2021-2029 SACRAMENTO COUNTY HOUSING ELEMENT

ADOPTED MARCH 8, 2022 AMENDED FEBRUARY 24, 2026 RESOLUTION NO. 2022-0205

ACKNOWLEDGEMENTS

Thank you to all the community members who provided their input and helped to make this a better Housing Element for everyone.

BOARD OF SUPERVISORS

Don Nottoli, Chairperson Rich Desmond, Vice Chairperson Susan Frost Patrick Kennedy Phil Serna

PLANNING COMMISSION

Justin Raithel, Chairperson Genevieve Wong, Vice-Chair Cara Martinson Jofil Borja Peter Tateishi

COUNTY ADMINISTRATION

Ann Edwards, County Executive

HOUSING ELEMENT UPDATE TEAM

Office of Planning and Environmental Review Leighann Moffitt, Planning Director Leanne Mueller, Senior Planner Kate Rose, Associate Planner Kristi Grabow, Associate Planner Chris Baker, Geographic Info System Analyst All Planning and Environmental Review staff who provided input or data.

Sacramento Housing and Redevelopment Agency Christine Weichert, Director, Development Finance Susan Veazey, Program Manager

Ascent Environmental, Inc. Chelsey Payne, AICP, Director of Urban Design and Planning Rebecca Pope, Urban Planner

1. Chris Mundhenk, Principal – Environmental Marianne Lowenthal, Environmental Planner Tracy Prybyla, PACE, Administrative Professional

TABLE OF CONTENTS

2021-2029 Sacramento County Housing Element ........................................................... i

Acknowledgements ................................................................................................................ i Table of Contents.................................................................................................................. ii

Chapter 1: Introduction ................................................................................................. 1-1

Purpose of the Housing element........................................................................................ 1-1 Housing Element Contents ................................................................................................. 1-1 2021-2029 Mid-Cycle Housing Element Amendments...................................................... 1-2 Amendment 1...................................................................................................................... 1-2 Public Participation............................................................................................................. 1-3 General Plan Consistency ................................................................................................. 1-11

Chapter 2: Financial Resources ................................................................................... 2-1

Funding sources.................................................................................................................. 2-1 Institutional Structure and Coordination ............................................................................ 2-6

Chapter 3: Housing Action Plan .................................................................................. 3-1

Housing Goals, Policies, and Programs ............................................................................. 3-1 Summary of Quantified Objectives..................................................................................... 3-1 Goal HE 1: Adequate Supply of Land for Housing ............................................................. 3-2 Goal HE 2: Reduction of Constraints to Housing Production ............................................. 3-6 Goal HE 3: Conservation and Rehabilitation of Existing Housing and Neighborhoods ........ 3-10 Goal HE 4: Improvement of Housing Opportunities for Special Needs Groups ................... 3-15 Goal HE 5: Preservation of Existing Affordable Housing Stock and Provision of Affordable Housing.... 3-21 Goal HE 6: Promote the Efficient Use of Energy in Residences and Improve the Air Quality of Sacramento County ............................................................................................................ 3-25 Goal HE 7: Promote and Affirmatively Further Fair Housing Opportunities for County Residents . 3-27

Chapter 4: Evaluation of Prior Achievements ............................................................. 4-1

Summary of Program Achievements .................................................................................. 4-1

Chapter 5: Population, Employment and Household Characteristics ....................... 5-1

Population Characteristics ................................................................................................... 5-1 Employment Characteristics ............................................................................................... 5-4 Household Characteristics .................................................................................................. 5-7 COVID-19 Pandemic........................................................................................................... 5-7 Housing Occupancy............................................................................................................. 5-8 Housing Stock Conditions................................................................................................... 5-9

Chapter 6: Housing Needs Assessment....................................................................... 6-1

Existing Housing Needs ...................................................................................................... 6-1 Projected Housing Needs ................................................................................................... 6-9 Special Needs Groups........................................................................................................ 6-10

Chapter 7: Constraints Analysis .................................................................................... 7-1

Governmental Constraints ..................................................................................................... 7-1 Nongovernmental Constraints .............................................................................................. 7-31

Chapter 8: Land Inventory ........................................................................................... 8-1

Regional Housing Needs Allocation ...................................................................................... 8-1 Methodology for the Land Inventory and Capacity Analysis ................................................... 8-8

Chapter 9: Opportunities for Energy Conservation ....................................................... 9-1

General Energy Efficiency Concepts ..................................................................................... 9-1 Regulatory and Policy Framework ......................................................................................... 9-2 Energy Efficiency Programs ................................................................................................. 9-7 Conclusion .......................................................................................................................... 9-8

Chapter 10: Preservation of assisted housing units ..................................................... 10-1

At-Risk Units ....................................................................................................................... 10-1 Preservation Strategies ........................................................................................................ 10-3

Chapter 11: Assessment of Fair Housing .................................................................... 11-1

Affirmatively Furthering Fair Housing ................................................................................... 11-1

Appendix A: Outreach Meeting Summaries ............................................................... A-1

Appendix B: Program Evaluation ............................................................................... B-1

Appendix C: Vacant Land Inventory ............................................................................ C-1

Appendix D: Vacant Land Inventory Maps .................................................................. D-1

Appendix E: Housing Action Plan Program A1 – Countywide Rezone Program ............. E-1

Table of Contents ................................................................................................................ E-1 List of Tables ....................................................................................................................... E-2 List of Figures ...................................................................................................................... E-2 Introduction and Purpose ..................................................................................................... E-5 Background and Context ...................................................................................................... E-5 Rezone Sites Analysis of Countywide rezone Program .......................................................... E-7 Source of the Candidate Rezone Sites ................................................................................. E-8 Site Zoning and Density Requirements ................................................................................. E-9 Site Availability .................................................................................................................... E-10 Site Suitability ...................................................................................................................... E-19 Site-By-Site Analysis ............................................................................................................ E-32 Assessment of Fair Housing – Countywide Rezone Sites ...................................................... E-181 Summary of Outreach .......................................................................................................... E-206

CHAPTER 1: INTRODUCTION

PURPOSE OF THE HOUSING ELEMENT

Sacramento County’s General Plan serves as a policy document to guide the development of the unincorporated area of the County. The Housing Element is one of eight mandatory elements of the General Plan.

The purpose of the Housing Element is to identify and analyze existing and projected housing needs for all income groups; to include goals, policies and programs to address the identified needs; and to provide enough sites for new housing development to occur during the 2021-2029 planning period.

HOUSING ELEMENT CONTENTS

The County’s Housing Element consists of 11 individual chapters as listed below.

Chapter 1: Introduction: This chapter provides an overview of the purpose and contents of the Housing Element, including any subsequent amendments. This chapter also contains a description of the public outreach process, and an analysis of consistency with other planning documents.

Chapter 2: Financial Resources: This chapter identifies financial and other resources that are available to fund the construction of new affordable housing, encourage housing rehabilitation, assist first-time homebuyers, support revitalization of lower income neighborhoods, provide various other housing services to low- and moderate-income households, and support other housing element goals. This chapter also describes the roles of the Sacramento Housing and Redevelopment Agency as well as various County departments and offices in implementing the Housing Element.

Chapter 3: Housing Action Plan: Per Government Code Section 65583(c), housing elements must contain a program that sets forth a schedule of actions the local government is undertaking or intends to undertake to implement the policies and achieve the goals and objectives of the housing element.

Chapter 4: Evaluation of Prior Achievements: Per Government Code Section 65588, each local government must review the previous housing element to evaluate the effectiveness of the goals, objectives, policies, and programs; the progress in implementing the programs; and the appropriateness of goals, objectives, policies, and programs.

Chapter 5: Population, Employment and Housing Characteristics: Government Code Section 65583 (a)(1) requires the housing element to include an analysis of population and employment trends and Government Code Section 65583 (a)(2) requires the housing element to include an analysis of household characteristics.

Chapter 6: Housing Needs Assessment: Housing element law requires local governments to identify a plan to meet their existing and projected housing needs for households of all income levels. Income levels are based on household earnings as a percentage of area median income as follows: less than 50 percent includes extremely and very low-income households; less than 80 percent is low-income; 80 to 120 percent is moderate-income; and more than 120 percent is above moderate-income. Housing elements must also address groups with special housing needs such as farmworkers, large families and female-headed households, people experiencing homelessness, people with disabilities, including developmental disabilities.

Chapter 7: Constraints Analysis: The housing element must analyze governmental and nongovernmental constraints to the maintenance, improvement, or development of housing and must demonstrate efforts to remove the constraints. The requisite analysis for governmental constraints includes codes and enforcement, onsite or offsite improvement standards, constraints for people with disabilities, fees and exactions, land-use controls, processing and permitting procedures, and any other locally adopted ordinances that directly impact the cost and supply of residential development. The requisite analysis for

nongovernmental constraints includes land costs, construction costs, availability of financing, requests to develop housing at densities below that anticipated in the housing element, and the length of time between approval and submittal of application for building permits.

Chapter 8: Land Inventory: The Land Inventory Chapter includes a discussion of the Regional Housing Needs Assessment (RHNA), the methodology for the Vacant Land Inventory appendix, the housing development potential by income group, and the infrastructure and development constraints. This chapter also includes a discussion of the capacity of vacant land for emergency shelter development.

Chapter 9: Opportunity for Energy Conservation: Government Code Section 65583(a)(7) requires local governments to assess opportunities for energy conservation in residential development. The analysis could include planning and land-use, conservation incentives for the building industry and residents, as well as promoting green building and energy-efficient building standards and practices.

Chapter 10: Preservation of Housing Units: This chapter must include an inventory of at-risk units, assess the conversion risk, estimate and analyze the cost of replacement versus preservation for units at risk in the planning period, identify entities qualified to preserve at-risk units, and identify financing and subsidy resources.

Chapter 11: Assessment of Fair Housing: AB 686 (2018) requires housing elements to include an assessment of fair housing. This chapter acts as the assessment of fair housing and discusses the findings of Analysis of Impediments to Fair Housing Choice as well as the County’s efforts to address systemic issues of racism and inequity.

Appendices: Appendix A provides several tables summarizing the feedback that the County received during public outreach. Appendix B is an evaluation of each program in the previous Housing Element that has provided insight in the development of new, updated programs. Appendix C is a parcel inventory of vacant and underutilized parcels in the unincorporated County that were used in summarizing the acreage and corresponding units available for residential development in Chapter 8. Appendix D provides maps of the location of the inventory of parcels. Appendix E summarizes the completion of Program A1 including: background, statutory requirements, RHNA capacity tables, site-by-site analysis, infrastructure/utilities review, environmental constraints, AFFH outcomes, and outreach.

2021-2029 MID-CYCLE HOUSING ELEMENT AMENDMENTS

State law requires jurisdictions, such as the County, to update Housing Elements every eight years (or five years for some jurisdictions). The intervening eight years is referred to as a “housing cycle.” Though uncommon, a mid-cycle amendment to a Housing Element may be required. This only occurs when substantial changes in circumstances occur, necessitating an amendment to the element so that it remains accurate and effective. Potential reasons for a mid-cycle amendment include, but are not limited to, revisions to the RHNA, unforeseen population growth, changes in state law or regulations, and to ensure consistency with the General Plan should changes to other elements impacting Housing Element consistency occur during the housing cycle.

Below is a summary of all mid-cycle amendments for the 2021-2029 Housing Element.

AMENDMENT 1

This is a targeted mid-cycle amendment to update the Housing Element after approval and adoption of Program A1 by the Board of Supervisors on August 20, 2024. For background, after the California Department of Housing and Community Development (HCD) found the Housing Element in substantial compliance on May 9, 2022, the County began work on the Countywide Rezone Program (Program A1) to address the shortfall of available land to accommodate lower income units established by the RHNA. The goal of Program A1 was to rezone adequate and sufficient sites to accommodate the shortfall of lower income category units and provide sufficient buffer pursuant to State law and Housing Element objectives and goals by the statutory deadline of September 12, 2024. The Countywide Rezone Program included a robust analysis phase that vetted each candidate rezone site listed in the Housing Element against State

Sacramento County Housing Element

requirements and HCD’s best practices (i.e., size requirement, proximity to resources, ability to connect to public water and sewer services, not overly constrained by natural resources or easements). During this phase, additional candidate rezone sites were identified and added to the program while some of the sites listed as candidate rezone sites in the Housing Element were removed from the program because they did not meet screening criteria (size requirements, infrastructure constraints, etc). Some property owners requested removal of sites from the program due to active entitlement applications for development or because the site was no longer vacant. Given these sites would not meet basic objectives or criteria of the program, they were rejected and no longer considered for rezoning.

On August 14, 2024, prior to the County’s completion of the Countywide Rezone Program (Program A1), the County received a Letter of Inquiry from HCD on the status of completion of Program A1 by the statutory deadline of September 12, 2024. On August 23, 2024, the County provided HCD with a response indicating that the Board of Supervisors, through resolution and ordinances, approved rezones in support of completion of Program A1 on August 20, 2024. After review of all Program A1/Countywide Rezone documentation and subsequent meetings and correspondence with PER staff, HCD responded on January 24, 2025 with a Letter of Technical Assistance indicating that, “while the Countywide Rezone Program meets many requirements of state law, the rezone is dependent upon a total of 50 sites which were not identified in the housing element to accommodate the shortfall of lower-income units and were not analyzed to demonstrate that the sites are adequate to accommodate the regional housing need pursuant to Government Code section 65583.2.” Staff responded to the findings of the technical assistance letter on February 21, 2025 (as requested), and provided additional documentation showing that the County did analyze the sites pursuant to state law. HCD and County staff met on June 30, 2025 at HCD’s request to review HCD’s findings. During the June 30, 2025 meeting and in correspondence recapping the meeting, HCD indicated that while it appears the analysis was completed in the documentation provided for the sites rezoned, the written sites analysis, required by State Law, along with an assessment of fair housing for the Countywide Rezone Program should be added and documented in the Housing Element. Additionally, HCD indicated that the land inventory tables in Appendix C should be updated to reflect the completion of Program A1.

Therefore, the purpose of targeted Amendment 1 is to update pertinent sections of the Housing Element with a written analysis of the adequacy of the candidate rezone sites that were rezoned to accommodate the lower-income unit shortfall and associated buffer pursuant to State law, update the inventory tables in Appendix C post-completion of Program A1, and to conduct an assessment of fair housing for the rezoned sites. For ease of reading, the County added a new Appendix to the Housing Element, Appendix E, to document the outcomes and analysis required post completion of the Countywide Rezone Program. Other applicable sections of the Housing Element were amended only to indicate where Appendix E provides additional information or clarifications.

Amendment 1, was approved and adopted by Resolution 2026-0101 on February 24, 2026 by the Board of Supervisors.

PUBLIC PARTICIPATION

Cities and counties are required by State law (Section 65583[c][7] of the California Government Code) to “make a diligent effort to achieve public participation of all economic segments of the community in the development of the housing element, and the program shall describe this effort.”

Table 1 below summarizes the County’s public outreach activities. Appendix A contains a more detailed list of comments and questions received during each outreach event, including the focus group meetings, community workshops and the Community Planning Advisory Committee (CPAC) presentations.

ANALYSIS OF IMPEDIMENTS TO FAIR HOUSING CHOICE

As a recipient of federal housing funds, Sacramento County is required to assess barriers to fair housing choice through an Analysis of Impediments to Fair Housing Choice (AI). SHRA, acting as the Housing Authority for Sacramento County, partnered with other jurisdictions and housing authorities in the region and contracted with Root Policy Research to prepare a regional AI. The purpose of an AI is for public agencies to take meaningful actions to overcome historic patterns of segregation, promote fair housing choice, and foster inclusive communities that are free from discrimination. Local governments may use the AI to meet AB 686 (2018) requirements to include an assessment of fair housing in their housing elements. As a part of their research for the AI, Root Policy conducted extensive community engagement efforts, described below. The findings of the AI are discussed in more detail in the Assessment of Fair Housing chapter of this element.

The community engagement process for the Sacramento Valley AI included focus groups with residents and stakeholders, “pop up” engagement at local events, and a resident survey. Stakeholder focus groups were supplemented with in-depth interviews as needed and as opportunities arose.

In partnership with the participating jurisdictions and nonprofit organizations throughout the region, the project team facilitated six resident focus groups and six stakeholder focus groups. The 80 resident focus group participants included:

• African American mothers hosted by Her Health First (city of Sacramento, Sacramento County);
• African American and Hispanic residents hosted by Sacramento Self-Help Housing (City of Sacramento, Sacramento County);
• Low income families with children hosted by the Folsom Cordova Community Partnership/Family Resource Center (Sacramento County);
• Residents with disabilities hosted by Advocates for Mentally Ill Housing (Rocklin, Roseville);
• Residents with disabilities hosted by Resources for Independent Living (City of Sacramento); and
• Transgender residents hosted by the Gender Health Center (City of Sacramento, Sacramento County).

Stakeholder focus groups included 35 participants representing organizations operating throughout the region. For the purpose of the AI, “stakeholders” include people who work in the fields of housing, real estate and development, supportive services, fair housing advocacy, education, transportation, economic equity, and economic development. Individuals living in the region are referred to as “residents” in the AI to highlight their stories and experiences.

A total of 577 regional residents participated in engagement activities at local events. Sacramento County event locations included ACC Senior Services, Del Paso Heights Library, Mack Road Valley Hi Community Center, and Meals on Wheels congregant meal locations. A resident survey was available in Chinese, Korean, Russian, Spanish, and Vietnamese both online and accessible to participants using assistive devices (e.g., screen readers), and in a postage-paid paper mail-back format. A total of 224 Sacramento County residents participated in the resident survey. In order to facilitate additional feedback, the County released a housing element survey based on the AI resident survey and collected 187 additional responses.

FOCUS GROUP MEETINGS

From May 2020 through June 2020, the County conducted a series of focus group meetings with key stakeholders that either provide services to special needs populations or are actively engaged and/or knowledgeable regarding housing issues. The focus group meetings covered the following topics: Housing for People with Disabilities; Housing Goals, Policies, and Programs; Barriers to Housing and Services for People Experiencing Homelessness; Housing for Farmworkers; and, Housing for Seniors. During the focus group meetings, the stakeholders provided the County with a description of housing challenges for special needs groups, new program ideas, and additional data sources.

In October 2020, the County hosted two additional focus group meetings; one meeting to review Housing for the Refugee and Immigrant Community and another to report back to stakeholders on draft Goals, Policies, and Programs.

In addition to the focus group meetings, County staff met independently with other organizations including the Disability Advisory Committee, North State Building Industry Association (BIA), Sacramento Housing Alliance, Legal Services of Northern California and House Sacramento.

Some of the organizations that participated in the focus group meetings include:

• Sacramento Housing Alliance
• California Coalition for Rural Housing
• Sacramento County Adult and Aging Commission
• Legal Services of Northern California
• California Health Collaborative
• Resources for Independent Living Sacramento
• Sacramento County Disability Advisory Commission
• House Sacramento
• Sacramento Self-Help Housing, Inc.
• Turning Point Community Programs
• Hope Cooperative
• Jamboree Housing
• Consumer Self Help Center
• First Step Communities
• La Familia Counseling Center
• NorCal Resist
• California Immigrant Policy Center
• International Rescue Committee
• Sacramento Area Congregations Together

WEBINARS AND WORKSHOPS

In response to COVID-19 and the shelter-in-place orders, the County transitioned all in-person workshops with members of the public to webinars and virtual workshops. The County conducted three webinars for members of the public in May 2020 using an online platform with one for informational/background purposes and two interactive webinars. The informational webinar was recorded in English and Spanish and posted to the Housing Element webpage. During the interactive webinars, members of the public were asked about what they like about housing in their community, what housing challenges they have faced in their community, and what the County could do to meet the housing needs of their community. Despite a large number of people registered for these events, attendance at these two webinars was low. In order to get additional feedback, County staff added a recording of the interactive webinar to the website as well as a survey to allow for additional input from members of the public.

The County made several changes to the outreach strategy during the second phase of community workshops in November 2020 to ensure more participation. The County switched from the previous online platform to Zoom, which emerged as the most popular meeting platform during the COVID-19 pandemic. The change to Zoom made providing live Spanish interpretation easier during the workshops. The County also hosted gift card giveaways during both of the November 2020 workshops to encourage attendance. The County advertised these workshops through NextDoor, Facebook, the Housing Element listserv and website, and in partnership with Community Based Organizations and SHRA. These changes to the outreach strategy resulted in increased attendance; there were 54 attendees at the November 10, 2020 workshop and 22 attendees at the November 12, 2020 workshop. The County posted a recording of the workshops and a survey with the workshop polling questions. The workshops included an education component to cover Housing Element basics, an interactive component using polling questions to get feedback on proposed programs, and opportunities for questions and answers.

All public outreach materials were made available in English and Spanish, including all email notifications. The County also provided screen reader friendly versions of each of the presentations on the Housing Element website.

GENERAL COMMENTS RECEIVED

Table 2 summarizes general comments received during the outreach activities and how the comments were incorporated into the Housing Element. Appendix A contains a more detailed list of responses to comments and questions received during outreach activities.

Table 3 below describes ongoing efforts to engage the public and stakeholders in the implementation of the housing element after its adoption.

GENERAL PLAN CONSISTENCY

State Housing Element law (Government Code Section 65583(c)(7)) requires the identification of “means by which consistency will be achieved with other general plan elements and community goals”. The County conducted the following analysis to ensure that the Housing Element is consistent with other General Plan elements. The County will continue to review and revise the Housing Element, as necessary for consistency, when amendments are made to other elements of the General Plan.

• Environmental Justice Element: The Safe and Sanitary Homes section of the Environmental Justice Element includes Policy EJ-31 and several implementation measures that require the County to analyze the presence of overcrowding in EJ Communities and the causes of that overcrowding and collaborate with refugee and immigrant advocates as a part of the Housing Element. To address this policy, the County hosted a focus group meeting with service providers for the refugee and immigrant community in Sacramento County. A discussion of this meeting as well as an analysis on housing overcrowding is included in the Housing Needs Assessment Chapter of this element. There is some tension between policy EJ-32, which calls for the provision of affordable housing in EJ Communities, and policy HE 7.1.3, which calls for the provision of affordable housing in areas of opportunity. Since adoption of the EJ Element, the County became aware of a growing body of research that suggests that affordable housing be provided in opportunity areas or areas with access to resources like employment centers and high performing schools. However, other keystone EJ Element policies (such as EJ-1) are intended to address historic inequities and divestment by prioritizing EJ Communities for infrastructure and amenities, with the ultimate goal of transforming EJ Communities into areas of opportunity. This complements policy HE 7.1.3 and is consistent with the Housing Element’s goal to promote and affirmatively further fair housing opportunities for County residents.

  Many programs use Environmental Justice Communities as geographic areas of focus. The EJ Element’s geographic focus of analysis and policies is Environmental Justice Communities (EJ Communities) - areas that are considered disadvantaged compared to other parts of the unincorporated County. Staff used two sources to determine the extent and boundaries of Environmental Justice Communities. One source is the California Communities Environmental Health Screening Tool (more commonly known as CalEnviroScreen). The other source staff used to identify Environmental Justice Communities is the Sacramento Area Council of Governments’ (SACOG) Metropolitan Transportation Plan/Sustainable Communities Strategy (MTP/SCS). State law requires SACOG to conduct an environmental justice and Title VI analysis as part of the MTP\SCS to determine whether the MTP/SCS equitably benefits low-income and minority communities (Sacramento Area Council of Governments, 181). SACOG refers to these areas as Low Income High Minority (LIHM) Areas.

  Staff combined CalEPA’s disadvantaged communities with SACOG’s LIHM areas to delineate Environmental Justice Communities. There are four EJ Communities: North Highlands/Foothill Farms, North Vineyard, South Sacramento and West Arden-Arcade. The North Highlands/Foothill Farms EJ Community includes Old Foothill Farms. These Environmental JusticeCommunities include Racially or Ethnicaly Concentrated Areas of Poverty (R/ECAPs) and TCAC areas of High Segregation and Poverty.

• Land Use Element: The projected residential development evaluated in the Land Inventory chapter of this element is consistent with General Plan policies regarding the Urban Policy Area and the Urban Service Boundary.

• Open Space and Agricultural Elements: To maintain consistency with the Open Space and Agriculture Elements, the County did not include lands designated for open space or agriculture in the inventory (except lands zoned for agricultural/residential use). There are no sites identified in the County’s inventory for residential development that conflict with open space, conservation, or agricultural policies of the General Plan. For this reason, the Housing Element is consistent with the Open Space and Agricultural Elements.

• Safety Element: State law requires that the safety element be reviewed and revised as necessary to address climate adaption and resiliency strategies and flood and fire hazards upon each revision of the housing element or local hazard mitigation plan (LHMP). The County is currently updating the LHMP and anticipates adopting the updates in 2022. At the time of LHMP adoption, the County will update the Safety Element to summarize and incorporate the LHMP by reference consistent with state law.

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CHAPTER 2: FINANCIAL RESOURCES

This chapter presents information on funds and other resources that are available to support Sacramento County’s (County’s) housing programs. The County’s housing programs are funded through a variety of federal, state, and local sources. These funds support the construction of new affordable housing, encourage housing rehabilitation, assist first-time homebuyers, emergency rental assistance, support revitalization of lower income neighborhoods, and provide various other housing services to low- and moderate-income households. In addition to financial resources, the County makes use of the institutional capabilities of government agencies and nonprofit organizations.

FUNDING SOURCES

This section summarizes the funding sources administered by the Sacramento Housing and Redevelopment Agency (SHRA). Since 1982, SHRA has managed and administered federal housing and community development funds on behalf of the City of Sacramento (City) and County and served as the federal housing and community development staffing entity pursuant to an agreement between the City and County. In this capacity, SHRA is the lead public agency for the City and County in affordable housing development, providing development funding, operating assistance, and mortgage assistance for a variety of affordable housing types throughout the City and County.

Table 4 presents a summary of resources available for housing programs for 2018-2020.

Housing Choice Voucher (HCV) funding makes up the majority of SHRA’s funding. HCVs provide operating revenue for owners of rental housing and are not typically a resource for the creation of new housing. In recent years, however, SHRA has been committing a portion of its vouchers to affordable housing developers in the form of Project-Based Vouchers to support the development of new housing for formerly homeless households.

Revenues from HOME, Housing Trust Funds, Affordable Housing Funds, and Permanent Local Housing Allocation (Table 4) are targeted for multifamily rental gap financing through SHRA’s Multifamily Lending Program. This program provides assistance for developers wishing to purchase and rehabilitate or construct new, affordable rental housing throughout the County. The Multifamily Lending and Mortgage Revenue Bond Policies which govern the loan program were updated in 2019 and the identify preservation of affordable housing at risk of loss from the affordable inventory as the first priority and new construction of affordable housing as the second priority.

FEDERAL SOURCES OF FUNDING

U.S. Department of Housing and Urban Development (HUD) Funds

Public Housing

The largest source of funding for affordable housing in Sacramento comes from the United States Department of Housing and Urban Development (HUD). HUD supports the Housing Authority’s public housing units, new development and rehabilitation of affordable housing, and special needs housing through the provision of operating subsidies and capital funding. The County Housing Authority has 771 public housing units (excluding properties within the City of Sacramento), which house some of the poorest residents of the County. The vast majority of public housing residents (84 percent) are female headed households with, at least, one dependent and their average household income is just over $17,000 a year. Providing safe and secure housing for this population is extremely expensive and requires an ongoing, dedicated operating subsidy. Recent cutbacks to the public housing program at HUD are requiring public housing authorities nationwide to reconsider how they own, manage and maintain their public housing assets. In recognition of the declining federal resources, the County has approved SHRA’s asset repositioning strategy, which aims to rehabilitate and redevelop current public housing, with no net loss of subsidized units.

Housing Choice Vouchers

In addition to public housing, HUD also funds Housing Choice Vouchers formerly known as Section 8. Unlike public housing, which fixes the tenant’s rent to no more than 30 percent of their household income, Housing Choice Vouchers provide a subsidy to private landlords to pay the difference between what the tenant can afford with 30 percent of their family income and the fair market rent. The Housing Choice Voucher program aims to provide housing choices to lower income families, and to disperse lower income residents throughout the County. SHRA administers approximately 13,200 Housing Choice vouchers throughout Sacramento County, including the incorporated cities. The majority of these vouchers are “tenant based” – they travel with the tenant to wherever they wish to reside. However, SHRA also provides Project-Based Vouchers that provide a similar form of subsidy payment to several privately-owned affordable housing projects. Of the 13,200 vouchers, 664 are available specifically to veterans through HUD’s Veterans Affairs Supportive Housing (VASH) program. SHRA issues an annual request for proposals for affordable housing providers interested in obtaining Project-Based Vouchers to serve homeless individuals and families. As of 2019, SHRA had allocated 742 vouchers specifically for housing people experiencing homelessness.

Entitlement Funds

As an entitlement county under HUD regulations, Sacramento County also receives Community Development Block Grants (CDBG), Home Investment Partnership (HOME) funds, Emergency Shelter Grants (ESG), and Housing for People with AIDS/HIV (HOPWA). Federal entitlement funds available in fiscal year 2020 (not including additional allocations relating to the Covid pandemic) are as follows:

• CDBG $5,768,029
• HOME $2,992,126
• ESG $484,844

• HOPWA $1,330,405¹

CDGB. The majority of CDBG funds are allocated for non-housing community development projects and each HUD funding source also allows for administrative costs. According to the 2020 County Action Plan, approximately $1.2 million of the total CDBG entitlement will be allocated for housing development, preservation and homeownership. CDBG funds designated for housing support rehabilitation of owner-occupied housing and rehabilitation of multifamily rental housing. New construction of housing is not an eligible CDBG activity. CDBG funds are also available for public service activities supporting homeless programs such as shelter services and rapid rehousing.

HOME. County HOME funds are used exclusively for the new construction and rehabilitation of affordable multifamily rental housing. The County receives approximately $3.1 million in HOME funds annually, and repayments from outstanding loans are "revolved" back into the fund and provide an estimated $1.2 million, annually.

ESG and HOPWA. The Emergency Solutions (formerly Shelter) Grant (ESG) program provides people experiencing homelessness with basic shelter, essential supportive services, and rapid rehousing. ESG funds can be used for a variety of activities, including: rehabilitation or remodeling of a building used as a new shelter, operations and maintenance of a facility, essential supportive services, and homeless prevention. The Housing for People with AIDS/HIV (HOPWA) program provides grant funds to design long-term, comprehensive strategies for meeting the housing needs of low- and moderate-income people living with HIV/AIDS. HOPWA funds can be used for acquisition, rehabilitation, or new construction of housing, rental assistance, and related supportive services. HOPWA funds are received by the City of Sacramento. The Sacramento Housing and Redevelopment Agency (SHRA) administers the funds on behalf of the City of Sacramento and the Counties of Sacramento, El Dorado, Placer, and Yolo.

