Loading...
HomeMy WebLinkAboutLake Elsinore General Plan - Part 4IT Community Profile and 43 units lacking complete kitchen facilities. The majority of these infrastructural insufficiencies occurred in renter households. Housing Costs and Rents This section discusses resale cost of existing housing, as well as the average rental prices in the City. The information provided was obtained from reliable real estate industry data sources and the 1990 Census_ The City of Lake Elsinore, as the rest of Southern California, experienced a drop in existing and new home prices in the early 1990s following a price peak in 1989/90. Table 16 lists the value of existing housing units in the City in 1990. The 1990 Census documents a median housing unit value of $135,400 in Lake Elsinore, $3,400 below the 1990 County median of $138,800. The values indicate that 58.9% of the houses were valued between $100,000 and $200,000. Only 9.1 % of the house stock was priced at $200,000 and above. Page 20 Housing Element Update for- the City of Lake Elsinore FINAL July 2002 w -`1,!-S399,999 :If, -$299,999 ,J004249,999 ,.ir.-$199,999 . G-$174,000 ?00-$149,999 :;r 5124,999 = "10499,999 :i0-$74,999 r;"0-$59,999 City of Lake Elsinore HOUSING ELEMENT UPDATE TABLE 16 HOUSING VALUES 1990 CITY OF LAKE ELSINORE Price Range Number of Units I Percent of Total $15,000 - 359,999 68 2.5% S60,000— $74,999 97 3.6% $75,000 - $99,999 507 18.8% $100,000 - $124.999 400 14.8% $125,000 - $149,999 6701 24.8% $150,000 - $174,999 5221 19.3% $175.000 - $199,999 194 7.2% $200,000 — $249,999 151 5.6% $250.000 - $299,999 42 1.6% $300,000 - $399,999 52 1.9% $400,000 - $500,000 0 0.0% 5500,000+ 0 0.0% Total 2.7031 100.0% Median Value: $135.400 Source: 1990 Census STF 3A. FIGURE 6 HOUSING UNITS BY PRICE RANGE 1990 52 42 151 194 522 5 0 400 507 97 6 0 100 200 300 400 500 600 700 Units Thi" ing Center Juh f)[12 1 use ci FINAL J H. Community Profile r.nd New Home Price Trends at housing values, the 1990 Census is useful because it provides a breakdown of price SII as units within each price range. However, contemporary data is available though le surveys gathered by private data firms. Based on an August 2000 survey by Axicom Services, Lake Elsinore's median home price is listed at $135,000. Mirroring the drop in new home prices in the early 1990s following the price peak in 1989/90, the current median declined by $400 from the 1990 Census reporting period. In comparison, Riverside County's ut ne price was reported to be $140,000, up 10% from the previous year. is rates the pricing trend for new detached homes in Lake Elsinore between 1989-1998. The recession in the early 1990's can be seen in the decline in housing prices between 1992- 1996, however, housing prices have recuperated and have steadily grown to approximately 998. Table 17 offers representative housing prices for ten newly built communities in Lake : -ised on the information available, it appears that the range of prices for new units is above lousing price in the City, ranging from the mid $100,000's to low $200,000. Current housing -:. -;s do not indicate the production of new attached products in the City. $200,00 :150,000 $1 $100,000 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 Source: Market Profiles: Stan Hoffman & Associates. November 1999. FIGURE 7 AVERAGE PRICE OF NEW DETACHED HOMES 1989-1998 $184,072 Housing Element Update for the City of Lake Elsinore { July 2002 City of Lake Elsinore HOUSING ELEMENT UPDATE Table 18A provides representative resale prices for existing condominiums and single-family detached homes between April 1999 and August 2000. The information is presented by number of bedrooms in each unit and is further broken down by square footages associated with resale price range. Among the 23 condominiums sold during the reporting period, the majority of units (52.1 %) were priced between $50,000 and $56,000, which correspond to the median condo price of $53,000. Nine condo units were sold between the $32,000 and $49,000 price range, representing an approximate 39% of total condo sales. The data also indicates that a total of 706 single-family homes were sold during the reporting period; comprised of 52 one -bedroom units (7.4%), 180 two-bedroom units (25.5%), and 474 three-bedroom units (67.1 %). Nearly all of the homes with less than three bedrooms sold during the reporting period had median prices below $135,000. The greatest proportion of home sales occurred in the category of three-bedroom units with the resale price range between $100,000 and $199,999, constituting 44.6% (315 units) of total houses sold. Two and three-bedroom homes in the price range of $50,000 to $99,999 were also sold at high proportions, representing 18.6% and 15.6%, of total resale units, respectively. In addition, the majority (52%) of one - bedroom units were sold for less than $100,000. Only 23 of the 473 total units were sold for more than $200,000, with the majority (78%) found in three-bedroom detached units_ The Planning Center Jul' 2002 Page 23 FINAL TABLE 17 HOUSING PRICES 1999-2000 CITY OF LAKE ELSINORE Development Number of Units Base Price Range Square Foot Range J Density du/ac New Attached todiiati NeW DeWched•Produats S. Shore Reflections 115 $130.000-$183,000 1,304-2,364 sq. ft 5 dulac Valtelena 114 1 $142.000-$196.000 2,042-2,742 sq. ft. 7 dulac Summerhill Trails 89 1 $147.9904164,990 1,502-1.913 sq. ft. 4 du/ac Classics 117 1 $155,990-$177,990 1,857-2.745 so. ft. 6 dulac Summerhill 89 1 $160.000-$193.000 1,780-2.671 s . ft. 6 du/ac Tuscana 125 $169,990-$190,990 2.051-2.644 sq. ft. 5 du/ac Castellina 111 $186,000-$216,000 2.344-3.221 sq. ft. 5 dulac Tuscany HillsNolterra 164 $184,950-$210,950 2,357-3,046 sq. ft- 6 du/ac Tuscan Hills/Bel Fiore 69 $203,900-$224.900 2,680-3,360 sq. ft. 6 Mac Tuscan Hills/Tesoro 77 $228,950-$245.950 2.811-3.312 sq. ft. 6 dulac Source: Competitive Housing Market Report, Riverside County, CA, 2^' Quarter 1999 & 2000, The Meyers Group -Real Estate Information and Consulting Services Note: Residential density assumption based on 80% of gross acres. Table 18A provides representative resale prices for existing condominiums and single-family detached homes between April 1999 and August 2000. The information is presented by number of bedrooms in each unit and is further broken down by square footages associated with resale price range. Among the 23 condominiums sold during the reporting period, the majority of units (52.1 %) were priced between $50,000 and $56,000, which correspond to the median condo price of $53,000. Nine condo units were sold between the $32,000 and $49,000 price range, representing an approximate 39% of total condo sales. The data also indicates that a total of 706 single-family homes were sold during the reporting period; comprised of 52 one -bedroom units (7.4%), 180 two-bedroom units (25.5%), and 474 three-bedroom units (67.1 %). Nearly all of the homes with less than three bedrooms sold during the reporting period had median prices below $135,000. The greatest proportion of home sales occurred in the category of three-bedroom units with the resale price range between $100,000 and $199,999, constituting 44.6% (315 units) of total houses sold. Two and three-bedroom homes in the price range of $50,000 to $99,999 were also sold at high proportions, representing 18.6% and 15.6%, of total resale units, respectively. In addition, the majority (52%) of one - bedroom units were sold for less than $100,000. Only 23 of the 473 total units were sold for more than $200,000, with the majority (78%) found in three-bedroom detached units_ The Planning Center Jul' 2002 Page 23 FINAL IT Community Profile TABLE 18A REPRESENTATIVE RESALE HOUSING PRICES 1999-2000 CITY OF LAKE ELSINORE Square Foot Flange Resale Price Range Median Price Units % of Sold Sample Condominiums 800-1,258 sq. ft $32,000-$49.999 $45,000 9 39.1% 900-1,346 sq. ft $50,000459,999 $53.000 12 52.1% 900-1,195sq. ft $60,000-$64,000 $62.000 2 8.7% Total 23 100% 440-1,636 sq. ft f 478 -1,248 sq. ft $8.000 - $49.999 $50.000 -$99.999 $29,000 $70.000 17 27 32.7% 51.9% 388-1,636 sq- ft $100,000-$199,999 $127,500 6 11.5% 800-1,395 sq. ft $200,000 - $249,999 $222.000 2 3.8% - $250,000+ - 0 ! 0% Total 52 ! 100% Two Bedroom 549 -1.368 sq. f1 $8,000 - $49,999 $42,000 22 1 12.2% 528 -1.790 sq- ft $50,000 - $99,999 $70,000 110 61.1% 548 -1,860 s . ft $100,000 - $199,999 $129,000 43 23.9% -. $200,0004249,999 - 0 0% 1,564 - 3,179 sq- ft. $250.000+ $325.000 5 2.88 Total 180 100% Three Bedroom 558 -1,890 sq. ft $8.000 - $49,999 $33,250 10 2.1% 480 -2,168 sq. ft $50,000 - $99,999 $80,000 131 27.6% 1,036-2,168 s . ft $100,000 - $199,999 $131,000 315 66.5% 1,807-2.324s . ft $200.000-$249,999 $235,000 6 1.3% 1.304.1,753 sq. ft $250.000+ $322,500 12 2.5% Total 474 ! 100% Median Home Price': 5135,000 " I 1 Median Cando Pricer: 553.000 C I I Source: LA Times Real Estate -Home Prices Dataquick, homes sold during 4/99-8100 (10130100) ILA Times-Acxicom Information Services. Auaust 2000 (10/8/00) Housing prices in Lake Elsinore are significantly lower than in surrounding regions as demonstrated in Table 18B. Lake Elsinore's median home price is $132,000, which is much lower than its neighboring cities. Lake Elsinore's home prices are lower than the county median, which is $143,000. Los Angeles county and Orange County exceed Lake Elsinore's median home price by $79,000 and $183,000 respectively. Lake Elsinore is providing affordable housing for the rest of the region - Page 24 FINAL TABLE 18B MEDIAN HOME PRICES LAKE ELSINORE AND SURROUNDING JURISDICTIONS Housing Element Update for the City of Lake Elsinore July 2002 City of Lake Elsinore HOUSING ELEMENT UPDATE q!k Median Home Price Lake Elsinore $132.000 Corona $194,000 Mumetta $178,500 Norco $206,000 Temecula $178.000 con 'Median Home Price Riverside Coun $143,000 San Bemardino County $118,000 Los Angeles County $211,000 Orange County $315.000 Source: Los Angeles Times. September 2006 $172 vs the monthly mortgage payment calculated for the average priced existing and new home. 'ion is useful in determining the affordability of home purchases. In calculating the payments, —d a 30 -year mortgage were assumed. The prevailing mortgage rate of 8.5% was used in -i m. It should be noted that the following monthly payments include a 1 % property tax and a ic:sge insurance payment, which incrementally increase the cost of owning a home an �jrcentage over the monthly mortgage cost. TABLE 19 MONTHLY MORTGAGE PAYMENTS FOR RESALE AND NEW HOMES CITY OF LAKE ELSINORE Interest Rate 8.5% 1 8.5% 1 8.5% Purchase Price $75.000 $120.000 1 $170,000 Down Pa menl 10% 10% 10% Loan Amount $67,500 $108,000 1 $153,000 Monthly Principal and Interest $519 $830 $1,176 Estimated Monthly ProperlyPmperly Tax 8 Insurance $78 $125 1 $172 Total Housing Expense $597 $955 1 $1,348 Required Monthly Income $2.000 $3,185 1 $4,490 Recuired Yeady Income $24,000 I $38.220 1 $53.880 Estimated at 1 % property tax and .25% of value for homeowners insurance .. ,_s P, -ices ."esus reports the median contract rent of all rental units in the City at $572 per month. Table rental ranges per the 1990 Census and the number of units that rented within that particular The table indicates that 66% of one -bedroom units rented for less than $500, 88% of two is rented for less than $570, and 68% of three-bedroom units had monthly rents between 1.000. Overall, the majority (77%) of rental units cost less than $750 per month. TABLE 20 RENTS BY NUMBER OF BEDROOMS 1990 CITY OF LAKE ELSINORE Center Page 25 FINAL II. Community Profile Range Studio 1 Bedroom 2 Bedroom 3 Bedroom Total % Total $04499 101 424 270 64 859 34.5% $5004749 53 190 664 166 1,073 43.0% $7504999 7 0 101 259 367 14.7% $1,000+ 0 0 14 125 139 5.6% No Cash Rent 0 33 10 12 55 2.2% Total 161 647 1,059 626 2,493 + 100.0% Source: 1990 U.S. Census, STF 3A. A survey of apartment units in the City was conducted by The Planning Center in October 2000. Table 21 lists the rental ranges of selected units by number of bedrooms. One -bedroom apartment units fall within the $500 to $575 per month price range; two-bedroom units within the $500 to $775 per month price range; and three-bedroom units within the $710 to $815 per month price range. The surveyed apartments contained no studio units or four-bedroom units. Four apartment complexes provided only two-bedroom units and it appears that two-bedroom units are the most prevalent units provided by apartment complexes. There were fewer three bedroom units, which can accommodate larger households without overcrowding. TABLE 21 RENTAL PRICES OF MARKET UNITS 1999 CITY OF LAKE ELSINORE Apartment Complex 1 Bedroom Price 2 Bedroom Price 3 Bedroom Price 4 Bedroom Price Total Units Morrow Way $500 $575 N/A N/A 16 Look Out $500 $550 N/A NIA 20 Sierra Vista $515 $605 $710 NIA 81 Grand Oaks $540 $640 $750 N/A 150 North Shore $540 $650 $775 N/A 32 Walnut Grove $550 $645 $775 N/A 63 Harbor Grand $560 $660 $815 N/A 192 Lakeside $575 $650 $790 N/A 128 Hacienda NIA $675 NIA N /A 11 Lakeview Village N/A $735 N/A N/A 40 Lakeshore Villas N/A $775 NIA N/A 56 Source: City of Lake Elsinore; The Planning Center Survey, October 2000. Affordability Gap Analysis The costs of home ownership and renting can be compared to a household's ability to pay for housing, based on the 2000 HUD median income of $47,400 for the Riverside County area. Table 22 identifies maximum affordable rents and purchase prices by income category for both a family of four and a single person household, based on 30% of income expended. The range of maximum affordable housing costs is adjusted for households with two and three, or more than 4 persons. With respect to rent, renters may Page 26 FINAL Housing Element Update for- the City of Lake Elsinore July 2002 City of Lake Elsinore HOUSING ELEMENT UPDATE be required to pay for water, sewer and trash pickup costs in addition to the usual electric, gas and phone. However, the calculation of the 30% "overpayment guideline" does not include allowance for utilities, which may impose additional costs of between $50 and $100 for the renter. Subsequently, the addition of these costs may cause a rental unit that would otherwise be affordable to become a condition of overpayment for the lower-income renter. TABLE 22 2000 MAXIMUM RENT AND PURCHASE PRICE BY INCOME CATEGORY CITY OF LAKE ELSINORE Income Category 6 Annual Income t Maximum Affordable Rent Payment 2 Maximum Affordable Purchase Price _ Four Person Household $52.000 Low 51-80% $16,601-26.550 $664 1 Very Low >50% $23,700 $593 $75.000 Low (51-80%) $23,701-37,900 $948 $120,000 Moderate 81.120910 $37,901-56,880 $1.422 $170.000 Above Moderate >120% >$56,881 >$1,422 >5170,000 Median $47,400 Source: The Planning Center. 2000 Single Person Household Very Low >5.0% $15.600 t 5415 1 $52.000 Low 51-80% $16,601-26.550 $664 1 $83,000 Moderate 81-120% $26.551439.840 $996 1 $125,000 Above Moderate 120% I >$39,841 >$996 >$125.000 Median S33.200 Based on HUD income limits. January 2000 2 Calculated as 30% of income 3 Assumes 10% down payment, an 8.5% interest rate and 125% tax and homeowners insurance. Source: The Planning Center. 2000 In the case of purchasing, the 30% threshold includes payment on principal and interest, and an assumed 1.25% allocation for taxes and homeowner insurance. In actuality, taxes and insurance may sometimes exceed the assumed 1.25%. A 10% down payment and an 8.5% interest rate is assumed, reflecting 1999/2000 market conditions. a. Rental Analysis In Lake Elsinore, it appears as though the market can satisfy the comprehensive rental housing needs for the majority of Lake Elsinore households. With the average rental unit in the City ranging from $500 to $660 per month for one- and two-bedroom units in 2000, rental housing in the City can generally be considered affordable for those families annually earning 50% of the County median ($47,400 in 2000) and above. Rental prices of all size units appear to be within the means of most City residents, with the exception of those families with very low incomes (<50% County median), who can afford a maximum $593 monthly payment, which limits them primarily to one- and two-bedroom units, or assisted/tax credit three-bedroom units. All of the one -bedroom units available were at a maximum price of $575 or less. HUD and HCD have established that a one -bedroom unit is not acceptable for a four -person family. To avoid overcrowded conditions (more than one person per room, excluding kitchens, bathrooms, hallways, and closets), a family of four must find housing with three rooms or more, making the Lake Elsinore rental market challenging for very low-income families. The majority of the complexes offering two -and three-bedroom units cost above the maximum payment of $593 for a very low-income four person household. Smaller The Planning Center Page 27 JuIv 2002 FINAL H. Community Profile households in the very low-income category have difficulty in finding affordable housing with the majority of two bedroom units in apartment complexes were priced at approximately $650 or less per month. For households in the low-income classification (between 50 and 80% of the median income), the options were greater. For those at the upper end of the affordability range, all of the one, two and three bedroom units in apartment complexes were potentially affordable. All of the rental units in the City appeared to be affordable to households in the moderate -income classification, with the exception of some of the higher - priced single-family rentals. b. Ownership Analysis A comparison of the 2000 maximum affordable purchase price with actual housing values indicates that older, resale housing in the City is generally affordable to all income groups. Households in the very low- income category will find limited opportunities, particularly larger households. Table 18A shows that almost 85% of the one -bedroom units, almost 40% of the two bedroom units, and 10% of the three bedroom units were affordable to lower income households. A number of these units may actually be mobile homes. Based on HUD and HCD's definition of overcrowding, the inventory of resale stock suitable for a larger family is reduced to two and three bedroom units. However, the median priced two-bedroom house was $76,500 in (November 2000) which is affordable to those households earning more than 50% of the County median. Almost all of the available resale stock in the City is within the affordability limits of low-income households (50% to 80% of the median County income). The new housing stock catered primarily to moderate income households, although larger homes, those over approximately 2,500 square feet or more, are only affordable to above -moderate income households, whether new or existing stock. It is anticipated that the housing market will provide sufficient housing stock for moderate and above moderate households. Homeownership opportunities for low- income households should be increased (through down payment assistance, tax credits, silent second mortgages, etc.) to maximize the wealth of existing older units in the City available at affordable prices. Page 28 FINAL Housing Element Update for the City of Lake Elsinore July 2002 City of Lake Elsinore HOUSING ELEMENT UPDATE Ill. HOUSING NEED z..xa.c��.:.sr�-a��^atiror.�cawoec�=^s.�.=t-.-n�w��r+��n..�-w��.,���.�....-.._arr-+:zas�a=::_ :...._. ._v.,�.��*ro.-•rr.