09 Addendum B.Item # 9 - Housing Element
PREPARED BY: Erin Walters, Associate Planner and
Jocelyn Shoopman, Associate Planner
Reviewed by: Town Manager, Assistant Town Manager, Town Attorney, and the Community
Development Director
110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6872
www.losgatosca.gov
TOWN OF LOS GATOS
COUNCIL AGENDA REPORT
MEETING DATE: 03/05/2024 ITEM NO: 9 ADDENDUM B
DATE: March 4, 2024
TO: Mayor and Town Council
FROM: Laurel Prevetti, Town Manager
SUBJECT: Discuss and Provide Direction on the Proposed Revisions to the Draft Revised
2023-2031 Housing Element and Next Steps. Location: Town-Wide. General
Plan Amendment Application GP-22-003.
REMARKS:
On March 1, 2024, Town staff and the Town’s Housing Element consultant met with the Town’s
Department of Housing and Community Development (HCD) reviewer for a live editing meeting
where staff was able to share the Town’s draft approach in addressing the HCD preliminary
review matrix comments received on February 20, 2024. The HCD reviewer’s supervisor (HCD
Senior Program Manager Paul McDougall) had tentatively accepted the meeting date, but was
unable to attend the meeting. During this meeting staff went through the February 20, 2024,
HCD preliminary review matrix, discussing each row where HCD had comments remaining, as
noted in the column titled “HCD Feedback Summary,” and included as Attachment 19 to the
March 5, 2024 staff report.
Staff received feedback from the HCD reviewer that the modifications seemed to address the
remaining comments, with the exception of Programs J and AY. Town staff provided justification
for the proposed language in Programs J and AY, including:
• The number of parcels still available for small multi-unit housing;
• Background on the Town’s Historic Resources;
• The Town’s challenges related to its geographic hillside setting, Very High Fire Hazard
Severity Zone, and evacuation routes for fire and flood hazards;
• The transit proximity criteria; and
• Comparisons with similar Bay Area municipalities with certified Housing Elements.
PAGE 2 OF 3 SUBJECT: DRAFT REVISED 2023-2031 HOUSING ELEMENT/GP-22-003 DATE: March 4, 2024
REMARKS (continued):
When specifically discussing the Very High Fire Hazard Severity Zone, the HCD reviewer provided
feedback that excluding this portion of the Town is inconsistent with California Building Code
standards that are in place for fire mitigation measures pertaining to residential development.
The HCD reviewer requested that staff provide the additional map analysis on the proposed
language for Programs J and AY. Following the meeting, in the afternoon of March 1, 2024, staff
provided the Town’s HCD reviewer with a map which showed the analysis that has been
completed to reflect the proposed language in Programs J and AY (Attachment 23).
Based on the analysis, there are approximately 3,000 parcels available in the low and medium
density designations to support the quantified objectives of Programs J and AY for small multi-
unit housing. The Town’s HCD reviewer indicated that this analysis would be shared with HCD
Senior Program Manager Paul McDougall for discussion and that feedback would be tentatively
provided to the Town on March 4, 2024, to be shared with the Town Council via a Desk Item
report on March 5, 2024.
In response to a request, Attachment 23 contains correspondence from the Town’s Housing
Element consultant to HCD on February 1, 2024, requesting informal feedback from HCD on the
proposed edits to the Draft Revised Housing Element, specifically regarding the proposed
language for Programs J and AY. Additional notations have been added to this document to
clarify the timing and source of the different levels of edits to the program language.
