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Record of Proceedings

San Jose Housing Element Progress & Catalyst Work Plan Study Session – March 12, 2025

Planning Commission — Wednesday, March 12, 2025
BodySan Jose, California
SessionPlanning Commission
DateWednesday, March 12, 2025
StatusFILED
Video Record
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Transcript — Verbatim
0:09

Present the 2024 housing element annual progress report and housing catalyst team work plan.

0:15

Members of the public are welcome to participate.

0:17

No action will be taken by the commission.

0:19

We'll get things started with roll call.

0:21

My name is Anthony Tordios, and I'm here.

0:23

Vice Chair Cantral.

0:26

Commissioner Barosio.

0:28

Commissioner Bendal here.

0:30

Commissioner Bickford.

0:32

Here.

0:33

Commissioner Lardnois.

0:34

Here.

0:35

Commissioner Oliverio.

0:37

Commissioner Rosario.

0:40

Commissioner Young.

0:41

Here.

0:42

That's six in attendance.

0:43

So we have quorum.

0:46

All right.

0:47

We will now call this study session to order.

0:50

We will get things started with public comment.

0:52

If there are any members of the public who would like to provide comment before we jump into the study session, feel free to move forward at this time.

0:59

Cool.

1:00

Seeing none, I will turn it over to staff to present our housing element annual proper support and housing catalysts team work plan.

1:06

Thank you.

1:12

Good evening, Chair, Council, Commission.

1:16

Sorry.

1:16

So Jared Ferguson, a principal planner with planning building and code enforcement.

1:20

I'm here with Kristen Clements, a division manager with our housing department, and Michelle Flores, supervising planner with the planning.

1:28

So we're here to talk to you tonight about our housing catalyst team work plan.

1:33

You know, we wanted to bring this to you.

1:35

You see some of these items I think come through the commission, you know, as far as zoning changes, general plan changes, but we thought it would be helpful to share with you kind of this this work plan on an annual basis, just to kind of give you the full context and picture of all the things that we're working on in terms of housing.

1:51

Next slide.

1:53

So first to get into some background on the work plan.

1:56

So our housing catalyst team was established in 2018 as part of our our housing crisis work plan, which is a which was the predecessor to the housing catalyst work plan.

2:07

Um and that was really uh started uh later on in our fifth cycle housing element to try to uh coalesce our policies around advancing housing production to to meet uh some ambitious housing goals at that time, and that really ran through the end of the last housing element.

2:24

And in November of 2022, we proposed transitioning that housing crisis work plan to the housing catalyst team work plan.

2:31

And our housing catalyst team was created as part of that process of the housing crisis work plan, and it's composed of staff from our planning housing department staff, our office of economic development in the city manager's office, as well as uh parks recreation and neighborhood services that work on housing.

2:49

And so we meet twice a month to work on uh housing issues to work through the work plan to meet and discuss and collaborate together through the the work items.

2:59

And so with the end of the housing crisis work plan and the transition to the housing catalyst team work plan, we're also working on creation of our new housing element, our six cycle housing element.

3:09

So we took that opportunity to really pair those two things together more closely to align our work.

3:14

So in June of 2023, as you're aware, our city council adopted our housing element, and then in January, after further work, the uh the state HCD certified our housing element, and last year we provided our first update on the housing catalyst work plan in connection also with our annual uh progress report on the housing element that we provide to council and are required to submit to the state each year.

3:43

So, to kind of go into detail of what is in our housing catalyst team work plan.

3:48

So, as a part of the housing element, there were approximately 130 multi-part work items focused on production, preservation, and protection of housing.

3:58

The housing catalyst work plan is meant to be a subset of those work items that we're working on right now in kind of either the short term we've already started work or we're going to soon initiate work within the next one to two years.

4:10

And it provides an additional place to kind of catalog other housing related policy work items that weren't in the housing element, but that the city council or staff have proposed to add to that that body of work you know around production, preservation, protection of housing.

4:28

So in the work plan, um we also have tried to prioritize our work around these two metrics that we've developed, and um we can in the full report that we can share with the commission.

4:41

We go into some detail on these, but uh they're focused first on impact.

4:46

So, what will what do we estimate the effect of a particular policy will be when it's implemented?

4:51

You know, how many units do we think it might result in a production, how many units might be protected through a particular policy change, etc.

5:00

And then we also try to gauge what's the level of effort required in order to enact that policy.

5:04

How much staff time, how long do we think it will take?

5:06

So something that's high effort, multiple years, you know, significant staff resources, lower effort, less less than a year, you know, lower on staff resources.

5:17

And so try to prioritize work on high impact, low effort.

5:25

So to get into some of our work items, um, just to highlight some of the work that we've done in the last year that were that was within our housing element that was also on our housing catalyst work plan.

5:35

Um so in December we completed our our zoning work within our business corridors, so we allowed for mixed-use housing in several of our neighborhood business districts that did not allow it before.

5:48

Um and then item P24, uh, we completed other zoning work to allow for around permanent supportive housing in our public quasi public lands to complete that work item.

