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Housing Element - Previous Versions2000 Housing Element Update City of Rolling Hills June 29, 2001 CITY OF ROLLING HILLS HOUSING ELEMENT UPDATE June 29, 2001 Prepared for: City of Rolling Hills No. 2 Portuguese Bend Road Rolling Hills, CA 90274 contact: Yolanta Schwartz (310) 377-1521 Prepared by: Comprehensive Planning Services P.O. Box 15592 Newport Beach, California 92659 contact: Joann Lombardo (949) 650-3206 ROLLING HILLS HOUSING ELEMENT UPDATE TABLE OF CONTENTS Section Page I. INTRODUCTION 1 A. Community Overview 1 B. Purpose of the Element 3 C. Legislative Requirements 3 D. Scope and Content 4 E. Relationship to other General Plan Elements 4 F. Relationship to Private Land Use Restrictions 4 G. Public Participation 5 H. Sources of Information 5 II. HOUSING NEEDS ASSESSMENT 5 A. Population Characteristics 7 B. Household Characteristics 10 C. Housing Characteristics 17 D. Assisted Units at Risk of Conversion 23 III. CONSTRAINTS ON HOUSING PRODUCTION 23 A. Market Constraints 23 B. Governmental Constraints 25 C. Contractual Constraints 29 D. Infrastructure Constraints 29 E. Geologic Constraints 30 F. Environmental Constraints 32 IV. HOUSING ASSESSMENT SUMMARY 32 A. Local Housing Assessment 32 B. Regional Housing Assessment 32 V. HOUSING OPPORTUNITIES 33 A. Availability of Sites for Housing 33 B. Residential Development Potential Compared to RHNA 36 C. Opportunities for Energy Conservation 37 D. Financial Resources 39 VI. HOUSING PLAN 42 A. Review of Housing Element Performance To -date 42 City of Rolling Hills Housing Element June 29, 2001 B. Goals and Policies 46 C. Implementing Programs 47 APPENDICES A. Letter from State Department of Housing and Community Development (HCD), dated March 26, 2001; and City of Rolling Hills Response to HCD letter B. City of Rolling Hills Zoning Provisions for Development C. City of Rolling Hills Second Unit Ordinance D. Zoning Section of the Rolling Hills Community Association Covenants, Conditions, and Restrictions (CC&Rs) E. Letter to SCAG Growth Visioning Committee, Challenging the RHNA allocation Figure Page 1. Vicinity Map 1 2. Seismic Hazards 31 3. Vacant Lands Available for Residential Development 35 Table Page 1 City of Rolling Hills Population Growth 7 2 Age Characteristics 9 3 Ethnic Composition 10 4 Household Type 11 5 Household Size 12 6 Number and Percent of Households by Income Range 13 7 Median Household Income 14 8 Housing Trends 18 9 Residential Recycling 19 10 Age of Housing Stock 21 11 Affordable Housing Prices & Rents by Income Group 23 12 Summary of Residential Development Standards 26 13 Summary of Residential Development Fees 28 14 RHNA New Housing Construction Needs 33 15 Residential Development Potential 34 16 Federal and State Housing Programs 39 17 Progress toward Implementing 1991 Housing Element Programs 43 City of Rolling Hills Housing Element June 29, 2001 ROLLING HILLS HOUSING ELEMENT UPDATE I. INTRODUCTION A. Community Overview The City of Rolling Hills is a rural residential community, consisting entirely of large lot residential parcels of one acre or more. Physically, the community encompasses 2.98 square miles of land on the Palos Verdes Peninsula in the County of Los Angeles. (Refer to Figure 1, Vicinity Map.) The land use pattern was established with the original subdivision and sale of parcels that began in 1936. The community is comprised of single -story California ranch style homes with three -rail fences and equestrian facilities in a wooded setting, developed around the hilly terrain and deep canyons of the City. Figure 1. Vicinity Map City of Rolling Hills Housing Element June 29, 2001 From its inception in 1936, the emphasis in Rolling Hills has been to create and maintain a residential community that would respect its unique land form constraints. The City s minimum lot size requirements were established in recognition of these constraints, which include: • Steeply sloping hillsides • Landslide hazards • Lack of urban infrastructure, specifically sewer • Danger of wildland fires • Sensitive animal habitats and species • Restrictions of enforceable covenants, conditions, and restrictions of the Rolling Hills Community Association (RHCA), which existed prior to the City s incorporation. Expansive soils and geologic hazard conditions continue to place constraints on development within the City. The City has experienced recent major landslides due to soil saturation and instability, further limiting the developable area within its boundaries. In 1973, ten homes were destroyed by fire in or near the Flying Triangle Active Landslide Area in the southern portion of the City; nine of the homes were rebuilt. In the 1980 s, a major geologic slippage occurred in the same Flying Triangle Landslide Area. Five homes in this area suffered irreparable damage, creating a 130.9 -acre geologically unstable area in the City. Total irreparable loss to date from this active landslide area is six homes. The City is within a wildland fire hazard area. Fire fighting capabilities are limited by the City s low water pressure caused by both its varied topography and aging infrastructure. Only a few homes on the western periphery of the City are served by a sewer system. Consequently, any new development must utilize septic tanks and leach fields for disposal of sanitary waste. Past experience suggests substantial care and restraint must be exercised in the expansion of any existing systems or the addition of new systems to avoid possible ground instability due to • saturation of' the upper soil layers. This situation, in conjunction with recent active landslide activity, continues to constrain development densities in the City. Environmental constraints that limit development in Rolling Hills include sensitive animal habitats and species either listed or considered for listing by the U.S. Department of Fish and Wildlife and/or the California Department of Fish and Game. These species include the Palos Verdes Blue butterfly, the California Gnatcatcher, the Pacific Pocket Mouse, the San Diego Horned Lizard, and Brackishwater snail. The community is also underlain with blue -line streams that are under the jurisdiction of the Army Corps of Engineers. Rolling Hills has been largely built -out for the past thirty years. All of the developable property in the City is subject to RHCA, a non-profit California Corporation, enforceable covenants, conditions, and restrictions (CC&Rs) that run with the property in perpetuity. These CC&Rs were in place prior to the City s incorporation, and continue to restrict development based on the community s unique constraints. Within the context of these overwhelming constraints, the City has actively pursued avenues to support residential development and facilitate affordable housing opportunities. Specifically, the City has adopted amendments to its Zoning Ordinance to allow for manufactured housing units City of Rolling Hills Housing Element 2 June 29, 2001 and has reached out to adjacent communities to address its regional affordable housing needs. The City has conducted these efforts in compliance with State Housing Element Law as summarized below. B. Purpose of the Element The provision of adequate housing for families and individuals of all economic levels is an important issue. It has been a main focus for State and Local governments. The issue has grown in complexity due to rising land and construction costs, as well as increasing competition for physical and financial resources in both the public and the private sectors. In response to this concern, the California Legislature amended the Government Code in 1980. The amendment requires that each local community include in its Housing Element a specific analysis of its housing needs and a realistic set of programs designed to meet those needs. This analysis is to be set forth in a Housing Element and incorporated in the General Plan of each municipality. The requirements of the law are prefaced by several statements of State policy set forth in Section 65580 of the Government Code: ... The availability of housing is of vital statewide importance, and the early attainment of decent housing and a suitable living environment for every California family is a priority of the highest order. ... Local and State governments have a responsibility to use the powers vested in them to facilitate the improvement and development of housing to make adequate provision for the housing needs of all economic segments of the community. ... The legislature recognizes that in carrying out this responsibility, each local government also has the responsibility to consider economic, environmental, and fiscal factors and community goals set forth in the general plan and to cooperate with other local governments and the State in addressing regional housing needs. C. Legislative Requirements State law requires each municipality to accomplish the following tasks: ■ To identify and analyze the current and projected housing needs of all economic segments of the community. • To evaluate the current and potential constraints to meeting those needs, including identifying the constraints that are due to the marketplace and those imposed by the government. • To inventory and assess the availability of land suitable for residential use. City of Rolling Hills Housing Element 3 June 29, 2001 • To set forth a series of goals, objectives, policies and programs aimed at responding to the housing needs, the market and governmental constraints, and the housing opportunities. This Housing Element Update has been prepared in accordance with applicable State law. It has also been prepared consistent with the City of Rolling Hills General Plan and the community s vision of its housing needs and objectives. D. Scope and Content The Housing Element consists of five major components: • An analysis of the City s demographic and housing characteristics and trends • A summary of the existing and projected housing needs of the City s households • A review of potential market, governmental, and environmental constraints to meeting the City s identified housing needs • An evaluation of resources available to address Rolling Hills housing goals • A statement of the Housing Plan to address the City s identified housing needs, including housing goals, policies and programs. E. Relationship to Other General Plan Elements The Government Code requires internal consistency among the various elements of a General Plan. Section 65300.5 of the Government Code states that the General Plan and the parts and elements thereof shall comprise an integrated and an intemally consistent and compatible statement of policies. The Rolling Hills General Plan contains the following six elements: 1) Land Use; 2) Housing; 3) Circulation; 4) Open Space and Conservation; 5) Safety; and 6) Noise. The City General Plan is internally consistent. Policy direction introduced in one element is reflected in other plan elements. For example, residential development capacities established in the Land Use Element and constraints to development identified in the Safety Element and Open Space and Conservation Element are incorporated into the Housing Element. This Housing Element builds upon the other General Plan elements and is entirely consistent with the policies and proposals set forth by the Plan. F. Relationship to Private Land Use Restrictions CC&Rs (covenants, conditions and restrictions) represent private contractual obligations between homeowners and are usually established at the time a subdivision or community is built. Development in Rolling Hills has been governed by CC&Rs since the community was laid out in the 1930 s. These CC&Rs severely limit development in the City, restricting residential density City of Rolling Hills Housing Element 4 June 29, 2001 to one residence per one -acre and two -acre lots. In particular, any construction, remodel, and grading for a building, fence or structure is required under the CC&Rs to adhere to traditional or California ranch and equestrian architectural styles and aesthetics. The uses and purposes of all perimeter easements around each property are required to be dedicated to the RHCA and maintained for the purposes of ingress, egress, construction and maintenance of all infrastructure constructed as roadways, bridle trials, sanitary and storm sewers, utility access and drainage. The City enforces the provisions of the zoning ordinance, and provisions of the CC&Rs are enforced by the RHCA. G. Public Participation Section 65583(c)(5) of the Government Code states that: "The local government shall make diligent effort to achieve public participation of all the economic segments of the community in the development of the housing element, and the program shall describe this effort." Public participation played an important role in the formulation of the goals, policies and programs promulgated by this Housing Element. Public participation included a public hearing before the Planning Commission conducted on December 19, 2000, and open to all members of the community. A public hearing before the City Council is scheduled for July 9, 2001. At that meeting, the Council will review the revised Housing Element Update that incorporates responses to comments made by the State Department of Housing and Community Development regarding the draft Housing Element (reference Appendix A). Notices of the public hearings are posted at City Hall and published in the Palos Verdes Peninsula News. Rolling Hills is a relatively small community and its residents are accustomed to the City s noticing procedures. The City s notices were made equally available to all residents of all income levels. In addition, notices were provided to the cities of Rancho Palos Verdes, Rolling Hills Estates and Lomita, the County of Los Angeles, the Palos Verdes Peninsula Unified School district, the Palos Verdes Peninsula Center Library District and the Los Angeles County Local Agency Formation Commission. H. Sources of Information A number of data sources were utilized to create the Rolling Hills Housing Element. These resources include: ■ City of Rolling Hills General Plan; June 25, 1990. • City of Rolling Hills Revised Final Environmental Impact Report, General Plan Update and Zoning Ordinance Revision; April 1990. • City of Rolling Hills Zoning Ordinance, Title 17; October 1995. • City of Rolling Hills Community Development Department building permit records; September 2000. City of Rolling Hills Housing Element 5 June 29, 2001 • Southern California Association of Governments (SCAG) Regional Housing Needs Assessment (RHNA); February 2000. ■ Department of Finance Population and Housing data, January 2000. • 1990 U.S. Census Report. Various other informational sources were also referenced where appropriate. References to these informational sources are cited where they appear within the text. II. HOUSING NEEDS ASSESSMENT A successful strategy for improving housing conditions must be preceded by an assessment of the housing needs of the community and region. This section of the Housing Element reviews the major components of housing need including trends in Rolling Hills' population, households, and the type of housing available. These changes reflect both local and regional conditions. Consequently, the regional context is also presented. The analysis that follows is broken down into four major subsections: • Section A, Population Characteristics, analyzes the City of Rolling Hills in terms of individual persons and attempts to identify any population trends that may affect future housing needs. ■ Section B, Household Characteristics, analyzes Rolling Hills in terms of households, or living groups, to see how past and expected household changes will affect housing needs. ■ Section C, Housing Stock, analyzes the housing units in Rolling Hills in terms of availability, affordability, and condition. ■ Section D,Assisted Housing At Risk of Conversion, analyzes housing units that are currently restricted to low income housing use and are "at -risk" to converting to market rate units. This assessment of Rolling Hills' housing needs will serve as the basis for identifying appropriate policies and programs in this Element. Census information referenced in this section is from 1980 and 1990 reports. The 2000 Census reports, when complete, will update much of the population and household information presented in this section through the year 1999. It is anticipated that the next Housing Element update (2005-2010) will contain data from the 2000 Census. City of Rolling Hills Housing Element 6 June 29, 2001 A. Population Characteristics Rolling Hills population characteristics are important factors affecting the type and extent of housing needs in the City. Population growth, age, race/ethnicity and employment characteristics are discussed in this section. 1. Population Growth Trends As of January 1, 2000, Rolling Hills had a resident population of 2,066, making it the sixth smallest city in Los Angeles County'. The City has been largely built -out for the past thirty years. As illustrated in Table 1, the City had a 1970 population of 2,050 and a 1980 population of 2,049. By 1990, according to the Census, the City population had dropped to 1,871. This decrease from 1980 to 1990 includes some population lost as a result of the damage from the Flying Triangle Landslide. The increase between 1990 and 2000 reflects the movement of younger families into the City of Rolling Hills. Limited growth in the City's population demonstrates the diminishing supply of parcels available for development. Opportunities for new residents to move into Rolling Hills have occurred primarily through redevelopment of the City's original housing stock and changes in ownership. TABLE 1 CITY OF ROLLING HILLS POPULATION: 1970,1980,1990 and 2000 Year Population Percent Change from Previous Decade 1970 (a) 2050 — 1980 (a) 2049 0% 1990 (b) 1871 -8.7% 2000 (c) 2066 10.4% ource: (a) City General Plan (b) 1990 Census (c) Department of Finance Population and Housing Estimates (January 1, 2000) State of California Department of Finance, City/County Population and Housing Estimates, January 01, 2000 City of Rolling Hills Housing Element 7 June 29, 2001 2. Age Composition The age structure of a population is an important factor in evaluating housing needs and projecting the direction of future housing development. For example, if a city is experiencing an outmigration of young adults (ages 25-34), there may be a shortage of first-time homebuyer opportunities, or if a City has a substantial elderly population, specialized senior citizen housing programs may be needed. As illustrated in Table 2, Rolling Hills is a maturing community. The median age in the City was 38.2 in 1980, as compared to 30.9 in Los Angeles County, and 29.9 in the state of California. In 1990, the median age in Rolling Hills rose to 45.5, as compared to 30.7 for the County and 31.5 for the State. This higher median age in Rolling Hills reflects the City's large middle -age and elderly population, and the fact that, according to the 1990 Census, the majority of the residents have lived in the City for over 20 years. The median age for the City, as well as the County and the State, is expected to continue to increase as the Baby Boom generation ages2. In terms of housing, the aging of the population may increase the number of senior -aged households, which typically require smaller, more affordable housing options and/or assistance with home maintenance. 2 The Baby Boom is a defined as the generation of people bom between 1946 and 1964, during the post World War 11 period when the there was a marked increase in the national birth rate. City of Rolling Hills Housing Element 8 June 29, 2001 TABLE 2 CITY OF ROLLING HILLS AGE CHARACTERISTICS OF POPULATION: 1980,1990 1980 (a) 1990 (b) Age #of % of #of % of Range Persons Population Persons Population 0-5 100 4.9% 107 5.7% 6-13 293 14.3% 194 10.4% 14-17 221 10.8% 106 5.7% 18-20 95 4.6% 72 3.8% 21-24 85 4.1% 75 4.0% 25-34 122 6.0% 139 7.4% 35-44 335 16.3% 223 11.9% 45-54 383 18.7% 357 19.1% 55-64 268 13.1% 312 16.7% 65+ 147 7.2% 286 15.3% TOTAL 2,049 100.0% 1871 100.0% FEMALE 1,044 50.9 952 50.9% MALE 1,005 49.1 919 49.1% Median Age 38.2 45.5 ource: (a) City General Plan (b) 1990 Census 3. Ethnicity The ethnic make-up of Rolling Hills residents is presented in Table 3. As this table reveals, the majority of the City's residents in 1980 and 1990 were White. The proportion of Whites decreased from 93% in 1980 to 87.3% in 1990, reflecting an increase in the proportion of other ethnic groups in Rolling Hills. The second largest ethnic group in the City is persons of Asian/Pacific Islander origin, representing 5% of the City's 1980 population, and 10% of the City s 1990 population. Blacks and American Indians comprised 1.6% of the City s 1980 population, and 1.5% of the City s 1990 population. Persons denoting Other as their race/ethnicity comprised 0.4% of the City s 1980 population, and 1.2% of the 1990 population. Persons of Hispanic origin declined slightly, from 4.5% in 1980 to 4.2% in 1990. City of Rolling Hills Housing Element 9 June 29, 2001 TABLE 3 CITY OF ROLLING HILLS RACE AND ETHNICITY: 1980,1990 1980 (a) 1990 (b) Race and Ethnicity #of Persons % of Population #of Persons % of Population White Black American Indian Asian/Pacific Islander Other 1,906 27 6 102 8 93.0% 1.3% .3% 5.0% .4% 1633 28 0 188 22 87.3% 1.5% 0.0% 1.0.0% 1.2% TOTAL 2,049 100.0% 1871 100.0% Hispanic Origin* 92 4.5% 79 4.2% ource: (a) City General Plan (b) 1990 Census * Note: Persons of Hispanic origin are separated by the Census from other ethnic groups, and may be already included in the total as White , Black , American Indian , Asian/Pacific islander or Other . 4. Employment The 1990 Census indicated that 889 residents were in the labor force. Of these, over 97% commuted outside the City to work, while less than 3%, approximately 25 persons conducted a portion of their businesses from home. The most recent employment data for the City is from the 1984 Industrial -Commercial Employment project, which reported a total of 230 jobs in the City. Most of the employees in the City were reported to be in the services industry, jobs primarily related to domestic, home maintenance and landscape services. The jobs/housing relationship in the City is overwhelmingly tilted towards housing, since most residents work in professional and business related activities located outside the City. There is no commercial or industrially zoned land in the City, which limits employment opportunities to home -based occupations. No significant change in the number of jobs in Rolling Hills is expected since no new source of employment is expected in the future. B. Household Characteristics Information on household characteristics is an important indicator of housing needs in a community. Income and affordability is best measured at the household level, as are the special City of Rolling Hills Housing Element 10 • June 29, 2001 housing needs of certain groups such as elderly, large families and female -headed households. As an example, if a community has a substantial number of elderly households, assistance with home repairs or senior assisted living arrangements may be needed. The Bureau of the Census defines a "household" as all persons who occupy a housing unit, which may include families singles, or other"; boarders are included as part of the primary household by the Census. Families are households related through marriage or blood, and a single household refers to individuals living alone. "Other" households reflect unrelated individuals living together (roommates). Persons living in retirement or convalescent homes, dormitories, or other group living situations are not considered households. According to the City General Plan, there were a total of 629 households in Rolling Hills in 1980. By 1990, the Census indicates the number of households had increased slightly to 636 households, representing a 1.1% increase. As illustrated in Table 4, families represent the City's predominant household type, comprising 90% of the City's 1980 households and 86% of the 1990 households. In contrast, Countywide, only 72% of households in 1980 and 67% of households in 1990 were family households. The family -orientation of Rolling Hills is expected to continue through the current planning period. TABLE 4 CITY OF ROLLING HILLS HOUSEHOLD TYPE: 1980 & 1990 Household Type 1980 (a) 1990 (b) No. of Households % of Total No. of Households % of Total Family Nonfamily 566 63 90% 10% 549 87 86% 14% Total 629 100% 636 100% Source: (a) City General Plan (b) 1990 Census City of Rolling Hills Housing Element • 1 1 June 29, 2001 . 1. Household Size Household size is an important indicator of population trends as well as overcrowding in individual housing units. A city's average household size will increase over time if there is a trend toward larger families. In communities where the population is aging, the average household size may actually decline. As shown in Table 5, average household size in Rolling Hills was 2.94 persons per occupied unit in 1990, increasing to 3.21 persons per occupied household in 2000. Compared to Los Angeles County (2.91 persons per household in 1990 and 3.14 in 2000), the average household size in Rolling Hills is slightly higher, reflecting the greater proportion of single-family homes and family households. TABLE 5 CITY OF ROLLING HILLS AND COUNTY OF LOS ANGELES HOUSEHOLD SIZE: 1990 & 2000 Jurisdiction Rolling Hills Los Angeles County 1990 (a) 2.94 2.91 2000 (b) 3.21 3.14 Source: (a) City General Plan (b) 2000 State Department of Finance 2. Overcrowding Overcrowding is another indicator of housing affordability. Unit overcrowding is caused by the combined effect of low earning and high housing costs in a community, and may reflect the inability of households to buy or rent housing which provides reasonable privacy for their residents.. The Census defines overcrowded households as units with greater than 1.01 persons per room, excluding bathrooms, hallways and porches. According to the 1990 Census, the incidence of overcrowding in Rolling Hills was minimal, with only 4 households (less than one percent of all City households) reporting more than one person per room. By comparison, over 19% of Los Angeles County households reported incidences of overcrowding. The 4 households defined as overcrowded in Rolling Hills are less a reflection of economic necessity and more likely reflective of preferences for large families and for choosing to have grandparents and other extended family members living in the same household. A low incidence of severe overcrowding is expected to continue through the current planning period. City of Rolling Hills Housing Element 12 June 29, 2001 3. Household Income An important factor, with respect to housing affordability is household income. While upper income households have more discretionary income to spend on housing, low and moderate - income households are more limited in the range of housing they can afford. Table 6 summarizes 1990 Census income data for the City, presenting the number and percent of households by income range. According to the 1990 Census, the majority of City households had 1989 incomes over $100,000 per year. TABLE 6 CITY OF ROLLING HILLS NUMBER AND PERCENT OF HOUSEHOLDS BY INCOME RANGE — 1990 Census Income Range Number of Households Percent of Total Households Less than $5,000 $5,000 to $9,999 $10,000 to $14,999 $15,000 to $24;999 $25,000 to $34,999 $35,000 to $49,999 $50,000 to $74,999 $75,000 to $99,999 $100,000 to $149,999 $150,000 or more 8 0 14 13 4 35 42 45 119 357 1% 0% 2% 2% 1% 5% 7% 7% 19% 56% TOTAL HOUSEHOLDS 637 100% Median income for Rolling Hills, according to the 1990 Census, was $150,001. Compared to neighboring cities, the County of Los Angeles and the state of California, Rolling Hills is a wealthy community. As shown in Table 7, 1989 median household incomes for nearby cities were: $79,797 for Rancho Palos Verdes, $101,320 for Palos Verdes Estates, $86,304 for Rolling Hills Estates, and $36,422 for Lomita. For the County of Los Angeles, the 1989 median income was $34,965, and for the state of California, the median income was $35,798. City of Rolling Hills Housing Element 13 June 29, 2001 TABLE 7 CITY OF ROLLING HILLS, SURROUNDING CITIES AND COUNTY MEDIAN HOUSEHOLD INCOME — 1990 Census Jurisdiction Median Income 1989 Rolling Hills Rancho Palos Verdes Palos Verdes Estates Rolling Hills Estates Lomita $150,001 $79,797 $101,320 $86,304 $36,422 Los Angeles County Source: 1990 Census $34,945 The 1990 Census estimated that 42 Rolling Hills residents, approximately 2% of the City s population, had incomes below the poverty level. The Census also reported that no lower income household in the City paid over 30% of its income on housing. Because of the high cost of housing in the City (reference the Section II.C.5, Housing Costs, below), the population reported as below the poverty level were likely adult dependent householders (such as elderly relatives), those with high home equity reserves, or live-in help employed by resident households. 4. Housing Affordability According to recent data from the State Department of Housing and Community Development (HCD)3, the year 2000 median income for a four -person household in Los Angeles County is $52,100. The Department of Housing and Urban Development (HUD) in conjunction with HCD has developed the following income categories and their definitions (2000 income limits for a four -person household in Los Angeles County are indicated in parenthesis): • Very Low Income - less than 50% of the County median (less than $26,050) • Low Income - between 51 and 80% of the County median ($26,051 - $41,680) • Moderate Income - between 81 and 120% of the County median ($41,481 - $62,520) • Upper Income - greater than 120% of the County median ($62,521+) State and Federal standards for housing overpayment are based on an income -to -housing cost ratio of 30% and above. Households paying greater than 30% have limited remaining income for other necessities such as food, clothing, and health care. Upper Income households are generally capable of paying a larger proportion of their income for housing; therefore, estimates of housing overpayment generally focus on lower income groups. 3 State of California Housing and Community Development Department, Income Limits Report, March 2000. City of Rolling Hills Housing Element 14 June 29, 2001 Distinguishing between renter and owner housing overpayment is important because, while homeowners may over -extend themselves financially to afford the option of home purchase, the owner always maintains the option of selling the home. Renters, on the other hand, are limited to the rental market and are generally required to pay the rent established in that market. The 1990 Census data were used to assess the extent of housing overpayment. Renter housing costs include both contract rent and utility costs. Owner housing costs include monthly mortgage or similar payments, property taxes, fire and other insurance, and utilities. The 1990 Census estimated that 10 or 1.5%, of the City s households were renters. Of those renters, none were found to pay more than 30% of their income on housing. Of the 626 owner households in 1990, comprising 98.5% of the total households, 185 were found to pay more than 30% of their income on housing. All of these owner households were identified in the upper income category. Based on this 1990 data, housing affordability for existing Rolling Hills' residents does not appear to be a problem for those Rolling Hills residents. 