HomeMy WebLinkAbout2/16/2000 - STAFF REPORTS DATE: FEBRUARY 16,2000
TO: COMMUNITY REDEVELOPMENT AGENCY/CITY COUNCIL
FROM: CDBG/HOUSING COORDINATOR and DIRECTOR OF PLANNING &BUILDING
VIA CITY MANAGER
HOUSING ELEMENT AND COMPREHENSIVE AFFORDABLE HOUSING STRATEGY
RECOMMENDATION:
It is recommended that the Agency and Council approve a contract amendment with David Paul Rosen
and Associates to include the preparation of a City's Housing Element and a comprehensive affordable
housing strategy. The contract amendment is in an amount not to exceed$99,300. Final contract
amendment to be in a forth approved by the City Attorney.
BACKGROUND:
According to Section 65300 of the California Government Code,"each planning agency shall prepare
and the legislative body of each county and city shall adopt a comprehensive, long-term general plan
for the physical development of the county or city,and of any land outside its boundaries which in the
planning agency's judgment bears relation to its planning. Chartered cities shall adopt general plans
which contain the mandatory elements specified in Section 65302." Section 65302 details the
required elements, including,and pertinent to this report,the Housing Element. Under State Law,the
City is required to submit to the State an updated Housing Element by June 30,2000. Jurisdictions
with an out-of-compliance Housing Element may expose themselves to potential litigation. Section
65580 describes in detail the requirements of the Housing Element.
Additionally, in November 1999 the Agency directed staff to pursue the development of a
Comprehensive Housing Strategy(Strategy)as a result of an Affordable Housing Analysis which was
completed by David Paul Rosen&Associates(DRA). Developing a strategy will allow the City to be
proactive in the creation of its affordable housing and take the initiative in meeting the needs of the
community as well as its Regulatory Requirements.
The Redevelopment Agency entered into agreement with DRA July 28, 1999,by CRA Resolution No.
1073,to complete the affordable housing analysis. Staff is recommending an amendment to DRA's
contract in order for DRA to complete the above referenced documents in a cohesive,coordinated
fashion. The Scope of Services attached to the Contract Amendment states that DRA will produce a
Housing Element Update pursuant to State law, and will also develop a Comprehensive Housing
Strategy which will make maximum use of the City of Palm Springs' resources and will target very
low and low income households proportionately to their needs in the City. The Strategy will build
upon the data generated in the recently completed Affordable Housing Analysis, and will provide
concrete, achievable housing goals for incorporation in the Housing Element update,rendering it
approvable by the State.
DRA proposes to place an emphasis on community consensus in the development of these two
documents. Opportunities for public participation will be provided tlu•ough a proposed Advisory
Committee, Community Workshops and Planning Commission and City Council/Redevelopment
Agency joint study sessions/hearings. One of the first tasks in the work program will be to refine the
public participation process by holding discussions with staff and the elected officials.
This action is brought to the City Council and Redevelopment Agency for joint approval due to the use
of two funding sources for the contract amendment—the General Fund and the Housing Set Aside
Fund. The General Fund will cover all tasks related to the production of the Housing Element and the
Housing Set Aside fund will cover costs associated with the development of the Comprehensive
Housing Strategy, $27,000 and$72,300,respectively. City funds will be appropriated from Fund
Balance since no appropriation was made this year for the preparation of the Housing Element.
Agency finds are available from the Housing Set Aside Fund under Unscheduled Capital Projects,
account4882-8382-5000.
D LLAS J.FLICEK l-&FRANCESCA TOSCANO MERRIT
Inter' ty M ager CDBG/Housing Coordinator
o AA7
DOUGLA� .EVANS Director of lanning&Building �1�1�'S� 116Jijt`P
ATTACHMENTS:
1. Resolution—Agency approval
2. Minute Order—City approval
3. Scope of Services
4. Resolution amending the budget
David Paul Rosen 8i Associates C r�
City of Palm Springs
Scope of Services
Palm Springs Comprehensive Affordable
Housing Strategy
Objectives
The availability of a well-balanced housing stock is essential to the economic and
social vitality of individual communities, as well as the regions they comprise. As
portions of California continue to experience rapid population growth, in the
context of a changing demographics, providing housing to meet the needs of existing
and future populations becomes a more difficult challenge for communities.
Because of the complex interrelationship between policies and decisions involving
housing, land use, transportation, air quality and economic development, cities must
develop creative strategies to promote the availability and affordability of housing.
The scope of services will develop a Comprehensive Housing Strategy ("Strategy")
which will make maximum use of the City of Palm Springs' resources and will target
very low and low income households proportionately to their needs in the City.
The scope of services will also produce a Housing Element Update pursuant to State
law under which jurisdictions within the SCAG region are required to update their
housing elements by June 30, 2000.
The Comprehensive Housing Strategy will complement the City's HUD
Consolidated Plan for program years of 2000-2004, and the Redevelopment
Agency's (Agency) Five-Year Implementation Plan for program years FY 1999/00
— FY 2003/04 in compliance with AB 1290. The Strategy will build upon the
data generated in the recently completed Palm Springs Market Analysis for
Affordable Housing, and will provide concrete, achievable housing goals for
incorporation in the Housing Element update, rendering it approvable by the State
Department of Housing and Community Development.
The Housing Element must comply with State law with respect to its mandated
components and General Plan consistency. Jurisdictions with an out-of-compliance
housing element may expose themselves to legal vulnerabilities. Certification is
considered to be essential in order for the City to participate favorably in requesting
State and Federal housing grants in the upcoming years. The coordinated
development of the Housing Element and Affordable Housing Strategy will result in
a legally adequate, and more importantly, a functional housing element.
SCAG recently completed the process of developing regional fair share housing
allocations through the Regional Housing Needs Assessment (RHNA) process. The
City's construction need allocation is 1,502. A component of our approach will be
DRA Scope of Services February 4, 2000
Palm Springs Comprehensive Affordable Housing Strategy and Housing Element Page 1
to achieve community consensus on how and where the City's future affordable
housing needs will be satisfied.
Our proposed scope of work places emphasis on developing this consensus through
effective facilitation of a broadly representative Task Force, potentially composed of
elected and appointed officials as well as representatives in the community.
