2-0
County of Santa Clara
Board of Supervisors
Supervisorial District Four
Chairperson James T. Beall. Jr.

Trans-ID: BOS4-12.4.01bosl
DATE:

December 4,2001

;^jppt5V6d\ Accepted Adopted DeWad pyaeanted
TO:

Board of Supervisors

ByrHE BOARD OF SUPBRVISORS

OF TH£ COUhIT OF SANTA CLAHA ^
‘^liylllufcFti! j.?, C[c;j
FROM:

iVI

r

By

James T. Beall, Jr.

Date:

nFPT-rniMi

Supervisor, District 4

SUBJECT: Recommendations from the Santa Clara County Housing Task Force

T^KCOlVrMENDED ACTION

On behalf ofthe Santa Clara County Housing Task Force, I am requesting the Board of

Supervisors accept the attached report, and refer the recommendations to the Housing, Land
Use, Envii-onment and Transportation Committee and Budget Priorities Process for
consideration prior to March 2002.
The recommendations ofthe Housing Task Force are as follows:

1. Accept Housing Task Force Report and approve only the following recommendations
related to establishing the organizational infrastructure being forwarded to the Board for
approval at this time. The remaining recommendations will be considered within the next
three months by the Steering Committee and presented tlirough HLUET for Board approva.1. ,
2. Adopt resolution recognizing the Housing Crisis and declaring a "State of Affordable
Housing Emergency" in Santa Clara County.

3. Approve the creation of a Steering Committee under the direction ofthe HLUET
Committee. The Steering Committee will be composed of the Housing Task Force Chairs plus

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1

L

DEC O T 2001

one

representative from each Supervisorial office, a representative from the County

Executive s Office, and will be administered by the Housing Coordinator.

The Steering Committee will develop.the recommendations ofthe Housing Task Force into a
feasible action plan. The Steering Committee will identify clear directives including but not
limited to the possible reorganization of internal infrastructure, potential funding sources, and
land banking. To develop the implementation plan the Steering Committee should use
strategies as outlined in the attached Housing Task Force report.
4. Direct administration to report back for Board consideration by March 2002, a financial

analysis of the use of up to 30% of the RDA tax increment for affordable housing. Three
options should be compared including fiscal analysis and a cost-benefit comparison; on an
annual basis - on a limited basis - up to five years. Included in the analysis should be a report

the potential advantages of a direct partnership between the County and the Housing Trust
of Santa Clara County. Specifically, staff should identify leveraging opportunities for
financing affordable housing through a partnership with the Trust.(See Attachment B)
5. Approve the creation of an Affordable Housing Unit within the County Executive's Office.
Administration should report back in March 2002 identifying the scope, organization, and cost
of an Affordable Housing Unit. This should include a cost-benefit analysis that considers a
reduction of duplication, workload, and improved coordination among County Departments
and Agencies. Further, this should include information on the best practices and organization
on

of programs in similar counties.

6. Delegate authority to the County Executive to extend the current Housing Coordinator
contract until the Office of Affordable Housing has been established. The Housing

Coordinator position will be created upon establishment of the Office of Affordable Housing.
FISCAL IMPLICATIONS

E The cost of extending the Housing Coordinators Contract for the rest of the fiscal year is
$45,000. This position has been paid for out of the SCC Housing Bond Trast Fund. If a

position is established, it will be funded from the General Fund at a rate to be determined.
2. Implementation ofthis process would lead to the creation of IFTE Housing Coordinator
after Board approval on March 2002. Cost would be determined at that time. Consideration of
additional support staff should be reviewed as part ofthe FY 2002—2003 budget planning
process.

3. The Housing Task Force is requesting the County set aside up to 30% ofthe RDA tax
increment funds for implementation of the Housing Task Force recommendations, pending a
review by staff of the fimding proposal submitted by the Housing Task Force.(See
Bmrd ofSLitJoiYiisOTg; OoiiaJd I'. Oage, BUuica Alvaradij, Pete
CouiBV

JanwsgT. Beall Jr., Lh Knsaa

Rk'lvard Wiitcnbarj!;

2

recommendation #5)
RACKGROTJND

During my State of the County Address,I called for an intensive 180-day community
planning process to craft a countywide Housing Action Plan. This charge created the Housing
Task Force, a broad based, countywide coalition of housing service providers, developers and
advocates. The mission of the HTF was to prepare a report for the Board of Supervisors,

documenting countywide housing needs, barriers to providing affordable housing, and
proposed recommendations addressing the affordable housing crisis in Santa Clara County.
Over 175 individuals and organizations participated in the 5-month process and presented the
first draft ofthe Housing Task Force Report to the Board of Supervisors on August 28,2001.
Since that time, the Steering Committee, comprised ofthe chairs, project facilitator and

Housing Coordinator, have organized the recommendations for addressing the housing crisis
into three strategies identified in the report; Regional Leadership and Advocacy,Infrastructure
and Organizations, and Resources and Allocation.

