Agenda PDF
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Agenda PDF
AGENDA CITY OF UNION CITY/ SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY MEETING Tuesday, July 12, 2016 7:00 PM COUNCIL CHAMBERS 34009 ALVARADO NILES ROAD I. CALL TO ORDER I.a. Pledge of Allegiance I.b. Roll Call Mayor Carol Dutra-Vernaci Vice Mayor Emily Duncan Councilmember Lorrin Ellis Councilmember Pat Gacoscos Councilmember Jim Navarro I. II. UNFINISHED BUSINESS - None III. PROCLAMATIONS AND PRESENTATIONS - None IV. ORAL COMMUNICATIONS Comments from the audience on non-agenda items will be accepted for a period of 30 minutes. Speakers are limited to three minutes each. Persons wishing to speak must complete a speaker card available at the rear of the Council Chamber or from the City Clerk. If the number of speakers exceeds the time allotment, cards will be shuffled and 10 speakers chosen at random. The remaining speakers may speak under Section XI of the agenda. V. CONSENT CALENDAR All matters listed on the Consent Calendar are considered routine in nature and will be enacted by one motion. If discussion is required on a specific item, it will be removed from the Consent Calendar and considered separately. City Council/RSA Agenda 1 Tuesday, July 12, 2016 V.a. Waived Further Reading of Proposed Ordinance (This permits reading the title only in lieu of reciting the entire text of any proposed Ordinance.) V.b. Approve the Minutes of the Regular City Council Meetings Held on June 14, 2016 V.c. Approve the Minutes of the Special and Regular City Council Meetings Held on June 28, 2016 V.d. Adopt a Resolution Designating the Voting Delegate and Alternate Voting Delegate for the League of California Cities Annual Conference – October 5 - 7, 2016, Long Beach V.e. Adopt a Resolution Approving Authorization of Signatories for the State of California Local Agency Investment Fund (LAIF) V.f. Adopt a Resolution for the Adoption of the Federal Fiscal Years 2017-2019 DBE Goal for FTA Funded Projects V.g. Award of Contract for Purchase of One 2017 Chevrolet Volt for the City Manager's Department, City Project #16-24, and to Declare Unit #307 (VIN#2B3HD46R44H621460) as Surplus to be sent to Public Auction V.h. Adopt a Resolution Authorizing the Filing of Applications with the Metropolitan Transportation Commission for Allocation of Funds for the Operation of Union City Transit and Paratransit for Fiscal Year 2016-2017 V.i. Approve Specifications and Authorize for Bids For a New Regenerative Air Street Sweeper Vehicle VI. PUBLIC HEARINGS - None VII. CITY MANAGER REPORTS VII.a. Briefing to the City Council on Governor Brown's Streamline Affordable Housing Trailer Bill Legislation (By-Right Housing) VII.b. Options to Address Rent and Tenant Issues VIII. SUCCESSOR AGENCY TO REDEVELOPMENT AGENCY - None IX. AUTHORITIES AND AGENCIES - None X. CITY COMMISSION / COMMITTEE REPORTS - None XI. SECOND ORAL COMMUNICATIONS XII. SCHEDULED ORAL COMMUNICATION XII.a. Public Comment from Nanda Ramadhass XIII. ITEMS REFERRED BY COUNCIL City Council/RSA Agenda 2 Tuesday, July 12, 2016 Oral Reports by Mayor and Councilmemebers on meetings of County or Regional Board and Commissions Alameda County Fire Department Advisory Commission Alameda County Library Advisory Commission Alameda County Mayors Conference Alameda County Transportation Commission (ACTC) Alameda County Waste Management Authority (WMA) Association of Bay Area Governments (ABAG) City of Union City Audit Subcommittee City of Union City Youth Violence Prevention & Intervention Advisory Committee Disaster Council Dumbarton Rail Corridor Policy Advisory Committee East Bay Economic Development Alliance (EDA) East Bay Regional Communications System Authority (EBRCSA) Economic Development Advisory Team (EDAT) Housing Authority of Alameda County League of California Cities, East Bay Division (LOCC) New Haven Unified School District Joint Sub-Committee Oakland Airport Community Noise Management Forum Oversight Board to the Successor Agency to the Union City Redevelopment Agency Teen Center Project Updates Union City Chamber of Commerce XIV. GOOD OF THE ORDER XV. CLOSED SESSION - None XVI. ADJOURNMENT A complete agenda packet is available for review at City Hall or on our website www.unioncity.org Any writings or documents provided to a majority of City Council members regarding any item on this agenda will be made available for public inspection at the City Clerk's Counter at City Hall, located at 34009 Alvarado-Niles Road, Union City, California, during normal business hours. Assistance will be provided to those requiring accommodations for disabilities in compliance with the Americans with Disabilities Act of 1990. Interested person must request the accommodation at least two working days in advance of the meeting by contacting the City Clerk at (510) 6755348. City Council/RSA Agenda 3 Tuesday, July 12, 2016 ATTACHMENTS: Description Draft Minutes for the City Council Meeting Held on June 14, 2016 City Council/RSA Agenda Type Resolution 4 Tuesday, July 12, 2016 MINUTES CITY OF UNION CITY/ SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY MEETING Tuesday, June 14, 2016 7:00 PM COUNCIL CHAMBERS 34009 ALVARADO NILES ROAD I. CALL TO ORDER Mayor Dutra-Vernaci called the meeting to order at 7:05 p.m. I.a. Pledge of Allegiance I.b. Mayor Dutra-Vernaci led the salute to the flag. Roll Call Present: Councilmembers Ellis*, Gacoscos, Navarro, Vice Mayor Duncan, Mayor Dutra-Vernaci Absent: None *Councilmember Ellis arrived at 7:15 p.m. II. UNFINISHED BUSINESS - None III. PROCLAMATIONS AND PRESENTATIONS III.a. Presentation by Eden Council for Hope and Opportunity (ECHO) Staff on the Housing Counseling Services ECHO Provides to Union City Director Rocha provided detailed information on the services ECHO provides to Union City which include fair housing education, counseling and investigation, and tenant/landlord counseling and dispute resolution. Director Rocha responded to questions from Council. Council provided comment. III.b. Plan Bay Area Update Association of Bay Area Government (ABAG) Executive Director Ezra Rapport presented the update on the Plan Bay Area 2040. Information discussed included Union City’s Regional Housing Needs Allocation (RHNA), Union City’s Priority Development Areas (PDAs) and Union City’s Planned Conservation Areas (PCAs). Executive Director Ezra responded to questions from Council. provided comment. IV. Councilmembers ORAL COMMUNICATIONS Jaime Patino thanked the Mayor and staff for the quick response and reassuring statement regarding the recent mass shooting in Orlando. V. CONSENT CALENDAR It was moved by Vice Mayor Duncan and seconded by Councilmember Gacoscos to approve Consent Calendar items V.a through V.k. The motion was carried by a unanimous voice vote. City Council/RSA Agenda City Council/RSA Minutes 1 5 Tuesday, July 12, 2016 Tuesday, June 14, 2016 V.a. Waived Further Reading of Proposed Ordinance (This permits reading the title only in lieu of reciting the entire text of any proposed Ordinance.) V.b. Approved the Minutes of the Special City Council Meeting Held on May 17, 2016 V.c. Approved the Minutes of the Special and Regular City Council Meetings Held on May 24, 2016 V.d. Adopted Resolution No. 4915-16 to Accept Work for the Decoto Green Street Project, City Project No. 11-01 V.e. Adopted Resolution No. 4916-16 Establishing an Appropriation (GANN) Limit for Fiscal Year 2016-17 and Amending the Established Appropriation (GANN) Limit for Fiscal Year 2015-16 V.f. Adopted Resolution No. 4917-16 Calling and Giving Notice of the Holding of a General Municipal Election to be Held on Tuesday, November 8, 2016 for the Election of Certain Officers; Requesting the Board of Supervisors of the County of Alameda to Consolidate a General Municipal Election to be held on Tuesday, November 8, 2016 with the General Election to be Held on that Date Pursuant to Section 10002 of the Elections Code, and Requesting Certain Services of the Registrar of Voters; and Establishing Regulations for Candidate Statements on the Sample Ballot V.g. Adopted Resolution No. 4918-16 Approving a Professional Services Agreement with Retired Annuitant Tom Gorrie V.h. Adopted Resolution No. 4919-16 Approving a Professional Services Agreement with Retired Annuitant Ben Horner V.i. Adopted Resolution No. 4920-16 Authorizing Execution of an Agreement with the County of Alameda for Additional Service Hours at the Union City Branch Library during Fiscal Year 2016-17 V.j. Adopted Resolution No. 4921-16 Accepting Work for the 11th Street Traffic Signal Improvements, City Project No. 14-11 V.k. Adopted Resolution No. 4922-16 Approving a Non-exclusive Franchise Agreement for Rotational Towing Services VI. PUBLIC HEARINGS VI.a. Consider the Adoption of a Resolution Approving the Master Fee Schedule for the Fiscal Year 2016-17, and Adjustments Thereto for Changes in the Consumer Price Index and Increases as Prescribed in the Municipal Code Finance Director Mark Carlson presented the staff report. There were no questions or comments from Council. Mayor Dutra-Vernaci opened the public hearing and called for comment. Being none, Mayor Dutra-Vernaci closed the public hearing. It was moved by Councilmember Ellis and seconded by Councilmember Navarro, to approve Resolution No. 4923-16 adjusting the City’s Master Fee Schedule for the Fiscal Year 2016-17, except for the proposed fees for solid waste, organic waste and recyclable materials collection and processing and storm water runoff surcharge. The motion was carried by a unanimous voice vote. City Council/RSA Agenda City Council/RSA Minutes 2 6 Tuesday, July 12, 2016 Tuesday, June 14, 2016 VI.b. Public Hearing (Published Notice) Introducing an Ordinance Adding Chapter 7.06 “City of Union City Food Ware Ordinance” to the Municipal Code to Restrict the Use of Expanded Polystyrene Food Ware Products Recycling Manager Roberto Munoz presented the staff report and responded to questions from Council. Recycling Coordinator Jennifer Cutter and Americorps CivicSpark Fellow Anthony Primer detailed the extensive outreach that was conducted prior to introducing the ordinance. Mayor Dutra-Vernaci opened the public hearing and called for comment. Jessica Lyham spoke in opposition to the proposed Ordinance on behalf of the Union City members of the California Restaurants Associations. Being no further comment, Mayor Dutra-Vernaci closed the public hearing. Recycling Manager Roberto Munoz responded to questions from Council. Councilmembers provided comment. It was moved by Vice Mayor Duncan and seconded by Councilmember Gacoscos to Introduce an Ordinance Adding Chapter 7.06 “City of Union City Food Ware Ordinance” to the Municipal Code to Restrict the Use of Expanded Polystyrene Food Ware Products. The motion was carried by a unanimous voice vote. Mayor Dutra-Vernaci recessed the meeting at 9:10 p.m. Mayor Dutra-Vernaci resumed the meeting at 9:20 p.m. VII. CITY MANAGER REPORTS VII.a. Adopt a Resolution Amending the Adopted Fiscal Year 2016-17 Operating Budget to Include the Public Safety PERS Cost Related to the Police Classic Employees, Increased Contract Cost of Fire and Library Services, Supplemental Appropriation for Internet/Data Circuits and Property Management of Union Square Office Finance Director Carlson presented the staff report and responded to questions from Council. Councilmembers provided comment. Barry Ferrier stated he believed an error was on page 146 of the staff report related to Fire Services. He stated the item was off by approximately $3 million. City Manager Acosta stated staff would review the information and come back with corrections if needed It was moved by Councilmember Navarro and seconded by Vice Mayor Duncan to Adopt Resolution No. 4924-16 amending the adopted Fiscal Year 2016-17 Operating Budget to include the Public Safety PERS costs related to the Police Classic Employees, increased contract cost of Fire and Library Services, supplemental appropriation for Internet/Data Circuits and Property Management of Union Square Office. The motion was carried by a unanimous voice vote. City Manager Acosta reported on the alleged error identified by Mr. Ferrier, and noted that the $3 million was included as part of the recommended capital equipment. VII.b. Fiscal Year 2016-17 Staffing Amendments City Council/RSA Agenda City Council/RSA Minutes 3 7 Tuesday, July 12, 2016 Tuesday, June 14, 2016 Human Resources Director Bonnie Roland Williams presented the staff report and responded to questions from Council. Councilmembers provided comment. It was moved by Councilmember Gacoscos and seconded by Vice Mayor Duncan, to adopt Resolution No. 4925-16 Approving fiscal yeal 2016-17 staffing amendments. The motion was carried by a unanimous voice vote. VII.c. 2015 Climate Action Plan Implementation Update – Item Not Heard VII.d. General Plan Update Final Focus Area Study Session - Union City Boulevard Corridor and Horner-Veasy Area Mayor Dutra-Vernaci recused herself from discussion related to Union City Boulevard as per under the Political Reform Act she has an economic interest within 400 feet of the Union City Boulevard focus area. Mayor Dutra-Vernaci exited Council Chambers. Planning Manager Campbell presented the staff report, provided summary of actions to date. Land use alternatives for the Union City Boulevard focus area were presented and Council was asked their preference in an effort to narrow the discussion. Council provided feedback. Planning Manager Campbell stated staff would bring forth a refined alternative at a future meeting based on Council feedback. This concluded the discussion on the Union City Boulevard Land Use Alternatives. Mayor Dutra-Vernaci returned to the dais to participate in discussion of the land use alternatives for the Horner-Veasy focus area. Planning Manager Campbell reviewed the land use alternatives for the Horner-Veasy focus area and asked Council their preference in an effort to narrow the discussion. Council provided feedback. Planning Manager Campbell stated staff would bring forth a refined alternative at a future meeting based on Council feedback. There was no formal action was taken by Council. VII.e. Introduce an Ordinance of the City Council of the City of Union City to Amend Certain Provisions of Title 1 and Title 2 of the Municipal Code to Revise Inconsistent and Legally Obsolete Provisions and to Add Desirable Provisions Deputy City Attorney Kris Kokotaylo presented the staff report and responded to questions from Council. Regarding the issue of Board and Commission term limits, Council discussed increasing the number of terms from two (2) to three (3) to match the number of terms allowed for City Council. Council reached consensus to keep the term limit to two (2) terms. Regarding an increase in the Planning Commission from five (5) to seven (7) members, Council reached a consensus to the keep the Planning Commission at five commissioners with two (2) alternates. City Council/RSA Agenda City Council/RSA Minutes 4 8 Tuesday, July 12, 2016 Tuesday, June 14, 2016 It was moved by Mayor Dutra-Vernaci and seconded by Councilmember Navarro to introduce the Ordinance amending Certain Provisions of Title 1 and Title 2 of the Municipal Code with the discussed revisions related to the Planning Commission. The motion was carried by a unanimous voice vote. VII.f. Adopt a Resolution Approving a Contract in the amount of $285,457.00 with Avidex Industries, LLC for Renovation of the Union City Council Chambers Assistant to the City Manager Rick LaForce presented the staff report and responded to questions from Council. An amendment to the presented resolution states “Contract to be approved in content and form by City Attorney.” Barry Ferrier expressed his support for the renovation, which he believed was long overdue. City Manager Acosta added that there would be a change in the configuration of the City Clerk’s station. This information was not included in the report. It was moved by Councilmember Ellis and seconded by Councilmember Navarro, to adopt Resolution No. 4926-16 approving a contract in the amount of $285,457.00 with Avidex Industries, LLC for renovation of the Union City Council Chambers. The motion was carried by a