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CITY COUNCIL AGENDA ITEM NO. 24

Meeting Date: May 9, 2006

Subject/Title: Consideration of an amendment to the Residential Growth Management Program (RGMP) to establish that the maximum number of allocations for market rate units shall equal the number of lots shown on the project map and revise the total number of allocations awarded to two projects (Pulte Homes and Passport Homes) approved in the 2005 RGMP cycle and to the five projects (Site Homes, LLC., Discovery Builders, Inc. (2 projects), Rob Hanberg and Frederick Lamb, and Minnesota Rentals, Inc.) approved in the 2006 RGMP cycle.

Prepared by: Jeff Zilm, Senior Planner

Submitted by: Howard Sword, Community Development Director

RECOMMENDATION
The Staff RGMP Committee recommends that the City Council pass and accept the attached Resolution amending the Residential Growth Management Program (RGMP) to establish that the maximum number of allocations for market-rate units shall equal the number of lots shown on the project map and revise the total number of allocations awarded to two projects (Pulte Homes and Passport Homes) approved in the 2005 RGMP cycle and to the five projects (Site Homes, LLC., Discovery Builders, Inc. (2 projects), Rob Hanberg and Frederick Lamb, and Minnesota Rentals, Inc.) approved in the 2006 RGMP cycle. Any required on-site affordable units could be constructed in addition to this maximum number of market-rate units, resulting in an increase in the number of lots within the project boundary.

PREVIOUS ACTION
The original RGMP was approved July 6, 2001 and subsequently amended on September 11, 2001, November 26, 2002, May 27, 2003, September 23, 2003, October 12, 2004, and September 13, 2005.

BACKGROUND
The RGMP is a complex program and from time to time, staff finds it necessary to convene the Staff RGMP Committee to receive clarification on issues as they arise. The RGMP process authorizes the Committee to interpret the intent of the program in order to score projects as accurately as possible to facilitate decisions by the Council; however, it does not give the Committee the authority to make changes when dealing with the intent of the program.

When an RGMP project is submitted, staff reviews the application and, based upon the total number of proposed lots shown on the map, determines the required number of affordable housing units the project needs to provide on-site. Then the applicant works with the Housing Division to determine how to meet the Affordable Housing Ordinance minimum requirement of 10%. Since all affordable housing units are exempt from the RGMP, staff then subtracts the affordable housing number from the total number of proposed lots to generate the required allocation for the project during that particular RGMP cycle.

This is the part of the process that has created some confusion for both the developer and staff. The developer has understood the intent of this process to be that once a proposed map went through the RGMP showing 100 lots (as an example), he would be able to build 100 market-rate lots and any affordable units required on-site would be added to the 100 market-rate lots. So if the affordable housing requirement is 10 units on-site those units would be added to the 100 market-rate lots and the map would show 110 total lots.
On the other hand, staff has understood the intent of this process to be that if the developer had a proposed map showing 100 lots, staff would subtract the 10 affordable units from the 100 market-rate lots which would leave 90 market-rate lots and any affordable units required on-site would be added to the 90 market-rate lots. So if the affordable requirement is 10 units on-site, those units would be added to the 90 market-rate lots for a total of 100 lots.

The developer contends that since the map always showed 100 lots and the cost to develop the project was spread out over those 100 lots, having him reduce the number of lots from 100 to 90 this late in the process represents a cost increase which he can’t absorb into the remaining 90 lots. As a result, the developer feels that he should be allowed the 100 lots and not the 90 lots for market-rate units.

Because this issue was creating some confusion, staff went before the Staff RGMP Committee requesting a clarification concerning how the on-site affordable housing units should be accounted for under the RGMP and its total annual allocation of market rate lots. After much discussion, the Staff RGMP Committee felt because the affordable housing units are exempt from the RGMP allocation that if a map showed 100 lots, any affordable housing units required on-site should be added to the 100 lots, and is forwarding this recommendation to be the intent of the program onto the Council for consideration.