Continuum of Care (CoC) Program

Funding is available on an annual basis through the U.S. Department of Housing and Urban Development (HUD) Notice of Funding Availability (NOFA) which is typically published in the spring of each year. Sacramento Steps Forward (SSF) is the County’s Lead Agency (Grantee) coordinating the local application process on behalf of the County and its incorporated jurisdictions. SSF collaborates with a 25-member stakeholder Advisory Board. Each year the Continuum of Care (CoC) Board initiates a competitive grant application process for organizations that wish to be included in the HUD’s annual Notice of Funding Availability (NOFA) competition. Most of the CoC funding received by HUD is used to maintain housing for formerly homeless individuals who were considered the most vulnerable and required long-term support to maintain housing. When the CoC receives additional funding, additional housing opportunities are available for people experiencing homelessness.

Mortgage Revenue Bonds and Low Income Housing Tax Credits

SHRA issues tax-exempt mortgage revenue bonds on behalf of the County for housing developments that restrict a portion of their units for very low-income and low-income households. The basic federal requirements are that 20 percent of the units must be restricted to very low-income households (50 percent of area median income), or 30 percent of the units restricted to low-income households (60 percent of area median income) and 10 percent for very low-income households. The funds raised as a result of the bond sales carry below market interest rates, and are usually coupled with Low-Income Housing Tax Credits to raise the equity needed for the project’s affordability and feasibility.

The Low-Income Housing Tax Credit program is a federal program which provides each state an allocation of tax credits based upon population to create affordable housing for low-income households. The tax credits are incentives for private business to invest in affordable housing. Within the federal tax credit program, there are two programs - the four percent and the nine percent tax credits. The nine percent tax credit program with its higher credit factor is more competitive and requires much deeper affordability

targeting. The four percent tax credit program is used solely in conjunction with the mortgage revenue bond program. In addition to federal tax credits, California has created a state tax credit program to be used in conjunction with the federal credits.

Mortgage Credit Certificates

The Mortgage Credit Certificate (MCC) program provides financial assistance to first time homebuyers for the purchase of new or existing single-family homes. The MCC provides qualified first time homebuyers with a federal income tax credit, which reduces an individual’s tax payment(s) by an amount equal to the credit. The MCC program can be used to increase homeownership, especially in targeted neighborhoods.

STATE SOURCES OF FUNDING

Proposition 1 (SB3) – Veterans and Affordable Housing Bond

Voters approved a $4 billion general obligation bond in November 2018, the proceeds of which will be used to fund existing, statewide housing programs. These funds are administered by the State Department of Housing and Community Development. Funds were allocated to the following competitive housing programs:

• Multifamily Housing Program - $1.5 billion. Provides soft-second loans (gap financing) for new construction and rehabilitation of affordable rental housing. Developers apply.

• Infill Infrastructure Grant Financing - $300 million. Provides gap funding for infrastructure improvements required for residential and mixed-use infill development. Developers apply.

• Local Housing Trust Match Grant Program - $300 million. Affordable Housing Innovation Fund to help finance local housing trust funds dedicated to the creation or preservation of affordable housing. Applicants are cities and counties with Housing Elements that are in compliance. SHRA has successfully applied for and received these funds on behalf of the County in the past.

• Transit-Oriented Development Program - $150 million. Eligible applicants include cities, counties, transit agencies and developers. Funds are to be used to facilitate the development of higher density uses within close proximity to transit stations.

• CalHome - $300 million. Funding to provide homeownership opportunities for low and very-low income homebuyers. Grants are awarded to public agencies and non-profits who offer downpayment assistance and/or home rehabilitation assistance. SHRA has been successful at applying for and receiving these funds when available in the past.

Greenhouse Gas Reduction Fund (Cap and Trade)

Proceeds from the State’s Cap-and-Trade program generated through regular auctions of carbon allowances are channeled into State loan and grant programs designed to reduce greenhouse gas emissions. The Strategic Growth Council (SGC) coordinates two programs with affordable housing components:

• The Transformative Climate Communities (TCC) program funds development and infrastructure projects designed achieve major environmental, health, and economic benefits in disadvantaged communities. This program is only available to communities within certain CalEnviroScreen zones.

• The Affordable Housing and Sustainable Communities (AHSC) program is more closely aligned to the production of new housing than the TCC program. AHSC is a competitive program that relies on reductions in greenhouse gas emissions partially through the production of dense housing near transit. This fundamental purpose of the program has made obtaining AHSC funding challenging for the Sacramento region given the lack of density in contrast to regions like the Bay Area and Los Angeles basin. The source of the program resources – Cap-and-Trade funds – necessitates the integration of housing with transit and projects must demonstrate sufficient greenhouse gas reductions.

Mental Health Services Act Program

Voters approved Proposition 63 in 2004 creating the Mental Health Services Act (MHSA) to provide increased funding, personnel, and other resources to support county mental health programs. Revenues are generated by a one percent income tax on personal income in excess of one million dollars.

In 2018, voters approved the bonding of this stream of revenue for the purpose of developing permanent supportive housing for people experiencing homelessness who are also mentally ill. Up to $2 billion in bond proceeds supported by the resources generated by the MHSA will be made available to develop permanent supportive housing for persons in need of mental health services and experiencing homelessness through the No Place Like Home (NPLH) program. Each spring, the County and SHRA coordinate on a “Request to Partner” with affordable housing developers who are interested in setting aside units to serve this vulnerable population and receive housing subsidies in order to provide housing at extremely low income levels. The County submits the application to the State and has been successful in obtaining competitive NPLH funds to support the development of new, permanent supportive housing.

LOCAL SOURCES OF FUNDING

Housing Trust Fund of Sacramento County

Sacramento County adopted a local ordinance in 1989 that established an impact fee on new non-residential construction. The fees were based on an economic nexus analysis that determined that the construction of such commercial projects as offices, business parks, hotels, warehouses, and shopping centers played a major role in attracting new very low- and low-income workers to Sacramento. Because the workers are often unable to afford housing close to their work sites, the fee-generated revenue is used to increase the supply of housing affordable to these income groups, creating the nexus or linkage between jobs and housing.

Annually, the County Housing Trust Fund provides approximately $380,000 for new construction of housing for people that are in or likely to be in the labor force. Housing Trust funds are most commonly used as “gap” loans, leveraging millions of dollars of outside resources to create affordable housing in the County.

Affordable Housing Ordinance

In 2014, the Sacramento County Board of Supervisors (Board) repealed the County’s existing Ordinance, and adopted a revised Affordable Housing Ordinance (Ordinance). The 2014 Ordinance creates a standard affordable housing fee applicable to all developers (with limited exceptions) and also provides a variety of other options an applicant/developer may choose to satisfy a development project’s affordable housing obligations. The County has obligated itself to use fifty-percent of the funds to produce affordable housing in large development projects in order to achieve the objective of ensuring affordable housing is distributed throughout the County including in new growth areas. To achieve this, the County is seeking sites in large development projects through Development Agreements.

Under the 2014 Ordinance, new residential development projects have the following options to comply with the affordable housing requirement:

• Pay an affordability fee on all newly constructed market-rate units;
• Comply with the development project’s approved affordable housing plan if one exists under the repealed ordinance; or
• Enter into a development agreement or other form of agreement with the County, which provides for a fee credit for land dedication, construction of affordable housing units, or other mechanism that leads to the production of affordable housing in an amount at least equivalent to the affordability fee.
• Purchase Unit Credits for affordable housing units banked with SHRA.

Permanent Local Housing Allocation (PLHA)

In 2017, Senate Bill 2 created the first permanent source of affordable housing in the State of California. Revenue is generated through recording fees on real estate transactions and will, therefore, vary from year to year depending upon activity.

The majority of the funding supports the Permanent Local Housing Allocation (PLHA) which is an entitlement program for local governments with allocations based on the CDBG formula. Eligible uses are broad and include rental and ownership housing activities, and homeless services. Jurisdictions are required to integrate a homeownership component into their plans.

INSTITUTIONAL STRUCTURE AND COORDINATION

SACRAMENTO HOUSING AND REDEVELOPMENT AGENCY (SHRA)

The Sacramento Housing and Redevelopment Agency (SHRA) is a Joint Powers Authority created as a public agency by the City and County of Sacramento in 1973. SHRA serves three essential functions for both the City and unincorporated County in its roles as the Housing Authority and housing department for both jurisdictions.

In its role as the Housing Authority, SHRA owns and operates 1,508 public housing units in the City and an additional 771 in the other portions of the County. It administers over 13,000 Housing Choice Vouchers throughout Sacramento County. Through the Housing Authority’s efforts to reduce dependence on annual federal appropriations, the Housing Authority has repositioned several of its public housing assets into a privately-owned affordable housing model. The long-term plan is to remove all public housing from the federal platform. The Housing Authority currently owns and manages 271 affordable units comprised of tax credits, and local funds. The non-profit arm, Sacramento Housing Authority Repositioning Program Inc. (SHARP), owns and manages three additional senior housing projects (231 units) that were previously a part of the public housing inventory. By 2021, SHARP will also own and manage 124 scattered site Rental Assistance Demonstration (RAD) apartments and 215 apartments converted through the Section 18 program.

SHRA acts as the County’s finance housing department, administering federal and state funding programs for the provision of affordable housing and implementing the County’s Housing Trust Fund and Affordable Housing Ordinances.

SACRAMENTO COUNTY

Several departments and offices within Sacramento County assist in the planning and implementation of the Housing Element. The agencies, departments, and divisions listed below focus on development, infrastructure, and supportive services and are listed as responsible departments in the Housing Action Plan Chapter of this element. In addition to these groups, the Department of Finance and Environmental Management Department have important responsibilities for implementing actions under the Housing Element.

Office of Planning and Environmental Review

The Office of Planning and Environmental Review provides a range of land use planning services, including accepting and processing land use development applications, assessing environmental impacts and preparing environmental documents, monitoring mitigation actions and oversight of Countywide policy and standards through the General Plan and Zoning Code maintenance and updating. As the primary authors of the General Plan, the Office of Planning and Environmental Review is also responsible for updating the County’s Housing Element of the General Plan.

In addition to the funding sources for affordable housing discussed above, there are several funding sources for planning efforts that the Office of Planning and Environmental Review may apply for on behalf of the County. These include the Local Early Action Planning (LEAP) grants, SB 2 Planning Grants Program, and Regional Early Action Planning (REAP) grants.

Sacramento County Housing Element

• The Local Early Action Planning (LEAP) program assists cities and counties to plan for housing through providing one-time over-the-counter, non-competitive planning grants. The Office of Planning and Environmental Review was awarded LEAP grant funds for Accessory Dwelling Units (ADUs) construction plans, ADU ordinance amendments, Housing Element Update activities, Zoning Code amendments for supportive housing, a Housing Trust Fund Nexus Study, and an Infill Program.
• The SB 2 Planning Grants program provides one-time funding and technical assistance to all eligible local governments in California to adopt, and implement plans and process improvements that streamline housing approvals and accelerate housing production. The Office of Planning and Environmental Review received SB 2 Planning Grants Program funds for the Countywide Rezone Program, preparation of the Permanent Local Housing Allocation Funding Plan, and General Plan and Development Code amendments.
• The Regional Early Action Planning (REAP) program helps council of governments (COGs) and other regional entities collaborate on projects that have a broader regional impact on housing. Grant funding is intended to help regional governments and entities facilitate local housing production that will assist local governments in meeting their Regional Housing Need Allocation (RHNA).

Public Works & Infrastructure Agency

Public Works & Infrastructure provides services to the residents of unincorporated Sacramento County including code enforcement, construction management and inspection, building permits and development services, garbage/recycling collection, road maintenance, clean water, and storm protection.

Department of Development & Code Services

Development and Code Services ensures that all development is consistent with State Law and Building Codes. The following divisions play a critical role in housing development in the County.

• Building Permits and Inspection. Building Permits and Inspection interprets and enforces California Building Codes for privately owned buildings and structures including commercial and residential new buildings, alterations, additions and/or repairs within Sacramento County's unincorporated area.
• Code Enforcement. Code Enforcement investigates housing, zoning and vehicle abatement laws in the unincorporated Sacramento County. Code Enforcement works to achieve voluntary compliance through notification and education. When necessary, they use legal procedures including boarding structures, removing junk and rubbish and junk vehicles, civil citations, criminal citations and demolition of dangerous buildings.
• County Engineering. County Engineering includes the office of the County Engineer and provides services for the building and development community and County departments. Site Improvement and Permits Section (SIPS) reviews/approves civil improvement plans and assists with various permits. Surveys Section performs County Surveyor functions and reviews survey documents for public and private projects. Special District Section oversees public infrastructure financing plans and establishes/manages special financing mechanisms including development impact fees, Mello-Roos, CFDs, and assessment districts.

Department of Transportation

Sacramento County Department of Transportation (SACDOT) is responsible for planning, improving, operating and maintaining a transportation system that serves unincorporated area citizens, regional traffic and commerce.

Social Services Agency

Social Services’ mission is to create and deliver services that improve the quality of life for all Sacramento County residents. Social Services provides federal, state and local services and programs that guard public

health and the environment; prevent physical and financial abuse of the vulnerable; provide employment and safety-net services.

Department of Human Assistance

The Sacramento County Department of Human Assistance plans, implements and oversees a spectrum of programs and services designed to move people from public assistance to independence. DHA's mission of fostering self-sufficiency among those it serves touches every facet of daily life, from employment, housing and health care to transportation, education and child care.

Department of Health Services

The Department of Health Services (DHS) mission is to improve the health and wellness of Sacramento County residents. DHS has three divisions: Behavioral Health - provides alcohol/drug treatment services, and mental health services; Primary Health - provides clinic, emergency, and correctional health services; and Public Health - promotes, protects, and assures conditions for optimal health and public safety for residents.

Director of Homeless Initiatives

The Director of Homeless Initiatives provides strategic and policy leadership and direction across County Departments and works collaboratively with public and private partners to combat homelessness. As the largest provider of social services in the county and investing in a wide range of homeless and housing services, Sacramento County is committed to impactful actions that help individuals and families regain health, income, and permanent housing stability.

Interdepartmental Coordination

In addition to the funding sources specific to housing identified on pages 15-18, other federal and State funding programs are available to local governments to address existing infrastructure needs and other community benefits. Multiple Sacramento County departments are actively engaged in a coordinated effort to pursue grant funds to address the unique needs of the County’s communities, especially Environmental Justice communities identified in the Environmental Justice Element. Investments to improve existing infrastructure and community assets such as parks and trails can spur additional infill housing development by reducing the financial burden associated with these facilities.

CHAPTER 3: HOUSING ACTION PLAN

California Government Code Section 65583 requires that the Housing Element contain a “statement of the community’s goals, quantified objectives, and policies relative to the maintenance, improvement, and development of housing.” This chapter contains Sacramento County’s Action Plan, which consists of a broad range of goals, objectives, policies, and programs that address the development of sufficient housing to accommodate population growth, and to encourage the production of units in a range of prices affordable to all income groups. Goals and objectives were developed in direct response to the observed needs for the Sacramento area based on extensive community input and housing need assessments conducted during the preparation of this Housing Element. The terms used in this chapter are:

• Goal: General statement of purpose to indicate direction the County will take to address identified housing problems and needs.
• Policy: A general statement of a proposed action to guide decision-making and provide a framework for the operation of housing implementation programs.
• Implementation Program: A detailed statement of the specific action that will be taken to implement a policy.
• Objective: A general or qualitative statement of the desired outcome from implementation of a strategy or sub-strategy.
• Quantitative Objective: A statement of measurable outcome, defined numerically whenever possible.

HOUSING GOALS, POLICIES, AND PROGRAMS

Sacramento County’s Housing Action Plan emphasizes seven goals that, collectively, address the availability of, affordability of, condition of, and access to housing by its general population as well as special needs groups. Each goal has its own set of policies and programs. The seven goals are:

1. Providing an adequate supply of land for housing;
2. Reducing constraints to housing production;
3. Preserving existing housing and neighborhoods;
4. Improving housing opportunities and conditions for special needs groups;
5. Providing and maintaining housing affordability;
6. Promoting the efficient use of energy in residences through alternative and innovative conservation measures, and;
7. Promoting and affirmatively furthering fair housing opportunities for Sacramento County residents.

SUMMARY OF QUANTIFIED OBJECTIVES

Table 5 summarizes the County’s quantified objectives for the development, improvement, and preservation of housing for the 2021 through 2029 planning period.

Sacramento County Housing Element

1. New construction objective is equal to the RHNA
2. Rehabilitation objective reflects programs C1 and C2
3. Preservation/Conservation objective reflects information from the Preservation Chapter and Programs C4, C5, and C7.
4. Preservation/Conservation also includes Program D15. SHRA has issued a total of 12,500 vouchers that are available for use throughout the County and are not specific to the unincorporated County.

GOAL HE 1: ADEQUATE SUPPLY OF LAND FOR HOUSING

Provide an adequate supply of suitable sites for the development of a range of housing that varies sufficiently in terms of cost, design, size, location, and tenure to meet the housing needs of all segments of the County's population.

Introduction

The Sacramento Area Council of Government adopted the Regional Housing Needs Plan (RHNP) on March 19, 2020. Pursuant to the Plan, Sacramento County must have appropriate zoning in place to accommodate 21,272 new units. Of these new units, 4,466 should be affordable to very low-income households, 2,692 should be affordable to low-income households, 4,186 should be affordable to moderate-income households, and 9,928 should be affordable to above moderate-income households. Per the Land Inventory Chapter, the County has a deficit of 142 acres or 3,125 units for lower-income households. In order to ensure that the County has enough appropriately zoned land to accommodate the number of lower-income units anticipated in the Plan, the County must rezone 165 acres (142 acres and a 15 percent buffer) of land to allow multifamily residential uses by-right, at a minimum density of 20 units per acre and a maximum density that allows at least 30 units per acre. Program A1 Countywide Rezone Program (see the program description below), was adopted (Resolution Nos: 2024-0621 thru 2024-0632 and SZC Ordinance Nos: 2024-0009 thru 2024-0083) by the Board of Supervisors on August 20, 2024. The Countywide Rezone Program resulted in the rezone of 74 sites made up of 216.72 acres (195.50 acres for lower income units and 21.22 acres for moderate income units) with a realistic development capacity of 4,803 lower income units and 237 moderate income units. With the completion of the Countywide Rezone Program, the County no longer has a deficit of land to accommodate lower-income units and exceeded the goals of providing a 15 percent buffer. With conclusion of Program A1, the Housing Element has been amended (Amendment 1, Resolution 2026-0101, adopted February 24, 2026) and Appendix E has been added to the Housing Element to reflect completion and the required analysis per State Law.

In addition to ensuring a sufficient supply of zoned residential land, this goal seeks to encourage residential infill development and to ensure that master plan communities provide a variety of residential densities, including RD-30.

The objectives for Goal HE-1 are as follows:

• To ensure there is sufficient land to allow for the development of adequate new housing and to ensure the availability of housing for all households in Sacramento County.
• Actively promote and facilitate the use/reuse of vacant and underutilized infill sites.

Policies

HE 1.1.1 The County will provide an adequate supply of land for housing affordable to all income groups with public services and facilities needed to facilitate the development of housing to accommodate projected housing needs based on the SACOG Regional Housing Needs Plan. The Plan requires that the County accommodate 4,466 very low-income units, 2,692 low-income units, 4,186 moderate-income units, and 9,928 above moderate-income units.

HE 1.1.2 The County will preserve the supply of sites zoned for multifamily housing.

HE 1.2.1 The County will promote and facilitate the build-out of vacant and underutilized urban land through infill and reuse activities, as appropriate, for housing.

HE 1.2.2 The County will ensure that infill projects are integrated into the surrounding neighborhoods and communities to the greatest extent feasible.

HE 1.2.3 When feasible, the County will integrate housing with compatible non-residential uses in an effort to locate affordable housing near employment opportunities and take maximum advantage of infill development opportunities.

HE 1.2.4 The County will encourage locating multiple-family projects near public transportation, shopping, recreation and other amenities.

HE 1.2.5 Where there is mutual interest, the County will work in partnership with the incorporated cities to increase residential densities along areas adjacent to their boundaries to encourage consistency between jurisdictional boundaries.

Completed: August 20, 2024 (Resolution Nos: 2024-0621 thru 2024-0632 and Ordinance Nos: 2024-0009 thru 2024-0083)

A2. By-Right Development on Land Inventory Sites: The County will amend the Zoning Code to ensure that developments in which 20 percent or more of the units are affordable to lower income households are allowed by-right on vacant sites identified in the 4th and 5th cycle Housing Elements, non-vacant sites identified in the 5th Cycle Housing Element, and sites rezoned as part of Program A1, even if the development exceeds 150 units.

Implements Which Policy(ies): HE 1.1.1 and HE 1.1.2

Responsible Department: Office of Planning and Environmental Review

Funding: County General Fund

Objective: Create opportunity for rental housing affordable to lower-income households.

Target Date: May 2024

A3. Annual Monitoring of Vacant Multifamily Parcels: To monitor whether the County has an adequate supply of land for low- and moderate-income level housing, an annual report will be prepared showing the inventory of vacant multifamily parcels and summarizing any additions or losses to the inventory. This report and the Annual Progress Report shall be made available to the public through the Office of Planning and Environmental Review’s website.

Implements Which Policy(ies): HE 1.1.1

Responsible Department: Office of Planning and Environmental Review

Funding: County General Fund

Objective: Inventory monitoring and make available inventory information and Annual Progress Reports annually.

Target Date: Annually, 2021-2029

A4. Master Plans and Multifamily Housing: The County will adopt master plans, including specific and comprehensive plans, which provide a variety of residential densities, including those densities that support multifamily housing. To facilitate the development of housing for lower-income households, master plan communities must:

• Develop a minimum of 30 percent of the proposed dwelling units at a density of at least 30 dwelling units per acre (RD-30) or greater.
• Include multifamily zoned (RD-30+) parcels 3 to 10 acres in size.
• Pursuant to General Plan Policy LU-120, master plan will contribute their “fair share” of adequate sites for the lower income inventory.
• Provide a variety of housing types and densities, including single-family homes, duplexes, triplexes, accessory dwelling units, townhomes, condominiums, apartments and similar multifamily units, in a variety of settings including both residential neighborhoods and mixed use nodes.

Implements Which Policy(ies): HE 1.1.1, HE 7.1.3

Responsible Department: Office of Planning and Environmental Review

Funding: Planning Entitlement Fees

Quantitative Objective: Require a minimum of 30 percent of the proposed dwelling units in master plans approved during the planning period (estimated at two master plans) to be developed at a density of at least 30 dwelling units per acre. Include multifamily zoned parcels between 3 and 10 acres in size

in master plans. Provide housing of various types and densities to address issues of segregation and increasing housing choice.

Target Date: Ongoing, 2021-2029

A5. Evaluate the Need/Ability of Adopted Master Plans to Increase Multifamily Densities: The County will evaluate both the need to and the ability to amend adopted master plans to increase minimum densities in multifamily areas to RD-30 densities.

Implements Which Policy(ies): HE 1.1.1

Responsible Department: Office of Planning and Environmental Review

Funding: County General Fund

Quantitative Objective: Determine need and the ability to amend adopted master plans to increase allowable densities.

Target Date: June 2025

Use of Infill and Underutilized Sites

A6. Infill Program: The County will further work on a program to encourage infill development in the County that will ultimately increase and accelerate the production of housing by identifying and assessing infill sites and removing identified barriers through accomplishing the following tasks. Incentivizing infill in the moderate, high and highest opportunity areas will enhance housing mobility and affordability in high opportunity areas.

• Define infill sites.
• Assess/develop a comprehensive inventory of residential and commercial infill sites.
• Analyze existing regulations and codes to assess the impediments to development.
• Develop incentives/strategies to maximize infill opportunities in the unincorporated areas of Sacramento County, especially Environmental Justice Communities and Moderate, High, and Highest Resource areas of the County.
• Analyze and address disconnects between the Zoning Code and the Design Guidelines.
• Identify and provide incentives to develop Business Professional Office (BP), Limited Commercial (LC) and Shopping Center (SC) zoned properties with multi-family residential projects.

Implements Which Policy(ies): HE 1.2.1, HE 1.2.2

Responsible Department: Office of Planning and Environmental Review

Funding: Local Early Action Planning (LEAP) Grant

Objective: Further work on a program to encourage infill development in the County that will ultimately increase and accelerate the production of housing by 200 units by identifying and assessing infill sites and removing identified barriers. Provide incentives to increase the amount of multifamily housing developed in BP, LC and SC zoned properties.

Target Date: June 2024

A7. Grants for Infill Development: The County will continue to pursue grant opportunities that remove or reduce barriers to infill development.

Implements Which Policy(ies): HE 1.2.1

Responsible Department: Office of Planning & Environmental Review

Funding: County General Fund, Grants

Qualitative Objective: The County will continue to apply for grants for infill projects as grant opportunities become available.

Target Date: The County will review grant opportunities annually and apply as funds are available on an ongoing basis from 2021-2029.

A8. Facilitate Affordable Housing on Large Sites. The County shall encourage property owners and affordable housing developers to target and market the availability of sites with the best potential for development by facilitating meetings between willing property owners of large sites and willing affordable housing developers. To assist in the development of housing for lower-income households on larger sites (e.g., more than 10 acres), by the County will streamline the approval process for land divisions, lot line adjustments, and/or specific plans or master plans resulting in parcel sizes that enable affordable housing development such as one to 10 acres. The County shall focus on facilitating parcel sizes that comply with SHRA Multifamily Lending and Mortgage Revenue Bond Policies. The County shall also develop mechanisms to require developers of large sites to construct, entitle, or dedicate land for projects affordable to lower-income households early in the development process. Mechanisms may include affordable housing strategies pursuant to the Affordable Housing Ordinance, such as, dedication of land to SHRA for concurrent development of deed restricted affordable housing. Target the production of 1,000 lower income units through this program by 2029.

Implements Which Policy(ies): HE 1.1.1 and HE 1.1.2

Responsible Department: Office of Planning & Environmental Review

Funding: County General Fund

Qualitative Objective: Create opportunity for housing affordable to lower-income households on large sites.

Target Date: Assisting and streamlining is ongoing, 2021-2029. Developing new requirements will take place by May 2024.

GOAL HE 2: REDUCTION OF CONSTRAINTS TO HOUSING PRODUCTION

Removal or reduction of governmental and non-governmental constraints to facilitate the provision of housing for households of all income levels.

Introduction

The Housing Constraints Analysis Chapter identifies serval factors that may serve as barriers to housing development such as the Neighborhood Preservation Areas and Special Planning Areas, public concerns or "NIMBYism", and permit and development impact fees. This goal also seeks to reduce these barriers by reducing permit processing times, increasing "by right" housing opportunities, and reducing fees and providing incentives. The objectives of Goal HE-2 are as follows:

• To streamline the governmental review process to assist in the reduction of processing times associated with housing production.
• To ensure that development standards continue to represent the best means to achieve land use policy objectives while reducing the cost of producing housing.

• To reduce housing costs associated with permit and development impact fees while ensuring sufficient funding for public services and facilities.

Policies

HE 2.1.1 The County shall reduce uncertainty, risk, and delay in the planning, environmental, and permitting process.

HE 2.1.2 The Office of Planning and Environmental Review shall provide expedited review for projects in which at least 20 percent of the units are affordable to very low- and low-income households, as certified by the Sacramento Housing and Redevelopment Agency.

HE 2.2.1 The County will incentivize density for residential projects.

HE 2.2.2 The County will provide flexibility of development standards, or flexibility within the adopted development ordinances, to accommodate residential projects that provide housing that helps to address identified needs in the County.

HE 2.3.1 The County will strive to balance “full cost recovery” for planning and environmental review with the need to maintain reasonable fees that impact housing affordability.

HE 2.3.2 The County will continue to defer and/or waive development impact fees for residential projects that have at least a minimum number of housing units on sites that are affordable to very low- and low-income households, as certified by Sacramento Housing and Redevelopment Agency up to the approved annual quota of the number of units.

Funding: Planning Entitlement Fees Objective: Reduce uncertainty, risk, and delay in the planning, environmental, and permitting process. Target Date: Ongoing, 2021-2029 B3. Expediting and Aiding the Processing of Affordable Housing Projects: The County will expedite planning entitlements and building permits and aide developers of affordable housing projects by prioritizing them within reasonable timeframes to ensure meeting applicant’s funding due dates. The County will explore creation of a program to subsidize pre-application meetings for affordable housing projects. Implements Which Policy(ies): HE 2.1.1, HE 2.1.2 Responsible Department: Office of Planning & Environmental Review, Building Permits & Inspection Division Funding: Planning Entitlement Fees Objective: Reduce delay and cost in the review of affordable housing projects. Target Date: Expediting planning entitlements will be ongoing, 2021-2029. County will explore creation of a subsidy for pre-application meetings by June 2025. B4. Accessibility and Usability of Planning Documents. The County will continue to improve accessibility and usability of existing land use planning documents. Implements Which Policy(ies): HE 2.1.1 Responsible Department: Office of Planning and Environmental Review Funding: County General Fund Objective: Develop an online application system as well as FAQ resources and guidance documents for inclusion on the County webpage. Develop an interactive, GIS-based Zoning Code tool for inclusion on the County webpage. Target Date: Develop online application system by December 2021 and make guidance documents available online on an ongoing basis. Develop interactive Zoning Code tool by December 2027. B5. Affordable Housing Education: The County will prepare an outreach strategy to educate members of the public and hearing bodies about affordable housing and emergency housing and services for people experiencing homelessness. The outreach strategy will include the following elements:

• Presentations to members of the public, Community Planning Advisory Councils (CPACs), Property and Business Improvement Districts, County Planning Commission, and other similar hearing bodies.
• A dedicated webpage for information about affordable housing. Implements Which Policy(ies): HE 2.1.1 Responsible Department: Office of Planning and Environmental Review, Sacramento Housing and Redevelopment Agency, Director of Homeless Initiatives Funding: County General Fund Objective: Increase County residents and decision makers’ understanding of affordable and emergency housing. Target Date: Develop strategy by June 2022 and implement on an ongoing basis. B6. NPAs and SPAs. The County will identify Special Planning Areas (SPAs) and Neighborhood Preservation Areas (NPAs) which serve as barriers to housing production and update or rescind them.