In addition, the Steering Committee has made several presentations ofthe Housing Task

Report including a meeting with elected officials from around the County and before the State
Assembly Select Committee on Silicon Valley Housing. All presentations have been received
favorably and the Steering Committee has been encouraged to move forward.
The process has now reached a point where the Steering Committee should work with County
administration and other local Jurisdictions on^developing specific implementation plans that
best utilize County resources and makes significant strides towards addressing the housing
crisis.

The Housing Task Force chairs are Alex Sanchez, Executive Director of the Housing
Authority, Will Lightboume, Director of SCC Social Services Agency,Bonnie Bamburg,
Director ofNew Development for Community Housing Developers, Chris Block, Executive
Director ofthe Housing Trust of Santa Clara County, Frank Motta, Program Officer for

Corporation for Supportive Housing, Roger Barnes, Director of Education Partnerships for

Santa Clara Unified School District, and Kristy Sermersheim, Executive Secretary-Vice

President of SEIU Local 715. the Steering Committee will present monthly status reports to
the HLUET Committee.

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Courtiiy HxGc:uin''i.'=t Rix'ilfard VVittflnbn-i'rf?

Jaraca T..Beall Jr., Lias

SANTA CLARA COUNTY HOUSING TASK FORCE
REPORT SUMMARY

INTRODUCTION

It has been the mission of the Housing Task Force to thrust the County into a new public leadership

role as “the countywide affordable housing champion.” Consideration ofjurisdiction, protocol and
tradition were recognized and respected, but the severity of the crisis and the lack of comprehensive,
compelling solutions inspired committee members and took precedence above all else. The prevailing
sentiment has been that, while the region’s jurisdictions have done many things to address the housing
crisis; it has not been enough, and it is time to coordinate land use and housing decisions with the
greater interests ofthe region.

Housing advocates see the Housing Task Force process as an opportunity to create a countywide
affordable housing “champion.” Others see opportunities for the County to fill several major regional

policy and planning deficiencies, while some see the County becoming more vocal at the state and
All however, envision groundbreaking policy that unites all jurisdictions, public
institutions and agencies into a synergistic effort to mitigate the housing crisis.

federal levels,

THE HOUSING TASK FORCE PROCESS

The Housing Task Force(HTF)was created by Supervisor Beall in his State of the County address m
January, 2001. After several months of planning by a Steering Committee, the HTF first met on May
17, 2001 and was comprised of over 150 professional, volunteer housing advocates, developers,

service providers, city and county housing staff and elected officials. All areas ofthe county and all
affordable housing interests were represented. The HTF was divided into 5 subcommittees: 1)
Regional Housing Blueprint; 2)Special Needs Housing; 3) Public Employee Housing Assistance; 4)
Government Surplus Land; and 5) Community Land Trust. Fom committees met approximately
every two-three weeks fi'om late May through August, while the Cormtywide Housing Blueprint

Subcommittee met until mid September.

Each Subcommittee was advised ofthe time constraints ofthe process and recognized their work was

limited to developing broad policy and strategy recommendations that would be refined later. Within
their subject area,the Subcommittees conducted the following analysis:
• Define the affordable housing problem and needs

• Identify barriers to affordable housing, especially in Santa Clara County
• Identify key stakeholders in affordable housing and resources

• Develop strategies using short, medium, and long term goals
• Objectives must be focused

• Recognize/redefine the County’s role in housing production, creation, and preservation
• Recognize the work of others and if possible, build upon that

SCCHTF Summary to BOS

Dated 11/29/01

As work ofthe Subcommittees progressed, policy and strategy recommendations initially focused on

the specific concerns ofthe group,but quickly grew into far-reaching recommendations. Many ofthe
recommendations overlap and most are still in a very rough form, because again, the process and time
constraints did not lend itselfto developing a refined product. It is, however,the intention ofthe
Steering Committee that the recommendations will be reworked and further developed through a
“transition period”.
STRATEGY AND POLICY RECOMMENDATIONS

