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HomeMy WebLinkAbout2009/08/11 Item 18CITY COUNCIL AGENDA STATEMENT CITY OF CHULA VISTA AUGUST 11, 2009, Item ITEM TITLE: REPORT; PRESENTATION BY THE SAN DIEGO ASSOCIATION OF GOVERNMENTS (SANDAG) REGARDING PREPARATION OF THE 2050 REGIONAL GROWTH FORECAST, AND REQUEST FOR CITY ASSISTANCE SUBMITTED BY: DEPUTY CITY MANAGI/ DIRECTOR OF DEVELOPMENT SEnR,~V^ICES REVIEWED BY: CITY MANAGER 4/STNS VOTE: YES ~ NO SUMMARY The City Council will receive a presentation from SANDAG staff regarding the 2050 Regional Growth Forecast. SANDAG will request City assistance in helping to develop local land use scenarios to be used in generating forecast projections to the year 2050. At present, collective land use plans of the region's jurisdictions do not contain enough residential housing capacity to meet projected demands to 2050, and approximately an additional 70,000 units would be needed region-wide. SANDAG is meeting with all jurisdictions to provide background information about forecast requirements, present possible approaches to modeling additional capacity, and to request local jurisdictions to review those approaches (or other locally preferred options) and provide input back to SANDAG by October 2009 on a suitable local capacity scenario for their jurisdiction to be used in the 2050 Forecast. ENVIRONMENTAL REVIEW Not applicable. RECOMMENDATION That Council support SANDAG's request, and direct staff to review possible capacity- adding forecast options and return to Council with recommendations for consideration. BOARDS/COMMISSION RECOMMENDATION Not applicable. 18-1 August 11, 2009, Item ~B Page 2 of 3 DISCUSSION Approximately every 5 yeazs, SANDAL prepazes a Regional Growth Forecast as part of its requirements for receiving federal and state transportation funding, among other purposes. The Forecast is used to prepaze the Regional Transportation Plan (RTP) and a variety of other regional planning documents and funding programs, including the Smart Growth Incentive Grant Program. The forecast typically looks out 25 yeazs, however, there aze several factors behind SANDAG's extending the current forecast's horizon to 2050, namely; the upcoming RTP update will extend to 2050 to cover the duration of TransNet sales tax which expires in 2048; the County Water Authority (CWA) is updating its Urban Water Management Plan which extends beyond 2035, and the forecast will be used to develop the region's first Sustainable Communities Strategy (SCS) as required by the passage of SB375. The SCS will address the region's ability to meet State Greenhouse Gas (C02) reduction requirements that have benchmark performance milestone years extending to 2050. Through early work on the forecast, SANDAL has identified that the collective housing capacity of adopted land use plans across the region is not sufficient to accommodate projected growth. The region effectively runs out of available housing capacity around 2030-35, and needs about 70,000 more units to meet remaining forecast demand to 2050. In past forecasts, when supply within the region was saturated, housing demand was exported to adjoining regions in Imperial, Orange and Riverside Counties, and Baja California. Under SB375 the region needs to internally accommodate that capacity, and cannot effectively export that demand as it has in the past. As a result, the 2050 Forecast needs to model housing capacities beyond those in adopted plans. SANDAL has been working with the region's planning and community development directors through the Regional Planning Technical Working Group (TWG) to identify a series of initial land use scenarios that could bridge the housing capacity gap. Twelve scenarios were originally conceived, and were narrowed to five scenarios for further examination, along with a sixth option for jurisdiction-specific scenarios. The attached memo from SANDAL (see Attachment 1) outlines these options that will be covered in SANDAG's presentation. Recognizing that one size does not fit all, the SANDAL Board directed their staff to work with each jurisdiction to review the options to determine which (if any) provide a suitable 2050 land use scenario for that jurisdiction. SANDAG's presentation is informational in nature and no action on any of the scenarios is requested of Council. SANDAL is asking that each jurisdiction subsequently review the scenarios and provide input back to SANDAL by October 2009 on which of the five, or if a substitute scenario, should be used for Chula Vista in the 2050 Forecast. If directed by Council, staff intends to review the various scenarios' implications for Chula Vista, and return to Council with recommendations for discussion not later than early October. Understanding that additional