-awe+. A. EXISTING NEEDS State housing policy recognizes that cooperative participation of the private and public sectors is necessary to expand housing opportunities to all economic segments of the community. A primary State goal is the provision of decent housing and a suitable living environment for Californians of all economic levels. Historically, the private sector generally responds to the majority of the community's housing needs through the production of market -rate housing. However, the percentage of the population on a statewide basis who can afford market rate housing is declining. Overcrowding In response to higher housing prices, lower income households must often be satisfied with smaller, less adequate housing for the available money. This may result in overcrowding. Overcrowding places a strain on physical facilities, does not provide a satisfying living environment, and can have a multiplier effect on local neighborhoods. The Bureau of Census defines overcrowded housing units as "those in excess of one person per room average." Overcrowding is often reflective of one of three conditions: 1. Either a family or household is living in too small a dwelling; 2. Familial household includes extended family members (i.e., grandparents or grown children and their families living with parents, termed doubling); or 3. A family is renting living space to non -family members. Whatever the cause, overcrowding is symptomatic of greater affordability issues. Some examples of when lack of affordability promotes overcrowded conditions include: • Large households unable to afford larger dwellings that must then move into smaller than acceptable units, • Older children wishing to leave home who are prohibited from doing so because they cannot qualify for a home loan and/or are unable to make rental payments; or • Grandparents or elders on fixed incomes who are unable to afford housing suitable for their physical handicaps, and must often move in with their grown children and families. In Lake Elsinore, overcrowding affects approximately 12.6% of all households: 7.8% of all owners and 19.3% of all renters lived in overcrowded conditions, according to the 1999 SCAG RHNA estimates. It is anticipated, however, that the number of overcrowded households in the City may rise in coming years in response to regional housing market pressures, whereby Lake Elsinore will share responsibility for housing the projected Riverside County residents through 2010. Table 23 describes overcrowding in Lake Elsinore for both owners and renters by income category. When analyzed by tenure, overcrowding is a more predominant condition among lower income (less than 80% of median income) renter occupied households, representing an approximate 23% (N=491) of total lower income renter households, whereas only 6% (N=93) of total lower income owner households were affected. In the very low-income level (less than 50% of median income), all overcrowded households were comprised of renter households. At the low-income category (50% to 80% of median income), 11 % The Planning Center Julv 2002 Page 29 FINAL III. Housing Needs of renter households and 6% of owner households were overcrowded. In contrast, among moderate income (80% to 95% -of median income) and above -moderate -income (greater than 95% of median income) level, more owner households were overcrowded. While only 5.5% of moderate -income renters were experiencing overcrowding, approximately 10% of owners in this category experienced overcrowding. At the above moderate income level, 118 renters and 204 owners experienced overcrowding. Although the number of both renters and owners reported may seem high, they represent only 3.1 % and 5.4% of total above moderate households. TABLE 23 OVERCROWDING IN LOWER INCOME HOUSEHOLDS 1999 CITY OF LAKE ELSINORE Income Category Renters Owners All Households TOTAL - LESS THAN 50% 1.339 790 2.129 Number with Overcrowdin 324(15.2%) 0 324(15.2%) TOTAL - 50% TO 80% 796 705 1.501 Number with Overcrowding 167(11%) 93(6%) 260(17%) TOTAL - 80% TO 95% 291 512 803 Number with Overcrowding_44(5.5%) 81(10.1 %) 125(15.6%) TOTAL - GREATER THAN 95% 955 2,812 3,767 Number with Overcrowding 118(3.1%) 204 5.45k) 322(85%) TOTAL -ALL HOUSEHOLDS Number with Overcrowd in 3,381 653 (19.3%) 4,819 378 (7.8%) 8,200 1,031(12.6Y.1 Income Households with Overcrowding' 491(23%) 93 (6%) 584(16%) _Lower Source: SCAG RHNA Report, December 1999 1 Households with less than 80 percent of median income. Households Overpaying for Housing Consistent with HUD's "threshold of overpayment" definition, California's housing administration has determined that, "Affordable housing costs with respect to very low, low and moderate income households shall not exceed 30% of gross household income." (Health and Safety Code, Section 50052.9). That is, when households must exceed 30% of their incomes for rent or mortgage payments, they are left with insufficient funds for other necessities, such as food, health care, clothing, and utilities. State housing policy recognizes that cooperative participation of the private and public sectors is necessary to expand housing opportunities to all economic segments of the community. A primary State goal is the provision of decent housing and suitable living environment for Californians of all economic levels. Exceeding 30% of income for rent or mortgage may cause a series of related financial problems, and can result in a deterioration of housing stock, because costs associated with maintenance must be sacrificed for more immediate expenses (e.g. food, clothing, medical care, and utilities). Elderly and fixed income households are particularly sensitive to overpayment. Overpayment also promotes overcrowding, which leads to a variety of problems, from accelerating the rate of deterioration, to children's decreased performance in school, to code enforcement issues. HUD recognizes, however, that upper-income households are generally more able to secure housing within their budgets, and are more capable of paying a larger proportion of their income for housing. Therefore, housing overpayment estimates usually focus on lower income groups. Page 30 Housing Element Update for the City of Lake Elsinore FINAL July 2002 City of Lake Elsinore HOUSING ELEMENT UPDATE The Southern California Association of Governments (SCAG) has prepared a 1999 Regional Housing Needs Assessment (RHNA) in which it identifies housing overpayment for lower income households. Lower income households are those earning less than 80% of the County median income. Table 24 shows that there were 2,171 households or 60% of the City's total estimated 3,630 lower income households overpaying for housing in 1999. Overpayment among renters is more prominent among lower income households. Very low-income renters (less than 50% of median county income) are affected the most severely, with nearly 80% overpaying for housing. Similarly, a majority (57%) of the low-income households (50% to 80% of median income) also overpaid. Additionally, approximately 40% of moderate -income (80-95% of median income) renter households overpaid. However, above moderate income renters were not affected as severely, with only 2% overpaying for housing. In owner households, the incidence of overpayment is highest among the very low and moderate -income homeowners. Over 50% of very low-income homeowners and 45% of moderate -income owners overpaid. In comparison, 36% of low income and 27% of above moderate -income owners were overpaying for housing. Although the Lake Elsinore rental market is not unreasonable, the data above reflect the continued need for affordable rental housing in the City, particularly for Very Low income households. TABLE 24 OVERPAYMENT IN LOWER INCOME HOUSEHOLDS 1999 CITY OF LAKE ELSINORE Income Category Renters I Owners All Households TOTAL—LESS THAN 50% Number with Overpayment 1,339 1.063 (797) 790 402(51%) 2,129 1.465 (69°/,) TOTAL — 50% TO 80% 796 705 1.501 Number with Overpayment 454 (57%) 252(3651o) 706 (47%) TOTAL — 80% TO 95% 291 512 803 Number with Overpayment 117(4001p) 232(45%) I 349 (43%1 TOTAL — GREATER THAN 95% 955 2,812 3.767 Number with Overpayment 22(2%) 773(2 %) 795 21 TOTAL — ALL HOUSEHOLDS 3,3B1 4,819 8.200 Number with Overpayment 1,656 (49%) 1,659(34%) 3,315(40%) Lower Income Households with Overpayment' 1 1,517 (717c) I 654(44%) I 2,171 (60% Source: SCAG RHNA Report, December 1999 1 Households with less than 80 percent of median income. A distinction between renter and owner housing overpayment is important to consider. While homeowners may choose to allocate a higher percentage of their disposable monthly income on housing costs, this allocation is justified in light of investment qualities of ownership. New or young owner households may overextend themselves financially to afford a home purchase, but the owner maintains the option of selling the home and may realize tax benefits and/or appreciation in value. Overpayment among the moderate and above moderate income categories is not much of a concern. Renters, on the other hand, are limited to the rental market, and are generally required to pay the rent established by that market. The discrepancy between renter and owner households is largely reflective of the tendency for year-round renter households to have lower incomes than their owner counterparts. Special Needs Groups The Planning Center Page 31 July 2002 FINAL III. Housing Needs State Housing Law requires that the special needs of certain disadvantaged groups be addressed. These households typically experience difficulty in securing decent, affordable housing, and are not well guarded under market conditions. The needs of the elderly, handicapped, large families, female heads of household, the homeless and farm workers are addressed below: a. Elderly Persons With changing national, state, and local demographics that indicate an increasing elderly (65+) population, the special housing needs of the elderly are an important concern in Lake Elsinore. This is especially true since many retired persons are likely to be on fixed low incomes, at greater risk of impaction, or housing overpayment. In addition, the elderly maintain special needs related to housing construction and location. The elderly often require ramps, handrails, lower cupboards and counters to allow greater access and mobility. In terms of location, because of limited mobility, the elderly also typically need access to public facilities (i.e., medical and shopping) and public transit facilities. Mature citizens also may need special security devices for their homes to allow greater self-protection. In many instances, the elderly prefer to stay in their own dwellings rather than relocate to a retirement community, and may require assistance with home repairs and manual house/yard work. In general, every effort should be made to maintain their dignity, self-respect, and quality of life. Finding reliable means of transportation to medical appointments, senior centers, meal sites and shopping remain as serious problems for seniors. Many seniors lack private transportation due to physical or financial limitations. As reported in the 1990 Census data, 1,527 residents, or 8.3% of the total population, were 65 years of age or older. According to the 1990 Census data, there were 952 elderly owner and 239 elderly renter households. Table 25 shows the number and percent of elderly persons in Lake Elsinore (65+) with mobility and/or self-care limitations (considered frail). Either or both of these conditions may indicate a need for supportive housing. Approximately 14% of the elderly population is in need of either transportation or comprehensive health care assistance. To the extent that some of this particular special needs group may also have financial limitations, this Housing Element will describe policies and programs for their assistance. Page 32 FINAL Housing Element Update fog- the City of Lake Elsinore July 2002 City of Lake Elsinore HOUSING ELEMENT UPDATE TABLE 25 ELDERLYMOBILITYAND/OR SELF-CARE LIMITATIONS 1990 CITY OF LAKE ELSINORE Mobility and % of Total % of Total % of Total Self -Care Status Male Males (65+) Female Females (65+) Total Pa 65+) Mobility Limitation Only 321 4.6% 63 7.5% 95 6.2% Self -Care Limitation Only_==7 1.0%1 91 1.1% 16 1.0% Both -Mobility and Self -Care 25 3.6% 75 8.9% 100 6.5% Limitation Total with Limitation 64 9.3% 147 17.5% 211 13.8% Total (65+) 689 100% 8381 100% 1,527' 100% Source: 1990 Census, STF 3A. 'Total City population is 18.316 Proportionally, 1,527 represents 8.3% of total population. b. Large Families The 1990 Census reported 1,022 households in the City of Lake Elsinore with five or more persons. Large family households require special consideration because they generally require larger dwellings with sufficient rooms to meet their housing needs without overcrowding. But households with five or more persons often face income limitations, and can experience difficulty securing adequate housing suitable for their expanded needs. Difficulties in securing housing large enough to accommodate all members of a household are typically heightened for renters, because multi -family rental units are generally smaller than single-family units. Although the apartment complexes in the Lake Elsinore offering three and four-bedroom models are not extensive, the rental prices for these units range anywhere from $650 to $815, which is below the four person low income household's maximum ability to pay (maximum affordable rent of $948). Most of the rental stock in the City is affordable to the majority of low-income households, and do not appear to be a significant problem for the large households. Table 26 reveals tenure of housing units by number of persons in the unit. The table shows that numerically, large households are more prevalent among renter households than among owner households. Approximately 15% of owner -occupied households (N=519) were comprised of five or more persons in a unit, and about 20% (N=503) of renter -occupied households consisted of five or more members. The Plar7ning Center Page 33 July 2002 FINAL III. Housing Needs TABLE 26 LARGE HOUSEHOLDS BY TENURE 1990 CITY OF LAKE ELSINORE Number of Persons in Ownert fed Renter I Total Occupied Unit Occupied Percent Occu PercentZ I I Units Percent Five 3001 8% 321 13% _ 6211 10% six 116 3%1 98 4%1 214 4% Seven or More 103 3%J 84 3%1 187 3% Total 1 519 15%1 503 20%1 1.022 17% 1 Total owner occupied units is 3,565. Percent of all owner -occupied units calculated on this figure. z Total renter occupied units is 2,501. Percent of renter -occupied units calculated on this figure. 3 Total occupied units is 6,066. Percent of total occupied units calculated on this figure. Source: 1990 Census. STF 3A. C. Female -headed Households Female -headed households are a special needs group because they have lower rates of homeownership, lower incomes, and higher poverty rates than other family compositions. According to the 1990 Census, there were 708 female -headed households in the City, representing approximately 12% of the total population. The 2000 Census reported that the proportion of female -headed households has increased slightly to 14% (1,221). In 1990, however, the majority (70%) of the female -headed population did not have children under 18 years of age. By 2000, only 29% did not have children under 18 years of age. Female -headed households with children under 18 years of age experience higher poverty rates and may need greater assistance. TABLE 27 FEMALE HEADS OF HOUSEHOLDS 1990-2000 City of Lake Elsinore Household 7 e ! 1990 % of Total Households 2000 % of Total Households Female Headed Households no children under 18} 1 495 8.2% I 360 1 4.1% Female Headed Households with Children under 18 213 3.5% 861 9.8% Total Female Headed Households 708 11.7% I 1,221 13.8% Taal number of households in the City in 1990 is 6,066 and 8,817 in 2000. The percent of total households is calculated on this figure. Source: 1990 Census. STF 3A. d. Disabled Persons Access and affordability are the two major housing needs of disabled persons. Access is particularly important for the physically disabled. Physically disabled persons often require specially designed dwellings to permit access within the unit, as well as to and from the site. California Administrative Code Title 24 sets forth access and adaptability requirements for the physically handicapped (disabled). These regulations apply to public buildings such as motels, employee housing, factory -built housing and privately funded, newly constructed apartment houses containing five or more dwelling units. The regulations also require that rampways, larger door widths, restroom modifications, etc., be designed to Page 34 Housing Element Update for the City of Lake Elsinore FINAL July 2002 City of Lake Elsinore HOUSING ELEMENT UPDATE enable free access to the handicapped. Such standards, however, are not mandatory for new single- family residential construction. The disabled, like the elderly, have special needs with regard to location. There is typically a desire to be located near public facilities, and especially near public transportation facilities that provide service to those who rely on them. Table 28 shows that 621 persons in the City of Lake Elsinore had mobility and/or self-care limitations. The mobility or self-care limitation does not necessarily translate into a need for specially constructed housing units, making it difficult to estimate the number of disabled persons in need of housing. Approximately 410 residents, or 66% of total persons reporting a mobility or self-care limitation, were of working age (16 to 64 years). Of this population, 98 residents, or approximately 24% had mobility limitations; 200 residents, or approximately 49% had self-care limitations; and 112 residents, or approximately 27% had both mobility and self-care limitation. Based on 1990 information, it appears that among the prime working age population, the greatest need exists for comprehensive health care assistance at 49%, exceeding the proportions for the need of transportation assistance (24%) by slightly more than two -fold. The elderly population (65+), as discussed previously in section under "Elderly Persons" comprised 34% (N=211) of total persons reporting a mobility and/or self-care limitation. TABLE 28 PERSONS REPORTING A MOBILITY OR SELF-CARE LIMITATION CITY OF LAKE ELSINORE Persons 16-64 I Percent I Persons 65+ I Percent I Total I Percent Mobility Limitation Only j 981 23.9%1 951 45%1 193' 31.1% Self -Care Limitation Only 1 200: 48.8% Both Mobility and Self -Care Limitation 1 1121 27.3% 2161 34.8% 2121 34.1 % Total with Limitation i 410(2.2%)l 66%1 2111 34%1 6211 100% Total Age Distribution 118.285 Refer to table 'Age Distribution," column titled '1990,' row titled 'Toiai' for this number Source: 1990 U.S Census. STF 3A e. Homeless Population The Regional Housing Needs Assessment (RHNA) produced by SCAG defines homelessness as. - 1 . s:1. Persons who are living or staying in emergency shelters; 2. Persons who sleep outside, in makeshift shelter, in cars or transportation areas such as bus or train terminals; 3. Persons who are considered "at risk" (i.e., doubled -up, in marginal circumstances, motel population with limited stay or general relief recipients whose payments have been canceled due to "no forwarding address"). Enumerating the homeless population is difficult because of the transient nature of this population as well as the existence of hidden homeless or persons who move around in temporary housing situations (e.g. doubling up with another household)_ However, during the period of July 1996 through June 30, 1997, there were an estimated 8,820 persons in Riverside County who were known to be homeless during part The Planning Center Page 35 Julv 2002 FINAL III. Housing Needs or all of the year, according to the 1998 Riverside County Local Emergency Shelter Strategy Report. There were an additional number of homeless persons who were not known and therefore not counted. Data gathered through the Emergency Cold Weather Shelters estimates the following distribution of homeless persons in Lake Elsinore presented in Table 29A. The family data is gathered through the Department of Social Services, which contacts homeless families through the Supplemental Payments to Families on or eligible for the AFDC program. TABLE 29A DISTRIBUTION OF HOMELESS IN LAKE ELSINORE There are numerous factors that contribute to homelessness in Lake Elsinore and Riverside County. Difficulties in obtaining employment, insufficient education, mental illness, and substance abuse are a few of the more traditional factors. During the past 15-20 years, new factors, however, are emerging that significantly contribute to homelessness. The trends that are largely responsible for the rise in homelessness are a growing shortage of affordable housing, and a simultaneous growth in the population of low-income renters, which has correlated with high demand and shrinking supply. Each of these factors could potentially exacerbate any of the traditional conditions, but may increasingly become stand-alone causes of homelessness. The general homeless population, consisting of families, single men and women, and unaccompanied youth in Riverside County have the following characteristics: The homeless account for almost 1% of the total population of the County; i The Inland Empire, northwestern Riverside and southwestern San Bernardino Counties, as a comprehensive area, is ranked Number 154 for housing affordability in a rent survey involving 173 communities throughout the nation. i Based upon the 1995 Department of Community Action needs assessment and data provided by the State of California Report, it is estimated that the number of people living at or below the poverty line is between 150,000 and 200,000 in Riverside County. The large numbers of homeless persons, the rising cost of housing, and the number of persons living in poverty combine to create a serious potential for homelessness. In response to the growing needs of the homeless population in Riverside County, the Continuum of Care process (COC) began in 1994. The Department of Community Action established a Continuum of Care Workforce in 1998, and a written strategy was refined. The City of Lake Elsinore is included within the COC geographic area B. Despite the overwhelming need for emergency shelters in Riverside County, there are only a total of 473 full time shelter beds available in the entire region. Each year, between the period of November 1 through March 31 the Emergency Cold Weather Shelter Program (ECWSP) provides emergency shelter for homeless persons who cannot gain admittance into a regular full time shelter. California National ti j Guard Armories are used for the ECWSP, as well as other suitable facilities as needed. The Riverside Page 36 Housing Element Update for the Ciry of Lake Elsinore FILIAL July 2002 104 _Families Single Males 80 Single