HomeMy WebLinkAboutReso 91-161 - Amending the General Plan of the COR by adopting a Revised Housing Element RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING AMENDING THE
GENERAL PLAN OF THE CITY OF REDDING BY ADOPTING A REVISED HOUSING
ELEMENT.
WHEREAS, following the required public hearings therefor, the
Planning Commission of the City of Redding has recommended to the City Council
that the Housing Element of the City's General Plan be amended by adopting a
revised Housing Element; and
WHEREAS, following the required notices in accordance with law, the
City Council has held a public hearing on said recommendations and has
carefully considered the evidence at said hearing; and
WHEREAS, it is believed that the revised Housing Element is in
compliance with State Housing Element Law.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
Redding as follows:
1. The City Council has reviewed and approved the Negative
Declaration on the plan, finding that there was no significant impact on the
environment.
2. The City Council does hereby delete the existing Housing Element
of the General Plan of the City of Redding and adopt the revised Housing
Element, as shown in Exhibit "A" attached hereto.
I HEREBY CERTIFY that the foregoing resolution was introduced and
read at a regular meeting of the City Council"of the City of Redding on the
16thday of April 1991, and was duly adopted at said meeting by the
following vote:
AYES: COUNCIL MEMBERS: Arness, Dahl, Fulton, Moss and Buffum
NOES: COUNCIL MEMBERS: None
ABSENT: COUNCIL MEMBERS: None
ABSTAIN: COUNCIL MEMBERS: None
CY B M
ATTEST: 7
ETHEL A. NICHOLS, City Clerk
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FORM APPROVED:
/L I
"ALL A. HAYS, Cit Attorney
A/30:HE.RES
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REVISED HOUSING ELEMENT
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OF THE GENERAL PLAN
CITY OF REDDING
(1990-1992)
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Prepared by: Adopted August 6, 1984
Department of Planning Resolution No. 84-165
and Community Development Revision Adopted
Resolution No.
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TABLE OF CONTENTS
CHAPTER PAGE
I. INTRODUCTION 1
A. Legislative Authority 1
B. Review of Previous City Housing Element 1
II. COMMUNITY PROFILE 5
A. Historic and Current Population Profile 5
B. Income and Ethnicity 7
C. Historic and Current Employment Trends 10
D. Historic and Current Housing Profile 13
E. Type, Age and Characteristics of Housing Stock 13
F. Vacancy Rates 14
G. Low-Income Assisted Housing 16
III. HOUSING NEEDS ASSESSMENT 18
A. Housing Characteristics 18
1. Homeownership/Housing Costs/Ability to Pay 18
2. Rentals/Ability to Pay 20
3. Overcrowding 21
4. Condition 21
5. Special Housing Needs 24
a. Elderly 24
b. Handicapped 25
c. Large Families 27
d. Female-Headed Households 27
e. Minorities 28
f. Farm Workers 29
g. Persons or Families in Need of Emergency Shelter 29
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B. Assessment of Future Housing Needs
Based Upon Regional Share Figures 33
IV. LAND INVENTORY & SITE AVAILABILITY 36
IA. General Plan Classifications 36
B. Zoning 36
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C. Holding Capacity of the General Plan 38
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TABLE OF CONTENTS, (Continued)
CHAPTER PAGE
V. GOVERNMENTAL CONSTRAINTS TO MAINTENANCE,
IMPROVEMENT, AND DEVELOPMENT OF HOUSING 41
A. Land Use Controls 41
B. Building Codes 42
C. On- and Off-Site Improvements 42
D. Fees and Exactions 42
E. Processing and Permit Procedures 43
VI. NONGOVERNMENTAL CONSTRAINTS TO MAINTENANCE,
IMPROVEMENT, AND DEVELOPMENT OF HOUSING 48
A. Price of Land 48
B. Cost of Development 49
C. Availability of Financing 49
VII. ENERGY CONSERVATION OPPORTUNITIES 51
VIII. GOALS AND POLICIES 53
IX. IMPLEMENTATION PROGRAMS AND QUANTIFIED OBJECTIVES 56
X. COMMUNITY PARTICIPATION 68
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LIST OF FIGURES
PAGE
1. City of Redding Population Growth 1950 - 1990 6
2. Population Forecast to Year 2009 8
3. Distribution of Households by Annual Gross Income 9
4. Median Family Income by Ethnicity 11
5. Non-Agricultural Employment by Industry 12
6. Dwelling Unit Construction by Type, 1980 - 1989 15
7. Housing Stock by Year Built, Pre 1939 - 1989 15
8. Growth in Housing Authority, 1979 - 1989 17
1 9. Household Income Required to Qualify for a Mortgage 20a
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LIST OF TABLES
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1. 1988 - 1989 California vs Redding
' Housing Prices and Median Incomes 19
2. Rental Units Rent Ranges in Redding, May 1990 22
3. Affordable Rents in Redding, 1990 22
4. California HCD Population Projection Figures 35
5. California HCD New Construction Needs 35
6. Potential Dwelling Units and Population
Inside City Limits 40
7. Potential Dwelling Units and Population
Within General Plan Area 40
8. Summary of Development Fees for
Single-Family Residential Projects 45
9. Summary of Development Fees for a
Typical Duplex and Fourplex 46
10. Time Requirements for Project Processing 47
11. Cost of Development, Single-Family Detached 50
12. Impact of Interest Rates on Housing Affordability 50
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I. INTRODUCTION
The purpose of the Housing Element of the Redding General Plan is to
identify and analyze the City's housing needs, to establish reasonable
housing goals and objectives based on those needs and to develop a
program of action, which, over the stated planning period, will advance the
City towards achieving the established goals and objectives.
A. Legislative Authority
The State Legislature has determined that the availability of housing
j is of vital importance to the well being of the state's populace and has
{ mandated the preparation of community housing elements as part of
local general plans (Government Code Sections 65302(c) and 65580 et
seq. ) . Under current law, the code specifies, in brief, that the
housing element shall contain:
1. An assessment of housing needs and an inventory of resources
and constraints relevant to the meeting of these needs;
2. A statement of the community's goals, quantified objectives,
and policies relative to the maintenance, improvement, and
development of housing; and,
3. A program which sets forth a five-year schedule of actions the
local government is undertaking or intends to undertake to
implement the policies and achieve the goals and objectives of
the housing element.
By law (Government Code 65300.5), the goals and policies of the
Housing Element must be consistent with other elements of the
General Plan.
This revision of the Housing Element of the General Plan is consistent
with all other elements as required by law. In order to maintain
consistency, the Housing Element will be updated at least every five
years, and more often if necessary. Other Elements of the General
Plan are updated on a regular basis also, and care will be taken to
ensure consistency among the stated goals and policies throughout
the documents that make up the complete General Plan.
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B. Review of Previous City Housing Element
The Housing Element upon which this update is based was adopted by
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the City Council on August 6, 1984 (Resolution No. 84-165) .
State Law requires that a housing element be revised. at not less than
five-year intervals, with the City of Redding mandated to complete
its revision, based upon new housing element law adopted in June
1984, by July 1, 1992. This Housing Element Revision was
undertaken to comply with that requirement.
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The intent of the 1984 Housing Element was to document and identify
housing needs within the community for all economic segments and to
develop programs to accomplish the community's stated housing
goals. The specific actions provided to implement these goals, in
summary were:
1. Implementation of pro-active building code compliance
programs which would prevent further deterioration of
existing housing;
2. Continue to operate existing housing rehabilitation programs
funded through the Community Development Block Grant
Program, the State Deferred Rehabilitation Loan Program, the
HUD Rental Rehabilitation Program, the HUD 312 Program,
CHFA, and Bank of America Special Lending Program as well
as to actively seek out new sources of financing to allow
expansion and/or implementation of new programs;
3. Continue to support regulations which limit condominium
conversion;
4. Establish self-help categories within existing rehabilitation
programs as a cost effective means, in some instances, to
accomplish the required work;
5. Utilize California Revenue and Tax Code Section 17299 powers
regarding substandard conditions in rental property as a
means to enforce owner compliance with building codes;
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6. Continue to support the concept of density bonuses as a means
to increase the community's supply of low- to moderate-income
housing;
7. Continue the use of tax exempt revenue bonds as a means to
provide affordable housing units in the community;
8. Continue to administer the HUD Section 8 and Moderate
Rehabilitation subsidized housing programs and expand the
number of subsidies available to the community whenever
possible;
9. Establish policies within the permit approval process which
would act to streamline the time and cost involved;
10. Continue to allow reduced lot standards within specific zoning
designations as a means to reducing development cost;
11. Seek out new partnerships with non-profits and/or
redevelopment agencies to work towards creating new low- and
moderate-income housing opportunities;
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12. Explore new financing sources which could be used to
purchase suitable land to be offered at a discounted price to
developers of low- and moderate-income housing;
13. Seek out active partnerships with local lending institutions to
identify community credit needs related to housing and work
jointly to meet those needs;
14. Establish a mediator program to assist in resolution of disputes
arising between landlords and tenants.
15. Explore the feasibility of establishing inclusionary housing
regulations within the development approval process.
16. Consider the use of referendum authority granted by the local
electorate in order to allow the City to directly develop and
own low income housing.
17. Revise existing ordinances relating to manufactured housing
which would allow this form of lower cost dwelling to be more
widely utilized within the City limits.
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I 18. Continue to promote the conservation of energy resources
through innovative and effective conservation programs such
as electric loan management (STEP) , low cost weatherization
assistance, co-generation facilities, and commercial audit
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programs.
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The above listed actions resulted in the establishment of a variety of
i new programs as well as the continuation of many existing programs.
In Section IX, "Implementation Programs", of this update, specific
j programs and their individual acomplishments over the past planning
period are discussed. In addition, quantified objectives for the
current planning period are listed. The previous element did not
itemize planned or expected achievements for individual programs so
it is not possible to make a judgement of success based on that
benchmark. Several programs were, and continue to be the
cornerstones of the City's housing efforts. These include the
housing rehabilitations programs, the Downpayment Assistance
Program, the direct rent subsidy programs, as well as the overlaying
network of publicpolicies, ordinances and codes which direct the
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The City believes in open review and appropriate revision of its
programs and policies as it strives to respond to changing public
desires and needs.
Of the actions listed above, 14 of the 18 were developed into a
variety of implemented programs. These programs are explained in
detail in Section IX. Actions 12, 15, 16, and 17 did not evolve into
programs during the past planning period, however, they will
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continue to be considered as possible actions in the current planning
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period. Failure to implement these items during the past period was
due more to a lack of project-based impetus which required the action
rather than inappropriateness of the action.
The City's current housing goals as listed in Section VIII of this
document remain essentially the same as those of the previous
element. However, policies and the implementing programs have
been constantly revised to reflect changing market conditions which
affect the achievement of the goals. The local housing market is
substantially different in 1990 than it was in 1984.
The experience gained from the past five years of involvement in
housing issues shows in the refinement current programs have over
the initial versions established in 1984 or earlier. Current goals,
objectives, policies, and programs, reflect a thorough understanding
of that market, as well as a commitment to address the housing needs
of Redding's current and future citizenry.
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II. COMMUNITY PROFILE
A. Historic and Current Population Profile
The 1970 Census established the Redding population at 16,659
persons. The 1980 Census recorded 41,995 persons, an annual
average population growth rate of 6 percent. A major portion of the
City's population growth during that decade was through
annexation. In the period since the 1980 Census, the California
Department of Finance has developed annual population estimates for
California counties and cities. The most recent Department of
Finance population estimate for the City of Redding is 63,412 as of
January 1990, or 23,900 households. This figure implies an average
growth rate of 3.3% each year since 1980. Figure 1 shows Redding's
population for the period 1950 - 1990.
Redding has experienced steady population growth over the past 20
years. This growth can be attributed to three primary sources:
1 . Annexation of adjacent land areas and their resident
populations;
2. Natural increase; and
3. Net in-migration.
Due to annexation activity, Redding has grown in land area. As of
January 1, 1990, the City had grown to 51.97 square miles in size.
By comparison, in 1980, the City's land area was 29.9 square miles.
The resident populations of the areas annexed between 1980 - 1990
increased Redding's population by approximately 3,000 people.
Natural increase, defined as the normal birth and death cycle of an
existing population group, contributes a very small amount to
population increase. If the trend toward smaller families continues,
growth from this factor alone will be negligible.
In addition to annexation and natural increase, net in-migration'has
also played arole in Redding's past decade (1980-90) of growth.
Redding with its lower crime rates, lower overall housing prices, and
general high quality of life is perceived by persons throughout the
United States as a choice area for relocation. Redding has
experienced a large number of intrastate relocations, especially
families priced out of the housing market and retirees from the Bay
Area and Southern California urban centers.
In a study conducted in 1989 by The Economic Sciences Corporation,
the population of Redding was projected to the year 2009. The
projection took into account numerous factors which could have an
effect on population growth or decline, such as, fertility, mortality,
in-migration, annexations, etc. Assuming all major factors such as
these remain predictable, Redding's population is projected to reach
116,656 by the year 2009. Figure 2 illustrates the conclusions of this
study.
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FIGURE 1
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B. Income and Ethnicity
According to current income figures provided by the State
Department of Housing and Community Development, as of February
1990 the median household income in the City of Redding was $29,400
for a family of four. This is an increase of $14,630 or almost 100
percent, from a decade earlier.
It is important to consider the effect of State legislation passed in
1988 which mandates a community use the higher of:
1. median income figures based on area data; or
2. The median income figures calculated statewide for the type of
community the area corresponds to (metro or non-metro) .
Since 1988, Redding has utilized income figures based on a statewide
average of all California non-metropolitan communities. Even at this
"set" income level, $29,400, Redding's median household income is
considerably less than the national median income of $35,700 or the
State overall median income of $39,800.
Figure 3 shows a distribution of Redding households by annual gross
income in 1980. It graphically portrays the breakdown of the very
low-, low-, and moderate-income components of the Redding
population. These terms are used to describe relative income ranges
tied to the median income of all households within a given community.
Thus, "very-low income" means below 50 percent of such median
income; "low-income", between 50 and 80 percent; and "moderate-
income", between 80 and 120 percent. The term "lower income",
includes both "low-income" and "very-low income"; or all households
that do not exceed 80 percent of median household income. It shows
23 percent of Redding's households falling in the very-low income
category, 9.5 percent in the low-income category, and 30 percent in
the moderate-income category. Conservatively, it can be assumed
that similar percentages are true in 1990.