housing capacity has an effect on facilities, services, and fiscal matters; our review will include consideration of potential social and financial implications. Based on Council input and direction at that time, staff will forward a preferred forecast scenario (or a hybrid) for Chula Vista to SANDAL for use in 18-2 August 11, 2009, Item Page 3 of 3 preparation of the Drafr 2050 Forecast. The Draft Forecast will be subject to further jurisdictional review in November/December 2009. DECISION MAKER CONFLICT Not Applicable: Staff has reviewed the decision contemplated by this action and has determined that it is not site specific and consequently the 500 foot rule found in California Code of Regulations Section 18704.2(a)(1) is not applicable to this decision. CURRENT YEAR FISCAL IMPACT None. Staff time associated with the proposed forecast review is already included in the adopted FY2009-10 budget. ONGOING FISCAL IMPACT None; the associated review will be completed by October 2009. ATTACHMENTS 1. SANDAG memorandum Prepared by: Ed Batchelder, Advance Planning Manager, Development Services Department J: IPlartninglEDISANDAGISANDAG 2050 Forecast Final A/l3.doc 18-3 ~~o ~~, 401 s street suite 800 July 24, 2009 San D1egD, fA 92 101-423 1 (579) 699-1900 Fax (619) 649-1905 www.sandag.org TO: 'ego Region Cities and County FROM: or Lori Holt Pfeiler, SANDAG Board Chair MEMBER AGFNdES Cities of cadsbad Chuk l izta Coronado De! Mar fl Cajan Encinitas Escontlido Imperial Beach to Mesa tenon Grope National city Oceanside Poway San Diego San Marcos Santee Solana Bead, Yuta and Counryofsan Diego ADV/sORYMEMBFRs bnpenal county Ca/ifomia Department of hansportatton Metropo5tan Transit system North Caunry imnsit District United States Department of De/ense San Diego untried Port District San Diego county waterauthodry Southern California Tribal ChairmenTASSOCiatim Mexico SUBJECT: 2050 Regional Growth forecart File Number 3100900 In its role as the Metropolitan Planning Organization for the San Diego region, SANDAG prepares a regional growth forecast every four years. The regional forecast is largely based on local land use plans and policies, and is meant to reasonably identify where growth is projected to occur in the region over the long term. The forecast is completed through amulti-rtep, collaborative process that involves input from local jurisdictions (in particular, the planning and community development directors who serve on the Regional Planning Technical Working Group (TWG)), citizens, and elected officials. in addition to local outreach, SANDAG staff conducts peer review by outside experts including demographers, economists, developers, and natural resource managers to evaluate economic and demographic assumptions about fertility, migration, inflation, and other indicators. Over the past three decades, this collaborative process has resulted in forecasts that have been quite accurate. As such, SANDAG forecasts have served as a valuable planning tool for regional and local infrastructure providers such as transportation agencies, school districts, water suppliers, and others. SANDAG currently is developing a forecast extending to 2050. The 2050 Regional Growth Forecast' will be the first step in developing the 2050 Regional Transportation Plan (RTP}. As part of the RTP, the 2050 forecast will serve as the basis for the region's first Sustainable Communities Strategy. The forecast also will be used in developing the Regional Housing Needs Assessment (RHNA) and updating the next Regional Comprehensive Plan (RCP). Finally, as with past forecasts, the 2050 Forecast also will support local land use, capital improvement, and water resource planning efforts throughout the region. 2050 Grovvth: Change and Challenges Previous forecarts have consistently shown that the San Diego region will continue to grow although at reduced rates in the future. This forecast is no different and preliminary draft projections suggest that the region will ' SANDAG denotes forecasts by a sequential series number. The current working forecast is known as the.5eries 12: 2050 Regional Growth Forecast. approach 4.4 million residents, 1.9 million jobs, and 1.5 million housing units by 2050 (see Figure 1.) Most of the projected residential growth can be accommodated based on adopted general plans and policies; however, draft projections show the region's housing demand exceeds planned housing capacity before 2050. Based on land use and general plan input from the TWG, draft analysis indicates that local plans would be able to accommodate more than the 500,000 additional jobs projected by 2050, but would come up short in planned housing, with capacity for only 380,000 units out of the 450,000 projected. This results in a projected shortfall of 70,000 