This summary briefly groups the major recommendations of the Subcommittees by overall project
objectives that the Steering Committee intends to accomplish during the ‘transition phase.” The
overall project objectives as formulated by the Steering Committee are as follows:
1) Regional Leadership and Advocacy
2) Infirastracture and Organization
3) Acquisition and Allocation ofResources
I. Regional Leadership and Advocacy

1) The Board of Supervisors should adopt a resolution declaring a “State of Affordable
Housing Emergency” and announce a number of major action steps to be taken along
many fi-onts. Possible action steps may include but are not limited to the following-and
the final resolution has not yet been approved by the Steering Committee.

2) In partnership with local jurisdictions and institutions, the County should establish a
countywide Housing Advisory Commission (HAC) for planning and implementing a
regional housing action plan. Key issues the regional forum will address include:
• The use of publicly owned surplus land for affordable housing
• Creating affordable housing opportunities for all public employees

• Creating affordable housing opportunities for special needs persons and families
• Developing comprehensive, consistent favorable land use and affordable housing
policies throughout the county

• Addressing the jobs/housing imbalance in the county

3) In partnership with local public jurisdictions and institutions the County should initiate a
countywide Housing Education and Finance Assistance Program for all public employees.

• This multi-jurisdictional program will establish a revolving loan program and
provide rental and home buying assistance to public employees in Santa Clara
County.

SCCHTF Summary to BOS

Dated 11/29/01

2

4) The County should take a proactive, local leadership role becoming the affordable
housing advocate throughout the county. In this capacity, the County should facilitate
the following:

• Bringing together developers, service providers, city, state and federal agencies
and resources for the purpose ofdeveloping affordable housing projects
• Advocate for favorable land use policies and set asides for affordable housing
developments

• Advocate for cities to allocate 50% of their redevelopment funds to affordable
housing

• Further develop existing lobbying resources

5) The County should become an active and visible advocate at the state and federal levels of
government. The County should work for the following;

• Prepare an analysis of how state and federal housing programs in the county work
or do not work here

• . Advocate for funds, tax incentives and programs (i.e.. National Housing Trust)
aimed at developing affordable housing in high cost counties throughout the state

• Advocate(on behalf of local nonprofits and service providers) developing flexible

conditions and consistent reporting requirements on the use of state and federal

funds for affordable housing

• Advocate for Housing Element reforms
• Advocate for constmction defect legislation

• Encourage our state delegation to lead a large-scale effort to review and reform
state licensing requirements and code

• Advocate for legislation establishing Housing Redevelopment Zones

• Advocate for reform ofProposition 13 and its many variants

11. Infrastructure and

1)

Organization

The County should redefine what constitutes surplus land and compile an inventory of all
vacant or surplus land owned by local, state and federal governments, institutions and
agencies in the county.

2)

The County should create an Affordable Housing Unit to coordinate the development of
County housing service efforts, as well as support existing efforts, including but not
new

limited to the following:

• Facilitate coordination of current housing efforts of County departments

• Gather critical data and determine housing needs of County special needs clients
and public employees

• Establish affordable housing information services (Housing Education Assistance
Program)for special needs clients and public employees
SCCHTF Summary to BOS

Dated 11/29/01

3

• Seek and acquire new resources

• Provide resource acquisition assistance to developers and service providers
• Use County-resources to facilitate local projects
• Develop marketing strategies and materials directed towards the county in support
ofaffordable housing '

• Advocate for affordable housing issues at the local, state and federal levels of
government

3) The County should establish a Special Needs Housing Education and Assistance program
for special needs clients and housing service providers.

• Services provided by the County would include ongoing rental and down payment
assistance, as well as emergency assistance and life skills training.

4) The County should establish “best practices” policies in Special Needs Housing
management,including:

• Developing ways to encourage and reward successful programs
• Facilitating the development of new community based special needs housing
models and developing innovative designs that would be effective in Santa Clara
County

5) The County should establish a County Housing Department for building very low and
extremely low-income housing for special needs clients and public employees. The
County Housing Department should:

• Issue building permits for affordable housing projects on County surplus lands
• Work with cities on building affordable housing projects on County^
unincorporated lands

• Become an insurer or guarantor of financing for affordable housing projects
• Establish a temporary loan fund for developers ofaffordable housing projects
• Establish a rental housing assistance program to buy down rents

• Utilize and/or leverage service contracts to facilitate the development of affordable
housing

• Provide “catalyst financing” to assist nonprofit developers
III. Resources Acquisition and Allocation

1) The County should move immediately to initiate the establishment of a countywide

“Affordable Housing Land Bank” (AHLB), to hold and manage “gifted or purchased
lands for the purpose of developing affordable housing.

