Walnut Creek

H-1.C. Innovation Through the Planned Development Process The City shall encourage the use of the planned development process to allow innovative approaches aimed at increasing affordable housing and developing residential projects on smaller lots. During the Preliminary Review Team process, the City shall facilitate maximum allowable density and good design by explaining benefits of the Density Bonus Ordinance, by offering reduced parking requirements for low-income housing, and allowing flexibility of development and parking standards within Planned Development re-zoning.

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The City continues to encourage the use of planned development processes to allow for innovative approaches to developing residential projects. Through the preliminary review team (PRT) process, staff has worked with several developers seeking guidance on the application of the local and state density bonus law. The City follows the latest State laws related to density bonus and permit processing.

H-2.Q. Act as Successor Agency and Housing Successor Agency for Redevelopment Agency The City shall act as the Successor Agency and Housing Successor Agency and carry out the responsibilities and obligations for the former redevelopment agency.

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The City of Walnut Creek is acting as both Successor Agency and Housing Successor Agency for the former Redevelopment Development Agency. The City continues to carry out the responsibilities and obligations for the former redevelopment agency.

H-2.B. Local Funding for Affordable Housing The City shall continue to allocate commercial linkage and housing impact fees for extremely low-, very low-, low-, and moderate-income housing for the City’s approved housing programs, which may include new construction, acquisition, and rehabilitation of affordable housing, as well as other housing programs such as first-time homebuyer assistance.

Allocate funding to leverage additional resources to create 170 affordable units in the 8-year cycle.

In 2017, the City allocated $2.5 million to fund new affordable housing developments in Walnut Creek, including $1.5 million committed to St. Paul's Commons, a proposed 45-unit affordable rental project (for a total commitment of $5 million). St. Paul's Commons was completed in late 2019 and fully occupied by early 2020. In 2018 and 2019, the City committed additional funding for both St. Paull's Commons (500K), and Riviera Family Apartment ($400K) as both projects had cost overruns due to weather related contstruction delays and increase cost of labor and materials. The City also committed an additional $2 million for the Las Juntas Project (42 units by Habitat). In 2020, the City committed additional gap funding for St. Paul's Commons and Riviera Family Apartments as both projects grappled with cost increases (both projects are now complete and fully occupied). In 2021, the City also provided acquistion, predevelopment, and development funding for a new 97 unit mixed use development at 699 Ygnacio Valley Road in Walnut Creek. The City continues to operate a First Time Homebuyer Downpayment Assistance program that provides downpayent assistance to low and moderate income renters. The program only funded one loan in 2021 but continues to budget $300,000 annually.

H-2.K. HOA Helper Grant Program In partnership with the Contra Costa Association of Realtors (CCAR), the City shall continue to offer eligible new first-time homebuyers grants to cover a portion of their homeowners association dues.

20 grants over the 8-year cycle

In 2015, the HOA Helper grant was fully expended and the CCAR is not able to renew for another year. This program is complete. The City will continue to seek other opportunities to partner with the CCAR for future programs.

H-2.T. Regional Collaboration on Affordable Housing and Homelessness The City shall participate in regional educational forums, including the Contra Costa Mayors’ Conference and other venues, to exchange ideas and discuss strategies to address homelessness and affordable housing.

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The City participates in the local Community Task Force on Homelessness (comprised of City staff, police department, county departments, local businesses, and community partners), which discusses homeless issues, including challenges, success, and the emergent needs of the homeless, and how to address those needs. The City also participates in the Contra Costa Continuum of Care Council on Homelessness and the Contra Costa Mayor's Conference. The City Managers from Concord, Martinez, Pleasant Hill, and Walnut Creek have also formed a working team to address common issues, such as homelessness. The City of Walnut Creek has a full-time designated homeless outreach team run by the County. The City of Walnut Creek is also a member of the Contra Costa Consortium, which includes the entitlement jurisdictions of Walnut Creek, Concord, Pittsburg, Antioch, and the Urban County. The Consortium works together to identify regional priorities for CDBG funding, and has a streamlined cohesive process for joint funding applications, reporting, and monitoring. The Consortium meets quarterly to discuss issues related to the implemented of CDBG, HOME, and regional issues such as homelessness, affordable housing, tenant/landlord services, etc.

