHNA) provided information regarding existing needs and projections regarding future housing needs. Data regarding housing costs have been obtained from local newspapers, local developers, and financial institutions. Other data sources are listed in the Reference section of this document. CITY OF TUSTIN — HOUSING ELEMENT TECHNICAL MEMORANDUM 6 2008 SUMMARY OF HOUSING ISSUES, NEEDS, OPPORTUNITIES, AND CONSTRAINTS The following issues, needs, opportunities, and constraints have been identified in Tustin. Tenure. The City contains disproportionately large amounts of multi -family housing units when compared to nearby jurisdictions and the County overall_ Historic Resources. Tustin features numerous historic homes that add character and charm to the City but may be in need of ongoing maintenance and rehabilitation. Home Ownership Affordability Gap. Ownership housing costs are increasingly beyond the reach of the City's lower - and moderate -income households, Housing Condition. Many' owner- and renter -occupied units in the City need rehabilitation,, including minor and major repairs. Landlords and owners of these units may need financial assistance in order to make necessary repairs. Units at Rise of Conversion to Market Rate. By State law, the City 'must document and develop programs to address affordable housing units in the City that are at risk of converting to market rate housing between 2008-2018. For the 2006-2014- planning period, the Regional Housing Needs Assessment indicates that there are 100 assisted units at risk of conversion to market rate housing. Large Households. Large households comprised approximately 15.2 percent of all Tustin households (owner and renter) in 2000. Large families and households are a population of concern due to both the difficulty of finding adequately sized housing units and the high costs associated with these larger units. Overcrowding. The average number of persons per unit in the City was 2.9 in 2007. The 2007 RHNA Housing Needs Assessment indicates that a total of 4,285, or 18%, of all households were suffering from overcrowding. CITY OF TUSTIN — HOUSING ELEMENT TECHNICAL MEMORANDUM 7 2008 Overcrowding has increased significantly since 1990 in both owner- and renter -occupied units. Rental Affordability Gap. Based upon a review of rental units advertised in the Classified section of the local newspapers, it is difficult to find apartments in the City with more than two bedrooms, and those that are available are beyond the price range of low-income households. Therefore, large families with low incomes (less than $26,000) would have difficulty finding affordable housing in Tustin. Housing Problems. According to the 2007 Regional Housing Needs Assessment, the City had 3,935 lower income (household income less than 80% of County median) households overpaying (paying.; more than 30% of their income) for housing. This represents about 16 percent of the City's households. ° Elderly. As the City's population ages, the number of elderly persons will increase. This underscores an increasing need to address the special housing needs of the elderly. ° Age of Housing Stock. Even though the City's housing stock is relatively young and in good condition, by year 2010, 68 percent of the City's housing stock will be over 30 years old - the age at which housing typically begins to require major repairs. CITY OF TUSTIN - HOUSING ELEMENT TECHNICAL MEMORANDUM 8 2008 HOUSING NEEDS ASSESSMENT Since the 1960s, the City's population has soared from about 2,000 persons to 74,218 in 2008. Thus, the vast majority of the City's housing stock has been constructed within the last 50 years. Unlike most of Orange County, where half of the housing stock consists of single- family detached homes, nearly two-thirds of Tustin's housing stock is multi -family or single-family attached (i.e., condominiums/ townhouses). Tustin also has a proportionately higher percentage of renters compared to Orange County as a whole. Over the last two decades, the City's population has been impacted by many of the same trends observed regionally: a substantial increase in minority populations, especially Latinos; an increase in the average sire of households; and, a surge in housing costs. As the City continues to grow and change, its housing policies must be re-examined in light of these changes. This chapter examines the important demographic changes that have occurred in the City since 2000 thataffect housing needs. The chapter includes four main sections: population/ employment trends, household characteristics, housing characteristics, and assisted housing preservation. The Population/ Employment Trends section analyzes how the population has grown and explores resident employment patterns. The Household Characteristics section looks at changes in household size- and composition, examines income and overcrowding, and evaluates housing affordability and special housing needs groups. The Housing Stock Characteristics section examines changes in the housing stock, particularly the number of units, condition, and type. The fourth section concerning assisted housing preservation responds to State legislation that requires local jurisdictions to prepare an inventory and implement programs to promote the preservation and/or replacement of government -assisted lower- income housing. POPULATION/EMPLOYMENT TRENDS This section examines population growth, age characteristics, racial/ethnic composition, and employment characteristics of Tustin's population. CITY OF TUSTIN — HOUSING ELEMENT TECHNICAL MEMORANDUM 9 2008 Population Growth As shown in Table HTM-1, between 2000 and 2007 the City's population grew from 67,504 to 72,542, an increase of 7.5%. The City of Tustin's growth rate between 2000 and 2007 was slightly slower than the countywide growth rate but faster than most surrounding cities. Recent projections cited in the Comprehensive Affordable Housing Strategy 2008-2018, indicate that Tustin's population will increase by an annual rate of approximately 2.6% during this implementation period, bringing the totalpopulation to 86,621 by the year 2015. Table HTM-1 compares, the City's growth rate between 2000 and 2007 with other Orange County cities and the County as a whole. A large percentage of Tustin's population growth can be attributed to annexations that have occurred "since, 1980. The remainder can be attributed to a variety of other factors, including shifts in family structures from smaller to larger families, redevelopment of existing developed areas, infill development, and new residential construction in East Tustin. Substantial population and housing growth will continue during this planning period with the continued development` at Tustin Legacy (former Marine Corps Air Station [MCAS] Tustin). TABLE HTM-1 POPULATION GROWTH 2000-2007 CITY OF TUSTIN, SURROUNDING JURISDICTIONS AND ORANGE COUNTY % Growth jurisdiction 2000' 2007' 200x07 Tustin 67,504 72,542 7.5% Anaheim 328,014 345,556 5.3% Garden Grove 165,196 172,781 4.6% Irvine 143,072 202,079 41.2% Santa p� 337,977 353,428 4.6% Orange County2,846,289 3,100,313 8.9% 1 2000 U.S. Census z Department of Finance estimates, 2007 Population projections are shown in Table HTM-1a. According to Orange County Projections (OCP) 2006 data, the population in the CITY OF TUSTIN - HOUSING ELEMENT TECHNICAL MEMORANDUM 10 2008 City of Tustin is expected to increase by approximately 10 percent to 88,694 persons by the year 2025. Table HTM-1a Population Projection Age Characteristics 2010 2015 2020 2025 Percent Change the proportions of the City's population represented by age groups (2010-2025) Tustin 80,728 86,621 88,245: 88,694 10% TABLE HTM- 2 Age Characteristics Table HTM-2 shows the proportions of the City's population represented by age groups in 1994 and 200th: The table shows that the proportiorm of the population in each aV group have remained fairly constant overtime. TABLE HTM- 2 AGE TRENDS 1990 - 2000 ' CITY OF TUSTIN Age Group 1990 7 % Total 2000 % Total 04 4,464 8.8% 5,815 8.6% 5-14-, 5,916 11.7% 9,9161 14.7% 15-24 9,127 18.0%8,685 12.8% 25-34,' 12,254 24.2% 13,798 20.4% 35-54 11,898 23.5% 19,710 29.2% 55-64 3,187 6.3°6 4,776 7.1% 65-74 2,292 4.5% 2,745 4.1% 75+ 1,551 3.1% 2,059 3.1% Total 50,689 100.0% 67,504 100.0% Sources: U.S Bureau of Census, 2000; Center for Demographic Research (CDR), 2001. Race and Ethnicity The City's racial and ethnic composition has changed significantly since 1980. The trends experienced in the 1990's have continued through the early 2000's, though at a less rapid rate. As shown in Table HTM-3, minority populations in the City have grown CITY OF TUSTIN — HOUSING ELEMENT TECHNICAL MEMORANDUM 11 2008 significantly. The Hispanic population has increased from about 20% of the total population in 1990 to about 34% in 2000. Asian/Pacific Islanders and Blacks comprised about 15.1 and 2.6% of the population in 2000, respectively. These shifts in racial and ethnic composition may have important implications in terms of household characteristics and income. For example, Hispanic households are typically larger than other households; therefore, an increase in the number of Hispanic households may indicate a need for larger housing units. Also, to the extent that minority populations tend to have lower incomes than their Caucasian counterparts, there may be a greater need for affordable housing for these groups. TABLE HTW 3 RACE AND ETHNICITY: 19W,1990, 2000 CITY OF TUSTIl�U >., 1980 t 1990 2 0 2000 3 /1 Race and Ethnicity Population Total "P ` ation Total Population Total s White 31,654 87.6% 37,127W2364 44.5% 957 2.6% 2,895785 2.6% Black A N A American Indian 237 0.7% 274AsianPacific Islander 1,683 4.7%5,260194 15.1% Other 1,588 4.4% 5,133151 3.2% His anis a (3,085} ($.5% (10,508)11034.2% Total36,119 100% 50,689504 100°6 1 1980 Census 2 1990 Census , 2000 Census + The Census contains a separate question related to whether the householder was of Spanish/ Hispanic "origin'. Origin is defined as the ancestry, nationality group, lineage, or country in which the persons ancestors were bom prior to their arrival to the United States. Persons of Spanish origin could be of any of the five racial categories. 5 Center for Demographic Research, 2000. CDR reported the Hispanic population for 1998 as a distinct ethnic group It also reported Asian and Pacific Islander as one group, and included American Indian within "Other" category. Employment According to 2000 Census data, the City of Tustin had 36,681 residents in the labor force, of which 34,906 (95.2%) were in the labor market. Of these, 79.3% were private wages and salary workers. Table HTM-4 shows the number of employees by occupation. CITY OF TUSTIN — HOUSING ELEMENT TECHNICAL MEMORANDUM 12 2008 In 2000, the largest occupational category was professional and related occupations, in which a total of 7,467 were employed. The second largest category was the management, business, and financial operations occupations, employing 6,657. TABLE HTM- 4 EMPLOYMENT BY OCCUPATION 2000 CITY OF TUSTIN —Lu aaunai .aregory Management, business, and financial operations occupations Number —19.1% 6,657 % Professional and related occu ations 7,467 21.4% Healthcare su rt occupations 506 14° Protective service occupations Food preparation and serving related occupations 432 1,502 1.2% 4.3% Building and grounds cleaning and maintenance <a occupations 11186 3.4% Personal care and service occu ations Sales and related occupations 957 2.7% Office and administrative support occupations 4,278 6,040 12.3% 17.3% Farmin fishin and fores occu atiorw 33 0.1% Construction and extraction occu ations Installatiert, maintenance, and repair occu ations �� 1,222 735 3.5% 2.1% Production occupations 2689 7.7% Trans tion and Material movinit occupations 1202 3 4°/ Total 34,906 100.0% Source: 2000 Census In terms of industry, the manufacturing, and educational, health and social service sectors employed the largest number of persons with 5,980 (17.1%) and 5,081 (14.6%) employees, respectively. Table HTM- 5 is a summary of the number of employees by industry. Due to its favorable location, demographics, and business environment, Tustin is home to several well known employers. Appendix C lists major employers in the City of Tustin. The City's top ten employers include: Tustin Unified School District, AT&T, Ricoh Electronics, Inc., Rockwell Collins, Cherokee International, ADC Telecommunications, Balboa Instruments, Toshiba America Medical Systems, the City of Tustin, and Costco Wholesale. CITY OF TUSTIN — HOUSING ELEMENT TECHNICAL MEMORANDUM 13 2008 TABLE HTM- 5 EMPLOYMENT BY INDUSTRY 2000 CITY OF TUSTIN Industry Number % 774 1.9% —Agriculture 4 .Ol Minin 2,437 6.1% Construction Manufacturin non -durable goods 1890 4.7% Manufacturin& durable goods 5,919 14.8% Transportation and public utilities 1,1742.9% Wholesale trade 3,645 9.1% Retail trade 6,851 17.1 Finance, insurance, and real estate 3,555 < 8.9% 9,571 23.9% Services 1,761 4.4% Government 2,526 6.3% Self Employed TOTAL 40,107 100.0% Source: OCP 2006 HOUSEHOLD CHARACTERISTICS This ` section addresses household composition, size, overcrowding, income, affordability, and special needs groups. Definitions The Census Bureau uses several terms with respect to housing which are important to understand. A housing unit is defined as a house, apartment, mobile home or trailer, group of rooms, or single room occupied or intended for occupancy as separate living quarters. A household is an occupied housing unit. Households are further broken down into family households and non family households. A family household is a household shared by two or more persons related by birth, marriage or adoption. A non -family household is one consisting of a single individual or unrelated persons living together. CITY OF TUSTIN - HOUSING ELEMENT TECHNICAL MEMORANDUM 14 2008 Household Composition According to the U.S. Census, the City of Tustin contained 23,831 households in 2000. California Department of Finance estimates show that the number of households grew to 24,787 in 2007, representing an increase of approximately 4%. TABLE HTM- 6 HOUSEHOLD TYPE: 1990 - 2007 CITY OF TUSTIN' 19901 20002 20073 Household No. of I % of No. of % of No. of % of Type Households I TotaHouseholds Total Households Total -Family 12,317 67.2% 16,055 67.40%N A N/A Non-Famil 6,015 32.8% 7,776 32.6% N/A N/A Total 18,332 100% 23,831 100% 24,787 100% 1 U.S. Dept. of Commerce, Bureau of the Census, 1998 Census. 2 U.S. Dept. of Commerce, Bureau of the Census, 2000 Census 3 Total populations based on Departzitent of Finance estimates January 2007 Table HTM-6 shows that 12,317, ' Or about 67%, of the City's households were classified as family households in 1990. The percentage of households remained the same in 2000. Moreover, asshown in Table HTM-7, the average household size in Tustin has increased from 2.66 persons per household in 19SO to an estimated 2.82 persons per household in 2000 and 2.91 persons per household in 2007. This increase may be attributed to a variety of factors, including: more doubling -up, or sharing; of units in order to defray increased housing costs; and, an increase in the supply of larger units, especially new units in East Tustin and Tustin Legacy. TABLE HTM- 7 HOUSEHOLD SIZE 1990 THROUGH 2007 CITY OF TUSTIN Jurisdiction ------7-200731990 2000 2 Tustin 2.66 2.822.91 Orange Coun 2.87 3.00 3.09 ' US. Dept. of Commerce, Bureau of the Census, 1990 Census Report. 2 U.S. Dept. of Commerce, Bureau of the Census, 2000 Census Report. 3 California Department of Finance (DOF), 2007 CITY OF TUSTIN - HOUSING ELEMENT TECHNICAL MEMORANDUM 15 2008 Overcrowding HUD defines overcrowding as more than one person per room, excluding bathrooms and kitchens. For example, a one -bedroom apartment with living room, kitchen, and bathroom would be considered overcrowded if more than two persons occupied it. The 2007 Regional Housing Needs Assessment (RHNA) prepared by the Southern California Association of Governments (SLAG) figures showed 4,285 (17 percent) households living in overcrowded conditions. Of the households living in such conditions, 81% were renters, of which 40% were Extremely -Low or Very -Low income households. Table HTM-8 illustrates the numbers of all Tustin households living in overcrowded conditions. According to the 2007 RHNA, the incidence of overcrowding in Tustin was high in 2006, at 4,285 households, or 18.0 percent of all households. Renter households had a significantly higher incidence of overcrowding than owner households: 28.9 percent of renter and 6.9 percent of owner households. were overcrowded. Table HTM-8 shows the number and percentage of Tustin households by income categories that are overcrowded. It should be noted that there are no federal or California State legal standards for overcrowding. In a reasonable effort to allocate scarce financial resources for affordable housing, housing programs typically use `'occupancy standards, which allow for up to "two persons per bedroom plus one" (e.g., five persons in a two-bedroom unit). The California Health and Safety Code standard, applicable for housing receiving financial assistance from the Redevelopment Housing Set -Aside Fund, is one person per bedroom plus one (e.g., three persons in a two-bedroom unit). Overcrowding is often reflective of one of three conditions: l) either a family or household is living in too small a dwelling; 2) a family chooses to house extended family members (i.e., grandparents or grown children and their families living with parents, termed doubling); or 3) a family is renting living space to non -family members. CITY OF TUSTIN - HOUSING ELEMENT TECHNICAL MEMORANDUM 16 2008 I� w a ao N I O O N cW W U A Income Household income is an important determinant of housing affordability. While upper income households have more discretionary income to spend on housing, low and moderate income households are more limited in the range of housing they can afford. The presence of a large number of low and moderate income households in a region where housing costs are high is likely to result in many households paying more than they can afford for housing. According to the 2000 Census, the median household income for the City of Tustin was $55,985. Table HTM-9 compares median household and family incomes between the Citi. of Tustin and nearby jurisdictions, counties, and the State of California. In 2000, the City's median household income was about 5% lower than the median householdincome for the County as a whole ($58,820). Table HTM-9 demonstrates that at $60,092, Tustin's 2000 median family income was also below the Orange County median ($64,611). This trend was consistent as well for median family income in the above- mentioned jurisdictions. TABLE HTM- 9 MEDIAN HOUSEHOLD INCOME: TUSTIN AND SURROUNDING ADFAC')" Source: U.S. Department of commerce, nureau or 1-ci--, 4— As shown in Table HTM 10, an estimated 7.5 percent of Tustin's households had incomes of less than $15,000 in the year 2000. Another 18.9 percent had incomes of between $15,000 and $34,999. In addition, 38.9 percent had incomes between $35,000 and $74,999, and 34.7 percent had incomes of $75,000 or more. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 18 2008 Percent Percent Median Above,/Below Median Above/Below Household County Family County jurisdiction Income Median Income Median Tustin $55,895 -5.2% $60,092 -7.5% Anaheim $47,122 -24.8% $49,969 -29.3% Garden Grove $47,754 -23.2% $49,697 -30.0% Irvine $72,057 18.4% $85,624 24.5% Santa Ana $43,412 -35.5% $41,050 -57.4% Orange County $58,820 — $64,611 State of California $47,493 -23.8% $53,025 -10.9% Source: U.S. Department of commerce, nureau or 1-ci--, 4— As shown in Table HTM 10, an estimated 7.5 percent of Tustin's households had incomes of less than $15,000 in the year 2000. Another 18.9 percent had incomes of between $15,000 and $34,999. In addition, 38.9 percent had incomes between $35,000 and $74,999, and 34.7 percent had incomes of $75,000 or more. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 18 2008 Median Household Income, $58,820 Orange County ' Derived by applying the percentage of households by income level from Summary File 3, Table P-52 (total number of households shown as 23,853) to total of 23,831 occupied households from Summary File 1, Table H3 for consistency with other Census data on the number of households used in this report. SOURCE: 2000 U.S. Census; Comprehensive Affordable Housing Strategy, 2008-2018 Owner households had higher incomes than did renter households in 2000, as shown in HTM-11.' Approximately 37 percent of the renter households earned less than $35,000 annually, compared to only 16 percent of owner households. Furthermore, 60.7 percent of renters earnest less than $50,000 in 2000, compared to only 27 percent of owners. While a higher proportion of renter households (22.1 percent) than owner households (20.7 percent) earned between $50,000 and $74,999, only 17.2 percent of renter households had incomes of more than $75,000 annually, compared to 52.3 percent of owner households. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 19 2008 TABLE HTM-10 HOUSEHOLD INCOME DISTRIBUTION CITY OF TUSTIN 2000 Income Range # Households' % Households % Cumulative Less than $14,999 1,787 7.5% 7.5% $15,000 to $24,999 2,026 8.5% 16.0% $25,000 to $34,999 2,479 10.4% 26.4% $35,000 to $49,999 4,194 17.6% 44.0% $50,000 to $74,999 5,076 21.3% 65.3% $75,000 to $99,999 3,193 13.4% 78.7% More than $100,000 5,076. 21.3% 100.0% TOTAL 23,831 100.0% Median Household Income, $55,985 City of Tustin Median Household Income, $58,820 Orange County ' Derived by applying the percentage of households by income level from Summary File 3, Table P-52 (total number of households shown as 23,853) to total of 23,831 occupied households from Summary File 1, Table H3 for consistency with other Census data on the number of households used in this report. SOURCE: 2000 U.S. Census; Comprehensive Affordable Housing Strategy, 2008-2018 Owner households had higher incomes than did renter households in 2000, as shown in HTM-11.' Approximately 37 percent of the renter households earned less than $35,000 annually, compared to only 16 percent of owner households. Furthermore, 60.7 percent of renters earnest less than $50,000 in 2000, compared to only 27 percent of owners. While a higher proportion of renter households (22.1 percent) than owner households (20.7 percent) earned between $50,000 and $74,999, only 17.2 percent of renter households had incomes of more than $75,000 annually, compared to 52.3 percent of owner households. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 19 2008 OWNER HOUSEHOLDS TABLE HTM-11 Less Than $10,000 246 2.1% 2.1% HOUSEHOLD INCOME DISTRIBUTION BY HOUSEHOLD 537Y 4.5% 6.6% TENURE 1,110 9.4% 16.0% $35,000 to $49,999 1,301 11.0% 27.0% CITY OF TUSTIN 2,442 20.7% 47.7% $75,000 to $99,999 1,894 16.0% 63.7% 2000 2,581 21.8% 85.5% $150,000 or More Tenure/Income Range Number' Percent Cumulative RENTER HOUSEHOLDS from Summary File 3, Table HCT11 (total number of renter households shown as 11,993 and owner households as 11,845) to a total of 12,002 occupied renter and 11,829 occupied owner Less Than $10,000 720 6.0% 6.0% $10,000 to $19,999 1,140 9.5% 15.5% $20,000 to $34,999 2,568 21.4% 36.9% $35,000 to $49,999 2,857 23.8% 60.7% $50,000 to $74,999 2,653 22.1% 82.8% $75,000 to $99,999 1,308. 10.9% 93.7% $100,000 or More 756 6.3% 100.0% Total Renters>-. 12,002 100.0% OWNER HOUSEHOLDS Less Than $10,000 246 2.1% 2.1% $10,000 to $19,999 537Y 4.5% 6.6% $20,000 to $34,999 1,110 9.4% 16.0% $35,000 to $49,999 1,301 11.0% 27.0% $50,000 to $74,999 2,442 20.7% 47.7% $75,000 to $99,999 1,894 16.0% 63.7% $100,000 to $149,999 2,581 21.8% 85.5% $150,000 or More 1,718 14.5% 100.0% Total Owners 11,829 100.00/0 1 Derived by applying the percentage of household tenure by household income from Summary File 3, Table HCT11 (total number of renter households shown as 11,993 and owner households as 11,845) to a total of 12,002 occupied renter and 11,829 occupied owner households from Summary File 1, Table H-3 for consistency with other Census data on the number of households used in this report. Sources: 2000 U.S. Census; Comprehensive Affordable Housing Strategy, 2008- 2018. CITY OF TUSTIN HOUSING ELEAIENT TECHNICAL MEMORANDUM 20 2008 Table HTM-11-A shows Tustin's household income distribution as percentage of area median income (AMI) by household tenure in 2006, according to the 2007 SLAG RHNA. Owner households in Tustin continued to have higher incomes than renter households in 2006. While over half (52.4 percent) of Tusthfs renter households earned 80 percent of Area Median Income (AMI) or below, only 22.4 percent of owner households fell into this income category. A majority of owner households (70.1 percent) and only 33.7 percent of renter households earned over 95 percent of AMI. TABLE HTM 11-A HOUSEHOLD INCOME DISTRIBUTION AS PERCENTAGE OF AMI BY HOUSEHOLD TENURE` CITY ,OF TUSTIN Tenure/Income Range, Numbe; Percent Cumulative % as percentage of AMI 525 4.4% 4.4% RENTER HOUSEHOLDS 760 6.4% 10.8% Below 30 percent ANTI 1,58513.2% 11.6% 13.2% 30 - 50 percent AMI 1,910 16.0% 29.2% 50 - 80 percent AMI 2,780 23.2% 52.4% 80 - 95 percent AMI 1,670 13.9% 66.3% Over 95 percent AMI 4,040 33.7% 100.0% Total Renters 11,985 100.00/0 OWNER HOUSEHOLDS Below 30 percent AMI 525 4.4% 4.4% 30 - 50 percent AMI 760 6.4% 10.8% 50 - 80 percent AMI 1,370 11.6% 22.4% 80 - 95 percent AMI 885 7.5% 29.9% Over 95 percent AMI 8,315 70.1% 100.0% i orai owners 11,855 100.00/0- AMI 00.0%AMI = Area Median Income Source: Southern California Association of Governments, 2007 RHNA CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 21 2008 Housing Affordability The U. S. Department of Housing and Urban Development (HUD) defines the threshold of overpayment for housing as 30% or more of household income. That is, when households pay more than 30% of their income for housing, they have insufficient remaining funds for other necessities such as food, clothing,, utilities and health care. HUD recognizes, however, that upper income households are generally capable of paying a larger proportion of their income for housing, and therefore estimates of housing overpayment generally focus on lower income groupskr' The 2007 RHNA identifies housing overpayment for lower-income households based on income data from the 2000 Census. Lower- income households are those eaming less than 80% of the County median income. Lower-income households include very -low-income (<50% of median) and low- income (51%-80% of median) groups. Table HTM-12 reflects SCAG's 2007 report, which estimates that 6,190 of Tustin households are overpaying for housing of which 3,935 or 64% are very low and low-income households. Among the overpaying lower income households, about 30% were extremely low income, 31% were very low income, and 39% were low-income households ,,, Table HTM-12 also distinguishes between owner and renter households overpaying for housing. This distinction is important because while homeowners may over -extend themselves financially to afford the option of home purchase, the owner maintains the option to sell at market rate; on the other hand, renters are limited to the rental market and are generally required to pay the rent established in that market. The table shows that among the lower income households in the City overpaying for housing, 2,660 or 68% were renters. Some agencies and organizations consider Moderate Income households to be overpaying when housing costs exceed 35 percent of gross income, with the maximum income representing 110% of the median county income. Under these assumptions, overpayment occurs in fewer households in the City of Tustin when compared to figures presented in this document that are based upon State and Federal standards. Source: Strategies for Planning and Development: California Affordable Housing Handbook, California Redevelopment Association, 2000. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 22 2008 TABLE HTM-12 HOUSEHOLDS OVERPAYING FOR SHELTER 2006 .111r,.. r,. T — Special Needs State Housing Law requires that the special needs of certain disadvantaged groups be addressed. The needs of the elderly, disabled, large families, female heads of household, the homeless and farm workers are important in relation to overall community health. These groups. may, maintain special needs related to housing construction and location. The Elderly%:. As noted previously (Table HTM-2), in 2000, 4,804 persons or 7.1 % of the total population in Tustin were 65 years of age or older. In addition, senior households represented 12.3 percent (2,256) of total households in Tustin. As noted earlier in Table HTM- 11, slightly more than one-quarter of this age group earns an annual income of less than $20,000, or about 36% of the area median income (AMI) for a household of two persons in 2000. Although the senior population may often be living in a single-family home too large for their needs, with little or no mortgage payment, selling the home and buying a smaller unit may be too expensive. Thus, this population needs housing that is both affordable and located in close proximity to public services and transportation. The Disabled: Physical handicaps can hinder access to housing units of traditional design as well as limit an individual's ability to earn an adequate income. According to the 2000 U.S. Census, a total of 7,610 persons between 16 and 65 years of age reported a disability. In addition, 1,795 persons over age 65 reported a disability in 2000. Disabled persons often require specially designed dwelling units to permit access not only within the dwelling unit, but also to and from the unit. Special modifications to permit free access are very important in maintaining independence and dignity. California CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 23 2008 VV111� Tenure Owner Renter Total Source: SLAG Extremelv Low Over a Total 340 525 855 1,585 1,195 2,110 RHNA. 2(1(V, Ve Over a 350 865 1,215 Low Total 760 1,910 2,670 Low Over ay I Total 585 1,370 940 2,780 1,525 4,150 Moderate & Above I Over a Total 1,835 91200 420 5,710' 2,255 14,910 Total Overpay 3,110 Total All Households 11,855 3,080 11,985 6190 ' 23,840 Special Needs State Housing Law requires that the special needs of certain disadvantaged groups be addressed. The needs of the elderly, disabled, large families, female heads of household, the homeless and farm workers are important in relation to overall community health. These groups. may, maintain special needs related to housing construction and location. The Elderly%:. As noted previously (Table HTM-2), in 2000, 4,804 persons or 7.1 % of the total population in Tustin were 65 years of age or older. In addition, senior households represented 12.3 percent (2,256) of total households in Tustin. As noted earlier in Table HTM- 11, slightly more than one-quarter of this age group earns an annual income of less than $20,000, or about 36% of the area median income (AMI) for a household of two persons in 2000. Although the senior population may often be living in a single-family home too large for their needs, with little or no mortgage payment, selling the home and buying a smaller unit may be too expensive. Thus, this population needs housing that is both affordable and located in close proximity to public services and transportation. The Disabled: Physical handicaps can hinder access to housing units of traditional design as well as limit an individual's ability to earn an adequate income. According to the 2000 U.S. Census, a total of 7,610 persons between 16 and 65 years of age reported a disability. In addition, 1,795 persons over age 65 reported a disability in 2000. Disabled persons often require specially designed dwelling units to permit access not only within the dwelling unit, but also to and from the unit. Special modifications to permit free access are very important in maintaining independence and dignity. California CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 23 2008 Administrative Code Title 24 Requirements set forth access and adaptability requirements for the physically disabled. These regulations apply to public buildings such as motels, and require that ramp ways, door widths, restroom modifications, etc., be designed to enable free access to the handicapped. While such standards do not apply to new single-family residential construction, they do apply to new multi -family residential construction. Most existing housing units in Tustin have not been designed with consideration for these requirements of adaptability and access. The majority of housing units are either single-family or two-story apartments with no elevator access. The adaptability of units to meet the needs of disabled persons remains a challenge for Tustin and other communities. However, as additional housing units are provided in the Tustin Legacy area, accessibility is considered as part of'a project's design as required by law. Additionally, as units in multiple -family areas are rehabilitated, units may be retrofitted to accommodate the handicapped. New construction may offer some relief because the mandatory requirements are evenly applied to all projects. According to the California Building Code, apartment projects of 20 units or more in size require accessibility and adaptability in at least three units, and condominiums projects in at least four units. The use of mixed development, types and higher density limits at Tustin Legacy area will further require development of even more handicapped - accessible units. Large Families: Under Census guidelines, a family household containing five or more persons is considered a large family. Large family households generally require larger dwelling units with more bedrooms to meet their housing needs. But family households with five or more persons often face limitations in being below national poverty levels, and often experience difficulty securing adequate housing suitable for their expanded needs. Thus, large families typically suffer disproportionately from both overcrowding and inability to pay. Moreover, because multifamily rental units are typically smaller than single-family units, larger families who are also renters face more difficulties in securing housing large enough to accommodate all members of the household. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 24 2008 Table HTM-13 s a summary of Tustin's household size. The 2000 data shows 15.2% of Tustin households had five or more persons residing in a unit. TABLE HTM-13 HOUSEHOLD SIZE DISTRIBUTION CITY OF TUSTIN 2000 Number of Household Size Households % of Total Households 1Person 5,734`'' 24.1% 2 Persons 7,262 30.5% 3 Persons 3,877 16.3% 4 Persons 3,331 14.0% 5 or more Persons 3,627 15.2% Total Households 23,831 100.0% Source: Comprehensive Affordable Housing Strategy 2008 - 2018. Table HTM-14 shows the number of households with five or more persons in Tustin according to the 2000 U.S. Census. There were 1,438 owner households with five or more persons, representing 12.2 percent of alf owner households. Tustin also had 2,189 renter households with five or more persons, representing 18.2 percent of all , renter households Overall, large households comprised approximately 15.2 percent of all Tustin households in 2000. TABLE HTM-14 Households with Five or More Persons City of Tustin 2000 Number of % of Total Renter or Owner Households Households Owners 1,438 12.2% of Owner Households Renters 2,189 18.2% of Renter Households Total Households 3,627 15.2% of Total Households Source: Comprehensive Affordable Housing Strategy 2008 - 2018 CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 25 2008 The primary need of large families is to provide enough rooms for each member of the family to avoid overcrowding. In 2000, 15% of the City's housing units contained four or more bedrooms. Of owner - occupied housing units, 12.9% contained four or more bedrooms. Rental -occupied units accounted for 1.6% of units with four or more bedrooms. Taking into account that much of Tustin's housing stock consists of apartments, and that the majority of Tustin's large families are renters, this rising trend in large families suggests a need for more spacious apartment units to accommodate such families. Female -Headed Parent Households Single -parent families tend to have low incomes, limiting their ability to find affordable housing. These families also have a large need for affordable child care. For these households, ideal; housing is severely restricted. Due to financial constraints, the family is often not able to find housing that is close to needed services, schools, and public transportation. As of the 2000 U.S. Census there were 1,700 female -headed households with children under 18 living at home. These households represented 18 percent of all families with children under 18 in Tustin in 2000. The Homeless Measuring the extent of the homeless population specifically in Tustin remains a challenge for community leaders. To complicate the challenge of meeting homeless persons' needs, the issue of homelessness is considered regional in nature. Nomadic tendencies of'homeless persons make it difficult to assess the population accurately on a citywide basis; therefore, homelessness should be addressed on a countywide basis, in conjunction with cities and local non-profit organizations. The Orange County Housing and Community Services Department (HCS) defines homelessness as not having a permanent address, sleeping in places not meant for habitation, not having ample food and medical attention or a place to change clothes or bathe. Per this definition, HCS estimates there are nearly 35,000 homeless in the County. The County's homeless population is comprised of about 30 percent individuals and 70 percent families, including an estimated 16,300 homeless children. For those 35,000 homeless, there are only about 3,400 available beds, including 1,512 emergency shelter beds and 1,888 beds in transitional housing facilities. The homeless population is comprised of subgroups, which include: CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 26 2008 1. The economic homeless who lack financial resources to pay rent; 2. The situational homeless who have suffered economic or personal trauma and find themselves in personal disorganization; and, 3. The chronic homeless who are unable to care for themselves due to chronic illness, disability or debilitating substance abuse. The City of Tustin's 2005-2010 Consolidated Plan states that, according to police reports and windshield surveys performed within the City of Tustin, most homeless persons migrate through Tustin to other parts of the County rather than stay for extended periods of time within the City. The City's Police Department estimates that there are 10-12 homeless persons residing in the City at any given time. Although there are no established areas where homeless persons congregate in the City, there are several homeless services facilities in the City. The Village of Hope was recently completed on five acres at the Tustin Legacy site. The Village of Hope will provide housing for a total of 192 homeless men, women and children. It includes dorm rooms, a child development center, playground, parent education center, vocational training classrooms, health care facility, donation warehouse, and support offices. There will also be a cafeteria with an outdoor dining area, and vegetable gardens. There are numerous factors that contribute to homelessness in Tustin and Orange County.; The known causes of homelessness include unemployment, limited skills, and a breakdown in the family as a social and economic unit. Additionally, cutbacks in social service programs and the de -institutionalization of the mentally ill during the 1980s have contributed to the homeless population. A new trend, however, is emerging as a significant contributing element to homelessness: a fast-growing lack of affordable housing, which could exacerbate any of the above conditions, but may increasingly become a stand alone cause of homelessness. Of the shelters in Tustin, the 45 -bed Sheepfold shelter provides shelter, food, clothing, job training, and job -referral services primarily to battered women and children. Guests are admitted on a first-come, first-served basis. Usually all beds are fully occupied. The shelter services a large area including many portions of Orange, Riverside, and San Bernardino Counties. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 27 2008 Within the City of Tustin, there are a variety of Non -Profit Organizations (NPOs) that provide direct housing and related services to homeless persons. These include Village of Hope, an emergency/ transitional home; Sheepfold, a feeding program affiliated with the United Way; Families Forward, a homeless provider; Olive Crest, transitional homes and services for abused and neglected children, a and Laurel House, an emergency shelter and transitional housing provider for homeless youth in the City. A significant portion of the MCAS -Tustin is located within the City. The MCAS Tustin facility was identified by the U.S. Department of Defense for closure in July 1999. In accordance with the Base Closure Redevelopment and Homeless " Assistance Act of 1994 (Redevelopment Act), the City of Tustin was formally recognized as the Local Redevelopment Authority (LRA) for the MCAS Tustin. The Redevelopment Act provides a process that aims to balance the needs of the homeless with other development interests in the communities directly affected by closure of the installation. The Act requires the LRA to prepare a'reuse plan and Homeless Assistance Plan (HAP), which is submitted to. the federal Department of Housing and Urban Development (HUD). HUD reviews and determines whether the documents balance the needs of the homeless in communities in the vicinity of the installation with the need for economic development. A Homeless Assistance Plan has been established for MCAS, Tustin that is consistent with the continuum of care model embodied in the Consolidated Plans for the Cities of Tustin and neighboring Irvine. The fundamental components of the continuum of care system to be implemented with the MCAS, Tustin Reuse Plan would: Provide emergency shelter beds and intake assessment Offer transitional housing and services Provide opportunities for permanent affordable housing by the private sector. In the Tustin Legacy, the Local Redevelopment Agency owns sites and four homeless service providers including the Salvation Army, Orange Coast Interfaith Shelter, Families Forward, and Human Options have been approved and currently are operating 48 family CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 28 2008 units. The Orange County Rescue Mission operates a 192 -unit transitional/ emergency shelter (Village of Hope) and the Orange County Social Services Agency will operate a 90 beds facility for abused and neglected children and their family. Numerous other agencies provide shelter and other services to the homeless in the nearby cities of Santa Ana, Irvine, and Orange. • The Orange County Homeless Issues Task Force, a non-profit homeless advocacy organization, maintains a list of these and other homeless services in Orange County. Table HTM-15 provides a summary of zoning regulations pertaining to emergency shelters, transitional, and supportive housing are designated as permitted uses within the City of Tustin. Source: City of Tustin, WAS Tustin Specific Plan CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 29 2008 TABLE HTM-15 SUMMARY OF HOMELESS "ACCOMMODATION ZONING REGULATIONS Housing Type Permitted/ Conditionallv Permitted Zoning Transitional Home Permitted Planning Area 3 of WAS Tustin Sp ecifiic Plan Emergency Shelters . Permitted Planning Area 3 of MCAS Tustin SPecific Plan Supportive housing Permitted Planning Areas 1 and 3 of MCAS Tustin S cific Plan Community Care Facility for six (6) or fewer Permitted All residentially zoned properties Family care home, foster home, or group home for six Permitted All residentially zoned (6) or fewer' properties ' Includes congregate care facility, single room occupancy hotel, and children's intermediate shelter care Source: City of Tustin, WAS Tustin Specific Plan CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 29 2008 Table HTM-16 is a list of organizations in Tustin that provide homeless services. TABLE HTM-16 EMERGENCY SHELTER/TRANSITIONAL HOUSING FACILITIES 2008 CITY OF TUSTIN Facility Services Provided Provides shelter, food, clothing, job training, and Sheepfold job -referral services to women with children. Temporary housing for teenagers in crisis. The Laurel House facility also provides food, informal counseling, and access to medical care and clothing, St. Cecilia's Distributes food supply to needy populations. Operates emergency food program where a Red Hill Lutheran rson canreceive food supply 3 times a year. Collects food supplies and distributes the food to Tustin Presbyterian various organizations involved in providing homeless services. Refers interested persons to Ecumenical Services Aldergate Alliance in Santa Ana. 192 beds transitional home at the Village of Hope Village of Hope o rated the Orange County Rescue Mission 90 beds intermediate care shelter for abused Tustin Family Campus children and their parents operated by the Orange County Social Services Agency. Six (6) new transitional units at Tustin Field I Salvation Army perated by Salvation Army and Acquisition of 16 transitional units in Buena Park operated by Salvation Army. The City assisted in Salvation Army acquisition and contributed grant funds to acquire the units Fourteen (14) new transitional units at Columbus Families Forward' Grove to be operated by Families Forward, formerly Irvine Temporaly Housing in Irvine. Six (6) new transitional units at Columbus Grove Human Options operated by Human Options Orange Coast Interfaith Six (6) new transitional units at Columbus Grove Shelter operated by Orange Coast Interfaith Shelter. I Although these units are located in the City of Irvine, these units were negoaateu ab PaxL of the base realignment/conveyance process which Tustin is the Local Redevelopment Agency. Source: city of Tustin, 2008 CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 30 2008 HOUSING STOCK CHARACTERISTICS A housing unit is a dwelling intended for occupancy as separate living quarters. Single-family houses, apartments, condominiums, mobile homes, and single room occupancy (SRO) hotels are all types of housing units. This section examines housing unit growth, age, type, tenure (owner v. renter), and costs in Tustin. Housing Growth While Tustin has experienced significant growth in population and housing units since 1990, the number of housing units from 2000 to 2007 has decreased by a total of 24 units. This change can be attributed to the closure of MCAS Tustin and the lass of military housing units. The figure however has stayed almost the same, because the loss of these units has been offset by new construction in the early 20Ws and the beginning of the redevelopment of MCAS Tustin for civilian uses, which includes the construction of over 4,000 new housing units. Table HTM-17 compares the growth in housing units in Tustin to nearby cities and the County as a whole. It should be noted that much of the City's housing unit growth is attributable to annexations that occurred during the 1980s and 1990s. TABLE HTM-17 HOUSING GROWTH TRENDS 1990 - 2007 TUSTIN AND SURROUNDING AREAS Number of Housin Units Percent Change Jurisdiction 1990, 2000 z 2007 3 1990-00 1 2000-07 Tustin 19,300 25,501 25,477 32% -0.1% Anaheim 93,177 99,719 101,510 7%° 1 1.8% Garden Grove 45,957 461703 47,197 1 6% 1% Irvine 42,221 53,711 74,936 27% 40%° Santa Ana 75,000 74,588 75 3751 -0'.5% 1 Oran Coun 875,072 969,484 1,024,692 1% 6°0 ' U.S. Department of Commerce, Bureau of the Census, 1990 Census Report. '2000 Census Report. 'State of California. Department of Finance, Revised Estimate May 2007 Housing Unit Type Table HTM-18 demonstrates the mix of housing types in Tustin. The distribution of housing units by type has changed over this period, with single-family homes steadily increasing and multifamily housing steadily decreasing as a proportion of Tustin's housing units. In 2007, Tustin's housing stock is comprised of almost equal CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 31 2008 proportions of single-family homes and multifamily housing, making up 49.1 and 47.4 percent, respectively. Mobile homes make up the remaining 3.6 percent. The 2007 composition of housing units in the City includes approximately 34 percent single-family detached, 15 percent single-family attached, 15 percent multi -family (2-4 units), 36 percent multi -family (5+ units), and 4 percent mobile homes. Compared to Orange County as a whole, Tustin has a significantly higher proportion of multi -family housing. According to 2007 Department of Finance Estimates, 'the County contained tel 63 4 percent single-family detached/ attached units approxuna y and 33.2 percent multi -family units, where as Tustin contained 51.3 percent multi -family units. TABLE HTM-18 TUSTIN RESIDENTIAL UNIT MIX 1990`- 2007 CITY OF TUSTIN Percent Number of Housing Units' Change Housing Type 1990% 2000 % 2007 % 2000-2007 Single -Family Detached 5,351 I 27.7% 8,073 30.6% 8,697 34.1% 7.7% 10.1% Single -Family Attached 2, 530 13.1 0% 3,459 10.81 3,807 3,110 14.9% 12.2% -18.9% Multi-Fami1 24 units'' 3,089 16.0% 3,836 12.8% 43.0% 8,955 35.1% % + 7,678 39.5% 9,223 Multi -Family 5 units 908 2.9% 908 ° 3.60/6 0% Mobile Homes 707 3.6% 19,300 ' 99.9%* 25,501 100.1%* 99.9% N/A Total * Totals do not equal 100% due to rounding error. Comprehensive Affordable Housing Strategy 2008-2018. Source: California Department of Finance, The overall rental vacancy rate for Tustin in the second quarter of 2007 was 4.6 percent, up slightly from 4.3 percent in the first quarter of 2007. Generally, a vacancy rate of 5 percent is considered to reflect "tight" tight' housing market. As shown in Table HTM-19, Department of Finance data for Tustin as of January 2007 show a vacancy rate of 2.71 percent for all housing types in Tustin (single- and multi -family, owner and rental). TABLE HTM-19 VACANCY RATES 2000-2007 CITY OF TUSTIN Housin Tenure 2000 2007 Total Occup ied Units 23,831 24'787 Vacancy Rate 6.6% Source: Comprehensive Affordable Housing Strategy 2008-2018. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 32 2008 Housing Tenure The tenure (owner versus renter) distribution of a community's housing stock influences several aspects of the local housing market. Residential mobility is influenced by tenure, with ownership housing typically sustaining a much lower turnover rate than rental housing. Housing overpayment, while experienced by many households regardless of tenure, is far more prevalent among renters. Ownership and rental preferences are primarily related to household income, composition, and age of the householder. In 2000, 49.6% of the City's 23,831 occupied housing units were owner -occupied, with the remainder renter -occupied. Compared to the County as a whole, which had 61.4% owner -occupied units and 38.6% renter -occupied units, the City of Tustin had a relatively high proportion of renter -occupied units. This is significant because renters tend to have lower incomes than owners, and are more susceptible to housing cost increases. The tenure figures show a shift in the City of approximately 9% to more owner -occupied units from 1990 to 2000. Table HTM-20 is a summary of tenure in the City and the County. TABLE HTM- 20 TENURE 1990 AND 2000 CITY OF TUSTIN Source: Comprehensive Affordable Housing strategy 2008 - 2018 Age and Condition of Housing Stock Housing age is a factor for determining the need for rehabilitation Without proper maintenance, housing units deteriorate over time. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 33 2008 Also, older houses may not be built to current housing standards for fire and earthquake safety. Table HTM-21 shows the distribution of housing units by year built in Tustin through 2007. Reflecting the conversion of land from agricultural to residential use and the construction of housing on the MCAS Tustin base during the 1960s and 1970s, 24.9 percent of Tustin's units were built during the 1960s and 24.5 percent were built during the 1970s. As a result, potential rehabilitation and continued maintenance may be required for these units that are over 30 years in age. The City's rapid population growth in the 1990s is reflected in the number of housing units builtduring that period, a total of 5,924 units representing 23.2 percent of Tustin's total housing stock. TABLE HTM- 21 AGE OF DOUSING STOCK CITY OF TUSTIN Time Period Units Built I Number of Units % of Housing Stock tj 2007 1,639, 6.4% 2000 590 2.3% 1998 2,684 10.5% 1994 3,240 12.7% 1989 2,792 11.0% 1979 6,238 24.5°k 1969 6,333 24.9% 1959 1,285 5.0% 1940 to 1949 225 0.9% 1939 or earlier 451 1.8% Total 25,477 1000/0 Source: Comprehensive Affordable Housing Strategy 2008 - 2018 Housing Costs Ownership Housing. Southern California, in line with the nation, is experiencing a significant decline in the volume of single-family and condominium sales, placing downward pressure on home prices. According to Dataquick, an on-line research firm, sales in October 2007 have dropped to their lowest level since measured by the firm in 1988, representing a 45% decline from the prior year. While the initial slow down in sales in 2006 was coming off the heightened pace of sales activity in 2004 and 2005 and has little impact on price, beginning in January 2007, Southern California prices had fallen 2 percent below the prior year's levels. As of October 2007, sales prices CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 34 2008 were 8 percent below the prior year, with approximately three- quarters of the Southland's zip codes evidencing a drop in sales prices. Sale price declines are most pronounced in the lower end of the market, with prices in the upper half of the market flat or modest increasing as potential sellers wait the marker out. Slow sales, flat appreciation, and subprime lending activity have all contributed to significant increases in foreclosures, with the number of mortgage default notices in Southern California the highest in ten years. Within Orange County, the number of single-family and condominium units sold declined 42 percent and dropped 8.2 percent in value during October 2007 compared to the prior year. As is evidenced in Table HTM-22, Tustin is experiencing the same trend with a significant drop in home price sales, especially in the areas of the city in the lower end of the housing market. The median resale home prices for zip codes in the City of Tustin ranged from $416,250 to $570,000. lit comparison, the median resale home prices for cite& presented in Table HTM-22 ranged from $205,000 to $819,500. Overall, median resale home prices in Tustin were similar to those occurring throughout Change County. TABLE HTM- 22 RESALE PRICE OF HOMES AND CONDOMINIUMS TUSTIN AND NEIGHBORING JURISDICTIONS MARCH 2008 Median Home Price- % Change City Zip Code March 2008from 2007 qGrove92843 780 $416,250 -34.7% 782 $570,000 -9.9% 801 $360,000 -35.7% 802 $430,000 -224% 804 $390,000 -31.5% 805 $350,000 -37.4% 806 $445,500 -26.7% 807 $500,000 -16.7% 808 $637,500 32.1% 840 $415,000 -27.2% 841 $420,000 -25.0% 843 $400 000 -281% 844 $429,000 -2.5% 45 $438,000 -24.2% CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 35 2008 92602 $740,000 -1.3% 92603 $819,500 14.1% 92604 $561,818 -8.2% 92606 $670,000 21.8 Irvine 92612 $422,500 -21.2% 92614 $470,000 -16.1% 92618 $496,250 -9.9% 92620 $740,000 4.2% 92865 $453,000 -31.1% 92866 $509,000 -15.9% Orange 92867 $490,000 -26.5% 92868 $362,500 -19.2% 92869 $520,000 -16.2% 92701 $205,000 -33.9% 92703 $358,700 -38.1% 92704 $298,500 -48.8° Santa Ana 92705 $710,0002 1.4% 92706 $433,000 -29.5% 92707 $330,000 -40.0% ' Data include all home sales, new and resale, and condominiums. 2 Includes t:emon/Cowan Heights Source: Orange County Register, April 6, 2008 According to the Comprehensive Affordable Strategy prepared by David Rosen and Associates for the City of Tustin, affordable monthly housing costs for Very Low Income households were ranging from , $787 to $1,062, $1,102 to $1,478 for Low Income households, and $2,020 to $2,727 for Moderate Income households depending- upon unit size. Table HTM-23 summarizes affordable monthly housing cost for the City of Tustin. TABLE HTM- 23 AFFORDABLE MONTHLY HOUSING COST' CITY OF TUSTIN 2008 Unit Size Very Low Low Moderate o, of bedrooms 50% AMI 80% AMI 120, AMI 1 Bedroom $733 $890 $1,677 2 Bedroom $817 $994 $1,880 3 Bedroom $886 $1,083 $2,066 4 Bedroom $953 $1,166 $2,228 l California Department of Housing and Community Development published 2007 low and median income limits. Owner affordable housing costs are calculated assuming an occupancy standard of one person per bedroom plus one and 30% of gross income spent on housing for low income households and 35% of gross income spent on housing for moderate income households. The Affordable Monthly Housing Cost includes the monthly mortgage payment, property taxes, property insurance, utilities and HOA dues. Source: Comprehensive Affordable Housing Strategy, 2008-2018. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 36 2008 Rental Housing: According to Realfacts, the average rent for Tustin in 2007 was $1,528. Studio and one -bedroom rental units had monthly rents between $1,138 and $1,292. Two-bedroom rentals had monthly rents of $1,436 and above while three -or -more bedrooms had monthly rents in excess of $1,861. Table HTM-24 presents a summary of the rental rates. 2bd 2b& 1,885 1,024 TABLE HTM- 24 3bd TH 56 1,441 $1,861 AVERAGE RENTAL RATES 2007 $2,431 Total 5,903 894 CITY OF TUSTIN TH = Town house unit Number of Number of Average Average Bedrooms Units Square Footage Rent Studio 200 521 $1,138 lbd 1ba 2,312 733 $1,292 2bd TH 194 1,074 $1,674 2bd lba 706 974 -;1 au 2bd 2b& 1,885 1,024 $1,810 3bd TH 56 1,441 $1,861 3bd/2ba 216 1,173 $2,431 Total 5,903 894 $1,528 TH = Town house unit 'Rental survey represents data only for lame, investment grade rental properties. Smaller rental properties represent a large segment of the rental market and offer larger, more affordable units, Source: RealFacts; Comprehenstve Affordable Housing Strategy 2008 - 2018, When a household (adjusted for family size) pays more than 30% of its gross income for housing, it is considered an overpayment. Based on HUD's; figures on affordability, households in the Very Low- income category have affordable net rent of $733 for one bedroom units to $953 for a four-bedroom units. In Tustin, the average rent for a one -bedroom unit is $1,292 to $2,431 for three-bedroom units. It is also important to note that many of the households in the Very -Low income category are large families, thus a one -bedroom unit at $1,292 would not only be in excess of what they could afford, but would also be inadequate in size. Households in the Low -Income category (51%-80% of County median) affordable net rental rates are $890 to $1,166 to per month for housing. The rental survey shows that only studio apartments are affordable to this group (see Table HTM-24). It is important to note, however, that the rental survey considered only large, investment-grade rental properties and did not report prices of CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 37 2008 smaller rental properties. According to City staff, smaller rental properties represent a large segment of the rental market and offer three-bedroom units that are affordable to low-income households. In summary, the preceding information suggests that, while rental housing is available in the City at rents that are affordable to all income groups, certain types of rental housing, such as single-family homes and condominium/ townhouses, are generally not affordable to the City's lower- income households. Perhaps most importantly, rental rates for units with two or more bedrooms are beyond the reach of the City's Very -Low and Low income households. This means that a Very -Low and Low income household consisting of three or more persons would have a difficult time finding affordable housing of adequate size. Table HTM-25 is an illustration. of affordable net rents for 2008. TABLE HTM- 25 AFFORDABLE NET RENTS 20081 CITY OF TUSTIN Unit Size (No. of SVery Low Moderate (81- bedroonn) (500%Low 51-80% 120% 1 gBTedroom $733 $890 $1,677 2 $817 $994 $1,� 3 $886 $1,083 $2,066 4 oom $953 $1,166 $2,� 1 Based on HUD income limits, 2007. Source: comprehensive Affordable Housing Strategy, 2008-2018. Share of Region's Housing Needs Section 65584 of the Government Code requires each locality's share of the existing and future housing needs to be determined by the appropriate council of governments. Each jurisdiction's allocation represents its fair share of the regional housing needs. The City of Tustin's current and projected housing needs are derived from the Regional Housing Needs Assessment (RHNA) prepared by the Southern California Association of Governments (SCAG). The components of the RHNA are divided between "existing needs" and future "construction needs." Existing needs were discussed earlier in the housing affordability section of this report. Construction needs are defined as the number of units that would CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 38 2008 have to be added to accommodate the forecasted growth in the number of households by July, 2014, as well as the number of units that would have to be added to compensate for anticipated demolitions and to achieve an "ideal" vacancy rate. Construction need includes all income groups (from very low to upper) and not just those households that require assistance. The total need figure is then distributed among the four income groups. The allocations of housing needs by income group are adjusted to avoid Lower -Income "impaction" - the over -concentration of Lower -Income households in a jurisdiction. SCAG's RHNA fair -share allocation for the 2006-2014 period is 2,381 units. The closure of the MCAS has presented the City of Tustin with a total of 947.7 acres available for residential re -use and development. Amongst other types of uses, the City plans to add a total of 4,049 housing units of mixed density and housing type throughout the area. The City`'' of Tustin also created a Redevelopment Project Area for the MCAS -Tustin project. Based on State Redevelopment Law requirements, at least fifteen (15) percent of the units constructed within a Redevelopment Project Area must be affordable to Very Low, Low, and. Moderate -income households. Accordingly, from the potential new units to be built on the MCAS site, the creation of a redevelopment project area would result in up to 495 units (243 units plus 192 transitional housing units) being allocated for Very Low-income housing and an additional 364 units be created for Low- and Moderate Income households. To meet its fair share of the region's housing needs during the 2006- 2014 planning period, the City's allocation for new construction housing units is 2,381 (refer to Table HTM-26). Of these, 21.5% must be affordable to Very Low income households (earning less than 50% of the County median), 17.2% must be affordable to Low -Income households (earning between 50% and 80% of the County median), 19.6° must be affordable to the Moderate -Income households (earning between 80% and 120% of County median income) and 41.6% must be affordable to Above -Moderate Income groups (earning over 120% of County median income). Table HTM-26 is a summary of housing need distribution for the 2006-2014 planning period. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 39 2008 TABLE HTM- 26 2006-2014 HOUSING NEEDS CITY OF TUSTIN Income Category # of Units % of Total VeryLow <50% Coun Median 512 21'5% Low 50% - 80% Coun Median 410 17.2% Moderate 80% -120% Coun Median 468 19.6% Above Moderate 120% Coun Median 991 41.6% 2,38'1 100% Total Source: SLAG RHNA, 2007 ASSISTED HOUSING PRESERVATION ANALYSIS State law (Chapter 1451, Statutes of 1989) requires all housing elements to include needs analyses and, programs to address the potential conversion of Federal, State, and locally assisted housing developments ("units at risk") to market rate housing. For example, the federally subsidized loans provided to many low-income housing projects during the 1970s contained provisions that allow the owner to "prepay" the loans`` after 20 years, thereby removing the low- income subsidy from the project. As part of the:; "units at risk" analysis, the State requires that local jurisdictions perform the following tasks: Needs Analysis- to include an inventory of units at risk of converting to market rate housing for period covered by the Housing Element; an analysis of the potential for loss of affordability controls; a cost analysis of preserving or replacing the at -risk units; identification of agencies willing to acquire and manage these projects; and, identification of funding sources available to preserve or replace them. Quantified Objectives: A quantification of the units to be conserved, and explanation of any difference between the number of units at risk and the number to be conserved. Housing Programs: A description of programs to preserve the units at risk. Tustin has one project that contains units "at risk" of converting to unrestricted market rate rents. Tustin Gardens is a 101 -unit Section 221(D)(4) project with a Section 8 contract for 100 units. In 2003, the CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 40 2008 owners of Tustin Gardens signed a five-year agreement with the U.S. Department of Housing and Urban Development (HUD). This agreement serves as a one-year Section 8 contract that automatically renews for four additional one-year terms, provided that funds are available. The current contact expires on July 13, 2008. The project owners have indicated that they intend to renew the contract. Projects financed under the Section 221(D)(4) market rate program alone have no binding income use restrictions. The conversion of this project would have an adverse impact for the elderly who may face substantial rent increase or possible displacement. Table HTM-27 lists all of the Federal, State, and locally assisted low-income housing projects located in the City of Tustin due to expire by 2014. Table HTM-28 is an inventory of all multi -family rental units assisted under federal, state, and/or local, programs, including HUD programs, state and local bond programs, redevelopment programs, and local in -lieu fee, inclusionary, density bonus, or direct assistance programs. The inventory includes all units that are eligible to convert to market rate housing due to termination of subsidy contract, mortgage prepayment, or expiring use restrictions. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 41 2008 I Q IF. U � v v X W V W U W 00 cVr4 �p Lf) O, e, L� w w w LOLO N N N � N O N � z v�`r .4� i.l o dd SI.i Fir F.i CQ yy ra it i�r � lS � F iii u 3 v a, 06 eo >0 0Q) U�IQoS C�UG�dmUUA ° Zo `V W CO V. U �' o, UU UU Lf) ozu Lf) Zua, LA o c6i toN ° 1� . � � W4 d Ey I I c 3cuv G U rj w x 4j w w 4J c? N r7 N j CO) E7 w w w w w w o •� m LO rn w ca O O Nca p ru.y 2 >l. w °a �, ;pA wcc i 0' WD twD 4 0 co w cu H� U~ o o y o cu o 23 x y� r 0 m a, �•o 0p o a a > u G ani ani ani to v y 3 y 3 3 c O o ° o 0 fj Z 7,�'z 18 A Replacement/Acquisition and Rehabilitation Analysis: The City of Tustin has identified the preservation of existing affordable housing units as one of the most cost-effective methods of maintaining the stock of affordable housing therefore a high-priority program for the City. The City has identified 277 units of at -risk housing with expiring use restrictions within the six-year planning period, including 145 units of very low income housing and 132 units of low income housing. Given the relative weakness of economic conditions and the housing market currently, the City will proceed to negotiate the extension of affordability restrictions on these units in advance of the specific expiration dates for these units. The amount of assistance provided will be negotiated based on the specific economics of each development and the potential availability of leverage„ financing, such as tax-exempt bonds and 4% tax credits. The total amount of funds allocated to this program is $2,181,672. Local Rental Subsidy. An option for preservation of at -risk units assisted by either project based Section 8 funds and/or bond financing would be a local rental subsidy to residents. This option could be used to retainthe affordable status of the units, by providing assistance to residents when their affordable units convert to market rate.; Rent subsidies using state, local (Redevelopment Agency, the use of HOME funds, or other funding sources) can be used ` to maintain the affordability of these at -risk units. Rent subsidies can be structured to mirror the Section 8 program. There are several funding sources that could be used to provide subsidies to residents. Under the project based Section 8 program, HUD pays owners the difference between what tenants can pay (defined as 30% of household income) and what HUD and the local Housing Authority estimate to be Fair Market Rent (FMR) on the unit. Section 8 assistance is only available to very low-income households earning less than 50% of the County median income. The 2007 HUD median income in Orange County is $78,700. The analysis also assumes the average very low-income household has an actual income of 50% of the County median income, adjusted for household size. The cost of providing subsidies for all 100 at -risk units with potential to expire during the planning period to maintain subsidized rents CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 46 2008 assumes that none of the at -risk units are preserved. The cost of providing subsidies is based on a comparison between fair market rents (FMR) and rents that are affordable for low and very low- income families. Affordability is defined as rents that do not exceed 30% of a household's monthly income. The 2008 FMRs for Orange County, which encompasses the City of Tustin, are shown in Table HTM-29. TABLE HTM- 29 2008 FAIR MARKET RENTS ORANGE COUNTY Efficien * 1 Bedroom 2 Bedroom I 3 Bedroom 4 Bedroom $1,103 $1,238 $1,485 $2,125. $2,441 'Efficiency = Studio Apartment FMRs include utility costs Source: County of orange Section 8 program` Table HTM-30 indicates that affordable net rents for very low income households would be approximately $733 for a one bedroom unit, $817 for a two bedroom unit, and $886 for a three bedroom unit. To simplify the analysis, the one bedroom units at -risk in Tustin Gardens (100 one -bedroom units) are assumed to be senior unit and comprised of one-person households. TABLE HTM- 30 Affordable Net Rents City of Tustin 2008 Unit Size Very Low Low Moderate (No. of Bedrooms) 50% AMI 80% AMI 120% AMI 1 Bedroom $733 $890 $1,677 2 Bedrooms $817 $994 $1,880 3 Bedrooms $886 $1,083 $2066 4 Bedrooms $953 $1,166 $2,228 U.S. Department of Housing and Urban Development published 2007 very low income limits, adjusted proportionally for 60% of percentage of AMI category. Gross rents are calculated assuming an occupancy standard of 1 person per bedroom plus one, consistent with California Redevelopment Law. Net rents are calculated assuming 30% of gross income spent on rent and then deducting the utility allowances. Source: Comprehensive Affordable Housing Strategy, 2008-2018 CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 47 2008 The costs of providing a rental subsidy for all 100 at -risk units affordable to very low income households is shown in Table HTM-31 to be approximately $50,500 per month and $606,000 annually. Actual subsidies required would vary from this estimate, as some households earn below the assumed 50% of the County median and therefore require higher subsidies, while other households may be comprised of a different number of persons and therefore, the assumed baseline affordable rent may be higher or lower, depending on household size. TABLE HTM- 31 COST OF PROVIDING RENTAL SUBSIDY FOR VERY LOW INCOME HOUSEHOLDS Affordable Nca Total Unit FMR Rents U Difference Monthly Annual 1 Bedroom $1,238' $733 0 $505 $� 2 Bedroom $1,485 $817 0 $668 $0 $0 TOTAL ��� 1 Affordable rent includes all utilities Source County of Orange Section 8 Program; Comprehensive Affordable Housing Strategy 2008-2018. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 48 2008 CONSTRAINTS TO THE DEVELOPMENT, IMPROVEMENT AND MAINTENANCE OF HOUSING This chapter examines the various constraints to housing development in Tustin. These include governmental constraints and non-governmental constraints GOVERNMENTAL CONSTRAINTS Sections 65583(a)(4) of the Government Code require the Housing Element to include an analysis of potential and actual governmental constraints upon the maintenance, improvement or development of housing for all income levels. The following analysisfulfills this requirement. Land Use Controls The State Planning and Zoning Law (Sec, 65860) requires consistency of the zoning_ ordinances with the General Plan. The existing Land Use Element of the General Plan establishes single-family, multi- family- and planned residential districts. The zoning ordinance is consistent with the Land Use Element in that areas of the City are designated : for Single -Fancily, Multi -Family, Specific Plan and Planned Community Districts. An analysis of residential development potential will be provided in the Housing Element. As shown in Table HTM-32, the City's existing General Plan allows a range of residential densities, from a range of 1 - 7 dwelling units per acre in the Low Density Residential designation up to 25 dwelling units per acre in the High Density Residential designation, which corresponds to the R-3 Multiple Family Residential District in the Zoning Code. Up to 10 units per net acre are permitted in the MHP (Mobile Home Park) District. The Zoning Code standards in the residential zones establish a front yard setback requirement of a range between 15 and 20 feet, the side yard setback requirement is 5 feet for interior side yards and 10 feet for corner lots, and the rear yard setback requirement ranges between 5 and 25 feet. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 49 2008 TABLE HTM- 32 GENERAL PLAN RESIDENTIAL LAND USE CATEGORIES CITY OF TUSTIN Effective Dwelling Unit per Density Low Density Detached single-family dwellings 5.61 1-7 Residential Medium Multi -family dwellings including 15.0 8-15 Density duplex, condominiums, townhomes, Residential High Density and a artment& Multi -family dwellings including 21.53 15-25 Residential duplex, condominiums, townhomes, nd a artments. 6.31 1-10 Mobile Home Mobile homes Park Planning ow, medium, and high-density tresidential 1 1 Community developments. MCAS Tustin Low, medium, and medium high- 2 _Specific Plant density residential developments. Maximum density in dwelling units per acre is presrnbed by individual Planned Community Documents. Effective dwelling units per acre for low, medium, and high density residential are 4.485, 11.834, and 17.39, respectively. 2 Low Density (1-7 du/ac), Medium Density (8-15 du/ac), Medium High Density (16-25 du/ac) Source: City of Tustin General Plan, Land Use Element, 2001. Accordingto the General Plan build -out table (Table LU -3) in the Land Use Element, a total of 29,623 dwelling units are anticipated within the City limits. The Department of Finance (DOF) reports 25,477 dwelling units have been constructed (as of January 2007) within the City. Affordability can be determined by permitted density of development. According to the State Housing and Community Development Department, affordability standards are as follow: Very -Low income - minimum 25 units per acre Low -Income- minimum of 18 units per acre Moderate income- minimum 8 units per acre CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 50 2008 Other alternative, as developed through the adoption of AB 2348, Statutes of 2004, allows jurisdiction to use "default" density standards of at least 30 dwelling units per acre as determined in the Government Code Section 65583.2 to accommodate the City's share of regional housing need for lower income households. The General Plan Land Use Element's policy plan provides goals for future land development within the City. These goals and policies are reflections of the direction and images the City seeks for the future. The goals and policies include: 1. Achieve balanced development; 2. Ensure that compatible and complementary development occurs; 3. Revitalize older commercial, industrial, and residential development,- 4. evelopment;4. Promote economic expansion and diversification; 5. Coordinate development with the provision of adequate public facilities and services; 6. Strengthen the development character and mixture of uses in the Old Town/ First Street area; and 7. Promote an integrated business park character for the Pacific Center East area. Some suggest that low-income housing could be developed in the absence of land use controls related to density. It is true that the reduction or absence of land area requirements per housing units would result in lower land costs per unit, if all factors were constant. However, an analysis of development costs shows that the value of the land is related to its potential yield. For example, an acre of land that was authorized for four (4) dwelling units will be priced at a lower value than an acre of land authorized for six (6) dwelling units. The same analogy holds for multi -family sites whereby the land costs are related directly to the potential yield in terms of unit density. Tustin has a high percentage of multi -family units where only 31.7% of the housing stock is devoted to single-family detached units and 64.80% to attached and multi -family units. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 51 2008 Current land use controls restrict development in single-family residential zones to one dwelling unit on parcels less than 10,000 square feet in the E-4 zone and parcels less than 7,200 square feet in the R-1 zone. However, the Planned Community District has authorized residential subdivisions with single-family lots of less than 5,000 square feet, which has significantly increased density potential to approximately 8-13 units per acre. In addition, the recent provision for Second Residential Unit adopted in 2003 allows a second unit to be constructed without discretionary permit approval provided that the site complies with criteria contained in the Zoning Ordinance. Within the multi -family district (R-3), a 35 -foot height limitation and maximum 65% lot coverage precludes the development of high-rise housing projects. In the interest of protecting adjoining single-family lot owners, multi -family structures above 20 feet in height require a conditional use permit when the structures are within 150 feet of single-family residentially zoned lots. While these height limits may place some restrictions on housing development, these limits are designed to maintaincompatibility of land use intensity and are commonly used by local governments as a development tool to further this ideal. Conversely, within Planning Area D of the MCAS Tustin Specific Plan, a 150 foot height ]imitation up to 180 foot, if approved by, the Community Development Director, would be allowed. This provides for layering products (i.e. stacked flats, podium style, etc.) with mixed use developments, thereby providing opportunities for the development of higher density residential products. Projects are also able to take advantage of the Planned Community District application process where special considerations are needed Table HTM-33 is a summary of the City's residential zoning regulations. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 52 2008 z H O 9 F H 0 �O O N W I LO O o 0 0 w� -Z y w � o ~ L O NO Ln41 y H e��l N d F-. o '�tl,yy L—J� 'O 3:2 z Ul) -.1-'s z t � -.2' C) tiizzin Ln Ln Ln 0 oN rA CN M M Mm mti�, 9 F H 0 �O O N W I LO Homeless Accommodation Homelessness is a statewide concern that affects many cities and counties. Throughout the country, homelessness has become an increasing problen-L Factors contributing to the rise in homeless include the general lack of housing affordable to Low and Moderate income persons, increases in the number of persons whose incomes fall below the poverty level, reductions in public subsidy to the poor, and the deinstitutionalization of the mentally ill. The issue of homelessness is considered regional in nature. Nomadic tendencies of homeless persons make it difficult to assess the population accurately. According to the County of Oranges 2004 Continuum of Care Application to HUD, the County has 10,500 homelessindividuals of which an estimated 8,544 are unsheltered, 1,169 are in emergency shelters and 787 are in transitional shelters. An additional 24,499 are person in homeless families with children, with an estimated 23,211 unsheltered, 1,074 in transitional and 214 in emergency shelter facilities. Of these 35,000 homeless men, women, and children, 7,866 are identified as chronically homeless, 2,218 as severely mentally ill, 2,029 are suffering from HIV/AIDS, 6,988 are 'victims of domestic violence and 6,328 suffer from chronic substance abuse. Within the City of Tustin, Police reports and windshield surveys indicate a limited numbers of persons on the street and have shown that there are no established areas where homeless persons congregate in the City and that most persons migrate through Tustin to other areas within Orange County, rather than stay for extended periods of time. Information regarding the nature and extent of homelessness by racial and ethnic groups is not available at this time. Nevertheless, in response to Senate Bill (SB) 2, statute of 2007, the City is required to engage in more detailed analysis of emergency shelters, transitional, and supportive housing. SB 2 defines the following:/ Emergency Shelters" as housing for homeless purposes intended for occupancy of less than six (6) months, where no person is denied occupancy because of inability to pay. "Transitional housing is rental housing for stays of at least six (6) months where the units are re -circulated to another person after a set period. "Supportive Housing has no limit on the length of stay, provides supportive services and is occupied by low-income persons with disabilities and certain other disabled persons. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 54 2008 SB 2 requires the city to identify the needs for emergency shelters in its Housing Element and to designate zoning districts adequate to accommodate the need. In those districts, emergency shelters must be allowed without a conditional use permit or other discretionary approvals. The city may apply certain written, objective development and management standards, such as number of beds and length of stay, if no zoning district exists that meets this standard. Alternatively, a community may require a conditional use permit for emergency shelters if they already have enough shelters to satisfy the need; or have entered into partnership agreement with up to two other communities to develop an emergency shelter that will meet their collective needs. Supportive and transitional housing must be treated as a residential use of property, subject to only to same restrictions that apply to other housing of the same type in that zone. Within the City of Tustin, the following emergency shelters, transitional, and supportive housing are designated as permitted uses as follows: TABLE HTM 33-A SUMMARY OF HOMELESS ACCOMMODATION ZONING REGULATIONS Housing Type Peed/ Conditio wfly Permitted Zoning Transitional Home Permitted Planning Area 3 of MCAS Tustin Specific Plan Emergency Shelters Permitted Planning Area 3 of MCAS Tustin Specific Plan Supportive housing Permitted Planning Areas 1 and 3 of MCAS Tustin S ific Plan Community Care Facility Permitted All residentially zoned for six 6) or fewer properties Family care home, foster home, or group home for Permitted All residentially zoned six (6) or fewer' properties ' Includes congregate care facility, single room occupancy hotel, and children's intermediate care shelter Source: City of Tustin, MCAS Tustin Specific Plan The following are transitional homes that have been provided in the City at Tustin Legacy. 1. A 192 beds transitional home at the Village of Hope to be operated by the Orange County Rescue Mission. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 55 2008 2. A 90 beds intermediate care shelter for abused children and their parents to be operated by the Orange County Social Services Agency. 3. Six (6) new units at Tustin Field I operated by Salvation Army. 4. Acquisition of 16 units in Buena Park operated by Salvation Army. The City assisted in acquisition and contributed grant funds to acquire the units. 5. Fourteen (14) new units at Columbus Grove operated by Families Forward, formerly Irvine Temporary Housing? 6. Six (6) new units at Columbus Grove operated by Human Options. 7. Six (6) new units at Columbus Grove operated by Orange Coast Interfaith Shelter. , With the exception.. of the transitional homes, these units are transparent and dispersed throughout the Tustin Legacy community consistent with the City's goals and policies to provide adequate supply of housing to meet the need for a variety of housing types and the diverse socio-economic and to promote the dispersion and integration of housing for all socio-economic throughout the community. - Building Codes As required by State law, the City of Tustin has adopted the 2007 Construction Codes which includes "2007 California Building Code" and the 112007 California Mechanical Code" published by the International Conference of Building Officials. Other codes adopted by the City include the 2007 California Plumbing Code and the 2007 California Electrical Code. While the codes are intended to protect the public from unsafe conditions they result in an increase in the cost of housing in various ways. The codes establish specifications for building materials and incorporate seismic safety standards that add to construction costs. The technical details of construction, requirements for state licensed contractors to perform the work, plan check, permit processing and 2 Although these units are located in the City of Irvine, these units were negotiated as part of the base realignment/ conveyance process in which Tustin is the Local Redevelopment Agency CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 56 2008 field inspections all contribute to the increased cost of housing. In general, in states and counties where building codes have not been adopted, the cost of housing is less than comparable housing costs in California. Where individuals are permitted to construct shelters to their own specifications and within the limits of their individual construction skills, there will be a much greater proportion of low- income housing available than in those areas which adopt and enforce uniform building codes. It is noted; however, in those areas that have not adopted and enforced building codes, the low-cost housing may resulted in the creation of substandard building conditions and practices conditions that threaten the health and safety of the residents. Unquestionably, building codes are a governmental constraint to the construction of low-income housing. The question to be resolved is the conflicting values between health and safety and low-cost shelter. Originally in 1988 and later revised in 1998, the City of Tustin adopted the State Historic Code as required by State law. The State Historic Code requires ` 'relaxation of Uniform Building Code requirements for historic structures. This will reduce rehabilitation costs and may encourage rehabilitation of housing units which have historic valueand preserve much needed housing units in the Old Town Area. Site Improvements The restricted and limited ability to tax property in an amount equal to the cost of services and public improvements has shifted site improvement costs to the developer who passes them on to the housing consumer. The philosophy is expressed that no new development should impose a financial liability upon the existing community residents. The voters have expressed this conviction through the adoption of growth control measures and Proposition 13. An increased awareness of environmental amenities creates a public demand for improvements of not only the building site but of the surrounding environment which consists of drainage channels, landscaped parkways, arterial roads to serve the area, recreation facilities, preservation of open space, school facilities, and recreation amenities, all of which add to the cost of housing. Site development standards and requirements in the City of Tustin include clearing and grading the land; dedication and improvement CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 57 2008 of public right-of-way to include paving, curbs and gutters, sidewalks, drainage, street trees, streetlights and fire hydrants. On- site improvements include the under grounding of cable TV, water, sewer, gas, telephone and electric utilities. Subdivisions and multi- family developments are required to provide landscaping, drainage, perimeter walls, covered parking, landscaping, irrigation systems, and to submit materials and project design for review to assure architectural compatibility. Applicable multi -family structures are required to provide housing and parking accommodations for the disabled pursuant to State law. The review process is used to facilitate the land use and development compatibility objectives of the City and provide developers the opportunity to explore project alternatives, which could decrease development costs in the long run by avoiding costly mistakes. In the development of subdivision% the developer is required to dedicate and improve roadways to ` serve the area; to provide or improve area drainage channels; to extend water, sewer and other utilities to the site; to dedicate land or pay in heu fees for parks and open space for private use in multiple -family projects; and to dedicate land or pay in -lieu fees for public facilities such as schools and fire stations. Developers are allowed to construct private streets or to modify street standards to reduce construction costs, and this encourages and will encourage affordability of housing units in former MCAS Tustin.- An additional cost of site development results from, the installation of noise attenuation devices and materials as required by State law. Perimeter walls and/or berms are required for subdivisions to reduce the noise levels from external surface sources such as railroads, freeways and arterial highways for sites that are located within 65 dB (CNEL) Noise Levels. Some of these costs can be reduced by the use of housing set-aside funds in City Redevelopment areas and special State and Federal grant funds to produce low- and moderate -income housing units. Significant public facilities will be needed to accommodate the proposed housing development at the former WAS Tustin. According to the WAS Tustin Reuse Plan/Specific Plan, water, sewer, storm drainage, electrical, natural gas, and telephone and cable backbone systems that serve future housing sites will need to be constructed. All housing sites will also have to pay their proportionate share for new backbone utilities, roads, and traffic improvements required in conjunction with development of the MCAS Tustin site and as mitigation for the adopted Final Joint CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 58 2008 Environmental Impact Statement/ Environmental Impact Report for the Disposal and Reuse of MCAS -Tustin and its Addendum. Fees and Exactions By law, the City's building and development fees are restricted to the costs of performing the services. The building and planning fee schedules of the City of Tustin were last revised in 2007. These fees still remain considerably below those of surrounding communities in the County. The City's fee schedule is provided in Table HTM-34, which illustrates the fees and exactions, that may be assessed to a residential building developmentproject in comparison to other nearby communities. These fees may be and have been waived by the City Council for projects where extraordinary, benefits are derived such as low-income housing: projects, but are typically required to offset City expenses. The fee schedule adopted by the City of Tustin has a minimal impact upon the cost of housing within the City. The argument can be made that the cost of inspecting and serving new, developments exceeds the fees and revenues that are exacted for these developments. This is justified as a public service to protect the public health, safety and welfare of the future inhabitants and is partially borne by the general revenues of the City. Additional revenue sources are increasingly important since the passing of Proposition 13. Recognizing that housing for the elderly and low-income families is a community objective, the park land dedication ordinance provides the option to the Council to waive these fees for qualifying projects. The City might also consider exploring fast -tracking (preferential scheduling) or fee waivers for critical projects such as those providing affordable housing or housing which addresses special housing needs. In addition to the City's fees, a considerable amount of school fees are also applicable to residential projects. The respective school district should explore waiving all or portion of the school fees for affordable housing projects. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 59 2008 Capital Facilities & Conneetnons Water fixture units TABLE HTM- 34 $663/unit 0 unit unit unit N A $3,000 unit N A $1,000/ acre COMPARATIVE DEVELOPMENT FEE SUMMARY 1 Sewer fixture units Sanitation District Annex Fee Charges Planning Fees Tustin Anaheim Costa Mesa Orange Environmental $95 N A N/A $230 Initial Determination $125/ N A $910 $1,000 deposit Negative Declaration $2,500 $30,000 deposit Consultant cost $3,000 deposit EIR Processing -minor $4,000+ 10% EIR Processing -major Planning$985 General Plan Amendment 0/hr $3,� Plus $3,000 deposit ($12,000 deposit) $125/acre over 1 acre _ $950 $181.10/hr'' $1,570 $1,000 deposit Zone Change $10,700 de osit Tentative Tract Map $3,000 deposit $181.10/hr $1,160 $3,000 deposit $10,000 de osit $3,000 deposit $181.10/hr N/A $1,000 deposit Design Review $4,000 de t Planned Develo ment Review N/A N A $1,450 N/A $1,000 deposit N/A Conditional Use Permits and N/'°` $181.10/hr $10,000 de Variances Engineering & Subdivision $56/unit $709/ lot ($35,450 $85/hr $1,�- Final Tract Map deposit $30 unit Sewer Plan Check $31/unit $109-153/hr N/A $500 $3,000 de Water Plan Check $106 unit $9.46 if $9.46 if XTI A $628.30 unit $54-$112 hr $20 unit Stonmdrain Plan Check $296.91 unit $9.46 if $85 hr $20/ unit Street Plan Check $296.91 unit N A $96-119/hr N/A N/A Surface Drainage Plan Check 182/unit. $98-119/hr $224/ unit I $30 unit Grading Plan Check: Capital Facilities & Conneetnons Water fixture units $400 unit $600 unit N A / $663/unit 0 unit unit unit N A $3,000 unit N A $1,000/ acre $ unit $75 unit N/A $6W/ unit Sewer fixture units Sanitation District Annex Drainage (one time fee to property) $4,560 - Zone A $3,246 -Zone B N A $2,725/unit $88 unit 076/ unit N/A $3,176/unit N/ Transportation Corridor Si Assessment Fair Market Value of land $5,1245/ unit ($2.63/SF) $4,316.83/ unit $7,012/unit $10,875/unit $4,600/unit $8,894 $5,125/unit Park Facilities SchoolFacilities Tustin., Santa Ana, and Irvine Unified School District Orange Coun Sanitation District $2165/unit N/ A N/A µ^� N/A t Comparative fees based on hypothetical iv acre suvw w-, - dwelling units per acre. "Other fees" vary considerably by jurisdiction and are not included in this analysis Source: City of Tustin, 2008; Building Industry Association, 2006-07 Land Development Fee Survey for Orange County, 2007. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 60 2008 Processing and Permit Procedures The City recognizes that the myriad of agencies and permit approvals required for a development results in a time-consuming and expensive process. The value of land increases when entitled for development and all necessary permits have been obtained for construction. State law establishes maximum time limits for project approvals and City policies provide for the minimum processing time necessary to comply with legal requirements and review procedures. A standard chart is provided with every design review application that outlines the procedures and requirements for project approvals. The Community Development Department serves as the coordinating agency to process development applications for the approval of other in-house departmentssuch as Redevelopment Agency, Police, Public Works/ Engineering, and Parks, and Recreation. These departments work`'` together to simultaneously review projects to ensure a timely response to developers and act as the City's Design Review Committee. Pre -application conferences with the Community Development Department provide the developer with information related to standards and requirements applicable to the project. For the more complicated development projects in the Special Management Areas, Specific Plans provide a standard Design Review Process. Application packages are provided to developers and include the processing chart and copies of pertinent information such as street improvement construction standards, subdivision and landscape requirements that aid developers in the preparation of their plans. All projects are processed through plan review in the order of submission. Recognizing that profit margins are reduced and risks are increased by processing delays, the City has assigned priority to plan review and permit issuance for low-income housing projects. Additionally, contracts for plan check services provide additional staff to process projects in a timely fashion. If a complete application is submitted, plans are simultaneously reviewed by all Design Review Committee members and plan checking departments rather than one agency reviewing plans at a time. This process also pro- vides for a "one-stop" processing system which is required by State law in an effort to aid the development process, reduce confusion and minimize development costs. Additionally, for projects of CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 61 2008 significant benefit to the low-income community, such costs can be waived by the City Council or the use of redevelopment set-aside funds can further reduce or eliminate these costs for low-income projects. Workload Another governmental constraint is the number of staff and amount of staff time available for processing development projects. Since the workload is determined by outside forces (economy and market for housing), a shortage of staff time may occur during strong economic conditions which could lead to increased processing time for development projects. MARKET CONSTRAINTS The availability of housing is affected by the interrelationships within the market place of price, income of buyer, and interest rates. The non-governmental constraints upon the maintenance, improvement or development of housing in the City relate primarily to low- and moderate -income families. High-income families have the option of selecting housing accommodations that meet their preferences. Since environmental amenities such as hillsides with views and beach access attract high-value developments, high- income families gravitate to the foothills and beach communities. The provision for housing opportunity to all income segments is further emphasized in the East Tustin development whereby single-family attached and detached homes are proposed for moderate- and higher -income households. Additionally, multi -family projects such as apartments and condominiums in East Tustin are provided for the low- and moderate -income groups. The same is true at the former MCAS Tustin area, where provisions for affordable units are required at an average of 20.9 percent. Market rate homes are proposed to accommodate diverse populations from all income levels. Financing Interest rates can have an impact on housing costs. Some mortgage financing is variable rate, which offers an initial lower interest rate than fixed financing. The ability of lending institutions to raise rates will cause existing households to overextend themselves financially, CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 62 2008 and create situations where high financing costs constrain the housing market. An additional obstacle for the first-time homebuyer is the minimum down -payment required by lending institutions. Even if Tustin homebuyers are able to provide a 3 percent down - payment and obtain a 6.00 percent 30 -year loan (loan rate for FHA or VA guaranteed loans for January 2008), monthly mortgage payments on median priced single-family detached homes in the City place such homes out of the reach of moderate and lower-income households in the City. At a 6.00 percent interest rate, monthly mortgage payments on median`` priced condominiums and townhouses can place such units out of reach of Tustin's low and very low income households (see Tables HTM-22 and HTM-23). The greatest impediment to homeownership, however':, is credit worthiness. According to the Federal Housing Authority, lenders consider a persons debt -to -income ratio, cash available for down payment, and credit history, when determining a maximum loan amount. Many financial institutions are willing to significantly decrease down payment requirements and increase loan amounts to persons with good credit rating. Persons with poor credit ratings may be forced to accept a higher interest rate or a loan amount insufficient to purchase a house. Poor credit rating can be especially damaging to lower-income residents, who have fewer financial resources with which to qualify for a loan. The FHA is generally more flexible than conventional lenders in its qualifying guidelines and allows many residents to re-establish a good credit history. Under the Home Mortgage Disclosure Act (HMDA), lending institutions are required to report lending activity by census tract. Analysis of available NMDA reports does not indicate documented cases of underserved lower income census tracts in the City. Profit, Marketing and Overhead Developer profits in the last several years in Orange County generally comprise 6 to 9 percent of the selling price of single-family homes and slightly higher for attached units. According to the CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 63 2008 recently completed Comprehensive Affordable Housing Strategy3, minimum developer profit is estimated at 12 percent of development costs, based on input from developers and the Building Industry Association. This level is considered a baseline profit or "hurdle rate," representing the minimum necessary for the deal to proceed. In the past, due to high market demand in the communities like Tustin, developers were able to command for higher prices and realized greater margins for profit. As demand increased and prices rose, this profit margin was impacted by the escalating costs of land resulting from a shrinking supply of land~ Marketing and overhead costs also add to the price of homes. The Comprehensive Affordable Strategy 2008 estimated developer overhead is at 4 percent of total development costs. The factor having the greatest impact on the price of land is location. To a lesser degree, the price of land is governed by supply, demand, yield, availability, cost of the infrastructure, and the readiness for development as related to governmental permits. Within the developedinfill areas of the City, there is a scarcity of land available for residential development. The supply of land is largely limited to the former MCAS Tustin area since the East Tustin Specific Plan area has been built out. Land zoned for commercial or industrial development is not appropriate for residential development. The development of additional housing accommodations within the urbanized area will require the demolition and/or redevelopment of existing structures, since there are very few vacant lots remaining. The unavailability of land within the developed areas of the City and the price of land on the fringes are constraints adding to the cost of housing and pricing housing out of the reach of low- and moderate - income families. Cost of Construction One important market -related factor in the actual cost for new housing is construction costs. These costs are influenced by many factors such as the cost of labor, building materials, and site preparation. The Residential Cost Handbook, published by Marshall 3 City of Tustin Comprehensive Affordable Housing Strategy, David Rosen and Associates, 2008 CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 64 2008 & Swift estimates that the cost of residential two-story wood frame construction averages $87.85 per square foot. Therefore, the costs attributed to construction alone for a typical 2,200 square foot, wood frame home would be at minimum $193,270. A reduction in amenities and quality of building materials (above a minimum acceptability for health, safety, and adequate performance) could result in lower sales prices. Additionally, pre -fabricated, factory built housing may provide for lower priced housing by reducing construction and labor costs. An additional factor related to construction costs is the number of units built at the same time. As the number of units developed increases, construction costs over the entire development are generally reduced, based on economies of scale. This reduction in costs is of particular benefit when density bonuses are utilized for the provision of affordable housing. Although it should be noted that the reduced costs are most attributed to a reduction in land costs; when that cost is spread on a per unit basis. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 65 2008 This page intentionally left blank. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 66 2008 ENERGY CONSERVATION As the price of power continues to rise, households have through necessity been devoting more of the household income to energy cost. This condition has further eroded the affordability of housing. No relief is in sight, as one representative from Southern California Edison reinforced in a recent news article: "higher rates are necessary to assure reliable supplies of electricity in the years ahead." The City can explore possible partnership with utility companies to promote energy rebate programs. There are energy conservation measures the City of Tustin can promote and others that are mandated by State laws. The State of California has adopted energy conservation standards for residential building in Title 25 of the California Administrative Code. Title 25 applies to new residential construction or an addition to an existing housing unit. Active solar systems for water heating can be encouraged but they are still rather expensive and can only be used as a back-up to an electric or gas system. They are cost efficient in the long run but pose a short-term impact to affordable housing. Permits for solar systems can be approved ministerially by the Community Development Department, and permits are issued same-day whenever possible. The City can also explore and streamline permits processing for approved green building. Other energy conservation method could be contributed to site and building design. For an example through proper lots placement at subdivision and buildings' orientation, maximum day lighting can be achieved. Light- colored "cool roofs' can also be applied to new homes or roof replacement projects to promote energy savings. Water -efficient landscapes, efficient irrigation, and use of permeable paving materials also would contribute to energy saving. This can be achieved through updates to the City's landscape and irrigation guidelines. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 67 2008 This page intentionally left blank. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 68 2008 SUMMARY OF PREVIOUS HOUSING ELEMENT PROGRAMS To develop appropriate programs to address the housing issues identified in this Housing Element Update, the City of Tustin has reviewed the housing programs adopted as part of its 2002 Housing Element, and evaluated the effectiveness of these programs in delivering housing services. By reviewing the progress in implementation of the adopted programs, the effectiveness of the last element, and the continued appropriateness of these identified programs, a comprehensive housing program strategy has been developed. The following section reviews the progress in implementation of the programs, the effectiveness of the 2002 Element to date, and the°continued appropriateness of the identified programs. The results of the analysis provided the basis for developing the comprehensive housing program strategy for the future planning period, as well as goals for the planning period in progress: PROGRESS IN"` IMPLEMENTING THE 1999 GOALS AND OBJECTIVES Table HTM-35 presents a comparison of the quantified objectives of the: previous elementand, actual achievements since 1998. Table HTM-35 contains a list of projects by program area during the 1998- 2008 period. The 1999 SLAG Regional Housing Allocation Model indicated a new construction need in Tustin by 2005 of 3,298 units, of which 694 units were for very low income households, 489 for low income, 778 for moderate income and 1,337 upper income. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 69 2008 TABLE HTM- 35 SUMMARY TABLE EFFECTIVENESS OF HOUSING ELEMENT PROGRAMS: 1998-2008 New Construction Rehab/Preservation HousingAssistance Income Group Goal Actual Goan I Actual Goal' Actual Very -Low 694 472 183 3951 Low 489 192 162 64 Moderate 778 1070 23 115 Above Moderate 1337 2555 Total 3298 4289 801 1 2729 4130 1 Although goals were not allocated to specific income group, the City attempted to utilize RHNA percentages to fulfill RHNA objectives. Source: The City of Tustin Housing Element, 2002; Effectiveness of Housing Element Programs, 2008. REVIEW OF PAST PERFORMANCE State law establishes afive-year cycle regulating housing element updates. In compliance with the SCAG cycle, the Tustin Housing Element was updated in 1989 at which time it was found to be in compliance with State law,, and was updated again in 1994. In 1997, the City of Tustin initiated a comprehensive General Plan update, and the Housing Element was again updated to accommodate the MCAS Reuse Plan and to ensure consistency with other General Plan Elements, as well as to address recent changes in State law. These amendments' were adopted on January 16, 2001. In 2002, the City once again updated its Housing Element and was certified by The State's Housing and Community Development Department in compliance with State's Law. Review of Past Housing Element Objectives Tables HTM-36 and HTM-37 summarize the performance of the 2002 Element's goals and objectives. The time period covered in this analysis is January 1, 1998 to April 2008. The Orange County Business Council prepared a 2007 Workforce Housing Scorecard for Orange County. The Scorecard examines the state of housing in Orange County as it pertains to affordability, population, and housing unit supply numbers, as well as the relationship between job and housing units. Based upon analysis, the City of Tustin ranked no. 2 in total job growth and no. 3 in the housing as a percentage of total Orange County housing units. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 70 2008 Appendix D of this Technical Memorandum provides a complete 2007 Workforce Scorecard for Orange County. The following discussion is a brief highlight of the progress, effectiveness and appropriateness of the past Housing Element Objectives. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 71 2008 m C V aJ W 5 4 Ivo �Ln Ln oo uw v A 3 w x .0 STs > � •o d� o E� B I NN 00 A x .0 •� c Ea a C7 > '4z p4 a. -v c, o °" a o zt > S U � CJ •.,., .., w U w x Q U �, w .,. I NN A x .0 •� x p4 v ro v aCi > p > R, U(QU VA�x�dU UDQU I NN A x .0 •� x � � � � " � Q, soy cu m 'C cU)nNa� 0. 'Ca V R1 % 0 3 y A" N py 0�! ' ° Cr of u c. N N a 0 bo O y <C a r O4 b g �' 6'tN a" a oo -C3a c ' cu C oa aa) > C `n O v r4 U U1 'T1 T+ r1 U N r4 x, t -a U 94 I NN A � x � UH 8 M w 41 0 p 0 v V aOJ O u p G► G n y v N � o w u � M4 O o o o o w " T3 0 to � w 41 0 > & 0 v V aOJ O u p G► G n N � o w u � a w 41 0 > & 0 v G u p G► G o w u M4 o o o o w T3 0 to ° U o a v ° ;' e o~ U a d v> G U o'. v 'ty v a, o ao E w °Qaoi� >¢¢�� Herao ° z cu o in UwU11 a cu o acu >i aai v e°Jo Uf�L�r�QU > & 0 v G u p G► G o w u M4 w T3 0 to C U o a v ao a � a d v> G ea o'. v 'ty v a, o ao E cu in I n ci �. z qj G .O v C O W y tj fr v 'C, ad U U Q Ui O bo ° o rn o� ,� w o Q° Q o v" .G d bll ~ b0 O •! s0 y o v.� boo `tet bDQ, n Y! O .� '"�•' � `� A. i" ter'" � � y �, � U V -i ,� CU �C iY�il (H� rel O y 1�1 Ql^ '� '� 00 ° a'�C ;� n ci �. z qj G .O v C O W y tj fr � ad U U Q Ui O bo 9 y d bll ~ b0 O •! s0 ci y b0 u� y h Q � v C O W ' j 3 � •n°v o � ad U U Q Ui ci y y Q G ' j 3 � •n°v o � ad aoi v UQ a� �¢ O C) N W C4 Er n o o i'' �°A c o ' j 3 � •n°v u O bA .5 N O O 0 a U h o O O W u c� 'u d bll ~ b0 O •! s0 LZ + v `tet bDQ, n Y! O .� '"�•' � `� A. i" ter'" � � y �, � U V -i ,� CU �C iY�il (H� rel O y 1�1 Ql^ '� '� Ri �i Gni O y v ° a'�C ;� n ai y Qta j R U h 00 O, OX(z N Gr O a0 O0 > O 00 8 ° x r-+ua 3 W> Z �-+a tom 84 Q 8 8 N 'C3O .5 G v Ln b-0 6`0 w a 5 > a U�A b 4 rl �oo3o�cRS�o (43 LO o o o° �o a co U o o S3 y G C f3. v 0 30 to 0 75 a R A 'G o V Cl. C t} 0 Ly y .c OJ ,�w•o:p,•rj� s7 � � oNU •� �� w v oc E� cru o 00,1] C A.0 r G u O.. �� Oy C E r4 a a OG a u — F4 cC $ ca u Ll.G T3 cvC Wo I a, o op b0 . o ax, w v o5ov��°08 cri a 5 0 = a v o cu W ay R.S ao a u v Ln b-0 6`0 w a 5 > a U�A b 4 rl �oo3o�cRS�o (43 LO o o o° �o a co U o o S3 y G C f3. v 0 30 to 0 75 a R A 'G o V Cl. C t} 0 Ly y .c OJ ,�w•o:p,•rj� s7 � � oNU •� �� w v oc E� cru o 00,1] C A.0 r G u O.. �� Oy C E r4 a a OG a u — F4 cC $ ca u Ll.G T3 cvC Wo I x a R 09 a E~ z w w w z� o� w O W W >E V WA W-4 W4 W w 5 [ G1 a to as '+ o. v C R5 bA N o R u t z ' c6 mdGL t, E OCn ° Q G yU oLn � N � "Cyyd 'C � .`�• �' �' v 1 yo w X 3 N U Cn G7. cGC y O W � � O w �O M N O t O b � w� o G v� .� u o O U to 0 > � O 8 pp pq ,d bA p y}.� 0 O, uC O O N o Q j 0 0 O E.,2 3 vi R0'. G, C ani h x R.; cn a G 'ia. Q a, y O ao w U CA xo o IN, G .S y I a . y rz g. O V)w [ O ) u G 0 G. O 3 on a Lri ro v CD -0 3 �. �. o� on � ' ul E , o ^� 73 � o h -o °» cn o o v x n ami °o m � � w obio ° o 'w v oao oa .r r-4 li Ei y H V W a B F � d G R G C�J G C� of G G Sg 14 w G v v� au�au Q�x�.�suh v v 0 w u 0 0 0o o e°10 • .c ow eo eo v o ° a " o Q) o4 b ar w ° ° o• .� Q � o c a=) o c c o o o� v �Q v �o o� 0 0 ° a u12 1610 P4< R� oU � � v � u y v w o ° A woo �0> o �w CL m v w C h U v Q) w ao �� U Hv o� g N ab 00 Q) C 4U o -a v a S � O N � G W � ?-• � R b v v n N G R a v °' lu v ap a, y V ui o C. U1 > v N y s, a O t, Q O fY C. g CN p +rJ a x in I. Ng v � F �p RC1 `3 g F O � W O .v S9 (D R cR 13 CO .s�00 c r1 •� v Lf) O ^ N O 0>4� Fvr >.Su f1 f1 N co 0) tu v � F c G 0>4� bb � Qj cu 8uv w Uw cin_Ja2<—Sr iUQQ o A, `>> m tb a I N w 0. c G 0>4� a.SuC L �Q y cn o 3 L > F oo -.j Ka) to '°^ Q1 L b-0t..o w vW .�°..1= 3 4 � o v9oo6ao,cq 00 o.00cz ti M C Op C v v U y U [— It r4 (A G. G C r4 .., 2 0::-,: O a.� F z w w a w O z a x W-4 O cn w z w w W-4 W6 w I 5 W uo G GJ > W CA o o v � 4 �QU R. di bU s o S b on v o W v o v o Gj m o v � o L� RUO»x G Uw°Csr ~yNy F, a cu o v w u" Uw�Qc'n Uw to tb 9t �v 0 u00 W o v 4 �QU R. di bU s o S b on v o W o G -O o bo o n 3 ov v 'S o v v W W °' �• G o v x a, o. E a„ a cu o v w u" Uw�Qc'n Uw to tb 9t �v 0 u00 W W O UQin C � at G. C CU bo v G oou .O > a� R m bo 'a v� Nv0m�•>� HU R E. CL fl, N a Lri Ln vLr) O Lri a rri G LO LriN W �—! bo � o d' O c� L G 0 v � di bU s o S b on v o W o.—Q x w o o v o Z 3 ov v 'S o v v W W °' �• G o v x a, o. E a„ 4 E W O UQin C � at G. C CU bo v G oou .O > a� R m bo 'a v� Nv0m�•>� HU R E. CL fl, N a Lri Ln vLr) O Lri a rri G LO LriN W �—! bo � o d' O c� L 0 x w a Q H 04 04 a H z w W rW V z 0 x w O W z w W-4 W., w 00 T 14 6 a. o 0. S �0'6 3 o w o N p a 'O O vN X Li a[, R ca ° U) d U O cwy 'b �•' W a C cu a O •� � � v v b lz 5S p o N o F, v G d 1 04 �% p 1 i G w Uwo:d G cu U Q Q ob .. �U Gsz 0 o ° °G' °�° c 3 a° ass 2 ° >� 13 o S u °°°°o°.� vZo G w Gv. y O 00 O N OA d 7� X� '� VOV L]. O p n° O `� v C E 0. p 8 .o G .6 ti .Q p v v Cp G O u Z, p ,. o o u y m G r W a LO S G VN ro .N.•i F°. (V •7 c., .°.. U w I v 0 U 0 ,:a U b ON v o bo � z 73 r. Uw 0 WI O O 0 v H 3 v � p G WI 0 41 a. >.� o not �' �°0•S R� v ti v v ❑ Ln o ro a GU ago un cp C v C. y b0 r -i o a 0 —n°, z o 0 0 a v 0 0 o 14$ o, v 3>$ u C in 0 0 0 0 �>0 N a3i 0> w I I A v nc� 0 0 $ v > °C° ni 3 SCJ > 0 rR. u y N TJ 4 '9 cu v r✓ ti v o 0� 3 U o v v G y y g �o o v �.3 v� v to CL >> W R far . o U 3 -0 sr R G1 � R 10 far O(j E R cu UQD�Q oq cu aj 3 `^ R y r, z v 0.5 0. o ° o 0 oU� o ua) bcu ov 8 VC-1(��Q cu UQD�Q oq aj 3 `^ v 0.5 0. o ° o 0 w• cu 0 � �'.� �'.., a ooh •� o0 C y p C Cp v eV .5 -s 0 to v� C C �� m a C ¢• ,4uv� x cvo�,.�Cv �-, U a .� v •is ami a0 00O N W L AR e O S N E. 4 r, � O L •,b O ++ N Z m U 4cu C1 R p O 'u Y O � E. 4 F.2 O N N W I .5 Q, 0 v y v v v a N � y � W D U p �J O v v U a0i U UOQx0 ��Qui� 0o 325 y to o a .o C �s o �U R o "a v o o a O w O y w(_1 Ou OG OUQ O'� O y 'Z cV , '��" = t .R O i N 0 d � Q U c�6 a m �3 a, o o �U •S r,U c o °43 c v ,tl a", o['o c v v w 0. �° 0 °? y 00 ° F �' 1�yy fp t5} •� ° V u W i°U.� 5 o o V A ^vV[ a cu N E -i ai .0 O N N W I I v� of to � N v°i iC > u�y � � O N � O �G1 On c M H Lo y y u(u. b c� O � � � p O � AS F +-' w N a w v � ppw v V cQ w U w w v v y p 04 G y v o C o F Qw o U > a°azQx¢ 'CS OA. G .amu � 'WA p W G Uy Oyy a �i �° v bo .S P°F O O v O 2 p.55 a++ C r.y tip C R v p '� p y O o p N Y o o � v °: b a o o u> z R R g oa y° v w9 w OAU O '> b0 O -O 'nO (3)O "O d O Ln C O" O U +' y '> y C b() - 0 y ¢� O y G) o Rr F y' C. > U d F O Cl. 7 0. � C1 w C� O a "C ° o. z C v a.QU rO Q I v 8 w z � N � x S c� � N C v 0 d a 0 G w o v ~ a� � .c u id 4 .n a ���- U v cu-° a o N y o �G W ° ¢ •� bb b •: '� a 3x cV ax x � o UR U O V o Ki u Lo,o t 0xOw b o U C7 v w z � � x c� eo v' � o w � �xv °o � G Ucu aGj v � o > a 00 UOOUA4< 0 0 0 0 •,i VJ VU ° ° fn /�� V > •� � a a ^o � v (s, ti v�v o U TI ni U ° T, C E 8 00 S a� N � O 4+d 1 W N� W ice. 0 ¢ 00 C d G v wCU p ¢fix v oo v; m v m NO o x y ,u 3 ¢ w U-9) m •� d C p, en �7 C w t) � a, a. Q c eLx.0 OA O � r C f��A o •r' v � ,� bO W W o � 0 a)ra �v o C °J W C E X y �(u . wbID O R, v �+ 4J Q) o c 3 "� 15 bO o c'nU a o a O b.o �" O N O¢ 0 U) Z as 0 C E 8 Fil Ln y,, V u O F. r-qU � o en > O u O v5� O Gp ca �e O ++ U O R1 00 v N v it) o U > g w w oxv � C� o o x v v >, U v w OUaQc�i �<UN, x a pp ani ani " Q w d bo > as > y � > � � y ic z¢ u Q r� Q x Q z¢ �y O x u x u vO 00 O'er b0 bo ' 000' ax y Q Li w v w G v p �0 h n Z O `u 'L7 v N O[ 0 U v�+ Q, OLri D y u O N p¢ U N r+ O> Q)as u v d Lam' ^O O o 04 -fl a v p Q m't y >v G v v bA C b0 ao O O "Ibz v p OA «l u u i+• Vf N [ O M p w O O ^rz " v 4 •� .x7 O 7 7 U 3 0x W a R Q U x 00O O N N �' F, �, •� � W O 8 N O 00 2flr }' 8 o O + 00 cm 0 bA O O v ox s� g o � .s v b� w 2 a+ a Q V O U� x3 tt w � in bD .0 � a —cu ?U Lri O v S3 ui w ou �00 c w v v $ co v ° �mzi o 'o>o o U x G UJ W. W. -j F- r ¢ x as > o w0 0- ea tb ct CUv 0.s p v o cu W � v uMIn04 vCU ° G o o 73 v u d00 ° �Qi� C G G GO G v CD O O a5 G G p G O 41 a+ y •� .O O — o .0 0 0 cv y d G C G O w Ap. ' m + , O > o p$ od aGi y �', sy a0 .� o m v os•5�'a o �, Ts 3 obC 'M >r. o o ¢ G c ro� .0 UO -14 lz 8o 0 y o y O d vv Qj o a1 C O 3 O cV O O fw1 0.w Ho Q°+O - cC 0 O ^aA^ R O, 0 7pi 8 N S N m y d W O! OJ d 0 cn bo C w N d! CO r -I r"i N .fir bo b,p OD 00 OA OD Q O O O O O O r CU oo v It v o r' W NO U m oA 4io ro boo � v o c n r o r WA x a3i > CS+ ^C r ? o G gg bo 10 oo$ sa. p y y In ,p y o -X~ X - pp r„ O O O 0 "� 0 ° �"�"' 0 O W, a� R ti G O (U LO as x ° v o v a a cu QOu A nz CS u R N R �88 4 G "+3 � U Q CyCs sia+ ao1a CaA �o lzQ O �bOo 0 i3 bq "T5y c a > m v o G R Q' u� O v C v 00 i O Ou v U `ri B U ami o o .o v aoi R .o v G v U m v w� G O O 0. 93L� y U O .4 cu ca Wu w RC v O O ?; O U m wG Gr R y W a1 "". N O H W V3 U liJ U V a0i Ou m 0 J) 'r > ., +;' v x Lr5 9 V 9 C� ed 4 I • 15 ems+• N t? GO F+ O W It it M A rA O .O O U T 8 I N ON TABLE HTM- 37 PROGRESS TOWARDS OBJECTIVES 1998-2008 CITY OF TUSTIN Unit Type/Description NEW CONSTRUCTION I un ecrives 1 t�Lccunt 11511111C111A ----- Rancho Alisal 69 Adequate Sites (new units) 1,378 1,378 0 0 884 494 MCAS Tustin new housing 2,599 1,573 70 64 109 1330 MCAS Tustin Emergency2 192 192 192 Senior Board & Care - Bryan Ave. 18 18 MCAS Tustin Transitional Family' 50 49 49 MCAS Tustin Social Services4 60 90 90 141 23 341 Granny Flats 10 0 New Owner Housing 432 953 17 128 77 731 New Senior Housings 97 54 54 Density Bonus6 160 182 Recycling of SFD to MFD Subtotal 25 5,003 0 4,289 472 192 1,070 2,555 RHNA (1999) 3,298 694 489 778 1,337 Difference 1,705 (222) (297) 292 1,218 KCIl^DjLUL 1 n 1I -N 40 6 Rancho Alisal 69 Owner Occupied Housing 40 61 Rancho Maderas 54 54 6 Rental Rehabilitation Loans/Grants 120 56 19 14 23 Affordable Senior Housing - Mitchell Multi -Family Acquisition/ Rehab/ Conversion/ Resale 100 12 8 Senior Board & Care - Bryan Ave. 18 18 Multi -Family Acquisition/ Rehab/ Conversion Rental 2 Old Town Residential 29 Total Rehabilitation 460 56 19 141 23 341 PRESERVATION 40 6 Rancho Alisal 69 69 8 61 Rancho Maderas 54 54 6 48 Rancho Tierra 51 51 38 13 Affordable Senior Housing - Mitchell 20 20 12 8 Senior Board & Care - Bryan Ave. 18 18 18 Old Town Residential 29 Tustin Gardens 100 100 100 Total Preservation 341 312 1641 148 V 1 rich tur— - — . 1st Time Homebuyer Down Payment Assistance Loans 7 40 6 6 County Mortgage Credit Certificates a 0 Section 8 Rental Voucher Assistance 1,500 3,500 3,500 Shared Housing Referrals 75 50 50 CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 98 2008 TABLE HTM- 37 PROGRESS TOWARDS OBJECTIVES 1998-2008 CVrV (11P TT TCTikT Unit Type/Description Quantified Ob'ectives Accomplishments 1 Very Low Low Moderate Upper Deed Restrictions ° 620 243 70 64 109 Homeless Housing Partnership Program 242 Emergency Shelter 252 331 331 Total Other Affordable Housing 2,729 4,130 3,951 64 115 Total Non- New Construction 3530 4,498 4,134 226 1 138 z Orange County Rescue Mission ' includes: Human Option - 6 units; Orange Coast Interfaith - 6 units; Salvation Army - 6 units; Irvine Temporary Housing -14 units; and Salvation Army (acquired by Tustin for units in Buena Park) -16 units. { Tustin Family Campus (Orange County Social Services Agency) - 90 beds 5 54 units at Heritage Place and 201 units at Monarch Village 6 182 density bonuses granted to Lennar at Villages of Columbus 7 Temporarily suspended. s Program suspended. Includes: Tustin Field I - 78 units; Tustin Field II - 40 units; Arborwalk -10 units; Cambridge Lane 36 units; Camden Place - 37 units; Clarendon - 42 units 10 Includes: Orange County Rescue Mission -192 units; OCSSA Tustin Family Campus - 90 units; Human Option - 6 units; Orange Coast Interfaith - 6 units; Salvation Army - 6 units; Irvine Temporary Housing -14 units; and Salvation Army (acquired by Tustin for units in Buena Park) -16 units. Sources: (1) Effectiveness of Housing Programs 1998-2008, City of Tustin; (2) Five Year Implementation Plan for the Town Center and South Central Redevelopment Project Areas for Fiscal Years 2005-2006 to 2009-2010 CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 99 2008 77tis page intentionally left blank. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 100 2008 APPENDIX A AFFORDABILITY GAP ANALYSIS CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 2008 This page intentionally left blank. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 2008 City of Tustin Comprehensive Affordable Housing Strategy Appendix B. Affordability Gap and Leveraged Financing Analysis February IS.. 2008 Prepared for.- City of Tustin Submitted By: David Paul Rosen & Associates Northern California David Rosen, Principal 1330 Broadway, Suite 937 Oakland, CA 94612-2509 Phone: 510-451-2552 Fax: 510-451-2554 e-mail: DavideDRAConwitants.com www.draconsultants.com Southern Califomia Nora Lake -Brown, Principal 3941 Hendrix St Irvine, CA 92 614-663 7 Phone: 949-559-5650 Fax: 949-559-5706 e-mail: NoraeDRAConsultants.com www.draconsultants.com Table of Contents 1.4 Executive Summary ................................................................ .................... Prototypes ..................... 2.0 Housing Proto........................................................ 3.0 Financing Scenarios, Income Targeting and Affordable Housing Cost......... 3.1 Financing Scenarios............................................................. 3.2 Target Income Levels......................................................................... 3.3 Affordable Housing Cost Definitions.................................................... 3.4 Occupancy Standards......................................................................... 3.5 Utility Allowances............................................................................... 3.6 Affordable Net Rents and Affordable Monthly Housing Cost ................ ............................... 4.0 Development Costs ..................................................... 4.1 Developer Interviews, Rental Housing Development ..................... 4.1.1 Jamboree Housing ............................................... ..................... 4.1.2 Keyser Marston Associates........................................................ 4.2 Developer Interviews, Owner Housing Development .......................... 4.2.1 Springbrook Advisors................................................................ 4.2.2 Nevis Homes......................... ................................................... 4.2.3 The Olson Company................................................................. 4.2.4 Keyser Marston Associates ........................................................ 4.2.5 CIM Group ........................ 4.2.6 William Lyon Homes................................................................ 4.2.7 Sun Cal Companies ................................................................ 4.2.8 John Laing Homes ............................... 4.3 Land Acquisition Costs ........................................... ............................. 4.4 Development Impact Fees ..................................... .............................. 4.5 Hard Costs and Site Improvement Costs .....•...••••••.•.•••••••••••••••••••••......• 4.6 Estimated Total Prototype Development Costs ..................................... Assumptions ......................... 5.0 Operating and Financing Cost Assume ..................•••• 5.1 General Operating Costs, Rental Prototype.......................................... 5.2 Financing Costs ............................................................................... 