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This would mean that today, over 5493 households residing in
j Redding are dependent upon a monthly income of less than $1225 per
month. A full 32 percent of the population (7600+ families) are at or
below 80 percent of median.
According to the 1980 Census, minorities constitute 6.4 percent of
the population in the City of Redding. The largest of these
minorities, the group comprised of people of Hispanic descent, made
up 2.8 percent of the population in 1980, followed by American
Indians (1.4 percent) , Blacks (1.1 percent) , and Asians ( .02
percent) . Since 1980, the racial composition within the City of
Redding has changed somewhat. Although no comprehensive data
4 will be available about ethnicity city-wide until the 1990 census, it is
possible to compare ethnic changes within the lower income groups
over the past 10 years. The City of Redding Housing Authority
maintains ethnic data on all applicants to its programs. These
households fall at or below 50 percent of the current median income
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FIGURE 2
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FIGURE 3
DISTRIBUTION OF HOUSEHOLDS BY
ANNUAL GROSS INCOME
CITY OF REDDING.1980
VERY LOW I LOW �YODER TE OTHER
23% 9.5% 30% 37.5%
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Annual Gross Household Income in Thousands of Dollars.
Median Household Income = $14,770
( N =16.841 Households) ( VL =3891 Households) (L = 1600 Households)
SOURCE: U.S. Census.1980
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for the area. As of March 1990, the ethnic breakdown of the 2315
households on the Housing Authority waiting list was: 1) Whites
(84.5 percent) , 2) Asians (5.3 percent) , 3) Blacks (2.3 percent) , 4)
American Indians, et al (4.5 percent) , 5) Hispanics (3.3 percent) .
Figure 4 compares relative median family incomes as reported in 1980,
of the various ethnic groups. The three largest minorities, Blacks,
Indians, and Hispanics share substantially lower median incomes than
the larger white population group.
There exists a higher proportion of lower income families amongst the
three larger minority groups than in the population at large. These
families, along with all the lower income households of the community
face common problems and hardships in regard to meeting their
housing needs. There does not appear to be any indication of unique
housing problems experienced solely because of ethnicity in
Redding.
C. Historic and Current Employment Trends
Figure 5 illustrates the percentage of the area's population engaged
in nonagricultural wage and salary employment by industry for 1975
and 1987. The figures were derived from data collected by the State
Department of Employment Development through December 1987. As
the chart graphically shows, three categories have employed over
64% of the labor force for the past 12 years. These are 1)
government; 2) service industries; and 3) wholesale and retail
trade. Government, though continuing to be the largest of all
employment sectors, did experience a significant drop (-8 percent)
in the relative percentage of persons employed in that category.
There has been only slight growth in the percen-tage of individuals
employed in industries which traditionally command a much higher
wage rate, such as con-struction (up 1 percent), and manufacturing
of other than lumber or wood products, (up 1 percent) . Redding's
current employment opportunities are by far greatest in the lower-
paying industries; that is service industries associated with tourism
and business services, and the wholesale and retail trade industry.
In addition to paying lower overall wages, service and/or retail
industries typically have a higher percentage of persons working
part-time or seasonally than do other types of industries.
The availability of permanent, secure employment paying a decent
wage is a critical factor in the ability of an area's population to
secure housing. Conversely, an area's ability to attract new
industry and increased job opportunities for its residents is directly
related to the ready availability of decent, affordable housing in the
community.
Employment projections for the next 5 years indicate continued
growth in all areas with the service industries experiencing the
largest increase.
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FIGURE 4
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D. Historic and Current Housing Profile
According to the 1980 Census, there existed 17,932 housing units
within the City of Redding in 1980. The State Department of Finance
has estimated the total number of dwelling units within the City of
Redding as of January 1990 to be 26,787, an increase of 67 percent in
available housing units over the past 10 years. The increase in
number of available housing units is a result of two activities:
annexations and new construction. It is estimated that
approximately 1242 units have been added to the city's housing stock
through annexation since 1980.
Redding has experienced a decade of steady activity in the
construction industry. According to figures compiled by the City of
Redding Building Department, 7718 new housing units have been
constructed from January 1980 through December 1989. These
figures indicate that 95.4 percent of the overall increase in available
housing stock is attributable to new construction alone. Of the total
units constructed, 5064 (65.6 percent) were single family homes,
2517 (32.6 percent) were multi-family units, and 137 (less than 2
percent) were mobile homes. Figure 6 illustrates, historically, the
number of units constructed by type.
E. Type, Age and Characteristics of Housing Stock
Redding's housing stock is dominated by single-family detached
dwellings. In 1980, this type of structure made up 61.2 percent of
the total housing units within the city. Since 1980, the overall
percentage of single-family detached homes within the City has
declined slightly to 58.2 percent. These figures indicate a
continuing public preference for this type of dwelling over single-
family attached units such as condominiums or any form of multi-
family unit. Redding's construction industry went through a boom
period for multi-family units during the mid 19801s, when the number
of multi-family units being built equaled the number of single-family
homes being constructed. Since 1986, however, single-family home
construction has out paced multiple unit construction by 3 to 1. This
can be directly attributed to the Federal Tax Reform Act of 1986.
This legislation effectively took away the primary financial incentives
for small investors interested in rental properties.
As reported in the 1980 Census, Redding has 10,904 existing units
which were built prior to 1970. These 20+ year old structures
comprise almost 43 percent of Redding's housing stock. 30+ year old
structures make up almost 27 percent of Redding's dwelling units.
40+ year old housing structures make up about 13 percent of
available housing in Redding. As Figure 7 portrays, almost 57
percent of Redding's available housing stock is less than 20 years
old.
There exists a correlation between the age of a community's housing
stock and the relative condition of that housing stock. In 1980,
Redding had approximately 35 percent of its housing stock classified
as substandard. Of that number, approximately 93 percent were
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considered suitable for rehabilitation. The remainder, due primarily
to the extreme condition of disrepair, were determined unsuitable for
rehabilitation. Typically, dwelling units over 20 years of age are the
most likely to need both moderate and major rehabilitation work to
keep them in a "standard" condition. It is unlikely that units
constructed in the past 20 years would require other than minimum
level rehabilitation.
F. Vacancy Rates
According to Redding Utility Department records, as of April 1990,
Redding's overall vacancy rate for all types of dwelling units was 3
percent. The vacancy rate for single family homes alone was 2.8
percent and for multi-family units, 3.8 percent. A 10 year average
of vacancy rates within the Redding Metropolitan Statistical Area
based upon information gathered by the Federal Home Loan Bank
shows a low of 2.6 percent and a high of 3.8 percent between 1978
and 1987.
This level of vacancy is generally indicative of a slightly under-built
market. Vacancy rates, as an indicator of market conditions,
typically run a fine line between an over built market (typically
considered above 7 percent vacancy) and an underbuilt market
(generally anything under 3 percent) . In a healthy market, there
should be some number of vacant units in all sizes, locations, and
price ranges at any given time in order to allow adequate oppor-
tunities to seekers of new residences. Typically, in this type of
market the choice of units available would be fairly limited for
households seeking new residences. In order to fully analyze the
effect of vacancies upon a specific housing market, it is necessary to
delve deeper into vacancy by type, location, price range, and size of
unit. Hypothetically, there could exist a surplus of units at one
level and a scarcity at another which when averaged together
indicate a vacancy rate indicative of neither. There is no information
currently available which compares variation in the vacancy rate
based on price of unit or size of unit in the Redding area.
The Redding Housing Authority based upon information gathered
from its clients in their search for rental housing in the Redding area
has indicated that the market is extremely tight for all unit sizes in
an affordable price range. Further, affordable three bedroom units
are virtually nonexistant for lower income families. Approximately 24
percent of the households currently on the Housing Authority
waiting list qualify by family size for units of this size. According to
City of Redding Building Department records, of the 894 multifamily
units built between 1987 and April 1990, only 13 percent (116) were
constructed with 3+ bedrooms. Larger, low-income families have
little or no choice of suitable units.
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DWELLI T UNIT CONSTRUCTI , 3y Type
ty of Redding, 1980 - 89
FIGURE 6
# of Units
1000
Total Units Constructed 1980 - 1989 (all types): 7718
800
600
?' '\ •,
400 \`
200 V A
180 181 '82 '83 '84 '85 '86 '87 '88 '89
Year
Single Family Units Multi-Family Units
Mobile Homes
Source: 1989 Year End Report
FIGURE 7
HOUSING STOCK BY YEAR BUILT
City of Reading, Pre 1939 thru 1989
20 - 40 Years Old
1960 - 1vo9 14%
\\\�k_40 Ivry
40+ Years Old
� ...... \ Pre 1y39
107n - 1W(;
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10RO
30%
Less than 20 Years Old
Source: 1980 Census
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G. Low-Income Assisted Housing
As of 1990, 819 very low-income households within the City of
Redding were receiving government assisted housing subsidies
administered through the Redding Housing Authority. These
subsidies, as illustrated by Figure 8, are in four program
categories: 1) State Aftercare Subsidies, 2) HUD Section 8
Vouchers, 3) HUD Moderate Rehabilitation Subsidies, 4) HUD Section
8 Existing Certificates. Assisted units are scattered throughout the
city with the highest concentration occurring in neighborhoods with
lower priced multi-unit complexes available. Another 419 site-
specific HUD rental subsidies are available for use at seven
multifamily rental complexes in Redding which utilized HUD 202, 231,
or 236 financing assistance. These complexes are Redding Pilgrim
House, Butte House, Cottonwood House, Downtown Plaza
Apartments, Heritage Plaza, Redding Gardens, and Kutras Gardens.
Of the available subsidies, 89 are reserved for seniors, 12 for
disabled individuals, 48 for either seniors or disabled, and 270 for
families.
The City of Redding Housing Authority reports that over 1400
families are currently on the waiting list for subsidized housing.
HUD requires that subsidies be awarded based upon a priority
system. The current priority categories listed in descending order
are: (1) homeless; (2) paying in excess of 50% of the family's income
towards rent and utilities, or living in a substandard unit; (3) very
low-income only. The Housing Authority further estimates that the
average wait on the list for a family that does not fit into the first or
second priority categories can be from 1 - 4 years.
As reported in the 1980 census, 23 percent of households in Redding
(approximately 5490 based on 1990 population estimates) are
considered very-low income and potentially eligible for subsidized
housing assistance. These figures indicate a huge gap between the
current level of assistance available and the number of households
likely to need assistance.
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FIGURE 8
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III. HOUSING NEEDS ASSESSMENT
State housing element law requires that a community analyze both its
existing housing needs as well as its projected housing needs for the
required planning period. Such existing and projected needs analysis must
include consideration of the locality's share of the regional housing need as
provided by the local Council of Government or, in Redding's case, as
provided by the State Department of Housing and Community Development.
In order to meet required State housing element conditions and create a
useable, accurate, planning document, this section relies to a large extent
upon expert community resources, particularly in the determination of
housing need among the required special needs groups.
This chapter begins with an analysis of housing characteristics of the City
of Redding housing stock, in greater detail than the previous overview of
the same subject. It includes an analysis of the special housing needs of
the Redding population, particularly for the following identified groups:
the elderly, the handicapped, large families, families headed by a single
female parent, minorities, and the homeless.
It concludes with an analysis of the projected housing needs of the Redding
area utilizing our regional housing share figures as provided by HCD.
A. Housing Characteristics
The Historic and Current Housing Profile traced the historic and
current profile of housing types, age, condition, and vacancies with
Redding's housing stock. This section will detail specific housing
characteristics present in Redding in 1990 in order to formulate an
accurate and comprehensive housing needs assessment. Topics
covered will be: homeownership, housing costs, rentals,
overcrowding, ability to pay, condition, and special housing needs.
1. Homeownership/Housing Costs/Ability to Pay
In 1980, it was reported that 53.4 percent of households in
Redding resided in housing units that they owned. Today in
1990, this would mean approximately 12,763 households own
the home they live in. Census data shows that in 1980
approximately 17% of all homeowners surveyed were overpaying
for housing. Among the lower-income homeowners (18% of all
homeowners) 39.2% were overpaying for housing. Using 1990
household population figures, this would translate to
approximately 2170 homeowners currently overpaying, out of
which approximately 900 are lower income. A commonly
accepted definition of "affordable" as it relates to housing
costs is when a household pays less than ,30 percent of its
gross monthly income for housing, including taxes and
insurance . (and utilities, in rental housing) . Housing
payments totaling more than 30 percent of the household's
income constitutes "overpaying".
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In Redding, as throughout the country, the dream of
homeownership is an elemental part of the structure of
American life. It continues to be held as a goal for a majority
of citizens and historically, has been used as an indicator of
status and prosperity. Today, in 1990, the reality of
homeownership is beyond the reach of a growing segment of
the area's residents. Redding's citizens, while enjoying a
substantially lower-priced real estate market than the rest of
the state (see Table 1), are finding the lower wages of the
area and the accelerated rate of appreciation in both new and
existing homes in the area serves to close the market to all but
those in the higher income categories. Table 1 compares
Redding's 1989 median home cost and median income with
f various other communities in the State.
TABLE 1
1988-1989 California Housing Prices and
Median Incomes vs Redding Housing Prices and Median Incomes
8 of Median
1989 1989 Required
Median Income Median Price* to Purchase
Redding $ 28,500 $ 85,000 1008 ($28,333)
California $ 38,500 $196,521 1708 ($65,450)
Selected Regions
Central Valley (Fresno Co.) $ 30,600 $ 97,402 1068 ($32,436)
Los Angeles $ 38,000 $215,472 1898 ($71,820)
Sacramento $ 36,100 $112,563 1048 ($37,544)
S. F. Bay Area (S.F. Co.) $ 44,000 $260,592 1978 ($86,680)
San Diego $ 36,700 $175,255 1598 ($58,350)
f *Based on closed escrow sales of single-family, detached homes.
Source: California Association of Realtors/Shasta County Board of Realtors
California State Department of HCD.