unanimous voice vote. VIII. SUCCESSOR AGENCY TO REDEVELOPMENT AGENCY - None IX. AUTHORITIES AND AGENCIES - None X. CITY COMMISSION / COMMITTEE REPORTS - None XI. SECOND ORAL COMMUNICATIONS Barry Ferrier reported on some street racing activity taking place at the Lucky’s parking lot in Union Landing. XII. SCHEDULED ORAL COMMUNICATION – None XIII. ITEMS REFERRED BY COUNCIL Oral Reports by Mayor and Councilmembers on meetings of County or Regional Board and C Commissions Alameda County Fire Department Advisory Commission – Councilmember Navarro reported his attendance of the June 9 Fire Academy graduation, where there were 18 graduates recognized. Alameda County Library Advisory Commission – Nothing reported. Alameda County Mayors Conference – Mayor Dutra-Vernaci reported on the last meeting where a representative from Spur spoke on transportation issues. Alameda County Transportation Commission (ACTC) – Mayor Dutra-Vernaci attended the ACTC meeting where it was stated that Lawrence Livermore Lab will add 3000 jobs in the next two years, which will have an effect on traffic and planning. Alameda County Waste Management Authority (WMA) – Councilmember Ellis stated he attended the Stop Waste meeting on May 25, where Union City business Corning Life Sciences received the StopWaste Business Efficiency City Council/RSA Agenda City Council/RSA Minutes 5 9 Tuesday, July 12, 2016 Tuesday, June 14, 2016 Award Association of Bay Area Governments (ABAG) – Nothing reported. City of Union City Youth Violence Prevention & Intervention Advisory Committee (YVPIP) – Vice Mayor Duncan reported her attendance of the June 1 programming meeting for the YVPIP. Disaster Council – Nothing reported. Dumbarton Rail Corridor Policy Advisory Committee – Nothing reported. East Bay Economic Development Alliance (EDA) – Mayor Dutra-Vernaci reported on her attendance of the annual retreat where the increased population of elderly was discussed in relation to planning (i.e. autonomous cars). East Bay Regional Communications System Authority (EBRCSA) – Mayor Dutra-Vernaci Meeting occurred after recent officer shootings and the communications systems worked well. Economic Development Advisory Team (EDAT) – Nothing reported. Housing Authority of the County of Alameda (HACA) – Councilmember Gacoscos reported on her attendance of the June 8 HACA meeting where scholarships were awarded to 13 students, three (3) of which were from Union City. League of California Cities, East Bay Division (LOCC) – Nothing reported. New Haven Unified School District Joint Sub-Committee – Nothing reported. Oakland Airport Community Noise Management Forum – Nothing reported. Oversight Board to the Successor Agency to the Union City Redevelopment Agency – Nothing reported. Teen Center Project Updates – Nothing reported. Union City Chamber of Commerce – Nothing reported. XIV. GOOD OF THE ORDER Councilmember Gacoscos stated she attended the following events: May 26 - Commissioner Appreciation; May 28 - Asian American Festival; May 30 - Memorial Day event at Chapel of the Chimes; June 2 – Windflower project naming ceremony; and June 4 – City Council retreat Councilmember Navarro invited the community to attend the “Going Away Luncheon” for Fr. Geoffrey Baraan on June 26. Vice Mayor Duncan stated she attended most of the events attended by Councilmember Gacoscos. City Council/RSA Agenda City Council/RSA Minutes 6 10 Tuesday, July 12, 2016 Tuesday, June 14, 2016 Mayor Dutra-Vernaci stated she was sent a picture of road work taking place on Delores Dr. where subcontractors need to clean up. Mayor Dutra-Vernaci noted that Voss Construction was doing a good job. Mayor Dutra-Vernaci stated that Samtrans will hold an additional meeting on the Dumbarton rail project on June 27, 7:30 p.m. XV. CLOSED SESSION - None XVI. ADJOURNMENT Mayor Dutra-Vernaci adjourned the meeting at 12:06 a.m. Respectfully submitted, Anna M. Brown City Clerk City Council/RSA Agenda City Council/RSA Minutes 7 11 Tuesday, July 12, 2016 Tuesday, June 14, 2016 ATTACHMENTS: Description Type Draft Minutes for the Special City Council Meeting of June 28, 2016 Attachment Draft Minutes of the Regular City Council Meeting Held on June 28, Attachment 2016 City Council/RSA Agenda 12 Tuesday, July 12, 2016 MINUTES OF THE SPECIAL MEETING CITY OF UNION CITY CITY COUNCIL SPECIAL MEETING Tuesday, June 28, 2016 6:30 PM City Council Conference Room 34009 Alvarado Niles Road I. CALL TO ORDER Mayor Dutra-Vernaci called the meeting to order at 6:30 p.m. Roll Call Present: Councilmembers Gacoscos and Navarro, Vice Mayor Duncan, Mayor Dutra-Vernaci Absent: Councilmember Ellis II. ORAL COMMUNICATIONS - None CLOSED SESSION III. CONFERENCE WITH LEGAL COUNSEL—EXISTING LITIGATION Gov. Code § 54956.9 (d)(1), Yolanda Smith, individually and as Successor in interest of Amos Smith Jr., v. Daniel Dejong and Daniel Blum United States District Court, Northern District of California, Case No. C 14-00546 TEH (LB) IV. ADJOURNMENT Mayor Dutra-Vernaci adjourned the meeting at 7:05 p.m. with no reportable action. Respectfully submitted, Anna M. Brown City Clerk City Council/RSA Agenda 13 Tuesday, July 12, 2016 MINUTES CITY OF UNION CITY/ SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY MEETING Tuesday, June 28, 2016 7:00 PM COUNCIL CHAMBERS 34009 ALVARADO NILES ROAD I. CALL TO ORDER Mayor Dutra-Vernaci called the meeting to order at 7:11 p.m. I.a. Pledge of Allegiance Mayor Dutra-Vernaci led the salute to the flag. I.b. Roll Call Present: Councilmembers Gacoscos and Navarro, Vice Mayor Duncan, Mayor Dutra-Vernaci Absent: Councilmember Ellis II. UNFINISHED BUSINESS - None III. PROCLAMATIONS AND PRESENTATIONS III.a. A Proclamation in Recognition and Appreciation to Geoffrey Fisher for 18+ Years of Meritorious Service to the City of Union City Mayor Dutra-Vernaci read the proclamation aloud and presented it to Information Technology Manager Geoffrey Fisher. Manager Fisher thanked Council and staff for the recognition. IV. ORAL COMMUNICATIONS Harvey Dosanj discussed an issue regarding City trees, the damage they cause to sidewalks and who should bear the burden of the costs to repair damage caused by City trees. Mayor Dutra-Vernaci noted his comment as a common frustration voiced by community members, but that it is a home owner’s responsibility. V. CONSENT CALENDAR Mayor Dutra-Vernaci requested discussion of item V.c. It was moved by Councilmember Navarro and seconded by Councilmember Gacoscos to approve Consent Calendar Items V.a., V.b., and V.d. The motion was carried by the following voice vote: AYES: Councilmembers Navarro and Gacoscos, Vice Mayor Duncan and Mayor Dutra-Vernaci NOES: None ABSTAIN: None ABSENT: Councilmember Ellis City Council/RSA Agenda City Council/RSA Agenda 1 14 Tuesday, July 12, 2016 Tuesday, June 28, 2016 V.a. Waived Further Reading of Proposed Ordinance (This permits reading the title only in lieu of reciting the entire text of any proposed Ordinance.) V.b. Conducted Second Reading and Adopted Ordinance No. 820-16 Adding Chapter 7.06 “City of Union City Food Ware Ordinance” to the Union City Municipal Code (Introduced June 14, 2016) V.d. Adopted Resolution No. 4927-16 Approving Changes to the Fiscal Years 2015-2016 and 2016-2017 Authorized Positions List to Include Removal of (1) Senior Accountant and Reinstatement of (1) Accountant Discussion of Item V.c V.c. Second Reading and Adoption of an Ordinance Amending Certain Provisions of Title 1 and Title 2 of the Municipal Code to Revise Inconsistent and Legally Obsolete Provisions and to Add Desirable Provisions Mayor Dutra-Vernaci noted the Municipal Code was silent on term limits when commissioners switch commissions (i.e. Planning Commission term limit reached then Commissioner joins Park and Recreation). The Mayor asked if it should be codified that term limits start over when changing commissions. City Attorney Reyes did not believe that was necessary as the way the code was drafted, that would be accurately interpreted. It was moved by Mayor Dutra-Vernaci and seconded by Vice Mayor Duncan to adopt Ordinance No. 821-16 Amending Certain Provisions of Title 1 and Title 2 of the Municipal Code to Revise Inconsistent and Legally Obsolete Provisions and to Add Desirable Provisions. The motion was carried by the following voice vote: AYES: NOES: ABSTAIN: ABSENT: VI. Councilmembers Navarro and Gacoscos, Vice Mayor Duncan and Mayor Dutra-Vernaci None None Councilmember Ellis PUBLIC HEARINGS VI.a. Public Hearing (Published Notice) to Adopt a Resolution Approving Site Development Review, SD-16-001, and Use Permit, UP-16-003, Applications for Demolition and Reconstruction of an Existing Shell Service Station on Property Located at 2001 Decoto Road (APN: 486-0099-007-05) Associate Planner Tim Maier presented the staff report and responded to questions from Council. Councilmembers provided comment. Mayor Dutra-Vernaci opened the public hearing and called for public comment. Applicant Muthana Ibrahim thanked Council for consideration of the project and made himself available for questions. City Council/RSA Agenda City Council/RSA Agenda 2 15 Tuesday, July 12, 2016 Tuesday, June 28, 2016 Being no further comment, Mayor Dutra-Vernaci closed the public hearing. It was moved by Councilmember Gacoscos and seconded by Councilmember Navarro, to approve Resolution No. 4928-16 Approving Site Development Review, SD-16-001, and Use Permit, UP-16-003, Applications for Demolition and Reconstruction of an Existing Shell Service Station on Property Located at 2001 Decoto Road (APN: 4860099-007-05). The motion was carried by the following voice vote: AYES: NOES: ABSTAIN: ABSENT: Councilmembers Navarro and Gacoscos, Vice Mayor Duncan and Mayor Dutra-Vernaci None None Councilmember Ellis VI.b. Public Hearing for Renewal of Landscape & Lighting District No. 3 Public Works Engineer Tim Ruark presented the staff report and responded to questions from Council. Councilmembers provided comment. Mayor Dutra-Vernaci opened the public hearing and called for public comment. Being no, Mayor Dutra-Vernaci closed the public hearing. It was moved by Vice Mayor Duncan and seconded by Councilmember Navarro to approve Resolution No. 4929-16 Confirming the Assessment and Diagram as Described in the Annual Engineer’s Report and Ordering the Levy for the Landscape and Lighting Maintenance District No. 3 for Fiscal Year 2016/17. The motion was carried by the following voice vote: AYES: NOES: ABSTAIN: ABSENT: VII. Councilmembers Navarro and Gacoscos, Vice Mayor Duncan and Mayor Dutra-Vernaci None None Councilmember Ellis CITY MANAGER REPORTS VII.a. Adopt a Resolution Identifying Potential Budget Reduction Impacts of a Loss of Measure UU Funding City Manager Acosta presented the report highlighting the reductions that would need to be made in the Police, Fire and Youth and Family Services Departments. City Manager Acosta responded to questions from Council. Councilmembers provided comment. Council commented on the importance of letting residents know the realities ahead should the funding from Measure UU be lost. It was moved by Councilmember Gacoscos and seconded by Councilmember Navarro to adopt Resolution No. 4930-16 Identifying Potential Budget Reduction Impacts that Could Arise from the Loss Of Measure UU (2008 Public Safety Parcel Tax) Funding VIII. SUCCESSOR AGENCY TO REDEVELOPMENT AGENCY - None IX. AUTHORITIES AND AGENCIES - None City Council/RSA Agenda City Council/RSA Agenda 3 16 Tuesday, July 12, 2016 Tuesday, June 28, 2016 X. CITY COMMISSION / COMMITTEE REPORTS - None XI. SECOND ORAL COMMUNICATIONS Barry Ferrier reported on his attendance of the last Dumbarton Rail meeting held in Redwood City, which was held in conjunction with North Fair Oaks Community Council. Mr. Ferrier also expressed his desire to see the Reconvene the Dumbarton Rail Community Advisory Commission reconvened and noted that semi-annual reports were supposed to be provided. Mayor Dutra-Vernaci requested an update on the matter from Public Works Engineer Ruark. XII. SCHEDULED ORAL COMMUNICATION - None XIII. ITEMS REFERRED BY COUNCIL Oral Reports by Mayor and Councilmembers on meetings of County or Regional Board and Commissions Alameda County Fire Department Advisory Commission – Nothing reported Alameda County Library Advisory Commission – Nothing reported Alameda County Mayors Conference – Nothing reported Alameda County Transportation Commission (ACTC) – Nothing reported Alameda County Waste Management Authority (WMA) – Nothing reported Association of Bay Area Governments (ABAG) – Nothing reported City of Union City Youth Violence Prevention & Intervention Advisory Committee – Nothing reported Disaster Council – Nothing reported Dumbarton Rail Corridor Policy Advisory Committee – Nothing reported East Bay Economic Development Alliance (EDA) – Nothing reported East Bay Regional Communications System Authority (EBRCSA) – Nothing reported Economic Development Advisory Team (EDAT) - Vice Mayor Duncan stated she will attend the next week Housing Authority of the County of Alameda (HACA) – Nothing reported League of California Cities, East Bay Division (LOCC) – Nothing reported New Haven Unified School District Joint Sub-Committee – Nothing reported Oakland Airport Community Noise Management Forum – Nothing reported Oversight Board to the Successor Agency to the Union City Redevelopment Agency – Nothing reported Teen Center Project Updates – Nothing reported City Council/RSA Agenda City Council/RSA Agenda 4 17 Tuesday, July 12, 2016 Tuesday, June 28, 2016 Union City Chamber of Commerce – Councilmember Gacoscos reported on her attendance of the last general membership meeting where increasing membership and improving services were among the topics of discussion. A Mentorship Program with James Logan High School and increasing company tours were also discussed. XIV. GOOD OF THE ORDER Councilmember Gacoscos stated she attended a luncheon in honor of Father Geoffrey Baraan on June 26, where she gave an impromptu Proclamation for Father Baraan Day. She stated Father Baraan made specific mention of Chief McAllister, and his appreciation for him. Councilmember Gacoscos announced these upcoming events: July 2 UCPD 50th Anniversary at the William Cann Civic Center July 13 Chamber of Commerce Community Spirit Awards at the Ruggieri Senior Center. August 21 - Sister Cities Festival Councilmember Navarro stated that he and Councilmember Gacoscos attended the Filipino Bar Association event on June 24. Councilmember Navarro stated he also attended the luncheon for Father Baraan and read a personal statement expressing his appreciation for Father Baraan. Vice Mayor Duncan asked about the current outreach efforts for Boards and Commission recruitment and suggested reaching out to past graduates of the City’s Citizen Academy. Mayor Dutra-Vernaci reported on her attendance of the U.S. Mayors Conference in Indiana, where she took part in sessions related to Childhood Obesity, Dementia and Alzheimer’s Programs, Transportation Programs, Complete Streets Programs, and the Dalai Lama - Lady Gaga discussion on acts of kindness. Mayor Dutra-Vernaci stated she would share this information with staff and commissions related to the topics. The Mayors from the City of Flynt, MI and Charleston, SC were present and spoke about the issues affecting their cities; the water crisis and mass shooting respectively. Also, in the wake of the Orlando shooting, the Mayor from Orlando was present and spoke about strategies and resources employed by his City in the face of the tragedy. XV. CLOSED SESSION - None XVI. ADJOURNMENT Mayor Dutra-Vernaci adjourned the meeting at 8:36 p.m. Respectfully submitted, Anna M. Brown City Clerk City Council/RSA Agenda City Council/RSA Agenda 5 18 Tuesday, July 12, 2016 Tuesday, June 28, 2016 DATE: 7/12/2016 TO: HONORABLE MAYOR AND CITY COUNCIL FROM: ANNA M. BROWN, CITY CLERK SUBJECT: ADOPT A RESOLUTION DESIGNATING THE VOTING DELEGATE AND ALTERNATE VOTING DELEGATE FOR THE LEAGUE OF CALIFORNIA CITIES ANNUAL CONFERENCE – OCTOBER 5-7, 2016, LONG BEACH The City Council is asked to adopt a resolution designating the City of Union City’s voting delegate and alternate voting delegate to the Annual Conference of the League of California Cities (LOCC) in