ATTACHMENTS:
Previously Received with the January 16, 2024 Staff Report:
1. Draft Revised Housing Element, Track Changes Copy
2. Draft Response Table
3. December 1, 2023 HCD’s Findings Comment Letter
4. Public Comments Received Between 11:01 a.m., Tuesday, December 19, 2023, and 11:00
a.m., Thursday, January 11, 2024
Previously Received with the January 16, 2024 Desk Item:
5. Comments from the Vice Mayor
6. Public Comments Received Between 11:01 a.m., Thursday, January 11, 2024, and 11:00
a.m., Tuesday, January 16, 2024
Previously Received with the February 6, 2024 Staff Report:
7. Draft Revised Housing Element, Track Changes – January 2024
8. Draft Response Table – January 2024
9. HCD Informal Preliminary Review Matrix with Staff’s Responses
PAGE 3 OF 3 SUBJECT: DRAFT REVISED 2023-2031 HOUSING ELEMENT/GP-22-003 DATE: March 4, 2024
ATTACHMENTS (continued):
10. Goldfarb & Lipman, LLP Feedback Table with Staff’s Responses
11. Track Changes and Clean Version of Program AY Housing Mobility
12. Public Comments Received Between 11:01 a.m., Tuesday, January 16, 2024, and 11:00 a.m.,
Thursday, February 1, 2024
Previously Received with the February 5, 2024 Addendum:
13. Pages from the Draft Revised Housing Element Without the Recommendations Made by the
Housing Element Advisory Board
14. Correspondence with HCD
Previously Received with the February 20, 2024 Staff Report:
15. Extracted Pages from the Draft Revised Housing Element with Revision
Previously Received with the February 20, 2024 Desk Item:
16. Correspondence with HCD
17. HCD Second Informal Preliminary Review Matrix
18. Public Comment Received Between 11:01 a.m., Thursday, February 15, 2024, and 11:00
a.m., Tuesday, February 20, 2024
Attachments Received with the February 29, 2024 Staff Report:
19. HCD Second Informal Preliminary Review Matrix with Staff’s Responses
20. Extracted Pages from the Draft Revised Housing Element with Revisions
21. Correspondence with HCD
Attachment Received with the March 1, 2024 Addendum:
22. Communications from the Vice Mayor
Attachments Received with this Addendum B:
23. Map Analysis of Programs J and AY
24. Annotated Housing Element Consultant Communications Regarding Programs J and AY
Shared with HCD on February 1, 2024
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ATTACHMENT 23
This Page Intentionally Left Blank
From: Veronica Tam
Sent: Thursday, February 1, 2024 10:49 AM
To: Jauregui, Jose @HCD <Jose.Jauregui@hcd.ca.gov>; Gabrielle Whelan <GWhelan@losgatosca.gov>;
McDougall, Paul@HCD <Paul.McDougall@hcd.ca.gov>
Cc: Joel Paulson <jpaulson@losgatosca.gov>; Jennifer Armer <JArmer@losgatosca.gov>; Jamie Power
; Erin Walters <EWalters@losgatosca.gov>; Jocelyn Shoopman
<jshoopman@losgatosca.gov>; Nazanin Salehi
Subject: RE: Los Gatos - Revised HE
ŜņřŕņœŏłōġŔņŏŅņœŞġ
Hi Paul and Jose –
Just a correcƟon that we are not going for readopƟon yet. We would like to get the HE to a cerƟfiable
status first.
Thanks,
Veronica
Veronica Tam, AICP
Principal
Veronica Tam and Associates, Inc.
From: Veronica Tam
Sent: Thursday, February 1, 2024 10:30 AM
To: 'Jauregui, Jose @HCD' <Jose.Jauregui@hcd.ca.gov>; Gabrielle Whelan <GWhelan@losgatosca.gov>;
McDougall, Paul@HCD <Paul.McDougall@hcd.ca.gov>
Cc: Joel Paulson <jpaulson@losgatosca.gov>; Jennifer Armer <JArmer@losgatosca.gov>; Jamie Power
; Erin Walters <EWalters@losgatosca.gov>; Jocelyn Shoopman
<jshoopman@losgatosca.gov>; Nazanin Salehi
Subject: Los Gatos - Revised HE
Hi Joe and Paul –
AƩached (and below) are the revised pages for Los Gatos Housing Element based on our most recent
discussions. The Town is going to Planning Commission and Town Council for readopƟon. We are
hoping that you can take a look at these changes before we move to readopt.
Please note the GREEN highlights are new changes.