5. Special Needs Groups Certain segments of the population may have more difficulties in finding decent, affordable housing due to special circumstances. These special needs" groups include the elderly, large families, disabled persons, female -headed households, farmworkers, and the homeless, and are required under State law to be addressed in the Housing Element. For the purposes of this Housing Element Update, the 1990 Census is the most recent count of special needs households available: The identified special needs groups are defined below: Elderly Households: The special needs of many elderly households result from their limited, fixed incomes, physical disabilities and dependence needs. At the time of the 1990 Census, 45% of the City's households contained elderly members, aged 65 and older. In comparison, during this same period, the elderly households comprised 28% of total households in Los Angeles. According to the 1990 Census, 6 persons aged 65 and over were reported to had incomes below the poverty level. These persons comprised less than 0.3% of the Rolling Hills population. Because of the high cost of housing in the City (reference the Section II.C.5, Housing Costs, below), these persons were likely elderly relatives living with their extended families, those with high home equity reserves, or live-in help employed by resident households. This information indicates that most of the City's elderly are able to afford adequate housing without assistance. Large Households: Large households are identified in State housing law as a group with special housing needs based on the generally limited availability of adequately, sized, affordable housing units. According to the 1990 Census, an estimated 20% of the City's households have five or more members. This high incidence of large households is reflective of the City's large unit sizes (over 30% of the houses in 1990 had 5 or more bedrooms), many of which include separate quarters for domestic help. While large families traditionally experience housing needs related to their lower incomes, large family households in Rolling Hills were identified as predominately upper income and adequately housed in the City's larger single-family homes. This information indicates that in Rolling Hills large households do not represent a special needs group. City of Rolling Hills Housing Element 15 June 29, 2001 Disabled: Physical handicaps can hinder access to housing units of conventional design as well as limit the ability of handicapped (or disabled) individuals to earn an adequate income. The proportion of disabled individuals is increasing nationwide due to overall increased longevity and lower fatality rates from accidents and disease. In 1990, an estimated 27 Rolling Hills residents had disabilities, comprising 1.4% of the City's population. Of these residents, 13 or 0.7% had a work disability, defined as a physical condition that impeded a person's ability to work. Sixteen or 0.9% had a public transportation disability, defined as a physical condition that presented difficulty in the use of public transportation. The upper income character of Rolling Hills residents indicate that disabled persons in Rolling Hills can afford to modify their housing to accommodate special needs. Disabled elderly persons can also obtain assistance through senior services programs, including the congregate care, shared housing and equity conversion programs adopted as part of this element. (Reference Section VI. C., below.) Female -Headed Households: Single -parent households require special consideration and assistance because of their greater need for day care, health care, and other facilities. Female - headed households with children in particular tend to have lower incomes, thus limiting housing availability for this group. In 1990, Rolling Hills had an estimated 139 (or 22%) female -headed households. Of these female -headed households, about 22 households (or 3%) were reported by the 1990 Census to had incomes below the poverty level. Approximately half of those female households in Rolling Hills had dependent children. Because of the high cost of housing in the City (reference the Section II.C.5, Housing Costs, below), female -headed in Rolling Hills households with incomes below the poverty level are to have other financial resources with which to pay for housing and other necessities. Based on this information, female -headed households in Rolling Hills do not appear to represent a special needs group. Farmworkers: The special housing needs of many farmworkers stem from their low wages and the insecure nature of their employment. Only 13 Rolling Hills' residents were employed in the farming, forestry and fishing occupations in 1990. Because of Rolling Hills urban setting and the upper income character of its residents, persons employed in farming or related industries are likely to be managers or owners of farming operations. Consequently, there is not expected to be a demand for housing generated by farmworkers in the City. Homeless: During the past decade, homelessness had become an increasingly reported problem throughout the state. Factors contributing to the rise in homelessness included the general lack of housing affordable to low and very low income persons, increases in the number of persons whose incomes fall below the poverty level, reductions in public subsidies to the poor, and the de -institutionalization of the mentally ill. There are currently a number of homeless facilities and service agencies registered with the County Housing Authority. One of these facilities is the Beacon Light Mission in Wilmington City of Rolling Hills Housing Element 16 June 29, 2001 that currently has 22 beds. The Mission is open to adults but will also accept families. While no one has been tumed away from the dining tables in over a year, the beds are usually full. The Mission finds that the majority of its clients are people searching for work in the harbor area. Beacon Light Mission has served the homeless population since 1946. Also serving the Wilmington/San Pedro area is Rainbow Shelter, a facility for battered women and children. Rainbow Shelter provides shelter for up to 20 women and children and can refer potential clients to other similar services in Long Beach, West Covina, Carson and Hermosa Beach. The Los Angeles Homeless Services Authority (LAHSA) operates Access Centers that are key entry points into homeless services throughout Los Angeles County, inclusive of Rolling Hills. The Centers serve as a one -stop shop for people with multiple needs. They offer on -site services including: mental health care, crisis counseling, case management, mail and message pick-up, childcare, medical care, legal aid, job training, and substance abuse treatment. More than 15,000 clients a year use the Access Centers. The closest Centers to Rolling Hills are located in Long Beach, West Covina and Santa Monica. Recent conversations with each of these agencies indicate that they are fully occupied, but have no record of patrons who have listed Rolling Hills as their previous place of residence. Part of the reason for this is that no commercial or social services providers exist in the City to attract homeless individuals or families. Additionally, Rolling Hills' gated entries, rugged terrain and wildlife provide an inhospitable environment for the homeless. Consequently, the City of Rolling Hills has no feasible or suitable sites for emergency shelters or transitional housing. Nor does the City have and identified homeless population. The City will coordinate with and direct any homeless person(s) to local social service providers if the need arises in the future. C. Housing Characteristics A housing unit is defined as a house, apartment, or a single room, occupied as separate living quarters or, if vacant, intended for occupancy as separate living quarters. Separate living quarters are those in which the occupants live and eat separately from any other persons in the building and which have direct access from the outside of the building or through a common hall. A community's housing stock is the compilation of all its housing units. 1. Housing Growth Rolling Hills has been largely built out for the last thirty, years. The supply of buildable land has become increasingly constrained by fires, landslides and identification of biologically sensitive species. During the past decade, the City has gained a net of 8'units. As shown in Table 8, Rolling Hills housing supply has grown from a 1990 count of 674 units to a 2000 count of 682 units, a one percent rate increase which is lower than most of its surrounding communities. City of Rolling Hills Housing Element 17 June 29, 2001 TABLE 8 HOUSING TRENDS ROLLING HILLS AND SURROUNDING CITIES AND COUNTY 1990 & 2000 Jurisdiction Rolling Hills Rancho Palos Verdes Palos Verdes Estates Rolling Hills Estates Lomita Number of Housing Units 1990(a) 674 15,468 5,131 2,873 8,255 2000(b) 682 15,742 5,211 3,005 8,301 % Increase 1993-2000 1% 2% 2% 5% 1% Los Angeles County Source: (a) 1990 Census (b) State of California, Department of Finance, Estimate for January 2000. 3,163,343 3,272,169 3% City of Rolling Hills Housing Element 18 June 29, 2001 While the limited availability of land suitable for residential development has resulted in only nominal increases in the City's housing stock, additional residential development has been occurring through redevelopment of existing units. Much of the City's housing stock was built in the 1950s, and is typified by 3,000 to 4,000 square -foot ranch style homes. As in many communities with a strong market for residential development and limited available land, Rolling Hills' older housing stock is being replaced with much larger, expansive units averaging 6,000 to 8,000 square feet in size, according to City building permit records. As presented in Table 9, in the five year period between June 1994 and June 2000, a total of 8 units were demolished in the City, 7 of which were replaced with newly constructed units. In addition, 5 new homes on previously demolished or vacant lots were constructed. This trend of residential recycling can be expected to continue and potentially increase as less vacant land is available for development. TABLE 9 CITY OF ROLLING HILLS RESIDENTIAL RECYCLING ACTIVITY 1994-2000 Number of Housing Units New Units Replacement Units Demolished Units NET CHANGE IN NUMBER OF UNITS 5 7 8 4 Source: City of Rolling Hills Development Summary List Form, September 15, 2000. 2. Housing Type and Tenure When Rolling Hills was originally laid out by A.E. Hanson in the 1930s, its 600 acres were divided into one and two -plus acre homesites. It was established as a private community governed by CC&Rs that run with the property in perpetuity and limit development to one-story single family homes on one- and two -acre lots. Many of the homesites contain steep slopes and canyons, with only small portions of the sites suitable for development. With incorporation of the area in 1957, the City s ability to zone the property was constrained by the CC&Rs minimum lot size, commitment to maintaining the area's rural character, as well as the physical constraints of the landform. Consequently, the City zoning established two residential zone districts: RA -S-1 (Residential Agriculture -Suburban Zone, one acre minimum) and RAS-2 (Residential Agriculture -Suburban Zone, two acre minimum). The tenure distribution of a community's housing stock (owner versus renter) influences several aspects of a local housing market. Residential mobility is influenced by tenure, ownership housing City of Rolling Hills Housing Element 19 June 29, 2001 evidencing a much lower turnover rate than rental housing. Housing overpayment while faced by many households regardless of tenure, is far more prevalent among renters. Tenure preferences are primarily related to household income, composition, and age of householder. As in any community with an exclusively single-family housing stock, the vast majority of Rolling Hills' households are owner -occupied. As noted above, the 1990 Census estimated that 1.5%, of the City s households were renters. 3. Vacancy Rates According to the Regional Housing Needs Assessment (RHNA) prepared by SCAG, vacancy rates are the most straightforward indicator of existing housing need. The difference between current and optimal vacancy rates is a good measure of existing need. A 5% rental vacancy rate is considered necessary to permit ordinary rental mobility. In a housing market with a lower rental vacancy rate tenants will have difficulty locating appropriate units and strong market pressure will inflate rents. A 2% vacancy rate for owned housing is considered normal. Department of Finance estimates (January 2000) for Rolling Hills indicate a current vacancy rate of 5.57%. This vacancy rate is higher than the 5% recommended by SCAG for renter housing, and substantially higher than the 2% vacancy for owned housing. Based on this vacancy data, there is_ ample housing supply in Rolling Hills to accommodate resident mobility. 4. Age and Condition of Housing Stock Most homes begin to exhibit signs of decay when they approach thirty years of age. Common repairs needed include new roofs, wall plaster and stucco. Homes thirty years or over with deferred maintenance require more substantial repairs, such as new siding, plumbing or multiple repairs to the roof, walls, etc. As indicated in Table 10, the majority of Rolling Hills' housing (78%) was constructed between 1940-1969. Due to a diminishing supply of available land, development in Rolling Hills slowed significantly in the mid 1970 s and 1980's. City of Rolling Hills Housing Element 20 June 29, 2001 TABLE 10 CITY OF ROLLING HILLS AGE OF HOUSING STOCK: 1990 Year Built Units % of Total 1939 or earlier 48 7% 1940-1949 95 14% 1950-1959 273 41% 1960-1969 107 16% 1970-1974 93 14% 1975-1978 31 5% 1979 -March 1980 16 2% April 1980 -Jan. 1989 11 I% Totals 674 100.00% Source: 1990 Census The fact that the large majority of the City's housing stock is owner -occupied, combined with the high quality of residential construction, has resulted in excellent upkeep of the City's units. According to the City code enforcement files and a recent windshield survey'', no significant housing condition problems have been identified. Code enforcement in the City is the responsibility of the Community Development Department. The City Principal Planner or her designee makes regular site inspections in through the community. Any code enforcement violations noted by the Principal Planner or called in by a resident is typically handled by a site inspection and phone call to the resident causing the violation. If the phone call fails to resolve the violation, the Principal Planner will follow-up with a letter. The RHCA also gets involved in the resolution of code violations. There are very few code violations in the City of Rolling Hills, and during this planning period, all noted violations have been resolved with a phone call or a letter. 5. Housing Costs Ownership Housing: The median value of homes in the Palos Verdes Peninsula is substantially higher than that for the County overall. According to the 1990 Census, the median value for owner - occupied single family homes on the Palos Verdes Peninsula, inclusive of the cities of Rolling Hills, Rolling Hills Estates, Palos Verdes Estates and Rancho Palos Verdes, was $500,001. During this same period, the median value for an owner -occupied single family home in the County was $226,400. The higher home values on the Palos Verdes Peninsula reflect the extremely high cost of land due to the proximity to the coast of the Pacific Ocean, dramatic rolling hills topography that tends to yield large lots, and opportunities for canyon, ocean and city views. A current review of sale price for existing single family detached homes in Rolling Hills indicate that home prices range from $929,000 to $6,000,000, with a median home price of $2,365,0185. The windshield survey was conducted December 12, 2000 by City Planning Director Lola Ungar and Planning Consultant, Joann Lombardo. 5 HomeAdvisor.com, November 9, 2000. City of Rolling Hills Housing Element 21 June 29, 2001 Home prices vary within this range based on size of the lot, size and age of the home, views and amenities. Rental Housing: The vast majority of Rolling Hills' households are owner -occupied, reflective of the City's highly valued single-family housing stock. A current review of for rent units in the Palos Verdes Peninsula found no listings in Rolling Hills. Housing Affordability: Based on Federal and state guidelines that households should not spend more than 30% of their gross income on housing, Table 11 estimates the maximum housing costs affordable to Very Low Income, Low Income and Moderate Income households in Los Angeles County. In the case of rent, an allowance of $100 per month for utilities is added to the overall per month housing costs. Renters may be required to cover water, sewer and trash pickup costs in addition to the usual electric, gas and phone: In the case of purchase, the 30% includes payment on principal and interest, and an assumed 1.25% allocation for taxes and homeowner insurance. In actuality, taxes and insurance may exceed the assumed 1.25% in newer areas subject to assessments, Mello -Roos districts or high fire hazard. As illustrated in Table 11, for the County of Los Angeles, maximum housing costs affordable to a Very Low Income four -person household are $84,945 to purchase a home and $751 per month to rent a home. For a Low Income four -person household the maximum affordable housing costs are $135,927 to purchase a home and $1,142 per month to rent a home. Fora Moderate Income four - person household the maximum affordable housing costs are $203,893 to purchase a home and $1,663 per month to rent a home. Housing above these rates is considered affordable to only Upper Income households. With a median sales prices of a single-family home in Rolling Hills at $2,365,018, the average monthly payment would be $12,348, assuming a 20% downpayment and a 30 year loan at 7.37%. This monthly payment is well beyond the financial means of low and moderate income households. City of Rolling Hills Housing Element 22 June 29, 2001 TABLE 11 COUNTY OF LOS ANGELES AFFORDABLE HOUSING PRICES AND RENTS BY INCOME GROUP: 2000 Income Category Median Income (4 -Person Household) Maximum Home Purchase Price Maximum Home Rental Rate Very Low less than $26,050 $ 84,954 $751 per month Low $26,051- $41,680 $135,927 $1,142 per month Moderate $41,681 - $62,520 $203,890 $1,663 per month Upper $62,521 and above $203,893 and above $1,663 per month and above Note: Calculation of affordable rent is based on a monthly payment of 30% of gross household income. Calculation of affordable home sales price based on downpayment of 10%, annual interest rate of 8%, 30 -year mortgage, and monthly payment of 30% of gross income. D. Assisted Housing At Risk Of Conversion State law requires the City to identify, analyze and propose programs to preserve housing units that are currently deed restricted to low income housing use and will possibly be lost as low-income housing as these deed restrictions expire. There are no identified at risk housing units in the City. No low income housing units in the City have been constructed with the use of federal assistance programs, state or local mortgage revenue bonds, redevelopment tax increments, in -lieu fees, or inclusionary housing ordinance or density bonuses. As a result, there is no housing at risk of losing its subsidized status, and no further discussion of at risk units is required. III. CONSTRAINTS ON HOUSING PRODUCTION A variety of factors add to the cost of housing in Rolling Hills and constrain the provision of affordable units. These include market, governmental and infrastructure constraints. In Rolling Hills, additional constraints to development are imposed by the restrictions of the corrununity s CC&Rs, and the land s unique geologic conditions and environmental resources. A. Market Constraints The high cost of renting or buying housing is the primary ongoing constraint to providing adequate housing in the City of Rolling Hills. High construction costs, labor costs, land costs, maintenance and market financing constraints all contribute to limit the availability of affordable housing. City of Rolling Hills Housing Element 23 June 29, 2001 1. Land Costs The single largest cost associated with building a new house in Rolling Hills is the cost of land. Land costs include the cost of raw land, site improvements, and all costs associated with obtaining government approvals. Like the entire Palos Verdes Peninsula, land costs are extremely high in Rolling Hills due to its proximity to the Pacific coast, dramatic rolling hills topography that tends to yield large lots, and opportunities for canyon, ocean and city views. Average cost for an undeveloped, unimproved parcel of residential land in the City is $1,000,0006. In addition to raw land costs, site improvements contribute to the cost of land in the City. The remaining vacant parcels in the City have severe topographic and/or geologic constraints that would necessitate significant grading to accommodate development. The extremely high land costs would make construction of lower income housing in the City impossible without government subsidy. 2. Construction Costs A major cost associated with building a new house is the cost of building materials, which typically comprise between 40 to 50% of the for -sale price of a home. According to construction industry indicators, overall construction costs rose over 30% during the past decade, with rising energy costs a significant contributor. Typical residential construction costs for high quality homes like those found in Rolling Hills range from approximately $80 to $96 per square foot7. Types of residential amenities (e.g., pools, fire places, porches) and construction materials further increase the cost of construction. Labor is another major cost component in building a house, constituting an estimated 17% of the costs of constructing a single-family dwelling. Construction costs are generally controlled by the market, and types of amenities and construction materials are generally selected at the discretion of the property owner and/or developer. However, the City Zoning Ordinance allows for manufactured housing units that can help to reduce residential construction costs. 3. Financing Home mortgage interest rates at the present time are relatively low. A fixed rate 30 -year loan for a new home currently carries interest rates from 7 to 9%. Lower initial rates are available with Graduated Payment Mortgages (GPMs), Adjustable Rate Mortgages (ARMS), and Buy -Down Mortgages. Interest rates at the present time are not a constraint to affordable housing. Financing for both construction and long term mortgages is generally available in Rolling Hills subject to normal underwriting standards. However, a more critical impediment to homeownership involves both the affordability of the housing stock and the ability of potential buyers to fulfill down payment requirements. Typically, conventional home loans will require 10 to 20% of the sale price as a 6 Average land cost provided by City of Rolling Hills Planning Department, December 2000. Residential Estimator 7, Marshall & Swift, 2000. City of Rolling Hills Housing Element 24 June 29, 2001 down payment, which is the largest constraint to first time homebuyers. Flexible loan programs help bridge the gap between the down payment and a potential homeowner s available funds. There is little that local governments can do to affect mortgage rate and down payment obligations. Jurisdictions with housing set -aside monies pursuant to the California Community Redevelopment Law, can offer interest rate write -downs to extend home purchase opportunities to lower income households. However, the City of Rolling Hills does not have redevelopment in place and does not have access to housing set -aside funds, making this option infeasible. B. Governmental Constraints Housing affordability is affected by factors in both the private and public sectors. Actions by the City can have an impact on the price and availability of housing in the City. Land use controls, site improvement requirements, building codes, fees and other local programs intended to improve the overall quality of housing may have the unintended consequence of serving as a constraint to housing development. 1. Land Use Controls Land Use Controls are established by the City's Land Use Element, Zoning Ordinance, and Community Association Building Regulations. The Rolling Hills Land Use Element provides for two residential categories: Residential Estate - one acre minimum (RA -S-1) and Residential Estate - two acre minimum (RA -S-2). As summarized in Table 12, building coverage is limited to twenty percent of the net lot area. Total lot coverage (structures and hardscape) is limited to thirty-five percent of the net lot area; maximum disturbed area is limited to forty percent of the net lot area; and building height is restricted to one-story. These development standards reflect the requirements of the CC&Rs and therefore do not themselves constrain housing supply. A copy of the RA -S Zone section of the Zoning Code is included as Appendix B of this document. A minimum of two covered parking spaces are required for each dwelling unit. This parking requirement can easily be met on the City's large residential parcels. The parking standard is appropriate given the high number of automobiles per household in Rolling Hills, and the fact that there are no sidewalks, curbs or gutters on the private streets which are too narrow to permit on - street parking. The City has implemented in its Zoning Ordinance standards to allow the development of manufactured homes in its residential zones. City of Rolling Hills Housing Element 25 June 29, 2001 TABLE 12 CITY OF ROLLING HILLS SUMMARY OF DEVELOPMENT STANDARDS Setbacks: Front yard: Side yards: Rear yard: Density Structural Lot Coverage Total Lot Coverage Building Pad Coverage Maximum Disturbed Area Maximum Height Source: City of Rolling Hills *Note: All property is Rolling Hills is subject to perimeter easements varying in width around each property boundary and in some instances, road easements, granted by the property owner to the Community Association, a corporation, or another person or entity for the purpose of construction and/or maintenance and use of streets, driveways, trails, utilities, drainage facilities, sewers, open space, and/or a combination of these uses. The Community Association requires that all easements must be kept free of buildings, fences, plantings or other obstructions. 50 feet from front easement line* in RA -S -I and RA -S-2 Zones 20 feet from properly line in RA -S-1 Zone 35 feet from property line in RA -S-2 Zone 50 feet from property line in RA -S-1 and RA -S-2 Zones RA -S-1: one -acre minimum RA -S-2: two -acre minimum 20% of net lot area maximum 35% of net lot area maximum 30% of coverage 40% of net lot area Single -story The City defines a second unit as a detached or attached dwelling unit which provides complete, independent living facilities for one or more persons including permanent provisions for living, sleeping, cooking, and sanitation, on the same parcel as the primary residential structure. State law encourages the development of second units on single-family lots. The City of Rolling Hills permits guest houses, attached or detached to the main residence, that may have separate living and bath quarters, but not separate kitchen and dining facilities. Because of the unique infrastructure, geologic and fire safety constraints within Rolling Hills, second units may pose adverse impacts on public health, safety and welfare. The City of Rolling Hills has adopted an ordinance that prohibits second units on single-family lots; a copy of this ordinance is contained in Appendix C of this document. The ordinance makes the following findings that specify the adverse impacts on public health, safety and welfare that would result from allowing second units, and which justify their preclusion in Rolling Hills: • Lack of Sewers - Development of second units could potentially double the amount of sewage effluent currently entering the soil thereby exacerbating soil stability problems. • Geologic Setting - Numerous active landslides in Rolling Hills greatly diminish development potential and call for caution in increasing densities. City of Rolling Hills Housing Element 26 June 29, 2001 • Rural Design and Community Roadway Character - The current capacity, design, and topographic constraints of the City roadways indicate increased residential densities would compromise traffic safety. • Fire Flow Requirements - The introduction of second units in Rolling Hills would change the infrastructure requirements on water pressure in the City, and as the City has no funds to revamp the water system, fire fighting capabilities would be compromised due to reduction in water pressure. The existing zoning standards respond to the unique physical, health, and safety aspects of the City. Based on infrastructure, geologic and environmental constraints, most land in the City has developed at a density less than that permitted by City zoning. The City s General Plan indicates that 70% of developed residential land has a density less than one unit per two acre. City zoning standards are considered to be appropriate given the topographic, geologic, infrastructure and contractual constraints in the City. 2. Fees and Improvements Various fees and assessments are charged by the City and other agencies to cover the costs of processing permits and providing services and facilities, such as utilities, schools, and infrastructure. Almost all of these fees are assessed through a pro rata share system based on the magnitude of the residence's impact or on the extent of the benefit that will be derived. A summary of residential development fees in the City is presented in Table 13. Costs required for all residential development projects are indicated. These costs include various City fees, school impact fees, water service fees, environmental review fees and a RHCA fee. Costs required for special circumstances apply to residential developments requiring greater discretionary reviews. City of Rolling Hills Housing Element 27 June 29, 2001 TABLE 13 CITY OF ROLLING HILLS SUMMARY OF RESIDENTIAL DEVELOPMENT FEES (October 2000) Type of Fee All new residential development Building' Permit Plan Check Fees Plumbing, Mechanical, and Electrical Permits Park and Recreation Fund Fee School Fee Site Plan Review Water Service Environmental Review RHCA Special Circumstance Fees Traffic Commission Review Zone Change/Amendment View Impairment Committee Review Variance Tentative Parcel Map Tentative Tract Map Negative Declaration Environmental Impact Report Source: City of Rolling Hills Cost 2-1/2 times the amount set in the County Building Code. Based upon building valuation. Assessed by County of Los Angeles. County assessment based upon the number of fixtures, outlets, switches, and panels. City fee is 2-1/2 times the amount set forth by the County. Each new residence pays 2% of the first $100,000 in building valuation, plus an additional .5% for the remaining balance. $1.50 per square foot of habitable living space. $1,500. Option 1: $600 Hydrant Meter Deposit, plus service charge for the amount of water used during construction. Option 2: No hook-up fee. Meter fees determined by the size of meter and the number of mixtures. Does not include service charge for amount of water used during construction. 200 + County and State fees $.20 per $100 of assessed valuation $300 $2,000 $500 $1,250 $1,500 + County fees plus 20% $1,500 + County fees plus 20% $1,300 City Consultant fee plus 20% The majority of City building and plan check fees have remained unchanged for the past ten years, indicating that the fees do not present an excessive constraint to development. City of Rolling Hills Housing Element 28 June 29, 2001 3. Processing Times The City typically requires two to three months to complete the processing of a residential development application. This timing complies with the time limit requirements established by Sections 65943 and 65950 of the Government Code, and does not present an excessive constraint to development. C. ContractualConstraints Development in Rolling Hills is controlled through both City enforced zoning and privately enforced CC&Rs. City zoning does not in itself constrain housing development. Reducing zoning standards or increasing densities would not modify the development limitations dictated by the CC&Rs, which control density Virtually all of the land in Rolling Hills is subject to the CC&Rs established in 1936 by the Palos Verdes Corporation. Exceptions to CC&R controlled land include the civic center, fire station site and scattered public open space sites. These CC&Rs set forth two classifications of property and restrict the development and use of property within each classification to either only single family or single family and limited public use. Neither classification allows for the development of multi- family housing or for commercial, office or industrial activity. The CC&Rs establish minimum parcel and dwelling unit sizes, and require approval by the RHCA Architecture Committee of all new development. (A copy of the zoning provisions established by the CC&R s is contained in Appendix D of this document.) D. Infrastructure Constraints Another factor adding to the cost of new construction is the limited availability of infrastructure, specifically streets, sewer and water. 1. Streets Rolling Hills has no public roads or streets. Use of privately owned roadways requires approval of the RHCA. The City's privately owned road network is typified by winding roads with a 15 to 25 foot paved cross-section lacking in curbs, gutters and sidewalks. Narrow road width, coupled with steep grades and private roadways, effectively precludes public transit within the City. The City's circulation infrastructure is not conducive to higher density housing. 2. Wastewater Disposal With the exception of thirteen residences that have individually or through the creation of a small sewer district hooked in with adjacent jurisdiction's sewer systems, there is no sanitary sewer system in Rolling Hills. Residences are served by individual septic tanks and leach lines. Insofar as the City remains on a septic system, this will prevent the development of higher density housing, including the construction of second units. Potential for additional sewer hook-ups is limited due to City of Rolling Hills Housing Element 29 June 29, 2001 the prohibitive cost associated with extending sewer lines for long distances from County sewer lines, and the inability of the City to subsidize these costs. 3. Fire Flow Requirements As noted above, water pressure in the City is limited, and additional development beyond that anticipated by the City General Plan, would reduce water pressure and compromise fire fighting capabilities. E. Geologic Constraints The Rolling Hills landscape is comprised of a system of rolling hills, steep canyons and blue -line streams. It has been described as having the most severe terrain of any jurisdiction in Los Angeles County. Slopes of 25 to 50% are present on virtually every remaining undeveloped parcel in the City. Development on such severely sloped parcels requires substantial modification to the natural terrain that significantly adds to the cost of development. The extreme topography present in Rolling Hills serves as a significant constraint to the development of affordable housing. Rolling Hills experiences recurring problems of landslides that damage or destroy homes and present risks to human health and safety. Numerous active landslides and faults render significant areas of the City unsafe for development. The danger of increased soil instability particularly if higher density development is constructed, would contribute to potential risk to human life as well as to physical improvements. As depicted in Figure 2, Seismic Hazards, the majority of land in the City is located in earthquake -induced landslide areas. These are areas where previous landslide movement has resulted in permanent ground displacement. The California Division of Mines and . Geology designates these area as seismic hazards requiring mitigation. Building at the head of a landslide can decrease the bedrock strength along an existing or potential rupture surface and drive' the landslide down slope. Improper grading practices can also trigger existing landslides. The Safety Element sets forth policies to restrict new development and expansion of existing development in areas susceptible to landsliding. The City has developed a Site Plan Review Ordinance to prevent erosion and landslides and preserve Rolling Hills natural hillside topography. The Ordinance prohibits extensive grading and recontouring of existing terrain. The City has adopted the County of Los Angeles grading standards with some modifications necessary to ensure slope stability. The City requires that all soil be balanced on -site, which is necessary because export of materials is not practical due to the narrow roadways and fragile road surfaces. The RHCA also restricts the use of the streets for soil export due to potential impacts on street condition and public safety. City of Rolling Hills Housing Element 30 June 29, 2001 Earthquake -Induced Landslides Areas where previous occurrence of landslide movement, or local topographic. geological. geotechrscal and subsurface wader conditions indicate a potential for permanent ground displacements such that mitigation as defined In Public Resources Code Section 2t93(c) would be required. Figure 2. Seismic Hazards DATA AND METHODOLOGY USED TO DEVELOP THIS MAP ARE PRESENTED IN THE FOLLOWING: Seismic Hazard Evaluation' of the Torrance 7.5 minute quadrangle, Los Angeles County, California: California Division of Mines and Geology, Open -File Report 9R-2ft. TABLE 14 CITY OF ROLLING HILLS RHNA NEW HOUSING CONSTRUCTION NEEDS BY INCOME GROUP Income Category Housing Unit Housing Unit Construction Need by Construction Need Income Group by Income Group 5 -Year Planning Annual Need through Period through 2005 2005 Very Low (0-50% County median 8 1.6 income) Low (50-8-% County median income) 5 1.0 Moderate (80 -120% -County median 7 1.4 income) Above Moderate (over 120% County 40 8.0 median income) Total Housing Unit Construction Need 60 Source: SCAG Construction Needs, September 2000 12 Percent of Need by Income Group 14% 8% 11% 67% 100% V. HOUSING OPPORTUNITIES This section of the Housing Element evaluates the potential additional residential development that could occur in Rolling Hills pursuant to the General Plan and Zoning Ordinance. Opportunities for energy conservation in residential development are reviewed. Potential financial resources available to support the provision of affordable housing are also summarized. A. Availability Of Sites For Housing In order to assess future residential development potential in Rolling Hills, an inventory of residentially -zoned vacant parcels has been prepared and evaluated in terms of the actual capability of parcels to accommodate residential development. In addition. large parcels which are currently developed but which have the potential for further subdivision have also been evaluated. With the majority of the City's developable residential acreage already built out. many of the remaining vacant parcels are characterized by physical constraints which preclude their development. These constraints are primarily related to severe topography and/or existing landslides. Of the total 203 acres of vacant residential land identified in the Land Use Element approximately 1 72 acres are physically suitable to accommodate residential development. Figure 3 illustrates those parcels which have been identified as appropriate for residential development; Table 15 quantifies the number of dwelling units which could be accommodated on City of Rolling Hills Housing Element 33 June 29. 