Females 23 Individuals 390 Source: 1998 Riverside County Local Emergency Shelter Strategy (LESS) There are numerous factors that contribute to homelessness in Lake Elsinore and Riverside County. Difficulties in obtaining employment, insufficient education, mental illness, and substance abuse are a few of the more traditional factors. During the past 15-20 years, new factors, however, are emerging that significantly contribute to homelessness. The trends that are largely responsible for the rise in homelessness are a growing shortage of affordable housing, and a simultaneous growth in the population of low-income renters, which has correlated with high demand and shrinking supply. Each of these factors could potentially exacerbate any of the traditional conditions, but may increasingly become stand-alone causes of homelessness. The general homeless population, consisting of families, single men and women, and unaccompanied youth in Riverside County have the following characteristics: The homeless account for almost 1% of the total population of the County; i The Inland Empire, northwestern Riverside and southwestern San Bernardino Counties, as a comprehensive area, is ranked Number 154 for housing affordability in a rent survey involving 173 communities throughout the nation. i Based upon the 1995 Department of Community Action needs assessment and data provided by the State of California Report, it is estimated that the number of people living at or below the poverty line is between 150,000 and 200,000 in Riverside County. The large numbers of homeless persons, the rising cost of housing, and the number of persons living in poverty combine to create a serious potential for homelessness. In response to the growing needs of the homeless population in Riverside County, the Continuum of Care process (COC) began in 1994. The Department of Community Action established a Continuum of Care Workforce in 1998, and a written strategy was refined. The City of Lake Elsinore is included within the COC geographic area B. Despite the overwhelming need for emergency shelters in Riverside County, there are only a total of 473 full time shelter beds available in the entire region. Each year, between the period of November 1 through March 31 the Emergency Cold Weather Shelter Program (ECWSP) provides emergency shelter for homeless persons who cannot gain admittance into a regular full time shelter. California National ti j Guard Armories are used for the ECWSP, as well as other suitable facilities as needed. The Riverside Page 36 Housing Element Update for the Ciry of Lake Elsinore FILIAL July 2002 City of Lake Elsinore HOUSING ELEMENT UPDATE and Indio armories, each with a bed capacity of 125, are operated under this program for an average of 90 nights, providing a total capacity of approximately 25,000 shelter bed nights. The use of the two armories was extended through 1999. Three National Guard Armories were closed in 1997, which impacts the shelter providing community and the homeless. The County of Riverside, through its Department of Social Services, contracts with local community based organizations to provide the program in each appropriate location. Although the City's current Zoning Ordinance does not specifically address Emergency Shelters or Transitional Housing, these uses are deemed consistent with similar uses allowed under Section 17.24.030.D (R-2 — Medium Density Residential District) via a conditional use permit. The City's process and requirements to conditionally permit emergency shelters and transitional housing are no more restrictive than similar non -homeless facilities such as hotels. Furthermore, the City is investigating amending the Zoning Code in 2002 to specifically allow uses such as Homeless Emergency Shelters and Transitional Housing via a conditional use permit within the R-2 and R-3 zones. Table 29B illustrates future proposed considerations to accommodate homeless facilities. Additionally, churches have a long-standing history of providing services and shelter for the homeless. Churches, temples, mosques, and other places of worship are explicitly permitted via a conditional use permit within the R-2 and R-3 zones in the current Zoning Code. Accordingly, the City will encourage local churches to provide temporary or permanent shelter for the City's homeless population. TABLE 29B POTENTIAL FUTURE LAND USE ACCOMMODATIONS FOR HOMELESS FACILITIES IN LAKE ELSINORE Conditional Residential Zone Permitted Use Permit' Not Permitted R -R — Rural Residential District R -E — Estate Single Family Residential R -H — Hillside Single Family Residential R-1 — Single Family Residential Q R-2 — Medium density Residential Q R-3 — High Density Residential Mobile Home community District ' Emergency Shelters and Transitional Housing are deemed consistent with similar uses allowed under Section 17.24.030.D (R-2 — Medium Density Residential District) of the City's Zoning Ordinance and, therefore, allowed via a conditional use permit, A potential amendment to the Zoning Ordinance would specifically name such homeless facilities are uses permitted via a conditional use permit in zones R-2 and R-3. Source: Citv of Lake Elsinore Plannino Division f. Farmworkers In 1990, 157 persons, representing an approximate 2% of Lake Elsinore residents were employed in agriculture industry. According to the City of Lake Elsinore Demographic, Economic, and Quality of Life Data Report compiled in September 2000, the positions in agriculture industry dropped to 88 in 1999, ..J The Plashing Center Page 37 July 2002 FINAL X. Housing Needs constituting an approximate 1 % of the City's total employment base. Historically, Lake Elsinore's economy was linked to tourism, not agriculture; additionally, with the changes in the economy to service and manufacturing oriented sectors, the significance on the agriculture industry does not exist. Therefore, there is no apparent or explicit need for farm worker housing. Table 30A presents a summary of the existing housing needs for the City of Lake Elsinore. Table 30B correlates the existing housing needs with the City's housing programs (see Table 50). TABLE 30A SUMMARY OF EXISTING HOUSING NEEDS CITY OF LAKE ELSINORE Between 81% and 120% Median Family Income Above 120% of Median Family Income. This figure represents units estimated to be substandard according to the Riverside County Consolidated Plan. Source: SCAG RHNA99 for Citv of Lake Elsinore: 1990 Census: 2000 Census Page 38 FINAL Housing Element Update for the City of Lake Elsinore July 2002 Onrp_qyjng Households 5 ecr'al Needs Grow Renter Elderly Persons 1,527 Very Low Income (less than 50%) 1,339 Elderly Homeowner Households 952 Low Income (50%-80%) 796 Elderly Renter Households 239 Moderate Income' (80%-95%) 291 Disabled Persons 1,079 Moderate and Above 2 (more than 95%) 955 Large Households 1,022 Owner Female Headed Households 1,221 Very Low Income 790 Female Headed Households with Children 861 Low Income 705 Farmworkers NIA Moderate Income 512 Moderate and Above 2 2,812 Total 8,202 Overcrowdin Units At -Risk) in Need of Repair Renter 651 Units At -Risk 0 Owner 378 Units in Need of Repair3 1,290 Total 1,029 Between 81% and 120% Median Family Income Above 120% of Median Family Income. This figure represents units estimated to be substandard according to the Riverside County Consolidated Plan. Source: SCAG RHNA99 for Citv of Lake Elsinore: 1990 Census: 2000 Census Page 38 FINAL Housing Element Update for the City of Lake Elsinore July 2002 ♦i 0 ¢ yodaa ssaa6wd 6ulsnoH RnuW a 0 W o f apo0 angegsnnwPtl 9Z aW1 C 1 _� L _ --- C - s•• C C o � C � « E ¢ • u000nP3?lgnd 0`o _ = C C - z s¢ A➢ulWodd0 Du!SmH len63 rr R sa; so� 0 0 f iY i W saa wauld an d q a0 AP.G'oW Q Q r Z N ¢ Z > 4 � y Al!I!gel!enV vuel 0 •� p samleaj lecadS w 6usnOH 0 Q Q Q d 0 ~ — ¢ algePmNVml 6urssaoold Aluoud it { 1 j 0 z E� E luau wDV3 aPoO %01 b 0 'o0 ¢x word 6mdaa m,uaS 1 0 m .0 sawoH amsopamj anH ¢4 I osnot) algePmWD, v wrunj pm6upsp3lo uopenlasald j I 1 wel6old lueJO lallayS Aouafisw3 i i 1 l f (31Hll) SPOwd IeluaH aley laxiery q 6usnoH ales D I� I Y E mpemuoN - 6umwH awooul-rnol 6lnswH- 0 0 z H oaddeoiPMH 1P 4OP13 202 ugnaS o > m oa AluolPny 6gsnoH AlunoO aP15laM8 0 osweJ6old IbmBV Zi < Sq"M gwwm3 Pue AuoglnV I C C C C iww a 6lnswH apism!H jo AlunoO uogisrnboV Aliwel-nlnry v slauadolanaO alenud Pue A3ua6V lwdolanaPaa emwsl3 a>fel _ I -AWA PuBmoenu3 r saolP.3ej pue sa S algnd mo 1 I` , J U v snuog Alisua0�- ,0 co n 'o a 1 ssp°gS leuaomrell Pue x bua61aw3 Pue ssala=H ml sans I 0 o F An�gepeny auS•aPoO as0 la D m i� IQ o _� - i F luawdolaea0nuawal3 Puel ly � � x of 0 p x n o = f _ I �0� H w c �rr c EE pp c r w z 1` O K 3 O G 1 13 ¢ O J ¢ O O ¢ O µ ¢ O- S .l l W Page FIIVf1. !rIentionally left blank. III. Housing Needs Housing Element Update for the City of Lake Elsinore July 2002 City of Lake Elsinore HOUSING ELEMENT UPDATE B. GROWTH NEEDS The following analysis of current City housing conditions presents housing needs and concerns relative to various segments of the population Several factors will influence the degree of demand, or "need," for new housing in Lake Elsinore in the coming years. The four major needs categories considered in this element include: • Housing needs resulting from population growth, both in the City and the surrounding region; ■ Housing needs resulting from the overcrowding of units; a Housing needs that result when households are paying more than they can afford for housing; and Housing needs of "special needs groups" such as elderly, large families, female -headed households, households with a disabled person, and the homeless. Demographic and market conditions analysis indicates that the number of households at the extreme ends of the income spectrum will continue to grow ("polarization of income" phenomenon), while the traditional middle income segments' participation in the housing market will decline both in size and activity. In terms of specific housing needs, assistance for first time homebuyer opportunities will become critical for the low and moderate -income population in achieving home ownership. Lower income groups will need the most assistance in meeting the increasingly higher cost burdens associated with owning a home. However, although new homes are for the most part above the financial attainment of lower income households, there are extensive homeownership opportunities for lower and moderate -income households in the City's existing stock of older resale homes. In terms of rental households, there appears to be a need for additional rental resources with three bedrooms at rates affordable to lower income households. Overview of the SCAG Regional Housing Needs Assessment The fair share allocation process begins with the State Department of Finance's projection of Statewide housing demand for a five year period, which is then apportioned by the State Department of Housing and Community Development (HCD) among each of the State's official regions. The regions are represented by an agency typically termed a Council of Government (COG). In the six county Southern California region, which includes Lake Elsinore and all other incorporated cities and unincorporated areas of Riverside County, the agency responsible for assigning these fair share targets to each jurisdiction is the Southern California Association of Governments (SCAG). In the current RHNA Cycle, SCAG delegated the responsibility to assign regional shares among its member jurisdictions to the Western Riverside Council of Governments (WRCOG). A local jurisdiction's "fair share" of regional housing need is the number of additional dwelling units that will need to be constructed during a given seven-year planning period. SCAG estimates each jurisdiction's future housing need in terms of four factors: 1. The number of units needed to accommodate forecasted household growth; 2. The number of units needed to replace demolitions due to attrition in the housing stock (i.e., fire damage, obsolescence, redevelopment and conversions to non -housing uses); 3. Maintaining an ideal vacancy rate for a well-functioning housing market; and The Planning Center Page 41 July 2002 FINAL III. Housing Needs 4. An adjustment to avoid an over -concentration of lower-income households in anyone jurisdiction. HCD recommends a flat rate factor of 0.2% for replacement of units, which may be demolished, converted to non-residential uses, or lost from the housing stock through other actions. The ideal vacancy rates are typically between 3% and 5% of the housing stock. Avoiding over -impaction was accomplished in 1998 by moving each jurisdiction's fair share allocation 25% of the way toward the regional average proportion of lower income households, with the ultimate goal of achieving a regional "zero sum" of housing distribution across income levels. The new construction need must be allocated to four household income categories used in Federal and State programs: Very Low; Low; Moderate; and Above Moderate Income, defined operationally as households earning up to 50%, 80%, 120% and more than 120% of the Riverside County median income, respectively. The allocations are further adjusted to avoid an over -concentration of lower income households in any one jurisdiction. The fair share allocation must also consider the existing "deficit" of housing resulting from lower income households that pay more than 30% of their incomes for housing costs. As discussed earlier, this is the threshold used by the Federal government to determine housing affordability. 2. The 1998-2005 Lake Elsinore Fair Share Estimate SCAG's Regional Growth Forecast In the process of making jurisdiction -specific allocations, Councils of Government must consider market demand for housing, employment opportunities, the availability of suitable sites and public facilities, commuting patterns, type and tenure of housing need, and the housing need of farm workers. These factors are all explicitly taken into account in the preparation of SCAG's regional growth forecast, which is the basis not only for the Regional Housing Needs Assessment, but also for the Air Quality Management Plan (prepared by the South Coast Air Quality Management District) and the Regional Transportation Plan. The regional forecast of population, household and employment growth is developed every few years by SCAG using sophisticated computer models. The Estimate of Future Housing Need Page 42 FINAL TABLE 31 LAKE ELSINORE FAIR SHARE HOUSING NEEDS 1998 — 2005' CITY OF LAKE ELSINORE Total Adjusted Very Low Low Moderate Above Moderate Need(26.0%) (17.0%) (?2.0% (35.00 3.763 978 1 639 1 829 1.317 ' The 7'% year planning period is January 1, 1998 to June 30, 2005 Source: Reaional Housinq Needs Assessment. SCAG 1999 Housing Element Update for the City of Lake Elsinore July 2002 City of Lake Elsinore HOUSING ELEMENT UPDATE IV. HOUSING CONSTRAINTS AND RESOURCES ��:z=res��:u:� +�--�::,..:_..-.-r..__an:rc.a-wt-a..�z--carz-.�.Y-.a..tv,;.veic—:.: s::z--`x^.:,,. ...-_._�2.. .w__.....:. •.��s�r�+r: r_t--vrr..v,xr ..: ^_:..��._ �. This section of the Housing Element examines the constraints that could hinder the City's achievement of its objectives and the resources that are available to assist in the production, maintenance and improvement of the City's housing stock. A. CONSTRAINTS Governmental Constraints Govemmental constraints are policies, development regulations, standards, requirements or other actions imposed by the various levels of government upon land and housing ownership and development. Although Federal and State agencies play a role in the imposition of governmental constraints, the actions of these agencies are, for the most part, beyond the influence of local government and are therefore not addressed in this document. Apart from federally determined interest rates and State Building Codes, most governmental constraints are local. Land use controls, building codes, processing procedures, and development fees are all factors that may constrain the maintenance, improvement and/or development of housing in the City. State requirements can also add to governmental constraints. Under State law, every city must have a General Plan establishing policy guidelines for all development within the City. The General Plan is the foundation of all land use controls in a jurisdiction. a. Land Use Controls General Plan Every City in California must have a General Plan, a document establishing policy guidelines for all development within the City. The General Plan is the foundation of all land use controls in a jurisdiction. The Land Use Element identifies the location, distribution and density of land uses in the City. In implementing the General Plan, the City of Lake Elsinore utilizes a number of planning tools including the Specific Plan, Zoning Regulations, and Subdivision Ordinance. With these documents, the City establishes more specific development standards, allowable uses, and limitations. The Lake Elsinore General Plan provides for seven residential land use designations in the City. General Plan residential densities are expressed as dwelling units per acre (du/ac). Table 32 illustrates General Plan residential land use categories. The Planning Center Page 43 Juh, 2002 FINAL IV. Housing Constraints and Resources TABLE 32 GENERAL PLAN RESIDENTIAL LAND USE CATEGORIES CITY OF LAKE ELSINORE Des;,-npfion 1 Description I Max Density Range Mc - :s Provides for residential development in areas containing steep slope, rugged terrain, 1 du/10 ac max limited or no access, and limited public services and utilities. Residential uses would be characterized by large rural estate lots, with significant permanent open space areas. This designation has primarily been applied in the mountainous terrain within the sphere of influence. The population density for this category would be approximately 2.8 persons per ten acres based on an average household size of 2.8 oersons per dwelling unit. Very Low Provides for residential development in a rural setting and is characterized by single- 0.5 du/ac max Densis_ family homes on one-half acre or larger lots. Clustered single-family development is also intended within this category. The population density for this category could be as high as 1.4 persons per acre, assuming an average household size of 2.8 persons Der dwelling unit Low Den: t, Provides for quality single family homes in either standard subdivision form or 3 du/ac max innovative designs. Low density has been located in some areas where services are not immediately available but can be extended without causing substantial over- extension of facilities. The population density within this category could be as high as 8.4 persons per acre, based on an average household size of 2.8 persons per unit. 6 du/ac Low Medium j Provides for quality single family homes in either standard subdivision form or Density innovative designs. The population density within this category could be as high as fj 16.8 persons per acre, based on an average household size of 2.8 persons per unit. Medium Provides for a wide range of residential development types including attached and 12 dulac max Density detached single-family units at the lower end of the range and multiple family units at the higher end of the density range. Typically provides a transitional buffer between Low Medium Density and High Density or Commercial and Office uses. Medium Density is located in some areas where services are not immediately available but can be extended without causing substantial over-extended of facilities. Based on an average household size of 2.8 persons per unit, the population within this category could be as high as 33.6 persons per acre. _ Medium High 18 du/ac max Provides for the multiple family attached units. Based on an average household size Density of 2.8 persons per unit, the population within this category could be as high as 50.4 persons per acre. High Density Provides for the multiple family attached units at the lower end of the density range 24 dulac and apartment or condominiums at the upper density range. Properties are located in close proximity to major systems and required infrastructure, and are intended to utilize innovative site planning and design techniques to be sensitive to the character and density of surrounding residential. Assuming an average household size of 2.8 persons per unit, areas in this category could contain as many as 67.2 persons per acre. Source. City of Lake Elsinore General Plan. 1990; 1990 Land Use Element Density is a critical factor in the development of affordable housing. In theory, maintaining low densities typically increases the cost of construction per unit, while higher density development lowers the per-unit land cost and facilitates construction in an economy of scale. In addition to potential for density bonus provisions, more intense residential development is achieved through a number of mechanisms, including clustering of residential development and zero lot line development, subject to City development standards. Clustering of housing can produce higher densities on a portion of land while creating space for amenities, and retaining the overall density assignment