Revised Pages Only
hƩps://www.dropbox.com/scl/fi/1s5nf8il7zmxk7nd4bhwt/DraŌ-Revised-Housing-Element-Revised-
Pages-Only.pdf?rlkey=aiiu0b9s09qłaxry77ijdulj&dl=0
Full HE with Tracked Changes
dd,DEdϮ4
hƩps://www.dropbox.com/scl/fi/m1a675bsloxifr09bxolk/DraŌ-Revised-Housing-Element-Track-
Changes.pdf?rlkey=okew0qyjququhbi94f7a81d2v&dl=0
Veronica Tam, AICP
Principal
Veronica Tam and Associates, Inc.
HCD Revised Draft Revised 2023-2031 Housing Element
10-46 HCD Revised Draft Revised 2023-2031 Housing Element March SeptemberNovemberJanuary
20232024
Programs
Performance Metric(s)
Delivery of Housing Element
IJ Helping Senior Housing s
PrograResourcesm
Provide financial assistance for health,
safety, emergency and accessibility home
repairs to low-income seniors and low-
income mobile homeowners through the
Below Market Price Program funds,
subject to availability of Program funds.
Provide regularly updated senior housing
resource materials at the Adult Recreation
Center, Library, and Farmers’ Market.
Implementation Policies
HE-1.6 Universal Design
HE-2.7 Senior Housing
HE-2.8 Equal Housing and Special Needs
HE-6.1 Fair Housing
HE-6.2 Financial Assistance
HE-6.3 Housing for Persons with Special Needs
HE-6.4 Affordable Housing Awareness
Responsible Department/Review Authority
Responsible Department/Review Authority
Community Development Department and the
Town Council
Timeframe
Ongoing and annual effort
Update materials annually
Funding Source
Town Affordable Housing Funds
Quantified Objective
Maintain the existing housing stock by funding
three home repairs to lower income seniors
annually
Performance Metric(s)
Measure the number of units assisted versus the
need
JK Small Multi-Unit Housing, “Missing
Middle”
The Housing Element supports the land
use goal of providing opportunities for
housing that can accommodate the
needs, preferences, and financial
capabilities of current and future residents
in terms of different housing types,
tenures, density, sizes, and costs.
Specifically, the Town aims to create
mixed residential neighborhoods through
new and innovative housing types that
meet the changing needs of Los Gatos
households and expand housing in a
variety of neighborhoodsall
neighborhoods. These housing types
include, but are not limited to, single
dwelling units, multifamily dwelling units,
accessory dwelling units, small and micro
units, use of pre-fabricated homes, and
clustered housing/cottage housing. The
Implementation Policies
HE-1.5 Variety of Housing Choices
HE-2.4 Rental Housing
HE-3.3 Efficient Development Processing
Responsible Department/Review Authority
Community Development Department
Timeframe
December 2024
Funding Source
None required
Quantified Objective
Increase the number of small multi-unit housinglow-
rise multi-family developments by five50150 units
from the previous yearover eight years with the
goal of achieving 100% of the units in low to
medium density designations and high median
income areas.
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dŽǁŶŽƵŶĐŝůŵĞĞƚŝŶŐ͘
Edit made in a green
highlight in response
to Town Council
direction provided
on January 16, 2024.
Edit made in a green highlight as
a recommendation from the
HEAB at the January 18, 2024
meeting in response to a
comment from HCD in the
preliminary informal matrix
received by the Town on January
18, 2024.
Edit made by staff in a green highlight in
response to a comment from HCD in the
preliminary informal matrix received by the
Town on January 18, 2024.
Βlue
Green
10.Housing Element
JanuaryNovemberSeptember March 2023 2024 HCD Draft Revised Draft 2023-2031 Housing
Element
10-47
Programs
Town will also promote small multi-unit
housing that increases density while
remaining consistent with the building
scale and character present in existing
neighborhoods. This includes multi-family
units or clustered residential buildings that
provide relatively smaller, less expensive
units within existing neighborhoods.
Update the Zoning Code to facilitate low
rise multi-family structuressmall multi-unit
housing in the low to mMedium
Residential Density designations.
TheGeneral Plan defines sSmall multi-unit
housing is defined as multiple units on a
single parcel (whether attached or
detached) that are compatible in scale
and form with detached single-family
homes. Common housing types include
duplexes; triplexes; fourplexes; courtyard
apartments; cottage courts; townhomes;
triplex stacked (vertical); and live-work
spaces.