1 9 9 9 9 12 12 13 14 16 16 16 17 17 18 18 18 18 19 19 19 19 20 21 24 25 26 26 29 City of Tustin Page i Affordability Gap and Leveraged Financing Analysis 6.0 Per Unit Affordability Gaps........................................................................ 29 7.0 Renter Leveraged Financial Analysis........................................................... 32 7.1 Hard Construction Costs..................................................................... 32 7.2 Eligible Basis and Tax Credit Equity Calculations ................................. 32 7.3 Income Targeting Scenarios, Occupancy Standards andAffordable Rents ................................. .......................................... 33 7.4 Operating Costs and Vacancy............................................................. 34 Attachment A. Ownership Affordability Gap Analysis Tables Attachment B: Renter Affordability Gap Analysis Tables Attachment C: Leveraged Financial Analysis, Renter Prototype City of Tustin Affordability Gap and Leveraged Financing Analysis Page Ji List of Tables City of Tustin Page iii Affordability Gap and Leveraged Financing Analysis PAGE 1&OU 1. Homeowner Per Unit Subsidy Requirements .................................... 2. Tenant Per Unit Subsidy Requirements ................................ 3. Average Per Unit Subsidy Requirements, Leveraged Financing Scenarios...:........................................................................................... 8 4. Owner Housing Prototype Projects............................................................. 10 11 5. Rental Housing Prototype.......................................................................... 12 6. Affordable Housing Cost Def.........•................................................ Definitions 7. Current Monthly Utility Allowances, County of Orange .............................. 14 8. Affordable Net Rents ... :..................................................................... 1.5 9. Affordable Monthly Housing Cost.................... ............................... 10. Tustin Legacy Comparable Land Prices ...................................................... 20 11. Per Unit Land Acquisition Cost Assumptions by Prototype. 12. Development Processing and Impact Fee Assumptions, Owner Housing 22 13. Prototypes ................................................ ............................................. Development Processing and Impact Fee Assumptions, Rental Housing 23 14. Prototype.................................................... .......................................... Per.Net Square Foot Hard Construction Cost Assumptions by Prototype..... 25 15. Estimated Prototype Development Costs, Owner Housing Prototypes ......... 27 16. Estimated Prototype Development Costs, Rental Housing Prototype ........... 28 17. Development and Financing Cost Assumptions, Owner 30 Housing Prototypes.................................................................................... 18. Development and Financing Cost Assumptions, Rental 31 Prototype.......................................................................I......................... 19. Income Targeting Assumptions for Leveraged Financing Scenarios ............. 33 20. Construction and Permanent Sources and Uses, Leveraged Financing 35 Analysis, Rental Housing Prototype....................................................... City of Tustin Page iii Affordability Gap and Leveraged Financing Analysis 2.0 Housing Prototypes Tables 4 and 5 describe the owner and renter housing prototypes, respectively, examined in the gap analysis. These prototypes were developed in collaboration with City staff based on recently constructed and planned residential developments. The prototypes are designed to represent typical market -rate rental and owner housing developments in Tustin in terms of the resident population, product and construction type, density, number of units, unit mix by bedroom count, and unit size. 3.0 Financing Scenarios, Income Targeting and Affordable Housing Cost 3.1 Financing Scenarios DRA first modeled the owner and renter housing prototypes under a conventional financing scenario that does not incorporate leverage from alternative sources of public subsidy for affordable housing. Because of the limited availability of affordable housing subsidies, it is not possible to predict the ability of any particular affordable housin development to secure such subsidies. We calculate the affordability gap per unit by unit bedroom count and homebuyer/tenant income level. In the leveraged financing analysis, described in Section 7.0 below, we model the renter housing prototype assuming use of the Low Income Housing Tax Credit and tax-exempt bond programs. 3.2 Target Income Levels The affordability gap analysis uses income limits as commonly defined by HUD, California Redevelopment Law, California Housing Element law, and most affordable housing assistance programs. Extremely low income households are defined as households with incomes up to 30 percent of AMI. Very low income households are defined as households with incomes from above 30 percent to 50 percent of AMI. Low income households are defined as households with incomes from above 50 percent to 80 percent of AMI. Moderate income households are defined as households with incomes from above 80 percent to 120 percent of AMI. All of these income limits are adjusted by household size using HUD family size adjustment factors. The affordability gap calculations are based on the 2007 median household income of $78,700 for Orange County. City of Tustin Affordability Gap and Leveraged Financing Analysis Page 9 Table 4 Owner Honing Prototype Projects City of Tustin 2008 owner 1 Owner 2 Owner 3 Owner 4 Stacked Flat High L�ensflY _ Mined Use, arr COUNT 234 Units 325 Unks 400 Units 20 Units R3 PC C2 P )NTNG UMBER OF STORIES 2.5 Stories 2 Stories 4 Stories 3 Stories Q Stories Resid.) OWTRlJCT10NTYPEN� � YPe Wood Frame V Wood Frame Type v Wood Frame me ENSITY (DU'S/Acre) . 18.0 25.0 45-50 29.0 LOOK AREA RATS (FAR) 0.5 0.7 1.5 1.5 AAREA (Acres) ND 13.00 Acres 13.00 Acnes 8.00 Acres 0.69 Acres WITS BY OR COUNT One Bedroom 0 75 100 100 125 4 6 Two Redroom `90 0 954 100 125 10 Three Bedroom Four Bedroom 50 50 0 JNIT SIZE (let Squue Fee6 950 i ppp 1.100 One Bedroom 05 1,300 1,050 1,150 1.400 Two Bedroom 1, 00 1,650 1,750 Three Bedroom 1,700 1,50000 1,800 WA Fahr Bedroom 1,296 1,142 1,350 1,515 Averap � Feet BLDG. SQ. x,300 371,250 5 0000 30000 Net Lir�Area 2,500 2,000 Com SMS TOW Net Bldg. Square Feet 305,800 373,250 540,000 30,300 TYPE OF PARKING Garage Carport Parking Sinxture Garage No. OF PKG. SPACES 0 0 40 Carpoorrt 468 0 650 010 59 100 Opp 0 0 700 0 Structure Parkir� 527 732 800 50 TOTAL SPACES City ofTUsfin Pig* 10 Affordability Cap and L*va�aged Financing Ati[yds Table ! Real Houshl hwahPa city of Ttatin 2008 City of 7laUn Atfor"lky Gap end hanged FimvrJng Amipb Rants Proaeype Sucked Flat Aparmmul UNIT COUNT 325 Unit TYPE OF PRODUCT %dW Flats ZONING R3 NUAaER OF STogM 2 CONSTRUCTION TYPE Tfle V Wbod Frame DEN9TV (DUWAere) 2S.0 FLOOR AREA RATIO (FAIq LAND AM (Acrq► 13.00 Acres UNITS BY BR COUNT Ona Bedrooa 73 Two Bedroom 100 Ifiree Bedroom 100 Fow tlad►oa SO Marino" Unlh cr" fesboors) 2 UNIT SIZE (Net 11quam r -O Orm Badrelom 750 1Mo Bed rom 950 Tfirw Bedroom 1,050 Four fadrom .1,250 AWW Square feat 982 KDG. 54 PET.? Not UWngArn 319,150 CWWWASKY Spam Square!eet 3191 50 TYPE OF PARKING Parkins Structure NO OF PARIONG SPACES CMV 0 Carport 0 open 81 Parking Structure 650 TOTAL SPACES 731 City of 7laUn Atfor"lky Gap end hanged FimvrJng Amipb 3.3 Affordable Housing Cost Definitions Calculation of the affordability gap requires defining affordable housing expense for renters and owners. Table 6 shows the affordable housing cost definitions and income levels developed for this analysis based on discussions with City staff and consistent with California Redevelopment Law. Affordable housing expense for renters is defined to include rent plus utilities. For owners, affordable housing expense is defined to include mortgage principal and interest, property taxes and insurance, utilities and homeowners association (HOA) dues. Table 6 Affordable Housing Cost Definitions City of Tustin income Level of Occupants Extremely low income (30% of AMI and below) Very low income (greater than 300/6 to 509/6 of AMI) Low income (greater than 500/6 to 809/6 of AMI) Moderate income (greater than 800/6 to 120% of AMI) AMI = Area Median Income 3.4 Occupancy Standards Not Analyzed 300/6 of 50% AMI 30% of 60% AMI 309/6 of 110% AMI Not Analyzed 30% of 50% AMI 300/6 of 700/6 AMI 35% of 110% AMI Because income definitions for affordable housing assistance programs vary by household size, calculations of affordable rents and affordable owner housing costs require the definition of occupancy standards (the number of persons per unit) for each unit size. For the purposes isaffordable cost d owners lth basedn an ocupan y standard oone person per bedroom plus one, consistent w California Redevelopment Law requirements. City of Tustin Page 12 Affordability Gap and Leveraged Financing Analysis 3.5 Utility Allowances Allowable affordable net rents are calculated by subtracting allowances for the utilities paid directly by the tenants from thegross rent (or affordable housing cost). For owners, the affordable mortgage principal and interest payment is calculated by determining the affordable housing cost and deducting costs for property taxes, property, insurance, utilities and HOA dues. We incorporated utility allowances effective October 1, 2006 provided by the County of Orange, Housing and Community Services Department, summarized in Table 7 below. The rental gap analysis assumes that the resident pays utilities (assumed to include basic electric and electric heatingg,, cooking and water heating). It assumes the landlord pays for trash, water and sewer. or the owner gap analysis, we assume the homeowners utilities (basic electric and electric heating, cooking and water heating), plus water, trash and sewer. Actual utility allowances depend upon a variety of factors, including the utilities that are paid by the residents (e.g., water, gas, electricity, sewer, trash), the of appliances and heating units incorporated in the units, and whether a liances andVe electricity or gas. PP d heating units require City of Tustin Affordability Gap and Leveraged Financing Analysis Page 13 Table 7 Current Monthly Utility Allowances County of Orange Housing and Community Services Renter Households Bedroom Size Monthly Utilily Allowance' 1 Bedroom $54 2 Bedroom $68 3 Bedroom $98 4 Bedroom $109 Owner Households Bedroom Size 1 Bedroom Monthly Qtili Allowance2 $93 2 Bedroom $110 3 Bedroom $148 Source: County of Orange, Housing and Community Services, effective October 1, 2006. 3.6 Affordable Net Rents and Affordable Monthly Housing Cost Table 8 summarizes the affordable net rents used in the renter gap analysis. Table 9 summarizes the affordable housing costs used in the owner gap analyses. 1 includes electric utilities (heating, cooking, water heating and basic electric). 2 Includes electric utilities (heating, cooking, water heating and basic electric) and water, trash and sewer. City of Tustin Affordability Gap and Leveraged Financing Analysis Page 14 Table 8 Affordable Net Rents' City of Tustin 2008 "mt aize Very Low (No. of Bedrooms) 50% AMI 4 l7 Low . jModerate 80% AMI ZO%AMI Table 9 Affordable Monthly Housing Cost 2 City of Tustin 2008 v„ra aloe I Very Low (No. of Bedrooms) 50% AMI 3 Low. Moderate 80°/6 AMI 120% AMI 1.1 77 72 US. Department of Housing and Urban Development published 2007 very, low income limits, adjusted Proportionally for 6086 of percentage of AMI category. Gross rents are calculated assuming an occupancy standard of 1 person per bedroom plus one, consistent with Califomia Redevelopment Law. Net rents are calculated assuming 30% of gross income spent on rent and then deducting the utility allowances from Table 7. 2 California Department of Housing and Community Development published 2007 low and median income limits. Owner affordable housing costs are calculated assuming an occupancy standard of one person per bedroom plus one and 30% of gross income spent on housing for low income households and so of gross income spent on housing for moderate income households. The Affordable Monthly Housing Cost includes the monthly mortgage payment, property taxes, property insurance, utilities and HOA dues. City of Tustin Affordability Gap and Leveraged Financing Analysis Page 15 4.0 Development Costs Development costs include: land acquisition, hard costs, hard cost contingency, on- and off-site improvements, development fees, soft or indirect costs, financing costs, sales/marketing, and developer profit, overhead and general conditions. Hard costs include building and parking construction costs. Soft or indirect costs include architectural and engineering costs, property taxes and insurance. Development costs for the renter and owner prototypes were estimated based on a review of land sales comparables, interviews with local Tustin area developers and DRA's extensive experience with housing development throughout Southern California. 4.1 Developer Interviews, Rental Housing Development The following developers and advisors were interviewed regarding rental housing development costs: Laura Archuleta, jamboree Housing Jerry Trimble and Michael Wong, Keyser Marston Associates 4.1.1 jamboree Housing jamboree Housing provided DRA with development cost summaries of 48 recent bids on 14 new housing projects in the Tustin area. Thirty-four of these bids relate to 10 garden - style, or stacked -flat walk-up rental projects with carports. The projects range from 20 to 162 units with unit densities between 38 and 71 units per aue. Every site is unique representing different development costs and jamboree's 14 projects' bids represent a wide range of costs. This range can be explained by a number of factors including the sites' unique conditions and the projects' timing, which can vary costs based on cost fluctuations in the market In addition, about half of jamboree's bids assume payment of prevailing wages. Of jamboree's non -prevailing wage bids, the hard costs range from $94 to $185 per square foot, with the average cost at $155 per square foot The average hard cost of the prevailing wage bids is about 22 percent higher at $198 per square foot. jamboree's remaining 14 bids relate to five podium style projects, or stacked flat apartments over parking with densities ranging from 40 to 64 units per acre. The hard costs, inclusive of parking construction, for the non -prevailing wage bids range from $171 City of Tustin Affordability Gap and Leveraged Financing Analysis Page 16 to $342 per square foot for this product, with the average cost at $239 per square foot. The prevailing wage bids average $270 per square foot hard construction costs. Five of these bids include land cost estimates that range from $21 to $79 per square foot. The average land cost is $43 per square foot. 4.1.2 Keyser Marston Associates (KMA) KMA prepared a residual land value analysis for Tustin Legacy, includingdevelopment cost estimates for several different development roto opment do not Include land costs or site improvements. For an apartment project, with 30 dwelling units to the acre, KMA estimates $165 per square foot in hard costs and soft costs equal to 18.5 percent of hard costs. 4.2 Developer Interviews, Owner Housing Development The following developers and advisors were interviewed regarding owner housing development costs: • Tom Sakai, Springbrook Advisors • Scott Young, Nevis Homes • Scott Newcomb, The Olson Company • Jerry Trimble and Michael Wong, Keyser Marston Associates • Justin Rimel, CIM Group • Tom Grable, William Lyon Homes • Ian Vickers, Sun Cal Companies • Steve Kabel, John Laing Homes Below we review the results of these interviews and detail the hard costs that the interviewees have seen in recent housin developments in the Tustin area, especially those developments that are similar to the five prototypes examined in this analysis. City of Tustin Affordability Gap and Leveraged Financing Analysis Page 17 4.2.1 Springbrook Advisors Springbrook Advisors represents Lennar and Lyon Homes on development projects throughout Southern California. In the Tustin area, Springbrook has experience with an owner townhouse project with 13.5 dwelling units per acre. On this project, hard costs were $90 per square foot. Springbrook also advised on a low density, mixed-use project with no parking that had hard costs of $110 per square foot. Another project, a high density owner development with 40 dwelling units per acre and podium parking, had hard costs of $225 per square foot, inclusive of parking and site improvements. 4.2.2 Nevis Homes Nevis Homes has recently developed a 93 -unit townhome project in the Tustin area. Land costs for this project were about $106 per square foot and hard costs were $136 per square foot. 4.2.3 The Olson Company The Olson Company provided DRA with development cost estimates for the four owner prototypes, based on the company's development experience in Orange County. For Owner Prototype #1, Attached Townhomes, Olson estimates $78 per square foot in hard costs. For Owner Prototype 82, Stacked Flat Condominiums with podium parking, hard costs were estimated at $82 per square foot.. Olson also estimates $115 per square foot hard costs and a $21,000 to $27,000 cost per parking space for Owner Prototype 93, High Density Condominiums. For Owner Prototype #4, Mixed Use Condominiums, Olson estimates $85 per square foot hard costs. 4.2.4 Keyser Marston Associates (KMA) KMA prepared a residual land value analysis for Tustin Legacy, including development cost estimates for several different development prototypes. KMA's cost estimates do not include land costs or site improvements. City of Tustin Affordability Gap and Leveraged Financing Analysis Page S For a stacked flat product with 50 dwelling units to the acre, KMA estimates hard costs at $165 per square foot with additional costs of $30 per square foot for parking construction. For a townhouse product with 13 dwelling units to the acre, they estimate hard costs at $96 per square foot. A mixed use, Texas Wrap style project with 75 dwelling units to the acre is estimated to have $119 per square foot hard costs with additional $35 per square foot costs for parking construction. All of KMA's prototypes assume soft costs to be equal to 18.5 percent of hard costs. 4.2.5 CIM Group The CIM Group has developed several mixed use projects in and around Tustin that have ground -floor retail below residential. The costs they have seen on these projects range from $130 to $140 per gross square foot for hard costs, with additional costs of $25,000 per at -grade structured parking space to $35,000 per below -grade structured parking space. 4.2.6 William Lyon Homes William Lyon Homes is currently developing a 102 -unit mixed -income housing project on the Columbus Grove site of Tustin Legacy. This project consists of triplex buildings with two two-story townhomes and an upstairs carriage, or walk-up, unit Of these units, 60 are market rate, 30 are affordable to low and moderate income households and 12 are transitional housing units. The hard costs estimated for this project total $76 per square foot, inclusive of two -car garages within the building envelopes. The land cost for this project was $133,000 per unit or approximately $79.50 per square foot William Lyon Homes is also developing a 156 -unit development of townhomes and flats, with a mix of market rate and affordable units. This project's hard costs are $98 per square foot and- the land cost was $72,600 per unit or $32 per square foot 4.2.7 Sun Cal Companies Sun Cal Companies has experience with several housing products in the Tustin area. Currently, the company is developing two townhome projects in Tustin. These projects have hard casts ranging from $95 to $99 per square foot Site improvement costs vary widely by site and so Sun Cal could not provide an estimate of typical site improvement costs. Sun Cal Companies is also familiar with stacked flat and mixed use developments in the Tustin area. These projects have hard costs ranging from $90 to $110 per square foot, with the higher costs associated with projects that have more than three stories. City of Tustin Affordability Gap and Leveraged Financing Analysis Page 19 According to Sun Cat's experience, high density housing developments built in the wrap design, with buildings surrounding at -grade parking have hard costs around $200 per square foot while those with podium parking have hard costs around $225 per square foot. 4.2.8 John Laing Homes John Laing Homes last developed housing in Tustin two years ago but has several current projects in Irvine. These include a row townhouse development with a density of 16.5 units per acre, and two townhouse and condominium flats combination projects at 17.5 and 16.3 units per acre. The row townhouse project has hard costs of $82 per square foot. The two townhouse and flat combination projects have hard costs of $84 and $87 per square foot. In Irvine, developers are most commonly purchasing partially -finished lots, according to Mr."Kabel. Therefore, the land costs for these projects would not be comparable to buying unfinished lots for development in Tustin. 4.3 Land Acquisition Costs Harris Realty Appraisal prepared an Appraisal Re rt for the City of Tustin, Community Facilities District No. 66-1, Tustin Legacy/Columbus Villages in May 2007. Of the 16 Tustin Legacy land sales analyzed in the appraisal, four parcels have comparable housing type and density to the Owner Prototype 1 examined in this study. The and prices and density of these parcels are shown m Table 10 below: Table 10 Tustin Legacy Comparable Land Prices City of Tustin 2008 Land Sale Data Land Cost, per square foot Lot Density, units per gross site acre No. 1 $53 / SF 16.6 units/acre No. 6 $46 /SF 16.3 units/acre No. 9 $47 /SF 16.2 units/acre No. 9A $33 /SF 16.2 units/acre Average $45 /SF t_16.3 units/acre City of Tustin Affordability Gap and Leveraged Financing Analysis Page 20 Based on the above interviews and land cost comparables, DRA estimates per unit and per square foot land costs for the various housing product types represented by the housing prototypes. The land acquisition cost assumptions are shown in Table 11. Table 11 Per Unit Land Acquisition Cost Assumptions by Prototype City of Tustin • 2008 Prototype Land Cost Per Dwelling Land Cost Per Sc Owner all Unit Cross Site , Attached Townhome $109,000 $45 Owner #2 Stacked Flat Condominiums $75,000 $43 Owner #3 High Density Condominiums $52,000 $60 Owner #4 Mixed Use Condominiums $90,00 $60 Renter 0'1 Stacked Flat Apartments $70,000 $43 Source: Dataquick Information Systems; City of Tustin; DRA interviews of Tustin area developers. 4.4 Development Impact Fees Development impact fees for new residential development in the City of Tustin include Orange County Sanitation District fees, East Orange County Water District fees, Transportation Corridor Agency fees, Tustin Unified School District fees, and building permit and plan check fees. Current fee estimates for each housingprototype provided by the Tustin Community Redevelopment Agency and the Cm niity Development Department Planning Division. Estimates of the development impact fees for the housing prototypes are detailed in Table 12 for the owner prototypes and Table 13 for the renter prototype. Fees for Owner Prototype #4, Mixed Use Condominiums, include only those that are applicable to the residential portion of the development. For those fees that are assessed project -wide, th residential use. e fees are pro -rated based on the proportion of the total project that is dedicated to City of Tustin Affordability Gap and Leveraged Financing Analysis Page 21 T" 12 DevdoPment Procemping and M"d Fee AsoaeaPlioae Owner Homing Prototypes MY o(lhdia 2008 prototype S4. Prototype 11: Projogps 02: Prototype 03: G "d b Use Floor Attached Stacked Flat H%h Density _ tgs County Sanitatbn DkWct Orange Canty VWaw Dhtrict jNWOW ChnWOM MAP, VI yWQM1Pe6, ale PLrd MP c krpovenrado r Quelhy McMgemert PIM M Gmft Plan Design Review Ur"WT"4 My Final Mad MIF cordRional Use Pwmk Flwkonrcretx impact Rq)ot Fee Negative Dee)arad. Precbe Caarj Asmtit Feu Public inprwiWWM tvrrtk Fees Now Conwoctton Fee Bulldbrg F*mk Fee Planting Plan Check Fee SuUdin "M Check ptmutg kupecdon FeO Building kuuanoe Pee swan! Motion kwounrettattrr Program Fee s bactrW Ptsrrrr8 Fee M&dm"W par rld Foe MadwdW PWr Cheek Fee P'kwrb ng Penni! NO Plumbing Plan CbO& Fete Fee usdn Unified Scholl Dbtrkt 2 QuwAby jUsftTr�� wv*n 5yMn hPwwnwO S 1,026,018 $1,2%%25 il,s/u,.aw $117,000 $162,500 $200.000 $1 759 564$1,054,950 $1.900 St 98 400 1,902, 582 13 475 700 U $14,000 $14,000 $t2 M %AIM S6A00 $6,000 ' e» min 318100 S15, $0 51,320 $3AW $3,000 $1,980 $3,000 $3,000 $1.900 $1,335 $1,335 $881 $0 $0 $15,791 $1,333 $C St $$64,100 51^/w 5 $7 $113,969 53,3 564,659 $9, ,� $11,054 $1519% $476 $45,401 $55,266 $79,778 $2,378 $12,972 $15,791 $2Z794 $35 u $3,116 $4,532 $182 $32,415 522,415 $22,415 S14,794 $10,460 $15,791 $18,550 $655 $5, $7,895 59,273 X{33 $330 $33,336 $35,733 $43 453 $ $16,668 $17,867 $22,726 $565 $33,300 523.E $14,480 $1,465 12,050,308 S2,509,650 S3,60,400 5135,18E 2,601,464 5 3,956,862 S 6,793,360 $282,M __ ..I c, ,tin Ann 1110581 (1) Includes fees associated wtth residendai qortlan d drA40 rot only. Far fees auftvW Per per, cAcukstlons aurxrte residertlal Pat[ on of project Is: 66% of lel. Sources Qty o(TUOjn Cammmity DmWpwt Platuting DWbion,TLstln Canmunity Re&-)°Pment Apnc, city of Tustin Public 1NodadErth> "aft Depen(! David Anil Roust & Msoclatft Ory d TUMM Pap 22 Table 13 DevelORTIent Processing and Impad Fee Assurnptiona Rental Housing Prototype City of Tustin 2008 Rental Prototype !1: Stacked Fiat Number of Unto no Orange County Sanitation District 325 Units East Orange County Water District 1,133,154 Rnportation Corridor $162,500 Subbed- $613,925 Design Review (Tentative Map, study, preliminary $ 1,909,579 Anal Mop plan) $14,000 pubik WVMVWnW* $6,000 Water By Managwwt Plan $18,000 $$.000 Precbe'Gradhtg Plan $12,000 Fla,tn a Irmection s rPwSarv►cei $10,000 $65,000 � A�eerrtet>< Design Review $tl $3,000 TenatfveThma Map $0 FkW 7Fact Map Conditional Use Powdt $0 EnvkWment knpact Report fee $0 $1,333 Neptim Declaration $0 Precise Grading Permit Fees $9,060 Public Improvements Permit Fees $9,060 New Construction Fee Buliding Permit Fee $158,950 Planning Plan Check Fee $60,677 Buikfing Plan Check $8,495 PiannMg Inspsuiorn Fee $41,474 Buiiding issuance Fee $12,135 Strang Motion Insa mentation Program Fes $35 2,$35 S 377 EleGdcal Permit Fee $$2,415 Med micas Parr * Fee $12,188 Mechanical Plan Check Fee $6,094 Plumbing Permit Fee $28,268 Plumbing Plan Check Fee $28,268 Orange County Fire Authority Inspection Fee ,134 $18,100 Tustin Unified School District Fees' Level 2 $2,1S7454 Quimby Fee ;3,956,882 Tustin 7 tem ImprovementProgram 82 Subtotal $0,3 729 Total .4"0 31513 Q88 A Pier Unit Source:. City of 7lrstln Community De% elopment Department Planning Division, Tustin Community Red"opment Agency, City oflLstin Public Works/Engirteering Department, David Paul Rosen & Associates. Qty of Tustin AHondability Cap and leveraged Finar►cittg Analysis Page 23 4.5 Hard Costs and Site Improvement Costs Hard costs are estimated based on the information obtained through developer interviews, as described above. Hard costs include residential building and parking construction costs, inclusive of contractor profit and overhead, expressed per net square foot of residential building area and do not include site improvement costs. Hard costs will vary with the level of finishes provided in the units. The prototypes modeled represent more basic, entry-level products rather than luxury units. Site improvement costs are estimated per square foot of site area. On- and off-site improvement costs can also vary widely depending upon the extent of existing infrastructure and unique site conditions. For the affordability gap analysis, we model the prototypes assuming a market -rate development. This analysis illustrates the economic gap between the cost of a market -rate unit and the amount households at various income levels can afford to pay for housing. Therefore, the hard cost assumptions for the gap analysis do not assume payment of prevailing wages. However, to the extent the gap is filled with many forms of public subsidy, then the payment of prevailing wages may be required. The difference in hard costs associated with prevailing wages is estimated at 25% for the rental prototypes in the leveraged financing analysis in Section 7.0. The per square foot hard cost and per unit site improvement cost assumptions used in the gap analysis for each prototype are presented in Table 14. The hard costs are inclusive of parking construction. City of Tustin Affordability Gap and Leveraged Financing Analysis Page 24 Table 14 Per Net Square Foot Hard Construction Cost Assumptions by Prototype City of Tustin 2008 Prototype Hard Construction Cost Per Average Site Improvement Net SF 8uildin Area Cost Per Net SF Site Area Owner 1 Attached Townhome $95 $25 Owner #2 $85 $20 Stacked Flat Condominiums Owner #3 $195 $30 High Density Condominiums Owner #4 Mixed Use Condominiums $155 $20 Renter #1 $155 $20 Stacked Flat Apartments Sour Dec RA interviews of Tustin area developers. 4.6 Estimated Total Prototype Development Costs Total development costs, as defined for the purposes of this report, equal the sum of the hard costs, site improvement costs, soft costs, sales/marketing costs, financing costs, general conditions, developer overhead and profit. Hard costs include building and parking construction costs. Soft costs include architectural and engineering costs, property taxes and insurance. General conditions include items such as the trailer, utilities, security, supervision and material storage, if any, associated with the job site. Developer overhead and profit refers to the fee the developer charges for constructing the project, including the administration costs and the developer's profit. Minimum developer profit is estimated at 12% of total development costs, based on DRA experience and input from developers and the Building Industry Association. This level is considered a baseline profit or "hurdle rate," representing the minimum necessary for the City of Tustin Affordability Gap and Leveraged Financing Analysis Page 25 deal to proceed. Developer overhead is estimated at 4% of total development costs. Developer overhead cost line items typically represent a larger percentage of costs on small projects than larger projects. For market -rate owner housing, developer profit is typically measured as a percentage of gross sales revenues (typically 7 — .9 percent), rather than total development cost. However, this measure dies not work well with affordable homebuyer units, where the affordable purchase price is often well below total development cost. In DRA's extensive experience with first-time homebuyer programs throughout California, developer profit and overhead for affordable homebuyer developments is typically measured as a percentage of total development cost, usually around 15%. For market -rate rental housing, developer return is commonly measured using a discounted cash flow analysis, which takes into account the annual net cash flow and the. ultimate sales proceeds to the project developer/owner over the term of ownership. However, the net cash flow and sale value from affordable rental units is severely constrained by the restrictions on rents. For affordable rental housing, the return to the developer typically comes in the form of a developer fee, which is calculated as a percentage of total development cost For example, the Low Income Housing Tax Credit program used to subsidize affordable rental housing limits developer profit and overhead to 15% of total development cost Total development costs for the prototypes are presented in Table 15 for the owner prototypes and Table 16 for the renter prototype. The key development cost assumptions used in the analysis are specified in Table 17 and Table 18, referenced below. 5.0 Operating and Financing Cost Assumptions 5.1 General Operating Costs, Rental Prototype Annual operating costs are estimated at $3,600 per unit for the gap analysis, excluding property taxes and reserves, based on interviews with local apartment owners and property managers and DRA experience with rental housing developments throughout Southern California. DRA assumes annual property taxes at 1.20 percent of estimated total development costs. A vacancy allowance of 3% for 'affordable units is deducted from rental income to compensate for the landlord's potential loss of rental income when units become unoccupied, particularly when tenants move before a new tenant is found. City of Tustin Affordability Gap and Leveraged Financing Analysis Page 26 Table 15 Estimated Prototype Development Costs Owner Housing Prototypes City of Tustin 2008 Owner 1 Attached Owner 2 Stacked Flat Owner 3 High Density Owner 4 Mixed Use, 7ownhome Condominium Condominium Ground Floor Gross Site Area in Acres No. of Units 13 000 13.000 8000 Parking Spaces 234 325 400 Net Square Feet Living Area 527 303,300 732 371,250 800 Community Space SF 2,500 $197,862,713 540,000 Total Net Square Feet Residential 305,800 1,000 373,250 0 Percent Residential 100% $366.41 540,000 Total Gross SF Bldg. Area 305,800 1000/0 373,250 100% 540,000 Land Acquisition Costs Site Improvements Building/Parking Hard Costs Hard Cost Contingency Arch./Eng./Constr. Supervision City Development Impact/Processing Fees Construction Loan Fees Construction Interest Environmental Phase I Soils Testing Property Taxes Insurance Sales Commissions Selling/Closing Costs Developer Overhead Developer Profit TOTAL PROJECT COST PER UNIT PER NET SF TOTAL COST, EXCLUDING LAND PER UNIT PER NET SF City of Tustin Affordability Gap and Leveraged Financing Analysis $25,482,600 $14,157,000 $29,051,000 $2,160,400 $1,296,240 $7,404,546 $919,647 $6,644,448 $7,500 $40,000 $259,248 $1,296,240 $1,061,937 $5,409,687 $4,327,750 $8,655,499 $24,350,040 $11,325,600 $31,726,250 $2,152,593 $1,291,556 $9,514,995 $928,754 $6,710,244 $7,500 $40,000 $258,311 $1,291,556 $1,092,651 $5,463,256 $4,370,605 $8,741,209 $20,908,800 $10,454,400 $1,05,300,000 $5,787,720 $3,472,632 $15,937,526 $1,859,558 $11,457,346 $7,500 $40,000 $694,526 $3,472,632 $2,187,715 $10,938,576 $8,750,861 $17,501,721 0.689 20 50 30,300 0 30,300 66% 45,909 $1,188,000 $396,000 $4,696,500 $254,625 $152,775 $750,609 $106,483 $2,516,665 $7,500 $20,000 $30,555 $152,775 $125,274 $626,371 $501,097 S 1.007 1 QA $108,193,743 $109,265,118 $218,771,513 $12,527,424 $462,366 $336,200 $546,929 $626,371 $353.81 $292.74 $405.13 $413.45 $82,711,143 $84,915,078 $197,862,713 $11,339,424 $353,466 $261,277 $494,657 $566,971 $270.47 $227.50 $366.41 $374.24 Page 27 Table 16 Estimated Prototype Development Costs Rental Housing Prototype: Stacked Flat Apartments City of Tustin 2008 Acres Number of Units Parking Spaces Net Square Feet Living Area Total Net Square Feet Ratio Net/Gross SF Total Gross Square Feet Building Area Land Acquisition Site Improvements Building/Parking Hard Costs Hard Cost Contingency Archictecture(Engineering/Constr. Supervision Development Impact and Processing Fees ALTA Survey Environmental Phase I Soils Testing Construction Loan Fees Construction/Lease-Up Interest Property Insurance Property Taxes During Construction Construction Loan Title and Closing Appraisal Fees Market Study/Consulting Marketing/Lease-Up/Start-Up Developer Overhead Developer Profit Total Project Costs Total Cost Per Unit Total Cost Per Net Square Foot TOTAL COSTS, WITHOUT LAND TOTAL COST PER UNIT TOTAL COST PER SQUARE FOOT Source: David Paul Rosen & Associates Renter Prototype Stacked Flat Aparbnents 13.000 325 731 319,150 319,150 100% 319,150 $24,350,040 $11,325,600 $49,468,250 $3,039,693 $4,255,570 $8,315,308 $3,000 $7,500 $10,000 $456,065 $3,095,367 $607,939 $364,763 $15,000 $10,000 $30,000 $25,000 $100,000 $4,794,504 $9,589,008 $119,862,606 $368,808 $375.57 $95,512,566 $293,885 $299.27 City of Tustin Page 28 Affordability Gap and Leveraged FinandngAnatysis 5.2 Financing Costs Financing costs vary according to the amount of equity invested, the term of the loan, the annual interest rate, and, in the case of ownership projects, mortgage insurance rates. For the purposes of this gap analysis, the amount of the first mortgage for the rental prototype is assumed to be the amortized debt that may be supported by tenant net affordable rents. The balance of project financing is the affordability cost or gap. Loan pricing is typically pegged to the LIBOR plus a spread that varies depending on the lender, the creditworthiness of the borrower, and financial market conditions. The LIBOR is currently at a near -historical low of 3.14%. Because this analysis is part of a 5 -year plan, we assume a construction loan interest rate of 8.5% and a permanent loan interest rate of 8.09/6 to account for potential future rate increases during the planning period. With the renter prototype, we assume a conventional construction loan during construction. The construction loan is calculated based on a loan -to -cost ratio of 75% and an average loan balance of 600%. DRA has assumed an 8.5% -construction interest... rate and a 1.0% construction loan fee. The construction and lease -up period is assumed at 15 months for the renter prototype. We use an 8.09/o permanent loan interest rate for the rental prototype. For the owner prototypes, the maximum supportable construction loan is calculated based on a loan -to -cost ratio of 85% and an average loan balance of 600/6. DRA has assumed an 8.5% construction interest rate and a 1.0% construction loan fee. The construction period is assumed at 12 months and the sales period at 3 months. For the owner prototypes, DRA assumed homebuyer mortgages based on an effective interest rate of 8.0% (combined loan interest and mortgage insurance where appropriate). We assume a 5% downpayment on the owner prototypes. The assumed interest rates are higher than current rates due to the five-year planning period for the Affordable Housing Strategy. Development cost and financing assumptions for the owner and renter prototypes are summarized in Table 17 and Table 18, respectively. 6.0 Per Unit Affordability Gaps For the rental housing prototype, the gap analysis calculates the difference between total development costs and the conventional mortgage supportable by net operating income from restricted rents, based on the above assumptions. For owners, thegap is the difference between development costs and the supportable mortgage plus the buyer's down payment. City of Tustin Affordability Gap and Leveraged Financing Analysis Page 29 Table 17 Development and Financing CostAsgaopgons Ownv Hasing holotypes City ofTustin 2008 Note: TDC -ToW Development COM (1) As a percentage of directtosts (she irnpmvemum and and building shelf hard costs). Source: David Paul Rosen & Associatim Cityo(UUn Pale 30 ANmdabitity Gap and Lnrrera* FinancW4 Analysis Owner 1 Owner 2 Owner 3 Owner 4 Mixed Use, Attached SUKW Fiat High Density Ground Floor Townho ne Condominium Condominium Retail Laod AcpWtbn Cost Land Cost Per Gross SF Site Area 545.00 $43.00 $60X0 $60.00 LOW Coot Per Unit $109,000 $75,000 $52,000 $90,000 DevebimmW Caft Sita knprovernart Comb per Na SF $25.00 $20.00 $30.00 $20.00 Sita Irnprovemenu Cols per Unit ;61,000 $35,000 $26,000 $20,000 Unk Hard Car gnjcd o per SF 595.00 $85.00 $193.00 $155.00 Hard Coot Contingency (1) 5% 5% 5% 5% AndtllectwaifflaWneming(1) 3% 3% 3% 3% 'Pro*WTaxes During Coristrudiun (1) 0.60% 0.60% 6.6M 0.60% inwraraoe During Congru tion (1) 3.00% 3X0% 3.00% 3.00% Sel inliptloing Coit (%TDO 5.00'X. 5.00% 5.00% 5.0096 Sales Commissions (%TDQ 1.00% 1.00% 1.00% 1.0096 Developer mal Conditions (%TDQ 4.00% 4.00% 4.00% 4.00% Developer Profk (96 TDQ 8.00% 8.00% 8.00% 6.00% Coantrocom loan Consbuction Loan % of TDC 85.00% 85.00% 85.00% 85.0096 Construction loan Amt. $91,964,681 $92,875,351 $185,955,786 $10,648,310 interest Rabe 8.50% 8.50% 8.50% 850% Loan Rms 1.00% 1.00% 1.00% 1.00% Average Loan 60.00% 60.00% 60X0% 60,00% Consruction Period 12 Months 12 Month 12 Months 12 Month Sale period 3 Months 3 Montht 3 Month 3 Montht Tota[ Construction Loan Term 15 Month 15 Months 15 Mon" 15 Month Constnrcdon Lout $4,690,199 $4,736,643 $9,483,745 5543,064 Con%truction Loan Infarmil-Ula period $1,954,249 $1,973,601 $11973,601 $1,973,601 Toth Conouefmn Loan Irderest $6,644,448 $6,710,244 $11,457,346 $2,516,665 Construction Loan Points $919,647 $928,754 $1,859,558 $106,483 Note: TDC -ToW Development COM (1) As a percentage of directtosts (she irnpmvemum and and building shelf hard costs). Source: David Paul Rosen & Associatim Cityo(UUn Pale 30 ANmdabitity Gap and Lnrrera* FinancW4 Analysis Table 18 Deve[opmeM and Financing Cwt Assumptions ReBW Prototypes Sdcked Flat Apartmes><t City of Tustin 2008 Renter Prototype Coon loan Stacloed Flat A tmenp Land/Building Aaluisidoo Cast 75.00% Land Cost Pier Gross SF Site Area $43.00 W48ufi ling Cost Per Unit $70,000 Development Cad Awwnpdom $898,970 Site Improvement Costs per SF She Area $20.00 Site Improvement Costs per Unit $35,000 Hard Construction Costs per Net Bldg. SF $15S.00 Hud Cott Contingency (1) 5.00% Arch tecturaUEngi<teering (1) 7.00% Property Tam During Construction (1) 0.60% Insurance During Construction (1) 1.00% MwkednWLeasinli/Start-Up Per Unit $1,000 Developer Overhead (%TDC) AID^ Developer Profit (% TDC) 8.00% Coon loan Constnrction Loan As a % of TDC 75.00% Construction Loan Amok $89,896,955 interest Rate 8.50% Loan Fees (2) $898,970 Average Loan Balance (Constr/Leme- Construction. 60.0096 Period Lease -Up Period 12 Monde TOW Conanx t on Loan Term 3 Months 15 Months ConsWcdon Loan Interest $5,730,931 Fermanent Loan Debt Coverage Rado 125 Mortipge Term 30 years Interest Rate 8.00% h) As a proangp of dhw coo late wpvrsrvnts, paridng wacuxa and buWrvg shall turd cow). (2) At ID% of azubuction loan amount Sourom David Peul Rosen & Associates City Gmstm Affordability Gap and Lwmn gad nnancing Analysis Paget 31 Attachment A contains the per unit affordability gap calculations for the ownership housing prototypes by prototype and unit bedroom count. Attachment B contains the per unit affordability gap calculations for the rental housing prototype by unit bedroom count. 7.0 Renter Leveraged Financial Analysis DRA modeled the renter housing prototype assuming various forms of non -local financing assistance. We examined the following leverage scenarios: 1. 9% Low Income Housing Tax Credits (Federal only)'; 2. 4% tax credits with tax-exempt bonds; and 3. 4% tax credits, tax-exempt bonds, and MHP. The leveraged financing analysis incorporates the assumptions of the gap analysis described above, with a few exceptions. Differences between the gap analysis and leveraged financing assumptions are described below. 7.1 Hard Construction Costs As noted above, the affordability gap analysis evaluates market -rate prototypes and does not assume prevailing wages. Private residential projects built on private property are not subject to prevailing wages unless the projects are built pursuant to an agreement with a State agency, redevelopment agency, or local public housing authority. In addition, certain types of public funding do not necessarily require prevailing wages (for example, tax credits). However, the State of California Department of Housing and Community Development's Multifamily Housing Program (MHP) does require prevailing wages. Therefore, we have assumed prevailing wages for the financing scenario that uses MHP funding. We have increased hard construction costs by 25% as an estimate of the cost differential associated with prevailing wages. 7.2 Eligible Basis and Tax Credit Equity Calculations In calculating eligible basis for the purposes of determining Federal tax credits, we have used 2007 non -elevator threshold basis limits for Orange County. We also used the 1301/6 Since Orange County was a designated Difficult to Develop Area (DDA) in 2007, projects in the County were eligible for a 130% basis boost but not for State tax credits.. City of Tustin Affordability Gap and Leveraged Financing Analysis Page 32 basis boost because Orange County was designated by HUD as a Difficult to Develop Area (DDA) in 2007. We have assumed tax credit pricing of $1.00 for the 9%6 tax credit scenario and $1.05 for the 4% tax credit/bond scenarios. 7.3 Income Targeting Scenarios, Occupancy Standards and Affordable Rents The leveraged financin* alternatives analyzed require specific income targeting for a Project to be competitive. We have modeled the highest income profile to score maximum points when competing for these financial resources under each scenario. The income targeting under each source is summarized in Table 19 below. For more information on each of these financing sources, see DRA's report entitled Affordable Housing Assistance Programs, presented under separate cover. The California Tax Credit Allocation Committee (CTCAC) requires affordable rents to be calculated assuming an occupancy standard of 1.5 persons per bedroom. If Redevelopment Agency funds are used to finance the project, the California Health and Safety Code occupancy standard of one person per bedroom plus one applies. This City of Tustin Affordability Gap and Leveraged Financing Analysis Page 33 Tablet 9 Income Targeting Assumptions for Leveraged Financing Scenarios City of Tustin Income Targeta:M, Leveraged Financing Source/Scenario AssumptionsAverage (% of Units at %d Affordability on Income Targeting Median )ncom Area Median Income 9% Low Income Housing Tax Credits 10% of units 0 309'6 AMI 47% AMI 15% of units ® 45% AMI 75% of units Q 50% AMI 4% Low Income Housing Tax Credits, Tax -Exempt Bonds 30% of units ® 50% AMI 7U% 57% AMI of units ® 600/6 AMI 4% Low Income Housing Tax Credits, Tax -Exempt Bonds, 30% of units ® 30% AMI 70% of units ® 60% AMI 51 %6 AMI and MHP Source: David Paul Rosen & Associates The California Tax Credit Allocation Committee (CTCAC) requires affordable rents to be calculated assuming an occupancy standard of 1.5 persons per bedroom. If Redevelopment Agency funds are used to finance the project, the California Health and Safety Code occupancy standard of one person per bedroom plus one applies. This City of Tustin Affordability Gap and Leveraged Financing Analysis Page 33 analysis therefore calculates household size using the lesser of the two occupancy standards, or the lesser of 1.5 persons per bedroom and one person per bedroom plus one. 7.4 Operating Costs and Vacancy For the leveraged financing analysis, annual operating costs are estimated at $3,600 per unit and annual reserve deposits are estimated at $400 per unit, based on DRA's experience with affordable housing development and operations in Orange County and throughout Southern California. We assume an annual property tax rate equal to 1.2 percent of total development costs. For the leveraged financing analysis, we have assued a vacancy rate of 5%, consistent with the requirements of most leveraged financimng sources, even though actual vacancy in well-run affordable housing developments are often 3% or less. Table 20 summarizes the construction and permanent sources and uses for the Renter Prototype under the leveraged financing scenarios examined. To make this financing scenario feasible, the permanent and financing gap required would have to be filled by other subsidy sources, namely local housing resources. In addition, for the 9% tax credit scenario, the rental prototype would have to be built in four phases, to comply with the current limit of $2 million in federal tax credits per project under the 9% tax credit program. There is also a 150 -unit size limit under the 9% tax credit program. The tax- exempt bond scenario without MHP would have to be built in two phases, to comply with the current bond limit of $30 million per project With MHP, the tax-exempt bond scenario would have to be built in three phases, due to the higher costs associated with prevailing wages, which are required under MHP. The leveraged financing analysis is detailed in Attachment C for the Renter Prototype. City of Tustin Affordability Gap and leveraged Financing Analysis Page 34 Table 20 Construction and Permanent Sources and Uses Leveraged Financing Analysis Rental Housing Prototype: Stacked Flat Apartments City of Tustin 2008 Number of Units Acres Units/Acre SOURCES OF FUNDS CONSTRUCTION Tax Credit Equity Construction Loan MHP (1) Affordable Housing Program (AHP) (1) Temporary Gap Financing Required (2; TOTAL SOURCES PERMANENT Federal Tax Credit Equity State Tax Credit Equity MHP (1) Affordable Housing Program (AHP) (1) Permanent Financing Gap Financing Required TOTAL SOURCES Permanent Gap Financing/Unit USES OF FUNDS CONSTRUCTION AND SOFT COSTS TOTAL COST/UNIT FUNDING SCENARIO 9% Tax Credits 4% Tax Credits 4% Tax Credits, Tax Exempt Bonds Bonds, MHP 325 325 325 13.00 13.00 13.00 25.00 25.00 25.00 $1,601,192 $813,772 $951,186 $93,857,236 $59,393,300 $67,161,024 $0 $0 $22,609,147 $1,625,000 $1,625,000 $1,625,000 $17,317,865 $48,263,749 $31,205,104 $1114,401,293 $110,095,822 $123,551,461 $80,059,618 $40,688,609 $47,559,315 $0 $0 $0 $0 $0 $22,609,147 $1,625,000 $1,625,000 $1,625,000 $14,207,327 $22,245,144 $16,145,037 $18,509,348 $45,537,069 $35,612,962 $114,401,293 $110,095,822 $123,551,461 $56,952 $140,114 $109,578 $114,401,293 $110,095,822 $123,551,461 $352,004 $338,756 $380,158 (1) Estimated at $5,000 per unit. (2)Equals temporary gap financing required after assuming 2 percent of total tax credit equity is used to fund construction and soft costs during construction. Source: David Paul Rosen & Associates City of Tustin Affordability Gap and Leveraged Financing Analysis Page 35 Table A-1 PER UNIT PROTOTYPE DEVELOPMENT COSTS BY BEDROOM COUNT OWNER PROTOTYPE 01 QTY Of tMIN Prototype Description: AttacbedTownhome Total Namber of Uniht 234 Unlb Total Coen (6cceo Land and Ombw d/Proffti Land Cosb $108,900 /DU Dox. FeNPrvit & Overlwad 12% Total holed Cosh Per Dwelling Uok (1) Assumes efficiency mW 094=5 SF) of: Source: David Paul Rosen & Assoclatns. 2 Bedroom 3 Bedroom 4 Bedroom 1,050 Net S.F. 1,300 Net S.F. 1,700 Net S.F. 059Total S.F. (i 1 311 Tota! S.F 1 1.714 Total S.F. (1) $60,500 5601500 $60,500 $108,051 $133,778 $174,940 j168,SS1 $194,278 $235,440 101% $31,643 $31,643 531,643 $72,457 $72,457 $72,457 $272,652 $298,378 $339,541 $108,900 $108,900 $108.900 $52,0301 $55,5381 $61,1S1 $433,5821 $462,8161 $509,592 City ciTurtin Puce M1 Affordabll4aver4 y Gap and LW FjTwic ng Analysis Hard Cordon Cosb Slee improvenenm $60,500 /DU UnitlPar" Constr. Costs $102.06 /Cr. S.F. Total Hard Cob Dewhip Tw"t Impact and PwAsft Fen $31,643 /UnFt Indirect/Soh Cosb $72,457 /DU Total Coen (6cceo Land and Ombw d/Proffti Land Cosb $108,900 /DU Dox. FeNPrvit & Overlwad 12% Total holed Cosh Per Dwelling Uok (1) Assumes efficiency mW 094=5 SF) of: Source: David Paul Rosen & Assoclatns. 2 Bedroom 3 Bedroom 4 Bedroom 1,050 Net S.F. 1,300 Net S.F. 1,700 Net S.F. 059Total S.F. (i 1 311 Tota! S.F 1 1.714 Total S.F. (1) $60,500 5601500 $60,500 $108,051 $133,778 $174,940 j168,SS1 $194,278 $235,440 101% $31,643 $31,643 531,643 $72,457 $72,457 $72,457 $272,652 $298,378 $339,541 $108,900 $108,900 $108.900 $52,0301 $55,5381 $61,1S1 $433,5821 $462,8161 $509,592 City ciTurtin Puce M1 Affordabll4aver4 y Gap and LW FjTwic ng Analysis Table A.2 PER UNIT PROTOTYPE DEVELOPMENT COSTS BY BEDROOM COUNT OWNER PROTOTYPE 92 CITY OF TUSTIN Stacked Flat TYPE AND SIZE Prototype Desoriptiow Condominion OF UNIT TOW Number of Unhm 325 Unit 1 Bedroom 2 Bedroom 3 Bedroom 4 Bedroom 950 Net S.F 1,050 Net S.F. 1,200 Net S.F. 1400 Net S.F. 955 Total S.F 1 1 056 Total S.F 1 1 206 Tota) S.F. (1 1 1508 Total S.F. 1 Hard Combvctlon Cods Site h»promnw is $34,846 /DU $34,848 $34,846 $34,848 $34,848 UnWParkkq Catw Casa $90.77 /Cc SA $66,693 $95,819 $109,507 $136,884 T&WHard Cam $121,541 $130,667 $144,355 $171,732 DevdoprUNA Itnpaet And Prooaadtsd Fan $29,277 /Unit $29.277 $29,277 $29,277 $29,277 Indired/Soft Cosa $52,566 /DU $52;566 $52,566 352.566 $52,566 Total Cosh (Except Land and Ovrbead/ho1� $203,384 $212,509 $226,198 $253,575 Land Coat $74,923 /DU $74,923 $74,923 $74,923 $74,923 De% Fee/PmM it Overhead 12% $37,951 539,195 $41,062 $44,793 Todal Project Cmb Pr Drvaf % Chit $316,258 " $326,628 5342,183 $373,293 (1) Anumes dWatcy ratio (ne gnm SF1 o6 101% Source: David Prul Roam 3, Astodatm qty dlusen A1fadabli ty Gap and Ltvwapd FkWK rg Ara l Ab Pap" Tabu A-3 PER UNfT PROTOTYPE DEVELOPMEW COSTS BY BEDROOM COUNT OWNER PROTOTYPE *3 CITY Of TUSTIN 140 Deasky Prototype Dtocdpdon: Condom(nkm TYPE AND SIZE OF UNIT 4 Bedroom ToW Number of Unitu 400 Un(b 1 Bedroom 1,000 Net S.F. 1,150 Nd S >.650 2 Bedroomr16 Nat S F 800 1Net 5 f. 1 0001tMa) S.F. 1 1 150Tota1SF10Total S.F. 1 1500 Total SA (1 Hard Construction Cat* $26,136 /DU $26,136 $26,136 S26,i36 6,136 $370,292 She Im eM Untt/PaAd CpnnB stn. Coq* $205.72 /Gr. S.F $205,718 $236,576 $339,435 $231,854 $262,712 $365,571 $396,429 TOW Hard Cott S39,844 /Unh $39,644 $39,844 $39,644 S39,d44 ftoceulngf Ied/SoR Cosb 05,326 /DU ir $85,326 $85,3.26 $85,326 $85,326 . ToW Cab (tKCW find and OverbmuVProiif) $357,024 5387,882 $4W,741 $521,398 $52,2n /DU 652,272 $52,2n s52,2n 532.272 tandCaft Dex Fe mfit & Overhead 12% 555,813 $60,021 $74.047 678,255 $463,109 5500,175 $617,060 $652,125 U project Cab Pv Dwelin6 Uo1f (1) Am mes effklency ratio (netlgnxs SF) Of 100% Squ= David Paul Rosh & Aeodabes. City d TUWP Past M3 ABor&Wlay C18P and Levarapd Fj--kj Anvty& . Table A-4 PER UNrr PROTOTYPE DEVELOPMENT COSTS BY BEDROOM COUNT OWNER PROTOTYPE #4 QTY OF TUSTIN Mired Use„ Ground Pratotrpe Descriptiorg Floor ReW TYPE AND SEM OF uNrr IOW N=dM of Uolb: 20 Ueits 1 Bednoorn 2 Bedroom 3 Bedroom 1,100 Net S.F. 1,400 Net SA 1,750 Net S.F. 1 100 Total S.F. 1 1,400 TOW S.F. 1 1 750Tota15 F. 1 Hard Conbtrcdon Cads she Improvement $19,800 /DU 519,800 $191800 $19,800 UnitlPar" Cort Coo $163.40 /Gr. S.F. $179,744 $224765 $285,956 TOW Hard Cab $199,544 $248,565 $305,756 Dev"l°Pment Impact and procembig Few $37,530/Unit $37,530 $37,530 $37,530 kodireci/SofR Cosh $186,920 /DU $186,920 $186,920 $186,920 Toll Cods (Except lard and Owrbesd/ProM $423,994 $473,015 $530,206 IwdCub $59,400/DU $59,400 $59,400 $59,400 Det Fee/hafA & Overhead 12% $65,917 $72,602 $8$401 Total Project Cods Per DweMng L*ft $549,312 $6050017 $670,007 (1) Auumes eftency radio (net/gron SF) of: 1009E Source. David Paul Rom &Assoclates. Chy dTA& Mfordabilby Gap and Levw#W Rnandng Matysis aur 4s Table A-5 Homeowner Subsidy Requirements Owner 1 Attached Townhonle Two Bedroom City of Tustin (1) Income limit for a family of 3. (2) At 30% of gross income for low income and 3596 of gross income for moderate income households. Sery ces Dept (3) Ames homeown pays forallownces from basic electric, electrics heating,nty of cooks and Community heating, water, trash and sewer. (4) Based on 1.2U% average tax rate. 8.00% (5) Based on 30 -year mortgage at: (6) Assumed to include downpayment at 5.0% of purchase price; (7) Total development costs of: $433,582 less buyer downpayment, less supportable mortgage. Source: David Paul Rosen & Associates. City of Tustin Page A-1 Affordability Gap and Leveraged Financing Analysis 50% of 70% of 110% of Median Median Median Income Level (1) $35,415 $49,581 $77,913 Affordable Monthly Housing Cost (2) $885 $1,240 $2,272 Less: Monthly Utility Allowance (3) $110 $110 $110 Less: Homeowner Association Dues $175 $175 $175 Less: Property Insurance $50 $50 $50 Available for Principal, Interest, Taxes $550 $905 $1,937 Less: Property Taxes (4) $79 $1.30- $278 Supportable Mortgage Before Prop. Taxes (5) $75,007 $123,272 $264,044 Assumed Assessed Value at Sale $78,955 $129,760 $277,941 Available for Mortg. Principal and Interest $471 $775 $1,660 Supportable Mortgage (5) $64,247 $105,588 $226,165 Affordable Purchase Price (6) $67,628 $111,145 $238,069 Buyer Downpayment $3,381 $5,557 $11,903 Required Capital Subsidy (n $365,953 $322,437 $195,513 (1) Income limit for a family of 3. (2) At 30% of gross income for low income and 3596 of gross income for moderate income households. Sery ces Dept (3) Ames homeown pays forallownces from basic electric, electrics heating,nty of cooks and Community heating, water, trash and sewer. (4) Based on 1.2U% average tax rate. 8.00% (5) Based on 30 -year mortgage at: (6) Assumed to include downpayment at 5.0% of purchase price; (7) Total development costs of: $433,582 less buyer downpayment, less supportable mortgage. Source: David Paul Rosen & Associates. City of Tustin Page A-1 Affordability Gap and Leveraged Financing Analysis Table A-6 Homeowner Subsidy Requirements Owner 1 Attached Townhome Three Bedroom City of Tustin Income Level (1) Affordable Monthly Housing Cost (2) Less: Monthly Utility Allowance (3) Less: Homeowner Association Dues Less: Property Insurance Available for Principal, Interest, Taxes Less: Property Taxes (4) Supportable Mortgage Before Prop. Taxes (5) Assumed Assessed Value at Sale Available for Mortg. Principal and Interest Supportable Mortgage (5) Affordable Purchase Price (6) Buyer Downpayment Required Capital Subsidy (7) 50% of 70% of 110% of Median Median Median $39,350 $55,090 $86,570 $984 $1,377 $2,525 $148 $148 $148 $175 $175 $175 $50 $50 $50 $611 $1.,004 $2,152. $88 $144 $309 $83,235 $136,863 $293,276 $87,616 $144,066 $308,712 $523 $860 $1,843 $71,295 $117,229 $251,204 $75,047 $123,399 $264,425 $3,752 $6,170 $13,221 $387,769 $339,417 $198,391 (1) Income limit for a family of 4. (2) At 30% of gross income for low income and 35% of gross income for moderate income households. (3) Based on current utility allowances from County of Orange Housing and Community Services Dept. Assumes homeowner pays for basic electric, electric heating, cooking, and water heating, water, trash and sewer. (4) Based on 1.20% average tax rate. (5) Based on 30 -year mortgage at: 8.000/0 (6) Assumed to include downpayment at 5.0% of purchase price; (7) Total development costs of: $462,816 less buyer downpayment, less supportable mortgage. Source: David Paul Rosen & Associates. City of Tustin Affordability Gap and Leveraged Financing Analysis Page A-2 Table A-7 Homeowner Subsidy Requirements Owner 1 Attached Townhome Four Bedroom City of Tustin Income Level (1) Affordable Monthly Housing Cost (2) Less: Monthly Utility Allowance (3) Less: Homeowner Association Dues Less: Property Insurance Available for Principal, Interest, Taxes Less: Property Taxes (4) Supportable Mortgage Before Prop. Taxes (5) Assumed Assessed Value at Sale Available for Mortg. Principal and Interest Supportable Mortgage (5) Affordable Purchase Price (6) Buyer Downpayment Required Capital Subsidy (7) 50% of 70% of 110% of Median Median Median $42,498 $59,497 $93,496 $1,062 $1,487 $2,727 $164 $164 $164 $175 $175 $175 $50 $50 $50 $673 $1,098 $2,338 $97 $158 $335 $91,780 $149,698 $318,625 $96,611 $157,577 $335,394 $577 $941 $2,003 $78,614 $128,223 $272,916 $82,751 $134,971 $287,280 $4,138 $6,749 $14,364 $426,840 $374,620 $222,312 (1) Income limit for a family of 5. (2) At 30°% of gross income for low income and 35°% of gross income for moderate income households. (3) Based on current utility allowances from County of Orange Housing and Community Services Dept. Assumes homeowner pays for basic electric, electric heating, cooking, and water heating, water, trash and sewer. (4) Based on 1.20% average tax rate. (5) Based on 30 -year mortgage at: 8.00°% (6) Assumed to include downpayment at 5.00/0 of purchase price, (7) Total development costs of: $509,592 less buyer downpayment, less supportable mortgage. source: David Paul Rosen & Associates. City of Tustin Affordability Cap and Leveraged Financing Analysis PageA-3 Table A-8 Homeowner Subsidy Requirements Owner 2 Stacked Flat Condominium One Bedroom City of Tustin Income Level (1) Affordable Monthly Housing Cost (2) Less: Monthly Utility Allowance (3) Less: Homeowner Association Dues Less: Property Insurance Available for Principal, Interest, Taxes Less: Property Taxes (4) Supportable Mortgage Before Prop. Taxes (5) Assumed Assessed Value at Sale Available for Mortg. Principal and Interest Supportable Mortgage (5) Affordable Purchase Price (6) Buyer Downpayment Required Capital Subsidy (7) 50% of 70% of 110% of Median Median Median $31,480 $44,072 $69,256 $787 $1,102 $2,020 $93 $93 $93 $175 $175 $175 $50 $50 $50 $469 $784 $1,702 $67 $112 $244 $63,917 $106,819 $231,950 $67,281 $112,441 $244,158 $402 $671 $1,458 $54,748 $91,495 $798,675 $57,629 $96,311 $209,132 $2,881 $4,816 $10,457 $258,629 $219,947 $107,126 (1) Income limit for a family of 2. (2) At 30% of gross income for low income and 35% of gross income for moderate income households. (3) Based on current utility allowances from County of Orange Housing and Community Services Dept. Assumes homeowner pays for basic electric, electric heating, cooking, and water heating, water, trash and sewer. (4) Based on 1.20% average tax rate. (5) Based on 30 -year mortgage at: 8.00% (6) Assumed to include downpayment at 5.0% of purchase price, (7) Total development costs of: $316,258 less buyer downpayment, less affordable mortgage. Source: David Paul Rosen & Associates. City of Tustin Affordability Gap and Leveraged Financing Analysis Page A-1 Table A-9 Homeowner Subsidy Requirements Owner 2 Stacked Flat Condominium Two Bedroom City of Tustin Income Level (1) Affordable Monthly Housing Cost (2) Less: Monthly Utility Allowance (3) Less: Homeowner Association Dues Less: Property Insurance Available for Principal, Interest, Taxes Less: Property Taxes (4) Supportable Mortgage Before Prop. Taxes (5) Assumed Assessed Value at Sale Available for Mortg. Principal and Interest Supportable Mortgage (5) Affordable Purchase Price (6) Buyer Downpayment Required Capital Subsidy (7) 50% of 70% of 110% of Median Median Median $35,415 $49,581 $77,913 $885 $1,240 $2,272 $110 $110 $110 $175 $175 $175' $50 $50 $50 $550 $905 $1,937 $79 $130 $278 $75,007 $1231272 $264,044 $78,955 $129,760 $277,941 $471 $775 $1,660 $64,247 $105,588 $226,165 $67,628 $111,145 $238,069 $3,381 $5,557 $11,903 $259,000 $215,483 $88,559 (1) Income limit for a family of 3. (2) At 30% of gross income for low income and 35% of gross income for moderate income households. (3) - Based on current utility allowances from County of Orange Housing and Community Services Dept. Assumes homeowner pays for basic electric, electric heating, cooking, and water heating, water, trash and sewer. (4) Based on 1.20% average tax rate. (5) Based on 30 -year mortgage at: 8.00 (6) Assumed to include downpayment at 5.01!0 of purchase price; (7) Total development costs of: $326,628 less buyer downpayment, less affordable mortgage. Source: David Paul Rosen & Associates. City of Tustin Affordability Gap and Leveraged Financing Analysis Page A-2 Table A-10 Homeowner Subsidy Requirements Owner 2 Stacked Flat Condominium Three Bedroom City of Tustin Income Level (1) Affordable Monthly Housing Cost (2) Less: Monthly Utility Allowance (3) Less: Homeowner Association Dues Less: Property Insurance Available for Principal, Interest, Taxes Less: Property Taxes (4) Supportable Mortgage Before Prop. Taxes (5) Assumed Assessed Value at Sale Available for Mortg. Principal and Interest Supportable Mortgage (5) Affordable Purchase Price (6) Buyer Downpayment Required Capital Subsidy (7) 50% of 70% of Median Median $39,350 $55,090 $984 $1,377 $148 $175 $50 $611 $88 $83,235' $87,616 $523 $71,295 $75,047 $3,752 $267,136 $148 $175 $50 $1,004 $144 $136,863 $144,066 $860 $117,229 $123,399 $6,170 $218,784 110% of Median $86,570 $2,525 $148 $175 $50 $2,152 $309 $293,276 $308,712 $1,843 $251,204 $264,425 $13,221 $77,758 (1) Income limit for a family of 4. (2) At 30% of gross income