of the entire property. This method is effective when portions of the property not utilized for residential development can be developed with compatible uses, such as open space/recreation, parks, schools, public facilities and support commercial. The City's Page 44 Housing Element Update for- the City of Lake Elsinore FINAL July 2002 City of Lake Elsinore HOUSING ELEMENT UPDATE High -Density Residential designation (24 du/ac) provides the most opportunity for the development of affordable housing. Ultimately, affordability can be correlated with permitted density of development. The State Housing and Community Development Department has established the following affordability standards based on density: i Very Low income - minimum 25 units per acre i Low income - minimum 18 units per acre i Moderate income - minimum 8 units per acre Developable acreage in upper density ranges allows for development of housing that is usually affordable to very low and low-income households. For example, stacked flat apartments which may be affordable to lower and moderate income households typically require densities of above 16 dwelling units per acre—depending on land costs—to be developed economically. Under the City's current land use designations, this type of development is only achieved in areas of medium-high or high densities or under a Specific Plan. However, analysis of costs and rents in the City indicates that development in the City at lower densities than cited above can accommodate lower income households. Zoning Code Zoning regulations serve as a key General Plan implementation tool. The City's Zoning Code accommodates a diversity of residential housing types and permits the construction of second units and manufactured housing in nearly all residential zones. It allows for innovation in design standards within parameters designated on Table 33, provided the overall density and dwelling unit capacity is not exceeded. The Lake Elsinore Zoning Code provides for 6 residential zones, as listed below: • R -R Rural Residential District R -E Estate Single Family Residential • R -H Hillside Single Family Residential e R-1 Single Family Residential R-2 Medium Density Residential R-3 High Density Residential Mobile Home Community District Zoning, which must be consistent with the General Plan, establishes more specific development standards, allowable uses, and limitations than more general land use categories. Zoning regulations control development by establishing requirements related to height, density, lot area, yard setbacks, and minimum parking spaces. Site development standards are comparable to other community requirements and ensure a quality living environment for all household groups in the City, including special needs groups, and lower and moderate income households. The Planning Cenler Page 45 July 2002 FINAL �aq& intentionally left blank. tiJ IV. Housina Constraints and Resources Housing Element Update for the City of Lake Elsinore July 2002 yTy� Ci V Oq o o C Sz 3 [D co nl co Y j�p r 7 c O �"> Cf9 m ai m Q y Q m m m a P� a m m a l0 N O_ E y NL O VS U U V U O_ O1 O d O C d N L P v cn U E LL H LL m U U E z = m CU w o n 0 In 0 N 0 N v _le a'o a co o vs C-3 10 Y y C N 06 U CO 1A I[J d if) N � O 0 0 0 0 0 0 � a — y Gco O� m c0 i0 N ` to a cDcz O ca U a a C, CL E cu ca. E CL E E Cl =3 m � m m m a a L o =3m c LL cn LL O LL p — — LL ` y N (n U) `m (n E Q .0 v m \ C) o .`o_ p pO d p O p CV N a y U h fA N C y J m V) N N N N L N N N N y N _ of N_ C N_ CL m CD ELUa0 ELU `ALU ~ 0 E t a; m a m a m a a m a 3 a E o m a r T V y_ 'c T U O �, 'c T V N _• _ T U U _• C a U T L U y — 7 'E E 5? E m E E E .Lu 2 c `° .�" m .m �aa co coa E mP> a m yec�a c o a> mca. in 'a $ C o t6 y C N f9 d rn N c C N N y rn'w c v C N [D y nw c= c 7 7 N C O N O N in U3 in w [n in to to f rn o in U U E _ C =l .m Ecn t9 Nv 7 C IA LL C w u> m CL = d� aci to N N UJ O)fn = O] > E N y N Cfn a'a'O CD Of V5 EU 7 a E Ci V Oq cn V O G XF co z O Q LU J J w Q � � O MW CO M Q J W CO w ca Y C7 J U- N z} N N LL U O N�N HCl CC 1C1 / J/� c! � y 7 _ ym n m C v m E ca m m o 1p a N[d E y CDU N p E t O O C-3 m i O O C U [p O O l[J CZL a � V a"o `z Y y CC U �D h O = o � m y m OI 0 o d n � 03 a n y m .0 U 'C U L 0 1 p V O CL N W LL LL N O 7 d U N In - mm Q CD O 0 m y m � O O cC U y y L y LD m C _ y U N -0m V umi E N T U E U T L J m Eo G m= E:c c=' L E c L CL aid-0C2T 0 � _ m L co 0 C N O1 C =�v aE y ci o v O O 2 U City of Lake Elsinore HOUSING ELEMENT UPDATE Minimum lot size requirements and Zoning Code design standards such as roofing materials, architectural enhancements and landscaping may increase the costs of housing, as well. These constraints can also be hindrances to the creation of affordable housing for low-income and senior residents. To minimize these constraints and maintain incentive for affordable housing developers, the City plans to rely primarily on applying Density Bonuses to qualifying projects or the development of units within the parameters of a Specific Plan, which typically allow for a variety of densities and product types within an overall density threshold. The City also may consider making additional concessions to offset developer costs by providing waivers or modifying development fees to make low-income and senior housing units more economically feasible. Parking Requirements Parking requirements in Lake Elsinore are shown in Table 34. Parking requirements in Lake Elsinore are typical for a city of its size, but provide potential constraints to the development of housing. Special parking standards have been established for the Liberty and North Peak Specific Plans to accommodate mixed-use projects and foster shared parking concepts. The City should establish reduced parking standards for senior projects and projects with affordability components when located in close proximity to transportation routes and public services. TABLE 34 RESIDENTIAL PARKING REQUIREMENTS CITY OF LAKE ELSINORE Type of Residential Development Required Parking Spaces Single Family Residential 4 spaces per unit 2 spaces per unit + 2 drivewa spaces) Multi -family, attached single family & Studio & One Bedroom: duplexes: • 1 space per unit + 2/3 uncovered space Two or more Bedroom: • 1 space per unit + 1 1/3 uncovered space Baardin Houses and Grtsu livin uarlers Ones ace per resident. Retirement homes, convalescent homes One space for each three licensed beds. and other similar establishment Source: Chanter 17.66 of Citv of Lake Elsinore Zoning Code Density Bonus In response to State mandated requirements and local needs, the City plans to adopt an "Affordable Housing Density Bonus Ordinance" to permit higher densities than generally permitted. Known as a "density bonus," state law allows a developer to increase the density of a residential development by at least 25% over the otherwise maximum allowable residential density if provisions are made to allocate: 1. 20% of the units for lower income households, or 2. 10% of the units for very low income households, or 3. 50% of the total dwelling units of a housing development at an "affordable housing cost" or "affordable rent" for very low, low, or moderate income households, or a combination of such households, in which the need of the household is a senior citizen. The Planning Cenler Page 49 July 2002 FINAL IV. Housing Constraints and Resources As well, one additional incentive or financial equivalent (such as modified development standard or waiver/reduction for application or development fees) is granted by the City to all residential development meeting the 20% density bonus requirement for lower income housing. The City of Lake Elsinore plans to comply with the Density Bonus provisions required by State law (Chapter 4.3, Section 65915) for residential zones, when requested by the project applicant. The density bonus shall apply to housing developments consisting of five or more dwelling units. The density bonus is a valuable tool for jurisdictions to create more affordable housing for seniors and lower income families. Upon the City's adoption of an Affordable Housing Density Bonus Ordinance, a potential developer will be able to submit a written preliminary proposal for development to determine the means for complying with the City's Density Bonus Ordinance. The preliminary proposal may be submitted prior to any formal requests for General Plan amendments, Zoning amendments or subdivision map approvals. Within 90 days of receipt of a complete preliminary proposal, the City shall notify the developer in writing of the procedures with which it will comply. To date, the density bonus provisions have not been utilized for new projects. The City should strive to make the use of density bonus appealing to potential developers through advertisement and the use of incentives. b. Second Units Requirements In response to state mandated requirements and local needs, the City of Lake Elsinore allows for the development of attached second units as an accessory use to existing single-family detached dwellings. Chapter 17.17 of City's Zoning Code provides specific development standards for the second units to assure that they are maintained as a harmonious and integral aspect of the single-family dwellings. Traditionally intended for elderly or other members of owner -occupant families, this example of compact, infill development has become a crucial strategy for meeting the growing rental housing demands in Lake Elsinore and southern California more generally. Additionally, the regulation strives to preserve continuity between the overall character and appearance of the primary residence and requires that the second unit be constructed in an architectural style consistent with the architecture and materials of the existing structure. The construction of second units requires pre -inspection of the property by representatives of the Department of Community Development prior to filing for a Conditional Use Permit to determine the property's compliance with the City's current building and zoning Codes. C. Building Codes and Enforcement Building Codes While building and safety codes are adopted for the purposes of preserving public health and safety, and ensuring the construction of safe and decent housing, they have the potential to increase the cost of housing construction and/or maintenance. The City of Lake Elsinore's building codes are based on regulations necessary to protect the public health, safety and welfare of its residents. The City has adopted into its Codes and Ordinances the 1997 Uniform Building, Plumbing, Mechanical Fire and Electrical Codes (ICBG, NFPA), which establish construction standards for all residential buildings. Residential code enforcement in the City is performed proactively and on a complaint basis. There are no local amendments unique to the City of Lake Elsinore and, therefore, building codes do not pose a constraint. Americans with Disabilities Act The City's building codes require that new residential construction and rehab construction comply with the federal Americans with Disabilities Act (ADA). ADA provisions include requirements for a minimum percentage of units in new developments to be fully accessible to the physically disabled. Unlike the Page 50 Housing Element Update for the City of Lake Elsinore FINAL July 2002 City of Lake Elsinore HOUSING ELEMENT UPDATE Uniform Building Code (UBC), enforcement of ADA requirements is not at the discretion of the City, but is mandated under federal law. Compliance with building codes and the ADA may increase the cost of housing production, and can potentially impede the rehabilitation of older properties required to be brought up to current code standards. However, these regulations provide minimum standards that must be complied with in order to ensure the development of safe and accessible housing, and do not necessarily preclude significant cost increases. d. Local Processing and Permit Procedures Builders and developers frequently cite the cost of holding land during the evaluation and review process as a significant factor to the cost of housing. Holding costs associated with delays in processing have been estimated to add between 1.1 % and 1.8% to the cost of a dwelling unit for each month of delay. Processing times vary with the complexity of the project. Approval for single-family homes and other minor tenant improvements can usually be processed within two weeks after submission to the City. Other projects requiring Conditional Use Permits, Zoning Amendments, or other discretionary actions necessitate a higher level of review, resulting in a longer processing timeline. The City of Lake Elsinore's development approval process is designed to accommodate, not hinder, appropriate development. Table 35 provides a list of the average processing times for various procedures from application to City Council approval of a project. Currently the City does not have a formal procedure for expediting projects with affordability conditions. As supported by reasonable processing times, and the relative facility of permit procedure, the City's processing and permit procedures are not felt to constrain the development of housing. TABLE 35 LOCAL DEVELOPMENT PROCESSING TIME LIMITS CITY OF LAKE ELSINORE Item Approximate Length of Time from Submittal to Public Hearing' Conditional Use Permit 4-6 weeks Site Plan Review 6-8 weeks Tentative Tract Ma /Parcel Ma (Subdivision Variance 8-16 weeks 4-6 weeks Zoning Amendments or Zone Chane 6-8 weeks General Plan Amendment 8-12 weeks Environmental Documentation B-12 weeks 'Some processes may occur concurrently. Source: City of Lake Elsinore Planning Division e_ Development Fees The City and other agencies charge various fees and assessments to cover the cost of processing development permits and providing local services. These fees help ensure quality development and the provision of adequate public services. However, development fees are typically passed on to renters and homeowners in the price/rent of housing, and thus affect housing affordability. The City's Planning Division and Development Fee Schedules are outlined in Table 36A. As previously mentioned, City fees are comparable to other local jurisdictions and are not considered to be a major constraint to the development of affordable or market rate housing. The Planning Center July 2002 Page 51 FINAL IV. Housing Constraints and Resources TABLE 36A CITY OF LAKE ELSINORE FEE SCHEDULE Page 52 FINAL Housing Element Update for the City of Lake Elsinore July 2002 Riverside County Application Planning Fee Fire Dept. Fee Engineering Fee _ Abandonments $1.500.00 N/A I N/A Annexations $6.000.00" N/A N/A Appeals $200.00 $224.00 N/A Building Permit Case by Case N/A N/A (Minimum $10.00) Certificate of Compliance NIA N/A $1.250.00 Conditional Use Permit Minor 2,000.00" $601.00 $800.00" Conditional Use Permit Major 4.000.00" $601.00 $1.000.000 Condominium Conversion included in CUP fee N/A N/A N/A Design Review Residential Projects $3,200.00" $860.00 for $1,200.00+$3.00/unit" Multifamily Amendment $1,600.00" $860.00 $200.00+$2.00/unit" Minor DcsiQn Review $800.00" Case by Case $600.00" Development Agreement City Staff Review $12,500.00" N/A $3,000.00 City Attorney Review $2,000.00" N/A N/A Amendment $3,000.00" N/A $1,000.00 Environmental Review Environmental Review/Initial Study $1,500.00" NIA N/A Negative Declaration Review $4,000.00" N/A $1,000.00" Mitigated Negative Declaration Preparation $6,000.00" + Consultant N/A N/A fees Negative Declaration Preparation $2,500.00" N/A N/A Environmental Impact Report (if prepared $11,200.00" N/A $7,800.00" by staff, fee negotiated on a project basis) Mitigation Monitoring Program $5,000.00" NIA 53.000.00" Fish and Game Fee (AB 1358) Negative Declaration $1,200.00 + $78.00 N/A N/A Environmental Impact Report $850.00 + $78.00 N/A N/A Exempt Cate orical/Slatuta $78.00 N/A N/A Extension of Time Request Tentative Map $1,500.00 N/A $1,650.00 Minor Design Review $200.00 $118.00 N/A General Plan Amendment $5,000.00" $406.00" $2.000.00" Landscape Plan Check (Includes 40%) Residential Projects $28.00 Per SFR N/A N/A $280.00 Per Model N/A NIA $700.00 (1-19 MFU) N/A N/A $1,050.00 (2049 Unit) NIA N/A $28.00 (Per Unit + 50 Units) N/A N/A $700.00 Specific Plan N/A NiA Landscape Plan Check (Includes 40%) $35.00 Per Visit (1-5 du) N/A N/A Residential Projects $28.00 Per Visit (6-10 du) N/A N/A $21.00 Per Visit (11-20 du) N/A N/A $14.00 Per Visit (20+ du) NIA N/A $392.00 Per Model N/A N/A $784.00 (049 MFU) N/A N/A $1,120.00 (50-99 Units) N/A N/A $14.00 (Per du +100 Units) N/A N/A Request for Review of City Council Decision $1.000.00 ; N/A I N/A Page 52 FINAL Housing Element Update for the City of Lake Elsinore July 2002 City of Lake Elsinore HOUSING ELEMENT UPDATE TABLE 36A CITY OF LAKE ELSINORE FEE SCHEDULE Source: City of Lake Elsinore Development Application Fees (Revised 12199) "Deposit in the above amount at the time the application is filed. The unused portion of the deposit shall be returned upon completion of the application process The planning division shall reauest an additional deposit to cover the estimated cost of additional permit review Tables 36B and 36C give the approximate Building Division fees for residential construction for single family and multi -family units of varying square footage. Table 36D illustrates the approximate Engineering Division fees for 5,000, 6,000, and 7,200 square foot lots. The City does not mandate open space requirements for either infill or new residential development beyond that required by the Quimby Act. For infill development, costs for infrastructure improvements (though usually not required) are incorporated into the permit cost. The City assesses the following impact fees for new residential development: Library, Park -in -lieu, Street Capital, and Storm Drain. Example of these impact fees for new development are presented in Tables 36B, 36C, and 36D. The City's development fees are comparable to other surrounding local jurisdictions and are not considered to be a major constraint to the development of affordable or market rate housing. The latest development fee survey was performed in June 1993. This fee structure was adopted in July 1993 and has been amended to reflect inflation and cost of living adjustments. TABLE 36B APPROXIMATE BUILDING DIVISION FEES FOR SINGLE FAMILY RESIDENTIAL CONSTRUCTION CITY OF LAKE ELSINORE Riverside County Application Planning Fee ! Fire Dept. Fee Engineering Fee Sing!e-FamilyUnit $200.00 1 N/A N/A Specific Plan (Including Amendments) $15,000.00" $677.00 $6,000.00" Substantial Conformance $700.00" $207.00 NIA Tentative Parcel Map (Including Vesting) $5,000.00" $1,063.00 52,900.00" Revised Map $2,500.00" $166.00 (within 2 N/A 1 $23.00 $45.00 years) $175.00 1 Residential Parcel 1.13D $3.000.00" $239.00 $2.500.00" Tentative Tract Map (Including Vesting) $13,500.00" 1,063.00 $4,500.00" Revised Map $4,000.00" $166.00 (within 2 yrs) $2,900.00" $1,380.00 Electrical Permit $186.00 (after 2yrs) $67.00 Variance 1 $2,000.00" j $329.00 5500.00" Zone text amendment 1 $5,000.00" 1 $351.00 I $500.00" Source: City of Lake Elsinore Development Application Fees (Revised 12199) "Deposit in the above amount at the time the application is filed. The unused portion of the deposit shall be returned upon completion of the application process The planning division shall reauest an additional deposit to cover the estimated cost of additional permit review Tables 36B and 36C give the approximate Building Division fees for residential construction for single family and multi -family units of varying square footage. Table 36D illustrates the approximate Engineering Division fees for 5,000, 6,000, and 7,200 square foot lots. The City does not mandate open space requirements for either infill or new residential development beyond that required by the Quimby Act. For infill development, costs for infrastructure improvements (though usually not required) are incorporated into the permit cost. The City assesses the following impact fees for new residential development: Library, Park -in -lieu, Street Capital, and Storm Drain. Example of these impact fees for new development are presented in Tables 36B, 36C, and 36D. The City's development fees are comparable to other surrounding local jurisdictions and are not considered to be a major constraint to the development of affordable or market rate housing. The latest development fee survey was performed in June 1993. This fee structure was adopted in July 1993 and has been amended to reflect inflation and cost of living adjustments. TABLE 36B APPROXIMATE BUILDING DIVISION FEES FOR SINGLE FAMILY RESIDENTIAL CONSTRUCTION CITY OF LAKE ELSINORE Manufactured Home Site Built Home Fee Type MHC1 RD2 1400 ft2 1600 ft2 1900 ft2 2400 ft2 2600 ft2 2500 ft2 Structural Plan Check 1 $85.00 $169.00 $585.00 $656.00 1 $743.00 $840.00 $896.00 $1,035.00 Planning Review 1 $23.00 $45.00 $156.00 $175.00 1 $198.00 $224.00 $239.00 $276.00 Building Permit $113.00 $225.00 $780.00 $874.00 1 $990.00 $1,120.00 $1.,195.00 $1,380.00 Electrical Permit $66.00 $67.00 $130.00 $137.00 1 $150.00 $175.00 $180.00 $195.00 Plumbing Permit $70.00 $90.00 $165.00 $175.00 $190.00 $195.00 $195.00 $200.00 Mechanical Permit -- -- $70.00 $75.00 $80.00 $80.00 $80.00 $80.00 Seismic - - $8.00 $8.00 $12.00 $15.00 $16.00 $19.00 Library $150.00 $150.00 $150.00 $150.00 $150.00 $150.00 $150.00 $150.00 Park -in -Lieu 1 $1,600.00 $1,600.00 $1,600.00 1 $1.600.00 $1,600.00 $1.600.00 $1.600.00 $1,600.00 Total 1 $2,107.00 $2.346.00 I $3.644.00 1 $3,850.00 1 $4,113.00 1 54,399.00 1 54.551.00 54,935.00 The Planning Center JuIv 2002 Page 53 FINAL IV. Housing Constraints and Resources 1 Assumes a 620 square foot Manufactured Home and 200 square foot carport in a Mobile Home Community (MHC) District. 