Long Beach on October 5 - 7, 2016. BACKGROUND It is customary (and required by the LOCC bylaws) for the City of Union City to designate its voting delegate and alternate voting delegate for the Annual Conference of the LOCC. DISCUSSION Council assignments currently reflect Vice Mayor Emily Duncan as the designated voting delegate to the LOCC, and Councilmember Ellis as the alternate voting delegate. Vice Mayor Duncan and Councilmember Gacoscos have indicated they will be attending the LOCC conference this year. Mayor Dutra-Vernaci, Councilmembers Navarro and Ellis are not planning to attend. Vice Mayor Duncan is prepared to serve in her role as the voting delegate, and Councilmember Gacoscos is available to serve as the alternate voting delegate. LOCC bylaws require that voting delegates and their alternates be confirmed by Council Resolution not later than September 23. FISCAL IMPACT None. RECOMMENDATION Staff recommends the City Council approve a resolution designating the voting delegate and alternate voting delegate for the League of California Cities annual conference - October 5-7, 2016, Long Beach. Prepared by: City Council/RSA Agenda 19 Tuesday, July 12, 2016 Anna M. Brown, City Clerk Submitted by: Anna M. Brown, City Clerk ATTACHMENTS: Description Resolution selecting voting delegates for the 2016 Annual LOCC Conference City Council/RSA Agenda Type Resolution 20 Tuesday, July 12, 2016 RESOLUTION NO. XXXX-16 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UNION CITY DESIGNATING THE VOTING DELEGATE AND ALTERNATE VOTING DELEGATE FOR THE LEAGUE OF CALIFORNIA CITIES ANNUAL CONFERENCE OCTOBER 5 – OCTOBER 7, 2016, IN LONG BEACH WHEREAS, the League of California Cities (“League”) bylaws require that every city wishing to vote at the League’s Annual Business Meeting designate its voting delegate and alternate voting delegate by Council resolution; and WHEREAS, the City Council of the City of Union City intends the City be duly represented at said Business Meeting, which is to be held in conjunction with the League’s Annual Conference in Long Beach on October 5 – October 7, 2016. NOW, THEREFORE, BE IT RESOLVED that the City Council hereby designates Vice Mayor Emily Duncan as its Voting Delegate and Councilmember Gacoscos as its Alternate Voting Delegate to the League of California Cities Annual Conference in Long Beach, California on October 5 – October 7, 2016. PASSED, APPROVED AND ADOPTED by the City Council of the City of Union City at a regular meeting held on the 12th day of July 2016, by the following vote: AYES: NOES: ABSENT: ABSTAIN: ________________________________ CAROL DUTRA-VERNACI Mayor ATTEST: APPROVED AS TO FORM: ______________________________ ANNA M. BROWN City Clerk ________________________________ BENJAMIN T. REYES II City Attorney City Council/RSA Agenda 21 Tuesday, July 12, 2016 DATE: 7/12/2016 TO: HONORABLE MAYOR AND CITY COUNCIL FROM: MARK CARLSON, FINANCE DIRECTOR SUBJECT: ADOPT A RESOLUTION APPROVING AUTHORIZATION OF SIGNATORIES FOR THE STATE OF CALIFORNIA LOCAL AGENCY INVESTMENT FUND (LAIF) The City Council is asked to update the authorized signatories for the State of California Local Agency Investment Fund (LAIF). BACKGROUND The City’s investment policy allows funds to be deposited in the State of California Local Agency Investment Fund (LAIF). LAIF requires a resolution authorizing specific individuals to transact business with LAIF. The approval of one authorized individual is needed to withdraw from or make deposits to LAIF, via telephone. Any changes to the LAIF account require the signature of two authorized employees. DISCUSSION With the departure of Administrative Services Director, David Glasser, the signature authorities for LAIF transactions must be updated. Through adoption of the attached Resolution, the authorized signatories for LAIF Account #98-01-940 and #11-01-039 will be Mark Carlson, Finance Director; Gayle Okada, Supervising Accountant; Lola Tapia, Senior Accountant; and Antonio Acosta, City Manager. FISCAL IMPACT None. RECOMMENDATION It is recommended that the City Council adopt the attached resolution updating the list of City employees authorized to transact business with LAIF. Prepared by: Gayle Okada, Supervising Accountant City Council/RSA Agenda 22 Tuesday, July 12, 2016 Submitted by: Mark Carlson, Finance Director ATTACHMENTS: Description Type Resolution Resolution Attachment A Attachment City Council/RSA Agenda 23 Tuesday, July 12, 2016 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UNION CITY AUTHORIZING INVESTMENTS OF MONIES IN THE STATE OF CALIFORNIA LOCAL AGENCY INVESTMENT FUND WHEREAS, pursuant to Chapter 730 of the Statues of 1976, Section 16429.1 was added to the California Government Code to create the Local Agency Investment Fund in the State Treasury for the deposit of money of a local agency for purposes of investment by the State Treasurer, and WHEREAS, the City Council does hereby find that the deposit and withdrawal of money in the Local Agency Investment Fund is in accordance with the provisions of Section 16429.1 of the Government Code for the purposes of investments as stated herein is in the best interest of the City, BE IT RESOLVED, that the City Council does hereby authorize the deposit and withdrawal of the City’s monies in the Local Agency Investment Fund in the State Treasury in accordance with the provisions of Section 16429.1 of the Government Code for the purpose of investment as stated herein, and verification by the State Treasurer’s Office of all banking information provided in that regard, BE IT FURTHER RESOLVED, that the City Officers identified in the attached Exhibit “A” shall be authorized to make transfers between the Local Agency Investment Fund and the City’s banks. City Council/RSA Agenda 24 Tuesday, July 12, 2016 EXHIBIT “A” AUTHORIZATION TO TRANSFER FUNDS BETWEEN THE LOCAL AGENCY INVESTMENT FUND AND THE CITY’S FINANCIAL INSTITUTIONS LOCAL AGENCY INVESTMENT FUND ACCOUNT #98-01-940: Finance Director Supervising Accountant Senior Accountant City Manager Mark Carlson Gayle Okada Lola Tapia Antonio Acosta LOCAL AGENCY INVESTMENT FUND ACCOUNT #11-01-039: AB3107 S/A Union City for Union City Community Redevelopment Agency 2010 TAB Finance Director Supervising Accountant Senior Accountant City Manager City Council/RSA Agenda Mark Carlson Gayle Okada Lola Tapia Antonio Acosta 25 Tuesday, July 12, 2016 DATE: 7/12/2016 TO: HONORABLE MAYOR AND CITY COUNCIL FROM: MINTZE CHENG, PUBLIC WORKS DIRECTOR SUBJECT: ADOPT A RESOLUTION FOR THE ADOPTION OF THE FEDERAL FISCAL YEARS 2017-2019 DBE GOAL FOR FTA FUNDED PROJECTS Staff recommends that the City Council adopt a resolution that sets the overall annual Disadvantaged Business Enterprise (DBE) Goal for Federal Fiscal Years 2017-2019 for two FTA-funded projects. BACKGROUND The City of Union City anticipates using Federal Transit Administration (FTA) funds to construct the Pedestrian At-Grade Crossing Improvements that will link BART to Duncan Way in the Station District and for the Rehabilitation of Eight (8) Transit Buses. The utilization of these federal funds requires that the City adopt a Disadvantaged Business Enterprises (DBE) Goal for these projects. DISCUSSION The use of any federal funds, such as the Federal Highway Administration (FHWA) or Federal Transit Administration (FTA) funds, requires the establishment of project-specific DBE goals. The DBE goal is developed utilizing a federally prescribed two-step goal setting methodology, described in 49 CFR Part 26. Step 1 includes establishing a base goal utilizing quantifiable evidence to determine the relative availability of DBEs within specific industries within City’s market area. Step 2 consists of refining the base goal which consists of surveying and assessing other known relevant evidence to determine what additional adjustments, if any, are needed to narrowly tailor the base figure. After considering the factors described above, as well as knowledge of our contracting market, the City determined that the appropriate overall DBE goal for FTAassisted City projects for the FY 2017 though FY 2019 is 1.0%, which reflects the projected market availability of DBE firms. For FHWA-funded projects, the City has signed an Implementation Agreement with Caltrans which allows us to come under the umbrella of their DBE program and allows us to simply calculate a goal for each contract. A Public Notice showing the proposed goal and associated Methodology was posted on City’s website on June 8, 2016 for a 30-day review and comments period which ended on July 11, 2016. The FTA DBE Goal and Policy Statement were also emailed to approximately 50 Chambers of Commerce and DBE Chambers City Council/RSA Agenda 26 Tuesday, July 12, 2016 throughout the bay area informing them of the Public Notice which provided a link to City’s website. No comments on the goal were delivered as of 5:00 p.m. on Monday, July 11, 2016. FISCAL IMPACT The two FTA-funded projects consist of Pedestrian At-Grade Crossing Improvements in the anticipated amount of $980,000 and the Rehabilitation of Eight (8) Transit Buses in the amount of $1,600,000, for total FTA funds in the amount of $2,580,000. City Council’s adoption of the overall annual DBE Goal for FTA funded projects for Federal Fiscal Years 2017 through 2019 is intended to ensure compliance with Department of Transportation’s federal funding requirements, provisions and financial responsibilities. Failure to adopt the DBE Goal will jeopardize the City of Union City’s federal financial assistance and the ability to construct these projects using FTA funds. RECOMMENDATION It is recommended that the City Council adopt the attached resolution approving the Disadvantaged Business Enterprise (DBE) Goal of 1.0 % for Federal Fiscal Years 2017-2019. Adopting the attached resolution will enable expenditure of funds for the two FTA funded projects. Prepared by: MURRAY CHANG, CIVIL ENGINEER II Submitted by: MINTZE CHENG, PUBLIC WORKS DIRECTOR ATTACHMENTS: Description Resolution City Council/RSA Agenda Type Resolution 27 Tuesday, July 12, 2016 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UNION CITY ADOPT A RESOLUTION FOR THE ADOPTION OF THE FEDERAL FISCAL YEARS 20172019 DBE GOAL FOR FTA FUNDED PROJECTS WHEREAS, the City of Union City is required to develop and submit a Disadvantaged Business Enterprise (DBE) Goal for disadvantaged business participation for DOT-assisted contracts triennially as a condition of federal financial assistance, pursuant to Title 49 CFR Part 26; Participation by Disadvantaged Business Enterprises in U.S. Department of Transportation (DOT) Programs; and WHEREAS, pursuant to requirements of Title 49 CFR Part 26, the City of Union City has established a DBE Goal of 1.0% for Federal Fiscal Year 2017-19 for FTA funded projects; and WHEREAS, as required by law, a Public Notice showing the proposed goal and associated Methodology was posted on City’s website on June 8, 2016 for a 30-day review and comments period which ended on July 11, 2016; and WHEREAS, the FTA DBE Goal and Policy Statement were also emailed to approximately 50 Chambers of Commerce and DBE Chambers throughout the bay area informing them of the Public Notice which provided a link to City’s website; and WHEREAS, no comments on the DBE goal were received by the end of the 30-day review and comments period which ended on July 11, 2016; and WHEREAS, adoption of the DBE goal by the City Council is required to ensure compliance with Department of Transportation’s federal funding requirements, provisions and financial responsibilities; and WHEREAS, the two FTA-funded projects consist of Pedestrian At-Grade Crossing Improvements in the anticipated amount of $980,000 and the Rehabilitation of Eight (8) Transit Buses in the amount of $1,600,000, for total FTA funds in the amount of $2,580,000; THEREFORE, BE IT RESOLVED, that the City Council of the City of Union City does hereby approve and adopt the Disadvantaged Business Enterprise (DBE) Goal of 1.0% for Federal Fiscal Year 2017-19. City Council/RSA Agenda 28 Tuesday, July 12, 2016 DATE: 7/12/2016 TO: HONORABLE MAYOR AND CITY COUNCIL FROM: MINTZE CHENG, PUBLIC WORKS DIRECTOR SUBJECT: ADOPT A RESOLUTION AWARDING CONTRACT TO PURCHASE ONE 2017 CHEVROLET VOLT FOR THE CITY MANAGER’S DEPARTMENT, CITY PROJECT NO. 16-24; AND TO DECLARE UNIT #307 (VIN#2B3HD46R44H621460) AS SURPLUS TO BE SENT TO PUBLIC AUCTION Public Works staff recommends that the City Council adopt a resolution authorizing the purchase of one 2017 Chevrolet Volt for City Manager Department and declaring a 2003 Dodge Intrepid (Unit #307) as surplus. BACKGROUND Unit #307 (2003 Dodge Intrepid, VIN#2B3HD46R44H621460), has been in use for thirteen years. This vehicle has had intermittent problems and warrants discontinued use. Unit #307 is used by the CUPA program under the Economic and Community Development Department. Unit #300 (2009 Toyota Camry, VIN#4T1BB46K39U064473), has been in use by the City Manager’s department for seven years. The Camry had gone through recent repair work, is in good condition, and will be assigned to the CUPA program to replace the Dodge Intrepid Unit #7. DISCUSSION The Dodge Intrepid is on the scheduled replacement list. The Fleet Division obtained three proposals from bay area dealerships. The qualified proposal was obtained from Fremont Chevrolet for a 2017 Chevrolet Volt (VIN# 1G1RD6S55HU101183) in the amount of $41,464.25. The City plans to purchase a new replacement vehicle, 2017 Chevrolet Volt for Unit #300, decommission 2003 Dodge Intrepid - Unit #307, and re-assign 2009 Toyota Camry to Unit #307. FISCAL IMPACT The purchase price of $41.464.25 includes taxes, license, fees, and extended warranty. Funding for the replacement of this vehicle is available from the vehicle replacement fund (6122). City Council/RSA Agenda 29 Tuesday, July 12, 2016 RECOMMENDATION It is recommended that the City Council adopt the attached resolution authorizing the purchase of one 2017 Chevrolet Volt (VIN# 1G1RD6S55HU101183) from Fremont Chevrolet. It is further recommended that the City Council declare old unit #307 (2003 Dodge Intrepid, VIN#2B3HD46R44H621460) as surplus to be sent to public auction. Prepared by: Richard Sealana, Public Works Superintendent Submitted by: Mintze Cheng, Public Works Director ATTACHMENTS: Description Resolution City Council/RSA Agenda Type Resolution 30 Tuesday, July 12, 2016 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UNION CITY AWARDING A CONTRACT FOR PURCHASE OF ONE 2017 CHEVROLET VOLT AND DECLARING ONE 2003 DODGE INTREPID AS SURPLUS TO BE SENT TO PUBLIC AUCTION, CITY PROJECT NO. 16-24 WHEREAS, the City desires to purchase one 2017Chevrolet Volt as a replacement for one 2003 Dodge Intrepid; WHEREAS, the Fleet Division did obtain three competitive proposals from local dealerships revealing Fremont Chevrolet as the qualified proposal; WHEREAS, the qualified proposal was in the amount of $41,464.25; WHEREAS, Funding for this replacement vehicle is available from the vehicle replacement fund (6122); NOW, THERFORE, BE IT RESOLVED that the City Council of the City of Union City hereby authorizes the purchase of one 2017Chevrolet Volt and awards the contract to Fremont Chevrolet of Fremont, California; BE IT FURTHER RESOLVED, that the City Council of the City of Union City hereby declares 2003 Dodge Intrepid, VIN#2B3HD46R44H621460 as a decommissioned surplus vehicle to be sent to public auction. City Council/RSA Agenda 31 Tuesday, July 12, 2016 DATE: 7/12/2016 TO: HONORABLE MAYOR AND CITY COUNCIL FROM: MINTZE CHENG, PUBLIC WORKS DIRECTOR SUBJECT: Adopt a Resolution Authorizing the Filing of Applications with the Metropolitan Transportation Commission for Allocation of Funds for the Operation of Union City Transit and Paratransit for Fiscal Year 2016-2017 The attached resolution authorizes City staff to file annual funding applications with the Metropolitan Transportation Commission (MTC) for the operation of Union City Transit and Union City Paratransit for Fiscal Year 2016-2017. Staff recommends approval of the proposed resolution. BACKGROUND The State’s Transportation Development Act (TDA) provides two main sources of funding for public transportation, the Local