CITY OF SANTA CRUZ 2015‐2020 CONSOLIDATED PLAN 2015‐2016 ACTION PLAN MAY 2015 Housing and Community Development Economic Development Department CITY OF SANTA CRUZ 2015‐2020 CONSOLIDATED PLAN 2015‐2016 Action Plan May 2015 City Council: Don Lane, Mayor Cynthia Mathews, Vice Mayor Cynthia Chase Pamela Comstock Richelle Noyoyan David Terrazas Micah Posner City Manager: Martin Bernal Economic Development Department: Bonnie Lipscomb, Director Carol Berg, Housing and Community Development Manager Norm Daly, Development Project Manager Consolidated Plan SANTA CRUZ i OMB Control No: 2506‐0117 (exp. 07/31/2015) TABLE OF CONTENTS: PAGE Executive Summary .................................................................................................................... 1 ES‐05 Executive Summary ‐ 24 CFR 91.200(c), 91.220(b) .............................................................. 1 The Process ................................................................................................................................ 5 PR‐05 Lead & Responsible Agencies 24 CFR 91.200(b) .................................................................. 5 PR‐10 Consultation ‐ 91.100, 91.200(b), 91.215(I) ......................................................................... 6 PR‐15 Citizen Participation ........................................................................................................... 13 Needs Assessment .................................................................................................................... 15 NA‐05 Overview ........................................................................................................................... 15 NA‐10 Housing Needs Assessment ‐ 24 CFR 91.205 (a,b,c) ......................................................... 16 NA‐15 Disproportionately Greater Need: Housing Problems – 91.205 (b)(2) ............................. 24 NA‐20 Disproportionately Greater Need: Severe Housing Problems – 91.205 (b)(2) ................. 27 NA‐25 Disproportionately Greater Need: Housing Cost Burdens – 91.205 (b)(2) ....................... 29 NA‐30 Disproportionately Greater Need: Discussion – 91.205(b)(2) .......................................... 30 NA‐35 Public Housing – 91.205(b) ............................................................................................... 31 NA‐40 Homeless Needs Assessment – 91.205(c) ......................................................................... 34 NA‐45 Non‐Homeless Special Needs Assessment ‐ 91.205 (b,d) ................................................. 39 NA‐50 Non‐Housing Community Development Needs – 91.215 (f) ............................................ 41 Housing Market Analysis .......................................................................................................... 43 MA‐05 Overview ........................................................................................................................... 43 MA‐10 Number of Housing Units – 91.210(a)&(b)(2) .................................................................. 44 MA‐15 Housing Market Analysis: Cost of Housing ‐ 91.210(a) .................................................... 48 MA‐20 Housing Market Analysis: Condition of Housing – 91.210(a) ........................................... 51 MA‐25 Public and Assisted Housing – 91.210(b) ......................................................................... 54 MA‐30 Homeless Facilities and Services – 91.210(c) ................................................................... 56 MA‐35 Special Needs Facilities and Services – 91.210(d) ............................................................ 60 MA‐40 Barriers to Affordable Housing – 91.210(e) ..................................................................... 63 MA‐45 Non‐Housing Community Development Assets – 91.215 (f) ........................................... 64 MA‐50 Needs and Market Analysis Discussion ............................................................................ 70 Consolidated Plan SANTA CRUZ ii OMB Control No: 2506‐0117 (exp. 07/31/2015) Strategic Plan ........................................................................................................................... 72 SP‐05 Overview ............................................................................................................................ 72 SP‐10 Geographic Priorities – 91.215 (a)(1) ................................................................................. 73 SP‐25 Priority Needs ‐ 91.215(a)(2) .............................................................................................. 74 SP‐30 Influence of Market Conditions – 91.215 (b) ..................................................................... 77 SP‐35 Anticipated Resources ‐ 91.215(a)(4), 91.220(c)(1,2) ........................................................ 78 SP‐40 Institutional Delivery Structure – 91.215(k) ....................................................................... 80 SP‐45 Goals Summary – 91.215(a)(4) ........................................................................................... 85 SP‐50 Public Housing Accessibility and Involvement – 91.215(c) ................................................ 87 SP‐55 Barriers to affordable housing – 91.215(h) ........................................................................ 88 SP‐60 Homelessness Strategy – 91.215(d) ................................................................................... 89 SP‐65 Lead based paint Hazards – 91.215(i) ................................................................................ 92 SP‐70 Anti‐Poverty Strategy – 91.215(j) ....................................................................................... 94 SP‐80 Monitoring – 91.230 ........................................................................................................... 96 2015‐2016 ACTION PLAN .......................................................................................................... 98 AP‐15 Expected Resources – 91.220(c)(1,2) ................................................................................ 98 AP‐20 Annual Goals and Objectives ........................................................................................... 101 AP‐35 Projects – 91.220(d) ......................................................................................................... 103 AP‐38 Project Summary ............................................................................................................. 104 AP‐50 Geographic Distribution – 91.220(f) ................................................................................ 110 AP‐55 Affordable Housing – 91.220(g) ....................................................................................... 112 AP‐60 Public Housing – 91.220(h) .............................................................................................. 113 AP‐65 Homeless and Other Special Needs Activities – 91.220(i) ............................................... 114 AP‐75 Barriers to affordable housing – 91.220(j) ...................................................................... 117 AP‐85 Other Actions – 91.220(k) ................................................................................................ 119 AP‐90 Program Specific Requirements – 91.220(l)(1,2,4) .......................................................... 122 Consolidated Plan SANTA CRUZ iii OMB Control No: 2506‐0117 (exp. 07/31/2015) Executive Summary ES‐05 Executive Summary ‐ 24 CFR 91.200(c), 91.220(b) 1. Introduction Eligible state and local governments receive annual block grants for community development and affordable housing from the U.S. Department of Housing and Urban Development (HUD). The City of Santa Cruz receives two of these grants directly from HUD including the Community Development Block Grant (CDBG) and the HOME Investment Partnerships Program (HOME). For each program, HUD describes a broad range of eligible activities. The City then determines which of these eligible activities will best serve the needs of their community. In order to determine the most pressing needs and develop effective, place‐based market‐driven strategies to meet those needs, HUD requires grantees to develop a Consolidated Plan. This Plan lays out the City’s overall investment strategies for the City’s use of federal entitlement grant funds for affordable housing, homelessness, addressing poverty, and community development from July 1, 2015, through June 30, 2020. For each of the five years covered by the Plan, the City must develop an Action Plan that implements the Consolidated Plan through an allocation of funds. The Consolidated Plan and the Action Plan refer to Program Years (PY). PYs are referred to by the year in which the PY begins. This differs from the City’s Fiscal Year (FY) which is referenced by the year when the FY ends. Accordingly, the 2015 PY referenced in these HUD documents is equivalent to the City’s 2016 FY. For ease of inclusivity and better communication, this five year Consolidated Plan is referenced as the 2015‐ 2020 Consolidated Plan, indicating the year in which it begins and then year it ends. The Consolidated Plan was prepared in accordance with HUD’s Office of Community and Planning Development (CPD) eCon Planning Suite which was introduced in 2012. Since that time, HUD requires grantees submit their Consolidated Plan and year one Annual Action Plan using the Consolidated Plan template through the Integrated Disbursement and Information