Our team's positive working relationship with HCD enables us to approach the
resolution of identified issues and concerns in a streamlined manner. We believe this
aspect of our services has been a major factor in the success rate of our elements in
terms of conformity review.
The Consultants have a strong reputation for facilitating effective community
consensus building in order to develop an Affordable Housing Strategy and Housing
Element that meet legal requirements in a way that is acceptable to the community.
Opportunities for public participation will be provided through a proposed Advisory
Committee, Community Workshops and Planning Commission and City Council
joint study session/hearings. The specifics of the public participation program will
be refined in consultation with City staff and decision-makers as one of the first tasks
in the work program.
A cornerstone of our proposed work effort is a Project Team with depth and range
of experiences. The result is that tasks can be undertaken in the most efficient
manner. The underlying assumption of the team's composition is to match the level
of expertise required for each task with the individuals most suitable to accomplish
its objective.
Although the actions proposed in the Housing Element will constitute a "project"
under the California Environmental Quality Act, the environmental consequences of
these actions remain general in nature. It is assumed that environmental impacts will
be minimal and the majority of impacts associated with the Housing Element Update
non-significant. It is anticipated that a Mitigated Negative Declaration will be
appropriate, supported by a Mitigation Monitoring Plan for non-policy mitigation
measures if warranted.
The Consultant will work under the City's direction as an extension of staff, and will
handle all notices, mailings, copying and minutes of staff meetings and community
workshops required for the Housing Element. If requested by the City, the
Consultant will prepare Planning Commission and City Council staff reports as an
optional task.
Task 1: Background Research/Project Initiation
David Paul Rosen 8z Associates (DRA), in conjunction with The Consultants (TPC),
jointly referred to as the "Consultants", will complete the following scope of work.
Initial organization of the work program is essential to assure that a process is
established to provide close communication between DRA, TPC, City staff and, if
necessary, legal counsel.
DRA Scope p of Services February 4, 2000
Palm Springs Comprehensive Affordable Housing Strategy and Housing Element Page 2
DRA and TPC are highly experienced and skilled in working with such citizen
advisory groups. We recommend that if this approach is used, the Advisory
Committee be appointed by the City Council and charged with the responsibility of
bringing forward a consensus recommendation for the Comprehensive Affordable
Housing Strategy and the Housing Element to the Council for its consideration and
adoption.
The Consultants will work closely with City and Agency staff to provide the
preparation, reports, presentations and meeting facilitation services required to
assure the highest quality and impartial process and substance is provided to the
Advisory Committee for its consideration.
In addition to the Advisory Committee, the scope of services and budget includes
two study sessions. The Consultants will coordinate and facilitate all public
workshops in consultation with City staff, and will be responsible for developing
agendas, workshop materials, and preparing meeting summaries.
Task 2 Deliverables
• Public Involvement Program for the Affordable Housing Strategy and
the Housing Element Update.
Task 3: Conduct Housing Affordability Gap Analysis
The Consultants will analyze the "affordability gap" between the cost of building
housing at various densities and the amount that households at different income
levels and family sizes can afford to pay for housing based on a review of market and
income data in Palm Springs, as well as our own considerable experience in Riverside
County and throughout Southern California. The affordability gap analysis provides
an understanding of the City's financial capacity to assist in the development and
preservation of affordable housing under alternative targeting strategies, given its
resources and market conditions.
The Consultants will:
l . Define target income levels (three income levels);
2. Calculate maximum affordable monthly housing costs (renter and
owner, by income level)
Define affordable housing expense (e.g. rent plus utilities for renters;
mortgage principal and interest, taxes, insurance, and potentially
homeowners association/maintenance costs for owners)
3. Develop housing prototypes
Analyze up to three renter and three owner prototypes representing
different types and densities of housing that could be developed or
acquired and rehabilitated in Palm Springs. Development cost
DRA Scope of Services February 4, 2000
Palm Springs Comprehensive Affordable Housing Strategy and Housing Element Page 4
among state, federal and private sector sources. This review will describe
programs available to Palm Springs, associated program requirements, and
remaining available funding levels. The following non-local sources will be
among those analyzed: State Department of Housing and Community
Development, California Housing Finance Agency, Federal and State Low
Income Housing Tax Credits, tax-exempt mortgage revenue bonds, U.S.
Department of Housing and Urban Development, community reinvestment
loan commitments from private lenders and insurers, non-profit
intermediaries and other private sector resources.
DRA will assist the Agency and the City in identifying leverage opportunities
consistent with the policy, program and project priorities in Palm Springs.
Task 4 Deliverable
• Report on local affordable housing resources and comprehensive
review of current affordable housing assistance programs.
Task 5: Housing Element Sections on Existing Conditions, Housing
Needs, Constraints, Resources and Opportunities
The purpose of this task is to develop drafts of the Existing Conditions, Housing
Needs, Constraints, Resources and Opportunities sections of the Housing Element.
The Consultants will use data on affordable housing needs, supply, and prices from
the recently prepared Palm Springs Affordable Market Analysis, with additional
focused research as required. The information will be compiled in a format
consistent with the requirements of Government Code Section 65583 and the
City's General Plan.
An analysis of potential and actual governmental and non-governmental constraints
to the maintenance, improvement and development of housing will be prepared. A
key component of this review will be the availability of land suitable for
development of affordable housing. The requirement for demonstrating sufficient
sites to accommodate future housing needs is a key issue in the preparation of the
Housing Element. It will also be critical to developing the programs and policies of
the Housing Strategy affecting the location of new affordable housing development.
This analysis will include the relationship of zoning and public facilities and services
to sites suitable for residential development.
Map exhibits will be prepared showing the location of available sites. The potential
number of housing units that could be developed on the sites listed in the inventory
will be calculated and compared to the City's future needs (RHNA) to determine
the adequacy of available sites. The results of this evaluation will be used in refining
the policies, programs and quantified objectives of the Housing Strategy and
Element. The Consultants will integrate the results into a digitized ARC-View base
map to be provided by the City. A hard copy of the maps will also be provided to
the City.
DRA Scope of Services February 4, 2000
Palm Springs Comprehensive Affordable Housing Strategy and Housing Element Page 6
crib vp7
cm6y
During the project initiation phase the scope will be reviewed and fine-tuned by the
City and the Consultants in order to complete the project in the most efficient and
cost-effective manner.