Transportation Fund (LTF) and State Transit Assistance (STA). The LTF funds are derived from ¼-cent of the 7.25-cent retail sales tax collected statewide. STA funds are derived from the statewide sales tax on gasoline and diesel fuel. TDA and STA funds are apportioned though MTC. DISCUSSION Funds are claimed to meet operating, planning and capital requirements. Unclaimed and/or unused funds are rolled over for future transit operating needs and are set aside to fund large upcoming transit capital projects. TDA and STA funds will be claimed to operate the City’s local fixed-route transit system and Union City’s ADA (Americans with Disabilities Act) paratransit services. The estimated total application amounts for these funds are as follows (fixed route and paratransit combined) based on current allocation estimates: TDA TDA Capital STA Total $2,880,270 $286,644 $468,244 $3,635,158 FISCAL IMPACT The TDA and STA funding sources along with anticipated passenger fares and other grants will fully fund Union City Transit and Union City Paratransit services for Fiscal Year 2016-2017. There will be no impact on the General City Council/RSA Agenda 32 Tuesday, July 12, 2016 Fund. RECOMMENDATION It is recommended that the City Council adopt the attached resolution authorizing the filing of applications with the Metropolitan Transportation Commission for allocation of Transportation Development Act and State Transit Assistance funds for Fiscal Year 2016-2017. Attachment: Draft Resolution Prepared by: Wilson Lee, Transit Manager Submitted by: Mintze Cheng, Public Works Director ATTACHMENTS: Description Resolution City Council/RSA Agenda Type Resolution 33 Tuesday, July 12, 2016 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UNION CITY AUTHORIZING THE FILING OF APPLICATIONS WITH THE METROPOLITAN TRANSPORTATION COMMISSION FOR ALLOCATION OF TRANSPORTATION DEVELOPMENT ACT ARTICLES 4 AND 4.5 AND STATE TRANSIT ASSISTANCE FUNDS FOR FISCAL YEAR 2016-2017 WHEREAS, the Transportation Development Act (TDA), (Public Utilities Code §99200 et seq.), provides for the disbursement of funds from the Local Transportation Fund (LTF) of the County of Alameda for use by eligible applicants for the purpose of transportation services; and WHEREAS, pursuant to the provisions of the TDA, and pursuant to the applicable rules and regulations thereunder (21 Cal. Code of Regs. §6600 et seq.) a prospective applicant wishing to receive an allocation from the Local Transportation Fund (LTF) shall file its claim with the Metropolitan Transportation Commission; and WHEREAS, the State Transit Assistance (STA) fund is created pursuant to Public Utilities Code §99310 et seq.; and WHEREAS, the STA fund makes funds available pursuant to Public Utilities Code §99313.6 for allocation to eligible applicants to support approved transit projects; and WHEREAS, TDA funds from the Local Transportation Fund of Alameda County and STA funds will be required by applicant in Fiscal Year 2016-2017 for local transportation services; and WHEREAS, the City of Union City is an eligible applicant for TDA and STA funds pursuant to PUC section(s) §99260, §99275, §99313 and §99314; NOW, THEREFORE, BE IT RESOLVED that the City Manager or designee is authorized to execute and file appropriate applications and supporting documents with the Metropolitan Transportation Commission for an allocation of TDA and STA funds for Fiscal Year 2016-2017. BE IT FURTHER RESOLVED, that a copy of this resolution be transmitted to the Metropolitan Transportation Commission in conjunction with the filing of the claim, and the Metropolitan Transportation Commission be requested to grant the allocations of funds as specified herein. City Council/RSA Agenda 34 Tuesday, July 12, 2016 DATE: 7/12/2016 TO: HONORABLE MAYOR AND CITY COUNCIL FROM: MINTZE CHENG, PUBLIC WORKS DIRECTOR SUBJECT: ADOPT A RESOLUTION APPROVING SPECIFICATIONS AND AUTHORIZING FOR BID A NEW REGENERATIVE AIR STREET SWEEPER VEHICLE The Public Works Streets Division needs to replace a 10-year old street sweeper that is becoming unreliable and costly to maintain. It is recommended that the City Council approve the specifications for one regenerative street sweeper and set the bid advertisement date for Thursday July 14th, 2016. BACKGROUND Public Works’ Street Division is responsible for sweeping all Union City owned streets at least twice a month, including city owned facilities (City Hall, Ruggeri Senior Center, Mark Green Sports Center, etc.). We are one of the few cities in the bay area with similar number of curb miles that performs street sweeping on the same street twice a month. Two sweepers perform the daily street cleaning work, with a third one as a backup. The continuous wear and tear is taking a toll on the reliability of these street sweepers, especially Unit #474. This vehicle was purchased in 2005 and is currently the designated back up vehicle to our two primary street sweepers. Whenever one of the primary street sweepers is sent out for maintenance, the backup unit fills in the gap. However, this unit itself requires maintenance after a few days of operation, which becomes a problem if one of the two primary sweepers doesn’t come back in time. DISCUSSION Union City residents are accustomed to the twice monthly street sweeping schedule. Whenever the City skips a day due to either vehicle maintenance issue or street sweeping falls on a holiday, staff tries its best to make it up by sweeping it on the fifth Friday of each month or operate all three sweepers to meet the schedules. As the amount of debris continue to increase each year, evident in the amount of refuse bins cycled through each month, it is pertinent we continue to keep our street sweepers in optimal operating condition. State and federal environmental mandates require keeping streets clean and minimizing pollutants from entering water ways. The Public Works Department desires to purchase one new regenerative street sweeper to replace one of the primary sweepers and to rotate it as backup status with Unit #474. This will ensure at least two operational street sweepers at all times. Public Works staff has prepared the specifications for a regenerative air sweeper and once approved by City Council, the bidding documents can be advertised by July 14th, with a bid opening date of August 2nd. City Council/RSA Agenda 35 Tuesday, July 12, 2016 Staff is recommending that the City Council adopt the specifications and authorize Public Works to seek bids for a regenerative air sweeper. Following receipt of bids, staff plans to recommend the approval or rejection of the bids to the City Council at the meeting on August 9th, 2016. FISCAL IMPACT The requested action for the sweeper specifications approval and release for bids does not have fiscal impact. Staff will request a supplemental appropriation for City’s Vehicle Replacement Fund when it presents the sweeper procurement contract to the City Council. The estimated cost of a new sweeper is about $250,000. RECOMMENDATION Staff recommends that the City Council adopt the attached resolution approving the specifications for one regenerative street sweeper and advertising for bids. Prepared by: Travis Huang, Civil Engineer III Submitted by: Mintze Cheng, Public Works Director ATTACHMENTS: Description Resolution City Council/RSA Agenda Type Resolution 36 Tuesday, July 12, 2016 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UNION CITY APPROVE SPECIFICATIONS AND AUTHORIZE FOR BIDS FOR A NEW REGENERATIVE AIR STREET SWEEPER CITY PROJECT NO. 16-27 WHEREAS, the Public Works Department operates two street sweeping sweepers each workday on a year-round basis to maintain the cleanliness of city streets and to be in compliance with State/Federal environmental mandates; WHEREAS, the existing backup street sweeper is unreliable and requires constant maintenance; WHEREAS, City desires to procure a new regenerative air street sweeper to replace one of the current primary sweepers and rotate it to backup status; WHEREAS, funding for the replacement street sweeper can be made available through the vehicle replacement account. Funding plan will be presented to the Council when sweeper contract is awarded. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Union City hereby authorizes the bid process for the purchase of one (1) regenerative air sweeper, City Project No. 16-27, with bid specifications on file in the office of the Public Works Director. BE IT FURTHER RESOLVED that the City Clerk of the City of Union City is hereby authorized to cause a Notice Calling for Bids for the required equipment to be published in form and manner required by law. BE IT FURTHER RESOLVED that all persons desiring to bid on said equipment are to file their bid with the City Clerk of the City of Union City at 34009 Alvarado-Niles Road, California, prior to 2:00 p.m. on the day stated in the Notice Calling for Bids. City Council/RSA Agenda 37 Tuesday, July 12, 2016 DATE: 7/12/2016 TO: HONORABLE MAYOR AND CITY COUNCIL FROM: JOAN MALLOY, ECONOMIC AND COMMUNITY DEVELOPMENT DIRECTOR SUBJECT: BRIEFING TO THE CITY COUNCIL ON GOVERNOR BROWN'S STREAMLINE AFFORDABLE HOUSING TRAILER BILL LEGISLATION (BYRIGHT HOUSING) The purpose of this staff report is to provide the City Council with information on Governor Brown’s proposed Streamline Affordable Housing trailer bill, also known as the By-Right Housing legislation. BACKGROUND Governor Brown recently introduced a budget trailer bill that would approve multi-family housing projects “by right” (i.e., with no discretionary review) if the project includes specified amounts of affordable housing. The Streamline Affordable Housing legislation was not approved as part of the State budget package on June 15, 2016. However, it has been indicated that the proposal will be revisited in August. The Governor also set aside $400 million in funding for affordable housing in the State budget that is contingent on approval of the Streamline Affordable Housing legislation. A range of environmental groups, affordable housing advocates, advocates for local land use control, and the League of California Cities have expressed opposition to the proposal because it would limit local land use authority, public engagement, and environmental review; and it does not provide adequate funding for affordable housing or maintain adequate years of affordability. The City has voiced its opposition to the legislation to Assembly Member Quirk and Senator Wieckowski. DISCUSSION The proposed legislation would require cities and counties to approve housing projects as a permitted “use by right” as long as, 1) The project is consistent with the city’s objective planning standards: zoning code, general plan, land use, density, setbacks, and objective design review standards; and 2) The project provides a specified amount of affordable units (between five percent and 20 percent). Included as Attachment A is the proposed legislation for the Streamline Affordable Housing trailer bill as of June 10, 2016. City Council/RSA Agenda 38 Tuesday, July 12, 2016 Applicable Housing Projects The proposed legislation only applies to new multi-family residential or mixed-use construction projects that contain two or more attached units. The proposal does not apply to single-family homes, the construction of a secondary dwelling unit or the conversion of an existing structure to condominiums. Affordable Housing Requirements To qualify under the proposed legislation, a project would need to provide a specified amount of affordable units in order to be a permitted “use by right.” The percentage of affordable units would vary based on the site’s location in proximity to transit, as detailed below: Transit Priority Area Sites[1] Projects that are in a transit priority area would have to provide either: o Ten percent of the total units provided as affordable units for lower income households (80 percent of area median income) OR o Five percent of the total units provided as affordable units for very low income households (50 percent of area median income) A project would be considered in a priority transit area if the project site is within ½ mile of a major transit stop. A major transit stop is an existing rail transit station, a ferry terminal, or the intersection of two or more major bus routes with a service interval frequency of 15 minutes or less during peak weekday commute periods and offering weekend service. For Union City, areas that may be considered major transit stops include the BART, Alvarado-Niles Road, Alvarado Boulevard, Dyer Street, and likely Union City Boulevard in the vicinity of Old Alvarado. Non-Transit Priority Sites For projects not located within a transit priority area, the developer would have to provide 20 percent of the total units as affordable units for lower income households (80 percent of area median income). Affordability Period In order to qualify under the proposed legislation, the affordable units would be required to be maintained for the following time periods: Ownership Developments The affordable units would have to be affordable for thirty (30) years Rental Developments The affordable units would have to be affordable for fifty (55) years Applicable Sites If adopted, the proposed legislation would apply to all land designated for multi-family residential or mixed-use developments. Figure 5-4 from the Housing Element identifies vacant and underutilized parcels that have been identified as suitable for housing (included as Attachment B). In addition to the specific parcels highlighted on the map, the Old Alvarado area, Mission Boulevard corridor, and the Station District would also be eligible for “by-right” projects because the areas permit multi-family residential uses above ground floor residential. City Council/RSA Agenda 39 Tuesday, July 12, 2016 Use By Right “Use by Right” means the following: The city cannot require discretionary review by the Zoning Administrator, Planning Commission or City Council, such as Site Development Review or a Conditional Use Permit; The city can only apply objective/quantifiable Planning Standards from the General Plan and Zoning Ordinance to a project (i.e., no design review or case-by-case considerations); The project would not be subject to the California Environmental Quality Act (CEQA); and The approval process would not include any public notification or community input. The proposed legislation would effectively eliminate Union City’s current design review process and would replace it with a 30-90 day consultation period in which the City would be required to either approve a project or document why it is inconsistent with the City’s objective planning standards within 30 days of receiving a project application. If the City fails to respond within 30 days or fails to provide an explanation, the project is deemed to be consistent with general plan and zoning standards. There is currently no requirement in the legislation that a developer respond or comply with any City comments. Further, it is unclear what would happen should a developer fail to address the City’s initial comments during the 90-day window. Below is a chart showing the City’s current review process for a typical multi-family residential project in comparison to the process proposed under the proposed legislation. Opportunities for public notice and comment would be eliminated, as would all opportunity for decision makers (Zoning Administrator, Planning Commission, and City Council) to weigh in on a project proposal. Current Development Review Process Proposed Review Process for By-Right Developments · Development Review Committee (DRC) Review limited to 30-90 days. No requirement to comply with comments · Development Review Committee (DRC) evaluation of project · Public Notices · Public Open House (optional) · Environmental Review (CEQA) · Study Session at Planning Commission (optional) · Public Hearing at Planning Commission · Public Hearing at City Council · Permits Issued o Grading/Drainage Permit o Tree Removal Permit o Encroachment Permit o Building Permit o Landscape Permit NONE NONE NONE NONE NONE NONE · Permits Issued o Grading/Drainage Permit o Tree Removal Permit o Encroachment Permit o Building Permit o Landscape