Implements Which Policy(ies): HE 2.1.1 Responsible Department: Office of Planning and Environmental Review Funding: County General Fund Objective: Update or rescind four NPAs and/or SPAs identified as barriers per year. Target Date: Ongoing, 2021-2029

Provide Opportunities for “By Right” Housing

B7. Residential Uses on BP Zoned Properties: The County will consider amendments to the Zoning Code to allow multifamily projects as a use by right in BP zone districts. Implements Which Policy(ies): HE 2.2.1 Responsible Department: Office of Planning and Environmental Review Funding: County General Fund Objective: Remove conditional use permit requirement for multifamily projects in Business Professional zoning districts. Target Date: May 2024

B8. Missing Middle Housing (or Naturally Occurring Affordable Housing): The County will consider amendments to the Zoning Code to allow for more missing middle housing (or naturally occurring affordable housing) types in a broader range of zoning districts, including single family zoning districts, and amendments to development standards to accommodate these housing products. Implements Which Policy(ies): HE 2.2.1, HE 2.2.2 Responsible Department: Office of Planning and Environmental Review Funding: County General Fund Objective: Develop 400 missing middle housing units in moderate or high resource areas during the planning period. Target Date: Amend Zoning Code to allow for more missing middle housing types by January 2022 and amend development standards by January 2023.

Review Residential Development and Permit Fees and Provide Incentives

B9. Fee Waiver and Deferral Programs for Affordable Housing Projects: The County will continue to issue fee waivers and deferrals for development impact fees for residential developments in which at least 10 percent of the total units are affordable to very low-income households or 49 percent are affordable to low-income households and on which affordability restrictions are subject to long-term (30 years or greater) regulatory agreements as certified by the Sacramento Housing and Redevelopment Agency (SHRA). Implements Which Policy(ies): HE 2.3.2 Responsible Department: Office of Development and Code Services, Department of Finance, SHRA Funding: County General Fund Objective: Reduce or delay the cost impact of development fees for qualifying low- and very low-income housing units for 200 units annually. Target Date: Ongoing, 2021-2029

B10. Additional Fee Waivers and Deferrals: In order to facilitate development of affordable housing units, the County will adopt amendments to the existing Affordable Housing Fee Deferral and Waiver Program. The County will also consider adopting additional fee waiver or deferral programs.

Implements Which Policy(ies): HE 2.3.2

Responsible Department: Public Works and Infrastructure Agency

Funding: General Fund

Objective: To reduce or to delay the cost impact of development fees for qualifying affordable housing units.

Target Date: December 2024.

B11. Rezones, Consolidations/Mergers: The County will consider reducing or eliminating fees for Rezone entitlements to RD-30 and above to facilitate developments where at least 20 percent of the units are affordable. The County will develop siting criteria for these projects. The County will also consider reducing or eliminating consolidation fees for multi-family developments where a consolidation is necessary to facilitate development of the parcels and at least 20 percent of the proposed units are affordable. If these fee reductions are not adopted, the County will implement other measures to streamline or incentivize rezones, consolidations or mergers for developments where at least 20 percent of the units are affordable.

Implements Which Policy(ies): HE 2.3.1

Responsible Department: Office of Planning and Environmental Review, Office of Development and Code Services, Sacramento Housing and Redevelopment Agency

Funding: County General Fund

Objective: Remove cost and barriers to siting affordable housing projects for 250 affordable units during the Housing Element cycle.

Target Date: December 2025

B12. Prioritize Water and Sewer Infrastructure for Affordable Housing. The County shall ensure compliance with California Government Code Section 65589.7.

Implements Which Policy(ies): HE 2.1.1

Responsible Department: Office of Planning and Environmental Review

Funding: County General Fund

Objective: The Office of Planning & Environmental Review will send the Housing Element to water and sewer providers after Housing Element adoption and no later than September 2021.

Target Date: September 2021.

GOAL HE 3: CONSERVATION AND REHABILITATION OF EXISTING HOUSING AND NEIGHBORHOODS

Promote an adequate, safe, and decent residential environment by maintaining and improving the existing housing stock through conservation and rehabilitation activities.

Introduction

The County of Sacramento provides housing conservation and rehabilitation assistance through a variety of programs. SHRA receives funding from state, local, and federal sources to facilitate both minor and major rehabilitation. Code enforcement activities can conserve the quality of residential neighborhoods by

enforcing existing regulations pertaining to abandoned vehicles, outdoor storage of junk and rubbish and substandard or illegal buildings. Neighborhood quality can be improved significantly in older neighborhoods through improvements in public infrastructure such as water, sewer, curbs, gutter, sidewalks, landscaping, and lighting. The County has committed to prioritizing infrastructure improvements in Environmental Justice Communities through the adoption of the Environmental Justice Element.

The objectives of Goal HE 3 are as follows:

• Ensure the preservation and upgrading of rental and owner-occupied-housing units in need of rehabilitation and improvement.
• Provide for conservation and rehabilitation activities through zoning and code enforcement programs. Support mechanisms to prevent the loss of housing.
• Improve public facilities with priority for the revitalization of Environmental Justice Communities. Focus local/private sector investment into areas where there is a need for neighborhood revitalization.
• Conserve the quality of existing residential neighborhoods through design review.
• To achieve no net loss of existing rental housing affordable to extremely low-income households and to increase the number of affordable rental housing units.

Policies

HE 3.1.1 The County will utilize federal, state, local, and private funding programs offering low interest loans or grants, and private equity for the rehabilitation of rental properties for lower income households.

HE 3.1.2 The County will provide funding for programs that support the rehabilitation and preservation of substandard homes in need of rehabilitation owned and occupied by lower income households.

HE 3.1.3 The County will assist older adults to stay in their homes by providing financial assistance for repairs and modifications.

HE 3.2.1 The County will protect the quality and stability of residential neighborhoods through the enforcement of local regulations relating to the proper use and development of properties throughout the community.

HE 3.2.2 The County will promote efficient public outreach programs to enhance the rehabilitation of substandard housing.

HE 3.2.3 The County will support mechanisms to prevent the loss of housing by demolition, conversion to other uses, long-term vacancy, and support programs that return vacant housing to residential use.

HE 3.2.4 The County will assist lower income households displaced as a result of condemnation, demolition or vacation of units due to Building, Health and Safety Code violations.

HE 3.2.5 The County will maintain and preserve existing stock of ELI units.

HE 3.3.1 The County will require high quality design in residential projects, including through use of objective design review standards for multifamily residential projects.

rehabilitation of multifamily properties, including financially troubled multifamily properties in foreclosure, to prevent further property and neighborhood deterioration. Implements Which Policy(ies): HE 3.1.1, HE 3.1.2 Responsible Department: SHRA Funding: HOME, CDBG, Housing Trust Funds, Mortgage Revenue Bonds, Low-Income Housing Tax Credits Quantitative Objective: 60 rehabilitated units annually, including units substantially rehabilitated and units preserved. Target Date: Ongoing, 2021-2029

C2. Financial Assistance for Emergency Repairs and Retrofitting of Homes: The Sacramento Housing and Redevelopment Agency (SHRA) will provide financial assistance for emergency repairs and disabled retrofitting for homes occupied by seniors and lower income residents designed to achieve neighborhood improvement objectives. Priority will be given to funding repairs in Environmental Justice Communities and those sensitive to displacement. Implements Which Policy(ies): HE 3.1.1, HE 3.1.2, 4.1.1 Responsible Department: SHRA (in conjunction with its non-profit partner) Funding: Community Development Block Grant (CDBG) Quantitative Objective: Repair 432 homes for very low- and low-income households through Emergency Repair Grants and Retrofit Assistance Grants or similar grants. Target Date: Ongoing, 2021-2029

C3. Conversion of Older Motels to Affordable Housing. When the opportunity arises, the Sacramento Housing and Redevelopment Agency (SHRA) will convert older motels to permanent affordable housing. Such conversions should also be considered in conjunction with commercial corridor plans and community plan updates. SHRA will assist, as funding is available, new owners of motels to obtain financing for their acquisition, rehabilitation and/or conversion. Implements Which Policy(ies): HE 3.1.1 Responsible Department: SHRA Funding: HOME, Community Development Block Grants, Housing Trust Fund Objective: Support revitalization of older commercial corridors with rehabilitation and provision of new housing opportunities. Target Date: SHRA will review opportunities to convert older motels to affordable housing and assist with three funding applications during the Housing Element cycle.

Conserve the Quality of Residential Neighborhoods Through Zoning Enforcement and Code Enforcement and Reduce Loss of Housing

C4. Vehicle Abatement and Substandard Housing: The County will actively enforce existing regulations and programs administered by the Code Enforcement Division regarding abandoned vehicles, outdoor storage of junk and rubbish, and substandard or illegal buildings, in order to protect and improve the integrity and stability of existing neighborhoods. Storage of junk and rubbish and building violations will continue to be handled on a complaint basis and vehicle abatement will continue to be addressed through responses to complaints and neighborhood patrols.

The Code Enforcement Division will continue both the Vacant, Open and Accessible program and the Substandard Housing Program, which requires property owners to remove nuisance conditions such as graffiti, fencing in need of repair, and overgrown vegetation of over 12 inches.

Implements Which Policy(ies): HE 3.2.1, HE 3.2.3

Responsible Department: Office of Development and Code Services - Code Enforcement Division

Funding: Inspection Fees, Administrative Penalties, Vehicle Registration Fees, County General Fund

Objective: Reduce the number of abandoned vehicles, accumulation of junk and rubbish, illegal structures, and nuisance conditions in residential neighborhoods by investigating and closing 600 complaints annually.

Target Date: Ongoing, 2021-2029

C5. Rental Housing Inspection Program: The Code Enforcement Division will continue to implement the Rental Housing Inspection Program. This program concentrates on owner/tenant education and provides mandated inspections. This program also allows owners and/or agents of rental properties to become certified to self-inspect their properties for compliance with the Housing Code.

The Code Enforcement Division will direct owners of residential rental units cited for health and safety violations to the Sacramento Housing and Redevelopment (SHRA) website to view information on SHRA rehabilitation programs. The Code Enforcement Division will continue to provide information to tenants on rental property owner and tenant responsibilities for property maintenance. Information is provided both by printed brochures and on the Code Enforcement website.

The Code Enforcement Division will provide data on the number of units inspected, the number of units in compliance, the number of units in violation, and the number of units condemned or demolished as a result of violations annually for inclusion in the Annual Progress Report.

Implements Which Policy(ies): HE 3.2.1, HE 3.2.2

Responsible Department: Office of Development and Code Services - Code Enforcement Division

Funding: Rental Housing Fees, Inspection Fees, Administrative Penalties and/or Fines, County General Fund

Objective: All multifamily rental properties (approximately 8,000) units in the unincorporated County will be inspected for compliance with the Housing Code within 5 years. Increase the level of property maintenance through tenant and property owner education, thereby reducing the need for code enforcement.

Target Date: Ongoing, 2021-2029

Note: Rental units subject to inspection by SHRA may be exempt from inspection by the Rental Housing Inspection Program.

C6. Referral of Mobile Home Park Inspections to HCD: The County will continue to respond to complaints from mobile home park residents regarding exterior park conditions such as abandoned vehicles and junk accumulation. Requests for mobile home inspections will continue to be referred to the California Department of Housing and Community Development (HCD), the State agency with jurisdiction over mobile home park inspections.

Implements Which Policy(ies): HE 3.2.1

Responsible Department: Office of Development and Code Services - Code Enforcement Division

Funding: Inspection Fees, Administrative Penalties and/or Fines

Objective: Improve mobile home park conditions.

Target Date: Ongoing, 2021-2029

C7. Information for Displaced Tenants: The County will amend the County Housing Code to require that property owners provide relocation benefits to tenants who are experiencing severe Health & Safety conditions. The Code Enforcement Division will also continue to provide information for displaced tenants of demolition activities on available services and programs.

Implements Which Policy(ies): HE 3.2.4

Responsible Department: Office of Development and Code Services - Code Enforcement Division

Funding: Inspection Fees, Administrative Penalties, and/or Fines, County General Fund

Objectives: Requiring property owners to pay for the relocation expenses of lower income residents and seeking reimbursement by property owner. Provide information for displaced tenants on available services and programs. Provide information to 1,000 tenants annually.

Target Date: Amending County Housing Code by May 2022. Providing information on an ongoing basis, 2021-2029

Revitalization of Deteriorated Neighborhoods Through Public Facility Improvements and Local/Private Sector Investment

C8. Seek and Attain Funding for Improved Public Infrastructure. The County will continue to seek and attain funding for improved public infrastructure and services, including water, sewer, curbs, gutter, sidewalks, landscaping, and lighting to revitalize commercial corridors as Notices of Funding Availability (NOFA) are released. Improvements will be prioritized in Environmental Justice Communities based on identified needs.

Implements Which Policy(ies): HE 3.1.1

Responsible Department: Department of Transportation

Funding: General Fund, Grants

Objective: Revitalize commercial corridors with infrastructure improvements. The Office of Planning and Environmental Review will continue to work collaboratively with the Department of Transportation to facilitate infrastructure improvements in Environmental Justice Communities specific to the identified needs of these communities by applying for at least two grants annually.

Target Date: Ongoing with at least two grants annually, 2021-2029

C9. Community Reinvestment Act. The County will continue to implement its Community Reinvestment Act Program to incentivize local financial institutions to meet the credit needs of low-income and moderate-income people.

Implements Which Policy(ies): HE 3.1.1

Responsible Department: Dept. of Finance – Treasury Division

Objective: Increase investment in low-income and moderate-income areas.

Target Date: Ongoing, 2021-2029

GOAL HE 4: IMPROVEMENT OF HOUSING OPPORTUNITIES FOR SPECIAL NEEDS GROUPS

Ensure the availability of adequate housing opportunities throughout the unincorporated area of Sacramento County for people with special needs, including: seniors, large households, female-headed households, people with disabilities, farm workers, and people experiencing homelessness.

Introduction

This section of the Action Plan establishes objectives, policies and programs for the provision of housing to meet the needs of persons with disabilities, seniors, farm workers, people experiencing homelessness, female-headed households, and large families. Programs included in this strategy are designed to assist individuals and households with special needs, although the emphasis will be placed on programs for lower income households.

Policies HE 4.3.1 through 4.3.6 were developed based on the six key solution areas identified by the County Homeless Plan, which was adopted on December 12, 2018. The County Homeless Plan will continue to be the main strategy document to make homelessness rare, brief and non-recurring. Several programs below will support the County Homeless Plan efforts by requiring the County to update the Plan regularly, to develop metrics to measure its effectiveness, and to report regularly using those metrics.

The objective for Goal HE 4 is to provide housing choices appropriate for “special needs” populations, including persons with disabilities, seniors, farm workers, people experiencing homelessness, female-headed households, and large families.

Policies

HE 4.1.1 The County will support efforts to improve accessibility for both dwelling units and residential neighborhoods to meet the special needs of persons with disabilities.

HE 4.1.2 The County will encourage housing for people with disabilities and older adults near public transportation, shopping, medical and other essential support services and facilities.

HE 4.1.3 The County will support activities that serve the housing needs of special needs groups with a continuum of housing options, from independent living, to housing with supportive services, to institutionalized care.

HE 4.1.4 The County will provide adequate and affordable housing for senior citizens.

HE 4.1.5 The County will ensure housing that is provided to migrant farm workers is decent, safe, and affordable.

HE 4.1.6 The County will support the use of available federal, state, and local resources to provide and enhance housing opportunities for farm workers.

HE 4.1.7 The County will promote the construction of affordable housing that meets the needs of female heads of households.

HE 4.1.8 The County will support the development of housing to meet the needs of large households.

HE 4.2.1 The County will facilitate the development of new Extremely Low-Income (ELI) rental units.

HE 4.2.2 The County will assist extremely low-income households through the use of portable and project based housing vouchers, including Housing Choice Vouchers (HCV) and Housing Assistance Payment (HAP) vouchers.

HE 4.3.1 The County will maintain an adequate supply of land where homeless shelters are allowed by right and where public services, infrastructure and facilities are available to facilitate the development.

HE 4.3.2 The County will strengthen diversion strategies to help people resolve their current housing crisis before they become homeless. Diversion services include problem solving as well as financial assistance and connection to services that support crisis resolution, resiliency, and stabilization.

HE 4.3.3 The County will strengthen outreach and navigation efforts that connect unsheltered people to services and housing and address individual and public health issues that arise.

HE 4.3.4 The County will expand and improve emergency shelter and interim housing capacity, improving access for all populations by reducing barriers, and expanding services that will help people experiencing homelessness return to permanent housing stability.

HE 4.3.5 The County will expand targeted permanent housing through two primary strategies: 1) by providing temporary or ongoing rental subsidies and supportive services, facilitating exits from homelessness within the existing rental market and 2) by developing additional new permanent housing, including permanent supportive housing.

HE 4.3.6 The County will expand access to and coordination of essential mainstream services such as physical health, mental health, employment and others services necessary to assist people experiencing homelessness to stabilize, obtain or retain housing, and improve quality of life.

HE 4.3.7 The County will assist in overall system development, including strengthening system leadership, increasing system capacity to respond to crisis of homelessness, and improving accountability.

D3. Incentives for Senior Housing: The County, through the Sacramento Housing and Redevelopment Agency (SHRA), will offer financial support such as below-market-rate loans and mortgage revenue bonds that will encourage the creation of affordable independent living housing for seniors. Priority will be given to High and Highest Resource areas and areas sensitive to displacement.

Implements Which Policy(ies): HE-4.1.3, HE 4.1.4

Responsible Department: Sacramento Housing and Redevelopment Agency (SHRA)

Funding: Tax credits, mortgage revenue bonds, HOME

Objectives: Provide subsidized loans for developers of affordable multifamily rental housing for very low income seniors. Fund 200 units during the Housing Element Period.

Target Date: Ongoing, 2021-2029

D4. In-Home Supportive Services: The County will continue to administer the In-Home Supportive Services program. This program serves aged, blind, or disabled persons what are unable to perform activities of daily living and cannot remain safely in their homes without help.

Implements Which Policy(ies): HE 4.1.3

Responsible Department: Department of Child, Family, and Adult Services

Funding: County General Fund

Objective: Continue the In-Home Supportive Services program.

Target Date: Ongoing, 2021-2029

D5. Annual Inspection of Farm Labor Camps: The County, through the Department of Environmental Management, will continue to annually inspect and license farm labor camps to ensure that they meet health and safety standards for migrant workers.

Implements Which Policy(ies): HE 4.1.5

Responsible Department: Environmental Health

Funding: Inspection Fees

Objective: Ensure suitable living conditions at farm labor camps.

Target Date: Ongoing, 2021-2029

D6. Farmworker Housing. The County will take the following actions related to farmworker housing:

• Amend the Farmworker Housing Section of the Zoning Code to allow farmworker housing by-right in all Zoning Districts where Agriculture is an allowed use consistent with California Health and Safety Code Section 17021.6. As a part of the amendments, the County will review the difference between agricultural and hobby farming land uses and amend the Zoning Code, as appropriate, to promote farmworker housing and comply with California Health and Safety Code Section 17021.6.
• Consider amendments to the Zoning Code to increase the allowed maximum size of farmworker housing to serve larger families.
• Review the Zoning Code requirements for Agricultural Employee housing to ensure compliance with California Health and Safety Code Section 17021.5.

Implements Which Policy(ies): HE 4.1.5, HE 4.1.6

Responsible Department: Community Development – Planning & Environmental Review Division

Funding: County General Fund

Objective: Increase the units and housing product types available to farmworkers Target Date: June 2022

D7. Review Housing Needs of Farm Workers: The County shall work with local growers, the Farm Bureau, the Agricultural Commissioner, the Department of Environmental Management and other stakeholders to periodically review the housing needs of farm workers and propose actions to address those needs. Implements Which Policy(ies): HE 4.1.5, HE 4.1.6 Responsible Department: Community Development – Planning & Environmental Review Division, Agricultural Commissioner, Environmental Management Funding: County General Fund Objective: Biennially review housing needs of farm workers. Target Date: Ongoing, 2021-2029

D8. Emergency Housing: The County will amend the Emergency Housing Section of the Zoning Code to clarify language, remove inconsistencies, and to conform to changes to State law and encourage emergency shelters, supportive housing, and related services for persons experiencing homelessness specific to Government Code section 65583, subdivision (a)(4) as follows:

• Amend the Zoning Code to remove the requirements that emergency shelters be more than 1,000 feet from any similar program, public parks, schools, recreation facilities, child care facilities, and single-family residential zones and ensure any amendment is consistent with State law.
• Amend the Zoning Code to remove excessive parking requirements and require that emergency shelters only be required to provide sufficient parking to accommodate all staff working in the emergency shelter, provided that the standards do not require more parking for emergency shelters than other residential or commercial uses within the same zone. Implements Which Policy(ies): HE 4.3.1 Responsible Department: Office of Planning and Environmental Review Funding: Senate Bill 2 Planning Grant Objective: Amend the Emergency Housing Section of the Zoning Code consistent with State law. Target Date: February 2022

D9. Supportive Living Uses: The County will amend the Zoning Code related to supportive living uses, including boarding houses, transitional housing, scattered shelters, residential care homes, and nonconforming dwelling units to take a more comprehensive approach to supportive housing consistent with changes to State law to increase housing, especially for special needs groups, including people with developmental disabilities. The Zoning Code amendments are as follows:

• Amend the Zoning Code to add a definition of “family” and amend the definition of “single household” consistent with the County’s obligation to AFFH.
• Amend the Zoning Code to allow Low Barrier Navigation Center developments by right in mixed-use zones and nonresidential zones permitting multifamily uses.
• Amend the Zoning Code to allow for the approval of 100 percent affordable developments that include a percentage of supportive housing units, either 25 percent or 12 units, whichever is greater, to be allowed without a conditional use permit or other discretionary review in all zoning districts where multifamily and mixed-use development is permitted consistent with Government Code section 65651.

• Amend the Zoning Code to include methods to increase housing options for persons with disabilities that have tangible regulatory policies, as required by the U.S. Department of Housing and Urban Development (HUD).
• Amend the Zoning Code to expand the definition of the existing residential care home category, revise the boarding house category, and create new categories to address non-licensed recovery residences and skilled nursing in-home settings.
• Amend the Zoning Code to clearly define supportive and transitional housing and ensure these housing types are permitted as a residential use in all zones allowing residential uses subject only to the restrictions that apply to residential dwellings of the same type in the same zone.
• Amend the Zoning Code requirement to clearly define scattered shelters and facilitate removal of barriers to better address the needs of our homeless population.
• Amend the Zoning Code to provide consistency with the corresponding regulations administered by the appropriate State agency, with the intention to provide for more efficient regulation of residential related uses.
• Review and amend the Zoning Code, as necessary, to ensure requirements for group homes of more than six persons are consistent with State law and fair housing requirements.

Implements Which Policy(ies): HE 4.1.3

Responsible Department: Office of Planning and Environmental Review

Funding: Local Early Action Planning (LEAP) Grant

Objective: Amend the Zoning Code to support transitional and supportive housing, increase development of supportive living uses and make it consistent with State and Federal regulations.

Target Date: June 2023

D10. Tiny Homes: The County will research and develop Code amendments to allow for tiny homes, small homes, and/or other transitional living unit construction types not currently provided for in County Codes. Targeted outreach to promote tiny homes will occur in Environmental Justice communities.

Implements Which Policy(ies): HE 4.1.3

Responsible Department: Office of Planning and Environmental Review, Office of Development and Code Services - Building Permits and Inspection Division

Funding: County General Fund

Objective: Increase flexibility of affordable housing options in the County to facilitate construction of 150 units.

Target Date: December 2025 and annually after adoption.

D11. Shelter Plus Care Program: The County through the Sacramento Housing and Redevelopment Agency (SHRA) will continue to administer the Shelter Plus Care program, which provides supportive housing for people experiencing homelessness and people with disabilities.

Implements Which Policy(ies): HE 4.3.4

Responsible Department: SHRA

Funding: HUD Grants

Objective: Provide tenant-based rental subsidies to permanently house chronically homeless and severely disabled households to serve 600 families annually.

Target Date: Ongoing, 2021-2029

D12. County Homeless Plan Update: The County shall update the County Homeless Plan every five years.

Implements Which Policy(ies): HE 4.3.7

Responsible Department: Director of Homeless Initiatives, Department of Human Assistance, and Department of Health Services

Funding: County General Fund

Objective: Ensure continued regional coordination on homelessness issues

Target Date: Update the plan at least every five years starting in 2023.

D13. Developing Metrics and Reporting: The County, in coordination with the City of Sacramento, Sacramento Steps Forward, and the Continuum of Care Board, shall develop a series of metrics and indicators to track the efficacy of programs and investments. Once these metrics are developed, the County will report on the programs and investments annually.

Implements Which Policy(ies): HE 4.3.7

Responsible Department: Director of Homeless Initiatives, Department of Human Assistance, and Department of Health Services

Funding: County General Fund

Objective: Provide metrics to regularly monitor and track investments and programs focused on homelessness and provide transparency in reporting.

Target Date: Develop metrics by January 1, 2022 and report annually starting in 2023.

D14. Housing for People Experiencing Homelessness: The County will explore methods to reduce barriers to accessing affordable rental housing for people experiencing homelessness, including requiring County-financed affordable housing projects to reserve a certain percentage of units for people experiencing homelessness or otherwise incentivizing access in County-financed affordable housing for people experiencing homelessness. The County will present findings and recommendations to the Board of Supervisors.

Implements Which Policy(ies): 4.3.5

Responsible Department: Director of Homeless Initiatives

Funding: General Fund

Objective: Reduce barriers to accessing County-financed affordable housing for people experiencing homelessness.

Target Date: December 2026

Increase the Supply of Affordable Rental Housing for Extremely low-Income Households While Preserving the Existing Supply

D15. Project-Based Rental Subsidies such as Housing Choice Voucher Program: The Sacramento Housing and Redevelopment Agency (SHRA) will continue to implement the use of project-based rental subsidies such as the Housing Choice Voucher program. During the Request for Proposal process, preference will be given to projects in moderate, high and highest resource areas, while maintaining opportunities to provide subsidies in lower resource areas of the County consistent with EJ Element Policy EJ-1.

Implements Which Policy(ies): HE 4.2.2

Responsible Department: SHRA

Funding: Housing Choice Voucher (Section 8) Program, Federal Housing Assistance Payment Voucher Program, State Mental Health Services Act Voucher Program Objective: Ensure availability and choice of housing for extremely low-income households. Target Date: Ongoing, 2021-2029 Note: SHRA currently has 12,500 extremely low income families housed with assistance from the Housing Choice Voucher Program. Housing assistance is provided on behalf of a family or individual. Participants in this program may choose any housing where the owner agrees to rent under the program and that meets the requirements of the program, including single-family homes, townhouses and apartments.

GOAL HE 5: PRESERVATION OF EXISTING AFFORDABLE HOUSING STOCK AND PROVISION OF AFFORDABLE HOUSING

Ensure the availability of affordable housing for all households in Sacramento County.

Introduction

As discussed in the Housing Needs Assessment Chapter, a significant portion of low-income renters (73 percent) in Sacramento County are overpaying, or paying more than 30 percent of their income, for housing. Home values and rents continue to rise countywide.

To address the affordability issue, this strategy uses local government funds to leverage financing from state and federal sources to construct affordable housing. Key to this goal are the local gap funding sources including the County’s Affordable Housing Ordinance and Housing Trust Fund Ordinance. When the current version of the Affordable Housing Ordinance was adopted effective March 27, 2014, the County removed the inclusionary provisions for larger developments of the prior ordinance in favor of a fee option ordinance. The County anticipated that the ordinance would produce affordable units at the rate of 10 percent of the market rate units. Program E3 requires the County to assess the efficacy of this ordinance and to conduct an economic feasibility study to guide any consideration of returning inclusionary provisions within the ordinance. In addition to providing gap financing, local government can also facilitate the provision of affordable housing by encouraging second unit dwellings and by providing density bonus programs.

The objectives of Goal HE 5 are as follows:

• Pursue federal, state, and local programs and funding sources that provide opportunities to preserve existing affordable housing stock.
• Implement programs that increase the supply of affordable housing.
• Pursue federal, state, and local programs and funding sources that provide housing opportunities for low- and moderate-income households.

Policies

HE 5.1.1 The County will preserve the affordability of subsidized rental housing whenever possible through a combination of regulatory and financial incentives.

HE 5.2.1 The County will continue to implement its affordable housing program.

HE 5.2.2 The County will support the use of federal, state, and local programs for the purchase of affordable housing (new and existing) and assist low- and moderate-income households to purchase such dwelling units. The County will promote a partnership between the public and private sector for the provision of affordable housing, with an objective of increasing homeownership for low- and moderate-income families.

HE 5.2.3 The County will support programs that provide assistance to developers who construct affordable rental units.

HE 5.2.4 The County will incentivize the development of residential accessory dwelling units as a means to increase the overall supply of affordable housing.

HE 5.2.5 The County will prevent the conversion of existing very low- and low-income rental housing units to market-rate condominiums through the condominium conversion ordinance.

HE 5.2.6 The County will identify new funding sources for the provision of affordable housing.

HE 5.2.7 The County will continue to implement a density bonus ordinance that provides for a greater number of dwelling units and other incentives in exchange for housing units affordable to lower income households. This ordinance will be amended to comply with State law.

Funding: Mortgage Credit Certificates, Housing Choice Voucher Homeownership Program, CalHome Program

Quantitative Objectives: Apply to the California Housing Finance Agency for MCC allocation to assist 20 households annually.

Target Date: Ongoing, 2021-2029

E6. Down Payment Assistance and Homebuyer Education and Counseling: The Sacramento Housing and Redevelopment Agency (SHRA) will continue to apply to State HCD for the CalHOME Program to provide down payment assistance. The County will promote the CalHome Program to the residents of the areas sensitive to displacement and Environmental Justice Communities, who are most likely to have been historically excluded from homeownership by mortgage redlining practices. SHRA will also continue its contracts with approved housing counseling agencies that offer homebuyer education, counseling and post purchase counseling for all homebuyer programs administered by SHRA.