If the City Council agrees with this recommendation, the number of market-rate allocations (lots) would be increased for the following projects which have previously received RGMP allocations:

2005 RGMP Cycle

Project Allocations Awarded Date Allocations Remaining (From 433)
The Mark Pringle Co. 11 10/12/04 422
Mark Taylor 8 10/12/04 414
Suncrest Homes 206 2/22/05 208
Reynolds PM 2 3/15/05 206
Gaudinier SHU 1 4/5/05 205
Mederos PM 2 5/3/05 203
Selders SHU 1 5/18/05 202
Valverde PM 4 7/19/05 198
Passport Homes 53 59 8/23/05 145 139
Pulte Homes 93 103 8/23/05 52 36
Baca Properties 35 8/23/05 17 1

Accepting the Committee’s recommendation would only create a change to the allocations awarded to Passport Homes and Pulte Homes, which in turn affects the allocations for the 2005 RGMP cycle. However, these changes will not exceed the maximum 433 allocations allowed for the 2005 RGMP cycle. The Baca Properties allocations would not be affected because their tentative map only shows 35 market-rate lots.

2006 RGMP Cycle

Project Allocations Awarded Date Allocations Remaining
(from 400)
Site Homes, LLC 23 30 2/28/06 377 370
Discovery Builders, Inc. 28 34 2/28/06 349 336
Discovery Builders, Inc. 126 140 2/28/06 223 196
Hanberg and Lamb 6 7 2/28/06 217 189
Minnesota Rentals, Inc. 6 7 2/28/06 211 181

Accepting the recommendation would affect the allocations awarded to the above mentioned five individual projects and the total number of allocations awarded for the 2006 RGMP cycle as well. Typically 50% of the allocations would be reserved for the first half of the cycle and 50% of the allocations would be reserved for the second half of the cycle; however, the RGMP process allows Council to award more than the 50% in the first half of the cycle and reduce the number of allocations available in the second half of the cycle (in this case from 211 to 182).

If Council does not agree with the Committee’s recommendation then the allocation numbers would not change and as these projects come in for tentative map approval staff will make sure they reflect the correct number of allocated lots and not exceed their allocation.

Attachments:
1. Resolution
2. Zoning Map showing the location of the 2005 projects
3. Zoning Map showing the location of the 2006 projects

RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BRENTWOOD APPROVING AN AMENDMENT TO THE RESIDENTIAL GROWTH MANAGEMENT PROGRAM (RGMP) TO ESTABLISH THAT THE MAXIMUM NUMBER OF ALLOCATIONS FOR MARKET RATE UNITS SHALL EQUAL THE NUMBER OF LOTS SHOWN ON THE SUBMITTED PROJECT MAP AND REVISE THE TOTAL NUMBER OF ALLOCATIONS AWARDED TO TWO PROJECTS (PULTE HOMES AND PASSPORT HOMES) APPROVED IN THE 2005 CYCLE AND TO THE FIVE PROJECTS (SITE HOMES, LLC., DISCOVERY BUILDERS (2 PROJECTS), INC., ROB HANBERG AND FREDERICK LAMB, AND MINNESOTA RENTALS, INC.) APPROVED IN THE 2006 CYCLE.

WHEREAS, the City Council passed and accepted Resolution No. 2326 adopting a Residential Growth Management Program (RGMP) to provide for the review and evaluation of residential growth in the City of Brentwood on July 6, 2001, which was effective July 1, 2001; and

WHEREAS, on September 11, 2001, November 26, 2002, May 27, 2003, September 23, 2003, October 12, 2004, and September 13, 2005, the City Council passed and accepted resolutions amending the original RGMP; and

WHEREAS, the purpose and intent of the Residential Growth Management Program (RGMP) is to moderate the effects of growth, and synchronize residential growth with infrastructure, and municipal and public safety services, and total population available under the City’s General Plan; and