According to the Shasta County Board of Realtors, the past
year has seen a 25 percent increase in the median price of a
single-family home, from $85,000 to $106,000, (a total increase
i of 79 percent over the 1980 median of $59,200) .
Incomes, according to figures provided by California State
Department of Housing and Community Development, have only
increased by 3 percent, $28,500 to $29,400, over the past
i year.
The area's median income generally indicates an ability to
purchase a home with a maximum purchase price three (3)
times as great or $88,200. Current interest rates hover
around 10.5 percent on a 30 year fixed rate mortgage.
Indications are that these relatively low interest rates will
i remain steady for several more years. In Redding, the
minimum annual income necessary to purchase a median priced
home ($106,000) , assuming a 10 percent cash downpayment,
would be approximately $32,000 (108 percent over median) .
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would be approximately $32,000 (108 percent over median) .
Most homes in this price range are resale units. New single
family detached homes currently being built within the City of
Redding start at $120,000. Figure 9 compares the levels of
income necessary to purchase typical new and existing housing
available in Redding in 1990.
2. Rentals/Ability to Pay
According to the 1980 Census, 46.6 percent of all occupied
housing was classified as renter-occupied. Using 1990
household figures, this means approximately 11,137
households rent rather than own their principal residence.
Rental units in Redding are generally smaller than owner-
occupied units (a median of 3.9 rooms for rental units v.s. 5.5
rooms for owner-occupied) and in 1980, occupied by a
reported 1.94 persons per unit v.s. 2.34 persons for owner-
occupied housing.
Median renter income in 1980 was 55 percent of the median
income of owner-occupied households ($10,919 v.s. $19,678)
and 75 percent of the overall area median income. Median rent
was $246, representing 27 percent of total renter median
income. The 1980 census reported that approximately 410 of
all renter households were overpaying for housing. However,
among the lower-income renter households, approximately 74%
were overpaying. Lower income renters make up approx-
imately 47% of all renter households. Using 1990 population
figures this means there are approximately 5,234 low-income
renter households, out of which 3873 (74%) are overpaying for
housing.
Rental prices in Redding have steadily increased over the
past ten years (1980 -1990) . As stated above, the median rent
paid in Redding in 1980 was $246. In 1990, according to a
survey conducted in May of currently advertised and available
rental units, rent figures ranged from an average of $302 for
one bedroom apartments to an average of $727 for 3 bedroom
houses. Median rent for all sizes and types of rental units
surveyed is approximately $500. Table 2 shows the current
rent ranges for the differents sizes and types of units in
Redding. Table 3 illustrates maximum affordable rents for the
various income categories.
Low-income and very low-income households have considerable
difficulty in locating affordable housing. Large families at
these income levels face the almost impossible task of locating
an appropriately sized unit which is also affordable. Even
median income families can afford only the the least expensive
three bedroom units. The average priced three bedroom
single family home is not affordable to the majority of
households.
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3. Overcrowding
According to the 1980 Census, 517 households, approximately
3 percent of the general population, were living in
overcrowded conditions in 1980. An overcrowded household is
one in which more than 1.01 persons occupies each room of a
dwelling unit. Of these overcrowded households, 74% were
renters and 26% homeowners. Although no statistics exist
which compares this general view of overcrowding with
overcrowded conditions amongst lower income families, it is
generally assumed that most overcrowding occurs because of a
household's inability to afford larger living quarters.
Applying the .1980 figures to Redding's 1990 population,
approximately 717 households would be considered
overcrowded today. Of these, approximately 531 are renter
households and 186 are homeowners.
Based upon the scarcity of larger (3+ bedrooms) rental units
within the City of Redding as shown in Table 2, it is possible
that some larger families are forced to accept smaller units and
put themselves in an overcrowded situation simply because
nothing larger is available in an affordable price range or
otherwise. The City of Redding Housing Authority reports
that a majority of the families on the 4+ bedroom waiting list for
subsidies end up renting smaller units due to scarcity of
appropriately sized units.
4. Condition
The City's Housing Assistance Plan (HAP) for 1989 to 1991
estimated the number of substandard units in the City in 1988
to be 5,184. The estimate is based upon information from the
1976 Survey of Housing Conditions in the City of Redding per-
formed by the U.S. Census Bureau, as well as housing
conditions information provided by City Housing Department
staff. Current City rehabilitation programs are available
Citywide and staff monitors conditions present in all neighbor-
hoods on a regular basis.
Housing units are considered substandard if they meet the
following definition: Those buildings which exhibit structural,
plumbing, and/or electrical deficiencies and/or those units
which violate one or more significant aspects of the City of
Redding's Housing Rehabilitation Standards. Units are also
considered substandard if they do not provide safe and
adequate shelter or are in a deteriorating condition caused by
use or inadequate maintenance and do not meet the Department
of Housing and Urban Development Section 8 Housing Quality
Standards.
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TABLE 2
Rental Units Rent Ranges in Redding, May 1990
Low Avg. High
Studio $175 $230 $300
One Bedroom, attached $225 $302 $450
One Bedroom, detached $225 $342 $475
Two Bedroom, attached $330 $405 $450
Two Bedroom, detached $375 $476 $550
Three Bedroom, attached $425 $622 $725
Three Bedroom, detached $575 $727 $1,000
Four + Bedroom*, attached (not available)
Four + Bedroom, detached $700 $715
*Only three 4-bedroom houses were listed over the 5-day survey period.
No 4-bedroom apartments were listed.
Source: Classified Ads, Redding Record Searchlight; May 1 - 5, 1990
TABLE 3
Affordable Rents in Redding, 1990
Maximum
Relation to Median Income Monthly Rent
Household at or below 508 $14,700 $368
(very low income) ($268)
Household between 518-808 $23,520 $588
(low income) ($488
I )
Household between 818-1008 $29,400 $735
(median income) ($635)
Household between 101-1208 $35,280 $882
(moderate income) ($782)
i
*Maximum monthly rent includes $100 utility allowance figures in
parenthesis is net rent minus utility costs.
Source: City Housing Dept., based on HUD Median Income for a family
of four ($29,400), February, 1990.
I
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Substandard housing units are further classified into those
that are suitable for rehabilitation and those which are not
suitable for rehabilitation. The following definition of
"suitable for rehabilitation" is used: Those buildings which
exhibit one or more of the deficiencies listed under the above
definition of substandard, all of which can be repaired in
conformity with current codes and ordinances for a sum not to
exceed the value of the building. Buildings are considered
"not suitable for rehabilitation" when the cost of the needed
repairs would exceed the value of the structure. As property
values escalate, some buildings previously determined
"unsuitable for rehab" would move into the "suitable for
rehab" category. This crossover is estimated to include
approximately 30% of the previously unsuitable for rehab
housing stock reported in the 1976 survey.
The 1976 Housing Conditions Survey reports that there were
6,258 substandard units (410 of the total housing stock in
1976) in Redding which were suitable for rehabilitation and 523
substandard units (3% of the housing stock) which were not
suitable for rehabilitation. Of all occupied substandard units,
it is estimated that 51% are occupied by lower-income house-
holds.
Since the 1976 survey, 923 substandard units have been
rehabilitated utilizing City programs. It is estimated that
approximately 200 units per year are privately rehabilitated or
2600 units since 1976. These 200 annual private rehabilitations
are accounted for by private owners completing actions such
as replacing a leaking roof, repairing aging plumbing, or
replacing broken windows. All of these conditions, prior to
repair, would classify a unit in violation of HUD Section 8
Housing Quality Standards. Landlords participating on the
Section 8 rent subsidy program or desiring to participate are
required to bring units up to a basic standard of condition.
Typically, unless an owner is participating on the Rental
Rehabilitation Program, the rehabilitation is completed at the
owner's expense and therefor counted under "substandard
units rehabilitated privately." Roughly 2700 units (10% of the
current housing stock) remain in a substandard condition
which could be alleviated by rehabilitation.
Of the reported 523 substandard units not suitable for
rehabilitation, it is estimated that 104 have been demolished
and approximately 194 have been included in rehabilitation
activities. As described above, as housing prices increase it
becomes financially feasible to rehab some of this housing
category rather than tear down and rebuild. Approximately
225 of these substandard units remain standing in 1990 (less
than 1% of the existing housing stock) .
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• i
5. Special Housing Needs
Some population subgroups such as the elderly and
handicapped, large families, female-headed households, farm
workers, and the homeless have special housing needs which
may not be addressed by the conventional housing market. As
required by State guidelines, the shelter needs of these
special groups are discussed in this section.
a. Elderly
According to the 1980 Census, 12 percent of Redding's
households are headed by persons 65 years of age or
older. Updated by 1990 population estimates, this would
mean approximately 2,868 elderly households reside in
the community today. Of these, approximately 68%
(1,950 households) are homeowners and 32% (918 house-
holds) are renters. The Census also reveals that the
income levels of these elderly households is critically
low, especially for elderly people living alone. Over
16.9 percent of the single elderly households were at or
Ibelow poverty level in 1980, compared to 10.1 percent of
i households in the general population. Due to the
i disproportionate number of poverty level households
within the elderly population, affordability of housing
tops the list of critical housing needs for this group.
I
Elderly households, in addition to requiring affordable
housing, have a special need for housing accessible to
'I public transportation, community medical facilities,
retail centers, and possibly with greater than normal
security. This group on the whole is less mobile than
the general population and accessibility of the above
i listed facilities and services is critical to their ability to
reside in any particular location.
During the period 1985-90, several housing complexes
were constructed in Redding specifically for the elderly
population. One complex, Pilgrim House with 49 units,
reserves all of its units for very low-income seniors or
handicapped persons, due to requirements of its long-
term financing, (the HUD 202 program) . Another,
River Oaks Retirement Center, is obligated to keep 20
percent of its 100 units available to lower-income
seniors. This is, again, a condition imposed by the
terms of the financing source for the project, (Multi-
Unit Rental Housing Revenue Bonds issued by the
Redding Housing Authority) .
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I
b. Handicapped
The special housing needs of the handicapped/ disabled
population of the area seem to be concentrated in two
areas: 1) availability of affordable units, and 2)
accessibility within the housing unit based on individual
disabilities. It has been difficult to find accurate
figures which represent the total handicapped
population in Redding with special housing needs. Most
agencies which serve this population specialize in a
particular type of disability or age group and simply do
not have the capacity to collect overall population data.
The 1980 Census gathered information specifically on
work-related and public transportation disabilities
among the general population. It shows that in 1980,
4.4 percent of the general population 16 years of age or
older had either a work-related disability, public
transportation disability or both. No information is
provided which indicates how many of this population
are homeowners, renters, or at which income level. It is
likely that the overall number of disabled individuals in
the general population is much greater. Local service
providers for the disabled population estimate that as
many as 10-17 percent of the general population may be
disabled to the point of needing modification to their
housing arrangement.
Obviously, all handicapped individuals do not have
special housing needs. However, it is generally
assumed that many individuals with a disabling physical
handicap require some degree of modification to their
housing unit based upon the limitations of their indivi-
dual handicap. Also, individuals with mental or
developmental handicaps such as the mentally retarded
or persons with behavior related problems, more often
require modification in the type of housing they reside
in. For example, many of this population find that
group living quarters, or clustered housing is a
desirable arrangement. These types of housing styles
provide a greater level of independence than do institu-
tional facilities but still maintain a certain degree of
supervisional caretaking.
Far Northern Regional Developmental Disabilities Center
and The Independent Living Center of Northern Calif-
ornia, two non-profit agencies in the Redding area that
work exclusively with the disabled population, report
that after affordability, the single most important
housing problem facing this group is physical access-
ibility of units.
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In 1984, Title 24 of the State Uniform Building Code
mandated that all multi-family residential construction
projects containing in excess of 5 units under con-
struction after September 15, 1985 would conform to
specific disabled adaptability/ accessibility regulations.
Unfortunately, the actual increase in the number of
handicapped accessible units available on the current
rental market has been small. For the two year period,
January 1987 through January 1990, only 10 multifamily
projects containing a total of 351 units were constructed
which fell under Title 24 regulations. Of these
constructed units, approximately 22 are considered
handicapped accessible, with the remainder, 329 units,
containing features which make them more readily
adaptable for tenants with physical disabilities if the
landlord so chooses in the future. In 1990's tight rental
market, little if any actual incentives exist to encourage
a landlord to cover the extra expense of converting
these "adaptable" units to "accessible" units.
The housing needs of developmentally disabled persons
are typically not addressed by Title 24 regulations. As
touched on earlier, the needs of this disabled group
tend to fall into the category of availability of a special
type of housing. There continues to exist a need for
housing which provides a semi-sheltered, semi-
independent living state, such as clustered group
housing or other group living quarters. Group home
living quarters for a variety of specific disabled
clientele groups have traditionally been found inter-
mixed within residential neighborhoods. Larger single
family homes are purchased or leased by the supporting
agency and house a small group of handicapped clients
along with support personnel. The availability of these
larger, 4-5 bedroom homes, is diminishing, as well as
becoming cost prohibitive to purchase and/or lease. By
local zoning ordinance, residents are limited to 6 or
fewer in number per facility if located within standard
single-family zoned neighborhoods. In addition, the
general public continues to voice its displeasure at
housing these group homes within residential neigh-
borhoods. Although the latter problem is unlikely to go
away regardless of how many hours of public education
and/or familiarity with the client groups occurs, the
problems of affordability and availability are worthy of
further civic attention.
A fact that compounds the housing problems of the
disabled population is that many fall into several of the
special needs categories. Many of Redding's disabled
are also elderly and/or single individuals. Many of
i
- 26 -
•
these households require units with a second bedroom
because of live-in attendant care needs. The larger
units are correspondingly more expensive to rent,
making housing costs excessively large for these mostly
fixed income families.
C. Large Families
The housing needs of large families, which HUD defines
as those consisting of 5 or more members, have been
touched upon in the previous section on overcrowding.
There exists in Redding a shortage of large (4+ bed-
rooms) rental units suitable for housing a "large"
family. The current rent figures for the few units of
this size (see Table 2) make them unaffordable to lower
income families.