Implements Which Policy(ies): HE 5.2.2

Responsible Department: SHRA, Office of Planning and Environmental Review

Funding: CalHome Program, Program Fees, CDBG

Quantitative Objective: Provide down payment assistance to low-income, first-time homebuyers by applying to the State for CalHOME funding. Assist 25 households annually. Provide homebuyer education and counseling to 150 households annually.

Target Date: Ongoing, 2021-2029

E7. Mortgage Revenue Bonds: The County, through SHRA, will continue to assist in the development of affordable housing, including extremely low income housing, by providing gap financing and issuing mortgage revenue bonds to finance affordable housing. SHRA will also meet with affordable developers to provide support for funding applications and offer technical assistance with site identification, project concept feedback, predevelopment meetings, development incentives and permit processing. The County and SHRA shall explore ways to increase affordable housing development in moderate, high and highest resource areas throughout the County.

Implements Which Policy(ies): HE 5.2.3

Responsible Department: SHRA

Funding: County Housing Trust Fund, HOME, Affordable Housing Ordinance and Housing Trust Fund fees, Low-Income Housing Tax Credits, Mortgage Revenue Bonds

Objective: Provide leverage for developers to compete for other state funding resources. Provide financial assistance for 200 units per year in the unincorporated County.

Target Date: Ongoing 2021-2029, with annual outreach or more frequently as funding is available

E8. Accessory Dwelling Unit Streamlining: The County will accelerate production of accessory dwelling units (ADUs) by providing a complete set of construction drawings consisting of architectural renderings, structural, mechanical, plumbing, and electrical plan for three different sized ADUs. The Office of Planning and Environmental Review will work with the Office of Development and Code Services, Building Permits and Inspections to identify a process for utilizing these construction drawings, thereby saving time and applicant costs during the plan check process.

Implements Which Policy(ies): HE 5.2.4

Responsible Department: Office of Planning and Environmental Review

Funding: Local Early Action Planning Grant

Objective: Support the development of Accessory Dwelling Units by streamlining the process by allowing a property owner to choose an ADU that has already been approved for construction by Sacramento County saving the cost of construction drawings and plan check review.

Target Date: July 2022

E9. Accessory Dwelling Unit Promotion and Compliance: The County will promote the production of ADU’s/JADU’s by providing the public a brochure on ADU/JADU standards and permitting requirements, as well as a technical manual on designing, building and renting accessory dwellings that will be available at the Building Assistance Center (BAC). This information will also be available on a webpage devoted to ADU/JADU on the County’s website. Outreach to the Building Industry Association (BIA) will also occur to promote the development and production of ADU’s/JADU’s as part of residential developments. The County will track the creation of ADU’s/JADU’s and will determine if it is meeting production estimates by the planning period midpoint. Targeted outreach to promote ADU construction will also occur in moderate, high, and highest resource areas of the County. The County will review and ensure that the ADU ordinance is in full compliance with state law and amend the County’s ordinance as necessary to ensure ongoing compliance.

Implements Which Policy(ies): HE 5.2.4

Responsible Department: Office of Planning and Environmental Review

Funding: County General Fund

Objective: Promote the production of ADU/JADU’s and ensure consistency with state law.

Target Date: Create brochure and technical manual and outreach to the BIA by January 31, 2022. Determine if production estimates are being met by April 2026. ADU ordinance compliance will be on going with the first update occurring by April 2022.

E10. Self-Help Housing Programs: The County through the Sacramento Housing and Redevelopment Agency (SHRA) will continue to provide financial support and/or properties for self-help (sweat equity) housing programs for low-income people who construct their own homes under the supervision of non-profit corporations.

Implements Which Policy(ies): HE 5.2.2

Responsible Department: Sacramento Housing and Redevelopment Agency

Funding: Housing Trust Funds

Objective: Support affordable homeownership through self-help programs like Habitat for Humanity. Make surplus land available, subsidize infrastructure cost and/or provide other financial assistance for 15 units.

Target Date: Ongoing, 2021-2029

GOAL HE 6: PROMOTE THE EFFICIENT USE OF ENERGY IN RESIDENCES AND IMPROVE THE AIR QUALITY OF SACRAMENTO COUNTY

Promote and implement standards that conserve energy in new and existing homes.

Introduction

Reducing demand for electricity and natural gas is an important step to help meet the growing energy needs of the region. Purposeful planning of the type and amount of energy that will be used in the residential building sector is an essential strategy in reducing energy demands. Energy consumption can be reduced through the increase in energy efficiency, resulting in lower energy costs to the County’s residents. It is the County’s intent to promote energy efficiency early in the planning stages and consistently throughout the entitlement process.

Sacramento County Housing Element

The objective of Goal HE 6 is to reduce home energy usage by increasing energy efficiency.

Policies

HE 6.1.1 The County will encourage energy-efficient site design, such as proper orientation to benefit from active and/or passive solar heating and cooling, into master planning efforts.

HE 6.1.2 The County will encourage residential developers/builders to maximize energy efficiency through building design and through the use of energy efficient materials, equipment, appliances, strategies and techniques.

HE 6.1.3 The County will encourage owners of existing homes to retrofit their residences with energy efficient materials, equipment, and appliances.

Funding: County General Fund Objective: Increase energy efficiency in existing and new residences. Target Date: Ongoing, 2021-2029

GOAL HE 7: PROMOTE AND AFFIRMATIVELY FURTHER FAIR HOUSING OPPORTUNITIES FOR COUNTY RESIDENTS

Promote and affirmatively further fair housing choice for all residents of Sacramento County, regardless of race, color, national origin, religion, sex, sexual orientation, gender identity and expression, marital status, source of income, disability or familial status.

Introduction

As discussed in the Fair Housing Chapter, the Board of Supervisors authorized SHRA to submit the Analysis of Impediments to Fair Housing Choice (AI) to the U.S. Department of Housing and Urban Development (HUD) on October 22, 2019. This goal section requires SHRA and the County to implement the goals, strategies and actions required by the Analysis of Impediments to Fair Housing Choice (AI) as well as several recommendations for best practices. The AI identifies the following actions for the County:

• Review and consider updates to the Affordable Housing Ordinance.
• Review and assess its Housing Trust Fund Ordinance to determine if revisions or updates are needed.
• Review the density bonus and other housing-related sections of planning documents such as the General Plan, Zoning Code, and Design Guidelines to determine if revisions or updates are needed.
• Review and assess fee waivers and deferral policies to determine if revisions or updates are needed.
• Fund the Renters Helpline, a regional resource for fair housing education, landlord-tenant dispute mediation, and legal guidance.
• Review and consider updates to the Housing Incentive Program. Amendments may include giving additional incentives to projects which include units which are accessible and include universal design features.
• Prioritize Environmental Justice Communities when seeking planning and infrastructure grants consistent with the County's Environmental Justice Element.
• Provide prevention and treatment services to individuals struggling with alcohol and/or drug abuse through Behavioral Health Services. Services include outpatient treatment, methadone treatment, day treatment, detoxification, residential services, and perinatal services.

This goal section commits the County to several actions. The County will continue to fund the Renters Helpline, a countywide telephone and web-based resources that provides fair housing education, landlord-tenant mediation, and legal guidance. Immigrant and refugee communities are often at risk of substandard housing conditions because of a lack of language access, unfamiliarity with the system and their rights, and fear of retaliation. The County will continue to educate the refugee and immigrant community on their rights as renters through the annual Refugee Academy. The County will investigate other tenant protection measures to help keep precariously housed tenants in their homes, such as a just cause eviction ordinance, as well as measure to assist tenants in accessing housing, such as a fair chance housing ordinance.

Several policies and programs in other Housing Element goal sections will also serve to promote and further fair housing. Program A1 Countywide Rezone Program will add higher density zoning districts to areas known as "opportunity areas" or areas that are considered to be high or moderate resource areas. High and moderate resource areas are defined by the California Fair Housing Task Force as areas which offer

low-income families the best chance at economic advancement, high educational attainment, and good physical and mental health. Program A1 Countywide Rezone Program, completed and adopted by the Board of Supervisors on August 20, 2024, met the objectives of Goal HE 7 and applicable HE 7 policies as it resulted in 42.71 percent of sites rezoned to accommodate the lower income deficit and buffer to be sited in targeted opportunity resource areas (See Appendix E for the detailed analysis of Program A1). Program B8 Missing Middle Housing (or Naturally Occurring Affordable Housing) requires the County to explore Zoning Code amendments to allow for more missing middle housing types in single family zoning districts.

The objective of Goal HE 7 is to ensure equal housing opportunities for all residents of Sacramento County.

Policies

HE 7.1.1 The County shall continue to provide funding for the Renters Helpline or an equivalent resource.

HE 7.1.2 The County shall promote fair housing choice for all residents regardless of race, color, national origin, religion, sex, sexual orientation, gender identity and expression, marital status, source of income, disability or familial status.

HE 7.1.3 The County will encourage the development of new affordable housing in areas of opportunity, or areas which offer low-income families the best chance at economic advancement, high educational attainment, and good physical and mental health. The County will accomplish this by rezoning sites to allow multifamily uses in high and moderate resource areas during the Countywide Rezone Program (See Appendix E for detailed outcomes of Program A1 Countywide Rezone Program).

HE 7.1.4 In addition to compliance with Federal and State requirements for advertising, the County encourages private housing developers to affirmatively further fair housing through their use of marketing materials that are designed for and representative of individuals regardless of race, ethnicity, gender, disability, and familial status.

HE 7.1.5 The County shall work to make all communities places of opportunity and encourage future investments and development while minimizing the involuntary displacement of vulnerable populations, such as low-income households, People of Color, seniors, and people with disabilities due to the influx of less vulnerable populations attracted by increased opportunities and/or investments.

Housing and Employment Act (CFEHA), and the Americans with Disabilities Act (ADA) in the definitions section of the zoning code.

• The County will amend the Zoning Code to include a request for reasonable accommodation process that applies to any modification to a zoning or development requirement to ensure that a reasonable accommodation for all disabilities can be considered.

Implements Which Policy(ies): HE 4.1.1 Responsible Department: Office of Planning and Environmental Review Funding: County General Fund Objective: Amend the Zoning Code to include additional reasonable accommodation procedures and provisions. Target Date: May 2022

Provide Tenant Protections

G3. Renters Helpline: The County will contract with fair housing service providers to provide the Renters Helpline (or an equivalent service), a telephone and web-based resources that provides fair housing education, landlord-tenant mediation, and legal guidance. The Renters Helpline refers complaints of housing discrimination to other fair housing providers and State/Federal agencies involved in fair housing. The County will continue to promote fair housing information and the Renters Helpline through the Fair Housing Information and Resources webpage.

Implements Which Policy(ies): HE 4.3.1 Responsible Department: Office of Planning and Environmental Review Funding: General Fund Objective: Increase the resolution of housing complaints and reduce housing discrimination by resolving at least 30 disputes annually. Target Date: Ongoing, 2021-2029

G4. Refugee Academy: The Code Enforcement Division will continue to attend the Refugee Academy annually to provide refugee tenants with information on their rights as renters.

Implements Which Policy(ies): HE 4.3.2 Responsible Department: Code Enforcement Funding: County General Fund Objective: Provide tenant education to the refugee community annually to increase awareness of Health and Safety Code requirements. Target Date: Ongoing, 2021-2029

G5. Tenant Protections: The County will study just-cause eviction ordinances or other programs to help keep precariously housed tenants in their homes and present findings and recommendations to the Board of Supervisors.

Implements Which Policy(ies): HE 4.3.2 Responsible Department: County Counsel, Office of Planning and Environmental Review, SHRA, Director of Homeless Initiatives, Code Enforcement Division Funding: County General Fund Objective: Reduce evictions and/or displacement of precariously housed tenants.

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CHAPTER 4: EVALUATION OF PRIOR ACHIEVEMENTS

As required by State Housing Element law (California Government Code Section 65588) the housing program assessment must specifically address the following:

• The appropriateness of the housing goals, objectives, and policies in contributing to the attainment of the State housing goal;
• The effectiveness of the Housing Element in attainment of the community’s housing goals and objectives; and
• The progress of the County in implementation of the Housing Element.

SUMMARY OF PROGRAM ACHIEVEMENTS

The following is a summary of the County’s achievements and shortcomings during the 2013-2021 planning period. Appendix B contains a more detailed evaluation of the effectiveness of each program. The previous Housing Element included the following seven strategies:

1. Adequate land for housing

2. Reduction of constraints to housing production

3. Conservation and rehabilitation of existing housing and neighborhoods

4. Improvement of housing opportunities for special needs groups

5. Preservation of existing affordable housing stock and provision of affordable housing

6. Promote the efficient use of energy in residences and improve the air quality of Sacramento County

7. Promote the health and safety of residents

STRATEGY HE 1: ADEQUATE LAND FOR HOUSING

Elements of this strategy include:

• Ensure sufficient land to allow for the development of adequate new housing and to ensure availability of housing for all households in Sacramento County.
• Actively promote and facilitate the use/reuse of vacant and underutilized infill sites.

Program accomplishments include:

1. During the planning period, County staff automated the monitoring of parcels listed in the vacant land inventory as available for moderate-, low-, and very low-income categories consistent with changes made to No Net Loss requirements (Government Code Section 65863). In addition, staff published four biennial reports on the inventory of vacant multifamily parcels. The County maintained no net loss of residential unit capacity during the planning period. Staff also ensured that hearing bodies made appropriate findings regarding any decisions that affected the vacant land inventory.

2. Sacramento County General Plan policy requires that at least 34.8 percent of all dwelling units in New Growth Areas outside of the UPA be developed at RD-20 densities or higher. The Board of Supervisors adopted the NewBridge Specific Plan in October 2020. The NewBridge Plan is subject to a Development Agreement and required to comply with an Affordable Housing Strategy whereby the developer will meet its affordable housing requirement by dedicating two 5-acre parcels for the development of a 210 unit affordable housing development.

3. During the planning period, the Sacramento County Board of Supervisors also approved the Mather South Community Master Plan, which was within both the UPA and the previously approved Mather

Specific Plan area. The Mather South Plan is subject to a Development Agreement and required to comply with an Affordable Housing Strategy whereby the developer will meet its affordable housing requirement through land dedication and payment of an affordability fee. The developer will dedicate a 10-acre parcel for the development of a 200 unit affordable housing development and pay an affordability fee to meet its remaining affordable housing obligation. The fee amount is currently about $3.7 million or $1,116 per market rate unit but will change based on the fee amount in effect at the time building permits are issued.

4. The County prepared a marketing brochure to publicize the benefits of locating new commercial and residential within its many commercial corridors.

Shortcomings in implementation include:

5. One of the programs of the previous Housing Element encouraged the development of multifamily projects on LC and SC zoned properties. Specifically, County staff assumed that 25 percent of vacant LC and SC zoned acreage developed during the planning period would develop with multifamily uses. While these zones allow multifamily developments by right, these properties tended to develop as commercial uses during the planning period.

6. Sacramento County discontinued the Infill Technical Assistance Program early in the planning period due to lack of funding and staffing.

STRATEGY HE 2: REDUCTION OF CONSTRAINTS TO HOUSING PRODUCTION

Elements of this strategy include:

• Streamline the governmental review process to assist in the reduction of processing times associated with housing production.

• Ensure that development standards continue to represent the best means to achieve land use policy objectives while reducing the cost of producing housing.

• Reduce housing costs associated with permit and development impact fees while ensuring sufficient funding for public services and facilities.

Program accomplishments include:

• The County hosted three separate workshops with affordable housing developers, market rate developers, and the Building Industry Association during the planning period. County staff provided developers with information on the various incentive programs offered by the County and the developers provided staff with suggestions for improvement, some of which staff are implementing using funds from the Planning Grants Program.

• Sacramento County adopted the updated Zoning code in 2015. The updated Zoning Code includes the Special Development Permit entitlement to provide greater flexibility from the development standards. This resulted in the approval of housing project with reduced lots sizes or setbacks that may not have been approved through the variance process of the former Zoning Code.

• The County amended the County Code and Zoning Code related to the Community Planning Advisory Councils (CPACs) that make an advisory recommendation to the hearing body(s) for all discretionary planning entitlements. A key change was that CPACs must act on all housing projects in one meeting and can no longer continue those items. Furthermore, if the CPAC recommends denial, the item is not "elevated" to the next higher hearing authority (e.g. from Zoning Administrator to Planning Commission).

• In 2019, the County published an SB 35 Streamlining Eligibility Determination Application Form and an SB 35 Streamlining Information Sheet on its webpage to promote its use for expediting housing projects.

• The County is in the process of overhauling the Multifamily Design Guidelines Chapter to ensure that it contains objective design standards. The intent of these updates is to increase the certainty

of design review outcomes, make the document simple and user-friendly, and ensure consistency with State housing law, such as SB 35 (Wiener, 2017). Several multifamily development standards in the County's Zoning Code have been identified as potential constraints to housing development. The County is in the process of updating these standards to provide additional flexibility. The SB 2 Planning Grant Program is funding both of these efforts.

• The County waives development fees for very low-income units in residential developments in which at least 10 percent of the units are affordable to very low-income households. From 2013 through 2020, six affordable housing projects received the fee waiver and the total amount of fees waived was $3.9 million.
• The County defers certain fees, such as roadway and transit fees and the Antelope Community Plan Area fees, for single- and multi-family residential developments. From 2013 through 2020, six affordable housing projects received the fee deferral and the total amount of fees deferred was $2.2 million.

STRATEGY HE 3: CONSERVATION AND REHABILITATION OF EXISTING HOUSING AND NEIGHBORHOODS

Elements of this strategy include:

• Ensure the preservation and upgrading of rental and owner-occupied housing units in need of rehabilitation and improvement.
• Provide for conservation and rehabilitation activities through zoning and code enforcement programs. Support mechanisms to prevent the loss of housing.
• Improve public facilities with priority for the revitalization of deteriorating and blighted neighborhoods. Focus local/private sector investment into areas where there is a need for neighborhood revitalization.
• Conserve the quality of existing residential neighborhoods through design review.

Program accomplishments include:

• From 2013 through 2019, 385 single-family homes were repaired and/or retrofitted through the Emergency Repair Program/Accessibility Modifications (ERP-A).
• From 2013 through 2019, SHRA financed five rehabilitation projects in the County including Olivewood Apartments, Ethan Terrace Apartments, Sutter Place, Crossroad Gardens, and Southwind Court Apartments, which resulted in 365 rehabilitated units.
• During the planning period, SHRA provided financing for the conversion of the Courtyard Inn Motel, a long-time problem property, into affordable housing. The project resulted in the creation of 92 new units for both low- and very low-income levels.
• The Sacramento County Code Enforcement Department's Rental Housing Inspection Program continues to serve as a model for other jurisdictions. During the planning period, the program fee increased, the registration process was migrated to be completely online and paperless, and the mobile application went live. Since these updates, Code Enforcement Officers have been able to conduct more fieldwork, double their inspections, and streamline property owner education.
• Sacramento County adopted the Countywide Design Review Guidelines in July 2015. The Design Review Administrator and an Administrative Design Review Advisory Committee review single-family projects or lot division requests, multi-family projects and mixed-use projects for Design Review conformance.

STRATEGY HE 4: IMPROVEMENT OF HOUSING OPPORTUNITIES FOR SPECIAL NEEDS GROUPS

Elements of this strategy include:

• Provide housing choices appropriate for “special needs” populations, including people experiencing homelessness, farmworkers, female-headed households, persons with disabilities and seniors.
• Achieve no net loss of existing rental housing affordable to extremely low-income households and increase the number of affordable rental housing units.
• Ensure equal housing opportunities for all residents of Sacramento County.

Program accomplishments include:

• Per the Zoning Code, Homeless shelters are an allowed use by right in the GC and M-1 zones. In addition, the Zoning Code allows County funded shelters in any zoning district in the County. While the County continues to maintain an adequate supply of land for homeless shelters in the GC and M-1 zones, the County has shifted away from large shelters and toward a “scattered site shelter” model as a part of its Full Service Re-Housing Shelter (FSRS) Initiative. As of 2019, there are 15 of these sites located throughout the County, which provide 24-hour accommodations for up to a total of 75 individuals at a time and serve approximately 250 to 300 persons annually. As of September 2019, 137 households have exited from this program into permanent housing.
• From 2013 through 2019, the Shelter Plus Care Program, which provides supportive housing for disabled individuals and families, served between 562 and 641 families annually.
• During the planning period, the Mather Community Campus provided several housing programs for people experiencing homelessness including:
  • The Laverne Adolfo Program – This DHS funded program provides former foster youth with transitional housing and support services. From 2013 through 2019, the Laverne Adolfo Program served up to 145 adult and 47 children annually.
  • The Single Adult Program – This DHS funded program provides job training and transitional housing for adult singles experiencing homelessness. The Single Adult Program serves up to 180 single adults annually. In 2020, the County modified the program to focus on providing interim shelter and not job training.
  • The Family Transitional Housing Program – This DHS funded program provides transitional housing for families. This program also provides longer-term support for families in need of additional services to assist with securing stable housing. The program serves up to 25 families.
• From 2013 through 2019, the Winter Sanctuary Program provided 100 beds annually from November through March for those who were not able to receive assistance from other County programs. In 2020, the Collaborative Shelter Plan replaced the Winter Sanctuary Program. The objective of the Collaborative Shelter Plan is to improve housing outcomes for shelter participants through coordination between the County and the City of Sacramento.
• The Sacramento County Environmental Management Department annually inspects 21 farm labor camps to ensure safe and suitable living conditions for farm workers.
• The Zoning Code allows Farm Labor Camps that have up to 45 beds in group quarters or 16 single-family household units by right in all agricultural zoning districts, consistent with State law. In addition, County staff coordinated with the Sacramento County Environmental Management Department, the Sacramento County Agricultural Commissioner and several local farm labor contractors during the planning period to evaluate the housing needs of farm workers.
• The County partners with several service providers and jurisdictions to provide free Fair Housing services through the Renters Helpline, a regional resource that provides housing counseling and legal guidance for tenants.
• SHRA, on behalf of the Unincorporated County of Sacramento (which includes the small cities of Folsom, Isleton and Galt) and City of Sacramento, partnered with the cities of Woodland, Davis,

Rocklin, Roseville, West Sacramento, Citrus Heights, Rancho Cordova, Elk Grove and the Housing Authorities of Sacramento, Roseville/Rocklin and Yolo to conduct an Analysis of Impediments to Fair Housing Choice (AI). The regional AI was approved by the Board of Supervisors in October 2019.

Program shortcomings include

• The County displays Universal Design brochures at its building assistance centers; however, a more targeted educational outreach effort may be more effective in increasing the number of units built consistent with Universal Design standards.
• The County did not implement an outreach program to inform families within the County of housing and services available for persons with developmental disabilities due to a lack of staffing and expertise.
• One of the programs of the previous Housing Element called for the adoption of Design Guidelines and Siting Criteria specific to senior housing and care facilities. While the County adopted Design Guidelines in 2015, it did not adopt guidelines specific to senior housing. Rather, the Design Guidelines classify senior housing and care facilities as either multifamily or institutional uses in the Design Guidelines, depending on the level of care provided.

STRATEGY HE 5: PRESERVATION OF EXISTING AFFORDABLE HOUSING STOCK AND PROVISION OF AFFORDABLE HOUSING

Elements of this strategy include:

• Pursue federal, state, and local programs and funding sources that provide opportunities to preserve existing affordable housing stock.
• Implement programs that increase the supply of affordable housing. Pursue federal, state, and local programs and funding sources that provide housing opportunities for low- and moderate-income households.
• Utilize mixed-use development to increase supply of housing stock.
• Ensure that services and amenities are located near low-income areas and existing and proposed multifamily housing.

Program accomplishments include:

• From 2013 through 2019, SHRA used gap funds to rehabilitate and preserve 267 affordable housing units that were at risk of conversion to market rate.
• From 2013 through 2019, SHRA provided gap funds for four affordable housing projects. These gap funds leveraged millions of dollars in conventional and tax credit financing and ultimately resulted in the construction of 326 new affordable housing units.

Program shortcomings include:

• County Staff advertised the County’s Housing Incentive Program (HIP) online, at the building assistance centers, and during meetings with developers. However, despite efforts to market the program, only a few projects utilized HIP during the planning period.
• The Zoning Code includes three mixed-use zones. Currently no parcels in the County have a mixed use zoning designation; however, the NewBridge Specific Plan designates approximately 11 acres as mixed-use to accommodate high-density residential uses and non-residential uses in proximity to planning transit.

Sacramento County Housing Element

STRATEGY HE 6: PROMOTE THE EFFICIENT USE OF ENERGY IN RESIDENCES AND IMPROVE THE AIR QUALITY OF SACRAMENTO COUNTY

The objective of this strategy is to reduce home energy usage by increasing energy efficiency. Program accomplishments include:

• Sacramento Municipal Utility District (SMUD) officials continue to participate in the Project Review Committee process, which provides applicants with an early opportunity to identify project issues and opportunities for improvement.
• County staff continues to distribute flyers from SMUD regarding energy efficiency incentive programs at the building assistance centers. The County also provides this information on its webpage.

Program shortcomings include:

• In 2015 the County took action to allow for an open competitive market for third party Property Assessed Clean Energy (PACE) providers. PACE programs offer loans for home improvements that may improve energy efficiency; however, since approval of the County’s PACE program, PACE providers across the country have been accused of predatory lending practices. State and Federal regulators have begun taking action to better regulate PACE providers and protect consumers. In addition to State and Federal regulations, the County can also play a vital role in ensuring consumer protection.

STRATEGY HE 7: PROMOTE THE HEALTH AND SAFETY OF RESIDENTS

The objective of this strategy is to design, build, and maintain development in existing and new communities to promote the health, safety and livability of residents, employees, visitors and the community.

Program accomplishments include:

• The County continues to support walking, bicycling, and transit use in order to minimize auto dependency and improve air quality. During the planning period, SacDOT updated and consolidated the Bikeway Master Plan and the Pedestrian Master Plan into one Active Transportation Plan. In the Jackson Highway area, the County developed a comprehensive trails plan and it required each of the master plans to fund a comprehensive transit system.
• The County adopted the Phase 2 Environmental Justice Element in 2019. Staff transferred several Housing Element programs related to healthy food access and crime prevention through environmental design to the Environmental Justice Element. The Environmental Justice Element includes additional policies related to civil engagement, physical activity, public facilities, and safe and sanitary homes.
• The County adopted Design Review Guidelines that incorporated healthy communities and crime reduction measures in 2015. The County has gained national recognition from the Center for Active Design.

A program-by-program evaluation of the 2013-2021 Housing Element programs is located in Appendix B.

CHAPTER 5: POPULATION, EMPLOYMENT AND HOUSEHOLD CHARACTERISTICS

Government Code Section 65583 (a)(1) requires the housing element to include an analysis of population and employment trends and Government Code Section 65583 (a)(2) requires the housing element to include an analysis of household characteristics.

The findings of this section include the following:

(1) Between 2021 and 2029, the 65 and over age group is anticipated to grow from 244,680 to 314,560, or a 29 percent increase. Compared to other age groups, this group will experience the most growth within the planning period.

(2) At the time of writing this element, the current employment data and vacancy rates in the County indicate a healthy economy and housing stock; however, the long-term impact of the COVID-19 pandemic on these rates is currently unknown.

(3) According to the Terner Center for Housing Innovation, 33,000 renter households (or 14 percent of all renter households) were impacted by a COVID-related job loss in Sacramento County (inclusive of the incorporated cities).

a. Of those impacted renter households, 56 percent already had incomes below 80 percent AMI and 47 percent were already rent burdened prior to the start of the pandemic. In addition, 70 percent of impacted renter households house at least one person of color.

POPULATION CHARACTERISTICS

POPULATION TRENDS

Sacramento County is a member jurisdiction of the Sacramento Area Council of Governments (SACOG) that is comprised of 6 counties and 22 cities. Sacramento County’s growth has been similar to the other counties in the SACOG region with the exception of Sutter County, which experienced a lower growth rate. Table 6 shows the population of Sacramento County as compared to the other counties in the SACOG region.

Sacramento County Housing Element

Table 7 shows the population of the incorporated cities within Sacramento County as well as the population of the unincorporated area. The Cities of Rancho Cordova and Elk Grove had the highest percentage growth between both 2010 and 2015 and 2015 and 2019. The City of Sacramento and the unincorporated County had the highest numerical population growth between 2015 and 2019. The population for the City of Sacramento increased by 24,869 and the population for the unincorporated County increased by 15,108.

The growth rates for the Cities of Elk Grove, Folsom, Galt, and Sacramento are much more modest than they were between 2000 and 2010. Between 2000 and 2010, the Cities of Elk Grove and Rancho Cordova incorporated and decreased the unincorporated County’s population by about 16 percent.

Source: State of California, Department of Finance, E-5 Population Estimates for Cities, Counties, and the State, 2010-2019, Sacramento, California, May 2019.

RACE AND ETHNICITY

Table 8 compares the ethnic and racial composition of the incorporated cities and the unincorporated County. The majority of the County is Non-Hispanic White (52.6 percent); however, there are significant populations of Hispanic (20.9 percent), Asian (11.3), and Black (8.3) residents. The County tends to be more racially and ethnically diverse than the Cities of Citrus Heights and Folsom but slightly less diverse than the Cities of Sacramento and Elk Grove. For more information on patterns of diversity and segregation, refer to the Fair Housing Chapter.

Sacramento County Housing Element

Source: 2014-2018 ACS

AGE OF THE POPULATION

Table 9 compares the population by age of the incorporated cities and the unincorporated County. The median age of the entire County is 36. Cities such as Folsom and Isleton have higher median ages, 41 and 49 respectively, and cities such as Sacramento and Rancho Cordova have slightly lower median ages.

Source: 2014-2018 ACS

Housing Element 5-3

Sacramento County Housing Element

According to data from the Department of Finance shown in Table 10, the 65 and over age group will experience the most growth within the planning period compared to other age groups. Between 2021 and 2029, the 65 and over age group is anticipated to grow from 244,680 to 314,560, or a 29 percent increase. The 20 to 34 age group will increase by 7 percent, the 45 to 64 age group will increase by 4 percent and the other age groups will see a slight decrease.

Source: Projections Prepared by Demographic Research Unit, California Department of Finance, January 2020.

The Housing Action Plan Chapter includes several programs to meet the needs of the County's aging population. In particular, the Housing Action Plan Chapter includes SHRA's Home Repair Program (HRP) to assist seniors in repairing and maintaining their homes, a program to amend the Zoning Code related to supportive living uses, the County's In Home Supportive Services (IHSS) program, the Housing Incentive Program, and the Universal Design program.