WHEREAS, the RGMP is one of the growth management techniques contained in the 2001 General Plan, which is intended to help achieve the above stated purpose and intent; and

WHEREAS, the RGMP Annual Allocation of housing units which may be granted will be consistent with the annual number of dwelling units necessary to promote the public health, safety and welfare by maintaining the small town character and quality of life of Brentwood, and its open spaces and generally low density of population, and to help ensure growth at an orderly, well planned and deliberate pace; and

WHEREAS, the RGMP is also intended to ensure the adequate provision of vital life safety public services including fire and paramedic protection per the “Fire Protection Services for the City of Brentwood Strategy for the Future” report dated December 1998; and

WHEREAS, overly rapid growth adversely impacts public resources, services and facilities, such as parks, open space, police and fire service, roads and utilities; and

WHEREAS, consideration of these applications is determined to be covered by the general rule that the California Environmental Quality Act (CEQA) applies only to projects which have the potential for causing a significant effect on the environment. In this case, where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA (CEQA Guidelines Section 15061(b)(3)), in that any granting of an allocation for dwelling units will need to be followed by an appropriate Tentative Subdivision Map application to receive an actual entitlement, including the appropriate level of environmental review in compliance with CEQA; and

WHEREAS, the Staff RGMP Committee recommended to the City Council that the previously approved 53 allocations for Passport Homes be revised upward to 59 allocations, and the previously approved 93 allocations for Pulte Homes be revised upward to 103 allocations; and

WHEREAS, the City Council established an annual allocation for Calendar Year 2005 of 433 units at its meeting of February 8, 2005; and

WHEREAS, awarding a revised total allocation of 197 units to Passport Homes, Pulte Homes, and Baca Properties meets the intent of the RGMP, in that one (1) unit remains available for Calendar Year 2005; and

WHEREAS, The Staff RGMP Committee recommended to the City Council that the previously approved 23 allocations for Site Homes, LLC., be revised upward to 30 allocations, the previously approved 28 allocations for Discovery Builders, Inc., be revised upward to 34 allocations, the previously approved 126 allocations for Discovery Builders, Inc., be revised upward to 140 allocations, the previously approved 6 allocations for Rob Hanberg and Frederick Lamb be revised upward to 7 allocations and the previously approved 6 allocations for Minnesota Rentals, Inc. be revised upward to 7 allocations; and

WHEREAS, the City Council established an annual allocation for Calendar Year 2006 of 400 units at its meeting of January 10, 2006; and

WHEREAS, awarding a revised total allocation of 218 units to Site Homes, LLC., Discovery Builders, Inc., Rob Hanberg and Frederick Lamb, and Minnesota Rentals, Inc., meets the intent of the RGMP, in that 181 units remains available for Calendar Year 2006 to accommodate the August cycle, as well as additional parcel maps and secondary housing units that may be approved; and

WHEREAS, another intent of the RGMP is that the City Council award approximately 50% of the annual allocations in February and the other 50% in August, or reasonably close percentages based on project size, in order to include entire projects; and

WHEREAS, a Notice of Public Hearing was distributed to all residential developers currently doing business in the City of Brentwood and published in the Brentwood Press on April 28, 2006, in accordance with City policies and Government Code Section 65090; and

WHEREAS, the City Council of the City of Brentwood held a public hearing on this project at its regular meeting of May 9, 2006; and

WHEREAS, the City Council has considered the staff report, supporting documents, public testimony, and all appropriate information that has been submitted with the proposed project and finds that:

1. Since the most recent amendment to the RGMP was approved on September 13, 2005, issues with the program relative to the calculation of market-rate and affordable units have been identified that need to be addressed; and

2. The proposed changes to the program will increase its effectiveness and will also make it easier for the public, applicants, staff, and the City Council to use; and

3. The proposed changes to the program enhance its desired intents – managed sustainable growth, controlled permit activity, precise scoring, and elevated development quality; and

4. The RGMP Update has been processed in accordance with the applicable provisions of the California Government Code and the California Environmental Quality Act; and

5. Approval of the RGMP Update is consistent with the City’s General Plan.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Brentwood hereby finds and determines as follows:

Section 1. The foregoing recitals and staff report statements are found and determined to be true and correct.

Section 2. The City Council grants the request to revise the previously approved 53 allocations for Passport Homes upward to 59 allocations in accordance with the previously approved RGMP application and the following proposed general improvements for the “Estates at the Preserve” project:

1. Construction of roadway improvements to the Lone Tree Way and Smith Road intersection, and additional widening of Lone Tree Way and soundwall construction (40 points).

2. Construction of a pedestrian bridge across the County Flood Control drainage area, enhanced park improvements to the proposed approximately 1-acre park, and a landscape buffer along Lone Tree Way (17 points).

3. Energy efficient subdivision design, including reduced pavement area, high albedo paving, and pavement shading; and energy efficient building design, including exceeding PG&E Energy Star specifications, solar-ready homes, whole house fans, energy star outdoor lighting, and energy star indoor lighting (23 points).

4. High quality housing design, including large front porches, exclusive side or turned garage plans, four distinct elevations per plan, a minimum of one plan for every 15 lots within the subdivision, and more than 25% of the lots with single-story plans (12.8 points).

5. Incorporating the existing Broderick, Velez, Last, Friedel, and Cunha properties into the subdivision (25 points).

6. Providing estate homes, such that 43 lots exceed 15,000 square feet and 17 lots exceed 20,000 square feet (10 points).

7. Developing at a reduced density from the allowable mid-range (5 points).

8. Connecting the existing Dutra home to the City’s sewer and water system, and including it in the subdivision’s LLD and CFD (15 points).

9. High quality subdivision design, including proximity to transit stops, parks, and/or trails, and traffic calming features (8 points).

Section 3. The City Council grants the request to revise the previously approved 93 allocations for Pulte Homes upward to 103 allocations in accordance with the previously approved RGMP application and the following proposed general improvements for the “Carmel Estates” project:

1. Construction of roadway improvements, including a 42” water line in Neroly Road, a fiber optic extension in Lone Tree Way, parkway landscaping and irrigation adjacent to Minnesota Avenue, an enhanced trail adjacent to Carmel Parkway, and a traffic signal at Carmel Parkway and Minnesota Avenue (46.8 points).

2. Enhancing the existing landscaping adjacent to the railroad tracks, adjacent to Minnesota Avenue, and in the Carmel Parkway medians, constructing a masonry wall adjacent to Carmel Parkway, and increasing the parkway landscaping and irrigation adjacent to Carmel Parkway (18.3 points).

3. Energy efficient subdivision design, including reduced pavement area, high albedo paving, and pavement shading; and energy efficient building design, including whole building energy use, solar-ready homes, whole house fans, energy star outdoor lighting, and energy star indoor lighting (25 points).

4. Purchase of a 10-acre conservation easement in the agricultural core area (30 points).

5. High quality housing design, including large front porches, four distinct elevations per plan, a minimum of one plan for every 15 lots within the subdivision, and more than 25% of the lots with single-story plans (6 points).

6. Continuing project (10 points).

7. Developing at a reduced density from the allowable mid-range (5 points).
High quality subdivision design, including proximity to transit stops, parks, and/or trails, and traffic calming features (11 points).