for low income and 35% of gross income for moderate income households. (3) Based on current utility allowances from County of Orange Housing and Community Services Dept. Assumes homeowner pays for basic electric, electric heating, cooking, and water heating, water, trash and sewer. (4) Based on 1.20% average tax rate. (5) Based on 30 -year mortgage at: 8.00% (6) Assumed to include downpayment at 5.0% of purchase price, (7) Total development costs of: $342,183 less buyer downpayment, less affordable mortgage. Source: David Paul Rosen & Associates. City of Tustin Affordability Gap and Leveraged Financing Analysis Page A-3 Table A-1 t Homeowner Subsidy Requirements Owner 2 Stadced Flat Condominium Four Bedroom City of Tustin (1) Income limit for a family of 5. (2) At 30% of gross income for low income and 35% of gross income for moderate income households. (3) Based on current utility allowances from County of Orange Housing and Community Services Dept. Assumes homeowner pays for basic electric, electric heating, cooking, and water heating, water, trash and sewer. (3) Includes homeowner association dues and/or other maintenance expenses. (4) Based on 1.20% average tax rate. (5) Based on 30 -year mortgage at: 8.00% (6) Assumed to include downpayment at 5.0% of purchase price; (7) Total development costs of: $373,293 less buyer downpayment, less affordable mortgage. Source: David Paul Rosen & Associates. City of Tustin Affordability Gap and Leveraged Financing Analysis Page A-4 50% of 70% of 110% of Median Median Median Income Level (1) $42,498 $59,497 $93,496 Affordable Monthly Housing Cost (2) $1,062 $1,487 $2,727 Less: Monthly Utility Allowance (3) $164 $164 $164 Less: Homeowner Association Dues $175 $175 $175 Less: Property Insurance $50 $50 $50 Available for Principal, Interest, Taxes $673 $1,098 $2,338 Less: Property Taxes (4) $97 $158 $335 Supportable Mortgage Before Prop. Taxes (5) $91,780 $149,698 $318,625 Assumed Assessed Value at Sale $96,611 $157,577 $335,394 Available for Mort& Principal and Interest $577 $941 $2,003 Supportable Mortgage (5) $78,614 $128,223 $272,916 Affordable Purchase Price (6) $82,751 $134,971 $287,280 Buyer Downpayment $4,138 $6,749 $14,364' Required Capital Subsidy (7) $290,542 $238,322 $86,013 (1) Income limit for a family of 5. (2) At 30% of gross income for low income and 35% of gross income for moderate income households. (3) Based on current utility allowances from County of Orange Housing and Community Services Dept. Assumes homeowner pays for basic electric, electric heating, cooking, and water heating, water, trash and sewer. (3) Includes homeowner association dues and/or other maintenance expenses. (4) Based on 1.20% average tax rate. (5) Based on 30 -year mortgage at: 8.00% (6) Assumed to include downpayment at 5.0% of purchase price; (7) Total development costs of: $373,293 less buyer downpayment, less affordable mortgage. Source: David Paul Rosen & Associates. City of Tustin Affordability Gap and Leveraged Financing Analysis Page A-4 Table A-12 Homeowner Subsidy Requirements Owner 3 High Density Condominium One Bedroom City of Tustin Income Level (1) Affordable Monthly Housing Cost (2) Less: Monthly Utility Allowance (3) Less: Homeowner Association Dues Less: Property Insurance Available for Principal, Interest, Taxes Less: Property Taxes (4) Supportable Mortgage Before Prop. Taxes (5) Assumed Assessed Value at Sale Available for Mortg. Principal and Interest Supportable Mortgage (5) Affordable Purchase Price (6) Buyer Downpayment Required Capital Subsidy (7) 50% of 70% of 110% of Median Median Median $31,480 $44,072 $69,256 $787 $1,102 $2,020 $93 $93 $93 $175 $175 $175 $50 $50 $50 $469 $784 $1,702 $67' $112 $244 $63,917 $106,819 $231,950 $67,281 $112,441 $244,158 $402 $671 $1,458 $54,748 $91,495 $198,675 $57,629 $96,311 $209,132 $2,881 $4,816 $10,457 $407,480 $368,798 $255,977 (1) Income limit for a family of 2. (2) At 30% of gross income for low income and 35% of gross income for moderate income households. (3) Based on current utility allowances from County of Or4nge Housing and Community Services Dept. Assumes homeowner pays for basic electric, electric heating, cooking, and water heating, water, trash and sewer. (4) Based on 1.20% average tax rate. (5) Based on 30 -year mortgage at: 8.00% (6) Assumed to include downpayment at 5.0% of purchase price, (7) Total development costs of: $465,109 less buyer downpayment, less affordable mortgage. Source: David Paul Rosen & Associates. City of Tustin Affordability Gap and Leveraged Financing Analysis Page A-1 Table A-13 Homeowner Subsidy Requirements Owner 3 High Density Condominium Two Bedr000m City of Tustin Income Level (1) Affordable Monthly Housing Cost (2) Less: Monthly Utility Allowance (3) Less: Homeowneh Association Dues Less: Property Insurance Available for Principal, Interest, Taxes Less: Property Taxes (4) Supportable Mortgage Before Prop. Taxes (5) Assumed Assessed Value at Sale Available for Mortg. Principal and Interest Supportable Mortgage (5) Affordable Purchase Price (6) Buyer Downpayment Required Capital Subsidy (7) 50% of 70% of 110% of Median Median Median $35,415 $49,581 $77,913 $885 $1,240 $2,272 $110 $110 $110 $175 $175 $175 $50 $50 $50 $550 $905 $1,937 $79 $130 $278 $75,007 $123,272 $264,044 $78,955 $129,760 $277,941 $.471 $775 $1,660 $64,247 $105,588 $226,165 $67,628 $111,145 $238,069 $3,381 $5,557 $11,903 $432,547 $389,030 $262,106 (1) Income limit for a family of 3. (2) At 30% of gross income for low income and 35% of gross income for moderate income households. (3) Based on current utility allowances from County of Orange Housing and Community Services Dept. Assumes homeowner pays for basic electric, electric heating, cooking, and water heating, water, trash and sewer. (4) Based on 1.20°x6 average tax rate. (5) Based on 30 -year mortgage at: 8.00% (6) Assumed to include downpayment at 5.0% of purchase price; (7) Total development costs of: $500,175 less buyer downpayment, less affordable mortgage. Source: David Paul Rosen & Associates. City of Tustin Affordability Gap and Leveraged Financing Analysis Page A-2 Table A-14 Homeowner Subsidy Requirements Owner 3 High Density Condominium Three Bedroom City of Tustin Income Level (1) Affordable Monthly Housing Cost (2) Less: Monthly Utility Allowance (3) Less: Homeowner Association Dues Less: Property Insurance Available for Principal, Interest, Taxes Less: Property Taxes (4) Supportable Mortgage Before Prop. Taxes (5) Assumed Assessed Value at Sale Available for Mortg. Principal and Interest Supportable Mortgage (5) Affordable Purchase Price (6) Buyer Downpayment Required Capital Subsidy (7) 50% of 70% of 110% of Median Median Median $39,350 $55,090 $86,570 $984 $1,377 $2,525 $148 $148 $148 $175 $175 $175 $50 $50 $50 $611 $1,004 $2,152 $88 $144 $309 $83,235 $136,863 $293,276 $87,616 $144,066 $308,712 $523 $860 $1,843 $71,295 $117,229 $251,204 $75,047 $123,399 $264,425 $3,752 $6,170 $13,221 $542,013 $493,661 $352,635 (1) Income limit for a family of 4. (2) At 30% of gross income for low income and 35% of gross income for moderate income households. (3) Based on current utility allowances from County of Orange Housing and Community Services Dept. Assumes homeowner pays for basic electric, electric heating, cooking, and water heating, water, trash and sewer. (4) Based on 1.20% average tax rate. (5) Based on 30 -year mortgage at: 8.00% (6) Assumed to include downpayment at 5.0% of purchase price; (7) Total development costs of: $617,060 less buyer downpayment, less affordable mortgage. Source: David Paul Rosen & Associates. City of Tustin Affordability Cap and leveraged Financing Analysis Page A-3 Table A-15 Homeowner Subsidy Requirements Owner 3 High Density Condominium Four Bedroom City of Tustin Income Level (1) Affordable Monthly Housing Cost (2) Less: Monthly Utility Allowance (3) Less: Homeowner Association Dues Less: Property Insurance Available for Principal, Interest, Taxes Less: Property Taxes (4) Supportable Mortgage Before Prop. Taxes (5) Assumed Assessed Value at Sale Available for Mortg. Principal and Interest Supportable Mortgage (5) Affordable Purchase Price (6) Buyer Downpayment Required Capital Subsidy (7) 50% of 70% of 110% of Median Median Median $42,498 $59,497 $93,496 $1,062 $1,487 $2,727 $164 $164 $164 $175 $175 $175 $50 $50 $50 $673 $1,098 $2,338 $97 $158 $335 $91,780 $149,698 $318,625 $96,611 $157,577 $335,394 $577 $941 $2,003 $78,614 $128,223 $272,916 $82,751 $134,971 $287,280 $4,138 $6,749 $14,364 $569,374 $517,154 $364,845 (1) Income limit for a family of 5. (2) At 30% of gross income for low income and 35% of gross income for moderate income households. (3) Based on current utility allowances from County of Orange Housing and Community Services Dept. Assumes homeowner pays for basic electric, electric heating, cooking, and water heating, water, trash and sewer. (4) Based on 1.20% average tax rate. (5) Based on 30 -year mortgage at: 8.00% (6) Assumed to include downpayment at 5.0% of purchase price; (7) Total development costs of: $652,125 less buyer downpayment, less affordable mortgage. Source: David Paul Rosen & Associates. city of Tustin Affordability Gap and Leveraged Financing Analysis Page A-4 Table A-16 Homeowner Subsidy Requirements Owner 4 Mixed Use, Ground Floor Retail One Bedroom City of Tustin Income Level (1) Affordable Monthly Housing Cost (2) Less: Monthly Utility Allowance (3) Less: Homeowner Association Dues Less: Property Insurance Available for Principal, Interest, Taxes Less: Property Taxes (4) Supportable Mortgage Before Prop. Taxes (5) Assumed Assessed Value at Sale Available for Mortg. Principal and Interest Supportable Mortgage (5) Affordable Purchase Price (6) Buyer Downpayment Required Capital Subsidy (7) 50% of 70% of 110% of Median Median Median $31,480 $44,072 $69,256 $787 $1,102 $2,020 $93 $93 $93 $175 $175 $175 $50 $50 $50 $469 $784 $1,702 $67 $112 $244 $63,917 $106,819 $231,950 $67,281 $112,441 $244,158 $402 $671 $1,458 $54,748 $91,495 $198,675 $57,629 $96,311 $209,132. $2,881 $4,816 $10,457 $491,683 $453,001 $340,180 (1) Income limit for a family of 2. (2) At 30% of gross income for low income and 35% ofgross income for moderate income households. Assumes homeowner pays for basic electric, electric heating, cooking, and water heating, water, trash and sewer. (3) Includes homeowner association dues and/or other maintenance expenses. (4) Based on 1.201/6 average tax rate. (5) Based on 30 -year mortgage at: 8.00% (6) Assumed to include downpayment at 5.0% of purchase price, (7) Total development costs of: $549,312 less buyer downpayment, less affordable mortgage. Source: David Paul Rosen & Associates. City of Tustin Affordability Gap and Leveraged Financing Analysis Page A-1 Table A-17 Homeowner Subsidy Requirements Owner 4 Mixed Use, Ground Floor Retail Two Bedr000m City of Tustin Income Level (1) Affordable Monthly Housing Cost (2) Less: Monthly Utility Allowance (3) Less: Homeowner Association Dues Less: Property Insurance Available for Principal, lnterest, Taxes Less: Property Taxes (4) Supportable Mortgage Before Prop. Taxes (5) Assumed Assessed Value at Sale Available for Mortg. Principal and Interest Supportable Mortgage (5) Affordable Purchase Price (6) Buyer Downpayment Required Capital Subsidy (7) 50% of 70% of 110% of Median Median Median $35,415 $49,581 $77,913 $885 $1,240 $2,272 $110 $110 $110 $175 $175 $175 $50 $50 $50 $550 $905 $1,937 $79 $130 $278 $75,007 $123,272 $264,444 $78,955 $129,760 $277,941 $471 $775 $1,660 $64,247 $105,588 $226,165 $67,628 $111,145 $238,069 $3,381 $5,557 $11,903 $537,389 $493,872 $366;948 (1) Income limit for a family of 3. (2) At 30% of gross income for low income and 35% of gross income for modetate income households. (3) Based on current utility allowances from County of Orange Housing and Community Services Dept. Assumes homeowner pays for basic electric, electric heating, cooking, and water heating, water, trash and sewer. (3) Includes homeowner association dues and/or other maintenance expenses. (4) Based on 1.20% average tax rate. (5) Based on 30 -year mortgage at 8.00% (6) Assumed to include downpayment at 5.00/0 of purchase price, (i) Total development costs of: $605,017 less buyer downpayment, less affordable mortgage. Source: David Paul Rosen & Associates. City of Tustin Page A-2 Affordability Gap and Leveraged Financing Analysis Table A-18 Homeowner Subsidy Requirements Owner 3 Mixed Use, Ground Floor Retail Three Bedroom City of Tustin Income Level (1) Affordable Monthly Housing Cost (2) Less: Monthly Utility Allowance (3) Less: Homeowner Association Dues Less: Property Insurance Available for Principal, Interest, Taxes Less: Property Taxes (4) Supportable Mortgage Before Prop. Taxes (5) Assumed Assessed Value at Sale Available for Mortg. Principal and Interest Supportable Mortgage (5) Affordable Purchase Price (6) Buyer Downpayment Required Capita) Subsidy (7) 50% of 70% of 110% of Median Median Median $39,350. $55,090 $86,570 $984 $1,377 $2,525 $148 $148 $148 $175 $175 $175 $50 $50 $50 $611 $1,004 $2,152 $88 $144 - $309 $83,235 $136,863 $293,276 $87,616 $144,066 $308,712 $523 $860 $1,843 $71,295 $117,229 $251,204 $75,047 $123,399 $264,425 $3,752 $6,170 $13,221 $594,960 $346,608 $405,582 (1) Income limit for a family of 4. (2) At 30% of gross income for low income and 35% of gross income for moderate income households. (3) Based on current utility allowances from County of Orange Housing and Community Services Dept. Assumes homeowner pays for basic electric, electric heating, cooking, and water heating, water, trash and sewer. (4) Based on 1.20% average tax rate. (5) Based on 30 -year mortgage at: 8.00% (6) Assumed to include downpayment at 5.00/0 of purchase price, (7) Total development costs of: $670,007 less buyer downpayment, less affordable mortgage. Source: David Paul Rosen & Associates. City of Tustin Affordability Gap and Leveraged Financing Analysis Page A-3 Tabic 1-1 Per Unit DeWopetemt Goat By Unit Bedroom Covet BemW Hooks Peototypa Sucked AM Apubnerrb City onadn 2005 P,ob*Me D"a*tkfm Sbdod fW Ape bmft TYPE AN UNI I 3 4 Bedroom TOW Nwmbw of Umiht 335 Urdb 1 750 Net F 2 950 Not S.F 1,050 Net S.F. 1 50 Net S F. Nand Coeatrodlom Coats She trr PKNsrnarrt $34,846M534,845 $34,845 $147,250 $34845 $162,750 $34,B45 5193,750 UnWParldng COWL Cash $155.00 Per SF $116,250 Told Hard Cab SISI A95 $182,098 $197,598 $229,595 tad Fen 526.03! Net S.F.519,541 $21.752 $27,357 $32.568 qty Pnx@Wig� wdlrattlSoft tate $34964 $36.984 $35,964 $36,984 $36,964 Tow COW $=eptLM4 h"oac 5207,623 $243,834 $261,940 $298,150 taod Coo $74,923 IDU $74,923 $74,923 $74,923 $74,923 Doe kwftot !k prmh-d 1216 $38,529 $43,467 $45,936 $50,874 ihd Project Cab Ps Lha $121,079 $362,224 5382,799$423,947 Sotuce: David Paul Roden 6 Moclales city d,wjn rage 11-1 ARcnt IityGapwd FkWA*%M" Table B•2 Tenant Subsidy Requirements Renter Prototype Stacked Flat Apartments One Bedroom City of Tustin 2008 Income Level (1) Affordable Monthly Housing Cost (2) Less: Monthly Utilities (3) Affordable Monthly Rent Less: Monthly Operating Cost (4) Less: Monthly Property Taxes (5) Less: Vacancy Allowance (6) Tenant Monthly Net Operating Income Tenant Supported Debt (7) Total Development Cost Per Unit Required Capital Subsidy (8) 50% of 60% of 110% of Median Median Median $31,480 $37,776 $69,256 $787 $944 $1,731 $54 $54 $54 $733 $890 $1,677 $300 $300 - $300- $321 $321 $321 $22 $27 $50 $90 $243 $1,006 $9,805 $26,451 $109,681 $321,075 $321,075 $321,075 $311,270 $294,624 $211,394 (1) For a household size of 2 persons, pro -rated from 2007 HUD income limits for Orange County. (2) Assumes 30% of gross income spent on housing. (3) Based on current utility allowances from County of Orange Housing and Community Services Department Assumes tenant pays for electric heating, cooking, water heating and basic electricity. (4) Based on estimated monthly operating costs per unit of $300 (5) Based on annual property tax rate of 1.2% applied to total development cost. (6) Assumed at 3% of affordable monthly rent, (7) Based on 30 -year mortgage at: 8.00% Assumes debt coverage ratio of: 1.25 A negative tenant supported debt indicates the rents do not cover operating costs and a capitalized "sinking fund" of this amount is added to total development cost to cover operating deficits. (8) Equivalent to total development cost less tenant supported debt. Source: David Paul Rosen & Associates. City of Tustin Affordability Gap and Leveraged Financing Analysis Page g.t Table 8-3 Tenant Subsidy Requirements Renter Prototype Stacked Flat Apartments Two Bedroom City of Tustin 2008 Income Level (1) Affordable Monthly Housing Cost (2) Less: Monthly Utilities (3) Affordable Monthly Rent Less: Monthly Operating Cost (4) Less: Monthly Property Taxes (5) Less: Vacancy Allowance (6) Tenant Monthly Net Operating Income Tenant Supported Debt (7) Total Development Cost Per Unit Required Capital Subsidy (8) 5096 of 60% of 110% of Median Median Median $35,415 $42,498 $77,913 $885 $1,062 $1,948 $68 $68 $68 $817 $994 $1,880 $300 $300 $300 $362 $362 $362 $25 $30 $56 $131 $302 $1,161 $14,242 $32,969 $126,603 $362,224 $362,224 $362,224 $347,982 $329,255 $235,621 (1) For a household size of 3 persons, pro -rated from 2007 HUD income limits for Orange County. (2) Assumes 30% of gross income spent on housing. (3) Based on current utility allowances from County of Orange Housing and Community Services Department Assumes tenant pays for electric heating, cooking, water heating and basic electricity. (4) Based on estimated monthly operating costs per unit of $300 (5) Based on annual property tax rate of 1.2% applied to total development cost. (6) Assumed at 3% of affordable monthly rent (7) Based on 30 -year mortgage at: 8.00% Assumes debt coverage ratio of 1.25 A negative tenant supported debt indicates the rents do not cover operating costs and a capitalized "sinking fund" of this amount is added to total development cost to cover operating deficits. (8) Equivalent to total development cost less tenant supported debt. Source: David Paul Rosen & Associates. City of Tustin Affordability Gap and Leveraged Financing Analysis Page B-2 Table B-4 Tenant Subsidy Requirements Renter Prototype Stacked Fiat Apartments Three Bedroom City of Tustin 2008 (1) For a household size of 4 persons, pro -rated from 2007 HUD income limits for Orange County. (2) Assumes 30% of gross income spent on housing. (3) Based on current utility allowances from County of Orange Housing and Community Services Department Assumes tenant pays for electric heating, cooking, water heating and basic electricity. (4) Based on estimated monthly operating costs per unit of $300 (5) Based on annual property tax rate of 1.2% applied to total development cost (6) Assumed at 3% of affordable monthly rent (7) Based on 30 -year mortgage at: 8.000/0 Assumes debt coverage ratio of. 1.25 A negative tenant supported debt indicates the rents do not cover operating costs and a capitalized "sinking fund" of this amount is added to total development cost to cover operating deficits. (8) Equivalent to total development cost less tenant supported debt. Source: David Paul Rosen & Associates. City of Tustin Affordability Gap and Leveraged Financing Analysis Page B-3 50% of 60% of 110% of Median Median Median Income Level (1) $39,350 $47,220 $86,570 Affordable Monthly Housing Cost (2) $984 $1,181 $2,164 Less: Monthly Utilities (3) $98 $98 $98 Affordable Monthly Rent $886 $1,083 $2,066 Less: Monthly Operating Cost (4) $300 $300 $300 Less: Monthly Property Taxes (5) $383 $383 $383 Less: Vacancy Allowance (6) $27 $32 $62 Tenant Monthly Net Operating Income $559 $750 $1,704 Tenant Supported Debt (7) $60,965 $81,773 $185,810 Total Development Cost Per Unit $382,799 $382,799 $382,799 Required Capital Subsidy (8) $321,834 $301,026 $196,989 (1) For a household size of 4 persons, pro -rated from 2007 HUD income limits for Orange County. (2) Assumes 30% of gross income spent on housing. (3) Based on current utility allowances from County of Orange Housing and Community Services Department Assumes tenant pays for electric heating, cooking, water heating and basic electricity. (4) Based on estimated monthly operating costs per unit of $300 (5) Based on annual property tax rate of 1.2% applied to total development cost (6) Assumed at 3% of affordable monthly rent (7) Based on 30 -year mortgage at: 8.000/0 Assumes debt coverage ratio of. 1.25 A negative tenant supported debt indicates the rents do not cover operating costs and a capitalized "sinking fund" of this amount is added to total development cost to cover operating deficits. (8) Equivalent to total development cost less tenant supported debt. Source: David Paul Rosen & Associates. City of Tustin Affordability Gap and Leveraged Financing Analysis Page B-3 Table B-5 Tenant Subsidy Requirements Renter Prototype Stacked Flat Apartments Four Bedroom City of Tustin 2008 (1) For a household size of 5 persons, pro -rated from 2007 HUD income limits for Orange County. (2) Assumes 30% of gross income spent on housing. (3) Based on current utility allowances from County of Orange Housing and Community Services Department Assumes tenant pays for electric heating, cooking, water heating and basic electricity. (4) Based on estimated monthly operating costs per unit of $300 (5) Based on annual property tax rate of 1.2% applied to total development cost. (6) Assumed at 3% of affordable monthly rent. (7) Based on 30 -year mortgage at: 8.00% Assumes debt coverage ratio of: t .25 A negative tenant supported debt indicates the rents do not cover operating costs and a capitalized "sinking fund" of this amount is added to tonal development cost to cover operating deficits. (8) Equivalent to total development cost less tenant supported debt Source: David Paul Rosen & Associates. City of Tustin Affordability Gap and Leveraged Financing Analysis Page B-4 50% of 60% of 110% of Median Median Median income Level (1) $42,498 $50,998 $93,496 Affordable Monthly Housing Cost (2) $1,062 $1,275 $2,337 Less: Monthly Utilities (3) $109 $109 $109 Affordable Monthly Rent $953 $1,166 $2,228 Less: Monthly Operating Cost (4) $300 $300 5300 Less: Monthly Property Taxes (5) $424 $424 $424 Less: Vacancy Allowance (6) $29 $35 $67 Tenant Monthly Net Operating Income $201 $407 $2,285 Tenant Supported Debt (7) $21,903 $44,376 $249,179 Total Development Cost per Unit $423,947 $423,947 $423,947 Required Capital Subsidy (8) $402,044 $379,571 $174,768 (1) For a household size of 5 persons, pro -rated from 2007 HUD income limits for Orange County. (2) Assumes 30% of gross income spent on housing. (3) Based on current utility allowances from County of Orange Housing and Community Services Department Assumes tenant pays for electric heating, cooking, water heating and basic electricity. (4) Based on estimated monthly operating costs per unit of $300 (5) Based on annual property tax rate of 1.2% applied to total development cost. (6) Assumed at 3% of affordable monthly rent. (7) Based on 30 -year mortgage at: 8.00% Assumes debt coverage ratio of: t .25 A negative tenant supported debt indicates the rents do not cover operating costs and a capitalized "sinking fund" of this amount is added to tonal development cost to cover operating deficits. (8) Equivalent to total development cost less tenant supported debt Source: David Paul Rosen & Associates. City of Tustin Affordability Gap and Leveraged Financing Analysis Page B-4 Table C-1 LEVERAGED FINANCING ANALYSIS RENTAL PROTOTYPE MMD FLAT APARTMENTS DEVELOPMENT PROGRAM CITY OF TUSTIN 2008 Parking/Circulation Open Spates Parking Structure Total Spaces Scaces 81 650 731 City ofiusln AffwdaNllty Gap and Levera#ed Firwtdng Anal*% Page C-1 Unib Type Units % Units Sq. FVUnit Total SF Per Acre Acres 1 Bedroom 73 23% 750 54,750 2 Bedroom 100 31% 950 95,000 3 Bedroom 100 31% 1,050 105,000 4 Bedroom 50 15% 1,250 62,500 Tota! Affordable Units 323 100% 317,250 25.00 13.00 2 BR Manager's Unit 2 1,900 Total Housing Unib 325 319,150 Community Room 0 Total Net SF Sul ldingArea 319,150 Parking/Circulation Open Spates Parking Structure Total Spaces Scaces 81 650 731 City ofiusln AffwdaNllty Gap and Levera#ed Firwtdng Anal*% Page C-1 Teile C-2 RENW pWTOTY9:t UACM HAATAPARTMDM INCOME AND OIEBATu G COM WITH 9% TAX CREDITS. FEDFM AND STA12 ASSUMMONS 2007 Median Ho wWd (norm Family of roar A}ford" Houslaii Coal As a %of kworne Na of Ballrooms Totait Hounhold Sin (1) Household Sin Inoome AdjuR. F— Utility AIW Wrrce 0) No. Of Ur" 325 Total Bedroonre 773 AFFOOOME RPM 0V INCOME IEM Allord" MwW* ftOkM Coat Leet Manicy U1114 11.11011"IMS AR HMW Monhiy Rant Annual Graz Neorne A& dable Monhly H -ft sod hMOF" RW* Annual Groh Irrcvrr» AHordeble Mw" Houlk Coet Lug mm"yUdwAll— Afbrdable Monlfety Rant MIT OKRATING R400ME AOOrdaWky tvmiR4o. of 8edrwm lOs%of Urdb I'-- of Med m 15.2% of UNOt 74.6% of UNs I BedroOnt 2 �etMoas 3 Sedrooee 4 LdmOm 1 bedmorn 2 Bedroom 3 Bedroom 4v A t sedrom 2 eedra0m J Sadmm 4 bedfoom $29,513 $736 ($54) $664 Unit 0 10 10 5 /1 15 15 8 54 75 73 37 325 $33,415 $666 (S6p $617 0;171 $369 5463 $492 $526 5610 S729 5757 $847 S6M 5617 $866 $95$ $39,350 $964 ($98) $866 wanthiy Gree Inmme $3,112 $4,670 $4,920 $2.610 $6,710 $10,935 $11,805 56,776 536,936 $61,275 $33,261 5251,450 Towle htanaRerr Uhkt 2 GROSS RENTAL INCOME • SA% Lw: Vacrrclu 0) UnitMisol. hwom 100 Per Un GROSS ANNUAL WCOA* LESS: OKKATING OW0458 $30UVunlfhno. $3,600 Par of Un 8udnet Low OPeratingi Rees— 5400 Per UnIN'er Lees: RePfaoannn Rs-- NETOPERATING INCOME (1) Amurr a dw i mw of TCAC otcuperncv ShmKIA t h.5 t>Sr$On Per ) and C&[Nw da Hmhh and 5skty oecuoaxq standard (one pawn Per bedroom plus orW. r�} Sormow count' of Oranile HousiAt and Cornmunlfy Swvkes, effective October 1, 2006- A""r* wrwn Wye all elea k heatlrM, oo*k% and wafer i, a and beak eleCUJckyl landlord Pm VMager and Vaal. (3) 7G requires a 5% minimum vacancy rage unlere wowed bored on vacwa data in Oa mala ANLL $42,490 $1,062 ($109) $953 53,017,400 ($532,300 (2,698.890 (;1,170,000) ($35,100) (S130,(300) $1.563,730 CaydlWn F�vG2 ,vrordtbft Crq end LCOW d A Wft Amlyi $78,700 30% 1 ladroom 2 0rdmm 3 8ednam 4 9edroam 1.5 Persons 3.0 P&WS 4A Perron 5.0 FOS* s 75% 90% 100% 108% $54 $68 $96 $109 73 100 100 50 73 200 300 200 $17,700 $21,249 $23,610 $25,499 $443 $531 $390 $637 (f54) ON ($90 ($169) 6369 $463 $492 $526 $24561 $31,674 $35,415 $34246 $664 $797 $606 $956 ($54) ($01 ($9a (Slog) $610 $729 $787 $647 $29,513 $736 ($54) $664 Unit 0 10 10 5 /1 15 15 8 54 75 73 37 325 $33,415 $666 (S6p $617 0;171 $369 5463 $492 $526 5610 S729 5757 $847 S6M 5617 $866 $95$ $39,350 $964 ($98) $866 wanthiy Gree Inmme $3,112 $4,670 $4,920 $2.610 $6,710 $10,935 $11,805 56,776 536,936 $61,275 $33,261 5251,450 Towle htanaRerr Uhkt 2 GROSS RENTAL INCOME • SA% Lw: Vacrrclu 0) UnitMisol. hwom 100 Per Un GROSS ANNUAL WCOA* LESS: OKKATING OW0458 $30UVunlfhno. $3,600 Par of Un 8udnet Low OPeratingi Rees— 5400 Per UnIN'er Lees: RePfaoannn Rs-- NETOPERATING INCOME (1) Amurr a dw i mw of TCAC otcuperncv ShmKIA t h.5 t>Sr$On Per ) and C&[Nw da Hmhh and 5skty oecuoaxq standard (one pawn Per bedroom plus orW. r�} Sormow count' of Oranile HousiAt and Cornmunlfy Swvkes, effective October 1, 2006- A""r* wrwn Wye all elea k heatlrM, oo*k% and wafer i, a and beak eleCUJckyl landlord Pm VMager and Vaal. (3) 7G requires a 5% minimum vacancy rage unlere wowed bored on vacwa data in Oa mala ANLL $42,490 $1,062 ($109) $953 53,017,400 ($532,300 (2,698.890 (;1,170,000) ($35,100) (S130,(300) $1.563,730 CaydlWn F�vG2 ,vrordtbft Crq end LCOW d A Wft Amlyi Tabic C-3 RENTAL PROTOTYPE: STACKED FLAT APARTMENTS DEVELOPMENT COSTS 9% TAX CREDITS, FEDERAL AND STATE Acres 13.00 No, of Units 325 Total Net Living Area (SF) 319,150 Community Room 0 Total Net Square Feu, ResidentW Units 319,150 Other BuiidingArea 0 Total Net Square Feet 319,150 Total Cross Square Feet 566,280 % Residential Beals Eligtbie 100.00% Tax Credit ERg. Baru Tota! (100% Re gds LAND ACQUISITION $43 Per Sibs SF $24,350,440 $0 SITE WORK $20 Per Site SF $11,325,600 $11,325,600 UNIT CONSTRUCTION BARD COSTS $153 Per SF $49,468,250 $49,464250 CONTINGENCY 5A0% of Hard Costs $3,039,693 $3,039,693 ARCHJENGJCONSTR. SUPERVISION 7.00% of Hard Coats $5,960,072 $5,960,072 LOCAL IMPACT AND PROCESSING FES $26.05 Per SF $8,315,308 $8,315,308 ALTA SURVEY $3,000 $3,000 ENVIRONMENTAL, PHASE 1 $7,500 $7,500 SOILS TESTING 5101000 $10,000 CONSTRUCTION LOAN FEES 1.00% $938,572 $934572 CONSTRUCTiOWLFASE-UP INTEREST 8.50% 15 Months $6,781,185 $6,781,185 REAL ESTATE TAXES AND INSURANCE 1.6D% of Hard Costs $1,362,302 $1,362,302 TITLE AND CLOSING $15,000 515,000 APPRAISAL FEES $10,000 $10,000 REAL ESTATE LEGAL $30,000 $12,000 ORCANIZATK)NAL LEGAL $30,000 $0 MARKET STUDY $25,000 $251000 POST -CONSTRUCTION AUDIT $15,000 $0 MARKETINGA.EASE4JRSTART-UP $100,000 $0 OPERATING RESERVE 3 Months Cher $292,500 $0 TOTAL DEVELOPMENT COST $112,079,022 $87,273,482 DEVELOPER FEE (1) 15.00% ofTDC $1,940,000 $1,200,000 TAX CREDIT CONSULTANT $30,000 $0 TAX CREDMAPPUCATION FEE $2,000 $0 TCAC ALLOCATION FEE 4.00% of Ann. Credit $320,270 $0 SYNDICATION LEGAL $30,000 $0 TOTAL PROJECT COST $114,401,293 $68,473,482 PER UNIT $352,004 SM,226 PER SF $388.46 (1) As of 2006, the maximum developer fee permitted by TCAC is the leaser of 15% of development cost, or $2 million. The maximum amount that can be Included in eligible bask Is $1.4 million. Developrnent and tax credit coruuiting and syndication costs are huluded In the developer fee caµ Cky er-rimik, Atfordablltty Cap and LwaraW Fkwwiin8 Analysis Page G3 Table C-4 RENTAL PROTOTYPE STACKED FLAT APARTMENTS FINANCING ASSUMPTIONS 9% TAX CREDITS, FEDERAL AND STATE TAX CREDIT EQUITY $71,616,838 Requested Eligible Basis $0 Less: Non -Qualified Non -Recourse Financing 1.00%% Unadjusted Eligible Basis $71,616,838 Adjusted Eligible Basis (High Cost Area Adjust) 1.30 $93,101,889 Qualified Basis (% Low Income Units) 100% $93,101,989 Tax Credit Rate 8.60% Annual Allow. Federal Credits $8,006,762 Tax Credit Pricing (Equity Raised Per Tax Credit Dollar) 54,786,7199 Federal $1,994,466 Federal Tax Credit Equity (99.99%) $80,059,618 $80,059,618 FAIR MARKETVALUE CALCULATION $938,572 $93 Net Operating IncomRestr. Rents e; $1,563,730 Capitalization Rage 8.50% $18,396,824 Capitalized Value at Restricted Rents MAXIMUM CONSTRUCTION LOAN CALCULATION Max. Constr. Loan as Percent of FMV 75% $13,797,618 Plus: Federal and State Tax Credits $80,059,618 Maximum Construction Loan $93,857,236 CONSTRUCTION LOAN $93,857,236 Amt. Constr. Loan Am 8 50. Interest Rate 1.00%% Loan Points 60.00% Average Loan Balance—Construction 12 Months Construcdon Loan Tenn 3 Months Lease -Up Period 15 Months Total Construction Loan Period Construction Loan Interest—Construction 54,786,7199 Construction Loan Interest—Cease-Up $1,994,466 Total Constriction Loan Interest $ ,185 Construction Loan Points $938,572 $93 PERMANENT MORTGAGE 730 $1,563,1.2 Net Operating Income Debt Coverage Ratio $1,250 980 Debt Service Based on DCR year 30 ears Mortgage Term 8.00% Interest Rate Max. Mortgage Amount (DCR) $14,207,327 Loan Fees 1.00% $142,073 City of Tustin Page C-1 Affordability Gap and Leveraged Financing Analysis Unit Size Table C -S RENTAL PROTOTYPE: STACKED FLAT APARTMENTS THRESHOLD BASIS LIMITS 9% TAX CREDITS, FEDERAL AND STATE Orange Co. 9%Threshold Basis Limits, 2008 TCAC Basis # of Units Limit Per Unit 1 Bedroom 73 $139,272 2 Bedroom 100 $168,800 3 Bedroom 100 $215,040 4 Bedroom 50 $239,568 2 Bedroom Mgr's Unit 2 $168,800 Total Threshold Basis Threshold Basis Boosts Plus: Prevailing Wage Boost Plus: Subterranean Parking Boost Plus: Day Care Center Boost Plus: Special Needs Boost Plus: Elevator Boost Subtotal Boost (1) Plus: Energy Efficiency Basis Boost Plus: Distributive Energy Boost Plus: Seismic Upgrade Boost Plus: Development impact Fees Tonal Adjusted Threshold Basis Total Unadjusted Eligible Basis Requested Eligible Basis Max allowed 20% 7% 2% 2% 10% 39% 4% 5% 15% Oo10 0% 0% 0% 0°i6 4% 0% No Total Basis $10,166,856 $16,880,000 $21,504,000. $11,978,400 $337,600 $60,866,856 $0 $0 $0 $0 $0 $2,434,674 $0 $0 $8,315,308 $71,616,838 $88,473,482 $71,616,838 (1) Under 2008 TCAC regulations, the total combined boost for prevailing wage, parking, day care center, special needs and elevator may not exceed 39 percent City of Tustin Affordability Cap and Leveraged Financing Analysis Page C-1 I10 �, i I If pill[ a �j tp 4, p p � - 2812$ $ IsaiI Min § 1 at Bali§ ) $■�� § k §k }Sits $ i $ �a■�� � �� �■�-% � �■§�� § 4«$ $at 9 2 a2 k ■■k§ �s��$ � §s■%@ ■f■22 §��� � � � �re §■5 $ taa�t ■ � P1 ` �k »a WE k §■■ - 2 §t2 fa§§11 2 2 40 i 2■§g k �§k ! '2� t i I■ @g sa;i � s t- Sias @ � ■ �a�k$ gk 2 $■a�2 .eu �s� . � � ra a�2� � ■a§@ � � § Table C-8 RENTAL PROTOTYPE: STACKED FLAT APARTMENTS RENTAL INCOME AND OPERATING COSTS 4%.TAX CREDITS, TAX.EXEMPT BONDS ASSUME 2007 Median Household Income, Family of Four $78,7 $33,415 $39,350 Affordable Housing Cost As a % of income $738 $885 $984 Totals 1 Bedroom 2 Bednoan 3 Bedroom 4 Bedroom No, of Bedrooms 1.5 Peru" 3.0 Parsons 4.0 Persons 5.0 Persons Household Sire (1) 7S% 90% 100% 108% Household Sin Inoorno Adjust Factor $54 $68 $98 $104 Utility Allmance (2) 323 73 100 100 50 No. of Units 773 73 200 300 200 Total Bedroom Monthly Units AFFORDABLE RENTS By INCOME LEVEL Annual Gross klcomo Affordable Monthly HornGrg Cost Least Monthly Udky Alhwver" Affordable Monthly Rent Annual Gross Income Affordable Mon" Housing Cost Loss: Monthly utility Allowance Alfadable Morohly Reit NET OPERATING INCOME Affardablllty LmVNo. of Bedrooms 50% ed toladho 30.0% of Units N%Ahk i0 70.0% of Units Tbbls mangoes Unit GROSS RENTAL INCOME Less: Vacancies 0) Misc. Income GROSS ANNUAL INCOME LESS: OPERATING EXPENSES Lem Operating Reserves Leu: Replacement Reserves NET OPERATING INCOME $42,498 $1,062 (5109) $953 $50.948 $1,275 ($109) $1,166 $3,708,168 • 5.0% ($185,408) $100 Per Unit ;32,300 $3,555,060 $300knitfmo. $3,600 ofOF BBQ (;1($35,100$) $400 Per Un)t/Year ($130,000) (1) Assumes the lesser of TCAC occupancy standard (1.5 persons per bedroom) and California Health and Safety occupancy standard lobe person per bedroom plus one$. (2) Source County of OrangeCommunity Housing and Services, effectiveOctober 1, 2006. _ and trash. tenant pays all ekcoic heau% ooddng, and water hosting and basic electricity; 20 (3) TCAC requires a 5% minimum vacancy rate unless waived based an vacancy data in the market area. City &Tutt Rrmmkg Analyala ABorda6iNryy Gap tinttrmopd $2,219,960 Par C-12 $29,313 $33,415 $39,350 $738 $885 $984 ($34) ($68) ($98) $684 $817 $886 $35,415 $42,498 $47,220 $50 $1,062 $1,181 ($541 (568) $831 $994 $1,083 Monthly Units Rent Gross Incarho 1 Bedrooms 22 5684 5817 $151048 $246,310 2 Bedroom 30 $ 4 Bedroom 15 $953 $14,295 1 Bedroom 51 $831 $42,381 2 Bedroom 70 $994 $69.580 3 Bedmorn 70 $1,083 $75,810 4 Bodroorn 35 $1,166 $40,810 323 $309,014 2 $42,498 $1,062 (5109) $953 $50.948 $1,275 ($109) $1,166 $3,708,168 • 5.0% ($185,408) $100 Per Unit ;32,300 $3,555,060 $300knitfmo. $3,600 ofOF BBQ (;1($35,100$) $400 Per Un)t/Year ($130,000) (1) Assumes the lesser of TCAC occupancy standard (1.5 persons per bedroom) and California Health and Safety occupancy standard lobe person per bedroom plus one$. (2) Source County of OrangeCommunity Housing and Services, effectiveOctober 1, 2006. _ and trash. tenant pays all ekcoic heau% ooddng, and water hosting and basic electricity; 20 (3) TCAC requires a 5% minimum vacancy rate unless waived based an vacancy data in the market area. City &Tutt Rrmmkg Analyala ABorda6iNryy Gap tinttrmopd $2,219,960 Par C-12 Table C•9 RENTAL PROTOTYPE STACKED FLAT APARTMENTS DEVELOPMENT COSTS 4% TAX CREDITS, TAX-EXEMPT BONDS Acres (Units Plus Parking) 13.00 No. of Units 325 Total Living Area 319,150 Community Room 0 Total Net Square Feet, Residential Units 319,150 Other Building Area 0 Total Net Square Feet 319,150 Total Gross Square Fast 319,150 % Residential 100.0096 Tax Credit ED& Bask Tod(100'X► Resfd.) LAND ACQUISYTION $43 Pbr Sib 5F $24,350,040 $0 SITE W= $20 Per Site SF $11,325,600 $11,325,600 UNIT CONSTRUCTION HARD COSTS $155 Por SF $49,468,250 $49,468,250 CONTINGENCY 5.00% of Hard Costs $3,039,693 $3,039,693 ARCH./ENG.KONSTR, SUPERVISION 7.00% of Hard Costs $5,960,072 $3,960,072 LOCAL IMPACT AND PROCESSING FEES $26.05 Per SF $8,315,308 $8,315,308 ALTA SURVEY $3,000 $3,000 ENVIRONMENTAL PHASE I $7,S00-- $7,500 SOILSTESTING $10,000, $10,000 CONSTRUCTION BOND FEEWCOSTS 1.00% Pha $100,000 $693,933 $0 CONSTRUCTIONLEASE-UP INTEREST 5.50% 15 Months $2,776,637 $2,776,637 REAL ESTATE TAXES AND INSURANCE 1.60% of Hard Cosa $1,362,302 $1,362,302 TITLE AND CLOSING $15,000 $15,000 APPRAISAL FEES $10,000 $10,000 REN. ESTATE LEGAL $30,000 $12,000 ORGANIZATIONAL LEGAL $30,000 $0 MARKET STUDY $25,000 $25,000 POST -CONSTRUCTION AUDIT $15,000 s0 MARKETING/LEASE-UPSTART-UP $100,000 so OPERATING RESERVE 3 Months Oper $292,500 $0 SOFT COST CONTINGENCY 1.00% $107$$117 $107,417 TOTAL DEVELOPMENT COST $107,937,252 $82,437,779 DEVELOPER FEE (1) 15.0096 of Dev. Costs $1,940,000 ;1,200,000 BONWTAX CREDTTADVISOR $30,000 $0 TAX CREDIT APPLICATION FEE 52,000 $0 TCAC ALLOCATION FEE 4.00% of Ann. Credit $156,570 $0 SYNDICATION LEGAL $30,000 $0 TOTAL PROJECT COST $110,093,822 $83,637,779 PER UNIT $338,736 $257,347 PER SF $344.97 (1) As of 2006, the maximum developer fee permitted by TCAC Is the lesser of I S% of development toss or $2 million. The maximum amount that an be included in eligRrle bask is $1.4 million. Development and tax credit consulting and syndication coats are Included in the developer fee cap. aty o(Tusdn Affordability Gap and lemMW FlnuminSMsiysk Pop G13 Tawe C-10 RENTAL PROTOTYPE$ STACKED FLAT APARTMENTS FINANCING ASSUMPTIONS 4% TAX CREDITS, TAX-EXEMPT BONDS TAX CREDIT EQUITY $83,637,779 Total Eligible Basis $0 Less: Non -Qualified Non -Recourse Financing 0% $0 Less Eligible Am0untV0lunta ity Exekxled $83,637,779 Unadjusted Eligible Basis Adjusted Eligible Basis (High Cost Area AdjusO 130 100% $108,729,113 $108,729,113 Qualified Basis 3.60% Tax Credit Rab $3,914,248 Annual Aibw. CrWb Tax Credit Pricing (Equity Raised Per Tax Credit Dollar) $1.05 Federal $40,688,609 Federal Tax Credit Equity (9996) CONSTRUCTION BOND AMOUNT 55% of AW Basis $59,393,300 Consir. Loan Arnt 5.50% Intent Rate constr. Bond hsuance Costs/Fees $100,000 Plus 1.006 60.00% ,average Loan Balance --Construction 12 Months Conorucow Period 3 Months Lease Up Period $1,959,979 Construction Loan Interest --Construction $816,658 Construction Loan Interest—t.W&UP $2,776,637 Net krWest Cat $693,933 Bond Issuance Costs PERMANENT BOND AMOUNT $2,219,960 Net Operating Income 1.25 Debt Coverape Ratio. $1,775,970 Debt Service 30 years Mortgage Term 7.00% Interest Rats C-14 fferdaWH y Gap and Leveraged E1-ndn9 A-1ysb Unit Size Table C-11 RENTAL PROTOTYPE: STACKED FLAT APARTMENTS THRESHOLD BASIS LIMITS 4% TAX CREDITS, TAX-EXEMPT BONDS Orange Co. 4% Threshold Basis Limits, 2008 TCAC Basis # of Units Limits 1 Bedroom 73 $179,727 2 Bedroom 100 $216,800 3 Bedroom 100 $277,504 4 Bedroom 50 $309,157 2 Bedroom Mgr's Unit 2 $216,800 Total Threshold Basis Threshold Basis Boosts Max allowed Plus: Prevailing Wage Boost 20% Plus: Subterranean Parking Boost 7% Plus: Day Care Center Boost 2% Pius: Special Needs Boost 1% Pius: Elevator Boost 10% Subtotal Boost (1) 39% Plus: Energy Efficiency Basis Boost 4% Plus: Distributive Energy Boost 5% Plus: Seismic Upgrade Boost 15% Pius: Development Impact Fees Total Adjusted Threshold Basis Total Unadjusted Eligible Basis Requested Eligible Basis 0% 0% 0% 0% 0% Total Basis $13,120,071 $11,680,000 $27,750,400 $15,457,850 $433,6W $78,441,921 $0 $0 $0 $0 $0 4% $3,137,677 0% $0 0% $0 $8,315,308 $89,894,906 $83,637,779 $83,637,779 (1) Under 2008 ICAC regulations, the total combined boost for prevailing wage, parking, day care center, special needs and elevator may not exceed 39 percent City of Tustin Affordability Gap and Leveraged Financing Analysis Page C-1 tie id I �111 M all is rr 1I u � Hill 111 i9lot! A Y1;1 � �Q �w W M � M W N 400 V y�yD� ��Wpp N y► R �lN/1 A+pl V OBD O TO ig 1 s iib � � evS 400 4ft 406 W OWO .~i �N OHO N M 2S�i+w g2Swo�' M Li j N�p N N V f 71 V V N D N VNI � yN1 Nv ~ a j V r V ppO�MMwin yp � aaOMM pipep r r Jam. Not -to 1 s iib � � evS 400 4ft 406 W OWO .~i �N OHO N M 2S�i+w g2Swo�' M Li j N�p N N V f 71 V V N D N VNI � yN1 Nv ~ a j V r V ppO�MMwin yp � aaOMM pipep 4 2 r �! wry yy� � V 40 N � P W %D 'a� up N M � N iR 8a;1 N '45 g NVNNN hva v � LpS, �s L�.i itaa� MM �00 r. � Oss�t V �wfwq F }g �wisig�8 a 33� � A AMpl yy $W$ fii M N � '[ybs�{NV+yw N �r ppmWp {yQ�1 ta/1�000� W W NOS 0 N N N u M N V a yNy p ppW VVf C Tgj�j � N�N N Vi N � M � M L p{w p"p�g N W OOa N ihi/l� V �N1�Zy �ua {�yy Ny��pVy a}�OI +O V a b00� W A ypp1�� 40 40 pA11 MMN �yN�r N W •Nr O 1a 0 0 V 40- 0-0 40 : W V ♦ r r W ISMW LMyi N L. V 10 W b 4 1 V ?9 1 � � N g LA t es Table G14 RENTAL PAMTI'M STAMD FLAT APAUMEMS MHP LOAN U MITS 2007 CKY Of utin Pap C,22 ? K d,W ft Cap and Lnvapd Anaocina MAO Unats 0 Unite 0 MHP Loan Limit hr Urdt Mat hn" MHP Lou uaat Size Y of Uaih 30% AMI 60% AM 30% AML 60'X. AMI 30% AML 60% AAU Total 1 Bedroom 73 22 51 $110,686 $123,938 $45,000 $45,000 $2,435,092 $3,718,140 $2,295.000 53,150,000 $4,730,D92 $6,86lf,140 2 Bedroom 100 30 30 70 70 $136,152 $45,000 $4,085,460 $3,150,000 $7,235,460 3 Bedroom 1p0 15 35 51'16,697• 545,000 $2,200,453 $1,575,000 $3,775,455 4 Bedroom 50 226 512,439,147 $10.172000 $22,609,147 Taal 323 97 CKY Of utin Pap C,22 ? K d,W ft Cap and Lnvapd Anaocina MAO Table C-15 RENTAL PROTOTYPE: STACKED RAT APARTMENTS RENTAL INCOME AND OPERATING COSTS MHP PROGRAM, TAX-EXEMPT BONDS, 4% TAX CREDITS 2007 Median Household Income, Family of four $78,700 Affordable Housing Cost As a % of Income 306r6 No. of Bedrooms Totals 1 Bedroom 2 Bedroom 3 Bedroom 4 Bedroom Household Size (1) 1.5 Persons 3.0 Persons 4.0 Persons 5.0 Person Household Size Income Adjust. Factor 75% 90% 100% 108% Utility Allowance (2) $54 $68 $98 $109 No. of Units 323 73 100 100 50 Total Bedrooms 773 73 200 300 200 AFFORDIAILE RENTS BY INCOME LEVET. MHP B 00%1 Affordable Monthly Housing Cost $456 $547 $632 $705 Less: Monthly Utility Allowance ($54) ($68) ($98) (5109) Affordabl* Monthly Rent $402 $479 $S34 $596 60% of Median Annual Gross income $35,415 $42,498 $47,220 $50,998 Affordable Monthly Housing Cost $885 $1,062 $1;181 $1,275 Less: Monthly Utility Allowance ($54) ($68) ($98) ($109) Affordable Monthly Rent $831 $994 $1,083 $1,166 NET OPERATING INCOME Affordability Level/No. of Bedrooms Units Rent Monthly Gross Income MHP 8 (30%) 1 Bedroom 22 $402 $8,844 30.0%of Unit 2 Bedroom 30 $479 $14,370 3 Bedroom 30 $534 $16,020 4 Bedroom is $596 $8,940 60% of Medan 1 Bedroom 51 $831 $42,381 70.0% of Unks 2 Bedroom 70 $994 $69,580 3 Bedroom 70 $11083 $75,810 4 Bedroom 35 $1,166 $40,810 Average Affordability 50.99% Totals 323 $276,755 Manager's Unit 2 GROSS RENTAL INCOME $3,321,060 Less: Vacancies (3) 05.0% ($166,053) Miscel. Income $100 Per Unit $32,300 GROSS ANNUAL INCOME $3,187,307 LESS: OPERATING EXPENSES $300/unWrw. $3,600 Per Unit (;1,170,001)) Less: Operating Reserves 3.0% of Opec Budget ($35,100) Less: Replacement Reserves (4) 0.6% of Construction Cosb ($371,012) NET OPERATING INCOME $1,611,195 (1) Assumes the lesser of TCAC occupancy standard (1.5 persons per bedroom) and California Health and Safety occupancy standard (one person per bedroom plus one). (2) Source: County of Orange Housing and Community Services, effective October 1, 2006. Assumes tenant pays all electric heating, cooking, and water heating and basic electricity, landlord pays water and trash. (3) TCAC requires a 5% minimum vacancy rate unless waived based on vacancy data in the market arca. (4) MHP requires replacement reserves equal to 0.6% construction cosu unless otherwise approved. City o(Tustin Affordability Gap and t.everapd FinandngArvlysts Pegs C-1 Table C -l6 RENTAL PROTOTYPE: STACKED FLAT APARTMENTS DEVELOPMENT COSTS MHP PROGRAM,TAX-EXEMPT BONDS, 4% TAX CREDITS Acres (Units Plus Parking) G 13.00 No. of Units 325 Total Living Area 319,150 Community Room 0 Total Net Square Feet Residential Units 319,150 Other Building Area 0 Total Net Square Feet 319,150 1 Feet 319,150 Tota rocs Square % Residential 100.00% Tax Credit Elig. Basis Total (100% Resid.) LAND ACQUISITION SITE WORK UNIT CONSTRUCTION HARD COSTS (1) CONTINGENCY ARCHJENGJCONSTR. SUPERVISI )N LOCAL IMPACT AND PROCESSING FEES ALTA SURVEY ENVIRONMENTAL PHASE I SOILSTESIING CONSTRUCTION BOND FEESICOSTS CONSTRUCTION&EASE-UP INTEREST REAL ESTATETAXES AND INSURANCE TITLE AND CLOSING APPRAISAL FEES REAL ESTATE LEGAL ORGANIZATIONAL LEGAL MARKET STUDY POST -CONSTRUCTION AUDIT MARKETING4TASE-UPSTART UP OPERATING RESERVE $43 Per Site SF $24,35Q040 $0 $20 Per Site SF $11,325,600 $11,325,600. $194 Per SF $61,835,313 $61,835,313 5% of Hard Costs $3,658,046 $3,658,046 7% of Hard Costs $5,960,072 $5,960,072 $26.05 Per SF $8,315,308 $8,315,308 PER SF $3,000 $3,000 $7,500 $7,500 $10,000 $10,000 1.00% Plus $100,000 $771,610 $771,610 5.50% 15 Months $3,139,778 $3,139,778 1.6096 of Hard Costs $1,362,302 $1,362,302 $15,000 $15,000. $10,000 $10,000 $30,000 $12,000 $30,000 $0 $25,000 $25,000 $15,000 $0 $100,000 $0 $292,500 $0 3 Months Oper vcv L .vr cn .— %*1 BOND/TAX CREDIT ADVISOR $,000 TAX CREDIT APPLICATION FEE $2 52,000 $o $0 TCAC ALLOCATION FEE 4.00% Credit $183,008 Ann. Cre $O SYNDICATION LEGAL $30,000 TOTAL USES $123,551,461 597,760,912 PER UNIIT$380,158 $1300,803 PER SF $387.13 (1) Estimated hard costs, assuming prevailing wages, at a 25% increase in hard costs over non -prevailing wage costs. (2) For MHP projects with tax credits, the difference between the maximum developer fee underTCAC: $1,940,000 and the maximum under MHP: $3,137,500 be deferred and paid only out of cash flow. City o{Tustin Page C-1 Affordability Gap and Leveraged FinancfngMalysis Table C-17 RENTAL PROTOTYPE STACKED FIAT APARTMENTS FINANCING ASSUMPTIONS MHP PROGRAM, TAX-EXEMPT BONDS, 4% TAX CREDITS TAX CREDIT EQUITY Total Eligible Buis $97,760,912 Less: Non -Qualified Non -Recourse Financing S0 Less: Eligible Amount voluntarily Excluded 0% S0 Unadjusted Eligible Basis $97,760,912 Adjusted Eligible Basis (High Cost Area Adjust) 130 $127,089,186 Qualified Bask 100% $127,08+9,186 Tax Credit Rata 3.60% Annual Allow. Credits $4,575,211 1kx Credit Pricing (Equity Raised Per Tax Credit Dolled federal $1.05 Federal Tax Credit Equity (999) $47,SS9,31S CONSTRUCTION BOND AMOUNT Constr. loan Amt. 55% of Agg. Basis $67,161,024 Interest Rate 5.50% Condr. Bond Issuance Comfees $100,000 Plus 1.00% Average Loan Balance—Construction 60.00% Construction Period 12 Months Lease Up Period 3 Morrft Construction Loan infest—Conslnrct(ion $2,216,314 Constructicn Loan inierest--Lease Up $923,464 Total Irdwast cost $3,139,778 Bond Issuance Costs $771,610 PERMANENT BOND AMOUNT Net Openuing income $1,611,195 Debt Coverage Ratio . 1.25 Debt Service $1,288,960 MixteapTem 30 years Interest Batt 7.00% Max. Mortgage Amount mm $16,14S,037 City of Tustin Affordability Gap and Levvaged Rnandn8Analysk Page 1-25 Table C-18 RENTAL PROTOTYPE: STACKED FLAT APARTMENTS THRESHOLD BASIS LIMITS MHP PROGRAM, TAX-EXEMPT BONDS, 4% TAX CREDITS City of Tustin Affordability Gap and Leveraged Financing Analysis Page C-1 Orange Co. 40/* Threshold Basis Limits, 2008 TCAC Basis Total Unit Size # of Units limits Basis 1 Bedroom 73 $179,727 $13,120,071 2 Bedroom 100 $216,800 $21,680,000 3 Bedroom 100 $277,504 $27,750,400 4 Bedroom 50 $309,157 $15,457,850 2 Bedroom Mgr's Unit 2 $216,800 $433,600 Total Threshold Basis $78,441,921 Threshold Basis Boosts Max allowed Plus: Prevailing Wage Boost 20% 20% $15,688,384 Plus: Subterranean Parking Boost 7% 0°Ya $0 Plus: Day Care Center Boost 2% 00/0 $0 Plus: Special Needs Boost 2% 0% $0 Plus: Elevator Boost 10% 0% $0 Subtotal Boost (1) 390/6 Plus: Energy Efficiency Basis Boost 4% 4% $3,137,677 Plus: Distributive Energy Boost 5% 0% $0 Pius: Seismic Upgrade Boost 15% 0% $0 Plus: Development Impact Fees $8,315,308 Total Adjusted Threshold Basis $105,583,290 Total Unadjusted Eligible Basis $97,760,912. Requested Eligible Basis $97,760,912 (1) Under 2008 TCAC regulations, the total combined boost for prevailing wage, parking, day care center, special needs and elevator may not exceed 39 percent. City of Tustin Affordability Gap and Leveraged Financing Analysis Page C-1 III Ell a �t I lit fill ffll! fit I mal I a [� cif}ii f f 9i IR fill flu t fit 1111 N r 4 yeeyp� y� {yip, �y MP v V W a s NOOOui a�31 n � � Ta��� tsaw a ■ §� § .. ' . .gl� k )Sail ) vi: 1 k #$k !■ $ @ galls � �a_ p ■B�2 _ s /sI L3� p � Load� t Ia■ A APPENDIX B REFERENCES CITY OF TUSTIN TECHNICAL MEMORANDUM HOUSING ELEMENT This page intentionally left blank CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 2008 REFERENCES A. Documents 8. 1990 Census Report. U.S. Department of Commerce, Bureau of the Census. 9. 2000 Census Report. U.S. Department of Commerce, Bureau of the Census. 10. Comprehensive Housing Affordability Strategy for Fiscal Years 2007-2008 to 2017-2018, David Paul Rosen & Associates (DRA). 11. Marine Corps Air Station (MCAS) Tustin Specific Plan/ Reuse Plan, Adopted February 2003, Amendments through June 2007. 12. California State Department of Finance, 2007. 13. Demographic Profile and Survey of Homeless Persons Seeking Services in Orange County. The Research Committee of the Orange County Homeless Issues Task Force, 1999. 14. Southern California Association of Governments, Regional Housing Needs Assessment, 2007. 15. City of Tustin, Zoning Ordinance. 16. City of Tustin, General Plan, as amended January 16, 2001. 17. Third Five -Year Implementation Plan for The Town Center and South Central Redevelopment Project Areas (FY 2005-06 to 2009-2010), Tustin Community Redevelopment Agency, December 2004. 18. Final Environmental Impact Statement/ Environmental Impact Report (EIS/EIR) for the Disposal and Reuse of MCAS -Tustin (Program EIS/ EIR for MCAS -Tustin), January 16, 2001. 19. City Council Staff Report, 20. Response to Comments, Final Volume 2 and 3 of Final Environmental Impact Statement/ Environmental Impact Report (EIS/ EIR) for the Disposal and Reuse of MCAS -Tustin. 21. State of California, Department of Housing and Community Development, Website. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 2008 B. Persons and Organizations 1. Christine A. Shingleton, Assistant City Manager Tustin Community Redevelopment Agency (714) 573-3107 2. Elizabeth A. Binsack, Community Development Director Community Development Department, Tustin (714) 573-3031 3. Douglas C. Holland, City Attorney Woodruff, Spradlin & Smart (714)564-2642 4. Jerry Craig, Redevelopment Program Manager Tustin Community Redevelopment Agency (714) 573-3121 5. Kimberly McAllen, Redevelopment Project Manager Tustin Community Redevelopment Agency (714) 573-3128 6. Justina Willkom, Senior Planner Community Development Department, Tustin (714) 573-3115 7. Reina Kapadia, Assistant Planner Community Development Department, Tustin (714) 573-3118 8. Lieutenant Steve Lewis Tustin Police Department (714) 573-3271 9. David Paul Rosen & Associates (DRA) Nora Lake -Brown, Principal 3941 Hendrix St. Irvine, California 92614 10. Dawn Lee, Executive Director Orange County Partnership (714)288-4007 CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 2008 11. Robert Stiens Tustin Community Foundation (714) 777-4653 12. Karen Roper, Homeless Prevention Coordinator Orange County Housing and Community Services Agency (HCS) (714)480-2841 CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 2008 This page intentionally left blank. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 2008 APPENDIX C MAJOR EMPLOYERS IN TUSTIN CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 2008 This page intentionally left blank. CITY OF TUSTIN HOUSING ELEMENT TECHNICAL MEMORANDUM 2008 LIST OF MAJOR EMPLOYERS IN TUSTIN, CA Company/Address/Telephone No. Emp. Product/Service Tustin Unified School District - (714) 730-7301 1,886 Education 300 South C St - Tustin 92780 AT&T - (714) 259-6667 1,300 Telecommunications 1442 Edinger Ave- Tustin 92780 Ricoh Electronics, Inc - (714) 259-1220 1,038 Manufacturer 1100 Valencia Ave - Tustin, 92780 Rockwell Collins - (714) 317-8102 700 Manufacturer 14192 Franklin Ave- Tustin, 92780 Cherokee International - (714) 544-6665 330 Power Supplies 2841 Dow - Tustin, 92780 ADC Telecommunications, Inc - (714) 259-7729 15621 Red 300 Telecommunications Hill Ave - Tustin, 92780 Equipment Balboa Instruments - (714) 384-0384 300 Electronic 1382 Bell Ave - Tustin, 92780 Manufacturer Toshiba America Medical Systems - (714) 730-5000 2441 300 Distributor, Medical Michelle - Tustin, 92780 Equipment City of Tustin - (714) 573-3000 300 Government 300 Centennial Way - Tustin 92780 Costco Wholesale - (714) 838-7895 241 Wholesale Trade 2655 El Camino Real - Tustin 92780 Woodbridge Glass Inc - (714) 838-4444 205 Glass & Glazing Work 14321 M ford Rd - Tustin 92780 Costco Wholesale - (714) 338-1943 200 Wholesale Trade 2700 Park Ave - Tustin 92780 Logomark, Inc. - (714) 675-6100 200 Wholesale Trade 1201 Bell Ave - Tustin 92780 SMC Corporation of America - (714) 669-0941 200 Manufacturer 14191 M ford Rd - Tustin 92780 Tustin Hospital - (714) 669-5880 200 Hospital 14662 Newport Ave - Tustin, 92780 Vitatech International, Inc. - (714) 832-9700 178 Pharmaceutical 2832 Dow Ave - Tustin 92780 Pre arations Home Depot - (714) 838-9200 154 Retail 2782 El Camino - Tustin, 92780 Straub Distributing Company - (714) 247-7300 150 Wholesale Trade 2701 Dow Ave - Tustin, 92780 Dawn Food Products, Inc - (714) 258-1223 150 Wholesale Bakery 15601 Mosher Ave - Tustin, 92780 Durabag Company Inc - (714) 259-8811 150 Manufacturer 1301 Santa Fe Dr - Tustin, 92780 Tustin Unified School District - (714) 730-7301 - 300 South 1,886 Education C St - Tustin 92780 Source: City of Tustin Website, October 26, 2007, Tustin Chamber of Commerce, 1999, Tustin Community Development Department, and Orange County Workforce Investment Board 2007 CITY OF TUSTIN TECHNICAL MEMORANDUM HOUSING ELEMENT This page intentionally left blank. CITY OF TUSTIN TECHNICAL MEMORANDUM HOUSING ELEMENT _1/: APPENDIX D ORANGE COUNTY BUSINESS COUNCIL 2007 WORKFORCE HOUSING SCORECARD CITY OF TUSTIN TECHNICAL MEMORANDUM HOUSING ELEMENT //: A Z3cUrIELIcara Vturftyorue sr r 9rr br rc r. r1loll 4 rpt ((R f iY 2007 r ar �` �"v2et� •• iEr y.��Y wY� F t arar sr rr(s. � ta+� i sYlt l�Y e � � AMIr a A Z3cUrIELIcara }j daa is sr r 9rr br rc r. 4 rpt ((R f iY r ar �` �"v2et� •• iEr y.��Y wY� F t arar sr rr(s. � ta+� i SPECIAL ACKNOWLEDGEMENTS ORANGI COUNTY BUSINESS COUNCIL BankofAmerica. Orange County Business Council thanks Bank of America for generously supporting the corporate underwriting of this inaugural edition of the Workforce Housing Scorecard. OCBC INVESTORS Further, the Business Council thanks its investors for their generous support, without which our advocacy efforts would not be possible: Adorno, Yoss, Alvarado & Smith Advanced Medical Optics Allergan, Inc. Automobile Club of Southern California Bank of America California C & L Refrigeration Corporation C. J. Segerstrom & Sons California Bank & Trust, Orange County California State University, Fullerton Carter & Burgess, Inc. Center Club CI -12M Hill, Inc. Chapman University Chevron Children and Families Commission of Orange County Cisco Systems, Inc. Citizens Business Bank City of Aliso Viejo City of Anaheim City of Brea Economic Development Dept. City of Fullerton City of Huntington Beach Economic Development City of Newport Beach City of Santa Ana City of Westminster Clean Energy Coast Community College District County of Orange - County Executive Office Cox Business Services, Orange County CT Realty Corporation Earthlink Municipal Works Edwards Lifesciences Corporation Elsinore Homes, Inc. Experian Farmers & Merchants Bank First American Title Company Fluor Corporation Ford Motor Company Freedom Communications Inc., Metro Division Gibson, Dunn & Crutcher LLP Hoag Memorial Hospital Presbyterian Hospital Association of Southern California Hyatt Regency Irvine IBM John Wayne Airport KB Home KOCE-TV Lennar Homes LSA Associates, Inc, Manatt, Phelps & Phillips, LLP Merrill Lynch Michael Brandman Associates Morrison & Foerster LLP New Century Financial Corporation Northwestern Mutual Financial Network, The Waltos Group Nossaman Guthner Knox & Elliott, LLP Nutrilfte, a Division of Access Business Group Oce Imagistics, Inc. Orange County Business Journal Orange County Department of Education Orange County Performing Arts Center Orange County Sanitation District Orange County Teachers Federal Credit Union Orange County Transportation Authority O'Shea, Divine & Company, Inc. Pacific Life Paul, Hastings, Janofsky & Walker LLP Porter Novelli Poseidon Resources Corporation PricewaterhouseCoopers LLP Quiksilver R.C. Hobbs Company, Inc. Rancho Mission Viejo, LLC Rancho Santiago Community College District RBF Consulting Right Management Rutan & Tucker, LLP SDG&f and The Gas Company Siemens Corporation South Orange County Community College District Southern California Edison Company St. Joseph Health System Strategic Resources Alliance, Inc. Sukut Construction, Inc. Taco Bell Corp. Telelogic North America Inc. The Boeing Company The Disneyland Resort The First American Financial Corporation The Irvine Company The Paul Merage School of Business/L)C-kAne The Robert Mayer Corporation The Showpros Group, Inc. Toshiba America Electronic Components, Inc. Toshiba America Information Systems, Inc. Transportation Corridor Agencies Tustin Ranch Golf Club U.S. Bank UC Irvine Union Bank of California UNISYS United Parcel Service Vineyard National Bancorp Vons, A Safeway Company Vulcan Materials Company, Western Division Washington Mutual Wells Fargo TABLE OF CONTENTS I. FOREWORD AND ACKNOWLEDGMENTS.................................................................1 11. OVERVIEW........................................................................................................... 8 III. DEMAND TRENDS: POPULATION, EMPLOYMENT, AND INCOME APPRECIATION IN ORANGE COUNTY (1991-2005)........................................................................10 IV. SUPPLY TRENDS: HOUSING GROWTH IN ORANGE COUNTY, 1991-2005 .............13 V. ORANGE COUNTY IN 2030................................................................................21 VI. ORANGE COUNTY BUSINESS COUNCIL WORKFORCE HOUSING SCORECARD ........ 28 VII. WORKFORCE HOUSING SCORECARD: METHODOLOGY......................................33 OCBC Workforce Housing Scorecard 2007 Table of Contents . , . SKyline at MacArthur Place/ City of Santa Ana ME • Table of Contents OCBC Workforce Housing Scorecard 2007 OCBC Workforce Housing Scorecard.