Permit Staff is monitoring the development of the proposed legislation closely. In anticipation of the proposal becoming law, staff is preparing a Zoning Text Amendment that would establish objective planning standards applicable to all multi-family and mixed-use development projects. These new zoning standards would codify standard conditions of approval and best practices that are typically applied through the Site Development Review, Use Permit Review, and CEQA processes. Staff anticipates bringing the proposed Zoning Text Amendment to the Council in the next several weeks. City Council/RSA Agenda 40 Tuesday, July 12, 2016 [1] For ownership developments, the project would still need to meet the requirements of the City’s Inclusionary Ordinance which requires 15 percent of the total units be provided as affordable. However, the affordable units that would be provided under the proposed legislation would be counted toward the 15 percent Inclusionary Ordinance requirement. FISCAL IMPACT There is no fiscal impact to the City has a result of receiving this report. RECOMMENDATION Staff requests that the City Council receive the report. No action is needed at this time. Staff will continue to brief the Council on the status of the proposed Streamline Affordable Housing legislation and its implications for the City’s development review process. Staff also anticipates returning to the City Council with a Zoning Text Amendment in the next several weeks to codify development standards in anticipation of the Streamline Affordable Housing legislation. Prepared by: Alin Lancaster, Housing and Community Development Coordinator Submitted by: Joan Malloy, Economic and Community Development Direcotr ATTACHMENTS: Description Type Attachment A - Streamline Affordable Housing Legislation Attachment Attachment B - Housing Element Sites Attachment Attachment C - Summary of Legislation Attachment City Council/RSA Agenda 41 Tuesday, July 12, 2016 weg Attachment A Streamlining Affordable Housing Approvals Trailer Bill Technical Modifications (6-10-16) SECTION 1. Section 65400.1 is added to the Government Code, to read: 65400.1. (a) A development applicant or development proponent pursuant to Section 65913.3 of the Government Code may submit information describing the development, including, but not limited to, land use and zoning designations and requested permit(s) for the development to the Department of Housing and Community Development in a reporting format to be made available. The information submitted shall be compiled along with information pursuant to subparagraph (B) of subsection (2) of subdivision (a) of Section 65400 and Section 65588 of the Government Code as follows: (1) Upon receipt of a local government determination regarding the development submittal. (2) Issuance of a building permit for the development. (b) The Department of Housing and Community Development shall annually review and report on its website the information that has been submitted pursuant to this section. SEC. 2. Section 65913 of the Government Code is amended to read: 65913. (a) The Legislature finds and declares that there exists a severe shortage of affordable housing, especially for persons and families of low and moderate income, and that there is an immediate need to encourage the development of new housing, not only through the provision of financial assistance, but also through changes in law designed to do all of the following: (1) Expedite the local and State-supported residential development process. (2) Assure that local governments zone sufficient land at densities high enough for production of affordable housing. (3) Assure that local governments make a diligent effort through the administration of land use and development controls and the provision of regulatory concessions and incentives to significantly reduce housing development costs and 1 City Council/RSA Agenda 42 Tuesday, July 12, 2016 weg Attachment A thereby facilitate the development of affordable housing, including housing for elderly persons and families, as defined by Section 50067 of the Health and Safety Code. These changes in the law are consistent with the responsibility of local government to adopt the program required by subdivision (c) of Section 65583. (b) The Legislature further finds and declares that the costs of new housing developments have been increased, in part, by the existing permit processes and by existing land use regulations, and that vitally needed housing developments have been halted or rendered infeasible despite the benefits to the public health, safety, and welfare of those developments and despite the absence of adverse environmental impacts. It is therefore necessary to enact this chapter and to amend existing statutes which govern housing development so as to provide greater encouragement for local and state governments to approve needed and sound housing developments., and so as to assure that economic contributions by taxpayers and the private sector to support housing are cost-effectively and efficiently deployed to promptly create new housing in locations and at densities that have already been approved by local governments in general plans and zoning codes. (c) It is the intent of the Legislature that the provisions of Section 65913.3 of the Government Code advance all of the following: (1) Provisions of Government Code Section 65008. (2) Implementation of State planning priorities pursuant to Government Code Section 65041.1. (3) Attainment of Section 65580 of the Government Code. (4) Significant actions designed to affirmatively increase fair housing choice, furthering the objectives of the Federal Fair Housing Act, 42 U.S.C. 3601, and implementing regulations. (5) Objectives of the California Global Warming Solutions Act of 2006, commencing with Section 38500 of the Health and Safety Code. 2 City Council/RSA Agenda 43 Tuesday, July 12, 2016 weg Attachment A (6) Compliance with non-discretionary inclusionary zoning ordinances adopted by localities. (7) By right approval for developments that are consistent with objective landuse standards as defined in Section 65913.3(a)(9) and adopted by a locality, including but not limited to housing overlay zones, specific plans, inclusionary zoning ordinances, and density bonus ordinances. (8) Attainment of sufficient housing to accommodate all local government shares of regional housing need referenced in Section 65584 and improve reporting progress pursuant to Section 65400 for the legislature to amend Section 65913.3 or take additional measures to further attain the State’s planning priorities. SEC. 3. Section 65913.3 is added to the Government Code, to read: 65913.3. (a) For the purposes of this section, the following terms shall have the following meanings: (1) “Approved remediation measures” shall mean measures included in a certified environmental impact report to mitigate the impact of residential development in the subject location; or uniformly applied development policies or standards that have been adopted by the local government to mitigate the impact of residential development in that location. (2) “Affordable housing cost” or “Affordable rent” shall be as defined by Health and Safety Code subdivision (b) of Section 50052.5 or subdivision (b) of Section 50053, respectively. (3) “Attached housing development” or “development” means a newlyconstructed structure containing two or more new dwelling units that is a housing development project, as defined by subdivision (2) of subsection (h) of Section 65589.5 of the Government Code, but does not include a second unit, as defined by subdivision (4) of subsection (i) of Section 65852.2 of the Government Code, or unit from conversion of an existing structure to condominiums. (4) “Department” means the Department of Housing and Community Development. (5) “Financial assistance” means any award of public financial assistance that is 3 City Council/RSA Agenda 44 Tuesday, July 12, 2016 weg Attachment A conditioned upon the satisfaction of specified award conditions; this term shall include but not be limited to: the award of tax credits through and by the California Tax Credit Allocation Committee, and the award of grants or loans by any state agency or any public agency. (6) “Land-use authority” means any entity with state-authorized power to regulate land-use permits and entitlements conferred by local governments. (7) “Land-use restriction” means covenants restricting the use of land, recorded regulatory agreements, or any other form of an equitable servitude. (8) “Major transit stop” means a site containing an existing rail transit station, a ferry terminal served by either a bus or rail transit service, or the intersection of two or more major bus routes with a service interval frequency of 15 minutes or less during the morning and afternoon peak weekday commute periods, and offering weekend service. (9) “Objective zoning standards” and “objective design review standards” mean standards that involve no personal or subjective judgment by the public official; the standards must be uniformly verifiable by reference to an external and uniform benchmark or criterion available and knowable by both the development applicant or proponent and public official prior to submittal. Such standards may be embodied in alternate objective land-use standards adopted by a locality, and may include but are not limited to housing overlay zones , specific plans, inclusionary zoning ordinances, and density bonus ordinances. (10) “Public agency” means a federal, state, or local government agency, or a local or regional housing trust fund which has been funded or chartered by a federal, state, or local government agency. (11) “Required by law to record” means, but is not limited to, a development applicant or proponent is required to record a land-use restriction based on any of the following: (A) As a condition of award of funds or financing from a public agency. (B) As a condition of the award of tax credits. (C) As may be required by a contract entered into with a public agency. (12) “Transit priority area” means an area within one-half mile of a major transit 4 City Council/RSA Agenda 45 Tuesday, July 12, 2016 weg Attachment A stop that is existing or planned, provided the planned stop is scheduled to be completed within the planning horizon included in a Transportation Improvement Program adopted pursuant to Section 450.216 or 450.322 of Title 23 of the Code of Federal Regulations. (13) “Urban uses” means any residential, commercial, public institutional, transit or transportation passenger facility, or retail use, or any combination of those uses. (b) A development that satisfies all of the following criteria shall be a permitted use by right as that term is defined in subdivision (i) of Section 65583.2 of the Government Code: (1) The development applicant or proponent has submitted to the local government its intent to utilize this authority, and has certified under penalty of perjury that, to the best of the person’s knowledge and belief, the development conforms with all other provisions identified herein. (2) The development is consistent with the following objective planning standards: land use and building intensity designation applicable to the site under the general plan and zoning code, land use and density or other objective zoning standards, and any setback or objective design review standards, all as in effect at the time that the subject development is submitted to the local government pursuant to this section. (3) The development is located either on a site that is immediately adjacent to parcels that are developed with urban uses or on a site in which at least 75 percent of the perimeter of the site adjoins parcels that are developed with urban uses or bounded by a natural body of water. For the purposes of this section, parcels that are only separated by a street or highway shall be considered to be adjoined. (4) The development must be an attached housing development, for which the development applicant or proponent already has recorded, or is required by law to record, a land-use restriction, which shall require all the following: (A) A duration of at least 30 years for owner-occupied developments or 55 years for rental developments. (B) That any public agency and any member or members of the public, including non-profit corporations, may bring and maintain an enforcement action to assure 5 City Council/RSA Agenda 46 Tuesday, July 12, 2016 weg Attachment A compliance with this land use restriction. This sub-paragraph (B) shall also be deemed satisfied where a public agency that provides financial assistance to a development has the exclusive right to enforce the subject land use restriction. (C) For developments within a transit priority area, a restriction on the real property of the development to a level of affordability equal to or greater than either of the following: (i) At least ten percent of the total units of a housing development for lower income households, as defined in Section 50079.5 of the Health and Safety Code. (ii) At least five percent of the total units of a housing development for very low income households, as defined in Section 50105 of the Health and Safety Code. (D) For developments not within a transit priority area, a restriction on the real property of the development to a level of affordability equal to or greater than at least twenty (20) percent or more of the residential units restricted to and occupied by individuals whose income is eighty (80) percent or less of gross county area median income. (5) Unless the development incorporates approved remediation measures in the following locations as applicable to the development, the development is not located on a site that is any of the following: (A) “Farmland of statewide importance,” as defined pursuant to United States Department of Agriculture land inventory and monitoring criteria, as modified for California, and designated on the maps prepared by the Farmland Mapping and Monitoring Program of the Department of Conservation. (B) Wetlands, as defined in Section 328.3 of Title 33 of the Code of Federal Regulations. (C) Within a very high fire hazard severity zone, as determined by the Department of Forestry and Fire Protection pursuant to Section 51178 of the Government Code, or within a high or very high fire hazard severity zone as indicated on maps adopted by the Department of Forestry and Fire Protection pursuant to Section 4202 of the Public Resources Code; however, this limitation shall not apply to any of the following: (i) Sites excluded from the specified hazard zones by a local agency 6 City Council/RSA Agenda 47 Tuesday, July 12, 2016 weg Attachment A pursuant to subdivision (b) of Section 51179 of the Government Code. (ii) Sites that have adopted sufficient fire hazard mitigation measures as may be determined by their local agency with land-use authority. (iii) Sites that are within a five (5) mile driving distance of the nearest fire station. (D) Hazardous waste site that is listed pursuant to Section 65962.5 of the Government Code, or a hazardous waste site designated by the Department of Toxic Substances Control pursuant to Section 25356 of the Health and Safety Code, unless the Department of Toxic Substances Control has cleared the site for residential use or residential mixed-uses. (E) Within a delineated earthquake fault zone as determined by the State Geologist in the official maps published thereby as referenced in section 2622 of the Public Resources Code, unless the development complies with applicable fault avoidance setback distances as required by the Alquist Priolo Act and complies with applicable State-mandated and objective local seismic safety building standards. (F) Within a flood plain as determined by maps promulgated by the Federal Emergency Management Agency, unless the development has been issued a flood plain development permit pursuant to Sections 59 and 60 of Title 44 of the Code of Federal Regulations. (G) Within a flood way as determined by maps promulgated by the Federal Emergency Management Agency, unless the development receives a no rise certification in accordance with Section 60.3(d)(3) of Title 44 of