According to the 1980 Census, large families make up
7.9 percent of the total households in the City. Of
these, approximately 37.8% are renter households and
62.2% are homeowners. Translated into 1990 figures this
means 1888 households Citywide are considered large
(5+) by HUD standards. Of these, 714 are renters and
1174 are homeowners. Ethnicity clearly impacts the
probability of being a large family with 15.8 percent of
all Asian families in 1980 considered large; 15 percent of
all Black families; 14.2 percent of Hispanic families; 13.8
percent of American Indian families; and only 7.7
percent of White families. Over the past ten years,
there has been a large increase in the percentage of
Asian families residing in the area. Of these, large
families tend to be the norm. The City of Redding
Housing Authority reports that Asian families make up
over 17 percent of all families waiting for 3+ bedroom
subsidies and 34.8 percent of the families on its 4+
bedroom waiting list. The City of Redding Housing
Authority has been successful in increasing the number
of subsidies available for larger households. 72% (36
subsidies) of the last two new subsidy allocations
received from HUD have been reserved for use in 3 and
4 bedroom units.
d. Female-Headed Households
According to the 1980 Census, 15.5 percent of all
households in Redding are headed by a female. Of these
households, 76 percent have minor children in the
household. Further, the mean family income of female-
headed households with minor children present was
reported to be 65 percent less than all families in
general. Of the remaining 24 percent, female-headed
- 27 -
•
households without children present (typically elderly
women) , the income figure is just slightly less chilling,
only.30 percent less than all families in general. Of the
over 3700 female-headed households residing in Redding
in 1990, it is estimated that 80 percent are overpaying
for housing. The City of Redding Housing Authority
reports that over 98% of the single-parent households
currently on the waiting list for subsidies are headed by
females. These statistics represent an accurate picture
of what has been called the "feminization" of poverty.
According to the housing report, "Grasping at the
Dream, California Housing: Who can Afford the Price?"
prepared by the California State Senate Office of
Research in June 1990, several expert sources feel that
female-headed families are disproportionately affected
by the current housing crisis and are possibly the
group with the most extensive housing needs. Further,
nationwide, two thirds (66 percent) of all low-income
renter families with children are composed of a woman
single parent and her children.
In addition to affordability issues, much of this group
has an added burden of locating units which are suitable
for raising children. Features such as an adequate
number of bedrooms, play yards, fencing, and a
physically safe neighborhood are critical issues to the
well being of a family with children. Most new rental
housing is being built with 2 or less bedrooms.
According to City Building Department records, of the
894 new multi-family units which have been constructed
from 1987 through April 1990, 87 percent (778) had 2
bedrooms or less. Existing rental units in an affordable
price range are typically located in older, less desirable
neighborhoods.
e. Minorities
The breakdown of Redding's population by ethnic group
is presented in an earlier section of this document,
"Income and Ethnicity." The housing needs of these
groups are, for the most part, identical to those of non-
minorities in Redding. All low and moderate income
persons regardless of ethnicity, face the major problem
of housing affordability and secondly, the issue of
i housing availability. Other than the correlation between
minorities and size of family, which was discussed
previously in the section on large families, housing
problems existing solely because of race do not appear
to be an issue in the community.
- 28 -
i
f. Farmworkers
Redding is located at the northern end of the
Sacramento Valley, which is above the major agricultural
areas of California. In 1988, agricultural employment
comprised only 2.4 percent of the total wage and salary
employment in the entire County. This category of
employment, in addition to containing traditional farm
work, includes those individuals employed in the
forestry industry. Individuals employed in the forestry
industry typically have permanent housing they return
to on a daily basis or are housed by the company at the
various job sites, the majority of which are located in
the mountainous areas outside of the county. The
primary types of traditional farm work in Shasta County
are jobs related to strawberry plant processing, potato
harvesting and apiary work.
According to the State Employment Development
Department's Agricultural Specialist for Shasta County,
within the planning area of the City of Redding there
are no agricultural operations which use temporary,
seasonal farm workers. The Region 2 Office of Migrant ti
Child Education also reports that they do not perceive a �I
need for specific housing for farmworkers in the
immediate Redding area. Both of these service
providers stated that the vast majority of farmworkers
residing in this area are permanent, not migratory,
residents. According to both sources, EDD and Migrant
Education, many of the families employed in farmwork
are of Hispanic or Southeast Asian heritage. Because
these ethnicities tend to have larger families, the
difficulties described in Sections III5c "Large Families"
and IIIA3 "Overcrowding" would apply. These problems
would be compounded with any communication
difficulties related to non English speaking households.
In order to mitigate this last difficulty on City
sponsered programs, the City of Redding Housing
Authority has access to translators for many of the
commonly spoken Southeast Asian dialects, as well as
Spanish, if needed. It appears that except for those
problems noted above, the housing needs of households
employed in agriculture do not differ from other
households of comparable income employed elsewhere in
this area.
g. Persons or Families in Need of Emergency Shelter
Recent amendments to housing element law (Article 10.6
of the Government Code) require local governments to
plan for the provision of shelters and transitional
- 29 -
housing for homeless persons and families. In addition,
all localities must designate sites suitable to accommodate
facilities capable of meeting the identified need. The
following discussion attempts to identify those in the
population who are currently in need of emergency
shelter as well as project an estimate of the number of
persons and families who are considered to be in an "at
risk" category. This last group would be individuals
and families whose current housing situation is so fragile
that the likelihood of their requiring emergency shelter
in the immediate future is high.
The 1990 Census is the first national effort taken to
enumerate the homeless population. The final figures
!{ from the Census, will not be available until 1992 or
later. Based upon preliminary figures received from the
Census office, it is anticipated that the homeless
population count in Redding will fall between 500 - 800
persons. This report, by necessity, also relies upon
estimates provided by the primary providers of current
services to Redding's homeless and at risk populations.
Among these service providers are the City and County
Housing Authorities, County Social Service Department,
County Mental Health Department, County Youth
Services, Social Security Administration, as well as
several non-profit community-based organizations:
People of Progress, Northern Valley Catholic Social
Services, Good News Rescue Mission/House of Hope, and
1 the Salvation Army.
Documenting the existence of homeless people is,
unfortunately, as simple as driving by any of several
gathering spots in the community. Documenting the
extent of the homeless condition in the area, on the
other hand, is difficult to the extreme. Service
providers generally are working with specialized
segments of the total homeless/at risk population.
Overlap among clients occurs frequently as many of this
population have multiple unmet needs.
Homelessness, by its very definition, implies an absence
of basic necessities. Lack of shelter typically goes hand
in hand with lack of adequate food, clothing,
transportation, and steady income. In addition to the
portion of the whole which might be double or triple
counted, there also remains a portion of the whole which
is more likely not to be counted at all. Those individuals
who choose to separate themselves from organized
society's efforts to "help" them will remain uncounted.
- 30 -
It is even more difficult to tally the "at risk" portion of
the population. These people represent a potentially
huge addition to the overall homeless population. On
the verge of homelessness, many of these "at risk"
people are in a constant state of flux between the two
designations. The largest element of the at risk popula-
tion is made up of lower-income families, tenuously
employed or relying on public assistance who are
currently over paying for housing. A slight over
balancing in any area of their lives can push them into
homelessness.
Many service providers feel that homeless families make
up between 75-90 percent of the homeless population in
the area. Three providers, the Housing Authorities of
the City of Redding and Shasta County and the Shasta i
County Social Service Department operate programs
which, for the most part, deal exclusively with homeless
families. The City of Redding Housing Authority
reports that during the 24-month period September '88
through August 190, 214 homeless families were assisted
with Section 8 rent subsidies. The Department of Social
Services had applications for assistance from approx-
imately 1,928 unduplicated families, (4,820 individuals) ,
from July 1989 through May 1990.
The Department of Social Services is able to assist
homeless families through two programs. The first
provides monetary assistance for shelter (up to 28 days) j
at local motels. The second provides monetary j
assistance to help with the move-in costs associated with p
securing permanent housing. Eligible costs are utility
and security deposits, as well as one month's rent.
Both of these programs are available one time per year
for each eligible family statewide.
Several local non-profit agencies also assist the homeless
population in the following ways. Motel vouchers for
emergency shelter are available from People of Progress
and the Salvation Army. Both of these agencies serve
both homeless singles and families, however, POP
reports that the majority of its clientele is made up of
families, while the Salvation Army serves primarily
single men. The amount of assistance these two
agencies can provide is very limited, a total of 555 motel
voucher nights per year.
Year round emergency shelter is available for single men
through the Good News Rescue Mission. This primarily
evangelical religious organization operates a 36-bed
- 31 -
s •
homeless shelter throughout the year. In exchange for
their attendance at a religious service, homeless men
receive meals, shower, and a bed. A sister facility,
House of Hope, run by the same organization, provides
similar assistance for up to 40 women and children per
night.
The only secular emergency shelter currently available
in the community is the Armory Shelter, which is open
on a seasonal basis only. This seasonal facility, open
typically from December - April each year, provides
food, baths, and beds for up to 125 men, women and
children per night. Last season the Armory Shelter
provided 7,098 lodging spaces (an average of 63 per
night) . The majority of users of this shelter are single
men (approximately 70%) . Homeless families comprise
approximately 25% of the shelter clients, with single
women making up less than 5% of the clientele.
Various private and governmental agencies provide
limited emergency shelter to specialized client groups
apart from the above-mentioned facilities. Shasta
County Community Mental Health Services is able to
temporarily house up to sixteen client households each
night, utilizing motel rent vouchers. The Shasta
County Women's Refuge operates a 24-bed emergency
facility available to abused women and children for up to
a one-week stay.
As discussed previously, an absolute head count of the
homeless population in the area has not been attempted.
Population estimates for this special need group have
varied widely depending upon the service organization
consulted. As stated previously, preliminary
information received from the U.S. Census office
indicates a homeless population of approximately 500 -
800 persons. This count includes persons residing in
recognized shelters and in street locations only.
It is apparent that the present number of shelter spaces
in the community, both on an emergency basis and on a
transitional basis are inadequate. There are no
permanent year-round emergency shelters which do not
require participation in religious activities. Available
motel vouchers are inadequate to meet the nightly need.
There currently are no transitional facilities to house
homeless people while other personal and economic needs
are addressed.
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In order to begin to mitigate this situation, the City is
currently working with one service provider to establish
a 10+ bed transitional facility for homeless, single
teenage mothers. It is scheduled to open in January
1991. Recent Federal and State funding for both
emergency and transitional shelters has opened up the
possibilities for innovative service providers interested
in creating similar opportunities for other client groups.
Sites for transitional and emergency housing are
available throughout the City. New construction of
transitional and emergency housing is possible in all
residential areas if density standards are met. Existing
housing could also be used. Some commercial and
industrial General Plan land use classifications also
could allow these residential uses subject to the granting
of a use permit. For these reasons, it is not felt that
current City zoning and land use ordinances are a
constraint to the development of homeless facilities.
Based upon staff research with the area's homeless
service providers, there exists a vital need for
transitional housing facilities able to house a minimum of
30 - 50 families. Other expressed needs are for a year
round emergency shelter of 50 - 80 beds able to serve
singles and families and transitional housing facilities
for both teenage substance abusers and other
unemancipated youth.
There also exists a vital need for improved coordination
among providers of service to this population. For the
homeless population, more so than for any other special
need group discussed in the context of this Element,
alleviation of the need for housing cannot be isolated
from the group's concurrent social, physical, medical,
and economic needs.
B. Assessment of Future Housing Needs Based upon Regional Share
Figures
The State Department of Housing and Community Development has
projected that by July 1992, Redding's population will consist of
23,099 households. Table 4 illustrates these households broken
down by income group. HCD has further estimated the new housing
construction that must be built to adequately house Redding's future
population. In order to bring these figures current, the number of
actual residential units that have been constructed in Redding since
January 1, 1984 (HCD calculations are based on existing housing
units and population figures as of 1-1-84) have been subtracted from
the projected need figures in Table 5.
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As can be seen by the following tables, the number of new housing
units already constructed in Redding since the Regional Share
Housing Need figures were published has far surpassed the total
number of units projected to be needed by 1992. The challenge is to
direct the area's development of housing for lower income
households. Of the total number of housing units built since 1/84,
5,769, the vast majority have been constructed for the moderate and
above income groups.
Section IX "Implementation Programs and Quantified Objectives" lists
programs which are expected to facilitate the construction of 160
units of housing affordable to lower-income households over the next
two years.
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TABLE 4
California State Department of Housing and Community
Development Population Projection Figures, to
July 1, 1992; Redding.
Income Group Households Percent
Very low 5,313 23 percent
Other lower 3,927 17 percent
Moderate 4,851 21 percent
Above moderate 9,008 39 percent
TOTAL 23,099 100 percent
Source: California State HCD
TABLE 5
California State Department of Housing and Community Development New
Construction Needs, 1/84 to 7/92; Redding.
New Construction Constructed Revised
Income Group Needs 1/84 - 6/90 Need
Very low 960 (23%) 49 911
Other lower 710 (178) 46 664
Moderate 876 (23%) 1,000 -
Above Moderate 1,627 (398) 4,696 -
TOTAL UNITS NEEDED 4,173 (100%) 5,769 (138%) 1,575
Source: City Planning Department and California State HCD
- 35 -
IV. LAND INVENTORY & SITE AVAILABILITY
The purpose of the land inventory is to identify sites suitable for
residential development in order to compare Reddings' holding capacity
with its projected housing construction need.
A. General Plan Classifications
Redding's General Plan establishes 11 residential categories, as
identified in the Land Use Element. Each category is described in
terms of dwelling units per gross acre, as follows.
- 0.1, 0.2, and 0.5 dwelling units per gross acre
- 1.0 dwelling units per gross acre
- 2.0 dwelling units per gross acre
- 3.0 dwelling units per gross acre
- 3.5 and 4.0 dwelling units per gross acre
j - 6.0 dwelling units per gross acre
- 9.0 dwelling units per gross acre
- 12.0 dwelling units per gross acre
- 18.0 dwelling units per gross acre
a - 24.0 dwelling units per gross acre
- Office/Residential
i - Retail Commercial
In all residential classifications, the maximum number of units
permitted on any single parcel is computed by deducting any areas
1 shown on the General Plan as "Greenway" (steep slope in excess of
20 percent, or 100-year flood plain) . The remaining area is then
multiplied by the density factors shown for the parcel in question.
Residential uses are also allowed in some commercial classification by
use permit, however, they are not counted as residential.