Task i Deliverables
• List of data.
• Kick-Off Meeting.
• Preliminary identification of key issues.
• Housing Element format.
Advisory Committee/Public Involvement Program
In consultation with City staff, the Consultants will develop a program to promote
public involvement and consensus building in the development of the Affordable
Housing Strategy and Housing Element Update. The program will identify
opportunities to solicit input, review, and participation from the public and
concerned organizations throughout the process. Any special considerations will be
reviewed with City staff during Task 1 and a framework for community involvement
will be developed.
The public involvement program will seek to provide:
• Opportunities for community representatives and interests to participate in
the process in a meaningful way.
o Effective facilitation and consensus-building strategies to maximize the
chances that the final Affordable Housing Strategy and Housing Element
programs will be both legally adequate and politically acceptable.
Some jurisdictions find impaneling a special Affordable Housing Advisory
Committee a useful step in reaching consensus on the key program and policy
elements central to both the Comprehensive Affordable Housing Strategy and
Housing Element Such an Advisory Committee should be composed of
representatives of key stakeholder groups in the community, including but not
limited to the Chamber of Commerce, Tourism Council, apartment owners, social
service providers, developers and operators of affordable rental housing, and others.
Qualifications for representatives on the Advisory Committee should include
recognized leadership within their respective constituent organizations as well as a
willingness to work toward common goals for a sound affordable housing strategy
responsive to needs in the City.
DRA Scope of Services February 4, 2000
Palm Springs Comprehensive Affordable Housing Strategy and Housing Element Page 3
CM6 = 40
estimates will be prepared for the prototypes after compiling and
reviewing housing development cost data (including land acquisition,
construction, fees and soft costs) for Palm Springs.
4. Calculate the affordability gap between the amount households can
afford to pay versus housing costs for each prototype; and,
5. Calculate subsidy needs for each prototype.
Target income levels and prototypes will be selected in consultation with City staff
and others as appropriate. We will use current Department of Housing and Urban
Development (HUD) income limits and maximum affordable housing costs for
renters and owners by family size and income level for the Riverside/San Bernardino
MSA, consistent with Housing Element, Community Redevelopment and HUD law
and regulation.
Housing acquisition, rehabilitation and development costs will be estimated through
analysis of market data, interviews with local housing developers in Palm Springs and
neighboring communities. To the extent comparable market data on multi-family
land costs are not available in Palm Springs, due to the lack of multi-family zoned
sites, we will use market prices for land appropriately zoned in surrounding
jurisdictions. The Consultants will review available data on market housing prices
and rents from on-line computer services and local market sources.
Task 3 Deliverables
• Affordability Gap Analysis Report
Task 4. Review Local Resources and Leverage Opportunities
These activities will assure the Agency and City that its Comprehensive Affordable
Housing Strategy appropriately responds to the housing needs, obligations, current
and prospective revenue resources available for affordable housing, and current and
proposed land use policies in Palm Springs.
a. Local Resources
DRA will review information provided by City staff on existing programs and
current and projected resources for affordable housing from all resources,
including the Palm Springs Redevelopment Agency's Low and Moderate
Income Housing Fund, Community Development Block Grant and HOME
funds, City and Agency general funds and other local housing moneys.
These will include funds from tax increment and tax allocation bond issues, as
appropriate.
b. Leverage Opportunities
DRA will conduct a comprehensive review and description of currently
available leverage opportunities for affordable housing subsidies from non-
City sources. Leverage opportunities will be comprehensively surveyed
DRA Scope of Services February 4, 2000
Palm Springs Comprehensive Affordable Housing Strategy and Housing Element Page 5
co fu
This task will also include an analysis of opportunities for energy conservation.
The Consultants will review the City's existing Housing Element and evaluate the
progress in implementing the adopted housing programs and meeting identified
goals of the current housing element. This review must include an analysis of the
effectiveness and appropriateness of the goals, policies and objectives in contributing
to the attainment of the state housing goal. In addition, the current housing
programs must be evaluated for their effectiveness in addressing the issues identified
in the housing conditions survey. The following specific program areas will be
included in the analysis:
■ Conserving, maintaining and improving the existing housing stock;
■ Assisting in the development of housing for low- and moderate-income
households;
■ Removing the impediments posed by identified local governmental constraints;
and
■ Providing equal housing opportunities for all income groups.
In conducting this analysis, it is assumed that the City will provide information on
the resources allocated to housing programs since the last Housing Element was
adopted.
A Technical Report will be prepared documenting the findings from the review of
the existing Housing Element. This report will be used to address legal requirements
and to guide the refinement of goals, objectives and programs in the revised
element, and the development of new programs.
Task 5 Deliverables
• Working Drafts of the Housing Element sections addressing Existing
Conditions, Housing Needs, Constraints, Resources and
Opportunities.
o Technical Report summarizing review of existing Housing Element
Task 6: Develop Housing Policies and Priorities
The strategy must be informed by policies, which provide clear guidance for the
targeting of limited City, Agency and leveraged resources. The Consultants will
clarify and recommend options and modifications to current City and Agency
priorities, goals and policies. Policy guidelines may include but will not be limited to
such issues as income targeting, housing type and tenure, definition of affordable
housing expense, mix of unit sizes, compliance with state and federal legal
requirements, affordability term, location, public/private partnerships and other
factors.
DRA Scope of Services February 4, 2000
Palm Springs Comprehensive Affordable Housing Strategy and Housing Element Page 7
The Consultants will distinguish between the City's obligations under Housing
Element Law and the Agency's obligations under Community Redevelopment Law.
We will work with the Agency and City's legal counsel to address consistency of the
recommended priorities, goals and policies with relevant legal requirements
including the Redevelopment Agency's Low and Moderate Income Housing Fund,
replacement housing and inclusionary housing obligations within the City's
Redevelopment Project Areas. We will review restrictions pertaining to tax-exempt
and taxable bonds financed using Agency Housing Set-Aside revenues, if any. We
will also address the City's and Agency's obligations to provide state relocation
benefits to eligible lower income displacees.