2) The County should make available all vacant or surplus lands o-wned by the County to the

Affordable Housing Land Bank and urge all public jurisdictions, institutions and agencies

in Santa Clara County to do the same.

SCCHTF Summary to BOS

Dated n/29/Ol

3) The County Housing Department should be engaged in an on going effort to acquire
resources

including permanent funding for countywide affordable housing programs.

Potential new resources and funding could include but not be limited to the following:

• Surplus Government Land for building affordable housing units
• Units/Land acquired through Inclusionary Zoning, Density Bonuses
• Special Tax districts
• Bond Financing

• Housing development/commercial development fees
•

Local taxes

•

Local foundations

• Pension Funds

• Redevelopment Funds
• Additibnal state and federal assistance

CONCLUSION

The Housing Task Force Steering Committee is recommending the Board of Supervisors appoint the
Steering Committee to oversee the refinement and implementation of the recommendations of the
Housing Task Force report. The Steering Committee will report to the Board of Supervisors and the
HLUET Committee of its progress on a regular basis as well as take direction fi:om the Board,
Committee, and County Administration.

SCCHTF Summary to BOS

Dated 11/29/01

5

2^5?.

OFSANTACLARA

trust

COUNTY

investing in our community with vision,compossion ond Innovation
Date: November27,2001'
To:

Supervisor James-T. Beall, County of Santa Clara

Fr:

Chris Block, Housing Trust of Santa Clara County

Re:

County of Santa Clara/Housing Trust of Santa Clara County Matching Program

In response to the persistent affordable housing crisis in our valley, many community leaders and
institutions have identified the critical need for more resources dedicated toward strategic housing
investments. Through an expanded partnership with the Housing Trust of Santa Clara County(HTSCC),
the County of Santa Clara can facilitate the creation of significantly more resources while expanding the
County’s role as a leader in the provision of affordable housing. Specifically, HTSCC is willing to work
with the County to develop a program that will match ongoing investments by the County of Santa Clara
for the purpose of meeting common objectives for the development of more affordable housing. As the
County contemplates strategies for enhancing our leadership role in addressing housing concerns, we
the Redevelopment Agency of the City of
propose that the County allocate 30% of the settlement with
San Jose toward such a matching program.

In so doing, the County may leverage ongoing investments in the Trust to create the opportunity for the
implementation of prioritized policy objectives such land banking and the production
, and
, •targeting of
affordable housing to meet critical County needs. For example,investments could be made in greater
levels of homeownership assistance, with a component targeting County employees on the one hand,
while bolstering resources toward the Trust’s extremely low-income component to meet the housing
as

needs ofthe County’s clients on the other.

in the provision of affordable housing
The County of Santa Clara has traditionally been a key player
Coordinator,
Housing and Community
through the Housing Authority, the office of the Homeless as Mental Health,
Drug and Alcohol and
Development and numerous other county departments such housing supplier throughout
the county and
Social Services. The County is by far the largest affordable
due
to
their
income
levels
and
special
needs.
houses people that are the most difficult to serve
The concept is to provide additional resources for the provision of affordable housing by continuing the

great paitnership established between the HTSCC and the County that has resulted m the mitial

capitahzation of the Trust in excess of$20 million.

Now is the right time to expand this partnership for a number of different reasons:
• HTSCC has recently completed its initial fundraising goal and as a result of the County’s strong

leadership has shown that we can greatly leverage the monies provided by the County as a result
of a strong partnership with the Housing Trust.

• As a result of the settlement with the Redevelopment Agency of the City of San Jose, the County

will be receiving millions ofdollars on an ongoing basis. Redevelopment law stipulates that
each city use twenty-percent of its tax-increment funding for affordable housing.(30% beginning

next year). Although the County is legally not required to do so, it is as concerned and irnpacted
entity, and could set a moral and ethical
by the affordable housing crisis as any other government
for affordable housing.
high tone by creating a permanent source offunding

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. These difficult economic times have precipitated the stabilization and/or decline in land and

housing prices, which provides a strong window of opportunity to make strategic investments
that will help stretch resources. Such priorities as land banking and building affordable housing
are more cost effective now than in recent memory.