• A User's Gu/de The Scorecard examines the state of housing in Orange County as it pertains to afforda- bility, density, population, and housing unit supply numbers, as well as the relationship between jobs and housing units. The report tracks these trends on both at the county and city level. The Scorecard collected and analyzed the raw data and their implications to enable you to better understand the state of housing in Orange County. To assess the state of hous- ing in your city, you also need an understanding of housing in surrounding cities, as well as the wider region. Toward maintaining Orange County as a desirable and affordable place to live and work, the Orange County Business Council Workforce Housing Scorecard presents a picture of the state of housing that intends to spur debate and action on housing supply and afforda- bility. Foreword and Acknowledgments In accordance with its mission to assure Orange County's economic prosperity while maintaining a high quality of life, the Orange County Business Council (OCBC), with major sponsorship from Bank of America, is releasing the 2007 edition of the OCBC Workforce Housing Scorecard. Commissioned by the Business Council's Workforce Housing Committee and OCBC investors and partners, including the Orange County Association of Realtors, La- guna Board of Realtors, IMPAC, Orange County Clerk - Recorder, Building Industry Association, United Way of Orange County, and Orange County Community Founda- tion, this report aims to spur a constructive dialogue among stakeholders in pursuit of a robust and integrated business community solution to Orange County's scarce supply of affordable housing for its workforce. The OCBC Workforce Housing Scorecard examines the state of the county's housing from a broad, long-term, employer -based perspective. Only such an approach to affordability can uncover the critical solutions the county needs to ensure prosperity in the long term. As such, the report seeks answers to several pressing questions: ■ How and when did housing become so expensive? • What will the state of housing in Orange County be in 2030? • What role are Orange County cities playing in affordability? ■ What actions or policies can be taken to make housing more affordable? To determine how and when housing became so expensive, the Scorecard examines the history of residential building and growth in Orange County, exploring trends related to population, employment, income appreciation, density, and the ratio of jobs to housing units. The report also explores NIMBY - ism,' the fiscalization of land use, and other factors that have constrained housing development. The exploration of past trends moves to a discussion of their impacts on Orange County's long-term future. If present supply and demand trends continue, the ratio of jobs to housing in 2030 will be se- verely unbalanced. As a result, affordability will continue to decline, many more residents will be priced out of the market, and the number of workers commuting into the county from beyond its borders will continue to grow. Particularly troubling for the Orange County economy is the trend of people ages 25 to 44 leaving the county to find affordability elsewhere—not just to surrounding counties such as Riverside and San Ber- ' NIMBY, or "Not in my backyard," obstruction tactics. OCBC Workforce Housing Scorecard 2007 Foreword and Acknowledgements ... nardino, but increasingly out of state. These people are the both the present and future workforce of Orange County, the foundation necessary for long-term economic sustainability and business competi- tiveness. As the report will demonstrate, high housing costs are driving these people out of the county in increasing numbers. The report casts a county -wide overview of the balance of jobs to housing, as well as a breakdown by city. Because each city plays a critical role as a land use decision maker in the supply and affordability story, the Scorecard evaluates each Orange County city on several important criteria, including: • Total job growth, ■ Total housing growth, and ■ job growth as a percentage of countyjob growth, and changes in density. Cities are ranked in a composite scoring of their performance on the aforementioned criteria, both his- torically (1991-2005) and looking forward (2005-2030), allowing for comparisons of cities. This exercise establishes an important baseline from which cities—and their residents, elected officials, and business leaders—can increase future supply and affordability in line with their workforce demand. To support cities' housing plans, the Business Council will release a Toolkit later in the year with ex- amples of successful affordable housing programs and policies, reports and studies related to housing ff d b' 1' 11 or a i ity, as we as potential l CL egislation neces- sary to address some of the existing barriers to increased housing supply. The Orange County Business Council Workforce Housing Scorecard and the OCBC's long-term com- mitment to this issue is but one part of a larger movement for increased supply and affordability that must take hold in Orange County to ensure contin- ued, long-term prosperity. This Scorecard is a starting point to foster a broad and sustained dia- logue on long-term housing supply and affordability. One rewarding aspect of producing this report has been the reassuring discovery that there is already a dedicated and diverse pool of agents from the pri- vate, public, and nonprofit sectors seeking to The forthcoming Toolkit will complement this re- port by demonstrating a collection of best practices in housing policy, as well as descriptions of future strategies for change, such as: ■ Financial Literacy & Homebuyer Education Programs ■ Flexible Loan Products • Downpayment Assistance Programs ■ Community Land Trusts ■ Ground Leases ■ Housing Trusts ■ Density Bonuses and Parking Variances • Employer -Assisted Rental & Homebuyer Programs increase the supply and affordability of housing. To this end, the Orange County Housing Scorecard would not have been produced without the generosity of our main sponsor, Bank of America, as well as our aforementioned partners. In addition, representatives of all 34 cities contributed their time to validate the information presented in the report. What's more, the methodology, analysis, and style of this report have been greatly en- hanced thanks to the critical insights of a distinguished panel of peer reviewers, namely: Dr. Victoria Basolo, Associate Professor in the Department of Planning, Policy, and Design at the University of Cali- fornia, Irvine (UCI); Dr. Marlon Boarnet, Professor and Former Chair of Planning, Policy, and Design at ... Foreword and Acknowledgements OCBC Workforce Housing Scorecard 2007 UC Irvine; Ray Silver, Executive Director, Orange County League of Cities; Dr. Scott Bollens, Professor and Former Chair of Planning, Policy and Design at UC Irvine; Dr. Kerry Vandell, Professor and Director of the Center for Real Estate at the Merage School of Business (UC Irvine); and William Fulton, Senior Scholar at the School of Policy, Planning, and Development at the University of Southern California and CEO of Solimar Research Group. Finally, constructive guidance for the project was provided by the Orange County Business Council's Housing Committee, chaired by Roger Hobbs and including Lucy Dunn, Todd Priest, and Kris Murray. The technical work of the report was led by Dr. Wallace Walrod, Director of Research and Communication for the Orange County Business Council and his team of research associates, namely: Lee Morrison, Roger Morton, Nicholas Poggioli, Adam Meyers, Alex Warren, and Dan Gorczyca. This report was de- signed by Danielle Bates of the Orange County Business Council. OCBC Workforce Housing Scorecard 2007 Foreword and Acknowledgements -M-11 11. Overview The subject of this report is workforce housing, one of OCBC's three key initiatives (along with infra- structure and workforce development/education). How do we define the scope of workforce housing? From the OCBC and general business community perspective, it is our county's responsibility to house Orange County Business Council's Housing Agenda The release of this report is just one of many initia- tives planned to advance workforce housing. Following the June 2007 briefing of this report, the Orange County Business Council will roll out addi- tional resources and initiatives, including: • Release of OCBC Housing Toolkit • Feasibility analysis of infill opportunities at the city level ■ Analysis of housing unit "bleed" during the approval process • Housing Conference for Elected Officials • State legislation to increase incentives and remove barriers our working individuals and families adequately. There are several important components of hous- ing policy, including reducing homelessness, reducing poverty, and accommodating the needs of our senior citizens and other vulnerable popula- tions. While these are important issues in their own right and the subject of many studies and re- ports, the focus of this report is fundamentally different. The scope of this report is concentrated on the availability of housing as a fundamental component for sustaining, if not increasing, Or- ange County's economic competitiveness. The state of the county's housing in Orange • Second edition of housing scorecard in two years County can accurately be described as an unin- tended byproduct of an unprecedented period of prosperous growth—an amazing success story of sustained economic growth and job creation by the Orange County business community. In the last 15 years, Orange County has grown jobs at a rate of nearly 10 times that of Los Angeles County. During the same period, Orange County created more than 15 percent of the state's jobs while accounting for less than 9 percent of the state's population. The basic insight that Orange County has evolved and is evolving from a suburban to an urban place is not new. As far back as 1986, Mark Baldassare's Trouble in Paradise: The Suburban Transformation in America explored the emerging, more urban sociological pressures that Orange County was just be- ginning to experience. The following passage reflects many of the trends affecting Orange County: "Decades of rapid growth and industrialization in suburbia have created a more diverse popula- tion, land -use mix, and activities. These have caused a new life-style and, with it, new problems. There are several constants in suburbia which have made the transition from the past to the present most difficult. One is that attitudes and preferences of the suburban residents, on is- sues such as housing and transportation, have not changed to reflect the current situation."' Baldassare wrote that passage in 1986, when Orange County's population was just over 2 million resi- dents. Fast forward to 2007. 2 Mark Baldsassare, 1986, Trouble in Paradise: The Suburban Transformation in America. ... • = Overview OCBC Workforce Housing Scorecard 2007 This year, Orange County's population has surpassed 3 million, making it the most densely populated county and metro area in California after San Francisco. Occupying an area of less than 800 square miles, Orange County's economy would rank higher than all but 36 countries. Yet, despite having be- come a densely populated and formidable economic power, people still prefer to view Orange County as suburban bedroom community—something the county hasn't resembled since the 1970s. While we may be tempted to pass this notion off as a benign sense of nostalgia, this yearning for yes- teryear has bred difficult obstacles to addressing the needs of workforce housing. All too frequently, housing plans are stymied by NIMBY -ism, which manifests itself in seemingly constant and endless conflicts over land use. While we don't want to disregard or belittle the legitimacy of protestations over development, this report demonstrates that our collective obstructionism has taken a significant toll on housing supply and affordability. Because housing is an issue that is heavily influenced by local planning commissions, General Plans, Housing Elements, RHNA allocations, and most importantly municipal elected leaders, we disaggregate much of our findings to the city level. By shedding light on each city's contribution toward securing housing for our county's workforce, we hope that greater support can be found for future action at the municipal level. The county's business community can play a vital role in shaping cities' housing policies by communi- cating the critical link between housing supply and economic competitiveness. Although recognition of the county's housing needs has grown significantly among business executives, a sustained and deep- ened commitment among employers will be needed to foster greater awareness and coordinated action by the business community. Lest there be any reluctance toward action on housing, consider that 10 years ago the median price of an Orange County home was $185,000.' Despite the recent cooling of the housing market, the median price for a single-family home in Orange County at the time of this writing is $634,000.4 This sustained increased cost of housing has had a broad and deep impact on the county that goes beyond the lives of first-time homebuyers and young families shut out of the market. If left unchecked, the escalating cost of housing will detrimentally affect the county on key social and economic fronts, including: • A weakened social safety net resulting from young residents leaving their parents behind in search of more affordable housing; ■ A weakened business climate resulting from greater difficulty of recruiting and retaining talented young workers; and ■ Longer commute times and increased congestion resulting from workers purchasing hous- ing at increased distances from the county's job centers. As far-fetched as these scenarios would have seemed 10 years ago, the report that follows will demon- strate that our young people are emigrating from the county in increasing numbers, Orange County employers are increasingly concerned about their ability to attract and retain workers, and commute } "Riding nine years of rising property values," The Orange County Register, January 19, 2006. 4 April 2007. OCBC Workforce Housing Scorecard 2007 Overview times are indeed worsening. Increased tax investments to reduce traffic congestion such as Measure M, in fact, only serve to mitigate the deterioration in commute times experienced by residents. Housing and Emigration from Orange County Much to the dismay of their parents, their employers, and government leaders, increasing numbers of young people are leaving Orange County and its high cost of living. Recent research has documented that the trend is widespread and that housing is a catalyst. In 2006, an Orange County Register article reported on the recent trend of young adults fleeing the county—a 13 percent drop in residents between the ages of 25 and 34.5 More recently, a May 2007 Public Policy Institute of California (PPIC) report6 found that "fewer than 10 percent of adults moving to other states cited housing as the pri- mary reason they moved out of California in 1997. By 2006, the percentage had jumped to 31." What the Scorecard Doesn't Answer The Scorecard is limited to four criteria: number of jobs, housing unit density, the ratio of jobs to housing units, and housing unit burden (the number of housing units each city adds in rela- tion to the number added by all cities combined). Because of this limited scope, the Scorecard is not an exhaustive examination of housing. It begins with the assertion that the cost of housing is detrimental to the Orange County business environment and examines this problem from a supply -demand perspec- tive. While the Scorecard does not present a Recent Census data show that the number of residents comprehensive analysis of the state of county between the ages of 25 and 34 dropped by nearly 12.7 housing, it does address the crucial relation - percent between 2000 and 2005, or nearly 59,000 peo- ships among housing supply, workforce ple in five years. This rate of loss is nearly four times development, affordability, and business com- the state average. As expected, the number of children petitiveness in Orange County. ages five to nine (associated with younger families) also decreased, with corresponding decreases in elementary school enrollment. In fact, as a result of this phenomenon, three-quarters of Orange County school districts are experiencing declining enrollment. Figure 2.1: 2000-2005 OC and CA Population Loss by Age 35.0% ®OC%Change 30.0% -"MCA 29'x' % Change 25.0% 20.0%-Z15.3% 15.0%9.1% 12.3% 10.0% 5.0% 0.0% -5.0% -2.1% -4.7% -10.0% -9.6% -15.0% " Under 5 5 to 9 25 to 29 30 to 34 50 to 54 55 to 59 years years years years years years 5 "An Exodus of O.C.'s Young Adults," The Orange County Register, August 24, 2006. 6 "Can California Import Enough College Graduates to Meet Workforce Needs?," Public Policy Institute of California, California Counts Population Trends and Profiles, Volume 8, Number 4 (May 2007). M.M. - . Overview OCBC Workforce Housing Scorecard 2007 In contrast to the decrease in young adults, the number of older adults ages 55 to 64 increased by 28 percent, or almost 63,000 people during this same time period. These trends, which led to the median age rising from 33 years old in 2000 to 35 years old in 2005, are projected to continue. By the year 2050, the proportion of adults over age 65 is expected to double, making up 21 percent of the county's population. Over the same period, the proportion of residents between 25 and 54 years of age will shrink by 1 1 percent, to 35 percent of the population. These statistics suggest that many of Orange County's children grow up and move away, leaving their aging parents behind. In the face of these quiet but significant demographic changes, how can we effectively increase supply and make housing more affordable in the future? There are many prevailing circumstances that curtail housing development, thus driving the cost of housing beyond what most households can afford. While it may seem a daunting challenge to many, the Orange County Business Council firmly believes that un- raveling these myriad disincentives will necessitate cooperation and accountability by all stakeholders. By increasing exposure to cities' track records on workforce housing, we can draw in greater interest— and advocacy—to this often under -reported issue. The scorecard has already engendered a critical dia- logue that will be paramount for yielding the common understanding necessary concerted action for this difficult challenge. We are not the first entity to try to encourage more housing and we won't be the last. A more well- known and institutional housing advocate is California's mandated Regional Housing Needs Assessment (RHNA). See page 20. Yet for reasons that will be made clear later in this text, the RHNA process alone has proven to be an insufficient vehicle for restoring a more healthy balance of jobs to housing in the county. Woodbury Court in Irvine. ©The Irvine Company, 2007. All Rights Reserved. OCBC Workforce Housing Scorecard 2007 Overview ... - The succeeding pages of the Orange County Housing Scorecard will uncover why housing has become so expensive, as well as project what the housing market will look like in 2030. In addition, the report will identify incentives, disincentives, and policies that continue to exert a profound impact on our housing market. Finally, to introduce a much needed measure of transparency and accountability into the housing debate, the report includes a breakdown of Orange County cities' contributions to the housing market, in terms of new housing unit production, job growth, and density trends. BACKGROUND Out of 200 metropolitan areas in the United States, Orange County was recently found to be the fourth most expensive place to live in the country.' The breakdown of the index reveals that the county's dis- tinctive ranking is driven entirely by its high home prices (see Figure 2.2). Figure 2.2.: Cost of Living Index (Second Quarter 2006) San Francisco Silicon Valley Los Angeles/Long Beach Orange County San Diego Boston Inland Empire Seattle Austin Research Triangle 0 50 100 I50 200 250 300 Source: ACCRA/Council for Community. The county's housing conundrum is primarily the result of a longstanding and widening divide between the county's booming employment growth and comparatively stagnant housing development. Between 1991 and 2005, Orange County produced approximately 345,700 jobs and 158,000 homes. Better stated, the county produced only one home for every 2.2 jobs created, and in many years only one housing unit for every 3 or 4 jobs created. The jobs -to -housing ratio is an indicator that we track closely in the succeeding pages. The implica- tions of this ratio should be clear to local employers and workers: workers need affordable homes for their families. ' According to the Council for Community and Economic Research. ... Overview OCBC Workforce Housing Scorecard 2007 So what is a fair balance of jobs to housing? A ratio of one home per every worker is ideal, but with many households now boasting two -income earners we deem 1.5 to be an acceptable ratio, a bench- mark cited by many housing experts and planners such as Dr, john Landis, Chair of the City and Regional Planning Department at UC Berkeley. As it happens, only 15 years ago Orange County was housing rich, with a healthy balance of about 1.4 jobs for every home. By 2005, the county's balance of jobs to housing had deteriorated to 1.61 jobs for every home. Based on the most recent city planning fore- casts, because the region is projected to add only one housing unit for each 3.4 jobs created by 2030, the county's jobs per housing ratio is expected to deteriorate further to 1.79 jobs per house! If we were to assign letter grades for the county's role in promoting workforce housing, it would reflect this deterioration. In 1991, the county's 1.4 jobs per house would earn an A. The most recent 1.61 ra- tio is below average and merits a C. Any ratio greater than 1.75 merits a failing grade. B Cal State University Fullerton, Orange County projections (2007). OCBC Workforce Housing Scorecard 2007 Overview ... m III. Demand Trends: Population, Employment, and Income Appreciation in Orange County (1991-2005) Population The first basic component of the demand factors influencing Orange County's housing story is popula- tion. From 1990 through 2005, the county's population grew by 28 percent (from 2.3 to 2.9 million). Five cities—Anaheim, Irvine, Santa Ana, Garden Grove, and Orange—accounted for 40 percent of this growth (see Figure 3.1). Figure 3.1: 1991-2005: OC Population Growth Leaders Anaheim Irvine Santa Ana Aliso Viejo Rancho Santa Margarita Garden Grove Orange Mission Viejo 2005 San Clemente Lake Forest Fullerton ®1991-2005 Growth Laguna Niguel Tustin Huntington Beach Laguna Woods Costa Mesa Newport Beach Westminster Yorba Linda Buena Park La Habra 0 50,000 100,000 150,000 200,000 250,000 300,000 350,000 400,000 Meanwhile, South Orange County saw the fastest growth. Newly established cities like Aliso Viejo and Rancho Santa Margarita grew by 491 percent and 280 percent, respectively. Five other cities grew by more than 33 percent. Cities that posted the slowest growth—all under 8 percent—were Laguna Beach, Fountain Valley, La Palma, Los Alamitos, Seal Beach, and Villa Park. Where did the growth in population come from? Seventy percent of this growth was "home grown," or the result of natural increase. Despite such a strong growth in population, the increase is fairly tepid compared to the job growth experienced in the same period, as the next section will demonstrate. Employment Gains From 1991 to 2005, Orange County added a remarkable 345,700 jobs—a 30 percent increase from 1991 (see Figure 3.2). This increase occurred in spite of a recessionary environment at the start of the last two decades. The leaders in Orange County's job growth—Irvine, Anaheim, Santa Ana, Orange, and Fullerton—accounted for over half of the county's total job growth for that period. ... • Demand Trends: Population, Employment, and income OCBC Workforce Housing Scorecard 2007 250,000 200,000 150,000 100,000 50,000 0 Figure 3.2: OC Total job Growth Leaders (1991- 2005) Irvine Anaheim Santa Ana Orange Fullerton Costa Garden HuntingtonNewport Mesa Grove Beach Beach Income Appreciation The third demand component tracked in this study is income appreciation. Between 1990 and 2005, Orange County's median household income appreciated by 48 percent, from $46,000 to $68,000. While the percent growth in income is substantial, it paled in comparison to the appreciation realized by Orange County Homes during the same stretch (see Figures 3.3 and 3.4). Because of the imbalance between a high level of demand driven by job growth and not enough newly built housing, the price of the median priced -home sold grew almost three times as much, 168 percent from 1990 to 2006. It's worth noting that increased access to housing credit vis d vis more flexible standards helped amelio- rate this disparity. Nevertheless, the recent market upheaval in the sub -prime sector proved that there are limits to the loosening of credit. Figure 3.3: 1991- 2005: OC HH Income vs. Home Value Appreciation A. Viejo S. Clemente Lag. Beach Tustin B. Park RSM SJC Irvine Y. Linda H. Beach N. Beach Lag. Niguel La Palma M. Viejo Orange C. Mesa S. Ana OC Median 0% 50% 100% 150% 200% 250% In summarizing the demand trends affecting housing over the last 15 years, Orange County experi- enced: OCBC Workforce Housing Scorecard 2007 Demand Trends: Population, Employment, and Income • A 28 percent increase in population or 645,000 new residents (half of these new residents were added to Anaheim, Irvine, Santa Ana, Garden Grove, Orange, Mission Viejo, Fullerton, and Huntington Beach, with. South Orange County cities experiencing the fastest percent- age growth in population); • An increase of 345,700 jobs (growth rate of 30 percent), the majority of these jobs being created in the county's traditional job hubs, but faster relative growth in Southern Orange County; ■ An increase, from $46,000 in 1990 to $68,000 in 2006 in Orange County's median house- hold Income; and • A growth of 168 percent in the cost of Orange County's median -priced home sold between 1990 and 2006. Internal Street View ... • Demand Trends: Population, Employment, and Income OCBC Workforce Housing Scorecard 2007 IV. Supply Trends: Housing Growth in Orange County, 1991-2005 Having detailed the demand trends that took hold in Orange County between 1991 and 2005, we now shift attention to the housing supply trends. In 1991, there were approximately 1,150,000 jobs in Or- ange County and 815,000 housing units—a nearly ideal ratio of 1.4 houses for every job. As discussed in the preceding section, the 1990-2005 time period brought about tremendous em- ployment and population growth in the county. Unfortunately, cities could not boost a sufficient supply of housing to keep up with this pace. From 1991 to 2005 Orange County added 158,000 houses—a 19 percent increase in housing stock. Figure 4.1 below shows cities that generated the most housing in the 1991-2005 period. Six cities accounted for half of the county's total housing growth, namely: Ir- vine, Lake Forest, Aliso Viejo, Anaheim, Rancho Santa Margarita, and Newport Beach. Figure 4.1: 1991-2005: OC Housing Growth (Leaders) 30,000 350% 25,000 f 300% 20,000 �NeW Houses, 250% 15,000 Growth 200% 150% 10,000 100% 5,000 50% 0 A 0% 'b, `�e� ? eg�� �J� S• 4 While the leaders in housing growth far exceeded the county median, the same figure shows that most of these cities' new housing came well short of keeping balance with the county's booming job growth. As you will recall, from 1990 through 2005, the county's population grew by 28 percent (from 2.3 to 2.9 million) while generating 345,700 jobs or a 30 percent increase in employment. (see Figure 4.2). Irvine L. Forest A. Viejo Anaheim RSM N. Beach H. Beach M. Viejo Tustin Orange S. Clemente L. Niguel Westminster Fullerton S. Ana Y. Linda Placentia Figure 4.2: 1991-2005: OC Housing Leaders... Trail job Growth 0 20,000 40,000 60,000 80,000 100,000 120,000 140,000 160,000 OCBC Workforce Housing Scorecard 2007 Supply Trends: Housing Growth in OC, 1991-2005 ... - The result of this housing -to -job growth imbalance was an overall deterioration of the jobs to housing ratio and, consequently, a decrease in housing affordability. By 2005, Orange County was moving in the wrong direction, having gone from having 1.4 jobs for every home to having more than 1.6 jobs for every home. As Figure 4.3 demonstrates, this imbalance was extremely high in comparison to both state and national trends. Figure 4.4 shows the cities that experienced the greatest deterioration in their jobs to housing ratio. 6.0 5.0 4.0 3.0 2.0 t0 0.0 -t0 -2.0 Figure 4.3: New jobs Created per Housing Permit Granted 2000-2005 2000 2001 2002 2003 2004 2005 —0 Orange County — E -California United States i Sources: Hanley Wood Market Intelligence (www.hanle)mood.com/hwmi) and United States Bureau of Labor Statistics. Figure 4.4: 1991 Vs. 2005: jobs to Housing Ratio Deterioration L. Alamitos Irvine Brea Orange S. Ana L. Hills C. Mesa Anaheim N. Beach F. Valley Tustin Cypress B. Park Fullerton 0.00 0.50 1.00 1.50 2.00 2.50 3.00 3.50 4.00 ... Supply Trends: Housing Growth in OC: 1991-2005 OCBC Workforce Housing Scorecard 2007 Orange County's Density: No Longer a Suburb The 2000 Census revealed more proof that Orange County is no longer a suburb, but the most densely populated area in the state behind San Francisco County. The prevailing density and scarcity of land has forced many cities to build vertically, such as Anaheim's platinum triangle project and high-rise de- velopments underway in Irvine, Costa Mesa, and Santa Ana. Even before the start of these high-rise developments, many Orange County cities experienced a sub- stantial increase in density between 1990 and 2005 (see Figure 4.5). Gains in density can be chalked up to cities' efforts to increase multifamily housing and/or rezoning to higher and more efficient uses. An increase in population density without construction of sufficient new housing units almost always results in overcrowding, which is driven by a lack of affordable housing options for lower-income households. A. Viejo L. Forest Tustin Stanton Placentia Irvine L. Hills Westminste N. Beach L'Niguel S. Clemente Cypress H. Beach M. Viejo Orange La Habra D. Point OC Median Figure 4.5: 1990- 2005: OC Cities' Change in Density (Leaders) 0 1000 2000 3000 4000 5000 6000 7000 8000 Between 1990 and 2000, overcrowding—the federal HUD standard in which there are 1.01 persons per room in a dwelling unit—grew by an average of 44 percent across the county. Figure 4.6 lists those cit- ies that saw overcrowding grow at a faster rate in the 1990s than the Orange County median. Figure 4.6: 1991- 2005 OC Overcrowding (1.01 occupants or more per room) Laguna Hlls Villa Park La Habra Stanton Irvine Anaheim Laguna Niguel Tustin Garden Grove M Ission Viejo San Juan Capistrano Costa M sea Westminster B uerna Park B rea Seel Beach ORANGE COUNTY M EDIAN 0% ■ 2000 %Overcrowded ■ 1990%Overcrowded ■ Percent Growth 50% 1D0% 50% 200% 250% 300% OCBC Workforce Housing Scorecard 2007 Supply Trends: Housing Growth in OC, 1991-2005 .. . Housing Supply Constraints: Land Scarcity, Infill, and the Myth of Being Built Out Land scarcity has a substantial impact on the affordability of Orange County homes. According to UC Berkeley Professor john Landis, a 10 percent reduction in the supply of available land can increase home prices by 20 to 30 percent.9 In Orange County's historic concept of development, that of single family houses and master -planned communities, it's forgivable to perceive the county as being "built out." Build -out refers to the point at which a city can no longer change its infrastructure in a particular way. For the Scorecard, housing units are the focus: a city is built out when it can no longer add housing units. While physical space is certainly an important criterion, the administrative and technological constraints on land use are more important when assessing degree of build -out. Regulation of building height and housing density along with technology work together in shaping the city. For example, at some point before 1900 the city of Manhattan was thought to be built out. That was until the arrival of the skyscraper, which enabled the city to become the most densely populated city in the country." The interplay of technology and forward looking leadership silenced those who had claimed Manhattan built out. Although Orange County may never resemble Manhattan, Santa Ana was thought have been built out in 1975, when the last large open parcels were built upon. Since 1975, Santa Ana's population has dou- bled, from 177,400 to 355,000. The underlying lesson of both Manhattan and Santa Ana is that cities can utilize administration of land use along with technology to allow housing unit production to re- spond to the high demand for housing units. Infill capacity is a key component of land administration. The definition of Infill is "to fill in any avail- able space within existing development." According to john Landis's database of infill potential, Orange County—one of the most densely populated areas in the country—actually has more than 34,000 par- cels or more than 9,000 acres of developable land" (see Figure 4.7). What potential impact can 9,000 acres have on housing? Consider that for the Great Park—which boasts nearly 4,700 total acres—about 750 acres are being set aside for housing.12 It is projected that the 750 acres will yield 5,800 housing units or a density of 5,000 units per square mile. If we were to scale up this dense mix of housing across Orange County's 9,000 acres of developable land, nearly 70,000 more homes could be created. Another consideration to take into account is that the county's developable land does not end after the aforementioned 9,000 acres have been exhausted. As land property values increase, there will be in- creased incentives for redevelopment for more multi -family planning. 9 California Homebuilder Magazine, California Building Industry Association, May/June 2003. 10 Yet, the density could be even higher if administrative constraints had not held back technology. Because skyscrapers cast shadows blocking out the sun for entire city blocks, Manhattan enacted setback regulations on building envelopes, mandating that buildings become narrower as they got taller in order to mitigate the impact of their shadows. " Data courtesy of C. Scott Smith, a researcher at the University of California, Irvine. Smith used the Pilot California Infill Parcel Locator from the Institute of Urban and Regional Development at the University of California, Berkeley, to identify potential infill parcels in Or- ange County. t2 This figure does not include the 60 acres allocated for an unspecified number of affordable housing. Supply Trends: Housing Growth in OC: 1991-2005 OCBC Workforce Housing Scorecard 2007 Figure 4.7: Orange County Current Infill Land (Acres) % 0% ■Single 6% Family ®Multi -Family ■ Commercial ❑ Vacant 27% ■ Industrial 19% 9Agricultural Given the substantial impact that land scarcity has on housing prices and the aforementioned capacity for infill development, Orange County's regulatory environment—from municipal and zoning entities to the constituencies that influence them—plays a pivotal role in shaping the future of our housing mar- ket. The housing unit capacity for the county entirely depends upon the type of housing at issue. If we de- fine housing as single-family detached units, then Orange County is indeed nearing build -out: there simply is not enough physical space to accommodate continued sprawl of single -story, single-family houses. If instead the discussion accommodates differing types of housing units, we find ourselves very far from being built out. The construction of residential towers in Irvine, Anaheim, and Costa Mesa shows that we can indeed build "up." Such towers are part of a larger set of new developments built in- side existing urban areas and known as infill developments. Infill developments can be anything from single-family homes to high-density residential complexes; the key is that they are built within existing urbanized areas, not on the periphery. In its potential to serve the growing demand for urban lifestyles, infill development could prove a boon for the already prominent Orange County economy. Young professionals and retirees alike are turning from suburbs to urban areas to find the plethora of services and ease of movement offered only by dense, vibrant mixed-use areas. Orange County already possesses most of the infrastructure of an ur- ban metropolis, yet, as revealed by the UCI analysis, the county also has tremendous potential for increasing the density of amenities like housing and services. Orange County's lack of density is a quasi -raw material that could be harnessed to fuel future growth as demand for urban lifestyles drives increased economic activity in dense, connected urban areas. Young professionals will demand jobs with pay commensurate with their skills and that are located in urban centers. With infill, the county can create housing to satisfy the demands that the Orange County economy will be creating in the next 25 years. Developer Fees and Environmental Regulation Recent times have witnessed the growth and utilization of developer fees, or impact fees, in many ju- risdictions throughout the state and within Orange County. These fee programs are the result, in part, of fair -share calculations whereby developers of new projects contribute funds to capital improvement programs such as schools, transportation, libraries, and other services. The fair -share calculations are OCBC Workforce Housing Scorecard 2007 Supply Trends: Housing Growth in OC, 1991-2005 ... - usually derived based on the size of the project relative to its expected impact to public services. De- veloper fee programs have extended beyond the usual building permit fees traditionally associated with the costs of development and are typically passed along to the buyer in the form of higher prices, decreasing affordability. According to recent surveys by the Orange County Chapter of the Building Industry Association of Southern California, the median housing permit fee charged by city's in Orange County increased 29 percent between 2000 and 2005. During that five-year span, only six cities reduced their housing per- mit fees: Brea, Costa Mesa, Fullerton, La Palma, Los Alamitos, and Orange. At the same time, two cities raised their fees by more than 250 percent. Figure 4.8 shows, in aggregate form, the various drivers that impact the total permit fee for houses. 47.5% Figure 4.8: Housing Permit Fee Breakdown: Orange County Aggregate 2.3% 7.8% 27.4% 4.1% 10.8% ■ Environment ■ Planning ■ School Fees ■ Other Fees ® Engineering 13 Other (not Identified) NIMBY - Growth Controls Beyond direct, per-unit housing fees, regulations can also slow down housing construction. NIMBY ob- struction is a popular and powerful force for blocking development. Citizens see higher -density developments in proximity to traditionally single family communities as an infringement on the current quality of life. Typical NIMBY concerns include overcrowding at schools, traffic congestion, and the im- pact on services such as police and fire. Changes in population or commercial activity encourage citizens to mobilize and encourage policy makers to curb plans for growth. Policies have been imple- mented to enact growth boundaries or control housing unit approvals, both of which have restricted the supply of housing units. Whether spearheaded by residents or environmental or industry concerns, the California Environmental Quality Act (CEQA) has proved to be a popular and cost-effective method of curbing such development. Using CEQA, a claim against a developer can delay housing projects by years, even decades. State law regulating environmental oversight in the form of the CEQA has expanded over the years to private de- velopment review. Environmental Impact Assessments and the production of Environmental Impact Reports have required more pre -development costs of subdivisions and other projects. These are addi- tional factors of greater cost associated with housing production. Mitigation fees required of final environmental impact declarations further add to the cost of housing production. These costs of pro- duction go along with developer fee programs in raising the raw cost of production per housing unit. ... - Supply Trends: Housing Growth in OC: 1991-2005 OCBC Workforce Housing Scorecard 2007 These regulatory costs have negatively affected the overall affordability of the housing market because they are passed on to buyers. Fiscalization of Land Use In the past, cities could define and shape their balance of housing and jobs both through their control of land use and through revenue generation. Today, local governments have lost much of their discre- tion and control in regard to fiscal policies. Statewide initiatives such as Prop 13 have limited the ability to raise revenue through property tax increases to meet the needs of city budgets. Land -use decision- making authority is the one power still retained and controlled by municipalities. In the absence of fi- nancial controls they once had, cities now increase revenues and decrease costs through land use decisions. Many have argued that these cost -sensitive policies have been at the expense of the perceived "bal- ance" of communities. Previously, cities could allocate greater amounts of land for multi -family residential housing units because cities controlled property taxes. Now, as many argue, such housing units would be undesirable according to fiscally concerned land use decisions that take note of a loss in revenue when calculating total revenue realized from these units less the cost associated with the accompanying public services. Where cities have become wary of approving high-cost uses, these poli- cies tend to favor larger -scale commercial uses generating high levels of sales tax. This "fiscalization of land use," as coined by Dean Misczynski in 1986, means cities will approve land uses that are fiscally sound, and be averse to land uses that result in negative financial returns. The current imbalance be- tween jobs and housing supply partly reflects the land -use decisions of cities focusing more on the balancing of budgets and less on balancing the community. Affordable Housing Programs Orange County and three of its largest municipalities also provide much needed housing assistance for lower-income households. Section 8 assistance is Orange County's primary mechanism for providing housing assistance to those deemed unable to afford" the cost of a two-bedroom rental home in the county." But as a result of the lack of affordable housing in the county, local housing authorities face a severe backlog in their ability to provide help for those who need housing assistance. In the span of only one month,15 the Orange County Housing Authority accumulated a waitlist of more than 20,000 applicants. City housing authorities also show an increase in demand for affordable hous- ing. In 2004, Anaheim's waitlist included more than 17,000 applicants, while Santa Ana and Garden Grove had 9,700 and 5,900, respectively. In total, there were more than 50,000 applicants are on the waitlist for Section 8 housing assistance in 2005. If left open, these waitlists will continue to grow as national and local funding for Section 8 has decreased while housing costs have soared. 13 Defined as a person who cannot work a total of 73 hours per week. Priority for section 8 housing is given to the elderly, the disabled, and families. 14 In 2005, fair market rent for a two-bedroom housing unit averaged $1,317. 15 November, 2005. Prior to this, the waitlist had been closed since 2001 and by 2004 was down to approximately 9,800 ap- plicants. OCBC Workforce Housing Scorecard 2007 Supply Trends: Housing Growth in OC, 1991-2005 ... E45 Accountability California state law requires that jurisdictions provide their fair share of regional housing needs.16 In cooperation with the California Department of Housing and Community Development (HCD), local gov- ernments and councils of government are charged with determining their existing and projected housing needs. This process, known as the Regional Housing Needs Assessment, affords cities the re- sponsibility of both establishing and meeting their housing targets. As the reader may surmise, this process of establishing housing targets leaves much to be desired in terms of accountability and objec- tivity. During the 1998-2005 cycle, for example, RHNA allocated 52,815 units to the 34 Orange County cities focused on in the Scorecard. Through June 2005, those 34 cities permitted 60,927 units of housing, exceeding their RHNA allotment by 15 percent. The most obvious problem is that this target was insuf- ficient to keep up with the growth of jobs created. Even if we suspend this notion that the bar is being set too low, the RHNA process is arguably too forgiving. Consider the following: • Of the 34 cities that collectively exceeded the RHNA target by 15 percent, only 14 actually met their individual RHNA targets. ■ The five most overcrowded cities—those having the highest percentage of households with persons -to -rooms ratios greater than 1.01 in the year 2000—failed their RHNA allocations by an average of 14 percent. One city fell short by more than 8,000 housing units. • Fourteen cities were allotted 30 percent of the total county need and—largely because of the performance of one city—met 60 percent of the county's target. Meanwhile, 16 cities were allotted 40 percent of the county's target, yet collectively they produced only 21 per- cent of the county's need. 16 The State of California Department of Housing and Community Development is mandated to determine the state-wide housing need. ... • Supply Trends: Housing Growth In OC: 1991-2005 OCBC Workforce Housing Scorecard 2007 V. Orange County in 2030 In synthesizing the housing supply and demand trends over the last 15 years, at the regional level it is unmistakable that housing supply growth has fallen well short of population and job growth, resulting in an appreciation of housing prices that have far exceeded appreciation of income. This section takes aim about how cities' housing plans for the future will affect the housing market in 2030. Between 2005 and 2030, Orange County's population is expected to grow by 1 1 percent, to 3,266,000. The median city is projected to grow by about 10 percent, or around 7,000 residents. Figure 5.1 in- cludes those cities that are projected to exceed the median population growth rates. 45,000 40,000 35,000 30,000 25,000 20,000 15,000 10,000 5,0000 Figure 5.1: 2005- 2030 Population Growth by City qb 5e���o o��`h0 J y -N ko�y�Q 35% 30% 25% 20% 15% 10% 5% 0% In addition, between 2005 and 2030, Orange County will generate an estimated 320,000 jobs, or a to- tal job growth of 20 percent. During that span, the median Orange County city will create 3,345 jobs. Figure 5.2 illustrates projected job growth in cities. Figure 5.2: OC Job Growth: 2005-2030 Irvine - Tustin Lake Forest Huntington Anaheim Cypress Costa Mesa Santa Ana San Clemente Fullerton Orange _ 0 203 Total jobs Brea Fountain Valley Westminster Buena Park ® 2005-2030 Job Growth; Aliso Viejo Laguna Hills 150,000 200,000 250,000 300,000 350,000 0 50,000 100,000 OCBC Workforce Housing Scorecard 2007 Orange County In 2030 To determine the county's housing forecast, we relied on Cal State University Fullerton's 2007 Orange County Projections. Based on those projections, Orange County is expected to add approximately 94,000 houses between 2005 and 2030—a growth rate of just under 10 percent. Figure 5.3 shows only those cities with total housing growth projected to exceed the median rate. 30,000 25,000 20,000 15,000 10,000 5,000 0 Figure 5.3: 2005-2030: OC Housing Projections by City 0( -k g� �t�y �� Q p���t`` �`�S� sib Gto S�Q�`\ ���ti� 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% In comparing the forecasted job and housing growth, this means that the county will create only one house for every 3.4 jobs. If every new home forecasted accommodated 1.5 workers, as many as 179,000 new workers (56 percent of all new jobs created) would most likely either live in severely over- crowded conditions of commute in from outside Orange County, pushing the number of workers commuting in to Orange County each day to nearly 500,000. Figure 5.4: 1991-2030 jobs/Housing Balance Worsens Lake Forest Cypress Los Alamitos Irvine Orange Fullerton San Clemente Placentia ■1991 Ratio Costa Mesa ■2005 Ratio Tustin 02030 Ratio Villa Park OTotal Ratio Deterioration Santa Ana Orange County 0.00 0.50 1.00 1.50 2.00 2.50 3.00 3.50 4.00 The preceding pages of this report should make the consequences of this projected imbalance clear. First, the overall ratio of jobs to housing will deteriorate to 1.79 in 2030. (Figure 5.4 shows the break- down by city). As a result, affordability of homes will decrease further. Third, with so many new Orange County in 2030 OCBC Workforce Housing Scorecard 2007 workers without homes to purchase, many will be forced to commute from outside the county, result- ing in increased commute times and traffic congestion. The Fallout of Orange County's Expensive Housing Market The aforementioned projections portend a further deterioration in housing affordability without signifi- cant action. This section takes stock of the likely consequences in both social and economic terms. The Loss of Young Residents Perhaps the most alarming trends resulting from the county's high housing costs is its effect on the county's young, working -age population. In identifying the impact of housing on young residents, it's important to take into account two trends: 1. Across the country, the median age will rise with the tide of baby boomers coming into the age of retirement; and 2. There is a unique and disproportionate loss of Orange County's young, working -age population. As explained in the introduction, recent Census data show the number of residents between the ages of 25 and 34 dropped by nearly 12.7 percent between 2000 and 2005, or nearly 59,000 people in five years. This is a trends also playing out in Los Angeles County and San Diego County. Contrast that with the growth in the 25 to 34 -year-old segment taking place just east of Orange County in the Inland Empire (which constitutes Imperial, Riverside, and San Bernardino counties). The Inland Empire has a total population of about 4.2 million. Between 2000 and 2006, their population of people between the ages of 25 and 34 grew by 149,000, or 32 percent. Even the expansion of credit in the mortgage sector could not stem this tide. Moreover, since the re- cent collapse of prominent sub -prime lenders, it's reasonable to assume that credit will be much more restrictive going forward. The loss of young residents cannot be underestimated. Cities suffer losses in sales tax revenue and school districts lose critical apportionment funding. Employers While we can see that the lack of affordable housing is clearly influencing the decisions of young peo- ple, they are not the only ones affected by the cost of housing. After all, many of the 67,000 young people that we identified as leaving Orange County's larger cities between 2000 and 2005 could also be leaving the county's workforce. In May 2007, the Public Policy Institute of California (PPIC) found that California "probably won't be able to attract enough college-educated workers to meet current, skill -driven, economic projections—and thus may have to rein in expectations about what the economy will look like in 20 years."" In this context, many employers might also find the county's housing market to be prohibitively ex- pensive for attracting the young workers they demand. Compounding the issue is that many employers " "Can California Import Enough College Graduates to Meet Workforce Needs?," Public Policy Institute of California, California Counts Population Trends and Profiles, Volume 8 Number 4 (May 2007). OCBC Workforce Housing Scorecard 2007 Orange County in 2030 will need to replace the baby boomers on their respective payrolls once they reach the age of retire- ment. Will employers be able to replace these retirement -age workers? If not, many employers wishing to re- main in Orange County will either need to retain older workers or, if possible, invest in technology to compensate for labor shortages. Other options include reconfiguring operations (through off -shoring and/or relocation) or closing operations altogether. While this may seem like a far-fetched proposition to some, a recent survey of local executives demon- strates that the issue of housing is weighing heavily on the minds of many employers. According to the survey, 25 percent of local executives identified the county's housing as the most negative factor influ- encing the local business climate. This made housing the most common negative factor influencing the business climate among local executives. Orange County is not the only area in California affected by high housing costs. The Bay Area, Los An- geles, and San Diego Counties also find themselves at a competitive disadvantage. Notwithstanding, the exclusivity of Orange County's housing, if it persists, will loom large on employers' hiring and compensation practices, as well as on long-term planning. That is, if left unresolved, housing costs will continue to play a larger and more significant role in employers' consideration on whether to remain operating in the county and, if so, at what capacity. Commuters Following housing, table 2 tells us that the second most negative factor influencing the business cli- mate is also caused by housing imbalances: traffic, agreed upon by 23 percent of local executives. As many resident commuters can attest, congestion in Orange County is getting worse. Long commutes not only affect personal lives, they impede the efficient movement of goods, cause declines in worker productivity because of time lost in transit, and contribute to global warming. The issue of housing and traffic go hand in hand. Vehicle miles traveled or "VMT' is projected to in- crease steadily in the future, despite our sustained investments in transportation infrastructure vis a vis Measure M. A significant contribution to our increasing VMT is the fact that aspiring homeowners con- tinue to chase affordable housing located further away from the county's job centers, such as the Inland Empire and Riverside County. page Orange County in 2030 OCBC Workforce Housing Scorecard 2007 Irvine Orange Newport Brea Costa Anaheim los Laguna Santa Ana Beach Mesa Alamitos Hills Orange County has 1.3 million jobs and approximately 1.5 employed residents. But because the county lacks an urban "core," the spatial relationship between the jobs and workers is fragmented. Figure 5.5 (previous page) shows the county's largest employment centers. Collectively, these cities attract well over 192,000 (jobs within jurisdiction minus employed city residents). Where are the workers commuting from? Twenty-five Orange County cities account for a surplus of 331,000 workers minus jobs within jurisdiction. Figure 5.6 shows the 14 largest "worker exporter" cit- ies in the county.18 Renters Since 78 percent of Orange County households cannot afford the median -priced home in the county, the demand for rental properties continues to grow. This effect could be more pronounced given the 18 The 1 cities not listed constitute "the long tail" and have between 1,000 and 10,000 more workers than jobs. OCBC Workforce Housing Scorecard 2007 Orange County in 2030 tightening of credit in the mortgage sector. As such, rental occupancy has increased in 27 out of 34 Orange county cities.19 As occupancy rates have increased, so too have the appreciation in rental rates and the relative income needed to afford a home. For the year ending in the third quarter,20 Orange County's largest landlords raised rental prices by an average of 6.1 percent, making the typical rent at a large complex equal to $1,494 (up $88 in a year). According to the National Low Income Housing Coalition, an Orange County household earning mini- mum wage can afford to pay no more than $351 per month in rent. A household earning 30 percent of the Orange County median family income ($22,710) can only afford to pay $568 in rent. Among state and national peer metropolitan areas, only San Francisco has higher housing wages (in other words, less affordability in rental housing) than Orange County. The increase cost of renting housing has a spillover effect on housing. Increased rents leave renters with fewer savings for a down payment of a home. Soclety According to a poll by the Public Policy Institute of California, nearly 75 percent of California residents believe their kids won't be able to find a home in California they can afford. In detailing how the lack of affordable housing affects young residents, employers, commuters, and even homeowners, it becomes clear that the economic impact of home prices are borne not only by first-time homebuyers. The exclu- sivity of Orange County's home prices will continue to factor into workforce planning, and will have a broad and deep impact on our society. As we've demonstrated, more and more people will likely move away from the county as housing be- comes prohibitively expensive for young residents. Parents and grandparents that remain in the county will have to travel farther to see their kin. As such, many residents will be left with a weakened familial safety net that we depend on for emergency support. Friends and professional caregivers will be called upon to fill this void. Our hospitals, by their own admission, are having an increasingly difficult time attracting personnel to work in the county. As we can see in Figure 5.7, the annual income needed to afford a house in the county is $145,680,21 or less than the combined salaries of a nurse and a school teacher. It's important to think beyond affordability and factor in purchasing power. That is, just because a physician can af- ford a home in Orange County doesn't mean he or she will be willing to forgo less expensive housing elsewhere. That is exactly the quandary that local hospitals face in recruiting both nurses and young physicians. 19 The remaining seven cities either kept their same rental rate or saw a marginal decrease in rental occupancy (the highest decrease was 0.9 ercent). 0 According to RealFacts. 2' Based on an adjustable interest rate of 6.48 percent Orange County in 2030 OCBC Workforce Housing Scorecard 2007 $200,000 $180,000 $160,000 $140,000 $120,000 $100,000 $80,000 $60,000 $40,000 $20,000 s0 Figure 5.7: Income Needed to Afford Median Priced Home ($710,920) Compared to Typical Salaries Orange County, 2006 Elementary School Teacher Nurse OCBC Workforce Housing Scorecard 2007 Orange County in 2030 VI. Orange County Business Council Workforce Housing Scorecard Orange County Business Council Workforce Housing Scorecard, 1991-2005 From 1991 to 2005, newer cities—predominantly in South Orange County—were the most aggressive in terms of generating new homes. Much of the newly built homes were constructed on previously un- developed land. As cities such as Rancho Santa Margarita, Aliso Viejo, Lake Forest, Irvine San Clemente, and Mission Viejo were being constructed, housing expanded at a pace consistent with employment development, and high land values in virgin territories encouraged higher -density development." Orange County Business Council Workforce Housing Scorecard, 1991-2005 22 Note that Laguna Woods has zero jobs in 1991. The city was incorporated in 1999. .. • The Scores OCBC Workforce Housing Scorecard 2007 bV o aiO > ro — oc = c = ci c 0 71 c� � �c Rank City E v Te _ 4. _ ,� � c a c c o' a' u` �° .Im U 1 Irvine 26 1 1 18 6 2 Aliso Viejo 27 22 2 2 1 3 Tustin 31 16 9 3 3 4 Lake Forest 33 10 7 11 5 5 Newport Beach 36 9 5 13 9 6 Huntington Beach 42 8 6 15 13 7 Mission Viejo 42 11 8 9 14 8 San Clemente 46 12 11 12 11 9 Westminster 46 15 13 10 8 10 Laguna Niguel 48 20 12 4 12 11 Placentia 53 13 17 19 4 12 Orange 55 4 10 25 16 13 Laguna Hills 60 26 20 7 7 14 Anaheim 61 2 4 24 31 15 Rancho Santa Margarita 64 27 3 1 33 16 Stanton 64 31 25 6 2 17 Fullerton 66 5 14 27 20 18 Cypress 68 14 23 21 10 19 San Juan Capistrano 69 25 19 8 17 20 Yorba Linda 69 23 16 5 25 21 Garden Grove 72 7 18 26 21 22 Santa Ana 72 3 15 31 23 23 Brea 74 19 21 16 18 24 La Habra 81 28 24 14 15 25 Costa Mesa 82 6 22 30 24 26 Fountain Valley 88 17 26 23 22 27 Dana Point 89 21 27 22 19 28 Buena Park 101 18 28 28 27 29 La Palma 107 34 30 17 26 30 Laguna Beach 110 24 29 29 28 31 Seal Beach 117 33 32 20 32 32 Los Alamitos 122 29 31 33 29 33 Villa Park 127 32 33 32 30 34 Laguna Woods 132 30 34 34 34 22 Note that Laguna Woods has zero jobs in 1991. The city was incorporated in 1999. .. • The Scores OCBC Workforce Housing Scorecard 2007 The Orange County Business Council Workforce Housing Scorecard, 2005-2030 The Scorecard rankings for the period between 2005 and 2030 reflect a significant change in the type of future development Orange County will see compared to the residential that took place in the past. As the availability of virgin land in the county diminishes, housing development is increasingly taking place in the already developed, more urbanized areas of Orange County such as Anaheim, Santa Ana, and Irvine, where jobs, commercial activity, and recreational opportunities already exist,. Furthermore, since older and more urbanized jurisdictions have fewer undeveloped parcels for infill development, higher -density housing will become more common. Orange County Business Council Workforce Housing Scorecard, 2005-2030 �e >N U ro0 0 = c � G 01- 01 Rank City U V O N = 4-= � O oro C w1 '� c o 4,, -,� uxo 1 Anaheim 13 5 2 3 3 2 Irvine 16 1 1 13 1 3 Santa Ana 32 8 5 10 9 4 Tustin 32 2 3 23 4 5 Newport Beach 33 21 4 2 6 6 Orange 36 11 6 8 11 7 Fullerton 42 10 8 11 13 8 Brea 43 12 12 12 7 9 Placentia 44 25 10 4 5 10 Huntington Beach 45 4 7 19 15 11 Cost Mesa 50 7 11 20 12 12 Stanton 51 30 14 5 2 13 Yorba Linda 51 31 9 1 10 14 Cypress 61 6 18 29 8 15 Fountain Valley 61 13 17 17 14 16 Garden Grove 62 23 13 7 19 17 San Juan Capistrano 64 18 16 9 21 18 Aliso Viejo 66 16 19 14 17 19 San Clemente 66 9 is 24 18 20 Buena Park 73 15 20 18 20 21 Laguna Woods 85 29 25 15 16 22 Westminster 86 14 21 27 24 23 Laguna Niguel 89 19 22 22 26 24 La Habra 90 22 24 21 23 25 Laguna Hills 93 17 26 28 22 26 Mission Viejo 95 27 23 16 29 27 Dana Point 101 24 27 25 25 28 Villa Park 101 34 33 6 28 29 Lake Forest 102 3 31 34 34 30 Rancho Santa Margarita 114 26 28 30 30 31 Seal Beach 114 20 29 32 33 32 Los Alamitos 116 33 30 26 27 33 Laguna Beach 122 28 32 31 31 34 La Palma 131 32 34 33 32 OCBC Workforce Housing Scorecard 2007 The Scores WWI . The Orange County Business Council Workforce Housing Scorecard, Cumulative What are the commonalities between the 1991-2005 and 2005-2030 periods? In general, the larger, more urbanized cities made greater strides to balance housing and job growth, resulting in a higher ranking for those periods. Smaller communities with a higher concentration of single-family residential housing posted lower rankings. Among coastal cities, Huntington Beach and Newport Beach received relatively high rankings during both timeframes, while Laguna Beach and Los Alamitos had lower rankings. In the inland areas, Tustin and Orange did well, while Villa Park and La Palma did poorly. There is also some contrast between the two periods, namely the migration of housing growth from South and Coastal cities in 1991-2005 to more urban and inland communities between 2005 and 2030. In the 1991-2005 grades, coastal South County cities did well largely because new tracts in San Clemente and Aliso Viejo were under construction, in addition to coastal communities north of the 55 Freeway such as Huntington Beach and Westminster. However, from 2005 to 2030, in both North and South County, the larger inland cities like Anaheim and Santa Ana will see greater housing supply growth and should be highlighted as the cities showing the greatest improvement in balancing the dual pressures of growing jobs and growing housing supply. Given these shifting trends, it's fitting that the city of Irvine, located in the center of the county, strad- dling coastal, inland, northern, and southern areas of the county, was the city with the highest cumulative ranking when taking into account both time periods. Irvine's geographical advantage should take nothing away, however, from the city's long-standing commitment to balance job and housing growth. • + The Scores OCBC Workforce Housing Scorecard 2007 Assessing the State ofHousing In Your aty Any understanding of the present must begin with an examination of the past. The historical content of your city is the most important element to understanding why things are as they are today. However, situating a city in its historical context is a daunting task. A contradictory scenario of information shortage and information overload leads to frustration at not being able to find sources and despair at there being just too much to know. Because of this, restricting the investigation to those historical elements most beneficial to gaining an understanding of housing proves fruitful. Perhaps the most important of these elements is population change over time. After all, housing only exists be- cause people do. No people, no housing. More important, fewer people, less housing and more people, more housing, highlighting the need to examine population trends rather than points in time: it is changes in popula- tion that drive changes in housing. Understanding a city and its region's historical population trends lends insight to the present as well as to forecasting. Closely related to population trends are employment trends. Likely, the two are highly correlated. The important thing to note is trends within the region. Dependent on the relative mobility of commuters, the.growth and re- duction of job centers will affect housing patterns. However, given Orange County's receptivity to wide-ranging commutes, there may be no patterned response of housing to employment trends within the region. As long as employment merely shifts around the region rather than leaving it, population and housing may not be affected. Within a city, if employees commute in, both declining and growing employment centers may not affect housing in the city. The impact really depends on the commuting culture, especially on the threshold for physical dis- tance—which really equals time—employees will willingly spend on the road before deciding to change residences. Commuting culture is plastic and will change with time given interaction with other trends like popu- lation and employment. Another essential element is median home price. As the Scorecard demonstrates, median home price in Orange County changes the housing landscape by pricing out of the market people who had previously lived in Orange County. Trends in median home price are related to population and employment trends discussed above. OCBC Workforce Housing Scorecard 2007 The Scores Orange County Business Council i ro E Rank City u 1 Irvine 42 2 Tustin 63 3 Newport Beach 69 4 Anaheim 74 5 Huntington Beach 87 6 Orange 91 7 Aliso Viejo 93 8 Placentia 97 9 Santa Ana 104 10 Fullerton 108 11 San Clemente 112 12 Stanton 115 13 Brea 117 14 Yorba Linda 120 15 Cypress 129 16 Costa Mesa 132 17 Westminster 132 18 San Juan Capistrano 133 19 Garden Grove 134 20 Lake Forest 135 21 Laguna Niguel 137 22 Mission Viejo 137 23 Fountain Valley 149 24 Laguna Hills 153 25 La Habra 171 26 Buena Park 174 27 Rancho Santa Margarita 178 28 Dana Point 190 29 Laguna Woods 217 30 Villa Park 228 31 Seal Beach 231 32 Laguna Beach 232 33 La Palma 238 34 Los Alamitos 238 Workforce Housing Scorecard. Cumulative Laguna Woods incorporated in 1999. 1990 Housing Units are based on the 2000 data from the California Employment Development Department. City area for calculating Housing Unit Density was derived by University of California, Irvine, using Geographic Informa- tion Systems software and Tiger data files from the United States Census Bureau. The Scores OCBC Workforce Housing Scorecard 2007 1991-2005 2005-2030 E A b 4A fA ro wc N xo+ c = -'" °' — v► acs 0►.E C -�� IM— o+ c aE o o+ °'c 3 H #A c rye 3 Flo- 3 a o c .N 04- 1 �9 ux° Fc -u x° o= °o% u= 1 1 18 6 1 1 13 1 16 9 3 3 2 3 23 4 9 5 13 9 21 4 2 6 2 4 24 31 5 2 3 3 8 6 15 13 4 7 19 15 4 10 25 16 11 6 8 11 22 2 2 1 16 19 14 17 13 17 19 4 25 10 4 5 3 15 31 23 8 5 10 9 5 14 27 20 10 8 11 13 12 11 12 11 9 15 24 18 31 25 6 2 30 14 5 2 19 21 16 18 12 12 12 7 23 16 5 25 31 9 1 10 14 23 21 10 6 18 29 8 6 22 30 24 7 11 20 12 15 13 10 8 14 21 27 24 25 19 8 17 18 16 9 21 7 18 26 21 23 13 7 19 10 7 11 5 3 31 34 34 20 12 4 12 19 22 22 26 11 8 9 14 27 23 16 29 17 26 23 22 13 17 17 14 26 20 7 7 17 26 28 22 28 24 14 15 22 24 21 23 18 28 28 27 15 20 18 ' 20 27 3 1 33 26 28 30 30 21 27 22 19 24 27 25 25 30 34 34 34 29 25 15 16 32 33 32 30 34 33 6 28 33 32 20 32 20 29 32 33 24 29 29 28 28 32 31 31 34 30 17 26 32 34 33 32 29 31 33 29 1 33 30 26 27 Laguna Woods incorporated in 1999. 