Task 6 Deliverables
• Statement of housing goals and policies for the Affordable Housing
Strategy and Housing Element
Task 7: Identify Program and Project Opportunities
The Consultants will review available program and project opportunities in Palm
Springs and will provide recommendations for a variety of programs and policies
consistent with Palm Springs' housing needs and resources.
Program elements to be considered may include the following, as well as others:
• New affordable housing construction;
• Acquisition of existing housing;
• Preservation of existing affordable housing at-risk of conversion to
market rate;
• Syndications using Federal and State Low Income Housing and Federal
Historic Rehabilitation Tax Credits;
o Negotiations with developers for inclusionary components to overall
development plans;
• Housing rehabilitation grants or loans;
o Ventures with non-profit housing development corporations;
• Mortgage "buy-down" and "second loan" programs to assist qualified
home purchasers in obtaining financing for the acquisition of housing
units;
• Emergency relief to prevent foreclosures and rental evictions;
DRA Scope of Services February 4, 2000
Palm Springs Comprehensive Affordable Housing Strategy and Housing Element Page 8
C (C.6• �
C 1 K 10 .0/0
• Community lending partnerships with financial institutions under the
Community Reinvestment Act (CPA) and initiatives such as the
California Organized Investment Network (COIN).
The Consultants will design program elements so that they are consistent with the
City's affordable housing needs, fulfill the City's and Agency's housing obligations,
feasible within the City's current and potential financial resources, and meet
community objectives and priorities.
DRA Scope of Services February 4, 2000
Palm Springs Comprehensive Affordable Housing Strategy and Housing Element Page 9
Task 7 Deliverables
• Program element section of Affordable Housing Strategy
Task 8: Prepare Five-Year Capital Plan and Quantif;ed Objectives
Once the housing assistance policies described above are established, housing
assistance goals specifying the number of households to be assisted by tenure, family
income, family size and special needs populations will be established. These will
describe achievable objectives over the five-year implementation plan required
under AB 1290 (Health and Safety Code Section 33490) and Housing Element
law.
The Consultants will detail the affordable housing capital requirements needed to
achieve these assistance goals. These capital requirements will be categorized by:
0 Subsidy capital;
0 Debt capital;
0 Equity capital.
The Comprehensive Affordable Housing Strategy will provide concrete, achievable
housing goals to be incorporated in the Housing Element and AB 1290
Implementation Plan. The Consultants will review and advise the Agency on the AB
1290 Implementation Plan documents as desired.
Task 8 Deliverables:
• Five-year capital plan section of the Affordable Housing Strategy
o Quantified objectives section of the Housing Element
• Summary matrix identifying each housing program, its intent and
quantified objective, funding source(s), responsible agency, and
timeframe for implementation for incorporation into the Housing
Element
Task 9: Prepare Comprehensive Housing Strategy Document
The Consultants will prepare written work products for each of the tasks, as noted
above. After incorporation of staff comments and revisions, these reports will
become chapters of the Housing Strategy document. The Consultants will prepare a
draft Comprehensive Housing Strategy documents for review by staff and the
Advisory Committee (if used), the Planning Commission and City Council.
Task 9 Deliverables:
DRA Scope of Services February 4, 2000
Palm Springs Comprehensive Affordable Housing Strategy and Housing Element Page 10
C roe 10 - rl
Cra - �•�z
• Draft Affordable Housing Strategy document
DPA Scope of Services February 4, 2000
Palm Springs Comprehensive Affordable Housing Strategy and Housing Element Page I I
Task 10: Preparation of Draft Housing Element Document
A comprehensive Screencheck Housing Element will be prepared for staff review
prior to the public review process. The Screencheck document will be based on all
information developed through the scope of work and will include all issues,
opportunities, constraints, assumptions, analysis, goals, policies, data and mapping.
The Element will comply with all applicable state provisions regarding the content,
methodology and processing of housing element updates. As this Update
constitutes a General Plan Amendment, the format will be consistent with the City's
General Plan. The completed Screencheck will be submitted to the City staff for
distribution to appropriate departments and decision-makers for review and
proofing. It is requested that the City provide a single set of consolidated comments
on the Screencheck for streamlining the revision and editing process. All City
departments, including the City Counsel, should review the Screencheck at this
point.
Three (3) rounds of revisions to the Screencheck will be made, and a Draft
document prepared for distribution during the study session portion of the project.
The Consultants will conduct a study session for the Planning Commission and City
Council on the Draft Affordable Housing Strategy and Housing Element documents.
Task 10 Deliverables:
• Screencheck Document, including all appendices, reports, etc. (one
(1 ) reproducible and ten (10) copies).
• Ten (10) copies of the revised Draft document will be provided to
reflect all comments.
• Errata sheet documenting input from study session.
Task 11: Environmental Assessment
Concurrent with the preparation of the Housing Element, the Consultants will
conduct an environmental analysis of the project. It is assumed that this analysis will
justify the adoption of an Initial Study/Mitigated Negative Declaration. The
Mitigated Negative Declaration will include an Initial Study which will contain the
required elements, including: a description of the project; its location; a
comprehensive environmental checklist; information concerning the project's
environmental effects; suggested means for mitigating the significant effects; and a
review of the project's consistency with existing plans and land use controls. The
sources of information used in the Initial Study will be cited.
All environmental topics will be reviewed in the checklist. The checklist will be
followed with a review of the potential impact, an explanation for the determination
DRA Scope of Services February 4, 2000
Palm Springs Comprehensive Affordable Housing Strategy and Housing Element Page 12
Crow bw13
e to. 6 • Iq
and recommended mitigation. Following review and comment by the City,
modifications will be made to the Screencheck Initial Study.
Assuming there are no impacts which cannot be mitigated to a level of
insignificance, a Screencheck Mitigated Negative Declaration will be prepared and
transmitted to the City for review. Comments from the City will be incorporated
and a Draft Negative Declaration and Mitigation Monitoring Program prepared. The
Draft Negative Declaration will be sent to the State Clearinghouse for distribution
for 30 day review.
NOTE: This proposal includes a scope of work and associated fee for preparation
of an initial study and Negative Declaration. If an environmental impact report is
required, the City shall be notified at the time of determination and appropriate
action taken.
Task 11 Deliverables
Screencheck Initial Study (1 ) reproducible and ten (10) copies.
o Draft Initial Study and Environmental Assessment (one (1 )
reproducible copy).