'
B. Zoning
Redding's zoning ordinance establishes various zoning classifications
which control both land use and development standards. The City's
residential zoning classifications are as follows:
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Zoning
District Description
"R-1" Single-Family Residential District; 6,000-square-foot
minimum parcel size.
"R-2" Duplex Residential District; 6,000-square-foot minimum
parcel size.
"R-3" Multiple-Family Residential District; 6,000-square-foot
minimum parcel size; one unit per 1,000 square feet of
land area.
"R-4" Multiple-Family Residential District; 7,000-square-foot
minimum parcel size; one unit per 2,000 square feet of
land area.
"RM-6" Multiple-Family Residential District; 15,000-square-
foot minimum parcel size; one unit per 6,000 square
feet of land area.
"RM-9" Multiple-Family Residential District; 15,000-square-
foot minimum parcel size; one unit per 4,000 square
feet of land area.
"RM-12" Multiple-Family Residential District; 15,000-square-
foot minimum parcel size; one unit per 3,000 square
feet of land area.
"RM-18" Multiple-Family Residential District; 15,000-square-
foot minimum parcel size; one unit per 2,000 square
feet of land area.
"RM-24" Multiple-Family Residential District; 15,000-square-
foot minimum parcel size; one unit per 1,500 square
feet of land area.
"PD" Planned Development District; 5-acre minimum size;
density bonuses vary depending on General Plan
classification, but do not exceed 24 units per acre.
"U" Unclassified District; maximum number of units
permitted is computed by determining the total area of
the parcel, then deducting any areas shown on the
General Plan as greenway, steep slope, or floodplain.
The resulting figure is then multipled by the density
factor shown on the General Plan to determine the
maximum number of units.
In addition to the above, the "B" Combining District establishes
certain regulations which apply in lieu of building site area, yard,
and lot-width requirements in districts combined with a "B" District.
- 37 -
All land within the City limits is zoned. Evert vacant, undeveloped
land that is zoned "U" Unclassified District may develop to the
density expressed by the overlaying General Plan classification.
Zoning, therefore, is not considered a barrier to the availability of
,I residential land for development.
C. Population Holding Capacity of the General Plan
Over the last 10 years Redding has experienced rapid expansion,
growing in size from 29.9 to 51.97 square miles and in population
from 41,995 to 63,412 persons. Redding's General Plan is the
blueprint that guides development so that it occurs in an orderly,
cost-effective, and desirable fashion. The General Plan Area
extends beyond the City limits and comprises 61,616 acres, or a little
over 96 square miles.
Basically, the General Plan constitutes a holding capacity for the
I City's various land uses. A potential population of over 216,000
persons can be accommodated in Redding's General Plan area, based
on the amount of land presently devoted to the various residential
categories.
As fringe areas outside the City limits urbanize, the holding capacity
will increase because either urban densities are raised or the General
Plan Area is expanded. The reasons for the larger holding capacity
are to:
1. Permit movement within the market place of locations for
development.
2. Avoid lack of land availability, which would raise land prices
and subsequently affect housing affordability.
3. Develop a street system that is workable for the next 30 to 50
years.
4. Offset land withheld from development for one reason or
another.
5. Allow people to predict changes that will occur in the future.
j 6. Allow utilities to size their lines and program their capacity
requirements.
I
7. Try to minimize future costs of having to upgrade
infrastructure systems or structures because of lack of
foresight.
i
Tables 6 and 7 identify the acres devoted to each residential General
Plan classification as of June 1, 1990, both within the City limits and
within the larger General Plan Area. In both cases, virtually one-
38 -
ne-38 -
half of all land uses are devoted to residential uses. The tables also
identify potential dwelling units and population (using population
factors based on a combination of 1980 census material, City utility
records, and State Department of Finance figures) .
As of January 1, 1990, the State Department of Finance estimates
that there are 26,787 dwelling units in Redding. The City's General
Plan allows for the construction of 63,788 dwelling units inside the
City limits and City staff project a residential building rate of 1,250
dwelling units per year from January, 1990 to January, 1993. Given
this rate of development, it would take only 30 years to construct the
remaining number of units allowed under the General Plan.
However, it would only take 15 years for land pressure to grow if the
availability does not stay ahead of the market demand. According to
both City Planning Departments and Building Department records,
current building patterns in Redding indicate residential
development projects typically utilize the full capacity of units
allowed by zoning.
In addition to the lands within the City presently available for
residential development, City staff estimates that as much as 6,500
acres, or a little more than 10 square miles, could be annexed to the
City over the next ten years. The majority of this land is presently
classified as "Residential 3.0 units per acre," or a lower density on
the General Plan.
Given the availability of undeveloped potential residential sites
within and adjacent to the City, it is not necessary at this time or in
the near future to change non-residential uses to residential uses, to
supply adequate sites for both single- and multi-family housing.
- 39 -
TABLE 6
GENERAL PLAN
II POTENTIAL DWELLING UNITS AND POPULATION INSIDE CITY LIMITS
I
iPop. Potential
Classification Acres Units Factor Population
Residential 0.1 units/acre 14.84 1.48 3 4.44
Residential 0.2 units/acre 55.19 11.04 3 33.12
Residential 0.5 units/acre 298.44 149.22 3 447.66
Residential 1.0 units/acre 427.19 427.19 3 1,281.57
Residential 2.0 units/acre 4,504.30 9,008.60 3 27,025.80
Residential 3.0 units/acre 4,158.39 12,475.17 3 37,425.51
Residential 3.5 units/acre 2,979.27 10,427.45 3 31,282.35
Residential 4.0 units/acre 1,320.65 5,282.60 3 15,847.80
Residential 6.0 units/acre 828.94 4,973.64 2 9,947.28
Residential 9.0 units/acre 1,155.20 10,396.80 2 20,793.60
Residential 12.0 units/acre 479.29 5,751.48 1.75 10,065.09
Residential 18.0 units/acre 271.33 .4,883.94 1.75 8,546.90
------- --------- ----------
TOTAL 16,493.03 63,788.61 162,701.12
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Source: Redding Department of Planning & Community Development, June, 1990
1
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TABLE 7
GENERAL PLAN
POTENTIAL DWELLING UNITS AND POPULATION WITHIN GENERAL PLAN AREA
Pop. Potential
Classification Acres Units Factor Population
Residential 0.1 units/acre 365 36.50 3 109.50
1
Residential 0.2 units/acre 6,230 1,246.00 3 3,738.00
Residential 0.5 units/acre 688 344.00 3 1,032.00
1 Residential 1.0 units/acre 2,670 2,670.00 3 8,010.00
Residential 2.0 units/acre 7,244 14,488.00 3 43,464.00
! Residential 3.0 units/acre 4,983 14,949.00 3 44,847.00
Residential 3.5 units/acre 4,511 15,788.50 3 47,365.50
i
Residential 4.0 units/acre 1,321 5,284.00 3 15,852.00
Residential 6.0 units/acre 919 5,514.00 2 11,028.00
Residential 9.0 units/acre 1,210 10,890.00 2 21,780.00
I Residential 12.0 units/acre 506 6,072.00 1.75 10,626.00
Residential 18.0 units/acre 271 4,878.00 1.75 8,536.50
------ --------- ----------
TOTAL 30,918 82,160.00 216,388.50
1 Source: Redding Department of Planning & Community Development, June, 1990
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V. GOVERNMENTAL CONSTRAINTS TO MAINTENANCE, IMPROVEMENT, AND
DEVELOPMENT OF HOUSING
Housing affordability is affected by factors in both the private and public
sectors. Actions by the City can have an impact on the price and
availability of housing in the City. Land-use controls, building codes, on-
and off-site improvement requirements, fees and exactions, permit
processing and other local actions intended to improve the overall quality of
housing may serve as a constraint to housing development. This chapter
discusses these possible constraints to development and the actions the
City will take or has taken to mitigate the negative effects.
A. Land Use Controls
Redding's General Plan sets forth policies applicable to nearly all
development. The Land Use Element of the General Plan and
corresponding zoning provide for a full range of residential types
and densities spread throughout the City. Densities range from
0.1 - 4.0 units per acre in Low-Density Residential areas to 24.0
units per acre in areas designed for High-Density Residential. As
indicated in Table 6, an estimated 63,788 residential dwelling units
could exist in the City limits before buildout under the General Plan.
As stated previously, the State Department of Finance estimated that
as of January 1990, the City contained 26,787 dwelling units leaving
37,001 further units which could be constructed before buildout is
reached. Since the California Department of Housing and Community
Development has estimated a future housing need of only 4,173 new
units in the City through July 1992, it is readily apparent that the
General Plan provides for a residential development capacity which is
more than adequate to serve projected housing demand.
In terms of volume, density, and rate of housing production,
Redding's General Plan is not viewed as a constraint to the provision
of affordable housing, particularly since 21,032 units are designated
for higher density housing (9.0 units per acre and higher--see Table
6) . High density housing, because of a lower per unit cost to build,
generally lends itself more readily to "affordable" projects. In
addition, the City's Planned Development ordinance allows density
bonuses for high quality projects that provide increased amounts of
open space and are designed in a manner sensitive to the existing
topography and surrounding lands.
To further influence the development of affordable housing, in
accordance with State law, the City also grants density bonuses of
up to 25 percent if:
1. Twenty percent of the developed units are kept affordable for
lower income households (income less than 80 percent of the
median) ; or
2. Ten percent of the developed units are kept affordable for
very-low income households (less than 50 percent of the area
median; or
- 41 -
3. Fifty percent of the total units are set aside for senior citizens
(62 years or older; 55 years or older if it's a senior citizen
development) .
B. Building Codes
Building construction standards in Redding are based upon the 1988
Uniform Building Code. This Code is updated on a regular basis.
The City also utilizes the Uniform Plumbing Code, Housing Code,
Electrical Code, Uniform Mechanical Code, and enforces Title 24
regarding handicapped and energy provisions. The City does not
generally require stricter construction standards than are contained
in these codes. However, a variety of code revisions have been
implemented which primarily address unit security and energy
conservation. These revisions are not considered constraints to
development as the cost factors in meeting the heightened
requirements are minor. There is no ongoing systematic enforcement
of building code standards on existing dwellings. Existing units are
inspected only when complaints are received by the City, or when an
i owner seeks a permit for additional construction. Strict enforcement
of some building code standards can increase the cost of housing,
but the application of these standards is essential to ensure safe
housing.
C. On- and Off-Site Improvements
I
Redding, like most cities in California, requires developers to
provide a full compliment of on- and off-site improvements including
streets, curb, gutter, sidewalk, street trees, drainage, water,
sewer, electric and communication utilities, and in some cases,
traffic mitigations. The cost of these improvements is passed on to
the eventual buyers or tenants. In realizing the problem this
presents to developers of low-income housing, the City has
committed CDBG funds for some of these improvements to help off-set
some of the costs in certain cases.
Given the prevailing sentiment to require new development to pay its
own way rather than have the existing residents pay the cost
through a broader base of financial support such as local taxes, it is
unlikely that the burden of site improvements will markedly decrease
in the near future. Even if it did, there is no guarantee that the
price of housing would be reduced.
D. Fees and Exactions
Various fees and assessments are charged by the City to cover the
costs of processing permits and providing services and facilities,
such as utilities, schools, and infrastructure. Nearly all of these
fees are assessed through a pro rata share system, based on the
magnitude of the projects impact or on the extent of the benefit
which will be derived. These fees, however, contribute to the cost
of housing and may constrain the development of lower priced units.
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In order to mitigate this effect, other programs such as Density
Bonuses, State Rental Construction Program, and tax free Mortgage
Revenue Bond Financing, which all serve to greatly reduce overall
production costs, are promoted by the City.
Table 8 presents typical development fees associated with the
construction of a single-family house of four various sizes.
Similarly, Table 9 summarizes the typical development fees associated
with the construction of a duplex and fourplex. The fees include
various building permits and plan check fees, development fees,
water and sewer fees, traffic impact fees, water-benefit fees, and
school impact fees. It is estimated that City development fees
contribute approximately 5% - 8% to the overall cost of housing
development.
The traffic impact fee is effective September 17, 1990. Water benefit
fees range from no fee to $940 per"unit, depending on the location,
and are assessed to cover the costs of improving and maintaining the
water supply and distribution system in various sub-areas of the
City. School impact fees are payable to the Shasta County Office of
Education. There are also special traffic impact fees collected in
certain areas of the City to help off-set the cost of improvements
significantly benefiting a specific area. These range from no fee to
$953 per unit.
Fees for zoning and subdivision applications presently do not cover
the cost of processing by staff. However, the City is moving
towards a policy establishing that fees for processing development
proposals will cover all costs involved. In addition to building and
development fees, zoning, and subdivision application fees,
subdividers are required to dedicate land to be developed into
neighborhood parks or pay a per-unit fee in lieu thereof (or both) as
a condition of approval of a final map or parcel map (Chapter 17.42 of
the Redding Municipal Code) .
E. Processing and Permit Procedures
Redding's General Plan establishes the potential capacity of housing
units which can be built in the City. As required by law, in order to
build these units a series of approvals (tentative subdivision map,
use permit, variance, etc. ) must be obtained to assure that certain
standards are met. The development review affects housing costs
primarily because interest on loans must continue to be paid, and the
longer it takes for a project to be approved, the higher the
development cost.
The review process in Redding is governed by four levels of
decision-making authority: City Council, Planning Commission,
Board of Administrative Review, and the Planning Director. In
order to expedite the processing of routine and simple use permits
and variances (zoning exceptions) , the City, in February 1989,
- 43 -
established an administrative permit procedure. These permits may
be processed and approved by the Planning Director instead of the
Board of Administrative Review or Planning Commission, and do not
require a public hearing. Table 10 provides a summary of the
estimated time requirements for processing the various discretionary
permits that may be required prior to obtaining a building permit.
Due to the City's efforts to expedite the approval process, it is not
felt that the amount of time necessary for processing applications and
following existing permit procedures is a constraint to development.
The City of Redding is very proud of its streamlined permit
processing and is continually on the lookout for new and innovative
techniques to simplify and speed up the process.
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TABLE 8
Summary of Development Fees for
Single-Family Residential Projects
PERMITS 1200 sq. ft. 1500 sq. ft. 1800 sq. ft. 2100 sq. ft.