• It is also a critical time to build as much affordable housing as possible because factors like

increased unemployment and limits on welfare make the situation particularly urgent for many
families who are directly served by the County.

Potential advantages of a County of Santa Clara/HTSCC Partnership:

• The County can significantly leverage its investment in affordable housing through a partnership
with the Housing Trust

• This program can be targeted toward County priorities.
Examples:
A.

Acquisition ofland currently owned by the County and other public agencies that would
be suitablefor affordable housing.

Such an investment would greatly advance a number of different policy objectives:

effective utilization of publicly owned land for the provision of affordable housing; land

banking so that land purchased today could be utilized over time for the production of

affordable housing, etc. Utilizing Redevelopment funds in this way could create greater
flexibility for the use ofsuch funds while appropriately compensating the County for
disposal of its assets.

B.

The creation ofhousing specifically targeted to County employees.

An expanded HTSCC first-time homebuyer program could also include specific targeting
toward County employees.

C.

The creation ofhousing specifically targeted to County clients.

component, which spearheads
Through investment in the HTSCC extremely low-income
less than 30% of area median
the development of units accessible to families making
Income, the County could help align development to the needs of County clients.

Next Steps

Considerations

of Santa Clara to dedicate 30/o percent of
With the approval of the Board of Supervisors of the County
SCC/HTSCC
matching program the next step
the San Jose Redevelopment Agency settlement to the
develop
a
program
that
would maximize the use of
would be to put together a legal/financial team to
County dollars.

Such a team would present the most effective method to transfer funds to the program, considering the
implications of:

• Direct transfer of Redevelopment settlement funds as pass through monies.
• Transfer from the County’s general fund after Redevelopment funds are initially utilized for
expenditures that conform to state redevelopment law.

of County-owned land withm the
• Use of Redevelopment settlement funds for the direct purchase
funds to be transferred directly into the

City of San Jose, which would allow these post-purchase

County’s general fund.

• If Redevelopment settlement funds are used to cover expenditures currently di-awn from the
County’s general fund, general fund resources directed at the matching program could be used
outside of San Jose.

,

Of course, these options and others require both a financial and legal determination.
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AFFORDABLE HOUSING NETWORK
of Sanla Clara County
RAISING

THE ROOF

P.O. Box 5313

B/S Chair

San Jose, California 95150
Phone; (408)265-1554

BD of Supv,

n/

IM

Clerk -

November 26,2001

To the Santa Clara County Board of Supervisors
FAX 298-8460

Honorable James T. Beall, Chairperson,

and members ofthe Santa Clara County Board ofSupervisors:

Subject: Agenda 12/4/01 Housing Task Force Recommendation.
The Affordable Housing Network urges you to vote for the establis^ent
in the
as soon as possible ofthe Community Land Trust that is recommended
Report.

In the current
This is an opportune time to obtain land for housing.
level
“
economic recession many companies are teduch® their
a resuU have exeess land and excess buildings. For
from the CalTram

properly at Mayfield and Central in Mountam View across

Station, is scheduled to be excess property.

Buildable land is the first requirement for affordable housing.

A Corn-

munity Land Trust could acquire land as a donation for public benefit or by other
means.

. Take advantage ofthe current

Your positive action is needed now have affordable housing as soon as
economic situation so that communities can
possible.

Thank you for your consideration ofour recommendation.
Sincerely,
a..

Phyllis A. Ward
President

cc; c^cA

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P,01

59T9831

20S6T539

m qii?

.'vr

AFFORDABLE HOUSING NETWORK
of Santa Clara County

RAISING
THE ROOF

P.O. Box 5313

B/S Chair

San Jose. California 95150
IW

Phone; (408) 265-1554
-fwe
(400) 050 0000

BD of Supv
Clerk

November 27, 2001

To the Santa Clara County Board of Supervisors
FAX 298-8460

Honorable James T. Beall, Chairperson
and members ofthe Santa Clara County Board ofSupervisors;

Agenda: December 4,2001 Housing Task Force Report
The Affordable Housing Network ofSanta Clara County requests
appointment to the Steering Committee ofthe Housing Action Plan.
Members ofAHN participated in Task Force committees during the past
sbc months and want to serve on the Steering Committee to help implement Task
Force recommendations. Thank you for your consideration of our request.

Phyllis A. Ward
President