0 Draft Negative Declaration (one (I ) reproducible copy).
o Draft Mitigation Monitoring Program (if applicable) (one (1 )
reproducible copy).
Task 12: Housing Element Revisions and HCD Review
The Consultants shall incorporate all changes based on comments received through
the review process into a Draft Final copy for submittal to HCD. A camera ready
copy of the Draft Final document will be provided to the City for transmission to
state HCD for review and comment.
Upon receipt of the HCD review response, the Consultants will work with the City
at a Staff Meeting to meet the concerns of HCD to demonstrate compliance with
legislative requirements. Any comments of substantive nature, which would require
change in policy direction or other action by the City Council, will be identified for
consideration by the Council. A follow-up conference call with HCD, or other
appropriate forms of communication, will be made to ascertain satisfaction of their
concerns prior to adoption of the Element.
Once revisions and modifications are made subsequent to HCD review and
comment, a Final Draft General Plan Amendment for the Housing Element Update
and associated environmental and processing documentation will be prepared for the
DPA Scope of Services February 4, 2000
Palm Springs Comprehensive Affordable Housing Strategy and Housing Element Page 13
Planning Commission and City Council study sessions and subsequent Public Hearing
process.
The Consultants will attend one Planning Commission hearing on the General Plan
Amendment for the Housing Element Update and associated environmental
documentation (see Task 10 for description of final environmental documents). It
is recommended that any identified edits and/or modifications to the documents
resulting from the Redevelopment and the Planning Commission hearing be
documented in the form of an Errata Sheet, specifying the page number, paragraph
and line of the revision, as well as the specific language added, deleted or modified.
The Consultants will participate in one City Council hearing related to the approval
of the Housing Element and environmental documentation, based on
recommendations from the Planning Commission and documentation of proposed
revisions in the form of Errata Sheets from the hearings. The Council can then
approve, modify or delete any recommended changes to the documents highlighted
in the Errata Sheets, as well as any new editorial actions. The Errata Sheet will be
edited following the first Council hearing to incorporate all recommended actions to
be brought to the final Council hearing.
Following the Public Hearings, a Final Housing Element will be prepared.
Task 12 Deliverables:
• Study session: Joint Planning Commission, and City Council.
• Draft Final Housing Element document (one (1 ) reproducible for
HCD and ten (10) copies).
• Revised Draft Final Housing Element document (responding to HCD
comments) (ten (10) copies, one (1 ) reproducible copy and
computer disk).
• One (1 ) Planning Commission and one (1 ) City Council hearing.
• Errata sheets following each public hearing.
• Final Comprehensive Affordable Housing Strategy and Housing
Element documents (one (1 ) reproducible copy, as well as a file on
computer disk that is compatible with the City's software).
Task 13: Preparation of Final Negative Declaration
Following the 30 day review (which will occur concurrently with HCD review of the
Housing Element), a Response to Comments (if warranted) will be prepared,
constituting the Final Mitigated Negative Declaration. A Mitigation Monitoring
program with appropriate mitigation measures will accompany the Final Mitigated
Negative Declaration. This documentation will be brought to the Planning
Commission and City Council for review and adoption.
DRA Scope of Services February 4, 2000
Palm Springs Comprehensive Affordable Housing Strategy and Housing Element Page 14
Cra � �/�`
The Consultants will finalize the environmental documentation and Mitigation
Monitoring Program and file the Notice of Determination (NOD) with the County
following adoption of the Housing Element Update by the City Council.
DRA Scope of Services February 4, 2000
Palm Springs Comprehensive Affordable Housing Strategy and Housing Element Page 15
Task 13 Deliverables:
• Final Negative Declaration and Mitigation Monitoring Program (one
(1 ) reproducible copy and computer disk).
o Notice of Determination.
Meetings and Presentations
The Consultants will be present at meetings as required by research and program
development, and as desired and requested by City/Agency staff. Meetings will be
paid on a time and expense basis according to the attached fee and expense
reimbursement schedule, allowing for on-site and preparation time, and the
following reimbursable expenses, as needed: coach round-trip air travel, lodging,
meals, ground transportation and parking expenses. The maximum meeting budget
in the fee schedule will not be exceeded without prior authorization of the Agency
or City. This budget line item allows for preparation of presentation materials,
travel and on-site time with City staff and officials.
The meetings and presentations budget is presented in two alternatives; with an
Advisory Committee, and without an Advisory Committee, in Attachment 1 : Palm
Springs 2000 Affordable Housing Strategy Recommended Process and Schedule.
DRA Scope of Services February 4, 2000
Palm Springs Comprehensive Affordable Housing Strategy and Housing Element Page 16
Ow ra. 6
Budget
The not-to-exceed maximum price for preparation of the above scope of services is
$99,300. The Consultants will bill on a percent completion basis for Tasks 1
through 13. Production, meetings and reimbursable expenses will be billed on a
time and expense basis. In no event will the contract maximum be exceeded
without the mutual written consent of the City and the Consultant. Billing rates for
professional fees and expense reimbursement will be per the attached 2000 fee and
expense reimbursement schedule (Attachment 2). The following is an estimated
breakdown of costs, and fixed price, by task.
1 . Project Initiation/Kick-Off Meeting $ 2,900
2. Public Involvement Program 1,200
3. Housing Affordability Gap Analysis 7,500
4a. Local Resources 3,500
4b. Leverage Opportunities 8,500
5. Housing Element Sections on Existing Conditions, Housing
Needs, Constraints, Resources and Opportunities 3,000
6. Housing Policies and Priorities 7,500
7. Program and Project Opportunities 7,000
8. Five-Year Capital Plan and Quantified Objectives 12,000
9. Affordable Housing Strategy Document 5,000
10. Draft Housing Element 5,900
11 . Environmental Assessment 4,100
12. HCD Review and Final Housing Element 3,000
13. Final Negative Declaration 700
Production and Reimbursable Expenses 51700
Subtotal: $77,500
Meetings'
• (charged on a time and expense basis up to a
maximum budget, without Advisory Committee): $171800
• (charged on a time and expense basis up to a
maximum budget, with Advisory Committee): $21,800
Includes, progress meetings with staff, two study sessions with the City Council and/or Planning
Commission, and two public hearings for the Housing Element, with or without Advisory Committee
meetings as noted. Kick-off meeting budget is included in Task 1.