H-4.A. Lot Consolidation The City shall facilitate lot consolidation where possible, particularly as it relates to parcels included in the Housing Element sites inventory. For example, the City will work with non-profit developers and owners of small sites to identify and consolidate parcels to facilitate the development of housing affordable to lower-income households. The City will also post the lot consolidation procedure on the City website and discuss the procedure with developers during the preliminary review team process. Lot merger requests in the same zoning district will be processed ministerially Incentives offered for lot consolidation could include allowing higher FAR ratios in MU-R and MU-C zones for larger parcels once consolidated, and flexibility in development standards.

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Riviera Family Apartments, a 58-unit affordable project consisting of two separate multi-family developments (entitled in 2015), involved the consolidation of several lots. The City worked closely with the developer to secure and acquire the sites. Riviera Family Apartments broke ground in late 2016, and completed construction in 2018. The City's lot merger procedures and application are available on the website. In 2016, the City adopted new zoning regulations for MU-C and MU-R general plan land use classifications, including higher FAR ratios for larger parcels which will encouraging lot consolidation. However, in 2021, the City amended these regulations to allow the same FAR and density, regardless of the size of the lot, so as not to discourage the redevelopment of smaller lots under individual ownership. However, in most cases, market forces related to the reduced per-unit costs for larger projects resulting from economies of scale will still encourage the consolodation of small lots. Implementation of the new zoning regulations will continue through permit processing of projects.

H-2.O. Coordinate with Contra Costa County for Affordable Housing The City shall support the efforts of the Contra Costa County Housing Authority and the Contra Costa County Consortium to increase the supply of affordable housing in Contra Costa County. The City shall coordinate with the Contra Costa County Housing Successor Agency on the Las Juntas site. The City shall also jointly apply for federal grants, such as Homeless Prevention and Rapid Rehousing funds.

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The City continues to participate in the Contra Costa County CDBG and HOME Consortiums and maintains a close working relationship with County Housing staff. The City, County and Habitat for Humanity worked together to finalize a purchase and sale agreement for the Las Juntas site owned by the County's former redevelopment agency, with final sale occurring in 2016. The 42 unit affordable Habitat project is now fully entitled and is in construction.

H-5.D. Code Enforcement The City shall continue to investigate complaints and take action about Building and Housing Code Violations in single- and multi-family rental housing to encourage the rehabilitation of substandard residential properties by homeowners and landlords and improve overall housing quality and conditions in the city.

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The City continues to investigate complaints and take action on Building and Housing Code Violations in single and multi-family rental housing.

H-1.E. Reuse of Institutional Sites As institutional sites become available for redevelopment or reuse, the City shall consider whether or not residential uses would be appropriate for the sites. Based on the findings of the study, if the sites are found to be suitable for residential uses, the City shall take appropriate actions to encourage the development of the sites, such as contacting developers, including affordable housing developers.

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The BART transit village received its approvals in 2015. The mixed use project will ultimately provide 600 units and pay between $6-$7 million into the City's Housing Trust fund. Construction began in Fall 2017 on the parking garage; in November 2019, the building permit for the first residential phase was issued and over $4 million in housing in lieu fees were paid into the City's affordable housing fund; and construction began in early 2020. Phase 2 of the project is expected to be complete by Fall 2023. There are no additional institutional sites being considered for redevelopment. This program is complete.

H-2.J. First Time Homebuyer Assistance Program The City shall continue to provide assistance to eligible first-time homebuyers in Walnut Creek through the City’s First-Time Homebuyer Assistance Program.

40 loans over the 8 year cycle

The City continues to administer the First Time Homebuyer Assistance program. For several years the program had been underutilized due to the widening affordability gap in ownership housing. 2018 showed the beginning of a shift with two loans approved. Some of this may be attributed to a softening in the market, though more likely it is lenders getting more skilled at finding the right fit for the program. The City retains and updates a list of participating and interested lenders and trained several new lenders in 2018 and 2019 to participate in the program. The City provided two loans in 2019. In 2021, the City processed one loan. The program is still in high demand, but the housing process are too far out of reach for most moderate income homebuyers, even with City subsidy.

H-3.E. Work with St. Paul’s Episcopal Church and Trinity Center The City shall cooperate with St. Paul’s Episcopal Church and Trinity Center to develop new permanent supportive housing on their property.