housing units (approximately 15 percent) by 2050. This analysis is based on information from exirting general plans, including the County of San Diego draft plan update, areas considered most likely for redevelopment based on local input, and information on natural constraints to development, such as steep slopes, Figure t. Draft 2050 Growth Projections for San Diego Region habitat, and floodplains, as well as policies such as parking requirements, setbacks, and existing buildings and infrastructure, that influence future development and redevelopment potential. Initial economic projections show strong growth in real per capita income and stable, diversified employment growth over the next four decades. While there is sufficient capacity for job growth, continued economic development in the region is contingent upon providing opportunities to house San Diego's future labor force, as indicated in the SANDAG Regional Economic Prosperity Strategy. Important Considerations for the 2050 Forecast As a result of Senate Bill 375 (Steinberg, 2008), the SANDAG forecast shall "identify areas within the region sufficient to house all the population of the region...over the course of the planning period of the regional transportation plan."2 Further, in order to avoid additional state review during the RHNA process, the population forecart also must be "within a range of 3 percent of the total regional population forecast...over the same time period by the [California] Department of Finance."3 At this point, the SANDAG 2050 projection of 4.4 million residents falls within 3 percent of the Department of Finance projection (4.5 million). Currently adopted general plans and certain draft updates allow capacity to provide housing opportunities for about 85 percent of the housing demand projected for the region. Recognizing that many of the region's general plans will be updated at least once between now and 2050, SANDAG staff has been working with each jurisdiction through the TWG since October 2008 to identify opportunities to accommodate the 70,000 housing units shortfall in the last 10 to 15 years of the forecast. ' California Senate Bill 375, section 4 (b)(2)(B)(ii). Approved by California Governor September 30, 2008. ' California Senate Bill 375, Section 8 (b). Approved by California Governor September 30, 2008. 2 18-5 Recommendations from the TWG and the SANDAG Regional Planning Committee, Transportation Committee, and Board of Directors To ensure local input, SANDAG staff has been working with local planning directors, through the TWG, to identify a series of land use scenarios that could bridge the gap between the horizon year of local general plans and the 2050 forecast year. Twelve scenarios and their variants were generated through a series of workshops and meetings with the TWG. The TWG reviewed each scenario in detail with a focus on selecting alternatives that were reasonable based on knowledge of local plans and market conditions, as well as alternatives that align with regional goals described in approved plans such as the RCP and RTP. Based on those objectives, at its May meeting, the TWG recommended that SANDAG staff continue to examine the following land use scenarios: • Maximum general plan development/redevelopment regionwide • Density increases in transit investment areas • Redevelopment near high-frequency transit stations • Plan updates in Smart Growth Opportunity Areas (SGOAs) • inclusion of draft plans in the forecast, at jurisdiction's discretion • Jurisdiction-specific options, not listed above These alternatives also were presented to the SANDAG Regional Planning and Transportation Committees. Both groups recommended that these alternatives be studied further. Recognizing that one size does not fit all jurisdictions in our diverse region, the SANDAG Board of Directors directed SANDAG staff to work with each jurisdiction to determine which (if any) of the above options provides a suitable 2050 land use scenario for that jurisdiction. Next Steps To have the best chance of meeting the schedule set for completing the RTP, the regional growth forecast process must move ahead. To help facilitate the forecast process, the SANDAG Board of Directors has directed SANDAG staff to work with each jurisdiction to develop the 2050 growth forecast. Each jurisdiction will have the option to consider one of the proposed 2050 scenarios (listed above) or to provide a substitute scenario. Upon collecting information from each jurisdiction, SANDAG staff proposes to produce a draft subregional forecast in late 2009 that would be shared with each jurisdiction far comment and review. The final forecast is expected to be presented to the SANDAG Board of Directors in early 2010 for use in the 2050 RTP. KKU/BJA/dsn 3 18-6