EMPLOYMENT CHARACTERISTICS

Employment growth is one of the primary drivers of housing demand. Working-age individuals will often choose a place to live based on employment prospects in the local area. The rate of employment growth and the types of jobs created will determine how much housing will be needed by type and cost.

EMPLOYMENT TRENDS

The educational services, and health care and social assistance industry has the largest percentage of the labor market in unincorporated Sacramento County followed by the retail industry and the professional, scientific, and management, and administrative and waste management services industry.

The COVID-19 pandemic has increased the unemployment rate of Sacramento County in the short term; however, the long term impacts on employment rate is not yet known at the time of writing this element.

Sacramento County Housing Element

Source: ACS DP-03 2013-2017

As shown in Table 12, the 2020 Economic Overview¹ for the entire County projects that the educational services, and health care and social assistance industry will be the fastest growing sector between 2020 and 2023. Construction and professional, scientific, and management, and administrative and waste management services are projected to be the next fastest growing sectors.

Housing Element 5-5

Source: JobsEQ, 2020 Economic Overview, Sacramento County

People in the lower income categories hold a wide variety of occupations in Sacramento County, such as food service, healthcare support, farming, and retail, to name a few. Those in the extremely low-income category are typically those on fixed incomes (through social security or disability) and are likely not in the workforce full time. The full impact of the COVID-19 pandemic on these occupations is unknown at the time of writing this element.

Table 13: Income Categories and Occupations

Source: JobSEQ®, a product of Chmura Economics & Analytics. Economic Overview Sacramento County, California. June 3, 2020. http://www.chmuraecon.com/jobseq.

HOUSEHOLD CHARACTERISTICS

According to 2013-2017 ACS data, the unincorporated County has an almost even split of renters and homeowners. Of the total households in Sacramento County, approximately 56 percent (115,621) are homeowners and 44 percent (90,012) are renters.

Figure 1: Households by Tenure in Sacramento County

⬚ figure

Source: ACS 2013-2017 Table B25003

COVID-19 PANDEMIC

The Terner Center for Housing Innovation published analysis on the impacts of COVID-19 on California’s Vulnerable Renters.¹ The analysis found that nearly 1 million renter households in California have experienced a COVID-19 related job loss. Statewide, the majority of impacted renter households live in

single-family rentals, which the statewide rent stabilization and just-cause eviction protections do not cover. According to the Terner Center, approximately 33,000 renter households (or 14 percent of all renter households) were impacted by a COVID-related job loss in Sacramento County. In fact, the Terner Center included Sacramento County in a list of just 10 counties that account for three-quarters of the impacted renter households statewide. This income loss acutely impacts both low-income households, which were already cost-burdened and precariously housed prior to the pandemic, and People of Color. In Sacramento County, 56 percent of impacted renter households already had incomes below 80 percent AMI and 47 percent were already rent burdened prior to the start of the pandemic. In Sacramento County, 70 percent of impacted renter households house at least one person of color.

The Housing Action Plan chapter includes an implementation program that requires the County to study and consider adopting tenant protections beyond state protections to support at-risk households.

HOUSING OCCUPANCY

Generally, a 5 to 6 percent vacancy rate for rental units and a 2 percent vacancy rate in units available for owner-occupancy are considered optimal to keep prices down and to ensure that units are available to new and relocating residents. According to 2013-2017 ACS data, Sacramento County falls within those acceptable vacancy rates. The full impact of the COVID-19 pandemic on the vacancy rates is unknown at the time of writing this element.

Source: ACS 2013-2017 Tables B25002 and B25004

Table 15 below shows the change in housing unit type in Sacramento County between 2010 and 2019. The Housing Action Plan Chapter includes program B8, which is intended to increase missing middle housing types such as duplexes.

Source: State of California, Department of Finance. E-5 Population Estimates for Cities, Counties, and the State, 2019, Sacramento, California, May 2019.

HOUSING STOCK CONDITIONS

The overwhelming majority of housing in the unincorporated area of Sacramento County was constructed after World War II. Before that time, only small numbers of residents lived outside the cities of Sacramento, Galt, Folsom, and Isleton in rural communities and agricultural areas. Beginning in the 1940s, rapid suburbanization of Sacramento County resulted in the construction of more than 220,000 dwelling units.

Table 16 shows the number and percentage of dwelling units by year constructed. In unincorporated Sacramento County, approximately 133,000 units are more than 40 years old and are the most at risk of becoming substandard. Approximately, another 40,000 units are more than 30 years old and may show signs of deterioration.

Source: ACS 2013-2017 Table DP04

The Office of Planning and Environmental conducted a detailed windshield survey during the summer of 2009. The survey was conducted in census tracts that had a large number of older homes and a large percentage of households with below average incomes. The census tracts were located in North Highlands

on the east and west sides of the McClellan Business Park, central and northwest Arden-Arcade, South Sacramento between Stockton Boulevard and Highway 99, and the Delta community. These areas coincide with the North Highlands, West Arden Arcade, and South Sacramento Environmental Justice Communities identified in the Environmental Justice Element.

Three structural components of each residence were inspected: siding/stucco, roofing, and windows. The more deteriorated the structural component, the higher the score that was assigned. The scores for the three components were then combined to determine the overall score for the residence. Table 17 describes the housing condition categories and the number and percentage of inspected residential units that fell in each category.

Results of the survey showed that the housing conditions in the selected communities were generally sound. Of the 2,037 total survey sites, only 191 (less than 10 percent) were rated other than “Sound”. Of the 191 residences, 128 were rated as “Minor”, 52 were rated as “Moderate” and only 11 were rated as “Substantial”. No residences were rated at “Dilapidated”. Four census tracts had a significantly higher percentage of dwelling units not rated as “Sound” than the average for all census tracts surveyed. These are listed in the following table.

The survey concluded that the overall housing condition that existed in the selected areas did not show pervasive signs of distress. However, there were portions of these areas that may need assistance to prevent hazards from developing.

As a part of its Rental Housing Inspection Program (RHIP), Code Enforcement inspected 12,745 dwelling units (including initial inspections and re-inspections) in 2019 and of those units, 5,282 were in violation. By the end of 2019, 7,373 units were in compliance and 5,372 were still in violation.

Based on 2019 inspection data, we can assume that housing conditions did not change dramatically between 2009, the year that the County published the Housing Condition Study, and 2019. However, inspections halted in 2020 due to the COVID-19 pandemic. While Code Enforcement does not have data from 2020, there is anecdotal evidence that suggests that housing conditions may have declined. Renter complaints have increased throughout the course of the pandemic and Supervising Code Enforcement Officers expect that some property owners have used the pandemic as an excuse to delay necessary improvements. Supervising Code Enforcement Officers estimate that the pandemic has resulted in a backlog of 5 year’s worth of inspections given current RHIP staffing levels and the diversion of staff resources to support Covid-related activities. To address the backlog and ensure the health and safety of renters in the years to come, the County must increase or, at least, maintain RHIP staff levels.

CHAPTER 6: HOUSING NEEDS ASSESSMENT

State statute identifies six special needs groups because a significant portion of their monthly incomes are devoted to housing costs and they can unfortunately be subject to discriminatory practices when looking for housing. These groups include seniors, large households, female-headed households, people with disabilities, farmworkers, and people experiencing homelessness. Sacramento County added immigrants and refugees to this list due to the acute housing needs of this group as identified during focus group meetings. This chapter summarizes and quantifies the County’s existing and future housing needs and assesses the special needs of each of the seven special needs groups.

The findings of this chapter include the following:

• As the region’s economy has continued to recover from the recession, home values and rents have increased throughout the County. In 2020, home prices increased to levels as high as those the County experienced during the peak of the previous decade’s housing boom.
• A significant portion of all low-income owners and renters (60 and 73 percent, respectively) are overpaying, or paying more than 30 percent of their income, for housing. A large number of low-income owners and renters (33 and 42 percent, respectively) are severely overpaying, or paying more than 50 percent of their income. This is especially true for extremely low-income households, of which 62 percent of owners and 74 percent of renters are severely overpaying.
• Per the Sacramento Area Council of Governments (SACOG) Regional Housing Needs Plan, the County will need to plan for 21,272 new units between 2021 and 2029. Of these new units, 2,233 should be affordable to extremely low-income households, 2,233 should be affordable to very low-income households, 2,692 should be affordable to low-income households, and 4,186 should be affordable to moderate-income households. The remaining 9,928 units may be affordable to above moderate-income households.
• According to 2018 data from California Employment Development Department, the hourly median wage for a farm worker in the Sacramento—Roseville—Arden-Arcade Metropolitan Statistical Area falls within the very low- and extremely low-income categories.
• According to the 2019 Point-in-Time Homeless Count, 5,570 individual were experiencing homelessness on the night of the count and 3,900 of those individuals were unsheltered. Of those unsheltered individuals, 18 percent were located in unincorporated Sacramento County.
• According to the 2013-2017 American Community Survey, there are 38,824 people with a disability between the ages of 18 and 64 in Sacramento County and 15,881 of these people experience difficulty with independent living. According to California Department of Developmental Services (DDS) data, there are approximately 7,700 people with developmental disabilities who are served by DDS in unincorporated Sacramento County.
• According to the 2015-2019 American Community Survey, approximately 20.9 percent of Sacramento County’s population (including the incorporated cities) is foreign born. According to interviews with service providers, the primary housing barriers that immigrants and refugees face in the County are rental requirements, a lack of units with three or more bedrooms for large families, a lack of naturally affordable housing, and a lack of language accessibility.

EXISTING HOUSING NEEDS

HOUSING COSTS

Home Prices

The housing boom of the previous decade reached its peak in 2006 and prices began to decline when the economy slowed down and the mortgage crises started to affect the housing market. This decline

accelerated when the Sacramento region’s economy fell into a recession and foreclosures became common. Between 2006 and 2012, median home prices in Sacramento County declined from $393,119 to $180,192, which is below 2002 levels, according to the Zillow Home Value Index (ZHVI).

Since that time, the Sacramento region’s economy has recovered and in 2020, housing values have risen again to about as high as they were in 2006. Figure below shows ZHVI data for Sacramento County, including the incorporated cities, from 2000 through 2020.

Figure 2: Zillow Home Value Index for Sacramento County (Including Cities)

⬚ figure

Source: Zillow Home Value Index

Table 19 below shows the increase in homes values between 2015 and 2020 in unincorporated Sacramento County zip codes. The percent increases between 2015 and 2020 widely vary by zip code and range from a low of 28.9 percent in Wilton to 67.8 percent in South Sacramento.

Table 19: Zillow Home Value Index by Zip Code

Source: Zillow Home Value Index

Rental Housing Stock

Similar to home values, rental costs also increased between 2015 and 2020 in Sacramento County according to Zillow Rent Index data. The percentage increases in rents tended to be smaller and to vary less widely than the percentage increases in home values. The percent increases range from a low of 21.2 percent in Antelope to a high of 33.8 percent in South Sacramento.

Sacramento County Housing Element

Source: Zillow Rent Index

Housing Affordability

The following table shows the affordability of housing in Sacramento County in relation to income. In January 2020, the median home sales price in Sacramento County (including the cities) was $366,700. According to HCD’s 2020 Income Limits, this home price would only be affordable for moderate- and above moderate-income households of four people. For an extremely low-income household of four, the difference between the median home sales price and an affordable price was $255,669. For a very-low income household of four, the difference was $181,720. For a low-income household of four, the difference was $70,698. Figure 3 displays the difference between the median home price and the home price that an extremely low-, very low-, or low-income household of four could afford.

In January 2020, the median rent in Sacramento County (including the cities) was $1,913, according to Zillow Rent Index data. This rent amount would be affordable to the low-, moderate-, and above moderate-income households of four; however, it would not be affordable to an extremely low-, or very low-income household. For an extremely low-income household of four, the difference between the median rent and an affordable rent was $1,265. For a very-low income household of four, the difference was $834. For a low-income household of four, the difference was $187. Figure 4 displays the gap between the median rent and the rent that an extremely low-, or very low-income household of four could afford.

Source: ¹HCD, State Income Limits for 2020. ²Ascent 2020. ³ Zillow Rent Index 2020 ⁴ Zillow Home Value Index 2020

Figure 3: Home Value Affordability Gap

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Source: HCD, State Income Limits for 2020; Ascent 2020; Zillow Home Value Index 2020.

Figure 4: Rent Affordability Gap

⬚ figure

Source: HCD, State Income Limits for 2020; Ascent 2020; Zillow Rent Index 2020.

OVERPAYMENT

The current standard of housing affordability indicates that households spending 30 percent or more of their gross income on housing are “cost burdened”. Severe overpayment occurs when households spend 50 percent or more of their gross income on housing. The impact of high housing costs disproportionately affect extremely low-, very low-, and low-income households.

Overpayment (More than 30 Percent of Income)

As shown in Table 22 below, 73.3 percent of all low-income household renters (including low-, very low-, and extremely low-income) are overpaying for housing expenses. The percent of all low-income household owners overpaying for housing expenses is also high, at 59.9 percent. Overpayment by extremely low-income households is even higher with 84 percent of extremely low-income renter households and 74.3 percent of extremely low-income owner households paying more than 30 percent of their income on housing.

Source: 2011-2015 CHAS Data Sets: https://www.huduser.gov/portal/datasets/cp.html#2011-2015_data

Severe Overpayment (More than 50 Percent of Income)

Table 23 below shows that severe overpayment rates are much higher for the extremely low-income households than that of all low-income households for both owners and renters. In particular, 74.2 percent of all renters in the extremely low-income category are severely overpaying for housing expenses.

Source: 2011-2015 CHAS Data Sets: https://www.huduser.gov/portal/datasets/cp.html#2011-2015_data

OVERCROWDING

Overcrowding is a metric of the ability of the existing housing stock to accommodate residents adequately. Overcrowding can result when high housing costs relative to income force too many individuals or families to share housing. Overcrowding can also accelerate deterioration of the housing stock. The U.S. Census defines an overcrowded unit as one occupied by more than 1.0 person per room (excluding bathrooms and kitchens). Units with more than 1.5 persons per room are considered severely overcrowded.

The overcrowding situation has increased slightly since the 2005-2009 American Community Survey data. The percentage of rental units that were overcrowded increased from 7.4 percent to 8.6 percent and the

percentage of owner-occupied units that were overcrowded increased from 2.3 percent to 2.5 percent. While these numbers represent a small increase, they are still not as high as the overcrowding rates reflected in the 2000 Census data and before the recession. According to the 2000 Census data, the percentage of rental units that were overcrowded was 13.9 percent and the percentage of owner-occupied units that were overcrowded was 3.7 percent.

Source: ACS 2013-2017 Table B25014

Sacramento County adopted the Environmental Justice Element of the General Plan on December 17, 2019. The Environmental Justice Element identified four Environmental Justice Communities (EJ Communities), including North Highlands, North Vineyard, South Sacramento, and West Arden Arcade. The Environmental Justice Element found that there is a higher percentage of overcrowded homes in EJ Communities than in non-EJ areas. The Environmental Justice Element includes Policy EJ-31 and several implementation measures which require that County staff analyze the presence of overcrowding in EJ Communities and the causes of that overcrowding and collaborate with refugee and immigrant advocates as a part of the 2021-2029 Housing Element. The refugee and immigrant group is discussed in more detail in the Special Needs Group section below.

Table 25 below displays the percentage of owner and renter units which are overcrowded in EJ Communities. In the South Sacramento EJ Community, the percentage of both owner and renter units which are overcrowded is higher than in the County as a whole.

South Sacramento EJ Community

West Arden Arcade EJ Community

Note – some census tracts include area within and outside of EJ Community boundaries. Only those census tracts with a majority of its area inside the South Sacramento and West Arden Arcade EJ Communities were included.

Source: ACS 2013-2017 Table B25014

PROJECTED HOUSING NEEDS

California Government Code Section 65584 requires that each city and county plan to accommodate a fair share of the region’s housing construction needs. In urban areas, state law provides for councils of governments to prepare regional housing needs plans that assign a share of a region’s housing construction need to each city and county. In the six-county greater Sacramento region (comprising the counties of Sacramento, Placer, El Dorado, Yolo, Sutter, and Yuba), the Sacramento Area Council of Governments (SACOG) is the entity authorized under state law to determine the future housing needs for the region. SACOG adopted the Regional Housing Needs Plan (RHNP) on March 19, 2020.

SACOG’s methodology for distributing the regional housing need among jurisdictions is based on regional population and housing forecasts developed for its Metropolitan Transportation Plan/Sustainable Communities Strategy (MTP/SCS). Housing Element Law requires SACOG to create a methodology that furthers the following objectives:

• Increasing Housing Supply and Mix of Housing Types
• Promote Infill, Equity, and Environment
• Jobs Housing Balance
• Regional Income Parity
• Affirmatively Furthering Fair Housing

SACOG’s allocation methodology assigns each jurisdiction’s total RHNA by multiplying the Regional Determination by the proportion of the region’s growth assumed in the MTP/SCS between 2016 and 2035. SACOG then applies adjustment factors to further the objectives listed above and to assign the distribution of lower-income units to each jurisdiction. These adjustment factors include regional income parity, affirmatively furthering fair housing, and jobs/housing fit.

Regional Income Parity. The intent of this factor is to push all jurisdictions in the region to have the same proportion of low-income households as the regional average by 2060.

Affirmatively Furthering Fair Housing. The intent of this factor is to open up high opportunity areas to all income levels by encouraging jurisdictions with large proportions of homes in high opportunity areas to zone for more affordable housing types.

Jobs/Housing Fit. The intent of this factor is to house more low-wage workers near their jobs by encouraging jurisdictions with high ratios of low-wage workers to affordable housing units to zone for more affordable housing.

Each jurisdiction must use the numbers allocated under the RHNA to identify measures that are consistent with these new construction goals. While the jurisdiction must show how it will provide adequate sites for construction of the required units, it is not obligated to build any of the units itself or finance their construction. It is important to note that neither SACOG nor HCD mandates construction but rather the provision of realistic opportunities.

According to the 2021-2029 SACOG RHNA, the unincorporated area of Sacramento County has a total housing construction need of 21,272 units. Table 26 shows the unincorporated area of Sacramento County's 2021-2029 planning period allocation.

Source: SACOG

SPECIAL NEEDS GROUPS

EXTREMELY LOW INCOME HOUSEHOLDS

The extremely low-income (ELI) group includes households with incomes of 30 percent or less of the area median income. According to 2012-2016 CHAS data sets, there are approximately 33,645 ELI households in unincorporated Sacramento County, or 16.5 percent of the unincorporated County’s total households. Of these ELI households, approximately 24 percent are owners and 76 percent are renters. SACOG has projected that unincorporated Sacramento County needs an additional 2,233 units for ELI households during the 2021-2029 planning period (assuming that 50 percent of projected very low-income households qualify as ELI).

Approximately 11 percent of ELI renter households pay more than 30 percent of their household income on housing and 73 percent of ELI renter households pay more than 50 percent. In 2019, the upper threshold of the ELI income category for a family of four was an annual income of $25,750.¹

The Housing Action Plan chapter includes several programs to address the housing needs of ELI households, including the Housing Choice Voucher program and well as those programs related to homelessness. The Housing Action Plan chapter also includes a program to amend the Zoning Code related to supportive living uses, including boarding houses, transitional housing, scattered shelters, residential care homes, and nonconforming dwelling units to take a more comprehensive approach to supportive housing consistent with changes to State law. These housing types may assist ELI households in particular.

FARMWORKERS

In Sacramento County, the majority of farmworkers work in the southern portion of the County near the Sacramento-San Joaquin Delta and the City of Galt. Farmworkers are grouped into two categories: migrant and settled farmworkers. Migrant farmworkers travel from one geographic location to another, depending on where and when farm work is available. Settled farmworkers usually live in rental housing or single-family housing in the community in which they work or in housing on a site provided by the farmer.

The Sacramento County Environmental Management Department (EMD) inspects facilities that house five or more agricultural workers in compliance with the State Employee Housing Act. Table 27 provides information on the number and capacity of farm labor camps in unincorporated Sacramento County according to EMD.

The California Employment Development Department (EDD) estimates that the number of agricultural workers will increase slightly from 5,440 in 2016 to 5,670 in 2026.² According to EDD data, the hourly median wage for a farm worker in the Sacramento—Roseville—Arden-Arcade Metropolitan Statistical Area (MSA) as of 2018 is between $11.56 and $11.71 or between $24,062 and $24,357 annually. A household of one earning $24,000 a year would be in the very low-income category and a household of four earning $24,000 a year would be in the extremely low-income category based on 2018 income limits set by the U.S. Department of Housing and Urban Development.

Table 28 provides the total number of farms with hired labor and the total number of workers county-wide in Sacramento County. Table 29 provides the number of farmworkers by days worked wide-wide in Sacramento County.

Source: USDA Agricultural Census 2017, Table 7

Source: USDA Agricultural Census 2017, Table 7

The Constraints Analysis chapter includes a detailed discussion of Zoning Code requirements for farmworker housing. The Housing Action Plan chapter includes a program to amend the Zoning Code to allow Farmworker Housing by-right in all Zoning Districts where general Agriculture is an allowed use. The Housing Action Plan chapter also includes programs related to the annual inspection of farm labor camps and periodic review of housing needs for farm workers.

LARGE HOUSEHOLDS

The California Department of Housing and Community Development defines large households as households having five or more persons. Large households have special needs relating to household size and income as they oftentimes require three or more bedrooms to avoid overcrowding.

The number of large households have not changed significantly from the numbers reported in the 2010 Census. According to the 2010 Census, the number of large families was 26,811, or 13 percent of all households. According to 2013-2017 ACS data, the unincorporated area of Sacramento County has a total of 27,887 large families, or 12 percent of all households.

Source: ACS 2013-2017 Table B25009

According to ACS 2013-2017 data, about half of large households (51.2 percent) own their home and a little less than half rent (48.8 percent). Large households who rent are most likely to experience problems of overpayment and overcrowding because renter households are more likely than homeowners to have

low incomes, and there are fewer rental housing units with three or more bedrooms to meet the space needs of large households.

The Housing Action Plan Chapter includes the Housing Incentive Program, which incentivizes the development of units with three or more bedrooms for large families. In addition, Housing Element Goal HE 7 in the Housing Action Plan Chapter includes several programs that promote fair housing choice. Large families may face discrimination when they try to find housing; however, fair housing laws protect them. The Renters Helpline is a free resource available to Sacramento County residents by telephone or internet that provides fair housing education, landlord-tenant dispute mediation, and legal guidance.

FEMALE-HEADED HOUSEHOLDS

According to the 2013-2017 American Community Survey, there are 35,602 female-headed households in unincorporated Sacramento County. This total includes 22,239 female-headed households with children which is 14.2 percent of all households. Approximately 29 percent of all female-headed households are under the poverty level compared to just 14 percent of all families.

Source: ACS 2013-2017 Table B17012

Several of the programs that will benefit other special needs groups will also benefit female-headed households such as the Housing Choice Voucher program, discussed in the extremely low-income households section above, the Renters Helpline or the Housing Incentive Program, discussed in the large households section above. In addition, those programs under Housing Element Goal HE 5 Preservation of Existing Affordable Housing Stock and Provision of Affordable Housing are geared toward lower-income households and will also serve female headed households.

PEOPLE EXPERIENCING HOMELESSNESS

Every two years in January Sacramento County and the incorporated cities partner with Sacramento Steps Forward (SSF) in an effort to document every individual in the county experiencing homelessness during a twenty-four-hour period; this is known as the "Point-in-Time Homeless Count." This effort provides a single-night snapshot of individuals and families staying at emergency/transitional shelters as well as those sleeping outside. The Homeless Count is a requirement for federal funding from the U.S. Department of Housing and Urban Development (HUD).

The 2019 Homeless Count for Sacramento County report estimates that 5,570 individuals experienced homelessness throughout the County (unincorporated areas and the cities) on the night of the count. The report found that the estimate of 5,570 people who are homeless each night could correspond to between 10,000 to 11,000 residents in Sacramento County experiencing homelessness during the span of the year. The number of individuals experiencing homelessness on the night of the count suggests that approximately 36 in 10,000 residents in the County experience homelessness each night.

Of the 5,570 individuals, 1,670 were sheltered individuals who accessed emergency shelters or transitional housing and 3,900 were unsheltered individuals who were sleeping outdoors or in vehicles, abandoned buildings, or other locations that are not suitable for human habitation (70 percent unsheltered and 30 percent sheltered). The 2017 Homeless Count was the first year that Sacramento County reported more people experiencing unsheltered homelessness than sheltered homelessness (56 percent unsheltered and

Sacramento County Housing Element

44 percent sheltered). The 2019 report confirms that this trend is growing consistent with the growth statewide. Of those individuals who were unsheltered, a majority (73 percent, 2,858 individuals) were in the City of Sacramento. The City of Rancho Cordova had six percent and the Cities of Citrus Heights, Folsom, Galt, Elk Grove and Isleton had one percent or less. The remaining 18 percent (711 individuals) of those who were unsheltered were in the unincorporated County.

The majority of people experiencing homelessness are single adults (73 percent) and more than half of these single adults (56 percent) are unsheltered. People in families with children represent 20 percent of people experiencing homelessness and half (10 percent) of these families are sheltered while half are outside of shelters (10 percent). Unaccompanied youth households, including some minors (under 18) as well as transitional age youth (18-24), make up 8 percent of people experiencing homelessness.

A majority of the people experiencing homelessness identified as male (62 percent), 38 percent identified as female, 25 individuals (less than 1 percent) identified as transgender and 16 individuals (less than 1 percent) identified as gender nonconforming.

Table 32 below shows the ethnic and racial identities of the people experiencing homelessness. Compared to their representation in the total population of Sacramento County, Black individuals (34 percent) and American Indian individuals (8 percent) are disproportionately represented in the homeless population while White individuals (47 percent) and Asian individuals (1 percent) are underrepresented.

Source: Homelessness in Sacramento County Results from the 2019 Point-in-Time Count

At the time of the count, 26 percent of unsheltered adults indicated that they have a debilitating cognitive or physical impairment and 21 percent indicated that they have a severe psychiatric condition. Eight percent indicated an ongoing medical condition such as diabetes, cancer, or heart disease. Nine percent indicated that their use of alcohol or drugs prevented them from maintaining stable housing or keeping a job. As a compounding factor, a majority (77 percent) of people who reported a disabling condition cited two or more specific conditions.

Facilities for People Experiencing Homelessness

According to 2020 Housing Inventory County data from Sacramento Steps Forward, Sacramento County has a capacity of 182 beds in its emergency shelters. Table 33 below shows the number of year-round family and single beds and the number of seasonal beds in the unincorporated County. In order to meet the need identified by the 2019 PIT report and provide shelter for 711 individuals, the County would need to provide an additional 711 emergency shelter beds.

At the time of writing this element, data on the percentage of those in emergency shelters that move to permanent housing was only available for the year 2019 and for the entire Sacramento City and County

CoC. According to this data, 41.8 percent of individuals exited from emergency shelters, supportive housing, transitional housing, or rapid rehousing to permanent housing in 2019.6¹ This rate of exit to permanent housing shows an increase from the 2018 rate by 1.3 percent and is higher than the statewide rate of 36.1 percent.

The Land Inventory Chapter of this element provides a detailed discussion of the land available for emergency shelter construction. The Housing Action Plan chapter includes policies and programs designed to support the County Homeless Plan, which is the County’s main strategy document related to homelessness.

Source: Sacramento Steps Forward 2020

PEOPLE WITH DISABILITIES

According to the 2013-2017 American Community Survey, 21 percent of the unincorporated County’s total population have some sort of disability. Of the 38,824 people with a disability between the ages of 18 and 64, 15,881 (41 percent) experience difficulty with independent living. These individuals have mobility impairments, self-care limitations, or other conditions that may require special housing accommodations, financial assistance programs, or services.

Persons with Mobility and Self Care Limitations

Individuals with mobility difficulties may require special accommodations or modifications to their homes to allow for continued independent living. Individuals with self-care limitations may require residential environments that include in-home or on-site support services, ranging from congregate to convalescent care.

According to the 2013-2017 American Community Survey, there are 43,662 people with a disability between the ages 0 and 64 in unincorporated Sacramento County. Of those who have a disability:

(1) 10 percent have hearing limitation and 10 percent have vision difficulty;

(2) 29 percent have cognitive difficulty;

(3) 26 percent have ambulatory difficulty; and,

(4) 11 percent have self-care difficulty.

Persons with Developmental Disabilities

A "developmental disability" is defined as a disability that originates before an individual becomes 18 years old; continues, or can be expected to continue, indefinitely; and constitutes a substantial disability for that individual. This includes mental retardation, cerebral palsy, epilepsy, and autism.

The U.S. Census does not record the number of persons with developmental disabilities. According to the Administration for Community Living (ACL), individuals with developmental disabilities comprise between

1.2 and 1.65 percent of the U.S. population¹. This would equate to between 7,131 and 9,805 people with developmental disabilities in the unincorporated County based on Department of Finance population estimates for 2019.

The California Department of Developmental Services (DDS) oversees the delivery of services to Californians with developmental disabilities including cerebral palsy, intellectual disability, Down syndrome, autism, epilepsy, and related conditions. Table 34 below shows data from DDS depicting the number of people with developmental disabilities by zip code and by age group. According to DDS data, the total number of people with developmental disabilities who are served by DDS in unincorporated Sacramento County is approximately 7,700, this number falls within the estimated range discussed above. According to DDS data, the vast majority of the people with disabilities represented below live in the home of their parent, family, or guardian rather than in a care facility.

Source: State of California Department of Developmental Services. Consumer County by California ZIP Code and Age Group, Regional Center and Early Start Consumers for the End of June 2019.

Supportive Housing Arrangements

Sacramento County Housing Element

Many people with developmental disabilities can live and work independently within a conventional housing environment. However, some will require supportive housing arrangements because of self-care limitations. Because developmental disabilities exist before adulthood, the first issue in supportive housing for the developmentally disabled is the transition from the person’s living situation as a child to an appropriate level of independence as an adult. Small-scale group homes that are more residential in character may be appropriate in some cases while institutional settings where medical professionals provide medical attention and physical therapy will accommodate the most severely affected individuals.

The Housing Action Plan chapter includes a program to amend the Zoning Code related to supportive living uses to take a more comprehensive approach to supportive housing consistent with changes to State law to increase housing, especially for special needs groups. The Housing Action Plan chapter also includes the Housing Incentive Program and the Universal Design program, which will incentivize developers to include universal design components in residential developments. The Housing Action Plan Chapter also includes the Safe at Home Program. The Safe at Home Program is administered by SHRA and it provides repairs to improve accessibility and safety to low income homeowners at no cost.