40 units of permanent supportive housing

In 2018 the City approved an additional $500,000 for Resources for Community Development for St. Paul's Commons, a 45-unit affordable housing project currently under construction on St. Paul's property in Walnut Creek. Combined with the funding awards from 2015, 2016 and 2017, St. Paul's Commons has received a total of $5.5 million from the City. The project received CofO for 2 units in December of 2019, with the remaining units recieving CofO in early 2020. The grand opening event was held in the summer of 2020. This program is complete.

H-1.B. Second Family Units The City shall review, and update as necessary, the City's Second Family Unit Ordinance to address concentration issues that would provide more flexibility aimed at increasing the supply of second family units. The City shall consider modifying or removing the Zoning Ordinance requirement that the number of second units in a Census Tract may not exceed 5 percent of the number of single-family homes in that Tract. The City shall promote the Second Family Unit Ordinance as a method for creating affordable housing and meeting inclusionary housing requirements by continuing to post information on the City website and by distributing handouts.

40 second family units in the 8-year cycle

The City continues to implement the Second Family Unit (now ADU) Ordinance, and adopted significant updates in 2017 and 2019 which removed the limits on the number of ADUs permitted in each census tract. The ADU Ordinance also increased the number of ADUs allowed on a single lot, allowed ADUs on multi-family properties, allowed JADUs on single-family properties, and eliminated the parking requirements. Additionally, the City is currently undertaking the creation of a pre-approved ADU program whereby the City will generate a publicly available selection of construction-ready building plans for ADUs to be used in the City, at no cost to citizens.

H-1.F. Monitor Sewer and Water Capacity The City shall monitor the capacity of sewer and water systems. Should a constraint develop, the City shall give priority to residential land uses over non residential land uses, regardless of the demand generated by these uses. Specifically, consistent with State law, the City shall provide priority status for water and sewer services for residential projects serving lower-income households.

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No update. Sewer and water capacity have not been an issue in the City for decades. This program is a routine function and did not need any actions.

H-2.N. Legislative Advocacy for Affordable Housing The City shall continue to actively advocate for additional financial resources for affordable housing as legislation that supports affordable housing advances through the State or Federal legislature.

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The City continues to actively advocate for additional financial resources for affordable housing as legislation that supports affordable housing advances through the State or Federal legislature. In 2017 the City sent a letter in support of several of the housing bills, and provided support and feedback on several bills in 2018 and 2019. They City Council remained engaged with housing legislations in 2020 through the pandemic. One areas of focus was funding for emergency rental assistance and homeless prevention made available through the State as part of the Coronavirus relief package. The City also established a staff level legislative committee that is comprised of Housing and Planning staff and is tasked with tracking and researching new legislation and ensuring local compliance with all new state laws. In 2019, staff did substantial prep work to be able to effecitively comply with new state laws, particularly the Housing Crisis Act, changes in Density Bonus Law, and the updated to the ADU legislation. Additionally, in 2019 the City applied for the SB2 Planning Grant, and for the LEAP, PLHA, and the Local Housing Trust Fund Matching Grant 2020. Projects under all three grants are moving forward. In 2021, the City was awarded REAP funds for professional services for the Housing Element Update.

H-5.A. Residential Rehabilitation Loan and Emergency Grant Program The City shall continue the residential rehabilitation loan and emergency grant program to provide loans and emergency grants, using CDBG funds, Housing Successor Agency, or other sources of funds, to low- and moderate-income households for single-family housing rehabilitation and maintenance.

50 low- and moderate- income households over 8 year cycle

The City is continuing to administer the Home Rehabilitation Loan and Emergency Grant program. The City has updated the Home Rehabilitation Loan Program that partners with Habitat for Humanity to administer new rehabilitation loans beginning December 2017 instead of partnering with Contra Costa County. In 2018 three emergency grants were processed and several loans/grants were underway. In 2019, 4 grants were completed. In 2020, one grant and one loan were in progress.In 2021, one grant was complete with multiple loans/grants underway.

H-7.D. Public Outreach for Energy Efficiency and Conservation The City shall continue and expand existing partnerships with the East Bay Municipal Utility District (EBMUD), PG&E, and the Contra Costa Water District (CCWD) to educate residents and business owners about resources and opportunities for increased energy efficiencies. The City will further develop the City’s sustainability website to help inform and educate the community about energy efficient behavioral changes, maintenance practices, and more, and develop public service announcements through Walnut Creek Television, promoting energy efficiency practices in action.