6:00

Item R6, we worked on designating the 56 remaining mobile home parks under the mobile home park general plan designation to provide further protection to those residents of those mobile home parks.

6:14

Um then H13 was also completed around our regional homelessness response coordination and planning.

6:23

Um H14, we did some additional work which came through the commission around our emergency shelters to comply with state law and to show you know that we had capacity in our in our shelter uh in in our land to provide for shelter opportunities.

Discussion Breakdown — Share of Meeting
Affordable Housing█████████████████████████████████████████████52%
Housing████████████████18%
Municipal Finance████████9%
Public Safety█████6%
Land Use███4%
Homelessness███4%
Public Transit███4%
Procedural███3%
Summary of Proceedings

San Jose Housing Element Progress & Catalyst Work Plan Study Session – March 12, 2025

On March 12, 2025, the San Jose Planning Commission held a study session to receive the 2024 Housing Element Annual Progress Report and the Housing Catalyst Team Work Plan. Staff from Planning, Building & Code Enforcement and the Housing Department presented updates on housing production, preservation, and anti-displacement efforts. No formal action was taken by the commission.

Discussion Items

  • Housing Catalyst Team Work Plan Background: Jared Ferguson, Principal Planner, explained that the Housing Catalyst Team was established in 2018 and meets twice monthly to coordinate housing policy work. The current work plan is a subset of the 130+ programs in the city’s adopted 6th Cycle Housing Element, focusing on high-impact, low-effort items.
  • Completed Work Items (2024): Staff highlighted several completed actions: allowing mixed-use housing in neighborhood business districts, zoning for permanent supportive housing on public/quasi-public lands, designating 56 remaining mobile home parks for protection, regional homelessness response coordination, emergency shelter compliance, and inclusion of individuals with lived experience on commissions.
  • State-Monitored Programs: Staff noted that HCD is paying close attention to five or six programs in the city’s certified housing element. Key updates included:
    • P7 (Streamlined Infill Approval): A major first step completed in December 2024 with a new ministerial approval process.
    • P4 (North San Jose Affordable Housing Tools): Work deferred while monitoring overlays.
    • P9 (Prioritizing Affordable Housing in Diridon): The housing department’s forthcoming RFP will prioritize construction in the Diridon station area.
    • P41 (Permit Findings Review): Initial work started; expected completion by end of 2025.
    • I-4 (Housing Balance Report): Housing department will report to council’s Economic Development Committee in April 2025.
  • Urban Village Planning: Staff discussed three strategies to accelerate planning: combined station area planning for two corridors, a policy framework for 20 neighborhood urban villages, and continued traditional planning for larger villages. Two traditional plans are underway (Saratoga Avenue/El Paseo and Alum Rock East).
  • Small Multifamily / Missing Middle Housing (P35): Staff reported that SB9 (lot splits, duplexes) saw a slight uptick in 2024. The upcoming Cost of Residential Development study will include missing middle prototypes to inform feasibility.
  • Anti-Displacement Strategy (Kristen Clements, Housing Department): The city’s 2020 anti-displacement strategy has been folded into the housing element. Updates included:
    • $1 million in Google community benefits grants awarded to four nonprofits for capacity building; a two-year policy fellow hired to support additional nonprofits.
    • Soft-story retrofit ordinance passed in September 2024; screening phase begins in 2025; $25 million FEMA application submitted.
    • Court-based eviction diversion: 43 weekly workshops served 194 households; 5,400+ households assisted through calls/walk-ins.
    • Tenant preference program approved by council in March 2024; implementation underway to give priority to residents in high-displacement-risk areas.
    • Local enforcement of state tenant protections (SB 567) contracted to Project Sentinel for landlord-tenant counseling.
    • First preservation NOFA award: $5 million to South Bay Community Land Trust to preserve 18 units at the Virginian (east of downtown).
  • New Council Referrals: The city council extended the downtown high-rise development incentive and created a multifamily housing incentive program (reducing fees to spur construction). An internal audit of the tenant protection ordinance led to a referral to improve technology coordination between housing staff and code enforcement.
  • Building Permit Data (Michelle Flores, Supervising Planner): Presented RHNA (Regional Housing Needs Allocation) progress. For 2024, the annual goal was 7,775 units across all income categories. Actual permits issued: 1,877 total (1,335 very low-income, 306 low-income, 236 moderate-income, 0 above moderate). The city is at 9% of its eight-year RHNA goal (5,886 units out of 62,200). Staff noted that above-moderate market-rate development has stalled due to high construction costs and interest rates; only one significant market-rate project (over 20 units) has pulled permits in the last two years.
  • Upcoming Dashboard: A new public dashboard will go live by end of March 2025, allowing users to filter projects by affordability, project type, and geography. The housing department is also developing a dashboard for interim housing data.
  • Federal Funding Concerns: Commissioner Oliverio asked about federal funding impacts. Staff reported receiving about $14 million annually in direct federal funds (CDBG, HOME, HOPWA). They acknowledged potential cuts from HUD and the state, and are monitoring the governor’s budget proposals. Commissioner Cantrell noted that nonprofits like Sacred Heart Community Service face catastrophic funding losses from DOGE cuts, and urged the city to communicate these impacts to residents.
  • Pro-Housing Designation: Kristen Clements explained that San Jose had received verbal approval but was paused due to state discussions about builders’ remedy. The city plans to reapply under new regulations. Senator Wahhab’s bill (SB 57) could broaden qualifying activities to include prevention and stabilization work.
  • ADU Classification: Staff discussed challenges in classifying ADUs by income level. A survey tool is being used to understand usage; current reporting methodology (ABAG-approved) categorizes about one-third each as low, moderate, and above moderate. Some developers are using ADUs to meet inclusionary housing obligations.
  • Commissioner Recommendations:
    • Commissioner Oliverio requested that future presentations include percentages on RHNA progress charts.
    • Commissioner Young recommended mapping redlined communities when planning new urban villages to avoid gentrification.
    • Staff acknowledged that anti-displacement strategies (e.g., tenant preferences, resource targeting) are being integrated into planning efforts.