Promote this program through publication,
to include the following information: Low
rise multi-family dwelling units ranging
from two to 10 units can help meet the
needs of families, seniors and students.
Permit processing times tend to be
shorter than larger multi-family buildings
due to the low-rise nature of the
structures.
Specifically, update the Zoning to allow
for all housing types considered for the
provision of Small Multi-Unit Housing
types as part of Low Density High
Density Residential designations.
Research existing regulatory impediments
to the creation of new housing types that
have the potential to fulfill unmet housing
needs (e.g., tiny homes, co-housing
developments) and if necessary, amend
applicable ordinances and development
standards to facilitate and to allow for
their development at the maximum
density.
Pursue establishment of a maximum
average unit size as a tool to moderate
unit sizes for developments over a certain
size but to allow flexibility for a range of
unit sizes.
Performance Metric(s)
Complete Zoning Code amendment by December
2024 and track the number of entitled Planning
applications received per year
Edit made by staff in a
green highlight in
response to a
suggested edit
provided by the
Town's outside legal
counsel, Goldfarb &
Lipman, LLP, provided
as Attachment 10 to
the February 6, 2024,
Town Council
meeting.
Edit made by staff in a green
highlight in response to a
suggested edit provided by the
Town's outside legal counsel,
Goldfarb & Lipman, LLP,provided
as Attachment 10 to the February
6, 2024, Town Council meeting.
HCD Revised Draft Revised 2023-2031 Housing Element
10-76 HCD Revised Draft Revised 2023-2031 Housing Element March SeptemberNovemberJanuary
20232024
Programs
BMAW Story Poles and Netting Policy
Update the Review Story Pole and
Netting Policy and explore create
alternative options for residential or
mixed-use projects with affordable
housing to reduce the associated costs of
installing story poles, by providing an
option to provide visuals, video rendering,
or other visual methods in place of story
poles for all multi-family and mixed-use
projects, and all projects over 55 feet in
height to reduce constrains/cost and
increase approval certainty. Modifications
already approved by Town Council on
August 1, 2023, include: use of flag rope
instead of netting; reduce story pole
requirements for multi-building projects to
just represent perimeter of site and tallest
buildings; and removal of story pole
requirement for projects with 30 percent
Below Market Price housing or 20 percent
Low Income or Very Low Income housing.
Additional modifications to further reduce
impacts of story pole policy are scheduled
for review by Town Council on December
5, 2023.currently under consideration
include, but are not limited to:
use of one or two rows of flag rope in
place of netting; use of renderings and
digit simulations; use of signage; and
reduction in the number of story poles
Implementation
Policy HE-3.1 Regulatory Incentives for Affordable
Housing
Responsible Department/Review Authority
Community Development Department
Timeframe
Implement by December March 20243, and
evaluate effectiveness of reduced requirements
every year beginning in 2025; and identify
additional incentives and/or site capacity, if needed,
within six months of need identification.
Funding Source
General fund (staff time)
Quantified Objective
Reduce cost of development by modifying the story
pole requirements for affordable housing projects.
Performance Metric(s)
Measure impact of modifying the story pole policy
on the number of affordable housing units entitled
AX Local Labor Program List
Establish and post a list of local labor
unions and apprenticeship programs on
the website to encourage the developers
and contractors to hire local labor.
Implementation
Policy HE-1.4 Housing Design
Responsible Department/Review Authority
Community Development Department
Timeframe
Establish a list by December 31, 2024, to post
online.
Funding Source
General fund (staff time)
Quantified Objective
Annually update the list or upon request from a
local union.
Performance Metric(s)
N/A
AY Housing Mobility Implementation
Edits made in a green
highlight in response to
Town Council direction
provided on January 16,
2024.
10.Housing Element
JanuaryNovemberSeptember March 2023 2024 HCD Draft Revised Draft 2023-2031 Housing
Element
10-77
Programs
Housing mobility strategies consist of
removing barriers to housing in areas of
opportunity and strategically enhancing
access (Los Gatos is entirely highest
resource in terms of access to opportunity
and a concentrated area of affluence). To
improve housing mobility and promote
more housing choices and affordability
townwide, including in lower density
neighborhoods, the Town will employ a
suite of actions to expand housing
opportunities affordable to extremely low,
very low-, low-, and moderate-income
households. Actions and strategies
include:
SB 9 – Monitor the Town’s SB 9
standards and amend standards to
facilitate SB 9 applications (e.g.,
duplexes in single-family zones) if the
Town is not on track to meet its SB 9
application goals during the planning
period. See Program AV.