the Code of Federal Regulations. (H) Within an area determined by the Department to be inappropriate for affordable housing development by additional objective criteria, including areas severely lacking in access to public transit, accessibility to employment or educational opportunities, and residentially supportive retail and service amenities, all as to be determined through regulations adopted by the Department at its discretion; until the Department adopts such regulations this sub- paragraph (H) shall not be interpreted to prohibit any such site. The Department is authorized, but not mandated, to adopt regulations to implement the terms of this sub- paragraph (H); and such regulations 7 City Council/RSA Agenda 48 Tuesday, July 12, 2016 weg Attachment A shall be adopted pursuant to the Administrative Procedures Act set forth in Government Code section 11340 et seq. Division 13 of the Public Resources Code shall not apply to either: the Department’s adoption of the regulations authorized by this section, or any financial assistance awarded by any public agency to any development that satisfies subdivision (b) of this section. This section shall be operative regardless as to whether the Department adopts the regulations authorized by this section. (I) Within a site that has been designated in the National Register of Historic Places pursuant to the National Historic Preservation Act of 1966, or a site that has been listed in the California Register of Historical Resources pursuant to section 5021 of the Public Resources Code. (6) Unless the proposed housing development replaces units at a level of affordability equal to or greater than the level of a previous affordability restriction, the development must not be on a site in which any of the following apply: (A) The site includes a parcel or parcels on which rental dwelling units are, or, if the dwelling units have been vacated or demolished in the five-year period preceding the application, have been subject to a recorded covenant, ordinance, or law that restricts rents to levels affordable to persons and families of lower or very low income. (B) The site is subject to any other form of rent or price control through a public entity’s valid exercise of its police power; or occupied by lower or very low income households. (7) The development applicant or proponent shall provide a copy of the declaration required by subsection (b)(1) of this section to all landowners of legal parcels adjacent to the development concurrent with filing the submittal authorized by this section. This sub-paragraph (7) may be satisfied if the aforementioned declaration is mailed to the landowners at the address identified for receipt and payment of taxes through the applicable county assessor, or if mailed to the subject adjacent parcel’s postal address. (8) The development shall not be upon a site that is Prime Farmland, as defined pursuant to United States Department of Agriculture land inventory and monitoring criteria, as modified for California, and designated on the maps prepared 8 City Council/RSA Agenda 49 Tuesday, July 12, 2016 weg Attachment A by the Farmland Mapping and Monitoring Program of the Department of Conservation. (c) If the applicable local government determines that the development is inconsistent with at least one of the objective planning standards delineated in subsection (b)(2), then it must provide the development applicant or proponent written documentation of which standard or standards the development is not consistent with, and a written explanation why the development is not consistent with that standard or standards, all within thirty (30) calendar days of submittal of the development to the local government pursuant to this section. If the documentation described in this subsection fails to identify the objective standard or standards that the development is not consistent with, if it fails to provide an explanation of why it is inconsistent therewith, or if it is not provided to the development applicant or proponent within thirty (30) calendar days of submittal, then for the purposes of this section, the development shall be deemed to satisfy paragraph (2) of subdivision (b) of this section. (d) Any design review of the development shall not exceed ninety (90) days from the submittal of the development to the local government pursuant to this section, and shall not in any way inhibit, chill, or preclude the ministerial approval provided by this section and the effect thereof. (e) A development that satisfies subdivision (b) of this section shall not be subject to the requirements of Section 65589.5 of the Government Code in order to be accorded by right status under this section. (f) This section does not relieve an applicant or public agency from complying with the Subdivision Map Act (Division 2 (commencing with Section 66410)). (g) The review or approval of a permit, license, certificate, or any other entitlement, by any public agency with land-use authority over any development that satisfies subdivision (b) of this section shall be ministerial. (h) Any person, as defined in Section 11405.70, seeking to require a City, County, or public agency to ministerially review or approve the matters set forth in subdivision (g) or enforce the by right provisions of subdivision (b) shall have the right to enforce this Section through a writ of mandate issued pursuant to Section 1085 of the Code of Civil Procedure. Owners of legal parcels adjacent to any development that 9 City Council/RSA Agenda 50 Tuesday, July 12, 2016 weg Attachment A obtains by right approval under this section may also obtain relief through a writ of mandate issued pursuant to Section 1085 of the Code of Civil Procedure, the petition for which must be filed within thirty days of the earlier of the adjacent land-owners receipt of written notice of the subject approval, or actual notice of the approval. (i) The development applicant or proponent may submit information describing the development pursuant to Government Code Section 65400.1(a). (j) The Legislature finds and declares that this section shall be applicable to all cities and counties, including charter cities, because the Legislature finds that the lack of affordable housing is a matter of vital statewide importance. (k) Any and all individuals displaced by a development that is approved through the ministerial process authorized by this section shall be accorded relocation assistance as provided in the California Real Property Acquisition and Relocation Assistance Act, set forth in Chapter 16, commencing with Government Code Section 7260. The development applicant or proponent shall be responsible for paying for relocation assistance expenses incurred by any local agency as a result of this section. (l) This section shall apply, notwithstanding anything to the contrary contained in this code or in any other law. (m) Nothing in this section shall be construed to expand or contract the authority of local government to adopt an objective standard by ordinance or charter amendment requiring housing developments to contain a fixed percentage of housing units affordable to and occupied by persons of specified lower or moderate incomes. Any affordable housing units shall be credited against the affordable units required to be created pursuant to subsection 65913.3(b)(4). (n) A locality may adopt and publish a list clarifying its existing objective planning standards that a development must be consistent with as referenced in subsection (b)(2) of this Section. 10 City Council/RSA Agenda 51 Tuesday, July 12, 2016 Attachment B Figure 5-4: Vacant/Underutilized Sites and Potential Rezone Sites He sp e 880 ri a § ¨ ¦ n d In t us ri a l U V 238 PR-2: Whipple Road Whipple LI-4: Mission Boulevard Whipple Dyer LI-2: Union City Boulevard South Whipple Smi t h Al v LI-3: Silver Dollar va ra do Nile s do U V 84 Union City Al ara LI-1: Station District Block 2 PR-3: Alvarado Niles Rd Nile Fr e AM-1: Turk Island Un ´ PR-4: Cal Trans io n Ci ty Pa s ad P eo mo nt s PR-1: Alameda Creek Site re Vacant and Underutilized Sites 0 0.25 0.5 City Council/RSA Agenda Potential Rezone Sites 1 Miles City Limits 52 Tuesday, July 12, 2016 Source: Union City, 2014 June 15, 2016 Attachment C League of California Cities Summary “By Right” Housing Approvals Proposed Trailer Bill1 June 10, 2016, Version The Department of Finance released an updated version of the Governor’s “by right” housing proposal. http://www.dof.ca.gov/budgeting/trailer_bill_language/local_government/documents/707 StreamliningAffordableHousingApprovals6-10-16.pdf While some minor issues have been clarified, other new issues of concern have been added. Basic Framework: The Governor’s proposal for streamlining affordable housing approvals requires cities and counties to approve: • • • • • A certain type of housing project with modest levels of affordable units As a permitted “use by right” With no public input; With limited ministerial review; and No CEQA compliance Major Changes: 1 • Adds definition of “objective planning standards” and “objective design standards” which prohibits personal or subjective judgement by the public official. • Adds definition of “financial assistance” • Requires developer applying for ministerial review to notify owners of adjacent parcels • Prohibits approval of housing project on Prime Farmland.” • Expands the definition of “immediately adjacent to urban uses” to include parcels adjoined by a street or highway • Allows “any person” to file suit to require city/county to grant ministerial approval. Adjacent property owners are also allowed to sue the city/county to enforce the statute or challenge the city/county’s approval. • Clarifies that an inclusionary housing ordinance is an “objective planning standard” but that a housing development’s affordable units must be credited against the affordable units required by an inclusionary ordinance. Based on most recent Department of Finance draft. 1 City Council/RSA Agenda 53 Tuesday, July 12, 2016 June 15, 2016 What types of housing projects are included? Newly constructed structure containing two or more dwelling units in a project that is entirely residential or part of a mixed-use development that comply with the criteria summarized in the next question. The proposal does not apply to the construction of a second unit or the conversion of an existing structure to condominiums. [NOTE: The proposal is not clear. A cross reference to another definition in the law, raises concerns that the law could also apply to a single-family housing development, mixed use or transitional or supportive housing.] What restrictions are placed on the location of these housing projects? 1. Urban site: Located on a site that is either immediately adjacent to parcels that are developed with urban uses or for which at least 75% of the perimeter of the site adjoins parcels that are developed with urban uses. The revised version adds “or is bounded by a natural body of water,” which presumably is intended to pick up sites bordering the ocean, lakes and rivers. 2. Prohibited sites: A Project cannot be located on the following sites unless the development incorporates “approved remediation measures:” (A) Farmland of statewide importance; (B) Wetlands; (C) Within a very high fire hazard severity zone [unless the site is within 5 miles of the nearest fire station; has been excluded from specific hazard zones by the city/county; or has adopted sufficient fire hazard mitigation measures; (D) Hazardous Waste site; (E) Within a delineated earthquake fault zone; (F) Flood plain; (G) Floodway; (H) Within an area “determined to be inappropriate for affordable housing development” by the Department of Housing and Community Development based upon “objective criteria” such as lacking in access to public transit, accessibility to employment or educational opportunities, and residentially supportive retail and service amenities. The third draft of the proposal prohibits a housing development on “Prime Farmland” even if the development incorporates “approved remediation measures.” 3. Replacing existing affordable housing: Unless development replaces units at a level of affordability equal to or greater than the level of a previous affordability restriction, the development may not be on any property that is (A) a parcel on which rental dwelling units are, or have been within past 5 years, subject to a recorded covenant that restricts rents to levels affordable to persons and families of lower or very low income; (B) subject to any other form of rent or price control; or (C) occupied by lower or very low income households. What is a permitted “use by right?” This means that a city may not require a conditional use permit, planned unit development permit, or other discretionary review or approval that would constitute a “project” for purposes of CEQA. [NOTE: This means that approval of a housing project covered by the proposal is not subject to any environmental evaluation under CEQA.] What is the approval process for a housing project that qualifies for permitted “use by right” review? 2 City Council/RSA Agenda 54 Tuesday, July 12, 2016 June 15, 2016 Within 30 days of receiving an application, the public official must either approve the development or explain why it is inconsistent with objective planning standards. If the public official fails to respond within 30 days or fails to provide an explanation, project is deemed to be consistent with general plan and zoning standards. What else is included in the proposal? • • • Declaration that the proposal applies to charter cities Declaration that it overrides anything to the contrary in the existing law. CEQA does not apply to a public agency’s award of financial assistance to any development that qualifies as a permitted use by right under the proposal. The revised version defines “financial assistance” to mean any award of public financial assistance that is conditioned upon certain specified award conditions including the award of tax credits through the California Tax Credit Allocation Committee and grants or loans by a public agency. What criteria must a housing project comply with to qualify for permitted “use by right” review? A housing project must comply each of the following requirements: • Objective planning standards: Consistent with the following objective planning standards: land use and building intensity designation applicable to the site under the general plan and zoning, or other objective zoning standards, and any setback or objective design review standards in effect at the time the application is submitted • Affordability (TPA): For developments within a transit priority area2, subject to a restriction lasting 30 years for owner-occupied and 55 years for rental requiring at least 10% of the units be affordable to lower income households or at least 5% of the units to be affordable to very low income households. • Affordability (non-TPA): For developments outside a transit priority area, subject to a restriction lasting 30 years for owner-occupied and 55 years for rental requiring at least 20% of the units to be affordable to households whose income is 80% or less of area median gross income. • Approved remediation measures: A project is not entitled to use by right if it is located on certain sites (e.g. prime farmland, hazardous waste site, etc.) unless the developer complies with “approved remediation measures.” These are measures included in a certified environmental impact report to mitigate the impact of residential development in the location proposed by the project; or uniformly applied development policies or standards that have been adopted to mitigate the impact of residential development in that location. Comments and Concerns Broad definition of who can sue to enforce statute 3 City Council/RSA Agenda 55 Tuesday, July 12, 2016 June 15, 2016 The third draft of the proposal says that “any person” seeking a city/county to review or approve a housing development under this section may sue. “Any person” is a significant expansion of the universe of people who would typically have “standing” to sue. For example, the Housing Accountability Act [“Anti-NIMBY” statute] allows