2001 F. Environmental Constraints Rolling Hills supports a wide variety of plant and wildlife. Many of these species are either listed or considered for listing by the U.S. Department of Fish and Wildlife and/or the California Department of Fish and Game. These species include the Palos Verdes Blue butterfly, the California Gnatcatcher, the Pacific Pocket Mouse, the San Diego Homed Lizard, and Brackishwater snail. The community is also underlain with blue -line streams that are under the jurisdiction of the Army Corps of Engineers. Development that intrudes on these environmental constraints must provide mitigation satisfactory to the overseeing federal and state agencies. Typical mitigation is the preservation of habitat area, further restricting the potential land available for development. IV. HOUSING ASSESSMENT SUMMARY Housing Element law requires cities to meet both local and regional housing needs. Rolling Hills local housing needs are discussed in Sections II and III above, and summarized below. Rolling Hills regional housing needs are established by the Southern California Association of Governments (SCAG), and are summarized below. The Housing Plan, presented in Section VI that follows, will establish specific policies and programs to address these identified housing needs. A. Local Housing Assessment The local housing needs assessment for Rolling Hills, discussed in Section II, describes the City as an affluent community with no affordable housing needs. However, data regarding special housing needs indicate that the City has a large elderly population. Although available data suggests that the City s elderly population has no housing affordability needs, members of Rolling Hills elderly population may require senior assisted living arrangements. Section VI.C. of this Element presents programs for addressing these senior housing needs. B. Regional Housing Assessment State law requires jurisdictions to provide for their share of regional housing needs. As part of the Regional Housing Needs Assessment (RHNA), the Southern California Association of Governments (SCAG) determines the five year housing growth needs by income category for cities within its jurisdiction, inclusive of the City of Rolling Hills. RHNA determinations for the City of Rolling Hills during this planning period through 2005 are presented in Table 14. The City s ability to meet these regional needs is seriously constrained by the market, contractual. infrastructure. geologic and environmental conditions that limit the development potential of Rolling Hills. City of Rolling Hills Housing Element 32 June 29. 2001 these parcels. All of these parcels are subject to CC&Rs. A single 63 -acre parcel known as Storm Hill currently has an active proposal before the City to develop 4 single family homes on the site. Although zoning would permit development of 25 units on the site, its development site is constrained by landslide and protected biological resources. Other vacant lots in the Flying Triangle area are considered unbuildable due to landslide hazards. Aggregating the development potential on available vacant lots, the City can accommodate a maximum of an additional 29 dwelling units. Non-residential properties in Rolling Hills are limited to public and institutional uses. None of these uses are anticipated to be redeveloped within the time frame of this element. TABLE 15 -- CITY OF ROLLING HILLS FUTURE RESIDENTIAL DEVELOPMENT POTENTIAL MAXIMUM POTENTIAL INCREASE IN DUs Zone Total RA -S-1 RA -S-2 TOTAL 6 23 29 Source: City of Rolling Hills City of Rolling Hills Housing Element 34 June 29, 2001 RAS-1 RESIDENTIAL - ONE ACRE August 9, 2000 Cay opeollinv. INCORPORATED JANUARY 24, 1957 APPENDIX E Ms. Jan Debay Chair of SCAG Growth Visioning For a Sustainable Region Subcommittee of CEHD Southern California Association of Governments 818 West Seventh Street Los Angeles, CA 90017-3435 Attention: Mr. Jim Jacob NO. 2 PORTUGUESE BEND ROAD ROLLING HILLS, CALIF. 90274 (310) 377-1521 FAX (310) 377-7288 E-mail cityolrh@aol.com SUBJECT: CITY OF ROLLING HILLS 2010 — 2025 POPULATION, HOUSEHOLD AND EMPLOYMENT GROWTH FORECASTS Dear Ms. Debay: This letter is in response to the 2010 — 2025 population, household and employment growth forecasts for the City of Rolling Hills which is a part of the South Bay Cities Subregion that were sent out by SCAG in February, 2000. We informed SCAG that the draft growth forecasts for the City of Rolling Hills are too high. We requested the reduction by 50% of the growth forecasts but those requests were not accepted. We also attended meetings with other South Bay Cities regarding the forecasts and were told that if the forecasts of protesting cities were reduced, then the forecasts of those cities who had not protested would be increased. Rolling Hills is a private gated community that is entirely residential with 682 single-family estate -size residences (2000 figures) and a population of 2,066 persons (State Department of Finance estimate) that is not yet substantiated by the U.S. Census. Half the population is over 45- years old. The City is almost completely built out with very few available or buildable new building sites. There are no commercial or industrial uses within the City. The City is also constrained by the fact that all territory in the City is subject to long-standing CC&Rs adopted prior to the incorporation of the City that strictly limit the type and density of development in the City. Those CC&Rs are administered and enforced by the Rolling Hills Community Association, a separate legal entity. Each year there are only 1 to 2 new residential structures constructed, and of these, most are teardown replacement residences. Since the 1990 census, the population of 1,871 persons increased by 195 persons to 2,066 according to the State Department of Finance, a rate of 10.4%. With today s Department of Finance estimate of 2,066 persons (not yet verified by the U.S. Census) and taking into account community constraints, there is no rationale for SCAG's estimate for the year 2010 showing an increase of 300 persons, a 14.5% increase, and an increase of 1,056 persons for the year 2025, a 33.8% increase. In January, 1989, SCAG established 40 housing units as Rolling Hills regional share for 1989-1994. In that time period, 15 new housing units were constructed, 5 of which were additional units. Since 1994, 12 new housing units were constructed, 5 of which were additional units, and 3 units were demolished and not replaced, for a net housing unit gain of 2 additional units. That is an increase of 7% in 10 years. Therefore, since 1989, only 7 additional units were and are under construction. With today s total residences of 682, the estimate of 131 new structures by 2010 and 597 new structures by 2025 of Household Growth input is not reasonable when new construction of single-family estate -size residences have been mostly replacement teardowns. Let us repeat, each year there are only 1 to 2 new residential structures constructed, and of these, most are teardown replacement residences. We do not question the employment forecasts as they seem to be reasonable. In conclusion, to accurately represent the City of Rolling Hills in the regional modeling process and taking into account community constraints, it appears that the progressive increase estimates for population should be lowered to 10.4% for each 10 year period and the household units should be lowered to 7% for each 10 year period. Thank you for your cooperation. Feel free to call me if you have any questions at (310) 377-1521. Lola Ungar Planning Director cc: Mr. Craig Nealis, City Manager B. Residential Development Potential Compared to I. Housing Supply As indicated in Table 14 above, the RHNA prepared by SCAG identifies a future housing need for Rolling Hills of 60 units to be developed over the next five years (2000-2005). The residential land inventory for Rolling Hills (Table 15 above) identifies the potential for a maximum development of 29 additional single-family dwelling units,•indicating the City is unable to accommodate the designated share of regional housing needs within its boundaries. As discussed in Section I. A. of this Element, development in the community is physically limited due to its unique land form constraints, which include: • Steeply sloping hillsides • Landslide hazards • Lack of urban infrastructure, specifically sewer • Danger of wildland fires • Sensitive animal habitats and species In addition, new development is further constrained by restrictions of the RHCA enforceable CC&Rs that run with the property in perpetuity. These CC&Rs have been in place prior to the City s incorporation, and continue to restrict development based on the community s unique constraints. Throughout the two year RHNA process, Rolling Hills has continued to inform SLAG that the RI-INA allocations for its community are too high, and has requested a•50% reduction consistent with the number of potential units at full City build -out. Rather than reduce the City s RHNA allocation as requested, SCAG increased the City s share from 57 units (as presented in SCAG s April 1999 Housing Needs Assessment) to the current count of 60 units. The City s concerns are documented in an August 9, 2000 letter to Ms. Jan Debay, Chair of SCAG Growth Visioning, attached as Appendix E to this Element. Neither Ms. Debay nor any other SCAG representative has responded to the City s concems. 2. Housing Affordability The State Department of Housing and Community Development (HCD) uses the following general affordability and development density guidelines for urban areas to evaluate the adequacy of available sites to fulfill a city s share of regional housing needs: • Very Low Income — 25 dwelling units per acre (du/ac) • Low Income — 18 du/ac Moderate Income — 8 du/ac City of Rolling Hills Housing Element 36 June 29. 2001 As discussed above, growth in the City is limited, and high -density development is severely constrained by its physical and environmental constraints, as well the RHCA CC&Rs. The adopted City zoning densities of one or two acre lots is based on infrastructure, geologic and environmental constraints. In many instances, only a small portion of the one and two acre lots are buildable, with the majority of the land constrained by steep slopes and canyons. The City of Rolling Hills clearly does not have available residential sites at densities high enough to meet the RHNA project affordable housing needs for very low, low and moderate income households. The City will have sufficient sites to accommodate a maximum of 29 of the 40 RHNA projected dwelling unit needs for above moderate income units during the five year planning period. 2. Availability of Public Services and Facilities As discussed in Section III.D above, infrastructure in the City is limited. New construction over most of the 29 sites available may not be feasible due to the inability to construct streets, sewer and water systems to accommodate additional development. Expansion of these infrastructure systems also is not feasible because topographic and geologic constraints make such improvements cost prohibitive. In addition, expansion of infrastructure systems may cause the following adverse impacts on public health, safety and welfare: • Geologic Setting - Numerous active landslides in Rolling Hills greatly diminish development potential and call for caution in expanding infrastructure and increasing densities. • Rural Design and Community Roadway Character - The current capacity, design, and topographic constraints of the City roadways indicate increased residential densities would compromise traffic safety. • Fire Flow Requirements — There is limited water pressure in the City, and as the City has no funds to revamp the water system. Fire fighting capabilities would be compromised due to reduction in water pressure. C. Opportunities for Energy Conservation Under current law, this Rolling Hills Housing Element must include the following: Analysis of opportunities for energy conservation with respect to residential development. Government Code Section 65583(a)(7). The Legislature in 1974 created the California Energy Commission to deal with the issue of energy conservation. The Commission in 1977 adopted conservation standards for new buildings. The Legislature directed the Commission to periodically improve the standards to account for state-of- the-art energy efficient building design. The Commission has adopted revised energy standards for new residential buildings. The revised energy conservation standards for new residential buildings have been placed in Title 24 of the California Administrative Code. The new standards apply to all City of Rolling Hills Housing Element 37 June 29. 2001 new residential buildings and additions to residential buildings. The regulations specify energy saving design for walls, ceilings and floor installations, as well as heating and cooling equipment and systems, gas cooling devices, conservation standards, and the use of nondepleting energy sources, such as solar energy or wind power. The Rolling Hills Open Space and Conservation Element establishes a policy to permit the use of solar panels to maximize energy efficiency. In addition, the following residential energy design standards can be applied to reduce energy costs. • Glazing - Glazing on south facing exterior walls allows for winter sunrays to warm the structure. Avoidance of this technique on the west side of the unit prevents afternoon sunrays from overheating the unit. • Landscaping - Strategically placed vegetation reduces the amount of direct sunlight on the windows. Incorporation of deciduous trees in the landscaping plans along the southem area of units reduces summer sunrays, while allowing penetration of winter rays to warm the units. • Building Design - The implementation of roof overhangs above southerly facing windows shield the structure from solar rays during the summer months. • Cooling/Heating Systems - The use of attic ventilation systems reduces attic temperatures during summer months. Solar heating systems for swimming pool facilities saves on energy costs. Natural gas is conserved with the use of flow restrictors on all hot water faucets and showerheads. • Weatherization Techniques - Weatherization techniques such as insulation, caulking, and weatherstripping can reduce energy use for air-conditioning up to 55% and for heating as much as 40%. Weatherization measures seal a dwelling unit to guard against heat gain in the summer and prevent heat loss in the winter. • Efficient Use of Appliances - Each household contains a different mixture of appliances. Regardless of the mix of appliances present, appliances can be used in ways that increase their energy efficiency. Unnecessary appliances can be eliminated, proper maintenance and use of the stove. oven. clothes dryer, clothes washer, dishwasher, and refrigerator can also reduce energy consumption. New appliance purchases of air-conditioning units and refrigerators can be made on the basis of efficiency ratings. The State prepares a list of air-conditioning and refrigerator models that detail the energy efficiency ratings of the product on the market. • Efficient Use of Lighting - Costs of lighting a home can be reduced through purchase of light bulbs which produce the most lumens per watt, avoidance of multi -bulb mixtures and use of long life bulbs and clock timers on security buildings. City of Rolling Hills Housing Element 3R June 29. 2001 D. Financial Resources Development of affordable housing in Rolling Hills would require extraordinary financial assistance to develop. Assuming the other constraints previously discussed could be eliminated, potential sources of such assistance and the applicability to Rolling Hills must be examined. The availability of Federal and State funding sources is subject to many limitations. Many types of government assistance are conditioned upon the existence of populations in need of assistance or housing stock conditions requiring repair or rehabilitation. The absence of in need populations and deteriorated housing in Rolling Hills renders the City ineligible for many types of assistance. In ' addition, high housing values in the City preclude the use of the Section 8, Housing Voucher Assistance Payments Program. Under that program, the Department of Housing and Urban Development (HUD) provides subsidies to landlords under certain conditions. Only housing units with rents at or below maximum rent levels set by HUD for each county are eligible to receive subsidies. Rents in the City far exceed maximum allowable levels payable under the Section 8 Program. One source of housing assistance used by many local governments is money derived from redevelopment project tax increment. This source is unavailable, however, because the City has no redevelopment areas and the absence of blight in the City precludes the formation of a redevelopment area. The City's limited financial resources further preclude the use of City General Fund monies for housing assistance. The absence of federal, state and local funding sources for affordable housing in Rolling Hills, coupled with the high cost of land and construction, act as a significant constraint to the provision of affordable housing in the City. Private financing of affordable housing is also unlikely given the low densities required by the CC&Rs and by the topography of the City. Although many available funding sources would not be available to Rolling Hills at this time, Table 16 summarizes potentially available funding sources as a reference to City staff and potential developers: TABLE 16 FEDERAL AND STATE, HOUSING PROGRAMS AND THEIR APPLICABILITY IN ROLLING HILLS Program Federal Programs Section 8 Section 8 Moderate Rehabilitation Comments Provides rent subsidies to low-income renters. This source cannot be used in Rolling Hills because rents on housing in the City far exceed maximum rent levels required for participation w the program. Provides for payment contracts on units needing City of Rolling Hills Housing Element June 29, 2001 3Q TABLE 16 FEDERAL AND STATE, HOUSING PROGRAMS AND THEIR APPLICABILITY IN ROLLING HILLS Program Section 8 New Construction Section 202 Section 106(b) — Seed Money Loans Community Development Block Grant (CDBG) State Programs SB 99 -Redevelopment Construction Loans California Housing Finance Agency California Housing Finance Agency (CHFA) California Self -Help Housing Program Comments substantial rehabilitation. This source is inapplicable in Rolling Hills because no housing in the City has been identified as in need of rehabilitation. Provides funding for the construction of housing affordable to lower -income persons. High land costs and legal and environmental constraints preclude the development of projects in Rolling Hills that would be eligible for such funding. Provides funding for senior housing. High land costs and legal and environmental constraints make the development of projects that would be eligible for such funding infeasible in Rolling Hills. Provides interest free loans to non-profit housing sponsors for preconstruction costs. Currently used only in connection with Section 202 above. Provides funding for a wide range of community development activities. Rolling Hills maximizes its use of these funds by using them to help fund senior housing rehabilitation in adjacent areas where land is less expensive than in the City, thereby allowing more people to be helped through limited funds. Authorizes issuance of bonds by redevelopment agencies. Rolling Hills does not have a redevelopment agency, or any areas that could be defined as blighted. Provides loans to housing sponsors for construction (CHFA) -Direct Lending or rehabilitation of housing projects containing over five units. Program could be. applied for by Rolling Hills' developers but projects of the five -unit minimum cannot he built in the City because of legal and environmental constraints. Provides financing for rehabilitation and purchase of Horne Ownership and Horne Improvement housing by low and moderate -income persons for (HOHI) Program housing in areas that are in need of rehabilitation. Absence of housing in need of rehabilitation precludes use in Rolling Hills. Provides grants and loans to assist low and moderate income families to build and rehabilitate their own homes. High land costs and home values make use of City of Rolling Hills Housing Element June 29. 2001 40 TABLE 16 FEDERAL AND STATE, HOUSING PROGRAMS AND THEIR APPLICABILITY IN ROLLING HILLS Program Mobile Home Park Assistance Emergency Shelter Comments this program in Rolling Hills unlikely. Provides Financial and technical assistance to mobile home park residents. No mobile home parks exist in Rolling Hills. Provides grants for homeless shelters. No population in need of homeless shelter exists in Rolling Hills. Special User Housing Rehabilitation Program targeted towards substandard housing. No substandard housing exists in Rolling Hills. Predevelopment Loans Senior Citizen Shared Housing Rental Housing Construction Deferred Payment Rehabilitation Loans Provides predevelopment loans for low-income housing projects. This source could be used by nonprofit developers in the City. However, high land costs, and environmental and legal constraints render infeasible the development of eligible projects in the City. Provides grants to assist seniors find shared housing arrangements. Rolling Hills provides informational brochures on shared housing referral services offered at neighboring cities. Rolling Hills provides the brochures using local funds. Provides cash grants for the construction of housing developments containing at least five units with 30 percent of the units affordable to lower income households. Environmental and legal constraints on the development of multi -family housing in the City render this program inapplicable. Provides loans for the rehahilitation of low and moderate - income housing. Not applicable in Rolling Hills because of absence of targeted housing. Marks Foran Rehabilitation Loans Allows revenue bonds for housing rehahilitation. The City does not have housing in need of rehahilitation. AB 1 151 -Density Bonuses AB 655 -Multi -Family Revenue Bonds Requires local governments to offer density bonuses or other incentives in exchange for the development of low- income housing. The City has not adopted its own density bonus program but will follow state requirements on a case -by -case basis. Allows for participation in a Countywide bond program for low-income multi -family housing. Legal and environmental constraints on multi -family housing in City of Rolling Hills Housing Element June 29.'2001 41 TABLE 16 FEDERAL AND STATE, HOUSING PROGRAMS AND THEIR APPLICABILITY IN ROLLING HILLS Program Comments Rolling Hills would make it very difficult to build housing meeting the low -rent requirements of this program. Single -Family Mortgage Revenue Bonds Redevelopment -Tax Increment Financing Allows for the issuance of bonds for below market loans for low and moderate -income homebuyers. The high costs of homes in the City make them unaffordable to persons targeted in this program. Allows local agencies to keep increases in taxes for redevelopment areas. This is inapplicable to Rolling Hills because there are no blighted areas, which could qualify for redevelopment. VI. HOUSING PLAN Chapters I1 to V establish the housing needs, opportunities, and constraints in Rolling Hills. The Housing Plan evaluates the accomplishments of the last adopted housing element, and then presents the City's five-year Housing Plan. The Plan sets forth the goals, policies, and programs to address Rolling Hills' identified housing needs. A. Review Of Housing Element Performance To Date State Housing Element law requires communities to assess the achievements of adopted housing programs as part of the five-year update to their housing elements. These results should be quantified where possible, but may be qualitative where necessary. These results need to be compared with what was projected or planned in the previous element. Where significant shortfalls exist between what was planned and what was achieved, the reasons for such difference must be discussed. 1. Progress Toward Implementing the 1991 Housing Element Programs The 1991 Rolling Hills Housing Element established programs to address the following primary housing goals: City of Rolling Hills Housing Element 42 June 29. 2001 • Provide for housing which meets the needs of existing and future Rolling Hills' residents. • Maintain and enhance the quality of residential neighborhoods in Rolling Hills. ■ Provide housing services to address the needs of the City's senior citizen population. ■ Promote housing opportunities for all persons regardless of race, religion, sex, marital status, ancestry, national origin or color. The following section examines the progress made towards implementing the City's housing programs as set forth in the 1991 Housing Element. As summarized in Table 17, the City has actively pursued avenues for supporting residential development and facilitating affordable housing opportunities, despite the overwhelming constraints that limit development opportunities in Rolling Hills. TABLE 17 CITY OF ROLLING HILLS PROGRESS TOWARD IMPLEMENTING THE 1991 HOUSING ELEMENT PROGRAMS Programs I Accomplishments Goal 1: Provide for housing which meets the needs of existing and future Rolling Hills' residents. Manufactured Horne Program: Permit manufactured homes on all buildable, single family lots in the City. The City has amended its Zoning Ordinance to provide for manufactured homes, and continues to permit this program. One request for a manufactured home was approved by the City during the past planning period. Density Bonus Program: Approve a density bonus as a mechanism of providing affordable housing should the City receive a development application for a low-income density bonus project which otherwise complies with zoning and CC&R restrictions. The City allows for density bonuses as a mechanism for low income development projects in compliance with zoning an, CC&R restrictions. No requests for density bonuses have been received by the City during the past planning period. Assessment Fee Program: To encourage the availability of low income housing, the City will actively encourage and assist the Rolling Hills Community Association (RHCA) to reduce the Association's assessment fees for households constrained by property taxes and Association fees. In the late 1980's, the property values on the Palos Verdes Peninsula, where the City of Rolling Hills is located, increased dramatically. In early 1990's the property values dropped and many residents found their homes worth less than when they bought them. Those residents petitioned the Los Angeles County Assessor's Office to have their home valuation reduced. so that their property taxes could be reduced accordingly. Those residents whose property taxes were reduced by the County Assessor's were also granted reductions in their association fees by the RHCA. Facilitate New Construction: The City will continue to tvork with and assist housing developers and builders to enable new housing to he built in the City. The City has continued to work with and assist developers and builders. Five new units and seven replacement units have been constructed during the past planning period. City of Rolling Hills Housing Element June 29. 2001 43 TABLE 17 CITY OF ROLLING HILLS PROGRESS TOWARD IMPLEMENTING THE 1991 HOUSING ELEMENT PROGRAMS Programs Accomplishments Coal 2: Maintain and enhance the quality of residential neighborhoods in Rolling Hills. Code Enforcement: In the event that a violation of City codes or regulations is discovered, the City works with the County and the Association to remediate the violation. Ground Instability: Continue to explore possible solutions to ground instability problems. Neighborhood Sponsored Sewer Districts: Promote and facilitate the development of homeowner sponsored sewer districts. Housing Repair and Temporary Shelter on Landslide Sites: Continue to allow the repair of damaged structures and remedial grading in landslide areas. Home Improvement Program for eligible low and moderate -income residents. The City continues to promote code enforcement in cases of violations. An educational program including information brochures has been implemented to discourage violations. A program to accomplish compliance also has been implemented. Approximately, fifty violations have occurred and been corrected during the past planning period. Code enforcement is intended to protect the public health, safety and welfare, and is not considered a constraint to the development of affordable housing. The City has continued to work with property owners and geotechnical consultants to establish construction regulations and to explore other potential solutions to the problem. However, despite these continued efforts, certain property in high -risk landslide areas remains unbuildable. The City has an established policy to offer technical assistance to homeowners wishing to establish a sewer district. One sewer reimbursement district consisting of five homeowners has been formed and constructed during the past planning period. The City permits use of temporary mobile homes on landslide sites with certain conditions. The City continues to allow repair of damaged structures and remedial grading in landslide areas with special permits. Since 1995, the City of Lomita has not requested Rolling Hills funds for senior housing. Consequently, in keeping with its commitment to support housing element objectives and low income housing needs, Rolling Hills has assigned its CDBG funds to the City of Rancho Palos Verdes Home Improvement Program for eligible low and moderate income residents of detached single family dwellings to provide grants and zero percent deferred loans to correct hazardous structural conditions, eliminate blight, and improve disabled access. Goal 3: Provide housing services to address the needs of the City's senior citizen population. Shared Housing Program: Actively market the two area shared housing programs — Foca Point at the South Bay Senior Services in Torrance and Anderson Senior Center in San Pedro - which assist seniors in locating roommates to share existing housing in the community. Informational brochures advertising existing._shaied housing programs are available at the public counter. Records on the number of matches that have occurred during the ' planning period are not available. City of Rolling Hills Housing Element June 29. 2001 44 TABLE 17 CITY OF ROLLING HILLS PROGRESS TOWARD IMPLEMENTING THE 1991 HOUSIN( ELEMENT PROGRAMS Programs T Accomplishments Reverse Mortgage Program: Inform residents about the advantages of reverse mortgages. A reverse mortgage is a deferred payment loan or a series of such loans for which a home is pledged as security, and can offer a viable financing alternative to many of Rolling Hills' elderly homeowners. The City offers referral services to seniors interested in pursuing a reverse mortgage. Congregate Housing for Seniors: Rolling Hills will continue to contribute its CDBG funding to nearby jurisdictions to facilitate the development of congregate housing for seniors. Between fiscal years 1990-91 and 1994-95, the City of Rolling Hills contributed its annual allotment of CDBG funds to the City of Lomita to be used expressly for the construction of congregate housing for lower income seniors. The City's contribution of approximately $159,000 has assisted the construction of two senior citizen affordable housing projects in Lomita, and has enabled the acquisition of property to construct a third low-income senior housing project. The Los Angeles County Housing Authority administers Lomita s housing program and senior housing units. The Housing Authority keeps a list of Lomita and Rolling Hills residents who an eligible for the subsidized senior housing units. Lomiu residents get the first priority in filling vacancies, and Rollin Hills' residents get second priority. Records regarding tht. number of Rolling Hills residents that have been placed in Lomita units are not available. Goal 4: Promote housing opportunities for all persons regardless of race religion, sex, marital status, ancestry, national origin or color. Fair Housing Program: As a' means of increasing public awareness of legal rights under fair housing laws. the City will advertise services offered by the Fair Housing Foundation. including housing discrimination response. landlord -tenant relations, housing information and counseling. and community education programs. As a participating City in the Urban County Community Development Block Grant Program, Rolling Hills cooperates with the Fair Housing Congress of Southern California through the Long Beach Fair Housing Foundation to enforce fair housing laws. Informational brochures about the Foundation are available at the City of Rolling Hills public counter and local library. City of Rolling Hills Housing Element 45 June 29. 