Rezoning for Small Multi-Unit
Housing, “Missing Middle” – Modify
the Zoning Code to facilitate small
multi-unit housing in the low to
medium density designations. This
includes creating mixed residential
neighborhoods through new and
innovative housing types that meet
the changing needs of Los Gatos
households and expand housing
choices in a variety of neighborhoods.
Housing types include, but are not
limited to single dwelling units,
multifamily dwelling units, accessory
dwelling units, small and micro units,
use of prefabricated homes, and
clustered/cottage housing. See
Program J.
Housing on Town Sites – Enter into a
public-private partnership to develop
housing, targeting low-income
households, on Town owned
properties. See Program E.
Enhanced Inclusionary Housing –
Assess and amend the Town’s
inclusionary housing requirements to
better produce low-income units and
units for special needs groups
townwide. See Program L.
Accessory Dwelling Units (ADUs) –
Encourage and streamline ADUs in
Policy HE-1.5 Variety of Housing Choices
Policy HE-1.7 Infill Opportunities in Single-Family
Neighborhoods
Responsible Department/Review Authority
Community Development Department
Timeframe
Annually review overall progress and effectiveness
in April and include information in annual report to
HCD. If the Town is not on track to meet its 160
affordable housing unit goal for the 8-year RHNA
cycle by 2027 (i.e., 80 affordable units built or in
process by 2027), the Town will consider
alternative land use strategies and make necessary
amendments to zoning or other land use
documents to facilitate a variety of housing choices,
including but not limited to, strategies that
encourage missing middle zoning (small-scale
multi-unit projects), adaptive reuse, and allowing
additional ADUs and/or JADUs, within six months,
if sufficient progress toward this quantified objective
is not being met.
Funding Source
General fund (staff time)
Quantified Objective
Provide 160 housing opportunities affordable to
lower income households by January 2031.
Performance Metric(s)
Townwide, but especially lower-density
neighborhoods.
Edits made in a
green highlight in
response to Town
Council direction
provided on January
16, 2024.
HCD Revised Draft Revised 2023-2031 Housing Element
10-78 HCD Revised Draft Revised 2023-2031 Housing Element March SeptemberNovemberJanuary
20232024
Programs
single-family neighborhoods by
preparing standardized ADU plans
with a variety of unit sizes and by
affirmatively marketing and outreach
to increase awareness and the
diversity of individuals residing in Los
Gatos. See Program Q.
Junior ADUs – Develop and adopt
objective standards to allow more
than one (at minimum two) Junior
ADU per structure by July 2025. The
objective is to achieve at least 10
JADUs in lower-density
neighborhoods by January 2031.
See Program Q.
Religious Institutional Sites – Expand
housing opportunities on all religious
institutional sites within the Town.
See Program S. Conduct outreach to
owners and operators of religious
institutions to raise awareness and
encourage housing proposals.
Increase affordable housing on
religious institution/faith-based site(s)
during the 2023-2031 planning period
by 25 units. If no application for
housing on a religious institution/faith-
based site is received by December
2025, the Town will expand outreach
efforts to be conducted annually.
This may include direct mailings to
faith-based sites highlighting
successful affordable housing units
on other faith-based sites, as well as
available Town resources and
programs to support such projects
(e.g., Programs N, P, T, AI, AJ –
Assist in securing funding for
affordable housing projects).
Homesharing – Research and pursue
a homesharing program, including
coordination with non-profits and
other to assist with matching tenants
with existing homeowners. The Town
will publicize and take other actions
as necessary (e.g., facilitate
presentations at the Los Gatos Adult
Recreation Center, etc.) at least
annually with the goal of five
opportunities per year. See Program
T.
Edits made in a
green highlight in
response to Town
Council direction
provided on January
16, 2024.