Building 497 564 627 685
Electric 57 67 78 89
Plumbing 110 110 110 110
Mechanical 44 44 44 44
Plan Check 317 360 401 438
---- ---- ---- ----
Subtotal: 1,025 1,145 1,260 1,366
DEVELOPMENT FEES
Parks 275 275 275 275
Electric 100 100 100 100
Capital Improvements 200 200 200 200
Storm Drain 168 198 228 258
Subtotal: 743 773 803 833
WATER & SEWER
Sewer 1,950 1,950 1,950 1,950
Water Meter 55 55 55 55
Water Connection 625 625 625 625
---- ---- ---- ----
Subtotal: 2,630 2,630 2,630 2,630
TRAFFIC IMPACT* 800 800 800 800
SCHOOL FEES 1,896 2,370 2,844 3,318
----- ----- ----- -----
TOTAL: 7,094 7,918 8,337 8,947
*City-wide traffic impact fee is effective September 17, 1990
Other potential fees include:
1) Water benefit fees ranging from $0 - $1,380 for duplex and $0 - $2,300 for
fourplex, depending on location.
2) Special traffic impact fee areas (i.e., Dana Drive area) range from $0 - $953.00
in addition to fees noted above.
Source: Department of Planning & Community Development, Building Division - July 1990
- 45 -
TABLE 9
Summary of Development Fees for
j a Typical Duplex and Fourplex
DUPLEX FOURPLEX
PERMITS
Building $ 651 $ 867
Electric 70 120
Plumbing 165 216
Mechanical 60 96
Plan Check 423 564
I Subtotal: $ 1,369 $ 1,863
j DEVELOPMENT FEES
Parks $ 300 $ 600
Electric 200 500
! Capital Improvements 400 600
i
Storm Drain 240 175
Subtotal: $ 1,140 $ 1,875
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' WATER & SEWER
Sewer $ 3,900 $ 3,900
Water Meter 70 95
Water Connection 973 1,563
Subtotal: $ 4,943 $ 5,558
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' TRAFFIC IMPACT* $ 1,126 $ 2,250
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SCHOOL FEES $ 3,160 $ 5,056
------- -------
i TOTAL: $11,738 $16,602
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*City-wide traffic impact fee is effective September 17, 1990
Other potential fees include:
1) Water benefit fees ranging from $0 - $1,380 for duplex and $0 - $2,300 for
fourplex, depending on location.
2) Special traffic impact fees ranging from $0 - $1,295.98 for duplex and
I $0 - $2,591 for fourplex.
i
Source: Department of Planning & Community Development, Building Division - July 1990
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- 46 -
1
TABLE 10
CITY OF REDDING
TIME REQUIREMENTS FOR PROJECT PROCESSING
General Plan Amendment
Varies depending on the complexity and magnitude of the request and scheduling of the four hearing dates
allowed by State Law to facilitate amendments to a City's General Plan. Generally, the period from accept-
ance of a complete application to adoption of a resolution approving the general plan amendment is approxi-
mately 12 to 14 weeks under normal circumstances.
Rezoning
Varies depending on the complexity and magnitude of the request, but generally the period from acceptance of
a complete application to the effective date of the rezoning is approximately 14 to 16 weeks under normal
circumstances.
Tentative Subdivision Map
The actual time for processing of a tentative map following the 20-day agency review period will vary depend-
ing on the complexity and magnitude of the proposal, but generally the environmental review and recommenda-
tion to the Planning Commission by the Board of Administrative Review will occur in four to five weeks
(includes 20-day agency and school district review period). The actual decision by the Planning Commission
will take an additional two to three weeks, but the final map cannot be recorded until after the ten-day
appeal period.
Use Permit
Varies depending on the complexity and magnitude of the proposal, but generally requests processed by the
Board of Administrative Review (BAR) require four and one-half to five and one-half weeks, including appeal
periods. The actual decision by BAR will take three to four weeks, but no building permits can be obtained
until after the ten-day appeal period. A project that is exempt under the State Environmental Quality Act
Guidelines will take two weeks less.
Site Plan Review
Varies depending on the complexity and magnitude of the proposal, but generally requests processed by the
Board of Administrative Review require two and one-half to three and one-half weeks including appeal periods.
Lot Split
Varies depending on the complexity and magnitude of the proposal, but generally requests processed by the
Board of Administrative Review (BAR) require four and one-half to five and one-half weeks including appeal
periods. The actual decision by BAR will take three to four weeks, but the final parcel map cannot be
recorded until after the ten-day appeal period. A project that is categorically exempt under the State
Environmental Quality Act Guidelines will take two weeks less.
Variance
Requests requiring environmental review by the Board of Administrative Review generally require four and
one-half to five and one-half weeks including appeal periods. The actual decision by the Planning Commission
will occur in three to four weeks, but no building permits can be obtained until after the ten-day appeal
period.
Administrative Use Permit
The processing of Administrative Use Permits is designed to be expedient. By definition, they are exempt
from environmental review, and the Planning Directir is required to render a decision on the request within
five working days of receipt of a complete application. The key is to submit a complete and accurate applica-
tion. No building permits, however, can be obtained until after the seven-day appeal period.
Zoning Exception
The processing of a Zoning Exception is designed to be expedient. By definition, it is exempt from environ-
mental review, and the Planning Director is required to render a decision on the request within five working
days of recept of a complete application. The key is to submit a complete and accurate application. No
building permits, however, can be obtained until after the seven-day appeal period'.
Plan Check Review
Building plans must be submitted to the Building Division. Under normal circumstances, it takes approxi-
mately three to four weeks before single-family home plans are returned to the applicant. Multiple-family
projects usually take four to five weeks. Resubmittals generally take about two weeks before they are
returned to the applicant.
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VI. NONGOVERNMENTAL CONSTRAINTS TO MAINTENANCE, IMPROVEMENT,
AND DEVELOPMENT OF HOUSING
Nongovernmental or "market" constraints are those factors which limit the
availability and affordability of housing but over which the local
government has little or no control. State law requires that the housing
element contain a general analysis of these constraints as a basis for
possible actions by the local government to offset the effect of these
constraints. The three market factors which most severely hinder the
availibility and cost of housing in Redding are the price of land, the cost of
construction, and the availability of financing.
A. Price of Land
Residential land prices within the City of Redding vary considerably
depending upon several factors. The primary of these factors are:
1) the specific location of the property; 2) the availability of utility
I services to the property; 3) the topography of the property; and 4)
if adequate paved access exists.
Over the past five years, (1985-90) prices of both single-family lots
and multifamily parcels within the city limits have seen a substantial
increase in price. In 1985, the cost of a standard city lot in a
moderately-priced, residentially zoned neighborhood averaged
$17,000 - $25,000. Similiarly located lots today average $30,000 -
$50,000, an average increase of almost 100 percent.
1
The price of land suitable for multi-family development is typically
broken down into a per unit cost. This allows accurate comparison
between parcels of different sizes and zoning designations. Within
the city limits of Redding, the current average cost of land able to be
developed with multifamily units averages between $5,000 - $6,500
per unit. In comparison, in 1985, the average cost per unit was
$2,500 - $3,000.
As land costs escalate, the added development cost is passed on to
the homebuyer and apartment dweller in the form of correspondingly
higher home prices and rental rates.
i
Within the current city boundaries, as more and more development
occurs, less premium land is available for future projects. To some
degree, the escalation in land costs over the past five years is due to
the increased development activity and the depleting effect it is
having on the existing inventory of undeveloped land. However, as
discussed in Section IV and Section V, there currently exists within
the City limits enough vacant land suitably zoned to develop over
37,000 new residential units. The escalation in land prices is also a
result of Redding's heightened statewide desirability as a place to
reside. Market factors, such as public demand, influence prices on
all consumer goods including land regardless of relative availability.
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B. Cost of Development
The cost of development is comprised of four major components;
land, fees, material and labor, and financing. Of these, material and
labor costs make up the bulk of the development cost followed by
land, fees, and financing costs. Table 11 illustrates the typical
development costs for a 1500-square-foot, three bedroom home in the
City of Redding. These same development factors would affect
development of multifamily units as well.
Average construction costs in the City of Redding in 1990 range
between $65 and $80 per square foot for single-family residential
construction, and $40 and $56 per square foot for multifamily
construction.
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C. Availability of Financing
According to the Shasta County Board of Realtors, competitive
financing is generally available for properties within the City of
Redding, regardless of location, for both residential construction
projects and home purchase. They report there is no indication of
discriminaory lending practices based on property location within the
City limits. The interest rates for financing the cost of construction
as well as for long-term home financing have widely fluctuated over
the past 10 years. From 17-18 percent during the late 70's and early
80's to the relatively low rates (9-11 percent) of the past three
years, this single factor plays a major role in the affordability of
housing. In the previous section on Housing Cost (IIIA1) , the effect
various interest rates have on the ability of low and moderate income
households to purchase a home is explored. Table 12 further
illustrates the impact of interest rates on housing affordability.
Financing for remodeling or rehabilitation of existing structures is
also reported by the Board of Realtors and local lenders to be readily
available to qualified borrowers throughout the City. Commercial
lenders offer home equity loans at a slightly higher interest rate (11-
14 percent) than primary mortgages. These rates reflect the slightly
greater fiduciary risk involved in extending credit secured by a
second (or greater) mortgage. In addition to credit history,
standard factors taken into consideration for this type of loan are: 1)
existing equity in the property and; 2) ability of the loan recipient
to repay the increased debt. Many older homes in need of repair are
owned by low and moderate income families. These families in many
instances have a difficult time meeting commercial lenders' debt-to-
value criteria, as well as having difficulty with meeting the income
requirements necessary for repayment of the loan. In order to
mitigate this constraint, the City offers a variety of rehabilitation
loan programs to assist the low and moderate income homeowner with
necessary repairs. The funding sources for these programs range
from local redevelopment funds, State housing rehabilitation funds,
to a variety of Federal Housing and Urban Development grant
programs.. All programs are available city wide and strive to meet
the widest variety of housing needs possible.
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o 0
TABLE 11
Cost of Development, Redding
Single-Family Detached
(1500 square feet)
I
LAND $30,000 - $50,000
fees
(Development = $773.00) (w/improvements)
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CONSTRUCTION $78,000
(Material, labor, and construction fees of $6,945.00) $52.00/square foot
CONSTRUCTION FINANCING $3,500
PRICE TO BUYER $128,000 - $151,000
(includes 158 profit for builder)
Source: City Planning Department, July 1990
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TABLE 12
IMPACT OF INTEREST RATES ON HOUSING AFFORDABILITY
INTEREST AFFORDABLE PRICE PERCENT
RATE PRICE CHANGE CHANGE
88 $103,750 +$14,750 +178
98 $ 95,500 +$ 6,500 +7.38
1 108 $ 89,000 Base Base
118 $ 83,000 -$ 6,000 -6.88
128 $ 77,500 -$11,500 -138
138 $ 72,750 -$16,250 -18.38
148 $ 68,500 -$20,500 -23.1%
NOTE: Median Income Household ($29,400 Annual Income, 1990); Monthly payment
including PITI = $735.00 (308 of gross monthly income, mortgage amount
equals 808 of housing price).
jSource: City of Redding Planning Department
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VII. ENERGY CONSERVATION OPPORTUNITIES
The need to conserve and efficiently utilize energy supplies, as well as to
develop alternative energy sources, has been recognized by both
government and industry experts. Short- and long-range solutions to
energy problems involve changes in energy-consumption patterns and
require willingness on the part of Americans not only to use less energy
but to make qualitative changes or adjustments in their lifestyles.
Examples include changes in consumer preferences such as the use of
smaller and more energy efficient cars, increased use of public
transportation and shifts to modified or new types of housing that are more
energy efficient.
The City of Redding Electric Department is the major provider of electrical
power within the City limits. Occasionally, newly annexed areas will
continue to receive electrical service from a previous provider until such
time as the customers are transfered over to the City electrical service.
The City of Redding Electric Department reports that in 1988, the City's
electric load was 154 megawatts, an increase of 30 percent from the electric
usage in 1981. It further projects the City's peak load to grow by approx-
imately 53 percent through 1997.
As stated in the 1988 City of Redding Electric Resource Plan, any forecasts
of the City's future need for electricity are dependent upon the
effectiveness of conservation and load management programs. The City has
embarked on a vigorous campaign to develop future cost-effective programs
and projects. The City employs a full-time energy conservation specialist
to promote community energy awareness and conservation. Current
conservation efforts and programs are listed below:
A. Residential energy audits and general conservation information and
materials. Lending program of recording meters to monitor the
electrical usage of various appliances.
B. Air Conditioning Load Management Program to reduce peak electrical
capacity during the summer months.
C. Swimming Pool Load Management Program to encourage the use of
swimming pool equipment during off-peak hours.
D. Load Curtailment Program promotes the voluntry reduction of
electrical usage by large-use customers and by the general public.
E. Street Light Conversion Program is replacing less efficient mercury
vapor street lamps with more efficient high-pressure sodium lights.
F. Enforcement of mandatory energy efficient building and appliance
standards for both commercial and residential construction continue
to reduce the energy consumption of space heating, air conditioning,
water heating, etc.
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G. Residential rehabilitation programs for private and rental housing
require inclusion of energy conservation retrofits and/or repairs
when at all feasible. Typical upgrades include insulation,
weathers triping, installation of dual pane windows, and provision of
newer, more energy efficient heating and cooling systems.
In addition to the City of Redding, the second primary provider of energy
within the City limits is The Pacific Gas and Electric Company (PGE) . PGE
is the sole provider of natural gas within the City limits and as discussed
previously, continues to
provide electric service to several of the City's
newly annexed neighborhoods. PGE is also actively involved in promoting
conservation of energy resources. Its current efforts include:
i
A. Home energy audit service is available to all PGE customers at no
J cost.
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B. Direct Weatherization Program provides for inspection of residences
owned or rented by low-income families. The primary goal of the
program is to improve the energy efficiency of existing structures.
Both inspections and installation of recommended weatherization
materials, i.e. , weathers triping, insulation, etc. , is provided at low
or no cost to eligible customers.
C. Ceiling Insulation Rebate Program provides a direct cash rebate to
eligible customers as an incentive to upgrade existing insulation R
factors.