The County currently administers a number of programs that serve people with various special needs, including those that have developmental disabilities. In particular, the Sacramento County Department of Child, Family and Adult Services administers the In-Home Supportive Services (IHSS) program that serves income-eligible individuals age 65 and older or individuals with disabilities and allows them to stay in their homes by assisting them to perform activities of daily living. The California Department of Social Services (CDSS) is expecting approximately 350,000 more recipients to join the IHSS program statewide over the 10-year period of 2020-21 through 2030-31 due to the aging population. Similarly, Sacramento County is expecting another 10,000 recipients to join over the same 10-year period. The Housing Action Plan Chapter includes a program related to implementation of the IHSS program.

Reasonable Accommodations

Sacramento County adopted a Reasonable Accommodation Ordinance in 2013 and incorporated it into the Zoning Code. Section 5.2.1.E of the Zoning Code allows reductions in setbacks to address reasonable accommodation. The Zoning Code also allows reasonable accommodation to be considered in the review of a nonconforming use. The Housing Action Plan chapter includes a program that will amend the Zoning Code to expand the reasonable accommodation process to apply to any modification to a zoning or development requirement to ensure that a reasonable accommodation for all disabilities can be considered.

SENIORS

According to data from the 2010-2014 and the 2014-2018 American Community Survey, the population of seniors (65 and above) experienced a higher percentage increase than that of the general population (see Table 35 below).

Source: ACS 2010-2014 and ACS 2014-2018

According to data from the 2014-2018 American Community Survey, 10.4 percent of seniors in unincorporated Sacramento County are living below the federal poverty level.

Source: ACS 2014-2018

Table 37 below shows the number of seniors in unincorporated Sacramento County that own versus the number that rent their home.

Seniors may need assistance related to repair and maintenance of the homes that they own; modifications to their homes to better meet mobility and self-care limitations; financial assistance to meet rental housing costs for those seniors who do not own their homes; and supportive services to meet daily needs.

The Agency on Aging\Area 4 conducted an Age-Friendly Community Survey in 2018 to survey individuals aged 45 and older who reside in their planning and service area, including Sacramento County. A majority of those surveyed in Sacramento County (73 percent) said it was either very or extremely important to them to stay in their community as they age. A majority (95 percent) also said it was very or extremely important to them to be able to live independently in their own home as they age. When asked a series of housing-related questions about whether their community provided enough services for older adults or affordable housing options for older adults, Sacramento County scored 4.5 compared to the region's score of 4.3 (on a scale of 0 to 10 with 0 being poor and 10 being excellent).

SHRA administers the Home Repair Program (HRP) to assist seniors in repairing and maintaining their homes. The HRP provides grants for emergency or health and safety repairs to owners of single-family homes or mobile homes in the County. The maximum grant amount is $5,000. The HRP is an implementation program in this Housing Element.

Another common special need for a growing portion of the population age 65 and over is for assisted living facilities that combine meal, medical, and daily living assistance in a residential environment. As discussed above, the Housing Action Plan chapter includes a program to amend the Zoning Code related to supportive living uses, including boarding houses and residential care homes. Many of the other programs discussed in the People with Disabilities section above are also beneficial to seniors. These include the County's IHSS program, the Housing Incentive Program, and the Universal Design program.

IMMIGRANTS AND REFUGEES

According to the 2015-2019 American Community Survey, approximately 20.9 percent of Sacramento County's population (including the incorporated cities) is foreign born. Of the foreign born population, 57.6

percent are naturalized U.S. Citizens and 42.4 percent are not U.S. Citizens; 18.6 percent entered the U.S. during 2010 or later and 81.4 percent entered the U.S. before 2010.

Source: ACS 2015-2019

CDSS defines both refugees and asylees as people who are unable or unwilling to return to their home country because of persecution or a well-founded fear of persecution due to race, religion, nationality, political opinion, or membership in a particular social group. The main difference between refugees and asylees is where they apply for protection. A refugee applies for protection while oversees and enters the United States as a refugee, while an asylee requests protection and is granted asylum within the U.S. CDSS defines an asylum seeker as a person who is at a U.S. port of entry or has entered the United States and is requesting asylum.

County staff conducted a focus group meeting with organizations that provide housing services for immigrants, refugees, asylees, and asylum seekers in Sacramento County. When asked about the national origin of these populations, attendees responded that they assisted populations from Afghanistan, Turkey, Russia, Ukraine, countries in Africa such as Cameroon, and several other countries. Attendees shared that the languages spoken by the communities that they serve vary widely but include Pashto, Dari, Farsi, Russian, Ukrainian, Arabic, and Spanish. When asked about where these populations are generally located in the County, attendees responded that they place people in proximity to family members and wherever housing is both available and affordable. Attendees indicated that they found housing for these populations in communities such as North Highlands, South Sacramento, Carmichael and Arden Arcade.

When asked about the housing barriers that immigrants, refugees, asylees, and asylum seekers face in the County, attendees responded that rental requirements, a lack of units with three or more bedrooms for large families, a lack of naturally occurring affordable housing, and a lack of language accessibility all serve as the primary barriers. These populations may not meet upfront rental requirements including social security numbers, credit history, income, or security deposits. For asylum seekers, it can take over a year to attain a work permit, which is necessary in order to show sufficient income to housing providers. Some housing providers also require prospective tenants to have incomes of three times the rent or more. The Regional Analysis of Impediments to Fair Housing Choice also conducted stakeholder focus group meetings. During these meetings, refugees were identified as one of the hardest populations to house due to family size, lack of understanding of the system, language access, substandard housing conditions and fear of retaliation from landlords. The findings of the Regional Analysis of Impediments to Fair Housing Choice are discussed in more detail in the Assessment of Fair Housing Chapter.

Resettlement Agencies, non-profit organizations that provide sponsorship and resettlement services, contract with the Federal Government to assist refugees and asylees in finding housing within the first 90 days of their arrival in the United States. These funds assist with the security deposit, the first month of rent, as well as furniture and other necessities. In addition, refugees and asylees may be eligible for programs administered by the County Department of Human Assistance. In particular, single adult refugees

Sacramento County Housing Element

and asylees are eligible for the County’s Refugee Cash Assistance (RCA) program, which provides federal cash payments for eight months from their date of entry. Refugee and asylee families are eligible for the CalWORKS program, which provides federal cash payments for 48 months from their date of entry into the United States. The CalWORKS program offers extensions for special circumstances. Per state law, the 48 months will increase to 60 months effective May 1, 2022. As a requirement of both RCA and CalWORKS, refugees and asylees receive English-as-a-second language instruction, cultural orientation, pre-employment skills training, and social services assistance to help overcome obstacles to employment. These services can be provided for up to five years from a refugee’s date of entry. Recipients of these programs are also eligible for other assistance such as Homeless Assistance.

The Housing Action Plan chapter includes several programs to address barriers to housing for immigrants and refugees. These include fair housing education resources, such as the Renters Helpline and the Refugee Academy, as well as programs that commit the County to explore options to assist with security deposit payments and to study additional tenant protections. The County’s Housing Incentive Program also incentivizes the development of units with three or more bedrooms for large families.

CHAPTER 7: CONSTRAINTS ANALYSIS

GOVERNMENTAL CONSTRAINTS

This chapter will identify governmental and nongovernmental constraints affecting housing availability and cost in Sacramento County. The findings of this chapter include the following:

1. Several multifamily development standards in the County’s Zoning Code have been identified as potential constraints to housing development. The County is in the process of updating these standards to provide additional flexibility.
2. The sections of the County’s Zoning Code related to Emergency Shelters, Navigation Centers and Supportive Living Uses are not consistent with State law. Several implementation programs are included in the Housing Action Plan Chapter to remove this constraint.
3. The Multifamily Design Guidelines Chapter of the Countywide Design Guidelines is subjective in nature. The County is in the process of updating this chapter to ensure consistency with State housing law requirements for objective standards.
4. The section of the County’s Zoning Code related to the State Density Bonus Law is outdated. An implementation program is included in the Housing Action Plan Chapter to remove this constraint.
5. Public concern about affordable housing has the potential to delay and to increase the cost of development. An implementation program is included in the Housing Action Plan Chapter of this Housing Element that will require the County to develop an outreach strategy to reduce this constraint.

LAND-USE CONTROLS

This section identifies all relevant land-use controls, discusses impacts on the cost and supply of housing, and evaluates the cumulative impacts of standards, including whether development standards impede the ability to achieve maximum allowable densities.

General Plan

The Board of Supervisors adopted the 2030 Sacramento County General Plan (General Plan) on November 9, 2011. The General Plan establishes a framework for the County’s development. The Zoning Code, Design Guidelines, and all other land use regulations and planning documents must be consistent with general plan policies.

Urban Policy Area and Urban Services Boundary

The Urban Policy Area (UPA) and the Urban Services Boundary (USB) are intended to protect the County’s natural and agricultural resources and to prevent sprawling development patterns. While the USB is intended to be a permanent boundary, the UPA is adjusted incrementally as needed to ensure that the County can accommodate anticipated growth over the 25-year planning cycle and is reserved for future urbanization. The UPA may only be adjusted when found to be consistent with policy LU-119 and LU-120 of the General Plan Land Use Element. LU-120 specifically requires that the proposal accommodate the percentage of low- and very low-income residential units required per the County’s current Regional Housing Needs Allocation (RHNA).

Since adoption of the General Plan, developers have submitted applications for five master plans that would expand the UPA. These master plans include Jackson Township Specific Plan, NewBridge Specific Plan, West Jackson Highway Master Plan, Grandpark Specific Plan, and Upper Westside Specific Plan. Grandpark Specific Plan and Upper Westside Specific Plan would also expand the USB. The Board of Supervisors adopted the NewBridge Specific Plan in October 2020. At the time of writing this element, none of the other master plans or specific plans have received approval. While it is possible that these UPA expansion criteria represent a constraint to housing development outside of the UPA, it is important to note that compliance

with these criteria is required in order to ensure a variety of housing types and densities, high-quality development, and adequate infrastructure (water, sewer, and public transportation) that is necessary to support multi-family development. Overall, the County views the process for expansion of the UPA and USB as necessary to facilitate mixed-income residential development in new growth areas. Furthermore, the County has a number of previously approved growth areas with remaining capacity discussed below.

Urban Growth Accommodation Strategy

The Land Use Element of the General Plan includes the Urban Growth Accommodation Strategy. The "urban area" of unincorporated Sacramento County includes the urbanized portions of community planning areas such as Arden-Arcade, Carmichael, Fair Oaks, North Highlands/Foothill Farms, Cordova, Rio Linda/Elverta, South Sacramento, Antelope, Orangevale, Cosumnes (Rancho Murieta), Vineyard, as well as planned new growth areas including Easton, Elverta, Cordova Hills, Vineyard Springs, North Vineyard Station, Florin Vineyard, and Mather. There is a substantial amount of developable land within the combined urban communities and remaining in the approved growth areas. The objectives of the Urban Growth Accommodation Strategy include the build-out of infill sites, the build-out of planned communities, commercial corridor planning, and new growth areas.

Development Code

The Board of Supervisors adopted an updated Sacramento County Development Code on July 22, 2015 that became effective on September 25, 2015. The Development Code is comprised of the Zoning Code and its related Ordinances, the Countywide Design Standards and the Zoning Code User Guide.

Zoning Code

The Zoning Code establishes land use zones, standards, and regulations for development in those zones, within unincorporated Sacramento County. Table 39, Table 40 and Table 41 below are taken from the Zoning Code and depict the current development standards for single-family residential, duplex/halfplex residential, and multifamily residential projects.

The County received SB 2 Planning Grant Program funds to amend the Zoning Code to expedite processing and approvals for housing projects and accelerate housing production. As a part of this effort, the County has identified several development standards that may serve as constraints to multifamily housing development. These are highlighted in the tables below and discussed in detail below the tables.

Table 39: Zoning Code Table 5.7.B

Attached and Detached Single Family Residential Project Development Standards

PUPF = Public Utilities, Public Facilities easement (per Section 5.2.1)

[1] Cornices, sills, eaves, canopies, awnings, window bays, and similar features of primary dwellings may encroach into any required yard area a distance not to exceed 24 inches.

[2] The setback from streets for all residential structures shall be measured from the public street right-of-way or private street easement. If street dedication is required for future right-of-way, the setback measurement shall be taken from the future right-of-way.

[3] No setbacks are required from the property boundary dividing attached single family residential units.

[4] In AG, AR, and RD-1 through RD-7 zones maximum height may be increased to three stories only with issuance of a Use Permit from the Zoning Administrator. Height criteria shall consider factors as prescribed in Section 5.2.2.D.

[5] Measured as the smallest projected building width. “Smallest projected building width” means the smallest dimension attained by the parallel projection of the outside, enclosing walls of the building when projected from every direction.

[6] Exceptions to this requirement may be granted by the Planning Director (no fee) for dwellings of persons with developmental disabilities.

[7] Outdoor kitchens are exempt.

Table 40: Zoning Code Table 5.7.C

Duplex/Halfplex Residential Development Standards

Sacramento County Housing Element

Table 40: Zoning Code Table 5.7.C Duplex/Halfplex Residential Development Standards

Table 41: Zoning Code Table 5.8.B Multifamily Residential Project Development Standards

Table 41: Zoning Code Table 5.8.B Multifamily Residential Project Development Standards

Table 41: Zoning Code Table 5.8.B Multifamily Residential Project Development Standards

[1] Parking may be reduced as a condition of Design Review.

Signage Requirements

Signs shall be integrated and designed at a quality consistent with the design of the project and shall comply with Chapter 5.10, “Sign Regulations.”

Walls and Fences

Walls and fences shall be located and constructed in conformance with Section 5.2.5, “Development Standards for Walls and Fences.”

Landscaping

Landscaping shall be provided in conformance with Section 5.2.4.

Trash and Recycling Enclosures Setbacks and Requirements

31 feet from any public right of way; 25 feet from residentially zoned property or property used for residential purposes; 15 feet from the edge of pavement of a private road easement

Table 41: Zoning Code Table 5.8.B

Multifamily Residential Project Development Standards

PUPF = Public Utilities, Public Facilities easement (per Section 5.2.1)

[1] Setback requirements, encroachments, and internal street widths are subject to review by local service providers and may be restricted based on the County Access Drive Standards or other guidelines used for multifamily residential developments to ensure adequate spacing is available for all necessary utilities.

[2] Common open space and outdoor amenities can include common patios, small common greens, community gardens, pools, pedestrian walkways, tot-lots, and recreation areas. It does not include areas used for vehicular access and parking. Public parks and open space constructed as part of the proposed multifamily project may be counted up to one-half (½) of the common open space requirement.

Multifamily Residential Project Development Standards

Minimum Yard Requirements

The general multifamily setbacks prescribed in Table 41 exceed the setbacks of other residential housing types. The setbacks for multifamily development exceed those for single family by as much as 12.5 feet in the side street yard without a Public Utilities, Public Facilities easement (PUPF) and by 16.5 feet with a PUPF. As a part of the SB 2 Planning Grants Program effort, County staff will review multifamily setbacks and consider changes to the Zoning Code to reduce them and increase the buildable area of multifamily-zoned parcels.

Multifamily Setback Requirements from Existing Single-family Residential

The multifamily setbacks from existing single-family residential are as high as 75 feet for a development of three stories or higher. This may greatly reduce the buildable area of multifamily-zoned land and especially affects smaller, infill parcels. County staff will review the side and rear setbacks for multifamily residential development adjacent to single-family development and consider changes to promote the development of multifamily housing and to make constrained and unusually shaped lots buildable to their current zoning designation densities.

Open Space Requirements

The minimum open space and landscaping requirement of 20 percent (attached) and 30 percent (detached) may serve as a barrier to dense multifamily development. County staff is exploring reductions to these requirements. In addition, the minimum private open space requirement of 40 square feet per unit is often a barrier for developments on smaller, more constrained lots or multistory projects where not every unit may have a balcony or patio. County staff is exploring reductions to these requirements.

Parking Requirements

County staff is considering modifications to allowable parking configurations for multifamily developments to allow for greater variability in housing products. Zoning Code section 5.9.3.A also requires a certain amount of covered parking spaces for multifamily residential projects. Because these covered parking spaces are considered accessory structures, they need to be setback from the property line consistent with Table 41. This requirement can further reduce the buildable area of multifamily-zoned parcels. County staff is exploring reductions in the required amount of covered parking spaces to alleviate this barrier.

Accessory Dwelling Units

Governor Newsom signed into law a suite of bills encouraging the development of Accessory Dwelling Units (also known as ADUs, granny units, or secondary units) and Junior Accessory Dwelling Units (JADUs) in October of 2019. These bills addressed many aspects of ADU development and permitting, with the goal of creating more housing to address California's housing crisis. The Board of Supervisors approved a Zoning Ordinance amendment in December 2020 to codify these changes to State law.

A property developed with a single-family dwelling or halfplex unit may have one ADU, either attached or detached, and one JADU, contained entirely within the habitable area of a single-family residence. A property developed with a multifamily residential use or a duplex may have up to two new-construction detached ADUs and up to 25 percent of the total unit count in ADUs converted from existing non-living space. For JADUs, the property owner must occupy either the primary dwelling or the JADU. The recent changes include the following development standards for ADUs and JADUs.

• Parking:
  • For new construction ADUs, one parking space is required unless the ADU meets certain requirements such as being located within one-half mile walking distance of public transit.
  • When a garage or parking structure is converted in conjunction with construction on an ADU, replacement parking is not required.
• Maximum Size:

• New construction detached ADUs can be a maximum of 850 square feet if one bedroom or less and 1,000 square feet if more than one bedroom.
• New construction attached ADUs can be a maximum of 50 percent of the habitable square feet of the primary dwelling or 850 square feet, whichever is larger.
• ADUs converted from existing space can be a maximum of the area of existing space or structure plus 150 square feet for ingress and egress.
• New construction or converted JADUs can be a maximum of 500 square feet within existing or proposed primary dwelling, plus 150 square feet for ingress and egress.
• Maximum Building Height: The maximum building height is 16 feet or can be increased to 20 feet if a minimum of 10 feet from the rear property line and 5 feet from the side property line and single story.
• Setbacks:
  • New construction ADUs and JADUs must have a front setback of 20 feet, a side street yard setback of 12.5 feet, and a side and rear yard setback of 4 feet.
  • Ingress and egress additions for converted ADUs and JADUs must meet setbacks for new construction ADUs or JADUs. Existing space or structures may remain at setbacks originally permitted.

The County is promoting ADUs through a dedicated page on the Office of Planning and Environmental Review website. The website includes a link to the Interim ADU Standards, a summary of key amendments, and answers to several questions related to ADUs.

The County will prepare a complete set of pre-approved constructions drawings for three different sized ADUs to incentivize ADUs. The County will also promote the development of ADUs through a brochure, guidebook, and outreach to the Building Industry Association (BIA). These actions are included as programs E9 and E10 in the Housing Action Plan chapter of this Housing Element.

Emergency Shelters and Navigation Centers

The Zoning Code allows for emergency shelters in the General Commercial (GC) and Light Industrial zones (M-1) as by-right uses (subject to non-discretionary design review) and the development standards below. In addition, County funded shelters (specifically, County agency facilities where the Board of Supervisors has budgetary authority and where the shelter has been subject to a public hearing to allocate funding for the shelter) are an allowed use in any zoning district. Emergency shelters that do not meet these requirements must submit a Conditional Use Permit to be decided by the Board of Supervisors.

• Emergency shelters are subject to non-discretionary Design Review and approval by the Planning Director. The Planning Director’s review focuses on:
• Provision of telephones for use by clients.
• On-site personnel during hours of operation when clients are present. The manager's area shall be located near the entry to the facility.
• Adequate interior and exterior lighting.
• Secure areas for personal property.
• Off-street parking, provided in the ratio of one space for every 10 adult beds, plus an additional space designated exclusively for the manager. All parking is required to be off-street and on site.
  • Maximum Number of Beds: 100 beds.
  • Hours of Operation: Facilities shall establish, maintain, and post set hours for client intake and discharge.

• Transit: Facilities must either be located within one-half (½) mile of a designated transit corridor or existing bus route; or, the applicant shall submit to the Planning Director evidence that transportation will be provided between the facility and a transit corridor or bus line.
• Location Requirements: The Zoning Code requires that shelters must be more than 1,000 feet from public parks, schools, recreation facilities, childcare facilities, and single-family residential zones. These location requirements are not consistent with State law.

AB 101 (2019) requires local jurisdictions to allow low barrier navigation centers by right in areas zoned for mixed-use and nonresidential zones permitting multifamily uses. AB 101 defines low-barrier navigation centers as housing first, low-barrier, service-enriched shelters focused on moving people into permanent housing that provides temporary living facilities such as supportive services.

The Office of Planning and Environmental Review is in the process of amending the Emergency Housing section of the Zoning Code to conform to changes to State law concurrent with preparation of the Housing Element. These updates are included as program D8 in the Housing Action Plan Chapter of this Housing Element.

Supportive Living Uses

The Zoning Code allows Residential Care Homes (which includes Transitional Housing and Supportive Housing) by right in all commercial and mixed-use zones. The Zoning Code allows Residential Care Homes of six people or less by right in single-family residential zoning districts and it allows over six people with a Use Permit from the Zoning Administrator. Similarly, the Zoning Code allows Residential Care Homes by right for up to 20 people in multi-family zoning districts and it allows over 20 people with a Minor Use Permit from the Planning Director.

There are no spacing or concentration requirements in the Zoning Code for these housing types. The County uses the term “household” rather than “family” as family is often interpreted to mean only those related by blood or marriage/law. Therefore, the County Zoning Code does not contain a definition of “family” so as not to discriminate against unrelated persons with disabilities living together. The County’s Zoning Code defines a “single household” as the occupants of a dwelling unit that have established ties and familiarity with each other, jointly use common areas, interact with each other, share meals, household activities, and expenses and responsibilities. However, the County has received feedback indicating the provision of “established ties” as part of a single household creates ambiguity and potential barriers for persons with disabilities. To address this, Program D9 requires the County to add a definition of family and modify the definition of single household consistent with Affirmatively Furthering Fair Housing.

In Sacramento County, the basis for determining whether a use is permitted or conditionally permitted is the operational characteristics of the use and compliance with regulations for the specific zone district it is located in. Supportive housing that provides 24-hour care typically falls under the category of Residential Care Home or Congregate Care. However, other types of supportive housing operate more like multifamily housing and are, therefore, classified in the same manner and subject to the same development standards as any other multifamily housing project. Program D9 requires the County to review and amend the Zoning Code, as necessary, to ensure that requirements for group homes of more than six persons are consistent with State law and fair housing requirements.

State law (Government Code Section 65650) requires that transitional and supportive housing be considered a residential use of property subject only to those restrictions that apply to other residential units of the same type in the same zone. In addition, AB 2162 (2018) requires local jurisdictions to allow projects that include 25 percent or 12 units of permanent supportive housing, whichever is greater, by right in all zoning districts where mixed-use and multifamily uses are permitted, including nonresidential zones permitting multifamily uses. Permanent supportive housing may only be subject to the same restrictions as other residential dwellings of the same type in the same zone.

The County will amend the Zoning Code related to supportive living uses, including boarding houses, transitional housing, scattered shelters, residential cares homes, and nonconforming dwelling units to take more comprehensive approach to supportive housing consistent with changes to State housing law. These

amendments are included as program D9 and are intended to bring the Zoning Code into compliance with State Law.

Farmworker Housing

The County Zoning Code allows agricultural accessory dwellings in all General Agriculture zones by right with one accessory dwelling allowed for every 5 acres in a parcel. The Zoning Code also allows agricultural accessory dwellings in Agricultural-Residential zones with a use permit from the Zoning Administrator. Individuals or families who live in agricultural accessory dwellings must earn at least 50 percent of their income from agricultural activities on the parcel where the dwelling is located.

There is a registration and inspection process through the County’s Environmental Management Department, Environmental Health Division to ensure health and safety. These inspections are conducted to ensure that the facilities meet the minimum standards of habitation specified in the State Employee Housing Act. The California Department of Housing and Community Development performs audits of the Environmental Health Division inspection program annually to verify that the program is meeting its goals. Three inspections are completed annually: Water, Pre-Occupancy and Occupancy.

State Health and Safety Code Section 17021.6 precludes a local government from requiring a conditional use permit, zoning variance, or other zoning clearance for farm labor camps consisting of no more than 36 beds in a group quarters or 12 units designed for use by a household. Occupants of these camps could be those who do not work on the property where the employee housing is located. This state law requires that local ordinances consider agricultural employee housing as an activity that does not differ in any way from an agricultural use. Farm Labor Camps that have up to 45 beds in group quarters or 16 single-family household units are an allowed use by right in all agricultural zoning districts of the unincorporated County. The Housing Action Plan chapter includes program D6 to amend the Zoning Code to allow Farmworker Housing by-right in all Zoning Districts where Agriculture is a primary use.

Short-Term Rentals

Per the County Zoning Code, a short-term rental is an Accessory Use allowed on all residential properties to rent all or a portion of the property for transient occupancy. Transient Occupancy is defined as the use of any room or rooms for lodging or sleeping purposes for a period of time not to exceed 29 consecutive days per stay. Short-term rentals may occur year-round, but are limited to no more than 29 total days per rental party per year.

Short-Term Rentals are allowed if they meet the following Use Standards (per Section 3.9.3.AA of the Zoning Code):

• The property owner or renter (with long term lease) lives on-site a minimum of six months per year, and can provide proof of residency.
• Maximum occupancy shall not exceed more than two adults per bedroom.
• No public or commercial events permitted.

The County restricts short-term rentals in favor of long-term rentals. The County does not permit short-term rental operations as the primary use of a residential property. In addition, an ADU cannot be used for short term rental activity unless it was a permitted ADU prior to January 1, 2020. JADUs and Guest Houses cannot be used for short term rental activity in any circumstance.

Property owners must apply for a Short-Term Rental (STR) Permit and pay a fee of $270.66 to operate a short-term rental. STR Permits are only valid for one year from issuance. If the STR permit is approved, the applicant must apply for a business license and register to pay the Transient Occupancy Tax.

Neighborhood Preservation Areas and Special Planning Areas

Neighborhood Preservation Areas (NPAs) were created to preserve neighborhood characteristics through special regulations not found in the Zoning Code. The NPAs include special regulations applied within the plan area in lieu of the requirements contained in the zone or zones with which the NPA zone is combined.

The NPA zone may specify the extent of yard areas, lot area, lot width, public street frontage requirements, height limitations, or other development standards. There are 21 NPAs in the unincorporated County. NPAs are in Title VI of the Zoning Code.

Similarly, the Special Planning Areas (SPA) zoning designation was created to regulate property in areas that have unique environmental, historic, architectural, or other features that require special conditions not provided through standard zoning regulations. Special conditions and regulations, such as a list of permitted uses, performance and development requirements relating to yards, lot area, intensity of development on each lot, parking, landscaping, and other design standards are defined in the SPA zone, as established by ordinance. There are 52 SPAs in the unincorporated County. SPAs are in Title V of the Zoning Code.

The intent of NPAs and SPAs is to preserve neighborhoods with unique features and characteristics and to provide for a greater range or mix of uses in an area. However, the NPAs and SPAs can actually serve as barriers to housing because they tend to be more restrictive than standard zoning designations. The sheer number of NPAs and SPAs is also burdensome. County staff will identify those NPAs and SPAs that may serve as a barrier to housing and either rescind or amend them. This action is included as program B6 in the Housing Action Plan Chapter of this Housing Element.

Countywide Design Guidelines

The Countywide Design Guidelines establish design principles to implement the County's General Plan. There are separate chapters for each land use including Single Family; Multi-family; Commercial; Office, Business Park, Institutional, and Industrial Development; Village Centers/Mixed-Use; and New Communities. The design review hearing body levels for typical residential projects are described in detail in the Permit and Entitlement Process for Typical Residential Projects section below. The Countywide Design Guidelines are available on the County’s website¹.

Single-Family Design Guidelines

The Single-Family Design Guidelines Chapter includes a list of guidelines organized by the following sections: Neighborhood Site Design Standards, Building Design Standards, and Landscape / Site Elements Design Standards. The Neighborhood Site Design Standards section covers topics such as subdivision street and block patterns and lot size and configurations. The Building Design Standards sections includes topics like building scale and massing and architectural styles. While the Landscape / Site Elements Design Standards section includes planting and landscaping and parks, open space and drainage/flood facilities. Active Design Principles are located throughout each of the sections.

Multifamily Design Guidelines

The current Multifamily Design Guidelines are subjective and flexible in nature. This flexibility can work in an applicant’s favor because a project does not have to comply with every guideline listed in order for the hearing authority to find it “in compliance” with the Design Guidelines. However, this subjectivity can also create ambiguity and uncertainty for applicants and staff. The County is in the process of revising the Multifamily Design Guidelines Chapter to identify objective design standards instead. Each project will be required to meet the design standards, or utilize incentives to deviate from those design standards. The update will also remove the community context determination from the chapter. The intent of these updates is to increase the certainty of design review outcomes, make the document simple and user-friendly, and ensure consistency with State housing law, such as SB 35 (Wiener, 2017). It is anticipated that the County Board of Supervisors will adopt these updated by January 2022. Compliance with SB 35 is discussed in more detail in the Streamlined Approval for Affordable Housing section below.

South Sacramento Habitat Conservation Plan

The Board of Supervisors adopted the South Sacramento Habitat Conservation Plan (SSHCP) on September 11, 2018. The SSHCP streamlines federal and state permitting processes for development and infrastructure

projects while conserving habitat. The SSHCP encompasses a 317,000-acre area in south Sacramento County and is bordered by Highway 50 on the north, San Joaquin County on the south, El Dorado County and Amador County to the east, and the Sacramento River to the west, including Galt and most of Rancho Cordova. The SSHCP is led by a multi-jurisdiction collaborative that includes Sacramento County; the cities of Rancho Cordova and Galt; the Sacramento County Water Agency; the Sacramento Regional County Sanitation District; and the Capital SouthEast Connector Joint Powers Authority. Within the SSHCP plan area, 36,282 acres will become part of an interconnected preserve system, including approximately 1,000 acres of vernal pool habitat. Twenty-eight plant and wildlife species, and their natural habitats, will be conserved under the plan.