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The City shares information on energy efficiency programs, behavioral change, financing/rebates, and more through its website (www.walnut-creek.org/eco), its E.C.O. e-newsletter, social media, workshops, tabling at community events such as Earth Day, and in the City's newsletter - the Nutshell. In 2019, the City updated its sustainability website to make it easier to navigate and find program information. In addition to sharing information about programs provided through PG&E or the water utilities, the City may also sponsor and promote its own programs. The City is now a member of MCE, a community choice energy program, which provides additional energy efficiency programs to the community and conducts outreach. With grant funding from the Bay Area Air Quality Management District, the City (in collaboration with Contra Costa County, the Cities of Antioch and San Pablo, and local non-profit Sustainable Contra Costa) also launched an online platform for residents called the Cleaner Contra Costa Challenge, which promotes energy efficiency behaviors and programs, water saving programs, and other greenhouse gas reducing measures. In 2019, the City created a public service announcement for Earth Day and promoted the Cleaner Contra Costa Challenge through social media and Walnut Creek Television. In 2020 and 2021, the City continued sharing information through City channels and continued to promote the Cleaner Contra Costa Challenge through online workshops and online media.

H-7.A. Residential Energy Conservation Program The City shall implement the Climate Action Plan to reduce energy consumption in residential buildings.

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The City has an open position (.5FTE) devoted to implementing the Climate Action Plan (CAP). The City promoted the California Youth Energy Services program in 2018, which resulted in 64 apartment units and 4 homes receiving no-cost energy and water efficiency assessments; having energy and water saving equipment like LEDs and low-flow showerheads installed. Using repurposed EECBG federal funds, the City funded an energy efficiency program called Walnut Creek Saves through May 2018. This was a community program designed to save residents’ energy and water while lowering utility bills. From February 2017-May 2018, the program served 246 residents, saving an estimated 85,149 kWh. 101 residents were served in 2018. In 2019, the City promoted the regional BayREN Home + energy efficiency program for residents, hosting a workshop on November 12, 2019 with more than 70 people attending. With grant funding from the Bay Area Air Quality Management District, the City (in collaboration with Contra Costa County, the Cities of Antioch and San Pablo, and local non-profit Sustainable Contra Costa) also launched an online platform for residents called the Cleaner Contra Costa Challenge, which promotes energy efficiency measures and other greenhouse gas reducing actions. In 2020, the City continued promoting the regional BayREN and other utility energy efficiency programs for residents, including online virtual workshops. The City promoted Rising Sun Center for Opportunity's energy and water efficiency kits. The City also continued promoting the Cleaner Contra Costa Challenge, which includes energy efficiency actions. The City of Walnut Creek is preparing a new Sustainability Action Plan. The Sustainability Action Plan will continue City efforts to address climate change through 2045. The Plan addresses equity, air pollution, water conservation, and waste.Throughout 2020, the City worked on an update to its Climate Action Plan, which is expected to be adopted in 2021.

H-5.B. Foreclosure Assistance The City shall continue to provide assistance to homeowners who may be at risk of foreclosure by continuing to fund nonprofit organizations that provide housing counseling and foreclosure prevention assistance to residents.

40 households over 8-year cycle

The City continues to fund ECHO Housing, a non-profit housing counseling agency that provides assistance to Walnut Creek residents. The City also funds Senior Legal Services, a non-profit that provides legal services to low-income seniors.

H-7.B. Energy Retrofits Through the Home Rehabilitation Loan Program The City shall continue to partner with Contra Costa County to fund energy efficiency loans through the Home Upgrade Program, providing loans with money from the Bay Area Regional Energy Network (BayREN).

Loans to 4 households

The City shares information on Energy Upgrade California and BayREN programs on its website (www.walnut-creek.org/eco), its e-newsletter, social media, workshops, and the Nutshell newsletter. In 2017, the City hosted a contractor training for the program. In 2019, the City hosted a homeowner workshop for the BayREN Home+ residential program. In 2020 and 2021, the City promoted online workshops hosted by BayREN's residential energy efficiency program.

H-7.C. Energy Upgrade California The City shall support regional efforts to implement the Energy Upgrade California Program, which offers incentives for single-family homeowners to retrofit homes for energy efficiency.

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The City shares information on Energy Upgrade California and the BayREN programs on its website (www.walnut-creek.org/eco), its e-newsletter, social media, workshops, and the Nutshell newsletter.