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VIII. GOALS AND POLICIES
Housing Element law requires that a community set forth in the Housing
Element a statement of it's goals and policies relative to the maintenance,
improvement, and development of housing. This section identifies six
primary goals and their accompanying policies. These goals and policies
serve to guide the actions of the City of Redding over the next planning
period in regard to its identified housing needs.
Goal 1: Improve and Conserve the Existing Housing Stock
Policies
1. Encourage the private rehabilitation of housing.
2. Continue to apply for federal and state funding to rehabilitate
substandard housing.
3. Require the abatement of unsafe structures, giving property owners
ample opportunity to correct deficiencies.
4. Establish a code enforcement program to conserve the existing
housing stock.
5. Preserve the stock of Single Room Occupancy Units (SROs) by
encouraging ongoing rehabilitation of these units.
Goal 2: Encourage The Provision of Affordable Housing
Policies
1. Encourage the construction of affordable housing units utilizing all
available federal and state programs.
2. Support the City of Redding Housing Authority's efforts to secure all
rental housing subsidies made available to the community.
3. In accordance with State law, provide density bonuses and other
incentives such as cost saving development concessions to encourage
the private development of affordable housing.
4. Develop working partnerships with other community providers of
housing services in order to increase affordable housing
opportunities.
5. Preserve future housing affordability in units which have been
assisted through the Rental Rehabilitation Program by requiring rent
affordability agreements for the term of the public financing.
6. Actively support HUD's "Joint Venture for Affordable Housing"
efforts by entering into partnerships with private developers
wanting to build affordable units.
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7. Continue to monitor all regulations, ordinances, departmental
processing procedures and fees related to the rehabilitation and/or
construction of dwelling units to assess their impact on housing
affordability.
Goal 3: Promote Adequate Sites For All Types Of Housing
Policies
1. Maintain an adequate supply of residentially classified land to meet
residential housing needs based on projected growth rates and as a
i stabilizing factor for land prices.
+ 2. Allow the mixed use of commercial/residential development in the core
area of the city.
3. Maintain and periodically update the City's inventory of existing
structures, as well as vacant or under-utilized land which would be
appropriate for specialized residential uses (ie shelters, group homes
etc. ) .
j 4. Use redevelopment powers or other appropriate mechanisms to
acquire and/or assemble..sites for residential purposes.
Goal 4: Support a Mix of Housing For All Income Groups
Policies
1. Promote and encourage homeownership for all income levels and
utilize available federal, state, and local resources to achieve this
i
end.
2. Support the use of tax-exempt revenue bonds for housing
developments and provide standards for the occupancy of such
housing to include all income levels.
3. Support the use of Mortgage Credit Certificates for low- and
moderate-income first-time homebuyers.
4. Encourage a mixture of housing types (single-family
attached/detached, condominiums/townhouses , duplexes ,
garden/conventional apartments, group quarters) through current
zoning ordinance and planning practices.
5. Encourage development of housing for groups with special needs;
such as the elderly, and the handicapped.
Goal 5: Promote Equal Housing Opportunities
Policies
1. Promote the nondiscrimination enforcement activities of the State
+1. Department of Fair Employment and Housing.
1
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2. Continue to support programs which promote and require
accessibility and adaptability of housing for the handicapped.
3. Support the establishment of shelter facilities (both emergency and
transitional) for the area's homeless population.
4. Allow group quarter housing in all residentially zoned
neighborhoods.
Goal 6: Encourage Energy Conservation
Policies
1. Promote public awareness of cost-saving energy conservation
measures offered by utility providers for new and existing housing
units.
2. Enhance public awareness of landscaping measures that promote
resource conservation and energy cost-savings for new and existing
housing units.
3. Require weatherization measures be taken on all residential property
participating on any City rehabilitation programs.
4. Require the use of energy conservation features in the design and
construction of all new residential structures to increase energy
efficiency and reduce housing costs.
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IX. IMPLEMENTATION PROGRAMS AND QUANTIFIED OBJECTIVES
The following section sets forth the schedule of actions the City of Redding
is undertaking or intends to undertake within the current planning period
in order to implement the previously listed policies and achieve the
community's stated housing goals. Included within most action/program
descriptions is a quantified objective which states the progress towards the
goal the City expects to accomplish during the planning period.
The following is a summary of the number of units expected to be
constructed, rehabilitated, or conserved both privately and through
implementation of the programs contained in this section over the next two
years:
# Units # Units
Type With Program Assistance Private Development Total
Housing New Construction: 160 (Programs 2.1, 2.4) 2,500 2,660
Housing Rehabilitation: 392 (Programs 1.1, 1.2, 1.3, 6.3) 400 792
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Housing Conservation: 848 (Programs 2.3, 2.6, 2.7, Unknown 848
4.2, 4.3, 5.3)
Goal 1: Improve and Conserve the Existing Housing Stock
1.1 Program Name: Homeowner Rehabilitation Program
t
Program Description: The City currently operates a comprehensive
housing rehabilitation program which is available City-wide to
homeowners who are at moderate-income level or below. Eligible
activities include basic code related repairs; weatherization
improvements; site improvements such as curbs, gutters, and
sidewalks; as well as some general property improvements. The
CDBG funded rehabilitation program has been in existence in
Redding since 1976. Since implementation, over 455 single-family
homes have been rehabilitated utilizing this program. It continues to
be the cornerstone in the City's rehabilitation efforts. Redding
Redevelopment Agency Housing Set-aside funding was first utilized
in 1987. Thirty-seven units have been rehabilitated utilizing RRA
funds. Other State and Federal financing has assisted another 75
units undergo rehabilitation. Because of the wide variety of
funding sources for this endeavor, the City is able to offer a
comparable variety of financing terms and conditions ranging from
low-interest (3-5%) deferred payment loans, below market-rate
interest (8%) amortized loans, and 10-15 year emergency deferred
low-interest loans.
Funding/Administration: Currently, funding for ,the above rehab
programs comes from the following sources: Community Development
Block Grant funds (1989 - $341,206), Redding Redevelopment
Agency housing setaside funds (1989 - $193,688) , State Owner-
Occupied Housing Rehabilitation Program funds (1989 - $200,000) , as
well as the Rehabilitation Revolving Loan Fund (approximately
$300,000 per year) . This latter fund consists of amortized payments
and lump sum payoffs on existing CDBG rehabilitation loans.
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Funding from all current sources, except redevelopment and the
Revolving Loan Fund, is on a yearly, competitive application basis to
either the state or the federal government. New sources of funding
may become available in the future. Local administration is through
the Housing Division of the City Planning and Community
Development Department.
Objective: To rehabilitate 162 single-family homes owned by lower-
and moderate-income households.
Time Frame: 1990 - 1992.
1.2 Program Name: Rental Rehabilitation Program (RRP)
Program Description: This program consists of a stipulated grant
provided to owners of rental property in order to bring property up
to local code standards. Program requires that the owner match the
grant portion with private funds in order to cover the cost of
repairs. Owners agree to make the property available to low-income
renters as well as agreeing to keep the rents charged at an
affordable level for a period of 7-10 years after the rehabilitation is
completed. Over 300 units throughout the City have been
rehabilitated utilizing this program. 1989 program budget -
$507,750. Since implementation in 1985, over 1.3 million dollars in
RRP grant funds have been committed along with over 1.4 million in
private rehab dollars. Two-hundred and eighty units (280) have
been rehabilitated.
Funding/Administration: HUD Rental Rehabilitation Program funds
are administered on a state-wide basis through the State Department
of Housing and Community Development. Application is made on an
annual, competitive basis to the State. Local administration of the
program is through the Housing Division of the City Department of
Planning and Community Development.
Objective: To rehabilitate 200 rental units which are or will be
occupied by a minimum of 50% lower-income households.
Time Frame: 1990 - 1992.
1.3 Program Name: Mobilehome Repair Program
Program Description: This program provides rehabilitation grants
for low-income mobile homeowners. Basic code-related repairs
including weatherization are eligible. Assistance is given in the form
of a grant not-to-exceed $1,500 per household. This program was
developed to assist those mobilehome owners who were not eligible for
the rehabilitation loan program due to lack of equity or the fact that
the mobile is located in a mobilehome park. The grant funds can be
combined with Social Security Special Circumstance funds to increase
the individual project amount to $3,000.
This program has been in operation since 1989 and averages 10 - 15
units per year.
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Funding/Administration: Funding is through the City's Community
Development Block Grant Program administered locally by the
Housing Division of the City Department of Planning and Community
Development. Special Circumstance funds are administered through
the County Department of Social Services.
Objective: To rehabilitate 30 mobile home units.
Time Frame: 1990 - 1992.
1.4 Program Name: Abatement Program
Program Description: This program provides for the abatement of
hazardous properties/structures through a multi-phased hearing
process. Upon initiation of the abatement process, owners are
instructed to cure subject properties/structures of the hazardous
conditions. Ultimate action by the City upon noncompliance of the
owner is to remove the offending structure or condition from the
property.
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Funding/Administration: Funding for the hearing process is part of
the operating budget of the Planning and Building Departments.
Program is overseen by the City Attorney and City Building Official.
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Time Frame: 1990 - 1992.
1 .5 Program Name: California Housing Rehabilitation Program - Rental
Program Description: Program currently provides assistance for the
acquisition and rehabilitation of multi-family rental units, including
single-room occupancy units. The owner must agree to reserve a
minimum of 30% of the acquired units for occupancy by lower-income
households. In addition, the contract rent for the "assisted" units
i must remain at an affordable level for the term of the financing. The
City will continue to make information available to interested
developers regarding this form of financing as a way of stimulating
the private development of affordable housing units within the
community.
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Funding/Administration: Funding is through the State Department of
Housing and Community Development. Interested participants apply
directly to HCD. The City's involvment consists of information,
referral, and application assistance in individual cases if needed.
Objective: To increase number of affordable housing units available
within the community.
j Time Frame: 1990 - 1992
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Goal 2: Encourage The Provision of Affordable Housing
2.1 Program Name: Density Bonus Program
Program Description: Current program allows for density bonuses of
25% over the maximum land density specified in the general plan plus
additional concessions if needed to enhance affordability of the
project or provision by the City of other incentives of equivalent
financial value. Eligible projects are those consisting of 5 or more
units where the developer is either: a) reserving 20% of total units
constructed for lower income households; or b) reserving 10% of total
units constructed for very-low income households; or c) reserving
50% of total units constructed for seniors. There have been three
projects which qualified for density bonuses since 1984. A total of
309 units were built, with approximately 20% available for occupancy
by lower-income households. In 1990, the Density Bonus Program
underwent major revisions. These revisions ensure a greater
number of affordable units than in the previous version of the
program.
Funding/Administration: City contributes planning staff time for
permit processing. Monitoring the compliance of developers to the
requirements of the density bonus is the responsibility of the
Housing Division.
Objective: To provide for construction of 60 affordable housing
units.
Time Frame: 1990 - 1992.
2.2 Program Name: Joint Ventures for Affordable Housing Program
(JVAHP)
Program Description: The City will continue to enter into
partnerships with developers proposing construction of affordable
units under HUD JVAHP guidelines. In addition to density bonuses,
if appropriate, the City may consider other cost-saving concessions
such as fee reductions or development concessions on a per project
basis. One project, a 212-unit Planned Development for seniors has
been undertaken utilizing this program.
Funding/Administration: The loss of revenues due to any proposed
fee reductions will be considered on a case by case basis. Most
concessions are likely to be in the category of adjusted development
standards and should not result in an added cost to the City. Local
administration of the program is through the City Department of
Planning and Community Development.
Objective: To facilitate the construction of affordable housing in the
community by private developers.
Time Frame: Ongoing program, City will consider developer
proposals on a case-by-case basis.
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2.3 Program Name: HUD Section 8 Rental Assistance Program
Program Description: Provides rental assistance to very-low income
seniors/disabled individuals and families. Assistance is given on a
priority system basis. Eligible households must rent units within the
City limits of Redding.
Funding/Administration: Funding is received directly from HUD for
eligible participants. Local administration of the program is through
the City of Redding Housing Authority. 1989-90 budget for the
Housing Authority was $2,966,894. 819 rental subidies are currently
administered by this office and another 419 project-based rental
subsidies are adminsistered directly by HUD.
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The City Housing Authority has seen continuous growth over the
past 10 years. Today's rental assistance program revenue
($2,610,065) is tenfold as large as that in 1980 ($257,018) . This
growth is due primarily to the Housing Authority's aggressive
pursuit of all HUD rental subsidy programs. The City has made
application to HUD at every available opportunity in order to secure
new subsidies for the low-income renters of the community.
Objectives: To serve an additional 120 households each year during
the period 1990 - 1992, and thereby bring the City's total of
households receiving Section 8 rental subsidies to 1,478.
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Time Frame: 1990 - 1992.
2.4 Program Name: Construction of New Multi-family dwellings through
Various State, Federal, and.Local Programs
Program Description: The City will continue to endorse the
development of new multifamily dwellings under programs such as
HUD's 202 program, tax-exempt mortgage revenue bonds, and the
State Rental Housing Construction Program in order to expand the
availablility of affordable low-income housing in the community. Two
' multi-family projects with a total of 149 units have been constructed
over the past five years utilizing the above forms of financing.
Approximately 69 of these units are set aside for occupancy by
lower-income households. Affordability of units will continue to be
the focus of all of these programs in the future.
Funding/Administration: Funding is available to developers through
a variety of sources for affordable housing projects. The City,
through its Planning and Community Development Department, acts
as a resource to developers seeking information regarding these
sources and, if necessary, will assist in the application process.
Objectives: To aid in the construction of 100 multi-family dwelling
{ units for occupancy by lower income households.
Time Frame: 1990 - 1992.
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2.5 Program Name: Low-Income Tax Credit Program
Program Description: Federal and State tax credits for eligible low-
income rental housing projects are currently available by application
to the State Mortgage Bond Allocation Committee. Strong
consideration is given to projects which target special groups such
as large families, homeless or the at risk population. The City will
act as an information and referral service to interested developers
regarding available tax subsidies. Developers of new rental
construction projects or existing rehabilitation projects apply
directly to this State committee for consideration. It is anticipated
that the use of this mechanism will increase the number of affordable
units available in the commmunity.