2 Assumes a 1,440 square fool Manufactured Home and a 400 square foot garage in a Residential District (RD). Source: Lake Elsinore Building Division. 2001. TABLE 36C APPROXIMATE BUILDING DIVISION FEES FOR MULTI -FAMILY RESIDENTIAL CONSTRUCTION CITY OF LAKE ELSINORE Fee I Duplex 1200 ft2 i Quad 2400 ft2 1 Six 3600 ft2 I Eight 4800 ft2 Structural Plan Check J $705.00 $874.00 $1,163.00 $1.451.00 PlanninR Review $188.00 $233.00 $310.00 5387.00 Building Permit $940.00 $1,165.00 $1,550.00 $1,935.00 Electrical Permit $160.00 $250.00 $343.00 8445.00 Plumbin2 Permit $210.00 $315.00 $480.00 $594.00 Mechanical Permit $95.00 $152.00 $210.00 $269.00 Seismic Fee $11.00 $15.00 $23.00 $31.00 Library Fee $300.00 1 $600.00 1 5900.00 $1,200.00 Page 54 FINAL Total 1 $2.609.00 1 $3,604.00 1 $4,979.00 1 56.312.00 Note: A Park -in -lieu fee of $1.600.00 would also be assessed. For larger scale projects, impact fees would be determined on a case-by-case basis. Source: Lake Elsinore Buildina Division, 2001. Housing Element Update for the City of Lake Elsinore July 2002 City of Lake Elsinore HOUSING ELEMENT UPDATE TABLE 36D APPROXIMATE ENGINEERING DIVISION FEES FOR RESIDENTIAL CONSTRUCTION CITY OF LAKE ELSINORE Fee 5,000 ft2 I 6,000 ft' 1 7,200 ft2 Street Capital Improvement Fee!2 S0.03/fI2 of lot area $150.00 $180.00 5216.00 In -Lieu Fees: Administrative Charge Street Improvement Fee @$70/linear foot of street frontage' Drivewa reach $150.00 $3,500.00 $500.00 $150.00 $4.200.00 $500.00 $150.00 $4,550.00 $500.00 Stormdrain CIP $3,725 avers e)acre $427.00 $513.00 1 $615.00 Grading Permit $500.00 $500.00 $500.00 Minor Design Review $800.00 $800.00 $800.00 Total 1 $6.027.00 1 $6.843.00 I x7.331.00 1 No fees apply if improvement exists. Source: Lake Elsinore Buildinq Division. 2001 B. NON-GOVERNMENTAL CONSTRAINTS Environmental/Infrastructure Constraints a. Environmental Constraints Environmental hazards affecting housing units include geologic and seismic conditions that provide the greatest threat to the built environment_ The City has identified areas where land development should be carefully controlled_ The following hazards may impact future development of residential units in the City. Seismic Hazards: The structural geology of the Lake Elsinore is dominated by northwest trending faults that comprise the Elsinore Fault Zone. The major faults within the Elsinore zone are the Glen Ivy North, the Wildomar, and Willard faults. There is one Alquist-Priolo Special Studies Zones with Lake Elsinore along the fault in the southeastern portion of the Wildomar fault. Portions of the area are subject to liquefaction, which occurs when a mass of soil collapses from a sudden loss of cohesion due to an earth tremor or to a sudden increase in groundwater from an extemal source. The suitability of land for development is influenced strongly by the presence of certain geologic and seismic hazards, and the City of Lake Elsinore is subject to surface rupture, ground shaking, and ground failure. The greatest potential danger is the collapse of older residential units constructed from unreinforced masonry, and explosions of petroleum and fuel lines. Some of Lake Elsinore' historic and culturally significant buildings are among the most hazardous in case of earthquakes. As in most of southern California, conflict exists between landmark preservation and the elimination of public danger from seismic damage. The City's Public Safety and Urban Services Element, as well as the adopted Uniform Building Code, contain policies that address seismic activity. Flooding: Although the regional flood control planning and facilities construction are within the jurisdiction of the County Flood Control District, the City of Lake Elsinore also owns and maintains certain flood control facilities in the city which are generally constructed as part of the drainage plans for individual projects_ The locations of flooding sources are distributed among three basins in the area: the San Jacinto Basin, the Lake Elsinore and Temecula Basin. The San Jacinto River is the major watercourse within the City. When the lake outflow exceeds the capacity of the The Planning Center Page 55 July 2002 FINAL IV. Housing Constraints and Resources wash, encroachment of residential and commercial development along areas of overflowing channel subject to flooding is substantial. i Toxic and Hazardous Wastes: There are several commercial land uses within the City that may produce/handle hazardous materials. All hazardous waste must be either treated onsite or transported outside of Riverside County to landfills in Kern or Santa Barbara County. As a mostly residential City, Lake Elsinore does not consider toxic/hazardous waste an overwhelming concern or constraint to the development of housing. i Fire Hazards: The most serious fire threat within the City is the natural fire cycle of the surrounding hills, which become thick with brush and other natural materials after rainy periods. Like most southern California cities on the urban fringe, the late summer fires that result from the accumulation of this brush have the potential to spread into the City proper. Since the City center is largely developed, there is less potential for fire in central City communities. Other fire hazards within the City may be associated with heavy industrial uses, older commercial and residential structures, the presence of hazardous materials, and arson. i Noise: Residential land uses are considered the most sensitive to loud noise. The principal noise sources in Lake Elsinore generate from the primary transportation systems, including Interstate 15, major and secondary arterials, rail road lines, as well as commercial/industrial activities adjacent to residential locations. b. Infrastructure Constraints In addition to governmental, non-governmental and environmental constraints, infrastructure requirements and fees may increase development costs in Lake Elsinore. A brief summary of the principal infrastructure systems serving the City follows. Water and Sewer: The Elsinore Valley Municipal Water District supplies water to the City and maintains its sewer system. The Water District has the capacity to meet current demand and adequate capability to expand to meet projected demand for both water and sewer service. Residential sewer and water "hookup" fees are approximately $3,500.00 and $4,700.00 per dwelling unit respectively. These fees are collected by EVMWD. Solid Waste: Solid waste collection and disposal services are provided by franchise haulers. The County of Riverside operates the sanitary landfills to which the solid waste is taken. The Santa Rosa Community Services District provides this service to the residents of Lake Elsinore. Based upon a 1999 Riverside County Existing Settings Report, adequate landfill capacity would be available to meet projected demand. i Flood Control: The entire City is broken down into districts under the Lake Elsinore Master Drainage Plan. Development in the Lake Elsinore's Master Drainage Plan fee areas is subject to $4,000.00 per acre. The drainage fee is paid prior to final map approval or if associated with a development plan, prior to the issuance of a building permit. C. Land Prices The cost of land directly influences the cost of housing. In turn, land prices are determined by a number of factors, most important of which are land availability and permitted development density. As land becomes scarcer, the price for land increases. In terms of development density, land prices are positively correlated with the number of units permitted on each lot. Thus, a higher density lot may command a higher price than one designated for lower densities, but upon completion the developer may realize a higher profit margin based on a greater number of units sold. Page 56 FINAL Housing Element Update for the City of Lake Elsinore July 2002 City of Lake Elsinore HOUSING ELEMENT UPDATE In recent years, vacant residential land sales have increased due to the highly active Southern California housing market. Even in this market environment, there are significant differences in land prices in the region. In general, land prices in Riverside County are more affordable than the pricier Los Angeles and Orange County markets; in fact, the lack of inexpensive residential land in Los Angeles and Orange Counties was a major impetus for the development of the Inland Empire, including Lake Elsinore and western Riverside County. Accordingly, Lake Elsinore, along with other cities within Riverside County, is providing affordable housing for workers in Orange and Los Angeles County. Within the Riverside County market, there are also significant differences in land prices. New master - planned communities in Temecula, Corona, and parts of the Coachella Valley have generally garnered higher residential land prices than more established communities in central, southern and parts of eastern Riverside County. Data summarizing raw land costs in western Riverside County indicate that the cost for a 7,200 square foot lot of raw land ranges from $6,120 to $22,950 in the three study areas that encompass Lake Elsinore. A finished lot is valued from $39,120 to $60,950 – values are for a hypothetical 100 -unit development of single-family detached housing units (Stan Hoffman & Associates, November 1999). The average costs associated with raw land and finished lots are $14,890 and $50,220 in the Lake Elsinore region, respectively. Assuming a density of four units per acre, the value per gross acre—includes four lots plus necessary infrastructure such as roads, sidewalks, and right-of-ways—ranges from $24,480 to $91,800 in the three study areas, or an average of $59,560. Although they remain a significant cost component of a new home, land prices in Lake Elsinore do not significantly constrain the production of housing, relative to surrounding jurisdictions. In fact, the land costs in Lake Elsinore are more conducive to construction than other areas of Riverside County, and have contributed to the potential for single-family market rate units to be constructed which are generally affordable to moderate, and in some cases, lower income households. This indicates a moderate need for the City to consider land write down assistance to future builders proposing housing with affordability covenants. d. Construction Costs The cost of construction depends primarily on the cost of materials and labor, but it is also influenced by market demand and market-based changes in the cost of materials. Additionally, the cost of construction depends on the type of unit being built and on the quality of the product being produced. Labor saving materials and construction techniques are available but they tend to reduce the quality of the finished product. The type of product largely determines the cost of construction. About 29% of Lake Elsinore's existing inventory of homes was constructed prior to the 1980s. These older homes, in some cases, reflect a lesser degree of amenities (such as less square footage, or the provision of carports instead of a two car garage) than the more contemporary tract developments in newer parts of Riverside County. These older homes generally reflect a lower resale market price than newer products crafted with supplemental amenities and more technologically advanced materials. When considering the overall housing affordability in the Lake Elsinore's market, the purchase prices of these older homes are affordable even to residents in the very -low income category. The cost of labor is based on a number of factors, including housing demand, the number of contractors in an area and the unionization of workers, but it is generally two to three times the cost of materials. Thus the cost of labor represents an estimated 17% to 20% of the cost of building a unit, which is a substantial portion of the overall cost of construction. Most residential construction in Riverside County is performed with non-union contractors, and as a result, labor costs are responsive to changes in the residential market_ The Planning Center Julv 2002 Page 57 FINAL IV. Housing Constraints and Resources Residential construction cost estimates established by the International Conference of Building Officials (ICBG) in Spring 1999 indicate an average cost of labor and materials of $75.90 for multi -family Type V wood frame construction. Single-family residential Type V wood frame costs average $85.50 per square foot. Cost estimates are based on "good" quality construction, providing materials and fixtures that are considered above those minimally acceptable by code standards. Construction costs, therefore, may vary based on the type of material used, location of development, structural features present, and other factors. The data indicate that construction costs in the Lake Elsinore vicinity can constitute 43%-48% of the cost of a single-family detached housing unit. These figures are even more noteworthy considering that the cost of raw land constitutes only 4-14% of the cost of a housing unit (Stan Hoffman & Associates, November 1999). Typically, in the private sector market, the development of residential units is a business and investment venture. Therefore, developers seek the greatest return for their investment. As with most businesses, a constraining factor in the area of profitability continues to be the market place where developers sell their products. To a great extent, the market place sets the upper end of the profit margin with overhead costs for construction constituting the lower parameter of profit. The construction cost of housing affects the affordability of new housing and can be a constraint to the creation of affordable housing in the City and greater Riverside County region. A reduction in construction costs can be brought about in several ways. One such method involves a reduction in amenities and quality of building materials in new homes (still above the minimum acceptability for health, safety and adequate performance), which may result in lower sales prices. State Housing Law provides that local building departments can authorize the use of materials and construction methods if the proposed design is found to be satisfactory and the materials or methods are at least equivalent to that prescribed by the applicable State building codes. In addition, pre -fabricated, factory built housing may provide lower priced products by reducing labor and materials costs. As the number of units built in scale increases, savings in construction costs over the entire development can be realized, particularly when combined with density bonus provisions. In addition, the City may implement a variety of programs to write down land costs or provide other developer incentives such as waivers in development standards or processing fees in order to increase affordability, subject to the developer providing a percentage of units with affordability restrictions. Page 58 Housing Element Update for the City ofLake Elsinore FINAL Julv 2002 City of Lake Elsinore HOUSING ELEMENT UPDATE TABLE 37 REPRESENTATIVE DEVELOPMENT COSTS CITY OF LAKE ELSINORE Development Type of Product Size of Unit (Sq. Ft.) I Cost Per Sq. Ft. Chaparral Heights Single -Family Detached 2,833 — 3,172 1 $123.60 - $133.98 Pepperview Homes Single -Family Detached 1.352-1.995 S96.711- $118.30 The Ponte Vecchio @ San Antonio Heights Single -Family Detached 3,607 — 4,308 $127.64 - $138.59 Tuscanv Sinale-FamilyAttached 1,821-2,145 $126.80-$133.98 Source: May 1999 Market ProfileslResidenbal Trends Develoomenl Summary Analvsis—West Riverside County—Lake Elsinore e. Financing Mortgage interest rates have a large influence over the affordability of housing. Increases in interest rates decrease the number of persons able to afford a home purchase. Decreases in interest rates result in more potential homebuyers introduced into the market. National policies and economic conditions determine interest rates, and there is little that local governments can do to affect these rates. Jurisdictions can, however, "leverage" funds by offering interest rate write-downs to extend home purchase opportunities to lower income households. In addition, government insured loan programs may be available to reduce mortgage down payment requirements. First time homebuyers are the most impacted by financing requirements. Mortgage interest rates for new home purchases ranged from 7% to 8.75% for a fixed rate -30 year loan in 1999/2000. Lower initial rates are available with Graduated Payment Mortgages (GPMs), Adjustable Rate Mortgages (ARM's), and Buy - Down Mortgages. However, variable interest rate mortgages on affordable homes may increase to the point that interest rates exceed the cost of living adjustments, which is a constraint on affordability. Although interest rates are currently low, they can change significantly and substantially impact the affordability of the housing stock. The National Association of Homebuilders (NAHB) has provided forecasts for interest rates through the year 2000. It is estimated that minor increases in current rates will occur in fixed-rate and adjustable rate mortgages, but it shouldn't have an appreciable impact on the housing market. Interest rates in 1999/2000 are not a constraint to affordable housing, although a change by one percentage point can make a monthly payment out of reach for many lower income households. As such, financing for both construction and long term mortgages is generally available in Lake Elsinore, subject to normal underwriting standards. Flexible loan programs, such as those for first-time homebuyers, can offer down payment requirements between 0% and 20%. Such programs provide a method to bridge the gap between a required down payment and potential homeowner's available funds. Ultimately, however, the availability of financing for developers may pose a constraint on development outside of the City's control. The greatest impediment to homeownership is credit worthiness. According to the Federal Housing Authority, lenders consider a person's debt -to -income ratio, cash available for downpayment, and credit history, when determining a maximum loan amount. As stated above, many financial institutions are willing to significantly decrease downpayment requirements and increase loan amounts to persons with good credit rating. The Planning Center Page 59 Ji/h, 2002 FINAL IV. Housing Constraints and Resources Persons with poor credit ratings may be forced to accept a higher interest rate or a loan amount insufficient to purchase a house. Poor credit rating can be especially damaging to lower-income residents, who have fewer financial resources with which to qualify for a loan. The FHA is generally more flexible than conventional lenders in its qualifying guidelines and allows many residents to re-establish a good credit history. Under the Home Mortgage Disclosure Act (NMDA), lending institutions are required to report lending activity by census tract. Analysis of available HMDA reports does not indicate documented cases of underserved lower income census tracts in the City. C. RESOURCES The lack of vacant land suitable for residential development is not a problem in Lake Elsinore. In addition to providing opportunities for housing development, the continued supply of developable land in Lake Elsinore will assist in keeping raw land costs and thus housing costs, at affordable levels. To properly plan for the remainder of the current planning period and future housing needs, undeveloped land available for housing within existing urban boundaries has been inventoried. 