Key Outcomes

  • No votes or formal decisions were taken at this study session.
  • The combined Housing Element Annual Progress Report and Housing Catalyst Work Plan update will be presented to the City Council on Tuesday, March 18, 2025.
  • Staff will update the Housing Catalyst Dashboard quarterly with progress on programs.
  • The housing department will release a new dashboard for public use by end of March 2025.
  • The city will continue to monitor federal and state funding changes and communicate impacts to the public.
  • The city plans to reapply for the state Pro-Housing Designation under updated rules.

Meeting Transcript

Present the 2024 housing element annual progress report and housing catalyst team work plan. Members of the public are welcome to participate. No action will be taken by the commission. We'll get things started with roll call. My name is Anthony Tordios, and I'm here. Vice Chair Cantral. Commissioner Barosio. Commissioner Bendal here. Commissioner Bickford. Here. Commissioner Lardnois. Here. Commissioner Oliverio. Commissioner Rosario. Commissioner Young. Here. That's six in attendance. So we have quorum. All right. We will now call this study session to order. We will get things started with public comment. If there are any members of the public who would like to provide comment before we jump into the study session, feel free to move forward at this time. Cool. Seeing none, I will turn it over to staff to present our housing element annual proper support and housing catalysts team work plan. Thank you. Good evening, Chair, Council, Commission. Sorry. So Jared Ferguson, a principal planner with planning building and code enforcement. I'm here with Kristen Clements, a division manager with our housing department, and Michelle Flores, supervising planner with the planning. So we're here to talk to you tonight about our housing catalyst team work plan. You know, we wanted to bring this to you. You see some of these items I think come through the commission, you know, as far as zoning changes, general plan changes, but we thought it would be helpful to share with you kind of this this work plan on an annual basis, just to kind of give you the full context and picture of all the things that we're working on in terms of housing. Next slide. So first to get into some background on the work plan. So our housing catalyst team was established in 2018 as part of our our housing crisis work plan, which is a which was the predecessor to the housing catalyst work plan. Um and that was really uh started uh later on in our fifth cycle housing element to try to uh coalesce our policies around advancing housing production to to meet uh some ambitious housing goals at that time, and that really ran through the end of the last housing element. And in November of 2022, we proposed transitioning that housing crisis work plan to the housing catalyst team work plan. And our housing catalyst team was created as part of that process of the housing crisis work plan, and it's composed of staff from our planning housing department staff, our office of economic development in the city manager's office, as well as uh parks recreation and neighborhood services that work on housing. And so we meet twice a month to work on uh housing issues to work through the work plan to meet and discuss and collaborate together through the the work items. And so with the end of the housing crisis work plan and the transition to the housing catalyst team work plan, we're also working on creation of our new housing element, our six cycle housing element. So we took that opportunity to really pair those two things together more closely to align our work. So in June of 2023, as you're aware, our city council adopted our housing element, and then in January, after further work, the uh the state HCD certified our housing element, and last year we provided our first update on the housing catalyst work plan in connection also with our annual uh progress report on the housing element that we provide to council and are required to submit to the state each year. So, to kind of go into detail of what is in our housing catalyst team work plan. So, as a part of the housing element, there were approximately 130 multi-part work items focused on production, preservation, and protection of housing. The housing catalyst work plan is meant to be a subset of those work items that we're working on right now in kind of either the short term we've already started work or we're going to soon initiate work within the next one to two years. And it provides an additional place to kind of catalog other housing related policy work items that weren't in the housing element, but that the city council or staff have proposed to add to that that body of work you know around production, preservation, protection of housing. So in the work plan, um we also have tried to prioritize our work around these two metrics that we've developed, and um we can in the full report that we can share with the commission. We go into some detail on these, but uh they're focused first on impact. So, what will what do we estimate the effect of a particular policy will be when it's implemented? You know, how many units do we think it might result in a production, how many units might be protected through a particular policy change, etc.

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