2001 B. Goals And Policies As part of this General Plan update, the goals and policies of the past Housing Element were reviewed as to their appropriateness in addressing the community's housing needs. The following goals and policies reflect the City s continued commitment to actively support residential development and avenues for facilitating affordable housing opportunities, despite the overwhelming constraints that limit development opportunities in Rolling Hills. These policies will serve as a guide to City officials in daily decision making. GOAL 1: Provide for housing which meets the needs of existing and future Rolling Hills' residents. Policy 1.1: Evaluate ways in which the City can assist in providing housing to meet special community needs. Policy 1.2: Work with governmental entities to explore the possibility of providing affordable housing for low and moderate income and senior citizen households in the South Bay region. Policy 1.3: Continue to contribute Community Development Block Grant funds to nearby cities for the development of congregate housing for seniors. Policy 1.4: Continue to contribute Community Development Block Grant funds to nearby cities for home improvement programs for low and moderate income residents. Policy 1.5: Encourage the development of residential units that are accessible to the disabled or are adaptable for conversion to residential use by disabled persons. Policy 1.6: Encourage the use of energy conservation devices and passive design concepts that make use of the natural climate to increase energy efficiency and reduce energy costs. Policy 1.7: Continue to facilitate the. development of housing in the City, taking into account existing financial, legal, and environmental constraints. GOAL 2: Maintain and enhance the quality of residential neighborhoods in Rolling Hills. Policy 2.1: Encourage and assist in the maintenance and improvement of existing neighborhoods to maintain optimum standards of housing quality and design. Policy 2.2: Require the design of housing to comply with the City's building code requirements. Policy 2.3: Require compatible design to minimize the impact of residential redevelopment on existing residences. Policy 2.4: Enforce City housing codes and cooperate with the Rolling Hills Community Association to assure the upkeep and maintenance of housing in the City. City of Rolling Hills Housing Element 46 June 29. 2001 GOAL 3: Provide housing services to address the needs of the City's senior citizen population. Policy 3.1: Provide reference and referral services for seniors, such as in -home care and counseling for housing -related issues, to allow seniors to remain independent in the community. Policy 3.2: Coordinate with existing agencies providing shared housing programs in nearby cities as an option for seniors to share existing housing in the community. Policy 3.3: Coordinate with lending companies and institutions to educate the City's elderly homeowners as to the availability of reverse mortgage loans which allow income -poor seniors to remain in their homes. GOAL 4: Promote housing opportunities for all persons regardless of race religion, sex, marital status, ancestry, national origin or color. Policy 4.1: Affinn a positive action posture which will assure that unrestricted housing opportunities are available to the community, and enforce all applicable laws and policies pertaining to equal housing opportunity. Policy 4.2: Make information on fair housing laws available to residents and realtors in the City. Policy 4.3: Investigate any allegations of violations of fair housing laws. C. Implementing Programs The goals and policies set forth in the Housing Element to address the City's housing needs are implemented through a series of housing programs. The Housing Element program strategy consists of both programs currently in use in the City and additional programs to provide the opportunity to adequately address the City's housing needs. The following section provides a brief description of each program, five-year quantified objectives, funding source, responsible agency and implementation time frame. Shared Housing: Many seniors who prefer to live independently resortto institutionalized living arrangements because of security problems. loneliness. or an inability to live entirely independently. Seniors in Rolling Hills have access to two nearby shared housing programs: Focal Point at the South Bay Senior Services Center in Torrance and the Anderson Senior Center in San Pedro. Both these centers offer resources to assist seniors locate roommates interested in sharing housing. These programs make roommate matches between seniors based on telephone requests. Records on the number of matches that have occurred during the planning period are not available. The City will continue to actively market the availability of these shared housing programs by providing infonnational brochures at the public counter. City of Rolling Hills Housing Element 47 June 29. 2001 • Quantified Objective: Continue to provide informational brochures advertising existing shared housing programs to increase the number of roommate matches to ten over the 2000-2005 period. ■ Funding Source: City budgets. • Responsible Agency: City Planning Department. • Implementation Time Frame: Currently on -going (2000-2005) Reverse Mortgage Program: The most substantial asset of most elderly homeowners is their home, which in Rolling Hills has increased significantly in value with inflation. But while owning a home in Rolling Hills may provide a rich asset base, the onslaught of retirement and a fixed income can cause many elderly homeowners to quickly become income poor. Home maintenance repairs multiply as the home ages, and with rising costs in home utilities, insurance, and taxes, housing maintenance often gets deferred. An alternative option for elderly homeowners is to draw needed income from the accumulated equity in their homes through a reverse mortgage. A reverse mortgage is a deferred payment loan or a series of such loans for which a home is pledged as security. Qualification for the loan is based primarily on property value rather than income, allowing the elderly homeowner on a fixed income to receive a loan for which he or she would not otherwise qualify. Most reverse mortgage programs permit homeowners to borrow up to 80 percent of the assessed value of their property, to receive needed principal of up to 25 percent of the loan, and then to receive monthly annuity payments for the life of the loan. Four reverse mortgage products are available to consumers in the U.S. at the present time, and one product in Canada. These are the federally -insured reverse mortgage, called the FHA Home•Equity Conversion Mortgage Program (HECM); the Home Keeper reverse mortgage, which was developed', in the mid -1990s by Fannie Mae, a private national mortgage company; a private reverse mortgage product offered by Financial Freedom Senior Funding Corp., of Irvine, CA. This is the Cash• . Account Plan. Reverse mortgages may offer a viable financing alternative to many of Rolling Hills' elderly homeowners. The City can help to inform its senior population as to the availability of reverse mortgages by providing referral services to those seniors interested in pursuing a reverse mortgage. Information on reverse mortgages offered in the southern California area is available from the following lenders8: 2000 National Reverse Mortgage Lenders Association website (httr://www.reversemortgage.org/ I. December 2000. City of Rolling Hills Housing Element 48 June 29. 2001 Unity Mortgage Corp. — 800-334-9057 Financial Freedom Senior Funding Corporation — 800-500-5150 North American Mortgage Co. — 978-762-9240 Seattle Mortgage Company — 800-489-0986 Wells Fargo Home Mortgage — 800-336-7359 SCME Mortgage Bankers, Inc. — 800-448-7263. ■ Quantified Objective: Continue to offer referral services to seniors interested in pursuing a reverse mortgage. • Funding Source: None necessary. ■ Responsible Agency: City Planning Department. • Implementation Time Frame: Currently On -going (2000-2005). Congregate Housing for Seniors: Based on the infeasibility of senior housing development in Rolling Hills due to land costs and environmental constraints, the City will continue to offer a portion of its annual allotment of CDBG funds to neighboring cities to be used expressly for the construction of housing for lower income seniors. As this housing would be located outside the City of Rolling Hills' jurisdiction. under State law it could not be counted towards the City's regional share of housing needs. Nonetheless, this housing would provide congregate housing opportunities for Rolling. Hills senior citizen households, and thereby address a special housing need in the City. Rolling Hills will continue to offer to contribute a portion of its CDBG funding to nearby jurisdictions to facilitate the development of congregate housing for seniors. The City will continue to notify adjacent communities of its available CDBG allocations. Communities interested in receiving the funds are asked to submit their requests to the City of Rolling Hills in writing. explaining in detail how the funds will be used. These requests are taken to the City Council for a public hearing and a decision on how to allocate the funds. The City will continue to notify the Rolling Hills residents of available congregate housing opportunities through public notices in the Palos Verdes Peninsula News and notices in the bi-weekly Citi' of Rolling Hills Newsletter. • Quantified Objective: Increase the available supply of congregate housing units for seniors. • Funding Source: U.S. Dept. of Housing and Urban Development/Los Angeles County Community Development Commission ■ Responsible Agency: City Planning Department City of Rolling Hills Housing Element 4Q June 29. 2001 • Implementation Time Frame: Promotion in City Newsletter Ongoing (2000-2005). Assessment Fee Program: In the late 1980's, the property values on the Palos Verdes Peninsula, where the City of Rolling Hills is located, increased dramatically. In early 1990's the property values dropped and many residents found their homes worth less than when they bought them. Those residents petitioned the Los Angeles County Assessor's Office to have their home valuation reduced, so that their property taxes could be reduced accordingly. Those residents whose property taxes were reduced by the County Assessor's were also granted reductions in their association fees by the RHCA. To encourage the availability of low income housing, the City will continue to actively encourage and assist the RHCA to reduce Association's assessment fees for households financially burdened by property taxes and Assessment fees. Even though Rolling Hills residents with low reported incomes likely have high wealth reserves, the City, in the spirit of seeking affordable housing opportunities, will continue to promote this program in the bi-weekly City of Rolling Hills Newsletter which is mailed to every Rolling Hills household. • Quantified Objective: Continue to promote a program to help residents having difficulty making assessment payments. • Funding Source: City Budgets. • Responsible Agency: City Planning Department. • Implementation Time Frame: Promotion in City Newsletter Ongoing (2002-2005).. Home Improvement Program: In keeping with its commitment to support housing element objectives and low income housing needs, Rolling Hills will continue to assign a portion of its CDBG funds for neighboring cities home improvement programs. These programs assist eligible low and moderate -income residents of detached single family dwellings by providing grants and zero percent deferred loans to correct hazardous structural conditions, eliminate blight, and improve disabled access. The City will continue to notifyadjacent communities of its available CDBG allocations. Communities interested in receiving the funds are asked to submit their requests to the City of Rolling Hills in writing, explaining in detail how the funds will be used. These requests are taken to the City Council for a public hearing and a decision on how to allocate the funds. The Citywill continue to notify the Rolling Hills residents of available home improvement program opportunities through public notices in the Palos Verdes Peninsula Newts and notices in the bi-weekly City of Rollin Hills Newsletter. City of Rolling Hills Housing Element 50 June 29. 2001 ■ Quantified Objective: Continued assignment of CDBG funds to neighboring cities home improvement programs ■ Funding Source: U.S. Dept. of Housing and Urban Development/Los Angeles County Community Development Commission • Responsible Agency: City Planning Department ■ Implementation Time Frame: Currently Ongoing (2000-2005) Code and CC&R Enforcement: One factor contributing to the high levels of maintenance of Rolling Hills homes and neighborhoods is the cooperative work of the Rolling Hills Community Association and the City. The Architectural and the Landscape committees of the Association continuously monitor the City to ensure compliance with CC&Rs and relevant City codes and regulations. In the event that a violation of City codes or regulations is discovered, the City works with the Association to cure the violation. • Quantified Objective: Continue code enforcement efforts. • Funding Source: City Budgets. • Responsible Agency: City Planning Department. • Implementation Time Frame: Currently Ongoing (2000-2005). Facilitate New Construction: The City will continue to work with and assist housing developers and builders to enable new housing to be built in the City. The steep hillsides, deep canyons, geologic hazards and CC&Rs create constraints in the City that require high levels of cooperation between City staff, developers and builders. Continued cooperation will facilitate the construction of new housing and to allow the City to attain a feasible portion of its regional share allotment of new housing. • Quantified Objective: The development of Rolling Hill's buildout potential of up to 29 housing units. These 29 units will be 48.3% of the 60 housing unit target established by SCAG in 1999 as Rolling Hills 2000-20005 regional share. • Funding Source: City Budgets. • Responsible Agency: City Planning Department. • Implementation Time Frame: Currently On -going (2000-2005). City of Rolling Hills Housing Element 51 June 29. 2001 Facilitate Repair and Remodeling Activities: Landslide damage has, and may continue to remedial repair work on damaged homes and hillsides in the City. In addition, many homeowners have instigated extensive home remodeling which has lead to significant increases in the value and quality of existing housing stock. Both repair and remodeling activities are expected to continue. City staff has been active in facilitating the permitting process for remodeling and remedial repair work and will continue to provide this assistance. • Quantified Objective: Continue to assist all applicants for remodeling and remedial repair permits. • Funding Source: City Budgets. • Responsible Agency: City Planning Department. • Implementation Time Frame: Currently On -going (2000-2005).. Density Bonus Program: Pursuant to State density bonus law (section 565915-65918 of the Government Code), if a developer allocates at least 20% of the units in a housing project to lower income households, 10% for very low income households, or at least 50% for qualifying residents (62 years of age or older, or 55 years of age or older in a senior citizen housing project), the City must either: a)grant a density bonus of 25%, along with one additional regulatory concession to ensure that the housing development will be produced at a reduced cost, or b) provide other incentives of equivalent financial value based upon the land cost per dwelling unit. Should the City receive a development application for a low income density bonus project which otherwise complies with zoning and CC&R restrictions, the City will approve the density bonus as a mechanism of providing affordable housing. • Quantified Objective: Grant bonuses on all qualified projects. • Funding Source: City Budgets. • Responsible Agency: City Planning Department. • Implementation Time Frame: Currently On -going (2000-2005). City of Rolling Hills Housing Element 52 June 29. 2001 Ground Instability: Continue to explore possible solutions to ground instability problems. Any grading, new structures and additions require a soils and geology report that proves stability along with City and County permits. Also, any grading, new structure and additions of more than one thousand square feet that have the increase the size of the structure by more than 25% in any 36 -month period requires Site Plan Review and approval by the Planning Commission and concurrence by the City Council. The City has developed strict grading practices that require that soil be balanced on -site on all propose project that require grading. These practices are necessary to safeguard the public health and safety against ground instability problems. ■ Quantified Objective: Continue to work with geotechnical consultants to establish construction regulations and to explore other potential solutions to problem. • Funding Source: City Budgets. • Responsible Agency: City Planning Department and City Manager's Office. • Implementation Tune Frame: Currently On -going (2000-2005).. Neighborhood Sponsored Sewer Districts: Promote and facilitate the development of homeowner sponsored sewer districts. Financial constraints currently prohibit the development of a public sewer system in Rolling Hills. Because of the City s terrain of steep hillsides and deep canyons and the long distances from the County sewer system and between residences, costs for sewer services through the County's system are prohibitively expensive, and are beyond the City's financial means to subsidize. Requiring all homeowners to bear such a significant cost could create hardships for homeowners and would increase the cost of housing in the City. The City has an established policy to offer technical assistance and financial safeguards for private investments to homeowners wishing to establish a sewer reimbursement districts. The City will promote this program in the bi-weekly City of Rolling Hills Newsletter. One sewer reimbursement district consisting of five homeowners has been formed and constructed during the past planning period. ■ Quantified Objective: Complete development of district. ■ Funding Source: City Budgets. • Responsible Agency: City Planning and City Manager's Office. • Implementation Time Frame: Ongoing; promotion in City Newsletter by 2002. City of Rolling Hills Housing Element 53 June 29. 2001 Housing Repair and Temporary Shelter on Landslide Sites: The City will continue to allow the remedial repair of damaged structures and remedial grading in landslide areas with special permits. The use of temporary mobile homes on landslide sites will also continue to be permitted. • Quantified Objective: Continue to assist all persons qualified. • Funding Source: City Budgets. • Responsible Agency: City Planning Department. • Implementation Time Frame: Currently On -going (2000-2005). Fair Housing Program: As a participating City in the Urban County Community Development Block Grant Program, Rolling Hills cooperates with the Fair Housing Congress of Southern California through the Long Beach Fair Housing Foundation to enforce fair housing laws. As a means of increasing public awareness of legal rights under fair housing laws, the City provides at its public counter brochures for the Long Beach Fair Housing Foundation that advertise services offered by the Foundation, including housing discrimination response, landlord -tenant relations, housing information and counseling, and community education programs. • Quantified Objective: Continue to provide informational brochures at the public. • Funding Source: CDBG, City budgets. • Responsible Agency: City Planning Department. • Implementation Time Frame: Currently On -going (2000-2005).. Summary of Five -Year Program Goals: ■ Number of Units to be Constructed: 29 single-family units • Number of Units to be Rehabilitated: 0 rehabilitation need ■ Number of Units to be Conserved: 683 single-family housing units City of Rolling Hills Housing Element 54 June 29. 2001 DEC 2 1 2000 CONY a L SHIPP C�iy 0/ !2 f?..� INCORPORATED JANUARY 24, 1957 NEGATIVE DECLARATION AND NOTICE OF PUBLIC HEARING PLANNING COMMISSION OF THE CITY OF ROLLING HILLS, CALIFORNIA NO. 2 PORTUGUESE BEND ROAD ROLLING HILLS, CALIF. 90274 (310) 377-1521 FAX: (310) 377=7288 E-mail: cityolrh@aol.corn NOTICE IS HEREBY GIVEN, that the Planning Commission of the City of Rolling Hills will hold a Public Hearing at 7:30 PM on Tuesday,' December 19, 2000 in the Council Chambers of City Hall, 2 Portuguese Bend Road, Rolling'Hills, CA for the purpose of receiving public input regarding the following: CONSIDERATION OF A DRAFT 2000 HOUSING ELEMENT OF THE CITY OF ROLLING HILLS. The draft 2000 Housing Element of the City of Rolling Hills assesses current housing issues, identifies future housing needs of City residents, and provides goals, policies and a five-year schedule of programs for the preservation, maintenance and construction of housing within the City in accordance with State law. FINDINGS OF NO SIGNIFICANT EFFECT: BASED ON THE INITIAL STUDY, AND CONDMON(S) (IF APPLICABLE), IT HAS BEEN DETERMINED THAT THE PROJECT WILL NOT HAVE A SIGNIFICANT EFFECT ON THE ENVIRONMENT. A period of at least 30 days from the date of publication of this notice to adopt a NEGATIVE DECLARATION will be provided to enable public review of the proposed draft Housing Element, the Initial Study and this document prior to the final adoption of the NEGATIVE DECLARATION by the Lead Agency. A copy of the draft 2000 Housing Element, Initial Study, and the NEGATIVE DECLARATION are on file in the offices of The City of Rolling Hil_l.s. 2 Portu_ese Bend Road, Rolling Hills, CA 90274 and any person is welcome to review the proposed documents prior to the public hearing. If you challenge the approval or denial of the proposed 2000 Housing Element in court, you may be limited to raising only those issues you or someone else raised at the public hearing described in this notice, or in written correspondence delivered to the City of Rolling Hills at, or prior to, the public hearing. To receive a copy of the Initial Study or fof additional information, please contact the City of Rolling Hills at (310) 377-1521. Date: December 9, 2000 1.1- NOTIC' WAS POSTE9 DEC 212000 u, I':t I r, PEGISTRAR-RECORDER/COUTe.f':i ":LE By: Lola Ungar, P ing Director DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT Division of Housing Policy Development 1800 Third Street, Suite 430 ''. 0. Box 952053 Sacramento, CA 94252-2053 hitp://housing.hcd.ca.gov -23-3176 . 916) 327.2643 March 26, 2001 Ms. Yolanta Schwartz Principal Planner City of Rolling Hills 2 Portuguese Bend Road Rolling Hills, California 90274 Dear Ms. Schwartz: APPENDIX A L;;?e„ ! APR 052061 c1TY OF ROLL114 HILLS RE: Review of the City of Rolling Hills' Draft Housing Element Thank you for submitting Rolling Hills' draft housing element, received for our review on January 25, 2001. As you know, we are required to review draft housing elements and report our findings to the locality pursuant to Government Code Section 65585(6). The telephone conversation today between you and Ms. Rebecca Hoepcke, of our staff, assisted the review. This letter and Appendix summarize that conversation and our review. The housing element is well written and provides much useful information about the City. Although the draft element meets a number of the statutory requirements, revisions are needed to bring the element into compliance with State housing element law (Article 10.6 of the Government Code). En particular, the element does not identify how housing for lower -income households can be accommodated in Rolling Hills. While the element includes a number of programs to assist in the development of housing for lower -income households, it does not include the necessary programs to provide adequate sites with zoning and development standards that can accommodate housing for lower -income households. The Appendix to this letter outlines the revisions needed to bring the draft element into compliance. For your information, we have enclosed a brief description of new and existing housing and community development programs administered by this Department along with funding levels for the current fiscal year. We are pleased to report a historic increase in housing funds available through ElCD. Information on these programs, including recently released Notices of Funding Availability (NOFAs), has becn posted to our website. Please consult our homepage at www.hcdca.gov for new program information. We hope our comments are helpful to the City. We appreciate your cooperation during our review. If you would you like to schedule a meeting in Rolling Hills to discuss these issues, or have any questions or concerns, please contact Rebecca Hoepcke, of our staff, at (916) 323-7271. Ms. Yolanta Schwartz Page 2 In accordance with their requests pursuant to the Public Records Act, we are forwarding a copy of this letter to the individuals listed below. Sincerely, L� Cathy 'rector Deputy 'rector Enclosure cc: Catherine Ysrael, Supervising Deputy Attorney General, AG's Office Terry Roberts, Governor's Office of Planning and Research Kimberley Dellinger, California Building Industry Association Marcia Salkin, California Association of Realtors Marc Brown, California Rural Legal Assistance Foundation Rob Weiner, California Coalition for Rural Housing John Douglas, AICP, The Planning Center Dara Schur, Western Center on Law and Poverty Michael G. Colantuono, Attorney at Law Carlyle W. Hall, Hall & Phillips Law Firm Fair Housing Council of the San Fernando Valley Mark Johnson, Legal Aid Foundation of Los Angeles Dennis Rockway, Legal Aid Foundation of Long Beach Stephanie Knapik, Westside Fair Housing Council Mona Tawatao, San Fernando Valley Neighborhood Legal Services Mihn Tran, Inland Counties Legal Services Karen Warner, Cotton, Bridges & Associates. David Booher, California Housing Council Jonathan Lehrer-Graiwer, Attorney at Law Ana Marie Whitaker, California State University Pomona Joe Carreras, Southern California Association of Governments Won Chang, Attorney at Law, Davis and Company APPENDIX City of Rolling Hills The following changes would bring Rolling Hills' draft housing element into compliance with Article 10.6 of the Government Code. Accompanying each recommended change, we cite the supporting section of the Government Code. The particular program examples or data sources provided are suggestions for your information only. We recognize the City may choose other means of complying with the law. A. Housing Needs, Resources, and Constraints 1. Include an inventory of land suitable for residential development, including sites having the potential for redevelopment, and an analysis of the relationship of zoning and public facilities and services to these sites (Section 65583(a)(3)). The land inventory does not identify zones where emergency shelters and transitional housing are permitted. The land inventory should fully describe zones where shelters and transitional housing are a permitted or conditional use, and describe any conditions the City imposes. The element should indicate how the City's standards encourage and facilitate the development of emergency shelters and transitional housing. 2. Analyze code enforcement as a potential and actual governmental constraint upon the development of housing for all income levels (Section 65583(a)(4)). The element should describe the City's code enforcement process. We are enclosing a copy of our Housing Element Questions and Answers to assist with this analysis. B. Housing Programs 1. Include a five-year schedule of ,actions the local government is undertaking to implement the policies and achieve the goals and objectives of the housing element through the administration of land use and development controls, provision of regulatory concessions and incentives, and the utilization of appropriate federal and state financing and subsidy programs (Section 65583(c)). All programs should include a specific timeline. While it is appropriate for some programs to be listed as ongoing, programs that require the City to take or initiate specific actions should provide a more specific deadline. In addition, most programs should be revised to more specifically describe the City's role in implementation. The following examples are programs that require strengthening, clarification, and/or more definite timelines. In particular, a number of housing programs need clarification and strengthening to demonstrate the City's commitment to implementation. Second Units: This program should be expanded to indicate how the City will encourage the development of second units to provide affordable housing opportunities. Assessment Fee Program: This program should be expanded to indicate how residents are made aware of this opportunity. Congregate Housing for Seniors: This program should describe how the City will advertise its availability to developers. 2. Identify adequate sites which will be made available through appropriate zoning and development standards and with public services and facilities, including sewer collection and treatment, domestic water supply, and septic tanks and wells, needed to facilitate and encourage the development of a variety of types of housing for all income levels, including rental housing, factory -built housing, inobilehanes, housing for agricultural workers, emergency shelters and transitional housing (Section 65583(c)(I)(A)). The inventory identifies vacant sites with an expected capacity of 29 units compared to a regional housing need of 60 units. The housing element must be revised to include a program to provide sufficient sites to meet the total regional housing need allocation. In addition, given the cost and limited availability of land, the element should include strong programs to expand and strengthen actions the City will take to identify sites for the development of housing affordable to lower -income households. Examples of programs include: • a program to identify and rezone vacant sites with the most potential for higher density development; • a program to advertise the availability of second units; and • could include a program to rezone sites that allow mixed commercial and residential uses. Programs should be implemented early in the planning period to ensure the ability to develop land within the planning period. The sites identified should equal or exceed the City's total new construction need for each income group. The cost of land and low densities are identified as potential constraints to the development of affordable housing, even if the covenants, conditions and restrictions (CC&Rs) adopted by the Rolling Hills Community Association were removed. The City should commit to revising the zoning code to provide zones that, developed at the highest possible density, can accommodate the City's regional housing need allocation by income category. Existing vacant land should then be rezoned to provide the needed sites. While Rolling Hills has no control over the CC&Rs adopted by the Rolling Hills Community Association, the City must provide zoning that, regardless of outside constraints, can accommodate the City's regional housing needs allocation, by income category. C. Public Participation Local government shall make a diligent effort to achieve public participation of all economic segments of the community in the development of the housing element, and the element shall describe this effort (Section -65583(c)). The element should. describe how the City made a diligent effort to achieve the public participation of all economic groups. Specifically the element should clarify how low- income residents, their representatives, and their advocates were involved in the development of the housing element including their opportunities to review and comment. City olleollin INCORPORATED JANUARY 24, 1957 NO. 2 PORTUGUESE BEND ROAD ROLLING HILLS, CALIF. 