Funding/Administration: Funded and administered at the State level.
Local involvement is as a source of program information only.
Objectives: To increase the number of affordable housing units
available in the community.
Time Frame: Congress has extended this program through 1990. It
is possible that further extensions may be granted.
2.6 Program Name: Shared Housing Program
Program Description: Program attempts to match those who have
housing to share with low-income households who need housing. The
program is especially successful in working with the elderly and/or
handicapped population group but is not restricted to those clients.
Since implementation in 1988, the Shared Housing Program (Project
Match) has made 142 housing matches. This program continues to fill
a very specific need within the community, primarily amongst the
low-income elderly.
Funding/Administration: Funding is provided through the Redding
Redevelopment Agency's housing setaside funds. Operation of the
program is contracted to a local non-profit agency and is
administered by the Housing Division of the City Planning and
Community Development Department. Current annual budget is
$8,000.
Objectives: To provide housing location assistance to 150
households.
Time Frame: 1990 - 1992.
2.7 Program Name: Rent Deposit Guarantee Program
Program Description: Program provides security deposit funds
including last month's rent if required for very-low income homeless
families to enable them to establish a permanent home. Assistance is
in the form of a guarantee to participating landlords that the
household will pay the required deposit on an installment basis. No
funds are utilized from the guarantee account unless the household
defaults on the required payments.
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Funding/Administration: Funding for the program is through the
Redding Redevelopment Agency Housing Setaside Fund.
Administration of the program is by the Redding Housing Authority.
Objectives: To assist 138 homeless households with costs associated
with securing permanent housing.
Time Frame: 1990 - 1992.
2.8 Program Name: Redevelopment Housing Set-Aside Fund
Program Description: State law requires redevelopment agencies to
provide 20% of their tax increment income to improve housing
opportunities for low- to moderate-income persons. In fiscal year
1989-90, the Redding Redevelopment Agency expended Set-aside
funds to operate the Homeowner Rehabilitation Program (see Program
1.1) , the Downpayment Assistance Program (Program 4.2) , the
Mortgage Credit Certificate Program (Program 4.3) , and the Shared
Housing Program (Program 2.6) . Other programs funded through
this fund have included the Rent Deposit Guarantee Program
Program 2.7) , and multi-family new housing development (Program
2.4) .
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Funding/Administration: Approximately $400,000 in funding is
' provided annually through the Redevelopment Agency's tax
increment income. Local administration is through the Housing
Division of the City Planning and Community Development
Department.
Objectives: Overall objective is to improve housing opportunities for
low- to moderate-income persons. Quantified objectives for programs
funded through this source are listed under the individual program
descriptions.
Time Frame: 1990-1992
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Goal 3: Promote Adequate Sites For All Types Of Housing
3.1 Program Name: Annexation
Program Description: The City has an ongoing program of annexation
of land area adjacent to existing City boundaries. This allows the
City to maintain an adequate inventory of developable land as well as
to provide desired city services to previously developed areas.
Funding/Administration: Annexation costs to the City are typically
those related to staff time in processing the annexation. Annexation
-activities are handled through the City Planning and Community
Development Department.
Objective: It is anticipated that approximately 6,500 acres, or a little
over 10 square miles could be annexed during the next 5-10 years.
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Time Frame: 1990 - 1995
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3.2 Program Name: Available Land Inventory
Program Description: As part of the Land Use Element update, an
inventory of existing land for residential development was compiled.
This inventory will be updated as needed on a regular basis and as
part of the element review process, every five years. The basic
inventory will be expanded as soon as possible, to identify
underutilized and appropriately zoned land and/or existing
structures suitable for developing housing for the elderly,
handicapped, homeless, or other identified groups with special
housing needs.
Funding/Administration: The land inventory and updates will be
compiled as part of the Landuse Element review process by the
Department of Planning and Community Development.
Objective: To maintain a vacant site inventory with a potential
dwelling unit capacity adequate to house Redding's projected future
population, distributed among single-family and multi-family zones.
Time Frame: Inventory completed in 1990, updated by 1992.
Goal 4: Support a Mix of Housing For All Income Groups
4.1 Program Name: Tax Exempt Mortgage Revenue Bonds
Program Description: Mortgage revenue bonds can be issued by
cities or housing authorities to support the development of multi-
family or single-family housing for low- and moderate-income
households. Bonds can be used for the purchase, rehabilitation,
and construction of housing, as well as capital improvements related
to housing. Federal and State law requires that a percentage of the
total units in an assisted project be reserved for lower income
households. Past tax exempt mortgage revenue bond issues by the
City have facilitated the development of 100 units of new housing, a
percentage of which are available to low- and moderate-income
households in accordance with Federal and State law. Because of the
expense involved in packaging and processing a bond issue,
developers of smaller scale projects will be directed to utilize the
services of the California Housing Finance Agency (CHFA) . CHFA
provides financing for the development of affordable housing
through the sale of tax exempt revenue bonds which combine projects
throughout the State.
Funding/Administration: Financing would be tax-exempt bonds
issued by the City of Redding for specific projects. This type of
bond is typically structured, marketed, and sold by the bond
underwriters. A selected lender receives the proceeds of the bond
sale and originates and services the subsequent loan to the
developer.
Objectives: To encourage and facilitate the production of all types of
affordable housing in the community.
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Time Frame: At the present time, the City does not have any
developer applications for this type of financing. Developer
inquiries would be considered on an individual basis.
4.2 Program Name: Downpayment Assistance Program
Program Description: Program offers assistance with the down-
payment required when purchasing a home. Eligible participants
must be first-time homebuyers, buying a home in the City of
Redding, and be moderate-income or less. Assistance is in the form
of an equity-sharing mortgage recorded as a second lien on the newly
purchased property. Since implementation in July 1988, the
Downpayment Assistance Program has assisted 87 families purchase
their first home. Of these families, 24 were low-income households.
This program has undergone minor revisions since 1988 in order to
reach those population groups which traditionally have a more
difficult time purchasing property. It is anticipated that the current
program will continue with no further modifications.
Funding/Administration: Funding is from the Redding
Redevelopment Agency's Housing Setaside Fund. The program is
locally administered by the Housing Division of the City Planning and
Community Development Department. Funding received since 1988 is
approximately $1,300,000. All payoffs on existing DAP loans will go
into a revolving loan fund in order to be utilized for further DAP
loans. The program is expected to be self-supporting in 5-8 years.
Objective: To assist 90 low- to moderate-income first-time
homebuyers purchase homes.
i Time Frame: 1990 - 1992.
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4.3 Program Name: Mortgage Credit Certificate Program
Program Description: Program offers IRS tax credit for low-to-
moderate level income first-time homebuyers. Enables homebuyer to
qualify more easily for the primary financing on the purchase as well
as to realize a substantial tax savings. This program was first
implemented in July 1989. Thirty-three households have been issued
Mortgage Credit Certificates since that time.
Funding/Administration: Funding for the program is through the
City's authorized tax-free bond allocation. Application is made at
the state level to utilize MCC tax credits rather than bond authority.
Local administration is through the Housing Division of the City
Planning and Community Development Department.
Objective: To assist 150 low- to moderate-income first-time
homebuyers purchase homes.
Time Frame: Original allocation of $1,000,000 can be utilized through
December 1991. It is anticipated that a new application will be made
in the Spring of 1991 for a further allocation if this program is
extended at the Federal level.
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5.1 Goal 5: Promote Equal Housing Opportunities
Program Name: Fair Housing Referral and Information Program
Program Description: Program provides basic information about fair
housing rights to both landlords and tenants. Client contact is
primarily by phone to a paralegal housing specialist. Referrals are
made for discrimination in housing complaints to the State
Department of Fair Employment and Housing. Special outreach
efforts are made to include groups likely to experience discrimination
in housing including minorities, the elderly, the handicapped, and
lower-income families. These efforts include providing staff
speakers at service agency meetings, and periodic informational
mailouts to service organizations. In addition, all tenants and
landlords participating on the HUD Section 8 and Rental
Rehabilitation Programs are counseled as to fair housing rights and
responsibilities.
Funding/Administration: Funding for this program is through the
City's Community Development Block Grant Program. The service is
typically contracted out to a local nonprofit agency experienced with
housing law. Local administration is by the Housing Division of the
City Planning and Community Development Department.
Objective: To educate the public regarding fair housing law
including antidiscrimination regulations.
Time Frame: Ongoing program, expected to be continued through
1992.
5.2 Program Name: Uniform Building Code, Title 24 Handicapped
Adaptability/Accessibility Regulations Compliance
Program Description: Local code enforcement of required
handicapped adaptability/accessibility features on new multifamily
residential projects containing 5 or more units per building.
Proposed projects are reviewed prior to construction for compliance
to Title 24 regulations as well as monitored during the construction
process.
Funding/Administration: Building permit fees extracted for each
project cover a large portion of the cost related to operating the
compliance program. Local administration is by the City Building
Department.
Objective: Title 24 compliance on required new multifamily
construction projects.
Time Frame: 1990 - 1992.
5.3 Program Name: State Emergency Shelter Program, State Special User
Housing Rehabilitation Program, McKinnie Act Programs including
SAFAH, Handicapped Homeless and Transitional Housing Programs.
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Program Description: The City will assist nonprofit service agencies
in applying for monies from State or Federal sources such as the
State Emergency Shelter Program and/or other McKinnie Act funded
programs. These programs are available to developers of projects
designed to shelter homeless persons or families, including those
with special needs such as substance abusers, and the physically or
mentally handicapped, on an emergency, transitional, or permanent
basis. Currently, the City is assisting a local non-profit agency to
secure ESP funds for 10 units of emergency/ transitional shelter.
Funding/Administration: The State and Federal governments have
allocated monies to assist in the provision and operation of housing
facilities for the homeless. Administration of individual projects will
be the responsibility of the nonprofit agency initiating the
application.
Objectives: A minimum of 10 units for each of the planning period
years.
J Time Frame: 1990 - 1992.
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Goal 6: Encourage Energy Conservation
` 6.1 Program Name: Uniform Building Code, Title 24 Energy Conservation
i Compliance
Program Description: Local code enforcement of required energy
conservation features and appliance guidelines for construction of
residential structures. Proposed projects are reviewed prior to
construction for compliance to Title 24 regulations as well as
monitored during the construction process.
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Funding/Administration: Building permit fees extracted for each
project cover a large portion of the cost related to operating the
y compliance program. Local administration is by the City Building
Department.
IObjective: Title 24 compliance of all new construction projects.
Time Frame: 1990 - 1992.
6.2 Program Name: Energy Conservation Programs
Program Description: An assortment of programs designed to lessen
the consumption of electricity by both homeowners and businesses.
(See previous section on Energy Conservation) At this point, the
programs are completely voluntary, however, as energy resources
are stretched to their limits by increasing public demand due to
population growth and irresponsible usage, it is likely that energy
providers will begin to utilize punitive measures such as imposing
much higher energy costs on excessive users to encourage
participation.
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Funding/Administration: City Electric Department funds and
administers all of the current conservation programs.
Objective: To achieve a conservative level of energy usage by both
private and public users of electricity based upon current and future
energy supplies.
Time Frame: 1990 - 1992.
6.3 Program Name: Weatherization
Program Description: Weatherization improvements are provided to C
eligible homeowners and landlords as part of the City's ongoing
Homeowner, Mobilehome, and Rental Rehabilitation programs. h
Eligible repairs include weatherstripping, insulation, installation of
storm doors, installation of dual-pane windows, and caulking.
Weatherization repairs have been made to the 977 units which have
participated in City sponsored rehabilitation programs since 1977.
These types of repairs will continue to be encouraged and in some
cases required on all City programs.
Funding/Administration: Funding is from a variety of Federal, State,
and local sources including CDBG, State Deferred Loan Program,
HUD Rental Rehabilitation Grants, and Redevelopment funds. All
programs are administered by the Housing Division of the City
Planning and Community Development Department.
Objective: As part of the regular rehabilitation loan programs, 392
units will be assisted, including weatherization measures if
necessary.
Time Frame: 1990 - 1992.
6.4 Program Name: Public Information Assistance
Program Description: As a service to the general public, the City will
continue to refer interested parties to providers of energy
conservation services available in the community.
Funding/Administration: No funding required by the City. Referral
and information service only. Staff knowledgable regarding available
services in the community will be in Housing, Planning, Electric,
Customer Service, and Building Departments.
Objective: To educate the public regarding energy conservation and
available resources to accomplish the same.
Time Frame: 1990 - 1992.
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X. COMMUNITY PARTICIPATION
Community input was solicited at several stages during the drafting of the
Housing Element Revision. As was stated in several previous sections, the
housing needs expressed in this document for all of the special needs
groups were arrived at after discussions with local agencies involved in
providing services to these populations. These organizations, comprised
of Federal, State, and local governmental entities, as well as local non-
profit groups, include Social Security Administration, California
Employment Development Department, Shasta County Mental Health
Services, Shasta County Social Services, Shasta County Housing
Authority, Shasta County Office of Migrant Education, City of Redding
Housing Authority, Far Northern Regional Center, Independent Living
Services of Northern California, Golden Umbrella, Salvation Army, People
of Progress, Shasta County Women's Refuge, and Northern Valley Catholic
Social Services.
Because of the timing of the revision, 10 years from the last census and at
least a year from new census data, the population figures are compiled from
the best available data, which in addition to figures provided by the State
Finance Department for the general population, includes estimates supplied
by the above service providers. The numbers expressed herein are
considered to be accurate.
The draft element has been circulated among community housing advocates
prior to adoption in order to solicit their comments and suggestions. Those
receiving draft copies of the element include Shasta County Community
Development Department, City of Anderson Planning Department, Local
Agency Formation Commission, Senior Legal Center of Northern California,
i Legal Services of Northern California, Redding Record Searchlight, People
of Progress, Shasta Builders Exchange, and Shasta County Board of
Realtors.
Public participation is also provided in the form of public hearings.
i Following the preparation of the Draft Housing Element, the Planning
Commission conducts public hearings on the Element. Subsequent to
I Planning Commission action and recommendations to City Council, further
i public hearings will be held at the City Council level. Once the public
hearings and related reviews are completed, the City Council may formally
adopt the Element.
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