In addition to creating a large preserve area, the SSHCP will streamline state and federal permitting requirements of the Endangered Species Act and Clean Water Act. Projects subject to the State and Federal Endangered Species Act and Clean Water Act benefit from a streamlined permit process. The SSHCP also supersedes the County Swainson’s Hawk methodology for habitat compensation. In some cases, projects that were previously considered to have minimal habitat value, such as grassland habitat, will be required to pay SSHCP mitigation fees although the project may not have been subject to similar habitat mitigation fees prior to SSHCP adoption. This is due to additional local oversight of habitat impacts, which may have been missed at the State and Federal level, and the regional approach to habitat mitigation and conservation rather than a project level individual species approach. This will increase the cost of development for certain projects. However, the average project will pay smaller mitigation fees, particularly projects that impact wetlands and other waters. The mitigation fees for land cover types currently range from $17,759 per acre for agriculture to $209,567 per acre for vernal pools and may be subject to annual adjustment.

Affordable Housing Ordinance

The County's current Affordable Housing Ordinance became effective on March 27, 2014. The Ordinance requires developers to pay a fee per each habitable square foot of each market rate residential unit or comply using another option. Fees collected through the Affordable Housing Ordinance are used to produce housing affordable to lower-income households. The fee is currently set at $3.04 per habitable square foot and is adjusted annually based on the Building Cost Index 20- City Average. In addition to payment of the fee, developers may also take one of the following actions to comply with the Affordable Housing Ordinance:

• Enter into a development agreement with the County for a fee credit for land dedication, construction of affordable housing units, or other mechanisms that will lead to production of affordable units during the entitlement process for your residential project.
• Purchase credits for affordable housing units banked with SHRA.
• Comply with Existing Affordable Housing Plan approved at the time planning entitlement was approved. If the approved affordable housing plan consists of a fee, then the fee would be set by program guidelines.

CODES AND ENFORCEMENT

Building Codes

Building codes establish minimal standards and specifications for structural soundness, safety, and occupancy. State law (California Code of Regulations, Title 24) requires cities and counties to adopt minimum residential construction standards based on industry uniform codes. The latest version of Title 24 includes the 2019 Building Energy Efficiency Standards. This Code includes adopted mandatory building regulations for all new construction to achieve reductions in greenhouse gas emissions, energy consumption and water use. New requirements include residential photovoltaic systems for all new residential development.

The County regulations on building construction adhere to the most recently approved edition of the California Building Standard Code (CBSC), the Uniform Mechanical Code, the Uniform Plumbing Code, and

the National Electrical Code. Only two County amendments to the codes have been adopted, neither one adding significantly to the cost of a housing unit. The first amendment requires gravel to be placed under concrete slabs for drainage purposes. The second amendment requires a 100-ampere (amp) main disconnect in all residential structures.

The Sacramento County Building Permits and Inspection Division, within the Office of Development and Code Services, is primarily responsible for enforcing building codes. Building code enforcement is conducted through scheduled inspections of new construction, remodeling, and rehabilitation projects. Inspections are also conducted in response to public complaints or an inspector’s observation that construction is occurring without proper permits. The usual process after the receipt of a complaint is to conduct a field investigation. If the complaint is found to be valid, voluntary compliance is elicited through a combination of letters and phone calls and/or site visits. In extreme cases where deficiencies are severe and appeals for voluntary solutions to alleviate problems are unsuccessful, the County may declare the unit as a safety and health hazard and legal compliance may be forced through action taken by the County Counsel’s office.

Enforcement of building codes is typical of all California jurisdictions and, therefore, is not a significant governmental constraint.

ONSITE AND OFFSITE IMPROVEMENT STANDARDS

This section identifies and analyzes required improvements to street widths, curbs, gutters, sidewalks, water and sewer connections, landscaping, circulation improvement, and any other onsite/offsite improvement required by Sacramento County that could potentially be a constraint to the development of housing. In addition, it describes generally applicable level of service standards and mitigation thresholds.

It is important to recognize that improvement standards exist to set a uniform and equitable development framework that assures access for all people. Sidewalk, landscaping, transit and curb improvements benefit people with mobility devices, pedestrians and cyclists. People may choose to not own a car and instead use that money for housing when a neighborhood provides equitable access to a variety of travel modes. As such, it is not always appropriate to conclude that requiring new housing to construct its fair share of improvements is an impediment to housing. It may actually support a person’s ability to secure housing they can afford by eliminating reliance on one or more vehicles as a source of transportation.

The following is a description of Sacramento County’s most common roadway and sidewalk standards in residential areas.

Improvement Standards

Sacramento County publishes its adopted 2018 improvement standards on the County Engineering Section webpage. These standards cover the design of streets, streetlights, sound barriers, sanitary sewer, water supply, and storm drain systems.

Current standards for common residential roads are as follows:

• 32-foot street width with 5-foot attached sidewalk or 5-foot detached sidewalk separated from the curb by 6-foot landscaped buffer for minor residential streets serving less than 400 units.
• 38-foot street width with 5-foot attached sidewalk or 5-foot detached sidewalk separated from the curb by 6-foot landscaped buffer for primary residential streets serving more than 400 units but less than 700.
• 48-foot street width with 5-foot sidewalk separated from the curb by 8-foot wide landscaped buffer for collector streets serving more than 700 residential units.
• 60-foot street width with 5-foot sidewalk separated from the curb by 8-foot wide landscaped buffer for major collector streets.
• In pedestrian districts (as identified in the Pedestrian Master Plan), the required sidewalk width is 8 feet. Also, commercial corridors may require higher-level of development standards which may include additional rights-of-way and wider sidewalks to encourage greater use.

Sacramento County also has landscaping requirements including water efficiency requirements that are required pursuant to State law. Additionally, consistent with State law, Sacramento County has changed CEQA triggers of traffic impact from a Level of Service (LOS) standard to a Vehicle Miles Traveled (VMT) standard. Local traffic analyses are still required to determine the need for traffic improvements related to safety and overall level of service but this analysis occurs outside of CEQA. Per Circulation Element Policy CI-9, these thresholds are LOS D in rural areas and LOS E in urban areas unless not feasible.

None of the County's thresholds or off-site improvement standards specifically target residential uses. The County does not use improvement standards or level of service thresholds as a means to restrict or discourage residential development and the provision of housing. In fact, the County provides numerous allowances for relief from improvement standards. For example, the Sacramento County traffic analysis guidelines contain screening thresholds that allow smaller projects to avoid traffic impact analysis, and therefore the time, expense and off-site improvements associated with such analysis, if their estimated average daily trips are less than 1,000 and peak hour trips are less than 100. The published improvement standards allow a developer in an infill area with less than 300 feet of frontage, to request to build improvements to older standards. As another example, Sacramento County Code 16.120.050 provides a 15-month fee deferral program for single- and multi-family development projects for their transportation development fee. Additionally, County Code 12.03.050 provides time deferment of improvements when less than 50 percent of the street frontage within ¼ mile of the project is improved or if costs are equal to or greater than 20 percent of the fair market value of the unit.

Water and Sewer Connections

In Sacramento County, regional sewer treatment and collection is handled by the Sacramento Regional County Sanitation District (SRCSD) and local neighborhood level collection (less than 10 million gallons per day, AKA trunk sewer and smaller) is handled by the Sacramento Area Sewer District (SASD). One of over 20 private water purveyors or the Sacramento County Water Agency provides water service in Sacramento County.

For sewer service, the developer must construct all lines within a subdivision and pay a trunk connection fee to SASD per dwelling unit. In addition to the connection fee, the developer must pay a fee to SRCSD for each single-family unit constructed. If the development is located in an area of the County where annexation to the sanitary district becomes necessary, an additional annexation fee is required. There are similar connection fees for water, which vary depending on the exact location of the lot and the water purveyor providing the service. The County's sewer and water service providers do not restrict the number of water or sewer connections but do have an overall service capacity and operate on a first come, first serviced basis.

Program B12 in the Housing Action Plan Chapter ensure compliance with California Government Code Section 65589.7, which requires the County to prioritize providing water or sewer services to proposed developments that include housing units affordable to lower income households.

FEES AND EXACTIONS

This section identifies and analyzes permit processing and planning fees, development and impact fees as well as fee deferral and waiver programs.

Project Application Fees

The County charges fees for processing land use entitlement requests. These fees are intended to cover the County's costs of reviewing and preparing recommendations on variety of minor and major development proposals. Table 42 summarizes planning application fees that were effective as of January 7, 2019. Many of the fees are billed on a time and materials basis and increase each year based on actual costs and to reflect Cost of Living Adjustments (COLAs) and similar increases in overhead. Lower level items are a flat fee which has not been indexed and requires an increasing amount of general fund subsidy each year

For the time and materials projects, actual fees charged often match the deposit amount but there are situations where the fees exceed the deposit. The Office of Planning and Environmental Review consults with affected groups, including building industry representatives, before revising these amounts.

In response to a comment received during the Housing Element review process regarding the impact of the cost of Conditional Use Permit (CUP) fees on housing, an analysis of fees charged in recent years concludes that such fees are not an impediment to housing production. For example, in Fiscal Year 19-20, there were eight total projects where a use permit to the Planning Commission was the entitlement and none of those were for housing projects. In Fiscal Year 20-21, there were a total of five projects where a use permit to the Planning Commission was the entitlement of which two were housing projects; however, one was for a single-family home on a site with sensitive environmental and cultural resources that triggered CEQA review while the other was for a 20-unit infill project on a site under one acre in the Business Professional (BP) zone. Program B7 in the Housing Action Plan Chapter addresses removing the CUP requirement for multifamily in the BP zone. CUPs are used for projects that need to deviate from standards and warrant significant staff time or analysis.

Source: Sacramento County Planning Application Fee Schedule, effective January 7, 2019.

Impact Fees

The following sections cover fees collected for the County and special districts that are used to finance the cost of major capital improvements or mitigate project-related impacts.

All development impact fees are publicly accessible on the County Engineering Division webpage. Applicants may also submit a Development Impact Fee Calculation Request Form to the Site Improvement & Permit Section (SIPS) to receive an estimate of the total impact fees that may be assessed for their project. In compliance with Government Code Section 65940.1, the County’s fees, Zoning Code, Design Guidelines, and Affordable Housing Ordinance are all posted to the County’s website.

Transportation Development Fees

The Sacramento County Department of Transportation administers a suite of funding sources to finance transportation improvement projects and programs. These sources include federal, state and local funding programs that allocate funds through direct subventions, formula allocations, competitive grants and earmarks. Two of the development related funding programs include the Sacramento County

Transportation Development Fee (SCTDF) and Transit Impact Fee (TIF) Program and the Sacramento Countywide Transportation Mitigation Fee (SCTMF).

The purpose of the SCTDF/TIF Program is to fund improvements to the County’s roadway, transit, bicycle and pedestrian facilities needed to accommodate travel demand generated by new development through 2050. It includes six fee districts encompassing the entire unincorporated area, each District with its own fee schedule. The SCTDF/TIF fee rates are adjusted annually based on Caltrans construction cost indices. Allocation of SCTDF/TIF funds to specific projects is based on project need and the availability of revenues within the program. Fee revenue availability is dependent upon the level of development activity. The per unit cost for a single family development less than 1,200 square feet ranges from $1,382.14 (Mather) to $19,644.20 (District 3). The per unit fee for multifamily development ranges from $895.25 (Mather) to $12,724.08 (District 3).

In 2004, Sacramento County voters approved a 30-year extension to the Measure A transportation sales tax. In addition to the sales tax extension, voters adopted the SCTMF that establishes a uniform development fee to be collected by all Sacramento County jurisdictions on new building permits. The fee studies and nexus analysis for the SCTMF were developed and adopted by the Sacramento Transportation Authority (STA). The County collects the fees with the issuance of new building permits in accordance with an agreement with the STA which defines all requirements associated with the collection, administration and use of the SCTMF. SCTMF fees are updated annually. SCTMF fees are reduced for senior housing projects. The per unit cost for single family projects that cater to senior households is $1,064 compared to $1,329 per unit for all other single family homes. The cost per unit for multifamily projects that cater to senior households is $796 compared to $930 per unit for other multifamily projects. These fees, as cited, are applicable through June 30, 2021.

Sewer Connection Fees

The Sacramento Area Sewer District (SASD) and the Sacramento Regional County Sanitation District (SRCSD) work in tandem to collect and treat wastewater. SASD is primarily responsible for collection at the local level, while SRCSD is a regional provider and is responsible for the larger conveyance pipes, known as interceptors, and wastewater treatment.

The SASD collects fees for any parcel connecting to the sewer system for the first time. The fair-share contribution cover costs associated with planning, design, construction, installation, administration, debt services, and other related costs for the District’s sewer collection system. Two factors determine SASD’s connection fee amounts, whether the subject parcel was legally created prior to July 1, 2003, and whether the site is located within the confines of a defined “relief” or “expansion” area. Generally, relief areas are defined as build out or urbanized areas, such as Orangevale, Arden Arcade and Carmichael. The bulk of the expansion areas in the County are located south of Highway 50. Connection fees for single-family uses on sites created prior to July 1, 2003 are $748 per unit in relief areas and increase to $3,301 per unit in expansion areas. Of the $3,301 per unit cost in expansion areas, SASD covers $530 and the developer covers the remaining $2,771. The post-July 1, 2003 fee structure changes to a per net acre calculation; the fee is $4,489 per acre in relief areas and $19,806 per acre in expansion areas. Of the $19,806 per acre cost, SASD covers $3,177 and the developer covers the remaining $16,628. Fees for connection to multifamily projects are $4,489 per acre in relief areas and $19,806 per acre in expansion areas with the same breakdown of SASD versus developer costs. These fees, as cited, are applicable through June 30, 2021.

The SRCSD also charges sewer impact fees categorized by new communities and infill communities. The district’s connection charge for single-family development in new growth areas is $6,479 per dwelling and $3,602 per unit for infill projects. The district’s connection charge for multifamily development in new growth areas is $4,859 per dwelling and $2,701 per unit for infill projects. The district assesses a reduced fee of $3,887 per unit in new growth areas and $2,161 per unit in infill areas for age-restricted residential development.

Drainage Fees

The Drainage Division of the Sacramento County Department of Water Resources provides drainage facilities and maintenance within the unincorporated area of Sacramento County. The Drainage Division facilitates the construction of drainage facilities, is responsible for the maintenance of drainage facilities, and provides minor improvements to existing facilities. Funding sources differ for construction and maintenance of drainage facilities. Property owners often finance construction of facilities. Drainage fees are collected at the time the property is developed and such funds are used to construct trunk drainage facilities. The current drainage fees vary based on the zone of the new residential development (Zone 11A, 11B or 11C), when the development was approved, the density of the development and the amount of impervious surface created by the development. For example, a development of four single family dwelling units on one acre in Zone 11A would cost $17,786 total and $4,447 per unit. A development of 20 multifamily units on one acre in Zone 11A would cost $22,350 total and $1,117.5 per unit.

Public Facilities Financing Plan Areas

Examples of area-specific financing plans include the Antelope Public Facilities Financing Plan Development Impact Fee Program (Antelope Fee Program), the Mather Field Public Facilities Financing Plan, the North Vineyard Station Specific Plan Development Impact Fee Program (NVS Fee Program), and the Florin Vineyard Community Plan Fee Program (FVCP Fee Program). All of these programs help fund various levels of roadway and transit improvements, water supply and drainage facilities, parks, and library facilities. The County typically collects impact fees at the time of building permit issuance rather than upfront or at project initiation. Deferment of fees can be a significant benefit to project developers.

Comparison with Other Jurisdictions

County staff prepared a residential fee comparison analysis for processing fees, development impact fees, school impact fees, plan area impact fees and finance districts in 2019. Figure 5 illustrates fees for a single family prototype while Figure 6 illustrates fees for a multifamily prototype. The analysis found that the Sacramento County financing plan area fees for single family development are comparable or even less than fees for new development areas in surrounding jurisdictions, such as Bass Lake Hills in El Dorado County, Laguna Ridge in Elk Grove, and the Folsom Sphere of Influence. Similarly, the analysis found that Sacramento County financing plan area fees for multifamily development are less than fees for areas such as Laguna Ridge in Elk Grove, Westpark Solaire in Roseville, and the Folsom Sphere of Influence. The County's existing communities, such as Carmichael and Elverta, tend to have even lower fees. Some new development areas such as Greenbriar in the City of Sacramento, have substantially lower fees for both single and multifamily development.

Figure 5: Fee Comparison for Single Family Prototype

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Source: Sacramento County Special Districts staff, 2019

Sacramento County Housing Element

Figure 6: Fee Comparison for Multifamily Prototype

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Source: Sacramento County Special Districts staff, 2019

A comment was received during the Housing Element review process regarding the offsite infrastructure costs to develop in some plan areas, including specifically the North Vineyard Station Specific Plan (NVSSP) area. Staff note that there have been units constructed in the Vineyard area including 1,400 units in the NVSSP. The adjacent Florin Vineyard Community Plan (FVCP) area is planned to accommodate 9,919 residential units of which 301 are constructed, 1,309 are approved and 935 units are pending approval.

County staff and the Board of Supervisors have been very focused on appropriately managing fee costs, while still ensuring that adequate infrastructure and services can be provided in these new growth areas. Since the initial assessment of potential governmental and non-governmental constraints, several specific actions have been undertaken.

On April 20, 2021, County staff presented to the Board recommendations for County participation in the Bond Opportunities for Land Development (BOLD) financing program and expansion of the County’s existing participation in the Statewide Communities Infrastructure Program (SCIP). The BOLD and SCIP programs were created by the California Municipal Finance Authority (CMFA) and the California Statewide Communities Development Authority (CSCDA), respectively, to offer a means to finance new or continuing construction of infrastructure and public facilities through bonds issued by the CMFA and CSCDA. The BOLD and SCIP Programs are designed to help public agencies and land developers throughout the State work together to effectively finance public infrastructure projects and development impact fees. These two programs are another option to the existing ability for developers to form Mello-Roos community facilities districts to pay for infrastructure.

On March 23, 2021, the Board directed staff to update the Transportation Mitigation Strategy for the North Vineyard Station Specific Plan and to amend the Specific Plan to implement this strategy. This is intended

Housing Element 7-23

to build upon a prior action taken in June 2020 where the Board approved an Interim Transportation Mitigation strategy for the Florin Vineyard Plan area to facilitate development of at least 1,325 units. This action was based on the fact that the County has funding to deliver certain roadway improvements (South Watt Avenue/Elk Grove Florin Road widening and Jackson Road/Bradshaw Road intersection improvements) with other funding sources, thereby relieving the plan area developments from the cost of those major roadway improvements. The more recent March 2021 approach is intended to facilitate the near term construction of at least 4,070 units by deferring some road improvements such that plan area development does not have to carry those costs long term. This Transportation Strategy will developed by the end of 2021 and formally adopted into the Plan during 2022.

Therefore; with the steps taken by Sacramento County to reduce infrastructure cost and facilitate the construction of housing units in the NVSSP and Florin Vineyard Plan area these costs have been lessened and are not a constraint to development.

Deferral and Waiver Programs

The County’s impact fees may constitute a significant barrier to residential development. In order to delay or reduce these costs, the County has adopted the Fee Deferral Program for Residential Projects and the Affordable Housing Fee Deferral and Waiver Program.

Under the Fee Deferral Program (Sacramento County Code 16.120), single-family and multifamily development projects may receive deferrals for the following County fee programs: Antelope Public Facilities Financing Plan Area, North Vineyard Station Specific Plan Area, Vineyard Public Facilities Plan Area, and SCTDF and TIF. The Fee Deferral Program allows for a fee deferral period of up to 15 months from the date of issuance of permits.

The Board of Supervisors also adopted the Affordable Housing Fee Deferral and Waiver Program (Sacramento County Code 16.100) to reduce the fee burden for affordable housing projects. Qualifying projects are those with at least 10 percent of units affordable to very low-income households or at least 49 percent of units affordable to low-income households. Qualifying projects may receive deferrals or waivers for the following County fee programs: Antelope Public Facilities Financing Plan Area, North Vineyard Station Specific Plan Area, Vineyard Public Facilities Plan Area, and SCTDF and TIF. In addition, qualifying projects may also apply for fee deferrals or waivers from impact fees assessed by SASD, SRCSD, and SCWA. Waivers are capped annually at 200 units or 5 percent of residential permits issued in the County in the previous year, whichever is greater.

The County will consider adopting amendments to the existing fee deferral and waiver programs or adopting additional fee waiver or deferral programs to delay and/or reduce the development of affordable housing. Potential amendments include increasing the annual waiver cap. This action is included as program B10 in the Housing Action Plan Chapter of this Housing Element.

PROCESSING AND PERMITTING PROCEDURES

This section describes and analyzes the types of permits, extent of discretionary review including required approval findings, procedures, and processing time required for residential development by zoning district. Non-discretionary staff level approvals are addressed in the following section. The section describes and analyzes the permit and entitlement process for a typical single-family unit, multifamily project, and accessory dwelling unit. It describes and analyzes all permits applicable to residential development, including conditional use permits and other mechanisms that place conditions and performance standards on development.

The County’s hearing authorities involved in the consideration of discretionary housing developments ranging in authority from lowest to highest are: Zoning Administrator (a management-level staff acting as a hearing authority), Subdivision Review Committee, Planning Commission, and the Board of Supervisors. When a project is not principally permitted or does not meet development standards, it must receive approval from the designated hearing authority. Projects that are permitted and meet development standards are able to undergo a staff level Design Review, which is explained later in this section. Generally, the cost, complexity and timeframe required for approval rises with the level of hearing body. Since the

last Housing Element update, the County has completed a major update to its Zoning Code. The intent of the update was to lower the approval body authority required for entitlements and to allow more uses by right, streamline processing, reduce certain standards, and provide more certainty to developers.

Table 43 below summarizes the Zoning Code’s required approval authority for various residential uses. For residential uses consistent with the General Plan, Community Plan and Zoning, the highest hearing body approval required is a Conditional Use Permit from the Planning Commission. The County does not require Board of Supervisors approval for any residential land uses that conforms with zoning. As shown, the County allows attached single-family and multifamily uses by right in all multi-family zones of 15-units to the acre and higher, all mixed-use zones and in the Limited Commercial (LC)¹ and General Commercial (GC) zones. Single-family housing is allowed by right in all agricultural, residential, and multi-family zones and most mixed-use zones. The Zoning Code currently allows duplexes and halfplexes by right in zoning districts RD-15 through RD-40 and with a Use Permit from the Zoning Administrator in zoning districts RD-5, RD-7 and RD-10.

The County is exploring the potential for further amendments to the Zoning Code to permit multifamily projects by right in the BP zoning district. The County will also explore amendments to the Zoning Code to allow for more missing middle or naturally occurring affordable housing product types. These actions are included as implementation programs in the Housing Action Plan Chapter of this Housing Element. In addition to these changes, the County is exploring an increase in the number of zoning districts that would allow duplexes and halfplexes by right through the County’s SB 2 Planning Grant Program.

Table 43: Zoning Code Table 3.1: Allowed Uses

| Zoning Districts | Agricultural | Agricultural Residential | Residential | Recreation | Mixed Use | Commercial | Industrial | Use Std. | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Use, Service, or Facility | AG-20 through AG-160 | UR | IR | AR-10, AR-5 | AR-2, AR-1 | RD-1 | RD-3 | RD-4 | RD-5, RD-7, RD-10 | RD-15 through RD-40 | RM-2 | RR | O | C-O | NMC | CMC | CMZ | BP | LC | GC | MP | M-1 | M-2 | | | Duplex or Halfplex | | | | | | | | | UPZ¹ | P | P | | | | | | | | | | | | | 3.5.1.B | | Multiple Family | | | | | | | | | UPZ² | P | | | | | P | P | P | UPP | P | P | | | | 3.5.1.C | | Single Family Attached | | UPZ | UPZ | | | UPZ | UPZ | UPZ | P | UPZ | UPZ | | | | P | P | P | UPP | P | P | | | | 3.5.1.D | | Single Family Detached | P | P | P | P | P | P | P | P | P | P | P | UPP | | | P | UPM | P | UPP | | | | | | 3.5.1.E | | Mobile/Mfg. Home | P | P | P | P | P | P | P | UPM | UPM | P | UPM | UPP | | | | | | | | | | | | 3.5.1.G | | Mobile Home Park | | | | | | | | | | P | | UPZ | | | | | UPP | UPP | | | | | | 3.5.1.H |

Table 43: Zoning Code Table 3.1: Allowed Uses

Allowed in multifamily and RM-2 zones only if developed as a duplex or halfplex.

Permit Processing Times

The time it takes to review and approve a residential development proposal can increase the cost of construction due to inflation and the developer’s carrying costs during this period. The County has monitored the length of time it takes to process several different types of applications, from General Plan amendments to use permits. Table 44 provides an estimated time for completion for these types of applications.

The County must comply with procedural requirements set forth in State law for environmental review, subdivision review, and planning actions, including General Plan amendments, rezoning, and use permits. State law establishes hearing requirements, review periods, public notification, and time limits for various actions with which local governments must comply. The requirements are not only mandatory but must be completed in a specific order.

The County has adopted several strategies to reduce approval times for residential development proposals and the impact that lengthy approval processes have on development costs. These strategies include using administrative review and approval for certain types of development proposals, permitting multifamily and special needs housing by right (without a conditional use permit) in specified zones, adopting specific conditional use permit criteria to reduce uncertainty in the decision-making process, and establishing the Project Review Committee to identify issues early in the process (described in more detail below).

Source: Office of Planning and Environmental Review staff, 2020

To minimize disruptions in the project review process, staff works with the applicant to achieve a completed application that conforms to the various procedural, design, and zoning requirements. Processing times vary depending on the size and complexity of the project, the completeness of the application, and the conformance of the project to the Zoning Code requirements. This process often takes place before the formal submittal of an application and review period begins.

Permit and Entitlement Process for Typical Residential Projects

Design Review is required for residential subdivisions and lot division requests over a certain size as described in County Zoning Code Section 6.3.2. Design Review is processed concurrent with the subdivision process. Design review is not typically required for new homes on existing lots and in most cases, the construction of a single-family residence is only subject to the issuance of a building permit provided the zoning and parcels are in place. However, there are certain limited areas in the County and circumstances where an applicant will have to attain additional entitlements, such as a use permit, or undergo a staff-level design review. This raises the cost of development for the applicant but not to a significant degree. For example, an applicant constructing a residence in the Parkway Corridor Combing Zone that is visible from the American River Parkway but outside of an erosion zone will be required to pay fees for a staff level design review, which is relatively inexpensive compared to discretionary entitlements (Table 42) and usually takes 1 to 3 months to complete.

Multifamily projects are typically subject to a design review using the adopted Multifamily Design Guidelines, and issuance of building permits if the zoning is in place. Projects that have 150 units or less are required to attain a "staff level" design review while projects comprising more than 150 units are subject to the approval of a non-discretionary design review by the Planning Commission. A staff level design review takes significantly less time and money to attain than that reviewed by the Planning Commission.

Pursuant to the Interim Accessory Dwelling Unit Standards, ADUs and JADUs that comply with development standards are allowed by right in most zones in Sacramento County (Table 43). ADUs and JADUs that do not meet required development standards must request deviations through the Special Development Permit process. This process is described in more detail below.

Project applications are initially reviewed by the Project Review Committee (PRC), which can identify potential problems early in the development process. Design review may initially increase the entitlement processing time for a multifamily project but the potential improvement of the project's design increases public acceptance and reduces the length of the public hearing process. Staff gives priority and special handling to affordable housing projects in order to meet funding deadlines.

Project Review Committee

The purpose of the Project Review Committee (PRC) is to reduce permit processing times for residential and nonresidential projects. The PRC meets to identify issues early in the entitlement process. This committee is comprised of representatives from County departments and outside agencies involved in the development process. There are three components to PRC review: initial review to identify any potential problems, review of conditions of approval, and troubleshooting when needed.

Community Planning Advisory Councils (CPACs)

The County established CPACs to facilitate and invite direct citizen participation in the planning process. The councils provide a forum for the review of proposed amendments to plans, zoning matters and use permits. The council’s 14 geographical areas of responsibility correspond to the community planning areas established by the County. CPAC review is advisory only, and the County tries to reduce additional delay by scheduling the CPAC review concurrently with staff review of applications.

In summer 2020, the Board of Supervisors approved amendments to the CPAC process in order to streamline development approvals, reduce unnecessary continuances, comply with requirements of SB 330 allowing no more than five hearings for housing developments, and to provide more certainty to developers, while still maintaining direct citizen involvement. The major components of the process improvements include that CPACs cannot continue housing projects but must act upon them in one CPAC meeting and projects are no longer automatically bumped to a higher hearing authority when a CPAC recommends denial. This allows a controversial housing project to remain at the original hearing authority.

Conditional Use Permits

Conditional Use Permits (CUP's) are required to insure the proper integration of uses that may be suitable only in certain locations or zoning districts because of their special nature and/or potential for becoming

nuisances. Certain uses may also only be suitable when they can be controlled or designed in a particular manner. Details regarding permitted and conditional residential uses for each zone are provided in Table 43. The County uses the CUP process to establish building standards and reasonable use conditions, not to regulate the users or occupants.

Potential concerns addressed by the use permit include factors such as noise, dust, dirt, litter, fumes, odors, vibrations, and traffic congestion. Conditional uses are those that need special review to determine their compatibility with the surrounding area and to establish special conditions to maintain harmony with the neighborhood.

The County’s CUP process gives three different entities decision-making responsibility over CUP applications: the Zoning Administrator, the Planning Commission and the Board of Supervisors. As projects become more complex and controversial, they are heard by the Planning Commission and/or Board of Supervisors.

The County may require guarantees in the form of bonds, cash deposits or other evidence of good faith to secure compliance with imposed conditions. Such conditions may include but are not limited to:

• dedication of right-of-ways;
• improvements of vehicle access to the subject property to County standards;
• regulation of the placement of the use or building on the subject property;
• regulation of height, number of stories;
• regulation of the nature, hours of operation, extent of use; and
• regulation of landscaping for the protection of adjoining and nearby properties.

Special Development Permits

The intent of a Special Development Permit is to balance opportunities for greater creativity and flexibility in design while still providing adequate protection of the environment and the health, safety and comfort of local residents. A Special Development Permit may be issued to: 1) encourage a creative and more efficient approach to the use of a specific area of land, 2) maximize the choice in the type of environment available to residents in the unincorporated County, 3) encourage more efficient allocation and maintenance of private open space by redistributing overall density, and 4) provide economy in housing opportunities.