90274 (310) 377.1521 FAX; (310) 377-7288 E mail: cityofrh@aol.com July 9, 2001 Rebecca Hoepcke Housing Policy Division California Department of Housing and Community Development 1800 3rd Street P.O. Box 952053 Sacramento CA 94252-2053 Re: City of Rolling Hills Housing Element Update Response to State Department of Housing and Community Development (HCD) Comments, dated March 26, 2001 Dear Ms. Hoepke: Enclosed please find copies of the City of Rolling Hills revised and adopted 2000 Housing Element Update, 2001 Report on the Implementation of the General Plan, and City Council resolution approving these documents. In response to the comments raised in the March 26, 2001 letter from HCD Deputy Director, Cathy Creswell, we have revised the City of Rolling Hills Housing Element and provide the following clarifications: HCD Comment A. 1: The land inventory should fully describe zones where shelters and transitional housing are a permitted or conditional use, and describe any conditions the City imposes. City Response: As discussed in Section II.B.5. of the City's amended Housing Element, the City of Rolling Hills has no feasible or suitable sites for emergency shelters or transitional housing. Nor does the City have an identified homeless population. The City is, however, committed to coordinating with and directing any homeless person(s) to local social service providers if the need arises in the future. A list of nearby social service agencies and shelters is shown in the Housing Element and is maintained by the City Clerk. HCD Comment A. 2: The element should describe the City's code enforcement process. DRAFT. - Year 2000 Revised Housing Element Update City of Rolling Hills — Page 2 of 5 City Response: As discussed in Section II.C.4. of the City's amended Housing Element, the City of Rolling Hills' housing stock is predominantly owner -occupied. The owner - occupancy rate, combined with the high quality of residential construction, has resulted in excellent upkeep of the City's units. According to the City code enforcement files and a recent windshield survey, no significant housing condition problems have been identified. The City's Code enforcement process is primarily complaint -driven. The Principal Planner serves as the Code Enforcement Officer. Complaints may be received in writing or by phone. Upon receipt of a complaint the Principal Planner follows up by a site visit, and if the complaint is legitimate by a letter to the owner of record. Occasionally, the City's Building Official is consulted to determine the merit and extent of the complaint. In the letter to the owner, the City establishes a date by which the condition, which triggered the complaint, must be abated or corrected. There are very few code violations in the city of Rolling Hills, and during this planning period, all noted violations have been resolved with a phone call or a letter. HCD Comment B. 1: Second Units: This program should be expanded to indicate how the City will encourage the development of second units to provide affordable housing opportunities. City Response: As discussed in Section III.B.1. of the City's amended Housing Element, because of infrastructure, geologic and fire safety constraints within Rolling Hills, second units may pose adverse impacts on public health, safety and welfare. The City of Rolling Hills has adopted an ordinance that prohibits second units on single-family lots. The ordinance makes the following findings that specify the adverse impacts on public health, safety and welfare that would result from allowing second units, and which justify their preclusion in Rolling Hills: • Lack of Sewers - Development of second units could potentially double the amount of sewage effluent currently entering the soil thereby exacerbating soil stability problems. • Geologic Setting - Numerous active landslides in Rolling Hills greatly diminish development potential and call for caution in increasing densities. • Rural Design and Community Roadway Character - The current capacity, design, and topographic constraints of the City roadways indicate increased residential densities would compromise traffic safety. • Fire Flow Requirements - The introduction of second units in Rolling Hills would change the infrastructure requirements on water pressure in the City, and as the City has no funds to revamp the water system, fire fighting capabilities would be compromised due to reduction in water pressure. DRAFT - Year 2000 Revised Housing Element Update City of Rolling Hills — Page 2 of 5 HCD Comment B. I : Assessment Fee Program: This program should be expanded to indicate how residents are made aware of this opportunity. City Response: As discussed in Section IV.C. of the City Housing Element, in the late 1980's, the property values on the Palos Verdes Peninsula, where the City of Rolling Hills is located, increased dramatically. In early 1990's the property values dropped and many residents found their homes worth less than when they bought them. Those residents petitioned the Los Angeles County Assessor's Office to have their home valuation reduced, so that their property taxes could be reduced accordingly. Those residents whose property taxes were reduced by the County Assessor's were also granted reductions in their association fees by the RHCA. To encourage the availability of low-income housing, the City will continue to actively encourage and assist the RHCA to reduce the Association's assessment fees for households financially burdened by property taxes and Assessment fees. Even though Rolling Hills residents with low reported incomes likely have high wealth reserves, the City, in the spirit of seeking affordable housing opportunities, will continue to promote this program in the bi- weekly City of Rolling Hills Newsletter which is mailed to every Rolling Hills household. HCD Comment B. 1: Congregate Housing for Seniors: This program should describe how the City will advertise its availability to developers. City Response: As discussed in Section IV.C. of the City Housing Element, development of senior housing in Rolling Hills is infeasible due to land costs and environmental constraints. Consequently, the City will continue to offer a portion of its annual allotment of CDBG funds to neighboring cities to be used expressly for the construction of housing for lower income residents and for housing rehabilitation. As this housing would be located outside the City of Rolling Hills' jurisdiction, under State law it could not be counted towards the City's regional share of housing needs. Nonetheless, this housing would provide congregate housing opportunities for Rolling Hills households, and especially senior citizens, and thereby address a special housing need in the City. Rolling Hills will continue to offer to contribute all of its CDBG funding to nearby jurisdictions to facilitate the development of congregate housing. The City will continue to notify adjacent communities of its available CDBG allocations. Communities interested in receiving the funds are asked to submit their requests to the City of Rolling Hills in writing, explaining in detail how the funds will be used. These requests are taken to the City Council for a public hearing and a decision on how to allocate the funds. The City will continue to notify the Rolling Hills residents of available congregate housing opportunities through public notices in the Palos Verdes Peninsula News, and notices in the bi-weekly City of Rolling Hills Newsletter. HCD Comment B. 2: The inventory identifies vacant sites with an expected capacity of 29 units compared to a regional housing need of 60 units. The housing element must be revised to include DRAFT - Year 2000 Revised Housing Element Update City of Rolling Hills — Page 2 of 5 a program to provide sufficient sites to meet the total regional housing need allocation. City Response: As discussed in Section V.B. of the City Housing Element, development in the Rolling Hills community is physically limited due to its unique land form constraints, which include: ■ ' Steeply sloping hillsides ■ Landslide hazards • Lack of urban infrastructure, specifically sewer • Danger of wildland fires ■ Sensitive animal habitats and species In addition, new development is further constrained by restrictions of the RHCA enforceable CC&Rs that run with the property in perpetuity. These CC&Rs have been in place prior to the City's incorporation, and continue to restrict development based on the community's unique constraints. Throughout the two year RHNA process, Rolling Hills has continued to inform SCAG that the RHNA allocations for its community are too high, and has requested a 50% reduction consistent with the number of potential units at full City build -out. Rather than reduce the City's RHNA allocation as requested, SCAG increased the City's share from 57 units (as presented in SCAG's April 1999 Housing Needs Assessment) to the current count of 60 units. The City's concerns are documented in an August 9, 2000 letter to Ms. Jan Debay, Chair of SCAG Growth Visioning, attached as Appendix E to this Element. Neither Ms. Debay nor any other SCAG representative has responded to the City's concerns. HCD Cornment C: The element should describe how the City made a diligent effort to achieve the public participation of all economic groups. Specifically the element should clarify how low- income residents, their representatives, and their advocates were involved in the development of the housing element including their opportunities to review and comment. City Response: As discussed in Section I.G. of the City Housing Element, public participation played an important role in the formulation of the goals, policies and programs promulgated by this amended Housing Element. Notices of the public hearings were posted at City Hall and published in the Palos Verdes Peninsula News. Rolling Hills is a relatively small community and its residents are accustomed to the City's noticing procedures. The City's notices were made equally available to all residents of all income levels. In addition, notices were provided to the cities of Rancho Palos Verdes, Rolling Hills Estates, Palos Verdes Estates and Lomita, the County of Los Angeles Regional Planning Department, the Palos Verdes Peninsula Unified School District, the Palos Verdes Peninsula Center Library District and the Los Angeles County Local Agency Formation Commission. Copies of the draft and amended Housing Element were available at the public counter at City Hall and DRAFT - Year 2000 Revised Housing Element Update City of Rolling Hills — Page 2 of 5 their availability was advertised together with the public hearings. At a July 9, 2001 public hearing, the Rolling Hills City Council reviewed the amended City Housing Element, and certified that the Element represents the City's continuing effort to respond to both local and regional housing needs. As such, the Council certified that the revised City Housing Element satisfies the requirements of Section 65580 of the California Government Code. Should you have any questions concerning our Revised Housing Element, please call me at (310) 377-1521. Sincerely, olanta Schwartz Principal Planner Enclosures cc. Mayor and City Councilmembers, City of Rolling Hills Craig Nealis, City Manager, City of Rolling Hills Cathy Creswell, Deputy Director, HCD APPENDIX B 17.12.260--17.16.010 17.12.260 "Z" words, terms and phrases. "Zoning district" means a specifically delineated area or district in a municipality within which regulations and requirements uniformly govern the use, placement, spacing and size of land and buildings. "Zoning map" means the map or:maps which area part of this title and delineate the boundaries of zone districts. (Ord. 239 §11(part), 1993). Chapter 17.16 RESIDENTIAL AGRICULTURE -SUBURBAN (RA -S) ZONE Sections: 17.16.010 Intent and purpose 17.16.015 Index of permitted uses. 17.16.020 Permitted uses. 17.16.030 Accessory uses and structures. 17.16.040 Conditional uses. 17.16.050 Site plan review required. 17.16.060 Lot area and dimensions. 17.16.070 Maximum level of site development permitted. 17.16.080 Height limitation. 17.16.090 Minimum dwelling unit -size. 17.16.095 Minimum building pad -size. 17.16.097 Building pad coverage, guideline 17.16.100 Maximum buildableslope. 17.16.110 Front yards. 4 17.16.120 Side yards. 17.16.130 Rear yard. 17.16.140 Permitted projections. 17.16.150 Structures and driveways permitted within required yards and easements. 17.16.160 Access and parking. 17.16.170 Stable and corral site required. 17.16.180 Landscaping requirements. 17.16.190 Additional residential development standards. 17.16.200 Conditions for accessory uses. 17.16.210 Conditions for conditional use permits. 17.16.220 Reports required for all development. 17.16.230 Balanced grading required. 17.16.240 Exploratory excavations. 17.16.010 Intent and purpose. A. The residential agriculture -suburban (RA -S) zone is established to provide suitable standards for development of single-family resi- _ dential homes' within the City. These standards are intend - 207 (Rolling Hills 11/00) 17.16.015--17.16.040 ed to promote development of high quality that accommodate: and maintains equestrian uses and facilities as opposed to large expanses of concrete such as those used for recre- ational game courts, does not adversely impact adjacent properties, and which preserves the rural character, natu- ral terrain, flora and fauna of the community. B. In order to implement General Plan land use policy and to protect the community's hillside environment, the RA -S zone is divided into two sub -districts: RA -S-1 and RA -S-2. The suffix indicates the minimum lot size require- ment in net acres. (Ord. 281 §6, 2000; Ord. 239 §11(part), 1993) . 17.16.015 Index of permitted uses. Appendix A of this title contains an Index of Permitted Uses which summa- rizes use regulations for all zones. This index supple- ments Sections 17.16.020 through 17.16.040. In the event of any conflict, the regulations of Sections 17.16.020 through 17.16:040 shall govern. (Ord. 239 §11(part), 1993). 17.16.020 Permitted uses. Uses permitted in the RA -S zone as primary uses include: A. Single-family residences; B. Tree, bush or field crops. (Ord. 239 §11(part), 1993). 17.16.030 Accessory uses and structures. The follow- ing uses and structures are permitted as accessory to a legally established single-family residence. Certain ac- cessory uses and structures below are subject to special conditions, as set forth in Section 17.16.200: A. Barn/stable; B. Corral or pen which does not require grading; C. Greenhouse; D. Hobby shop; E. Noncommercial radio antenna; F. Keeping of domestic animals except swine; G. Outdoor storage of recreational vehicles, boats or trailers; H. Satellite dish antenna; I. Swimming pool, including outdoor spa, bath or jet pool. (Ord. 239 §11(part), 1993). 17.16.040 Conditional uses. The following uses are permitted in the RA -S zone, provided a .conditional use permit has been issued as provided in Chapter 17.42 and continues to remain in effect. Certain uses requiring conditional use permits are subject to special conditions, as identified in Section 17.16.210. A. Conditional Uses Requiring Primary Residential Use. The following conditional uses may be permitted on property with a legally established single-family residence 208 (Rolling Hills 11/00) 17.16.050--17.16.060 and on which provision is made for a legally required and accessible stable and corral area: 1. More than one driveway for general circulation; 2. Cabana and detached recreation room; 3. Corral or pen requiring grading; 4. Detached garage; 5. Guest house; 6. Horseback riding ring; 7. Mixed use structure; 8. Recreational game court. B. Conditional Use As Primary Use. The following conditional uses may be permitted as a primary use on a lot: 1. Elementary school offering State -mandated cur- riculum; 2. Fire station; 3. Gate house; 4. Park and/or playground; 5. Public transportation limited uses by a joint powers transit authorityon school district property which is developed as a school maintenance facility in the RA -S-2 zone; 6. Public utility building or structure, including a reservoir or tank, necessary for the provision of essen- tial utility services to permitted uses in the City, but excluding wires, pipelines or poles; 7. Temporary manufactured home. (Ord. 281 §7, 2000; Ord. 456 §10, 1995; Ord. 239 §11(part), 1993). 17.16.050 Site plan review required. Site plan re- view shall be required for development in the RA -S zone, as specified in Chapter 17.46. (Ord. 239 §11(part), 1993). 17.16.060 Lot area and dimensions. Minimum lot area and dimensions shall be as follows: A. Minimum Lot Area. 1. All lots in the RA -S-1 zone shall contain a minimum net lot area of forty-three thousand, five hundred sixty square feet. 2. All lots in the RA -S-2 zone shall contain a minimum net lot area of eighty-seven thousand, one hundred twenty square feet. 3. The City Council may establish a greater mini- mum net lot area as warranted by environmental conditions. Wherever a greater minimum area is required; a number ex- pressing the required acreage shall be placed upon the zoning map as a suffix to the base zone district (for exam- ple, RA -S-10 for a minimum net lot area of ten acres). 4. Lots or parcels of record which, prior to the adoption of the current standard, are smaller than the cur- rently required lot area shall be considered to have the required area. 209 (Rolling Hills 11/00) 17.16.060 B. Minimum Dimensions. All lots shall comply with the following width and depth requirements: 1. The width of a lot at and along the street easement line shall be at least equal to or greater than the lot depth divided by two and one-half. However, in no event shall such abutting footage be less than one hundred fifty feet. 2. The minimum width of a lot at any point shall be one hundred fifty feet, measured at right angles to the side lot lines. 209-1 (Rolling Hills 11/00) 17.16.060 3. For corner lots, the lot line with the smallest linear feet of lot frontage shall be considered the front lot line for the purpose of this section. In measuring the front lot width, the measurement shall not include any footage within the side street easement. SUMNARY OF DEVELOPMENT STANDARDS (a) Development Standard Zone District 1. Minimum Net Lot Area RA -S-1 43,560 sf 2. Minimum Lot Dimensions •Width Along Street Easement • Width at Any Point • For Cul-de-sac Frontage •Depth At least lot depth divided by 2-1/2, but in no case less than 150' 150' 150' Dependent upon turn -around; see Section 17.16.060.8.4 Must be equal to or greater than width along front street easement, with maximum slope of 29% 3. Maximum Lot.Coverage •By Structures" -By Structures'and impervious surfaces 20% 35% 4. Height Limitation. 5. Minimum Dwelling Unit Size 6. Maximum Buildable Slope i 20% 35% One story (mezzanines, lofts, and storage areas not permitted) 1,300 sf, with 20' minimum width 2:1, with no structures allowed on sides or bottoms of canyons or natural drainage courses 7. Required Yards •Front •Side -Rear 50' 20' (b) 50' Notes: i 50' 35' (c) 50' (a) This table summarizes development standards. For .complete descrip- • tions, refer to Sections 17.16.040 through 17.16.130. (b) Every lot or parcel shall have a side yard measuring no less than 20 feet from the side property line, except if a Rolling Hills Community Asso- ciation easement, located along the side property line, is improved with a roadway, then the side yard shall be no less than 10 feet from the interior edge 'of that easement. (c) Every lot or parcel in the RA -S-2 zone shall have a side yard mea- suring no less than 35 feet from the side property line, except if a Rolling Hills Community Association easement, located along the side property line, is improved with a roadway, then the side yard shall be no less than 25 feet from the interior edge of that easement. 210 (Rolling Hills 10/98) 17.16.070--17.16.080 4. For lots fronting at the turn -around end of a cul-de-sac, the minimum frontage width shall be a function of the required cul-de-sac radius and the number of lots fronting the turn -around. No more than two lots shall front the turn -around, and the turn -around shall have a minimum radius of thirty-two feet. 5. All lots shall have a depth with a maximum slope of twenty-nine degrees equal to or greater than the lot width abutting the front street easement. (Ord. 275 §7, 1998; Ord. 239 §11(part), 1993). 17.16.070 Maximum level of site development permit- ted. The following standards for maximum lot coverage and maximum disturbed area shall apply to all development in the RA -S zone. A. Maximum Lot Coverage. Two maximum lot coverage standards shall apply - maximum coverage by structures and maximum coverage by impervious surfaces. . 1. Coverage by Structures. All structures on a lot shall not cover more than twenty percent of the net lot area. For the purpose of this section, "structures" in- clude the primary residence, garages, all accessory build- ings, recreational game courts, swimming pools and similar facilities, existing stables, combination stable and corral sites required by Section 17.16.170, and subterranean structures other than basements. 2. Impervious Surface Coverage. All structures, as defined in subsection (A)(1) of this section, and all other impervious surfaces shall not cover more than thirty- five percent of the net lot area. For the purposes of this section, impervious surfaces shall include all driveways, parking areas, walks, patios, decks and asphaltic or con- crete paving not maintained by the Association. B. Maximum Disturbed Area_ Disturbance shall be limited to forty percent of the net lot area. Disturbance shall include any remedial grading (temporary disturbance), any graded slopes and building pad areas, and any nongraded areas where impervious surfaces will remain or are proposed to be added. (Ord. 269 §7, 1997; Ord. 264 §7, 1996; Ord.. 254 56, 1995; Ord. 239 §11(part), 1993). 17.16.080' Height limitation. A. General Limitation. A building shall have no more than one story, meaning no interior habitable space shall exist over any other interi- or habitable space. For the purposes of this section, "interior habitable space" includes lofts, mezzanines and storage areas. B. Exceptions. 1. A one-story space shall be permitted over a basement. 211 (Rolling Hills 10/98) 17.16.090--17.16.120 2. Barns or stables may have a loft, provided the loft area has no glazed openings and that the loft area is limited in use to the storage of feed, tack and stable equipment. (Ord. 269 § 8, 1997; Ord. 239 §11(part), 1993) 17.16.090 Minimum dwelling unit size. Every single- family dwelling and manufactured home used as a primary residence shall have a minimum width of twenty feet and a minimum floor area of one thousand three hundred square feet, exclusive of any accessory structures. (Ord. 239 §11(part), 1993). 17.16.095 Minimum building pad size. The minimum size of a graded building pad shall be twelve thousand square feet, as specified in the City's Subdivisions Code (Title 16 of this code) . (Ord. 239 §11(part), 1993) . 17.16.097 Building pad coverage guideline. When reviewing a proposed development project for general plan and zoning ordinance compliance, the Planning Commission utilizes a guideline in determining whether the proportion of the building pad that is proposed for development is appropriate. The Planning Commission's guideline is ex- pressed in terms of a maximum percentage of building pad coverage. A determination as to whether a proposed project satisfies the guideline is determined by first calculating the square footage of the proposed structure or structures, dividing that number by the square footage of that portion of the building pad that is outside of required setbacks, and then comparing that percentage figure to the Commission's guideline percentage. Proposed projects that have a percentage of building pad coverage equal to or less than the Commission's guideline percentage satisfy the Commission's guideline. Satisfaction of the Commission's guideline for allowable building pad coverage is only one of several factors for determining project compliance with the general plan and zoning ordinance and all other re- quired findings for the particular approval sought must also be satisfied. (Ord. 270 §5, 1997). 17.16.100 Maximum buildable slope. No structure shall be located on any natural or graded slope with a grade exceeding 2:1, nor shall any structure be located on the sides or bottoms of canyons or natural drainage cours- es. (Ord. 239 §11(part), 1993). 17.16.110 Front yards. Every lot or parcel shall have a front yard measuring no less than fifty feet from the front easement line. (Ord. 239 §11(part), 1993). 17.16.120 Side yards. A. Requirements for RA -S-1 Zone. 212 (Rolling Hills 10/97) 17.16:130 Every lot or parcel shall have a side yard measuring no less than twenty feet from the side property line, -ex- cept if a Rolling Hills Community Association easement, located along the side property line, is improved with a roadway, then the side yard shall be no less than ten feet from the interior edge of that easement. B. Requirements for RA -S-2 Zone. Every lot or parcel in the RA -S-2 zone shall have a side yard measuring no less than thirty-five feet from the side property line, except if a Rolling Hills Community Association easement, located along the side property line, is improved with a roadway, then the side yard shall be no less than twenty-five feet from the interior edge of that easement. (Ord. 275 §8, 1998: Ord. 239 §11(part), 1993). /7.16.130 Rear yard. 1. Every lot or parcel shall have a rear yard measuring no less than fifty feet from the rear property line. 212-1 (Rolling Hills 10/98) 17.16.140--17.16.150 2. Accessory structures may be placed in the required rear yard area provided they conform to all other require- ments of this title. 3. Where an easement traverses the rear portion of any lot and the property owner does not have the right to use the easement for buildings, then the rear lot line shall be considered the rear line of that portion of the lot. to which the easement does not apply. (Ord. 239 §11(part), 1993) . 17.16.140 Permitted projections. The following pro- jections into required yard areas shall be permitted sub- ject to the specified conditions. • A. Projecting Architectural Features. 1. Chimneys, bay windows, cornices, eaves, belt • courses, sills, buttresses or other similar architectural features may extend or project into a side yard no more than two and one-half inches for each one foot of the side yard• setback, but in no case shall such features project more than five feet: 2. Such architectural features may project into a front or rear yard no more than four feet. 3. No permitted projection shall be constructed in any manner which increases the habitable floor area of a structure. B. Projecting Porches.. An uncovered porch, platform or landing place may project into any required front or side yard no more than six feet or into a rear yard without limitation. Such strut_ tu .. res_ina side yard shall. leave no less than five feet of unobstructed space to the edge of the building pad to allow for pedestrian movement within the setback. Such structures shall not extend above the floor level of the building to which they are attached. (Ord. 239 §11 (part) , 1993) . 17.16.150 Structures and driveways permitted within required yards and easements. Required yards shall be maintained unoccupied and unobstructed by any structures except for the following: A. A boundary fence is permitted in any yard, pro- vided the fence is located either on the perimeter easement line or not more than five feet outside of and parallel to the perimeter easement line. In the absence of an easement line, a boundary fence may be located on the property line. B. Driveways are permitted in any yard but shall not cover more than twenty percent of the area of the yard in which they are located. C. Uncovered parking areas are permitted in front or side yards. However, such parking areas shall not exceed ten percent of the area of the yard in which they are lo- cated and shall be located no closer than thirty feet from any roadway easement. 213 (Rolling Hills 5/94) 17.16.160--17.16.180 D. Walkways, steps, mail boxes, security lighting and irrigation systems are permitted in any yard area. (Ord. 239 §11(part), 1993). 17.16.160 Access and parking. A. Driveway Require- ments. 1. Each single-family dwelling is permitted only one driveway as access to a maintained roadway, except as otherwise permitted by Section 17.16.040(A). 2. Driveways shall be no wider than twenty feet, unless otherwise approved by the Planning Commission. All driveways shall have a roughened concrete driveway apron. 3. No driveway shall exceed a maximum grade of twelve percent, unless otherwise approved by the Planning Commission, and the first twenty feet of a driveway shall have a maximum grade of seven percent. 4. All new driveways shall be reviewed by the Traffic Commission. B.. Parking Requirements. Every single-family dwell- ing, including manufactured homes used as a primary resi- dence, shall have an above ground garage with a minimum ca- pacity of two cars with direct paved access to a maintained roadway. No new subterranean garage shall be constructed after August 13, 1997. Any subterranean garage lawfully existing as of August 13, 1997 shall be permitted to remain in accordance with the provisions of Chapter 17.24 of this title. (Ord. 269 §9, 1997; Ord. 239 §11(part), 1993). 17.16.170 Stable and corral site. required. Every lot or parcel of the RA -S zone for which site plan review is required by this title in connection with the construction of a new single-family residence or the. addition to an existing single-family residence, shall have areas devel- oped with or set aside for both of the following: A. A combination stable and corral area that complies with the criteria set forth in Section 17.16.200(A); and B. A vehicular accessway to the stable and corral area for delivery of feed and removal of waste that does not exceed a slope of twenty-five percent. For purposes of this section, "vehicular accessway" shall include .a driveway, roadway or other accessway that is traversable by any motorized device capable of deliver- ing feed and the removal of waste. These accessways need not be paved. (Ord. 252 §1, 1995: Ord. 239 §11(part), 1993). 17.16.180 Landscaping requirements. All existing landscaping shall be maintained in a healthy condition. No landscape plant materials shall be removed from a planted area unless the removed materials are replaced with like landscaping. (Ord. 239 §11(part), 1993). 214 (Rolling Hills 10/97) 17.16.190--17'.16.200 17.16.190 Additional residential development stan- dards. The following additional standards shall apply to construction in the RA -S zone. A. Eave Projection. 1. Every single-family dwelling shall have an eave projection of at least two feet, unless incompatible with neighboring residences. 2. Roof coverings for all buildings shall be Class A (having satisfied the fifteen -year weathering test and certified as such by Underwriting Laboratories or an equiv- alent recognized test agency). However, any new addition to or reroofing of a structure may match the existing roof covering, .provided the roof addition or the area to be re - roofed does not exceed two hundred square feet in size. B. Exterior Siding. Every single-family dwelling shall have exterior siding of brick, wood, stucco, or other similar material as provided by the building code of the City; no reflective siding shall be permitted. C. Roofing Material. Every single-family dwelling shall have a Class A roof as provided by the building code of the City; no reflective type roofing shall be permitted. D. Permanent Foundation. Every single-family dwell- ing shall be built or placed upon a permanent foundation approved by the County Engineer. (Ord. 239 §11(part), 1993). 17.16.200 Conditions for accessory uses. The follow- ing conditions shall apply to the use and development of accessory structures. A. Barns, Stables and Corrals. Any barn, stable or corral to be constructed shall comply with the following criteria: - 1. The stable shall be not less than four hundred fifty square feet in size and must have a contiguous corral that is not less than five hundred fifty square feet in size. The combined minimum area for a stable and corral shall be one thousand square feet. 2. The stable and corral shall not be located on a portion of the lot where the slope is greater than four to one. 3. No corral, pen, stable, barn or other similar holding facility shall be permitted in a.front yard. 4. Barns, stables, pens and corrals shall be lo- cated a minimum of thirty-five feet from any residential structure and a minimum of twenty-five feet from any prop- erty line. 5. Barns, stables and corrals shall be used for the exclusive purpose of keeping permitted domestic ani- mals. Commercial uses are not permitted. 215 (Rolling Hills 10/95) 17.16.200 B. Corral and Pen Not Requiring Grading. No specific conditions shall apply unless conditions are imposed through a discretionary permit review process. C. Greenhouse. No specific conditions shall apply unless conditions are imposed through a discretionary per- mit review process. D. Hobby Shop. No specific conditions shall apply unless conditions are imposed through a discretionary per- mit review process. E. Noncommercial Radio Antennas. Noncommercial radio antennas shall be subject to issuance of a zone clearance reviewed by the City Manager or designee, for purposes of assuring compliance with the following criteria: 1. Noncommercial radio antennas shall not be lo- cated in any required front yard or setback area and shall be hidden or screened from view from the surrounding prop- erties and any roadway easement. 2. All installations shall be ground -mounted and not affixed to a residential or permitted accessory struc- ture, unless required to ensure stability. 3. No more than one noncommercial radio antenna may be installed on any legal building site. 4. All wiring and cables emanating from noncommer- cial radio antennas shall be installed in compliance with applicable installation requirements. 5. A building or electrical permit, as applicable, shall be obtained prior to installation. 6. The installation shall not exceed a total over- all height of twenty-five feet from finished grade at total retraction. Extendable (telescoping) antennas shall not exceed fifty feet from finished grade at total .extension. 7. The occupant of the property must possess a valid radio operator's license issued by the Federal Commu- nications Commission. 8. Installation shall be valid only during the residence of a licensed radio operator and shall be removed upon transfer or change of ownership of the property. Notwithstanding the provisions of Section 17.08.050 of this title, a variance from the provisions of this para- graph may be granted by the Planning Commission, if neces- sary to allow the applicant to obtain reasonable reception. F. Keeping of Domestic Animals. All activities shall comply with applicable provisions of Title 6 of the Rolling Hills Municipal Code and the Los Angeles County Health and Safety Code. G. Outdoor Storage of Recreational Vehicles, Boats or Trailers. 1. No more than an aggregate total of three recre- ational vehicles, boats, trailers or horse trailers may be stored on any one property. 216 (Rolling Hills 10/95) 17.16.210 2. No such storage shall be permitted within fifty feet of any roadway easement. H. Satellite Antennae and Solar Panels. Installation of a. satellite antenna or solar panels shall be subject to issuance of a zone clearance by the Planning Commission except that zone clearance for satellite antennas that are three feet in diameter or less may be issued by the City Manager or designee. The review of the application by the Planning Commission, City Manager or designee shall be lim- ited to assuring compliance with the following criteria: 1. The satellite antennae or solar panels shall not be located in any required front yard or setback area and shall be hidden or screened from view from surrounding properties and any roadway easement. 