1990 Housing Units are based on the 2000 data from the California Employment Development Department. City area for calculating Housing Unit Density was derived by University of California, Irvine, using Geographic Informa- tion Systems software and Tiger data files from the United States Census Bureau. The Scores OCBC Workforce Housing Scorecard 2007 VII. Workforce Housing Scorecard: Methodology The Workforce Housing Report Card assesses the contributions made by each Orange County city to- wards workforce housing and, ultimately, the health of the local economy. The foundation of our report was based on past, present, and future housing growth, which we juxtaposed with job and population growth during the same time periods. The key metric that we used to measure these trends was a job -to -housing ratio. Aggregated on a county -wide scale or broken down at the city level, this ratio tells us how many new jobs were created for every new house. We were inspired to use this metric by research from Dr. john Landis, a professor at UC Berkeley, who argues that a ratio of 1.5 jobs per home constituted an acceptable balance for work- force housing. A higher ratio would indicate that there are more jobs per home, which results in greater scarcity of housing for workers. An important qualifier we added to this ratio was that no city could earn a favorable ranking by losing jobs. Where did we get the jobs and housing data? We relied on historical data on housing and employment that were sourced from the California Employment Development Department, California Department of Finance, the Center for Demographic Research at Cal State University, Fullerton, as well as individual cities. Our projections for 2005-2030 were provided by the Center for Demographic Research—Cal State Fullerton, Orange County Projections 2006. After establishing the jobs -to -housing foundation, we sought to ground the report in its proper con- text. While essential, the jobs -to -housing ratio does not adequately explain other important factors affecting workforce housing, such as density, land use, and the regulatory environment. To assess the county's recent and projected trends in density, we incorporated the aforementioned housing figures with city square mileage information taken from the 1990 census and updated for 2005. The updated information was derived by Scott Smith of the University of California, Irvine, who used Geographic In- formation Systems software and Tiger data files from the United States Census Bureau. Why track density? Changes in density reflect a city's ability to accommodate more workers through in- creased multi -family housing developments. This criterion helps us qualify the type of housing built in a period. That is, if two cities build 100 homes each, the city that creates the greater proportion of multifamily housing compared to single-family housing should come out ahead in this category. Next, we tracked the overall contribution of each city to the county's housing. We did this to account for the greater impact larger cities can have on the county as a whole. A small residential community may boast a superior job -to -housing ratio and increase density, yet still make a negligible contribution to the health of the overall economy. In contrast, the cities of Irvine and Anaheim are projected to cre- ate a substantial share of the county's housing between 2005 and 2030. The same line of reasoning inspired us to create a criterion for total jobs created. As you will recall, our core indicator is job to housing growth. The future prosperity of Orange County will hinge on our abil- ity to promote both, not one at the expense of the other. OCBC Workforce Housing Scorecard 2007 The Scores Orange County Business Council thanks its partners in developing this first-ever Housing Scorecard for Orange County. Corporate underwriting courtesy of: Bank of America 41;�,'. , Community Partners: � RK-qF��� J� d x CAI rimunrty rK ORANGE COUNTY A9@*mvm ar Ilwm#r A SbrP AiMI Onnse County United Way ATTACHMENT C Minor Text Amendment to the Tustin General Plan INTRODUCTION PROPOSED AMENDMENTS California. In 1942, the war brought a new kind of growth to Tustin when the U.S. Navy built its Lighter -Than -Air Base on nearby beanfields. By the 1960s, rising land values and falling grove production induced agricultural land owners to sell their land for urban development. As a result of new development and annexations, the City's population jumped from 2,000 in 1960 to 21,000 in 1970, and has continued to grow at a steady pace to reach a 194 2007 population of over 72,50052 -,WO. Growth is expected to continue following the elosure of WAS Tustin and it kith the reuse of WAS Tustin for residential, commercial, business, institutional, and recreational purposes. PREVIOUS PLANNING EFFORTS AND NEED FOR A REVISED PLAN The City of Tustin adopted its first General Plan in 1966. The Plan was prepared as a joint effort between the City of Tustin Planning Department and the County of Orange Advanced Planning Division. At that time, the Tustin General Plan area consisted of 20.5 square miles which included the unincorporated area of North Tustin. The plan anticipated an optimum or maximum population of 100,438 persons within the entire planning area. Major changes to State law led to preparation and revisions to Tustin's General Plan during the early 1970s. During this period of time, General Plan Elements were developed and/or amended incrementally. However, the real effectiveness of a City's General Plan is contingent upon the practical applicability of the Plan to changing priorities and conditions. Monitoring and reevaluating the validity of Plan policies and amending the Plan from time to time is essential. A comprehensive update of the Plan should be undertaken every five years to ensure that the Plan accurately reflects City policies, conforms to any changes in State law, reflects current court decisions, and provides an integrated and internally consistent set of goals and policies designed to reflect the changing characteristics and growth of the community. To that end, the Tustin City Council authorized a program in February 1991 to undertake a comprehensive update of the General Plan which was adopted on February 7, 1994. A subsequent General Plan amendment was also initiatedadopted in -1 -99 -5 -PR January 16 2001 to address changes associated with planning for --the reuse of MCAS Tustin, which closed {.1.1111 :1 ant:VIH atio of its lin July 1999. 1 PURPOSE OF THE GENERAL PLAN CITY OF TUSTIN INTRODUCTION GENERAL PLAN 5 JUNE 17FEBR ^ X 4 20083 TABLE I-1 RELATIONSHIP OF TUSTIN GENERAL PLAN ELEMENTS TO STATE -MANDATED ELEMENTS TUSTIN GENERAL PLAN STATE -MANDATED GENERAL PLAN ELEMENTS OPTIONAL ELEMENT Land Housing Circulation Noise Safety Conservation/ Use Open Space Land Use Housing Circulation Conservation/ Open Space/ Recreation") Safety Noise Growth Management(z) (1) The Recreation component of this Element is optional. (2) While Growth Management is not a State -Mandated Element, it is mandated by Measure M for all jurisdictions in Orange County. Supporting Documentation Several supporting documents were produced during the Tustin General Plan preparation process, including the various Technical Reports and the General Plan Program Environmental Impact Report (Program EIR). These documents provide substantial background information for the General Plan. A joint Environmental Impact Report/Environmental Impact Statement (EIS/EIR) was prepared for the reuse of WAS Tustin which also addressed the associated 2001 amendment of the Tustin General Plan. The preparation of each general plan element was preceded by the preparation of a technical report. The technical reports identify important background information, issues, and constraints (Le, existing conditions, infrastructure constraints, funding considerations) which were used to guide the formulation of General Plan policy. CITY OF TUSTIN INTRODUCTION GENERAL PLAN 7 JUNE 17FEBRUARY 2008-5 The General Plan Program EIR analyzeds the potential environmental impacts associated with development of the planning area guided by the policies and programs contained in the General Plan. Organization and How to Use the Plan Each of the seven General Plan elements follows a similar organization: ° Introduction ° Summary of Issues, Needs, Opportunities and Constraints • Goals and Policies • Element Implementation Program The Introduction describes the purpose and focus of the element, and also introduces other plans and programs outside of the General Plan which may be used to achieve specific General Plan goals and the relationship of that element to the other elements of the General Plan. The Goals and Policies section presents the City's long-term desires for the subject area of each element. The goals and policies are arranged by issue or subject, and a brief description of philosophy or basis behind these objectives precedes each group of goals and policies. Each element also includes a "plan," to implement General Plan policy. For example, the Land Use Element contains a "Land Use Plan" which indicates the types and intensities of land use permitted city-wide. The "Circulation Plan" in the Circulation Element includes a Master Circulation Plan showing streets and intersections to be improved and new infrastructure provided to meet the circulation needs of City residents and those employed in or visiting the City. Wherever possible, each element contains maps, diagrams, and tables to illustrate General Plan policy. A separate implementation section for each element identifies programs designed to achieve goals and policies in each General Plan element. This Implementation Section should be reviewed and updated periodically to help identify specific time frames, responsible parties, and specific measures to ensure that General Plan policies are implemented. The General Plan's organization allows those using the Plan to turn to the section that interests them and to quickly obtain a perspective on the City's policies on the subject. However, those using the Plan should realize that various Plan policies from one element to another are interrelated and should CITY OF TUSTIN INTRODUCTION GENERAL PLAN 8 JUNE 17FE'RRUARY 22, 20083 For the 2001 amendment of the General Plan associated with the reuse of MCAS Tustin, a public "Open House" was held to review the Draft Amendment, followed by public hearings held before the City's Planning Commission and City Council. GENERAL PLAN AMENDMENTS As amendments to the General Plan are considered and adopted by the City, a general description of each should be identified and added as an attachment to the Introduction to the Plan. Amendment of Table 1-2 as an attachment to the Introduction Chapter below will not require an amendment to the General Plan. Table I-2 below identifies each amendment and the General Plan elements affected. TABLE I-2 GENERAL PLAN AMENDMENTS Amendment Date of Affected Amendment Description Name Adoption Elements 07-001 12-04-07 Land Use Resolution 07-94 13841 Red Hill Avenue 06-002 10/02/06 Land Use Resolution 06-118 14092 Browning Avenue 02-002 9-19-05 Land Use Resolution 05-101 Library 05-001 4-18-05 Circulation Resolution 05-62 El Camino Real Reclass. 04-001 2-22-05 All, except Resolution 0543 Columbus Grove Reorg. Housing and Growth Management 03-001 12-01-03 Land Use Resolution 03-131 Newport Avenue 02-001 2-04-02 Housing Resolution 02-09 Housing Element Update CITY OF TUSTIN INTRODUCTION GENERAL PLAN I I JUNE 17FERo'�nUA 22, 2008-5 LAND USE ELEMENT PROPOSED AMENDMENTS The Land Use Element Technical Memorandum, published prior to the preparation of the Land Use Element, is a supporting background document that contains quantitative information about the composition of land use in Tustin in 1991. This technical memorandum may be updated periodically to maintain a data base of current land use conditions in the planning area. RELATED PLANS AND PROGRAMS There are a number of state, regional, and county plans and programs which relate to land use in the City. These plans and programs include the Southern California Association of Governments (SCAG) Growth Management Plan, the South Coast Air Quality Management Plan (SCAQMP), the Orange County Growth Management Plan, and the Orange County Airport Environs Land Use Plan (AELUP). Each of these plans is briefly described below. SCAG Growth Management Plan The SCAG Growth Management Plan recommends ways to redirect the region's growth in order to minimize congestion and better protect the environment. While SCAG has no authority to mandate implementation of its Growth Management Plan, some of the Plan's principal goals (such as improved jobs/housing balance) have implications for the land use composition of the City and are being implemented through the South Coast Air Quality Management Plan (SCAQMP) under the implementation authority of the South Coast Air Quality Management District. South Coast Air Quality Management Plan The South Coast AQMP mandates a variety of measures to reduce traffic congestion and improve air quality, including the Regulation XV Commute Qua! ity eorApenentwithin its general plan. Air Quality is included as a sub - element to the Conservation/Open Space/Recreation Element of the Tustin General Plan to fulfill AQMP requirements. The City's Land Use Element organizes land uses in relation to the circulation system, and present policy promotes commercial and industrial land uses with convenient access to transportation. CITY OF TUSTIN LAND USE ELEMENT GENERALPLAN 2 JiJNE 200$3 Orange County Airport Environs Land Use Plan The Airport Land Use Commission (ALUC) for Orange County has responsibility under state law for formulating a comprehensive airport land use plan (ALUP) for the anticipated growth of each public use airport and its surrounding vicinity. General Plans for cities affected by an ALUP must be consistent with that plan. The purpose of the ALUP is to safeguard the general welfare of the inhabitants within the vicinity of airports and to ensure the continued operation of the airports. The Orange County ALUC has adopted the Airport Environs Land Use Plan (AELUP) governing M£ 4 S; Tustin MCAS 91 T , John Wayne Airport, Mea&NAar4EAiFpoq4, AFRC Los Alamitos, and Fullerton Airport. Following the _'^^_. _ of Tustin Plan.—Three issues areas in the AELUP are addressed in the City's General Plan: noise, safety, and building height. The Noise and Safety Elements of the General Plan address noise and safety, while the Land Use Element addresses building height. RELATIONSHIP TO OTHER GENERAL PLAN ELEMENTS The Land Use Element is the key element of any General Plan because it has the broadest scope of the mandated elements required in a General Plan. The Element must be prepared with the full knowledge and consideration of the information/ policies contained in other General Plan Elements. Specifically, the Land Use Element relates to the Housing Element by defining the extent and density of future residential development in the City, The Land Use Element is also coordinated with the Open Space/Conservation/ Recreation Element, in that open space resources are designated on the Land Use Plan Policy Map, and environmental factors are considered in the location of land use types. The Land Use Element relates to the Safety and Noise Elements by integrating their land use recommendations pertaining to public safety and noise constraints into detailed policies which apply to specific geographic locations. The Circulation and Land Use Elements are interrelated in that specific land use decisions depend upon traffic routes and circulation patterns. Finally, the Land Use Element defines the amount of development permitted to occur, coupled with the Growth Management Element which establishes policies and procedures to ensure development occurs at a rate CITY OF TUSTIN LAND USE ELEMENT GENERALPLAN 4 E 17fnno� �^��,200" SUMMARY OF ISSUES, NEEDS, OPPORTUNITIES AND CONSTRAINTS The Land Use Element establishes policy which is reflected in all the other General Plan elements. The following land use issues, needs, opportunities, and constraints have been identified in Tustin, and are addressed in the goals and policies which follow in the next section. BALANCED DEVELOPMENT IN TUSTIN • There is a lack of commercial services in certain geographic areas, such as the Irvine Business Center, which warrants consideration of additional commercial designations. • Land use patterns encourage Tustin residents to rely on the automobile to commute to work and shopping. • The City has the opportunity to purchase surplus freeway parcels and develop them with uses which capitalize on their freeway accessibility. o Following the closure of WAS Tustin The WAS Tustin Specific Plan/Reuse Plan will continue to guide future development on approximately 1,533 acres in the City of TustinAlustin Legacy). ° The annexation of certain areas in North Tustin could establish more logical City boundaries. • Hillside areas within the City's sphere of influence may be subject to slope instability. In the event of annexation, significant infrastructure deficiencies, where they exist, shall be mitigated to the extent feasible. COMPATIBLE AND COMPLEMENTARY DEVELOPMENT ° The intermixing of land uses in some areas without adequate buffering has resulted in land use incompatibilities, such as those related to CITY OF TUSTIN LAND USE ELEMENT GENERALPLAN 6 JUNE L7FL�'o�nnv 200&3 • Through the development of office, hotel and business park uses in Pacific Center East, the City has substantial opportunities to expand its economic base. ° Opportunities exist for freeway -oriented development adjacent to SR -55 and the existing and planned northbound (eastside) ramps to SR -55. NORTH TUSTIN (UNINCORPORATED AREA) ° The unincorporated North Tustin area has a well developed low-density semi -rural character which would expand the scope of housing availability and add a valuable housing diversity to the City. ° To preserve the low density semi -rural character, there is a neem to ensure that any infill development is compatible and complimentary to this existing community. FUTURE DEVELOPMENT CHARACTER OF FORMER MCAS TUSTINTU( STIN I ,EC.ACY) Given the size and location of the site, there is an opportunity for continued reuse and development to create a distinct area of unique character, to provide uses which meet broad community needs, and to accommodate a mix of uses responsive to market demand which also advance regional goals for jobs/housing balance. There is an opportunity to continue to create immediate interim uses and reuse of many existing buildings and facilities at the site epon alesare-to facilitate conversion of the installation from its former military use to civilian use. There is a constraint on future aviation uses of land due to impacted airspace (i.e. John Wayne Airport) and a community desire to see only limited and interim aviation uses on the site. ° The opportunity exists to provide open space as visual and recreational amenities on the site. CITY OF TUSTIN LAND USE ELEMENT GENERALPLAN 10 JUNE 17evnornuv� 200$3 ° Planned land uses need to continue to be integrated with existing facilities within the site and with surrounding development in adjacent communities. Architectural design of the highest quality is desired for new development. Streetscape design, site planning techniques, and pedestrian and bicycle linkages should continue to reinforce relationships between uses on the site. Communities entries, landscape design along the boundaries of the site, signage and design vistas in and through the site are needed to continue to create a strong visual identify. CITY OF TUSTIN LAND USE ELEMENT GENERAL PLAN 11 JUN 1712414� 20085 LAND USE ELEMENT GOALS AND POLICIES The goals and policies contained in the Land Use Element provide the framework for land use planning and decision-making in the City. They are an outgrowth of issues, needs, opportunities and constraints identified during preparation of the General Plan including concerns of Tustin residents and selection of the preferred growth alternative. They reflect the direction and image the City seeks for the future. The goals and policies of this element are intended to: ° Achieve balanced development; ° Ensure that compatible and complementary development occurs; ° Revitalize older commercial, industrial, and residential development; ° Improve city-wide urban design; ° Promote economic expansion and diversification; ° Coordinate development with the provision of adequate public facilities and services; ° Ensure that the development character of East Tustin is compatible with the surrounding man-made and natural environment; ° Strengthen the development character and mixture of uses in the Old Town/First Street area; and • Promote an integrated business park character for the Pacific Center East area. • Continue to (implement a the reuse plan for MCAS Tustin which maximizes the appeal of the site as a mixed-use, master planned development. CITY OF TUSTIN LAND USE ELEMENT GENERALPLAN 12 RUNEL7PEBRo,-,niAov4 20083 REVITALIZATION OF OLDER COMMERCIAL, INDUSTRIAL AND RESIDENTIAL USES AND PROPERTIES Revitalization of older residential and non-residential development through rehabilitation, preservation, and redevelopment of the existing stock of land, landscaping, buildings and public infrastructure is necessary to maintain the quality of an urban environment. GOAL 5: Revitalize older commercial, industrial and residential uses and properties. Policy 5.1: Encourage and continue the use of redevelopment activities, including the provision of incentives for private development, joint public-private partnerships, and public improvements, in the Town Center, and-South/Central, and MCAS Tustin redevelopment project areas. Policy 5.2: Provide development incentives to facilitate the consolidation of individual parcels along the City's commercial corridors. Policy 5.3: Encourage the rehabilitation of existing commercial facades and signage. Policy 5.4: Continue to provide rehabilitation assistance in targeted residential neighborhoods to eliminate code violations and enable the upgrading of residential properties. Policy 5.5: Encourage the restoration and rehabilitation of properties in Tustin eligible for inclusion on the National Register of Historic Places according to the rehabilitation guidelines and tax incentives of the National Trust for Historic Preservation. CITY OF TUSTTN LAND USE ELEWNT GENERAL PLAN 17 !UNE 17R&nR64A44, 20Ogg Policy 7.1: Broaden the City's tax base by attracting businesses which will contribute to the City's economic growth and employment opportunities while ensuring compatibility with other General Plan goals and policies. Policy 7.2: Capitalize on office and hotel markets through encouraging the development of these uses. Policy 7.3: Coordinate efforts between the City's Redevelopment Agency and Chamber of Commerce to actively market Tustin to prospective industries. Policy 7.4: Promote the maintenance, marketing and further development of the Tustin Market Place and Tustin Auto Center as regional retail destinations. Policy 7.5: (a) Focus retail development into consolidated, economically viable and attractive centers of adequate size and scale which offer a variety of retail goods and amenities; (b) reinforce quality highway and scenic development adjacent to the City's major transportation corridors; and (c) discourage typical strip commercial development. Policy 7.6: Promote marketing techniques for the continued development of Tustin Legacy (MCAS Tustin) to civilian uses which will focus on the goals of the Specific Plan/Reuse Plan for the site, creating jobs and attracting viable businesses. DEVELOPMENT COORDINATED WITH PUBLIC FACILITIES AND SERVICES Adequate public facilities and services are essential components of urban development. The City must be able to expand its facilities and services to accommodate new development, as well as maintaining or improving facility and service levels for existing development. Providers of services not controlled by City should be encouraged to plan to accommodate new development. GOAL 8: Ensure that necessary public facilities and services should be available to accommodate development proposed on the Land Use Policy Map. CITY OF TUSTIN LAND USE ELEMENT GENERALPLAN 20 JUNE I7PPARI;, R)o 20083 East Tustin will has provided the majority of new residential development within the planning area. The planned community approach for development of the area ean achieved_ a balance between urban use of land and maintenance of the natural environment. GOAL 9: Continue to Pprovide for a planned community in East Tustin compatible with the land use characteristics of the local area and sensitive to the natural environment. Policy 9.1: Ensure the compatibility of development in East Tustin adjacent to existing developed areas. Policy 9.2: Provide for supporting land uses in East Tustin, including neighborhood commercial centers, park and recreational facilities, and schools, to serve the residential community. Policy 9.3: Continue development phasing which provides incremental growth that is coordinated with the existing adjacent development, infrastructure and market opportunities. Policy 9.4: Enforce the East Tustin Hillside District Guidelines to preserve the natural terrain of Tustin's undeveloped hillsides. Policy 9.5: Require graded slopes to undergo permanent re -vegetation in a timely manner to minimize chance of erosion and siltation. Encourage the use of drought -tolerant and fire resistant plant materials. Policy 9.6: Retain natural landscape to the maximum extent possible, and incorporate planting in new development areas compatible with the character and quality of the natural surrounding environment. Policy 9.7: Encourage the clustering of development in hillside areas to minimize grading impacts and/or retain natural features and vegetation. Policy 9.8: Encourage clustering of residential uses to minimize impacts from noise, flooding, slope instability and other environmental hazards. Policy 9.9: Site buildings and align roadways to maximize public visual exposure to the north -south Peters Canyon ridgeline, the redwood/cedar grove, the knoll and major tree stands. CITY OF TUSTIN LAND USE ELEMENT GENERAL PLAN 22 JUNE 17FU- I�,�, =,�r_D V -, 2008-5 Policy 11.5: Upgrade the edge conditions between industrial/ business park uses and residential development through private development standards and onsite landscaping of industrial/business park uses. NORTH TUSTIN (UNINCORPORATED AREA) The North Tustin unincorporated area has a low density, semi -rural character. This desirable character is sensitive and vulnerable. GOAL 12: Maintain the semi -rural and low-density character of North Tustin. Policy 12.1: Ensure that any infill development in North Tustin is compatible and complimentary to the existing North Tustin community. Policy 12.2: Review and consider the possible development and adoption of pre -zoning designation for the North Tustin unincorporated area as part of any annexation proposal. Policy 12.3: Identify the North Tustin Specific Plan Area and entire North Tustin unincorporated area as a Special Management Area. FUTURE DEVELOPMENT CHARACTER OF TUSTIN LEGACY (FORMER MCAS T11CTmTi1 s GOAL 13: Continue to imalement Develop the a Specific plan/Reuse Plan for MCAS Tustin which maximizes the appeal of the site as a mixed use, master planned development and that includes the following qualities seeking to create results that are very special and worthy of the site's present and historical importance. Policy 13.1: Promote new uses and design which will peacefully coexist with surrounding residences and businesses in Tustin and adjacent cities, minimizing impacts on noise, air quality, traffic, and other environmental features wherever possible. CITY OF TUSTIN LAND USE ELEMENT GENERAL PLAN 25 AAE 17REBR�n n v a 20083 Policy 13.2: Encourage a development pattern that offers a connectedness between buildings and uses, and has a strong sense of place through architectural style and creative landscape design. Policy 13.3: Encourage a mixture of uses that enable people living or working on the site to choose to meet a significant part of their daily needs within the site. Policy 13.4: Eneeur ig" Implement the balanced reuse plan that responds to community needs but which wi11 does not drain City resources. Wherever possible, tax revenues generated by uses on the site should offset the costs of public services. Policy 13.5: Promote high quality architecture, landscaping, signage, open space design, circulation patterns, and landscape patterns distinct from surrounding areas. Policy 13.6: Encourage the distinguished history of the Base to be preserved in one or more locations on site. Policy 13.7: Promote uses and institutions which will accommodate and attract 21st Century jobs and technologies. Policy 13.8: Encourage uses that benefit broader community's needs and which are balanced with development that is compatible with the Tustin community. Policy 13.9: Ensure that land and water are clean and safe to use and that other environmental considerations are taken into account during design. Policy 13.10: Promote a successful transition from military to civilian use that reasonably satisfies the public interests at local, countywide, regional, state and federal levels consistent with the need for any reuse plan to be fiscally sound and to foster economic development. Policy 13.11: Strategically place development in a manner responsive to requirements for hazardous material cleanup, circulation and infrastructure capacity, and market absorption. RELATED GOALS AND POLICIES CITY OF TUS nN LAND USE ELEMENT GENERAL PLAN 26 U 17RER U�_rnnv 7 Z00g-5 TABLE LU -1 LAND USE RELATED GOALS AND POLICIES BY ELEMENT CITY OF TUSTIN LAND USE ELEMENT GENERAL PLAN 28 J E 17FWMU 4R4-7, 20083 RELATED GOALS AND POLICIES BY ELEMENT Land Use Issue Lend Use Conservation/ Conservation/ Public Growth Area Hous' Circulation Space Safety Noise Management Balanced 1.9, 3.1 1.10, 5.2, 2.12, 8.11, 1. 1, 2.5, 2.6, Development 5.6 14.12, 2.7, 2.8, 4.1 14.13 15.2 Compatible! 1.11, 4.4, 1.3, 1.4, 7.3, 1.6, 3.3, 1.2, 1.9, Complementary 4.5, 5.1, 7.4, 8.1, 8.5, 3.9, 4.5, 2.3, 2.4, Development _ 6.2, 8.7, 8.9, 7.1, 7.2 2.5, 2.7, 6.12 8.10, 8.12, 8.13, 2.8 8.16, 14.7, 14.8, 14.9 17.3 18.5 Revitalization of 1.2, 1.3, 12.1 9.1 Older 5.1, Development 5.3 5.3 Improved City- 1.18 1.2, 1.9, L2, 1.5, 5.3, 5.2, 6.5 2.6 wide Urban L 14, 6.8 7.1, Design 8.6, 11.1, 11.2, 12.3 14.1 17.2 Economic 2.5 Expansion/ Diversification Public Facilities/ 1.16, 6.9 2. W, 5.6, 14.5, 3.2, 5.3 3.1, 3.2 Services 14.6, 16.10, Coordination 18.4 Fart Tustin 7.6, 8.15, 8.17, character 14.14, 14. 15, 15.1 Old Town/Pirst Sheet Character Pacific Cep East Character North Tustin (Uninoorpotstixt Area Tustin Lcaecv 16.8 ff-Qrrqer MCAS Tustin) Character CITY OF TUSTIN LAND USE ELEMENT GENERAL PLAN 28 J E 17FWMU 4R4-7, 20083 LAND USE POLICY MAPS The Land Use Policy Maps reflect the application of General Plan goals and policies to the distribution and intensity of future land uses in the City of Tustin as well as areas which are within the City's Sphere of Influence. There are three Land Use Policy Maps which are a part of this Element. They are the Land Use Plan Policy Map and two Special Management Areas Policy Maps. LAND USE PLAN AND POLICY CONSIDERATIONS Figure LU -1 represents the Land Use Plan for the Tustin Planning Area. The plan is also reproduced at a larger scale and is available from the Tustin Community Development Department. While the Land Use Plan describes the general pattern of land uses at build -out, the Plan is not a zoning map and should be interpreted as a generalized guide to the type, intensity and relationship of land uses. Upon adoption of the General Plan, the City will then begin the process of modifying the Zoning Ordinance to ensure its consistency with the Land Use Plan. Land Use Designations Land Use designations indicate the type and nature of development that is allowed in a given location. While terms like "residential," "commercial" and "industrial" are generally understood, State General Plan law requires a clear and concise description of the land use categories shown on the Land Use Plan Policy Map. The Land Use Element provides for seven major land use groupings divided into 15 categories or designations as listed in Table LU -2. Four of these designations are established for residential development, ranging from low- density single family to high-density multiple family development. Three commercial designations, one industrial, and one public/ institutional, an" are included. A planned community designation, which includes residential, commercial/business, and public institutional components, is also provided. Additionally, a separate specific plan designation is provided for the planned reuse of MCAS Tustin. Major transportation facilities are included in a single transportation category. CITY OF TUSTIN LAND USE ELEMENT GENERAL PLAN 29 JUNE 171'VonT .-�-^ v�, 20083 TABLE LU-2 DEVELOPMENT INTENSITY/DENSITY STANDARDS MAJOR MAXIMUM EFFECTIVE LAND USE DESIGNATION AND SUMMARY DESCRIPTION LAND USE DWELLING DWELLING GROUPINGS UNITS PER UNITS PER ACRE OR ACRE OR MAXIMUM AVERAGE FLOOR AREA FLOOR AREA RATIO (a) RATIO (b) RESIDENTIAL 1-7 5.81 LOW DENSITY RESIDENTIAL - Detached single family dws&W which allows up to 7 dwellIrg urdfa per net acre with an average of 3.25 persons per dwelling unit 8-15 15.00 MEDIUM DENSITY RESIDENTIAL- Multi-family, dwwkgs Including duplexes, condominiums, townhomes, and apamments. Allows up to 55d � is per net acre wfth an average of 2.73 persons per 1525 21.53 HIGH DENSITY RESIDENTIAL - Multi fancy dwellings Including duplexes, condominiums, townhomea, end apartments. Allows up to 25 dwelling units per net acre with an average of 2.15 persons per dwelling unit. 1-10 8.31 MOBILE HOME PARK - Mobile Home Park development wfiloh allows up to 10 dwelling units per acre with an average of 2.15 persons per dwelling unit COMMERCIAL 0.5:1 0.4:1 COMMUNITY COMMERCIAL - Includes retail, professional office, and service-oriented business activities serving a community-wide area and population. 1.0:1 0.5:1 OLD TOWN COMMERCIAL - Includes retail, professional office, and service-oriented business activities serving Old Town and surrounding areas. (May also include high density reskfential). 0.8:1 0.4:1 PROFESSIONAL - Primariy single tanant or multi-tenant offices that Include legal and medical services, Handal Institutions, corporate and government offices, and other supporting uses. INDUSTRIAL 0.8:1 0.5:1 INDUSTRIAL - A mix of industrial and office uses such as wholesale businesses, tight manufacturing, storage, distribution and sales, research and development laboratories, and service commercial business. PUBLIC 0.8:1 0.2:1 PUBLICANSTITUTIONAL - Public and private uses such as sdm hk churches, City Hall, flood control chanrnals, reamvchs, communication, utility substations, and recreatimVopen spaces such uses as parks, golf courses, and designated open spaces. &25 3 04.4 4 PLANNED (C) (c) PC RESIDENTIAL - Includes low, medium, and high density COMMUNITY residential described above with respective averages of 3.15, 2.45, and 2.05 persons per dwelling unit. 1.5:1 0.4:1 PC COMMERCIAL/BUSINESS - Mix of commercial and office uses such as hot ltmotels, commercial centers, research and development, and professional offices. 0.8:1 0.2:1 PC PUBLICANSTITUTIONAL - Same as PubkAnstitutional above. CITY OF TUSTIN LAND USE ELEMENT GENERAL PLAN 31 JUNE 17FEBorte.^ nY 22, 2000 Fermatted TABLE LU -2 DEVELOPMENT INTENSITY/DENSITY STANDARDS MAJOR MAXIMUM EFFECTIVE LAND USE DESIGNATION AND SUMMARY DESCRIPTION LAND USE DWELLING DWELLING GROUPINGS UNITS PER UNITS PER ACRE OR ACRE OR MAXIMUM AVERAGE FLOOR AREA FLOOR AREA RATIO (a) RA710 (b) MCAS TUSTIN (d) (d) LOW DENSITY RESIDENTIAL. - Low density detached and SPECIFIC PLAN attached dwellings at a maximum of 7 dwelling units per acre with an average of 3.25 persons per dwelling unit. MEDIUM DENSITY RESIDENTIAL - Medium density detached and attached dwellings at a maxdnurn of 615 dwelling units per acre with an average of 2.73 persons per dwelling unit MEDIUM-HIGH DENSITY RESIDENTIAL - medium-high density dwellings of 1625 d"llnng units per acre with an average of 2.12 persons per dwelling unit. TRANSITIONALIEMERGENCY HOUSING - Adaptive rouse of military dormitory type structures for emergency housing, single occupancy housing, or congregate care wXh an average of 32 persons per acre. COMMERCIAL AND BUSINESS - A variety of industrial, research and development, professional office, retell, commercial recreation, and specialized employment and.. wid andWM uses at an average boor area ratio of .35:1 which can be increased under special circumstances. Residential uses are permitted at 1625 dwelling units per acro with an average of 2.12 persons per dwelling unit INSTITUTIONAURECREATIONAL USES - A wide range of public and quasi -public uses including educational facilities, public and private schools, collages, neigldxorhood, community and regional parks, child care centers, and govern entallboclal service fac9ltles. TRANSPORTATION — — TRANSPORTATION - Consists of major and primary arterial roadways and railroads. (a) Maximum allowable level of development standard for Fndividuai parcels of land. (b) Assumed overall standard level of development Since the development which has occurred to data has not reached the ffw)& um allowed level of density or Intensity, future development is erected to be leas than the ma6num. Therefore, an effective level of densttyMtensity, is used when projectkV total future dwelling taltalpopfdatlon for residential development and future square footage for non-resdendal development where floor am Is used as a measurement of building Intensity. (c) Maximum density In dwelling units per acre Is prescribed by Individual Planned Community documents. Effective dweillng units per acre for low, medium, and high density residential Is 4.485, 11.834, and 17.39, respectively. (d) Maximum and effective dwelling units per acre and floor area ratio described in MCAS Tustin Specific Plan/Reuse Plan (1998), acrd Errata (1910 and 2008 Soe0k Plan Amendment. CITY OF TUSTIN LAND USE ELEMENT GENERAL PLAN 32 ]UNE 17PI; A ov " 200M Public/Institutional: The Public/Institutional designation includes a wide range of public and quasi -public uses distributed throughout the community such as schools, churches, child care centers, transportation facilities, public buildings and facilities, public utilities, libraries, museums, art galleries, community theaters, hospitals, cultural and recreational activities, community recreational facilities, and parks. Certain public institutional uses may be permitted within other land use designations when determined appropriate. In addition, land uses which support and are specifically related to the function of the primary institutional use may also be permitted. These support uses may include residential (for purposes of housing persons related to an institutional use), retail and service commercial, and industrial uses (e.g., warehousing for a city yard facility). The standard intensity of development is a floor area ratio of 0.2:1 and the maximum intensity of development is a floor area ratio of 0.6:1. Planned Community (PC) Designations PC Residential: The PC Residential land use designation allows for the diversification in the relationships of various densities, building and open spaces. The land use designation recognizes that mixed and integrated uses can be made to be compatible and provides for the development of low, medium and high density residential development within a wide range of living accommodations. Single family dwellings and multi -family dwellings such as duplexes, condominiums, townhomes, apartments, cooperatives, community apartments and uses such as such as public!mstitutional facilities, churches, schools, large family day care facilities and others which are determined to be compatible with and oriented toward serving the needs of residential neighborhoods may also be allowed. The actual mechanism for defining location, density range and other building intensity standards will specifically be governed by Planned Community District provisions or adoption of a Specific Plan as authorized by the California Government Code. The average population is approximately 3.25 persons per dwelling CITY OF TUSTIN LAND USE ELEMENT GENERAL PLAN 40 ELN -E1 7FF_ gym- , 200$-5 The WAS Tustin Specific Plan designation is intended to provide a framework for the continued conversion of a -the former military installation to civilian uses by providing a mechanism for flexibly accommodating a wide range of housing, employment, educational and community support uses and opportunities. To ensure compatibility of land uses permitted within this classification with the character of surrounding development and within the development area itself, the specific location of land use types, density and building intensity standards will be its verned by a the WAS Tustin Specific Plan, as authorized by the California Government Code. The Specific Plan designation, however,,wotdd allows for a number of the following uses. Low Density Residential uses at a maximum density of 7 dwelling units per acre will provide for development of low density attached and detached dwellings and accessory uses and buildings. A wide range of accommodations including single family units, patio homes, and multiple family dwellings such as condominiums, townhouses, cooperatives and community apartments mgyvk)uld be permitted. Uses such as public/institutional facilities, child care facilities and others which are determined to be compatible with, and oriented towards the needs of these neighborhoods may also be allowed. The average population for this permitted land use is approximately 3.25 per dwelling unit which represents a population density range of 3 to 23 persons per acre. Medium Density Residential uses at a density range of 8-15 dwelling units per acre will provide for development of medium density attached and detached dwellings and accessory uses and structures. A wide range of accommodations including single family units, patio homes, and multiple family dwellings such as condominiums, townhouses, cooperatives and community apartments would MW also be permitted. Uses such as publichnstitutional facilities, child care facilities and others which are determined to be compatible with, and oriented towards the needs of these neighborhoods may also be allowed. The average population for this permitted land use is approximately 2.73 persons per dwelling unit representing a population density range of 22 to 41 persons per acre. O Medium -High Density Residential uses at a density range of 16-25 dwelling units per acre. The designation to provide for development of multiple family dwellings at a higher density may include rental MY OF TUSTIN LAND USE ELEMENT GENERAL PLAN 42 LUNE n 17rnni� mo, a�_� _novo 20083 apartments, condominiums, and townhouses. The average population for this permitted land use is approximately 2.12 persons per dwelling unit representing a population density range of 34 to 53 persons per acre. ° Transitional/Emergency Housing uses would -lie are permitted to accommodate the adaptive use of existing military dormitory type structures for emergency housing, single occupancy housing, or congregate care uses. The maximum population density for this permitted land use would be 32 persons per acre. ° Commercial and Business uses which provide for the development of a variety of uses including industrial, research and development, professional office, retail, commercial recreation, and specialized employment and merchandising uses would may be permitted. The continuation of limited military uses, recognizing that these uses could be converted to commercial/business uses in the future, wouldmay-also be permitted. Other uses such as residential and public/institutional uses which support commercial and business uses weald mqy_also be permitted. The average standard intensity of development for commercial/business uses across the Specific Plan designation is a floor area ratio of --35.5:1. However, individual planning areas and specific types ofcommercial business uses may be permitted to have a higher average floor area ratio. In addition, increased intensities may be permitted where development capacity is transferred from one area to another in accordance with the provisions of the Specific Plan, In addition, the floor area ratio may increase up to 2.0 on certain building sites as long as allotted square footage for a Planning Area is not exceeded, as defined in the Specific Plan. Residential density ranges of 15-25 dwelling units per acre maybe permitted in certain commercial and business areas within the Specific Plan land use designation at a population density range of 34 to 53 persons per acre. ° Institutional/Recreational Uses which provide for a wide range of public and quasi -public uses distributed within the Specific Plan area would be permitted including educationalfacilities, public and private schools, colleges,' neighborhood community and regional parks and support facilities, child care centers, and certain governmental/social service facilities. Other uses (such as residential for purposes of housing persons related to an institutional use) which support institutional and recreational uses may be permitted. The CITY OF TUSTTN LAND USE ELEMENT GENERAL PLAN 43 LVNFLE Ann - 200-0 average standard intensity of development for all institutional/recreational uses will be a floor ratio of .20:1 with higher average floor area ratios permitted for specific institutional/ recreational uses. Adequate right-of-way for major arterial roadway extensions WW are also need to he accommodated in the MCAS Tustin Specific Plan designation. Major arterial roadways serving the MCAS Specific Plan include Jamboree Road, Red Hill Avenue, Barranca Parkway, Tustin Ranch Road, Warner Avenue, and Edinger Avenue. Tustin Ranch Road will need to be extended to Von Karman to connect Edinger Avenue to Barranca Parkway. Warner Avenue will need to be connected between Red Hill Avenue and Jamboree Road. Transportation Designation Transportation Corridor: The Transportation Corridor designation applies to the land within the corridors for the Santa Ana Freeway (Interstate 5), the Costa Mesa Freeway (State Route 55), the Atchison, Topeka and Santa Fe railway, and Circulation Element roadways. Lands within these corridors are reserved for transportation purposes as the primary use. Secondary uses, such as open space linkages and landscaped areas, public and private parking areas, and other transportation -related activities and facilities are also allowed IMPLICATIONS OF THE LAND USE PLAN The implementation of the Land Use Plan contained in this Element will permit additional development consistent, with other General Plan goals and objectives. Table LU -3 summarizes the distribution of acreage within each land use designation in the City of Tustin and within the City's Sphere of Influence. Figure LU -3 delineates the boundaries of seven planning sub -areas within the Tustin Planning Area, while Table LU -4 provides a summary of land use distribution within each sub -area Figure LU -3 delineates the boundaries of these sub -areas. CITY OF TUSTIN LAND USE ELEMENT GENERALPLAN 44 LUNEL7FEnRWARwnvo 20083 of the Plan is 129,655, and the projected population is 104,312 resulting in an overage of approximately 24 percent. SPECIAL MANAGEMENT AREAS Certain areas within the planning area have special characteristics or unique properties which require continuous City management to ensure that City policy is implemented and desired results are achieved. These "Special Management Areas" (SMRs) are regulated in different ways by the City and other public agencies having specific responsibilities for methods and timing of land development. For these reasons, two Special Management Area Policy Maps have been prepared to identify these areas consistent with Land Use Element goals and policies and related policies, contained in other General Plan elements which impact land use decisions. 'Special standards for development in Special Management Areas are applicable regardless of other land use descriptions on a property. Figures LU4 and LU -5 delineate the boundaries of Special Managenient Areas in the Tustin planning area. Existing Specific Plans Specific plans are designed to implement General Plan goals and policies by desegregating land uses, densities, developments and design standards. Adopted specific plans within the planning area include: East Tustin, Pacific Center East, First Street, a*4-North Tustin, and MCAS Tustin Specific Plan (Tustin Legacy). East Tustin Specific Pian: The East Tustin Specific Plan area represents a portion of the Irvine Company property which was annexed to the City of Tustin incrementally in 1977,1980, and 1981 and now forms a portion of the City's eastern boundary. The Plan encompasses 1,746 acres-edd4epresenis The entire Specific Plan area has been subdivided, with app e*iom= most of the total acreage currentlydeveloped The overall land use concept of the Specific Plan provides for a planned community which is compatible with and complementary to the land use characteristics of the local area, and is also sensitive to environmental resources. A variety of uses are permitted in the Specific Plan including residential uses, commercial uses, and public uses. All development activities within this area of the City are subject to provisions of the East Tustin Specific Plan. A more lengthy discussion of the plan can be found in the Land Use Technical Memorandum. CITY OF TUSTM LAND USE ELEMENT GENERAL PLAN 49 MN-El7VWMW a .�.v 2Mj MCAS Tustin Specific Plan: Marine Corps Air Station (MCAS) Tustin closed in July 1999. Former MCAS Tustin is approximately 1,602 acres in size, and is located primarily within Tustin with the exception of 73 acres located within the City of Irvine. One privately owned parcel of approximately 4.1 acres is was immediately adjacent to the northeasterly boundary of the base and will be was included in the any planning for reuse of the base. Following closure, the WAS Tustin property is under the jurisdictional authority of the cities of Tustin (approximately 1,533 acres) and Irvine (approximately 73 acres), and will be is subject to requirements of a Specific Plan/Reuse Plan on far the former military base and the 4.1acre privately owned site. The overall goal of the Specific Plan -shouted -be is to translate community values into the most important qualities or characteristics of the future uses and overall design and seek to create results that are very special, worthy of the site's present and historical importance to the City of Tustin and the region. A variety of land uses are will be permitted by the Plan, including residential, commercial/business, and institutional/ recreational activities. Through the federal disposition process, certain portions of the property were made will be available to federal, state, homeless, and local agencies through public benefit conveyances. Property was also &41-- '�^-oe offered to the Local Reuse Authority (e.g., the City of Tustin) in the pursuit of job creation and economic development. Property not transferred as a public benefit conveyance or transferred to the Local Reuse Authority was will be sold by the Department of the Navy. Future Specific Plan Study Areas To achieve General Plan goals and objectives, other portions of the planning area may be identified as Specific Plan study areas for specific plans. If specific plans are adopted in these areas, amendment to the Special Management Areas Policy Maps is not necessary.' Redevelopment Project Areas State Redevelopment Law provides the mechanism whereby cities and counties, through the adoption of an ordinance, can establish a redevelopment agency. The Tustin Community Redevelopment Agency was created in 1976 and is made up of the City Council who are elected at large by popular vote. CITY OF TUSTIN LAND USE ELEMENT GENERAL PLAN 54U1 NE 17€EBRUARY 7,2008-5 Redevelopment law enables the Agency to undertake community projects designed to improve certain areas within the City which have suffered economic decline, deterioration of improvements, or which have been unable to attract and promote new private investments to enhance the quality of life in the area. State law provides the Agency with broad governmental functions and authority to facilitate revitalization including but not limited to: issuance of bonds; the right to acquire, sell, rehabilitate, develop, administer or lease property; and the right to demolish buildings, clear land, and construct public improvements and infrastructure. State Law also provides various means of financing redevelopment implementation, the most useful of which is tax increment financing. Tustin has three two redevelopment project areas: Town Center, -and South/Central, and MCAS Tustin, which are shown on Figure LU -5. All development within Redevelopment Project areas are subject to review of design and analysis of conformity with each redevelopment plan by the RedevelopmentAgency prior to issuance of building permit° The 0ti intendste establish D d l - n the base in inine will require ln,ine City Coun approval, North Tustin Area (outside of North Tustin Specific Plan) The unincorporated portion of the planning area is comprised of the North Tustin area These areas are included in the City's planning area because they relate to the long range planning efforts undertaken by the City. The North Tustin area lies within the City's Sphere of Influence (SOI) and portions or all of this area could potentially be annexed to Tustin within the next 20 years. Prior to annexing any unincorporated land, a zoning and General Plan land use analysis must be conducted to determine whether there is a General Flan or Zoning District in Tustin that is consistent with the Specific Plan land uses. In the event that there is no similar land use designation in Tustin, an appropriate General Plan and Zoning modification will be performed. Until such modifications can be made, an unclassified designation shall apply against such property and provisions of the Zoning Code which apply to the unclassified use category shaIl•apply. This process will ensure that only the land uses identified in the Specific Plan will be implemented upon annexation into the City of Tustin. The Community Profiles (Component III of the County of Orange Advance Planning Program) will be used to ensure the implementation of the General CITY OF TUSTIN LAND USE ELEMENT GENERAL PLAN 55 17FNK "� , 20085 Plan for the unincorporated area of North Tustin not regulated by the North Tustin Specific Plan. Each community profile as these documents are named, consists of maps, statistical information and proposed land uses for unique geographic areas in the County. The Profiles will be used as follows: ° The Community Profile area is one of the units of analysis which will he used to evaluate infrastructure capabilities as they apply to individual project approvals. ° Any agency with land use decision making authority shall evaluate and consider the Community Profiles and compendium of policies in making Planning Decisions. ° Prior to approval, project (development) proposals shall be found consistent with the Community Profiles by the decision making authority. In cases where inconsistencies exist, they shall be resolved and the Community Profile amended concurrently with processing of the discretionary approval. In the administration and implementation of the Community Profiles as amended, the Planning Agency has the responsibility to interpret and render findings on consistency of zoning and other land use projects in conformance with the requirements of the Government Code and the policies and guidelines expressed in the General Plan Planning Area Not Within Sphere of Influence The two smaller areas between Myford and Jamboree Road south of the I-5 freeway and in the vicinity of farmer MCAS, Tustin adjacent to the City of Tustids southeasterly boundary, represent areas that are presently included in the City of Irvine. The two incorporated areas lie either northwest or southwest of the alignment of Jamboree Road whieh was only feeently The roadway aswell as the f4ure proposed eentidefwill reates a traffic corridor that provides a strong potential boundary line between the cities of Tustin and Irvine. At this point, planning by ln,ine of these afeas eattli hm,e an imptw4 on Tustin and will be menitafed eloseiy. CITY OF TUSTIN LAND USE ELEMENT GENERAL PLAN 56 j E1cERR4AR�_e o v a 200$-5 for an area. They provide a mechanism for development of a unified design plan for public and/or private property within the plan area. Responsible Agency/Department: Community Development Funding: City/Property Owners/Federal and State Grants Time Frame: Ongoing Related Land Use Element Policies: 1.4, 9.1-9.9, 10.1-10.9, 11.1-1.5 5. Special Study Areas: Study and prepare plans and General Plan Amendments which will indicate desirable circulation and infrastructure systems and specific land uses desired within Special Study areas identified on the Land Use Plan. Responsible Agency/Department: Community Development Funding Source: City General Fund/Property Owners Time Frame: Ongoing Related Land Use Element Policies: 9.1-9.9, 10.1-10.9, 11.1-11.5 REDEVELOPMENT 6. Redevelopment Project Areas: The Tustin Redevelopment Agency, shall continue to implement redevelopment actions within the Town Center, an&South Central and MCAS Tustin Redevelopment Project Areas to promote revitalization of these areas. The City and Redevejopfflent,Otgefle!' r Tus4ifl site and a single, small privately owned par -eel immediately adjaeent4o the base- The feasibility of creating additional project areas shall also be evaluated as needed to implement General Plan goals and policies. Responsible Agency/Department: City Manager, Community Development Funding: Redevelopment Agency tax increment CITY OF TUSTIN LAND USE ELEMENT GENERALPLAN 61 JUNE 17PPAR rARV 20083 CIRCULATION ELEMENT PROPOSED AMENDMENTS This Element is designed to comply with the directive of state law and guidelines in order to achieve the objectives of promoting the efficient transport of goods and the safe, efficient movement of traffic within the City. The Circulation Element contains goals and policies designed to improve overall circulation in Tustin and to address circulation issues that concern the City. For highway transportation, the physical attributes involve a network of existing and future roadways defined according to designated roadway types, each with specific design standards. Other modes are defined by appropriate physical attributes (i.e., bicycle trails). The General Plan Traffic Analysis technical report prepared by Austin -Foust Associates, Inc., and the Circulation Technical Memorandum published prior to preparation of the Circulation Element provide background information and act as supporting documents for the Circulation Element. RELATED PLANS AND PROGRAMS There are a number of transportation plans that affect circulation planning for the City of Tustin. Several transportation plans have been prepared by the County of Orange, focusing on the development of a regional transportation system to handle the anticipated traffic loads expected from future development. A number of plans have also been prepared identifying the location of future routes for mass transit including light rail and conventional buses. Plans and programs related to the Circulation Element include the following: County of Orange Master Plan of Arterial Highways (MPRH) - The MPAH forms part of the Orange County General Plan and designates the arterial system in the circulation element of the general plan. Defined according to specific arterial functional classifications, the MPAH serves to define the intended future road system for the County. Cities within the County are expected to achieve consistency with the MPAH in their individual general plan circulation elements. Eastern Transportation Corridor (ETC) - The ETC is one of the three transportation corridors '�e,la ed developed by the "Transportation CITY OF TUSTIN CIRCULATION ELEMENT GENERAL PLAN 2 JUNE 17, 2008 Corridor Agencies in Orange County. They will iHitial , be have been constructed as toll facilities and then -eventually will revert to free facilities when the facility costs are paid off. The west leg of the ETC serves the City of Tustin and runs east of and parallel to Jamboree Road from its intersection with the east leg in the City of Orange to Jamboree Road north of Edinger Avenue near the border between the City of Tustin and the City of Irvine. South Coast Air Basin and Air Quality Management Plan - The South Coast Air Quality Management District (AQMD) is a regulatory body responsible for improving air quality in the South Coast Air Basin. Of primary importance to circulation are the Transportation Control Measures (TCMs). The measures are aimed at adjusting trip patterns or modifyinu vehicle use in ways that reduce air pollutant emissionsinereasing the average The Air Quality Management District (AQMD) has adopted the 1997 2007 Air Quality Management Plan (AQMP), an advisory document which identifies a number of air pollution reduction goals, measures and policies. Local jurisdictions have been mandated to reduce a fair share proportion of vehicle pollution through the implementation of Transportation Control Measures (TCMs)whieh have been determined by the The Orange County League of Cities has provided each Orange County city its fair share trip reduction goal. The City of Tustin has been recently recognized as having met 122% of its allocated vehicle trip reduction goal. Therefore, it is currently assumed that the City will not need to adopt any additional Transportation Control Measures to comply with the 1997 AQMP. In addition, the City closely monitors air quality matters with the intent of complying with future revisions of the AQMP. Therefore, the mitigation measures and policies identified within this document or other measures acceptable to the AQMD will be implemented by the City who will have the discretion to select those transportation control measures that are economically feasible and will achieve compliance with the 1997 AQMP. County of Orange Congestion Management Plan - With the passage of the gas tax increase (Proposition 111) in June of 1990, it became a requirement that urbanized areas such as Orange County adopt a Congestion Management Program (CMP). The goals of the CMP are to reduce traffic congestion and to provide a mechanism for coordinating land use development and transportation improvement decisions. For the most part, the Orange County CMP is a composite of local agencys' submittals in which each local jurisdiction develops the required data in accordance with the guidelines CITY OF TUSTIN CIRCULATION ELEMENT GENERAL PLAN 3 JUNE 17, 2008 established by the Orange County Transportation Authority (OCTA). The OCTA compiles the data and submits the results to the Southern California