1. Availability of Sites for Housing An important component of the Lake Elsinore Housing Element is the identification of remaining sites and future housing development opportunities in the 1998-2005 planning period. For the purpose of satisfying the RHNA New Construction need, opportunities for residential development in the City fall into one of three categories: • Units constructed on or after January 1, 1998 (Constructed Units); ■ Residential development projects approved on or after January 1, 1998, but not yet constructed (Approved Units); and • Vacant or significantly underutilized land that is designated for residential use, inclusive of adopted Specific Plans in the City (Vacant Units). a. Constructed Units Between 1998-2000, 830 additional units have been added to the City of Lake Elsinore's housing stock. All but 23 of these units were single-family detached units built at densities between 3.7-4.7 dwelling units per acre. Based upon 1998-2000 sales price information for new detached homes, 363 units were affordable to moderate income households and 444 units were affordable to above moderate income households. The 23 remaining units were mobile homes and were affordable to lower income households. These units are considered as new construction for the purposes of accommodating the 1998-2005 RHNA allocation. b. Approved Units Between 1998-2000, the City of Lake Elsinore approved the construction of 16,443 units, with nearly all associated with Specific Plans. All of the proposed units are estimated to be available for occupancy within five years. The table below illustrates the number of approved units by density and project. While the majority of approved units are proposed to be built at a density of 1-6 dwelling units per acre (du/ac), over 3,000 units are proposed to be built at higher densities. Also, while the single-family detached unit dominates proposed development, approved Specific Plans provide for the construction of 720 single family attached and 2,548 multi -family units. Page 60 FINAL Housing Element Update for the City of Lake Elsinore July 2002 City of Lake Elsinore HOUSING ELEMENT UPDATE Several strategies could be implemented to achieve more efficient use of residential land in the future and facilitate high density affordable housing. First, developers could be encouraged, or required, to build closer to the maximum densities allowed by current zoning, thus using existing and planned infrastructure investments more efficiently. This could be achieved through the promotion of the City's Density Bonus Ordinance. Second, vacant or redevelopable residential areas could be rezoned to allow somewhat higher densities, or for mixed uses including higher density housing. Third, developers could be required to build a specified amount of affordable housing, particularly in areas zoned for higher densities. For example, the Cottonwood Hills Specific Plan Development Agreement (effective until 2010) contains (Section 21) requirements to provide its fair share of affordable housing available to persons in the low and very low income ranges. It is the intent of the City to carry out similar incentive policies for future Specific Pan/Mater Planned Communities. The Planning Center Page 61 JuIv 2002 FINAL This page intentionally left blank. Page 62 FINAL IV. Housing Constraints and Resources Housing Element Update for the Citv of Lake Elsinore July 2002 O Q O Ln CL o� �3W ow J _ Xi Uz C/) O Z Lo - u -^ i�(a- .rig �K `•"�_ - Lo - u ntentionally left blank. IV. Housing Constraints and Resources Housing Element Update for the City of Lake Elsinore July 2002 City of Lake Elsinore HOUSING ELEMENT UPDATE TABLE 38 APPROVED RESIDENTIAL UNITS BY DENSITY OCTOBER 2000 CITY OF LAKE ELSINORE Map IDI PROJECT NAME 0-1 1-3 1 Dens! 3-6 (DU/AC) 6-12 12-18 18+ I Total Units SPEC11M, PLANS_. _ . _ Tract No. 19561 988.: 0 0 28 0 Al Alberhill Ranch 0 0 I 2.400 0 0 600 3,000 A2 Murdock Alberhill 0 975 294 0 0 180 1,449 D La Laguna Estates 0 480 0 180 0 0 660 E Cape Of Good Hope 0 62 0 0 0 0 62 G Cottonwood Hills 0 93 2,535 549 1,098 0 4,275 I Tuscany Hills 0 f 1,645 355 0 0 0 2,000 K Ramsgate 129 f 2,451 329 0 0 421 3,330 L North Peak 0 120 840 240 0 0 1,200 Subtotal Specific Plans 129 5,826 6,753 969 1,098 1,201 15,976 TENTATIVE TRACT MAPS (Not Associated with Specific Plans).. TTM 29304 0 0 j 54 0 0` 0 54 Subtotal Tentative Tract Maps 0 l 0 54 + 0 0 0 54 FINAL RECORDED -TRACT MAPS,(NdtAssvciafed wittr.5peclfic Plaris� •; % `,� -- F5 Tract No. 19358 0 0 0 92 0 0 0 92 F6 Tract No. 19561 988.: 0 0 28 0 0 0 28 F7 Tract No. 19750 0 f 0 0 178 0 0 0 178 F17 Tract No. 20296 Total Multi Family f 0 0 0 0 0 0 0 F19 Tract No. 26142 0� 0 115 0 0 0 115 F20 Tract No. 27223 I 0 0 0 0 0 0 0 Subtotal Final Tract Maps 0 0 413 0 0 0 413 TOTAL APPROVED UNITS :: 129.1 5,826. , -- :;;7;22t) 988.: ,-« ''ti;698:: _ 1;201 Total Single Family Detached I 129 5,826 7,220 1 0 0 0 f 13,175 Total Single Family Attached 0 0 0 720 0 0 720 Total Multi Family f 0 I 0 f 0 249 1,098 1,201 f 2,548 See Exhibit 1. Not located on Exhibit 1. Source: City of Lake Elsinore Planning Division C. Vacant Units An analysis of GIS land data indicated that the City of Lake Elsinore contains over 2,500 acres of vacant land suitable for residential development. Over 1,800 acres are zoned as Single Family Residential (R1) and over 300 acres are zoned as Medium Density Residential (R2), which permits single family attached and multi -family units at a density of up to 12 du/ac. The development potential for each zone was categorized by income category based upon new home and rental prices (see table below). A combination of lower land and housing prices and high densities The Planning Center Page 65 Juh- 2002 FINAL IV. Housing Constraints and Resources could allow for the construction of a large number of housing units affordable to lower income households (annual income less than 80% of AMI). In addition, the City's Zoning Code permits the construction of manufactured housing in nearly all residential zones, thus providing homeownership opportunities for lower income households in lower density areas. In total, vacant land within the City of Lake Elsinore could yield up to 10,269 housing units, with over a third affordable to lower income households. TABLE 39 SUMMARY OF RESIDENTIAL BUILD -OUT POTENTIAL CITY OF LAKE ELSINORE Lower Moderate Above Moderate Total Housing Housing Type' Zoning Acres Density Income' Income' Incomes Potential -V' CANT G,4hfTLAND'- `tc:+"kw ��..J. ._^ Single Family Detached RR 347.284 0.5 dulac 0 0 1 174 174 Single Family Detached RE 0 0.5 du/ac 0 0 1 0 0 Single Family Detached RH 0 0.5 du/ac 0 0 1 0 0 Single Family Detached R1 1,833.020 3 du/ac 0 2,199 3,300 5,499 Single Family Attached, R2 320.242 9 du/ac 1,729 1,153 0 2,882 Multi Fami Multi Family R3 95.205 18 du/ac 1,714 0 0 1,714 Mobilehomes MC 0.5 8 du/ac 0 0 0 0 TOTAL UNITS I 2;59625t 'i;'r,` •,.�4 .' 3;4+f3, `- -' `-:- 3;35i�.:, I_ .: 3,474 I0;ZB9`.�'' 1 Manufactured Housing is permitted in all zones except for R3 and MC. Such units can provide homeownership opportunities for lower income households in low-density areas. In addition, second units are allowed with a CUP in the RR, RE, RH, and R1 zones. 2 The density factors shown are based upon existing development patterns. Each zoning category may allow for construction at higher developments. See Table 33 for more details on zoning categories - 3 Household income less than 80% of Annual Median Income (AMI). 4 Household income less between 80-120% of AMI. 5 Household income greater than 120% of AMI. Source: City of Lake Elsinore GIS: The Planning Center Page 66 Housing Element Update for the City of Lake Elsinore FINAL July 2002 I I j > LU N M C = zz wi 0 < I M L.J U I I j This r-gpEf intentionally left blank. Page 6b FINAL IV. Housing Constraints and Resources Housing Element Update for the City of Lake Elsinore July 2002 City of Lake Elsinore HOUSING ELEMENT UPDATE TABLE 40 RESIDENTIAL CONSTRUCTION BY INCOME CATEGORY CITY OF LAKE ELSINORE Construction Type Lower Income Moderate Income I Above Moderate Income Total Units Constructed Units 1998-2000 23 363 444 830 Approved Units 1998-2000 3,268 2,169 11,006 16,443 Vacant Land Potential 3,443 3,352 3,474 10,269 Total Potential Construction 6,734 5,884 14,924 27,542 Can " ltin strudn PoeWip Plannin'Pad'',* ti�•.� _ # RHNA New Construction Need 1,617 829 1,317 3,763 Source: City of Lake Elsinore Plannino Division: The Plannino Center 2. Preservation of Assisted Units at Risk of Conversion State Housing Element Law requires the analysis of government -assisted housing that is eligible to change from lower income housing to market rate housing during the next 10 years. Reasons that government assisted housing might convert to market rate include expiring subsidies, mortgage prepayments, or expiration of affordability restrictions. State law also requires the development of programs aimed at their preservation. The following have been included in this housing element as part of the preservation analysis: An inventory of assisted housing units that are at -risk of converting to market rate within ten years. • An analysis of the costs of preserving and/or replacing these units - 0 Resources that could be used to preserve the at -risk units. Program efforts for preservation of at -risk units - Quantified objectives for the number of at -risk units to be preserved during the housing element planning period. Use restrictions, as defined by State law, are any federal, state or local statute, regulation, ordinance or contract which as a condition of receipt for any housing assistance. Use restrictions establish maximum limitations on tenant income as a condition of eligibility for occupancy. State law identifies housing assistance as a rental subsidy, mortgage subsidy, or mortgage insurance, to an assisted housing development. The following section analyzes the potential conversion of assisted housing units to market rate housing. The Planning Center Juh,2002 Page 69 FINAL IV. Housing Constraints and Resources a. Inventory of Assisted Affordable Units There are three housing projects in the City that have received some form of assistance from federal or local sources. The Lakeside Apartments contains 128 total units and was built in 1983. According to the complex manager, 52 of the units are subsidized through multifamily housing revenue bonds. The affordability controls on this project will not expire during the next 10 years. Both the Broadway Machado and Fairview Apartments are owned and operated by the Riverside County Housing Authority (RCHA) for the purposes of providing affordable housing. Through Section 8 Public Housing Program, the Housing Authority subsidizes a total of 30 units. According to the RCHA and HUD, the Broadway Machado Apartments contain 14 subsized units that receive an average of $345 per month per unit of Federal assistance. The Fairview Apartments contain 16 subsidized units that also receive an average of $345 per month per unit of Federal assistance. All of the units are two-bedroom units and contain an average of 3.8-4.0 persons per unit. The average household income for each unit is between $10-12,000 per year. Representatives from the Riverside County Housing Authority report that there are no plans to convert either apartment complex to market rate rents during this planning period. Based on the above factors, there are no affordable units in the City at risk of conversion to market rate rents because of termination of subsidy contracts, mortgage prepayment, or expiration of restrictions on use. TABLE 41 INVENTORY OF ASSISTED UNITS CITY OF LAKE ELSINORE Source: Riverside County Housing Authority: U.S. Deoartment of Housing & Urban Development Local Rental Subsidy The primary form of direct rental subsidy available to Lake Elsinore residents is Federal Section 8 Rental Assistance. The Section 8 Program is designed to provide rental assistance for eligible tenants in safe, sanitary, affordable housing. Section 8 is available to very low-income families, individuals, seniors and the disabled, providing vouchers and/or certificates worth a large portion of the HUD designated fair market rents. Persons and households may apply when the waiting list is open and must either live or work in the County of Riverside. The current FMRs for the Riverside -San Bernardino Metropolitan Area (MSA), which encompasses the City of Lake Elsinore, are shown in Table 43. Page 70 FINAL Housing Element Update for the City of Lake Elsinore July 2002 Date of Total Assisted Subsidy Project Location T e of Unit Form of Assistance Units Units Termination Lakeside 15195 Lincoln Family Multifamily housing 128 52 2011 A arta Street revenue bonds Broadway 16366 Broadway Section 8 Public Machado Street Family Housing available 14 N/A Apartments Fairview 33051 Fairview Family Section 8 — Public Not 16 NIA Apartments Street Housing available Source: Riverside County Housing Authority: U.S. Deoartment of Housing & Urban Development Local Rental Subsidy The primary form of direct rental subsidy available to Lake Elsinore residents is Federal Section 8 Rental Assistance. The Section 8 Program is designed to provide rental assistance for eligible tenants in safe, sanitary, affordable housing. Section 8 is available to very low-income families, individuals, seniors and the disabled, providing vouchers and/or certificates worth a large portion of the HUD designated fair market rents. Persons and households may apply when the waiting list is open and must either live or work in the County of Riverside. The current FMRs for the Riverside -San Bernardino Metropolitan Area (MSA), which encompasses the City of Lake Elsinore, are shown in Table 43. Page 70 FINAL Housing Element Update for the City of Lake Elsinore July 2002 City of Lake Elsinore HOUSING ELEMENT UPDATE TABLE 42 FAIR MARKET RENTS FOR EXISTING HOUSING: RIVERSIDE -SAN BERNARDINO MSA CITY OF LAKE ELSINORE Efficiency* 1 1 Bedroom 1 2 Bedroom 1 3 Bedroom_ 1 4 Bedroom $448 $499 $609 $845 ! $999 'Efficiency = Studio Apartment FMRs include utility costs Source: HUD Revised FY 2000 Income Limits b. Financing Mechanisms Although there are no "at -risk units" in the City, a variety of federal, state and local programs are available to create and/or maintain rental and purchase affordability for lower income residents. These programs are available as well to other jurisdictions for potential acquisition, subsidy, or replacement of units at -risk. The following summarizes financial resources available to the City, and private and non-profit parties to preserve/create housing that is affordable. Federal Programs i CDBG—This program is intended to enhance and preserve the City's affordable housing stock. CDBG funds are awarded to the City on a formula basis for housing activities. Eligible activities include: acquisition, rehabilitation, economic development, and public services. CDBG grants benefit primarily persons/ households with incomes not exceeding 80% of the County median family income. i HOME Investment Partnership—HOME funding is a flexible grant program which is awarded to Lake Elsinore on a formula basis for housing activities which takes into account local market conditions, inadequate housing, poverty and housing production costs. HOME funding is provided to jurisdictions to either assist rental housing or home ownership through acquisition, construction, reconstruction and/or rehabilitation of affordable housing. Also possible is tenant based rental assistance, property acquisition, site improvements, and other expenses related to the provision of affordable housing and projects that serve a group identified as having special needs related to housing. i Section 8 Rental Assistance Program—This program provides rental assistance payments to owners of private market rate units on behalf of Very Low income tenants. i Section 811/202 Program—Non-profit organizations and consumer cooperatives are eligible to receive no interest capital advances from HUD for the construction of Very Low income rental housing for senior citizens and disabled persons. Project based assistance is also provided in conjunction with this program. Section 811 can be used to develop group homes, independent living facilities, and intermediate care facilities. Eligible activities include acquisition, rehabilitation, new construction, rental assistance. i HUD Low Income Housing Preservation and Resident Homeownership Act (LIHPRHA)— LIHPRHA was enacted in response to concern over the prepayment of HUD -assisted housing. The legislation addresses the prepayment of units assisted under Section 221(d)(3) and Section 236 (Section 236 replaced the Section 221(d)(3) program in 1968). Generally, the law facilitates ithe preservation of these Low-income units by providing incentives to property owners to either The Planning Center Page 71 July 2002 FINAL IV. Housing Constraints and Resources retain their units as Low-income, or to sell the project to priority purchasers (tenants, non -profits, or governmental agencies). Pursuant to LIHPRHA, HUD must offer a package of incentives to property owners to extend the Low-income use restrictions. These incentives would assure property owners an 8% return on the recalculated equity or their property, provided the rents necessary to yield this return fall within a specified federal cost limit. The cost limits are either 120% of the FMR, or the prevailing rent in the local market. If HUD can provide the owner with this return, the owner cannot prepay the mortgage. The owner must either stay in the program, or offer to sell the project (a "voluntary" sale) to a priority purchaser for a 12 month option period, or other purchasers for an additional three months. The owner is required to document this choice in a Plan of Action. If HUD cannot provide the owner with the 8% return, i.e., the rents required would exceed federal cost limits, the owner may prepay only after offering the sale to priority purchasers for 12 months, or other qualified buyers for an additional 3 months (a "mandatory" sale), and filing a Plan of Action which demonstrates that conversion will not adversely impact affordable housing, or displace tenants. According to the California Housing Partnership Corporation, most projects in California will fall within federal cost limits, except those with exceptionally high rental value or condominium conversion potential. Projects that are preserved under either of these methods are required to maintain affordability restrictions for the remaining useful life of the project, which is defined minimally as 50 years. Despite these requirements, property owners may still be able to prepay. First, the owner may prepay the property if no qualified offer to purchase the property is made. Second, HUD may not provide some of the discretionary monies to priority purchasers in preservation sales. Finally, the overall success of the preservation efforts is contingent on congressional appropriation of sufficient funding to HUD. State Programs California Housing Finance Agency (CHFA) Multiple Rental Housing Programs—This state program provides below market rate financing to builders and developers of multiple -family and elderly rental housing. Tax exempt bonds provide below market mortgage money. Eligible activities include new construction, rehabilitation, and acquisition of properties with 20-150 units. i Low Income Housing Tax Credit (LIHTC)—This state program provides tax credits to individuals and corporations that invest in Low income rental housing. Tax credits are sold to corporations and people with high tax liability and proceeds are used to create housing. Eligible activities include new construction, rehabilitation, and acquisition i California Community Reinvestment Corporation (CCRC)—This private, non-profit mortgage banking consortium provides long term debt financing for affordable multi -family rental housing. Eligible activities include new construction, rehabilitation, and acquisition. Local Programs Redevelopment Agency Funding—In compliance with State law, the agency sets aside 20% of its funds for affordable housing activities governed by state law. It is anticipated that no more than $500,000 will be available for affordable housing activities. Eligible activities include rehabilitation and new construction. The sum above represents a realistic amount based on previous financial commitments to retire debt service. Table 43 illustrates the estimated low- and moderate -income housing fund expenditures for 2000-2005. Page 72 FINAL Housing Element Update for the City of Lake Elsinore July 2002 J City of Lake Elsinore HOUSING ELEMENT UPDATE TABLE 43 CITY OF LAKE ELSINORE REDEVELOPMENT AGENCY �1,1AATED LOW/MODERATE INCOME HOUSING FUND EXPENDITURES 2000 — 2005 -::"r-y4otiyfty 2000 2001 2002 1 2003 2004 1 5 Yr. Total ?ruction $100,000 $100.000 $100.000 1 $100,000 $100,000 $500.000 _ $100,000 $100,000 $100,000 F $100,000 i $100,000 $500,000 i. I Lake Elsinore, 2001. Entities -:ntities based relatively proximate to the City of Lake Elsinore can be contacted to gauge their ability in acquiring and/or managing units at -risk of conversion. A partial listing of entities ces in the Riverside County area is provided in Table 44. TABLE 44 NON-PROFIT ENTITIES CITY OF LAKE ELSINORE Organization Activities �• �achella Valley Housing Coalition Affordable housing roduchon, propeity tat for Humani Affordable housing developer Housing (Long Beach Affordable housinR devela r ,..acr; Company (Seal Beach) Affordable housing plannerldevelope r TI7L vg Cenlei- Julr Page 73 FINAL j This page intentionally left blank. Page 74 FINAL IV. Housing Constraints and Resources Housing Element Update for the City of Lake Elsinore July 2002 1'—f City of Lake Elsinore HOUSING ELEMENT UPDATE V. REVIEW OF HOUSING ELEMENT PERFORMANCE TO DATE .. ��_Y,rA1:-' •. L�3�._._ ^:�%-�a'r+=TTa1:.M�.�'�trf= .�.�aNve1��cfsr. e- v..-t.�. : sK+n sa�w.•r�r�.