The Zoning Administrator typically hears applications for Special Development Permits unless the project has bundled other entitlements requiring a higher hearing authority. However, to the County is considering reducing the hearing authority for certain projects through the creation of a staff level Special Development Permit for multifamily, duplex/halfplex, and single-family projects which deviate from development standards but do not otherwise require an entitlement. This work is being accomplished through the County’s SB 2 Planning Grants Program.

Density Bonus

Sacramento County Zoning Code Section 6.5.4 incorporates the State Density Bonus Law. State Density Bonus Law incentivizes affordable housing development by allowing projects to exceed maximum residential densities and by providing waivers from development standards. AB 1763 (2019) made significant changes to State Density Bonus Law. The changes include an increased density bonus allowance; changes to housing for veterans, foster youth, people experiencing homelessness, and college students; and inclusion of a waiver of the maximum density if the project meets certain criteria.

Zoning Code Section 6.5.5 includes provisions for the Housing Incentive Program (HIP), developed as a part of the previous 2013-2021 Housing Element. HIP provides density bonus incentives to multifamily developments that include units for individuals with special needs such as large households, people with disabilities, seniors, low-income households, and veterans. New developments of at least five housing units in areas zoned RD-20 and above or commercial within the unincorporated County may be eligible for a density bonus of up to 15 percent and a waiver of one multifamily development standard.

To comply with changes to State Density Bonus law, the County must amend Zoning Code Section 6.5.4. The County is also considering amendments to HIP to provide additional incentives for housing developers. These actions are included as program E4 in the Housing Action Plan Chapter of this Housing Element.

Design Review

The Design Review Administrator (DRA) and the Design Review Advisory Committee (DRAC) review projects for conformance with Design Guidelines. The DRA review and approves staff-level non-discretionary Design Reviews while the DRAC reviews discretionary projects and provides the final hearing authority with a recommendation. Applicants whose project require a staff-level non-discretionary design review may first meet with the DRA in a pre-application meeting. After this meeting, the applicant submits application to PER for processing. The DRA reviews and approves the project’s conformance with the Countywide Design Guidelines. For discretionary projects, the DRAC review occurs during the normal project review process. The DRAC prepares conformance recommendations that are included in the project staff report to the hearing authority, where the entitlements are considered as well as the design review.

Although a fee is charged for design review and design review requirements include some general standards for materials and construction quality that have the potential to increase costs, the improvement of the project’s design increases public acceptance and may reduce the length of the public hearing process. In addition, as part of work related to the SB 2 Planning Grant Program, the County is currently revising the design guidelines to eliminate subjectivity and make them more objective in order to maximize developer certainty and minimize project delays.

Streamlined Approval for Affordable Housing

Sacramento County offers a streamlined approval process for affordable housing consistent with Government Code §65913.4 (SB 35, 2017). SB 35 requires cities and counties to streamline review and approval of eligible affordable housing projects by providing a ministerial approval process and exempting such projects from environmental review under the California Environmental Quality Act (CEQA). This process does not allow discretionary public hearings; only design review or public oversight is allowed, which must be objective and strictly focused on assessing compliance with criteria required for streamlined projects as well as objective design review of the project.

Applicants intending to invoke SB 35 streamlining and ministerial approval processes must first submit a SB 35 Application Form – Preliminary SB 35 Eligibility Determination to PER along with supporting documentation, as required. If the project is determined to be eligible for SB 35 streamlining, County staff will provide an approval letter within seven days and a development application can then be filed for formal processing. Once the full development proposal is filed, PER will approve or deny the project within 90 days after application submittal for projects of 150 or fewer units, or within 180 days for larger projects.

Sacramento County also offers a Preliminary Application Form for applicants seeking vesting rights for housing developments pursuant to SB 330 (2019). After submitting their Preliminary Application and filing fee, applicants have 180 calendar days to submit a complete planning entitlement application, or the Preliminary Application will expire. The County charges a planning review fee of $165.11 for each SB 330 Preliminary Application Form.

NONGOVERNMENTAL CONSTRAINTS

This section describes nongovernmental constraints including land costs, construction costs, availability of financing, requests to develop housing at densities below that anticipated in the housing element, the length of time between approval and submittal of application for building permits, and public concerns.

LAND COSTS AND CONSTRUCTION COSTS

A study by the Terner Center for Housing Innovation¹ analyzed the costs of developing a market-rate, mid-rise, rental apartment building prototype in three different areas of California: the East Bay, the South Bay, and Sacramento. The Terner Center study determined land cost by using comparable sales of land in each of the three markets. According to the study, in Sacramento, the prototype was significantly less expensive due to lower construction and land costs.

Construction costs include labor, materials, and mechanical systems. These are also referred to as hard construction costs and they are the most significant component of any housing development. Single-story, wood-framed structures are the least costly to build, whereas multi-story steel-reinforced, poured-in-place concrete structures are the most expensive. According to the Terner Center study, the hard costs in the East Bay were the highest at $46,169,455 ($384,745 per unit). In the South Bay, the hard costs were similarly high at $42,040,091 ($350,334 per unit). In Sacramento, the hard costs were the lowest at $29,599,500 ($246,662 per unit).

The land costs are typically determined by the amount of funds that a developer has left over after accounting for their hard and soft costs, or costs associated with design. This cost includes costs associated with closing on the land, as well as due diligence reports. In the East Bay, the land cost for the prototype was the highest at $7,858,500 ($65,488 per unit). In the South Bay, the land cost was similarly high at $6,045,000 ($50,375 per unit). In Sacramento, the land cost was the lowest at $4,231,500 ($35,263 per unit).

While land and construction costs in the Sacramento area are lower than areas like the Bay Area and Los Angeles, the cost to build in California overall is high and continues to increase. According to a report on the cost to develop apartment buildings by the Terner Center², the per-square-foot hard costs for constructing multifamily housing in California increased by $44 between 2008-2019 and 2018, a 25 percent increase.

This increase is due, in part, to increasing costs of materials and labor trends. The increased cost of material are due to several factors, including global trade patterns and federal policy decisions, such as tariffs, as well as state and local regulations, such as building codes. In addition, the supply of construction workers in California has not kept up with the demand for construction since the recession. This shortage leads to increased labor costs and project delays, in instances where workers are either not available or leave during a job to take on a more profitable project.

AVAILABILITY OF FINANCING

The availability of financing is a critical factor that can influence the cost and supply of housing. Housing developments require capital used by developers for initial site preparation and construction and capital used by homeowners and investors to finance the purchase of units. Financing is largely impacted by interest rates. Small fluctuations in interest rates can dramatically influence the ability to qualify for a loan.

Mortgage interest rates are at historically low levels, around 3 percent for a 30-year fixed mortgage³. Those households that have not been monetarily impacted by the coronavirus pandemic may find that the current low rates make it easier to finance home purchases. Rates are expected to remain low in the coming years. While interest rates for development and construction are generally higher than interest rates for

home purchase, financing for new construction is generally available at reasonable rates. However, the economic uncertainty resulting from the coronavirus pandemic may have lasting effects on financing throughout the planning period. Lenders may scrutinize applicants more closely than in the past, reducing the availability for financing despite affordable rates.

AB 879 REQUIREMENTS

AB 879 (2017) requires housing elements to include additional analysis of nongovernmental impediments such as the requests to develop housing at densities below that anticipated in the housing element and the length of time between approval and submittal of application for building permits.

Several large-scale residential projects are detailed in below in order to illustrate the length of time between approval and building permit application submittal. For each project listed below, the applicant waited one year or more after receiving project entitlements to apply for the first building permit for the development.

During the 2013-2021 planning period, the County received six requests to develop non-residential uses on commercially zoned sites that were included in the inventory. The Housing Action Plan chapter includes programs A6 and B7, which will incentivize residential development on commercially zoned properties and reduce the risk that commercial sites on the County’s lower-income inventory develop with nonresidential uses.

The County also received two requests to develop at a lower density on a residentially zoned site in the inventory during the planning period. The Vineyard Creek Tentative Subdivision Map project is located in the Vineyard Community on a site identified in the previous Housing Element Land Inventory. The previous Housing Element anticipated that the site would develop at a density of 20 dwelling units per acre and could provide 128 units affordable to lower-income households. The developer requested to develop at 12.5 dwelling unit per acre instead, or 79 single-family units on small lots. County staff recommended denial of the project but the County Planning Commission approved the project based on the applicant’s argument that it provided a “missing middle” product not otherwise available in the immediate area. The other request to develop at a lower density was for the Tierra del Sol project in the Antelope Community. The previous Housing Element anticipated that the site could provide 86 units affordable to lower-income households but the developer requested to develop 73 single-family townhomes, another “missing middle” product type. Because there were only a few projects during the planning period that requested to develop at a lower density than anticipated in the previous Housing Element, these requests do not constitute a barrier to housing production.

PUBLIC CONCERNS

Affordable housing projects, as with other land use entitlement projects, are typically subject to review by citizen boards or public officials during hearings for project approvals. Public concerns about higher density and affordable housing, often referred to as a "Not in My Backyard" or NIMBYism, can lead to project denials or costly delays. Development in general evokes fears of more congested streets and a rising need for new infrastructure facilities such as schools. In particular, affordable housing development can evoke fears of decreased property values and increased crime rates and may act as a constraint to the provision of some types of housing. Empirical evidence suggests that affordable housing developments that are designed and managed well do not contribute to increases in crime rates or traffic or decreased in property values. The public perception remains, however, and must be addressed each time a new proposal for lower income housing is submitted to the County.

The County will seek to balance the need for public participation with its potential to affect housing development and, as discussed in the Processing and Permitting Procedures Section, has modified CPAC procedures to minimize excessive hearings and to minimize delays. In addition, the County will prepare an outreach strategy to educate members of the public and hearing bodies about affordable housing and emergency housing to increase community support for affordable housing. This action is included as program B5 in the Housing Action Plan Chapter of this Housing Element.

CHAPTER 8: LAND INVENTORY

The provision of an adequate supply of suitable sites for the development of a range of housing that varies sufficiently in terms of cost, design, size, location, and tenure to meet the housing needs of all segments of the County’s population is one of the seven goals of this Housing Element. Pursuant to State housing element law (California Government Code Section 65583 and 65583.2), cities and counties are required to prepare a parcel-specific inventory of appropriately zoned, available and suitable sites that can provide realistic opportunities for the provision of housing for all income levels.

Sacramento County has assembled this sites inventory as mandated by state law to determine the number of new housing units the County can accommodate in the unincorporated area during the RHNA Projection Period of June 30, 2021 to August 31, 2029. The chapter also explains how the sites inventory, along with a rezone program, will accommodate the County's allocation of the region's housing needs or Regional Housing Needs Allocation (RHNA). Program A1 Countywide Rezone Program (see the program description below), was adopted (Resolution Nos: 2024-0621 thru 2024-0632 and SZC Ordinance Nos: 2024-0009 thru 2024-0083) by the Board of Supervisors on August 20, 2024. The Countywide Rezone Program resulted in the rezone of 74 sites made up of 216.72 acres (195.50 acres for lower income units and 21.22 acres for moderate income units) with a realistic development capacity of 4,803 lower income units and 237 moderate income units. Where appropriate and required, this chapter has been amended (Housing Element Amendment 1) to reflect completion of the Countywide Rezone Program and Amendment 1; however, a new Appendix has been added to the Housing Element, Appendix E, to document the outcomes and analysis required by State Law post completion of the Countywide Rezone Program.

REGIONAL HOUSING NEEDS ALLOCATION

The RHNA for the planning period is established for each region in the state by the California Department of Housing and Community Development (HCD), as detailed in the Housing Needs Assessment Chapter.

The overall allocation is divided into four income categories:

• Very low-income: up to 50 percent of median countywide income, which also includes extremely low-income at less than 30 percent of median countywide income (Health and Safety Code section 50105);
• Low-income: 50 to 80 percent of median countywide income (Health and Safety Code section 50079.5);
• Moderate-income: 80 to 120 percent of median countywide income (Health and Safety Code section 50093); and
• Above moderate-income: over 120 percent of median countywide income.

Due to unmet needs for housing, the State and Regional housing projections are substantially higher than in prior periods. The 2021-2029 RHNA for unincorporated Sacramento County is 21,272 new units, which is an increase of 7,428 units over the previous 2013-2021 planning period of 13,844 units. As a percentage of the 153,512 units in the SACOG region, Sacramento County is assigned approximately 14 percent of units. The unincorporated Sacramento County allocation is a one-percent increase from its regional share in the prior cycle. And, while the overall number of units allocated to the County is substantially increased (including the total number of affordable units needed), the share of very low and low income units decreased by 5.1 percent from 38.7 to 33.6 percent from the previous cycle allocation.

The countywide median income for Sacramento County was $86,300 per year for a family of four in 2020 according to the California Department of Housing and Community Development. Based on the income definitions, Table 46 summarizes the income ranges for a 4-person household in each income category along with the share of the County’s RHNA by income category:

Source: Sacramento County Panning and Environmental Review, October, 2020.

SITES INVENTORY SUMMARY AND COMPARISON TO RHNA

(Note: During Amendment 1 process, the Sites Inventory Tables in Appendix C were supplemented with the completion of Program A1, Countywide Rezone Program. During the amendment process, mathematical errors were identified in the original inventory tables in Appendix C that modified numerical totals in this section. This section was modified with Amendment 1 to reflect the land inventory metrics prior to completion of the Countywide Rezone Program.)

Government Code Sections 65583 and 65583.2 require a parcel-specific inventory of appropriately zoned, available and suitable sites to provide opportunities for the provision of housing to all income segments within the community. The sites inventory addresses how the County can meet projected housing needs. While the inventory analyzes sites available for the construction of new housing at all income levels, particular focus and analysis is done to identify sites available at the lower income categories. Government Code Section 65583.2(c)(3) allows jurisdictions to use higher density zoning as a proxy for lower income affordability. Sites that are zoned to allow sufficient density can be assumed to accommodate affordable housing. Sacramento County is a metropolitan county with a “default density” of at least 30 units per acre for lower-income sites. Zoning designations allowing at least 30 units have appropriate zoning for lower-income sites and even though the RHNA has assigned units to very low- and low-income categories for the purposes of identifying sites these income categories are classified as “lower income sites”.

The subsequent section on Methodology provides further details.

The County’s evaluation of adequate sites begins with a listing of individual sites by General Plan designation and zoning. The suitability analysis demonstrates these sites are currently available and unconstrained to provide development opportunities prior to 2029. To demonstrate the development viability of the sites, the analysis addresses the following:

• Sites have appropriate zoning.
• Development standards do not place an undue impact on projected development capacity and affordability.
• Existing constraints, including any known environmental issues, have been taken into consideration.
• Public services will be available to allow development within the planning period.

The analysis concludes that a total of 11,808.41 acres are available for residential development in the unincorporated County. These sites, along with the project construction of ADUs and JADUs, can accommodate 23,749 new housing units during the planning period. Table 47 summarizes the results of the inventory and breaks the inventory down by income category. The table shows a deficit of 3,215units in the Lower-Income category that will be addressed by identified programs. The Lower-Income category includes low-income (LI), very low-income (VLI), and extremely low-income (ELI) levels.

Sacramento County Housing Element

Table 47: Inventory, Projected Supply and Oversupply/Shortfall as Compared to the 2021-2029 RHNA¹

Source: Sacramento County Panning and Environmental Review data current as of October, 2020.

Breakdown of Inventory Summary by Income Category

A key component of the analysis is correlating the inventory with the projection of what units may be built at the various income categories. Sacramento County has historically had an excess inventory of land suitable for construction of units at the Above Moderate income level with the greatest challenge identifying sites at the lower income categories. Table 48 identifies income levels with the corresponding Zoning District(s) that can accommodate the units. Table 48 through Table 51 summarize the supply by income levels based on information in the Appendices.

Table 48: Zoning Districts by Income Category

Table 49: Lower-Income (ELI, VLI and LI) Housing Development Potential

Source: Sacramento County Office of Planning and Environmental Review, 2020

Source: Sacramento County Office of Planning and Environmental Review, 2020

Table 50: Moderate Income Housing Development Potential

Table 51: Above Moderate Income Housing Development Potential

Table 51: Above Moderate Income Housing Development Potential

ADDRESSING A SHORTFALL – COUNTYWIDE REZONE PROGRAM

As shown in the previous tables, the County has sufficient residential capacity to accommodate its RHNA for moderate- and above-moderate income units but has a current shortfall of sites to accommodate its lower-income RHNA. The County only has appropriately-zoned sites to accommodate 3,943 lower-income units, compared to a RHNA of 7,158, a shortfall of 3,215 units.

• Sacramento County will accommodate an adequate inventory with the following mechanisms and programs:
• The inventory of vacant residentially and commercially zoned sites available for by right construction of new units by income category including some small and large parcels as documented with additional analysis;
• Inventory of non-vacant but underutilized sites available for by right construction of new units by income category;
• Estimating the construction of Accessory Dwelling Units;
• Programs to increase the vacant land inventory include:
  • Program A1 to identify and rezone at least 165 acres of land to allow multifamily residential uses by-right, at a minimum density of 20 units per acre and a maximum density that allows at least 30 units per acre by September 12, 2024.
  • Program A2 to amend the Zoning Code to ensure that developments in which 20 percent or more of the units are affordable to lower income households are allowed by-right on vacant sites identified in the 4th and 5th cycle Housing Elements and non-vacant sites identified in the 5th Cycle Housing Element, even if the development exceeds 150 units by May 2024.

The County will be required to rezone a minimum of 142 acres to meets its RHNA obligation for 3,215 lower income units. When identifying rezone sites, preference will be given to properties in moderate and high resource areas, pursuant to AB 686. Additionally, sites that are between 0.85 and 10 acres; that are along transit routes or major roadway corridors and in proximity to commercial and employment centers; and that are currently served by both public water and sewer service or ability to hook up to services will be given priority for rezoning to accommodate affordable housing.

The County is also obligated to maintain adequate sites throughout the RHNA projection period through a provision in State law called “no net loss.” If sites that are identified in the inventory as meeting the lower-income RHNA get built with market rate development, those sites are essentially lost from the lower-income sites inventory. State law mandates that the County would then need to identify a replacement site within

Sacramento County Housing Element

180 days. HCD recommends identifying additional capacity of 15-30 percent beyond the lower-income RHNA in order to create a buffer to deal with no-net-loss requirements. As part of the rezone effort, the County may decide to rezone additional sites beyond those needed to meet the RHNA in order to provide a buffer of lower-income sites in the event that sites are lost from the lower-income sites inventory. A 15 percent buffer will increase the rezone obligation to 164 acres.

Some of the sites that will likely be rezoned by Program A1 to accommodate the lower-income RHNA are currently counted in the sites inventory as moderate-income sites. As the rezone program is implemented and sites are reclassified as lower-income, the County will also ensure there remains adequate capacity to accommodate the moderate-income RHNA.

Rezone Program/Candidate Rezone Sites

Sacramento County has long relied primarily on zoning at RD-20, or 20 units per acre, combined with a local Housing Incentive Program to achieve actual densities above 20 units per acre, for the vast majority of the County’s inventory to meet the lower income RHNA requirements. Many affordable projects in the County continue to occur on sites with this zoned density. However, State requirements for default densities do not allow the County to rely upon what historically has been the inventory to meet lower income requirements. This leaves the County with a substantial deficiency of 3,215 units in the lower-income inventory. Therefore, sites in the RD-20 and RD-25 category are now shown on the moderate-income level inventory. However, the County intends to return to relying on this pool of sites through Program A-1 and is showing these sites as candidate sites for the Rezone Program to increase their density to meet State requirements for density (30 units per acre) to allow them to be classified as available as affordable sites. These sites are identified in Tables C-15, C-16, C-17, C-22, and C-23 of Appendix C as candidate rezone sites. Although these sites were utilized in previous cycles, the County still considers them viable sites to provide housing to lower-income categories, as these sites do meet the AB-1397 criteria. Specifically, these sites are located along major roadways with public transportation and will have access to infrastructure during the planning period.

The County is committed to a more thorough analysis of vacant and underutilized sites as identified in Program A1 to rezone and create a potential surplus of sites. While these additional rezone sites have not been identified, the rezone will focus on identifying sites in the Communities of Antelope, Carmichael/Old Foothill Farms, Cordova, Fair Oaks, and Orangevale to affirmatively further fair housing that complies with the AB-1397 criteria.

(Note: See Appendix E for additional details regarding Program A1, Countywide Rezone Program, which was adopted (Resolution Nos: 2024-0621 thru 2024-0632 and SZC Ordinance Nos: 2024-0009 thru 2024-0083) by the Board of Supervisors on August 20, 2024. The Countywide Rezone Program resulted in the rezone of 74 candidate rezone sites made up of 216.72 acres (195.50 acres for lower income units and 21.22 acres for moderate income units) with a realistic development capacity of 4,803 lower income units and 237 moderate income units. With the completion of Program A1, the County no longer has a shortfall of lower income zoned sites on the land inventory and established a 22.2 percent buffer (exceeding a goal of a 15 percent buffer), which amounts to a realistic surplus in development capacity of 1,588 units. The County added a new Appendix to the Housing Element, Appendix E, to document the outcomes and analysis required by State Law post-completion of the Countywide Rezone Program.)

STATE REQUIREMENTS FOR ADEQUATE SITES

Government Code Section 65583.2(c)(3) allows jurisdictions to use higher density zoning as a proxy for lower-income affordability. Sites that are zoned to allow sufficient density can be assumed to accommodate affordable housing. Sacramento County is considered a metropolitan county with a “default density” of at least 30 units per acre for lower-income sites. This corresponds to the Residential 30 and 40 (RD-30 and RD-40) Zoning Districts, which allow a maximum of 30 and 40 units per acre, respectively and the County’s commercial districts that also allow 30 units per acre by right.

Historically, Sacramento County has relied substantially on sites zoned RD-20 and RD-25 to accommodate its lower-income RHNA as the majority of the County’s multi-family zoned land is zoned RD-20 . In fact, many recent and pending affordable housing projects are on sites zoned RD-20. Local and State density bonus provisions allow projects to exceed 20 units per acre. However, as the State will no longer allow this assumption, the County’s lower-income inventory will have a substantial deficit until the County can achieve its rezone program. Sites in the RD-20 and RD-25 category are included in the Moderate Income inventory;

Sacramento County Housing Element

however, as part of Program A-1, the Countywide Rezone Program, the County will ensure that sufficient sites at the default density will be made available with associated adjustments in the assumptions about which sites are available at the lower and moderate levels. (See Appendix E for details on the outcomes of Program A1).

In addition to ensuring that minimum density requirements are met, there are additional State requirements for the inventory. In order to comply with these requirements, including AB-1397, affordable housing/higher density residential sites selected for inclusion in the affordable inventory were screened using the criteria, and a majority of the sites not meeting this criteria were eliminated from inclusion in the affordable inventory:

• Size: greater than ½ acre but less than 10 acres;
• Vacant sites are preferred; although pursuant to General Plan policies LU-6 and LU-11, the County may also consider converting underutilized portions of commercial projects or office parks to higher density residential uses in order to create a mixed use development;
• Transit stops (existing or proposed) should be located within 1/4 mile from the project site (preferably with headways of less than 30 minutes);
• Proximity to grocery stores and other services within 1 mile of project site;
• Parks, opens space or other recreational amenities within 1 mile of project site;
• Currently served by both public water and sewer service or ability to hook up to services; and,
• Sites that are not overly constrained by the following: natural resources such as wetlands, vernal pools, or a large number of Oak trees or other native trees; overhead power lines, ditches, or utility easements that substantially impact development on the site; or, have a significant portion of the site located within a floodplain.

The inventory and analysis must also address Fair Housing including sites located in moderate and high resource opportunity areas for affordable multi-family development. (See Appendix E for the supplement to the Fair Housing Assessment conducted for the sites rezoned as a part of Program A1.)

Finally, the inventory must conduct an additional analysis if using sites from prior (the 4th and 5th cycle) Housing Elements. In order to continue to utilize these sites toward the lower-income inventory within the Housing Element period, the County has committed to Program A2 in the Housing Action Plan chapter.

METHODOLOGY FOR THE LAND INVENTORY AND CAPACITY ANALYSIS

Government Code Section 65583.2(c) requires local governments to calculate the projected residential development capacity of the sites identified in the Housing Element that can be realistically achieved. Appendix C identifies each site that is available and suitable for development and estimates the residential units that can be constructed.

This discussion includes sections addressing the Affordable Sites Analysis, the Moderate and Above Moderate Income Sites, Accessory Dwelling Units, Infrastructure Availability, Environmental Constraints and Affirmatively Furthering Fair Housing/Opportunity Sites.

AFFORDABLE SITES ANALYSIS

Realistic Capacity

For the sites listed as available at affordable levels, a site-by-site capacity analysis was conducted. This analysis estimates the realistic development capacity for each site; typical densities of existing or approved residential developments at a similar affordability levels; and, the current or planned availability and accessibility of sufficient water, sewer, and dry utilities. The analysis relied on aerial photography, Google maps, and the Sacramento County Parcel Viewer GIS program to determine property lines, elevation contours, environmental constraints, and easements.

Major easements, environmental constraints, and multi-family setbacks were subtracted from the gross acreage of each parcel to provide a net or developable acreage. The net acreage is identified in the inventory and multiplied by the zoning density without the Housing Incentive Program (HIP). This provides a realistic estimate of the development capacity for each site because it is calculated based upon the

Sacramento County Housing Element

constraints for each individual site. On the rare property with no constraints, multi-family setbacks were applied to the parcel to provide the net developable acreage.

The analysis also considered development capacity in the case where sites have non-typical development standards (e.g. local Special Planning Area or Neighborhood Preservation Area zoning) by apply the standards, densities, or coverage requirements specific to those cases. These sites are located in urban/infill areas where road capacity and infrastructure is available; therefore, no adjustments were needed to account for infrastructure availability.

The development capacity for the affordable inventory is calculated based on the net developable acreage of each site multiplied by the density. This is a realistic capacity because the affordable projects developed in the 5th cycle Housing Element exceeded 100 percent of the density, by using the HIP Program and available density bonuses.

Additionally, as discussed above, the inventory includes sites from the 4th and 5th cycle Housing Elements. In order to continue to utilize these sites toward the lower-income inventory within the Housing Element period, the County has committed to Program A2 in the Housing Action Plan chapter. This program requires the County to amend the Zoning Code by May 2024 to ensure that developments in which 20 percent or more of the units are affordable to lower income households are allowed by-right on vacant sites identified in the 4th and 5th cycle Housing Elements and non-vacant sites identified in the 5th Cycle Housing Element, even if the development exceeds 150 units.

Minimum Densities

By utilizing a minimum density calculation, the County acknowledges that it will ensure sites are built at a minimum residential density. Sacramento County General Policy LU-5 requires that residential projects meet an average overall density of 75% of zoned maximums, unless physical or environmental constraints make achieving the minimum densities impractical and the required no net loss findings under State law often require higher yields particularly for sites on the affordable inventory. Therefore, this policy is used to set the minimum density for sites on the inventory.

The previous Housing Element (2013-2021) created the Housing Incentive Program (HIP) to facilitate an increase in the actual density of projects. The HIP provides a by- right mechanism to increase density above the zoned maximum for the Residential 20, 25, 30 and 40 (RD-20, RD-25, RD-30, RD-40) Zoning Districts. HIP allows multifamily projects, in which 10 percent of the units will be set aside for lower income households or serve individuals/families with special housing needs, to increase densities by 15 percent in the Commercial zones and 10 percent in RD-25 through RD-40 Zoning Districts. This by right increase is in addition to density increases allowed under the County's density bonus ordinance (as required by Government Code Section 65915). Since the sites on the affordable inventory will accommodate the RHNA for lower-income households, these sites qualify for the HIP program and can receive a density increase over that allowed in the base Zoning District, thereby increasing the maximum density, resulting in a density range for sites on the affordable sites inventory.

Sacramento County Housing Element

An example of the by-right residential density increases pursuant to the HIP are as follows:

Source: Sacramento County Planning and Environmental Review, 2020

Small Parcels (Less than one-half acre)

Government Code Section 65583.2 (c)(2)(A)(B) and (C) indicates that to include small parcels (less than one-half acre in size), there should be an opportunity to consolidate adjacent parcels to form sites larger than 0.5 acres. This was done for a small number of parcels in the prior planning period. For example, 043-0230-001 thru 004, 006 through 016 were merged and reconfigured and are now larger than 0.5 acres.

Two of these sites are carried forward into this inventory because common ownerships and zoning made it reasonable to assume that they could be consolidated with adjacent parcels and developed with multi-family densities. Specifically, 208-0142-022 is 0.38-acres and is adjacent to 208-0142-020 and which is a 1.93-acre parcel. Both parcels are currently on the inventory and the smaller parcel is necessary to provide access to the larger parcel.

A review of housing projects developed during the previous planning period indicates that there were several market rate multi-family projects that will consolidate multiple adjacent smaller parcels to develop multi-family units demonstrating that such consolidation is reasonable to assume.

A 45 unit multi-family development was approved on three parcels that are 0.29, 0.29, and 1.31-acres in size. In order for the construction of the proposed development as proposed consolidation of the existing parcels will need to occur.

The Housing Action Plan chapter includes program B11 to remove potential barriers to small parcel consolidations as a means to increase this type of development. The County is also considering updates to the multi-family development standards to increase the developable area of parcels. This is discussed in more detail in the Constraints Chapter of this element.

Commercial Properties for By Right Multifamily Housing

Some selected sites in the commercial zoning districts (LC, SC, GC and TC) are included in the affordable housing inventory as multi-family housing is permitted by-right in these zones. These sites are all greater than one acre and a conservative projection of 25 percent of the parcel acreage was assumed to calculate affordable residential capacity in recognition that commercial construction may also occur on these sites. This is a conservative estimate since the County’s Zoning Code allows an entire site to be built with stand-alone multi-family developments and because other vacant commercial sites not included in the inventory could be used for affordable residential construction.

The current Zoning Code permits multi-family development in the Commercial (LC, SC, GC, and TC) zoning districts at an overall density of 30 dwelling units per acre. This meets the County’s default density of 30 dwelling units per acre. Properties located within one-quarter mile of a transit stop may develop at a density of 40 dwelling units per acre. Additionally, the HIP provides a density increase allowance for residential projects within a commercial zoning district of 15 percent over the base project, resulting in a maximum density of 35 and 46 dwelling units per acre. Commercial properties identified for inclusion in the inventory are those that are most likely to develop with a residential component due to their location and size or past