2. Colors of the installation shall blend with adjacent environment and vegetation. 3. All satellite antennas installations that are more than three feet in diameter shall be ground -mounted and not affixed -to a residential or permitted accessory structure. • 4. No more than one satellite antenna may be in- stalled on any legal building site. 5. All wiring and cables emanating from a satel- lite antenna or plumbing device from solar panels shall be installed in compliance with applicable installation re- quirements. 6. A building and/or electrical permit, as appli- cable, shall be obtained prior to installation. 7. The installation shall not exceed a total over- all height of fifteen feet from finished grade at total extension. Notwithstanding.the provisions of Section 17.08.050 of this title, a variance from the provisions of this section "may be granted by the Planning Commission, City Manager, or designee for satellite antennas three feet or less in diam- eter, if necessary to allow the applicant to obtain reason- able reception. I. Swimming Pool. No specific conditions shall apply unless conditions are imposed through a discretionary per- mit review process. (Ord. 252 §2, 1995; Ord. 251 §§2, 3, 1995; Ord. 239 §11(part), 1993). 17.16.210 Conditions for conditional use permits_ The following minimum conditions shall apply to the use and development of the following conditionally permitted uses. The Planning Commission may impose additional conditions pursuant to Chapter 17.42. A. Conditional Uses Requiring Primary Residential Use. 217 (Rolling Hills 10/95) 17.16.210 1. More Than One Driveway. Additional driveways which provide a second or more means of vehicular access from a lot to a maintained street shall be permitted only in the following circumstances: a. The subject property is not developed with a driveway, within fifty feet of a roadway intersection; b. The subject property has frontage on main- tained roadway of not less than two hundred fifty feet; and c. A minimum separation of one hundred feet is maintained between driveways on the same property. 2. Cabana or Detached Recreation Room. No sleep- ing quarters or kitchen or other cooking facilities shall be permitted in cabanas or detached recreation rooms. 3. Corral Requiring Grading. No specific condi- tions shall apply unless conditions are imposed through a discretionary permit review process. 4. Detached Garage. No specific conditions shall apply unless conditions are imposed through a discretionary permit review process. 5. Guest House. a. All guest or servant quarters must be devel- oped on the same recorded lot as the main house. b. The building housing the quarters shall not contain more than eight hundred square feet of net floor area. c. No kitchen or other cooking facilities shall be provided within guest or servant quarters. d. The property shall be developed and main- tained in substantial conformance with the approved site plan on file. e. No vehicular access or paved parking area shall be developed within fifty feet of the proposed guest house or servant quarters. 217-1 (Rolling Hills 10/95) 17-.16.210 f. Occupancy of the proposed guesthouse or servant quarters shall be limited to persons employed on the premises and their immediate family or by the temporary guests of the occupants of the main residence. No guest may remain in occupancy for more than thirty days in any six-month period. g. Renting of guest houses or servant quarters is prohibited. h. All requirements of this title must be com- plied.with unless otherwise set forth in the permit or approved plan. i. A landscaping plan shall be submitted to the City of Rolling Hills Planning Department staff for approv- al. The.plan submitted must comply with the purpose and intent of site plan review, as specified in Chapter 17.46 of this title. • 6. Mixed Use Structures. A mixed use structure, as defined by this title, shall be subject to the following conditions: a. Vehicular access to the garage or mixed use structure shall not occur within an easement or within twenty-five feet of the side or rear lot line. b. If a portion of the structure is designed or intended to be used for a garage, that portion shall be separated by an interior common wall from the portion of the structure used as a stable, barn, office, study, recre- ational use or other use. The interior common wall shall be constructed in the same manner as found in attached townhouse construction. No access from -the interior -of -the- • portion used for a garage to the interior of the portion used for the other use shall be permitted. c. If a portion of the structure is intended to be used as a stable or barn, that portion of the structure shall be used exclusively for the purpose of keeping horses or other permitted animals. d. There shall be no sleeping quarters, tempo- . rary occupancy or kitchen/cooking facilities or equipment in any portion of the detached garage or mixed use struc- ture. e. A loft area may be constructed only over a stable area of the structure, pursuant to this title and the Building Code. f. Where the garage, stable or any other use that is specified on the approved plan is converted to another use, or if the proportionsof any approved use is changed without required approvals, the permit granting the mixed use structure may be revoked, pursuant to Chapter 17.58, and the structure shall be removed at the cost of the property owner. g. If any conditions of the permit are violat- ed, or if any law, statute or ordinance is violated, the permit may be revoked and the privileges granted by the 218 (Rolling Hills 5/94) . 17.16.210 permit shall lapse, provided that the property owner has been given written notice to cease such violation and has failed to do so for a period of thirty days, and further provided that the owner has been given an opportunity for a hearing. 7. Recreational Game Courts. Tennis, racquetball and squash courts, and any other fenced, enclosed, paved or hard -surfaced areas used for recreational purposes shall adhere to the following conditions. a. A legally required and accessible stable and corral area shall be provided on the site in accordance with Section 17.16.010(A). b. A game court shall not be located in a front yard. c. A game court shall not be located within fifty feet of any paved road or street easements. d. Retaining walls constructed for a game court shall not exceed four feet in height at any point along the wall; 'retaining .walls shall not be exposed to the exterior; and if necessary to minimize the visual impact, the game court surface shall be inset or sunken below grade. e. The construction of the proposed game court shall conform to the lot coverage limitations as set forth in Section 17.16.070. f. A game court shall not be located on a slope that exceeds a 2:1 grade. g. A game court shall not be located on the side or bottom of a canyon or in the path of a natural drainage course. h. When grading is required for a game court, cutting and filling shall be balanced on site and shall not exceed a total cut and fill of seven hundred fifty cubic yards. i. When grading is required for a game court, cutting and filling shall be balanced on site and shall not exceed ten thousand square feet. j. The existing topography, flora and natural. features of the site shall be retained to the greatest extent possible. k. Drainage systems shall be incorporated into the game court and shall be approved by the City Engineer. 1. A game court shall be adequately screened on all four sides. m. Landscape screening shall include native or other drought -tolerant mature trees and shrubs which shall be maintained in a healthy condition. The landscape screening shall not exceed the mature height determined by the Planning Commission or City Council and shall be ap- proved in accordance with the site plan review process pursuant to Chapter 17.46. 218-1 (Rolling Hills 11/00) 17.16.210 n. Landscaping shall not.interfere with the viewscape of surrounding properties or easements pursuant to Chapter 17.26. o. Game court lighting shall not be permitted. p. Design and construction of a game court shall include methods to mitigate visual and noise impacts. B. Conditional Uses As Primary Use. 1. Elementary School Offering State -Mandated Cur- riculum. No specific conditions shall apply unless condi- tions are imposed through a discretionary permit review process. 2. Fire Station. No specific conditions shall apply unless conditions are imposed through a discretionary permit review process. 3. Gate House. No specific conditions shall apply unless conditions are imposed through a discretionary per- mit review process. 4. Park and/or Playground. No specific conditions shall apply unless conditions are imposed through a discre- tionary permit review process. 5. Public Utility Building. No specific condi- tions shall apply unless conditions are imposed through a discretionary permit review process. 6. Temporary Manufactured Homes or. Trailers. Temporary manufactured homes and trailers may be permitted only in cases where an occupied primary residence on a property has been rendered uninhabitable by an active land- slide. Any approval of a conditional use permit for tem- porary living quarters within a manufactured home or trail- er shall be subject to the following conditions and any other conditions which the Planning Commission may require. a. The manufactured home or trailer shall not be placed on a permanent foundation. b. All utilities shall be above -ground and ade- quate.above-ground storage tank facilities shall be pro- vided for sewerage; provisions shall be made for the regu- lar pumping of such tank facilities. c. The specific location of the manufactured home or trailer on the property shall be subject to approv- al by the Commission. e.. Placement of the manufactured home or trail- er shall not create a geologic hazard or otherwise be det- rimental to the public health, safety and welfare. f. Conditions shall be imposed to ensure that the visual impact of the manufactured home or trailer is as harmonious as reasonably possible with the neighborhood. g. The applicant shall present facts demon- strating a necessity for temporary alternative living ar- rangements during the pendency of an active landslide. h. The primary residence shall not be occupied while the manufactured home or trailer remains on the prop- erty. Gas and electric utilities shall be disconnected 218-2 (Rolling Hills 11/00) 17.16.220--17.16.240 17.16.220 Reports required for all development. Prior to the submittal of an applicable final grading plan for any approved development to the County of Los Angeles for plan check, a detailed grading and drainage plan with related geology, soils and hydrology reports that conform to• the development plan, as approved by the Planning Com- mission shall be submitted to the Rolling Hills Planning Department staff for review. Cut and fill slopes must con- form to the City of Rolling Hills standard of 2:1 slope ratio. (Ord. 239 §11 (part) , 1993) . 17.16.230 Balanced grading required. Per the re- quirements of the City's Building Code (Title 15 of the Municipal Code): A. No export of cut materials or fill materials shall be permitted in connection with any grading performed in the City, unless otherwise permitted by the provisions of Title 15 of this Code. B. No export or import of soil that does not require a grading permit shall be permitted for remedial repair of hillsides or trails in the City, unless otherwise permitted by the provisions of Title 15 of this Code. (Ord. 273 §6, 1998: Ord. 239 §11(part), 1993). 17.16.240 Exploratory excavations. Per the require- ments of the City's Building Code (Title 15 of the Munici- pal Code), property shall be restored to the condition that existed prior to excavations, to the maximum extent practi- cable, following exploratory excavations and within the time period, if any, specified by the City Manager or designee. (Ord. 274 §4, 1998). 218-3 (Rolling Hills 4/98) 17.28.010-17.2-8.020 APPENDIX C Chapter 17.28 SECOND UNITS ON SINGLE-FAMILY LOTS Sections: 17.28.010 Prohibition. 17.28.020 Findings. 17.28.030 Limitation on housing opportunities. 17.28.010 Prohibition. Second units on single-family lots are prohibited within the City for the reasons set forth in Section 17.28.020. For the purposes of this chap- ter, "second unit" means a detached or attached dwelling unit which provides complete, independent living facilities for one or more persons, including permanent provisions for living, sleeping, cooking and sanitation on the same parcel as is situated the primary residential structure. (Ord. 239 §11 (part) , 1993) . 17.28.020 Findings. The following findings specify the adverse impacts on the public health; safety and wel- fare that would result from allowing second units on 218-20a (Rolling Hills 11/00) 17.28.02G single-family lots and which justify their preclusion wit in the City. A. Lack of Sewers. The City has no sanitary sewer system, and sewage effluent is disposed of into cesspools and leach lines which enter the earth strata and percolate into the soil. By authorizing second units in the City, the amount of sewage effluent entering the ground, estimat- edto be sixty million one hundred thirty-three thousand seven hundred fifty gallons a year in 1983, could double. This increase would add to an already existing problem of the effluent water entering the ground and decreasing the shearing strength of the predominant clay soil along slip- page surfaces. The strength of clay decreases as its ab- sorbed water content increases, resulting in movement and instability. The authorization of second units wduld lower the margin of safety by contributing to a decrease in geo- logic stability. The current method of sewering the City is predicated on one -acre and two -acre sized lots and lim- ited density, which places an acceptable level of risk on the amount of effluent entering the earth strata in the City. B. Geologic Setting. In the City, numerous active landslides greatly diminish development potential and call for caution in increasing densities. Reference is made to Figure S-2 in the Safety Element of the Rolling Hills Gen- eral Plan. The risk of landslide is affected by develop- ment of the land in that, as noted in the Safety Element, areas shown as probable landslides are 'unacceptable risks,' and development -upon slide- maGSPs_ dds_to_the total weight of the system, thereby increasing driving forces of the land. The addition of second units in the City would compound the problem by increasing development and exposure to levels of risk beyond acceptable standards. C. Rural Design and Community Roadway Character. The City has no public streets, and all roadways have con- trolled access. The roadways are rural and narrow (twenty to twenty-four feet of paving) with no curbs, gutters or sidewalks. In many instances, equestrian paths are direct- ly adjacent to the roadway paving. This design is predi- cated on a rural density of one or two acres per unit. The current capacity and design of the entirely private road- ways, riding rings and trails cannot withstand increased densities. Roadways in the City are generally long and narrow with lengthy cul-de-sacs (one way in and out). This standard is acceptable only because of the low, rural den- sity, and the authorization of two units on lots would demand a change in the roadway design of the City. There is no funding available for such an endeavor, and to pro- ceed with two units on lots without additional access would compromise traffic safety as well as the fire protection needs of the City. 218-21 (Rolling Hills 5/94) 17.28.030 D. Fire Flow Requirements. The introduction of sec- ond units would change the infrastructure requirements on water pressure in the City beyond the current requirements of one thousand two hundred fifty gallons per minute. According to the Safety Element of the General Plan, water pressure to right fires would change to one thousand seven hundred fifty g.p.m., and the spacing requirement for fire hydrants would become three hundred thirty feet, rather than the current five hundred feet. The fire -fighting capability of the City would be compromised ff proper pres- sure could not be met. The City has no funds available to revamp the system that was planned and installed for single-family residential lots in a hillside area. (Ord. 239 §11(part), 1993). 17.28.030 Limitation on housing opportunities. A. The City of Rolling Hills acknowledges that the preclusion of second units in Rolling Hills City may limit housing opportunities -of the region. This limitation is justified, however, by the unusual circumstances described in Section 17.28.020. B. Moreover, the City of Rolling Hills has partici- pated in regional housing programs and has contributed its funds for housing projects to the City of Lomita, a neigh- boring municipality. In adopting the Housing Element of the General Plan in 1990, Rolling Hills accepted a share. of its regional housing allocation and established the docu- mented constraints on housing potential in the City. The Housing Element -established that Rolling Hills would work fully with all jurisdictions in insuring that housing needs of the region are met. Given the relatively small number of single-family residences located within the City, which represents an insignificant percentage of regional units, this preclusion will not significantly affect housing op- portunities in the region. (Ord. 239 §11(part), 1993). 218-22 (Rolling Hills 5/94) APPENDIX D Rolling Hills Community Association Zoning Regulations ARTICLE III Zoning Section 1. Definitions The protective restrictions in. this article shall be known as " Building Zone Restrictions"; and for the purposes hereof the following explanations and definitions of words, terms, and phrases shall govern unless the context thereof shall clearly indicates a different meaning: (a) A "building site" shall be taken to be a lot or lots, or parcel of land: (1) Designated as a building site or building sites in any instrument of original conveyance, lease or sale by Palos Verdes Corporation; (2) Designated as a building site, or building sites in this Declaration, or in any declaration of local restrictions or amendment and additions thereto, made and filed for record by Palos Verdes Corporation in the. manner and pursuant to the provisions hereof; (3) Any lot shown on any map of record of any original subdivision or partition of said property subject to the jurisdiction of the Association; and filed by or on behalf of the Palos Verdes Corporation; (4) Any lot shown on any map of record of any resubdivision of any plots or parcels of said property filed by or on behalf of Palos Verdes Corporation, which resubdivision is approved by the Association and is per- mitted by the restrictions applicable thereto and thereby allowed to be used as a building site; or 17 (5) Any lot of any subdivision or resubdivi sion of any property (other than said property) which hereafter becomes subject to the jurisdiction of the Association by virtue of restrictions, conditions, covenants, and/or contracts relating thereto, and by acceptance of jurisdiction by the Board of Directors of said Association, and by and with the approval of Palos Verdes Corporation; (6) The "number of building sites" of all of said property, because of its size, shall be taken as one hundred (100) building sites, and the number of building sites from time to time held by and vested in Palos Verdes Corporation shall be said building sites less the number of building • sites transferred and conveyed to grantees by deeds and instruments of con- veyance executed by Palos Verdes Corporation, provided, however that the num- ber of building sites held by and vested in Palos Verdes Corporation in the event of and after the filing of a declaration or of a map of an original subdivision or re -sub -- division designating the total number of building sites in said tract shall not exceed the number of building sites represented by the unsold lots or parcels remaining after such declaration or subdivision. Luguiczn" not less than five feet (5') distant, measured (b) A horizontally, orizontal from any portion ois one that is other building. f any (c) The "Mari of a building is the ver- tical distance measured from the lowest part of the building to the top of the roof of the highest part of the building (excepting towers or spires). description of which is filed with and approved (d) A'i _r is any piece of land , the of th Association, regardless of plats recordedin the office ofothe CouofDnty Recirectorsorder. (e)A"sinQl�ef_ydwell "isa dwelling for (1) one family alone, having but (1) one kitchen, provided that reason- able quarters may be built and maintained in connection therewith for the use and occupancy of servants and guests, as provided in Section 5 (c) hereof. " is of a included between the surface of any floor an(f) A d the" e"ffinished ceat goabove it building (g) The word " means the for which the building is designed, arranged or maintained orrffo„r which it is or maye be occupied or maintained. Y Section 2. Classes of Use Districts The following general plan of zoning or districting is hereby adopted for said property and there are hereby established and defined for said property certain classes of use districts which shall be known as: 18 Residence Districts of: Class A - Single Family Dwellings Class A-1 Single Family Dwellings Business and Public Use Districts of: Class B - Public and Semi-public Uses and Certain Designated Business Uses. The districts of said classes and of each thereof are hereby established for said property with location, extent and boundaries thereof as defined and established herein, or as may be defined and established by Palos Verdes Corporation in supplemental and additional restrictions approved by the Board of Directors of the Association and filed for record with said County Recorder, provided that further and/or different classes of use districts may be established and defined in said supplemental and additional restrictions. No building nor premises nor any portion of said property shall be used or structure erected to be used for any purpose other than a use per- mitted in the use district of the class in which such building or premises or property is located. Section 3. Residence Districts of Class A and Class A-1. Single Family Dwellings In Residence Districts of Class A and Class A-1, no build- ing, structure, or premises shall be erected, constructed, altered or maintained on any building site which shall be used or designed or intended to be used for any purpose other than that of a single family dwelling and as defined and provided in subparagraph (e) of Section 1 of this Article. Section 4. Public and Semi -Public Uses and Certain Designated Business Uses of Class B In the Use district of Class 8, no building, structure, or premises shall be erected, constructed , altered or maintained which shall be used or designed or intended to be used for any purpose other than that of park, play- ground, church, public or private school, library, fire -house, museum, public art gallery, not more than one (1) tea-room or restaurant in which liquors may be sold and dispensed (subject to regulation by the Association), administration buildings of and for the Palos Verdes Corporation and/or the Association, or other public or semi-public building or use, or as a single family dwelling. Section 5. Accessory Buildings. etc. (a) Notwithstanding anything herein contained, customary outbuildings, farm buildings, stables and corrals, as herein 19 provided, accessory buildings, defined herein, or bridges may be located or main- tained as accessory to any main building lawfully within the boundaries of any dis- trict herein specified. The term "accessory" shall not include a business nor shall it include any building or use not on the same building site with the building or use to which it is necessary. (b) A private garage for more than six (6) motor vehicles shall not be deemed accessory in any Use Districts of Class A, Class A-1, or Class B, except with the approval of the Board of Directors of the Association. (c) Accessory Buildings. Buildings accessory to a single family dwelling, lot or use, shall include and permit the building of servants' quarters as a part of the main building, or with the written approval of the Board of Directors of the Association, in a separate detached accessory building or buildings, with kitchens on the same lot. By and with the writ- ten approval of the Board of Directors and subject to such condition and require- ments as may be set forth in said written approval, guest houses without kitchens, and to be used and occupied only by non-paying guests of the family, may be erected upon the same lot, and shall be deemed buildings accessory to said single family dwelling. Section 6. Interpretation, In interpreting and applying the provisions of this declara- tion, they shall be held to be the minimum requirements adopted for the promotion of the health, safety, comfort, convenience and general welfare of the owners and occupants of said property. It is not intended by this declaration to interfere with any provisions of law or ordinance or any rules, regulations, or permits previously adopted or issued or which may be adopted or issued pursuant to law relating to the use of buildings or premises; nor is it intended by this declaration to interfere with or abrogate or annul easements, covenants or other agreements between par- ties; provided, however that where this declaration imposes a greater restriction upon the use of buildings or premises or upon the height of buildings or requires larger yards, courts or other open spaces than are imposed or required by such provisions of law or ordinances or by such rules, regulations or permits, or by such easements, covenants or agreements, then and in that case the provisions of this declaration shall control. Section 7. Alterations andChange in Occunanc. No building or structure erected, constructed, or premises used on any part of said property shall at any time be altered so as to be in viola- tion of this declaration. Section 8. Building Permits. No building permit shall be issued by or on behalf of the Association for the erection or alteration of any building or structure contrary to the provisions of this declaration. 20 Section 9. No Use Prior to Is_stlafoe of Certificate of Completian_and Compliance No owner or lessor of any portion of said property shall use or per- mit the use of any building or premises or part thereof created, erected, changed, or converted wholly or partly in its use or structure until a certificate of completion and compliance to the effect that the building or premises or the part thereof so cre- ated, erected, changed or converted and the proposed use thereof conform to the provisions of this declaration, shall have been issued by the Association. August 9, 2000 City 0/Rainy _Alio INCORPORATED JANUARY 24, 1957 APPENDIX E Ms. Jan Debay Chair of SCAG Growth Visioning For a Sustainable Region Subcommittee of CEHD Southern California Associationof.Governments 818 West Seventh Street Los Angeles, CA 90017-3435 Attention: Mr. Jim Jacob NO. 2 PORTUGUESE BEND ROAD ROLLING HILLS, CALIF. 90274 (310) 377-1521 FAX: (310) 377-7288 E-mail: cityofrh@aol.com SUBJECT: CITY OF ROLLING HILLS 2010 — 2025 POPULATION, HOUSEHOLD AND EMPLOYMENT GROWTH FORECASTS Dear Ms. Debay: This letter is in response to the 2010 — 2025 population, household and employment growth forecasts for the City of Rolling Hills which is a part of the South Bay Cities Subregion that were sent out by SCAG in February, 2000. We informed SCAG that the draft growth forecasts for the City of Rolling Hills are too high. We requested the reduction by 50% of the growth forecasts but those requests were not accepted. We also attended meetings with other South Bay Cities regarding the forecasts and were told that if the forecasts of protesting cities were reduced, then the forecasts of those cities who had not protested would be increased. Rolling Hills is a private gated community that is entirely residential with 682 single-family estate -size residences (2000 figures) and a population of 2,066 persons (State Department of Finance estimate) that is not yet substantiated by the U.S. Census. Half the population is over 45. years old. The City is almost completely built out with very few available or buildable new building sites. There are no commercial or industrial uses within the City. The City is also constrained by the fact that all territory in the City is subject to long-standing CC&Rs adopted prior to the incorporation of the City that strictly limit the type and density of development in the City. Those CC&Rs are administered and enforced by the Rolling Hills Community Association, a separate legal entity. Each year there are only 1 to 2 new residential structures constructed, and of these, most are teardown replacement residences. Since the 1990 census, the population of 1,871 persons increased by 195 persons to 2,066 according to the State Department of Finance, a rate of 10.4%. With today s Department of Finance estimate of 2,066 persons (not yet verified by the U.S. Census) and taking into account community constraints, there is no rationale for SCAG's estimate for the year 2010 showing an increase of 300 persons, a 14.5% increase, and an increase of 1,056 persons for the year 2025, a 33.8% increase. In January, 1989, SCAG established 40 housing units as Rolling Hills regional share for 1989-1994. In that time period, 15 new housing units were constructed, 5 of which were additional units. Since 1994, 12 new housing units were constructed, 5 of which were additional units, and 3 units were demolished and not replaced, for a net housing unit gain of 2 additional units. That is an increase of 7% in 10 years.. Therefore, since 1989, only 7 additional units were and are under construction. With today s total residences of 682, the estimate of 131 new structures by 2010 and 597 new structures by 2025 of Household Growth input is not reasonable when new construction of single-family estate -size residences have been mostly replacement teardowns. Let us repeat, each year there are only 1 to 2 new residential structures constructed, and of these, most are teardown replacement residences. ® iCif :P c•,• .i ,1 1'. .: We do not question the employment forecasts as they seem to be reasonable. ' In conclusion, to accurately represent the City of Rolling Hills in the regional modeling process and takini into account community constraints, it appears that the progressive increase estimates for populatior should be lowered to 10.4% for each 10 year period and the household units should be lowered to 7% for each 10 year period. Thank you for your cooperation. Feel free to call me if you have any questions at (310) 377-1521. Lola Ungar Planning Director cc: Mr. Craig Nealis, City Manager Housing Element any. aiell4 q.v.' Plan June 25; 4990 A HOUSING ELEMENT TABLE OF CONTENTS Pagg Introduction 1 State Policy, Authorization and Mandate 2 Purpose of Element 2 Relationship to Other Elements 5 Housing Needs Assessment 6 Demographic Trends 6 Household Characteristics 9 Housing Unit Characteristics 14 Housing Constraints 23 Market Constraints 23 Governmental Constraints 24 Environmental and Infrastructure Constraints 27 Housing Opportunities 30 Residential Land Inventory 30 Residential Development Potential Compared 32 With Future Housing Growth Needs Summary of Housing Issues and Opportunities 33 Housing Plan 34 Evaluation of Accomplishments Under 34 Existing Housing Element Goals and Policies 38 Implementing Programs 40 HOUSING ELEMENT LIST OF TABLES Table Page H-1 State Housing Element Requirements 3 H-2 Age Characteristics of Population: 1980, 1989 7 H-3 Race and Ethnicity: 1980, 1989 8 H-4 Homeless Social Service Providers 13 H-5 Housing Trends: Rolling Hills and Surrounding 14 Areas, 1980-1989 H-6 Residential Recycling Activity 15 H-7 Age of Housing Stock: 1989 18 H-8 Single -Family Residential Sales 19 H-9 1989-1994 Household Needs by Income Group 20 H-10 Summary of Residential Development Fees 26 H-11 Time Requirements and Fees for Project Processing 28 H-12 Future Residential Development Potential 32 LIST OF FIGURES Figure H-1 Site Inventory for Residential Development Pag 31 HOUSING ELEMENT INTRODUCTION The City of Rolling Hills is entirely residential community of rural character with large lot parcels of one acre or more. The City encompasses 2.98 square miles of land on the Palos Verdes Peninsula. The land use pattern was established with the original subdivision and sale of parcels, which began in 1936. From its inception, the emphasis in Rolling Hills has been to create and maintain a distinctive rural residential character which preserves the sense of openness created by the area's hilly topography. The City's minimum lot size requirements are reflective of the community's desire to maintain its rural setting, recognition of the limitations presented by the varied topography and the lack of urban infrastructure. The Regional Housing Needs Assessment (RHNA) prepared by SCAG identifies Rolling Hills as one of the few localities in Southern California with an existing unmet housing need of zero. Rolling Hills' future new construction need is for 40 dwelling units over the 1989-1994 time period, as specified by the RHNA. The City's Land Use Plan provides for the development of 59 additional dwelling units, thereby providing a development capacity which is more than adequate to accommodate the City's share of regional housing needs. The Land Use Element is concerned with housing in a spatial context, while the Housing Element identifies housing programs aimed at housing conservation, new construction, and programs to address housing issues for special needs groups. This Housing Element builds upon land use goals and policies which are concerned with where new housing will be located and at what density it will be constructed. The Element establishes policies that will guide City officials in daily decision making and sets forth an action program designed to enable the City to realize its housing goals. The Rolling Hills Housing Element is an official municipal response to legal requirements that housing policy be made part of the planning process and has been prepared in accord with State laws which govern the preparation of housing elements. HOUSING ELEMENT 1 JUNE 25, 1990 State Policy, Authorization and Mandate The California State Legislature has identified the attainment of a decent home and a suitable living environment for every Californian as the State's major housing goal. Recognizing that local planning programs play a significant role in the pursuit of this goal, and to assure that local planning effectively implements statewide housing policy, the Legislature added Article 10.6 to the Government Code in 1980 and incorporated into law the Housing Element Guidelines promulgated by the California Department of Housing and Community Development (HCD). The original Housing Element Guidelines were adopted on June 17, 1971, and revised guidelines were adopted on November 17, 1977. The Government Code specifies the intent of the Legislature to insure that counties and cities actively participate in attaining the state housing goal, and sets forth specific components to be contained n a housing element. These include the identification and analysis of existing and projected housing needs, resources and constraints; a statement of goals, policies, quantified objectives, and scheduled programs for the preservation, improvement and development of housing; identification of adequate sites for housing; and adequate provision for the existing and projected needs of all economic segments of the community. State law requires Housing Elements to be updated at least every five years. The City has prepared the following updated Housing Element in compliance with the July 1, 1989 deadline for jurisdictions within the SCAG region. Purpose of Element The purpose of the Housing Element is to identify the City's existing and projected housing needs, and to establish policies which City officials will use in daily decision making in addressing these needs. The goals of providing decent, safe, sanitary and affordable housing to present and future residents of the City is a primary focus of the Element. The Element also directs emphasis at specific target groups requiring attention in the City, specifically the elderly. The Housing Element serves as a flexible policy guideline to defined problems which may arise in meeting housing needs. HOUSING ELEMENT 2 JUNE 25, 1990 TABLE H-1 STATE HOUSING ELEMENT REQUIREMENTS REQUIRED HOUSING ELEMENT COMPONENT REFERENCE A. 1. 