� P.. PROGRESS IN IMPLEMENTING THE 1989 GOALS AND OBJECTIVES St_nolaw establishes a five-year cycle regulating housing element updates. In compliance with the SC= ; cycle, the Lake Elsinore Housing Element was updated in 1989 at which time it was found to be i+ compliance with State law, and was updated again in 1995. By r:: ,jiewing the progress in implementation of the adopted programs, the effectiveness of the last eler::ent, and the continued appropriateness of these identified programs, a comprehensive housing program strategy has been developed (see Chapter VI). TaL• �- 45 reviews the progress in implementation of the programs, the effectiveness of the 1990 Ho ;;trig Element programs to date, and the continued appropriateness of the identified programs for this pdate. The results of the analysis provided the basis for developing the comprehensive house! ig program strategy for the future planning period, as well as goals for the planning period in progress. The Play7ning Center .Jur, 2002 C. r11—chc 2002 H�g Eh --t Fi—I D—ff 20112 H—xiT Ek—r.d- Page 75 FINAL n P Q �+ � m m co Z a) � W E— UL VE m O O� o c O c- Z O CL (7 U L I LO L J m 0) w m LU O O r- p > o F- W C m J c)) W .. Z W o� Utm0. 2 w? 0. 2 od Z a- C:, m2 E a) W cD w C m J. -Y � m m j0 a) �m '_cm E— UL VE m O O� o c O c- Z O = (7 U L -I- LO L J m m w Z'o O O O W rn W p > o F- J. -Y d Q = J =m E— UL VE m O 0-2 o c O c- Z N N O E U Eo 0 =1L m U = -eq 2c d d m Z U Z'o �C W W p > o > W W C m J c)) W y N O J o� Utm0. 2 w? 0. 2 od Z a- C:, m2 E a) c }a C C m � m O C) 3 w m -o Q cr- U� N O — O n bf a) rn N y N m O d 0 ,1 Q1 0 0 0 L CL, C) O D1 L C � 3 c" -t3 .N N CD m N ap O) U N d � =m VE m O 0-2 o c O c- Z N N O E U Eo 0 =1L m U = -eq 2c d d cm a) U E cu N �C W 0 :2 m C > o m.2 o mC C m J c)) W y N [c] o� Utm0. 2 w? 0. 2 od o 22 0 a- C:, m2 E a) c C:) C m � m O C) 3 O p m -o Q Ep m O — O n bf a) rn N y N m 0 d m om Y -0 p M ca L O p> E Z J aci E o a) m Q n N 2 m O o a U C 2 N N C C Ol C O .D y O1 C C o .N C L m ?� m m p V Vl m N co C O U ZO cn0: -,U) <CL o Q =m m O N a) O > o m.2 o N n c a- C:, m2 E a) c C:) O C) C 2-2 O p m -o fO_am-0 ca n m C'2 c m c" c 0 C a`� m 0 c O m n m Z FO m Z N c 0 N I i O1 C C O CJ O m C O N --' y -0 C m m c m ca mn co o Z O Z d H I o Z [�! O) co C O O > I O N C O cam L) m U m m O - C U m m m 0 tNA 0 c0 0 >m Z Z Fm- -0 Z Z c � o a U CL - m m -0 m w "m m cn c Q) C U 01 p m O) C C 'o C p -o C -o U L m LO c rn CD c 0),m m m -0 o 0 00 o o`er 4-: v E o c m m '0 y N m o n co o m wo_-2 _ EwOc rnE O)O m N c -2O 22O L h co Q) N m 7 O> fO j. C O U O C E m y m L] d N � N m Vl L m N m m c m O m !" C m 0 "� .0 C N > E 7 m>> C p (V v o E` 0 L .N m x y o W N BL m o 2 O -L 0 � C C U- 7 LL- ll- G m m�; m m E m F Z5 2 Wy o 1p d oaci aci o .> 0 U) LL n C/3 U- a O 02U2 v v U U U =0 m U CY)m Q c O m m ¢ -0-08a 2 N C -2 N p) 2 N C N -0 N- m - U to > m C3 m E> c O_d 2 >_ o f d m CD 2 >_ d O) C O O1 c Op> C O map C p m C y C _ C C o C C C -0C T O c >,� z T m C Cc a U m m— 2 a U O U m U 2U m i.� a c co m m c m N c 4 m _T y cn m y Q] E N al O (E � v o ` L O N omu O O C m N y N la C i� m C LL prn W C p C C ` 'D O cb O O m � 0 O 0fl� wa- m w W d - Ir m pd co Q cc 0 0 ct 0 - Lu zi LU J LII (DLL ZQ COC Zz C Ll Ja) LL Y Q W Q CD C W LII J a Z L rw v to I � O 4 O d = O 0. G � ,n � m � = U E U I C O) c c m � C �0 � E o L G O O CD o E c n O FZ C a) Q) — C a) O O D d U w p � Q G C L_ d O Z � U 2 3 v 0 U O C f00 CD C C13 o -2 0 E c o c c 3 69 S 0 N ob _C = Q) p 0 EQQ 5 0^ m VI O'U V a) to 0 %2p ,0 O m _ p m Z Z c is w 0.0 00 d > O m rn -O c`� o a) COL -o m ami Z U a: ns2U 0�M U O Q nm Q' 7Z Z m m 0 0 W � O Na) c C O 76c c rn a) fa v m m m N N c a) o) ~ T la C N h � m �n C _E a) ` n CO°p a) - m m C O u Ia C C C (Oj y CP) : m a) y m 0-0 E [O E N C N== 0 >, ` Oj O C 'v U T On ` 2 o• a) CL Z m Z E L �° > E m c c '7 p U O N 0 O= a) 0 0 0 O a' U O l9 U N N _0 U -D U U t 7 cp Ca y C m h (D -- 6 O > 0) a7 Up -N > c cm o = 0 N V Y � C O N O a) aa) L p p O C VJ n m 0 0 L S, j O? m 3 S 0 3 'm N C D vm Y v) v o v a) �_ wo 3 -�c-,) o o m 3= m a E E N m m O c m= cu O cn fa oc C a m 3 a7 L _ p N p CL O t 3 N� C U L J d O C C C LL. G O a) m LLCO a� L UI9 3 `p C2C d O J- a) J W� CD a) U E 7 O o ut v N N G G a) 4-5 > > O alO Q Q1=0 _C D a) a) Ir M C C (X 2 a) 2 Q c >..R > U O m U U a E T = m n L E2 i _ C O ca ma m ` 0 C O` LL - o Z a L rw v to I � O 4 O = O � � C m E U � � C " O CD C f0 Vj C a) Q) — C a) W C c O Z O D d U w _ c N � Q O Z � 2 0 n a) f00 C C13 o E c c c m 0 0 o ,0 O'U V a) to 0 m N m Z Z c is w 0.0 00 E ca O O O ami Z U m O Q nm Q' 7Z Z m m 0 0 0 0 O Na) c C O 76c c g0 ai o a) fa v m m m N N c a) a) _U a w T la C N h � m �n C _E a) ` n m a) c �m = c m 3 0 0 d N a) • N O Ia C C C (Oj y O N L Z a7 > Q N l9 L O to a) y m 0-0 E [O E N C N== 0 >, ` - o_ E a) 3 c N m 0) E= E m N N C 'v U T On ` 2 o• a) CL c a°i o0 -�' = uoi :° v E L �° > E m c c '7 p U O N O ,� C O= a) 0 0 0 O U a7 m S Q U O l9 U N N _0 U -D U U t 7 cp t6 U C Cl. a) In C c E N 6 O a) V m -N > a) 0 � .N omo C p � Q N V Y � C O N 0 0) 0) U N C C CL O. N C c a = a) n aocn m a c E N T) C LU O m fa N _ p N Co U to U C CD Z C C C m�J ?) C fn N O'� � >'? CU U) O U ._ a`) E 3 v m U —_ L UI9 3 `p C2C d O J- a LL N :!5 U J L rw v to I � O 4 O s I1 Q Q) O CC CL z W W J W OW rz � VJ O co O— LO M J L11 co W O) LIJ co = J LL O F_ WU W J Z Co co W cc QD O cc CL 0 v o a) N > N N to r N C O -tj Q w o) a N � 0 3 E m � E � C CL E c � O W w :J N C T c 2 Ua 6 m U ca a) aJ c .Q) m v _ m N m E If y o a _ L_ 0 0 0 N 3 - -1:1U O o t m -0 _ O 0) M O L 15 O c C N 'E - C — a) cn �c N -a) CD CL N yEoc N fO10 z 0L) as 'ov 2 CIT c O c O i U m U m Z Z 0 0 U m U m Z Z L O -6 O` O a) C O- m C C E m O o) a) c c O E n c coc _ o v m m Om E t c .' N °' Y E S E as O 0 E E o)� y o o N 0 0 L a ¢) N o N Y i5 a CD o m 00 2 o-0 'o E O rn �. c c c m c _ c (a N .E a) W a) 'N E d m N -v Y CL L Q N a) co N C 6 p N L DU 2 �� LU .E .E iLL m 2 N Cc T E C •E E m L � 0 o C7 E—y �e a`) E >(D o aci U D m C) a) U U O O 0 N > a`� > to D O1 C C O) O C C � C C (a T C � f0 CL C) a N m CC L) L 0 E m> y 0 E =O C T O N C 0 m c of a) N U E_ m -o w` cm f6 0 3 a o c co C E 0 5 T Q1 0 0 N - m L' d y C C N U U a) L- - a) - E >_ 7 0 a) N U= N U .2)00 0) 1- 0Q) H L L Q) m N E N m O :J N City of Lake Elsinore HOUSING ELEMENT UPDATE TABLE 46 LAKE ELSINORE HOUSING ELEMENT OBJECTIVES 1989 — 1998 CITY OF LAKE ELSINORE Income Cate a Housing Goal Total Vel Low Low l Moderate Upper Housing Construction RHNA 1,500 84 112 1 520 I 784 Housing Rehabilitation 50 35 15 1 0 1 0 Housinq Conservation 118 92 26 1 0 1 0 Source: 1990 Lake Elsinore Housino Element (Updated 1995). TABLE 47 PROGRESS TOWARDS OBJECTIVES JULY 1989 — DECEMBER 1997 CITY OF LAKE ELSINORE Unit TypelDesctipfion # Units Ve Low I Low I Moderate I Upper NEW CONSTRUCTION' Single Family Detached 2,281 0 456 1 798 1 1,027 Condominiums, Townhomes, Triplex 33 0 22 11 0 Apartments 81 40 41 0 I 0 Mobile Homes 26 26 0 0 0 Subtotal 2,421 66 519 809 1 1,027 RHNA 1,500 I 84 1 112 520 1 784 REHABILITATION Data not available PRESERVATION & ASSISTANCE2 Lakeside A arlments 26 0 1 26 0 0 Housing Auftnty Leases 30 30 1 0 0 0 Section 8 Rental Voucher Assistance 92 92 1 0 0 0 Subtotal 148 122 1 26 0 1 0 Sources: I California State Department of Finance: z Riverside County Housing Authority Overall, the City was able to meet its new construction objectives with 2,421 new units constructed between 1989-1997. The City exceeded its new construction goals for low, moderate, and above moderate income households and constructed approximately 80 percent of the desired 84 new units affordable to very low income households. Between 1989-1997, housing units have been improved through repair grants and rehabilitation loans. The funding source for these improvements has been the Community Development Block Grants with the City of Lake Elsinore being assisted in program implementation by the County of Riverside. There was no data available on several programs, thus making it difficult to adequately measure program effectiveness during the planning period. Accordingly, the City of Lake Elsinore has made the construction and maintenance of a housing assistance database a key goal to further assist in the recording and construction of affordable housing units (see Policy 2.1.4 in Section VI). The Planning Center Jzdy 2002 Page 79 FINAL V. Review of Housing Element Performance To Date Through participation in the County's programs, the City was able to meet and exceed its housing conservation goals. The Lakeside Apartments, which provided subsidized rents through Section 8 Public Housing assistance, maintained 26 units affordable to low income households. The Riverside County Housing Authority operated two apartment complexes that provided 30 housing units affordable to very low income households and 92 households received Section 9 Rental Voucher Assistance. Page 80 FINAL (lousing Element Update for the City of Lake Elsinore July 2002 City of Lake Elsinore HOUSING ELEMENT UPDATE Vl. GOALS, POLICIES, PROGRAMS, AND QUANTIFIED OBJECTIVES .�v.¢wc:� .asv -r 4-�.�T. �T�_�-.:.�.esxr,••r�s: �•-�•F_rtm-..cc�a��.�.aurr-.mac er--�'•..x �.�r �-`^ A. GOALS AND POLICIES The City of Lake Elsinore's official development policies related to housing are presented in this section. These development policies are established to guide the development, redevelopment and preservation of a balanced inventory of housing to meet the needs of present and future residents of the City. It is the goal of the City to ensure that all residents of the City have decent, safe, sanitary and affordable housing regardless of income. This statement guides the City's actions with respect to housing. The specific goals, policies and actions detailed in this section provide the framework for the City's overall housing program. The specific policies and actions included in this element are intended to provide a wide variety of programs and tools to implement the City's General goals. Actual programs will be implemented at the discretion of the City in order to meet established objectives. The goals and policies contained in the Housing Element address Lake Elsinore's identified housing needs and are implemented through a series of actions and programs. Housing programs define the specific actions the City will take to achieve specific goals and policies. The action plan includes both programs currently in operation and new activities that have been added to address the City's unmet housing needs. According to Government Code Section 65583(b), a local Housing Element must include: "A statement of the community's goals, quantified objectives, and policies relative to the maintenance, improvement, and development of housing." The state housing law also requires a statement of quantified objectives on the maximum feasible number of housing units that can be constructed, conserved and maintained. This requirement has been interpreted by the State Department of Housing and Community Development as requiring statements on: i The number of standard, affordable units the city intends to conserve in this condition; Numbers of housing units that will be rehabilitated during the planning program period; i Number of housing units that will be constructed during the planning program period. The State Department of Housing and Community Development also has advised that objectives should be established for new production in the affordable cost range. The goals, objectives and policies of the Lake Elsinore Housing Element are restated as follows: Goals GOAL. 1 To provide decent housing opportunities and a satisfying living environment for residents of take Elsinore. OBJECTIVE 1.1 Achieve the construction of 3,763 new housing units during the Housing Element program planning period (1998-2005). Policy 1.1.1 The city shall monitor new construction on a yearly basis and prepare annual reports for review by the City Council in order to evaluate progress on meeting housing production objectives. The Planning Center Page 81 July 2002 FINAL VT Goals, Policies and Programs Policy 1.1.2 The city shall conduct periodic market surveys to collect data on the prices and rents of housing that has been recently constructed in order to monitor progress on Policy 2.1.1 meeting housing needs. OBJECTIVE 1.2 Provide an inventory of land sufficient to accommodate the "share of regional Policy 2.1.2 housing needs" at varying densities over the next five years. Policy 1.2.1 The city will complete annually a survey of vacant land suitable for residential Policy 2.1.3 development and inform the Planning Commission and City Council and make the information available to the development community. Policy 1.2.2 The city shall develop a complete data base dealing with new construction needs and constraints and transmit that information to the Southern California Association of OBJECTIVE 2.2 Governments for the next Regional Housing Needs Assessment update. OBJECTIVE 1.3 Provide adequate housing sites in relation to housing production needs and consistent with the Land Use Element. Policy 1.3.1 The City shall prepare information on the availability of public services and facilities and any infrastructure constraints to residential development. GOAL 2 To conserve and improve the condition of the existing affordable housing stock OBJECTIVE 2.1 Achieve the conservation of existing affordable rental housing throughout the city, Page 82 Housing Element Update for the City ofLake Elsinore FINAL July 2002 including dwellings occupied by households assisted through the local, State, or Federal programs. Policy 2.1.1 The City shall participate in programs to preserve the existing housing stock in sound condition and correct neighborhood conditions which cause blight and deterioration. Policy 2.1.2 The City shall continue to use code enforcement to improve and conserve existing housing throughout Lake Elsinore neighborhoods. Policy 2.1.3 The City shall maintain and upgrade existing neighborhood infrastructure including, but not limited to, sidewalks, parkways and waterlines. Policy 2.1.4 The City shall maintain an annual database of housing units and properties receiving assistance through local, State, or Federal programs. OBJECTIVE 2.2 Maintain the existing housing stock through rehabilitation where needed, and achieve the rehabilitation of 35 dwelling units during the program planning period (1998- 2005). Policy 2.2.1 The City shall allocate a portion of the city's share of CDBG funds to the financing of housing stock improvements in the city's neighborhoods. Policy 2.2.2 The City shall evaluate on a continuous basis additional means of meeting the city's housing conservation, maintenance and improvement goals, including the removal of governmental constraints; and utilization of State and Federal programs, as appropriate. Page 82 Housing Element Update for the City ofLake Elsinore FINAL July 2002 _� s City of Lake Elsinore HOUSING ELEMENT UPDATE GOAL 3 To assist in the development of adequate housing to meet the needs. of low and moderate income households. OBJECTIVE 3.1 Facilitate the development of at least 2,933 dwelling units during the remainder of the program planning period (2000-2005) to further assist in providing the City's fair share of low and moderate income households in accordance with Article 10.6 of the California Government Code which defines low and moderate income families and households, relative to the share of affordable housing provided elsewhere in the County. Policy 3.1.1 The City shall facilitate the development of new housing to meet the needs of first-time buyers with two working adults and other special needs groups, as appropriate. OBJECTIVE 3.2 Promote the construction of housing units affordable to low income households through the adoption of an Affordable Housing Density Bonus Ordinance. Policy 3.2.1 The City shall adopt an Affordable Housing Density Bonus Ordinance to assist in the development of affordable housing. GOAL 4 To address, and where appropriate and legally possible, remove constraints to the maintenance, improvement and development -of housing. OBJECTIVE 4.1 Promote reasonable processing time and fees and encourage incentives for the provision of quality housing opportunities. Policy 4.1.1 The City shall consider fee waivers and accelerated processing as methods of facilitating the production of affordable housing. OBJECTIVE 4.2 Promote methods of enhancing land availability within the framework of the Land Use Element and Zoning Ordinance. Policy 4.2.1 The City shall utilize Specific Plans and other land planning concepts to encourage a diversity of housing. GOAL'S To promote housing opportunities for all persons regardless of race, religion, sex, marital status, ancestry, national origin, or color. OBJECTIVE 5.1 Provide residents of Lake Elsinore the opportunity to seek housing in a neighborhood of their choice. Policy 5.1.1 The City shall coordinate with state and county agencies involved in ensuring compliance with fair housing laws. GOAL 6 To.encourage the incorporation of energy conservation features in the design ofall new housing development and the installation of conservation devices in existing developments. f The Planning Center- Page 83 July 2002 FINAL VT Goals, Policies and Programs OBJECTIVE 6.1 Promote the conservation of scarce energy resources and reduce the community's reliance on traditional energy resources. Policy 6.1.1 The City shall encourage the incorporation of energy conservation features in the design of all new construction, including but not limited to, thermal insulation, sealed gas lines and solar energy systems. Policy 6.1.2 The City shall encourage the use of passive design concepts that make use of the natural climate to increase energy efficiency. B. IMPLEMENTATION TOOLS The following table identifies available federal, state and local resources available to the City of Lake Elsinore for accomplishing its goals and quantified objectives. Although the City has access to all of the resources listed below, programs will be targeted to address specific housing needs. TABLE 48 RESOURCES AVAILABLE FOR HOUSING ACTIVITIES CITY OF LAKE ELSINORE Program Description I Eligible Activities Local Resources Lake Elsinore Redevelopment Agency 20% Set -Aside Fund Density Bonus Tax -Exempt Bonds Funds received from increased property taxes generated by property improvements sponsored by the Agency's redevelopment project areas. Twenty percent (20%) of these property tax funds must be set aside for the development, preservation, or rehabilitation of affordable housing. An estimated $500,000 dollars will be available during the remainder of the planning period. Allocations of tax increment may increase as development activity increases in the Project Areas. Once adopted, the Density Bonus Provision will allow an increase in density to developers who set- aside at least 25% of their project to low -and moderate -income persons, in conjunction with at least one financial and one development incentive The Redevelopment Agency and the City have the authority to issue tax-exempt bonds. Bond proceeds are used to develop affordable housing • Housing Rehabilitation • Neighborhood Compatibility (Code Enforcement) • Public Facility and Infrastructure Improvement Programs • First Time Homebuyers Assistance • Rental Rehabilitation • Mobile Home Rehab Program • Senior Housing Assistance • Density Bonus • Housing Development City/Agency Owned If available and appropriate, City or Agency owned . Housing Land land may be made available • Community Facilities Lease Purchase Lease Revenue Pass -Through Obligation bonds . Homebuyers Assistance Program are issued by the California Cities Home Ownership Authority to fund a lease -purchase program that will assist homebuyers countywide. I Housing Improvement Program, Rental Rehab • Rental Assistance County of Riverside Resources Program, Senior Home Repair (minor and . Home and Rental Rehabilitation Assistance 1 enhanced), First Time Homebuyers Program, Multi- . First Time Home Buyers Assistance family Revenue Bonds, Shelter Care Plus. State Resources Mortgage Credit Federal tax credit for low- and moderate -income . First Time Home Buyer Assistance Certificate (MCC) homebuyers who have not owned a home in the past three years. Allocation for MCC is provided by the Slave and administered by the County Page 84 Housing Element Update for the City of Lake Elsinore FINAL July 2002 City of Lake Elsinore HOUSING ELEMENT UPDATE TABLE 48 RESOURCES AVAILABLE FOR HOUSING ACTIVITIES CITY OF LAKE ELSINORE Program Description Eligible Activities California Department of Low interest loans for the development of Predevelopment Loans Housing & Community i affordable housing with non-profit agencies Development I Predevelopment Loan Program Proposition 1A Proposition 1A includes provisions to establish a • Downpayment Assistance Downpayment Assistance Program and a Rent . Rental Assistance Assistance Program using school fees collected from affordable housing projects_ Potential buyers or tenants of affordable housing projects are eligible to receive assistance in the form of down - payment assistance or rent subsidies from the State at amounts equivalent to the school fees paid by the affordable housing developers for that project in question. This programs structure and implementation strategy has not yet been determined by the State of California Emergency Shelter Grants awarded to non-profit organizations for . Support Services