Association of Governments (SCAG) for a finding of regional consistency. County of Orange Growth Management Plan - On November, 1990 voters approved Measure M, the revised Traffic Improvement and Growth Management ordinance, which authorized the imposition of a one-half percent sales tax to fund needed transportation improvements. Tobeeligible to receive funds, local jurisdictions must satisfy a variety of requirements as set out in the Orange County Local Transportation Authority (LTA) Ordinance No. 2. Included in these requirements are the need to adopt a traffic circulation plan consistent with the MPAH, to adopt and adequately fund a local transportation fee program, to satisfy maintenance requirements, and to adopt a seven year capital improvement program that includes all transportation projects funded partially or fully by Measure M funds. The GMP requirements include certain provisions that are contained within the City's Growth Management Element. Measure M2 was approved by voters in November 2007 and extended the imposition of the one-half percent sales tax to fund transportation improvements for an additional 30 years County of Orange Master Plan of Scenic Highways - The County's General Plan includes a scenic highway element which designates certain highways as scenic routes. With this designation specific guidelines are given for enhancing the scenic amenities of these facilities. County of Orange Master Plan of Countywide Bikeways - Also part of the Countywide General Plan, the Master Plan of Countywide Bikeways designates various classes of bike routes throughout the county. One of the primary considerations is to provide continuity throughout the county and to provide a consistency between countywide and local jurisdiction bikeway plans. Los Angeles/San Diego Corridor Commuter Rail Action Plan - This is one component of the overall rail plan for the Southern California area, and seeks to provide increased commuter train service along the Los Angeles/San Diego corridor with designated stops at various locations between the two cities. One of the commuter rail stations for this system will be is located in the City of Tustin in the vicinity of Edinger Avenue near Jamboree Road. CITY OF TUSTIN CIRCULATION ELEMENT GENERAL PLAN 4 JUNE 17, 2008 The preparation of the Circulation Element is guided by and must conform with Section 65302(b) of the California Government Code. A major goal in the update of the Tustin General Plan is to achigve internal consistency throughout the various General Plan elements. The Circulation Element relates to the other elements of the general plan in a variety of ways. For instance, the Circulation Element portrays the roadway system needed to serve traffic generated by the uses permitted in the Land Use Element. It is also associated with the Noise Element and air quality since traffic forecasts are used, in conjunction with other data, to determine noise contours and air quality impacts of the General Plan land uses. The Circulation Element is also related to the Safety and Conservation/Open Space/Recreation Elements and Air Quality Subelement. The Safety Element addresses evacuation routes and minimum road widths to accommodate City residents in the event of a catastrophe, and the Conservation/Open Space/Recreation Element can identify standards for roadways, scenic highways and multi -use recreation trails. Because of its transportation -related issues, the Growth Management Element has a relationship with the Circulation Element. In November 1990 and 2007, Orange County voters approved Measure M and Measure M2, respectively, which increases sales tax revenues to fund needed transportation improvements throughout the County. To qualify to receive a portion of these revenues, each jurisdiction within the County must adopt a Growth Management Element. The City of Tustin adopted its Growth Management Element in February 1992. The Growth Management Element contains a policy that establishes a minimum Level of Service (LOS) to be maintained at intersections impacted by new development. It also contains a policy to promote TDM measures in the City and a Phasing Program to ensure coordination between new development and roadway capacities. These issues are addressed in a consistent fashion between the Circulation and Growth Management Elements. CITY OF TUSTIN CIRCULATION ELEMENT GENERAL PLAN 5 JUNE 17, 2008 The completion of the western leg of the Eastern Transportation Corridor will have has had a significant effect on traffic circulation in Tustin. TRANSPORTATION SYSTEM/DEMAND MANAGEMENT ° Traffic Demand Management (TDM) strategies are required under both current air quality legislation and requirements of Proposition 111 legislation (Congestion Management Program). A comprehensive transportation system/demand management program will serve to improve traffic congestion and reduce parking demand. TRANSIT, BICYCLE, PEDESTRIAN, AND EQUESTRIAN FACILITIES PARKING ° In order to maximize use of public transit, new development should be designed to accommodate bus stops. Tustin; tThere is a need for "Park - N -Ride" facilities to enhance bus ridership for non -local trips. ° With portions of the Planning Area not currently served with bikeways (the southwest, west, east, and north), bicycles are forced to compete with automobiles along right-of-ways. Some of Tustin's sidewalks are not wheelchair accessible. The trail system within the City is incomplete and connections of local and regional trails are needed. ° Certain areas of Tustin have inadequate off-street parking which in turn places a burden on public streets or other properties to correct this deficiency. CITY OF TUSTIN CIRCULATION ELEMENT GENERAL PLAN 7 JUNE 17, 2008 Policy 3.1: Support the completion of the Orange County Master Plan of Arterial Highways. Policy 3.2: Support capacity and noise mitigation improvements such as high -occupancy vehicle lanes, general purpose lanes, auxiliary lanes and noise barriers on the I-5 and SR -55 freeways. Policy 3.3: Monitor and coordinate with Caltrans freeway work as it affects Tustin's roadway and require modifications as necessary. Policy 3.4: Maintain a proactive and assertive role with appropriate agencies dealing with regional transportation issues affecting the City. Policy 3.5: Work with adjacent cities to ensure that the traffic impacts of development projects in these cities do not adversely impact the City of Tustin. Policy 3.6: Support the presence of a major airport consistent with it maintaining safe operation, avoiding noise impacts and ensuring compatibility with land uses in Tustin. Policy 3.7: Monitor the "corridor" (urban rail) design study process to ensure opportunities for future linkages in Tustin are examined and mass transit alternatives are explored. Policy 3.8: Deleted. Policy 3.9: Work with the Southern California Regional Rail Authority, the Orange County Transportation Authority (OCTA and AT & SF) to reduce or eliminate current traffic interruptions due to rail crossings along arterials. TRANSPORTATION SYSTEM/DEMAND MANAGEMENT CITY OF TUSTIN CIRCULATION ELEMENT GENERAL PLAN 12 JUNE 17, 2008 Effective Circulation planning includes the application of Transportation System Management (TSM) and Transportation Demand Management (TDM) strategies. Together, these improve the efficiency of the transportation system and reduce vehicular demands, thereby reducing the impacts of future development. GOAL 4: Maximize the efficiency of the circulation system through the use of transportation system management and demand management strategies. Policy 4.1: Implement traffic signal coordination on arterial streets to the maximum extent practical, consistent with financial resources, integrate signal coordination efforts with those of adjacent jurisdictions, and implement other operational measures where possible to maximize the efficiency of the existing circulation system and to minimize delay and congestion. Policy 4.2: Implement intersection capacity improvements where feasible. Policy 4.3: Encourage the implementation of employer Transportation Demand Management (TDM) requirements, which were included in the Southern California Air Quality Management District's Regulation 2202 of the 1997 Air Quality Management Plan and as required by Proposition 111 as part of the Congestion Management Program (CMP) and participate in regional efforts to implement TDM requirements. Policy 4.4: Require that proposals for major new non-residential developments include submission of a TDM plan to the City, including monitoring and enforcement provisions. Policy 4.5: Encourage the development of additional regional public transportation services and support facilities including park-and-ride lots near the SR-55 and I-5 freeways. Policy 4.6: Encourage the promotion of ridesharing by44ose emleyers j"�regulations through publicity and provision of information to the public. CITY OF TUSTIN CIRCULATION ELEMENT GENERAL PLAN 13 JUNE 17, 2008 CIRCULATION PLAN This section of the Circulation Element defines a circulation plan for the City that meets the requirements for safe and convenient movement of persons and goods at the development intensity anticipated in the Land Use Element. It includes a classification system that applies to all roadways that serve the City, and identifies specific improvements that will be required to implement this plan. A bikeway plan is delineated, and other components of the element such as public transit are discussed. ROADWAY FACILITY CLASSIFICATIONS The arterial highway system in Tustin is defined using a classification system which describes a hierarchy of facility types. The categories of roadways included in this classification system differentiate the size, function and capacity of the roadway links for each type of roadway. There are four basic categories in the hierarchy, ranging from "major" with the highest capacity to "loealcollector" streets with the lowest capacity, and these can be summarized as follows: Major: A six- to eight -lane divided roadway with no on -street parking, with a typical right-of-way width of 120 to 144 feet and a curb -to -curb pavement width of 102 to 126 feet. Major arterials typically carry a significant volume of regional traffic. When the traffic volumes warrant a major arterial highway in areas where a full 120 to 144 feet of right-of-way is not feasible due to existing structures or topography, a lesser right-of-way (no less than 100 feet) can be used to accommodate a six -lane facility. This is referred to as a "modified major" on the City Arterial Highway Plan. Primary: A four -lane divided roadway, with a typical right-of-way width of 100 feet and curb -to -curb pavement width of 84 feet. Regional traffic will typically be less than for a major arterial, but primary arterials form an important component of the regional transportation system. When the traffic volumes warrant a primary arterial highway in areas where a full 100 feet of right-of-way is not feasible due to existing structures or topography, a lesser right-of-way (no less than 80 feet) can be used to accommodate a four -lane CITY OF TUSTIN CIRCULATION ELEMENT GENERAL PLAN 19 JUNE 17, 2008 Performance criteria have a policy component which establishes a desired level of service (LOS) and a technical component which specifies how traffic forecast data can be used to measure the achievement of the criteria. The performance criteria used for evaluating volumes and capacities on the City street system are summarized in Table C-2 and include both average daily traffic (ADT) link volume and peak hour intersection volume criteria. The City of Tustin has established level of service LOS "D" as a threshold standard to monitor capacity needs for both ADT link volumes and peak hour volumes. Because of the significant amount of regional traffic on the designated Smart Streets (Irvine Boulevard, Edinger Avenue, and Jamboree Road south of Irvine Boulevard) level of service "E" is the recommended standard for these facilities, consistent with CMP guidelines. Table C-3 describes traffic flow quality for different levels of service. Such criteria would be applied consistently for evaluating land use and circulation system changes and are the basis for the General Plan circulation recommendations contained in this report. RELATIONSHIP TO LAND USE Future traffic volumes and highway capacity needs are directly related to future land use. Table C-4 compares existing and buildout land use and the corresponding trip generation. Daily trip generation for the entire City in 1993 is -was around 589,533 vehicle trips per day. Approximately 40 percent of this is -was attributed to residential uses, with the remaining 60 percent generated by non-residential uses. For buildout ofthe proposed General Plan land uses, the comparative total ADT trip generation is -was approximately 1,081,058 average daily trips, an increase of 83 percent. The Arterial Highway Plan presented in the next section is designed to cavy the added trips that will occur with buildout of the City's General Plan land uses and with the buildout of the general plans of the surrounding cities and the county. Traffic increases from the latter involve significant amounts of through traffic on certain facilities, such as Irvine Boulevard and Red Will Avenue. - — CITY OF TUSTIN CIRCULATION ELEMENT GENERAL PLAN 25 JUNE 17, 2008 Modified Right -of -Way As noted earlier in this chapter under the description of individual roadway classifications, major and primary arterial designations may not always imply the full right-of-way requirements as indicated in the standard cross-sections. Locations where such modified cross-sections are designated are as follows: Irvine Boulevard, Newport Avenue to Browning Avenue: Class kation: Modified Major (six -lane major arterial with modified cross-section) ° Newport Avenue, I-5 to Walnut Avenue: Classylcadon: Modified Major (six -lane major arterial with modified cross-section) Walnut Avenue: In each case it has been assumed that the modified cross-section will not affect the ADT capacity (e.g., a modified major will have the same capacity as a major). Augmented Capacity As noted in the earlier discussion on this concept, the actual improvements for capacity augmentation will be determined during special design studies. The following are the roadway sections for which the augmented qualifier is proposed: Irvine Boulevard: This is a designated "Smart Street" on the County MPAH (previously referred to as "superstreet"). As such, capacity enhancements could range from maximization of intersection capacity under a basic six -lane facility, to a wider facility with potential grade separation at major intersections. As part of the countywide smart street program, the county will undertake the requisite design studies to identify future improvements along this facility. The two sections noted here as needing augmented capacity are from CDS-55 to Prospect Avenue to Holt Avenue, and Newport Avenue to Tustin Ranch Road. Red_hHill Avenue: The Circulation Element includes the southward extension of Newport Avenue to Valencia Avenue as a six -lane major arterial CITY OF TUSTIN CIRCULATION ELEMENT GENERAL PLAN 32 JUNE 17. 2008 and Valencia Avenue is designated as a four -lane roadway from that connection point to Red hEilill Avenue. At the point where Valencia Avenue meets Red hHill Avenue, there is essentially a convergence of a four -lane and a six -lane facility. The Cities of Tustin and Irvine have negotiated an agreement concerning the mitigation of traffic impacts resulting from the City of Irvine's decision to increase the allowable intensity of development within the Irvine Business Complex (IBC). Under the agreement, a Project Design Report will be prepared which recommends improvements necessary to City of Tustin standards for mitigation of traffic on Red Hill Avenue between Barranca Parkway, Dyer Road, and the I-5 freeway. Each City will pay its fair share of the cost of the necessary traffic improvements in accordance with the agreement. The -future closure of the MCAS, Tustin may -has provided opportunities for other means of capacity increases in this area (e.g., the an extension of Valencia into the former Base and then south to Von Karman). Roadway assumptions will be determined at the time roadway analysis is prepared. Newport Avenue: On the section of Newport Avenue north of I-5, future traffic volumes will exceed the ADT capacity ofthe current four -lane primary designation. Augmentation is recommended in the form of auxiliary lanes and additional turn lanes at intersections. Seventeenth Street, SR -55 to Yorba Street (north): This section of roadway near the SR -55 interchange will require some form of capacity augmentation, and the specific treatment should be determined in relation to the intersection capacity needs of the ramps and of Yorba Street. jamboFee Road, north of Bryan Avenue to ! 5; The sawhbound dimetie projeet be+ween 91 Gamine Real and the northbound 15 en mmp). Fu4ufe Iaf�_. t.--M-ment in the East Tustin Speeifie Plan. Valencia Avenue: With the southward extension of Newport Avenue to Valencia Avenue, this roadway will need to be designated as an augmented primary. Walnut Avenue, Tustin Ranch Road to Myford Road: Future volumes on this roadway indicate a need for augmentation, probably in the form of CITY OF TUSTIN CIRCULATION ELEMENT GENERAL PLAN 33 JUNE 17, 2008 intersection treatment at Myford Road, as traffic from the industrial area in this vicinity is attracted to the future Eastern Transportation Corridor interchange with Walnut Avenue. COUNTY SMART STREETS In 1984, the Orange County Transportation Commission (OCTC) adopted the Superstreets Program for Orange County in an effort to increase the traffic flow and vehicle capacity of major arterial highways. The program identified potential Superstreet candidates, various roadway improvements, financial. costs and funding sources. Since that time, the Superstreets in conjunction with the County's State Highways, have been designated as the Congestion Management Program (CMP) Highwaf System. Re�; tThe term "Superstreet" has been was changed to "Smart Street" ih 1994. Within the City of Tustin, Edinger Avenue, Jamboree Road south of Irvine Boulevard, and Irvine Boulevard are included on the CMP Highway System. These roadways must maintain specified level of service (LOS) standards (LOS "E" or better) to be eligible for the funds generated by the passage of Proposition 111. Potential Smart Street Program improvements for Edinger Avenue (Moulton Parkway) as identified in the "Moulton Parkway Superstreet Study" (see Reference 5 in Chapter 1), include signal coordination and modification, creation of bus turnouts, widening and restriping of intersections, restriction of on -street parking, and widening for major arterial highway standards. Irvine Boulevard is also a County Smart Street, but has not yet been the subject of a special study. It is reasonable to expect similar capacity enhancement proposals when such a study is carried out. Traffic forecasts indicate higher volumes than can be carried by a six -lane major arterial, and the augmented qualifier used here in the City's arterial highway plan implies capacity enhancement actions to achieve additional capacity. GRADE SEPARATED INTERSECTIONS Jamboree Road south of Irvine Boulevard is part of Orange County's Smart Street (Superstreet) system, which makes it a candidate for various types of capacity enhancements. For the section south of I-5, Jamboree Road joins the southerly termination of the ETC west leg, and capacity enhancements have been in the form of grade -separated intersections. The Warner Avenue CITY OF TUSTIN CIRCULATION ELEMENT GENERAL PLAN 34 JUNE 17, 2008 intersection is already constructed as a grade -separated interchange, and a grade separated interchanges wasere constructed for Edinger Avenue -aft# l3affaliCa Pafkivay. Red Hill Avenue currently has an at -grade crossing at the AT&SF Railroad, and would achieve both safety and capacity benefits from future grade separation. Two other major arterials which will cross this railroad in the future, Newport Avenue and Tustin Ranch Road are planned to have grade separations. ADDITIONAL CROSSINGS OF THE I-5 FREEWAY The Arterial Highway Plan includes two crossings of the I-5 freeway which do not exist today. A discussion on each of these follows. Browning Avenue The existing Circulation Element includes a Browning Avenue overcrossing of the I-5 Freeway. Adequate development set -back has been established on the north site of the freeway to enable the overcrossing to connect with El Camino Real. Long-range traffic forecasts for the overcrossing show a future demand of around 10,000 vehicles per day. This is well within the capacity of a four - lane secondary roadway (its current Circulation Element designation). The traffic forecast data indicates that future trips using the overcrossing are largely local in nature, and the facility will provide local traffic with an alternative to Red_hHill Avenue or Tustin Ranch Road as a means of crossing the freeway. Hence, it does not have any direct major role as a regional connection, and is primarily a local circulation facility. Without the overcrossing, additional traffic would be carried by Red _#Hill Avenue and Tustin Ranch Road and Walnut Avenue. The volume increases could cause the ADT link capacities on Red _hHill Avenue to be exceeded. Of more concern would be peak hour operational characteristics, particularly at Red hHill Avenue, as additional turn movement traffic is generated at the Walnut Avenue and Nisson Road intersections. Special traffic operation strategies (including changes in lane configurations) could possibly be required at those locations and at the ramp intersections. CITY OF TUSTIN CIRCULATION ELEMENT GENERAL PLAN 35 JUNE 17, 2008 Browning Avenue is on the County MPAH, and hence, a detailed study would need to be undertaken to support any deletion of this facility. Since future volumes on both Red hl -till Avenue and Tustin Ranch Road wil4 continue to be influenced by future new land uses in the event of associated with the closure of Marine Corps Air Station, Tustin, any detailed studies for potential deletion of the Browning Avenue overcrossing should be made only after some general indication of any futtif e the land uses and infrastructure on the -the former Base are established. Hence, at this time the Browning Avenue overcrossing on the Arterial Highway Plan should be retained. Myford Road An overcrossing of Myford Road was considered during the planning work carried out for the East Tustin Specific Plan. Although the overcrossing was never placed on the City's Circulation Element, right-of-way was reserved for its construction should the need for such a facility be established in the future. The sections of roadway north and south of the freeway are on the City's Arterial Highway Plan. While future forecasts indicate that the north -south traffic demand in this area can be adequately carried by Jamboree Road and the west leg of the Eastern Transportation Corridor (ETC), such a finding is dependent on the capacity provided by the ETC west leg operating as a free facility. The Myford Road overcrossing should continue to be a part of the City's Arterial Highway Plan until more development plans are evaluated in the vicinity. RELATIONSHIP TO COUNTY MPAH The City's Circulation Element recognizes that the County of Orange's Master Plan of Arterial Highways (MPAH) considers augmented capacity arterials as those regionally significant arterials on the Smart Stmt (formerly Super Street) Network with an enhanced traffic -carrying capacity. Where such augmented capacity has been found necessary on those streets within the City, then it has been included on the City's Circulation Element. The Circulation Element further recognizes that the opportunities for and the benefits of the "Augmented Capacity" concept may also be realized at certain locations on other arterial roadways as a capacity enhancement strategy. CITY OF TUS71N CIRCULATION ELEMENT GENERAL PLAN 36 JUNE 17, 2008 The highway component of the Circulation Element is consistent with the County MPAH, and as discussed previously, with the augmented qualifier in specific locations, is able to carry the projected traffic volumes. WAS Tustin Amendment The MCAS Tustin Specific Plan/Reuse Plan identifies new Circulation Element roadways, such as the southerly extension ofTustin Ranch Road and the east west extension of Warner Avenue through the site, as well as the addition of a new loop roadway within the site. Within .h 8P_0_P,;r4S PI The addition of these roadways also requires an amendment to the County of Orange Master Plan of Arterial Highways (MPAH). PUBLIC TRANSIT An existing network of public bus routes providing access to employment centers, shopping and recreational areas is illustrated in Figure C-3. Service is provided by the Orange County Transportation Authority (OCTA). The established network includes Routes 60, 61, 65, 66, 71, 75 and 463 and Table C-6 summarizes the origin and destination of these routes. OCTA is also planning for future facilities and the eompietion of the Fiastem WT -C -)-could introduce'Park-N-Ride" facilities into the area, thereby enhancing ridership for non -local trips. A commuter rail station will be is located within the City near the northwestern corner of Jamboree Road and Edinger Avenue near the SCRRA/OCTA Railway. As noted in the policies for Goal 5, the City will continue to work with OCTA to provide additional service and encourage maximum use of public transportation. CITY OF TUSTIN CIRCULATION ELEMENT GENERAL PLAN 37 JUNE 17, 2008 PEDESTRIAN CIRCULATION AND PARATRANSIT AIR RAIL As related to safety, guidelines are administered through the development review process for the construction of pedestrian facilities (i.e., sidewalks, paths, wheelchair ramps, etc.), based on City policy and federal/state mandates. Sidewalks are typically required as a condition of approval or permit issuance for all development. Wheelchair ramp curb improvements are also required to meet access provisions under the American Disabilities Act. Paratransit services, or transportation services for the mobility -impaired, are provided by OCTA's Dial -A -Ride for senior citizens and the disabled, and by special services for senior citizens participating in programs at the Senior Center. Air travel is available from John Wayne Airport (JWA) in Orange County, approximately five miles to the south by surface roadway. As the closest of the regional airports, JWA would be the major facility for air travel for Tustin residents. Other regional airports are located approximately 20-50 miles to the north in Long Beach, Ontario and Los Angeles. The former United States Marine Corps helicopter station (MCAS Tustin) was located in the southern portion of the City. A Speeifie Plan for reuse of the hasewill The MCAS Tustin Specific Plan has resulted in the elimination ofaviation uses, with the exception of heliports individually permitted or blimp operations as an interim use. Passenger rail service is provided from two Amtrak depots in neighboring cities; Irvine to the east and Santa Ana to the west. Commuter rail service is planned under the Los Angeles/San Diego (LOSSAN) Corridor Commuter Rail Action Plan. Commuter service within the corridor wiW-requires stations at various locations. One of the stations is located in the Cityof Tustin in the vicinity of Edinger Avenue near Jamboree Road Three Metrolink lines serve Orange County, providing 44 daily trains and carrying more than 3.5 million riders. inelude as inaHy as nine Commuter- Rail round trips, nine Amtn4i round tdp* CITY OF TUSTIN CIRCULATION ELEMENT GENERAL PLAN 44 JUNE 17, 2008 ementation expected by I99�: The Orange County Transportation Authority is also evaluating the regional rail system through its Countywide Rail Study (CRS). This study is assessing congested traffic corridors and identifying rail and bus enhancements to the existing transportation system. While additional rail lines and improved service are being evaluated as part of this study,the Tustin station will play an active role in providing additional capacityfor future commuter rail ridershin '----------------------------------------------------------- ------------------------I rormacted: Font color: uar,t ea,e TRUCKING Two routes have been previously identified for designated truck travel within the City of Tustin, including Irvine Boulevard along its entire length, and Red-hHill Avenue in the vicinity of Irvine Boulevard. In addition to local streets where truck travel is prohibited, weight restrictions for commercial trucking have been imposed on several facilities and these are summarized in the following table: Table C-8 WEIGHT -RESTRICTIONS ON COMMERCIAL TRUCKING Weight Street Location Limit "A" St First St to Irvine Blvd 3 Tons "B" St First St to Irvine Blvd 3 Tons "B" St Main St to Sixth St 2 Tons First St Newport Ave to Red #Hill Ave 3 Tons Garland Ave Woodland Dr to Red 14Hill Ave 3 Tons Mountain View Dr First St to Irvine Blvd 3 Tons Olwyn Dr Red hHill Ave to Woodland Dr 3 Tons Walnut Ave Red hHill Ave to Tustin Ranch Rd 3Tons Woodland Dr Irvine Blvd to Olwyn Dr 3 Tons CITY OF TUSTIN CIRCULATION ELEMENT GENERAL PLAN 45 JUNE 17, 2008 ° Through the Moulton Parkway Smart Street Project attempt to elif i ^*- sptwliae-�ings along cdinge ANeeue-at>&study the feasibility, costs and environmental impacts of a depressed or elevated grade separation at Red Hill Avenue rail tracks, north of Edinger Avenue. ° Explore State, Federal and local funding sources to finance construction of alternative types of crossings. Responsible Agency/Department: Engineering/Public Works Department, City Council Funding Source: State and Federal Grants Time Frame: On-going Related Circulation Element Policies: 1.3 and 3.4 3. Dedication/Improvements: The City shall: Establish setback lines for future right-of-way to protect ultimate roadway integrity. ° As part of development review, continue to require dedication of necessary right-of-way and improvement of streets at developer's expense pursuant to the Tustin City Code. Responsible Agency/Department: Engineering/Public Works Department Funding Source: Property Developer Time Frame: On-going Related Circulation Element Policies: 1. 1, 1. 15, 1.16, 5.2 and 5.7 4. Monitoring System: The City shall design and implement a land use and trip generation monitoring system to be used in determining a projects long range impact on the City street system. Responsible Agency/Department: Community Development Department, Public Works Department CITY OF TUSTIN CIRCULATION ELEMENT GENERAL PLAN 48 JUNE 17, 2008 Related Circulation Element Policies: 1. 16, 3.4, 3.5, and 8.1 9. Rail Transportation Network: Regional Orange County rail travel does include an Urban Rail System and the Commuter Rail (Metrolink) System as an alternative travel mode. The City shall: ° Continue efforts to work with the OCTA and adjacent cities in identifying available funding sources and complete design and construction of a parking structure at the Tustin station eommer-siel ion in Tustin. Continue to monitor studies and participate in the "corridor" (urban rail) meetings. Responsible Agency/Department: Community Development/Public Works Department Funding Source: City General Fund, State and Federal Grants, Developer Contribution, Measure "M" Time Frame: On-going Related Circulation Element Policies: 1.6, 3.4, 3.7 and 3.8 TRANSPORTATION SYSTEM/DEMAND MANAGEMENT 10. Transportation System Demand Management Strategies: The Circulation Element requires maximizing the efficiency of the Circulation System through use of Transportation System Demand Management strategies. Implementing actions can be summarized as follows: ° Implement traffic signal coordination on arterial streets to the maximum extent practical. Encourage the implementation of Employer Transportation Demand Management (TDM) measures as required by the Southern California CITY OF TUSTIN CIRCULATION ELEMENT GENERAL PLAN 51 JUNE 17, 2008 CONSERVATION/OPEN SPACE/RECREATION ELEMENT PROPOSED AMENDMENTS The Open Space Element must contain goals and policies concerned with managing all open space areas, including undeveloped lands and outdoor recreation areas. Specifically, the Open Space Element must identify open space that is left undeveloped for public health and safety reasons and open space that is used for the preservation of natural resources, for the managed production of resources, and for outdoor recreation. The Recreation Element identifies planned park and recreation facilities designed to support the recreational needs of Tustin's population. While air quality is not a mandatory General Plan element, the South Coast Air Quality Management Plan now contains specific guidance fequirernents for air quality to be addressed in the General Plan. Air quality has been included as a sub -element to the Tustin Conservation/Open Space/Recreation Element to fulfill AQMP requirements. The purpose of the Air Quality Sub -element is to reduce current and projected emission levels through stationary source control measures; mobile source, transportation and land use control measures; and energy conservation measures. RELATED PLANS AND PROGRAMS There are a number of existing plans and programs which are directly applicable to the aims and objectives of this Element. These plans and programs were enacted through Federal, State, and local legislation and are administered by agencies or special districts that have been delegated with powers to enforce Federal, State and local laws. Federal laws that are concerned with the protection of significant cultural and natural resources include the Endangered Species Act of 1973 (as amended in 1978), the Antiquities Act and the National Historic Preservation Act of 1966 and the National Environmental Policy Act (NEPA). California Environmental Quality Act Law and Guidelines CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 1 2 JUNE 17JANUAR-Y-16, 20081 The California Environmental Quality Act (CEQA) was adopted by the State legislature in response to a public mandate that called for a thorough environmental analysis of those projects that might adversely affect the environment. The provisions of the law, review procedure, and any subsequent analysis are described in the CEQA Law and Guidelines as amended in 19912008 and 2007, respectively. CEQA will continue to be instrumental in ensuring that the impacts of all potentially significant projects are assessed. Air Quality Management Pian In 44972007, the South Coast Air Quality Management District and the Southern California Association of Governments (SCAG) adopted an updated Air Quality Management Plan designed to achieve the National Ambient Air Quality Standards. Since 1989 the South Coast Air Quality Management District has witnessed significant regulatory achievements in reducing emissions from mobile and stationary sources and consumer products. California Fish and Game Regulations The California Fish and Game Code was adopted by the State legislature to protect the fish and wildlife resources of the State. Special permits are required for any lake or stream alterations, dredging or other activities that may affect fish and game habitat. Other Plans Plans and programs that contribute to the planning related to con- servation, open space, and recreation include the following documents: County of Orange Master Plan of Local Parks: The County's Master Parks Plan provides goals, objectives, and policies and provides implementation programs for a comprehensive county -wide park plan. In conjunction with the County's Local Park Code, specific criteria are intended to provide an adequate supply of usable county CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 1 3 JUNE 174ANUAPAL44, 20084 SUMMARY OF ISSUES, NEEDS, OPPORTUNITIES, AND CONSTRAINTS This section describes the issues, needs, opportunities, and constraints of the Tustin Planning Area relative to open space, conservation, and recreation. AIR QUALITY ° State and federal air quality standards, especially ozone standards, are often exceeded. • Extensive use of motorized transportation modes and large particulate generating uses in the area contribute to poor air quality. ° Topography, climate, and emissions combine to create an air quality environment which must be managed for the public health, safety, and welfare. ° New regulations must be implemented to fulfill Air Quality Management Plan requirements. These regulations include trip reduction, jobs/housing balance, point source reduction, efficient land use, and alternate forms of transportation and energy. NATURAL RESOURCES AND UNIQUE NATURAL FEATURES Water Protection of domestic groundwater supply. ° Continued drought conditions highlight need for continuing conservation efforts. CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 1 7 JUNE 17JANUARY44, 20084 Riparian Habitat Limited riparian habitat exists in the Planning Area. The northern half of the Peters Canyon retarding basin supports an assemblage of riparian vegetation which, when fully restored, would provide many plant and animal species with suitable habitat. ° Jurisdictional wetlands are preserEt have been identified on the former MCAS Tustin site. Eucalyptus, Cedar, and Redwood Trees The Eucalyptus groves and remaining Eucalyptus windrows in East Tustin lend a nostalgic rural and agricultural character to the local landscape. Many of these remaining Eucalyptus trees are dying er in need of substantial care. ° There is a Cedar/Redwood grove on a proposed passive community park site in the northeasterly portion of East Tustin that is unique and visually prominent. Special Management Areas Peters Canyon retarding basin and wash offers opportunity for preservation and conservation of open space and natural amenities. ° Hillside areas in East Tustin and the northeasterly portion of Planning Area are an important identifying feature. There is significant potential to enhance City's living environment and overall image through creative and sensitive treatment of major topographic features. The Peters Canyon ridgeline is a prominent visual feature in East Tustin which should be protected. CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 8 JUNE 17JANUARY 46, 20084 ° Natural hillside features and open space should be used to protect the public health and safety in areas of potential flooding, severe slope, poor soil conditions, or geologic hazards. Managed Production of Resources ° Limited amounts of agricultural land remain in Tustin. 0 A.4nrt of rnma�n4ng farmland is designated Prime SOLID WASTE RECYCLING • Southern California continues to generate increasing amounts of solid waste while landfill space is limited. ° The California Integrated Waste As6erAbly Bill 939 mandated uri6diGfiens to FeduGe solid was" Management Board required the City to divert at least 50% of its waste from landfills. ° Implementation of recycling and other solid waste reduction programs will require cooperation of local residents and businesses and a strong effort by City government. ENERGY RESOURCE CONSERVATION ° Limited conventional energy resources require conservation and development and use of alternative energy resources. HISTORIC, CULTURAL, ARCHAEOLOGIC, AND PALEONTOLOGIC RESOURCES ° There is a wide range of historically significant resources in Tustin. CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 1 9 JUNE 174ANUARY 46, 20084 ° The two Lighter -Than -Air -Hangars at the former Marine Corps Air Station are included on the National Register of Historic Places. ° Tustin's location and geology make it an important archaeological and paleontological resource area. ° Methods of protecting archaeological and paleontological resources while permitting development must be addressed. PARKS AND OPEN SPACE SYSTEM ° A comprehensive integrated plan for parks, open space, and scenic highways does not exist, and so, a complementary system of such resources is difficult to create or maintain. ° Without the support of school facilities, Tustin faces a shortage of recreational facilities, especially in the southern and western portions of the community where densities are higher. In 2001, Tthe City currently-hads 82.4 acres of existing local and community parks, but neededs an additional 106 acres to serve its present population based on a standard of three acres per 1,000 persons. The sphere of influence contains 10 acres of parkland leaving it 669 acres short of meeting the needs of both existing and projected populations. • Regional recreation facilities will be located in Tustin, requiring coordination with adjacent jurisdictions. • Limited recreation space often precludes programs for all segments of population. Increasing population will aggravate this problem. ° Given the limited recreation space, careful planning is needed to provide a balance of diverse facility needs. ° The community's facilities are limited and disrepair would create a severe deficiency in facilities. • The City has lost two parks - Utt Parkette and North Tustin/Santa Clara Parkette - due to freeway widening improvements. CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 10 JUNE 174ANUARY 6, 2008~. CONSERVATION, OPEN SPACE, AND RECREATION ELEMENT GOALS AND POLICIES A substantial portion of the City's natural open space and biological habitat has been replaced with urban development. i of the . Although much of their area hasis begn4V developed, the conservation of open space and natural landforms can help to preserve the character of the area. The future development of the area will respect these natural features of the community. The goals and supporting policies included in this Element address specific issues and opportunities to conserve the City's remaining sensitive lands and to enhance the open space within the City. AIR QUALITY The quality of air in the South Coast air basin must be improved to meet state and federal mandates. Cooperation on a regional basis is necessary to achieve improvement of air quality. GOAL 1: Reduce air pollution through proper land use, transportation and energy use planning. Pollcy 1.1: Cooperate with the South Coast Air Quality Management District and the Southern California Association of Governments in their effort to implement provisions of the region's Air Quality Management Plan, as amended. Policy 1.2: Design safe and efficient vehicular access to commercial land uses from arterial streets to insure efficient vehicular ingress and egress. Policy 1.3: Locate multiple family developments Gose to commercial areas to encourage pedestrian rather than vehicular travel. CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 12 JUNE 17JANUARY-aS, 200&1 GOAL 7: Conserve and protect natural plant and animal communities. Policy 7.1: Inventory unique or significant tree stands, with particular attention given to the cedar stand, eucalyptus groves, and eucalyptus windrows in East Tustin. Develop standards to retain or incorporate the eucalyptus windrows and groves into development plans where feasible. The redwood/sequoia stand will be has been retained within a park site and integrated into teethe park design. Policy 7.2: Conserve important plant communities and wildlife habitats, such as riparian areas, wildlife movement corridors, wetlands, and significant tree stands through the practice of creative site planning, revegetation, and open space easements/dedications. Policy 7.3: Require development proposals in areas expected to contain important plant and animal communities to include biological assessments. Policy 7.4: Require new development to revegetate graded areas. Policy 7.5: Where feasible and consistent with flood control requirements, the treatment of Peters Canyon Wash should retain a natural appearance by minimizing concrete channelization, retaining or replanting indigenous vegetation and/or retaining open space areas along the drainage course. Policy 7.6: Incorporate planting in new development areas in East Tustin to be compatible with the character and quality of the natural surrounding environment. GOAL 8: Conserve and protect significant topographical features, important watershed areas, resources, and soils. Policy 8.1: Develop standards to preserve the unique variety of land forms indigenous in hillside areas, and ensure that the development process is structured to ensure that grading and siting practice reflects the natural topography. CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 16 JUNE 17JANUARY 45, 2008} GOAL 10: Reduce solid waste produced within City. Policy 10.1: Implement policies of the adopted Tustin Source Reduction and Recycling Element and Household Hazardous Waste Management Element. Policy 10.2: perGeAt FeduGfien by 2000 as mandated by A13 Ensure that the City diverts from landfills a maximum of 50%u of the solid waste generated in the City as required by the California Integrated Waste Management Board. Policy 10.3: Maximize public awareness of all source reduction programs, including opportunities for community feedback and school education. Policy 10.4: Maximize integration of all source reduction programs. Policy 10.5: Assist in the development of local, regional, and statewide markets for materials collected and processed through the source reduction programs. ENERGY RESOURCE CONSERVATION Energy resources are highly valued and their conservation is important for sustaining the community and meeting future demands. GOAL 11: Conserve energy resources through use of available energy technology and conservation practices. Policy 11.1: Encourage the use of new technologies and innovative building design, site design and orientation techniques which minimize energy use by taking advantage of sun/shade patterns, prevailing winds, landscaping, and building materials. CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 1 19 JUNE 17JANUARY 18, 20084 specific parks, improvement programs, and special community events (e.g., Tiller Days, July 4th Celebration, etc.). Policy 16.8: As long as MCAS Tustin opemte6, enGOUFage the base services: Intentionally omitted Policy 16.9: Cooperate with and provide active support for non-profit and other community organizations in the City which provide recreational programs which supplement or coordinate with City programs. Policy 16.10: Work cooperatively with the Tustin Unified School District to provide after-school and other non -school hour activity programs. Policy 16.11: Explore additional recreation programs in those areas of the City where recreational deficiencies exist. Policy 16.12: Promote and support volunteerism and involvement in the community to enhance recreation programs and services. GOAL 17: Operate and maintain existing and future parks and recreation facilities so they are safe, clean, and attractive to the public; and preserve, protect, and enhance both existing and potential natural recreation areas to ensure that long-term public investments and values are not unreasonably preempted, compromised, or prevented by neglect or short-term considerations. Policy 17.1, Estimate and evaluate the cost of operating and maintaining parks and recreation facilities as an integral part of the park design and development process so that Tustin does not accept responsibility for parks and recreation areas which it may not be able to adequately maintain over the long run. Policy 17.2: Require park designs (including landscape treatments, buildings, irrigation, etc.) that are durable, reasonably standardized, and economical to maintain. CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 24 JUNE 171ANI1ARY 16, 20084 Management District and the Southern California Association of Governments to implement the goals of this element and the Air Quality Management Plan (AQMP). Transportation Control Measures: Measures related to transportation have been identified in the AQMP that need to be addressed by local government level (i.e. City of Tustin) in partnership with SCAQMD and SCAG. These measures are generally aimed at reducing the total number of vehicle trips, improving traffic flow, and utilizing dean fuels in motor vehicles. ---- --- --------- ---------- ---------------- -- ------------- ----- The goal of the Transportation Control Measures (TCMs) is to - . influence transportation choices of mode, time of day, or whether to travel. The strategies also address fuel selection and applications of technology to motivate a shift from petroleum-based fuels. These control measures include the following advanced transportation technology measures: (a) Telecommunications; (b) Smart shuttle transit; (c) Zero emissions vehicles/infrastructure; (d) Alternative fuel vehicles/infrastructure; (e)�ntelligent_yehicle_ highway_sy_stems- -- Rormattad: Font mlor: Ll�t ea,e {—r rmac . r-SnuU �2ule 2202 - On -Road Motor Vehicle Mitigation Options: The " - Roma: Fort: (Default)ShrW 1997 AQMP also -includes Rule 2202 providing employers with __..- FWM*Wd: Fork: (am) a menu of options to reduce mobile source emissions generated from employee comments. As of June, 1998, Rule 2202 appliedLs to any employer who employs 250 or more employees _-".--- Rormauea: Fork: c�ult� Shn,n on a full to part-time basis at a worksite for a consecutive six- month period. These employers must establish an emission reduction target (ERT) with SCAQMD using one or more of the following options: (a) Mobile source emissions reduction credits; (b) Emission reduction credits from stationary sources; (c) air quality investment program; and/or (d) other emission reduction strategies, such as peak commute trip reduction, alternative fuel vehicles or vehicle miles traveled reduction. Rornwtted: Font: (Default) Shrutl, Fork color CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT I 29 JUNE 174ANUARY 16, 20084 In 1989, the State approved comprehensive recycling and source reduction legislation in the form of AB 939. That bill requires rormaMd. Font: hoe un) Snn,n ] cities and counties to adopt source reduction and recycling elements designed to divert 25 percent of all solid waste from landfill or transformation facilities by January 1, 1995 through source reduction, recycling, and composting activities. With some exceptions, cities and counties AgLpe ___e_ also_ required to ��mMd. (mak) shNtl divert 50 percent by January 1, 2000. This legislation should lead to significant increases in the current level of recycling. The City of Tustin has adopted a Source Reduction and Recycling Element, which permits the City to meet the goals of AB 939. The City's element addresses the following eight components: Source reduction, recycling, composting, special waste, public education and information, disposal facility capacity, funding, and integration. Soil Related Hazards Figure COSR-1 depicts the areas in the community which require special planning considerations to avoid potential hazards. Three soil related safety problems are seismic hazards, soil liquefaction, and landslides. As none of the geologic fault systems within Tustin are known to be active, they are not identified on Figure COSR-1; however, if the Division of Mines and Geology should determine that the EI Modena Fault, or any other faults within the Planning Area, are active, Figure COSR-1 will be modified to identify those active faults, and additional actions necessary to protectpublic health and safety will be prescribed. Areas within the Planning Area have been identified as susceptible to liquefaction or potential bedrock landslides. These areas are identified on Figure COSR-1. When development is proposed within these areas, studies shall be performed as directed by the City to determine the potential for hazards and the amount of development which is supportable on the site,_____. �f rmaccea: F«,t: (Inn) Snn,n CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 1 31 JUNE 17JANUAR4- tom, 20084 policy. For several years, the Lower Peters Canyon Retarding Basin contained a small riparian habitat. This habitat severely deteriorated in recent years. The City will work with the County of Orange, which recently constructed a replacement dam, to preserve the riparian area and implement active measures to increase water supply to restore the habitat area. Plant and Animal Communities In addition to the riparian habitat, two other plant groups provide significant benefits to Tustin. These are the Coastal Sage Scrub and the imported trees - Eucalyptus and Cedar stands. These have been preserved through the East Tustin Specific Plan and EIR. Coastal Sage Scrub is home to some of California's sensitive or endangered species such as the California Black -tailed Gnatcatcher, the San Diego Cactus Wren, and the San Diego Coast Homed Lizard. The Coastal Sage Scrub itself is now very limited and needs careful management. Peters Canyon Regional Park assists in preserving most of Tustin's existing Coastal Sage Scrub. The development of Peters Canyon Regional Park takes took into consideration the preservation and improvement of the sensitive plant and animal communities within its borders. The General Plan also mandates the continued maintenance of significant tree stands. Healthy trees have been identified through the Eucalyptus Study performed in 1988 and shall be cared for to maintain their health. As existing healthy trees die or become irreversibly damaged, they shall be replaced. The study makes several recommendations which the City will observe. Among the nine recommendations are selective pruning, removal of dead plant material, appropriate irrigation, and the minimization of heavy equipment use within 20 feet of the tree trunks. Policies within this Element support these previous efforts. The redwood/cedar grove has already been protected by including it within a new park. In addition, new developments will require a biological assessment. Biological resources which are important to the local ecosystem or to the City's aesthetic environment will be integrated into the -new development. CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 1 37 JUNE 17IANIIARY-16, 2008 Topography, Soils, Paleontology, and Archaeology Topographical features, soils, and aleontologic, and archaeologic features are all generally most affected by earthmoving and subsequent urban development. This Element requires the utilization of standards to preserve the unique landforms existing within the Planning Area. The City has very detailed standards and requirements for grading that are designed to protect sensitive topographic, soil, paleontologic, and archaeologic resources. The Tustin Grading Manual prescribes appropriate measures to protect the earth by controlling erosion, sedimentation, and storm damage. Proper grading, soil management, and open space standards will work to preserve these resources. Sensitive locations will be identified, and their preservation will be a high priority for the City during any project review. As new resources are identified in the City, they will be documented as features or resources the City desires to preserve. To further protect paleontological and archaeological resources, a records search will be performed prior to a development. If no record of resources exist, a field survey will be performed. Any proposed project which is located within a sensitive area as defined by Figure COSR-2, or is identified through a subsequent study, will require a licensed paleontologist or archaeologist to be present on the site to observe grading or other earthwork. Historic Resources Tustin's many fine historic #ernes—buildings are very important resources to the community. The City conducted a historic surveys in 1990 and 2003, and maintains an historic preservation district. Significant structures outside the district are also protected by the City. In addition to City recognition, the Orange County Historical Commission recognizes the Hewes House and the First Advent Christian Church. The National Register of Historic Places also designates the Lighter -than -Air Hangars at the former MCAS Tustin. Prior to With the closing of MCAS Tustin, additional historic resource surveying of the facility was has been completed. It has -been -was CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 38 JUNE 17IANO4Ra 6, 20084 concluded that there existed two discontiquous all incluswe historic districts containing alf4emain#vg-World War II structures at former MCAS Tustin. including heating plant buildings and blimp mooring areas. Any environmental impacts of the reuse plan for MCAS Tustin will need to address the disposition of these resources. Figure COSR-3 identifies current historic resources within Tustin. CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 1 39 JUNE 17 IANLJARY-Is, 20084 Cultural Resources District: The Tustin Cultural Resources District was established in response to growing concerns over future development in Old Town. The purpose of the Cultural Resources District is to provide a framework for recognizing, preserving, and protecting culturally significant structures, natural features, sites, and neighborhoods within the City of Tustin. The District includes much of the area within the original City boundaries. The Cultural Resources District ordinance establishes criteria for use in designating cultural resources and Cultural Resources Districts and the procedures to be followed in making such designations. Final action of any designation must be approved by the City Council. Certificates of Appropriateness are required for improvements within Cultural Resource Districts or upon Designated Cultural Resources when such improvements require a City building permit. The preparation of a historic resources survey enables a city to apply for status as a Certified Local Government (CLG). The Certified Local Government Program is a federal program which allows a city to participate more directly in historic preservation efforts. Application is made through the State Office of Historic Preservation. A CLG is eligible for matching grants which can be used for a variety of historic preservation efforts. Tustin became a CLG in 1991 has submitted -a wed. Scenic Resources As new development is considered by City decision makers, public views should be preserved as much as possible. Consideration will be given to protecting public views along the ridge lines, views toward the inland mountains and along scenic transportation corridors. Figure COSR-4 conceptually identifies significant public scenic resources in Tustin. Solid Waste Recycling CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 41 JUNE 171011ARY-36, 2008 The need to conserve landfill space has been addressed by recent State legislation. Assembly Bill 939 mandates the preparation of a Source Reduction and Recycling Element for solid wastes. This is not an element that is required to be incorporated into the General Plan. Goal 10 of this. Figure COSR-4 CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 1 42 JUNE 17JA4UARY-4-6, 20081 Element is the reduction of solid waste in the City. Specific policies set forth by the City include implementing the Source Reduction and Recycling Element, maximizing integration of source reduction programs, and maximizing public awareness. These goals and policies are set forth explicitly in the Source Reduction and Recycling Element. While that element is not a part of the General Plan, the City's intention is to implement it, and the General Plan fully supports that element as City policy. Energy Resource Conservation Tustin's location in the foothill region of Orange County makes it well suited to taking advantage of solar power. Design of buildings and subdivisions should take the mostly sunny winters and the hot summers into consideration. Southern exposures in the winter and limited western exposure in the summer are both important. Streets ,which run_east-west are more_ ada_ ptable to solar - F«macted: Font (Default) Sn:„ a energy practices than north -south streets. The ideal to orientation for the Southern California coastal inland regions has been recommended as a 35 degree variation to the southwest of the building's long axis. State Title 24 Energy Regulations establish energy performance Building Code requirements that the City;.W fellow and has implemented. CONSERVATION AND OPEN SPACE USED FOR THE MANAGED PRODUCTION OF RESOURCES Open Space_ areas for the managed production of resources with_ - FOUMMO.' Fwt: (I)dM l) S VW regard to this section include agricultural lands and areas containing major mineral deposits. The conservation of open space areas for the managed production of resources does not directly affect lands within the City of Tustin Planning Area. The City of Tustin is an urbanized community and contains limited undeveloped land, most of which is within Tustin Legacy. Very little of this undeveloped hand is currently used for commercial agriculture, - Fornwmed: Font ioe,a) snrw and it is unlikely that any will be used in the future. The ,g CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 1 43 JUNE 17dANUAR-Y-16, 20084 Gentinue to exM until further development of s---,r-,h lands is approved by the Gity. The only mineral resource identified within the Tustin Planning Area is the Mercury -Barite deposit in Red Hill (the hill). However, this resource is not utilized. CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 1 44 JUNE 17 JANUARY 46, 2008 THE RECREATION PLAN The Recreation Plan describes the approach to be used in implementing the goals and policies of this element pertaining to recreation resources and opportunities. The recreation facilities in Tustin play an important part in the lives of Tustin residents. Tustin has been developed with several open space amenities including local public and private recreational facilities, pedestrian and bicycle trails, equestrian trails, and other public open spaces.Soon, the GitJ will eontain eon,"aA of the -Peters Canyon Regional D"'1' Opportunities exist to provide strong linkages between these open space resources to form a cohesive system of open space. RELATION TO LAND USE PLAN The City's Land Use Plan places open space, parkland, and recreational facilities into the Public/Institutional land use category. The Public/Institutional designation includes a wide range of public and private uses distributed throughout the community such as schools, churches, child care centers, transportation facilities, government offices and facilities, public utilities, libraries, museums, art galleries, community theaters, hospitals, cultural and recreational activities, and community recreational facilities and parks. The Plan also permits Public/Institutional uses in other land use designations when the use serves a local need and is compatible with surrounding development. PARK CLASSIFICATION AND STANDARDS The Recreation Plan establishes a classification system that applies to all existing and future park and recreation facilities in the City. Specific standards, based upon existing parkland, have been developed for each category of park or recreation area. The existing parks and recreational facilities are listed on Table COSR-2. Proposed park and recreation facilities are listed on Table COSR-3. CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 45 JUNE 17JANWARY--16, 200-Q4- gamefields, game courts, swimming pools, and play areas as well as community centers, on-site parking, restrooms, and picnic areas. Regional Parks The County of Orange owns and maintains many regional recreational facilities. Policy for the development, maintenance, and improvement of these parks is provided by the Orange County Recreation Element, which includes a Master Plan for regional recreational facilities in the County. The County currently operates the Peters Canyon Regional Park within the northwesterly portion of East Tustin. The City also supports the County in locating other regional park facilities in the City. A regional park of approximately 84.5 acres (including 11 acres occupied by a blimp hanger) is proposed to be transferred to and operated by the County within the MCAS Tustin Specific Plan area. Outdoor recreation activities and adaptive reuse of existing buildings within this regional park location for recreation -oriented uses is planned. School Playgrounds/Joint Agreements Public school playgrounds under the jurisdiction ofthe Tustin Unified School District are open to the public after school hours. Organized sports leagues such as those for baseball, soccer, and football utilize ballfields through a permit process with the School District. The City includes some school recreational facilities to meet the overall goal of three acres per 1,000 population. Up to 1.5 acres per 1,000 population can be provided through school recreation areas provided the school recreation areas are open to the public. Opportunities exist to maintain and enhance school/recreation joint use agreements with the Tustin Unified School District. Whenever feasible, the City should work to improve agreements with schools to enter into a joint school/recreation use and maintenance program. An educational college campus is proposed within MCAS -the Tustin Legacy development which could provide recreational facilities open to the public. CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 1 52UJ NE 17JAWAR-X-14, 20081 Biking/Hiking Trails The County of Orange maintains a coordinated system of trails, including bikeways, equestrian trails and hiking trails within the City. The Tustin Community SeFviees Parks and Recreation and Community Development Departments disseminate public information regarding trail availability, and assists with design review of new trails. Bikeways comprise the most extensive part ofthe City's trail network. There are three categories of bikeways: ° Class I: a paved path that is separate from any motor vehicle travel lane; • Class II: a restricted lane within the right of way of a paved roadway for the exclusive or semi -exclusive use of bicycles; and ° Class III: a bikeway that shares the street with motor vehicles or the sidewalk with pedestrians. The biking network in Tustin connects with other trails and paths in adjacent communities and throughout Orange County. Several new bike trails and paths have been proposed. A number of policies included in this Element are concerned with the expansion of the City-wide system of hiking and biking trails. Precise development standards for the various types of trails are difficult to establish since trail width and gradient will depend on topography, surface features, and availability of an easement. The City's trail system includes pedestrian and bike trails within open space corridors and along regional trails which link to local and regional parkland. The bikeways located along the City's street system are addressed in the City's Circulation Element. The MCAS Tustin Specific Plan also includes a Recreational Bikeway/Trail Concept Plan that provides an opportunity to complete vital links to local and regional systems. Other Recreational Facilities in addition to its parks and trails, Tustin has many private recreational facilities. While some private facilities (e.g., private parks, tennis courts, CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 53 JUNE 17%)ANUARY 16, 20081 swimming pools) are available only to the residents of the general particular complex in which they are located, others are available to the public for a fee (e.g., Tustin Ranch Golf Course). The City encourages the inclusion of such facilities in private development, especially those open to the public. The MCAS Tustin Specific Plan should also offer opportunities for other forms of commercial or privately operated recreation. These might include -a planned golf cowse, and the possibility ofoilier ommercial recreation uses, such as health clubs, bowing alleys, family entertainment centers and other activities. FUTURE RECREATION FACILITIES Identifying areas which will be adequately served by existing park facilities and areas for which new parks will be needed is possible by comparing projected build -out for the City with the standards and criteria of this Element. The implementation program for this Element includes a plan showing the approximate number and location of additional park facilities, by category, according to the specific criteria outlined in this Element. This information will be used as a reference tool, along with the above criteria, for planning the acquisition and siting of park facilities. CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 1 54 JUNE 174ANUARY46, 20084 CONSERVATION, OPEN SPACE, AND RECREATION ELEMENT IMPLEMENTATION PROGRAM The Conservation, Open Space, and Recreation Element Implementation Program provides a guide to the community, City Staff, and City officials in day-to-day decision-making by suggesting ways to implement adopted policy. Implementation measures for the Conservation, Open Space, and Recreation Element are intended to preserve natural resources, maintain public health and safety, and provide for the recreational needs of the City's inhabitants. The Implementation Program is a series of actions, procedures, and techniques that carry out the Element policy through implementing a standard or program. The City Council, by incorporating the Implementation Program into the General Plan, recognizes the importance of long-range planning considerations in day -today decision- making, subject to funding constraints. AIR QUALITY The Air Quality Management District (AQMD) has adopted the 2007 P)47 Air Quality Management Plan (AQMP), an advisory document which identifies a number of air pollution reduction goals, measures and policies. Local jurisdictions have been mandated to reduce a fair share proportion of vehicle generated air pollution through the adoption of a menu of optional Transportation Control Measures (TCMs) which have been determined by the local agency to be politically and economically feasible. The AQN4P is currently dfafti g ., ❑. ekstop Meas,.