2. 3. 4. 5. 6. 7. 8. Housing Needs Assessment Analysis of population trends in Rolling Hills in relation to regional trends Projection and quantification of Rolling Hills' existing and projected housing needs for all income groups Analysis and documentation of Rolling Hills' housing characteristics including the following: a. level of housing cost compared to ability to pay; b. overcrowding; c. housing stock condition. An inventory of land suitable for residential development including vacant sites and sites having redevelopment potential and an analysis of the relationship of zoning, public facilities and services to these. sites Analysis of existing and potential government constraints upon the maintenance, improvement, or development of housing for all income levels Analysis of existing and potential nongovernmental and market constraints upon maintenance, improvement, or development of housing for all income levels Analysis of special housing needs: handicapped, elderly, large families, female -headed households, and homeless Analysis of opportunities for energy conservation with respect to residential development Household Needs Assessment - Demographic Trends Housing Needs Assessment - Household Characteristics Housing Needs Assessment - Household Characteristics Housing Needs Assessment - Household Characteristics Housing Needs Assessment - Housing Unit Characteristics Housing Opportunities - Residential Land Inventory Housing Constraints - Governmental Constraints Housing Constraints- Market Constraints, Environmental and Infrastructure Constraints Housing Needs Assessment - Household Characteristics Housing Needs Assessment - Housing Unit Characteristics 3 HOUSING ELEMENT JUNE 25, 1990 TABLE H-1 (continued) REQUIRED HOUSING ELEMENT COMPONENT REFERENCE 6. Goals and Policies 1. Identification of Rolling Hills' community goals Housing Plan - relative to maintenance, improvement and development of housing Goals and Policies 2. Quantified objectives and policies relative to the Housing Plan - maintenance, improvement, and development of housing in Goals and Policies Rolling Hills C. Implementation Program An implementation program should do the following: 1. Identify adequate sites which will be made available Housing Plan - through appropriate action with required public services and facilities for a variety of housing types Implementing Programs for all income levels . 2. Program to assist in the development of adequate Housing Plan - housing to meet the needs of low- and moderate -income households Implementing Programs 3. Identify and, when appropriate and possible, remove Housing Plan - governmental constraints to the maintenance, improvement, and development of housing in Rolling Implementing Programs Hills 4. Conserve and improve the condition of the existing Housing Plan - affordable housing stock in Rolling Hills Implementing Programs 5. Promote housing opportunities for all persons Housing Plan - regardless of race, religion, sex, marital status, ancestry, national origin or color Implementing Programs 4 HOUSING ELEMENT JUNE 25, 1990 Relationship to Other Elements As stated in the Land Use Element, a major purpose of the updated General Plan is to achieve internal consistency among all elements. Together these elements will provide the framework for development of those facilities, services, and land uses necessary to address the needs and desires of City residents. By undertaking a comprehensive update to the City's General Plan, background information and policy direction presented in one element is also reflected within other Plan elements. For example, residential development capacities established in the Land Use Element and constraints to housing development identified in the Safety Element are incorporated within the Housing Element. The Housing Element is thus inter -related with the other General Plan elements, and is entirely consistent with the policies and proposals set forth by the Plan. HOUSING ELEMENT 5 JUNE 25, 1990 HOUSING NEEDS ASSESSMENT Demographic Trends Population Growth As of January 1, 1989, the City of Rolling Hills had a resident population of 2,092 persons, making it the sixth smallest city in Los Angeles County. With a 1970 population of 2,050 and a 1980 population of 2,049, Rolling Hills experienced only a two percent population increase over the past two decades. This limited growth in the City's population is indicative of the fact that the majority of Rolling Hills' residential lots are built out, with a diminishing supply of parcels available for development. Opportunities for new residents to move into Rolling Hills have occurred through new housing construction, redevelopment of the City's original housing stock, and changes in ownership. This residential turnover can be evidenced in the changing demographics and household characteristics of the City's population. Age Composition The age distribution of Rolling Hills residents in 1980 as reported in the Census and in 1989 as estimated by Urban Decision Systems is illustrated in Table H-2. The median age in Rolling Hills was 38.2 in 1980, as compared to 30.9 in the County, 29.9 in California, and 30.0 in the United States. This higher median age in Rolling Hills is reflective of the City's large middle -age and elderly population, and potentially its higher priced housing stock deterring first time homebuyers and young families with children. Estimates of the City's age distribution for 1989 depict a continued trend toward an aging population, with the median age increasing to 39.7 years, and nearly 40 percent of the population over 45 years of age. Ethnicity The ethnic make-up of Rolling Hills residents is presented in Table H-3. As this table reveals, the majority of the City's residents in 1980 were White (93%), a much larger proportion than that evidenced County -wide (68%). The proportion of Whites had decreased to an estimated 87.9 percent in 1989, reflecting the influx of other ethnic groups. The second largest ethnic group in the City is persons of Spanish/Hispanic origin, representing an estimated 12 percent of the City's 1989 population; this reflects a significant HOUSING ELEMENT 6 JUNE 25, 1990 TABLE H-2 CITY OF ROLLING HILLS AGE CHARACTERISTICS OF POPULATION: 1980, 1989 1980 (a) 1989 Age Range # of Persons °70 of Population # of Persons % of Population 0-5 6-13 14-17 18-20 21-24 25-34 35-44 45-54 55-64 65+ 100 293 221 95 85 122 335 383 268 147 4.9 14.3 10.8 4.6 4.1 6.0 16.3 18.7 13.1 7.2 117 247 163 69 107 144 424 398 249 174 5.6 11.8 7.8 3.3 5.1 6.9 20.3 19.0 11.9 8.3 TOTAL 2,049 100.0 " 2,092 a . 100.0 FEMALE 1,044 50.9 1,060 , 50.7 MALE 1,005 49.V ",� 1,032.1 -` 49.3 Median Age 38.2 39.7 Source: (a) U.S. Dept. of Commerce, Bureau of the Census, 1980 Census Report. (b) Urban Decision Systems, Demographic Trends: 1980-89-94. HOUSING ELEMENT 7 JUNE 25, 1990 TABLE H-3 CITY OF ROLLING HILLS RACE AND ETHNICITY; 1980, 1989 1980 (a) 1989 (b) Race and Ethnicity # of Persons °10 of Population # of Persons °10 of Population White Black American Indian Asian/Pacific Islander Other 1,906 27 6 102 8 93.0 1.3 .3 5.0 .4 1,838 46 11 180 17 87.9 2.2 .5 8.6 .8 TOTAL 2,049 100.0 2,092 100.0 Spanish/Hispanic 92 4.5 251 12.0 Source: (a) State of California, Dept. of Finance, Controlled Population Estimates for 1-1-89. (b) Urban Decision Systems, Demographic Trends: 1980-89-94. Note: In the 1980 Census, a large percentage of Spanish origin persons classified themselves as Other rather than White, Black, Asian, or American Indian. To bring this data in line with current Bureau of the Census practice, Spanish/Hispanic respondents have been redistributed among the other racial categories based on their overall proportion in the area being analyzed, as well as being separated out as ."Spanish/Hispanic." Therefore, the population identified in the Spanish/Hispanic category is not counted in the total. HOUSING ELEMENT 8 JUNE 25, 1990 increase from 1980 when Spanish/Hispanics represented 4.5 percent of the population. It should be mentioned, however, that persons of Spanish/Hispanic origin are now a self -designated category separate from race (see note in Table 11-3). Rolling Hills has also experienced an influx of residents of the Asian/Pacific Islander race. This group constitutes an estimated 8.6 percent of the City's 1989 population, as compared with 5 percent in 1980. Blacks, American Indians, and "Other" ethnic groups are the least represented, in total comprising an estimated 3.5 percent of the population. Household Characteristics The characteristics of the population provide an essential component toward the understanding of growth and change in a community. In addition, information collected on the household level provides a good base for the analysis of a community's housing needs. The Census defines a household as all persons who occupy a housing unit, which may include single persons living alone, families related through marriage or blood, and unrelated individuals living together. Persons living in retirement or convalescent homes, dormitories, or other group living situations are not considered households. Household Composition and Size In 1980, there were 629 households in Rolling Hills. According to the Department of Finance, the City had grown to 647 households in 1989, representing a 2.7 percent increase during the nine year period. While the net increase in households has been nominal, actual residential turnover has been more substantial based on recent trends in residential recycling. An August 1988 report prepared for the City by The Keith Companies entitled "Residential Trends Analysis" documents 18 residential tear downs/rebuilds and an additional 23 major remodeling projects between 1985 and 1988. The 1989 Community Attitude Survey confirms an extensive level of remodeling activity in Rolling Hills, with approximately 15 percent of households responding indicating their residence had undergone remodeling since 1985. Families represent the City's predominant household type, comprising approximately 90 percent of all households. In contrast, families represent 72 percent of all households County -wide. This high concentration of family households in Rolling Hills is reflective of the City's land use pattern of large, single-family homes and lack of multi -family rental properties. Correspondingly, average HOUSING ELEMENT 9 JUNE 25, 1990 household size is also significantly larger in Rolling Hills (3.2 persons per unit) than that evidenced County -wide (2.8 persons per unit). Overcrowding The Census defines overcrowded households as units with greater than 1.01 persons per room, excluding bathrooms, kitchens, hallways and porches. Overcrowding reflects the inability of households to buy or rent housing which provides reasonable privacy for their residents. According to the 1980 Census, the incidence of overcrowding in Rolling Hills was minimal, with less than one percent of all households defined as overcrowded, compared to over 11 percent County -wide. Housing Affordability State and Federal standards for housing overpayment are based on an income -to -housing cost ratio of 30 percent and above. Households paying greater than this amount have less income left over for another necessities such as food, clothing, utilities and health care. Upper Income households are generally capable of paying a larger proportion of their income for housing, and therefore estimates of housing overpayment generally focus on lower income groups. The Regional Housing Needs Assessment (RHNA) prepared by SCAG identifies housing overpayment for the City's lower income households based on data from the 1980 Census. Lower income households are defined as households whose total gross income is less than 80 percent of the County median. According to the RHNA, 46 of Rolling Hills' 646 households in 1988 were classified as lower income. However, none of these lower income households were identified as "overpaying" for housing. This is likely due to the fact that the City's lower income households are predominately retired households on fixed incomes whose homes have already been paid off. Special Needs Groups Certain segments of the population may have a more difficult time finding decent, affordable housing due to special circumstances. These "special needs" households include the elderly, handicapped persons, large families, female -headed households, farmworkers, and the homeless. 10 HOUSING ELEMENT JUNE 25, 1990 Elderly: The special needs of many elderly households result from their lower, fixed incomes, physical disabilities, and dependence needs. An estimated 174 elderly persons (65 years and older) resided in Rolling Hills in 1989, representing 8.3 percent of the population. The proportion of elderly can be expected to increase as those persons between the ages of 45 and 64 (31% of Rolling Hills' population) grow older. The housing needs of the City's elderly can be addressed through shared living arrangements, equity conversion programs and congregate housing. Handicapped: Physical handicaps can hinder access to housing units of traditional design as well as potentially limit the ability to earn adequate income. The 1980 Census contains data on persons who have physical disabilities that are work and/or public transportation related. According to the Census, there were 53 persons in Rolling Hills with a work disability, which was defined as a physical condition that impeded a person's ability to work. Another 18 persons had a public transportation disability, defined as a physical condition that presented difficulty in the use of public transportation. In aggregate, an estimated 3.5 percent of the City's residents were physically handicapped in 1980, translating to an estimated 73 handicapped residents in 1989. The Community Attitude Survey identified 1.9 percent of the City's households as having one or more members confined to a wheelchair. Large -Families: Large families are identified as a group with special housing needs based on the limited availability of adequately sized, affordable housing units. An estimated 20 percent of the City's households have five or more members, translating to 129 households. This high incidence of large households is reflective of the City's large unit sizes (the median - sized house in 1980 had eight rooms), many of which include separate quarters for domestic help. While the City's large units are by no means affordable to lower income households, it is doubtful that the City has any large households which are lower income. Female -Headed -Households: Female -headed households tend to have low incomes, thus limiting housing availability for this group. In 1980, 3.5 percent of Rolling Hills' households were headed by a woman, translating to an estimated 23 households in 1989. Approximately half of these female households have dependent children. However, the 1980 Census indicates that only two female - headed households had incomes which fell below the poverty level. 11 HOUSING ELEMENT JUNE 25, 1990 This is reflective of the City's extraordinarily high housing costs which preclude most lower income households. Farmworkers: The special housing needs of many farmworkers stem from their low wages and the insecure nature of their employment. Only 12 Rolling Hills' residents were employed in the "farming, forestry and fishing" occupations in 1980. The demand for housing generated by farmworkers in the City is thus estimated to be extremely low if not non-existent. Homeless: Throughout the country, homelessness has become an increasing problem. Factors contributing to the rise in homelessness include the general lack of affordable housing for low and moderate income persons, increases in the number of persons whose incomes fall below the poverty level, reductions in public subsidy to the poor, and the de -institutionalization of the mentally ill. At present, the County of Los Angeles does not have specific data on the number of homeless people surviving on a daily basis in the metropolitan area. The number is believed to be between 35,000 and 50,000, leaving Los Angeles with the worst homeless problem in the United States. Within the City of Rolling Hills, the homeless problem is non-existent. None of the South Bay area social service agencies or the Lomita Station of the Los Angeles County Sheriffs office have any evidence that homeless persons exist within Rolling Hills. Part of the reason for this is that no commercial or social services exist in the City to attract homeless individuals or families. Additionally, Rolling Hills' gated entries, wildlife and rugged terrain provide an inhospitable environment for homeless. While the City of Rolling Hills currently does not have a problem with homelessness, the City could coordinate with local social service providers if the need arises in the future. As identified in Table H-4, homeless social service providers that exist nearest to Rolling Hills are in Wilmington and San Pedro. The Beacon Light Mission in Wilmington currently has 26 beds and is in the process of expanding to 40. The Mission is open to adults but will also accept families. While no one has been turned away from the dining tables in over a year, the beds are usually full. The Mission finds that the majority of its clients are people searching for work in the harbor area. Beacon Light Mission has served the homeless population since 1946. St. Joseph's Table associated with the Catholic Mission serves the Wilmington area. St. Joseph's Table provides no overnight shelter but provides food service to 130-150 people per day. Also serving the Wilmington/San Pedro area is 12 HOUSING ELEMENT JUNE 25, 1990 TABLE H-4 HOMELESS SOCIAL SERVICE PROVIDERS AGENCY/PROVIDER LOCATION SOCIAL SERVICE SERVICE CAPACITY Beacon Light Mission 525 Broad Avenue Wilmington, Ca Provides shelter and meals to men, women and families. 26 beds, increasing to 40 St. Joseph's Table/Catholic Mission Wilmington area Provides meals to men, women and families. 150 bed capacity Rainbow Shelter San Pedro Provides shelter for battered women and children. Offers referrals to other social service agencies when full. 20 bed capacity Source: Cotton/Beland/Associates, Inc. HOUSING ELEMENT 13 JUNE 25, 1990 Rainbow Shelter, a facility for battered women and children. Rainbow Shelter provides shelter for up to 20 women and children and can refer potential clients to other similar services in Long Beach, West Covina, Carson and Hermosa Beach. Some area churches volunteer assistance to the local services and occasionally provide assistance to their members. Housing Unit Characteristics Housing Growth As a nearly built -out community, residential growth has begun to slow in Rolling Hills as the supply of buildable land diminishes. In 1980, the City's housing inventory included 653 housing units. Nine years later, this inventory had increased by only 30 units, for a total 1989 housing stock of 683 dwelling units. Comparing the residential growth rate in Rolling Hills with nearby jurisdictions (see Table H-5), the City's 4.5 percent increase in housing units during the 1980-1989 period was comparable to the cities of Lomita and Palos Verdes Estates. However, both Los Angeles City and the County as a whole experienced a significantly higher rate of growth than Rolling Hills, indicating that the level of growth occurring in Rolling Hills is substantially below that occurring in the region. TABLE H-5 HOUSING TRENDS: ROLLING HILLS AND SURROUNDING AREAS 1980-1989 Number of Housing Units Jurisdiction Percent 1980 1989 Increase Lomita 8,137 8,501 4.5% Los Angeles City 1,190,901 1,283,889 7.8% Palos Verdes Estates 4,880 5,095 4.4% Rancho Palos Verdes 12,281 15,356 25.0% Rolling Hills 653 683 4.6070 Rolling Hills Estates 2,613 2,730 0.5% Los Angeles County 2,855,555 3,131,076 9.6070 Source: Department of Finance Controlled Population Estimates for 4-1-80 and 1-1-89. 14 HOUSING ELEMENT JUNE 25, 1990 While the limited availability of land suitable for residential development has resulted in only nominal increases in the City's housing stock, additional residential development has been occurring through redevelopment of existing units. Much of the City's housing stock was built in the 1950s, and is typified by 3,000 to 4,000 square foot ranch style homes. As in many communities with a strong market for residential development and limited available land, Rolling Hills' older housing stock is being replaced with much larger, expansive units averaging 6,000 to 8,000 square feet in size. As presented in Table H-6, in the four year period between 1985-1988, a total of 18 units were demolished in the City and replaced with newly constructed units. In addition, 23 homes underwent substantial remodeling/additions. The Community Attitude Survey confirms an extensive level of remodeling activity in Rolling Hills with approximately 15 percent of households responding indicating their residence had undergone remodeling since 1985. This trend of residential recycling can be expected to continue and potentially increase as less vacant land is available for development. TABLE 11-6 CITY OF ROLLING HILLS RESIDENTIAL RECYCLING ACTIVITY 1985-1988 Number of Dwelling Units Zone RAS-1 Zone RAS-2 Total Tear Downs/Rebuilds Major Remodeling/Additions TOTAL 11 15 26 7 8 15 18 23 41 Source: City of Rolling Hills Residential Trends Analysis. The Keith Companies, August 1988. 15 HOUSING ELEMENT JUNE 25, 1990 Housing Type and Tenure When Rolling Hills was originally laid out by A.E. Hanson in the 1930s, its 600 acres were divided into one and two -plus acre homesites. With incorporation of the area in 1957, the City confirmed its commitment to maintaining the area's rural character through adoption of the following two residential zone districts: RA -S-1 (Residential Agriculture -Suburban Zone, one acre minimum) and RA -S-2 (Residential Agriculture -Suburban Zone, two acre minimum) These zone districts have provided for the development of an entirely single-family residential community. The tenure distribution of a community's housing stock (owner versus renter) influences several aspects of a local housing market. Residential mobility is influenced by tenure, ownership housing evidencing a much lower turnover rate than rental housing. Housing overpayment, while faced by many households regardless of tenure, is far more prevalent among renters. Tenure preferences are primarily related to households income, composition, and age of householder. As in any community with an exclusively single-family housing stock, the vast majority of Rolling Hills' households are owner - occupied. Approximately two percent of the City's households in 1980 were renters, with this proportion increasing to an estimated 3.9 percent according to the 1989 Community Attitude Survey. This translates to 25 renter -occupied households in 1989. Vacancy Rates An evaluation of local vacancy rates, and whether they are higher or lower than that necessary for normal residential mobility and growth, provides insight into the availability and condition of the local housing market. For instance, if vacancy rates are so high that many units stand unoccupied for prolonged periods of time, normal upkeep may be deferred. Conversely, of vacancy rates are too low, pent-up housing demand will have an inflationary impact on housing costs. The Regional Housing Needs Assessment (RHNA) prepared by SCAG identifies an "ideal" mobility or vacancy rate of 2.04 percent for Rolling Hills housing stock; this low target vacancy is reflective of the City's single-family orientation. According to the RHNA, Rolling Hills' actual residential vacancy rate was 1.8 percent in 1987. This would indicate that while the City's housing market can 16 HOUSING ELEMENT JUNE 2.5, 1990 be considered tight, vacancies are not significantly below that which is considered healthy by SCAG. Age and Condition of Housing Stock Often a good indicator of housing condition is the age of the a community's housing stock. As indicated in Table H-7, the majority of Rolling Hills' housing (74%) was constructed between 1940-1969. Housing development maintained a steady pace in the 1970's, with an additional 112 dwelling units, or 16 percent of the housing stock built during this decade. Due to a diminishing supply of available land, development in Rolling Hills has slowed significantly in the 1980's, with only 34 new units constructed on vacant land between 1980-1989. As illustrated in Table H-6, an additional 18 units were developed between 1985-1988 through the demolition of existing structures, with an additional 23 units which underwent major remodeling/additions. The accepted standard for major housing rehabilitation needs is after 30 years. With nearly 60 percent of Rolling Hills' housing stock over 30 years old, continued housing maintenance is essential. The fact that the large majority of the City's housing stock is owner -occupied, combined with .the high quality of residential construction, has resulted in excellent upkeep of the City's units. A windshield survey conducted in the summer of 1989 confirms that, unlike in many other communities, the housing stock in Rolling Hills is in excellent condition. Approximately 94 percent of households responding to the resident survey indicated their residence was either in good condition, or needed only minor repairs (paint, windows repairs, etc.). 17 HOUSING ELEMENT JUNE 25, 1990 TABLE H-7 CITY OF ROLLING HILLS AGE OF HOUSING STOCK; 1989 Year Built Units °70 of Total 1939 or earlier 1940-1949 1950-1959 1960-1969 1970-1974 1975-1978 1979 -March 1980 April 1980 -Jan. 1989 34 96 275 132 53 39 20 34 5.0 14.1 40.3, 19.3 7.8 5.7 2.9 4.9 Totals 683 100.0 Note: Unit totals do not reflect residential structures which have been demolished since the 1980 census. Source: U.S., Dept. of Commercie, Bureau of the Census, 1980 Census Report; California Dept. of Finance, Controlled Population Estimates for 1-1-89. Housing Costs For -Sale Housing: Like the three other communities (Palos Verdes Estates, Rancho Palos Verdes, and Rolling Hills Estates) which comprise the Palos Verdes Peninsula, the 1980 census identifies the median home value in Rolling Hills in its highest value category of $200,000+; for comparison, the median sales price County -wide was $87,400. According to Coldwell Banker's 1988 Sales Report and Property Statistics Analysis for the Palos Verdes Peninsula, the average selling price for a single-family home in 1988 was $629,000, with prices ranging from a low of $245,000 to a high of $3,900,000. These sales prices reflect the extremely high cost of land on the Peninsula, combined with strong consumer demand for the expansive luxury homes and coastal location offered. As a private residential community which has managed to maintain its rural ambiance amidst encroaching urbanization, single family sales prices in Rolling Hills are among the highest on the Peninsula. Table H-8 presents residential sales data for 1988 and the first quarter of 1989 for Rolling Hills. The average single- family sales price in 1988 was $1.1 million, and had increased to nearly $1.4 million by the first quarter of 1989. Residential unit sizes were relatively modest considering the high sales prices, averaging 3,400 square feet in 1988 and 3,800 square feet in early 18 HOUSING ELEMENT JUNE 25, 1990 1989. Many of these smaller units will likely be either substantially remodeled, or completely redeveloped with larger homes. TABLE H-8 CITY OF ROLLING HILLS SINGLE FAMILY RESIDENTIAL SALES Time Period Sales Volume Average Sq.Ft. Average Sales Price Price Range Average Days on Market Jan -Dec 1988 33 3,432 $1,100,666 $ 620,000- 77 $1,800,000 Jan -March 1989 3 3,821 $1,383,333 $1,150,000- 35 $1,650,000 Source: The Nelson Report: Sales Report and Property Statistics Analysis for the Palos Verdes Peninsula, 1988 and Jan -March 1989, prepared by Coldwell Banker. Rental Housing: As in any community with an exclusively single- family housing stock, the vast majority of Rolling Hills' households are owner -occupied. Approximately two percent of the City's 1980 households were renters, with this proportion increasing to an estimated three percent in 1989. Similar to housing values, the 1980 census identifies median contract rent in Rolling Hills in its highest value category of $500+; for comparison, median contract rent County -wide was $244. Share of Region's Housing Needs State law requires jurisdictions to provide for their share of regional housing needs. The Southern California Association of Governments (SCAG) has determined the 1989-1994 needs for the City of Rolling Hills, and has estimated the number of households which the City will be expected to accommodate during this period. Future housing needs reflect the number of new units needed in a jurisdiction based on households which are expected to reside within the jurisdiction (future demand), plus an adequate supply of vacant housing to assure mobility and new units to replace losses. These needs were forecast by the 1988 Regional Housing Needs Assessment (RHNA), which considered on a regional and local level: market demand for housing, employment opportunities, availability of suitable sites for public facilities, commuting patterns, 19 HOUSING ELEMENT JUNE 25, 1990 type and tenure of housing need, and housing needs of farm workers. According to the model, housing to accommodate 40 households would need to be added to the City's June 30, 1989 total households by July 1994 to fulfill the City's share of regional housing needs. Based on the distribution of regional income, this total can be further divided among HUD's four income groups to identify the types of households to be provided for as follows: TABLE H-9 CITY OF ROLLING HILLS 1989-1994 HOUSEHOLD NEEDS BY INCOME GROUP Very Low (0-50% County median income 2 (5.0%) Low (50-80% County median income) 4 (10.0%) Moderate (80-120% County median income) 3 (7.5%) Upper (over 120% County median income) 31 (17.5°7o) Total Households 40 Source: SCAG Regional Housing Needs Assessment, June 1988 The intent of the future needs allocations by income group is to relieve lower income impaction - the undue concentration of very low and low income households in a jurisdiction. Localities must fully address their existing needs in order for impaction avoidance goals to be achieved in the future period. The Housing Element sets forth policies and programs to address the future housing needs identified by the RHNA. As identified in the Element's Five Year Action Plan, programs include linkage into the local senior citizen shared housing program and the contribution of CDBG funds towards the construction of congregate housing for seniors, with the goal of addressing the City's future need for nine very low, low and moderate income households. The remaining need for 31 upper income households is accommodated under the Land Use Plan, and will be provided for through market - rate construction. 20 HOUSING ELEMENT JUNE 25, 1990 Energy Conservation As residential energy costs continue to rise, increasing utility costs reduce the affordability of housing. The City has many opportunities to directly affect energy use within its jurisdiction. In addition to required compliance with the Building Code and Title 24 of the California Administrative Code relating to energy conservation, the City sets forth goals and policies which encourage the conservation of non-renewable resources in concert with the use of alternative energy sources to increase energy self-sufficiency. In large part, energy savings and utility bill reductions can be realized through the following energy design standards: Glazing - Glazing on south facing exterior walls allows for winter sun rays to warm the structure. Avoidance of this technique on the west side of the unit prevents afternoon - sun rays from overheating the unit. Landscaping - Strategically placed vegetation reduces the amount of direct sunlight on the windows. The incorporation of deciduous trees in the landscaping plans along the southern area of units reduces summer sun rays, while allowing penetration of winter rays to warm the units. Building Design - The implementation of roof overhangs above southerly facing windows shield the structure from solar rays during the summer months. Cooling/Heating Systems - The use of attic ventilation systems reduces attic temperatures during summer months. Solar heating systems for swimming pool facilities saves on energy costs. Natural gas is conserved with the use of flow restrictors on all hot water faucets and shower heads. Weatherization Techniques - Weatherization techniques such as insulation, caulking, and weatherstripping can reduce energy use for air-conditioning up to 55°7o and for heating as much as 40°70. Weatherization measures seal a dwelling unit to guard against heat gain in the summer and prevent heat loss in the winter. Efficient Use of Appliances - Each household contains a different mixture of appliances. Regardless of the mix of appliances present, appliances can be used in ways which increase their energy efficiency. Unnecessary appliances can be eliminated, proper maintenance and use of the stove, 21 HOUSING ELEMENT JUNE 25, 1990 oven, clothes dryer, clothes washer, dishwasher, and refrigerator can also reduce energy consumption. New appliance purchases of air-conditioning units and refrigerators can be made on the basis of efficiency ratings. The State prepares a list of air-conditioning and refrigerator models that detail the energy efficiency ratings of the product on the market. Efficient Use of Lighting - Costs of lighting a home can be reduced through purchase of light bulbs which produce the most lumens per watt, avoidance of multi -bulb fixtures and use of long life bulbs and clock timers on security buildings. Load Management - The time of day when power is used can be as important as how much power is used. Power plants must have enough generating capacity to meet the highest level of consumer demand for electricity. Peak demands for electricity occur on summer afternoons. Therefore, reducing use of appliances during these peak load hours can reduce the need for new power plants just to meet unusually high power demands. 