only the applicant or any person who would be eligible to live in the development to bring an action to enforce the statute.3 Also, property owners of parcels adjacent to the development may sue within 30 days of the earlier of the adjacent land-owners receipt of written notice of the subject approval, or actual notice of the approval. (Note: it is not clear what the rationale is in this version of both notifying adjacent property owners and then empowering them to sue a local agency. Typically public notice precedes an opportunity to be heard, but “ministerial” means no public discussion and no discretionary decisions that could be informed by public input, leaving unsatisfied parties with the courts as their only forum. An approving city could potentially face lawsuits from both proponents and opponents. Unprecedented role for HCD in local land use planning The proposal authorizes HCD to inject itself directly into local land use authority by adopt regulations that determine areas that are inappropriate for affordable housing development because they lack access to public transit, accessibility to employment or educational opportunities, and residentially supportive retail and service amenities. The term “affordable housing development” is not defined in this measure potentially empowering HCD with even broader authority. A development proposed in an area identified as “inappropriate” will not qualify for “permitted use by right” unless the development incorporates “approved remediation measures.” No public review The hallmark of local government land use decisions has been the public hearing. A public hearing (1) allows interested members of the community to inform the decision-makers of their support or opposition to the project; and (2) guarantees that property rights will not be impacted without the “due process of law.” Excluding the elected decision makers The proposal excludes the elected city council and board of supervisors from land use decisions. These public officials are elected to represent their constituents and to be available and responsive. The proposal asks appointed staff, who are not directly accountable to local voters, to make the policy decisions: this is the arena reserved for elected officials. Local governments are already required to approve housing but with public hearings and CEQA review • 3 Housing Accountability Act (20% lower income; 100% moderate income or middle income; emergency shelter) (Gov. 65589.5) Government Code § 65589.5(k). 4 City Council/RSA Agenda 56 Tuesday, July 12, 2016 June 15, 2016 Must approve a housing project that is consistent with general plan and zoning ordinance unless (1) specific adverse impact on public health or safety; (2) housing is not needed; (3) denial required to comply with state or federal law; (4) project is on land zoned for agriculture or resource preservation. • “No net loss” (Gov. 65863) May not reduce the residential density for any parcel unless remaining sites identified in housing element are adequate to accommodate RHNA • Density bonus (Gov. 65915) Must award density bonus and other concessions and incentives when development includes 10% lower income, 5% very low income, senior citizen, or 10% for moderate income in common interest development • Least cost zoning (Gov. 65913.1) Must zone sufficient land for residential use with appropriate standards to meet housing needs for all income categories identified in housing element. When land is zoned, then Housing Accountability Act requires approval. • Second units (Gov. 65852.2) Must approve second unit with ministerial review. City may not adopt ordinance that totally precludes second units in residential zones unless specific adverse impacts on public health, safety, and welfare. • Ministerial approval of multifamily housing (Gov. 65589.4) Must approve as a permitted use multifamily housing structure located on an infill site that is consistent with general plan and zoning ordinance in which at least 10% of the units are affordable to very low income households; or at least 20% available to lower incomes; or 50% affordable to moderate income households. No project specific CEQA review The proposal requires ministerial review of a housing project if it is consistent with “objective general plan and zoning standards.” CEQA review that is required for both the general plan and zoning ordinance does not extend to the project level. CEQA review that is required for both the general plan and zoning ordinance may have occurred many years before the development application is submitted. Cities and counties will not be able to determine whether site-specific conditions or changed circumstances and new information require environmental mitigation. If for some reason a previous environmental document was helpful in evaluating the project, the bill does not allow a city to impose conditions to require compliance with previously-adopted mitigation measures. 5 City Council/RSA Agenda 57 Tuesday, July 12, 2016 June 15, 2016 What are “objective zoning standards”? To be a “permitted use by right,” a development must comply with the location requirements, the affordability requirements, and must be consistent with the following objective planning standards: land use and building intensity, land use and density or other objective zoning standards, and any setback or objective design review standards. The third draft of the proposal defines “objective zoning standards” and “objective design review standards” as standards that “involve no personal or subjective judgment by the public official; the standards must be uniformly verifiable by reference to an external or uniform benchmark or criterion available and knowable by both the development applicant or proponent and public official prior to submittal.” The new definition clarifies that an inclusionary housing ordinance is an “objective zoning standard” but requires that the affordable housing units provided in the housing development must be credited against the requirements of the inclusionary ordinance. The third draft of the proposal authorizes a city/county to adopt and publish a list of “objective zoning standards” that a development must be consistent with. Affordable housing will not remain affordable A housing development must be “required by law to record” a land-use restriction based on, for example,(1) a condition of award of funds or financing from a public agency; (2) as a condition of the award of tax credits; (3) as might be required by contract entered into with a public agency. In order for a housing development that does not receive funding to remain affordable, a city/county must adopt a requirement to record a land use restriction to maintain affordability. Breadth of the proposal The proposal states that it applies “notwithstanding anything to the contrary contained in the law.” It is not possible to accurately evaluate the impact of this statement because of its breadth. 6 City Council/RSA Agenda 58 Tuesday, July 12, 2016 DATE: 7/12/2016 TO: HONORABLE MAYOR AND CITY COUNCIL FROM: JOAN MALLOY, ECONOMIC & COMMUNITY DEVELOPMENT DIRECTOR SUBJECT: OPTIONS TO ADDRESS RENT AND TENANT ISSUES The purpose of this staff report is to provide the City Council with several options on how to address rent and tenant issues within Union City. Staff recommends that the City Council receive this information, consider the different options, and provide direction to staff on the City Council’s preferences. BACKGROUND On May 17, 2016, the City Council held a study session on rent and tenant issues. The Council heard information on recent rental market trends, reviewed different types of tenant protection measures, and obtained input from the public. Included as Exhibit A is a table showing the average rents for cities in Alameda County. Existing Tenant Protection Measures The City of Union City does not have local tenant protection regulations except for mobile home park tenants. State law provisions provide some protection for Union City tenants. However, State law does not preclude landlords from raising rents with proper notice; nor does it set limits for the amount of rent increases. State law does set minimum notice periods for rent increases and lease terminations. Included as Exhibit B is a chart indicating the various types of tenant protection measures, if any, enacted in Alameda County jurisdictions. Of those surveyed, Dublin, Emeryville, Livermore, and Newark have no tenant protection measures, Union City and Pleasanton only regulate mobile home parks, and Alameda, Berkeley, Fremont, Hayward, Oakland, and San Leandro have some type of tenant protection measures. DISCUSSION Below are four options that staff recommends the City Council review and provide direction to staff on which option the Council prefers. Also included as Exhibit C is a summary of these four options. Option A – No Action Option B – Enhanced Lease Term Ordinance Option C – Rent Review Ordinance (non-binding) City Council/RSA Agenda 59 Tuesday, July 12, 2016 Option D – Rent Stabilization and Eviction Protections Ordinance OPTION A – No Action The City Council can decide to take no action and table the discussion. Staff will continue to work with Eden Council for Hope and Opportunity (ECHO) Housing to promote their tenant/landlord counseling and fair housing programs. OPTION B - Enhanced Lease Terms Ordinance The City Council could consider adopting an ordinance that would require landlords to offer tenants longer term leases, such as a one-year lease. The ordinance would need to permit rent increases during the term of the lease, in order to comply with state law. However, the ordinance would require that all rent increases must be clearly identified within the lease. This type of ordinance would give tenants greater predictability of their housing costs. Tenants could reject the one-year lease and request a shorter lease term. Example City The City of Palo Alto has a lease term ordinance (enacted in 1980), that requires landlords to offer one-year leases to prospective tenants and tenants that are renewing leases. Palo Alto’s ordinance does permit rent increases during the term of the lease however the rent increase must be clearly stated in the lease. Eligible Units – All rental units OPTION C - Rent Review Ordinance (non-binding) Overview of Rent Review The City Council could adopt a non-binding rent review ordinance, which would offer tenants a mediation process before a landlord could impose a rent increase. The ordinance would establish an appointed rent review board to oversee the mediation process. The board would be comprised of tenant, landlord, and nonconflicted (i.e. homeowner) representatives. Tenants would voluntarily bring cases before the rent review board and the board would provide recommendations. However, since this ordinance would be non-binding, if a landlord cannot come to an agreement with their tenant then the landlord’s proposed rent increase would still go into effect. The ordinance would also require that landlords notify tenants of the availability of rent review before imposing a rent increase. Failure to follow these noticing requirements would invalidate the proposed rent increase. Landlord to Landlord Counseling The Rental Housing Association (RHA) of Southern Alameda County offers a free, volunteer-based landlord to landlord counseling program to cities with rent review ordinances (i.e. Fremont, San Leandro, and unincorporated Alameda County). Example Cities The cities of Fremont and San Leandro have rent review ordinances. Both cities use city staff and a third-party service provider to administer the program; Fremont contracts with Project Sentinel and San Leandro contracts with ECHO Housing. Below is an overview of the rent review process in Fremont and San Leandro: Fielding Inquiries / Ordinance Education Staff would hold periodic educational workshops for tenants and landlords Intake Rent Review Requests and Notify Landlords San Leandro only accepts rent review requests from tenants that have received a 7% rent increase or City Council/RSA Agenda 60 Tuesday, July 12, 2016 more Fact Finding Collect information and documentation from tenant and landlord Conciliation Third party provider works with the tenant and landlord to try to reach an agreement Mediation (Fremont Only) Trained mediators convene a meeting of both parties Referral to RHA’s Landlord to Landlord Counseling Program Cases that cannot be resolved at the conciliation/mediation stage are sometimes referred to RHA Rent Review Board Meeting (San Leandro) / Fact Finding Panel Meeting (Fremont) Board/Panel hears cases and provides recommendations Case Continuation (San Leandro Only) Board has the discretion to continue a case Eligible Units - All rental units Cities with this type of ordinance have stressed the importance of having rent review board members with mediation and conflict resolution experience. As discussed in the Fiscal Impact section, staff would recommend providing mediation and conflict resolution training to all rent review board members and staff. Administering a rent review process is time intensive and will require additional staff and City Attorney time. The City Attorney and staff would need to be present at all board meetings. OPTION D - Rent Stabilization and Eviction Protections Ordinance Rent Stabilization The Council could consider adopting a rent stabilization ordinance that would limit rent increases to one-time per year and would tie allowable rent increases to either a fixed percentage or inflation rates. This type of ordinance is intended to protect tenants from excessive rent increases and to provide tenants with greater certainty and predictability regarding housing cost increases. Eligible Units As discussed during the May study session, there are limitations as to what type of rental units would be eligible for rent stabilization. State law (“The Costa-Hawkins Rental Housing Act”) prohibits local jurisdictions from doing the following: 1. Applying rent stabilization ordinances to housing constructed on or after February 1, 1995 2. Applying rent stabilization ordinances to single-family homes and condominiums (where title is held separately for each unit) 3. Regulating the initial rental rate of a unit once the previous tenants have vacated the unit. Thus, when a unit becomes vacant, the rent can be raised to the current market rate without regulatory restrictions. Although the City has 6,454 renter occupied units, only 2,760 of these units (or 43%) would be eligible for rent stabilization due to the Costa-Hawkins Act restrictions, as shown in Tables 1 and 2 below. The major implication of the Costa-Hawkins Act is that only older, rental properties, built before February 1, 1995, would be affected by a rent stabilization ordinance. Included as Exhibit D is additional information on eligible units City Council/RSA Agenda 61 Tuesday, July 12, 2016 and included as Exhibits E-1, E-2, and E-3 are maps showing where the eligible units are located Table 1 Union City Tenure (2012) Tenure Type Units Owner Occupied Units 13,837 Renter Occupied Units 6,454 Total 20,291 Percent 68.2% 31.8% 100.0% Source: City of Union City 2015-2023 Housing Element Table 2 Pre-1995 Market-Rate Rental Housing # of Property Type Units Apartment Complexes (5+ Units) 2,146 Duplex Units 446 Triplex 108 Quadraplex 60 Total Eligible Market-Rate Rental Units 2,760 Total Renter Occupied Units % of Rental Units Eligible for Rent Stabilization % of All Units Eligible for Rent Stabilization # of Properties 23 223 36 15 297 6,454 43% 14% Rent Review Board Similar to Option C, a rent stabilization ordinance would also include establishing a rent review board that would oversee the enforcement of the ordinance. The rent review board would hear appeal cases made voluntarily by tenants or property owners. Just Cause Eviction Protections All cities in the Bay Area that have rent stabilization ordinances also have just cause eviction protections within their ordinances. These protections restrict the allowable reasons for which a landlord can evict a tenant, also known as “just cause evictions.” Under just cause eviction protections, landlords may evict a tenant for only reasons