«o t., o«,,....o that local .,. mesio. meet tho;Y ffairshare-allocation. The Orange County League of Cities has provided each Orange County city its fair share trip reduction goal. The City of Tustin has been recently recognized as having met 122% of its allocated vehicle trip reduction goal. Therefore, it is currently assumed that the City will not need to adopt any additional Transportation Control Measures to comply with the 1997 AQMP. In addition, the City closely monitors air quality matters with the intent of complying with future revisions of the AQMP. Therefore, the mitigation measures and policies identified within this document or other measures acceptable to the AQMD will be implemented by the City who will have the discretion to select those transportation control measures that are economically feasible and will achieve compliance with the 1997 AQMP. CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 55 JUNE 17JAgUARY-94, 20084. 23. Peter's Canyon Wash: Support the maintenance of Peter's Canyon Wash as an open natural channel through the East Tustin Ranch GolfCourse, and support the County's maintenance of the Wash north of the reservoir in a natural state including the development of a design concept for the Peter's Canyon Regional Park incorporating a natural wildlife habitat. Responsible Agency: Community Development/Engineering Division/Planning Division; private golf course owner Funding Source: Private funds/OCFD/State Time Frame: Ongoing Related C/OS/Recreation Element Policies: 5.1, 6.1, 7.2, 7.5 24. Water Quality: Promote improved water quality by the following methods: a) support the Santa Ana Watershed Protection Authority Programs; b) support the Regional Water Quality Control Board Programs and the National Pollution Discharge Elimination System stormwater permit regulations; c) support the efforts of the Orange County Water District to monitor the Santa Ana River water quality; d) enforce the State Department of Health Services well construction standards; e) provide assistance and information to the Federal Environmental Protection Agency, the State Department of Health Services, and Orange County Health Department enforcement program during investigation, regulation and enforcement of water pollution restrictions; f) provide information to industrial operations within the City on methods to reduce or eliminate water contamination; g) work with the Orange County Water District, if financially feasible, to construct facilities adjacent to existing water wells to purify well water and increase production and use of local water, and h) develop local ordinances to regulate the dumping of pollutants into ground water. Responsible Agency: Public Works/Water Services Division Funding Source: City Water Fund Time Frame: Ongoing Related C/OS/Recreation Element Policies: 5.2, 5.4-5.7 CITY OF TUSTIN CONSERVATION/OPEN SPACE/ GENERAL PLAN RECREATION ELEMENT 1 64 JUNE 17dANUA;,Y 16, 200§4 PUBLIC SAFETY ELEMENT PROPOSED AMENDMENTS Subsidence and other geologic hazards; ° Wildland/urban interface fires; and ° Evacuation routes. State law also permits cities to add safety issues to this list and to delete issues which are not pertinent. Potential safety issues were researched and documented for preparation of the Public Safety Technical Memorandum that was completed as a background document for the General Plan. The following public safety issues were added to those mentioned above: Hazardous materials; ° Law enforcement; and ° Aircraft overflights. RELATED PLANS AND PROGRAMS The Public Safety Element issues relate closely to certain issues discussed in the Land Use and Conservation/Open Space/ Recreation Elements of the General Plan. Tustin is updating its Emergency Preparedness Plan that addresses several hazard areas including seismic, flooding, and hazardous materials. This Emergency Preparedness Plan will be reviewed by�State and Federal ronnatbea: F«,t oobr Lk�t Blue agencies which have their own roles in the event of an emergency, including the Federal (FEMA)Department of Homeland SecuritV;and the State Office of Emergency Services (OES), SCOPE AND CONTENT OF THE ELEMENT This Element is composed of three major sections: Summary of Public Safety Issues, Needs, Opportunities, and Constraints; Public Safety Goals and Policies; and The Public Safety Plan. The Public CITY OF TUSTIN PUBLIC SAFETY ELEMENT GENERAL PLAN 2 JUNE 17dAANUARY TB, 20084 SUMMARY OF PUBLIC SAFETY ISSUES, NEEDS, OPPORTUNITIES, AND CONSTRAINTS The Tustin Planning Area is affected by many issues, opportunities, and constraints that affect public safety. The following section summarizes these and establishes a basis for future goals and policies. FLOODING ° The Planning Area contains creeks and washes which create potential flooding problems. Someeastem parts of the City are subject to flooding in a 100 - year storm, -Are lwv�ell as southern pertiGns of the City eR the MCAS Tustin arepe4y,-and most of the southern and eastern areas of the -Tustin Legacy City -are subject to flooding in a 500 -year storm; however, no significant flooding has occurred in the last decade. ° The City has applied to the Federal Emergency Management Agency for modification of the Flood Insurance Rate Maps where needed to reflect flood improvements as they are made in the City. ° The Santiago and Villa Park Reservoirs could inundate parts of the Planning Area if their dams failed. SEISMIC HAZARDS ° The Tustin Planning Area lies within a seismically active region. ° No known active or suspected potentially active faults exist within the Planning Area. The EI Modena fault passes through the Planning Area's northern section; however, studies have not been conclusive about the activerinactive status of this fault. CITY OF TUSTIN PUBLIC SAFETY ELEMENT GENERAL PLAN 4 JUNE 171ANWARY 16, 20084 ° The City lies under the Instrument Landing System Corridor of John Wayne International Airport a+rfields The Planning Area does not lie within any of John Wayne's safety zones. EMERGENCY PREPAREDNESS PLANNING/DISASTER RESPONSE The City's Emergency Operations Plan is a multihazard planning document which is in Compliance with State and Federal Emergency Planninq Requirements. Training and exercises are periodically conducted to educate staff on their emergency responsibilities and to assist in identifying procedures and functions which require further preparedness and training activities. aFeas of weakness. CITY OF TUSTIN PUBLIC SAFETY ELEMENT GENERAL PLAN 6 JUNE IZJANUARY-16, 20084 Policy 1.7: Encourage the Orange County Flood Control District to maintain scheduled debris removal from flood channels. GOAL 2: Minimize risk from upstream dam failures. Policy 2.1: Provide the public with information regarding emergency preparedness in event of dam failure. Policy 2.2: Work with other responsible agencies to ensure and improve the safety of the Santiago and Villa Park Reservoirs. SEISMIC HAZARDS Geologic and seismic hazards can be reduced to avoid unnecessary risk. Appropriate planning and preparedness actions will minimize exposure to these hazards. GOAL 3: Reduce the risk to the community from geologic and seismic hazards. Policy 3.1: Require review of soil and geologic conditions by a State - Licensed Engineering Geologist to determine stability prior to the approval of development where appropriate. Policy 3.2: Maintain and regularly update all seismic and geologic information regarding safety, and ensure the consistency of that information with other affected agencies. Policy 3.3: Encourage development which utilizes the desirable existing features of land such as natural vegetation, geologic features, and other natural features which preserve the site's significant identity. Policy 3.4: Regulate the structural seismic safety of all buildings located within the City, pFieF to 1933. Inventory tilt -up industrial buildings built prior to 1974. Policy 3.5: Ensure that structures for human occupancy, critical structures, and vital emergency facilities are designed to minimize CITY OF TUSTIN PUBLIC SAFETY ELEMENT GENERAL PLAN 8 JUNE 171ANJJARY-16, 20084- Air operations associated with John Wayne International Airport and MCAR stin represent a potential hazard for the community. The risk from this hazard can be minimized through proper planning of land use. GOAL 7: Minimize the level of danger to life and property from air operations accidents. Policy 7.1: Develop criteria to regulate the type and intensity of developments in areas of known potential air operations hazards. Policy 7.2: Coordinate land use planning and emergency preparedness planning with John Wayne Airport officials. Policy 7.3: Monitor legislation promulgated by the FAA which could eliminate local flight restrictions on John Wayne Airport. Policy 7.4: Establish criteria for review and siting of heliports and helipads. Policy 7.5: Encourage Tustin citizen participation and City involvement on committees which would impact future aircraft operations in Orange County. Policy 7.6: Work to reduce risks and noise impacts resulting from aircraft operations by: participating in and monitoring the planning processes for John Wayne Airport and aAy base Gonvemien oF reuse of MCAS El Tore #er airport uses 4syandb continuing to discourage commercial or general aviation activities which increase noise exposure or general safety risks to Tustin residents. EMERGENCY PREPAREDNESS PLANNING/DISASTER RESPONSE Proper preparation for major emergencies is necessary to minimize disruption, personal injury, and property damage. Preventive measures taken before an emergency occurs can hasten recovery from such incidents. CITY OF TUSTIN PUBLIC SAFETY ELEMENT GENERAL PLAN 13 JUNE 17JANUA&Y-15, 20084 GOAL 8: Improve the City's ability to respond to natural and man-made emergencies. Policy 8.1: Maintain an up-to-date Emergency Operations Plan identifying all available resources and funds for use in the event of a disaster and establishing implementing actions or procedures under the Plan for rescue efforts, medical efforts, emergency shelters, provision of supplies, and all other response efforts recommended by the State Office of Emergency Services and the Federal Emergency Management Agency (FEMA). Include procedures for dealing with specific events such as earthquake, major rail and roadway accidents, flooding, and hazardous materials. Policy 8.2: Coordinate with Orange County and the Federal Emergency Management Agency in reducing community risks in the event of a disaster. Policy 8.3: SpenseFand sSupport public education programs for emergency preparedness and disaster response; distribute information about emergency planning to community groups, schools, churches, and business associations; and hold emergency drills in various parts of Tustin to test the effectiveness of emergency preparedness plans. Policy 8.4: Maintain a high level of multijurisdictional cooperation and communication for emergency planning and management and solicit participation from private sector sources (i.e., ham radio, cellular telephone, etc.) to enhance local communication and response capability. GOAL 9: Reduce the amount of personal Injury, damage to property, and economic or social dislocation as the result of disaster. Policy 9.1: Existing vital facilities not designed to be disaster - resistant should be examined, and hazardous si+ustures conditions should be improved oF derAeliM4edfqqy mitigated. CITY OF TUSTIN PUBLIC SAFETY ELEMENT GENERAL PLAN 14 JUNE 17JANI1ARY16, 20084 The Public Safety Plan describes the approach to be used in implementing the Public Safety Element goals and policies. The goals and policies of the Element provide direction for specific actions by the City. How Tustin achieves those goals and implements those policies is determined by programs, actions, and cooperative efforts sponsored or participated in by the City. FLOODING As indicated in the Summary of Issues, Needs, Opportunities, and Constraints, flooding can potentially occur throughout the Planning Area. The Planning Area contains many creeks and washes; however, few parts of the Planning Area have been identified as areas within a 100 -year storm flood area. Areas that have been so designated have not flooded within the last 10 years and are less susceptible to flooding due to more recent storm drain and flood control improvements. As new development occurs, the City has and will continue to improve or require the improvement of flood control facilities. These flood control improvements will be coordinated with Circulation Element roadway construction projects to ensure that major thoroughfares in the City are useable during 100 -year storm conditions. Improvement of the Peters Canyon Channel so that runoff from a 100 -year storm couldaR be carried representeds an important flood control project requiring the joint efforts of the City and the Orange County Flood Control District. Flood control will also be improved through the use of detention basins in appropriate areas. Future development in areas near public water storage reservoirs will be designed so that any damage that might result from leaks or ruptures to storage facilities is minimized. Additionally, the City has applied to the Federal Emergency Management Agency for revision of the Flood Insurance Rate Maps. The risk of flooding resulting from dam breaches or failures will be reduced by working directly with the State Office of Emergency Services to make physical improvements (if necessary) and monitor the safety of the Santiago and Villa Park Reservoirs. The potential for loss of life associated with dam breaches or failures will be reduced CITY OF TUSTIN PUBLIC SAFETY ELEMENT GENERAL PLAN 17 JUNE 17iANUARY 16, 20084 Like most military facilities, MCAS Tustin has been was a user of hazardous materials and there have been many documented leaks and spills since base commissioning in 1942. In 1980, Congress passed the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA) which required the Department of Defense (the Department of Navy assumes this role for MCAS Tustin) to begin work to identify, investigate, and clean-up hazardous waste disposal sites and areas of potential contamination at military bases. The military has -created a team to organize and implement a Base Closure and Realignment Act Base Cleanup Plan (BCP). The purpose of the BCP is to summarize the status of current environmental restoration and associated environmental compliance programs in support of base closure and to provide a strategy for integrating all ongoing site activities in a comprehensive and efficient manner that protects human health and the environment. CITY OF TUSTIN PUBLIC SAFETY ELEMENT GENERAL PLAN 20 JUNE 171ANI 1ARY 46, 20084 The BCP will integrate and coordinate activities under the Installation Restoration Program (IRP), the Resource Conservation and Recovery Act (RCRA), and other compliance programs which are ongoing at the closed base. The Program will identify all sites of potential contamination, investigate those with the potential to affect human health and the environment, and remediate all sites as necessary to meet applicable federal, state, and local standards. FIRE HAZARDS Two main problems contribute to fire hazards in Tustin, low water pressure and large areas of dry vegetation. The primary program to improve fire protection will be to upgrade water lines in areas where pressure is deficient. Acceptable water pressure and fire department response time standards are shown in Table PS -3. Fire protection will also be improved by establishing and maintaining mutual aid agreements with surrounding jurisdictions. A primary means of improving fire prevention will be the requirement of construction materials that are either specifically fire resistant or of low fuel value. Education also plays an important role in fire safety. Particularly in wildland interface areas, people must be made aware of the fire danger in natural and open space areas, particularly in the fire season. Education programs will be sponsored in cooperation with the local fire department. CRIME/LAW ENFORCEMENT As urban development progresses through Orange County, parts of Tustin become more susceptible to crime. Efforts to reduce crime have met with some success. Even though crime has increased, a higher percentage of reported crimes are now resulting in arrest. Reducing crime effectively is a time and labor intensive effort. The City will do everything possible to increase service levels and acquire CITY OF TUSTIN PUBLIC SAFETY ELEMENT GENERAL PLAN 24 JUNE 17 0NUARY 16,2008-1 funding to do so. Table PS -3 shows Police Department standards for responding to calls. Public awareness is also vital in the fight against crime. The City will encourage an activated citizenry to "take ownership" of their streets, report crimes, and be a visible presence. One such program is Neighborhood Watch and community oriented policing. The City will also work with the citizens in creating a force of volunteers. Such a program has been proven effective in some other Southern California cities. TABLE PS -3 EMERGENCY SERVICES STANDARDS FIRE RESPONSE First Engine Company: 5 minutes to 90% of incidents EMERGENCY Basic Life Support Unit: 5 minutes to 90% of MEDICAL incidents Advance Life Support Unit: 10 minutes to 90% of incidents POLICE RESPONSE Emergency calls: 3.5 minutes Non -emergency calls: 13 minutes Another method that the City can use in the fight against crime is to ensure that new construction is designed in a way that discourages gang activity and other aggressive lawless behavior. Some examples of "protective architecture" or defensible space are well lit entryways, lack of convenient hiding places, entryways which are easily seen from the street, and other similar concepts. AIRCRAFT OVERFLIGHT HAZARDS Large parts of Tustin's residential areas lie underneath the flightpaths of ohn Wayne International Airport. While the City's power to limit the operational activities of these facilities is extremely limited, the City can participate in land use control within the flight paths and the legislative process which regulates civilian and CITY OF TUSTIN PUBLIC SAFETY ELEMENT ' GENERAL PLAN 25 JUNE 17IAN1JARY 18, 20084 military air operations. This includes coordinating land use planning and emergency preparedness planning with the County's Airport Land Use Commission and; John Wayne Airport„ offisiafs. €ellowing-the-okmufe ef-MCAS-Tust+n;-fFlight operations involving blimps may occur as an interim use at former MCAS Tustin. The MCAS Tustin Specific Plan also allows heliports as a conditional use. These operations may require amendment of the Airport Environs Land Use Plan (AELUP) to address specific noise and safety factors associated with blimp and helicopter flights. The City will also need to ensuite that there aFe no negative oFnpaGts on the City Gf Tustin. All development proposals affected by the airport land use commission consistency criteria are referred to the Airport Land Use Commission (ALUC). The ALUC reviews areas within the 60 dB CNEL contour, areas within the Safetv Compatibility Zones, areas with Building Height restrictions, or within specified distances from runway surfaces. As with most controversial safety related topics, the involvement of citizens is of great importance. The City will encourage and notify residents of opportunities to become involved in airport related issues. AGENCY RESPONSIBILITIES AND COORDINATION The City contracts with the Orange County Fire Authority for Fire and Paramedic Services. Other agencies which have jurisdiction or which provide public safety services within Tustin include the California Highway Patrol, and the Orange County Health Department. The City coordinates with these agencies to provide the highest level of public safety services. The City will continue to work with these agencies to ensure adequate service. Plans for proposed developments, including City projects, will be sent to appropriate agencies for their review and comment. This will occur whether or not an environmental impact report is prepared. An integral part of the updated Emergency Operations Plan will be the explanation of the appropriate responses and responsibilities of CITY OF TUSTIN PUBLIC SAFETY ELEMENT GENERAL PLAN 26 JUNE 17JANUARY 1.6, 20084 individual agencies and the interagency coordination required to implement emergency procedures. The Southern California Earthquake Preparedness Project (SCEPP) is a State and federally -funded effort to encourage local jurisdictions to prepare for catastrophic earthquakes that may occur in Southern California. SCEPP recommendations have also been approved by the Orange County Board of Supervisors. SCEPP works directly with local governments, private industry, and volunteer groups in a cooperative planning effort. It addresses the full range of earthquake strategies, including mitigation (long term response), prediction (short term response), emergency actions, and recovery. EMERGENCY RESPONSE AND ACTION This section of the Public Safety Element discusses emergency preparedness planning needed to respond to major disasters. With Tustin's recently -updated Emergency Operations Plan, the reader or user of this Element is able to review that document in conjunction with the material contained here. The Emergency Operations Plan is meant to be a preparedness document, designed to be read before a disaster, not in response to one. Each city must have a plan for response to emergency and disaster situations. The City of Tustin currently has an Emergency Operations Plan. The plan establishes response procedures for peace and wartime disasters. The Plan conforms to the provisions of the California Emergency Preparedness Plan and Emergency Resources Management Plan which apply to city governments. The Plan will be adopted in 1997 to comply with state law and the standard emergency management system (SEMS). Emergency Evacuation The City's Emergency Operations Plan identifies routes through the City which are suitable for use as evacuation routes. The extent and severity of a disaster will determine which routes and which directions CITY OF TUSTIN PUBLIC SAFETY ELEMENT ' GENERAL PLAN 27 JUNE 17JANWARY 16, 20083 people may take in order to escape the afflicted areas. Figure PS -1 shows the City's emergency evacuation routes. Emergency Response Personnel First response will be provided by the City Police Department, County Fire Authority and Public Works Department who bear most of the responsibility for providing emergency services. In addition to the above agencies, in the event of a major disaster, other City, County, and State personnel assume local emergency response roles. The updated Emergency Operations Plan w4l-details these roles and responsibilities. Table PS -4 shows which agencies are responsible for various tasks in emergency situations and Table PS -5 shows the City's emergency operation center organization. Emergency Shelters In the event of either a natural or man-made disaster, homes may be destroyed or be inaccessible for extended periods of time. Area residents will need some form of temporary shelter. The American Red Cross bears primary responsibility for providing emergency shelter to displaced residents. The Red Cross maintains an inventory of sites suitable for use as emergency shelters. The site or sites used in a particular emergency depend upon the scope and scale of the emergency and the length of time required to shelter the refugees. Sites most frequently used for shelter are schools, senior centers, community centers, public buildings, and churches. In the event of a disaster, the City will activate their Care and Shelter operations and provide food, clothing, shelter and other basic necessities of life, and continue to cooperate with the Red Cross to make City owned facilities available as emergency shelters. CITY OF TUSTIN PUBLIC SAFETY ELEMENT GENERAL PLAN 28 JUNE 17JANUAF Y-- , 20084 FLOODING uses under air traffic corridors in order to reduce the potential accidents affecting highly populated areas; and f. Regulate new construction within floodplain areas through the City's Floodplain Management Ordinance, making modifications as necessary to the Ordinance to reflect FEMA information. g. Reduce public safety risks resulting from aircraft operations by articipating in and monitoring the planning processes for John Wayne Airport and Feuse of MGAS El TOF0 fGF a GGIFIllnerdal by, continuing to monitor proposed activities, expansions or alterations of use and responding to environmental documents for related projects. Responsible Agency: County of Orange/Community Development Funding Source: Variety of sources Time Frame: Ongoing Related Public Safety Element Policies: 1.1, 7.1 2. Flood Control Facilities: Flood control improvements and maintenance will be monitored where necessary, and such improvements and maintenance will be coordinated with - the ran9e County Flood Control District, State Water Resources Board, Regional Water Quality Control Board, Department of Fish and Game, and Army Corps of Engineers. The City will continue to apply to the Federal Emergency Management Agency for the revision of Flood Insurance Rate Maps to reflect flood control facility improvements. Responsible Agency: Public Works CITY OF TUSTIN PUBLIC SAFETY ELEMENT GENERAL PLAN 34 JUNE 17JANUARY-44, 20084 5. Construction Codes: Adopt current Uniform Building, Administrative, Housing, Mechanical, Plumbing and National Electrical Codes, and recommend amendments to standards and uniform codes for special application in Tustin reflecting special topographic, geologic and climatic conditions. Responsible Agency: Community Development Funding Source: City General Fund/Building Fees/Project Review Fees Time Frame: Ongoing Related Public Safety Element Policies: 3.1, 3.3-3.5, 9.1, 9.4 HAZARDOUS AND TOXIC MATERIALS 6. Control of Hazardous Wastes: Enforce provisions of the City's Hazardous Waste Facilities Ordinance and the Household Hazardous Waste component. Adopt amendments as necessary to update the plans to -generate protecfiGn--of City residents from danger resulting from transportation, storage, disposal or use of hazardous waste within the City. Collaborate with appropriate agencies and industries to define responsibilities and cost allocation procedures for repair and clean-up of hazardous, dangerous, toxic, and other materials. Responsible Agency: Community Development/Orange County Fire Authority Funding Source: City General Fund/County of Orange Waste Management Time Frame: Ongoing Related Public Safety Element Policies: 4.3, 4.5, 4.7, 4.8, 4.10- 4.12,4.14 FIRE HAZARDS CITY OF TUSTIN PUBLIC SAFETY ELEMENT GENERAL PLAN 36 JUNE 17 IANUARY 16, 200Q4 and Building Code amendments, Specific Plans, and proposed structures which would penetrate the imaginary surface established by the ALUC to the ALUC for review. Responsible Agency: Community Development Funding Source: City General Fund Time Frame: Ongoing Related Public Safety Element Policies: 7.1, 7.2 AGENCY RESPONSIBILITIES AND COORDINATION 10. Emergency Plan and Interagency Coordination: Promote public agency responsiveness to emergency situations through: (a) periodic review and update of emergency plans and coordination with other jurisdictions in implementing those plans; (b) coordination with other jurisdictions in the collection, processing, and dissemination of technical information; (c) regular practice of the City's Emergency Operations Plan by city personnel in a simulated setting; (d) City employee training sessions in emergency response and management skills; (e) preparation of a recovery plan for reconstruction of essential services and facilities in the event of an emergency; (f) development of needed resources and identification of available sources of funding for emergency response; (g) maintenance of an emergency operation center in the Civic Center, and (h) establishment and implementation of procedures for prioritizing services and assistance provided and requested by mutual aid organizations. Responsible Agency: All City Departments, Orange County Fire Authority Funding Source: City General Fund, State Funding, Federal Funding, Orange County Funding Time Frame: Ongoing Related Public Safety Element Policies: 3.2, 3.7, 3.8, 4.1, 4.2, 4.4, 4.9, 4.15, 5.1, 5.3, 5.6, 6.4, 7.2, 7.3, 8.1, 8.2, 8.4 CITY OF TUSTIN PUBLIC SAFETY ELEMENT GENERAL PLAN 38 JUNE 17.1ANUARX-16, 20084 NOISE ELEMENT PROPOSED AMENDMENTS ° Increases in traffic volumes will increase noise levels throughout Tustin. o -r"- ,.,.f:,,:+:.... --A ..m.. -A f„+urn „ooc of RACn.C..M T -en 0 neise generating land Uses With the GIG6UFe of IVIGAS" Tustin: ° Noise from train movements and whistles on the Southern California Rail Authority (SCRRA) rail line significantly affects nearby residences. NOISE AND LAND USE PLANNING INTEGRATION • Availability of manpower and expertise needed to perform noise measurements and to identify noise control measures in the enforcement of city, state and federal laws is limited. ° Noise control measures and noise -related compatibility considerations need to be included in all new land use developments. ° Enforcement of city, state and federal requirements regarding noise control is necessary, specifically: The City's noise ordi- nance regarding intrusive noise, the state vehicle code and provisions regarding mufflers and excessively loud radios, the state noise insulation standards for multifamily developments, and the federal and state requirements regarding noise control in work places. • Many commercial and residential uses in Tustin are located near one another, creating potential noise conflicts between these uses. Trucking operations and mechanical equipment associated with commercial/industrial activities impact nearby residences. CITY OF TUSTIN NOISE ELEMENT GENERAL PLAN 6 JUNE 17 1AN1 1ARY 16, 20081 NOISE ELEMENT GOALS AND POLICIES A substantial portion of the City is affected by various sources of noise. The following goals and policies are intended to address identified noise issues in the community. TRANSPORTATION NOISE CONTROL Transportation -related activities are primary sources of noise affecting the quality of life in Tustin. Effective reduction of noise associated with transportation is necessary to ensure protection from the detrimental effects of excessive noise. GOAL 1: Use noise control measures to reduce the impact from transportation noise sources. Policy 1.1: Pursue construction of new barriers, or the augmentation of existing barriers, to reduce noise impacts along the Route 5 and Route 55 freeways along segments directly next to residential areas. Policy 1.2: PaFti6pate in the planning and envirenmentat4evjew that appropriate noose mitigation measures are inGluded in the de of the Intentionatty omitted Policy 1.3: Encourage John Wayne Airport to set up noise control procedures and to consider methods to reduce and minimize noise exposure due to aircraft flyovers within the Tustin Planning Area. Policy 1.4: Continue to monitor all John Wayne Airport activities to minimize noise impacts within the Tustin Planning Area resulting from airport operations, and oppose legislation promulgated by the FAA that could eliminate local flight restrictions. Policy 1.5: Work to reduce risks and noise impacts resulting from aircraft operations by Tustin for.- c-e-m-mern-i-al OF general aviation air: operatiensi (b) .(a) CnY OF TUSTIN NOISE ELEMENT GENERAL PLAN 8 J NE IDANUAR1 469, 20081 participateog in and moniton the planning processes for John Wayne Airport and reuse of-MGAS-E4-Tofo-(cAandb continuinye to discourage commercial or general aviation activities which increase noise exposure. Policy 1.6: Encourage Tustin citizen participation and City involvement on committees that would influence future aircraft operations in Orange County. Policy 1.7: Encourage construction of noise barriers by the Public Utilities Commission, Southern California Regional Rail Authority, Amtrak, and Orange County Transportation Authority along the Atchison, Topeka and Santa Fe rail line where residences exist next to the tracks. Policy 1.8: Encourage the Public Utilities Commission, Southern California Regional Rail Authority, Amtrak, and the Orange County Transportation Authority to minimize the level of noise produced by train movements and whistle noise within the Planning Area by reducing speeds, improving vehicle system technology and develop- ing improved procedures for train engineer whistle blowing. Policy 1.8: Encourage, where feasible, noise mitigation measures, such as noise barriers and- realignments, in the design and construction of new roadway projects in the Tustin Planning Area. Policy 1.10: Enforce the State's Vehicle Code noise standards within the City. Policy 1.11: Consider noise impacts to residential neighborhoods when designating truck routes and major circulation corridors. Policy 1.12: Work with the Orange County Transportation Agency to establish bus routes that meet public transportation needs and minimize noise impacts in residential areas. NOISE AND LAND USE PLANNING INTEGRATION Consideration of the effects of noise early in the land use planning process can minimize or avoid detrimental impacts. CITY OF TUSTIN NOISE ELEMENT GENERAL PLAN 9 JUNE 17JANW F-16, 20084 Areas of Special Concern Areas of special concern within the Noise Impact Area are near the 1-5 and SR -55 freeways. At these locations the existing CNEL ranges from 70 to 80 dB. Caltrans will -constructed soundwalls along these freeways as part of the freeway widening projects. These walls will -reduce the CNEL at the adjacent residence ----------------------------------------------- Iig � Residences next to a number of major and secondary arterials in the Tustin Planning Area are also exposed to a CNEL over 65 dB. These arterials include: ° Bryan Avenue ° ,Edinger Street ° Fairhaven Avenue ° Irvine Boulevard ° Newport Avenue ° Red Hill Avenue ° Yorba Street ° Prospect Avenue ° Browning Avenue ° 17th Street ° EI Camino Real ° McFadden Street ° Walnut Avenue °SycamoreAvenue Measurements have shown that residences located next to the Southern California Regional Rail Authority (SCRRA) rail line are currently --were exposed to a CNEL of about 70 dB and maximum noise levels of 78 dB(A). By the year 2010, the CNEL at the adjacent residences will increase by as much as 6 dB due to increased rail activity related to commuter rail activities along the SCRRA/OCTA railway (Metrolink). The primary source of annoyance at these loca- tions will be afternoon and early morning peak hour train passes. LAND USE COMPATIBILITY GUIDELINES AND STANDARDS Table N-2 provides guidance for the acceptability of certain develop- ment projects within specific CNEL contours and will act as a set of criteria for assessing the compatibility of proposed land uses within the noise environment. Land Use Compatibility Guidelines are the basis for development of the specific noise standards presented in table N-3 which should be utilized as city policy related to new land uses and acceptable noise levels development. CITY OF TUSTIN NOISE ELEMENT GENERAL PLAN 15 JUNE 17dANUARY-1-6, 20084. TRANSPORTATION NOISE CONTROL The most efficient and effective means of controlling noise from trans- portation systems is to reduce noise at the source. However, since the City has little direct Control over source noise levels because of state and federal preemption (i.e., State motor vehicle noise standards and Federal air regulations), programs should be focused on reducing the impact of the noise on the community. Cooperative efforts with state and federal offices are essential. Within the Tustin Planning Area are several transportation related noise sources including train tracks, two freeways, major arterials, collector roadways, a heliGapteF 6tatien, and a commercial airport. Although MCAS Tustin is closed in 1999, blimp flight operations may occur as an interim use. These sources are the major contributors of noise in Tustin. Cost effective strategies to reduce their influence on the community noise environment are an essential part of the Noise Element. CITY OF TUSTIN NOISE ELEMENT ' GENERAL PLAN 17 JUNE 174ANUARY-1-6, 20081 The California Vehicle Code contains noise limits applicable to new vehicles at the time of manufacture and noise regulations pertaining to the operation of all vehicles on public roads. The City will provide for continued evaluation and enforcement of truck and bus movements and routes to minimize noise at the source for sensitive land uses. Regulation of traffic flow can also significantly minimize noise impacts. The State Motor Vehicle noise standards for cars, trucks, and motorcycles will be enforced through coordination with the California Highway Patrol and the Tustin Police. The City and its citizens will also participate in the planning processes for John Wayne Airport, . Any changes in operations or land uses within the facilityies that will increase noise exposures in the Planning Area will be opposed. The City will encourage implementation of procedures that will reduce noise levels in the area and will minimize the number of aircraft overflights. NON -TRANSPORTATION NOISE CONTROL People, and noise sensitive areas, must be protected from excessive noise generated by non -transportation sources including commercial and industrial centers. These impacts are most effectively controlled through the environmental and site plan review process by imposition of mitigation measures and the application of a City Noise Ordinance. Typical Mitigation for Industrial and Commercial Uses Consideration should be given to the control of noise in new commercial and industrial developments when noise levels would otherwise be generated that would exceed the noise level for the district in which they are located and that would adversely affect nearby projects. The following mitigation measures could be applied when reviewing these new projects: Furnaces - Acoustically treat natural draft and/or forced draft units and combustion air intake plena. Insulation of firing walls and damped and lined ducting are but a few of the treatments that could be considered. CITY OF TUSTIN NOISE ELEMENT GENERAL PLAN 21 JUNE 1ZJANU4RY46, 2008-1 The City will seek assistance from the Public Utilities Commission, Southern California Regional Rail Authority, OCTA, and Amtrak in achieving these methods of noise protection for residential and other sensitive uses. Responsible Agency/Department: Community Development, Public Works/Engineering Funding Source: Public Utilities Commission, Southern California Regional Rail Authority, OCTA, Amtrak, Redevelopment Agency Time Frame: Ongoing Related Noise Element Policies: 1.7, 1.8 3. Vehicle Noise Control: To minimize or reduce noise impacts on residential and other sensitive land uses, the City will: 1) enforce and periodically evaluate truck and bus movements and routes to reduce impacts on sensitive areas; and 2) promote coordination between City Police and the California Highway Patrol to enforce the State Motor Vehicle noise standards. Responsible Agency/Department: Community Development, Public Works/Engineering, Police Dept., CHP Funding Source: City General Fund Time Frame: Ongoing Related Noise Element Policies: 1. 1, 1.2, 1.9-1.12 4. Aviation Noise: Work to reduce noise impacts resulting from aircraft operations atfW John Wayne Airport and MGAS, El Tore by: (a) participating and monitoring the planning processes for John Wayne Airport ; (b) continuing to discourage general and commercial aviation activities which increase noise exposure to sensitive land uses. Responsible Agency/Department: Community Development Funding Source: City General Fund CITY OF TUSTIN NOISE ELEMENT GENERAL PLAN 25 JUNE 17JAN1 IARY 16, 2008- GROWTH MANAGEMENT ELEMENT PROPOSED AMENDMENTS elements as set forth in the Orange County, Countywide Growth Management Program Implementation Manual of April, 1991. Tustin is a largely developed community with most of its infrastructure already in place. For this reason it is considered a Developed Community for the purposes of Measure M. As a result, this element does not need to address certain infrastructure issues, such as fire, sheriff/police, and library facilities, required to be addressed by developing communities. The East Tustin aFea GGRStitUt9S the portion of the City that 46 presently developing. All of the baGkbone infFastFuGtuFe in East T, is already an plaGe and the remaining iRfFastFuGtuFe, inGluding finanGing, is planned. in addition, The former Tustin Marine Corps Air Station has significant infrastructure needs 4k#e-fi twe-to support the development of Tustin Legacy Infrastructure planning w4te-was integrated into the planning for that of the site and redevelopment of the former base will be required to address the -costs and timing of additional infrastructure required to serve it. CONSISTENCY WITH OTHER GENERAL PLAN ELEMENTS A major goal of the Growth Management Element is to ensure that the planning, management and implementation of traffic improvements and public facilities are adequate to meet the current and projected needs of the City. While this goal is a high priority, it must be achieved while maintaining internal consistency among the other elements of the General Plan as required by State law. Therefore, the Growth Management Element does not replace or supersede any of the other General Plan elements; instead, the Element addresses, amplifies and supports the goals and policies that are included in the other General Plan elements and establishes new goals and policies where necessary. The Growth Management Element is implemented through various coordinated programs developed to support and carry out its goals, objectives and policies. In addition, this element minimizes duplication between Measure M and Congestion Management CITY OF TUSTIN GROWTH MANAGEMENT ELEMENT GENERAL PLAN 2 JUNE 17dANUARY 16, 20084 Program (CMP) requirements (see Related Plans and Programs below). RELATED PLANS AND PROGRAMS Many federal, state, regional, and Orange County plans and laws affect growth management in the City. Broadly, they include the Orange County Growth Management Plan, the Southern California Association of Governments (SCAG) Growth Management Plan, South Coast Air Quality Management Plan (AQMP), State Assembly Bill 471 (Proposition 111 - Congestion Management), and Measures M and M2 (Orange County). Of all of these measures, M/M2 will have the most direct and significant impact upon the City's Growth Management Plan. Each of these plans and/or systems is described below. Orange County Growth Management Plan Element The stated purpose of the Orange County Growth Management Plan Element is to ensure that the planning, management and implementation of traffic improvements and public facilities are adequate to meet the current and projected needs of Orange County. The Plan sets forth goals, objectives, policies, and implementation programs for growth management. The goals of the Plan are summarized as follows: ..to reduce traffic congestion, ensure that adequate transportation facilities, public facilities, equipment and service are provided for existing and future residents and to protect the natural environment of Orange County." The Plan establishes the following five major policies: 1. Development Phasing: Development will be phased according to Comprehensive Phasing Pians (CPPs) adopted by the County. Phasing will be linked to roadway and public facility capacities. 2. Balanced Community Development: Development will be balanced to encourage employment of local residents and both CITY OF TUSTIN GROWTH MANAGEMENT ELEMENT GENERAL PLAN 3 JUNE 17JANWUV", 20084 improvements implemented through Development Agreements must be consistent with the overall Orange County Growth Management Plan. The Orange County Growth Management Plan Element further provides that additional implementation programs may be developed as deemed necessary by the County. SCAG Growth Management Plan The SCAG Growth Management Plan recommends ways to redirect the region's growth in order to minimize congestion and better protect the environment. While SCAG has no authority to mandate implementation of its Growth Management Plan, some of the Plan's principal goals (such as improved jobs/housing balance) are being implemented through the South Coast Air Quality Management Plan (AQMD) which the South Coast Air Quality Management District does have the authority to implement. South Coast Air Quality Management Plan The South Coast Air Quality Management Plan mandates a variety of measures to reduce traffic congestion and improve air quality, GOFFIpenent within 46 geneFal plan. These and etheF Fne ures -are- to The City is subject to all AQMP requirements for local jurisdictions. Assembly Bill 471 (Proposition 111) Assembly Bill (AB) 471, as subsequently modified by Assembly Bill 1791, requires every urbanized city and county with a population of 50,000 or more, to adopt a Congestion Management Plan (CMP) to reduce traffic congestion. A city or county which does not comply with the CMP requirement will lose gasoline sales tax revenues to which it would otherwise be entitled. Tustin has completed a CMP for its 4-99 CITY OF TUSTIN GROWTH MANAGEMENT ELEMENT GENERAL PLAN 5 JUNE 17JANWARY 16, 2008 2007 submittal, and will continue to work with the County on annual updates to the CMP. The CMP requirements include traffic level of service (LOS) standards, a trip reduction program, and a seven-year capital improvements program for traffic and transit. Many of the AB 471 requirements are the same or similar to the requirements of Measure M (discussed below). The County has attempted to reconcile overlapping requirements through the Measure M implementation guidelines. (see Countywide Growth Management Program Revised Traffic Improvement and Growth Management Ordinance Implementation Manual). Measures M and M2 Orange County voters approved a measure (Measure M) in 1990 to allocate additional funds to provide needed transportation facilities in Orange County. Measure M specifically authorized a half cent retail sales tax increase for a period of 20 years effective April 1, 1991. The monies received from Measure M will be are returned to local jurisdictions for use on local and regional transportation improvements and maintenance projects. The tax is estimated to raise approximately $3.1 billion Countywide over the 20 years. The County of Orange is divided into eleven (11) GMXs and the City of Tustin is currently contained within GMA #7 along with portions of the cities of Irvine, Santa Ana, Orange and the County of Orange. The estimated In order to qualify for these revenues, however, Measure M requires each City to comply with the Orange County Division, League of California Cities - Countywide Traffic Improvement and Growth Management Program which was included by reference in the Measure M ordinance. The Countywide Growth Management Program is designed to achieve a cooperative process among local Orange County jurisdictions to coordinate and implement traffic improvements and stronger planning on a Countywide basis. Measure M2 was approvedby voters in November 2007 and extended the imposition of the one-half percent sales tax increase to fund transportation improvements for an additional 30 years CITY OF TUSTIN GROWTH MANAGEMENT ELEMENT GENERAL PLAN 6 JUNE 17d4NUAR-Y 46, 20084 In order to receive its allocation of Measure M funds, the City must submit a statement of compliance with the growth management components which are summarized as follows: Adoption of a Growth Management Element that includes: - Traffic Level of Service (LOS) standards - Development mitigation program - Development phasing and annual monitoring program Participation in interjurisdictional planning forums Development of a 7 -year Capital Improvement Program Address housing options and job opportunities Adoption of a Transportation Demand Management Ordinance. PLANNED TRANSPORTATION IMPROVEMENTS As the City of Tustin and the entire southern California region continues to grow, additional demands will be placed on the transportation network within the City. The following major transportation programs and projects have been identified as part of the Tustin General Plan update to help alleviate future traffic congestion: 0 Upgrading of the NewpoFt an 0 Gempletion of the westem leg of the Eastern TFan6peFtatien ter+ider; Buildout of existing and proposed arterials, collectors, interchanges, and superstreet links, including extension of Newport Avenue from south of Sycamore Avenue, to Valencia Avenue and extension of Tustin Ranch Road from Walnut Avenue to Edinger Avenue. The extension of Jarnbera-e Read frern CITY OF TUSTIN GROWTH MANAGEMENT ELEMENT GENERAL PLAN 7 JUNE 17JANWAR-Y 165, 20084 GROWTH MANAGEMENT ISSUES, NEEDS, OPPORTUNITIES AND CONSTRAINTS The City of Tustin is part of a large, fast-growing region. s"Ihe pace of new development has begun to outstrip exceeded the ability of infrastructure to adequately support that development. The Growth Management Element addresses primarily the issues associated with rapid growth, traffic congestion, and transportation facilities. ° The City's GOnstant rate of growth and development and impacts of growth in adjacent jurisdictions and throughout the County has created a necessity for a regional approach to transportation growth management. A significant portion of transportation problems in the County stem from the inadequate capacity of the freeway system to serve peak period travel demands. This lack of capacity results in poor levels of service characterized by severe congestion and low travel speeds during peak hours. The most severe congestion occurs at the junction of 1-5 and SR -55. Actual highways are intended to handle the bulk of intra -regional traffic and complement the freeway system and local street network. As congestion increases on the freeway, more drivers utilize the arterial system, particularly those that parallel the freeways or those arterials serving the same trip destination as the freeway. Consequently, these arterials, such as Newport Avenue, Red -Will Avenue, and Irvine Boulevard are becoming increasingly congested and receive heavy traffic volumes well in excess of their designcapacity. This situation is of special concern on those arterials which provide access to the freeway system. ° The City's transportation system is greatly influenced by two freeways which run through the City - the 1-5 (Santa Ana) Freeway and the SR -55 (Newport -Costa Mesa) Freeway. Traffic congestion in Tustin is as much a regional as it is a local problem. The development which occurs in neighboring jurisdictions and throughout the County has effects upon the CITY OF TUSTIN GROWTH MANAGEMENT ELEMENT GENERAL PLAN 9 JUNE 171ANUARY-16, 20084- GROWTH MANAGEMENT ELEMENT GOALS AND POLICIES The following new goals and policies are designed to meet all the Growth Management Element requirements for Developed Communities as set forth by Measure M and elaborated by the Countywide Growth Management Program Implementation Manual. TRAFFIC CONGESTION Traffic congestion is a problem on local streets as well as arterials and regional freeways. In particular, heavy traffic volumes in Tustin exist along Red bHill Avenue between Warner Avenue and Edinger Avenue, along Seventeenth Street in the vicinity of Yorba Street, and along Irvine Boulevard between the Newport -Costa Mesa Freeway and Browning Avenue. Traffic volumes along the 1-5 corridor are also extremely heavy and cause significant slowing during the peak hours. GOAL 1: Reduce traffic congestion. Policy 1.1: Within three years of the issuance of the first building permit for a development project or within five years of the first grading permit for said development project, whichever occurs first, ensure that the necessary improvements to transportation facilities to which the project contributes measurable traffic are constructed and completed to attain Level of Service (LOS) "D" at the intersections under the sole control of the City. Intersections under the jurisdiction of another City or the County or the State or those included on the Deficient Intersection List established by the City and compiled by the GMA (Growth Management Area) in which the City participates (see Policy 3.1) are exempt from this requirement. Policy 1.2: Level of Service (LOS) will be measured by the Traffic Level of Service Policy Implementation Manual established by the Local Transportation Authority. CITY OF TUSTIN GROWTH MANAGEMENT ELEMENT GENERAL PLAN i 1 JUNE 17JANWARY T6, 20084 Policy 1.3: All development contributing measurable impacts to intersections on the Deficient Intersection List and all projects contributing cumulatively, or individually, 10 percent or more of the traffic using an intersection shall be assessed a mitigation fee determined by the jurisdictions in the GMA and locally administered as part of the City's Capital Improvement Program. Policy 1.4: Promote traffic reduction strategies through TDM measures adopted by City ordinance.* ADEQUATE TRANSPORTATION FACILITIES Many of the regional transportation facilities are not adequately sized to accommodate existing and projected growth. Largely in response to this situation, Orange County voters approved a measure (Measure M) in 1990 and Measure M2 in 2007 to allocate additional funds to provide needed transportation facilities. GOAL 2: Ensure adequate transportation facilities are provided for existing and future Inhabitants of the City. Policy 2.1: Require that all new development pay its share of the street improvement costs associated with the development, including regional traffic mitigation. Policy 2.2: New revenues generated from Measure M shall not be used to replace private developer funding which has been committed for any project. Policy 2.3: The City shall continue to collect Transportation System Improvement Program (TSIP) fees for improvements within its boundaries and shall work with adjacent jurisdictions to determine acceptable impact fees within the growth management areas. These fees may be assessed as necessary in addition to the City's TSIP 'Not required for Growth Management Element but required to meet Measure M requirements. CITY OF TUSTIN GROWTH MANAGEMENT ELEMENT GENERAL PLAN 12 JUNE 17JANUARY 40, 20084 address growth management issues in isolation from other jurisdictions. GOAL 3: Cooperate with neighboring jurisdictions and the County to achieve reduction in regional traffic congestion. Policy 3.1: The City shall participate in interjurisdictional planning forums within its established growth management area as adopted by the -and will continue to participate in forums with neighboring or affected jurisdictions to address transportation or other planning issues. Policy 3.2: The City will continue to cooperate with the County of Orange -OCTA in annually updating its Congestion Management Plan pursuant to the requirement of AB 471 in order to continue to receive its share of State gasoline sales tax revenues. JOBS/HOUSING BALANCE One of the major causes of traffic congestion is land use patterns that hinder the ability of people to live and work in the same area. Long commutes can overburden traffic infrastructure and diminish quality of life. Creating communities where people can both live and work in relatively close proximity shortens commutes and encourages the use of altemative forms of transportation to and from employment. GOAL 4: Strive to develop and maintain a balance between jobs and housing In Tustin. Policy 4.1: To the extent feasible, utilize information on the jobs/housing, balance in the City and region as a factor in land use decision-making. CITY OF TUSTIN GROWTH MANAGEMENT ELEMENT GENERAL PLAN 14 JUNE 17 IANI IARY 16, 20084 deferred until compliance with the provisions of this program are achieved. The Performance Monitoring program will provide an annual evaluation of the maintenance of transportation service levels. Annual traffic reports prepared under this Program shall utilize data collected within three (3) months of preparation of the report. In the event that the Performance Monitoring Program identifies one or more service level deficiencies, measures shall be implemented to correct identified deficiencies. CAPITAL IMPROVEMENT PLANS The City shall establish a Capital Improvement Program for transportation systems improvements to effectively manage the system based on OCTA timetables. The purpose of the Capital Improvement Plans is to estimate future development over a seven year period and determine the necessary infrastructure and associated costs required for this new development. The Capital Improvement Plans will be closely linked with the Comprehensive Phasing Plans. The City will determine the capital projects needed to meet and maintain both the City's adopted Traffic Level of Service and Performance Standards. Capital financing programming will be based on proposed development to be constructed during (at a minimum) the following seven year period. The CIP shall include approved projects and an analysis of the costs of proposed projects as well as a financing plan for providing the improvements. INTERJURISDICTIONAL COOPERATION The City of Tustin will become involved in intedurisdictional coordination for various purposes, including: ° Cooperating with the County of Orange, the Orange County Transportation Authority (OCTA), and other local jurisdictions CITY OF TUSTIN GROWTH MANAGEMENT ELEMENT GENERAL PLAN 18 JUNE 17JAN4AR4L1-6, 20081