22 HOUSING ELEMENT JUNE 25, 1990 HOUSING CONSTRAINTS Actual or potential constraints on the provision and cost of housing affect the development of new housing and the maintenance of existing units for all income levels. Market, governmental, infrastructural, and environmental constraints to housing development in Rolling Hills are discussed in the following section. Market Constraints The high cost of purchasing or renting housing is the primary constraint to providing adequate housing in Rolling Hills. High land costs, construction costs, labor costs, and market financing constraints all contribute to the increasing cost of housing in Rolling Hills. Land Land costs include the cost of raw land, site improvements, and all costs associated with obtaining government approvals. Like the entire Palos Verdes Peninsula, land costs are extremely high in Rolling Hills. A review of vacant parcels which sold in Rolling Hills during the 1987-1989 period reveals a price range of between $375,000 and $835,000 for parcels which could accommodate a single unit. In addition to raw land costs, site improvements contribute to the cost of land as most of the remaining vacant parcels in the City have severe topographic constraints, necessitating significant grading to accommodate development. Thus, land costs alone produce a situation where housing is not within the financial means of lower income households. Construction Costs A major cost associated with building a new house is the cost of building materials, which can comprise up to 50 percent of the sales price of a new home. In areas like Rolling Hills where land represents a larger proportion of overall housing costs, construction costs correspondingly comprise a lesser proportion of total housing costs. Overall construction costs rose over 30 percent between 1980 and 1988, with the rising cost of energy a significant contributor. According to the Construction Industry Research Board, construction costs for wood frame, single-family construction of average to good quality range from $45 to $60 per square foot. Construction costs for custom homes and units with extra amenities of excellent construction quality range from $85 to $95 per foot. HOUSING ELEMENT 23 JUNE 25, 1990 Based on the high level of amenity associated with new construction in Rolling Hills, construction costs usually exceed even this $85-$95 range. Labor Costs Labor is the third most expensive component in building a house, constituting an estimated 17 percent of the costs of constructing a single-family dwelling. The cost of union labor in the construction trades has increased steadily since April 1974. The cost of non- union labor, however, has not experienced such significant increases. Because of increased construction activity, the demand for skilled labor has increased so drastically that an increasing number of non-union employees are being hired in addition to unionized employees, thereby lessening labor costs. Financing: While interest rates have fallen more than nine percent from their near 20 percent high in the early 1980s, they still have a substantial impact on housing costs which is felt by renters, purchasers and developers. An additional obstacle for the first time homebuyer is the downpayment required by lending institutions of between 10-20%. The average sales price of a single-family home in Rolling Hills in 1988 was $1.1 million. A $990,000 mortgage amortized over 30 years at an interest rate of 10.5% would result in monthly house payments of $9,055, well beyond the financial means of low and moderate income households. Governmental Constraints Housing affordability is affected by factors in both the private and public sectors. Actions by the City can have an impact on the price and availability of housing in the City. Land use controls, site improvement requirements, building codes, fees and other local programs intended to improve the overall quality of housing may serve as a constraint to housing development. Land Use Controls Land Use Controls are established by the City's Land Use Element, Zoning Ordinance, and Community Association Building Regulations. The Rolling Hills Land Use Element provides for two residential categories: Residential Estate - one acre minimum (RA - S -1) and Residential Estate - two acre minimum (RA -S-2). Building coverage is limited to twenty percent of the net lot area, and building height is restricted to one-story. A minimum of two 24 HOUSING ELEMENT JUNE 25, 1990 covered parking spaces are required for each dwelling unit. The City has implemented in its Zoning Ordinance standards to allow the development of mobile homes in its residential zones. Because Rolling Hills is planned exclusively for large lot residential land uses, opportunities for affordable housing are limited. However, attached and detached second units do provide housing opportunities for lower income households. In terms of future housing development, the Land Use Plan provides a development capacity which is more than adequate to meet the City' future five- year share of regional housing needs, defined as 40 units by the RHNA. Fees and Improvements Various fees and assessments are charged by the City and other agencies to cover the costs of processing permits and providing services and facilities, such as utilities, schools, and infrastructure. Almost all of these fees are assessed through a pro rata share system, based on the magnitude of the residence's impact or on the extent of the benefit which will be derived. The Rolling Hills jurisdiction is a private, suburban community, with the majority of its necessary infrastructure, such as streets, electrical and water facilities, already in place. As such, the cost of land improvements is less than in rural areas, but significantly higher than those found in urbanized jurisdictions. Table H-10 presents a list of development fees (September 1989) associated with the construction of a single-family residence in Rolling Hills. Fees have been set at a level necessary to meet the City's high level of amenity. Building Codes and Enforcement The Los Angeles County Building Code governs standards for construction in Rolling Hills. These codes are considered to be the minimum necessary to protect the public health, safety and welfare. However, as the remaining vacant land in Rolling Hills is characterized by steep topography and in some cases geologic instability, the necessary enforcement of building codes to address these constraints can significantly add to the cost of housing. Local Proceessing and Permit Procedures The evaluation and review process required by City procedures contributes to the cost of housing in that holding costs incurred by 25 HOUSING ELEMENT JUNE 25, 1990 TABLE H-10 CITY OF ROLLING HILLS SUMMARY OF RESIDENTIAL DEVELOPMENT FEES (November 1989) Type of Fee Cost Building Permit 2-1/2 times the amount set in the County Building Code. Plan Check Fees Based upon building valuation. Assessed by County of Los Angeles. Plumbing, Mechanical, and Electrical County assessment based upon the Permits number of fixtures, outlets, switches, and panels. City fee is 2-1/2 times the amount set forth by the County. Park and Recreation Fund Fee Each new residence pays 2% of the first $100,000 in building valuation, plus an additional .5% for the remaining balance. School Fee $1.50 per square foot of habitable living space. Site Plan Review $1,500. Water Service Option 1: $600 Hydrant Meter Deposit, plus service charge for the amount of water used during construction. Option 2: No hook-up fee. Meter fees determined by the size of meter and the number of fixtures. Does not include service charge for amount of water used during construction. Sources: City of Rolling Hills; County of Los Angeles, Dept. of Building & Safety; Palos Verdes Peninsula Unified School District; California Water Service Company. 26 HOUSING ELEMENT JUNE 25, 1990 developers are ultimately manifested in the unit's selling price. The review process in Rolling Hills is governed by two levels of decision -making bodies: the City Council and Planning Commission. Table H-11 provides an overview of the time requirements and fees associated with processing residential applications in Rolling Hills. All applications ranging from non -city initiated code amendments to site plan review must be submitted to the City's Planning Department. After Planning staff reviews the applications for completeness, all submittals then appear before the Planning Commission which serves as the decision -making body on planning procedures. All appeals to decisions are heard and decided by the City Council. Since the City of Rolling Hills is largely built out, the majority of procedural submittals are for rebuilt single-family dwellings and additions to existing structures. In addition to submitting applications to the City for building permits and site plan review, the developer must also submit plans to the Los Angeles County Building and Safety Department for building and grading plan checks. Applications for City and County procedures can be submitted concurrently. Approximately two to three months are required to complete project processing, a comparable review period for single-family development in most other southern California jurisdictions. Environmental and Infrastructure Constraints Portions of Rolling Hills are exposed to a variety of environmental hazards which may constrain the development of lower priced residential units. In addition, inadequate infrastructure may also act as a constraint to residential development. Hillside/Slopes Rolling Hills may be described as having the most severe terrain of any jurisdiction in Los Angeles County. Slopes of 25 to 50 percent are present on virtually every remaining undeveloped parcel in the City. Development on such severely sloped parcels requires substantial modification to the natural terrain which significantly adds to the cost of development. As a means of preserving Rolling Hills' natural hillside topography, the City's Site Review Ordinance prohibits extensive grading and recontouring of existing terrain to maximize buildable area. In summary, the extreme topography present in Rolling Hills serves as a significant constraint to the development of affordable housing. 27 HOUSING ELEMENT JUNE 25, 1990 TABLE H-11 CITY OF ROLLING HILLS TIME REQUIREMENTS AND FEES FOR RESIDENTIAL PROCESSING Request Fee Non -City Initiated Code Amendment $2,500 Zone Change $2,500 Minor Setback (10') Variance $1,000 All Other Variances $1,250 Conditional Use Permits $1,500 Project processing for these five procedures does not begin until a complete application has been received. Site Plans, Public Notification Lists, and an Initial Environmental Evaluation must also be submitted. Three public meetings are required: an initial open meeting before the Planning Commission, and public hearings at the Planning Commission and City Council level. Processing time for each of the five procedures is approximately two months. Applications can be submitted concurrently. Site Plan Review $1,500 New single-family homes, grading projects, and additions to structures that exceed 25% of the existing square footage are subject to Site Plan Review. Two meetings are required: an initial hearing before the Planning Commission, and a second public hearing in which the Planning Commission renders its decision. All decisions can be appealed to City Council. Approximate processing time is 75 days. Source: City of Rolling Hills. 28 HOUSING ELEMENT JUNE 25, 1990 Landslides Rolling Hills has experienced a recurring problem of landslides which damage or destroy homes. Numerous active landslides in the City render significant areas of vacant land unsafe for development, particularly at higher densities. A map of these landslides is contained in the Safety Element. Building at the head of a landslide can decrease the bedrock strength along an existing or potential rupture surface and "drive" the landslide down slope. Improper grading practices can also trigger existing landslides. The Safety Element sets forth policies to restrict new development and expansion of existing development in areas susceptible to landsliding unless this hazard can be adequately mitigated. Street System Rolling Hills has no public roads or streets. The City's privately - owned road network is typified by winding roads with a 25 foot paved cross-section lacking in curbs, gutters, or sidewalks. This lack of road width coupled with steep grades has eliminated the possibility of a public transit system within the City. The City's circulation infrastructure is thereby not conducive to the development of higher density housing. Wastewater Disposal With the exception of the few residences which have hooked in with adjacent jurisdiction's sewer systems, there is no sanitary sewer system in Rolling Hills. Residences are served by individual septic tanks and leach lines. Insofar as the City remains on a septic system, this will serve as a constraint to the development of higher density units. 29 HOUSING ELEMENT JUNE 25, 1990 HOUSING OPPORTUNITIES This section of the Housing Element evaluates future housing opportunities in Rolling Hills in relation to the City's housing needs. Residential Land Inventory In order to assess future residential development potential in Rolling Hills, an inventory of residentially -zoned vacant parcels has been prepared and evaluated in terms of the actual capability of parcels to accommodate residential development. In addition, large parcels which are currently developed but which have the potential for further subdivision have also been evaluated. With the majority of the City's developable residential acreage already built out, many of the remaining vacant parcels are characterized by physical constraints which preclude their development. These constraints are primarily related to severe topography and/or existing landslides. Of the total 203 acres of vacant residential land identified in the Land Use Element, approximately 172 acres are physically suitable to accommodate residential development. Figure H-1 illustrates those parcels which have been identified as appropriate for residential development; Table H-12 quantifies the number of dwelling units which could be accommodated on these parcels. Vacant parcels have been separated into two categories - individual parcels which can accommodate a single unit and larger parcels with the potential to subdivide into several smaller parcels. A single 63 acre parcel known as Storm Hill provides the most significant opportunity in the City for potential subdivision, accommodating a net increase in approximately 25 dwelling units. Several larger developed parcels also offer the opportunity for further subdivision, as confirmed by subdivision inquiries received by the City. Aggregating the development potential on both vacant and underutilized parcels, a total of ten additional residential dwellings can be accommodated in the City's RA -S-1 zone, with the potential for an additional 49 dwellings in the RA -S-2 zone. 30 HOUSING ELEMENT JUNE 25, 1990 J • \ .. • Vacant. Subdividable Developed, Subdividable v...r? 200 re. -.15a t North scale in feet • Vacant ti SOURCE: City of Rolling Hills, December 1989. Picat Figure H-1 Site Inventory For Residential Development , JUNE 25, 1990 TABLE H-12 CITY OF ROLLING HILLS FUTURE RESIDENTIAL DEVELOPMENT POTENTIAL Zone MAXIMUM POTENTIAL Vacant INCREASE Vacant/ Subdividable IN DUs Developed/ Subdividable Total RA -S-1 10 10 RA -S-2 9 28 12 49 TOTAL 19 28 12 59 Source: City of Rolling Hills Residential Development Potential Compared With Future Growth Needs As indicated in the Housing Element section "Share of Region's Housing Needs", the Regional Housing Needs Assessment (RHNA) prepared by SCAG identifies a future housing need for Rolling Hills of 40 units to be developed over the next five years (1989-1994). The residential land inventory identifies the potential for development of 59 additional single-family dwelling units on unconstrained land, indicating the City's General Plan and zoning provide for a residential development capacity more than adequate to accommodate the City's share of regional housing needs. 32 HOUSING ELEMENT JUNE 2.5, 1990 SUMMARY OF HOUSING ISSUES AND OPPORTUNITIES The following housing issues and opportunities have been identified as part of the General Plan Update and are addressed in the Housing Element goals, policies and programs. o With the majority of the City's developable acreage already built out, many of the remaining vacant parcels are characterized by physical constraints which preclude their development. o Virtually every parcel in Rolling Hills which is considered developable contains slopes of 25 to 50 percent, presenting a significant constraint to the development of higher density housing. o Land costs are extremely high in Rolling Hills and produce a situation where housing is not within the financial means of lower income households. o The Rolling Hills Land Use Plan accommodates a total of 59 additional dwelling units on unconstrained land in the City. The Plan's development potential is thus adequate to meet the City's five year share of regional housing needs, which has been identified by SCAG as 40 dwelling units. o The City could address the housing needs of its significant elderly population by contributing seed monies for congregate housing facilities, coordinating with local shared housing service providers, and coordinating with providers . of equity conversion programs. 33 HOUSING ELEMENT JUNE 25, 1990 HOUSING PLAN The prior chapters in the Housing Element establish the housing needs, opportunities, and constraints present in Rolling Hills. The Housing Plan presented in the following chapter sets forth the City's goals, policies and programs to address Rolling Hills' identified housing needs. Evaluation of Accomplishments Under Existing Housing Element State Housing Element law now requires communities to assess the achievements under adopted housing programs as part of the five year update to their housing elements. These results should be quantified where possible (e.g. new construction results) but may be qualitative where necessary (e.g. mitigation of governmental constraints). These results are then compared with what was projected or planned in the earlier element. Where significant shortfalls exist between what was planned and what was actually achieved, the reasons for such differences are discussed. The City of Rolling Hills prepared a comprehensive update to its Housing Element in 1981. In compliance with the July 1984 deadline for review and update, the City prepared a memorandum which reviewed the accomplishments to date under adopted housing programs; no additional programs were set forth under this 1984 Housing Element review. The following section re-examines the progress made towards implementing the City's housing programs as set forth in the 1981 Housing Element. The results of this analysis have been utilized to refine and augment the City's housing programs to develop an overall strategy to adequately address the community's housing needs. 1. Existing Program: Provide an overlay zone classification which may be applied to appropriate areas for housing for low and moderate income elderly based on proximity to commercial services, public transit, and other services. Accomplishment: Environmental constraints present on the City's remaining vacant parcels, combined with extreme land costs, preclude the development of multi-family/affordable housing in Rolling Hills. Due to these factors, the concept of an affordable housing overlay zone is no longer an appropriate program for the City's Housing Element. 34 HOUSING ELEMENT JUNE 25, 1990 2. Existing Program: Permit manufactured or mobile homes on all buildable, single family lots in the City. Accomplishment: The City has amended its Zoning Ordinance to provide for manufactured homes, mobile homes and trailers. 3. Existing Program: Provide low and moderate income housing in the City of Lomita through pooling of area block grant monies. Accomplishment: The City of Rolling Hills contributes its annual allotment of CDBG funds to the City of Lomita to be used expressly for the construction of congregate housing for lower income seniors. The City's contribution of approximately $10,000 per year has enabled the construction of the following two senior housing projects in Lomita: a) 78 rental units for low income elderly or handicapped individuals at 24925 Walnut Street, Lomita b) 67 rental units for low income elderly or handicapped individuals at 25109 Ebony Lane, Lomita Additionally, for the past several years Rolling Hills' CDBG contributions have been set aside to go towards the acquisition of land for a construction of a third senior housing project. The City of Lomita expects to acquire this property by June 1990 and will construct 25 low income elderly/disabled rental units on the site. 4. Existing Program: Participate in regional low and moderate income housing programs. Accomplishment: The City participates in regional low and moderate income housing programs through joining other neighboring cities in pooling financial resources to construct low cost housing in the greater community. In addition, the City has met with representatives of other jurisdictions to discuss cooperative housing strategies. 5. Existing Program: Solicit the private sector's involvement in providing affordable housing. Accomplishment: The City has amended its Zoning Ordinance to provide density bonuses for developers wishing to build low and moderate income housing in Rolling Hills. 35 HOUSING ELEMENT JUNE 25, 1990 6. Existing Program: Encourage developers to construct low and moderate income housing by providing a density bonus of 25 percent over the otherwise allowable units permitted when the developer provides at least 25 percent of the total number of units in a housing development for persons of low or moderate income. Accomplishment: The City's Zoning Ordinance has been amended accordingly. 7. Existing Program: Encourage developers to construct housing for persons of low or moderate income by providing developmental incentives. Accomplishment: The City has amended its Zoning Ordinance to provide density bonuses for developers wishing to build low and moderate income housing in Rolling Hills. 8. Existing Program: Encourage housesharing for those residents who no longer needs a large residence. Accomplishment: Seniors in Rolling Hills utilize two nearby shared housing programs - South Bay Senior Services in Torrance and Anderson Center in San Pedro - which assist seniors in locating roommates to share existing housing in the community. 9 Existing Program: Control grading in new and existing development. Accomplishment: The City has adopted a Site Plan Review Ordinance which, among other things, regulates grading practices to ensure compatibility with the existing natural setting: Planning Commission approval of a project's site plan review application is required before a grading permit will be issued. 10. Existing Program: Provide programs for minor home repairs. Accomplishment: The City's housing stock is in excellent condition and the vast majority, if not all, of the City's residents have the financial means to ensure adequate upkeep to their homes. This program is not appropriate to Rolling Hills. 11. Existing Program: Promote neighborhood beautification activities. 36 HOUSING ELEMENT JUNE 25, 1990 Accomplishment: Both the City and the Rolling Hills Community Association undertake neighborhood beautification activities on an ongoing basis in the community. 12. Existing Program: Establish open space hazard zones to protect the health and safety of present and future residents. Accomplishment: As part of the City's General Plan Update, a Landslide Hazard overlay designation for the Flying Triangle is being developed to provide consistency with the City's restrictions on development in unstable geological areas. 13. Existing Program: Allow repair of structures and remedial grading within the landslide moratorium area. Accomplishment: The City's updated Safety Element sets forth policy to allow for hazard mitigation and slope maintenance plans for existing and continuing development in hillside areas. 14. Existing Program: Allow temporary mobile homes on landslide sites where existing residential structure is uninhabitable. Accomplishment: The City's Zoning Ordinance has been modified to accommodate temporary mobile homes on landslide sites where the existing structure is uninhabitable. 37 HOUSING ELEMENT JUNE 25, 1990 Goals and Policies The City of Rolling Hills adopted a series of goals and policies as part of its 1981 Housing Element to guide the development and implementation of its housing program. As part of the current General Plan update, these adopted goals and policies were reviewed with the General Plan Advisory Committee as to their appropriateness in addressing the community's housing needs. The following goals and policies reflect a revision to those previously adopted to incorporate community input and to reflect what has been learned from the prior element. These goals and policies will serve as a guide to City officials in daily decision making. GOAL 1: Provide for housing which meets the needs of existing and future Rolling Hills' residents. Policy 1.1: Evaluate ways in which the City can assist in providing housing to meet special community needs. Policy 1.2: Work with governmental entities to explore the possibility of providing affordable housing for low and moderate income and senior citizen households in the South Bay region. Policy 13: Continue to contribute Community Development Block Grant funds to nearby cities for the development of congregate housing for seniors. Policy 1.4: Encourage the development of residential units which are accessible to the handicapped or are adaptable for conversion to residential use by handicapped persons. Policy 1.5: Encourage the use of energy conservation devices and passive design concepts which make use of the natural climate to increase energy efficiency and reduce energy costs. GOAL 2: Maintain and enhance the quality of residential neighborhoods in Rolling Hills. Policy 2.1: Encourage and assist in the maintenance and improvement of existing neighborhoods to maintain optimum standards of housing quality and design. Policy 2.2: Require the design of housing to comply with the City's building code requirements. 38 HOUSING ELEMENT JUNE 25, 1990 Policy 23: Require compatible design to minimise the impact of residential redevelopment on existing residences. GOAL 3: Provide housing services to address the needs of the City's senior citizen population. Policy 3.1: Provide reference and referral services for seniors, such as in -home care and counseling for housing -related issues, to allow seniors to remain independent in the community. Policy 3.2: Coordinate with existing agencies providing shared housing programs in nearby cities as an option for seniors to share existing housing in the community. Policy 33: Coordinate with lending companies and institutions to educate the City's elderly homeowners as to the availability of reverse mortgage loans which allow income -poor seniors to remain in their homes. GOAL 4: Promote housing opportunities for all persons regardless of race religion, sex, marital status, ancestry, national origin or color. Policy 4.1: Affirm a positive action posture which will assure that unrestricted housing opportunities are available to the community, and enforce all applicable laws and policies pertaining to equal housing opportunity. 39 HOUSING ELEMENT JUNE 25, 1990 Implementing Programs The goals and policies set forth in the Housing Element to address the City's housing needs are implemented through a series of housing programs. The Housing Element program strategy consists of both programs currently in use in the City and additional programs to provide the opportunity to adequately address the City's housing needs. The following section provides a brief description of each program, five year quantified objectives, funding source, responsible agency and implementation time frame. Shared Housing Many seniors who prefer to live independently resort to institutionalized living arrangements because of security problems, loneliness, or an inability to live entirely independently. Seniors in Rolling Hills have access to two nearby shared housing programs - South Bay Senior Services in Torrance and Anderson Senior Center in San Pedro - which assist seniors in locating roommates to share existing housing in the community. These programs make roommate matches between seniors based on telephone requests. South Bay Senior Services frequently receives calls from seniors in Rolling Hills in search of other seniors to rent guest cottages or second units attached to the main residence, and has located roommates for several of the City's elderly homeowners. The City can more actively market the availability of these shared housing programs by providing informational brochures at the public counter. Quantified Objective: Develop informational brochures advertising existing shared housing programs to increase the number of roommate matches to ten over the 1989-1994 period. Funding Source: City budgets. Responsible Agency: City Planning Department. Implementation Time Frame: Two Years. Reverse Mortgage Program The most substantial asset of most elderly homeowners is their home, which in Rolling Hills has increased significantly in value with inflation. But while owning a home in Rolling Hills may provide a rich asset base, the onslaught of retirement and a fixed income can cause many elderly homeowners to quickly become income poor. Home maintenance repairs multiply as the home ages, and with rising costs in home utilities, insurance, and taxes, housing maintenance often gets deferred. 40 HOUSING ELEMENT JUNE 25, 1990 An alternative option for elderly homeowners is to draw needed income from the accumulated equity in their homes through a reverse mortgage. A reverse mortgage is a deferred payment loan or a series of such loans for which a home is pledged as security. Qualification for the loan is based primarily on property value rather than income, allowing the elderly homeowner on a fixed income to receive a loan for which he or she would not otherwise qualify. Most reverse mortgage programs permit homeowners to borrow up to 80 percent of the assessed value of their property, to receive needed principal of up to 25 percent of the loan, and then to receive monthly annuity payments for the life of the loan. Reverse mortgages may offer a viable financing alternative to many of Rolling Hills' elderly homeowners. The City can help to inform its senior population as to the availability of reverse mortgages by providing educational brochures, as well as referral services, to those seniors interested in pursuing a reverse mortgage. Based on available information, the following companies and lending institutions are known to offer reverse mortgage loans in the Los Angeles area. 1. Security Pacific National Bank, City of Downey (213) 869-1056 2. Capital Holding 1-(800)-431-8100 3. Providential Home Income Plan (714) 793-2309 4. American Homestead 1-(800)-233-4762 Quantified Objective: Provide informational brochures at the public counter, and offer referral services to seniors interested in pursuing a reverse mortgage. Funding Source: None necessary. Responsible Agency: City Planning Department. Implementation Time Frame: Two years. Congregate Housing for Seniors Based on the infeasibility of senior housing development in Rolling Hills due to land costs and environmental constraints, the City contributes its annual allotment of CDBG funds to the City of Lomita to be used expressly for the construction of housing for lower income seniors. The City's contributions have facilitated the construction of two low income/senior housing projects and will go towards the purchase of land for a third senior housing facility. As this housing is located outside the City of Rolling Hills' jurisdiction, under State law it cannot 41 HOUSING ELEMENT JUNE 25, 1990 be counted towards the City's regional share of housing needs. Nonetheless, this housing provides congregate housing opportunities for Rolling Hills' senior citizen households, and thereby addresses a special housing need in the City. Rolling Hills will continue to contribute its CDBG funding to nearby jurisdictions to facilitate the development of congregate housing for seniors. Quantified Objective: Increase the available supply of congregate housing units for seniors. Funding Source: U.S. Dept. of Housing and Urban Development/Los Angeles County Community Development Commission Responsible Agency: City Planning Department Implementation Time Frame: Ongoing Summary of Five -Year Program Goals Number of Units to be Constructed: 40 single-family units Number of Units to be Rehabilitated: 0 rehabilitation need Number of Units to be Conserved: 683 single-family housing units 42 HOUSING ELEMENT JUNE 25, 1990