listed in the ordinance. Examples of typical “just causes” include the following: Failure to pay rent or habitually paying rent late; Violation of the rental agreement terms, where a notice and opportunity to correct the violation has been provided; · Committing or allowing the existence of a nuisance; · Damaging the unit or common areas; · Unreasonably interfering with the comfort, safety, or enjoyment of other tenants; · Committing or allowing an illegal activity or use; · Owner or family member occupancy; · Resident manager occupancy; · Substantial rehabilitation; · · City Council/RSA Agenda 62 Tuesday, July 12, 2016 · · Denying landlord lawful entry; Unauthorized subtenant. Example Cities Cities with rent stabilization and just cause eviction protections: Alameda, Berkeley, East Palo Alto, Hayward, Oakland, San Francisco, and San Jose. TIMELINE Should the Council wish to pursue Options B, C, or D, staff anticipates that an ordinance could be adopted by the end of 2016. Specific timelines for each option are included in Exhibit C. FISCAL IMPACT There is no fiscal impact as a result of receiving this report. However, if the City Council directs staff to develop an ordinance, it would require additional funding that is currently not appropriated. Based on discussions with the City Attorney and other cities’ budgets, staff estimates that the cost to develop an ordinance could be between $15,000 and $40,000 and would include legal services, staff time, and outreach/education costs (e.g. mailers, community meetings, etc.). On-Going Costs If the City Council adopted an ordinance there would be implementation, enforcement, and outreach/education costs that are currently not appropriated. Based on discussions with the City Attorney and a review of other cities’ budgets, staff has provided in Table 3 the annual costs estimates for the different options. These cost estimates include staff time, City Attorney time, outreach/education (e.g. mailers, workshops, etc.) and mediation training for rent review board members and staff (applicable to Options C and D). If the City Council decided to enact more than one of the options, there could be some cost savings due to economies of scale. Included as Exhibit F is a more detailed cost analysis. Table 3 Annual Cost Estimates Option Option A – No Action Option B – Enhanced Lease Terms (One-Time Start-Up Costs) Option B – Enhanced Lease Terms (Annual Cost Estimate) Option C – Rent Review Option D – Rent Stabilization & Eviction Protections Annual Cost Estimate $0 $33,830 $6,500 $123,019 $133,019 Staff estimates that Option D (Rent Stabilization) would cost about the same as Option C (Rent Review) as the majority of the costs come from administering a rent review board. Additionally, staff anticipates that the outreach/education costs would be similar for both options. Rental Registration Fee Several cities in the Bay Area with rent stabilization ordinances charge property owners an annual per unit fee, also known as a rental registration fee, in order to offset their enforcement costs (See Table 4 below). Some cities also allow the landlord to pass all or a percentage of the rental registration fee onto tenants. City Council/RSA Agenda 63 Tuesday, July 12, 2016 Table 4 Annual Rental Registration Fees Jurisdiction Fee/Unit Berkeley $213 East Palo Alto $234 Hayward $2.77 Los Gatos $22 Oakland $30 In order to collect and enforce an annual rental registration fee, it would require additional staffing and funding that is currently not appropriated. Based on other cities’ budgets for these services, staff estimates that it would cost approximately $25,000 per year in additional staffing and outreach/education costs to implement a rental registration fee. Also note that the City already charges landlords a Rental Residential Business License Fee (“Business License Fee”), so the rental registration fee would be in addition to the Business License Fee. Currently, the City’s annual Business License Fee is $129 plus $11 for each rental unit over four (4) units. Table 5 below demonstrates the per unit fee that would need to be charged for each option in order for the City to recuperate all of its expenses. Table 5 Revenue Estimates Option Option A Option B Option C Option D Eligible Units N/A All Rental Units All Rental Units Units Eligible for Rent Stabilization # of Units N/A 6,454 6,454 2,760 Fee/ Unit N/A $1 $19 $48 Rent Registration Fee/Unit* N/A $4 $4 $9 Total Fee/ Unit N/A $5 $23 $57 *This fee is to recuperate the costs associated with collecting and administering a rental registration fee. RECOMMENDATION Staff requests that the City Council receive the report and discuss the following options: · Option A – No Action · Option B – Enhanced Lease Term Ordinance · Option C – Rent Review Ordinance (non-binding) · Option D – Rent Stabilization and Eviction Protections Ordinance Staff is recommending that the City Council pursue Option B (Enhanced Lease Terms). If the Council would like to pursue an option that includes rent oversight, then staff also recommends Option C (Rent Review). Option B and Option C could be implemented together or independently. Staff is not recommending Option D (Rent Stabilization) as a majority of renters in Union City would not be eligible for this option and it would be the most costly to implement. Prepared by: Alin Lancaster, Housing & Community Development Coordinator City Council/RSA Agenda 64 Tuesday, July 12, 2016 Submitted by: Joan Malloy, Economic & Community Development Director ATTACHMENTS: Description Type Exhibit A - Average Rent Comparison (Alameda County) Exhibit Exhibit B - Tenant Protection Measures (Alameda County) Exhibit Exhibit C - Summary of Options Exhibit Exhibit D - Units Eligible for Rent Stabilization Exhibit Exhibit E-1 - Map of Eligible Units (Citywide) Exhibit Exhibit E-2 - Map of Eligible Units (Old Alvarado) Exhibit Exhibit E-3 - Map of Eligible Units (Decoto) Exhibit Exhibit F - Cost Estimates Exhibit City Council/RSA Agenda 65 Tuesday, July 12, 2016 Exhibit A Average Rents ‐ Alameda County January to March 2016 (Quarter 1) City Oakland Emeryille Berkeley Dublin Pleasanton Newark Fremont Union City Alameda Livermore Castro Valley Hayward San Lorenzo San Leandro Average Rent $ 2,866 $ 2,791 $ 2,663 $ 2,545 $ 2,382 $ 2,350 $ 2,307 $ 2,264 $ 2,237 $ 1,976 $ 1,936 $ 1,929 $ 1,734 $ 1,622 % Change from Q1 2015 7.2% 8.5% 4.3% 8.4% 4.0% 7.3% 8.2% 10.3% 9.4% 6.5% 14.8% N/A N/A 11.5% Average Studio $ 2,042 $ 2,118 $ 2,053 $ 2,263 $ 2,114 N/A $ 1,666 $ 2,053 $ 1,921 N/A $ 1,475 $ 1,593 N/A $ 1,161 Average 1bd/1bth $ 2,549 $ 2,562 $ 2,426 $ 2,258 $ 2,147 $ 2,184 $ 2,078 $ 2,111 $ 2,004 $ 1,739 $ 1,628 $ 1,732 $ 1,579 $ 1,492 Aveverage 2bd/1bth $ 2,669 $ 3,052 $ 2,537 $ 2,439 $ 2,300 $ 2,217 $ 2,292 $ 2,224 $ 2,209 $ 1,966 $ 1,860 $ 1,928 $ 1,820 $ 1,616 Average 3bd/2bth $ 4,101 $ 3,760 $ 3,051 $ 3,473 $ 2,988 $ 3,321 $ 3,058 $ 2,585 $ 2,572 $ 2,298 $ 2,509 $ 2,479 $ 2,000 N/A Source: RealFacts of Novato, California. RealFacts collect rental housing data nationwide and are deemed as authorities on information for the rental housing industry. City Council/RSA Agenda 66 Tuesday, July 12, 2016 Exhibit B Summary of Tenant Protection Measures ‐ Alameda County City Ordinance Type Adoption Year # of Affected Units Rent Increase Threshold Enforcement Reviewing Body City Department All rental units More than 5%: property owner is required to initiate a rent mediation process through the City 5% or Less: property owner not required to initiate rent mediation process however tenant is allowed to Binding ‐ Pre‐1995 multi‐family units Non‐Binding ‐ Single‐family units ‐Post‐1995 multi‐family units Rent Review Advisory Committee Housing & Community Development Alameda Rent Stabilization & Just Cause Evictions Rent Review Advisory Committee 1979 Rent Review Ordinance 2016 Berkeley Rent Stabilization & Just Cause Evictions 1980 Multi‐family rental units constructed before June 30, 1980 65% of the percentage increase in the CPI Binding Rent Stabilization Board Rent Stabilization Board Dublin None N/A N/A N/A N/A N/A N/A Emeryville None N/A N/A N/A N/A N/A N/A Community Development Rent Review 1997 All rental units Any rent increase Non‐binding Recommendations ‐ 3rd‐Party Mediation Service Provider ‐ Fact Finding Panel Mobile Home Rent Stabilization 1987 753 Mobile homes The greater of 3% of existing rent, $10 per month, or 60% of the percent change in the CPI Binding Rent Review Officer Community Development Rent Stabilization 1983 8,920 Units (applies to only 5+ unit properties) 5% of existing rent Binding City‐appointed Mediator & Arbitrator City Attorney Mobile Home Rent Stabilization 1989 2,322 Mobile homes The greater of 3% of existing rent OR 60% of the percent change in the CPI Binding Rent Review Officer City Attorney Livermore None N/A N/A N/A N/A N/A N/A Newark None N/A N/A N/A N/A N/A N/A Oakland Rent Stabilization & Just Cause Evictions Rent Stabilization 1983 Just Cause Evictions 2002 Binding Housing Residential Rent‐ Relocation Board Housing & Community Development Pleasanton Mobile Home Rent Stabilization 2001 433 Mobile homes Binding Hearing Officer City Manager San Leandro Rent Review 2001 Applies to properties with 2+ units Non‐binding Recommendations Rent Review Board Community Development 1987 999 Mobile homes Binding Hearing Officer Economic & Community Development Fremont Hayward Mobile Home Rent Stabilization City Council/RSA Agenda Union City 67 Multi‐family rental units constructed before Average of the percentage increase in the CPI January 1, 1983 % change of CPI (not less than 1% but not to exceed 5%) plus increase (if any) in operating expenses, capital improvements, and tax increases 7% of existing rent OR More than one rent increase within 12 months The lesser of 7% of existing rent OR 90% of the percent change in the CPI Tuesday, July 12, 2016 Exhibit C Summary of Options OPTION A No Action Option Description Eligible Units Example Cities Estimated Annual Enforcement Cost* Timeline OPTION B Enhanced Lease Terms Ordinance Lease Terms ‐ Requires landlords to offer tenants longer term leases ‐ Example: One year leases No Action OPTION D OPTION C Rent Stabilization & Rent Review Ordinance Eviction Protections Ordinance (non‐binding) Rent Stabilizaiton Rent Review Board ‐ Restricts rent increases to one‐time per year ‐ Offers a mediation process before a landlord is able to impose a rent increase and limits increases to a fixed % or tie increase to inflation ‐ Establishes a rent review board that ‐ A rent review board oversees appeal process oversees the mediation process ‐ Rent review board comprised of tenants, Just Cause Evictions landlords, and non‐conflicted (i.e. ‐ Restricts the allowable reasons for which a homeowner) representatives ‐ Process is non‐binding, so if the landlord landlord can evict a tenant cannot come to an agreement with the ‐ All Bay Area cities that have rent stabilization tenant then the landlord’s proposed rent also have Just Cause Eviction Ordinances increase would still go into effect ‐ This prevents landlords from evicting tenants, for the purpose of raising rents beyond the rent stabilization ordinance threshold N/A All rental units All rental units N/A Palo Alto Fremont San Leandro $0 N/A Staff Costs (0.15 FTE) Outreach/Education Legal Services Total Start Up Costs $ 17,330 $ 15,000 $ 1,500 $ 33,830 Outreach/Education $ 6,500 Total Annual Costs $ 6,500 • July to Aug ‐ Draft Ordinance • Sept ‐ Community Outreach • Oct 11th – 1st Reading • Oct 25th – 2nd Reading • Nov 25 – Ordinance Effective (30 days after 2nd reading) Staff Costs (0.5 FTE) Outreach/Education Legal Services Mediation Training Total Annual Costs 2,760 Eligible Units (multi‐family units built before 1995) Alameda, Berkeley, East Palo Alto, Hayward, Los Gatos, Oakland, San Francisco, San Jose $ 54,519 $ 30,000 $ 35,000 $ 3,500 $ 123,019 • July to Aug ‐ Draft Ordinance • Sept to Oct – Community Outreach • Oct 25th – 1st Reading • Nov 8th – 2nd Reading • Dec 8th ‐ Ordinance Effective (30 days after 2nd reading) *If more than one option was adopted, there would be some cost savings due to economies of scale City Council/RSA Agenda 68 Tuesday, July 12, 2016 Staff Costs (0.5 FTE) Outreach/Education Legal Services Mediation Training Total Annual Costs • July to Aug ‐ Draft Ordinance • Sept to Oct – Community Outreach • Nov 8th – 1st Reading • Dec 13th ‐ 2nd Reading • Jan 13th ‐ Ordinance Effective (30 days after 2nd reading) $ 54,519 $ 40,000 $ 35,000 $ 3,500 $133,019 Exhibit D Units Eligible for Rent Stabilization Pre‐1995 Market Rate Rental Housing (5+ Units) Property Name 31050 New Haven St 34831 Peco St 34875 Peco St 3688 Smith St 4185 Marsten 827 A ST 885 Whipple Road 918 G St Adrienne Village Casa Nueve Apartments Dry Creek Apartments Eaves Greenhaven Apartments Las Palmas Medallion Apartments Mission Sierra Parkside Apartments Parkway Green Rosewood Townhomes Skylark Apartments Summerhill Place Apartments Verandas West View Park Apartments Duplex Units Triplex Units Quadraplex Units Address 31050 New Haven St 34831 Peco St 34875 Peco St 3688 Smith St 4185 Marsten 827 A ST 885 Whipple Road 918 G St 31755 Alvarado Blvd 33641 9th St 33300 Mission Blvd 2261 Decoto Road 31770 Alvarado Blvd 33875 11th Street 2500 Medallion Drive 34864 Mission Blvd 1501 Decoto Road 2501 Medallion Dr 2345 Kennedy Ave 34655 Skylark Drive 3900 Horner St 33 Union Square 2600 Decoto Road Year Built 1962 1972 1972 1936 1920 1960 1964 1985 1984 1964 1973 1986 1983 1953 1978 1986 1979 1972 1973 1986 1986 1990 1972 Subtotal # of Units 12 5 5 5 6 7 8 12 75 16 199 208 250 12 176 304 208 52 34 174 60 282 36 2,146 Pre‐1995 Market Rate Rental Housing (2 to 4 Units) 1890‐1991 446 1898‐1984 108 1963‐1978 60 Subtotal* 614 Total Pre‐1995 Market Rate Rental Units 2,760 Total Units in Union City (2014)** Single family 2 to 4 units 5+ Units Total 16,491 784 3,157 20,432 % of total units that are eligible for rent control 14% *64 of the 614 units are currently owner‐occupied **Excludes mobile homes due to the City's existing rent ordinance for mobile homes City Council/RSA Agenda 69 Tuesday, July 12, 2016 Exhibit E-1 Unitts Eligiible fo or Rent Stab bilization Citywid de 2 2‐4 Units 5+ Units City Council/RSA Agenda 70 Tuesday, July 12, 2016 Exhibit E-2 Units Eligible for Rent Stabilization Old Alvarado 2‐4 Units 5+ Units City Council/RSA Agenda 71 Tuesday, July 12, 2016 Exhibit E-3 Units Eligible for Rent Stabilization Decoto 2‐4 Units 5+ Units City Council/RSA Agenda 72 Tuesday, July 12, 2016 Exhibit F Cost Estimates Option A ‐ No Action N/A $ ‐ Option B ‐ Enhanced Lease Terms One‐Time Start Up Costs Staff Costs Outreach/Education Legal Services Total Start Up Costs FTE 0.15 Annual Costs Outreach/Education Total Annual Costs $ 17,330 $ 15,000 $ 1,500 $ 33,830 $ 6,500 $ 6,500 Option C ‐ Rent Review Staff Costs Outreach/Education Legal Services Mediation/Conflict Resolution Training Total Annual Costs Option D ‐ Rent Stabilization & Eviction Protections Staff Costs Outreach/Education Legal Services Mediation/Conflict Resolution Training Total Annual Costs Rental Registration Fee Collection/Administration* Staff Costs Outreach/Education Legal Services Total FTE 0.50 $ 54,519 $ 30,000 $ 35,000 $ 3,500 $ 123,019 FTE 0.50 $ 54,519 $ 40,000 $ 35,000 $ 3,500 $ 133,019 FTE 0.20 $ 17,423 $ 6,500 $ 1,000 $ 24,923 *Several cities in the Bay Area with rent stabilization ordinances charge property owners an annual per unit fee, also known as a rental registration fee, in order to offset their enforcement costs. Revenue Estimates The revenue estimates below demonstrate the per unit fee that would need to be charged per option in order for the City to recuperate all of its expenses. Option Option A Option B Option C Option D Eligible Units N/A All Rental Units All Rental Units Units Eligible for Rent Stabilization Rent # of Fee/ Registration Fee/Unit Units Unit ‐ $ ‐ $ ‐ 6,454 $ 1 $ 4 6,454 $ 19 $ 4 2,760 $ 48 $ 9 Estimated Number of Rental Units Eligible for Rent Stabilization Not Eligible for Rent Stabilization Total Rental Units City Council/RSA Agenda Total Fee/Unit $ ‐ $ 5 $ 23 $ 57 Total Annual Revenue $ ‐ $ 58,754 $ 147,942 $ 157,942 2,760 3,694 6,454 73 Tuesday, July 12, 2016