DPA Scope of Services February 4, 2000
Palm Springs Comprehensive Affordable Housing Strategy and Housing Element Page 17
Schedule
The Consultants will work with City/Agency staff to develop a mutually agreed
upon schedule for completing the above scope of services that allows for integration
of the Housing Strategy effort with the General Plan and Housing Element Update.
(See Attachment 1 : Recommended Process and Schedule.) We estimate a five to
seven month time frame for completion of the scope of work, depending upon
whether a citizen's Advisory Committee is used, from contract execution.
Contracting Relationship
DRA will serve as prime contractor for the above scope of services. The Planning
Center will serve as subcontractor to DRA for preparation of the Housing Element.
DPA Scope of Services February 4, 2000
Palm Springs Comprehensive Affordable Housing Strategy and Housing Element Page 18
cro6 cl
David Paul Rosen&Assoc.
Amend#1 to Contract Srv. Agr.
Affordable Hsng Strategy(ref A4208)
AGREEMENT#393C
R1095, 2-16-00 Related
FIRST AMENDMENT TO
CONTRACT SERVICES AGREEMENT
DAVID PAUL ROSEN&ASSOCIATES
THIS FIRST AMENDMENT TO CONTRACT SERVICES AGREEMENT(herein
"Amendment")is made and entered into this 'I „Z4—day of 4 �G q, evL�, ,2000,by and between the
PALM SPRINGS COMMUNITY REDEVELOPMENT AGENCY, "Agency") a public body,
corporate and politic,the CITY OF PALM SPRINGS("herein"City")a municipal corporation, and
DAVID PAUL ROSEN&ASSOCIATES(herein"Contractor").
The parties hereto agree to this First Amendment to the Contract Services Agreement,Agreement
No. 393C. Said agreement was approved by the Agency on July 28, 1999 by Resolution No. 1073. The
Contractor,through Agreement No. 393C,provided a Market Analysis of Affordable Housing within the
City of Palm Springs. As a follow-up to the Market Analysis,the parties agree to amend the following
sections of the original contract:
1.0 SERVICES OF CONTRACTOR
1.1 Scope of Services. In compliance with all terms and conditions of this Amendment,the
Contractor shall provide those services specified in the"Amended Scope of Services"attached hereto as
Exhibit"A"and incorporated herein by this reference,which services may be referred to herein as the
"services"or"work"hereunder. Contractor warrants that all services will be performed in a competent,
professional and satisfactory manner in accordance with the standards prevalent in the industry,and all
materials will be of good quality,fit for the purpose intended.
1.2 Contractor's Proposal. The Amended Scope of Services shall include the Contractor's
proposal or bid which shall be incorporated herein by this reference as though fully set forth herein. In the
event of any inconsistency between the terms of such proposal and this Amendment,the terms of this
Amendment shall govern.
2.0 COMPENSATION
2.1 Contract Sum. For the services rendered pursuant to this Amendment,the
Contractor shall be compensated in accordance with the"Amended Schedule of Compensation"attached
hereto as Exhibit`B"and incorporated herein by this reference,but not exceeding the maximum amended
contract amount of Ninety Nine Thousand Three Hundred Dollars($99,300.00)(herein"Amended
Contract Sum"). The method of compensation may include: (i)a lump sum payment upon completion,(ii)
payment in accordance with the percentage of completion of the services,(iii)payment for time and
materials based upon the Contractor's rates as specified in the Amended Schedule of Compensation,but
not exceeding the Amended Contract Sum or(iv)such other methods as may be specified in the Schedule
of Compensation.
3.0 PERFORMANCE SCHEDULE
3.1 Schedule of Performance. Contractor shall commence the services pursuant to
this Agreement upon receipt of a written notice to proceed and shall perform all services within the time
period(s)established in the"Amended Schedule of Performance"attached hereto as Exhibit"C", if any,
and incorporated herein by this reference. When requested by the Contractor,extensions to the time
period(s)specified in the Amended Schedule of Performance may be approved in writing by the Contract
Officer but not exceeding one hundred eighty(180)days cumulatively.
4.0 Coordination of Work
4.1 Prohibition Against Subcontracting or Assignment. The experience, knowledge,
capability and reputation of Contractor, its principals and employees were a substantial inducement for the
u�
0
PROOF OF PUBLICATION This is space for County Cleric's Filing Statnp
(2015.5.C.C.P)
No.1772 -- -
COMMUNITY REDEVELOPMENT AGENCY
OF THE
CITY OF PALM SPRINGS
REQUEST FOR PROPOSAL (RFP) 01-00
TO PROVIDE
MARKET ANALYSIS OF
AFFORDABLE HOUSING IN THE
CITY OF PALM SPRINGS, CALIFORNIA
NOTICE IS HEREBY GIVEN that the Community
Redevelopment Agency of the City of Palm Springs
is so Skir proposals from interested and qualland
firms to pertorm an analysis of the market for af-
fordable housing in Palm Sprinq s, focusing on the
STATE OF CALIFORNIA three following chat acteristms aueating the market:
Count of Riverside '�Impf:ne . B 1 90),th Re- ..- --
Y opmant Implementation Plan (AB 1290), the Re-
gronal He, Needs Assessment THNA nurn-
bers, as well as the required Consolidated Plan
prepared for the Department of Housing and Urban
Development,
2. The supply of existing affordable housing stock
by type (apartment vs single family), location, do-
ordinary, price rent, and condition: Special atten-
tion wal be given to any geographic concentration
of affordable housing; and
3 The demand for affordable housing in Palm
I am a citizen of the United States and a resident of sp�necentps, based on the current demographms,(most
r available), historical growth rates in the
the County aforesaid;I am over the age Of eighteen community, and projected trends over the next five
years,and not a party t0 or interested In the ea errsponses received which are at in conformance
above-entitled matter.lam the principal clerk Of a with the instructions outlined in the RFP document
printer of the,DESERT SUN PUBLISHING —Th. REP
documenected ast
non responsive -- --e - -
The RFP document wa al rob etl neon request e
COMPANY a newspaper of general circulation, no cnarge. copies may also be obtained from the
printed and published in tiro city of Palm Springs, Offlca of Procurement at the addresses below or
bv tele�phone reG uest at (760)323-8239.