Program shelter support services _ Mobile Home Park Funds awarded to mobile home park tenant • Acquisition Conversion Program organizations to convert mobile home parks to . Rehabilitation (h1 Prop) resident ownership California Housing Below market rate financing offered to builders and • New Construction Finance Agency (CHFA) developers of multiple family and elderly housing. • Rehabilitation Multiple Rental Housing Tax-exempt bonds provide below-market mortgage Acquisition of Properties (20-150 units) Progfarns money 1 California Housing Low interest loans for the rehabilitation of Rehabilitation Rehabilitation Program substandard homes owned and occupied by lower- Repair of Code Violations income households. City and non -profits sponsor Property Improvements housing rehabilitation pT±e s. California Housing CHFA sells tax-exempt bonds to provide below- Homebuyer Assistance Finance Agency Home market loans to first time homebuyers. Program is Mortgage Purchase operated through participating lenders that originate Program loans purchased by CHFA Low Income Housing Tax credits available to individuals and corporations Rehabilitation Tax Credit (LIHTC) that invest in low-income rental housing. Tax New Construction credits are sold to corporations and people with Acquisition high tax liability, of which the proceeds are utilized for housing development Federal Resource =Entitlement Community Entitlement program that is awarded to the City on • Section 108 Loan Repayments Development Block a formula basis_ The objectives are to fund housing • Historic Preservation Grant (CDBG) activities and expand economic opportunities_ • Admin. b Planning Project must meet one of three national objectives: . Code Enforcement benefit low- and moderate -income persons; aid in • Public Facilities Improvements the prevention or elimination of slums or blight; or . Housing Activities meet other uroenl needs. _ The Planning Center July 2002 Page 85 FINAL VI. Goals, Policies and Programs TABLE 48 RESOURCES AVAILABLE FOR HOUSING ACTIVITIES CITY OF LAKE ELSINORE Program , Description Eligible Activities HOME Investment Grant program for housing_ The intent of this • Mufti -Family Acquisition/Rehab Partnership (HOME) program is to expand the supply of decent, safe, . Single -Family Program and sanitary affordable housing. HOME is designed • CHDO Assistance Rental assistance program which provides a as a partnership program between the federal, • Administration subsidy to very low-income families, individuals, state, and local govemments, non-profit and for- housing and case management for homeless seniors and the disabled. Participants pay 30% of profit housing entities to finance, build/rehabilitate individuals with disabilities and their families their adjusted income toward rent. and manage housing for lower-income owners and Section 202 Grants to non-profit developers of supportive renters Emergency Shelter Annual grant funds are allocated on a formula • Homelessness Prevention Grants (ESG) basis. Funds are intended to assist with the • Essential Services provision of shelter and social services for • Operating Expenses homeless Housing Opportunities Funds are allocated to Riverside County and made • Rental Assistance for Persons with AIDS available countywide for supportive social services, • Supportive Social Services (HOPWA) affordable housing development, and rental • Administration assistance to persons with HIV'AIDS. Mortgage Credit Under the MCC Program, first-time homebuyers • Home Buyer Assistance Certificate Program receive a tax credit of up to 15% of the mortgage interest paid for the year based on a percentage of the interest paid on their mortgage. This credit typically amounts to $80 TO $125 monthly. This program may be used alone or in conjunction with a Down Payment Assistance Loan. Low-income Housing Program encourages the investment of private • New Construction Credit (LIHTC) capital for the creation of affordable rental housing • Housing Rehabilitation for low-income households_ Tax credits are . Acquisition available to individuals and corporations who invest in such projects. Federal Resources _Com etitive Supportive Housing Grants to improve quality of existing shelters and • Housing Rehabilitation Grant transitional housing. Increase shelters and homes, independent living facilities and transitional housing facilities for the homeless Section 8 Rental Rental assistance program which provides a • Rental Assistance Assistance subsidy to very low-income families, individuals, housing and case management for homeless seniors and the disabled. Participants pay 30% of individuals with disabilities and their families their adjusted income toward rent. Section 202 Grants to non-profit developers of supportive • Acquisition housing for the elderly . Rehabilitation • New Construction • Rental Assistance • Support Services Section 811 Grants to non-profit developers of supportive Acquisition housing for person with disabilities, including group Rehabilitation homes, independent living facilities and New Construction intermediate care facilities Rental Assistance Shelter Care Plus Provides grants for rental assistance for permanent • Rental Assistance housing and case management for homeless . Homeless Prevention individuals with disabilities and their families Page 86 FINAL Housing Element Update for the City of Lake Elsinore July 2002 City of Lake Elsinore HOUSING ELEMENT UPDATE TABLE 48 RESOURCES AVAILABLE FOR HOUSING ACTIVITIES CITY OF LAKE ELSINORE Program Description I Eligible Activities Home Ownership for HOPE program provides grants to low income Homeownership Assistance People Everywhere people to achieve homeownership. The three (HOPE) programs are: HOPE I—Public Housing Homeownership Program HOPE II—Homeownership of Multi -family Units Program HOPE III—Homeownership for Single-family Homes Section 108 Loan Private Resources Provides loan guarantee to CDBG entitlement • Acquisition jurisdictions for pursuing large capital improvement • Rehabilitation or other projects. The jurisdiction must pledge its ■ Home Buyer Assistance future CDBG allocations for loan repayment. • Homeless Assistance Maximum loan amount can be up to five times the entitlement jurisdiction's most recent approved annual allocation. Maximum loan term is 20 twenty • Community Home Buyer Program – Fixed rate • Community Home Improvement Mortgage Federal National Program – Mortgages for purchase and Mortgage Association rehabilitation of a home (Fannie Mae) • Fannie Neighbor– Under served low-income minorities are eligible for low down -payment mortgages for the purchase of single-family homes California Community Reinvestment Corporation (CCRC) Federal Home Loan Bank Affordable Non-profit mortgage banking consortium that pools resources to reduce lender risk in financing affordable housing. Provides long term debt financinq for affordable multi -family rental housing Direct subsidies to non-profit and for-profit developers, and public agencies for affordable low- income ownership and rental projects • Homebuyer Assistance • Homebuyer AssistancelRehab j • Expand Home Ownership for Minorities • New Construction • Rehabilitation • Acquisition • New Construction • Expand Home Ownership for Lower Income Persons Savings Association Statewide loan pool that provides thirty-year Construction Mortgage Company permanent loans for affordable housing projects, Redevelopment (SAMCO) serving persons earning up to 120% of the median income. Source: The Planninq Center: 2000 C. HOUSING PLAN SUMMARY An important component of the Housing Element is the City's quantification of what it will accomplish during the current planning period. This is accomplished with a statement of the community's goals, quantified objectives, and policies relative to the maintenance, preservation, improvement, and development of housing. This analysis must include a program which sets forth a five-year 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, including: • Improvement and conservation of housing, including affordable housing stock. Sec.65583(b)& Sec.65583(c)(4); The Planning Center Page 87 July 2002 FINAL VI. Goals, Policies and Programs -r--.duction of housing as set forth in the goal and objectives Sec.65583(b); --gist in the development of housing to meet the needs of low- and moderate -income J_iseholds. Sec.65583(c)(2); -mess, and where possible, remove governmental constraints Sec.65583(c)(3); E !::quate sites for housing Sec.65583(c)(1); equate provision of housing for existing and projected needs, including regional share, for all gnomic segments of the community Sec.65583(c); - motion of equal housing opportunities for all persons. Sec.65583(c)(6); -serve assisted housing at risk of converting to non -low income uses.Sec.65583(c)(6). Tab :; -' : z_:rnmarizes the Housing Action Plan for the planning period. Page 88 FINAL Housing Element Update for the City of Lake Elsinore July 2002 U G G ^ U d c' LU io Q QC G �ry C � CO a � co J t} W Z 0-0 Y Q a J ~ZLL Oa � O H = U O c ca CL r7 O Sa C) 0 a) N > a) C -0 m Q) a) 7c9 N d O d CO c0 a) a N N C ) C p O a) a) "O a S' > C C" U C) CD a c7 O ¢ �' _E N O • • • • • U C CD cm C Q C Mna) n O Q) (D C > C N C � a7 N d Of m 0 U) U C C C C C C 7 � LL U- U- a) LL- LL a) (a - i� En c� n W N a7 L C O C N a _In c d f0 O p O y C U C C > C a) a., a '� C a) a) Q) O N Cl d �� o o a' o �= m m o- >, C2 o a rn >. -- m C7 c m m e a, a E o ca a U E 3 u "v _� 3 v d a) p .c a) o h a a) c c m a) 3 > o E m m y > m p m 3 v N > `o c v E3o= m ot�3� 3 m� d c'N c� E-yQ o-- E o a 3- U o r -api o o _�_ > 30 `o c m o o c o �'a a� - U 3 �. a) O -2a- 1] O W H a) y N C.-) y O N > C C N O N d C m C >• O) T V y d U a) d Q1 L y (-,) > Q) [` D OC }. C L 3 _N t7 3 a) _'" O) N a) -- C Ql N > Z c O 0 -C cu L - o 3 .N (J a) w v E m f .T -,n ¢ 3 -w o a) in v> d -E > U a) d 0 N a] O C Co C >O a a) .N > C O D C m U O a) �. � a Li 3 m F w m a ca t U m y `o i° a _E H m v coo .E m U m (v C 'E - 0 20:::O tq C N N d O) d c a c m O o a) a C � c E w v aci c E m o a) m p '. a Evoa,-0 c U - a) CD -0 m m Ifv as -_ a) cn �0 0-0 m o EU N C w � >. a) E C,a C > a) a7 a) > J Q N U to MM W �O co J W LU J Q w CL m'J Q J C� LL zo � F- = U c ON Q6) 'T L � 3 E d)`oE d C) N O C w a) ' > N 3 C 4) O O C N CL y m E y 0 >O N c � C T U c Q CD rn c ¢_ g c U) Z Z E c D 0 0- 0) rn -2 CD > yC C m m v a) a a � o) :o = u7 L C �L U U CN L a) C -0 u7 O m U-7 p y C o LL E C C5 W2 � a) °) N• h_> a CD_ m t U y d U o 2 m m= Ca (n_ - c O m m 3 v -� °) T a) o c '3 v _C' n m a 3 _� � °' v a o C_ n o `o E c m o vyi m a) � `-' o c ``' N E -p coi _ m aci c o c C E E p E E'0 m c -_ E m �n °) rNi a) E a`� m L o d o o m Q a N m m m n= 0 in O a) m CL MO o m p m U w -y m o a) U U o a m m C C O d �/ O U p C o m E L p o a) cm � L E y m rn= N [C N X a) `o '� U o a) m m (D a' In V Q v' c a) _o to m>= �' o c L a) a) C E2 'O _c C U-0 a) � c c m O m O T C m m a) to m E 0-0-0 a) m a) C a) C C 4) M U N E E E a) > m a) E a) m fn O p N N O N-6 c a) u N `O p N VJ y E n O N to Y y N u1 O U _N a) O O) U -� U U "U �= m O a) C >>- N fV �) C 7 Q> 2 7 m a) 3 O) O O a) a) O L O U Q) :U '... N •N o a) 'V L... `U E 7 L C m O_ U> T O C U N O V d C O 27 �o p m D m c.) L 'o O_ L E 0'0.0 w w m n 3 Q p m Q a m .E m a N —O U Z5 E o T L a) U o "w m u > v 3 a m `o c o -6 o 0 y y o n a v m t f° O y c air >> o a� � °) °) N 3 N L m N C 7 C 0-22, m c o o E co n_ O T N C U m O. U c E 9 C 3 m d `m >m m m E m a) 3 N x O E d a) D y 0-0 O d O p d- m nL ¢ E L t c m n 6 m a) 4 (D E cm cf) _ u m o Vj C `p N m -o T Q - m -U, m SEE ED 0 W H � c ON Q6) 'T O Q Q �V CL W � Z O W rW rr•� r O ry� LL N C Cr '4.co w mJY Q ? LL =U � E V T U cn O ry co U C C m °f E Q m d CL N Q N U O N yY -C > c 0 o z 0 o rn H U fa V C C N � O_ C m CL in a N N C � d O Lo N 7 O m .0 vi map �_ cc N J O O C •� O C U a CL C ami Uatp Uaw r 01 O O O O O U) C �= C N O `O m N N L N V o v E �° E L C L m N 3 0. C p m c O p` n C 5i o a o> m o y y c N O- O N-0 m O 0. > -0 C O N `0 3 -c c f0 C N m c CD > N `vi U m'� 0 °>' r o Q a c w N c 2i a E 0--o > ami a� v N vi N 0 0 3 `o a w m c y J¢ _> 2 t amici v c E>>> E o Gi C C m O 0 o CO N d C. N C m C m d >. N O N Vl N c�' 'n E n v c o a� c 3 -- m °� o= N E cl 'Q O a� O O) C C N Qf - L >� �... d d C- O C p C V i m= O m N C C N 3 O N > a> 3 N E m a� N 7 -C _ m U 0. a� > c O L d O C> .D ICO O OO C O N X p f0 CO •V ` C m > f0 mO O LL a.2� 2w'5 --o cl Q EoLa U.MU W m wv CL T :2_0 -,5.0C = y a C) m m y -3 m co o 0 C i N C Ip w > m15 o 0 '06-0 m d C'. C C O y Cu - - d I a p 3 E> I 14 r .p I C C C a W U a vQ7i m e I I I Q w j CLN 1 V � 1 fi � aci O CO y � 1 O v = o M m c ! 0. tl W 0 0 (' CO 0 U Q W O CD CD C 0 C:) N a9 m 0 �c 0 � O] O c m mm � T N O] In 0- 12 12 m d C j N O EO a� E N o O D-9 E L L -p r 61 "C 3 N = m Y N p CL 3:.� o E 59 U I = m c O C U m } 3 m vi �L v LU a LL Q Cc 7 C lL O O N Dm �a a0 Co SCOW �o wZW J Q v au J ._ _ O =• 7 -6 ami o Q > 7 3= o-2 o J U a`� ui E wo a— O � C cL m p --a>� Moto O it Q 0 0) m N N L VI y 0 C O Lo d d d N Q1 h h 6 76L U ID O h o_ 2 0> o c U o ~ E cn O v> > E to U O c o 'E vi 7 = U v Q a= OL 'F oa `o co vi= o_ cO 3 3 E O hca cn N U co N O_L C T.` O y C d E 7 N w ro U CL S m c a co.� E m s ooi � 2 t o 'a NO N N C O O O0d U O O C '� O^ (9 �— o c E 0 o N C U O (n T - n f9 T O C d N T L =:2 C C fn !je :2C O = C O C C Z O N L O d 70 O_ U m 0,7 C O O O L U _ w yr E o v C`o m c D CD Z5 O C 0 7 y O 0 �Q aE 0Q` > E TUL��a � O E' o c O_ C (D 7 m C - O W w o a7 U N y O) C y O C Q1 N mO C O_ C A O ,N 7 X E E y U H - C E y O N ��:y d n `� CM E0 C C N N [O O1"- C OQ c c °' 3 a N .0 'y D WE 7� O N i v N (D > m L o Eo a c:,m U `o E c o E I m w N E 3 o C:- d d N m T ~ OI C N CD C T C C d m -0 O Q N cm ca "N O N U C = Q m 2- E E v > o_ 0 O ` .o H > :E-: Q 2 Q W = m c O C U m } 3 m vi �L v LU a LL Q Cc 7 C lL O O N Dm �a a0 Co SCOW �o wZW J Q v au J ._ _ O =• 7 -6 ami o Q > 7 3= o-2 o J U a`� ui E wo a— O � C cL m p --a>� Moto O it Q 0 0) m N N L VI y 0 C O Lo d d d N Q1 h h 6 76L U ID O h o_ 2 0> o c U o ~ E cn O v> > E to U O c o 'E vi 7 = U v Q a= OL 'F oa `o co vi= o_ cO 3 3 E O hca cn N U co N O_L C T.` O y C d E 7 N w ro U CL S m c a co.� E m s ooi � 2 t o 'a NO N N C O O O0d U O O C '� O^ (9 �— o c E 0 o N C U O (n T - n f9 T O C d N T L =:2 C C fn !je :2C O = C O C C Z O N L O d 70 O_ U m 0,7 C O O O L U _ w yr E o v C`o m c D CD Z5 O C 0 7 y O 0 �Q aE 0Q` > E TUL��a � O E' o c O_ C (D 7 m _ C in � w o a7 U N y O) C y O C Q1 N mO C � O O A O ,N 7 X E E y U H - C E �, ��:y d n `� CM E0 C C N N [O O1"- O � a v .o x c c °' 3 a N .0 'y D WE 7� O N 7d 3 Er Eo N (D > m L o Eo a c:,m U `o E c o `c v d c E w m v >oa E 0 `o > m 7 O O O Q o a > m E T c c c 7 7 o am 0 o U m W U 2 Q 0 z Q _G G +- �'iw � Q�•=o �O rnj- a "Y 11J WZW mJY o Q d- J O F— U LL = y Z 0 _ CO" o � � m U) y p 2U mQ •Q1 � G N m CL C O y - C m O N C m O C mO O 4) `o > a n OCA c-0 U) o c 2 W Z m () a) c 7E 01 CD C > m C M > O a) a 'o c p 3 amici Q) = C n O C 0 c O O V ti O y M a) cQ1 m N= Q U o a) c a) n y p u� m -� m p o a) m o m c ax) 0 m co O O O n y Q) c U Q .� cmi 3o CD B O O a) 2 E a) c co 2 C .jO= On Q) .0 Cl)yy y a1 =O N y n _ > o 'U 0 C O CL r o m =O CUD) rn O O= C O U m U m U L 2 r m L a a) E n U C Of N Q N CD C c O E v C Ca CL api E c � LL v� m �2oa)CD C N C Q) O O `p y � C _C N y m N C CD O L y O) U m .� Q) a) -CL O 0 T N m U -C "O = o V a) y a a) a a) > o — o c M a 3 CSC/5 C m 2 y m m C VV r= o E o 0 0 m --- ca. v=i U y C C U N O Q) C ,O c m m 4? a) d O) y O p V O O L:aN U c v m y= m c x o _' n c n ao o u y c m o av rr E W w m N U m m m m m CD B x F- a) y o = 2 a) Lm E U o c ca.— CL = p U) J f a 3 E r y a0.2 G 61 I O N L) m n N � � y y m i d C E L .O -O cr vrOi m v) � o a w�v air C O y - C m O N C m O C mO O 4) `o > a n OCA c-0 U) o c 2 W Z m () a) c 7E 01 CD C > m C M > O a) a 'o c p 3 amici Q) = C n O C 0 c O O V ti O y M a) cQ1 m N= Q U o a) c a) n y p u� m -� m p o a) m o m c ax) 0 m co O O O n y Q) c U Q .� cmi 3o CD B O O a) 2 E a) c co 2 C .jO= On Q) .0 Cl)yy y a1 =O N y n _ > o 'U 0 C O CL r o m =O CUD) rn O O= C O U m U m U L 2 r m L a a) E n U C Of N Q N CD C c O E v C Ca CL api E c � LL v� m �2oa)CD C N C Q) O O `p y � C _C N y m N C CD O L y O) U m .� Q) a) -CL O 0 T N m U -C "O = o V a) y a a) a a) > o — o c M a 3 CSC/5 C m 2 y m m C VV r= o E o 0 0 m --- ca. v=i U y C C U N O Q) C ,O c m m 4? a) d O) y O p V O O L:aN U c v m y= m c x o _' n c n ao o u y c m o av rr E W w m N U m m m m m CD B x F- a) y o = 2 a) Lm E U o c ca.— CL = p U) J O 0) C 1 ddkY � 'YJ CD a. C O -y 2 =N o- a 2 � m m O Y U m C 3 0 0 J Z i S m d v c 3 E a0.2 61 O N L) m n N T d .y.. C a) 7 a) d C E L tm Cn - C ` 0 3 w�v air a) m W -0 = m N n C O y L o co U) Cl. a mow° :2 `'ate) °E y E > — -0 mac PD o Q L n d` O 0) C 1 ddkY � 'YJ CD a. C O -y 2 =N o- a 2 � m m O Y U m C 3 0 0 J Z i S ING N}N LL C J �* w uj m J Y C Q U' zo Z H G N c c I ^) cc U > 1 N U 0 11 `V d a) U) O p C Of F� a) C N OC C a) O a) CO > a) O a)O O — N CCD C Q U � C I i ! Q a) CD C Q m n Q T V CL �W E O E U CL o y 0 j a) O > T > w O a) > > 7 O U O) W G to 'O jI 1 zz G � N CD R = C 0 IL y 11 � H E Z cu co w 8 a m o L L O y QI o U � d p o m 6 a) o O 0) U C-- E y O o s oC a G m=, -o o m aa) c y m 'on CL.!:; c 0 a a p o� E c 2a) 0 m 0 CD N N to a) o �c o c y o N c) -3 a) - o -_ m m E m > > U-0 o d y In a>i E U C `y __ y a) C O :J a) -0 O [` L _m C, L)i N N In v Q O Q) a L y 3 C d C> O X L C `l 0 c —a0) -ca E C cm m .x o 0 0 0 0 m C a) 0 . o w 2 .— o > N Y y .0 f0 .y d d N IZ E E [O rn W W C m d C U N (CO p C O� C N a U v c Q a) o c 2-6 c ?) a) 3 0 o o) p z o> U .S 3- ° 3 'D n o m n co o U m 'in m o d o S-0 L CL C N o I `o y a C C O O J w N 'p L O E c a 0 I L m U y I A i o a o J c > O N (D ( 1 _0 m N Q � n Ei0 . I i I I (U A CD °) I rL m L co = v a I U 7 c d E j Ia a) 2 .0 o E C d W L I H G N c c I ^) cc U > 1 N U 0 11 `V C3, (D O O C a) O a) CO T m N I i ! Q T V E O E U CL o a)= sz I � > w O Q = W to jI 1 zz N CD m Q) 0 N U Qo Z U) L L O y QI o -Vio E y O 7 --J N c9 CD N N to � Y 2 W a U v c Q z r o' C J 'p L 7 a) a) ca O Y � O Y f9 3 v Mn E 4 m m 10 (D �r0 K U v it > a -E _ N L x v � Z Q a Z9 L G Q O a) m�5 'j- n a m ti N ,a. a1 m 4w H } LL Cr Q c) � �t lL CQ Imo— fl- 0 Z = U T � N > p ui -o 0,N C) a! O to N a) N T ` - E o = NC � -C C i E "C y QI c Ol c I - d CD Ej p oD o) O O v � U Q m Q c CD E c 0 c N E= y E u >_ a >_ ca tm O C U) > W c c CD O c Q v v c N0 O 0 O 7 O 0.' 2 a W U m a 2 cm O E is 2 0 +► 0 LL T C > ca U- o Q E Y m CL Eo c rn U m C7 5 c 17 ES5� m O O U O pO U m o_ a� �n c c O a) �_ C m O — H _1 •y L 5 `p O -y Of w y m C Cf c6 01 N O CD C Cp y O) O m O E Ec -�—> C p U o- a'a- p 0 c ott-0 Er z a d CD 'y 2 T v a)c :2co OC N C O N p Y a� p O f0 Q) E 0 C U c v p p 1] Vl U N O 0I ul to U 0 -� E U C CD N O p 0 -� 0 a7 Z3 t/1 Vl •� O L Q) O O-5 p ca a1 0 t > 3 w o'3 w d> E 9 L� L p u, c U d: a W O_ aa)i CD CD E E2 2 b rn p c cv CL p U) 0. E y o_ 'y a0i m in. v � :3 `oc p O W � � p al m o 2 N U 1 V Cp � C Q. rV rn M m t d A C tri Q H av L-7 J H Z W 7 a O 4 U7 O f-- �zl � LU `v rN N rn ❑ c � o EU m' =o o IS N m m c OC1 T C U fa � h m4) o v o E _> CD J m rn N N p Q w C:,O_E C,!D c c C " CD c E 0 N 0 D 0 m y o ' p QI > p O) C > N p p c C C C m a m to m J a m C 7 LL -Fu G 7 U- Lm is iv C 7 iv iv c� C c0 CD C cCD C C 3 0 m e m -D (D -G o� m 0 �•� O[n o m m y N N o .m m -cu E o o E a p �""• o ' E� S o y > cl c >, vi U cl _ m to L a) Q) h C o C y > n N (O CrJ m _ d N U m O O` u. a o �' o f "c O_ m 0 a`ni o `a E o, a y I> 7 aoi aUi t E" 'w m d U Q) U n 7 O iv o -� G o fO 3 m � n c o m .O `' y m cNa 3 m m r m m m a.� rn.7 v a m ca u7i o m m N > a) m m y? E d v -- m. �° 2 y m s m 3 o E ,w ayi a) ` L E 0 0 w g E m U o 0 7 `m a) 2-0 o > X a3i c E f° n o E o O N X V a�'i 3 E o o m N )n o w "c5 v > L= m a) O C L J C L a) O m `o > m a) > U U — a) m N V O— G vJ 0 > � `m H v -E coi Err E t d c m > m E :> 3 S E S m .7 a¢ rnMw -= Q C X -E 7 Z C C N •� o tL z m w= 0 uNi-E ,� "G C O D1 h D) L S] f0 m O m N L N U .= V GOI C 3 N O` m= J to V) N m ?� J C C D- N U -C "C 7 m V7 Jy C a) h 0 0 0 C m 0 G U U m 0 0 a) 'D cm u) O) y 0 m G-0 C G L� U L 0 U a) N O o `O E 0 O U to v) m 70 d L n lj m n E O V> Lo m 0 "� a) C L O L m m >. m— _ O - a) a y m Ia U _D U O "O _O O t C n C m m m t N` O o a) L n 0� o -E va)i a` LL- n o. 2) Q 0 c a m m n 0 a`u) a) LL c cn a) m c a - a) 0 U =m m m _❑ m O N a) N m m Q T O O m C p `v rN N CC CC W U) C) J LU LU W CO J Q a J CO zo = U Z n E (NO T � i Y � O LL a O L ~ CD CL C'i = N O d Q C/J N N V C 01 ` Q LL- T _ C C U 0 C U O 0 rn 0 p m U m CL to tT 03 C y c c m T o E 2 d U C 'O G •- �L Cp.� i � O •C h p m a U N dN N C N O C C N C N O 0 n CD 0 y _ o v o N a' c 3 L `O 'w o -20:m o m m vi .� o m U N c o 1.3"6m.SL a m fO � mom0 o a� -00 C N U E :S `=o m E md 0m0 u'NN mn ami Oc mE� N 'C O 0 d oC 0NE `p .`UU •=aO�[O� >CN mm O O L) 0 -O m E N C O>-0- 'N 9 E Qth/) .vE M.> l ` O -`_ E- m r o 6E am m 8 m E to_Ecw`ma- •mm� 1EEo`oTNc a E m O_ = (ic T J TOy d O)TdL OC C� `1] OCN m C E V N aO hn c m'm o o= c �'o_0 ami a>i c0 'o = E.,mn �v =oto-�.`v to cnLLU U 3 m o 3`0 �v E U cUQLL'v at mUU MC o m CL . . . . . to C C C (O d O m O tU m N 79 _-D [O ZLL >E O N o ui - n E U U CL C N -S -2 i m'v mo U N 0 (D C CL (O m N m E c co .� ca s a.} E aiEm EO H O O ` > c Z U 2 v a H O -� a a � ro Otn o z a a 0 � 0 M C J � acr w w Z n E