Section 4. The City Council grants the request to revise the previously approved 23 allocations for Site Homes, LLC., upward to 30 allocations in accordance with the previously approved RGMP application and the following proposed general improvements for the “Bonnie Lane” project:

1. Construction of off-site roadway improvements to Lone Tree Way (50 points).

2. Energy efficient design (25 points).

3. Contribution of $161,000 to the City’s PEC Fund (20 points).

4. Housing design (6 points).

5. Incorporating the existing Fujii, Dannenberg, and Rincon properties into the subdivision (25 points).

6. Providing estate homes, such that 26 lots exceed 15,000 square feet and 4 lots exceed 20,000 square feet (10 points).

7. High quality subdivision design (15 points).

Section 5. The City Council grants the request to revise the previously approved 28 allocations for Discovery Builders, Inc., upward to 34 allocations in accordance with the previously approved RGMP application and the following proposed general improvements for the “Magnolia” project:

1. Construction of off-site roadway improvements to the Brentwood Boulevard Marsh Creek Bridge (50 points).

2. Landscape improvements to Brentwood Boulevard and Marsh Creek Vista Park (10 points).

3. Energy efficient design (25 points).

4. Contribution of $172,550 to the City’s PEC Fund (17 points).

5. Purchase of a conservation easement in the agricultural core area (2 points).

6. Housing design (6 points).

7. Continuing project (10 points).

8. Incorporating the existing property into the subdivision (15 points).

9. High quality subdivision design (15 points).

Section 6. The City Council grants the request to revise the previously approved 126 allocations for Discovery Builders, Inc., upward to 140 allocations in accordance with the previously approved RGMP application and the following proposed general improvements for the “Mission Grove” project:

1. Construction of off-site roadway improvements to the Brentwood Boulevard Marsh Creek Bridge and Armstrong Road (46.4 points).

2. Landscape improvements parallel to the ECCID Main Canal (9.4 points).

3. Energy efficient design (25 points).

4. Contribution of $749,700 to the City’s PEC Fund (17 points).

5. Purchase of a conservation easement in the agricultural core area (16 points).

6. Housing design (6 points).

7. Continuing project (10 points).

8. Incorporating the existing property into the subdivision (5 points).

9. High quality subdivision design (6 points).

Section 7. The City Council grants the request to revise the previously approved 6 allocations for Rob Hanberg and Frederick Lamb upward to 7 allocations in accordance with the previously approved RGMP application and the following proposed general improvements for the “Last Ranch” project:

1. Construction of off-site landscape improvements (30 points).

2. Energy efficient design (25 points).

3. Contribution of $84,000 to the City’s PEC Fund (40 points).

4. Housing design (6 points).

5. Incorporating the existing property into the subdivision (10 points).

6. Providing estate homes, such that 3 lots exceed 15,000 square feet and 5 lots exceed 20,000 square feet (6.5 points).

7. Incorporating the existing home into the subdivision’s LLD and CFD, as well as connecting the existing home to City sewer and water services (15 points).

8. High quality subdivision design (3 points).

Section 8. The City Council grants the request to revise the previously approved 6 allocations for Minnesota Rentals, Inc., upward to 7 allocations in accordance with the previously approved RGMP application and the following proposed general improvements for the “St. James Court” project:

1. Construction of off-site landscape improvements (50 points).

2. Energy efficient design (25 points).

3. Contribution of $39,900 to the City’s PEC Fund (19 points).

4. Housing design (6 points).

5. Continuing project (10 points).

6. Incorporating the existing property into the subdivision (10 points).

7. Providing estate homes, such that each lot exceeds 20,000 square feet (8 points).

8. High quality subdivision design (3 points).

Section 9. The City Council finds that this action is exempt from the requirements of the California Environmental Quality Act, pursuant to Section 15061(b)(3) of the CEQA Guidelines.

Section 10. The RGMP is hereby amended to include a clarification of how market-rate allocations are calculated for projects, in that the number of units shown on a project map shall be the number of market-rate allocations requested by an applicant and granted for said project, with any required affordable units simply added onto that number. This amendment shall be made by staff by including the appropriate wording into a revised version of the RGMP.

PASSED AND ACCEPTED by the City Council of the City of Brentwood at their regular meeting of May 9, 2006 by the following vote:

 

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