County of Riverside,and which newspaper has been STREET ADDRESS
adjudged a newspaper of general circulation b the CITY OF PALM SPRINGS
1 gg Y ATrN: Procurement Mariaqer
Superior Court of the County of Riverside,State of 3200 E Tahgwtz canyon Way
California under the date of March 24, 1988.Case Palm ?rings, Ca 92262
PHONE R 0)323-8239
Number 191236;that the notice,Of which the MAILING ADDRESS
annexed is a printed co set in a not smaller CITY OF PALM SPRINGS
p copy( type ATTN' Procurement Manager
than non pariel,has been published in each regular P O. Box 2743
and entire issue of said a0 newspaper and not in Palm Strings, CA 92263-2743
Y PHONE: 1760)323-8239
supplement thereof On the following dates,to wit: EVALUATION CRITERIA: All propposals received
by the closing date and time will be evaluated by
an Evaluation Committee who will review and
June 12th judge the merit of the proposals received in need,
dance with all criteria an specifications contained
- "----------------"- in the REP document. Proposals will be judged on
the basis of the following criteria.
___ A Firm's experience -
-------------------------'-- --"-----'-----' B. Experience of Personnel Dedk ed to the Pro-
_-
C
lest
.
All in the year 1999 machSo Project_
D. Re Apfperences - --
E. cost
I certify(or declare)under penalty of perjury that the An oral presentation Or site Visit may be required
after the Community Redevelopment Agency re-
foregoing is true and correct. ceives and evaluates the written proposals. How-
15th ever, the Community Redevelopment Agency re-
serves the right to award a contract on the basis
Dated at Palm Springs,California this--------------day on moral pproposals received, without interviews.
DEAPLINE: Proposals must be received in the
June Procurement Office at the street address above
of----------------------------------'---e 1999 prior to the deadline of Wednesday, July 7, 1999,
5:00 P.M. local time. It is the responsibility of the
Offeror to see that any proposal sent through the
-- �n /4- mad shall have sufficient time to be received by
.C� \ __ this specified date and time. will o be c ephon-
ted.
t"---'-----'- -------- --- m or Specified
(fax)proposals will no be accepted.
Signature Proposers attention is drawn to the fact that all
proposals documents submitted are subject to the
C Ol rfolmia Code Section 6250 at sag, commonly
known as the Public Records Act. Information con-
tained in the proposals may be made public after
the review process has been completed in a rec-
omrnendauon for award to the Cornmunrt Rede-
velopment Agency of the City of Palm Springs,
andlor following award
INSURANCE REQUIREMENTS: The successful
Offeror must meet all insurance requirements of
the Community Redevelopment Agency of the City
of Palm Springs
The Community Redevelopment Agency reserves
the right to award a Contract, or make no award,
whichever is in the best interests of the Agency.
The Agency also reserves the right to negotiate the
terms and conditions of the Contract resulting from
this sriamt non Final award, if any, will be made
by the Community Redevelopment Agency of the
Cit of Palm Springs.
laJy arold E Good, GPPO
Procurement Manager
Date. June 9, 1999
PUB: June 12 1999
CITY OF PALM SPRINGS, CALIFORNIA
REQUEST FOR PROPOSAL (RFP) 01-00
TO PROVIDE
MARKET ANALYSIS OF AFFORDABLE HOUSING IN THE
CITY OF PALM SPRINGS, CALIFORNIA
NOTICE IS HEREBY GIVEN that the City of Palm Springs is soliciting proposals from
interested and qualified firms to perform an analysis of the market for affordable housing in
Palm Springs, focusing on the three following characteristics affecting the market:
1 . Regulatory requirements, including the Redevelopment Implementation Plan (AB
1290), the Regional Housing Needs Assessment (RHNA) numbers, as well as the required
Consolidated Plan prepared for the Department of Housing and Urban Development;
2. The supply of existing affordable housing stock by type (apartment vs single
family), location, occupancy, price/rent, and condition. Special attention will be given to any
geographic concentration of affordable housing; and
3. The demand for affordable housing in Palm Springs, based on the current
demographics (most recent available), historical growth rates in the community, and projected
trends over the next five years.
Responses received which are not in conformance with the instructions outlined in the City's
RFP document will be rejected as non-responsive.
The RFP document will be mailed upon request at no charge. Copies may also be obtained
from the Office of Procurement at the addresses below or by telephone request at (760) 323-
8239.
STREET ADDRESS MAILING ADDRESS
CITY OF PALM SPRINGS CITY OF PALM SPRINGS
ATTN: Procurement Manager ATTN: Procurement Manager
3200 E. Tahquitz Canyon Way P. 0. Box 2743
Palm Springs, Ca 92262 Palm Springs, CA 92263-2743
PHONE: (760) 323-8239 PHONE: (760) 323-8239
EVALUATION CRITERIA: All proposals received by the closing date and time will be evaluated
by an Evaluation Committee who will review and judge the merit of the proposals received
in accordance with all criteria and specifications contained in the RFP document. Proposals
will be judged on the basis of the following criteria.
A. Firm's experience
B. Experience of Personnel Dedicated to the Project
C. Approach to Project
D. References
E. Cost
An oral presentation or site visit may be required after the City receives and evaluates the
written proposals. However, the City reserves the right to award a contract on the basis of
initial proposals received, without interviews.
DEADLINE: Proposals must be received in the Procurement Office at the street address above
prior to the deadline of Wednesday, July 7 1999 5:00 P.M. local time. It is the
responsibility of the Offeror to see that any proposal sent through the mail shall have
sufficient time to be received by this specified date and time. Telegraphic, telephonic or
facsimile (fax) proposals will not be accepted.
Proposers attention is drawn to the fact that all proposal documents submitted are subject
to the California Code Section 6250 et seq, commonly known as the Public Records Act.
Information contained in the proposals maybe made public after the review process has been
completed in a recommendation for award to the Palm Springs City Council, and/or following
award.
INSURANCE REQUIREMENTS: The successful Offeror must meet all insurance requirements
of the City.
The City reserves the right to award a Contract, or make no award, whichever is in the best
interests of the City. The City also reserves the right to negotiate the terms and conditions
of the Contract resulting from this solicitation. Final award, if any, will be made by the Palm
Springs City Council.
C� 91{ (
HAROLD E. GOOD, CPPO
Procurement Manager
Date: June 9, 1999
Publish in Desert Sun: June 12, 199
Interoffice Memo
Date: June 8, 1999
To: Rob Parkins, City Manager
Cc: John Raymond, Economic Programs Manager
From: Fr oscano Merritt, CDBG/Housing Coordinator VIA
Dal as Flicek,Asst. City Manager,Admiw—.Xp •�
RE: Eligible Affordable Housing Requests
In response to your request for a list of eligible affordable housing projects for potential
encumbrance of the Housing Fund "excess surplus," I provide you the following two
suggestions with project description and approximate funding amounts. John Raymond and
have discussed several other projects, but these two have been discussed before Council
and have the most potential to move forward. We have prepared a "Request for Proposals"
(which should go out the end of the week), looking for a consultant to assist us in providing
Council requested information on the City's affordable housing stock, and our future needs.
As evident by Tom Kanarr's memo, funds are available for projects, and need to be put to
use in order to reduce the risk of either giving the money to the County Housing Authority, or
being unable to spend any other redevelopment funds until we reduce our excess surplus.
• Single Family Residential Housing Project in Cottonwood/Chuckwalla $350 000. This
project has received preliminary Agency blessing. The Coachella Valley Housing
Coalition is proposing to build 7 single-family homes on the corner of Cottonwood Rd.,
Avendia Caballeros and Chuckwalla Rd. I am currently working on a staff report to bring
to the Agency on July 7, 1999 requesting approval of an OPA with CVHC. The OPA
approves Agency reimbursement of property acquisition costs to CVHC; approves
Agency financial assistance for homebuyer permanent financing, and approves Agency
financial assistance to CVHC so that they may begin the tract map process. Specific
details to be worked out in future DDA.
• Small Apartment Rehabilitation Program — Cottonwood/Chuckwalla $250 000. This
program would offer property owners of small apartment complexes (5-10 units) a small
loan program. The loan funds could be used to make necessary property improvements
whether they are code enforcement issues or basic property improvement projects.
Cottonwood/Chuckwalla would be a test area to see how well the program is accepted.
Should the program be successful it could be opened up to the whole community or to
specific areas where the Agency is intent to see revitalization.
June 8, 1999 Interoffice Memo: Eligible Affordable Housing Requests 2
The above projects are not only two projects that we would like to see move forward, but also
two examples of the use of Housing Set Aside funds. According to Redevelopment Law, so
long as the expenditure of set aside funds serves to increase, improve, or preserve the
supply of low and moderate income housing, the law authorizes a broad range of uses for the
Housing Fund, including but not limited to: acquisition of land or buildings; construction of
buildings, onsite improvements or offsite improvements; rehabilitation of buildings; paying a
portion of the principal and interest on bonds issued to finance low and moderate income
housing; and the preservation of housing subsidized by federal, state, or local government
and subject to conversion to market rate rental. The activities that are allowed are broad
enough to give redevelopment agencies quite a bit of flexibility when participating in the
production, rehabilitation, and preservation of low and moderate income housing.
Redevelopment agencies have the option of providing financial assistance to developers of
affordable housing, whether it's new construction or rehabilitation of existing housing.
Assistance may also be given directly to homeowners. The prime requirement being that
assisted households must fall below 120% of area median income. We are required to assist
all levels of affordable housing — very low, 50% of median income; low, 60-80% of median;
and moderate, 120% of median (in our area this income range often matches market rate
costs). Direct homeowner assistance may be provided in the form of grants or loans, dollar
amount and terms would be at discretion of the Agency. Funds may be used to assist with
ownership (down-payment, closing costs, etc.), or rehabilitation issues — exterior painting,
exterior improvements, interior improvements (paint, a/c, carpeting, plumbing, etc.).
Assistance (grants or loans) may also be provided to landlords for rehabilitation of units
(similar to the above referenced Cottonwood/Chuckwalla Loan Program) as long as the units
are dedicated to a majority of low/moderate income households.
Additionally, housing fund monies must be used inside the redevelopment project area
unless the Agency makes a finding that use outside the project area will be of benefit to the
redevelopment project. This finding can usually be made if the housing to be constructed (or
rehabilitated) is in close proximity to the project area or the implementation of the project has
or will generate demand for low/moderate income housing through removal of existing supply
of housing or through generation of jobs in the project area.
As indicated earlier, redevelopment agency use of housing funds is quite flexible long as
recipients are income qualified and resale restrictions are put into place. In order to avoid any
possible misuse of funds, we should seek City Attorney concurrence on program guidelines
and terms.
Let me know if you need any further information on the above.
fmt
RESOLUTION NO. 1095
OF THE COMMUNITY REDEVELOPMENT AGENCY OF
THE CITY OF PALM SPRINGS, CALIFORNIA,
APPROVING A CONTRACT AMENDMENT WITH
DAVID PAUL ROSEN & ASSOCIATES TO COMPLETE
THE CITY'S HOUSING ELEMENT ACCORDING TO
STATE LAW, AND TO DEVELOP A COMPREHENSIVE
AFFORDABLE HOUSING STRATEGY; CONTRACT
AMENDMENT TO BE IN AN AMOUNT NOT TO
EXCEED$99,300.00.
BE IT RESOLVED BY THE COMMUNITY REDEVELOPMENT AGENCY of the City of Palm Springs,
California,that a Contract Amendment in the amount of$99,300.00 with David Paul Rosen&Associates to
complete the city's Housing Element according to State Law,and to develop a Comprehensive Affordable
Housing Strategy is approved; and,the Executive Director or his designee is authorized to sign any documents
related to the Agreement.
ADOPTED this 16th day of February ,2000.
AYES: Members Hodges, Oden, Reller-Spurgin and Chairman Kleindienst
NOES: Member Jones
ABSENT: None
ABSTAIN:
ATTEST: COMMUNITY REDEVELOPMENT AGENCY
CITY OF PALM SPRINGS, CALIFORNIA
BY
Assistant Secretary Chairman
REVIEWED AND APPROVED: