HomeMy WebLinkAbout17 - CDBG Consolidated PlanV
CITY OF NEWPORT BEACH
CITY COUNCIL STAFF REPORT
Agenda Item No. 17
April 27, 2010
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Planning Department
Kathlyn Bowden, Economic Development Coordinator
949 - 644 -3230/ kbowdenna city.newport- beach.ca.us
SUBJECT: Community Development Block Grant Fiscal Year 2010 -2014
Consolidated Plan
ISSUE:
The U.S. Department of Housing and Urban Development (HUD) requires the City of
Newport Beach to complete a Consolidated Plan to receive funds under the Community
Development Block Grant (CDBG) program. The Consolidated Plan is required to be
prepared every five years and contains an assessment of the housing and community
development needs of the community and programs intended to address those needs.
The last Consolidated Plan period was 2005 -2009, and it is time for the City to adopt a
new Consolidated Plan.
RECOMMENDATION:
1. Hold a public hearing to receive comments on the 2010 -2014 Consolidated Plan;
and
2. Approve the 2010 -2014 Consolidated Plan; and
3. Adopt Resolution No. 2010- authorizing the City Manager to submit the
FY 2010 -2014 Consolidated Plan to HUD.
DISCUSSION:
The City of Newport Beach's 2010 -2014 Five -Year Consolidated Plan proposes a
strategic vision for housing and community development in the City. This plan ensures
that citizens within the community have an overview of Newport Beach's housing and
community development issues; the annual goals, objectives, and actions proposed to
address the City's needs; and the specific projects proposed to carry out those goals
and objectives. The Consolidate Plan is the long -range planning document that guides
the City's Annual Action Plan, which must be submitted to HUD at least 45 days prior to
the beginning of the program year. The City of Newport Beach operates on a fiscal
year of July 1st through June 3 0th
2010 -2014 Consolidated Plan
April 27, 2010
Page 2
Citizen Participation
On August 26, 2009, the Planning Department conducted a Community Meeting with
Newport Beach residents and community based organizations to evaluate the current
level of services offered and to identify any new community needs. In addition, a
Needs Assessment survey was made available on the City's website and distributed to
community facilities within the City of Newport Beach in an effort to garner citizen
comments on the needs of the community. As a result of the Community Meeting and
Needs Assessment survey, the major community needs categories identified were
affordable housing, special needs populations, homelessness, senior services and non -
housing community development.
CDBG Funding Strategies
The Consolidated Plan serve as the basis of funding strategies for the five year period
(2010 -2014) covering the Consolidated Plan. The City must allocate CDBG funds to
programs and projects that significantly contribute to the City's efforts to meet the goals
and objectives identified in the Strategic Plan chapter of the Consolidated Plan. The
Federal Consolidated Planning Regulations found at 24 CFR Part 91 state that the
Consolidated Plan's activities should meet one (1) of the following three (3) goals,
including the provision of:
• Affordable housing opportunities;
• A suitable living environment; or
• Expanded economic opportunity.
During the 2010 -2014 Consolidated Plan period, the City will invest its CDBG funds in
accordance with the following Strategies:
Housing Strategy
1. Expand the supply of affordable rental and homeownership housing
opportunities.
2. Preserve and improve the existing housing stock and ensure equal access.
Homeless Strategy
1. Support continuum of care services to further the City's and the County of
Orange's efforts to end homelessness.
2010 -2014 Consolidated Plan
April 27, 2010
Page 3
Special Needs Strategy
1. Help persons with special needs live as independently as possible.
Senior Services Strategy
1. Provide quality supportive services so elderly residents can live as independently
as possible.
Public Services Strategy
1. Contribute to the well -being of individuals, families, and neighborhoods.
The City will provide CDBG funds to projects that help meet the strategies identified
above during one or more of the five program years covered by the 2010 -2014
Consolidated Plan.
The Federal Consolidated Plan regulations require the City to address community
development issues that are common to all communities throughout the nation,
including impediments to fair housing, poverty, and the threat of lead -based paint. To
address these issues, the City will also give priority to projects and programs that:
• Address impediments to fair housing;
• Reduce lead -based paint hazards;
• Move low- income persons to self- sufficiency (anti - poverty strategy);
• Address barriers to affordable housing; and
• Monitor all projects and programs.
Strategies for addressing the priorities noted above can be found in the Strategic Plan
chapter of the 2010 -2014 Consolidated Plan.
ENVIRONMENTAL REVIEW:
Not subject to CEQA, as the activity is not a project, as defined in Section 15378(b)(4).
PUBLIC NOTICE:
Notice of the public hearing was published in the Daily Pilot on March 20, 2010.
Prepared by:
athlyn Bowden, AI
conomic Development Coordinator
2010 -2014 Consolidated Plan
April 27, 2010
Page 4
Submitted by:
Sharon Wood
Assistant City Manager
Attachments: Draft 2010 -2014 Consolidated Plan and Resolution
CITY COUNCIL RESOLUTION NO. 2010-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT
BEACH APPROVING THE FIVE -YEAR 2010 -2014 CONSOLIDATED PLAN, A
STRATEGIC VISION FOR HOUSING AND COMMUNITY DEVELOPMENT
IN THE CITY REQUIRED TO RECEIVE FUNDS UNDER THE COMMUNITY
DEVELOPMENT BLOCK GRANT (CDBG) PROGRAM, AND SUPERCEDING
ALL PREVIOUS RESOLUTIONS WHICH ARE INCONSISTENT
THEREWITH.
WHEREAS, the City of Newport Beach participates in the Department of Housing and
Urban Development's Community Development Block Grant (CDBG); and
WHEREAS, the Department of Housing and Urban Development (HUD) requires the
City to prepare a 5 -year "Consolidated Plan" document for the CDBG program which outlines a
strategic vision for housing and community development in the City; and
WHEREAS, the Consolidated Plan ensures that citizens within the community have an
overview of the City's housing and community development issues; the annual goals, objectives,
and actions proposed to address the City's needs; and the specific projects proposed to carry out
those goals and objectives; and
WHEREAS, the development of the Consolidated Plan involved a citizen participation
process including a Community Meeting and Needs Assessment survey inviting both the
community and community based organizations to work in partnership with the City to identify
needs and allocate CDBG funds.
WHEREAS, on March 20, 2010, the City published a public notice in the Daily Pilot
newspaper indicating that the draft Consolidated Plan would be available to the public for review
and comment from March 20, 2010 to April 27, 2010; and
WHEREAS, on April 27, 2010, the City Council reviewed and approved the draft
Consolidated Plan, including amendments to respond to the comments that are presented at the
hearing; and
WHEREAS, pursuant to Section 15378 of the State CEQA Guidelines, the proposed
project is exempt from the requirements of CEQA.
NOW, THEREFORE, the City Council of the City of Newport Beach DOES HEREBY
RESOLVE as follows:
SECTION 1. The Consolidated Plan outlining the City's housing and community
development needs, priorities and strategies for the five year period of 2010 -2014 is hereby
adopted, and the City Council DOES HEREBY AUTHORIZE the City Manager to be the official
representative of the City of Newport Beach to submit the Consolidated Plan and certification
required to HUD.
SECTION 2. That the City Council DOES HEREBY AUTHORIZE the Economic
Development Coordinator of the Planning Department, or his /her designee, to be the official
representative of the City of Newport Beach to submit required environmental documentation for
CDBG projects.
PASSED AND ADOPTED by the City Council of the City of Newport Beach at a regular
meeting held on the 27th day of April 2010.
MAYOR OF THE CITY OF NEWPORT BEACH
attest:
CITY CLERK OF THE CITY OF NEWPORT BEACH
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) SS
CITY OF NEWPORT BEACH )
I, LEILANI BROWN, City Clerk of the City of Newport Beach, HEREBY DO CERTIFY
that the foregoing resolution was duly adopted at a regular meeting of the City Council of the
City of Newport Beach, held on the 27th day of April 2010.
AYES: COUNCILMEMBERS:
NOES: COUNCILMEMBERS:
ABSENT: COUNCILMEMBERS:
CITY CLERK OF THE CITY OF NEWPORT BEACH
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City of Newport Beach
2010 - 2014 Consolidated Plan
I. Executive Summary ....................................................................... ............................1 -1
A. What is the Consolidated Plan? ............................................... ............................... I -1
B. Purpose of the Consolidated Plan ............................................ ............................... 1 -1
C. Community Vision .................................................................... ............................... 1 -2
D. Major Components of the Consolidated Plan ........................... ............................... 1 -2
E. Consolidated Plan Summary .. .............................................. ............................... 1 -3
CommunityProfile ........................................................................... ...........................11 -1
A. City in the Past ............. ......................................................... ...........................11 -1
B. City Today: Demographics ................................................ ............................... ....II -2
C. Business Climate ......................................................................... ...........................II -3
III. Consolidated Plan Development .......................... .................................................... III -1
A. Introduction ............................................................. ................. ..............................I 11-1
B. Purpose of the Consolidated Plan ................. ............................... ..........................III -1
C. Community Involvement in the 2010 -2014 Consolidated Plan ..... ..........................111 -3
D. Anti - Displacement and Relocation Plan ........ ............................... ..........................III -7
IV. Housing Market Analysis ..............................................................
...........................IV -1
A.
Overview ...............................................................
............................... ........... IV -1
B.
Housing Supply .........................................................................
...........................IV -2
C.
Age of Housing Stock ............................................................
............................... IV -5
D.
Housing Permits ............................................... ....................................................
IV -8
E.
Condominium Conversion Ordinance ....................................
............................... IV -9
F.
Available Land ...........................................................................
...........................IV -9
G.
Housing Demand ......................................................................
..........................IV -17
H.
Population Growth ....................................................................
..........................IV -18
I.
Cost of Rental Housing ................. ...............................
... ............................... IV -19
J.
Housing Cost .......................................................................
............................... IV -21
K.
Vacancy ............................... ...................... ............
... .......................................... IV -22
L.
Overcrowding ................. :...................................................................................
IV -22
M.
Cost Burdens ............ : .................. .......................................................................
IV -24
N.
Physical Defects and Substandard Condition ......................
............................... IV -26
O.
Low - Income and Minority Populations ................................
............................... IV -27
P.
Housing Needs .........................................................................
..........................IV -27
V. Public
Housing Needs ................................................................
............................... V -1
A. Introduction ............... ...............................
B. Public and Assisted Housing Providers....
C. Units at Risk of Conversion ......................
D. Public Housing Strategy ...........................
City of Newport Beach
Rev. 03/19/10
.................... ............................... V -1
.................... ............................... V -1
.................... ............................... V -3
.................... ............................... V -6
1 2010 -2014 Consolidated Plan
r1
VI. Homeless Needs Assessment .................................................. ...............................
VI -1
A.
Profile of the Homeless .......................................................... ...............................
VI -1
B.
Homeless Definitions ......... ............................... ................ ...............................
VI -1
C.
Factors Contributing to Homelessness .................................. ...............................
VI -2
D.
Local Homeless Population ................................................... ...............................
VI -2
E.
Homeless Needs ........................... ............................... ...... ...............................
VI -3
F.
Strategy ................................................................................. ...............................
VI -8
VII. Non - Housing Community Development Needs Assessment ...............................
VII -1
A.
Introduction ..... ............................... ................................... ...............................
VII -1
B.
Methodology ......................................................................... ...............................
VII -1
C.
Funding Priority Levels ............................... ............................... ..........................
VII -1
D.
The CDBG Program ............................................................. ...............................
VII -2
E.
Community Development Priority Needs .............................. ...............................
VII -4
F.
Infrastructure Improvements ................................................. ...............................
VII -5
G.
Community Facilities ............................................................. ...............................
VII -6
H.
Community Services ............................. .. ............................... .........................
VII -10
I.
Accessibility Needs .................................... ............................... .........................
VII -14
J.
Economic Development ...................................................... ...............................
VII -14
VIII. Barriers to Affordable Housing .............................................. ............................... VIII -1
A.
What is a Barrier to Affordable Housing? ............................. ...............................
VIII -1
B.
Analysis of Barriers ............................................................. ...............................
VIII -1
C.
Strategy and Objectives ............................. ............................... .........................
VI II -6
IX. Impediments
to Fair Housing ................................................... ...............................
IX -1
A.
Introduction ....... ............................... ................................. ...............................
IX -1
B.
Overview of Fair Housing ...................................................... ...............................
IX -1
C.
Fair Housing in Context ........................................................ ...............................
IX -2
D.
Discrimination ................. ............................... ........................ ...........................IX
-3
E.
Summary of Issues and Key Findings ................................... ...............................
IX -4
F.
Fair Housing in Newport Beach ............................................ ...............................
IX -7
G.
Fair Housing Strategy ........................................................... ...............................
IX -7
X. Lead -Based Paint Hazards ............................................................ ............................X -1
A.
Introduction ............................................................................. ...............................
X -1
_
B.
Lead Hazards ... ....................................................................................................
X -1
C.
Sources of Lead Hazards ...................................................... ...............................
X -1
D.
What is a Lead -Based Paint Hazard? .................................... ...............................
X -2
E.
Effects of Lead Hazard ....................... ......................................................
......... ...X -2
F.
Number of Children with Elevated Blood Levels of Lead ........ ...............................
X -3
G.
Strategies and Objectives ...................................................... ...............................
X -4
H.
City Compliance and Activities ............................................... ...............................
X -5
I.
Activities and Other County Agencies .................................... ...............................
X -7
XI. Housing and Community Development Delivery System
XI -1
City of Newport Beach 2 2010 -2014 Consolidated Plan
Rev. 03/19/10
T.
A. Housing and Community Development Delivery System ....... ............................... XI -1
B. Gaps in the Institutional Structure ....... ........ ......................................................... XI -5
C. Housing and Community Development Delivery System Strategy ....................... XI -6
D. Priority Strategy for the Housing & Community Development Delivery System .... XI -7
XII. Anti- Poverty Strategy
XII -1
A. Poverty in Context ................................................................ ............................... XII -1
B. Analysis of Poverty in City ................................................... ............................... XII -1
C. The State's Welfare- to-Work Program ........ ............................... ..........................XII -2
D. Existing Programs ......... ...................................................................................... XII -2
E. Anti - Poverty Strategy .................................. ............................... .......................... XII -3
XIII. Strategic Plan .......................................................................... ............................... XIII -1
A.
Strategies and Objectives .................................................... ...............................
XIII -1
B.
Other Strategies .................................................................. ...............................
XIII -2
C.
Administrative Strategies ..................................................... ...............................
XIII -6
D.
General Priorities for Investment ......................................... ...............................
XIII -8
E.
Priorities for Investment ...................................................... ...............................
XIII -8
F.
Outcome Performance Measurement System .................... ...............................
XIII -8
G.
Performance Evaluation System ....................................... ...............................
XIII -10
XIV. Monitoring Standards and Procedures ........ ...............................
..........................XIV -1
A.
Project Monitoring ...................................... ...............................
..........................XIV -1
B.
Consolidated Plan Monitoring ..................... .......................................................
XIV -3
XV. Leveraging ....................................................................................
...........................XV -1
A.
Federal Resources ...................................................................
...........................XV -1
B.
State Public Resources ............................................................
...........................XV -8
C.
Local Public Resources .......................................................... ..........................XV
-15
D.
Private Resources ...................... ......................................................................
XV -17
Citizen Participation Plan
A. Citizen Participation & Consultation Plan for 2010 - 2014 .............................. CPP -1 -13
Appendices
A. Community Development Needs Survey and Results
B. Community Meetings
C. Acronyms
D. Glossary of Terms
E. Public Notices and Flyers
F. Maps
G. 2010 -2011 One Year Action Plan
City of Newport Beach 3 2010 -2014 Consolidated Plan
Rev. 03/19110
I
Tables
4 -1
4 -2
4 -3
4 -4
4-5
4 -6
4 -7
4 -8
4 -9
4 -10
4 -11
4 -12
4 -13
4 -14
4-15
4 -16
4 -17
4 -18
4 -19
4 -20
4-21
5 -1
6 -1
7 -1
7 -2
7 -3
8 -1
10 -1
10 -2
10 -3
12 -1
Graphs
Change in Household Tenure: 1990 to 2000 and 2006 -2008 Estimates ..............
IV -3
Housing Supply: Size of Housing Units by Tenure ................ ...............................
IV -3
Housing Supply: Units in Structure by Tenure ....................... ...............................
IV -5
Age of Housing Stock: Year Units Built by Tenure ................ ...............................
IV -6
Age of Housing Stock: Households in Poverty ...................... ...............................
IV -7
Housing Permits 1999 -2008 ..................................................... ...........................IV
-8
Potential Residential Sites .................................................. ...............................
IV -11
Housing Demand: Households by Size and Tenure ............ ...............................
IV -17
Housing Demand: Households Type ................................... ...............................
IV -18
Population Growth: By Race and Ethnicity .......................... ...............................
IV -19
Cost of Rental Housing: Rental Units by Price and Bedroom Size .....................
IV -20
Cost of Rental Housing: Fair Market Rents by Number of Bedrooms ..................
IV -20
Cost of Owner - Occupied Housing: Single - Family by Zip Code ...........................
IV -21
Cost of Owner Occupied Housing: Condominiums by Zip Code .........................
IV -21
VacancyRate ...................................................................... ...............................
IV -22
Overcrowding Rates: Overcrowding By Race / Ethnicity ........ ...............................
IV -23
Rent Cost Burdens: As a Percentage of Income .................. ...............................
IV -24
Cost Burden: For Owners .................................................... ...............................
IV -25
Substandard Conditions: Housing Units Lacking Plumbing or Complete Kitchen IV -26
Housing Needs of Low and Moderate Income Households .. ...............................
IV -28
HUD Table 2A — Priority Housing Needs /Investment Plan .. ...............................
IV -30
Inventory of Assisted Units ......................... ......................... ...............................
V -5
HUD Table 1 -A- Homeless and Special Needs Populations .. ...............................
VI -7
Infrastructure Providers In Newport Beach ............................... ..........................
VII -5
Child Care Providers in Newport Beach ...... ............................... ..........................
VI I -9
HUD Table 2B — Priority Community Development Needs ...............................
VII -17
Additional City Fees .............. .................. ............................... .........................
VIII -3
Number of Elevated Blood Lead Levels and Cases ............... ...............................
X -4
Lead -Based Paint in CDBG and HOME funded Rehabilitation Programs .............
X -6
Local Sources for Information on Lead -Based Paint .............. ...............................
X -8
2008 Stability Index — Orange County .................................. ...............................
XII -5
4 -1
Age of Housing Stock: Year Unit Built ................................... ...............................
IV -6
4 -2
Age of Housing Stock: Households in Poverty ...................... ...............................
IV -7
4 -3
Housing Permits: Recent Permit Activity ............................... ...............................
IV -8
4 -4
Cost Burden: As a Percentage of Income ........................... ...............................
IV -24
4 -5
Cost Burdens: For Owners ................................................. ...............................
IV -25
City of Newport Beach 4 2010 -2014 Consolidated Plan
Rev. 03/19110
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I. Executive Summary
Executive Summary
A. What is the Consolidated Plan?
The Consolidated Plan identifies each community's priority needs, short- and
long -term goals and objectives, and strategies and timetables for achieving its
goals. It asks each community to state how it plans to achieve local objectives in
accordance with the statutory goals of all community development programs, to
provide decent housing in a suitable living environment and to expand economic
opportunity for low- and moderate - income families.
The Consolidated Plan codifies the relationship between the U.S. Department of
Housing and Urban Development (HUD), local units of government and citizens.
Developed with the input of citizens and community groups, the Consolidated
Plan serves four (4) primary functions. First, it is a planning document for each
community, built upon public participation and input. Second, it serves as the
application for housing and community development funds through HUD's
formula grant programs, of which the City of Newport Beach is only eligible to
directly receive Community Development Block Grant (CDBG) program funds.
Third, the Consolidated Plan defines local housing and community development
priorities. Fourth, the Consolidated Plan is a five -year strategy that the City will
follow each fiscal year to implement HUD programs locally.
The Consolidated Plan describes the lead agency responsible for overseeing the
development and implementation of the plan and agencies, groups, and
organizations that participate in the process. It also includes a summary of the
citizen participation process, public comments, and efforts made to broaden
public participation in preparing the plan.
B. Purpose of the Consolidated Plan
The City of Newport Beach 2010 -2014 Consolidated Plan identifies the City's
needs in housing, homelessness, community development and economic
development. It also presents the City's strategies to address those needs.
HUD requires the City to complete a Consolidated Plan to receive funds under
the Community Development Block Grant (CDBG) program. Consolidated Plans
are required to be prepared every five years and include five Annual Action Plans
(described below) to be produced for each year. This Consolidated Plan covers
the period from July 1, 2010 through June 30, 2014.
CDBG funds can be used for a variety of activities to help low- income people and
neighborhoods, such as planning activities, housing assistance, public services,
infrastructure, economic development, and other community development
projects.
The Consolidated Plan is built through a comprehensive consultation and citizen
participation process. The City's Planning Department is the lead agency for the
Consolidated Plan. The Planning Department is tasked with developing and
carrying out the plan.
City of Newport Beach
Rev. 03/19/10
1- 1 2010 -2014 Consolidated Plan
C. Community Vision
Since the last Consolidated Plan in 2005, the City of Newport Beach has
continued to provide a high standard of living through sound planning practices,
managed growth and a host of City services that are available to residents from
all walks of life. Newport Beach is a community of villages that each offer
residents, visitors and businesses a distinctive character, composition and
appearance.
The City uses all resources at its disposal to support the vision outlined in the
General Plan to meet current and future demands for housing, commercial
development, public open space and public facilities. With state and federal
governments constantly threatening Cities with a reduction of funds, future
community developments in Newport Beach will increasingly depend on the
efficient use of City resources to maintain its infrastructure, wisely develop its
remaining vacant land and to redevelop its underdeveloped land to meet current
and future community needs.
The City's General Plan is a blueprint to guide development in the City of
Newport Beach in future years. It provides a framework for decisions regarding
land use and transportation, as well as public facilities, economic development,
housing, and other public issues that are vital to a healthy and livable community.
The Planning Department is the primary entity that carries out the vision of the
General Plan.
Beyond infrastructure, facilities and open space, the City also supplements its
general- funded community services with CDBG funds to ensure the efficient and
effective delivery of a wide variety of public services to meet the needs of its
citizens. As advised by the CDBG Advisory Committee and the City Council, the
Planning Department oversees the implementation of various public service
projects that are carried out by community -based organizations to address the
needs of low- and moderate - income citizens. These programs help to ensure
that all segments of the population are able to thrive in Newport Beach.
D. Major Components of the Consolidated Plan
The Consolidated Plan contains seven (7) major components
1. An analysis of housing, homelessness, public housing, community
development, economic development, and other related needs.
2. A housing market analysis.
3. A description of the priority needs selected by the City.
4. Long -term strategies to address those priority needs.
5. An explanation of how the City will work with organizations in the public,
private, and nonprofit sectors to help carry out those strategies.
6. A description of annual projects and activities the Planning Department will
undertake to carry out those strategies.
7. Certification to Affirmatively Further Fair Housing and other certifications
City of Newport Beach
Rev. 03/19/10
1 -2
2010 -2014 Consolidated Plan
r�_ a
The City must produce five Annual Action Plans under the Newport Beach
Consolidated Plan for 2010 -2014. Each Annual Action Plan describes how the
City will implement projects and invest its CDBG funds during a given program
year. The first Annual Action Plan for 2010 -2011 is included in this Consolidated
Plan Document as an Appendix.
E. Consolidated Plan Summary
City of Newport
Rev. 03/19/10
The following summary identifies the key components of the 2010 -2014
Consolidated Plan including a summary of pertinent information presented in
each chapter.
I. Executive Summary/Community Vision: Included as part of the Executive
Summary chapter, this section describes how the City's General Plan sets
the vision for growth and how the Planning Department, its advisory
committee, and the Consolidated Plan help carry out that vision.
II. Community Profile: This chapter of the Consolidated Plan provides an
overview of the City's history, current demographics and characteristics of the
community. Newport Beach is a coastal community known for its known for
its savvy corporate offices, mild Pacific coastal climate, and world -class
dining and shopping destinations. According to the 2000 Census, the City
population was 70,032 with 50.8% of all residents being native Californians.
Demographically, the City is mostly comprised of non - Hispanic Whites
although recent demographic trends show that racial and ethnic minorities
remain a stable contributor to the growing population with approximately eight
percent (8 %) of the total population. The City has an even mix of males (50.5
percent) and females (49.5 percent). The City has over 33,071 households —
the majority of which are families with an average household size of 2.71
people with a median income of $83,455 (in 1999).
III. Consolidated Plan Development: This chapter details the methodology of
the development of the Consolidated Plan, outlines the Consolidated Plan
goals, institutional structure and citizen participation. This chapter also
includes the City's Anti - Displacement and Relocation Plan that describes how
the City will help persons or households who must be temporarily or
permanently relocated as a result of the use of CDBG funds. It should be
noted that such occurrences are rare—in -fact, no such actions were
necessary during the 2005 -2009 fiscal years.
In the development of the 2009 -2014 Consolidated Plan, the Planning
Department offered numerous opportunities for public input and review,
including:
• A needs survey that was distributed at the City Clerk's Office,
Planning Department, Public Library and posted on the City website
for residents to communicate their comments on housing,
homelessness, community development, and economic development
needs.
1 -3
2010 -2014 Consolidated Plan
• A Community Meeting that examined issues related to affordable
housing, public housing, homelessness, and non - housing community
development.
• A review of the needs, strategies, actions, and projects in the draft
Consolidated Plan by the CDBG Advisory Committee and other
groups.
• Public hearings to garner citizen comments on the needs, strategies,
actions, and projects in the Consolidated Plan.
• Distribution of the draft Consolidated Plan combined with a minimum
30 -day public comment period.
IV. Housing Market Analysis and Housing Needs: This chapter presents an
overview of the City's projected housing supply and demand, and assesses
housing needs. The Consolidated Plan regulations require the Planning
Department to conduct this analysis in order to establish priority housing
needs and strategies. The Department conducted an extensive market
analysis that focused on:
• Existing housing supply and demand.
• Economic and development trends that will determine future supply
and demand.
• Niche markets such as public housing, homeless facilities, and
housing for persons with special needs.
• HUD - specific market characteristics such as low- and moderate -
income concentrations, as well as ethnic and minority concentrations.
• Priority housing needs and strategies set by the Planning Department
through the Consolidated Plan development process.
The housing market analysis revealed a number of findings, including:
• The supply of housing increased by 5,258 units since 2000.
• Homeownership increased by 2.2% since 2000.
• The vacancy rate increased from 11.3% in 2000 to an estimated
14.3% in the 2006 -2008 American Community Survey (ACS).
• 77% of all housing units are more than 25 years old, indicating that
significant repairs to a majority of the City's housing units may need
to be completed during this planning period. The City will need to
consider the rehabilitation needs of low- and very-low income
homeowners who may not be able to afford the costly but necessary
repairs to maintain the habitability of their dwelling units.
• The lowest income renters are in the most need of more affordable
housing. A growing demand for one and two bedroom units is driving
up rents while many of these renters are already paying more than
half their wages for housing.
• With some assistance, homeownership is still within reach of some
moderate - income families. Down payment assistance programs and
housing counseling would help the dream of homeownership become
a reality for these families.
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• As the amount of developable land becomes smaller, the need for
infill / redevelopment will increase.
V. Public Housing Needs: This chapter describes the agencies that provide
public and assisted housing needs in Newport Beach. The City of Newport
Beach is committed to working with public and assisted housing providers to
address housing needs. Several agencies provide public or assisted housing
in the City of Newport Beach city limits. The Housing Authority of the County
of Orange provides assisted housing in the City. The Housing Authority
offers the Section 8 or Housing Choice Voucher Program, which is a
federally- funded program that provides rental assistance in the form of a
voucher to very low- income families, senior citizens, disabled and other
individuals for the purpose of securing decent, affordable housing. Several
additional agencies also develop affordable housing for low- and moderate -
income households and persons with special needs.
VI. Homeless and Special Needs Assessment: This chapter examines the
needs of homeless and persons with special needs. Despite greater attention
to the problem, there are 34,999 homeless living in the Orange County region
at any point in time. The diversity of the homeless population continues to
increase and the percentage of homeless persons suffering from mental
illness and substance abuse also continues to increase. Many homeless
have come from rural areas to the City to be near family or to seek
employment. Many addicted persons have cycled in and out of
homelessness with many of those persons reporting prior episodes. The
causes of homelessness in the City include a variety of factors, including:
• Substance abuse.
• De- institutionalization of persons with mental illness.
• Lack of resources to address the needs of homeless or "near- homeless"
persons with substance abuse or mental illness, including persons with
dual diagnoses.
• Unemployment/underemployment.
• Lack of job skills among persons at high risk for homelessness.
• Domestic violence.
• A large gap between the number of affordable housing units and the
number of households which need them.
• Poverty and Lack of Personal Resources.
Although more people are homeless, the organizations and programs
designed to serve them are making some progress in addressing these often,
multi- diagnosed homeless needs. Studies indicate that more of the easier -to-
reach "situational homeless" in the City are being helped now compared to
several years ago. Crises such as domestic violence, unemployment, or
death put these people at risk.
Helping the chronically homeless, who often have lived on the streets for
years, is harder. These people tend to be substance abusers, persons with
mental illness, or dually- diagnosed. The response by City agencies has
City of Newport Beach
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City of Newport
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moved toward a more effective treatment and rehabilitation focus, instead of
merely providing food and shelter.
According to the Continuum of Care (CoC) Community Forum Collaborative
survey, the number of potentially homeless and at -risk persons in transitional,
group, and nonpermanent living arrangements is increasing. Persons with
special needs may have a variety of mental and physical disabilities;
therefore, need a variety of housing options. Their housing needs vary
depending on the type of disability and may vary throughout an individual's
life depending on the degree of disability and individual circumstances.
Special Needs Populations. Several common themes and issues emerged
from the Consolidated Plan needs assessment, discussions with community -
based organizations, and the analysis that provides a good starting point in
understanding how to serve persons with special needs in the City more
effectively:
• Transportation: A common theme amongst those participating in the
Consolidated Plan process was that the lack of access to transportation
and employment centers was not helping many hardships, and was
obstructive to self - sufficiency.
• Adaptable Housing: Agencies expressed the need to incorporate
accessible design in new affordable housing as a high need, as was the
need for adaptable "retrofits' to existing housing for households that need
them. With such housing, residents with special needs will not need to
abandon their homes. This issue is especially important for the elderly
who are often homeowners who do not want to leave their homes. Also
discussed was the issue that many persons with special needs lack the
financial resources to pay for retrofits and other necessary improvements.
• Lack of Income: Organizations that assist special needs groups
indicated that persons with special needs find it extremely difficult to
maintain employment. Therefore, they often cannot afford many of the
housing and supportive services they need and must rely upon public
assistance.
• Discrimination: While there are differences in the intensity of opposition
to housing for the different special needs populations, individuals reported
that landlords often did not want to rent to persons with special needs.
NIMBY, the "Not In My Back Yard" syndrome, was also discussed as a
common issue.
• Lack of Funding: Agencies indicated the need for additional funding for
affordable housing for persons with special needs. They further discussed
the lack of funding for the supportive services necessary for persons with
special needs.
• Education: Another common theme was the need for educating the
public regarding a variety of issues, including resources, services, and
programs available for lower- income families and persons with special
needs. Also cited was the need for prevention education.
• Accessible Facilities: Participants cited the need for more accessible
facilities that support services to persons with special needs, such as
community centers, activities, education, and computer training. This
1 - 6 2010 -2014 Consolidated Plan
need includes retrofitting existing facilities as well as the need for new
facilities.
• Support for Organizations Serving Persons with Special Needs:
Another common theme participants expressed was the need for
resources (especially for administrative support) for these organizations.
VII. Non - housing Community Development Needs Assessment: This chapter
examines "non- housing" community development needs in Newport Beach
such as planning, economic development, public services, and public
facilities. The CDBG regulations categorize the types of programs and
projects that are eligible for funding. The categories include community
improvements, community facilities, economic development, accessibility
needs and community services.
The Non - Housing Community Development Needs Assessment revealed that
ADA improvements to public facilities, fair housing activities, tenant/landlord
counseling and Section 108 Loan repayment were high priority needs.
Medium needs included senior services, handicapped services, youth
services, child care services, substance abuse services, health services and
non - residential historic preservation of the City's 50 -100 year -old commercial
and community buildings. All other needs were rated "low".
VIII. Barriers to Affordable Housing: This chapter examines barriers to
affordable housing and the City's strategy for addressing those barriers.
According to the most recent information available, the two (2) primary
barriers to accessing affordable housing include the lack of affordable
housing units and the combination of development approval process /fees, the
high cost of land and the local market conditions that make it very costly to
develop affordable units in the City. Although each specific affordable
housing development proposal has unique challenges, some of the more
common barriers to the development of affordable housing include:
• Building codes and standards.
• Zoning.
• Land use controls.
• Citizen opposition based on unfounded neighborhood criticism.
• Lack of a political constituency in favor of such development.
• Lack of knowledge of available subsidies and resources.
• Resource fragmentation and scarcity.
• Housing acquisition finance requirements.
• Lack of private financial resources by housing providers.
IX. Impediments to Fair Housing: This chapter describes the impediments to
fair housing choices in Newport Beach. The City has traditionally participated
in a countywide consortium to develop a Regional Fair Housing Analysis of
Impediments that addresses countywide issues as well as more localized
issues for each participating City. At the time of this writing, the updated
Regional Analysis of Impediments to Fair Housing Choice was not complete.
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The consortium has contracted with the Fair Housing Council of Orange
County to complete the Regional Analysis. The study will evaluate the nature
and extent of housing segregation and discrimination in the County as well as
the City. It will serve as a framework for the City's fair housing planning as
part of its Consolidated Plan implementation.
Since this study was not completed in time for inclusion in the 2010 -2014
Consolidated Plan, Chapter IX includes information from the previous 2005-
2009 Orange County Regional Analysis of Impediments to Fair Housing
Choice. If the updated 2010 -2014 Regional Analysis of Impediments to Fair
Housing Choice reveals findings that are significantly different than those
included in the Consolidated Plan, the Planning Department will take those
findings into consideration and amend the Consolidated Plan as may be
necessary and practicable.
X. Lead -based Paint Hazards: This chapter summarizes the lead -based paint
hazards in housing. Lead poisoning is one of the most common and
preventable health hazards to American children. Research indicates that
even a low -level of lead in a child's bloodstream can have harmful effects on
their physical and developmental health.
Any housing built before 1978 is at risk of containing some amount of lead -
based paint. Older housing is more likely to have lead -based paint and the
amount of lead pigment in the paint tends to increase with the age of the
housing. Slightly over 28,000 housing units in Newport Beach were built
before 1979. Since low- income people often live in older housing throughout
the city, they are at much higher risk.
Young children who could ingest lead -based paint are at even higher risk.
Consequently, children of very low- and low- income families are
disproportionately at risk for lead poisoning, as they tend to reside in older
homes. In accordance with the 2000 Census, the number of children in
Newport Beach under the age of five years of age is equivalent to 4.0 percent
of the population of the City, or 2,832 children. This group could be at higher
risk of lead -based paint poisoning.
XI. Housing and Community Development Delivery System: This chapter
summarizes the gaps in the City's housing and community development
delivery system. As recipient of CDBG funds, the City of Newport Beach is
tasked with the responsibility for developing and carrying out the
Consolidated Plan. The Planning Department uses these and other funds to
provide decent housing, create a suitable living environment, and expand
economic opportunities throughout the city.
Effective program delivery would not be possible, however, without the efforts
of many other Federal, State and local partners. Leadership begins with the
City's elected officials, the Mayor and City Council members. These officials
approve all Consolidated Plan strategies, activities, substantial amendments,
and contracts. Since they represent the residents of the City, these officials
also provide insight into the needs of City residents.
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The Planning Department is building strong working relationships with other
organizations and programs that support the Consolidated Plan goals and
strategies. This working relationship and its results are the City's housing and
community development delivery system.
The Consolidated Plan requirements include examining how organizations in
the city "deliver" housing and community development (called the institutional
structure). This examination includes identifying the gaps in the institutional
structure and developing strategies to address the gaps. Newport Beach can
only achieve its Comprehensive Plan goals and Consolidated Plan strategies
if its institutional structure is complete.
Interviews, community meetings, and needs surveys included questions or
comments concerning the current gaps in the local delivery system for
housing and community development. They also discussed preliminary
components of strategies for filling the most troublesome gaps. Several
primary themes and issues emerged that provide a foundation for developing
workable, collaborative strategies to fill the gaps:
Lack of knowledge among the public and lower income clients arose as a
common issue. The most common gap cited was limited knowledge of
the available resources, services, and programs for lower income people
and persons with special needs.
An urgent need for affordable housing spread throughout the city,
especially supportive housing for lower- income people and persons with
special needs.
Lack of children- centered services.
Need for more services for the homeless and persons with special
needs.
Need for enhanced communication /coordination among organizations in
the housing and community development delivery system.
XII. Anti - poverty Strategy: This chapter describes how CDBG projects are part
of the City's efforts to move low- income families to self - sufficiency. By
undertaking activities funded by the CDBG programs, the Planning
Department supports the City's overall anti - poverty strategy of moving low -
income people to self - sufficiency. Census data from the year 2000 indicates
that 3,075 Newport Beach residents were living in poverty in 1999 which is
4.4 percent of the population. This number translates to 356 families, or 2.1
percent of the families in Newport Beach. Just slightly over three percent of
these families had a child under the age of 5 years old.
The City of Newport Beach's anti - poverty strategy and activities support the
overall effort in the State to move low- income families to economic self -
sufficiency. The City's goal is to help families that are self - sufficient yet still at-
risk to increase their financial stability. The focus of the anti - poverty strategy
is three -fold: (1) to help these families accumulate assets, (2) to help these
families address issues, such as substance abuse and domestic violence,
that may threaten the family's stability, and (3) to provide these families with
employment - related supportive services such as child -care. This focus will
City of Newport Beach 1 - 9 2010 -2014 Consolidated Plan
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01112M MEN
be incorporated into the programs and policies undertaken by the City as part
of this Consolidated Plan.
XIII. Strategic Plan: This chapter presents the City's strategies to meet the
housing and community development needs found in the previous sections.
Based on the community survey, focus groups, consultation with other
organizations, individual interviews, housing market and needs study, and
other factors, the City of Newport Beach has developed the following five -
year strategies to address the priority needs found in the Consolidated Plan:
Priority Need: Housing
• 5 -Year Strategy., Expand the supply of affordable rental and
homeownership housing opportunities.
• 5 -Year Strategy: Preserve and improve the existing housing stock and
ensure equal access.
Priority Need: Senior Services
• 5 -Year Strategy: Provide quality supportive services so elderly residents
can live as independently as possible.
Priority Need: Special Needs / Non - Homeless
• 5 -Year Strategy: Help persons with special needs to live as independently
as possible.
Priority Need: Homeless and HIV /AIDS
• 5 -Year Strategy: Support a continuum of services in support of the City's
and County's efforts to end homelessness.
• 5 -Year Strategy: Support services that assist in improving the quality of
life for persons living with HIV /AIDS
Priority Need: Public Services
• 5 -Year Strategy. Contribute to the well -being of individuals, families, and
neighborhoods.
XIV. Monitoring Standards and Procedures: This chapter describes how the
Planning Department monitors CDBG projects as well as its progress in
carrying out Consolidated Plan strategies and objectives.
As the lead agency for the City of Newport Beach 2010 -2014 Consolidated
Plan, the Planning Department is continually honing its standards and
procedures to monitor the performance and effectiveness of housing and
community development activities. Monitoring of the Planning Department's
contractors and sub - recipient partners is not just a regulatory process or a
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fact - finding mission. Rather, it involves effective communication and
cooperative, problem - solving relationships between Planning Department and
its contractors /sub- recipients. The Planning Department undertakes two
types of monitoring: project monitoring and Consolidated Plan monitoring.
Both types of monitoring ensure the success of Consolidated Plan projects
and activities.
As the lead agency, the Planning Department is refining monitoring
procedures to ensure that projects have measurable outcomes. This
refinement will allow assessment of progress toward the specified goals and
objectives of the projects, as well as ensuring long -term compliance with all
applicable program regulations and statutes. The Planning Department will
publish any proposed significant changes to monitoring standards and
procedures in a future Annual Action Plan so that citizens and grant
recipients may comment on those changes.
XV. Leveraging: This chapter describes how the Planning Department has put
together a list of resources that public agencies, neighborhoods, and
nonprofit organizations can use to further the strategies in the Consolidated
Plan. The Planning Department anticipates that the Federal, State, local, and
private resources listed in this section of the Consolidated Plan will remain
available over the five -year period of the Consolidated Plan.
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II. Community Profile
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Community Profile
A. City in the Past
The City's first inhabitants thousands of years ago were the Shoshone Indians who
lived along the Pacific coast, supported by the abundance of the seas and fertile
land. The dramatic coastline of Newport Beach and its proximity to the water have
always played a great part in the development of the City. In the mid 1700's, the
Spanish aristocrat and military leader Gasper de Portola led an exposition to claim
California frontier land for Spain. Portola enlisted the aid of Father Junipero Serra
and numerous European soldiers to explore previously unmapped territory.
1800's '
Decades later in the 1800's, land holdings of the Capistrano Mission were parceled
out as Spanish and Mexican land grants to war heroes and aristocratic families.
Later, many Spanish and Mexican landowners were forced to sell large tracts of
their land. The most prominent landowners of the area, Don Sepulveda and Don
Bernardo Yorba, men whose combined holdings comprised Newport Beach's upper
bay and lower bay, sold their tracts to American entrepreneurs by the names of
Flint, Bixby, Irvine and McFadden.
Santa Ana, Tustin and Orange became new farming communities for the settlers
who arrived by steamer and covered wagon. Not long after, hide and tallow
businesses emerged. The first stirring of commerce began when in 1870, a small
stern wheeler from San Diego named "The Vaquero" made its first trip to a marshy
lagoon to exchange lumber for hides, tallow, livestock and gain. James McFadden
and other ranch owners in the Lower Bay decided from then on that the area should
be called "Newport."
In 1888 James McFadden changed the isolated settlement by building a wharf that
extended from the shallow bay of the peninsula to deeper water where large
steamers could dock. Shipping activity increased dramatically, and in two years,
Newport was known as a vibrant Southern California shipping town.
1900's
Attracted by the activity, Pacific Electric Railroad established itself in Newport in
1905, connecting the City of Los Angeles by rail. Rapid transit brought camping
families to the waterfront, and small hotels and beach cottages sprang up to cater to
the emerging tourist industry. At about the same time, the McFadden brothers sold
their holdings of Peninsula land. West Newport, East Newport, Bay Island and
Balboa became vacation communities in the beach boom decade. In 1906 with a
population of 206 citizens, the scattered settlements were incorporated as the City
of Newport Beach. These early settlements soon filled in on the Peninsula, West
Newport, Balboa Island and Lido Isle, developing from West to East. Parts of
Newport Heights and Corona del Mar were annexed soon after the turn of the
century. Between 1934 and 1936, the federal government and the county undertook
' 2002 Newport Beach Conference & Visitors Bureau
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work around the harbor. They dredged the Lower Bay, extended jetties, and created
the present day contour of Newport Beach.
In 1936, community members dedicated the City's main harbor, named Newport
Harbor. Just six years later, during World War II, the harbor became a vital hub as
naval ships were built and repaired in its coastal waters. Newport Beach businesses
flourished due in part to an influx of new military personnel. At the end of the war,
many service men and women decided to stay, triggering a real estate boom in
Newport Beach. Seasonal rentals became year -round housing, and the City's
identity as a summer resort location began to change.
The Santa Ana freeway, built in the 1950's, brought even more citizens to the City.
During this time, housing development began to spread northward from the
waterfront to the hills and mesa areas. Industries changed, as the fishing industry,
once the backbone of Newport Beach's economy, gradually declined to be replaced
with vibrant new businesses and commercial centers. By the 1970's, rapid
urbanization led to the building of shopping centers, hotels, high -scale restaurants,
and many new homes.
Newport Beach residents still identify closely with their respective villages. Popular
neighborhoods include Corona del Mar; West Newport; and Harbor, Lido and
Balboa islands.
B. City Today: Demographics
At the time of the 2000 Census, about 50.8 percent of Newport Beach's residents
were born in California and about 49.2 percent were born elsewhere. During the
2000 Census, the City of Newport Beach had a population of 70,032. The U.S.
Census Bureau 2006 -2008 American Community Survey (ACS) estimates that the
population has grown to 83,008 with 54.0 percent being born in California.
The population of Newport Beach principally is not a multi - culturally diverse
community. Racial and ethnic minorities remain a stable contributor to the growing
population. About 11.1 percent of the population is non - white, a lesser proportion
than the national average for metropolitan areas. Asians are the largest non -white
ethnic group, comprising 6.6 percent of the population. All other racial and ethnic
groups account for less than 1 percent each. Today's population is disproportionate
relative to gender with males making up 43.8 percent of the population and females
56.2 percent.
Age and School Enrollment
The median age for Newport Beach residents is 42.6 years old. About 5.6 percent
are young children under the age of 5. The City's school -age children (5 to 19 years
old) account for 15.9 percent of the population. Of these, 65.1 percent are enrolled
in elementary school (grades 1 through 8) and 34.9 percent are in high school
(grades 9 through 12).
The majority (40.6 percent) of persons in Newport Beach are between the ages of
25 and 54 years old. Persons of age 55 and over account for 31.8 percent of the
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population of Newport Beach. Between 1990 and 2000, the population of those
aged 55 and over increased by 75 percent. Almost 24.5 percent of the population is
age 60 and over. A small but significant segment (2.2 percent) of this group are
considered to be "frail' elderly (84 years old and over) residents.
Households
Newport Beach has grown to over 36,470 households. Although 55.7 percent of
these households are families, non - family households have decreased to 44.3
percent. The average household size is 2.28 persons per household, whose median
income is approximately $115,011 (in 2006 -2008 ACS). This represents an
increase of 37.8 percent from the median income from the 2000 census. The
average family size is 2.93 persons per family, whose median income is
approximately $160,394.
Other Information
The 2000 U.S. Census counted 37,288 total housing units. The 2006 -2008 ACS
estimates that this number increased to 42,546, an increase of 14 percent. Of
these, 6,076 (14.3 percent) were vacant. The 2006 -2008 ACS estimates that a total
of 44,502 residents were employed. The unemployment rate at that time is
estimated at 1.7 percent, although 35.8 percent of all adults were not in the work
force. The estimated per capita income is $85,560 with 4.7 percent of residents
living below the poverty level.
C. Business Climate
There are many reasons quality businesses choose Newport Beach. Amenities such
as the nearby major airport, close proximity to technologically - proclaimed University
of California at Irvine, a diversified and financially solid local economy, and
business - friendly City Hall add up to a winning location for small to large
businesses. There are many opportunities for play in Newport Beach including
nature walks or bike rides along the Upper Newport Bay Ecological Reserve, fishing
excursions or whale watching from the Balboa Pavilion on the Newport Harbor,
surfing or swimming at the many beaches, shopping at the open air Mediterranean -
style Fashion Island, or enjoying the sunset from one of the two piers over the
Pacific Ocean.
Economy and Transportation
Newport Beach is known for its savvy corporate offices, mild Pacific coastal climate,
and the nearby airport served by a dozen major air carriers and named after
legendary resident John Wayne. Getting around the Newport Beach area is
convenient, with commute times rarely more than 15 minutes. The nearby John
Wayne /Orange County airport to the north handles nearly 70 commercial flights
daily, serving approximately 9 million passengers annually (2008 figures)2. Other
nearby airports include Long Beach Municipal Airport (25 miles north), Los Angeles
International Airport (40 miles north), and San Diego International Airport/Lindbergh
2 John Wayne Airport Website; hftp://www.ocair.com/newsandfacts/factsataglance,htm
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Field (80 miles south). As in most major cities, transportation options include car
and limousine rentals, as well as commuter airline, bus, and train service.
Facilities
With the temperate climate and variety of water and beachfront activities, the city
offers a range of possibilities. From Newport Beach Municipal Beach and the world
famous surfers' ' Wedge," to the well - sheltered, family- oriented Balboa Bay beach,
there is something for everyone. Waterfront activities abound, including yachting,
surfing, and golf. And in the evening, the many clubs and diverse local restaurants
provide nightlife entertainment.
In 1906, when the City of Newport Beach was officially incorporated, the first City
Hall was located east of the Newport Pier on the Oceanfront. The Police
Department used several offices in the City Hall building until they moved to their
own building on Court Avenue. During these early years, various Marshals headed
the Police Department. The Newport Beach Fire Department is made up of 154 full
time employees and over 225 seasonal employees including seasonal lifeguards .3
Utilities
Newport Beach is serviced by the Southern Cal Gas Company for gas and by San
Diego Gas and Electric for electricity. The City of Newport Beach provides water
and trash services. Telephone service is provided through Pacific Bell or Cox
Communications.°
Schools
The City of Newport Beach is served by the Newport/Costa Mesa Unified School
District. The Newport/Costa Mesa Unified School District has 22 elementary
schools, two middle schools, and six high schools and eight pre - schools. Roughly
half of these are located within the Newport Beach city limits. The District also
provides 2 alternative education centers and an adult education program.
Health Care
There are many health care facilities with doctors, dentists and other healthcare
professionals to choose from in Newport Beach. The hospitals that serve the city are
Hoag Memorial Hospital and Newport Bay Hospital.
3 City of Newport Beach Website — Fire Department
4 http: / /www.orangecountyutilities.com
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Ill. Consolidated Plan Development
111. Consolidated Plan Development
A. Introduction
The U.S. Department of Housing and Urban Development (HUD) requires the City
of Newport Beach to complete a Consolidated Plan to receive funds for the
Community Development Block Grant (CDBG) program. CDBG can fund a variety
of activities to assist low- income people and neighborhoods, such as housing
rehabilitation, community services, infrastructure, economic development, and
business assistance.
B. Purpose of the Consolidated Plan
The Consolidated Plan serves as:
• A planning document which builds on a comprehensive consultation and
citizen's participation process
• An application for HUD funds
• A strategy for housing, homelessness, community development, and economic
development
• An annual business plan that presents an investment strategy for CDBG
It contains six major components:
• A housing market analysis
• An assessment of housing, homelessness, community development, economic
development, and related needs
• A description of priority needs
• Long -term strategies to address those priority needs
• An explanation of how the City will work with its partners in the public, private,
and nonprofit sectors to carry out these strategies
• A description of annual projects and activities the Planning Department will take
to carry out those strategies —also called an Annual Action Plan
Each component serves a specific purpose. The housing market analysis and needs
assessment allows the City to determine existing needs. Identifying needs helps the
City set priorities for its CDBG program. Finally, assessing needs and identifying
priorities allows the Planning Department, with the advice of citizens and partner
organizations, to set five -year strategies to address the priority needs. The City then
proposes how to invest CDBG funds for projects in the coming program year to
carry out those five -year strategies.
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The Annual Action Plan and Consolidated Annual Performance and Evaluation
Report:
To receive CDBG funds, the City must produce an Annual Action Plan each
year. The Annual Action Plan describes the City's planned investments for the
coming program year, including proposed actions and proposed CDBG
projects.
■ The Annual Action Plan is similar to a yearly operating plan for a business. It
outlines the City's proposed activities in several areas and relates these
activities back to the five -year strategies to address priority needs described in
the Consolidated Plan.
The City must also submit a Consolidated Annual Performance and Evaluation
Report (CAPER) each year. The CAPER reports the City's progress in meeting
its proposed actions and projects, as well as its progress in carrying out the
Consolidated Plan's five -year strategies. The CAPER is similar to an annual
report to stockholders except, with this example, the stockholders are citizens
and taxpayers.
Consolidated Plan Goals
Newport Beach must use its CDBG funds to provide decent housing, a suitable
living environment, and expanded economic opportunity for its residents,
particularly those earning low- to moderate - incomes. The statutes' for the
Federal grant programs covered by the Consolidated Plan set forth three basic
goals against which HUD will evaluate the City's performance:
Provide decent housing, which includes activities to:
• Help homeless people obtain appropriate housing
• Assist people threatened with homelessness
• Retain the affordable housing stock
• Make available permanent housing that is accessible to job opportunities
and is affordable to low- income people and families without discrimination
• Increase the supply of supportive housing for persons with special needs
Provide a suitable living environment, which includes activities to:
• Improve safety and livability of neighborhoods
• Increase access to quality facilities and services
' The Housing and Community Development Act of 1974 and the National Affordable Housing Act (as amended).
City of Newport Beach III - 2 2010 -2014 Consolidated Plan
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• Reduce isolation of income groups within an area through decentralization
of housing opportunities and revitalization of deteriorating neighborhoods
• Restore and preserve properties of special value for historic, architectural,
or aesthetic reasons
• Conserve energy resources
Expand economic opportunity, which includes activities to:
• Create and retain jobs, especially for low- income people
• Expand small businesses
• Provide public services concerned with employment
• Increase access to capital and credit for development activities that
promote the long -term socioeconomic viability of the city
• Empower low- income persons to achieve self - sufficiency to reduce
generations of poverty in federally- assisted public housing
2. Institutional Structure
The City's Planning Department prepared this Consolidated Plan to promote
these statutory goals through a collaborative process that encourages citizen
participation and collaboration among organizations. It views these goals as an
opportunity to extend and strengthen partnerships among organizations in the
public, private, and nonprofit sectors.
3. Lead Agency
As described in the Executive Summary section, the Planning Department is
one of the primary entities that carry out the vision of the Consolidated Plan. As
advised by the CDBG Advisory Committee, the Planning Department carries
out policies and programs designed to help neighborhoods, whether they are
places or groups of citizens sharing a common goal, achieve a high quality of
life for all of the city's residents.
The City of Newport Beach 2010 -2014 Consolidated Plan is the primary way
the Planning Department, as advised by the CDBG Advisory Committee,
carries out this mission. The Planning Department, along with its housing and
community development partners in Newport Beach, carries out the five -year
strategies in the Consolidated Plan.
C. Community Involvement in the 2010 -2014 Consolidated Plan
The City of Newport Beach views the Consolidated Plan as an opportunity to invest
its CDBG resources. It urges citizens to voice their concerns and share their ideas
concerning community development, affordable housing, and homelessness. It
City of Newport Beach III - 3 2010 -2014 Consolidated Plan
Rev. 03/19110
encourages all residents, especially those living in low- and moderate - income
neighborhoods, to participate in the planning process.
The Consolidated Plan process brings government agencies, community
organizations, service providers, and city residents together to address the larger
picture in which housing and community development programs operate. The City
encourages agencies, businesses, and community groups to share their comments
on needs, strategies, and proposed projects.
1. Summary of Citizen Participation
The Planning Department developed the City of Newport Beach 2010 -2014
Consolidated Plan using substantial citizen participation and consultation. The
process offered numerous opportunities for public input, comment, and review:
A Community meeting to garner citizen comments on the needs of the
community was held on Wednesday August 26, 2009. A Needs Assessment
survey was distributed at the City Clerk's Office, Planning Department, Public
Library and on the City's website to communicate their comments on
community development needs housing, public housing, non - housing
community development, and homeless needs.
Review by the CDBG Advisory Committee of the needs, priorities, and five -year
strategies in the City of Newport Beach 2010 -2014 Consolidated Plan as well
as the proposed projects and activities in the City's 2010 Annual Action Plan
were conducted. Phone consultation was conducted with several public
service agencies and /or community based organizations regarding the needs,
priorities, and five -year strategies in the City of Newport Beach 2010 -2014
Consolidated Plan as well as the proposed projects and activities in the City's
2010 Annual Action Plan.
A 30 -day public comment period was provided to allow residents an opportunity
to obtain and review the draft copy of the Consolidated Plan. In addition, the
City of Newport Beach 2010 -2014 Consolidated Plan was distributed at the
following places:
City of Newport Beach Planning Department
City Clerk's Office
■ Newport Beach Public Library
2. Residents Survey
City of Newport
Rev. 03119/10
A Needs Assessment survey (see Appendix "A ") was distributed at various
public facilities and was forwarded to a number of public service and
community based organizations that serve the City of Newport Beach. In
addition, the survey was posted in the City's website to allow visitors to
download the form for completion. The surveys were distributed and posted on
the website in an effort to garner citizen comments on the needs of the
community. The survey was broken down into seven sections. The sections
III - 4 2010 -2014 Consolidated Plan
were Community Facilities, Community Services, Infrastructure, Neighborhood
Services, Special Needs Services, Business and Jobs, and Housing. The
survey asked the residents to rate the need level for each of the items listed in
the survey.
3. Community Meetings for Consolidated Plan
To garner the opinion of Newport Beach's residents on community needs, the
Planning Department held a community meeting at the Newport Beach Council
Chambers. The time and location was selected to make it as convenient to the
public as possible, particularly actual and potential beneficiaries of program
activities. The community meeting was held on the following dates and
locations:
Wednesday, August 26, 2009 at 6:00 p.m. at the Newport Beach City
Council Chambers located at 3300 Newport Blvd. Newport Beach, CA
92658 -8915.
The community meeting was attended by one (1) resident and one (1)
representative from a non - profit community -based organization who each
indicated a need for additional affordable rental housing opportunities in the
City.
4. Citizen Participation and Consultation Opportunities
The Planning Department engaged in outreach efforts to residents,
organizations, and businesses regarding the needs and strategies in the
Consolidated Plan.
CDBG Advisory Committee Review
Members of the CDBG Advisory Committee advised the Planning
Department on the needs, priorities, and five -year strategies in the
Consolidated Plan. The CDBG Advisory Committee also advised staff on
proposed projects and actions in the 2010 Annual Action Plan.
As the Department's official advisory group, the CDBG Advisory Committee
provides opinions regarding the Department's programs and policies
regarding CDBG. Therefore, the CDBG Advisory Committee discussed
needs, strategies, and projects at their meetings.
b. Consultation by Community Organizations
As part of its research on the needs of low- income residents —and the
development of strategies to address these needs —the Planning
Department consulted with public, private and nonprofit organizations in the
region that provide housing and community development resources,
programs and services.
These include the following:
City of Newport Beach III - 5 2010 -2014 Consolidated Plan
Rev. 03119/10
• Rebuilding Together, Orange County
• Fair Housing Council of Orange County
• Mercy House
• Orange Coast Interfaith
• Wise Place
• Human Options
• Families Forward
• Serving People in Need – SPIN
• South County Senior Services
• OASIS Senior Center
• Seaview Lutheran Plaza
• CARING Housing Ministries
• Goodwill of Orange
• OC Partnership Continuum of Care
• Habitat for Humanity
• Western Community Housing
• H.O.M.E.S., Inc.
• California Corporation on Disability Access
• HCD Orange County Authority
• Kennedy Commission
c. Public Comment Period
The Planning Department held a 30 -day public comment period beginning
March 20, 2010. During this comment period, City residents were
encouraged to provide their verbal or written comments about the
Consolidated Plan's proposed five -year funding goals for housing,
homelessness, economic development, and community development
needs —and its strategies, activities, and projects.
d. Distribution of Draft Consolidated Plan
City of Newport Beach
Rev. 03/19/10
To provide an easy way for citizens to comment during the public comment
period, the Planning Department posted the City of Newport Beach 2010-
2014 Consolidated Plan on its website. It also distributed copies of the draft
plan to the local library and City Hall. Finally, the Planning Department
made copies available to anyone who called or wrote. The plan was
available on CD -ROM for anyone requesting a copy in a digital format.
ff1i
2010 -2014 Consolidated Plan
.I 4
3
Cities adjacent to the City were notified via mail of the availability of the
draft 2010 -2014 Consolidated Plan on the City's website. These Cities
include the Cities of Costa Mesa, Huntington Beach and Irvine.
e. Public Hearing
During the public comment period, the Planning Department also
encouraged city residents to attend a public hearing held by the City
Council in the City Council Chambers located at 3300 Newport Blvd.,
Newport Beach, CA 92658. The Planning Department placed a public
notice in The Daily Pilot.
Appendix "B" contains the public notice, as well as a summary of public
comments and the City's response. These responses include comments
made at the public hearing and the City's response to comments not
incorporated into the final Consolidated Plan and 2010 Annual Action Plan.
f. Citizen Comments
The Planning Department will summarize oral comments from public
hearings and any written comments it receives concerning the
Consolidated Plan, Annual Action Plan, or CAPER. Each document will
contain a summary of any comments received concerning that document in
the Appendix section of this document. Newport Beach residents may
obtain copies of the full version of written or public hearing comments by
contacting the Planning Department.
D. Anti - Displacement and Relocation Plan
The City's Citizen Participation Plan must include an Anti - displacement and
Relocation Plan that describes how it will help persons who must be temporarily
relocated or permanently displaced due to the use of CDBG funds. This plan takes
effect whenever the City funds projects that involve the following:
• Property acquisition
• Potential displacement of people from their homes and the need to relocate
people (either permanently or temporarily)
• The demolition or conversion of low- and moderate - income dwelling units
1. Background
Two acts apply whenever any of the above issues are present: the Uniform
Relocation Assistance and Real Property Policies Act of 1970 (URA) and
Section 104(d) of the Housing and Community Development Act of 1974. Each
of these acts places different obligations on the City.
The URA governs the processes and procedures which the City and the
Planning Department must follow to minimize the burden placed on low- and
)rt Beach III - 7 2010 -2014 Consolidated Plan
Rev. 03/19/10
moderate- income tenants, property owners, and business owners who must
move (either temporarily or permanently) as the result of a project funded in
whole or in part by the CDBG program.
The URA applies to:
• Displacement that results from acquisition, demolition, or rehabilitation for
HUD - assisted projects carried out by public agencies, nonprofit
organizations, private developers, or others.
• Real property acquisition for HUD - assisted projects (whether publicly or
privately undertaken).
• Creation of a permanent easement or right of way for HUD - assisted
projects (whether publicly or privately undertaken).
• Work on private property during the construction of a HUD - assisted project
even if the activity is temporary.
2. What is Displacement?
Displacement occurs when a person moves as a direct result of federally
assisted acquisition, demolition, conversion, or rehabilitation activities, because
he or she is:
• Required to move, or
• Not offered a decent, safe, sanitary and affordable unit in the project, or
• Treated "unreasonably" as part of a permanent or temporary move.
• A person may also be considered displaced if the necessary notices are not
given or provided in a timely manner and the person moves for any reason.
3. What is a Displaced Person?
The term displaced person means any person that moves from real property or
moves his or her personal property from real property permanently as a direct
result of one or more of the following activities:
Acquisition of or written notice of intent to acquire, or initiation of
negotiations to acquire, such real property, in whole or in part, for a project.
■ Rehabilitation or demolition of such real property for a project.
• Rehabilitation, demolition, or acquisition (or written notice of intent) of all or
a part of other real property on which the person conducts a business or
farm operation, for a project.
City of Newport Beach III - 8 2010 -2014 Consolidated Plan
Rev. 03/19110
'2 %e
■ Newport Beach offers advisory and financial assistance to eligible tenants
(or homeowners) who meet the above definition.
4. Persons Not Eligible for Assistance
A person is not eligible for relocation assistance under the provisions of the
URA if any of the following occurs:
• The person was evicted for serious or repeated violations of the terms and
conditions of the lease or occupancy agreement, violation of applicable
federal, state, or local law, or other good cause. However, if the person was
evicted only to avoid the application of URA, then that person is considered
displaced and is eligible for assistance.
The person has no legal right to occupy the property under state or local
law.
The City determines that the person occupied the property to obtain
relocation assistance and the HUD Field Office concurs in that
determination.
• The person is a tenant - occupant that moved into the property after a certain
date, specified in the applicable program regulation, and, before leasing
and occupying the property, Newport Beach or its subgrantee provided the
tenant - occupant written notice of the application for assistance, the
project's impact on the person, and the fact that he or she would not qualify
as a "displaced person" because of the project.
• The person is a tenant - occupant of a substandard dwelling that is acquired
or a tenant - occupant of a dwelling unit to which emergency repairs are
undertaken and the HUD field office concurs that:
City of Newport Beach
Rev. 03/19/10
• Such repairs or acquisition will benefit the tenant;
• Bringing the unit up to a safe, decent, and sanitary condition is not
feasible;
• The tenant's new rent and average estimated monthly utility costs will
not exceed the greater of: the old rent/utility costs or 30 percent of
gross household income; and
• The project will not impose any unreasonable change in the character
or use of the property.
• The person is an owner - occupant of the property who moves because
of an "arm's length" acquisition.
• Newport Beach or its subgrantee notifies the person that they will not
displace him or her for the project.
2010 -2014 Consolidated Plan
r^w
�i E
• The person retains the right of use and occupancy of the real property
for life following the acquisition.
Newport Beach determines that the person is not displaced as a direct
result of the acquisition, rehabilitation, or demolition for the project and
the HUD field office concurs in the determination.
5. Minimizing Displacement
The City of Newport Beach will take reasonable steps to minimize
displacement occurring as a result of its CDBG activities. This means that the
Planning Department will:
• Consider if displacement will occur as part of funding decisions and project
feasibility determinations.
• Assure, whenever possible that occupants of buildings to be rehabilitated
are offered an opportunity to return.
• Plan substantial rehabilitation projects in "stages" to minimize displacement.
• Meet all HUD notification requirements so that affected persons do not
move because they have not been informed about project plans and their
rights.
6. Anti - Displacement Policy:
Newport Beach's policy is to minimize, to the greatest extent feasible, the
displacement, whether permanently or temporarily, of persons (families,
individuals, businesses, nonprofit organizations, or farms) from projects funded
with CDBG involving single- or multi - family rehabilitation, acquisition,
commercial rehabilitation, demolition, economic development, or capital
improvement activities.
Projects that the City deems beneficial, but that may cause displacement, may
be recommended and approved for funding only if Newport Beach or its
subgrantee demonstrates that such displacement is necessary and vital to the
project and that they take efforts to reduce the number of persons displaced.
Further, they must clearly demonstrate that the goals and anticipated
accomplishments of a project outweigh the adverse effects of displacement
imposed on persons who must relocate.
7. Displacement Assistance
Consistent with the goals and objectives of the CDBG program, Newport Beach
will take all reasonable steps necessary to minimize displacement of persons,
even temporarily. If displacement occurs, the City will provide relocation
assistance to all persons directly, involuntarily, and permanently displaced
according to HUD regulations.
City of Newport Beach III - 10 2010 -2014 Consolidated Plan
Rev. 03/19/10
'dot,
If the City of Newport Beach temporarily displaces a low- or moderate - income
household, that household becomes eligible for certain relocation payments.
The assistance applies to those persons residing in the residence at the time
the application is processed and is based on the following procedures:
• If the structure and its occupants are determined eligible for temporary
relocation assistance, the owner - occupants and tenants are eligible for the
actual reasonable cost (based on fair market rent) of temporary lodging
facilities until the structure is determined habitable by Newport Beach's
housing inspector.
Newport Beach must approve housing and the Lessor and Lessee must
sign a rent agreement before move -in. Housing must be comparable
functionally to the displacement dwelling and be decent, safe, and sanitary.
This does not mean that the housing must be in comparable size. The term
"functionally equivalent" means that it performs the same function, has the
same principal features present, and can contribute to a comparable style
of living. Approved lodging accommodations include apartments and
houses. Newport Beach does not reimburse "rental expenses' for living
with a friend or family member.
Either Newport Beach will provide the owner - occupants and tenants a
direct payment for moving expenses (to and from temporary housing) and
storage costs, or Newport Beach will arrange moving and storage of
furniture with a moving company. If Newport Beach makes a direct
payment, complete documentation and receipts are necessary to process
claims when storage costs exceed the amount assumed by the direct
payment.
• Damage deposits, utility hookups, telephone hookups and insurance costs
are not eligible for reimbursement.
The City may pay the cost of relocation assistance from Federal funds or
funds available from other sources.
8. One - For -One Replacement Dwelling Units
Newport Beach will generally avoid awarding funds for activities resulting in
displacement. However, should Newport Beach fund an activity, specific
documentation is required to show the replacement of all occupied and vacant
dwelling units demolished or converted to another use. Newport Beach will
assure that relocation assistance is provided as described in 24 CFR
570.606(b)(2).
Before obligating or expending funds that will directly result in such demolition
or conversion, Newport Beach will make public and submit to the HUD field
office the following information in writing:
■ A description of the proposed assisted activity.
City of Newport Beach III - 11 2010 -2014 Consolidated Plan
Rev. 03/19/10
• The general location on a map and approximate number of dwelling units
by size (number of bedrooms) that will be demolished or converted to a use
other than as low- and moderate - income units.
• A time schedule for the commencement and completion of the demolition or
conversion.
• The general location on a map and approximate number of dwelling units
by size (number of bedrooms) that will be provided as replacement units.
• The source of funding and a time schedule for the provision of replacement
dwelling units.
• The basis for concluding that each replacement dwelling unit will remain a
low- and moderate - income unit for at least ten years from the date of initial
occupancy.
Consistent with the goals and objectives of the HOME program, Newport
Beach will take all reasonable steps necessary to minimize displacement of
persons from their homes. The City will avoid funding projects that cause
displacement of persons or businesses and will avoid funding any project that
involves the conversion of low- and moderate - income housing to non-
residential purposes.
9. Decent, Safe and Sanitary Dwelling
The basic definition is found at 49 CFR 24.2(a)(8). The term decent, safe, and
sanitary dwelling means a dwelling that meets the following standards and any
other housing and occupancy codes that are applicable. It will:
• Be structurally sound, weather tight, and in good repair.
• Contain a safe electrical wiring system adequate for lighting and other
devices.
• Contain a safe heating system capable of sustaining a healthful
temperature for the displaced person.
• Be adequate to accommodate the displaced person. There will be a
separate, well lit, ventilated bathroom that provides privacy to the user and
contains a toilet, sink, and a bathtub or shower, all in good working order
and properly connected to appropriate sources of water and to a sewage
drainage system. There should be a kitchen area that contains a fully
usable sink, properly connected to hot and cold water and to a sewage
drainage system, and adequate space and utility service connections for a
stove and refrigerator.
• Contain unobstructed egress to safe, open space at ground level.
• For a mobility- impaired person, be free of any barriers that would preclude
reasonable ingress, egress, or use of the dwelling by such person. This
City of Newport Beach 111 -12 2010 -2014 Consolidated Plan
Rev. 03/19/10
requirement will be satisfied if the displaced person elects to relocate to a
dwelling that he or she selects and the displaced person determines that he
or she has reasonable ingress, egress, and the use of the dwelling.
• Comply with lead -based paint requirements of 24 CFR Part 35.
10. Real Property Policies
The City and its CDBG recipients must follow specific guidelines regarding the
acquisition and use of real property funded in whole or in part with CDBG
funds.
11. Use of Real Property
The following standards apply to real property within the recipient's control and
acquired or improved, in whole or in part, using CDBG funds. These standards
will apply from the date funds are first spent for the property until five years
after the project is audited and closed.
A recipient may not change the use of any such property (including the
beneficiaries of such use) from that for which the acquisition or improvement
was made unless the recipient gives affected citizens reasonable notice of, and
opportunity to comment on, any such proposed change, and either:
• The use of such property qualifies as meeting a national objective and is
not a building for the general conduct of government.
• The requirements in the paragraph below are met.
• If the recipient determines, after consultation with affected citizens, that it is
appropriate to change the use of property to a use that does not qualify
under the above paragraph, it may retain or dispose of the property. The
Newport Beach CDBG program must be reimbursed in the amount of the
current fair market value of the property less any portion attributable to
expenditures of non - federal funds for the acquisition of and improvements
to the property.
• If the change of use occurs within five years of the project being audited
and closed, income from the disposition of the real property will be returned
to the Newport Beach CDBG program.
• Following the reimbursement of the federal program pursuant to the above
paragraph of this section, the property is no longer subject to any federal
requirements.
12. Real Property Acquisition
All real property acquisition activities described in this section and funded in
whole or in part with CDBG funds and all real property that must be acquired
City of Newport Beach III - 13 2010 -2014 Consolidated Plan
Rev. 03/19/10
� "S
for an activity assisted with Federal funds, regardless of the actual funding
source for the acquisition, are subject to the URA (as amended).
a. What is Real Property Acquisition?
Real property acquisition is any acquisition by purchase, lease, donation,
or otherwise, including the acquisition of such interests as rights -of -way
and permanent easements.
HUD Handbook 1378 and 49 CFR Part 24 currently contains such
regulations. These regulations detail a standard procedure for acquiring
property and methods of determining a purchase price and outline other
documents that must be provided to the City of Newport Beach before
disbursement of funds. These regulations further require the applicant to
provide relocation payments and assistance to any business or residential
occupant of the property whom the acquisition will displace.
13. Eligible Activities
The City of Newport Beach or its sub - grantee may acquire real property for a
project using CDBG funds where the proposed use of the acquired property will
be an activity that the City can demonstrate as beneficial to low- and moderate -
income persons.
14. Environmental Review Process (24 CFR Part 58)
HUD requires that all real property acquisition projects be reviewed before the
commitment of Federal funds to assess the impact of a project on the
environment. Newport Beach will undertake this review process. The applicant
should be aware, however, that this review process may delay the date by
which CDBG funds may be available and, in case of serious adverse
environmental impacts, may effectively stop a project.
City of Newport Beach
Rev. 03/19/10
III - 14
2010 -2014 Consolidated Plan
ol
Y
IV. Housing Market Analysis
IV. Housing Market Analysis
A. Overview
The purpose of this study is to determine the availability of affordable housing in the
City of Newport Beach. It is in the City's interest to ensure its housing stock is
comprised of decent and suitable affordable units, as affordable housing is the basis
and foundation of self - sufficiency. For the purposes of this plan, the City will define
affordable housing based on Section 215 of the National Affordable Housing Act:
Rental Housing is considered affordable if it is (A) occupied by a household
earning less than 80 percent of the area median income and (B) pays a rent no
more than the existing fair market rent established by HUD.
• Owner - occupied Housing is considered affordable if it is (A) the principal
residence of the owner, whose income is less than 80 percent of the area median
income, and (B) the purchase price is not more than 95% of the median
purchase price for the area.
In order to gauge the availability of affordable housing within the City, this study will
examine the following aspects of the current housing market:
• Supply: Current housing stock by size of units; units in structure and age of
unit; recent Permit Activity; available vacant land.
• Demand: Number of households by size and type; vacancy rates; population
growth; economic outlook and job growth.
• Supply vs. Demand: Sales data; rent increases; overcrowded housing; cost -
burdened households.
Based on the above data, the City formulated different levels of need for three
income levels: moderate - income households, low- income households, and
extremely -low income households. These need levels will form the basis for the
City's Five -Year Strategic Plan.
• Moderate - income households earn between 50 and 80 percent of the area
median income.
Low- income households earn between 30 and 50 percent of the area median
income.
• Extremely -low income households earn less than 30 percent of the area median
income.
In addition to the private housing market, the City examined the inventory of public
and assisted housing to determine the level of need for the following types of
housing and services:
City of Newport Beach IV- 1 2010 -2014 Consolidated Plan
Rev. 03/19/10
tw[
Homeless Facilities and Services: includes homeless prevention, emergency
housing, transitional housing, permanent supportive housing and supportive
services.
Supportive Housing: includes elderly, persons with disabilities, persons
suffering from substance abuse and persons living with HIV /AIDS.
Public Housing and Subsidized Housing: includes Low Income Housing Tax
Credit Units, public housing developments and Section 8, HUD multi - family
developments, and locally- funded housing.
B. Housing Supply
The Planning Department reviewed several variables of the community's housing
stock in order to gain a complete understanding of the available supply of homes.
This section covers the supply, tenancy, condition, and other characteristics of
existing housing stock, as well as touched on future housing development. Note that
some of the tables reflect housing data from the 2000 U.S. census and the 2006-
2008 American Community Survey (ACS) based on occupied units and not the total
number of housing units located in the City. The tables where this occurs will
contain a note denoting such.
1. Overall Supply
The overall number of housing units in Newport Beach grew at a slow rate
throughout the 1990's. This is due to the fact that the City is almost completely
built out and any increase is due to the redevelopment of low density
residential properties into a higher density development. The 2000 U.S.
Census indicates that Newport Beach's current housing stock contains 37,288
units, an increase of 7% percent, or 2,427 units, from 1990. In accordance with
the ACS, the City's housing stock has increased to 42,546 units which is an
increase of 14.1 percent or 5,258 units from 2000.
2. Tenure
City of Newport
Rev. 03/19/10
The rate of homeownership has declined significantly in Newport Beach. The
55.7% percent homeownership rate is below the national rate of 66.2 percent.
It should be noted that while a rise in the homeownership rate increased
throughout the United States, homeownership in Newport Beach declined by
17 percent during the ten year period of 1990 to 2000. The homeownership
rate has increased to 57.9 percent in the ACS estimates. The current
economic crisis, increase in foreclosures, and stricter loan underwriting may
result in homeownership being less attainable to families of modest income.
IV- 2 2010 -2014 Consolidated Plan
Table 4 -1
Chan a in Household Tenure: 1990 to 2000, and 2006 -2008 Estimates
Source: 1990 (SF -1: H002, H003); 2000 (SF -1: H1, H3, H4) US Census, 2006 -08 American
Community Survey
3. Housing Size
The table below provides a breakdown of the size of the housing in the City by
tenure. Note that the table reflects occupied units and not total units. The table
shows that under the 2000 census, fifty -eight percent of Newport Beach's
housing units contain between two to three bedrooms. Fifteen percent of the
units are one - bedroom units. Combine these figures and 73 percent of Newport
Beach's housing units contain from one to three bedrooms. Only four percent
or 1,323 units are considered to be efficiencies. Six percent of the units have 5
or more bedrooms. Combined, the four and five bedroom units make up
twenty -two percent of the housing units in the City. The larger size of the units
in Newport Beach reflects the economic strength of the city. Under the 2006-
2008 ACS, the percentages remained relatively level with the exception of a
reduction in the number of smaller units.
Table 4 -2
Housing Supply: Size of Housing Units by Tenure
Housing Units & %? of Total Units
Tenure
1990
2000:
Change in
'Unit
2006 -2008
Estimate
Change
in Unit
Renter
13,653
39.2%
14,663
39.3%
1,010
15,340
36.0%
677
Owner
17,207
49.3%
18,408
49.4%
1201
21,130
49.7%
2,722
Vacant
4,001
11.5%
4,217
11.3%
216
6,076
14.3%
1,859
Total
34,861
100%
37,288
100%
2,427
42,546
100%
5,258
Source: 1990 (SF -1: H002, H003); 2000 (SF -1: H1, H3, H4) US Census, 2006 -08 American
Community Survey
3. Housing Size
The table below provides a breakdown of the size of the housing in the City by
tenure. Note that the table reflects occupied units and not total units. The table
shows that under the 2000 census, fifty -eight percent of Newport Beach's
housing units contain between two to three bedrooms. Fifteen percent of the
units are one - bedroom units. Combine these figures and 73 percent of Newport
Beach's housing units contain from one to three bedrooms. Only four percent
or 1,323 units are considered to be efficiencies. Six percent of the units have 5
or more bedrooms. Combined, the four and five bedroom units make up
twenty -two percent of the housing units in the City. The larger size of the units
in Newport Beach reflects the economic strength of the city. Under the 2006-
2008 ACS, the percentages remained relatively level with the exception of a
reduction in the number of smaller units.
Table 4 -2
Housing Supply: Size of Housing Units by Tenure
Source: 2000 U.S. Census (SF3: H41, H42), and 2006 -2008 American Community Survey
4. Housing Type
Single family detached units currently account for a predominant share of the
housing stock in the City. Fewer than forty-four percent of all units are
detached single - family units while attached single - family units, such as
townhouses and condominiums, account for 18.6 percent. As land has become
City of Newport Beach IV- 3 2010 -2014 Consolidated Plan
Rev. 03/19/10
Housing Supply: Size of ousing Units
by Tenure 2000
2006 -2008
Size of
2000 Owner
2000 Renter
Total
Total
Housing
b Tenure
Units
A
% of
total"
#
% of
total
#
% of
total
#
% of
total
No bedroom
45
0.2%
1,278
8.7%
1,323
4.0%
1,013
2.4%
1 bedroom
592
3.2%
4,391
29.8%
4,983
15.0%
4,977
11.7%
2 bedrooms
4,331
23.6%
6,065
41.2%
10,396
31.0%
14,013
32.9%
3 bedrooms
6,758
36.8%
2,329
15.8%
9,087
27.0%
11,436
26.9%
4bedrooms
4,815
26.2%
580
3.9%
5,395
16.0%
7,700
18.1%
5 +bedrooms
1,841
10.0%
: 69
0.4%
1,910
6.0%
3,407
8.0%
Total
18,382
100%
14,712
100%
33,094
100%
42,546
100%
Source: 2000 U.S. Census (SF3: H41, H42), and 2006 -2008 American Community Survey
4. Housing Type
Single family detached units currently account for a predominant share of the
housing stock in the City. Fewer than forty-four percent of all units are
detached single - family units while attached single - family units, such as
townhouses and condominiums, account for 18.6 percent. As land has become
City of Newport Beach IV- 3 2010 -2014 Consolidated Plan
Rev. 03/19/10
less available, development trends are toward single family housing with zero
lot lines or P.U.D.'s.
Existing multifamily housing is often packaged in small complexes with less
than ten units. These units account for 18.2 percent of all housing stock. In the
2000 census, structures with ten or more units accounted for 17.2 percent of
that total. Many of these structures were built between 1940 and 1980. The
2006 -2008 ACS estimates an increase in the percentage of structures with ten
or more units to 19.4 percent.
Mobile homes have traditionally filled a unique and useful niche for the lower
income housing market. These units are recognized as a viable solution to the
shortage of affordable housing. According to the 2006 -2008 ACS, occupied
mobile homes currently account for 2.8 percent of housing in Newport Beach,
or 1,212 units. The Newport Beach Housing Element states that there are 972
mobile home spaces in the ten (10) mobile home parks in the City. In either
case, the number of mobile homes has increased from the 2000 census which
stated the number at 727 units.
Many of these units are occupied by permanent residents and some are used
by households that use the unit for vacations or weekend visits to the area. The
character of the City's ten mobile home parks varies. Three of the parks are
located on or close to Newport Harbor. These three parks appeal to retirees
and a substantial number of spaces in these parks are occupied by permanent
residents. It should be noted that mobile homes in Cannery Village and some in
West Newport have been replaced with manufactured housing that is not
affordable to low- income and moderate - income individuals and families.
The state HCD is responsible for issuing permits for mobile home parks. The
City of Newport Beach has notified the state that mobile home units affordable
to low- and/or moderate - income households have been converted, or are in the
process of converting to, market rate status and thereby may lose their
affordable status. To date, the state has taken no action regarding this
continuing loss of affordable housing.
It should be noted that one mobile home park, the Beach and Bay Mobile
Home Park at 7204 W. Coast Highway, appears to be in substantial physical
decline and could be subject to redevelopment or replacement within this
planning period.
Both the Marina Mobile He ine Park and the Seacliff Mobile Home Park were
approved for closure in 2006. The Marina Park mobile home park has been
owned and operated by the City of Newport Beach since 1919. The park
presently accommodates 57 mobile homes: 25 used as second homes, 31
permanent residences and 1 that is vacant. Beginning in 1985, the City agreed
to enter into long term leases that provided for reduced rents that were below
fair market value. In exchange, the Lessees agreed to deliver possession of the
City of Newport Beach
Rev. 03/19/10
IV- 4 2010 -2014 Consolidated Plan
��r -�
premises. In 2006, the City elected to consider closing the Park and changing
the use to an interim open space condition.'
Table 4 -3
Housing Supply: Units in Structure by Tenure
Units ln Structure
By Tenure,,,
2000'
2006- 2008"
Number of
Total Units
Owner
Renter
Total Units.,,
Units in
Structure -
#
% <
#
Share of
$ Of
#
Share;ol
Category ategory
Share ' #
Category
Total'
1, detached
14,441
43.6%
12,263
85%
37.1%
2,178
15%
6.6%
19,806
46.6%
1, attached
6,165
118.6%
4,112
67%
12.4%
2,053
33%
6.2%
7,026
16.5%
2
2,786
8.4%
578
21%
1.7%
2,208
79%
6.7%
3,003
7.1%
3or4
1,945
5.9%
258
13%
0.8%
1,687
87%
5.1%
1,805
4.2%
5to9
1,307
4.0%
141
11%
0.4%
1,166
89%
3.5%
1,443
3.4%
10 to 19
863
2.6%
80
9%
0.2%
783
91%
2.4%
763
1.8%
20 to 49
1,269
3.8%
255
20%
0.8%
1 1,014
80%
13.1%
50 or more
3,553
10.8%
150
4%
0.5%
3,403
96%
10.3%
7,488
17.6%
Mobile
home
727
2.2%
516
71%
1.6%
211
29%
0.6%
1,212
2.8%
Boat, RV,
Van
38
0.1%
29
76%
0.1%
9
24%
0.0%
0
0.0%
Total:
33,094
100%
18,382
56%
14,712
44%
42,546
100%
Source: 2000 U.S. Census (SF3: H30, H32); and 2006 -2008 American Community Survey
In 2000, 35 percent of all housing units are rentals with 2 bedrooms or less.
The ACS estimates that 63.1 percent of all housing units are single - family. Over 43.6
percent of all housing units are single - family detached. This is the strength of the
City.
Only 15 percent of single family housing units (detached) are renter occupied. This
rate is only slightly higher than that of Orange County (13 percent), but less than that
of Los Angeles County (21 percent) and San Gabriel Valley (20 percent)
■ 44 percent of all housing units are renter occupied compared to Orange County's 39
C: Age of Housing Stock
According to the latest Census figures, the majority of the City's housing stock was
built between 1950 and 1979. This coincides with one of the City's booming
economic growth periods. During that period 21,569 units were built, accounting for
61 percent of the city's current housing stock. Unfortunately, many of the units were
built using low quality materials that did not follow any quality or design standards.
Age has taken its toll on these units, which are candidates for rehabilitation and in
some cases demolition and reconstruction.
' City of Newport Beach Housing Element 2008
City of Newport Beach IV- 5 2010 -2014 Consolidated Plan
Rev. 03/19/10
a
Concerning mobile homes, the condition of these homes has become more of an
issue as these units continue to age and decrease in value while the residentially
zoned land where they are located becomes more valuable. When parks close, the
older and more deteriorated homes cannot be transported without renovations that
are unaffordable to the owner.
Table 4 -4
Ada of Housina Stnck: Yaar Unit Ruilt by Tamura
Source: 2000 U. S. Census (SF3: H34, H36), and 2006 -2008 American Community Survey
`Note: 2006 -2008 American Community Survey estimates that from 2000 to present, a
total of 4,380 units have been built.
Graph 4 -1
City of Newport Beach IV- 6 2010 -2014 Consolidated
Rev. 03/19/10
Age of Housing "Stock: year Unit Built
by Tenure 2000
Year Structure
Total Units !
Owner
Renter
Built
#
%
#
$hare of
Category
Share
of
'Owner
#
-
Shire of
Category
Share
of
Rental
1995 to 1998
1,433
4%
798
56%
4.3%
635
44%
4.3%
1990 to 1994
1,355
4% 1
806
59%
4.4%
549
41%
3.7%
1980 to 1989
4,272
13%
1 2,450
57%
13.3%
1,822
43%
12.4%
1970 to 1979
8,852
27%
4,425
50%
24.1%
4,427
50%
30.1%
1960 to 1969
7,931
24%
4,367
55%
23.8%
3,564
45%
24.2%
1950 to 1959
4,786
14%
2,982
62%
16.20/(
11804
1 8%
12.3%
1940 to 1949
2,209
7%
1,193
54%
6.5%
1,016
46%
6.9%
1939 or earlier
1,584
5%
902
57%
4.9%
682
43%
4.6%
Total:
33,094
18,382
56%
14,712
44%
Source: 2000 U. S. Census (SF3: H34, H36), and 2006 -2008 American Community Survey
`Note: 2006 -2008 American Community Survey estimates that from 2000 to present, a
total of 4,380 units have been built.
Graph 4 -1
City of Newport Beach IV- 6 2010 -2014 Consolidated
Rev. 03/19/10
Table 4 -5
Ape of Housinq Stock: Households in Povertv
Housing Units in Poverty by Age of Unit
Year Built
Owner Units
_ Rented
Units zz
1999 to 2000
17
31
1995 to 1998
9
17
1990 to 1994
39
70
1980 to 1989
152
105
Subtotal: After 1980
217
223
1970 to 1979
109
298
1960 to 1969
140
228
1950 to 1959
120
147
1940 to 1949
22
40
1939 or earlier
40
66
Subtotal: Before 1980
431
779
Total:
648
1,002
Source: 2000 US Census (SF3: H36)
Graph 4 -2
Age of Housing Stock: Households in Povert
77% of all housing units (25,362) are more than 25 years old. Units older than 25
years typically need significant repair and rehabilitation to the roof, heating and air
conditioning, and other key components.
Housing units built before 1980 may have lead based paint hazards, especially if those
units are occupied by households under the poverty line. 1,210 housing units built
before 1980 are occupied by households in poverty. 64 percent of these units are
ranfalc
City of Newport Beach IV- 7 2010 -2014 Consolidated Plan
Rev. 03/19/10
According to the latest Census figures, approximately one - quarter of the housing
stock in Newport Beach that was built between 1960 and 1979 is occupied by
seniors. Once again this coincides with one of Newport Beach's booming economic
growth periods. During that period, 16,783 units were constructed. Based upon
2000 Census data, 24.3 percent of the units constructed during that period are
occupied by seniors. This represents 52 percent of all senior occupied housing. Due
to the likelihood that these older senior occupied units will become candidates for
rehabilitation, and in some cases require demolition and reconstruction, diligent
monitoring of these units must be maintained.
D. Housing Permits
The City tracks the housing activity as it relates to the number of housing permits
issued during a given year. The graph and table provided below shows the recent
permit activity for both single - family and multi - family housing. The graph indicates
that since 1996, the number of building permits each year for single - family
residential has on average remained relatively constant around 200 permits, with
the highest level of permit activity taking place in 1999 with the issuance of over 400
permits. In addition, the multi - family permits went from a non - existent level in 1997
to approximately 931 permits in 1999, followed by a rapid decline to minimal levels
over the last 4 years.
Table 4 -6
Housina Permits 1999 -2008
Units
1999
1 2000
2001
2002
2003
2064
2005
`2006
2007
2008'
Total
Single Family
326
161
163
129
140
112
111
103
1 102
90
9,437
Multi Family
931
372
75
39
33
221
66
58
46
38
1,879
Total:
1,257
533
238
168
173
333
1 177
161
148
128
3,316
Source: http:// Socds .huduser.org /permitslindex.html
Graph 4 -3
Housing Permits: Recent Permit Act!vity
1000.. ____..____---- __`- - - --
i
' 900
800
700
oo
S _.p
500 -4 (Single Faimily
400
300 i - - °— - -- Mu"t Family II
200
100
yoo,', �000 tiooy voo� tioo� �ooa tiooh tioo� tioo1 �oo�
City of Newport Beach
Rev. 03/19/10
Iv- 8
2010 -2014 Consolidated Plan
�r ,
Key Statistics
43.3 percent of permits issued in the last nine years have been for single family
housing.
Permits for multifamily housing units have decreased significantly in the last four
ears.
E. Condominium Conversion Ordinance
In the mid- 1990s, the City of Newport Beach adopted a new ordinance to ease
restrictions on condominium conversions. Easing restrictions on condominium
conversions was intended to promote the availability of first -time home buyer
opportunities and to promote the rehabilitation and preservation of smaller, more
affordable housing units. Many rental units in certain areas of the community were
overcrowded and deteriorating due to absentee owners and the renting of units on a
weekly basis. Health and safety issues were also a concern given quality of life
impacts resulting from excessive noise, pollution and traffic in areas where weekly
vacation rentals were prevalent. In 2005, the City became concerned that severe
parking inadequacies of older apartment buildings were being perpetuated through
condominium conversions, and adopted ordinances restricting condominium
conversions to structures that provide the code required parking at the time of the
conversion. Under these ordinances, duplexes, and multi - family properties that are
nonconforming by way of parking cannot be converted to condominiums. These
regulations will have slowed the rate of condominium conversions in the City. The
total number of units affected by condominium conversions approved since 1995 is
394 units.'
F. Available Land
Inventory of Land Suitable for Residential Development
The City of Newport Beach is not a residential developer and therefore must rely on
private developers or organizations that have the capacity to acquire and manage
affordable housing or "at- risk" housing developments. The Housing Element
provides an inventory of land determined suitable for development of affordable
housing and an extract of such is provided below.
In 2006, the City completed a comprehensive update of its General Plan including
an update of the Land Use Element. The General Plan recognizes that most of the
City will be conserved with its existing patterns of uses and establishes policies for
their protection and long -term maintenance. However, the General Plan identifies
several areas where substantive land use changes may be anticipated over the next
20 years. Other than Banning Ranch, this would occur within existing developed
areas of the City as infill and replacement of previously permitted retail and office
development capacity. These areas provide an attainable opportunity to create
approximately 5,000 new housing units in the community, (up to 3,758 units
excluding the Banning Ranch area). In addition, all of the new residential units will
be subject to the provisions of the City's inclusionary housing program. The City's
2 City of Newport Beach Housing Element 2008
City of Newport Beach IV- 9 2010 -2014 Consolidated Plan
Rev. 03/19/10
goal over the planning period is for an average of 15 percent of all new housing
units to be affordable to very low —, low -, and moderate - income households.
Since a limited amount of vacant land remains in the community, future housing
development in accordance with the update of the General Plan would be achieved
through infill development and reuse of sites with existing, possibly obsolete land
uses.
City of Newport
Rev. 03/19/10
Iv- 10
2010 -2014 Consolidated Plan
Vn
City of Newport Beach IV- 11 2010 -2014 Consolidated Plan
Rev. 03/19/10
i
will not likely occur during the 2008 -2014 RHNA Planning period. Due to the high proportion of
sensitive habitat areas, the actual number of buildable acreage will be determined in subsequent
studies to be conducted in accordance with state and federal regulations.
'*' Average Density of 30 unitslacre is the default density required by Housing Element law to
accommodate lower income households for urbanized areas (AB2348).
John Wayne Airport Area
The Airport Area encompasses the properties abutting and east of John Wayne
Airport (JWA) and is in close proximity to the Irvine Business Complex and
University of California, Irvine. Development in the Airport Area is restricted due to
the noise impacts of JWA. Much of the southwestern portion of the area is located in
the JWA Airport Environs Land Use Plan (AELUP) 65 dBA CNEL, which is
unsuitable for residential and other "noise- sensitive" uses. Additionally, building
heights are restricted for aviation safety.
The General Plan provides for the maintenance and limited expansion of the
currently developed mix of uses. Additionally, it identifies this Area as one of the
greatest opportunities in the community to create new residential neighborhoods
including workforce housing, through the replacement of existing uses and new
construction on underutilized surface parking lots.
The housing capacity for the John Wayne Airport planning area was determined by
the maximum permissible new automobile trips that could be generated for the
statistical area in which it is located in compliance with City Charter Section 423 and
Measure S. Land Use Element Policy LU 6.15.5 allocates a maximum of 2,200
housing units in areas designated as MU -H2 on the General Plan.
Newport Center
Newport Center is a regional center of business and commerce that includes major
retail, professional office, entertainment, recreation, and housing in a master
planned mixed -use development. Fashion Island, a regional shopping center, forms
the nucleus of Newport Center.
The General Plan identifies the goal of creating a successful mixed -use district that
integrates economic and commercial centers serving the needs of Newport Beach
residents and the sub - region, with expanded opportunities for residential
development. The Land Use Element creates a new residential land use designation
of Mixed -Use Horizontal 3 (MU -H3) on the northern portion of the subarea. The MU-
H designation provides for the horizontal intermixing of regional' commercial office,
hotel, multi - family residential, and ancillary commercial uses. Up to 450 new higher -
density multi - family housing units are accommodated in this area.
The Irvine Company (TIC) is the main land owner /developer in the Newport Center
area. A Planned Community Development Plan to develop 430 of the permitted 450
mixed -use units was approved in December 2007. The City requires that an
Affordable Housing Implementation Plan (AHIP) be prepared for projects with more
than 50 residential units. As part of the approved 430 mixed -use units, the Irvine
City of Newport Beach IV- 12 2010 -2014 Consolidated Plan
Rev. 03/19/10
Company is required to provide very low —, low -, or moderate - income housing, or a
combination of income categories, using the percentages shown below:
• Very Low: 43 units (10 %)
• Low: 65 units (15 %)
• Moderate: 86 units (20 %)
The Irvine Company owns the Bays Apartment complex consisting of three buildings
know as Baywood, Bayview, and Bayport. In order to meet the AHIP requirements,
The Irvine Company would provide affordability covenants for 43 to 86 existing units
for a period of at least 30 years. In addition, there are 79 units approved with the
Santa Barbara Condominium project within Newport Center that requires 12
affordable low- and moderate-income housing units to be constructed off -site. All of
the affordable units will be required to be affordable for a period of 30 years. This
project was approved by the Newport Beach City Council in 2006 by the Local
Coastal Commission in 2007.
Another private land owner in the Newport Center area is presently in discussion
with the City to develop a 30 -unit multi - family rental and condominium project on the
site presently occupied by the Balboa Bay Tennis Club. This is a market -rate
development that would be subject to the City's in -lieu fee program. The developer
will have a choice whether to provide affordable units or to pay the City's in -lieu fee.
Banning Ranch
Located within the City's Sphere of Influence (SOI) in the western -most portion of
the Newport Beach Planning Area, the Banning Ranch area encompasses
approximately 518 acres, of which 465 acres (including 47 acres of water features)
are under the jurisdiction of Orange County and 53 acres are within the jurisdiction
of the City of Newport Beach. The site is located within the coastal zone boundary
and is subject to the provisions of the Orange County Local Coastal Program (LCP).
However, the site is referred to as a "white hole," because neither the City's nor the
County's LCP provides land use designations for the Banning Ranch area.
The Land Use Element prioritizes the retention of the Banning Ranch property as
open space, consolidating existing oil operations, restored wetlands and habitat,
and a community park to serve adjoining neighborhoods. However, due to the
significant cost of purchasing the site and amount of the area that would need
extensive habitat restoration, a large amount of revenue would need to be
generated to help fund preservation of the majority of the property as open space.
Should the property not be acquired for open space, the Land 'Use Element
considers the possible development of a mixed - density residential village that would
include open space, convenience commercial, and small hotel uses. The Land Use
Element designates the Banning Ranch Area as Open Space (OS) and Residential
Village (RV). This designation provides for the development of a planned residential
community that integrates up to 1,375 single - family detached, single - family
attached, two family, and /or multi - family residential units with supporting schools,
parks, community services, local- serving convenience commercial uses and
services, and open spaces. Future development would require a master plan or
City of Newport Beach IV- 13 2010 -2014 Consolidated Plan
Rev. 03/19/10
,�> tr
specific plan to depict the specific uses, development standards, density levels,
infrastructure improvements, design guidelines, and financial plan.
Due to the long time frame for potential development of the site, including the
necessity of obtaining the necessary federal and state regulatory permits and the
creation and approval of a planned community development plan, residential
development of Banning Ranch will not occur during the current Housing Element
cycle. However, the owners of the property are actively engaged in planning with the
City.
Balboa Peninsula Area
The Balboa Peninsula area is comprised of a series of coastal districts linked by the
Newport Boulevard /Balboa Boulevard commercial and residential corridor. These
include Lido Village, Cannery Village, McFadden Square, and Balboa Village. The
General Plan identifies the potential for new mixed -use development within these
areas. These areas are highly urbanized and are adequately served by existing
infrastructure including sewer, water, police, and fire services. These areas also
have no significant environmental constraints that would impede new housing
development.
Cannery Village
Cannery Village is the historic center of the City's commercial fishing and boating
industry and contains a mix of small shops, art galleries, professional offices, and
service establishments. Recent redevelopment activity within this area has been
composed of new residential and mixed -use development such as Cannery Lofts, a
22 -unit live /work project. All of these units were market -rate, loft -style ownership
units. Older developments include some single - family residential units combined
with commercial uses on single lots. The updated Land Use Element designates the
Cannery Village Area as Mixed -Use Horizontal 4 (MU -H4) and Mixed -Use Water 2
(MU -W2).
The MU -W2 designation applies to waterfront parcels within Cannery Village.
Permitted uses include mixed -use structures that vertically integrate housing within
retail uses, where the ground floor shall be restricted to retail and other pedestrian -
active uses along the street frontage and /or the upper floors used for residential
units or nonresidential uses including retail and office. Mixed -use parcels have a
maximum floor area ratio of 1.25 with a maximum floor area to land ratio of 0.35 for
commercial and a maximum of 0.75 for residential purposes. The average size of
parcels designated as MU -W2 and MU -H4 in Cannery Village 0.08 acre or 3,840
square feet.
Lido Village
Lido Village is primarily developed with commercial uses including grocery stores,
restaurants, salons, home furnishings, apparel, and other specialty shops. It also
includes Lido Marina Village, a pedestrian- oriented waterfront development that
includes visitor - serving commercial uses, specialty stores, and marine uses. The
guiding General Plan goal for Lido Village is to create a mixture of land uses within a
City of Newport Beach
Rev. 03/19/10
IV- 14
2010 -2014 Consolidated Plan
pedestrian- oriented village environment. To facilitate these uses, a portion of the
Lido Village General Plan subarea has been designated as Mixed -Use Water 2
(MU -W2) and Multiple Residential (RM(20 /ac)). The MU -W2 designation applies to
waterfront parcels. Permitted uses include mixed -use structures that vertically
integrate housing with retail uses, where the ground floor shall be restricted to retail
and other pedestrian- active uses along the street frontage and /or the upper floors
used for residential units or nonresidential uses including retail and office. Mixed -
use parcels within the Lido Village area have a maximum floor area ratio of 1.5 with
a maximum commercial floor area of 0.7 and a maximum of 0.8 for residential
purposes. This translates to a maximum density of 26.7 dwelling units per acre for
mixed -use projects. The RM(20 /ac) designation is intended to provide multi - family
residential development containing attached or detached dwelling units up to 20
dwelling units /acre. As shown in Housing Element, up to 165 new dwelling units can
be accommodated within Lido Village on sites currently occupied by commercial and
office uses.
Balboa Village
Balboa Village has served as the center for recreational and social activities on the
Peninsula. Many of the existing land uses include retail uses and are visitor - oriented
and seasonal in nature. The Balboa Village core is surrounded by residences, with
isolated pockets of commercial uses scattered along Balboa Boulevard. Balboa
Village and the greater Peninsula have experienced a transition to year round
residential occupancy while the visitor uses have continued. The General Plan calls
for a portion of the Village Core area to be designated as MU -V which provides for
the development of mixed -use structures that vertically integrate retail commercial,
and office or related functions on the ground floor and the upper floors used for
residential units. Non - residential uses are also permitted including office and
commercial activities. The floor area ratio for mixed -use buildings is 1.5. with a floor
area ratio of 0.35 to 0.5 for commercial and maximum of 1.0 for residential uses.
The average size of parcels designated as MU -V in Balboa Village 0.10 acre or
4,356 square feet.
McFadden Square
McFadden Square surrounds the Newport Pier and extends between the ocean
front and harbor. Commercial land uses are largely concentrated in the strips along
Balboa and Newport Boulevards, with - residential along the ocean front and marine -
related uses fronting the harbor. Numerous visitor serving uses include restaurants,
beach hotels, tourist - oriented shops (t -shirt shops, bike rentals, and surf shops), as
well as service operations and facilities that serve the Peninsula. Historica +ly, the
area has been known for its marine - related industries such as shipbuilding and
repair facilities and boat storage on the harbor. Much of the McFadden Square area
is pedestrian- oriented, with storefronts facing the street, the presence of signage at
a pedestrian scale, and outdoor furniture, providing a pleasant environment for
visitors. The Land Use Element identifies a portion of McFadden Square as Mixed -
Use Water 2 (MU -W2). This designation is applied to waterfront locations in which
marine related uses may be intermixed with mixed -use buildings that integrate
housing with ground level retail. The floor area ratio for mixed -use buildings is 1.25,
with a minimum floor area ratio of 0.35 and maximum of 0.75 for residential uses.
City of Newport Beach IV- 15 2010 -2014 Consolidated Plan
Rev. 03/19/10
The average size of parcels designated as MU -W2 in McFadden Square is 0.12
acre or 5,230 square feet.
Mariners' Mile
Mariners' Mile is a heavily traveled segment of Coast Highway extending from the
Arches Bridge on the west to Dover Drive on the east. It is developed with a mix of
highway- oriented retail and marine related commercial uses. The latter are primarily
concentrated on bay- fronting properties and include boat sales and storage, sailing
schools, marinas, visitor - serving restaurants, and comparable uses. There are no
significant infrastructure or environmental constraints within the Mariners' Mile area
that that would impede new housing development.
A number of properties contain non - marine commercial uses, offices, and a multi-
story residential building. The General Plan identifies Mariners' Mile as a location
appropriate for mixed -use development integrating residential and commercial or
office space. The Land Use Element identifies Mariners' Mile as Mixed -Use Water 1
(MU -W1), Mixed -Use Horizontal 1 (MU -111) and General Commercial (CG).
On the inland side of Coast Highway, land is designated as Mixed -Use Horizontal 1
(MU -H1), and General Commercial (CG -0.3 and CG -0.5) to accommodate a mix of
visitor and local- serving retail commercial, residential, and public uses. Coast
Highway frontages shall be developed for marine related and highway- oriented
general commercial uses, and properties located on interior streets may be
developed for free - standing neighborhood- serving retail, multi - family residential
units, or mixed use buildings that integrate residential with retail uses on the ground
floor. The floor area ratio of mixed -use buildings is 1.5 with a maximum commercial
floor area to land ratio of 0.5 and a maximum of 1.0 for residential uses. Densities
for multi - family residential uses range from 20.1 to 26.7.
Bayfronting properties along Mariners' Mile are designated MU -W1 which permits
the inter - mixing of marine - related and residential uses. Permitted uses include multi-
family residential, mixed -use, and commercial activities. Residential uses are
permitted on parcels with a minimum frontage of 200 linear feet where a minimum of
50 percent of the permitted square footage shall be devoted to nonresidential uses.
The floor area ratio of mixed -use buildings is 1.25. Multi- family residential densities
are 12 units per adjusted gross acre, with the number of units calculated on a
maximum of 50 percent of the property. The average size of parcels designated as
MU -W1 and MU -H1 in Mariner's Mile is 0.60 acre or 26,500 square feet.
Corona del Mar
The Corona del Mar corridor extends along Coast Highway between Avocado
Avenue and Hazel Drive. It is developed with commercial uses and specialty shops
that primarily serve adjoining residential neighborhoods. Among the area's primary
uses are restaurants, home furnishing stores, and miscellaneous apparel and
professional offices. Almost half of the commercial uses are located in multi- tenant
buildings with retail on the ground floor and professional services above. Other uses
City of Newport Beach IV- 16 2010 -2014 Consolidated Plan
Rev. 03/19/10
include the Sherman Library and Gardens, a research library and botanical garden
open to the public, and an assisted - living residential complex.
The updated General Plan intends Corona del Mar as a pedestrian- oriented village
with office and service uses that serve surrounding neighborhoods. New
development largely would occur as replacement of existing uses and developed at
comparable building heights and scale. Additional parking would be provided by the
re -use of parcels at the rear of commercial properties and /or in shared parking lots
or structures developed on Coast Highway. General Plan land use designations for
Corona del Mar include Corridor Commercial (CC) with an FAR of 0.75 and Multiple
Residential (RM). Per the Land Use Element up to 8 dwelling units may be
accommodated on the two adjoining RM parcels that are currently occupied by a dirt
parking lot. The City has received inquiries from an architect about potential housing
development on these vacant parcels, but no formal plans have been submitted.
West Newport Mesa
The West Newport Mesa area contains a mixture of residential, office, commercial,
industrial, and public uses. It is immediately abutted by Hoag Hospital, a major
employment center. The General Plan identifies the opportunity to develop new,
complementary uses such as residential, medical offices and other facilities
supporting Hoag Hospital. In addition, providing well - planned residential
neighborhoods will enable residents to live close to their jobs and reduce commutes
to outlying areas. Residential uses within this area are permitted under the Multiple
Family Residential category at up to 18 dwelling units per acre. Approximately 100
new residential units could be developed as new and replacement housing .3
G. Housing Demand
This analysis examines several variables on the demand side of the Newport Beach
housing market, including the housing demand by household size and tenure, and in
household type.
Table 4 -8
Housing Demand: Households by Size and Tenure
Households By
Size and Tenure
Total
# %
Owner r
# % of
total
Renter
# % of
total:
1- person
11,700
35%
4,888
15%
6,812
21%
2- person
13,037
39%
7,899
24%
5,138
16%
3- person
4,177
13%
2,364
7%
1,813
5%
4- person
2,794
8%
2,052
6%
742
2%
5- person
1,051
3%
910
3%
141
0%
6- person
265
1%
220
1%
45
0%
7 + person
70
0%
49
0%
21
0%
Total:
33,094
18,382
56%
14,712
44%
Source: 2000 US Census (SF -1: H13, H15)
3 The section discussing available land was taken from the Newport Beach Housing Element 2008.
City of Newport Beach IV- 17 2010 -2014 Consolidated Plan
Rev. 03/19110
a o
Table 4 -9
Housing Demand: Household Tvoe
Households by Type
and Tanure
Owner
Renter
#
Share
of HH
T pe
Share
bf
Owner
Share
of
Total
# - '-
Share
.of HH
T pe
��: Share
. of ��
Renter
Share
of
Total
Family households:
Married-couple famil :
114,183
78%
1 61%
1 34%
1 3,058
1 22%
1 3,058
9%
Single Parent Male
1 846
519%
2%
1%
1 413
49%
T 413
1%
Single Parent Female
2,073
49%
5%
3%
1,067
51%
1,067
3%
Subtotal:
117,102
73%
68%
38%
1 4,538
27%
4,538
14%
Non-family households:
Male Living alone:
5,338
36%
10%
6%
3,416
64%
3,416 10%
Male Not living alone:
1 2,507
20%
3%
2%
1,999
80%
1,999 6%
Female Living alone:
6,362
47%
16%
9%
3,396
53%
3,396 10%
Female Not living alone:
1,785
24%
2%
1%
1,363 1
76%
1,363 4%
Subtotal:
15,992
36%
32%
18%
10,174
64%
10,174 31%
Total:
33,094
56%
"` F
14,712 1
44%
W ,
Source: 2000 U.S. Census (SF1: H17)
Key Statistics
Less than one percent (207) of all occupied households (33,094) are renters that
have five or more persons in the household. There are only 2,978 rental units with
three or more bedrooms.
22 percent of all married couple families are renters.
Only 4% of all households are single parent families that rent their housing.
H. Population Growth
After leveling off throughout the early 1980s, the population of Newport Beach
rebounded in the late 1980's and has continued to grow at a modest rate. According
to U.S. Census 2000 data, the population stood at 70,022, an increase of 3,389
residents over the 1990 total. According to the 2006 -2008 ACS, the estimated
population in 2008 is 83,779. This is an increase of 19.6 percent or 13,757
residents.
City of Newport Beach IV- 18 2010 -2014 Consolidated Plan
Rev. 03 /19/10
L-i
� .
Table 4 -10
Population Growth: By Race and Ethnicity
Source (1990 US Census (STF1: P007, P009) , 2000 U.S Census (SF1: P3, P4)
• Overall, the population grew by five percent from 1990 to 2000 and an estimated
19.6 percent from 2000 to 2008.
• The Asian / Pacific Islander segment accounted for 4.0 percent of the population in
2000, an increase of 50% compared to 1990. That number increased to 6.6
percent of the population in 2008, an increase of 96.5 percent compared to 2000.
• The ACS estimates that the overall percentage of Hispanic residents increased by
69.2 percent.
• All segments maintained the same relative household size.
L Cost of Rental Housing
For the purposes of this analysis, affordable rental housing is defined as units that a
low income family can afford without incurring a housing cost burden and without
being 'overcrowded." A unit is considered overcrowded when there is more than
one person per room. Rooms that are considered in this calculation include
bedrooms, living rooms, kitchens, dens, home offices and other finished rooms.
This calculation excludes bathrooms and laundry rooms.
City of Newport Beach Iv- 19 2010 -2014 Consolidated Plan
Rev. 03/19/10
1890
2000 " -'
1990 -2000
2008 -2008
2006 -08
Population
Popula$,pn
Change
Est.
Change,
Race
Population
White
63,850
95.8%
34,583
92.3%
733
1%
75,329
89.9 %10,746
16.6 %
Black or
African
230
0.3%
371
0.5%
141
61%
516
.6
145
39%
American
Native
American
170
0.3%
179
0.3%
9
5%
123
.1
-56
31.3%
Asian
1,861
2.7%
2,804
4.0%
943
51%
5,511
6.6
2,707
96.5%
Pacific
Islander
66
.2%
83
0.1%
17
26%
70
.1
-13
15.7%
Some other
466
0.7%
792
1.1%
1,546
332%
1,220
1.5
428
54%
race
Multiracial
N/A
N/A
1,220
1.7%
N/A
N/A
1,010
1.2
-210
171%
Total:
66,643
100%
70,022
100%
3,389
5%
83,779
100%
3,757
19.6%
190
2000
.!
1890 2000
2006
-08
2006 -08`
;Ethnicity _
Population,
,
lso ulation
11 eChange
Population
''
Change
Hispanic or
Latino
2,648
4%
3,301
50/6
653
25%
5,584
6.7%
2,283
69.2%
Not Hispanic
or Latino:
63,995
96%
6,731
95%
2,736
4%
78,195
93.3 %11,464
17.2%
Source (1990 US Census (STF1: P007, P009) , 2000 U.S Census (SF1: P3, P4)
• Overall, the population grew by five percent from 1990 to 2000 and an estimated
19.6 percent from 2000 to 2008.
• The Asian / Pacific Islander segment accounted for 4.0 percent of the population in
2000, an increase of 50% compared to 1990. That number increased to 6.6
percent of the population in 2008, an increase of 96.5 percent compared to 2000.
• The ACS estimates that the overall percentage of Hispanic residents increased by
69.2 percent.
• All segments maintained the same relative household size.
L Cost of Rental Housing
For the purposes of this analysis, affordable rental housing is defined as units that a
low income family can afford without incurring a housing cost burden and without
being 'overcrowded." A unit is considered overcrowded when there is more than
one person per room. Rooms that are considered in this calculation include
bedrooms, living rooms, kitchens, dens, home offices and other finished rooms.
This calculation excludes bathrooms and laundry rooms.
City of Newport Beach Iv- 19 2010 -2014 Consolidated Plan
Rev. 03/19/10
Different sized units will have different thresholds of affordability. The adjustments in
the thresholds will mirror those made for family size in HUD's annual release of
Section 8 Income Limits.
The following table lists the cost of rental housing in Newport Beach, broken down
by bedrooms size.
Table 4 -11
Cost of Rental Housinn, Rental Units by Prire and Redrnnm Size
Rental Units by Price and Bedroom
Size (1999 rents) ,!
# of Bedrooms
Les'
than
$200
"$200
to
$299
$300
to
,$499
$600
to
$749
$760 ,
to
$999:
$1,000
or
more
No
cash
rent
Total:
$774
# of units
0
21
42
271
518
394
32
Efficiency
% of size
0%
2%
3%
21%
41%
31%
3%
1,278
5%
% of total
0%
0%
0%
2%
4%
3%
0%
9%
$1,788
# of units
74
89
51
357
1,251
2,489
80
$1,698
Bedroom
% of size
2%
2%
1%
8%
28%
57%
2%
4,391
$1,885
% of total
-W
1%
1%
0%
2%
9%
17%
1%
30%
of units
33
18
49
239
714
4,877
135
Bedroom
%of size
1%
0%
1%
4%
12%
80%
2%
6,065
% of total
0%
0%
0%
2%
5%
33%
1%
41%
# of units
20
0
49
89
131
2,541
148
Bedroom
% of size
1%
0%
2%
3%
4%
85%
5%
2'978
% of total
0%
0%
0%
1 %%
1%
17%
1 %
20%
Subtotal
127
128
191
956
2,614
10,301
395
Share of Total
1%
1%
1%
6%
18%
70%
3%
14,712
Source: 2000 US Census (SF3: H67)
Table 4 -12
Cost of Rental Hnusinnt Fair Market Rents by Numher of Rwrirnnms
Fair Market Rents by Number of
Bedrooms
Year
' EfFeFelncy
FMR
11ticr.
1 Bedroom
FMR Incr.
2!Bedrooms
FMR
Incr.
3 Bedrooms
FMR ' Incr.
4 Bedrooms
?FMR Incr.
2006
$774
$845
$1,046
$1,455
$1,619
2007
$812
5%
$887
5%
$1,097
5%
$1,527
5%
$1,699
5%
2008
$855
5%
$934
5%
$1,155
5%
$1,607
5%
$1,788
5%
2009
$903
6%
$987
6%
$1,220
6%
$1,698
6%
$1,889
6%
2010
$1,098
11%
$1,317
8%
$1,885
11%
$2,165
15%
Source: HUD Fair Market Rents
39 percent of all rental units have one bedroom or less. 20 percent of units
(2,978) have three bedrooms or more.
Fair market rents have increased at least five percent each year since 2006 for
every size unit. Overall, fair market rents have increased an average of 27
City of Newport Beach IV- 20 2010 -2014 Consolidated Plan
Rev. 03/19/10
J. Housing Cost
In prior years, the cost of single family homes in the City of Newport Beach
increased to the point that the number of families that were able to purchase a home
has decreased substantially. The record lows for interest rates during the same
time period was part of the impetus for the surge in home prices. During the prior
two years, the cost of housing has decreased in all zip codes, with the exception of
92663, as a result of the economic climate and large number of foreclosures
throughout the country. The table below shows the median sales price for single
family home in Newport Beach for the 2008 calendar year.
Similar conditions occur for condominium or attached single family dwellings,
however not at the same level of increase during the same time period.
City of Newport Beach
Rev. 03/19/10
Table 4 -13
Cost of Owner - Occupied Housing: Single - Family by
Zin Code
Median Single Family Home Prices by Zip
Code
Zip Code
Number of '
Sales
Median
Price*
0 Mo.
Chan e
92660
197
$1,350
-156%
92661
27
$1,968
-25.6%
92663
99
$2,000
13.3%
92657
95
$2,340
2.9%
*In Hundred Thousands.
Source: sales data in 2008, Dataquick
Table 4 -14
Cost of Owner Occupied Housing: Condominiums by
Zip Code
Median Condominium Prices by Zip Code
Zip Cone
Number of
Sales
Median
Price
12 Mo.
Change
92660
53
$675
-27.0%
92661
5
$950
3.3%
92663
77
$565
-12.5%
92657
42
$935
-15.0%
*In Hundred Thousands.
Source: sales data in 2008; Dataquick
Key Statistics
• The median housing price (half the homes sold for more, half the homes
sold for less) decreased by 12 percent from 2007 to 2008. The median
sales price in 2008 was approximately $1.6 million.
IV- 21
2010 -2014 Consolidated Plan
rv,
1114
L.
Vacancy
A vacancy rate is often a good indicator of how effectively for -sale and rental units
are meeting the current demand for housing in a community. Vacancy rates of 5 to 6
percent for rental housing and 1 to 2 percent for ownership housing are generally
considered optimum, where there is balance between the demand and supply for
housing. A higher vacancy rate may indicate an excess supply of units and therefore
price depreciation, while a low vacancy rate may indicate a shortage of units and
resulting escalation of housing prices. The overall housing unit vacancy rate of the
City of Newport Beach has varied between 1980 and 2000, as fluctuations have
occurred in the housing market. The last available data for all vacant units
categorized by the type of housing stock is from the 2000 Census. It indicated that
the vacancy rate for rental units was 3 percent versus 1 percent for ownership
housing. According to State Department of Finance estimates of the overall vacancy
rate in the community has decreased to 10.9 in 2007.
Table 4 -15
Vacancv Rate
Table H9 Overall Housing
Newport Beach,;
Unit Vacancy Rate
1980 -2007
Year
Vacancies as a %
of all housing stock
Vacancies for sale as a
% of all housing stock
Vacancies for rent as a
% of all housing stock
1980
10.1%
3.8%
6.1%
1990
11.5%
0.8%
4.3%
2000
11.3%
0.9%
3.4%
2007
10.9%
N/A
N/A
Source: U.S. Census 1980, 1990, 2000, Orange County Progress Report 2000; State
Department of Finance 2007, Estimate
The discrepancy between overall vacancy rates and vacancy rates among available
units may be due to the large number of seasonal units and second homes in
Newport Beach. According to the 2000 U.S. Census, 1,994 of 4,217 vacant units
were identified as "seasonal use."
To assist in administration of its condominium conversion ordinance, the City has
conducted rental vacancy surveys since 1979. This survey includes only apartment
vacancies, not other homes that may be used as rentals. In 2006, the vacancy rate
for apartment units was 4.45 percent .4
Overcrowding
Overcrowding is a living condition defined by the Census as more than one person
living per dwelling room. The 2000 Census data indicated that only 2 percent of
occupied housing units had rooms that are occupied by 1.01 persons or more. The
4 City of Newport Beach Housing Element 2008
City of Newport Beach
Rev. 03/19/10
IV- 22
2010 -2014 Consolidated Plan
ACS estimates that in 2008, the number decreased to 1.3 percent. This means that
over 98 percent of units have rooms that are occupied by 1 person or less.
Throughout the State and County, overcrowding is increasingly becoming a
problem. In the last few years, the economic conditions have resulted in an
increase in the number of married couples, children, and other family members
living together in units to pay the rent or mortgage. This condition is rare in the City
of Newport Beach.
Overcrowding in a home often causes neighbors to be concerned about their
property values. Therefore, many of the city' resident bring potential overcrowding
hazards to the attention Code Enforcement staff. Therefore, the City will need to
continue weighing the benefits and drawbacks to strict code enforcement. Many of
the complaints received fall under the Health Department regulation, not a City
regulation; not enforceable by Code Enforcement staff.
Table 4 -16
Overcrowding Rates: Overcrowding By Race /Ethnicit
Overcrowded Hausinq.Units
'Race/Ethnicity
1000 Total
,Overcrowd ed ;' '
;,2006.08
to
White
30,915
472
2%
Black
165
0
0%
Native American
134
7
5%
Asian
1,024
79
8%
Pacific Islander
63
0
0%
Other Race
237
26
11%
Multiracial
556
31
6%
Total
33,094
615
2%
I 470
1.3
Hispanic
1,174
86
7%
1 ':'...........
Source: 2000 US Census: SF3: HCT 2; and 2006 -2008 American
Community Survey
Illegal Dwelling Units
Illegal or "bootleg" dwelling units have historically been a problem in Newport
Beach, experienced most often in the older, beach - oriented areas of West Newport,
Balboa Peninsula, Balboa Island, and Corona del Mar. These units are found in two
typical forms: the "splitting" of a single dwelling unit into two separate occupancies,
and the conversion of garages to living space. These units usually have a higher
number of health and safety code violations than legal units, due to conversion
without proper building permits and inspections.
Illegal units continue to be a problem today, but are less prevalent than in the past,
due to increased year round owner occupancy in these areas, and inspections
which occur when properties are sold. While it is difficult to estimate the number of
illegal unit, code enforcement personnel estimate that as much as 5 percent of the
City's housing stock may be in the form of illegal units. While not considered safe
City of Newport Beach
Rev. 03/19/10
IV- 23
2010 -2014 Consolidated Plan
and adequate housing, these units do provide living arrangements that tend to be
more affordable than legal units.
M. Cost Burdens
Table 4 -17 below lists the percentages of monthly income renters paid for housing
costs in 1999 and the estimated amount for 2008. Given that any household paying
more than 30 percent of monthly income is considered cost burdened, the data from
the 2000 Census and the 2006 -2008 ACS shows that:
Table /Chart 4-17
Rent Cost Burdens: As a Percentage of Income
Rent Burdens as a
percent of income
2000
2006-2008 Est.
#
"%
#
%
Less than 10 percent
1,284
9 %
2,951
50.7 %
10 to 14 percent
1,837
12%
883
15.2%
15 to 19 percent
2,601
18%
479
8.2%
20 to 24 percent
2,081
14%
367
6.3%
25 to 29 percent
1,263
9%
166
2.9%
30 to 34 percent
923
6%
179
3.1%
35 to 39 percent
746
5%
797
13.7%
40 to 49 percent
1,035
7%
50 percent or more
2,394
16%
Not computed
548
4%
22
Total:
14,712
100%
5,822
100%
Source: 2000 US Census (SF3: H69), and 2006 -2008 American Community
Survey
Graph 4 -4
Source: 2006 -2008
* Less than 10 percent
* 10 to 14 percent
Us 15 to 19 percent
H 20 to 24 percent
0 25 to 29 percent
a 30 to 34 percent
?° 35 or more
City of Newport Beach IV- 24 2010 -2014 Consolidated Plan
Rev. 03/19/10
,S
Table 4 -18 below lists the percentages of monthly income homeowners paid for
housing costs in 1999 and in 2008. Given that any household paying more than 30
percent of monthly income is considered cost burdened, the data from the 2000
Census and 2006 -2008 ACS shows that:
Table 4 -18
Cost Burdens: For Owners
Owner Cost Burdens
as a percent of income
2000
2006 -2008 Estimate
#
%
#
%
Less than 10 percent
1,124
10%
2,213
15.2%
10 to 14 percent
1,280
11%
15 to 19 percent
1,449
12%
2,785
19.1%
20 to 24 percent
1,484
13%
1,936
13.3%
25 to 29 percent
1,303
11%
1,422
9.8%
30 to 34 percent
964
8%
1,182
8.1%
35 to 39 percent
644
5%
5,009
34.4%
40 to 49 percent
1,043
9%
50 percent or more
2,441
21%
Not computed
72
1%
793
Total:
11,804
100%
14,547
100%
Source: 2000 US Census (SF3: H94); 2006 -2008 American Community
Survey Estimate
Graph 4 -5
Cost Burden: For Owners
M Loss than 14 percent
f 15 to 19 percent
0 20 to 24 percent
0 25 to 29 percent
0 30 to 34 percent
0 35 ur more
Source: 2006 -2008 American Community Survey
HUD is especially concerned about those households paying more than 50 percent
of monthly income on housing costs. These households are considered severely
cost burdened and at high risk of homelessness. Any break in the flow of income or
unexpected expenses, such as loss of employment or hospitalization, would
severely jeopardize the household's ability to continue to meet the housing
expense. In 2000, the number of severely cost burdened families (renter and
homeowner) reached 4,835.
City of Newport Beach IV- 25 2010 -2014 Consolidated Plan
Rev. 03/19/10
�. t
A household is considered cost burdened when it pays more than thirty percent of
its gross income for housing costs. At this point the unit is considered unaffordable
for the household. In 2000, almost one -third of all renter households (34 %) endure
a cost burden. 43 percent of all owner households have a housing cost burden.
A household is considered to have a severe cost burden when more than 50
percent of its gross income goes toward housing costs. Households with severe
cost burdens run a risk of losing their housing if faced with a loss of employment,
sickness, injury, or similar event that reduces income. In 2000, almost 1 of every 6
renters had a severe cost burden.
N. Physical Defects and Substandard Condition
HUD considers a unit that lacks a complete kitchen or bathroom to have a physical
defect and therefore a housing problem. Current ACS Census data indicates that
133 units (0.3 percent of units) lacked complete plumbing or complete kitchen
facilities.
Table 4 -19
Substandard Conditions:
Housinq Units Lackinq Plumbing or Complete Kitchen
Source: U.S. Census Bureau, 2000 (SF3: H47, H50); and 2006 -08 American Community
Survey Est.
Since substandard housing can cause serious health and safety issues, the
definition of physical defects should not be used as the only definition of
substandard housing. The City considers housing units in compliance with local
building codes to be standard units. Any housing unit that does not meet these
requirements is considered substandard.
Common housing code violations make a unit unsafe and /or unsanitary, including
problems with wiring, plumbing, windows, roofs and exterior, and heating and air
conditioning systems. Most of these units are substandard units that are suitable for
rehabilitation. These units, which do not meet local code standards for occupancy
but are still in use, though dilapidated and poorly maintained, are suitable for
essential repairs to rehabilitate the unit.
However, any property found to be structurally unsound or badly deteriorated is
considered in substandard condition, unsuitable for rehabilitation. These units may
be candidates for reconstruction. These are units that do not meet local code
standards for occupancy and are "uninhabitable" as a working residential unit
Beach IV- 26 2010 -2014 Consolidated Plan
Rev. 03/19/10
2000
2046 -2008
Housing Problem
# of
°
/° of Housing,
# of
% of
Housing
Housing
Housing .
Units
Stock
Units `.
Stock
Lacking complete plumbing
facilities
125
0.4%
18
0.0%
Lacking complete kitchen
facilities
235
0.7%
115
0.3%
Source: U.S. Census Bureau, 2000 (SF3: H47, H50); and 2006 -08 American Community
Survey Est.
Since substandard housing can cause serious health and safety issues, the
definition of physical defects should not be used as the only definition of
substandard housing. The City considers housing units in compliance with local
building codes to be standard units. Any housing unit that does not meet these
requirements is considered substandard.
Common housing code violations make a unit unsafe and /or unsanitary, including
problems with wiring, plumbing, windows, roofs and exterior, and heating and air
conditioning systems. Most of these units are substandard units that are suitable for
rehabilitation. These units, which do not meet local code standards for occupancy
but are still in use, though dilapidated and poorly maintained, are suitable for
essential repairs to rehabilitate the unit.
However, any property found to be structurally unsound or badly deteriorated is
considered in substandard condition, unsuitable for rehabilitation. These units may
be candidates for reconstruction. These are units that do not meet local code
standards for occupancy and are "uninhabitable" as a working residential unit
Beach IV- 26 2010 -2014 Consolidated Plan
Rev. 03/19/10
because they no longer contain an enclosed, heated residential unit with working
plumbing and electricity.
O. Low - Income and Minority Populations
The City's low- and moderate - income population is spread throughout the City and
is not heavily concentrated in any area. Census Block Group 636.03 -1, located in
the northwestern corner of the City, has the highest number of low- and moderate -
income residents (1,127). However, this only accounts for seven percent of the
City's total low- and moderate - income population. Census Block Group 630.10 -2
has the highest concentration of non -white minorities at 19 %. There is no correlation
between minority concentrations and low- income concentrations.
P. Housing Needs
HUD requires that the following Priority Housing Needs Table (Table 4 -20) be
submitted as part of the Consolidated Plan. The table is organized first by tenancy
and then by income. Renter housing needs are further categorized by family type.
The information in each category of the Priority Housing Needs Table is defined
below.
Relative Level of Need
A score of low, medium, or high reflects the level of need for this household
type relative to the other categories. A category that receives a "low" may in
fact have a large number of households in need of assistance, but the City
understands that either another agency is servicing these needs or the need is
greater for other household types.
A medium level of need indicates that the City will attempt to satisfy these
needs if funding is available or pursue other funding sources to meet these
needs. A low need level indicates that the City does not consider the household
type a priority or that another organization is sufficiently serving the need.
The need level indicates where the City will spend its housing funds. A
category assigned a high need level is considered a priority and will receive
funding throughout the plan.
Unmet Need
Despite the data available from the Census and other sources, the ever
changing needs, wants, and circumstances of individuals constituting the family
unit makes it impractical to prescribe a formula to determine the exact number
of households in need of assistance. Some may need a rental subsidy while
others need a larger unit. Unmet needs for the purpose of this assessment
were estimated by calculating the number of households that spend more than
30 percent of their gross monthly income on housing expenses. Such
households are termed cost burdened. It is important to note that the City does
not intend to help only households experiencing a cost burden.
City of Newport Beach
Rev. 03/19/10
IV- 27
2010 -2014 Consolidated Plan
W
Table 4 -20
Housing Needs of Low and Moderate Income Households
HUD Table 2 -A
Source: httr):Hsocds.huduser.org
Definitions:
Any Housing Problems: Cost burden greater than 30% of income and /or
overcrowding and /or without complete kitchen or plumbing facilities.
City of Newport Beach
Rev. 03/19/10
IV- 28
2010 -2014 Consolidated Plan
Renters _
Owners
Household by
"tel
;
Type, Income, &
6dedy
Small
Other
Total.-
Renters
Elderly
�small
Large
Other
Total
Total
Housing Problem
Related!.
Relatetl
.:Related
Related
.:Owners
1. Householtl
Income <-50%
797
444
10
1,153
2,404
900
337
28
514
1,779
4,183
MFI
2. Household
Income <=30%
454
214
0
620
1,288
440
204
18
355
1,017
2,305
MFI
3. %with any
76.9
98.1
N/A
81.5
82.6
69.3
85.3
77.8
73.2
74
78.8
hcusin roblems
4. % Cost Burden
>30%
72.5
91.1
NIA
78.2
78.3
69.3
85.3
77.8
712
74
76.4
5. %Cost Burden
>50%
61.7
91.1
NIA
75
73
56.8
83.3
77.8
73.2
68.2
70.9
6. Household
Income >30% to
343
230
10
533
1,116
460
133
10
159
762
1,878
< =50% MFI
7. '16 with any
housin roblems
78.4
89.1
100
97.2
89.8
64.1
88.7
100
87.4
73.8
83.3
8. %Cost Burden
>30%
78.4
1 89.1
100
96.4
89.4
64.1
88.7
100
87.4
73.8
83.1
9. % Cost Burden
74 3
60.9
100
76.7
72.9
51.1
75.2
100
75.5
61
68.1
>50%
10. Household
Income >50 to
322
388
75
954
1,739
740
315
49
185
1,289
3,028
<=80% MFI
11. % with any
82.9
83.2
86.7
77.5
80.2
56.8
68.3
91.8
67.6
62.5
72.6
housin roblems
12.% Cost Burden
82 9
82.2
53.3
74.8
77.1
56.8
68.3
91.8
67.6
62.5
70.8
>30%
13. % Cost
Burden >50%
32.3
27.1
26.7
21.5 1
25
30.4 1
54
91.8
37.8
39.6
31.2
14. Household
Income >80%
1,105
2,920
105
6,424
10,554
4,910
6,799
1,094
2,480
15,283
25,837
MFI
15. % with any
housing problems
33
17.8
52.4
14.5
17.7
21.7
29.8
31.4
32.5
27.8
23.7
16. %Cost Burden
29.9
10.3
9.5
13.4
14.2
21.7
29.3
28.7
31.7
27.2
21.9
>30%
17. Cast
Burden >50%
5.9
1.2
0
1
1.6
7.8
9.9
8.2
11.1
9.3
6.2
-18. Total
Households
2 224
3,752
190
8,531 1
14,697
6,550 1
7,451
1,171
3,179
18,351
33,048
19. %with any
housin roblems
56.2
33.5
68.4
31.5
36.3
31.8
34
35.3
41.8
34.7
35.4
20. %Cost
Burden >30
53.7
27.2
31.6
30.1
33
31.8
33.5
32.7
41.2
34.2
33.6
21. % Cost
Burden >50
31.7
12.7
15.8
13.4
16
16.7
15
13.6
22.8
16.9
16.5
Source: httr):Hsocds.huduser.org
Definitions:
Any Housing Problems: Cost burden greater than 30% of income and /or
overcrowding and /or without complete kitchen or plumbing facilities.
City of Newport Beach
Rev. 03/19/10
IV- 28
2010 -2014 Consolidated Plan
Other Housing Problems: Overcrowding (1.01 or more persons per room) and /or
without complete kitchen or plumbing facilities.
Elderly Households: 1 or 2 person household, either person 62 years old or older.
Renter: Data does not include renters living on boats, RV's or vans.
Cost Burden: Cost burden is the fraction of a household's total gross income spent
on housing costs. For renters, housing costs include rent paid by the tenant plus
utilities. For owners, housing cost include mortgage payment, taxes, insurance and
utilities.
2. Goals
The City has developed the strategies that have been incorporated into this
Consolidated Plan. In determining the strategies, the historical participation in
housing programs by various household types and estimated level of funding
over the next five years was considered. Special attention was given to family
households as such households are more likely to consist of children further
stretching the limited resources available to low- income families. These
households are also more likely to reside within the assisted dwelling unit
during the period of affordability for these programs.
City of Newport Beach IV- 29 2010 -2014 Consolidated Plan
Rev. 03/19/10
City of Newport Beach IV- 30 2010 -2014 Consolidated Plan
Rev. 03/19/10
e� n
61, "m
h� {IxAN�4�
mi
V. Public Housing Needs
V. Public Housing Needs
A. Introduction
Public housing and other assisted housing programs are crucial elements of the
City's efforts to address the affordable housing needs of low- and moderate - income
families in Newport Beach. The Orange County Department of Housing and
Community Services, acting as the Orange County Housing Authority (OCHA),
oversees the City's public housing programs.
As a standard performing housing authority, OCHA provides affordable housing for
low- income families, seniors, and disabled persons. HCS administers the Section 8
Housing Choice Voucher Program (Section 8), which provides rental assistance in
all unincorporated areas of the County and in 39 participating cities.
B. Public and Assisted Housing Providers
The Planning Department, as part of its mission of collaboration and leveraging, is
committed to working with public and assisted housing providers to address housing
needs. The following section provides a summary of the various agencies that
provide public housing assistance or programs that can be used to create public
housing.
Housing Authority of the County of Orange
The Housing Authority of the County of Orange offers one type of housing
assistance programs, the Section 8 Assisted Housing Program. The owner is
required to provide decent, safe, and sanitary housing to tenants at a
reasonable rent. Inspections are performed initially and at least once annually
thereafter to insure that tenants and owners comply with Housing Quality
Standards, and other lease and contract provisions. A summary of the program
is provided below.
Section 8 Assisted Housing Program
The Section 8 Assisted Housing program was established by the 1974 Housing
and Community Development Act and is administered by the Housing Authority
of the County of Orange. This federally- funded program provides rental
assistance in the form of a voucher to very low- income families, senior citizens,
disabled, handicapped, and other individuals for the purpose of securing
decent, affordable housing. The Housing Authority is currently managing 130
Section 8 vouchers units that are located within Newport Beach.
Under the Housing Choice Voucher Program, subsidy payments are made by
the Housing Authority to property owners on behalf of the family. Assistance is
provided to very low- income families including senior citizens, disabled,
handicapped, and other individuals. The program uses a Payment Standard to
determine the maximum amount of assistance that will be paid on behalf of the
family. The family's portion will be a minimum of 30% of their adjusted gross
monthly income up to a maximum of 40% if they choose.
City of Newport Beach V-1 2010 -2014 Consolidated Plan
Rev. 03/19/10
2. Federally- Assisted Housing
Aside from the programs that the Housing Authority of the County of Orange
currently administers, HUD also provides funding for the construction of low -
and moderate - income rental housing as authorized under Sections 202, 241,
236, and 811 of the National Affordable Housing Act. Many of these projects
also maintain project -based Section 8 contracts to subsidize rents for low -
income tenants.
HUD Section 236 Loans
Housing projects funded under the HUD Section 236 loan program carry 40-
year low- income use restrictions. After the first 20 years of the loan, owners
participating in this program can choose to prepay the outstanding mortgage
loan and opt out of the low- income use restriction. Until recently, prepayment of
the Section 236 loan had been regulated by the provisions of the Low Income
Housing Preservation and Resident Homeownership Act (LIHPRHA).
Under LIHPHRA, the owner of a prepayment - eligible project can choose to
retain project ownership in exchange for additional federal incentives or sell the
properties under a voluntary sale program. Where the owner chooses to sell,
the residents and non - profit organizations are provided with an exclusive 12-
month negotiating period. Prepayment and conversion of the housing to non -
low income use can only occur if there is no willing buyer to purchase the
project.
In light of the budgetary constraints at the federal level, Congress passed the
Housing Opportunities Extension Act in 1996, which limits the incentives that
can be offered to prepayment - eligible projects in exchange for extending the
low- income use restrictions and allows more flexibility for owners to prepay and
sell the projects than previously provided for under LIHPRHA. For all practical
purposes, HUD now considers all prepayment - eligible projects to be at risk of
converting to market rate housing.
HUD Section 8 Contracts
Projects with Section 8 contracts receive Section 8 rent subsidies that are tied
to the project units. Many projects financed with HUD Section 202, 221, and
236 funds also maintain Section 8 contracts with HUD. The contracts typically
carry an initial term of 15 -years with the option for five -year extensions
thereafter. However, passage of the 1996 Housii 'g Opportunities Extension Act
also jeopardized the continued availability of project -based Section 8
assistance. The bill allows owners of projects with Section 8 contracts to opt out
of the Section 8 program with a six -month notification prior to expiration of the
contracts. For owners who elect to renew the expiring contracts, HUD is giving
local HUD offices the authority to renew these contracts on an annual basis
pending funding availability. For these reasons, projects with Section 8
contracts are considered at risk of losing their affordability.
HUD Section 221 Loans
City of Newport Beach
Rev. 03/19/10
2010 -2014 Consolidated Plan
There are typically two types of Section 221 loans - loans with below- market
rate interest (221(d)(3)) and loans with market rate interest (221(d)(4)). Projects
financed under Section 221(d)(3) have a 40 -year low- income use restriction
and the long -term low- income use of these units is therefore considered fairly
secure. However, the Section 8 contracts on these projects may still expire due
to budgetary constraints at HUD.
Projects financed under the Section 221(d)(4) market rate program alone have
no binding low- income use restrictions. Typically, these projects also receive
project -based Section 8 assistance to maintain the affordability of the units.
These projects may be at risk if Section 8 funds are reduced or no longer
available.
HUD Sections 202/811
These projects are owned by non - profit organizations and low- income use
restrictions are locked -in for the full 40 -year mortgage term. The long -term low -
income use of these projects is fairly secure as they are required to be owned
by non - profit entities. However, the Section 8 contracts on these projects, if
any, may still expire due to budgetary constraints at HUD. The City's policy is to
emphasize preservation of the existing units when they become available by
leveraging funds from existing City programs with HUD resources on a project
by project basis.
C. Units at Risk of Conversion
HUD requires that the City undertake an analysis of federal, state and locally
assisted housing units that may be lost from the City's affordable housing stock.
The expiration of affordability restrictions on government assisted rental units is the
typical reason of this potential loss. Much of the housing at risk of conversion from
affordable housing to market rate housing is predominantly reserved for lower
income households.
Use restrictions, as defined by State law, means any federal, state or local statute,
regulation, ordinance or contract which as a condition of receipt of any housing
assistance, including a rental subsidy, mortgage subsidy, or mortgage insurance, to
an assisted housing development, establishes maximum limitations on tenant
income as a condition of eligibility for occupancy.
Table 5 -1 provides an inventory of the assisted units that are at risk of converting to
market rate housing. As shown, there are a total of 339 vssisted, multi - family rental
units in the City, of which 46 are units that are "at- risk" of conversion to market rate.
These units received assistance under a combination of HUD programs, Housing
Revenue Bonds, and the County of Orange Multi- family Mortgage Revenue Bond
Program.
City of Newport Beach V-3 2010 -2014 Consolidated Plan
Rev. 03/19/10
"I 'II
3. Inventory of At -Risk Units
Two of the projects with assisted units is at risk of losing their affordability
restrictions during the analysis period. Table 5 -1, Inventory of Assisted Units,
shows each project and their potential conversion dates. At the end of this
consolidated plan period (2014), there is a potential of losing 46 rental units
(Villa Point I and Villa Point II).
4. Cost of Preservation versus Replacement
During this period, none of the projects listed in Table 5 -1 will be at risk.
However, two projects with 228 units (46 affordable housing units) will be at-
risk in 2010. The cost of preserving those future at -risk units is estimated to be
less in most cases to the City than replacing the units through new
construction. Replacing the units with rehabilitated units may be cost effective
in some instances.
Preservation of the units as affordable would require financial incentives to the
project owners to extend low- income use restrictions. Other scenarios for
preservation would involve purchase of the affordable units by a non - profit or
public agency, or local subsidies to offset the difference between affordable
and market rents.
Scenarios for preservation will depend on the type of
options exist for preservation
subsidies: HUD may offer an
may offer rental subsidies.
City of Newport Beach
Rev. 03/19/10
of units at -risk of losing
extension of the Section
project at -risk. Two
their Section 8 rental
8 contract or the City
-4 2010 -2014 Consolidated Plan
Table 5 -1
Inventory of Assisted Units
Project Name
Project Address
`Type of
: Type of,
'.
Units
is Affordable
Termination
...
Housing .
Assistance 1
Units
Date -
Newport Sea
Section
Newport Sea Crest
Crest Apartments
Rental
65
11/1/2016
Apartments
843 15" Street
Fee Waiver
Fee Waiver
LIHTC
Newport Seaside
1544 Placentia
Section 8
Apartments
Avenue
Rental
CDBG
25
25
8/1/2019
Fee Waivers
Newport Seashore
849 West 15
Section 8
Apartments
Street
Rental
Fee Waivers
15
15
7/1/2018
1538 Placentia
Section 8
Newport Harbor I
Avenue
Rental
Density Bonus
26
26
5/712020
CDBG
Pacific Heights
881 -887 W. 15
Apartments
Street
Rental
Section 8
16
7
9/12/2018
city
Villa Point POtl
eaywood
Rental
Inclusiona
138
28
11/31/2010
Apartments
Housing
Re uirement -.
28 a Street Marina
1 Newport
Inclusionary
Project
Blvd.
Blvd.
Rental
Housing
35
4
2/2812020
Requirement
Kirkwood (Villa Del
401 Seaward
Section 8
Este
Road
Owner
Ownership
18
2
4!19/2025
Villa Sienna
East 15"
Condominiums
Stre et
Street
Owner
Ownership
15
3
7/212022
Density Bonus
Newport North
'-
City
Villa Point II
2 Milano Drive ve @
Rental
90
18
11/13/2010
Jamboree
Housing
Requirement
Newport Harbor II
11530 Placentia
Rental
Section 8
14
14
7/16/2023
Ave
28 m Street Marina
Newport Harbor II
Inclusionary
Project
Apts.
Rental
Housing
4
711612023
Requirement
851 Domingo Drive
851 Domingo
Apartments
Drive (County
Rental
Section 8
E28
28
Permanent
Pro ecr
Seaview Lutheran
2900 Pacific View
Section 202
Plaza
Dr. Federal Prai.
Rental
Section 8
100
Permanent
Bayview Landing
1121 Back Bay
Rental
LIHTC
119
2056
Drive
Seniors
5. Resources for Preservation
Funding Sources
The following summarizes financial resources available to the City for
preservation of assisted, multi - family rental housing units.
CDBG — The City is programmed to receive approximately $2,000,000 during
the next five years. This program is intended to enhance and preserve the
City's affordable housing stock. CDBG funds are awarded to the City on a
formula basis for housing activities. Eligible activities include acquisition,
rehabilitation, economic development, and public services.
City of Newport Beach
Rev. 03/19/10
V -5
2010 -2014 Consolidated Plan
." 10(
Section 8 Rental Assistance Program — This program provides rental
assistance payments to owners of private market rate units on behalf of very
low- income tenants.
Section 202 — Provides grant to non - profit developers for supportive housing
for elderly. Eligible activities include acquisition, rehabilitation, new
construction, and rental assistance.
California Housing Finance Agency (CHFA) Multiple Rental Housing Programs
— This state program provides below market rate financing to builders and
developers of multiple - family and elderly rental housing. Tax exempt bonds
provide below market mortgage money. Eligible activities include new
construction, rehabilitation, and acquisition of properties with 20 -150 units.
Low Income Housing Tax Credit (LIHTC) — This state program provides tax
credits to individuals and corporations that invest in low- income rental housing.
Tax credits are sold to corporations and people with high tax liability and
proceeds are used to create housing. Eligible activities include new
construction, rehabilitation, and acquisition.
California Community Reinvestment Corporation (CCRC) — This private, non-
profit mortgage banking consortium provides long -term debt financing for
affordable multi - family rental housing. Eligible activities include new
construction, rehabilitation, and acquisition.
D. Public Housing Strategy
Strategy 1: Preserve and improve the supply of public housing for very
low -and low- income persons.
The preservation and improvement shall include the implementation of the
following:
a. Monitor At -Risk Units
Maintain contact with owners of at -risk units as the use restriction
expiration date approaches. Communicate to the owner the importance of
the units to the supply of affordable housing in Newport Beach as well as
its desire to preserve the units as affordable. Make every effort in using
local incentives that can be offered to property owners to preserve any at-
risk units.
b. Rental Subsidies
If other methods to preserve the at -risk units fail, determine if it can assign
financial resources to provide rental assistance to very low- income tenants
to cover the difference between their current rents and market rents.
c. Support and Assistance to Local Nonprofits
Focus on development and/or support of local nonprofit housing
organizations. If owners of the at -risk housing projects are interested in
selling to nonprofit organizations, work with the project owner(s) and
City of Newport Beach V-6 2010 -2014 Consolidated Plan
Rev. 03/19/10
e ; tI
nonprofit(s) to maximize the possibility of purchase. Use incentives, such
as low -cost financing or payment of some of the costs associated with the
purchase, to facilitate non - profit purchase of the project in order to preserve
its affordability.
d. Inclusionary Zoning Regulations
The enactment of Inclusionary zoning regulations should be considered so
as to enhance the public welfare and assure that further housing
development contributes to the attainment of the housing goals of the City,
by increasing the production of residential units affordable by households
of very-low and low income. The regulations should assure that the limited
remaining developable land in the City's planning area is utilized in a
manner consistent with the City's housing element, policies and needs.
Similar regulations in other jurisdictions require all new residential
development projects shall include 20% of the total number of units as
affordable units.
2. Strategy 2: Continue to support the on -going efforts of the Orange County
Housing Authority to maximize the use of Section 8 subsidies and other
resources.
The City shall proactively
federally allocated Section
County of Orange.
City of Newport Beach
Rev. 03/19/10
pursue opportunities to increase the number of
8 vouchers through the Housing Authority of the
V -7
2010 -2014 Consolidated Plan
i
T
11Z Qll� -A'
VI. Homeless Needs Assessment
VI. Homeless Needs Assessment
A. Profile of the Homeless
People often have a misconception of the homeless. When a low- income
household suffers from a personal crisis, the result can be a loss of their housing.
Issues most often cited by homeless persons as the cause of homelessness include
substance abuse, loss of employment, health issues, domestic violence and injuries.
Substance abuse is the most commonly reported cause of homelessness.
Homelessness is a significant issue in Newport Beach. To address this growing
problem, the Continuum of Care (CoC) Community Forum Collaborative works with
the City to lead the effort in addressing homelessness in Newport Beach.
The CoC Community Forum Collaborative sponsors a semi - annual Homeless
Service Providers Survey to gather demographic information on the homeless who
receive services based on a "point -in -time estimate." The survey defines
homelessness as follows, which is based on standard established by the
Department of Housing and Urban Development (HUD) and the California Housing
Finance Agency:
• Any individual who lacks a fixed, regular, and adequate nighttime residence or
has a primary nighttime residence in any facility not designed for permanent
living.
• Families, individuals, and youth residing in emergency shelter or transitional
housing.
• Persons in drug and alcohol treatment who were homeless before they entered
treatment or will be homeless after they leave.
• Family members wait - listed for public housing that are currently residing in
substandard or overcrowded housing.
• Individuals discharged from correctional institutions within 30 days of the survey
date that would meet the definition of being homeless.
B. Homeless Definitions
The definition of homelessness in the survey differs slightly from the definitions for
HUD's homeless programs (the Emergency Shelter Grant, the Supportive Housing
Program, Shelter Plus Care program, and the Section 8 Moderate Rehab for Single
Room Occupancy Units program). All organizations receiving funds under these four
programs must ensure that any homeless persons participating in any activities
funded by these programs meet HUD's homeless definitions for the respective
programs.
HUD considers persons living in overcrowded housing to be at high risk for
homelessness, but not homeless, unlike the definition in the survey. HUD also has a
requirement that people leaving institutions (such as in- patient alcohol and drug
treatment facilities) —where they have stayed more than 30 days —are only
City of Newport Beach VI - 1 2010 -2014 Consolidated Plan
Rev. 03119/10
considered to be homeless if they have no family or friends where they can stay,
have no resources to obtain housing, and did not have housing discharge planning.
Please note that HUD does not consider people staying in such institutions for more
than 30 days to be homeless just because they once were in a shelter or living on
the streets. For such people to be considered homeless, the other criteria (support
network, resources, planning) must also be absent and documented.
Finally, HUD does not consider persons living in transitional housing to be homeless
unless they leave within 30 days and previously came from the streets or
emergency shelter. In this case, documentation must exist that the person came
from the streets or emergency shelter. If a person has been in an institution for more
than 30 days, they must meet the "network, resources, planning" test described
above.
C. Factors Contributing to Homelessness
Providers suggest that the growth in homeless families is due to the difficulty in
finding affordable housing options in a tightening rental market. Based on
discussions at community meetings, homeless working group meetings,
consultations, and surrey results, the following issues surfaced as contributing
factors:
• Substance abuse.
• De- institutionalization of persons with mental illness.
• Lack of resources to address the needs of homeless or "near- homeless"
persons with substance abuse or mental illness, including persons with dual
diagnoses.
• Unemployment/underemployment.
• Lack of job skills among persons at high risk for homelessness.
• Domestic violence.
A large gap between the number of affordable housing units and the number of
households, which need them.
• Poverty and lack of personal resources.
D. Local Homeless Population
The following are quick facts about the homeless population in Orange County:
Orange County's population surged past 3 million making it the 2nd most
populous county in California.
• In November 2009, the State of California Employment Development
Department reported Orange County's unemployment rate at 9.4 percent - up
from 5.3 percent a year earlier. The unemployment numbers for Newport
Beach are 5.9 percent compared to 3.3 one year earlier.
• According to HUD, the 2009 median income for an Orange County family of
four equals $86,100.
City of Newport Beach VI - 2 2010 -2014 Consolidated Plan
Rev. 03/19/10
• In November 2009, the median home price in the County exceeded $432,250,
an increase of 8.1 percent from a year earlier'.
• Per the 2000 Census, 7% of the County's families live in poverty - the figure
increases to 33% when housing costs are added .2
• In accordance with the Orange County Client Management Information System
(CMIS) year end progress report for 2008, there are 5,081 persons were
reported to be homeless.
• Of the 5,081 homeless persons, 1,207 were determined to be at -risk persons.
• In 2008, a total of 12,834 clients were actively served in one of 26 Orange
County Programs reporting under the CMIS system.
• Only one -fifth of the homeless population was housed in emergency or
transitional housing.
E. Homeless Needs
To most efficiently address the needs of the homeless population, HUD has tasked
local governments with developing a Continuum of Care. The Continuum of Care
(CoC) is a planning model designed to provide assistance to homeless persons at
every level of need and to move a client from homelessness to permanent housing.
The Continuum addresses both the lack of housing affordable to the lowest income
levels; it also addresses the underlying causes of homelessness such as substance
abuse, domestic violence, and mental illness.
Point in Time Survey:
In addition, HUD has mandated a Point in Time Survey (PITS) in an effort to
enumerate people identified as homeless who either seek emergency or transitional
shelter in a known program or find refuge in places not meant for human habitation
at a single point in time during the last ten calendar days of January, every two
years. HUD began to require Continuums of Care to conduct a PITS beginning in
2005, as a condition of applying for Homeless Assistance Funding. The goal of the
PITS process is to produce an unduplicated census of a community's street and
sheltered homeless population at a single point in time. The PITS process is not
intended to count those at -risk of homelessness that are living in crowded
conditions, in motels, or those who are likely to become homeless once discharged
from an institution such as a hospital or jail or those in permanent supportive
housing. One of the most significant limitations of the PITS process is that an untold
number of homeless are not visible to enumerators during the count.
Clint Management Information System
In response to a Congressional mandate, in 2004, Orange County implemented the
Client Management Information System (CMIS), our local branding of a Homeless
Management Information System, to track homeless clients. The CMIS is Orange
County's investment in a local data collection tool that can be used by all public,
non - profit and faith -based service providers to track client demographics, as well as
Dataquick
2 O.C. Register, September 27, 2003
City of Newport Beach VI - 3 2010 -2014 Consolidated Plan
Rev. 03/19/10
measure usage of housing and support services by our local homeless and at -risk
populations.
As in many Continuums of Care across the nation, implementation of an information
system has been a challenging task. Software deficiencies, an overly optimistic
implementation plan, and a mismatch between the complexity of the software
system selected and the desire or ability of agencies to invest the resources
necessary to fully utilize the system have all led to less than expected adoption of
CMIS. These issues can also largely explain why CMIS has not reached the 75%
participation rate set by HUD as a goal to be attained by the end of 2008. By the
end of 2008, the CMIS participation rate was 48 %. An expanded effort to increase
the participation rate was initiated in spring 2009. Consequently, by March 31, 2009,
the CMIS participation rate was 63 %.
Many non -HUD funded agencies see little incentive to participate in CMIS.
Resource constrained agencies focused on providing the best service possible to
their clients have little interest in participating in and a lesser tolerance for a regional
data collection process that seems to add to their workload. Consequently, there are
too few agencies involved, and those that are may or may not be fully engaged and
data quality is variable. Perhaps, the most compelling reason for the lower than
desired participation rate is the fact that only a relatively small percentage of
shelters in Orange County are HUD - funded and thereby mandated to participate.
While the focus on maximizing shelter participation is critical, efforts must be made
to ensure participation by the vast numbers of non - shelter providing agencies so as
to provide a balanced picture of homelessness in Orange County. Strategies
outlined in this plan are targeted at removing barriers to CMIS participation,
implementing technology improvements, providing value added to participating
agencies, extending regional data collection capabilities outside of CMIS, and
publicly communicating the wealth of information collected regarding client
characteristics, regional service delivery, and performance measurement.
Orange County Ten Year Plan to End Homelessness
The Ten -Year Plan to End Homelessness (The Plan) in Orange County is the
product of an integrated community collaboration. The Plan provides a roadmap of
how to effectively end homelessness in Orange County within the next ten years.
Although the efforts to develop such a Plan started several years ago, that process
began in earnest in August of 2008, when a broad -based Working Group was
established and charged with developing a plan. Working Group members
represented various stakeholder groups including the business community, non-
profit homeless service providers, technical consultants, philanthropic foundations,
education, mental health, housing, shelter providers and local government.
Working Group members were nominated by th e
providers and selected on the basis of their area
ability, and willingness to commit the necessary
planning
City of Newport Beach
Rev. 03/19/10
-4
community of homeless service
and level of expertise, leadership
time and effort to engage in the
2010 -2014 Consolidated Plan
r;
process. This initial core of Working Group members was then augmented with
members from the broader Orange County community, representing entities critical
to The Plan's success.
In addition to background information on the costs of homelessness and the extent
of the need in Orange County, this Plan outlines the mission, vision, core values,
key goals, strategies and many of the important implementation actions necessary
to successfully eliminate homelessness in Orange County. It will enable Orange
County to develop a more strategic, focused approach to ending homelessness.
This Ten -Year Plan will lead to positive, systematic changes in the way the
community addresses homelessness.3 The strategies listed in this chapter
represent the strategy and implementing action proposed on a county -wide basis.
Continuum of Care:
The City of Newport Beach is part of the O.C. Partnership, a countywide Continuum
of Care. The Continuum is an umbrella organization that brings together
government agencies and community -based nonprofit agencies. Homeless needs
are presented on a regional basis by the levels of service that form the Continuum.
The Orange County Continuum of Care system consists of six basic components:
• Advocacy on behalf of those who are homeless or at -risk of becoming
homeless;
• A system of outreach, assessment, and prevention for determining the needs
and conditions of an individual or family who is homeless;
• Emergency shelters with appropriate supportive services to help ensure that
homeless individuals and families receive adequate emergency shelter and
referrals;
• Transitional housing to help those homeless individuals and families who are
not prepared to make the transition to permanent housing and independent
living;
• Permanent housing, or permanent supportive housing, to help meet the long
term needs of homeless individuals and families; and
• Reducing chronic homeless in Orange County and addressing the needs of
homeless families & individuals using motels to meet their housing needs.
For many Newport Beach residents, the first entry into the Continuum of Care is
through an emergency shelter, where individuals and families obtain emergency
housing and supportive services directed to getting people off the streets and into a
safe environment. Typically, people stay in an emergency shelter for a short period.
Usually during this time, other housing is arranged and the homeless person's
immediate social service and medical needs are addressed.
The next component of the Continuum is transitional housing, designed as short-
term housing for up to 2 years, where persons move into a more stabilized housing
arrangement than an emergency shelter. In transitional housing, persons receive
substantial supportive services that are normally directed toward long -term solutions
3 Orange County Ten Year Plan to End Homelessness
City of Newport Beach VI - 5 2010 -2014 Consolidated Plan
Rev. 03/19/10
'I
(i.e. employment, counseling, medical aftercare and life skills training), rather than
the immediate needs and services addressed in the emergency shelter settings.
The final component of the Continuum of Care is permanent housing, both with and
without supportive services. The goal of the Continuum of Care system is to move
people toward housing alternatives where they are able to reside permanently in
safe and sanitary housing. This housing must be available at prices they can afford
and in locations where they can receive the support services necessary for them to
achieve maximum independence based on their abilities.
The following tables were provided as part of the County's Continuum of Care. The
inventory numbers in the tables below are based on the results of a survey sent to
homeless service providers who participate in the Community Forum Collaborative.
City of Newport Beach VI - 6 2010 -2014 Consolidated Plan
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Table 6 -1
County of Orange - Homeless and Special Needs Populations
(HUD Table 1 -A)
Continuum of Care: Housing Gap Analysis Chart
Unmet Need/
Individuals
Example
Emergency Shelter
100
40
26
Beds
Emergency Shelter
926
0
2113
Beds
Transitional Housing
1,211
0
0
Permanent Supportive Housing'
1,174
27
3783
Total
3,311
27
5896
Persons in Families With Children
Continuum of Care: Homeless Population and Subpopulations Chart
Based on the figures provided above and local expertise from homeless service
providers, the County has derived the strategies and priorities listed in the following
section:
° HUD's point in time count does not include persons or beds in permanent supporting housing as currently
homeless.
5 Chronically Homeless "Sheltered" figure includes 51 "Sheltered" individuals included in Part 2, Row 2 ( "Severely
Mentally III ").
City of Newport Beach VI - 7 2010 -2014 Consolidated Plan
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Emergency Shelter
305
0
0
Beds
Transitional Housing
1,614
18
102
Permanent Su ortive Housin
109
0
0
Total
2,028
18
102
Continuum of Care: Homeless Population and Subpopulations Chart
Based on the figures provided above and local expertise from homeless service
providers, the County has derived the strategies and priorities listed in the following
section:
° HUD's point in time count does not include persons or beds in permanent supporting housing as currently
homeless.
5 Chronically Homeless "Sheltered" figure includes 51 "Sheltered" individuals included in Part 2, Row 2 ( "Severely
Mentally III ").
City of Newport Beach VI - 7 2010 -2014 Consolidated Plan
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F. Strategy
The City's strategy to address homelessness in the City is to adopt the regional
(County) homeless strategies as listed in the Ten Year Plan to End Homelessness
and listed herein, as its own. The City will continue to work with the area's
Continuum of Care (CoC) providers to address the aforementioned priorities and
goals. The following section provides the regional strategies and the
implementation actions that will be taken to address the strategies.
Goal tit: Prevent Homelessness —Ensure that no one in our Community becomes Homeless
#
Strategy
Implementation
1
Through regional access centers,
1.1 Develop a service description and work plan.
provide prevention assistance such as
1.2 Develop a budget for implementing the Access
anti - eviction services, rental and utility
Center Program.
supports, credit counseling, debt
1.3 Identify potential sites for access centers.
management, tangible goods,
1.4 Conduct a Request for Proposals to find a
emergency assistance, employment
suitable provider.
services, conflict resolution, and
1.5 Ensure consistent procedure in data collection
relationship building.
and assessments among access centers.
2
Establish a pool of flexible funding that
2.1 Identify a non - categorical funding source
can be used for "whatever it takes' as-
2.2 Develop a plan for priority uses of the funding.
sistance for those who are at -risk of
losing their current housing.
3
Er ncourage employer- assisted housing
3.1 Identify employers who might have a potential
models for employees (at all income
interest in such a program.
levels) already in housing.
3.2 Conduct a cost/benefit study to show the impact
of employer-assisted housing.
4
Support the development of
4.1 Explore methods to increase communication
community resources and housing
and coordination among agencies discharging
options so that hospitals, jails, and
clients.
foster care programs can more
effectively assist patients /clients,
through appropriate referrals, to have
a smoother transition upon discharge.
5
Improve coordination among the
5.1 Create an inclusive shared database of available
various public assistance programs so
resources that can be accessed through the
that at -risk individuals and families can
internet.
more effectively and efficiently access
resources.
6
Create a "deep prevention plan" that
6.1 Issues include physical and sexual abuse,
addresses issues that affect multiple
mental illness, substance abuse, foster care,
generations of families and children.
residential instability, and lack of education and
training.
7
Use the Central Registry (created
7.1 Develop a standardized set of reports that will
under Goal 2 Strategy 9) to identify
be generated and shared among agencies.
and assess those at -risk of
homelessness and link them to
needed services.
STRATEGY # 1: The regional access centers will serve as an entry point for
persons at -risk of becoming homeless to obtain the resources necessary to
maintain their housing. Resources include clothing, food, household items, rental
City of Newport Beach VI - 8 2010 -2014 Consolidated Plan
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�j
assistance, and utility assistance. Other resources such as health care, landlord -
tenant mediation, legal services, and access to public assistance may be provided
on site or off site. Case management will be available and may be provided to help
address the underlying causes of housing instability to persons or can be required
to continue receiving resources.
STRATEGY # 2: This strategy will enable service providers to tailor the help
provided to more closelyfit the indi vidual's or family's unique needs. Currently,
many of the supportive services available to assist these clients are categorically
funded. Categorical funding requires a client to seek assistance from multiple
programs that each has its own eligibility requirements and ways of doing
business. Having available flexible funding will allow for improved coordination and
less complicated access to services for clients. A similar approach has been used
and found to be effective in the Full Service Partnership programs funded through
the State of California's Mental Health Services Act.
STRATEGY #: 3 is a method to bring in additional sources of support to prevent
people from becoming homeless. Employers have a stake in the well -being of their
labor force. Businesses can participate in the solution.
STRATEGY # 4: is based on the idea of supporting public institutions in preventing
the discharge of individuals without adequate planning and resources to ensure
that there is a stable home for them once they leave the care of that institution.
This will not only assist in preventing homelessness, but will decrease the
likelihood of recidivism and lower costs to taxpayers.
STRATEGY # 5: recognizes the need for improved coordination and data sharing
among the agencies providing assistance to those at high -risk of homelessness.
By sharing information about each client, agencies will be able to track the needs
of their clients and follow -up to ensure that those needs have been addressed.
Timely access to information is critical to helping clients before they become
homeless.
STRATEGY # 6: is aimed at breaking the cycle of risk factors and resulting
homelessness that often continue through generations. By the time that individuals
and families reach out for shelter, many have a long history of interaction with
social services programs and providers. The expectation is that dealing with the
individual or family as a whole, will not only prevent homelessness, but also
increase the probability that the clients will be able to sustain stable housing. This
strategy recognizes that the underlying situations and conditions leading to
homelessness must be addressed to be successful in achieving Goal # 1.
STRATEGY # 7: provides a means to centralize information so that those at high
risk of homelessness can more easily be idGed, assessed, and linked to
services. This will assist in avoiding the common experience of people "falling
through the cracks." It also supports the principle of "no wrong door" so that people
entering the service system at any agency will be able to access coordinated
service.
City of Newport Beach VI - 9 2010 -2014 Consolidated Plan
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City of Newport Beach VI - 10 2010 -2014 Consolidated Plan
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11
Implement periodic Project Homeless
Connect coordinated outreach events.
11.1 Hold Project Homeless Connect events in
conjunction with other well- attended community
events, such as cultural events or health fairs.
11.2 Contact agencies that might participate.
11.3 Coordinate logistics of the event.
12
Implement new and strengthen
12.1 Support public and nonprofit agency efforts to
existing mobile outreach efforts to
strengthen existing mobile outreach teams,
provide needed health, assessment,
identify and address homeless clients, and
and referral services in all areas of the
provide them supportive services. Examples of
County.
services may include medical (screening,
minor treatment, and referral for acute illness);
mental health (outreach and referral); dental
(education, screening, x -rays, and treatment);
SSI benefits assistance, Medi -Cal enrollment
assistance; food; and clothing.
12.2 Create a sustainable mobile outreach unit that
would have the capability to initiate services
and care to homeless clients, and transport
clients to access centers. Mobile services
operate in a variety of ways to optimize
effectiveness. Some may have fixed routes
and stay in a location for a week, others are
more flexible to be able to move more quickly.
12.3 Encourage city leaders to provide opportunities
for outreach efforts, using methods such as
demonstrating effectiveness, showcasing
benefits to cities, and establishing "good
neighbor" standards for mobile efforts (e.g.,
working to determine locations, obtaining any
permits, and necessary permissions).
12.4 Coordinate Outreach efforts with Family
Resource Centers (FRCs). FRCs work with at-
risk clients and thus, provide a link to this
population.
STRATEGY # 8: This strategy envisions a network of regional access centers and
a 24/7 coordinated outreach system. This is necessary due to the distinct political
(municipal) jurisdictions of the area; a desire to share the burden of services
region -wide; the concentration of the chronic homeless populations in distinct
areas; a need for a system thatflexible and responsive to the highly mobile
characteristics of the population; the requirement of information and resource
sharing; and the benefits of efficient and comprehensive service delivery.
STRATEGY # 9: This strategy requires specialized outreach methods, an ability to
identify individuals and their specific needs, a system to dispatch outreach workers
accurately and efficiently, and to pair individuals with the right services in order to
address the dynamics of the chronic homeless population.
STRATEGY # 10: This strategy consists of a public information plan to equip those
who have frequent contact with homeless individuals with the information needed
to provide service. referrals. Since there are so many organizations, primarily faith -
based groups, who offer services independent of coordinated agency collaboration,
City of Newport Beach VI - 11 2010 -2014 Consolidated Plan
Rev. 03/19/10
a marketing plan will saturate the public with knowledge of available programs and
services for the homeless population.
STRATEGY # 11 Project Homeless Connect is a nationally recognized best -
practice outreach model for linking the homeless population (especially the chronic
homeless) with resources -- especially housing. This innovative practice links
homeless individuals with services and housing in a high profile one - day /one -stop
event designed to engage the support of not only homeless services providers, but
also business leaders, community volunteers, and policy makers. The event could
take place in one jurisdiction, or in multiple jurisdictions simultaneously on the
same day.
STRATEGY # 12 This strategy encourages the use of coordinated, multi-
disciplinary mobile outreach teams as an efficient way to provide services and build
relationships with those who are homeless, especially the chronic homeless.
Typically, this is accomplished through public agencies and non - profit service
providers who offer outreach services as a regular aspect of their work. Another
way to address these same issues is to encourage city leaders to provide
opportunities for outreach.
^raoal
#3: Improve the effici4y of the Emergency Shelter and Access system
#;
strategy
implementation Action
13
Continue to support the Armory until
13.1 Maintain and enhance funding streams
year -round emergency shelter is
currently supporting the Cold Weather Shelter
developed.
Program.
13.2 Maintain and enhance relationships between
contracted providers; County; City of Santa
Ana, City of Fullerton, and City of Anaheim;
and nnrtnpr a encies providing onsite services.
14
Develop year -round permanent
14.1 Determine the number of regional shelters that
emergency shelter(s) to replace the
are appropriate and feasible.
Cold Weather Shelter system.
14.2 The shelter must provide or be able to refer for
medical care, mental health assessment and
services, benefit counseling, etc.
14.3 Within the shelter, provide a separate space for
families with children, and provide an area that
can serve as a 'day center' where those unable
to work or attend school can go as a respite
from the streets.
14.4 Develop and evaluate a pilot recuperative
shelter bed program.
15
Provide a rapid re- housing program`
15.1 Develop rapid re- housing program model.
for Emergency Shelter clients,
152 Secure funding for implementation of the
including, but not limited to, move -in
model.
expenses, housing subsidies, and
15.3 Secure program partners and define roles and
case management support.
responsibilities of each.
15.4 Im lement count ice ro ram.
STRATEGIES # 13 AND 14: Although the Cold Weather Shelter Program is
typically filled to capacity during the winter months, the use of these facilities is
necessarily limited, depending upon whether the National Guard needs to utilize its
City of Newport Beach
Rev. 03/19/10
2010 -2014 Consolidated Plan
buildings during the shelter program months. This prevents the set -up of
permanent beds for the homeless, since the shelter program supplies must be
packed up each morning. It also leads to some evenings when alternate shelter
locations must be found on short notice, increasing transportation costs to the
homeless and the providers.
One or two permanent emergency shelter buildings will allow for a facility to be
tailored to the needs of both homeless individuals and homeless families with
permanent rooms and beds, rather than open floor cots. It would also allow for
service organizations to maintain staff and services on site, which is not currently
possible in the seasonal Cold Weather Shelter locations. The existing Cold
Weather Program should be fully supported until the permanent location(s) is /are
built.
STRATEGY # 15: As noted in Strategies #13 and #14, with a permanent
emergency shelter location, facilities for on -site services can be incorporated. With
the availability of on -site services, rapid re- housing program staff can assess the
individuals or families that arrive at the shelter each evening to determine the best
means for housing them as quickly as possible.
Goal":
Make Strategic, Improvements in the Transitional'
#
Strategy
Implementation Action
16
Maintain current funding for existing
16.1 Fund existing transitional housing at a level
transitional housing.
needed to maintain the transitional housing
until there is sufficient permanent housing stock
to meet the needs of the homeless.
16.2 Using an approach that includes permanent
supportive, transitional, and emergency
housing, determine the number of transitional
housing units /beds needed.
17
Provide a rapid re- housing program
17.1 Include move -in expenses, housing subsidies,
for clients living in transitional housing.
and case management support.
17.2 Give graduating Emergency Shelter clients
priority for accessing Transitional Housing.
17.3 Identify clients that can go straight to
permanent housing without staying in
Transitional Housing.
18
Pursue less stringent entrance
18.1 Examine current program thresholds and
requirements for obtaining and
requirements and establish common criteria
remaining in transitional housing.
among service providers.
18.2 Develop high quality standards of care for
transitional living programs to be consistently
implemented by the service providers.
19
Use the Central Registry to identify
19.1 Develop plan and action items for both service
those clients who move from shelter to
providers and for clients to implement a rapid
shelter and link them to appropriate
re- housing program vs. transferring to another
services.
transitional housin ro ram.
STRATEGY # 16: While funding is needed for permanent affordable housing and
emergency shelter, it is also important to continue to support the existing
City of Newport Beach
Rev. 03/19/10
VI -13
2010 -2014 Consolidated Plan
transitional housing programs that are critical to the continuum of services for those
who are homeless and for the prevention of homelessness.
STRATEGY # 17: While transitional programs have been effective for many clients,
there is increasing research to indicate that additional strategies are needed. Rapid
re- housing for long and short term homeless is effective in many jurisdictions,
including Minneapolis, San Francisco, and others. Providing housing and the
services necessary to sustain independence will not only provide benefits to the
clients served, but will also reduce costs to the community for hospital emergency
rooms, parks, etc.
Developing an assessment tool to determine who should go directly to permanent
housing and who should be put in transitional housing will help provide stability to
the family and children.
STRATEGY # 18: This strategy refers to the need for programs with less stringent
entrance requirements that still provide adequate services to assist the client.
STRATEGY # 19: A Central Registry that identifies clients, their needs, the
services required, and can be used to identify agencies where clients can receive
the appropriate services is critical in creating a seamless continuum. Service
providers will need to participate in the process to develop or link existing services
to the client.
Goal #5: Development permanent housing options lined to a range of supportive services
Strategy
Implementation Action
20
Establish as a top priority providing
20.1 Design and implement programs using HOME
permanent housing opportunities.
grants, MHSA, redevelopment or other funding
sources that can be used for flexible tenant -
based rental assistance with flat or tiered rent
subsidies and required participation in
supportive services for individuals coming out
of the homeless system of care.
20.2 Work with redevelopment agencies to increase
the affordability of housing stock in
redevelopment areas.
20.3 Work with shelter providers and developers to
increase permanent housing by providing
incentives for the conversion of some
transitional housing to permanent supportive
housing.
20.4 Actively seek out funding opportunities to
increase housing options.
20.5 Encourage employer assisted housing (also
known as "workforce housing ") for all income
levels through development and widespread
dissemination of a cost - benefit analysis for
employers.
20.6 Research and implement project -based
Section 8 programs.
20.7 Create a Trust Fund to develop housing for
City of Newport Beach VI - 14 2010 -2014 Consolidated Plan
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City of Newport Beach VI - 15 2010 -2014 Consolidated Plan
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P i
City of Newpo
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STRATEGY # 20: The existing homeless funding model from both public and
private sources focuses almost exclusively on emergency and transitional shelters
and service provision within that paradigm. The purpose of this strategy is to
expand regional planning efforts, funding, and resources toward increasing the
supply of permanent affordable housing linked to supportive services, while
maintaining the current supply of transitional housing.
STRATEGY # 21: Although public funding is currently the primary source of
financing for permanent supportive housing programs, much of the homelessness
prevention funding goes to shelter programs. Cost studies by the Corporation for
Supportive Housing show that it costs about the same amount of money to house
someone in stable supportive housing as it does for someone to cycle through the
shelter and crisis care system.
Permanent Supportive Housing for homeless individuals living with serious mental
illness can be funded (in part) with the Housing component of the Mental Health
Services Act. Orange County has been allocated approximately $33 million to
develop projects for this target population. The projects must be submitted by OC
Behavioral Health Services, housing developers, and other interested parties
should work with the County Mental Health Director to develop project proposals.
STRATEGY # 22: In California, cities and counties are required by law to
determine their community's housing needs and to document those needs in a
written record known as a "housing element ". Although typically a long and
complex document, a housing element basically outlines a community's housing
needs at all income levels, from extremely low incomes to above moderate level
incomes. These needs are calculated based on a variety of factors (including size
of the community, demographics, available open land, percentage of existing
housing and commercial properties). The resulting number is known as a Regional
Housing Needs Assessment (RHNA). The numbers calculated for a housing
element are usually considered current for between five and eight years, and are
reviewed by the state Housing and Community Development Department.
VI - 16 2010 -2014 Consolidated Plan
25.3 Work with affordable housing developers to
create projects appropriate for the MHSA
Housing Program.
26
Adopt a "Housing First' philosophy for
26.1 Identify those with serious mental illness,
homeless individuals with disabling
substance abuse issues, physically disabling
conditions (or conditions that impact
conditions and other serious disabilities.
their ability to remain housed).
26.2 Set up a system whereby those individuals
identified are channeled directly into permanent
supportive housing.
27
Establish a move -in assistance
27.1 Provide a countywide fund to assist shelter
program.
graduates and homeless clients with first/last
month's rent, deposit, furniture, and household
supplies.
28
Provide technical assistance for
28.1 Identify the types of technical assistance
service providers.
needed.
28.2 Identify appropriate individuals or organizations
to provide the technical assistance.
City of Newpo
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STRATEGY # 20: The existing homeless funding model from both public and
private sources focuses almost exclusively on emergency and transitional shelters
and service provision within that paradigm. The purpose of this strategy is to
expand regional planning efforts, funding, and resources toward increasing the
supply of permanent affordable housing linked to supportive services, while
maintaining the current supply of transitional housing.
STRATEGY # 21: Although public funding is currently the primary source of
financing for permanent supportive housing programs, much of the homelessness
prevention funding goes to shelter programs. Cost studies by the Corporation for
Supportive Housing show that it costs about the same amount of money to house
someone in stable supportive housing as it does for someone to cycle through the
shelter and crisis care system.
Permanent Supportive Housing for homeless individuals living with serious mental
illness can be funded (in part) with the Housing component of the Mental Health
Services Act. Orange County has been allocated approximately $33 million to
develop projects for this target population. The projects must be submitted by OC
Behavioral Health Services, housing developers, and other interested parties
should work with the County Mental Health Director to develop project proposals.
STRATEGY # 22: In California, cities and counties are required by law to
determine their community's housing needs and to document those needs in a
written record known as a "housing element ". Although typically a long and
complex document, a housing element basically outlines a community's housing
needs at all income levels, from extremely low incomes to above moderate level
incomes. These needs are calculated based on a variety of factors (including size
of the community, demographics, available open land, percentage of existing
housing and commercial properties). The resulting number is known as a Regional
Housing Needs Assessment (RHNA). The numbers calculated for a housing
element are usually considered current for between five and eight years, and are
reviewed by the state Housing and Community Development Department.
VI - 16 2010 -2014 Consolidated Plan
Jurisdictions that are out of compliance with their housing element are subject to
state action and civil legal action.
However, even though RHNA numbers are so central to solving the permanent
housing crisis in Orange County, housing elements are still a highly complicated
and little known or understood tool to assist in planning for housing at all income
levels. Further, given that the housing element planning and development process
only occurs every five to eight years, the consequence of not engaging all potential
stakeholders is the continued growth of the homeless and precariously housed
members of our communities. The long lead -time for planning housing projects
exacerbates the problem.
STRATEGY # 23: As described earlier, ending homelessness for the chronically
homeless population in particular will require addressing not only their housing
needs but also their service requirements. Housing First programs across the
country provide successful models to guide local efforts. Moreover, funding
opportunities exist, particularly through California's Mental Health Services Act
(Proposition 63), to develop supportive housing to serve many of Orange County's
homeless community. Collaborative relationships between developers and
providers to address the comprehensive support requirements of these "difficult to
place" clients must be encouraged and sustained.
STRATEGY # 24: Some shelter case managers already provide housing locator
services to their clients and have specific experience with this process. These core
staffers could act as master trainers to staff with the other homeless service
providers. Alternatively, similar services could be handled by a small group of
specially trained staff stationed within a central referral bank, such as 2 -1 -1 Orange
County.
STRATEGY # 25: One of the more fsignt factors limiting more housing
developments (as cited by both housing advocates and housing developers) is the
volume of state and local development and land -use regulations. The more
regulations that developers must comply with, the less likely it is that a housing
development will materialize unless it is highly *&Ie to the developer. By
definition, housing developments that are intended to be affordable to residents at
the low end of the local income range will not btet. This strategy is
intended to bring the various housing development stakeholders together with city
and county planning policy makers to determine the best ways to create incentives
for affordable development, with a focus on serving very low and extremely low
income residents (as defined by the state income standard).
STRATEGY # 26: The "Housing First" philosophy is based upon the premise that
placing a client in permanent housing as quickly as possible provides the stability
that the client needs to be able and willing to receive supportive services, and for
those services to be effective. The goal of this strategy is to ensure permanent
housing with supportive services for those clients with a "disabling condition"
(including physical and /or mental health issues and addictions) that is likely to be
long- lasting and impact their ability to remain housed.
City of Newport Beach VI - 17 2010 -2014 Consolidated Plan
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STRATEGY # 27: The purpose of this strategy is to assist clients with the initial
expenses and supplies required to move into an apartment. Move -in assistance
would includefirst and last month's rent plus a security deposit, deposit funds for
utilities to be turned on, furniture and household supplies, and assistance with
moving belongings. These funds could be disbursed through existing programs or
a new fund could be established. The key to this strategy is that the required
funding be made available to the client in need without delay.
STRATEGY # 28: Although there are many successful shelter providers and
housing developers that have permanent supportive housing, additional assistance
is needed to ensure that more agencies have the capacity to develop supportive
housing.
Goal #6: Ensure that people have the right resources, programs and services to remain
housed
#"
Strategy ',
Implementation Action [
29
Identify and enhance employment and
29.1 Provide career counseling and job
training that enables homeless adults
development assistance.
and youth to secure living wage jobs.
29.2 Offer a declining subsidy for housing to allow
an individual to afford housing while in school
or beina trained.
30
Increase and coordinate benefits and
30.1 Systems Navigators have been used by the
services provided by mainstream
Mental Health Services Act programs provided
government programs, e.g., use a
in Orange County as well as in other U.S and
navigator to lead the client through the
foreign jurisdictions. Study these successful
benefits acquisition process.
models to see how they could be implemented
for this target pop- lation
31
Increase and support communication
31.1 Reward collaborative efforts amongst service
between service providers.
providers and support excellent model
programs.
32
Increase options for transportation to
32.1 Given the inadequate public transportation
services, work, and school.
system and the large size of the County, find
innovative ways to meet transportation needs.
Examples might be: carpooling, and paying for
as and basic car repairs.
33
Increase the supply of and access to
33.1 Explore babysitting cooperatives and partial
affordable childcare for homeless and
subsidies for childcare expenses.
at -risk families.
34
Develop /implement model perfor-
34.1 Review existing performance standards and
mance standards for supportive
compare to models that have been effective.
services.
35
Increase the supply of and access to
35.1 Work with Orange County Public Law Center to
legal services related to housing and
identify and coordinate the pro bono services of
homeless issues
local attorneys.
36
M
Develop a housing scholarship fund to
36.1 Engage local philanthropists and corporate
support declining rental subsidies for
foundations to leverage their resources and
clients.
reach out to others to establish the fund.
37
Expand case management and other
37.1 Review eligibility requirements for case
supportive services to individuals after
management services and explore sources of
they move into permanent housing.
funding to expand length of client eligibility for
such services.
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STRATEGY # 29: The unemployment and underemployment of many Orange
County residents is a major contributing factor for homelessness. Identifying
programs focused on job training for all segments of the homeless will support the
objective of providing adequatimancial resources to sustain housing. This
strategy encourages participation in effective short -term cerficate programs
through community college, Regional Occupation Programs, and adult school
programs so the individuals can regain employment or increase wages as soon as
possible.
STRATEGY # 30: An inventory of government resources and a process for
accessing them must be developed. The complexity of programs and resources,
and the means of access to them, requires a knowledgeable and focused advocate
to navigate the maze of services. Types of public assistance include General
Relief, Food Stamps and CaIWORKS. (The CalWORKS program provides tempo-
rary financial assistance and employment- focused services to families with minor
children who have income and property below State maximum limits for their family
size.)
Coordination of services and access to those services is currently inefficient at
best. To prevent duplication and increase access to various important services
needed to sustain housing, service providers must coordinate their efforts. Doing
so will not only increase the effectiveness of programs county -wide, but isfiscally
responsible, saving tax and donor dollars.
STRATEGY # 31: Sharing the expertise of experienced providers and developing
mentors for newer providers will result in the development of new resources and
better utilization of existing resources.
Coordinating regional communication and collaboration among service providers
and government agencies will decrease duplication of services and promote best
practices and mentoring opportunities. In addition, this type of coordination should
result in cost - savings for the agencies providing the services. One way to increase
coordination /collaboration is tofind ways to reward such efforts among service
providers. Another way is to support the implementation of excellent model
programs.
STRATEGY # 32: Employment programs, Mile a nd education will require
access to transportation services. Without transportation or location of services in
accessible places, clients will be unable to improve their situations.
STRATEGY # 33: Critical to family self - sufficiency i,, access to quality and
affordable child care. In addition, breaking the cycle of poverty will not occur if
children do not have access to quality early childhood learning. Stipends for
childcare, as well as development of child care centers are critical to family
success. Families will require access to subsidized child care to allow them to
benefit from mainstream resources.
STRATEGY # 34: While supportive services appear to be the key to successful
housing stability, the range, cost, and quality of these services varies widely.
City of Newport Beach VI - 19 2010 -2014 Consolidated Plan
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Developing "Best Practices" models will provide a template for quality and
achievement, and measuring success will be more consistent.
STRATEGY # 35: Knowledgeable advocates and access to legal resources will be
required to sustain and promote the successful re- housing of many clients, since
many low- income individuals are unaware of their legal rights with respect to
housing and the obligations of landlords.
STRATEGY # 36: Financial support for housing subsidies must be developed, as
well as incentives for stability and successful re- housing.
STRATEGY # 37: Tracking clients for a two -year period after they move into
permanent housing should be the evaluation target. Many chronically homeless will
require on -going lifelong support to ensure that they remain housed and many
special needs populations will require varying levels of support over their lifetimes
to maintain permanent housing. This will require an on -going investment in
supportive services. Others may access services if they are knowledgeable about
the availability and encouraged to connect with service providers once they move
into permanent housing.
Goal #7: Improve data systems to provide timely; accurate data that can be used to define
the need for housing and related services and to measure outcomes'
#
! Strategy ;
Implementation Action
38
Ensure that County agencies
38.1 Build an internal "data mart" structure for the
contribute data to the countywide
County's centralized intake process across
centralized homeless information
its agencies including but not limited to Social
system.
Services Agency and the Health Care
Agency and others as appropriate.
38.2 Convert County legacy applications to an
intranet -based case management system.
38.3 Create a process for aggregating and
transmitting anonymous data in a format
compatible with the centralized homeless
information system.
38.4 Remove confidentiality barriers between
agencies while complying with all applicable
Federal and State regulations (e.g., HIPAA).
_.
38.5 Facilitate the blending of existing County
referral resources into 2 -1 -1 in a format that
encourages broader access.
39
Use the Central Registry to track a
39.1 Design and build a system with multiple data
client from point of entry to obtaining
functions, including the HUD required
permanent housing, and any follow -up
universal data elements.
services provided for at least one year
39.2 Develop a strategy with service providers to
after placement in permanent housing.
ensure the collection of follow -up data on
This system should have the ability to
clients six and twelve months following exit
track individuals who have been
from program.
turned away.
39.3 Allow for the tracking and communication of
real time shelter bed availability.
40
Increase countywide participation in
40.1 Work with other data collecting agencies to
data collection by usin g incentives,
streamline the collection process to provide
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46 Facilitate the collection of key public 46.1 Link with Ten -Year Plan Board and
service data (e.g., ER, police) to encourage its participation in gathering key
measure cost/benefit of interventions. public service data related to the cost of
serving the homeless population (i.e., police,
fi re, and other public service data).
STRATEGY # 38: This strategy calls for coordination amongst the various County
reporting systems so that the same information is collected and stored in a manner
that can bent cross agency communication within t he County and add to the
countywide homeless information system. This includes incorporating County
public data repositories with the countywide CMIS.
STRATEGY # 39: This strategy is intended to increase the ability of the service
providers, funders, and the community at large to learn about the system of care
for homeless individuals and families. Ultimately, the information gathered in this
system will be used by evaluators to determine the most effective ways to serve
this population.
STRATEGY # 40: This strategy involves focusing on increasing the number of
service providers that submit data to the countywide CMIS. With the increase in
data in the system, the reports anhindings derived from the data will be more
meaningful and present a more accurate picture of the homeless population and
the service intervention models.
STRATEGY # 41: This strategy includes strategies that will improve the homeless
count and survey. Conducting a count is a HUD requirement and must be
maintained. However, once the level of reporting into the countywide CMIS
increases, this will be the most accurate way to understand the size and demo-
graphics of the county's current homeless population.
STRATEGY # 42: This strategy consists of linking the existing databases within the
County to reduce the data entry burden, increase the completeness of the
information system, and provide a more thorough picture of the services provided
to the homeless.
STRATEGY # 43: This strategy targets local universities to analyze the homeless
data collected in CMIS to assist the community, funders and providers in better
understanding the effectiveness of various interventions on different populations.
STRATEGY # 44: This strategy concentrates on establishing a consistent way in
which providers can measure their programs. By working with the local universities
and service providers to design and implement pre and post tests that all providers
can use will lend credibility to the analysis preformed.
STRATEGY # 45: This strategy provides information to the community on the
strategies and success of cities, counties, and service providers to serve the
homeless community.
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2010 -2014 Consolidated Plan
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STRATEGY # 46: This strategy lays the groundwork for preparation of a
cost/benefit analysis focused on prevention services and supportive housing
models.
Goal,#8; Develop the system and organizational structures to, provide oversight and
accountability
#
`- Strategy
Implementation Action`.
47
Establish e Ten -Year Plan Board with
47.1 Advocate for each city in Orange County to
paid staff to provide strategic
sign off in support of the regional Ten -Year
leadership, communicate best
Plan and develop a set of local strategies to
practices, monitor outcomes, and
implement The Plan.
report results.
47.2 Bring public agencies (county, city, state, and
federal) together to regionally plan and
coordinate efforts to maximize available
government assistance.
48
Create and maintain implementing
48.1 The Ten -Year Plan Board will schedule report
groups for each of the following goal
submittal and presentations from each
areas: Data* Homelessness
implementing group. These reports shall detail
Prevention* Outreach* Emergency
the progress made toward completing strate-
Shelter and Access system *
gies and implementing actions as defined in
Transitional Shelter * Permanent
the Ten -Year Plan.
Housing * Resources to Remain
48.2 The Ten -Year Plan Board and each
Housed* Advocacy*
implementation group will engage the faith -
based community in collaborative efforts to
align the faith -based community's resources
and missions with opportunities to fill unmet
gaps.
48.3 The Ten -Year Plan Board will work with the
implementing groups to ensure that standards
of client responsibility and accountability have
been established.
48.4 It will also work with the implementing groups
to ensure the development of shelter
standards for both agency accountability
practices and service delivery. The standards
shall include a process for clients and /or
stakeholders to file complaints.
49
Align Continuum of Care priorities with
49.1 Staff will ensure coordination and
the strategies identified in The Plan.
collaboration between Continuum of Care and
Ten -Year Plan to End Homelessness Board
and Im lementin Grou s.
STRATEGY # 47: This strategy establishes a Ten -Year Plan Board of community
leaders to provide strategic direction, oversight, and advocacy for the Plan.
STRATEGY # 48: Coordinating and reporting on the progress in implementing the
goals and strategies as dined in the Ten -Year Plan will be the major task of
Implementation Groups. Members of these groups will work with the professionals
that are providing the services to the at -risk and homeless populations.
STRATEGY # 49: Ensuring that the work of the CoC and the Ten -Year Plan to End
Homelessness are explicitly linked and work in concert will be critical in maximizing
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2010 -2014 Consolidated Plan
the amount of grant awards received from HUD. It will be important to utilize these
HUD funds for activities that coordinate with and support the Ten -Year Plan to End
Homelessness.
Goal #9: Advocate for social policy and systemic changes'necessary to succeed
#
Strategy
Implementaition Action
50
Educate the public that it is in their
50.1 Emphasize the cost - effectiveness of ending
best interest, both financially and
homelessness.
socially, to end homelessness.
50.2 Emphasize the effectiveness and societal
benefits of proven programs.
51
Create incentives for local government
51.1 Engage local community advocates and the
and business to support policy to end
local policy- makers in a collaborative effort to
homelessness.
overcome misconceptions about
homelessness that may have previously
discouraged substantive policy change.
52
Implement a broad program to engage
52.1 Establish a website that can be used to
local organizations, faith -based
disseminate information, report on progress,
organizations, neighborhood
and obtain feedback from stakeholders.
associations and the public in
supporting proven solutions to ending
homelessness.
53
Work with appropriate agencies and
53.1 Host an annual homeless summit bringing
entities to find a balance between
together elected officials, national advocates,
public safety needs and quality of life
service providers, funders, and government
issues for all residents.
agency representatives (city, county, state,
and local) to discuss progress and future
strate ies.
54
Have subject area experts, including
54.1 Identify areas where TA is needed.
those from economics, education, and
54.2 Identify and contact subject matter experts.
housing, provide the technical
54.3 Chair of the Implementation Group for goal #
assistance needed to be successful.
9 assigns members of the Implementation
Grou to work with sub "ect matter ex ert.
STRATEGY # 50: It is important to raise the public awareness of the costs and
consequences of homelessness. Further, federal homeless services funding is now
primarily intended for the expansion of permanent housing opportunities, rather
than temporary shelter housing options. Many private funders are also making a
shift in their giving policies of a similar nature. In order for local communities to take
advantage of these funding opportunities, there needs to be a stated and proven
commitment to ending homelessness through the creation of more permanent
housing options.
STRATEGY # 51: Local jurisdictions are usually not aware of providers and
programs that serve the homeless, both in their community as well as on a larger
regional basis.
With this in mind, a small group of local experts from across the homeless service
provider and advocacy community can assist in doing an inventory of the available
housing and services for the homeless in a particular area, keeping in mind the
larger Ten -Year Plan regional re- housing philosophy. If an inventory shows
City of Newport Beach VI - 24 2010 -2014 Consolidated Plan
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particular housing and service gaps, the jurisdiction should work with the local
providers to help fill those gaps.
Those same local providers are encouraged to comprise a speakers' bureau to
offer trainings to government staff, elected officials, and community members
about what local and regional services are available to serve their community's
homeless population. Such presentations might also present fhoncial and
social benefits of ending homelessness. This approach can both engage the local
community advocates and the local policymakers in a collaborative effort to
overcome misconceptions about homelessness that may have previously
discouraged substantive policy change.
STRATEGY # 52: Although the Ten -Year Plan governing structure includes
Implementation Groups with representatives from a number of community
organizations, there also needs to be a mechanism for encouraging regular
communication among providers and other organizations to be sure that the Ten -
Year Plan goals are implemented, and in a way that includes all of the critical
stakeholders. Further, increased collaboration decreases the likelihood of
duplicated services or the diversion of grant funds away from the core mission of
the Ten -Year Plan. A central organizing entity needs to take responsibility for this
strategy so that there can be continuity in the collaborative effort. In addition, this
central entity can act as a main educational resource to the community
organizations when they need information to create or support new initiatives. A
website should be established to serve as a central point of contact and
information.
STRATEGY # 53: Recognizes the concerns of residents of our community who are
securely housed. There are many similarities among various communities and
there are best practices from other areas that can be successfully implemented in
Orange County. Holding an annual summit that includes local providers,
advocates and policy makers in a conversation with experienced colleagues from
other parts of the country would bring a higher level of sophistication to the
homelessness prevention efforts in Orange County.
STRATEGY # 54: Acknowledges that there are others in our community who are
experts in relevant areas, whose research and experience can help to develop
policies and advocate for their implementation. Most research regarding
homelessness prevention and programs .-comes from HUD - sponsored projects,
designed and implemented by a select number of researchers. Although that
research is incredibly valuable, there is little in the way of local evaluation or
demographic research other than the two primary HUD - mandated research
sources — the HMIS client data software and biennial Point -In -Time homeless
counts.
Using the national data as a guide, the community needs to engage the County's
local research institutions in research about homelessness in Orange County. This
would enable policy makers and service providers to have djremnformation
about the population they are serving. It would also allow tracking of local trends
and changes over time.
City of Newport Beach A - 25 2010 -2014 Consolidated Plan
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V| Non-Housing Community Development Needs Assessment
VII. Non - Housing Community Development Needs Assessment
A. Introduction
Consolidated Plan regulations require an assessment of "non- housing community
development needs." The City of Newport Beach is committed to developing
effective investment strategies to meet these needs using the City's Community
Development Block Grant (CDBG). This section is presented in the following order:
• The City's methodology for determining priorities amongst the several
competing community needs.
• The three funding priority levels and their meaning.
• An overview of the CDBG program and eligible uses of funds.
• The City's community development needs, including infrastructure
improvements, facilities, public services, accessibility improvements, and
economic development needs.
• At the end of the section is HUD's Consolidated Plan Table 2B. This table
summarizes all of the non - housing community needs and the City's five -year
funding strategy for the City's Consolidated Plan funds.
B. Methodology
The City used several data sources to assess its non - housing community needs.
The 2000 U.S. Census data and the 2006 -2008 U.S. Census American Community
Survey (ACS) were the primary sources for demographic data. Information on local
economic conditions was obtained from the County of Orange and the State of
California. As required by federal regulations, the City consulted local service
providers to obtain input. The first -hand knowledge of local community development
professionals, including City staff and non - profit advocacy groups, made a
significant contribution to the assessment. In addition, the City conducted a
Community Needs Survey to gather public opinion.
C. Funding Priority Levels
Consolidated Plan funds are limited and are not sufficient to meet all of a
community's needs. Therefore, it is necessary that the City assign relative priorities
to each need and use its limited resources to address the highest priorities. The City
has assigned one of the following Priority levels to each possible use of funds:
High Priority: A high priority indicates the City will use Consolidated Plan funds
to implement programs and projects to address this need.
Medium Priority: A medium priority indicates the City acknowledges a need
exists but that the need level is relatively low compared to other needs and / or
the need is being addressed by another program or funding source. The City
will partner with other agencies and organizations to apply for additional
funding.
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2010 -2014 Consolidated Plan
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• Low Priority: A low priority indicates that the City does not perceive a need for
this type of service or program.
D. The CDBG Program
This section provides a brief overview of the CDBG Program as it is the primary
funding source utilized by the City for non - housing community and economic
development activities related to this Consolidated Plan. The CDBG statute calls for
program funds to be used to develop viable communities through the provision of
decent housing, a suitable living environment, and expanded economic
opportunities primarily for persons of low and moderate income. To achieve these
ends, the statute requires that activities funded through CDBG meet one of three
national objectives:
• Benefiting low- and moderate - income (LM) persons
• Preventing or eliminating slums or blight
• Meeting urgent needs
1. Activities Benefiting Low -And Moderate - income Persons
LMA - Area Benefit Activities: An activity with benefits available to all residents
in a particular area where at least 51 percent of the residents are low- and
moderate - income persons. Typical area benefits include:
• Street Improvements
• Water and Sewer Lines
• Neighborhood Facilities
• Fagade Improvements in Neighborhood Commercial Districts
LMC - Limited Clientele Activities: An activity that provides benefits to a
specific group of persons of which at least 51 percent of the beneficiaries are low -
and moderate - income persons.
Presumed Group: An activity that benefits clientele who are generally presumed
to be principally low- and moderate - income persons. (Presumed groups: abused
children, battered spouses, elderly persons, adults who are severely disabled,
homeless persons, illiterate adults, persons with AIDS, and migrant farm
workers).
Activities that would be expected to qualify under the LMC Presumed Group
subcategory include construction of a senior center, public services for the
homeless, assistance to LM persons developing a micro - enterprise, Meals on
Wheels for the elderly; services for battered and abused spouses or children; or
Construction of job training facilities for severely disabled adults.
City of Newport Beach VII - 2 2010 -2014
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Requiring Income Documentation An activity requiring information on family size
and income to document that at least 51 percent of the clientele are persons whose
income does not exceed the low- and moderate - income limit.
Programs Limiting Services to Low- and Moderate - Income: An activity that has
income eligibility requirements which limit the activity exclusively to low- and
moderate- income persons, or is of such a nature and location to limit services to
primarily low- and moderate4ncome persons.
Activities that would be expected to qualify under the LM limited clientele
presumed groups subcategory include:
• Construction of a senior center
• Public services for the homeless
• Assistance to LM persons developing a micro - enterprise
• Meals on Wheels for the elderly
• Construction of job training facilities for severely disabled adults
LMJ - Job Creation or retention: An activity that directly creates or retains
permanent, full -time equivalent jobs. Activities that could be expected to create or
retain jobs include:
• Construction by the grantee of a business incubator which is designed to
offer both space and assistance to new, small businesses to help them survive
and perhaps even expand.
• Loans to help finance the expansion of a plant or factory.
• Financial assistance to a business which has publicly announced its
intention to close, and to help it update its machinery and equipment
instead.
• Improvement of public infrastructure as needed by a company to comply
with environmental laws to avoid closure.
2. Activities Preventing or Eliminating Slums or Blight
The second of the CDBG national objectives has its roots in the Urban
Renewal program, one of the major Federal programs that were terminated
and replaced with the CDBG program upon its formation in 1974. Although the
vast majority of persons who resided in the areas that qualified for assistance
under the Urban Renewal program were LM, the principal focus of that
program lay in eliminating major slums and other areas of blight within the
community and preventing the return of blight to treated areas.
Because of some concerns that the CDBG program might not allow the
continuance of the type of projects that were funded under Urban Renewal,
provision was made for this through the inclusion of the national objective
concerning slums and blight. The subcategories under this national objective are:
City of Newport Beach VII - 3 2010 -2014 Consolidated Plan
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SBA — Slum or Blighted Area Activities An activity serving to improve an area
in which documented conditions of slums or blight exist.
SIBS - Slum or Blight on Spot Basis Activities: An activity outside of a slum and
blighted area designed to address imminent safety hazards.
3. Activities Designed To Meet an Urgent Need
To comply with the national objective of meeting community development
needs having a particular urgency, an activity must be designed to alleviate
existing conditions that the grantee certifies:
• Pose a serious and immediate threat to the health or welfare of the
community.
• Are of recent origin or recently became urgent.
• The grantee is unable to finance the activity on its own, and
• Other resources of funding are not available to carry out the activity.
Example: a major catastrophe such as a flood or earthquake that threatens the
community's residents with the spread of serious disease. The community's
other resources may well be depleted and other Federal programs may not be
sufficient to cover all the costs associated with this public health threat.
E. Community Development Priority Needs
The CDBG regulations categorize the types of programs and projects that are
eligible for the funds. This assessment examines the following need categories:
Community Improvements; Community Facilities; Community Services; Accessibility
Needs; and Economic Development. Each need category is defined below.
Economic Development
Activities or improvements designed to support, increase, or stabilize business
development, as well as to create or retain jobs, or expand the provision of goods
and services (e.g., small business incubators, commercial and industrial
development, loans to for - profit businesses, infrastructure improvements specific to
expanding or creating business development).
Community Improvements
Community Improvements are public improvements that support existing or future
community development that benefits an entire area or site (e.g., roads, curbs,
gutters, sewer systems, street lighting, bridges, etc.).
Community Facilities
Community Facilities includes the construction or rehabilitation of structures or
facilities that house a public use. Facilities used for the general conduct of
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2010 -2014 Consolidated Plan
X12 I
government are ineligible for CDBG assistance except under certain circumstances,
such as the elimination of material or architectural barriers to ADA accessibility.
Community Services
Activities that provide services to individuals and /or households (e.g., job training,
child care, graffiti removal, etc.).
Infrastructure Improvements
The Infrastructure category looks at all public improvements that support existing or
future community development benefitting an entire area or a particular site (e.g.,
roads, curbs, gutters, sewer systems, street lighting, bridges, etc.). The City has on-
going needs for community infrastructure improvements and follows a Capital
Improvement Plan (CIP) to meet those needs. Projects in the CIP include
construction and rehabilitation of arterial highways, local streets, storm drains, bay
and beach improvements, parks and buildings, water and wastewater
improvements, and some planning programs. The adopted FY 2009 -10 CIP consists
of 96 projects representing over $32 million in new appropriations and $28 million in
re- budgeted funds for a total CIP budget of $60,784,459. These projects are
typically funded with non - Consolidated Plan funds.
The City has assigned a medium priority for Consolidated Plan funds to this need
category. The City will consider funding for infrastructure projects in residential
areas with concentrations of low- and moderate - income households.
In the 2000 -2004 Consolidated Plan, the City used CDBG funds to secure a $2.4
million Section 108 loan to partially finance the Balboa Village infrastructure
improvements. This loan is being repaid over 20 years in approximate $225,000
installments. The City uses CDBG funds to repay this loan.
Table 7 -1 indicates which agencies provide services to eligible census tracts located
with the City.
Table 7 -1
Infrastructure providers In Nawnnrt Raarh
Responsible Agency
Infrastructure /Services Provided ,!
City of Newport Beach Engineering
Streets, sidewalks, curbs and gutters
Department
Local Storm drains
City of Newport Beach Utilities Department
Local Sewage collection
Collection of single - family residential refuse
City of Newport Beach General Services
and recyclable materials
Department
Collection of all other refuse and recyclable
materials
City of Newport Beach Utilities Department
Domestic water service
Source: City of Newport Beach
In the Needs Assessment Survey, respondents did not indicate a need for
improvements to this type of community infrastructure.
City of Newport Beach
Rev. 03/19/10
VII -5
2010 -2014 Consolidated Plan
119,
G. Community Facilities
A principal goal of the Consolidated Plan is to develop viable urban communities by
developing a suitable living environment. A suitable living environment also includes
community (public) facilities that add to the quality of life for a community's
residents. In terms of the Consolidated Plan, public facilities include Park and
Recreational Facilities, Community Centers, Health Care Facilities, as well as Fire
Stations, Libraries, and Public Parking Facilities.
Some city residents are from low- and moderate - income households with annual
incomes between 50 -80 percent of the area median income. Households with
limited resources face great difficulty in meeting everyday needs and maintaining a
safe, healthy community and suitable standard of living.
The use of funds to construct, expand and renovate public service facilities
contributes a great deal to the quality of life in these households. By making it
possible for communities to provide health, recreational, and safety services to their
residents, the City's program activities are an important tool for enhancing the
livability of the City's lower income households and communities. The provision of
these services eases the burden of low- and moderate - income households that
must struggle to meet the needs of their families.
Health Care Facilities
The availability of public health care facilities is a necessity in jurisdictions of
any size. Such agencies regulate health care standards throughout the
jurisdiction, monitor trends in health indicators such as rates of infectious
disease and injury, and provide needed medical care to poor households.
There are several existing health care programs operating within the City and
throughout Orange County. Below is a short summary of the major programs
that serve lower income clientele and major hospitals in proximity to the City.
a. County Community Nursing Program
Public Health Nursing provides nursing services in the home and
community with a focus on communicable disease investigation, maternal
health (high -risk and teen pregnancies), infant and child health (high -risk
infants and children), adolescent and adult health.
b. County Medical Services for Indigents (MSI) Program
City of Newport Beach
Rev. 03/19/10
This program pays medical costs to hospitals, clinics, physicians,
ambulance companies, home health providers, and other providers that
serve eligible indigent patients. The program covers necessary medical
care for Orange County residents ages 21 through 64 years who have no
other financial resources for medical care. The scope of the Medical
Services for Indigents program is limited to services that protect life,
prevent significant disability or prevent serious deterioration of health.
NWF
2010 -2014 Consolidated Plan
b .5
Eligibility is based on Medi -Cal criteria, with an income cap at 200% of the
Federal Poverty Level.
c. Orange County Rescue Mission
This organization operates a mobile health clinic that outreaches to the
homeless living on the streets to the address health care needs in the
poorest of communities. The program provides free medical care to those
with minimal or no insurance coverage. Services include clinical evaluation,
referral for diagnostic testing, and prescription treatment services. The
Clinic provides over 4,400 patient visits yearly throughout Orange County.
d. Hoag Hospital, Newport Beach
Hoag Memorial Hospital Presbyterian is a 409 -bed acute care, not - for - profit
hospital that provides advanced medical programs in many specialties. The
Hospital's quality is endorsed by several healthcare industry organizations
and continually recognized on local, regional and national levels. For eight
consecutive years, Hoag has received the Consumer Choice Award from
National Research Corporation (NRC) and is ranked among the top five
percent of hospitals in the nation.
The City has assigned a low priority to this need category, as current facilities
and services meet the needs of all income segments of the community.
2. Fire Station and Equipment
The Newport Beach Fire Department is responsible for protecting city residents
and property from fire, medical, and environmental emergencies. The
Department's eight stations, 140 full -time employees, and over 200 seasonal
lifeguards provide 24 -hour protection and response to the City's residents and
visitors. The average response time for fire apparatus to an emergency call is
4 minutes 22 seconds. The front line apparatus includes eight fire engines
(one at each fire station) two aerial ladder trucks (one on each side of the city),
three paramedic vans, 3 lifeguard rescue boats, 8 lifeguard patrol units and 3
command vehicles. In 2008, the Fire Department responded to 9,794
incidents.
The City has assigned a low priority to this need category, as current services
are funded through other funds and this type of activity would not be eligible in
the City due to a lack of low income areas.
3. Youth Centers
According to the 2000 Census, seventeen percent of the City's population was
under age 19, representing almost 12,000 persons. The 2006 -2008 ACS
estimates that the number has increased to 16,371 persons. The City operates
a dedicated facility for youth. The Community Youth Center is located at scenic
Grant Howald Park in the heart of Corona del Mar. The facility includes athletic
fields, basketball & tennis courts along with a game room, meeting room &
dance floor. In addition, youth activities are held at other general use facilities
City of Newport Beach
Rev. 03/19/10
2010 -2014 Consolidated Plan
and parks. The City considers the development of additional facilities
dedicated to youth to be a low priority relative to other community needs.
4. Libraries
The City is currently served by the Central Library and three branches,
Mariners, Corona del Mar and Balboa. In addition, the Newport Coast
Community Center provides concierge services for book drop off, pick up, and
allows residents to search the library catalog. The system offers a diverse
range of informational resources, special programs, and public services such
as the Literacy Program. State Library Grant Funds and local contributions
were used to construct a new branch library, the Donna and John Crean
Mariners Branch Library, as a joint use project with Mariners Elementary
School.
Funding for the library was a combination of general funds, support from the
Friends of the Library, the Newport Beach Public Library Foundation, as well as
donations and in -kind services from businesses. The City has assigned this
need category a low priority for Consolidated Plan funds.
5. Child Care Centers
There were approximately 2,800 children under the age of five in the City,
according to the 2000 U.S. Census. According to the 2006 -2008 ACS, the
number of children in the City grew to 4,674. This accounts for 5.6 percent of
the total population of Newport Beach. Adequate and affordable child care is a
key component in helping working families succeed. During the school year,
Newport Beach Recreation Services offers after - school programs for children in
grades 1st through 6th at West Newport Community Center, Mariner's Park
and the Community Youth Center. These programs, however, have limited
enrollments of fifty children per site. There are 12 registered private child care
providers in the City that are licensed by the State. Overall, these centers
provide 978 child care slots. The key subsidized child care services are
described below.
a. Head Start Preschools: These preschools provide child development
services to preschool children ages 3 -5 and families. For the children, the
schools provide hot meals, along with health, social, and psychological
services. Referral services for housing and job information are provided for
the parents.
b. Avenues for Independence (GAIN) Program: This program subsidizes child
care for people who meet the low income eligibility and who are either
working or going to school. The intent of this program is to help parents
achieve greater financial independence by maintaining employment or
acquiring the job skills to secure employment.
The City has assigned a low priority to this need category, as current facilities
and services meet the needs of the community.
City of Newport Beach
Rev. 03119/10
2010 -2014 Consolidated Plan
4hg
e S.4i
Table 7 -2
Child Care Providers in Newoort Beach
Child Care Provider
Capacity
Childtime Childrens Center, Inc.
59
Christ Church By The Sea Children's Center
44
Hoag Child Care Center
90
Newport Coast Child Development Preschool
145
Newport Harbor Lutheran Church
43
Newport Heights, CDC
19
Newport Montessori
107
St. Andrew's Presbyterian Church Pre - School
131
St. Mark Community Preschool
72
St. Matthews Montessori School
48
Temple Bat Yahm
100
Tutor Time Child Care Learning Ctr.
120
TOTAL
978
6. Senior Centers
The City has assigned this category a low priority because the recently
developed Oasis Senior Center facility. The facility was designed to address
the current need as well as recognizing the growing needs of seniors. Newport
Beach's senior population as of the 2000 census surpassed 12,000 residents
and accounted for slightly less than 18 percent of the population. The 2006-
2008 ACS estimates that the senior population has increased to 15,383 or 18.4
percent of the population. As the senior population grows and the average
lifespan increases, the need for additional capacity and upgrades to the
existing facilities will grow. The City operates the Oasis Senior Center. This
facility hosts numerous senior activities, such as educational classes, exercise
programs, art education, health promotion, transportation, counseling, and
support functions.
7. Park and Recreational Facilities
Parks and recreational facilities serve an important role in a community. They
provide opportunities for resident interaction, and improve the overall aesthetic
of a neighborhood. Funds can be used to acquire land, build or improve
playgrounds or buildings used primarily for recreation, and develop open
spaces that will serve Ipw to moderate - income areas.
Newport Beach has 30 parks that provide residents with 258 acres of open
space for recreational activities. There are over thirty playgrounds throughout
the City for children ages 2 -12. The City's parkland standard is five acres per
1,000 residents. Based on the 2000 population of slightly over 70,000, the City
has 92 fewer acres of active parkland than this standard would require. This
deficit is offset by the recreational opportunities provided by 237 acres of
beach, 68 acres of school facilities, and the recreational resources on the Back
Bay. A recent addition is the Bonita Canyon Sports Park, a 40 -acre space that
City of Newport Beach VII - 9 2010 -2014 Consolidated Plan
Rev. 03/19110
provides athletic fields, courts, walking trails and playground areas. The City
has assigned this category a low priority need.
8. Community Centers
Community service centers may provide recreational space and activities, but
also provide neighborhood services such as computer labs, adult education
programs, family services, and general information about public services
available throughout the community. Whether or not recreational opportunities
are provided by a given community service center, all centers provide multiple
public services to the neighborhood and community where they are located.
The City currently operates seven five community centers: Balboa, West
Newport, Bonita Creek, Carroll Beek, Cliff Drive, Community Youth Center
(CYC), and the Mariners Vincent Jorgensen Community Center. These facilities
offer space for a variety of programs for all age groups and genders and
available for public use. Two new community center projects are slated for
development. One will be located in the Santa Ana Heights neighborhood and
the second will be built in Newport Coast. The City has assigned this category
a low priority need.
9. Historic Preservation
The City previously had an ad hoc Historic Preservation Advisory Committee.
The committee identified over 60 historic structures and compiled the City's
Historic Resource Inventory in the early 1990's. Some residents consider the
inventory outdated and limited in scope, and want a new inventory to be
compiled. Protection of the City's historic villages and their unique character,
such as Corona del Mar, Balboa Island, Mariner's Mile, and Lido Marina should
be addressed. The City may address these issues by limiting the permitted
uses, establishing design guidelines, updating the existing historic resources
inventory and establishing a design review process. The City has assigned a
medium priority to this need category.
H. Community Services
The City is placing a high priority on public services that can contribute to the
regional homeless Continuum of Care. Specifically, these services are: homeless
services, counseling, substance abuse services, domestic violence services, and
employment related supportive services such as job training. The City is also
placing a medium priority on senior services.
Homeless Services
The threat of homelessness continues to rise as local property values and rents
continue to increase at high rates. The City partners with local non - profit
agencies and the regional Continuum of Care to provide homeless services to
the area. The City is cognizant of the importance of the provision of homeless
services and will support programs that contribute to the regional Continuum of
Care's framework of service. Please refer to Homeless Needs section for
City of Newport Beach
Rev. 03/19/10
VII - 10
2010 -2014 Consolidated Plan
f "'vl
additional information on the existing homeless facilities and services and the
unmet need in the area. The City has assigned this category a medium priority
need.
2. Substance Abuse Services
The County of Orange is the primary provider of substance abuse services
through the Alcohol and Drug Abuse Services (ADAS). ADAS provides a range
of outpatient and residential treatment programs designed to reduce or
eliminate the abuse of alcohol and other drugs within the community.
Services include crisis intervention, assessment and evaluation; individual,
group and family counseling, HIV education, pre- and post -test counseling, and
voluntary testing; TB education, counseling and testing; referrals to other
programs when indicated; and outreach to schools and the general community.
Specialized programs provide services for pregnant and parenting women,
persons who require methadone maintenance and detoxification, adolescents,
persons who have been dually diagnosed with substance abuse and mental
health problems, and individuals referred by the Orange County Drug Court.
The City is served by an outpatient clinic at in Aliso Viejo ( Aliso Viejo ADAS). In
addition, there are a number of public and private substance abuse agencies
and /or facilities located in the City and throughout the county.
Although these services are being adequately provided by the various public
and private agencies, the City places a medium priority on substance abuse
services to address the high cost of these services for the low and moderate
income persons who would otherwise not be able to afford the services in
addition to addressing the supportive service in the Continuum of Care
homeless plan.
3. Senior Services
The City's Senior Services Division is responsible for the operation of the
OASIS Senior Center as well as numerous senior activities. Programs include
educational classes, exercise programs, art education, health promotion,
transportation, counseling, and support functions for seniors. In addition to
staff, the Center is fortunate to have a non - profit organization, Friends of
OASIS, who provides both financial and volunteer support to the Center. The
Center relies on volunteers to help in all aspects of the Center and boasts
having over 25,000 hours of volunteer work a year.
Although the City provides many services to the senior population, some of the
services require the participant to pay for a portion of the cost. For seniors on
a fixed income, a small fee can become a burden on their finances. The City
places a medium priority on supportive senior services that help maintain
independence. Services such as Meals on Wheels allow seniors to remain in
their homes when they may otherwise be institutionalized at a high cost to both
the senior and the public.
City of Newport Beach
Rev. 03/19110
2010 -2014 Consolidated Plan
ft�
4. Health Services
As health care costs rise and an increasing number of residents go without
health insurance, this category is an increasing concern. The City has assigned
a medium priority to health services and will look to partner with local non - profit
agencies and local health care providers to meet this need.
This category also includes mental health services. The County currently
provides a range of services including emergency crisis intervention, acute and
long -term hospitalization, short-term outpatient services, and longer -term
rehabilitative and recovery outpatient mental health services. Outpatient
programs emphasize individual needs and strengths while developing
rehabilitation and recovery goals chosen by the consumer. Supportive services
are provided to those able to live independently as well as to those in need of
shelter and residential rehabilitation programs.
5. Employment/ Job Training
The two primary agencies responsible for employment and job training in the
area are at the county level. The Orange County Workforce Investment Board
(OCWIB) administers state and federal funds available through the Workforce
Investment Act (WIA) and coordinates a network of One -Stop Career Centers
that offer a wealth of training, information and assistance for businesses and
job seekers.
The Orange County Social Services Agency administers the local Welfare -to-
Work Program. Under the California Work Opportunities and Responsibility to
Kids (CalWORKs) Act, welfare recipients must comply with work requirements
in order to receive assistance. The program offers a number of employment
assistance activities, such as work preparation and vocational training, job
search and readiness activities, study, on- the -job training, vocational training,
adult basic education, and other supportive services.
The City recognizes the need for employment and job training services and will
consider support for programs that seek to complement the existing services.
The assigned need level for this category is low.
6. Youth Services
The City administers several recreational programs and two after - school
programs. For elementary school -aged children, KidsScene, an After - school
Recreation for grades 1 -6, meets at West Newport Community Center,
Mariners Park, and Community Youth Center at Grant Howald Park. For Junior
High students (grades 7 -8), "Ensign X- perience" is a drop -in after - school
program at Ensign Middle School.
Local non - profits, such as the CSP Youth Shelter, offer programs and
counseling to at -risk youth in the area. Other non - profits, such as Operation
School Bell, provide suitable school clothes to low- and moderate income
children. While the City recognizes that there is a significant need for funds to
serve at -risk youth, the City has an assigned this need category a medium
priority relative to other community needs.
City of Newport Beach
Rev. 03/19/10
2010 -2014 Consolidated Plan
I ;pia
7. Child Care
Affordable child care is an essential component to a low- income working
family's ability to rise out of poverty. Although there are a large number of
licensed child care facilities in Newport Beach, the cost of these facilities is
often unaffordable to the families who most need it. According to a set of
community indicators published by Orange County, child care costs increased
three times as fast as the median family income. The local Welfare -to -Work
program meets some of the existing need, as it includes subsidies for child
care. The City has placed a medium priority on meeting the community's child
care needs.
8. Services for the Disabled
The Dayle McIntosh Center, located in Garden Grove, is the primary provider
of services to the disabled in the area. The Center receives funding from the
State Department of Rehabilitation and is designated as a one of the twenty -
nine Independent Living Centers (ILCs) in the state. These centers are
dedicated to the ideal that communities become fully accessible and integrated
so that all persons with disabilities can live, work, shop, and play where they
choose, without barriers. Dayle McIntosh provides a variety of services
including advocacy, counseling, and vocational services.
Residents of Orange County with developmental disabilities, such as mental
retardation, cerebral palsy, epilepsy, and autism, are also served by the
Regional Center of Orange County.
In addition, the State administers the In -Home Supportive Services Program
that helps pay for services so that clients can remain safely at home as an
alternative to expensive out -of -home care, such as nursing homes or board
and care facilities. Types of services include housecleaning, meal preparation,
and personal care services.
Given the existing level of service and funding, the City has set this need
category as a medium funding priority, where it will consider supporting
programs that complement existing services.
9. Transportation Services
The county transportation authority operates ACCESS, a shared -ride service
for people who are unable to use the regular, fixed -route bus service because
of functional limitations caused by a disability. This need category received a
low priority.
10. Crime Prevention
Crime against persons or property is of significant concern in the City of
Newport Beach. Even the perception of the risk of crime can lead to a decline
in the livability of residential neighborhoods, and suppress economic viability in
commercial areas. Consequently, crime prevention, awareness, and
intervention efforts are important steps toward building a strong community and
assisting in arresting slum and blight.
City of Newport Beach VII - 13 2010 -2014 Consolidated Plan
Rev. 03/19/10
4
The City does not have a significant
safe in their neighborhoods. Based
the City has assigned this catego
community needs.
I. Accessibility Needs
issue with crime. Residents in general feel
on the availability of other funding sources,
ry of need a low priority relative to other
Persons who are physically disabled, including blindness, and persons who suffer
from brain impairments due to diseases or accidents, often face accessibility issues.
The American Disabilities Act of 1991 provides comprehensive civil rights protection
to persons with disabilities in the areas of public accommodation, employment, state
and local government services, and telecommunications. The design,
implementation, and maintenance of all park facilities must comply with ADA;
persons of all abilities must have the opportunity to participate in recreation
activities.
Under the Americans with Disabilities Act (ADA), the City is charged to ensure that
individuals with disabilities are not excluded from services, programs, and activities
because existing buildings are inaccessible. ADA compliance is a concern of the
Consolidated Plan as many persons with disabilities qualify as low and moderate
income. The City is working to assure compliance with this important legislation and
has assigned this category of need a high priority.
Economic Development
Overall, the need to use Consolidated Plan funds for economic development in
Newport Beach is low. The city is an attractive place to do business. It is located in
the heart of Southern California's "Technology Coast" with immediate access to
interstate highways, railways, seaports, the John Wayne Airport, and a highly
educated and skilled labor force. Professional services are a strong factor in the
city's economy. The high salaries in this sector support the City's retail and
restaurant sectors and the travel demand generated by this sector also supports
local hotels. Tourism and retail are also important sectors. Together, tax revenues
from these two sectors account for almost a third of the City's general fund revenue.
Major contributors to this revenue are Fashion Island, automobile dealers and
restaurants. According to the 2009 Consolidated Annual Financial Report (CAFR),
the largest segment generating sales tax revenue is restaurants, accounting for
19.4% of total sales taxes. The next largest segment is automobile sales which
account for 19.1 percent of total sales taxes represented by nine (9) dealerships.
Recent economic development initiatives have been aimed at improving the City's
older commercial villages. Under the last Consolidated Plan, CDBG funds and a
Section 108 loan were used to make infrastructure improvements to the Balboa
Village area in order to spur private investment. Other potential redevelopment sites
include Mariner's Mile, Old Newport Boulevard, Cannery Village, Central Balboa
Peninsula, McFadden Square, the West Newport industrial area, the mixed
residential /industrial area above Hoag Hospital, and the Airport Business Area.
There are several other existing economic development programs available to
residents and local businesses funded from other agencies. Descriptions of these
programs are provided below.
City of Newport Beach VII - 14 2010 -2014 Consolidated Plan
Rev. 03/19/10
Orange County Small Business Development Center (SBDC):
The Orange County SBDC offers complimentary, personalized business assistance
through individual consultations and low -cost seminars. The SBDC is an economic
development program of Rancho Santiago Community College District and is
supported by the U.S. Small Business Administration (SBA) and the California State
University in Fullerton.
Small Business Administration (SBA) Programs:
• Basic 7(a) Loan Guaranty: This is the SBA's primary business loan program. It
helps qualified small businesses obtain financing when they might not be
eligible for business loans through normal lending channels. Funds can be used
for most business purposes including working capital, machinery and
equipment, furniture and fixtures, land and building, and debt refinancing.
These loans are processed through local commercial lenders.
• Express Loans: This program offers term loans and lines of credit up to
$150,000.
• Microloan Program: Local intermediary for U.S. Small Business
Administration's Microloan program is Valley Economic Development
Corporation, located in Van Nuys, serves Los Angeles and Orange County. The
Microloan program loans up to $35,000 for a term of six years to start-up and
growing small businesses.
• Certified Development Company (504) Loan Program: The CDC /504 loan
program is a long -term financing tool for economic development within a
community. The 504 Program provides growing businesses with long -term,
fixed -rate financing for major fixed assets, such as land and buildings.
Maximum loans are $1.3 million. Local intermediaries: La Habra Local
Development Company, Inc., Santa Ana.
Other Programs:
• ACCION: This nonprofit organization is dedicated to helping micro
entrepreneurs grow their businesses by providing small loans and business
training. As a community lender, they provide small loans ranging from $300-
$25,000. The average loan size is approximately $4,500. About 40% of
ACCION clients are women and over half are Hispanic or African - American.
• Bankers Small Business Community Development Corporation of Orange
County: Bankers CDC administers loan programs for financing under $50,000.
This loan pool is a consortia of small business lenders that pull together to
make these loans available for businesses. The CDC focuses on small
business owners that do not meet criteria for conventional bank loans or SBA
financing. Businesses over one year old that can demonstrate professionalism,
satisfactory credit, and positive cash flows, but may not have profit levels that
are available for conventional banking, meet the general qualifications. The
loan pool is made available by over 20 banks as an effort to "give back" to our
local communities. Women, minority and businesses in low to moderate - income
levels comprise 75% of Bankers CDC borrowers.
City of Newport Beach VII - 15 2010 -2014 Consolidated Plan
Rev. 03/19/10
11. Employment/ Job Training
The two (2) primary agencies responsible for employment and job training in
the area are at the county level. The Orange County Workforce Investment
Board (OCWIB) administers state and federal funds available through the
Workforce Investment Act (WIA) and coordinates a network of One -Stop Career
Centers that offer a wealth of training, information and assistance for
businesses and job seekers.
The Orange County Social Services Agency administers the local Welfare -to-
Work Program under the California Work Opportunities and Responsibility to
Kids Act (CaIWORKs). Welfare recipients must comply with work requirements
in order to receive assistance. The program offers a number of employment
assistance activities, such as work preparation and vocational training, job
search and readiness activities, study, on- the -job training, vocational training,
adult basic education, and other supportive services.
The City recognizes the medium level of need for employment and job training
services and will support programs that seek to complement the existing
services administered through the County.
City of Newport Beach VII - 16 2010 -2014 Consolidated Plan
Rev. 03119110
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City of Newport Beach VII - 17 2010 -2014 Consolidated Plan
Rev. 03/19/10
City of Newport Beach VII - 18 2010 -2014 Consolidated Plan
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r Vt
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5h..
VIII. Barriers to Affordable Housing
VIII. Barriers to Affordable Housing
A. What is a Barrier to Affordable Housing?
As defined by the Consolidated Plan regulations, a barrier to affordable housing is a
public policy, such as land use controls, property taxes, zoning ordinances, building
codes, fees and charges, growth limits, and other policies. Since cost reduction
opportunities in housing can also be found in areas other than public policy, the
Planning Department chose to look at all potential barriers. To distinguish a barrier
to affordable housing from an impediment to fair housing choice, is to think of a
barrier as not necessarily unlawful (i.e., the lack of affordable housing stock, in and
of itself, is a barrier to affordable housing).
B. Analysis of Barriers
The Planning Department is committed to helping reduce barriers to affordable
housing. Despite Newport Beach's historic strong economy and housing demands,
the private market is not responding to the needs of lower- income households to the
degree needed. The inventory of affordable housing will eventually deteriorate,
while the production rate of new affordable housing units cannot keep up with
demand. Therefore, the responsibility to develop affordable housing has been taken
on by the City.
As the lead agency for housing and community development in Newport Beach, the
Planning Department is making a significant effort to identify housing problems and
reshape its policies and programs for the coming years. The Planning Department
sponsored a community meeting, distributed needs surveys, and conducted
individual interviews as part of Consolidated Plan development (described in the
Consolidated Plan Development section). Participants identified several issues that
are barriers to affordable housing.
1. Comments from these sources reveal a variety of barriers to affordable housing
in Newport Beach. The two (2) primary barriers to accessing affordable housing
are housing affordability and approval process and fees.
Other barriers may include:
1. Building codes and standards.
2. Zoning.
3. High costs of land.
4. Land use controls.
5. Citizen opposition (the "Not In My Back Yard," or NIMBY syndrome).
6. Lack of knowledge of available programs and resources.
7. Resource fragmentation and scarcity.
8. Housing acquisition finance requirements.
9. Lack of financial resources by housing providers.
In addition, some families and individuals face barriers to fair housing choice. For
more information on impediments to fair housing choice, consult the Impediments to
Fair Housing section of this document.
City of Newport Beach VIII - 1 2010 -2014 Consolidated Plan
Rev. 03/19/10
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1. Primary Barrier: Housing Affordability
Since affordable housing is becoming more difficult to find, many low- income
households must pay more than they should for a home, or live in less -than-
desired conditions. As reported in the housing needs section, the U.S. Census'
American Community Survey (ACS) estimates that approximately 6,191
(42.5 %) renter households and approximately 7,781 (51.1 %) of the owner
households in the City are experiencing a cost burden.
The number of renters who pay more than 30% of their income is proportionally
lower compared to that of the owner households. The ACS estimates that over
34 percent of the renter households are paying more than 35% of their income
towards housing.
What is a Housing Cost Burden?
When a household pays more than 30% of its income on housing and utilities,
HUD considers the household to be experiencing a cost burden. When a
household pays more than 50% of its income on housing, the household
experiences a severe cost burden.
2. Primary Barrier: Approval Process and Fees
Getting government approvals for affordable housing projects requires an
increasing amount of time and money. The length of time involved in the permit
approval process itself can be a barrier to affordable housing. .
All residential development in the City requires review to determine compliance
with the City's development regulations and guidelines. The development
review process may require a discretionary approval as part of the process and
may include actions such as zone change, modification permit or use permits.
The City's review procedures are considered efficient with typical zone change
requests reaching completion in as few as 90 days if no environmental impact
report is required. An Environmental Impact Report may require up to one year
before a decision is rendered, which is within the time frame established by
state law. The City's policy is that building permit plan checks take a maximum
of 4 weeks for first review. Use Permits and subdivision maps typically can be
approved in six to eight weeks provided an environmental impact report is not
required. Planning Commission decisions on maps, and use permits are final
unless appealed within 14 days of the date of decision to the City Council, or
unless a member of the City Council within 14 days of the date c� decision
requests to review the Planning Commission decision. Zone Changes require
City Council action.
It should be noted that the City does not impose a design review. The lack of
this procedure further lends to an expeditious approval process. Reasonable
Accommodation procedures specifically for persons with a disability seeking
equal access to housing are outlined in Chapter 20.98 of the City's Zoning
Code. Applications for a reasonable accommodation are made available at the
public counter and no fees are required for a reasonable accommodation
City of Newport Beach
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request. A request for a reasonable accommodation may be made by any
person with a disability, their representative or a developer or provider of
housing for individuals with a disability. A Hearing Officer is designated to
approve, conditionally approve, or deny applications for a reasonable
accommodation.
The role fees play in constraining production of housing is difficult to measure,
although fees can affect housing prices in certain markets. The theory behind
fees is that new development should bear its own costs and these costs should
be spread equitably among new development. State law requires fees bear a
reasonable relationship to actual costs incurred by a city. However, fees may
add significantly to the cost of a housing unit. To offset the cost of constructing
housing units, the Newport Beach City Council adopted a program that allows
for the waiver of all fees when affordable housing units are proposed. In
addition the Municipal Code allows for the waiver of fair share trip fees. The
City of Newport Beach fees for discretionary applications are provided in Table
8 -1.'
Table 8 -1
Additional City Fees
Souree: ZUUd Housing Element
Applies to all development in the San Joaquin Hills Transportation ConidorAgencies Area of
Benefit
3. Other Barriers
a. Zoning: Local zoning is the primary system used by the City to maintain
control over the pattern of land development within its borders. Zoning
regulations allocate parcels of land to different classifications with certain
uses being permitted, while others are prescribed. Zoning regulations often
restrict density and limit housing types in locations that might otherwise be
suitable for affordable housing. Such restrictions therefore exclude lower
income households from many neighborhoods.
Zoning regulations prescribing minimum lot sizes, minimum setbacks, and
' City of Newport Beach Housing Element 2008
City of Newport Beach VIII - 3 2010 -2014 Consolidated Plan
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r °.a
Zone A:
Zone A:!
Zone 8:
Zone i
Sf» le-Fainfly
SingleFamif
Multi- Faniil
Transportation
—Multi-Wn;ily
Corridor Fee*
$4,185
$2,438
$3,242
$1,892
Elderly
Fair Share TrpFee
Single - Family
Single - Family
Apartment
$708
Detached
Attached
$1,150
$1,946
$1,522
Mobile Home
$1,062
In -Lieu Park Fee
$26,125 per dwelling unit
Newport-Mesa
Unified School
$1.84 per square foot
District Fee
Souree: ZUUd Housing Element
Applies to all development in the San Joaquin Hills Transportation ConidorAgencies Area of
Benefit
3. Other Barriers
a. Zoning: Local zoning is the primary system used by the City to maintain
control over the pattern of land development within its borders. Zoning
regulations allocate parcels of land to different classifications with certain
uses being permitted, while others are prescribed. Zoning regulations often
restrict density and limit housing types in locations that might otherwise be
suitable for affordable housing. Such restrictions therefore exclude lower
income households from many neighborhoods.
Zoning regulations prescribing minimum lot sizes, minimum setbacks, and
' City of Newport Beach Housing Element 2008
City of Newport Beach VIII - 3 2010 -2014 Consolidated Plan
Rev. 03/19/10
r °.a
other requirements may necessitate the need for larger lots, which drive up
the cost of housing, making it less affordable. In addition, zoning is
occasionally used to "zone out" mobile /manufactured homes, which are an
important source of affordable housing for many low- and moderate - income
citizens in Newport Beach.
Zoning regulations may also prohibit the development of ancillary dwelling
units, even if such units do not impose a significant cost on other
community residents. Ancillary dwelling units — sometimes called "in -law
apartments" or "grandparent apartments" —are an important tool to
increase the supply of affordable housing for moderate - income
households, particularly single people who require minimal space.
Zoning practices often have the intended or unintended effect of increasing
housing costs, and effectively excluding prospective moderate - income
households from locating affordable housing for purchase or rent.
Separation of residential from non - residential uses exacerbates traffic
problems since most employees must then drive to work. Higher- income
residents may bid up the price or rent of housing units that are near places
of employment thereby forcing lower- income residents to live farther from
their places of employment or other amenities.
The City Zoning Code is complex but typical for an already highly
developed community. The Code uses a "district" concept appropriate to
the diverse urban patterns and topography found in the City. The Zoning
Code contains six basic zoning districts (excluding Planned Community
districts and other specialized districts) to regulate residential uses within
the City. These zoning districts are R -A (Residential Agricultural), R -1
(Single Family Residential), R -1.5 (Restricted Two - Family Residential), R -2
(Two - Family Residential), Medium Density Residential (RMD) and MFR
(Multi - Family Residential). Table H35 summarizes Zoning Code provisions
for residential density, height, set - backs, and parking. Parking
requirements are also set forth by the California Coastal Commission.
The Newport Beach Zoning Code controls density for each zoning district
through development regulations pertaining to land required per dwelling
unit. In the older neighborhoods of the City, density standards have not
changed since 1936. Densities in the amount of approximately thirty
dwelling units per acre are still allowed in these areas. In the newer
neighborhoods, developed since the 1960s, single - family densities are
generally less than 10 dwelling units per acre. The City's Codes contain
many procedures to grant relief from certain development standards which
can be of assistance in allowing higher densities. However, even if the City
is willing to approve reductions in some of the zoning regulations, (such as
parking), the California Coastal Commission has similar development
requirements which would still need to be complied with for properties in
the Coastal Zone. Maximum density in the Multifamily Residential Zone
(MFR) is a function of the size of the lot. For example, a minimum lot area
per dwelling unit of 1,200 square feet applies, which translates to a
maximum density of 36 units per net acre. Within the Medium Density
City of Newport Beach VIII - 4 2010 -2014 Consolidated Plan
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S.�4
Residential Zone (RMD), up to approximately 22 dwelling units could be
developed. Table H36 displays permitted residential uses by zone .2
b. Citizen Opposition: The "Not In My Back Yard" (NIMBY) syndrome is also a
barrier to affordable housing. Participants in interviews, town hall meetings,
and working groups often expressed a reluctance to have any additional
affordable housing in their neighborhoods due to their perception of
housing design, absentee landlords, and crime associated with such
housing. There is the misperception that there will be a decrease in
property value. Public hearings concerning proposed affordable housing
projects bring objections galore, mostly from neighbors who cite adverse
effects on traffic, infrastructure, public services, schools, the environment,
properly values, and crime rates. Community groups almost all cited the
need to keep out additional rental housing, particularly multifamily housing.
Frequently unstated is the desire to maintain a neighborhood's
socioeconomic homogeneity and exclusivity.
c. Lack of Knowledge of Available Programs and Resources: A lack of
knowledge among organizations and lower income clients arose as a
common theme in meetings and interviews.
d. Resource Fragmentation and Scarcity: To finance affordable housing,
sponsors must now bundle together many Federal, State, City, and private
programs providing capital funds, operating subsidies, and investment tax
incentives. Funding fragmentation is administratively onerous, with
sometimes conflicting program constraints.
Even with the availability of a variety of programs, affordable housing
resources remain scarce. Like most jurisdictions, the City still has
insufficient resources to meet the need for affordable rental and
homeownership housing. The need for increased revenue for housing on
the Federal, State, and local levels competes with other legitimate public
priorities, such as education, transportation, health, and welfare.
e. Housing Acquisition Finance Requirements: Mortgage down payment
requirements constitute perhaps the most significant barrier to the
purchase of otherwise affordable housing by moderate - income households.
Moderate - income households may have little difficulty in making monthly
mortgage payments, particularly as household incomes increase with
increasing self - sufficiency and real wage growth. However, these
households may have difficulty accumulating the total amount required for
the up -front down payment on a home purchase.
Financing costs largely are not subject to local influence. Control of interest
rates is determined by national policies and economic conditions. Interest
rates directly influence purchasing power of home - buyers and cost of home
construction through construction loans. Currently, interest rates are at a
level that enables many of the upper and middle economic classes to
2 City of Newport Beach Housing Element 2008
City of Newport Beach VIII - 5 2010 -2014 Consolidated Plan
Rev. 03/19/10
afford a home purchase. However, the banking industry has adopted more
conservative lending criteria for construction loans, especially for multiple -
family housing. These factors have influenced housing supply throughout
Southern California.
f. Rental security deposits may also constitute a significant barrier to the
acquisition of otherwise affordable rental housing by low- and moderate -
income households, although security deposits are generally small
compared with mortgage down payment requirements.
g. Similarly, environmental review procedures result in barriers to affordable
housing. Environmental regulations provide positive public benefits to all
citizens and communities; however, different environmental reviews, rather
than a uniform review process shared by all departments, prolong the
affordable housing development process, increase costs, create confusion,
reduce affordability, and impose undue administrative burdens.
Additionally, many low- income households and most special needs
populations usually need access to a variety of supportive services. A
common theme reported in interviews was the lack of access to
transportation. In many areas of the City, affordable housing is not located
near public transportation routes, which are scarce. Lack of transportation
raises high barriers to self - sufficiency in such cases.
C. Strategy and Objectives
The primary barrier to affordable housing in Newport Beach —as cited through the
citizen participation and consultation process —is the affordability of housing,
specifically rental housing. Many low- and moderate - income persons and
households, especially the very low- income households, the homeless, the
physically and mentally disabled, the frail elderly, and other persons with special
needs, have problems finding and obtaining affordable housing.
Therefore, the City's primary strategies for helping reduce barriers to affordable
housing are the same as its strategies to meet affordable housing needs:
Expand and preserve affordable rental housing opportunities, particularly for
low- income persons.
• The final strategy is that the City, with the help of the Planning Department, will
work with its Consolidated Plan partners throughout Newport Beach to further
examine ways to ameliorate the conditions that can prevent residents from
obtaining quality, affordable housing.
The City of Newport Beach 2010 -2014 Consolidated Plan contains several
objectives that address some of the above barriers to affordable housing such as
lack of access to affordable housing. Consult the Strategic Plan section to find the
list of strategies and objectives.
City of Newport Beach VIII - 6 2010 -2014 Consolidated Plan
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P +
9. \
ƒy\
IX. Im ped |ment to FairHOUsinq
�
IX. Impediments to Fair Housing
A. Introduction
Consolidated Plan requirements include completing an Analysis of Impediments to
Fair Housing Choice. As part of a mandate to affirmatively further fair housing,
Newport Beach must take appropriate actions to overcome the effects of the
impediments to fair housing choice it identifies in its analysis.
As the lead agency for the City of Newport Beach 2010 -2014 Consolidated Plan,
the Planning Department is committed to working with the public, private, and
nonprofit sectors in Newport Beach to ensure fair housing choice for all residents.
This commitment includes incorporating fair housing needs and strategies into the
Consolidated Plan.
This section on Fair Housing includes the following:
Overview of fair housing, with background on the Fair Housing Act.
■ Impediments to Fair Housing Choice in Newport Beach, as identified in the
City's Analysis of Impediments to Fair Housing Choice (AI).
■ A strategy for the City of Newport Beach to affirmatively further fair housing by
addressing current impediments.
B. Overview of Fair Housing
What is Fair Housing Choice?
The ability of persons, regardless of race, color, religion, sex, handicap, familial
status, national origin, of similar income levels to have available to them the
same housing choices.
Consolidated Plan requirements include completing an Analysis of
Impediments to Fair Housing Choice. As part of a mandate to affirmatively
further fair housing, the City of Newport Beach must take appropriate actions to
overcome the effects of the impediments to fair housing choice it identifies in its
analysis.
2. What is an Analysis of Impediments to Fair Housing?
HUD requires each CDBG recipient to complete an Analysis of Impediments to
Fair Housing Choice, also known as an Al. The analysis includes examining
barriers to fair housing choice. Many communities develop this analysis and
planned actions as part of a broader fair housing strategy or fair housing plan.
3. What is an Impediment to Fair Housing Choice?
Housing choice is impeded when actions, omissions, or decisions are taken
that restrict a person's choice of housing because of his /her characteristics as
listed above. It is also impeded when certain residential dwellings are not made
available to a person because of his /her characteristics as listed above.
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C. Fair Housing in Context
Title VIII of the Civil Rights Act of 1968 (and a subsequent Amendment in 1988)
made it unlawful to discriminate in any aspect related to the sale, rental, or financing
of dwellings (or in the provision of brokerage services or facilities) in connection with
the sale or rental of a dwelling because of
• Race • Sex ■ Persons with handicaps
• Color • National • Families with children
• Religion origin
1. Application of the Fair Housing Act
Application of the Fair Housing Act is not limited to situations involving Federal
funds. It provides for fair housing throughout the United States in the private
and public sectors.
When Congress first passed the Housing and Community Development Act in
1974, HUD instructed recipients of the Community Development Block Grant
(CDBG) funds to "affirmatively further fair housing." However, it did not provide
specific guidance for implementing programs to affirmatively further fair
housing.
Some CDBG recipients fund nonprofit groups to provide direct assistance to
victims of housing discrimination. Others fund educational programs for
consumers and industry about their rights and responsibilities under Federal,
State, or local fair housing laws. Other CDBG recipients take actions such as
holding special events during the National Fair Housing Month in April each
year. Other CDBG recipients do nothing specific to affirmatively further fair
housing.
2. Analysis of Impediments to Fair Housing Choice
To help remedy this situation, when HUD published the Consolidated Plan
Final Rule in 1995, it required each CDBG recipient to complete an Analysis of
Impediments to Fair Housing. The AI is part of the mandate to affirmatively
further fair housing. This mandate also includes planning and taking annual
actions to overcome the effects of any identified impediments. A jurisdiction
must also maintain records reflecting the At and the actions it takes to address
fair housing impediments.
The City is in the process of updating its Analysis of Impediments to Fair
Housing Choice. The City, along with a number of Cities in Orange County
have created a consortia to develop a Regional Fair Housing Analysis of
Impediments that addresses county wide issues as well as more localized
issues for each participating City. The consortium has contracted with the Fair
Housing of Orange to complete the study. The study will evaluate the nature
and extent of housing segregation and discrimination in the County as well as
the City. It will serve as a framework for the City's fair housing planning as part
of its Consolidated Plan implementation.
City of Newport Beach IX - 2 2010 -2014 Consolidated Plan
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D. Discrimination
Discrimination in the sale or rental of housing has diminished significantly since the
1960s. However, there is evidence that housing discrimination persists in Newport
Beach despite being illegal. Discrimination affecting home sales appears to occur
most commonly when potential buyers are hoping for approval of their mortgage
application by the lender. Discrimination in apartment rentals is no longer simply a
matter of White landlords refusing to rent to minority tenants. Members of many
ethnic groups, often immigrants, own or manage apartment complexes, and their
own ethnic biases clearly affect their treatment of prospective tenants.
Populations that are particularly impacted by discrimination and face higher levels of
fair housing violations are large families with children, female- headed families,
formerly homeless persons, disabled persons and persons with HIV /AIDS. Many of
these groups face housing restrictions imposed by property owners /managers
working under misperceptions or stigmas about these population groups.
Many families with children often face housing discrimination by landlords who fear
that children will cause property damage or have cultural issues with children of
opposite sex sharing a bedroom. Female- headed families may be discriminated
against in the rental housing market because some landlords are concerned about
the ability of these households to make regular rent payments.
Formerly homeless persons may encounter fair housing issues when landlords
refuse to rent to them based on the perception that homeless persons are more
economically, and sometimes mentally, unstable. Persons with disabilities may face
discrimination in the housing market because of the need for wheelchairs, home
modifications to improve accessibility, or be refused housing based on the stigma of
mental disability. Many persons living with HIV /AIDS face illegal eviction from their
homes when their illness is exposed.
Advertising can also be an issue that impacts fair housing choice. When looking for a
home to purchase or rent, some of the main sources of information are the classified
advertisements in local newspapers, word of mouth, signs, apartment guides, the
Internet, and apartment brokers. The language in these types of adverfisements may
become an issue if it contains discriminatory references such as the use of words
describing conditions like "adults preferred," .. perfect for empty nesters," or "ideal for
married couples without kids." While this type of language may be intended by the author
to describe property conditions, these statements can also discourage people by directing
them away from particular housing units. Further, if advertisements are limited to one
language i, can be targeted to specific ethnic groups, excluding others, such as when "for
rent' and 'for sale' signs and advertisements for housing are in Spanish or languages
other than English. This can exclude English speaking -only residents and also make
certain groups feel unwelcome.
Discrimination can also play a role when deciding where to live. Realtors can act
unintentionally by steering potential buyers or renters to particular neighborhoods by
encouraging the client to look into certain areas; others may choose not to show
clients all of the choices available. Further, agents may also discriminate by their
choices in whom they agree to represent, whom they turn away, and the comments
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2010 -2014 Consolidated Plan
P,
they make about their clients. Instances of steering by realtors to certain
neighborhoods occur in many communities. The homeownership market lends itself
to potential increases in discrimination by the very nature of stakeholders involved.
While the City understands that limited housing is not a fair housing issue, it also
understands that this condition can exacerbate fair housing problems as housing
becomes increasingly scarce and competition for housing increases. When the housing
market is tight, with high demand, low vacancies, and rising costs, the potential for
discriminatory housing practices also increases.
E. Summary of Issues and Key Findings
The City of Newport Beach joined with 13 other Entitlement Cities as well as the
Cities participating in the Urban County CDBG program and all unincorporated
areas of the County to complete a Regional Analysis of Impediments to Fair
Housing Choice in 2005. HUD specifies that the Analysis of Impediments to Fair
Housing Choice (AI) must be updated every five (5) years to address changing
public and private sector conditions that can be viewed as impediments to fair
housing.
As of the writing of this document, the City has contracted with the Fair Housing
Council of Orange County (FHCOC) to conduct a new Al to more accurately
understand impediments to fair housing choice, and to develop effective strategies
to address them. This section of the Consolidated Plan will discuss the issues and
finding that were made in the 2005 AI.
Subsequent to the receipt of the 2010 Al, the Planning Department will incorporate
any new or significantly modified impediments or recommendations to address
impediments that are provided in the 2010 Al. The City will use the amendment
process described in the Citizen Participation Plan to update this chapter of the
Consolidated Plan should it be necessary.
The 2005 Al provided information for use in Orange County's Regional Fair Housing
Analysis of Impediments (AI). It includes the data that HUD requires as part of the
Al. More specifically, the Report includes the following information.
• Jurisdictional Background Data: population and housing characteristics,
minority and legal immigrant population characteristics, and employment and
transportation profiles.
• Local Housing Authorities' Policies: overview of local housing authorities' plans,
policies and procedures pertaining to and furthering fair housing.
■ Overview of Lender Loan Underwriting Criteria: loan- underwriting criteria are
explained for Fannie Mae, Freddie Mac, FHA and VA.
■ Community Reinvestment Act (CRA) and Home Mortgage Disclosure Act
(HMDA): summary explanation of the basic requirements of these two statutes.
Beach IX - 4 2010 -2014 Consolidated Plan
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Mortgage Lending Discrimination: summary statements from major studies
completed on the subject of potential and actual mortgage lending
discrimination.
■ HMDA Data Analysis: analysis of the disposition of loans by census tract for
entitlement cities and Urban County jurisdictions.
The analysis entitled Orange County Regional Fair Housing Impediments Analysis
was completed in 2005 and provided for review by the public. The analysis
revealed the following findings and provided the recommendations to address these
findings:
This region has a well - established and effective private fair housing council
that has provided dynamic and comprehensive educational and enforcement
programs to the local jurisdictions it serves. This example of public - private
partnership continues to be a model for other areas and is considered one of
the best in the nation.
Recommendation: Orange County jurisdictions support a continuation of fair
housing services at the current level of effectiveness. CDBG funds allocated to
fair housing services are equal to or greater than the service demand rate
requested by FHCOC. This will insure that all Orange County residents are
provided with the same professional level of services.
2. This region studied and conducted testing, through FHCOC and a grant
provided by HUD's Fair Housing Initiatives Program. The pre - application
testing did not account for the high denial rate of loans to blacks and
Hispanics. The HMDA data continues to indicate a disproportionate number of
loan denials to upper- income minorities as compared to white applicants.
Recommendation: Promote Fair Housing Education within the banking and
lending industry. Local jurisdictions contract with a consultant to prepare and
conduct training to encourage voluntary compliance with fair housing laws. The
initial cost of curriculum preparation would be paid for by participants in the
training over time and would allow for continuation of the educational
programs.
Continue to monitor HMDA data to determine if the educational programs have
a positive effect on loan denial rates for minorities. This approach would not
prevent enforcement in cases involving identifiable discriminatory practices by
a lending institution.
3. Orange County's high cost of housing negatively impacts minority, immigrant
and families with children more often than white households with or without
children. This results in high concentrations of minorities in low- income
census tracts living in sub - standard and /or overcrowded housing conditions.
Recommendation: Local jurisdictions enter into discussions with banking
institutions located in Orange County to encourage the use of CRA funds in
ways that will benefit minority and low - income neighborhoods. This can be
City of Newport Beach
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r,'R
accomplished by encouraging banks to support programs provided by FHCOC
to increase financial literacy and the use of main - stream banking services as
well as iDA's to promote saving for home ownership, higher education or
micro - businesses.
This cooperative effort between public, private for - profit and non - profit entities
would be a model program that could easily be replicated in other areas of the
nation to improve housing conditions, eaming potential and unemployment of
local residents.
4. Local jurisdictions do not have formal fair housing educational systems in
place for staff who impact fair housing issues, such as, planning /zoning staff,
housing authority staff, code enforcement and CDBG monitoring staff.
Recommendation: All employees in positions that impact fair housing issues
attend formal fair housing training. The training can be conducted at the local
jurisdiction level by contracting with a fair housing council or other training
entity.
A more cost effective approach would be to provide funds for individuals to
attend regularly scheduled fair housing training provided by FHCOC and those
provided as a partnership between FHCOC and the Apartment Association of
Orange County. This option would allow all staff members to attend fair
housing training with 6 months of hire without the cost of conducting a private
session.
5. Insurance Companies may be targeting certain census tracts or zip codes for
higher rates or different terms and conditions in violation of fair housing laws.
This was a finding in the Regional Al conducted in 2000 and it remains beyond
the scope of this analysis.
Recommendation: Local jurisdictions conduct or fund an audit of insurance
practices in Orange County to determine if violations of fair housing laws are
being complied with. If there are negative findings an educational program to
encourage voluntary compliance would be the first step in correcting the
problem. Enforcement action would remain possible in cases with direct
evidence of illegal discrimination.
6. Recent immigrant populations do not have information necessary to
understand fair housing laws. This results in immigrants experiencing illegal
discrimination a:a. well as discrimination by recent immigrants in positions
impacting housing.
Recommendation: Continue outreach to immigrant populations as FHCOC
has done over the past 3 years. This service is both time and resource
intensive. It requires information in many languages as well as professional
staff members who are fluent in more than one language.
City of Newport Beach IX - 6 2010 -2014 Consolidated Plan
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Much of the illegal discrimination against immigrant populations is in the form
of encouraging certain immigrants (and discouraging others) to apply and live
in housing communities with sub - standard conditions.
FHCOC has also found that some immigrant housing providers are not familiar
with fair housing laws and as a result engage in illegal discrimination by
discouraging persons not of their race or national origin. These cases must be
handled in the same manner as any other discrimination case. FHCOC does
not selectively enforce fair housing laws against only white or non - minority
housing providers. FHCOC filed and recovered damages from a housing
provider based upon discrimination against white applicants in favor of minority
applicants. Education and enforcement are both necessary to eliminate fair
housing violations.
7. Local jurisdictions have independent and distinct policies and programs that
affect housing options. This can result in increased or decreased minority and
low- income populations in any given area.
Recommendation: Orange County entitlement jurisdictions coordinate their
efforts to insure that all residents have decent, safe and affordable housing
free from illegal discrimination. It is critical to work as a region to overcome the
problems created by the very high cost of housing. Monitor local policies to
insure there are no fair housing violations or neutral policies that have a
discriminatory effect.
F. Fair Housing in Newport Beach
The City of Newport Beach has worked in conjunction with the Fair Housing of
Orange to affirmatively further fair housing opportunities in this community. The
Fair Housing of Orange "actively supports and promotes freedom of residence
through education, advocacy and litigation to the end that all persons have the
opportunity to secure the housing they desire and can afford, without regard to their
race, color, religion, gender, sexual orientation, national origin, familial status,
marital status, disability, ancestry, age, source of income or other characteristics
protected by law."
The Fair Housing of Orange provides a wide array of programs and services to its
clients free of charge and which are available in a number of different languages to
residents, housing professionals and community service providers under contracts
with the City of Newport Beach, and many other communities throughout the
County.
G. Fair Housing Strategy
The Planning Department, as the lead agency for the Consolidated Plan, is
committed to working with its public, private, and nonprofit partners to ensure fair
housing choice for all residents. This commitment includes incorporating fair
housing needs and strategies into the Consolidated Plan. In conjunction with the
Orange County Regional Fair Housing Impediments Analysis (2005 Edition) and the
subsequent 2010 Analysis of Impediments, the Planning Department will develop
City of Newport Beach IX - 7 2010 -2014 Consolidated Plan
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X. Lead -Based Paint Hazards
X. Lead -Based Paint Hazards
A. Introduction
Lead -based paint poisoning among children is increasing nationwide. Research
indicates that even a low level of lead in a child's blood can have harmful effects on
physical and developmental health. The Center for Disease Control has designated
lead exposure as the primary environmental health hazard facing American children.
The most common source of exposure is deteriorating lead -based paint and lead -
contaminated dust found in the home.
Fortunately, lead poisoning is preventable. To adequately protect children, the
Federal government streamlined, modernized, and consolidated all lead -based paint
requirements in federally assisted housing. New HUD regulations (24 CFR Part 35)
took affect implementing these sweeping changes in 2000, and the City is ensuring
that its programs comply with these new regulations.
B. Lead Hazards
Lead can cause severe damage in young children. It attacks the central nervous
system, the neurological system, and can cause brain damage, IQ reduction,
learning disabilities, decreased attention span, hyperactivity, growth inhibition,
comas, seizures, and in some cases, death. Fetuses may also experience
significant adverse effects through prenatal exposure.
In 1991, the Center for Disease Control ( "Center ") issued guidelines for identifying
children with lead poisoning. It recommended that jurisdictions screen all young
children for lead in their blood. Children identified with blood lead poisoning would
receive intervention to remove the source of the poisoning and reduce the blood
lead level.
The problem of lead poisoning has increased so dramatically that the Center has
reduced the standard regarding the blood level that demarcates lead poisoning by
more than half. By reducing the standard from 25 micrograms to 10 micrograms of
lead in a deciliter of blood (pg /d L), it expanded the number of people that are
considered poisoned and in need of help. A level of 10 pg /dL or above is now
considered an "elevated blood lead level." If a child's blood lead level is 20 pg /dL or
remains at 15 Ng /dL after two tests, the Center requires case management by local
health professionals. Even a low level of lead in a child's blood can have harmful
effects on physical and developmental health.
C. Sources of Lead Hazards
The most common source of child lead poisoning is exposure to lead -based paint
(and lead- contaminated dust) in the child's home. Housing built before 1978 may
contain some lead -based paint since the use of lead -based paint became illegal that
year. Since the amount of lead pigment in the paint tends to increase with a home's
age, older housing is more likely to have lead -based paint hazards.
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Lead exposure occurs when children ingest chips of lead -based paint, paint -
contaminated dust, or paint- contaminated soil. It also occurs if children inhale dust
particles from lead -based paint (usually occurring due to deterioration, abrasion,
home renovation, or maintenance). Children are also exposed to lead through a
variety of other sources besides lead -based paint, such as gasoline, air, food, water,
soil, dust, and parental hobbies such as pottery and stained glass making.
Occupational lead exposure accounts for approximately 90 percent of adult lead
poisoning cases. Occupations in which a worker is potentially exposed include
smelting and refining industries, battery manufacturing plants, gasoline stations,
construction and residential painting.
D. What is a Lead -based Paint Hazard?
Lead -based paint hazards consist of any condition that causes exposure to lead
from the following sources that would result in adverse human health effects:
Lead -based paint dust.
Lead -based paint contaminated soil.
Lead- contaminated paint that is deteriorated or present in accessible surfaces,
friction surfaces, or impact surfaces.
E. Effects of Lead Hazard
Lead poisoning is one of the most common and preventable health hazards to
American children today. Research indicates that even a low level of lead in a
child's blood can have harmful effects on their physical and developmental health.
Lead poisoning is the most serious environmental threat to children's health. If
harmful levels of lead are not detected early, children could suffer from:
• Decreased growth.
• Learning problems.
• Impaired hearing.
• Behavior problems (such as hyperactivity).
• Nerve and /or brain damage.
Children are more susceptible to the effects of lead, because their growing bodies
absorb more lead, and young children often put their hands and other objects in
their mouths. In addition, children's brains and nervous systems are more sensitive
to the damaging effects of lead.
Most children do not have any symptoms, even if a blood test shows that they have
an elevated blood lead level. If a child does have symptoms, the symptoms may be
mistaken for the flu or other illnesses. If symptoms occur, they might be
City of Newport Beach
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v }r
• Irritability
• Fatigue
• Constipation
Who is At Risk?
• Frequent Vomiting
• Headache
Sleep disorder
• Poor appetite
• Stomachache and cramps
Residents of any housing built before 1978 are considered to be at risk of containing
some amount of lead -based paint. Older housing is more likely to have lead -based
paint and the amount of lead pigment in the paint tends to increase with the age of
the housing. A small amount of Newport Beach's housing stock (24.4 %) was built
after 1979, eliminating the residents of these homes from risk of lead -based paint
hazards. An additional 26.4 % of the City's housing stock was built between 1970
and 1979, which has a somewhat low risk of lead -based paint hazards.
Since low- income people often live in older housing, they are at higher risk for
exposure to lead -based paint. It is estimated that a small fraction of the units
constructed before 1978 are occupied by low- to moderate - income households and
potentially have lead -based paint. However, empirical evidence gathered through
the testing of pre -1978 housing done in conjunction with the City's various housing
rehabilitation programs suggests that a smaller percentage of the City's housing
stock has paint containing lead. Young children who live in housing built before
1978 could ingest lead -based paint and are thus at higher risk. The following
children in Newport Beach could be at higher risk:
Children under 5 years old: about 4.0 % of the population of Newport Beach, or
2,832 children.'
Approximately 68 families (or 2.9 % of the total number of families below the
poverty level) have related children under six years old are living below
poverty.Z
F. Number of Children with Elevated Blood Levels of Lead
The Center for Disease Control mandates lead screening for all children who
participate in federally funded health programs. Screening typically occurs when a
child is between 12 and 72 months old. An elevated blood level (EBL) is recorded
when the blood level is 10 pg /dL or higher.
In accordance with the Center for Disease Control and Prevention, a "case' is
defined as a child having a blood lead level e#al to or greater than 20 pg /dL once,
or blood lead levels between 15 -19 pg /dL for at least two tests. Once a case is
reported, the Center is involved in the case, as described below the heading,
Childhood Lead Poisoning Prevention Program (CLPP).
The Center for Disease Control records the number of reported annual screenings,
the number of children with elevated blood levels, and the number of reported cases
' Source: U.S. Census Bureau, 2000 Census data.
2 Source: U.S. Census Bureau. 2000 Census data.
City of Newport Beach
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2010 -2014 Consolidated Plan
for the cities within the County. The chart below shows the number of screenings,
EBLs, and cases in the City of Newport Beach.
Table 10 -1
Number of Elevated Blood Lead Levels and Cases
Description
2005
2008
2007
2008
2009
Total
# Children less than 16 y.o. w/
BLL greater than 15 mcg /d L*
0
1
0
0
0
1
(includes children who are
cases)
# Children less than 6 y.o.
meeting case definition **
0
0
0
0
0
0
(needing site inspection)
BLL = blood lead level
CDC = Centers for Disease Control and Prevention
mcg /dL = micrograms per deciliter
*The CDC has determined the "level of concern" or "elevated" BLL to be 10 mcg /dL
or greater.
* *A "case" is defined as a child who has had one BLL of 20 mcg /dL or greater or two
BLLs between 15 mcg /dL — 19 mcg /dL drawn at least 30 days apart.
Data was obtained from the Childhood Lead Poisoning Prevention Program
Response And Surveillance System for Childhood Lead Exposure (RASSCLE)
Database.
G. Strategies and Objectives
The City's strategy for lead -based paint falls under:
Housing Strategy:
Preservation and Rehabilitation of Existing Stock of Affordable Housing
Housing Strategy:
Reduce the number of housing units with lead paint hazards through education,
inspection and rehabilitation
The following describes the programs and activities to support this strategy and
more specifically to address lead -based paint in federally assisted housing.
The City undertakes a range of activities to address the problem of lead -based paint
in the housing, including outreach, assessment, and abatement. As required by
HUD regulation 24 CFR Part 35, the City has a Lead -Based Paint Implementation
Plan that includes a Needs Assessment Matrix that estimates lead -based paint
needs by activity.
The City conducts housing inspections to determine if various types of housing are
safe, sanitary, and fit for habitation.
City of Newport Beach X-4 2010 -2014 Consolidated Plan
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H. City Compliance and Activities
The City has taken aggressive action to ensure compliance with HUD's
Consolidated Lead -Based Paint Regulations. The matrix in Table 10 -2 displays the
process and procedures that the City uses to address lead -based paint in CDBG
and HOME - funded Rehabilitation Programs. This matrix is broken into three
categories— rehabilitation under $5,000, rehabilitation $5,000 to $25,000, and
rehabilitation over $25,000 —and describes the approach to lead hazard evaluation
and reduction, application to the program, scope of work, notification, lead hazard
evaluation, relocation requirements, lead hazard reduction, clearance, and options.
The City will proactively disseminate information on lead hazards and the new
regulations to its Advanced Planning /Housing staff; Community -Based
Organizations; non - profit organizations; and other participating public agencies that
receive City administered federal funds.
To ensure that its staff is knowledgeable about lead regulations, the City has sent
key staff to HUD - sponsored training sessions. The City compiled an informational
source document based on HUD - sponsored training materials and conducted
internal training sessions for the other Housing staff members. The training sessions
were designed to help other staff members provide meaningful oversight of lead -
hazard consultants and contractors to ensure safe work practices are followed, and
to ensure that compliance requirements are implemented in conjunction with
rehabilitation and renovation program activities.
City of Newport Beach X-5 2010 -2014 Consolidated Plan
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City of Newport Beach X-6 2010 -2014 Consolidated Plan
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�' Iti
I. Activities of Other County Agencies
Other County agencies administer various programs and engage in various
activities to address lead hazards or lead -based paint issues. These programs and
activities are listed below.
Orange County Health Care Agency
The Orange County Health Care Agency through the Public Health Services —
Family Health Division implements the Childhood Lead Poisoning Prevention
Program ( CLPPP). The program is a court ordered program which implements a
multifaceted approach to preventing childhood lead poisoning which includes
screening, surveillance, risk reduction, primary prevention activities, interagency
coordination, and services for children affected by lead. The mission of Orange
County CLPPP is to reduce children's blood lead levels below 10 pg /dl through
primary prevention activities.
The Family Health Division of the Orange County Health Agency administers a
Childhood Lead Poisoning Prevention ( CLPPP) program with the following mission:
"To prevent lead poisoning in children by pro- active action to educate the public
regarding the hazards of lead poisoning, and to provide a comprehensive response
to support lead burdened children, their families and the community." The Division
has four units to carry out the mission of the CLPP: the Case Management,
Environmental Health, Epidemiology, and Health Education Units. The Case
Management Unit has Public Health Nurses who assist primary care providers with
identification, follow -up and management of lead- poisoned children considered to be
a case.
Once a child has been identified as a case, a Public Health Nurse visits the child's
home to provide a general physical assessment of the child. The nurse also
educates the family on the effects of lead poisoning, explains how to prevent it, and
helps link the family to any needed health and social services.
The Environmental Health Unit sends Registered Environmental Health Specialists
to visit a lead- poisoned child's environment to identify hazards, interview parents
and take environmental samples. These specialists investigate, evaluate and
analyze lead hazards, including source identification. The inspectors may issue
corrective notices to eliminate lead hazards as well as monitor home repair,
corrective notices, or compliances.
The Epidemiology Unit maintains a lead poisoning database, which includes
demographic, geographic, laboratory and clinical information on all reported
screenings, and identified cases throughout the County. The Epidemiology staff
plans, directs, and evaluates original epidemiological studies, analyzes lead
poisoning data and responds to data requests from interested parties.
Finally, the Health Education Unit maintains a library of information on lead and lead
poisoning prevention, available to the community in several languages. The unit
3 Information on the Childhood Lead Poisoning Prevention Program was received from the Orange County Health Care
Agency web site at w .ochealthinfo.com/mrah/chlppr).htm
City of Newport Beach X-7 2010 -2014 Consolidated Plan
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also provides presentations, information booths, and trainings upon request. In
addition, it offers a toll free hotline, 1- 800 -LA -4 -LEAD, for the public during regular
working hours to answer questions or to give referrals regarding lead- related issues.
Table 10 -3
More Local Sources for Information
On Lead -Based Paint
Air Quality Management District
Hazardous Waste Roundups
To report the spread of lead dust due to construction
Disposal of hazardous materials (i.e., paint,
www.aamd.aov
oil, batteries, etc.) wwwladow.oro /end
1- 800- 288 -7664
1- 888 - CLEAN -LA; 1 -888- 253 -2652
Healthy Families
California Department of Health Services
State's low -cost health insurance for children
Occupational Lead Poisoning Prevention Program
ages 1 -19
(510) 622 -4332
www.healthyfamilies.ca.gov
1- 800- 880 -5305
National Safety Council /Environmental Health
Center
National lead service Provider's Listing System
[URL wvvw.nsc.org /ehG lead.html
[URL: www,leadlisting.org]
Child Health and Disability Prevention Program
CHDP - provides no cost health examination, including
Lead - Related Construction Information Line
blood lead test, for children under 2l
List of certified workers and contractors
certified workers
www dhs cahwnet aov/pcfh/cros/html/chdo him
www.f
1-800- 597 -LEAD; 1ldlead 97 -5323
1- 800 - 993 -CHDP ; 1-800- 993 -2437
Consumer Nutrition Information Center Suggestions
Office of Lead Hazard Control /Department of
forhealthy foods wwweatrioht.orq
Housing and Urban Development
1 -800- 366 -1655
[URL www,hud.aov /lea/]
Consumer Product Safety Commission Hotline
Medi -Cal
For information on lead in consumer products
This program provides no -cost or low -cost
www.cpsc.aov
1- 800-638 -2772
medical
care for families. For more information, call
wwwmedi- cal.ca.aov 1- 888 - 747 -1222
Environmental Protection Agency EPA - Home
National Lead Information Center Information on
repairs and renovations www.epa aov
protecting children, during home repairs and
1-415- 744 -1124
renovations www.epa.aov/lead
1-800-LEAD-FYI; 1- 800 -424 -LEAD
EPA's Safe Drinking Water Hotline Information on
Occupational Lead Poisoning Prevention
lead in drinking water www.epa.00v /OGWDWI -800-
Program
426 -4791 -
Lead concerns in the workplace
www dhs cahwnet aov /ohb /olpnp 1- 510- 622 -4332
Poison Control System
CDC Childhood Lead Poisoning Prevention
For Poison Emergencies www calpoison.ora
Program --
1- 800 - 876 -4766
[URL: www.cdo.gov/nceh/lead/lead.htm
National Center for Lead Safe Housing
www.leadsafehousina.om
City of Newport Beach
Rev. 03/19/10
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,pow' SFr
f 't
XI. Housing and Community Development Delivery System
XI. Housing and Community Development Delivery System
A. Housing and Community Development Delivery System
State agencies, local governments, nonprofit organizations, businesses, and
financial institutions are all vital players in Newport Beach's housing and community
development delivery system. This section examines the effectiveness of the
housing and community development system in the City and possible strategies to
enhance collaboration.
Institutional Structure:
The institutional structure is comprised of the private, public, and nonprofit
organizations that help carry out the Consolidated Plan for the City. The
relationships and interaction of these organizations as they deliver programs and
undertake activities is known as the City's housing and community development
delivery system.
Lead Agency
The City's Planning Department is the lead agency for the Consolidated Plan. It
administers the City's CDBG program. As the City's affordable housing and
community development agency, its intent is to build better lives and better
neighborhoods by strengthening communities, empowering families, supporting
local economies, and promoting individual achievement.
The Planning Department plans, administers, implements, and monitors
projects funded through the City's formula entitlement funds from the U.S.
Department of Housing and Urban Development. These entitlements include
the Community Development Block Grant (CDBG) program. As the recipient of
these funds, the Planning Department is tasked with the responsibility for
developing and carrying out the Consolidated Plan
The City uses these and other funds to provide decent housing, create a
suitable living environment, and expand economic opportunities throughout the
City.
2. Community Development Block Grant (CDBG) Program
The CDBG program was initiated by the Housing and Community Development
Act of 1974. Although the Act has been amended in recent years, the primary
objective continues to be the development of viable urban communities by
providing decent housing, a suitable living environment, and expanding
economic opportunities, principally for persons of low and moderate - income.
Each year the City program is designed to achieve this primary objective.
Regulations governing the Program also require that each activity undertaken
with CDBG funds meet one of three broad national objectives as follows:
Benefit low- and moderate - income persons.
City of Newport Beach XI - 1 2010 -2014 Consolidated Plan
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Aid in the prevention or elimination of slums and blight.
Meet other community development needs having a particular urgency.
The City certifies that its Annual Action Plan has been designed to give
maximum feasible priority to activities, which meet the first and second
objectives above. Additionally, the City certifies that no less than 70 percent of
the CDBG funds received, over a three -year certification period, will be
designed to benefit low- and moderate - income persons.
3. Home Investment Partnerships Program (HOME)
On November 28, 1990, the Cranston - Gonzalez National Affordable Housing
Act was enacted (P.L. 101 -625). The HOME Investment Partnerships (HOME)
program was created as a result of this legislation. It affords states and local
governments the flexibility to fund a wide range of low- income housing
activities through housing partnerships among states, localities, private
industry, and nonprofit organizations. This program provides federal funds for
the development and rehabilitation of affordable rental and homeownership
housing, replacing a series of programs previously funded by HUD. Funds are
allocated by HUD to qualifying "Participating Jurisdictions" (PJs), such as the
County of Orange, based upon a variety of demographic and housing factors.
With the exception of a waiver granted for disaster - related funding, HOME
funds are subject to a 25 percent match of non - federal funds or in -kind
contributions. The Orange County Department of Housing and Community
Development administers the HOME program for various Orange County cities,
including Newport Beach, as well as unincorporated areas of the County.
4. Homeless Services Programs (Including ESG Program)
The Emergency Shelter Grant (ESG) program began on November 7, 1989, as
part of the Stewart B. McKinney Homeless Assistance Act. The program is
designed to improve the quality of existing emergency shelters, make available
additional emergency shelters, help meet the cost of operating emergency
shelters, and provide essential social services to homeless individuals. The
ESG program ensures that the homeless have access not only to safe and
sanitary shelter but also to supportive services and other kinds of assistance
needed to improve their situations. The program is also intended to reduce
homelessness through the funding of preventive programs and activities.
Orange County's homeless system of care is comprised of a network of public,
private, faith - based, for - profit, and non - profit service providers. County
agencies such as the County Executive Office, Health Care, Social Services,
Community Services, and Housing and Community Development provide direct
services for the homeless and /or significant resources for agencies serving the
homeless. The region's municipalities also provide substantial resources for
services that assist the homeless and those at risk of becoming homeless. The
County's non - profit community is a critical player in the current Continuum of
Care system. Hundreds of agencies throughout the County provide programs
City of Newport Beach XI - 2 2010 -2014 Consolidated Plan
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k l
ranging from feeding the homeless on the street to creating permanent
supportive housing opportunities. These services are available to homeless
families with children and single men and women. The County's non - profit
community also serves special need populations, such as victims of domestic
violence, veterans, the disabled and youth.
In 1998 the Orange County Board of Supervisors approved the establishment
of the Continuum of Care Leadership Cabinet. The mandate of the Leadership
Cabinet is to provide direction to the Director and to assist in the development
and maintenance of the countywide comprehensive continuum of care planning
process for the delivery of services to homeless men, women, and children.
The goal of the Leadership Cabinet is to coordinate the involvement of three
primary groups: private industry, homeless experts, and the public sector in the
continuum of care planning process. The Leadership Cabinet is also
responsible for working with H &CD staff to design the planning process for
each year's Supportive Housing Program homeless competition and to provide
direction on the organization of the application review and evaluation
processes.
Programs and initiatives operated by Orange County Continuum of Care fall
into the following categories:
Homelessness Prevention
• Outreach
• Emergency Shelter
• Transitional Housing
• Permanent Supportive and Permanent Affordable Housing
• Service Coordination
Orange County Continuum of Care funds programs according to the need and
in keeping with the Continuum of Care, described in Section VI of the
Consolidated Plan. The Orange County Department of Housing and
Community Development administers the ESG program for various Orange
County cities, including Newport Beach, as well as unincorporated areas of the
County. --
5. Orange County Housing Authority (OCHA)
The Orange County Housing Authority (OCHA) is a division of the County's
Housing and Community Services Department that administers rental
assistance programs throughout Orange County. Currently, OCHA helps more
than 9,700 households through tenant based rental assistance programs.
Persons receiving assistance include those over 62 years of age or who have
disabilities, and low- income households residing in 31 participating cities and
the unincorporated areas of Orange County. According to the OCHA's 2004
Annual Plan, 105 of these assisted households reside in Newport Beach. Such
City of Newport Beach XI - 3 2010 -2014 Consolidated Plan
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Ie-r i
programs allow income - qualified households to receive rental assistance in a
variety of apartments, houses, and other rental dwellings owned by private
landlords. Funding for tenant -based rental assistance programs is provided by
the Department of Housing and Urban Development (HUD).
6. Other Housing and Community Development Organizations
Other public agencies, for - profit entities, and nonprofit organizations all play a
part in the provision of affordable housing and community services in the City.
The City strives to coordinate with these organizations in the development of
the Consolidated Plan and in the delivery of the programs covered by it.
City Departments
City staff coordinates with various City departments to carry out the City's
housing and community development strategies and to allocate CDBG funds to
provide funding support to achieve community development goals. These
departments include:
Planning Department
Public Works Department
Recreation and Senior Services Department
Organizations
Major players in the City's institutional structure for housing and community
development include nonprofit organizations. The City contracts directly with a
number of nonprofit community -based organizations to provide public services
to City residents, including a wide range of programs for persons with special
needs, homeless, seniors, youth, and other low- and moderate - income
populations. For production of affordable housing, the City supplements its own
efforts by entering into partnerships with private sector and nonprofit developers
and housing development corporations.
Additionally, the City participates in the Orange County Continuum of Care
planning process for the delivery of services to homeless men, women and
children.
Orange County Housing Authority — administers the public housing units and
the Section 8 rental assistance programs in Newport Beach;
Southern California Home Financing Authority (SCHFA) - a joint powers
authority between Los Angeles and Orange Counties formed in June 1988 to
issue tax - exempt mortgage revenue bonds for low and moderate income First
Time Homebuyers. The program is administered by the Community
Development Commission of The County of Los Angeles and County Executive
Office of the County of Orange on behalf of the SCHFA. The Authority has
helped thousands of individuals and families.
City of Newport Beach XI - 4 2010 -2014 Consolidated Plan
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t>
California Department of Health Services (CDHS), Childhood Lead
Poisoning Prevention Branch ( CLPPB) - complies information, identifies
target areas and analyzes information to design and implement a program of
medical follow -up and environmental abatement to reduce childhood lead
exposure. Programs operated by the CLPPB include: 1) accreditation of
training providers and certification of individuals involved in construction related
activities; 2) reporting of elevated blood lead levels by medical laboratories; 3)
lead exposure screening; 4) real estate disclosure of known LBP hazards upon
sale of property; and 5) lead related activities in construction work, as well as
other various other childhood and occupational lead poisoning prevention
programs.
7. Faith -Based Organizations
Recently, there has been great recognition and value given to the contributions
of faith -based organizations (FBOs) in providing social services. In the past,
FBOs have been particularly visible in providing food, clothing, and shelter to
individuals and families in need. However, faith -based organizations have also
taken on a new role in helping to encourage housing and community
development efforts.
Moreover, the significance of faith based organizations in the United States is
underlined by former President George Bush's creation of the Office of Faith -
Based and Community Initiatives. This initiative expanded the role of faith based
organizations, by requiring Cabinet agencies to create their own Center for
Faith -Based and Community Initiatives to work in tandem with the White House
OFBCI, to make federal grants available to Faith -Based and Community
Initiatives nationwide. Agencies include the following Federal Departments:
Health and Human Services; Housing and Urban Development; Department of
Labor; Justice; and Education.
B. Gaps in the Institutional Structure
Consolidated Plan requirements include an examination of how organizations in the
City that "deliver" housing and community development (called the institutional
structure). This examination includes identifying the gaps in the institutional
structure and developing strategies to address the gaps. Newport Beach can only
achieve its Comprehensive Plan goals and Consolidated Plan strategies if its
institutional structure is complete.
As the lead agency for the City of Newport Beach 2010 — 2014 Consolidated Plan,
the Planning Department desired to gain a better understanding of the gaps and
potential strategies needed for collaborative long -term planning. The ideas of the
City's housing and community development organizations are crucial to an accurate
gaps analysis of the institutional structure. They are even more important to the
development and implementation of strategies to overcome the gaps. Therefore
interviews and discussions with stakeholders included questions or comments
concerning the current gaps in the local delivery system for housing and community
development. Also discussed were the preliminary components of strategies for
filling the most troublesome gaps.
City of Newport Beach
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Gap in the Institutional Structure: A missing component, such as an organization,
a relationship, a service, a project, or an activity.
Common Topics
Several issues emerged from the Consolidated Plan process. These topics and
issues provide a good starting point in understanding the gaps in the housing
and community development delivery system. They also provide a foundation
for developing workable, collaborative strategies to fill the gaps.
Public Education Gap: The lack of knowledge among the public and lower
income clients is a common need. The most common gap is knowledge of the
available resources, services, and programs for lower income people and
persons with special needs. This lack of knowledge occurred among clients,
employers, and service providers.
Unmet Housing Needs: There is an urgent need for affordable housing,
especially supportive housing for lower income people and persons with
special needs. Under -served housing needs include persons with both
substance abuse and mental illness, including the dually diagnosed, persons
needing assisted or supportive living arrangements, and former offenders.
Lack of Children- Centered Services: Services and programs related to children
in lower income families repeatedly arose as a theme. Lack of affordable,
quality childcare surfaced as a gap in all discussions. Other child - related issues
included the lack of the following items: affordable children's primary education
programs, training for childcare providers, childcare at non - traditional hours,
mental health and substance abuse treatment services and facilities for
children, and mental health prevention for children.
Need for More Services for Persons with Special Needs and the Homeless:
Such needs include mental health and substance abuse treatment services
and facilities, long -term care facilities and services for low- income persons;
transportation for the low- income elderly and low- income residents; transitional
housing with supportive services for homeless persons with multiple diagnoses;
and homeless shelters with services for children.
Communication /Coordination among Organizations: The lack of communication
between specific groups and the overall community of service providers, such
as the need for stronger relationships between all types of organizations
involved in housing and community development (neighborhood groups,
church groups, nonprofit agencies, and government agencies). Confidentiality
laws sometimes reduce information sharing between service providers and
contribute to a lack of good referrals.
C. Housing and Community Development Delivery System Strategy
As lead entity for Newport Beach's Consolidated Plan, the Planning Department's
focus on the institutional structure should be a broad strategy of coordination,
empowerment, and communication with the public, private, and nonprofit sectors.
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2010 -2014 Consolidated Plan
D. Priority Strategy for the Housing and Community Development Delivery
System:
The City will implement the strategies outlined in the Administrative Strategies
Section of the Consolidated Plan, specifically the section under Development of
Institutional Structure in Section 13 — Strategic Plan, of the Consolidated Plan.
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414, \ i
X[ Anti-Poverty Strategy
XII. Anti- Poverty Strategy
A. Poverty in Context
The U.S. Census Bureau follows the Office of Management and Budget's Directive
14 to define poverty. It therefore uses a set of income thresholds that vary by family
size and composition to detect who is "poor." If the total income for a family or
unrelated individual falls below the relevant poverty threshold, then the family or
unrelated individual is classified as being "below the poverty level." The official
poverty definition counts money income before taxes and does not include capital
gains and noncash benefits (such as public housing, Medicaid, and food stamps).
Poverty is not defined for people in military barracks, institutional group quarters, or
for unrelated individuals under age 15 (such as foster children). They are excluded
from the poverty universe —that is, they are considered neither as "poor" nor as
"nonpoor."
Since this Consolidated Plan covers programs designed to help primarily low -
income people and neighborhoods, it must also include an anti - poverty component.
By undertaking activities funded by the CDBG program, the Planning Department
supports the State's overall anti - poverty strategy of moving low- income people to
self - sufficiency. The Planning Department consults with many public, private, and
nonprofit organizations to help ensure that its goals, programs, and policies for
activities such as producing and preserving affordable housing are effectively
coordinated to best reduce the number of poverty level families.
B. Analysis of Poverty in City
Poverty is the condition of having insufficient resources or income. In its extreme
form, poverty is a lack of basic human needs, such as adequate and healthy food,
clothing, housing, water, and health services. Even modest levels of poverty can
prevent people from realizing their goals and dreams.
Census data from the year 2000 indicates that 3,075 Newport Beach residents were
living in poverty in 1999, which is 4.4 percent of the population. This number
translates to 356 families, or 2.1 percent of the families in Newport Beach. Almost
19 percent of these families had a child under the age of 5 years old. In accordance
with the 2006 -2008 U.S. Census Bureau's American Community Survey the
estimated percentages for the number of individuals in poverty has decreased to
4.7% and the number of families has also dropped to 2.0 %.
Although most of Newport Beach's households have higher incomes, a significant
number are living at or near poverty. The housing section stated that this division of
wealth has significant social consequences and implications for Newport Beach's
market segmentation, housing demand, and affordability.
In 2000, female headed households make up 47 percent of families living in poverty.
More than 51 percent of these families included a child under the age of 18; almost
27 percent of these families included a child under the age of 5. In accordance with
the 2006 -2008 U.S. Census Bureau's American Community Survey the estimated
City of Newport Beach XII - 1 2010 -2014 Consolidated Plan
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percentages for the number of female headed households in poverty has decreased
to 9.7 %.
C. The State's Welfare -to -Work Program
The City's anti - poverty strategy and activities support the overall effort in the State
to move low- income families to economic self - sufficiency. The California
Department of Health and Social Services is the nexus of the State's welfare-to-
work program and is thus the lead anti - poverty agency in the State.
D. Existing Programs
In California, the primary programs for assisting families in poverty are CalWORKS,
Food Stamps, and Medi -Cal. Together, these programs combine to provide clients
with employment assistance, discounted food, medical care, child care, and cash
payments to meet basic needs such as housing and transportation. A short
description of each is provided below.
CalWORKs
The California Work Opportunities for Kids (CalWORKs) program is a time - limited
program that provides financial assistance and Welfare -to -Work services to families
with children who are deprived of support or care due to the death, incapacity,
unemployment/underemployment, or continued absence of one or both parents.
Homeless Assistance is included in this program. CalWORKS is administered
following Federal and State regulations.
Food Stamps
The Food Stamp Program is a nutritional assistance program designed to help
single people and families with little or no income to buy food. Food Stamp benefits
are issued on an EBT Card that is used just like a bank card at most local food
stores. The Food Stamp Program is a Federal State funded program.
Medi -Cal
The Medi -Cal program pays for health care for certain needy residents of California,
including public assistance recipients. Medi -Cal is supported by federal and state
taxes. Pregnant women and children have been the focus of outreach efforts by the
State of California for enrollment in the Medi -Cal program.
CDBG, HOME, and ESG- Funded Activities
Congress designed the CDBG, HOME and ESG programs to serve lower- income
people, some of which may meet the federal poverty definition, and at least 51
percent of whom are low- and moderate - income individuals and families.
At least 70 percent of all CDBG funds must be used for activities that are considered
under program rules to benefit low- to moderate - income persons. Additionally, every
CDBG activity must meet one of three national objectives: (1) benefits low- and
moderate - income persons (at least 51 percent of the beneficiaries must be low- to
moderate - income; (2) addresses slums or blight, or (3) meets a particularly urgent
community development need.
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Under the HOME Investment Partnerships Program (HOME), households must earn
no more than 80 percent of the Area Median Income (AMI), adjusted for household
size, to be eligible for assistance. Furthermore, 90 percent of a HOME Participating
Jurisdiction's (PJ's) annual HOME allocation that is invested in affordable rental
housing must go to assist households earning no more than 60 percent of AMI (the
"90/60" rule).
The Emergency Shelter Grant (ESG) program provides homeless persons with
basic shelter and essential supportive services. It can assist with the operational
costs of the shelter facility, and for the administration of the grant. ESG also
provides short-term homeless prevention assistance to persons at imminent risk of
losing their own housing due to eviction, foreclosure, or utility shutoffs.
The County's ESG program is administered through the County of Orange and its
continuum of care provider O.C. Partnership. OC Partnership supports, creates, and
sustains solutions to homelessness in Orange County by providing leadership,
advocacy, planning and management of program funding. OC Partnership provides
funding and guidance for a vast network of local, non - profit agencies with missions
to help people leave homelessness permanently. These agencies are dedicated to
providing as much assistance as possible, including emergency shelter, to help
homeless persons with housing, case management, counseling, advocacy,
substance abuse programs, and other specialized services.
E. Anti- Poverty Strategy
The City's goal is to help families that are self - sufficient yet still at -risk to increase
their financial stability. The focus of the anti - poverty strategy is three -fold: (1) to help
these families accumulate assets, (2) to help these families address issues, such as
substance abuse and domestic violence, that may threaten the family's stability, and
(3) to provide these families with employment- related supportive services such as
child -care. This focus will be incorporated into the programs and policies
undertaken by the City as part of this Consolidated Plan.
Programs
The City has yet to finalize any specific programs at this stage in the
development of the Consolidated Plan. Any definite activities will be described
in detail in the City's Annual Action Plan. Potential programs may include:
Family Stability
• Counseling
• Substance Abuse Services
• Domestic Violence Services
Employment Related Supportive Services
Job Training
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• Child Care
2. Policies
The City will fully comply with Section 3 of the Housing and Community
Development Act. Section 3 helps foster local economic development,
neighborhood economic improvement, and individual self - sufficiency. This set
of regulations require that to the greatest extent feasible, the City will provide
job training, employment, and contracting opportunities for low- or very-low
income residents in connection with federally funded housing and public
construction projects.
Public services funded through the Consolidated Planning process that promote
the self - sufficiency of families in poverty (extremely low- income) will be
encouraged.
When evaluating economic development subsidies and incentives offered to
firms in exchange for relocating to the City, the City will incorporate a
benchmark measure called the Stability Index when reviewing the income level
of potential jobs. The Stability Index determines the wage required, based on
family size and composition, a family needs to (A) meet their basic needs
without subsidies of any kind and (B) save 5% of their income. This index is
based on the Self- Sufficiency Standard developed by Wider Opportunities for
Women.
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Xill. Strategic Plan
XIII. Strategic Plan
The Strategic Plan section of the Consolidated Plan summarizes Newport Beach's 5-
year strategies and objectives to address the needs described earlier in the
Consolidated Plan. To carry out each objective, the City has developed measurable
actions that it will undertake each year.
The City's 2010 -2014 Consolidated Plan includes the first of five Annual Action Plans.
Each of these plans will describe the activities planned for the coming program year to
carry out the 5 -year strategies. As required by the U.S. Department of Housing and
Urban Development (HUD), the City will submit a Consolidated Annual Performance and
Evaluation Report (CAPER) within 90 days following the conclusion of each program
year to report the City's progress in carrying out the strategies, objectives, and actions
included in the Annual Action Plan and the 5 -year strategies.
A. Strategies and Objectives
The City developed priority strategies and objectives to meet the housing and
community development needs described in earlier sections. Those strategies are
discussed in the following paragraphs and are outlined in the tables included at the
conclusion of this Chapter.
Consolidated Plan Goals
The City's strategies, objectives, and activities for the Consolidated Plan must
address and meet Federal goals. The Federal Consolidated Planning Regulations
found at 24 CFR Part 91 state that the Consolidated Plan's activities should meet
one (1) of the following three (3) goals, including the provision of:
Affordable housing opportunities;
A suitable living environment; or
Expanded economic opportunity.
The City's Priority Strategies
Through the citizen participation and consultation process described in the
Consolidated Plan Development Section, the City has developed top -level strategic
goals to meet the priority needs (described in previous sections). During the 2010 -
2014 Consolidated Plan period, the City will invest its Community Development
Block Grant (CDBG) funds in accordance with the following Priority Strategies:
Housing Strategy
1. Expand the supply of affordable rental and homeownership housing
opportunities.
2. Preserve and improve the existing housing stock and ensure equal access.
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Homeless Strategy
1. Support continuum of care services to further the City's and the County of
Orange's efforts to end homelessness.
Special Needs Strategy
1. Help persons with special needs live as independently as possible.
Senior Services Strategy
1. Provide quality supportive services so elderly residents can live as
independently as possible.
Public Services Strategy
1. Contribute to the well -being of individuals, families, and neighborhoods.
The City will provide CDBG funds to projects that help meet the strategies identified
above during one or more of the five program years covered by the 2010 -2014
Consolidated Plan.
B. Other Strategies
The Federal Consolidated Plan regulations require the City to address community
development issues that are common to all communities throughout the nation,
including impediments to fair housing, poverty, and the threat of lead -based paint.
This section describes the City's strategies to address the following specific issues:
• Address impediments to fair housing
• Reduce lead -based paint hazards
• Move low- income persons to self - sufficiency (anti - poverty strategy)
• Address barriers to affordable housing
• Monitor all projects and programs
The following is a summary of each item:
1. Impediments to Fair Housing
In conjunction with the development of this Consolidated Plan, the City has
partnered with other local jurisdictions and the Fair Housing Council of Orange
County to update the regional Analysis of Impediments to Fair Housing (AI).
When the updates are finalized, the City will incorporate those updates into this
section to ensure that the City coordinates its efforts with the regional fair
housing initiatives. The current Al identifies the following impediments to fair
housing:
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a). Lending Practices: While data and study has not shown discrimination in
lending, lending efforts have not been proactive.
b). Insuring Practices: Some insurance companies may be targeting certain
zip codes for higher rates of denial or different terms and conditions for
insurance coverage.
c). Outreach and Education: The lack of uniformity in content and approach
to fair housing education from community to community may leave gaps
in the information provided and contribute to the lack of a common
understanding of fair housing laws. Further, inconsistencies in the
provision of fair housing information (e.g. publication methods, language
of publication, etc.) may contribute to a lack of awareness of fair housing
laws amongst immigrant populations.
d). Public Policies /Programs: A lack of coordination among cities in the
region in regard to their planning activities may have an adverse effect on
fair housing efforts on a regional basis.
To combat these impediments and to work toward universal access to fair
housing, the City will contract with a fair housing service provider such as the
Fair Housing Council of Orange County (FHCOC) or another fair housing
agency each year to provide the necessary fair housing and tenant/landlord
services. Some of the required services include counseling and information on
potential discrimination and landlord /tenant problems, special assistance for
ethnic minority and single- headed households, bilingual housing literature and
video -tape presentations, and housing assistance counseling.
The City will also work with the property managers of rent - restricted housing
throughout the City to ensure these affordable units are managed in
accordance with fair housing laws.
2. Lead -Based Paint
The Residential Lead Based Paint Hazard Reduction Act of 1992 (Title X)
emphasizes prevention of childhood lead poisoning through housing -based
approaches. This strategy requires the City to implement programs that protect
children living in older housing from lead hazards. Overall, the City has a
relatively new housing stock; therefore, lead -based paint hazard is not an
extensive issue. According to U.S. Census Data from 2000, only 42% of the
City's housing units were constructed prior to 1979. Only those units
constructed prior to January 1, 1978, when the use of lead -based paint was
outlawed, have the potential to contain lead -based paint. In pre -1978 units, the
only way to have assurance that lead -based paint is not present is to have the
paint tested. According to the City's Residential Rehabilitation Program, a
typical lead -based paint screening survey costs approximately $300. To reduce
lead -based paint hazards, the City takes the following actions:
■ Include lead testing and abatement procedures in all residential
rehabilitation activities, where applicable.
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• Work with neighboring jurisdictions in a collaborative effort to secure
funding and provide low -cost training to testing and abatement contractors
and workers.
• Monitor the lead- poisoning data maintained by the Orange County Health
Care Agency (OCHCA). According to OCHCA, there was 1 incidence of
children with blood lead levels (BILL) greater than 15 micrograms per
deciliter for the City of Newport Beach from 2005 -2009. This level is very
low, nonetheless, the City should monitor this data.
Educate residents on the health hazards of lead -based paint through the
use of brochures and encourage screening children for elevated blood -lead
levels.
• Disseminate brochures about lead hazards through organization such as
the Fair Housing Council of Orange County, and the City's residential
rehabilitation activities.
3. Anti- Poverty Strategy
The goal of the Anti - Poverty Strategy is to provide a coordinated offering of
services to help households rise out of poverty to a level of long -term, self -
sufficiency. The City's available funding sources are miniscule in comparison to
other existing anti - poverty programs. Given this, the City will support activities
that will complement these existing programs.
In California, the primary programs for assisting families in poverty are
CalWORKS, Food Stamps, and Medi -Cal. Together, these programs combine
to provide clients with employment assistance, discounted food, medical care,
child care, and cash payments to meet basic needs such as housing and
transportation. Also available are services designed to treat persons suffering
from substance abuse, domestic violence, and mental illness.
While these programs have succeeded in weaning low income households off
of public assistance and transitioning them into the job market, many of these
households that find employment remain poor. Jobs taken by former welfare
recipients are often low paying and have little room for advancement. In
addition, as a recipient's income increases, the cash assistance decreases.
This prevents the household from saving any income. While a family may
achieve self - sufficiency, it will remain at -risk. A sudden loss of income from
unemployment, illness, or other personal crises would push the family back into
poverty and perhaps into homelessness.
Therefore, it is the City's goal to supplement the existing programs and help
families move to the next level of self- sufficiency. The City's anti - poverty
strategy will focus on moving families beyond mere self - sufficiency and to a
level where it can accumulate savings, establish a stable lifestyle, and rise
above poverty. The remainder of this section will discuss the programs and
policies the City will pursue over the next five years that will advance this
purpose.
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4. Monitoring
To ensure that the federal funds are used correctly and efficiently, the City will
monitor its subrecipients and its own programs to track performance and to
document compliance with the relevant federal regulations.
Performance measurement is an important tool the City will utilize to ensure
that funded projects are effective at generating expected outcomes. Tracking
performance also helps staff determine if projects are administered correctly. It
can also help identify problems and indicate where to make needed
adjustments.
The performance measurement process includes goal formulation, resource
allocation, and program evaluation. The Consolidated Plan goals are set forth
in the Strategic Plan and in each Annual Action Plan. When the City seeks
project proposals in preparation for each program year, each proposed project
will be rated according to its ability to meet the high - priority needs and its
potential contribution to meeting the City's goals. At the end of the program
year, City staff will analyze the productivity of each project in terms of costs vs.
benefits, timeliness, and quality. The results of this analysis will help the City
make adjustments in a project's structure and form a basis for future funding
decisions.
The City recognizes the value of monitoring the use of these public funds to
ensure all funded projects comply with applicable federal laws and regulations.
The City will budget a portion of each year's grant allocation to program
administration that will pay for staff time and consultants to monitor all aspects
of funded programs. Monitoring will include the following review:
• Eligibility of proposed and actual uses of funds
• Eligibility of partnering organizations and contractors
• Environmental review
• Labor law compliance
• Relocation and displacement review and mitigation
The City will place an emphasis on assisting subrecipients with compliance.
Some subrecipients are not familiar with all applicable laws and regulations. To
address this, the City will host a pre -award training workshop to review the
program regulations applicable to CDBG in addition to the Uniform
Administrative Requirements found at 24 CFR Part 84 (nonprofits) and 24 CFR
Part 85 (government), the Office of Management and Budget (OMB) Circulars
pertaining to allowable costs. Subrecipient attendance is mandatory. Prior to
entering into agreements with subrecipients, the City will require proof of an
acceptable financial audit and other documentation as necessary to establish
the administrative capacity of the subrecipient to successfully use CDBG funds
in accordance with the applicable program regulations. The City's CDBG
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administrative policies and procedures, as well as the annual Notice of CDBG
funding availability address these requirements in more detail.
C. Administrative Strategies
In addition to strategies that will help guide funding decisions, the City has
developed administrative strategies to ensure that the planning process is one that
adapts to a changing environment and continually improves over time.
Administrative strategies include identifying and overcoming obstacles to meeting
community needs, developing the capacity and coordination of the local institutional
structure, and implementing a performance measurement and monitoring system.
Identifying and Overcoming Obstacles to Meeting Underserved Needs
Throughout the administration of the Consolidated Plan, the City must identify
obstacles to meeting underserved needs in the community and develop
methods for overcoming the obstacles. Affordable housing and community
development projects face a broad array of obstacles, ranging from residents
opposed to new developments in their neighborhoods to government policies
and programs that have unintended, adverse effects. The City will be able to
identify obstacles early on through the performance measurement process.
Performance measurement is described later in this section.
Through the development of this Plan, the City has identified two (2) obstacles
to meeting underserved needs to date: (1) Regulatory barriers to affordable
housing, and (2) lack of public service funding. Below, the City has outlined
strategies to overcome or mitigate these obstacles:
Regulatory Barriers to Affordable Housing: There is no litmus test that
indicates when a state or local policy is a regulatory barrier to affordable
housing. Many local laws and policies, such as conservation of open space,
have direct and adverse effects on affordability of housing but cannot be
considered a barrier because they are worthy goals. A policy, rule, process, or
procedure is considered a barrier when it prohibits, discourages, or excessively
increases the cost of new or rehabilitated affordable housing without sound
compensating public benefits.
The regulatory cost of new housing development, such as plan -check and
permitting fees, are relatively high, The City offsets these costs through
inclusionary zoning requirements that require developers to reserve a number
of newly developed units as affordable housing, extend the affordability of
existing affordable units, or pay an in -lieu fee that will be used to subsidize
other developments that will include affordable units.
The City will implement the following procedures and programs to reduce the
adverse effects of local policy on affordable housing:
• Monitor all regulations, ordinances, departmental processing procedures,
and residential development fees to ensure these requirements do not
excessively constrain affordable residential development.
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• Continue to offer density bonus incentives for the development of affordable
housing pursuant to state density bonus requirements and the City's
General Plan Housing Element.
• Partner with the Fair Housing Council of Orange County or other fair
housing agencies to provide tenant and landlord counseling to ensure fair
housing rights for Newport Beach residents.
Lack of Public Service Funding: Per the Federal regulations, the City may
budget up to 15% of its CDBG allocation to public service activities. Each year,
the City receives applications and proposals from local public service providers
for more than the allowed amount. Priority will be given to proposals where
funds will be used to expand long -term service capacity, serve an unmet need
and will not need on -going future grant funds to maintain that capacity. Funding
decisions are informed by the Strategic Plan Goals when selecting projects for
inclusion in the Annual Action Plan.
2. Development of Institutional Structure
The City partners with a network of local service providers, advocacy groups,
neighboring jurisdictions, local developers and businesses, and other public
agencies to form the institutional structure that undertake affordable housing
and community development initiatives. It is essential that the efforts of these
varying organizations are coordinated in order to efficiently use the limited
amount of resources available. There are a number of existing networks and
collaborations that help these various organizations work together, such as the
Continuum of Care. Throughout the duration of the Consolidated Plan, the City
will continue to collaborate with partner organizations and will survey the
institutional structure for gaps or areas where organizational capacity is
insufficient to meet the community's need. Below is a discussion of how the
City currently partners with other agencies and the strategies it proposes to
strengthen and improve these relationships.
3. Public Housing Authority
The City is under the jurisdiction of the Orange County Housing Authority
(OCHA). OCHA is a distinct and separate entity from the City and the City has
no influence over OCHA decisions or policy, including those related to hiring,
contracting and procurement. The City, however, holds an officer position on
the Cities Advisory Committee. The Committee is a liaison between the
respective participating jurisdictions and the OCHA, and the Committee acts in
an advisory capacity to the OCHA Executive Director in matters of policy
pertaining to housing programs and long range housing goals. The Orange
County Board of Supervisors acts as the Board of Commissioners of OCHA
and the Housing and Community Development Commission serves as an
advisory board. OCHA is a division within the County's Housing and
Community Services (HCS) Department.
There are no public housing developments within the City. Instead, the Housing
Authority provides affordable units in the City through the Section 8 rental
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subsidy program. This program provides residents the ability to locate their own
housing and then pays for a portion of the rent to make the unit affordable to
the resident.
The City will work with the housing authority to include the residents with
Section 8 vouchers in the federally funded programs administered by the City,
including any homeownership programs. By moving these residents to
homeownership, they gain a higher level of self - sufficiency and begin to
generate assets. In addition, the rental subsidy voucher is available to serve
another resident.
D. General Priorities for Investment
The Strategic Plan identifies the City's top -level priorities for activities and HUD -
supported investments to address affordable housing needs, homelessness, the
need of non - homeless persons who require supportive housing and non - housing
community development needs. These general and relative priorities will help guide
HUD - supported housing and community development initiatives in Newport Beach
for 2010 -2014.
General priorities are those shown as "H" (for "high ") on the priority needs tables in
earlier sections of this document. These are the priority needs tables that address
affordable housing needs (HUD Table 2A), homelessness (HUD Table 1A), the
need of non - homeless persons who require supportive housing (HUD Table 1B),
and non - housing community development needs (HUD Table 2B). These priorities
are not intended to preclude nor impede use of HUD or other government/private
resources when other documented priority needs are known to exist or can be
established. The relative priority of needs is delineated into three categories: high,
medium and low.
E. Priorities for Investment
Most general priorities in this Strategic Plan are focused on meeting the housing
and community development needs of low- income households and neighborhoods
throughout the City. Some housing and community development revitalization
initiatives are targeted to low- income residents or eligible CDBG neighborhoods.
F. Outcome Performance Measurement System
On March 7, 2006, HUD issued a notice entitled, "Notice on Outcome Performance
Measurement System for Community Planning and Development Formula Grants
Programs." The notice requires that grantees implement HUD's Outcome
Performance Measurement System (OPMS).
The OPMS is intended to provide HUD and grantees with a standardized
methodology to demonstrate the outcomes of the CDBG program. The OPMS has
three main components: Objectives, Outcomes, and Outcome Indicators. Each
activity is assigned an objective and outcome. In addition, each activity will report on
the outcome indicators throughout the year.
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Objectives
There are three (3) objectives that originate from the statutory purposes of the
Federal formula grant programs. They are as follows:
• Creating a suitable living environment. In general, this objective relates to
activities that are designed to benefit communities, families, or individuals by
addressing issues in their living environment.
Provide decent affordable housing. The activities that typically would be
found under this objective are designed to cover a wide range of housing
possibilities under CDBG. This objective focuses on housing programs to
meet individual, family or community housing needs rather than issues
concerning public services or facilities as would be included above under
creating a suitable living environment.
Creating economic opportunities. This objective applies to the types of
activities related to economic development, commercial revitalization, or job
creation.
Outcomes
There are three outcomes that reflect what the grantee seeks to achieve by the
funded activity. The City associates the National Objectives to these Outcomes. The
three outcomes and their associated national objectives are as follows:
Availability /Accessibility. This outcome category applies to activities that
benefit families and individuals. The national objectives that apply to this
outcome are Low- and Moderate - Income Limited Clientele and Low- and
Moderate - Income Jobs.
• Affordability. This outcome category applies to activities that create or
maintain affordable housing. The national objective that applies to this
outcome is Low- and Moderate - Income Housing.
• Sustainability. This outcome applies to activities that improve neighborhoods
or communities. The national objectives that apply to this outcome are
Addressing Slums or Blight on an Area Basis, Addressing Slums and Blight
on a Spot Basis, Serving a Low- and Moderate - income Area, and Urgent
Need.
In addition to the OPMS, the City must also ensure that its HUD - funded activities
carried out under the Consolidated Plan meet its 5 -year priorities and strategies.
The City helps ensure that Consolidated Plan activities meet these priorities and
strategies as well as the OPMS objects and outcomes through a measurement
system that quantifies achievement.
City of Newport Beach XIII - 9 2010 -2014 Consolidated Plan
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G. Performance Evaluation System
The City's Consolidated Plan activities must meet one (1) of the three (3) national
objectives established by HUD for all but its administrative activities. As the lead
entity for the Consolidated Plan, the City is responsible for ensuring the
Consolidated Plan meets these three (3) national goals. The City must also ensure
that its HUD - funded activities carried out under the Consolidated Plan meet its 5-
year priorities and strategies.
The next set of tables summarizes the City's 5 -year strategies and objectives in
relation to the national objectives for the Consolidated Plan. The City will update
these tables in each year's Annual Action Plan and CAPER to reflect actions and
accomplishments. Such updates will allow citizens and other organizations to track
the City's performance.
Objectives are measured by the proposed and actual accomplishments. See each
year's Annual Action Plan for proposed measurements for each objective. The
measurements for 2010 are listed here as an example. The City helps ensure that
Consolidated Plan activities meet these goals, strategies, and objectives through a
measurement system that quantifies achievement.
Identified in the matrix are the following: the City of Newport Beach Priority Need
and 5 -Year Strategy and Outcome /Objective statements. There are a total of nine
(9) possible outcome /objective statements. However, the City uses the following
three (3) and links it to the national objective as discussed above under Outcomes:
• Accessibility for the purpose of creating suitable living environments
• Accessibility for the purpose of providing decent affordable housing
• Affordability for the purpose of creating decent affordable housing
The second component of the City's performance measurement system is a table in
each year's Action Plan that contains individual program goals related to specific
activities.
The third component is the Integrated Disbursement and Information System (IDIS),
an online database used to report accomplishments and other information to HUD.
During the program year, the City will enter its planned and actual accomplishments
for each activity into IDIS. At the end of the program year, the City will run IDIS
reports for inclusion in the CAPER that summarize the year's program
accomplishments.
The final component of City's performance measurement system is the CAPER.
The City will publish these two tables in each year's CAPER to reflect its number of
planned and actual accomplishments and how they relate to the long- and short-
term objectives set in the Consolidated Plan and Annual Action Plan. Such updates
will allow HUD, the City's partners, citizens and others to track the City's
performance.
City of Newport Beach XIII - 10 2010 -2014 Consolidated Plan
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XIV. Monitoring standards and Procedures
XIV, Monitoring Standards and Procedures
A. Project Monitoring
Monitoring of the City's contractors and subrecipient partners is not just a regulatory
process or a fact - finding mission. Rather, it involves effective communication and
cooperative, problem - solving relationships between the City's Planning Department
and its contractors / subrecipients.
What is a Subrecipient?
A subrecipient is an organization receiving CDBG funds from the City of Newport
Beach. The City's Planning Department monitors all CDBG programs. Each
program requires a written agreement between the recipient and the subrecipient.
The requirements demand that the agreement remain in effect throughout the period
that the subrecipient has control over funds. In addition, regulations prescribe the
provisions that the agreement must contain. These provisions include a statement
of work (description of work, budget, and time schedule); records and reports,
program income, uniform administrative requirements, other program requirements
such as fair housing, labor, displacement, employment opportunities, lead -based
paint, debarred contractors, conflict of interest, restrictions for certain resident aliens
(as described in 24 CFR Part 49); provisions for Community Housing Development
Organizations, religious entities, the Architectural Barriers Act, and the Americans
with Disabilities Act.
Project Monitoring Process
When it awards a grant, the Department develops an individual monitoring
schedule for each contractor /subrecipient that includes the following items:
Desk monitoring
Performance reports
• Annual onsite reviews
These three items combine to provide a clear and timely picture of each
contractor /subrecipient's progress. The following narrative explains each of
these three items in more detail.
Desk Monitoring
Planning Department staff reviews copies of case files to ensure complete and
accurate documentation regarding the following items:
• Client eligibility
• Property eligibility
• Appropriate funding levels for the activity
• Compliance with all program requirements (i.e. environmental review)
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Performance Reports
The City's Planning Department requires performance reports so it can assess
a project's progress and better ensure timeliness. For capital projects and
public service grants, reports are required on a quarterly basis. Housing
program reports are obtained based upon specifics of the programs'
operations.
Annual Onsite Reviews
The Planning Department, as appropriate, also provides annual on -site reviews
of a project so it can assess capabilities of staff and review case files.
These three items combine to provide a clear and timely picture of each sub -
recipient's progress. For housing projects, the Planning Department has
additional monitoring procedures that provide the following assurances:
• Ensure consistency with primary objective —not less than 70 percent of
CDBG funds used during the program year must be for activities that
benefit low- and moderate - income persons.
• Ensure each activity meets the criteria for one or more of the national
objectives.
• Compliance with all other regulatory eligibility requirements for each
activity.
• Compliance with the Consolidated Plan regulations regarding
displacement.
• Compliance with all other applicable laws and program requirements.
• Ensure production and accountability.
• Evaluate organizational and project performance.
The Planning Department achieves success through:
• Pre -award screening, risk assessment, and orientation.
• Strong written agreements.
• Performance standards and program objectives.
• Defined monitoring visits for each subrecipient partner: quarterly, semi-
annually, and /or annually.
Monitoring Staff
The Planning Department periodically reports on the progress of each project.
The Department's staff has the following monitoring duties:
• Oversee the planning and budgeting process to ensure that projects and
programs are consistent with the Consolidated Plan's identified high- and
possibly medium - priority objectives and grant requirements. Staff will also
provide technical guidance regarding Affirmative Marketing and Fair
Housing practices.
City of Newport Beach XIV - 2 2010 -2014 Consolidated Plan
Rev. 03/19/10
Provide technical guidance with each subrecipient partner regarding:
program structure, income requirements, and document compliance. Staff
will review the City's monthly expenditure reports. At a minimum, staff will
perform quarterly drawdowns in HUD's Integrated Disbursement and
Information System (IDIS) against the appropriate grant. For IDIS, staff will
gather quarterly program statistical reports from the subrecipient partners
and update all necessary fields from setup to completion of each project
and activity. Regular updating and draws will ensure meeting the CDBG
timeliness deadline. As needed, staff will perform environmental reviews
and Davis Bacon monitoring.
Review the invoices from each subrecipient and ensure timeliness with
expenditures.
Provide technical guidance regarding all housing construction, demolition,
and rehabilitation projects ensuring the correct number of units, timeliness
in build -out, and approval of payments. For new construction, ensure
compliance with all applicable local codes, ordinances, and zoning
ordinances at the time of project completion.
Provide monitoring orientation with all subrecipient partners and establish
monitoring visits. The monitoring orientation includes the timing for
monitoring visits. Subrecipient partners without problems or significant
findings receive annual or semi - annual monitoring visits, while new
subrecipients and subrecipients with significant problems or complex
projects receive quarterly visits.
Community Based Organizations
Community -based organizations (CBOs) are funded for a wide variety of CDBG
funded activities, especially public services. However, their experience and training
in implementing these activities in compliance with applicable statutory and
regulatory requirements vary widely.
In addition, some projects are a one -time City effort while others are ongoing
activities. Based on this diversity, the City has determined that some of these
projects can represent the highest potential for risk, while others represent a very
low risk. Therefore, completed projects will be candidates for the full range of
monitoring tools. Monitoring of CBOs has been augmented by mid -year technical
assistance visits that are provided to every CBO in an effort to enhance
programmatic compliance. Further, ongoing CBO projects receive annual on -site
monitoring visits.
B. Consolidated Plan Monitoring
The Planning Department understands that monitoring the Consolidated Plan and
the annual activities must be carried out regularly to ensure that statutory and
regulatory requirements are met and that, where appropriate, information submitted
to HUD is correct and complete.
City of Newport Beach XIV - 3 2010 -2014 Consolidated Plan
Rev. 03/19/10
To ensure that the City's CDBG program further meets the Consolidated Plan goals,
the Planning Department incorporates the Consolidated Plan's strategies,
objectives, and activities into its work plan. The Planning Department will measure
its achievement of Consolidated Plan goals by the same standards used to evaluate
all programs and activities.
The Planning Department will appraise its diverse operations and controls and
determine whether: risks are identified and reduced; acceptable policies and
procedures are followed; established standards are met; resources are used
efficiently and economically; and ultimately, its objectives are achieved.
The Planning Department prepares documentation and reports as required by HUD,
including the Consolidated Annual Performance and Evaluation Report (CAPER).
Using a substantial citizen participation and consultation process, the CAPER
describes each year's performance regarding Consolidated Plan strategies,
objectives, actions, and projects
Monitoring Strategy
As the lead agency for the CDBG programs, the Planning Department is refining
monitoring procedures to ensure that projects have measurable outcomes. This
refinement will allow assessment of progress toward the specified goals and
objectives of the projects, as well as ensuring long -term compliance with all
applicable program regulations and statutes. The Planning Department will publish
any proposed significant changes to monitoring standards and procedures in a
future Annual Action Plan so that citizens and grant recipients may comment on
those changes.
City of Newport Beach XIV - 4 2010 -2014 Consolidated Plan
Rev. 03/19/10
,
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�
XV Leveraging
XV. Leveraging
A. Federal Resources
Funds from the U.S. Department of Housing and Urban Development (HUD), which
operates in excess of 100 programs and a variety of other Federal sources are
available to address the Consolidated Plan's priority needs, such as grants and
other revenues that provide funding to Newport Beach or other organizations within
the City.
Homeless Programs —The Continuum of Care
The Continuum of Care is a set of three competitive programs based on the
law of the McKinney - Vento Homeless Assistance Act to address the problems
of homelessness in a comprehensive manner in concert with other federal
agencies.
a. Supportive Housing Program (SHP)
SHP helps develop housing and related supportive services for people
moving from homelessness to independent living. Program funds help
homeless people live in a stable place, increase their skills or income, and
gain more control over the decisions that affect their lives. Eligible
applicants include States, local governments, other government agencies
(such as public housing agencies), private nonprofit organizations, and
community mental health associations that are public nonprofit
organizations. After HUD publishes a Notice of Funding Availability (NOFA)
for Continuum of Care Homeless Assistance in the Federal Register,
applicants must submit specific information about a proposed project, along
with their Continuum of Care application. Each application must include a
certification that the project is consistent with the Consolidated Plan of the
jurisdiction where each proposed project is found.
b. Shelter Plus Care (S +C)
Shelter Plus Care (S +C) provides rental assistance that, when combined
with social services, provides supportive housing for homeless people with
disabilities and their families. The program allows for a variety of housing
choices such as group homes or individual units, coupled with a range of
supportive services (funded by other sources). Grantees must match the
rental assistance with supportive services that are at least equal in value to
the amount of HUD's rental assistance. States, local governments, and
public housing agencies may apply for Shelter Plus Care grants.
c. Single Room Occupancy Program (SRO)
The Single Room Occupancy (SRO) Program provides Section 8 rental
assistance for moderate rehabilitation of buildings with SRO units- single-
room dwellings, designed for the use of an individual, that often do not
contain food preparation or sanitary facilities. A public housing authority
makes Section 8 rental assistance payments to the landlords for the
homeless people who rent the rehabilitated units. SRO units are less
expensive to rent than regular apartments, so they often serve as the only
affordable housing option for many low- income individuals and homeless
City of Newport Beach
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2010 -2014 Consolidated Plan
oi, �5 1
persons. Such units are in short supply, however, since they yield
negligible profits for building owners. Public housing agencies and private
nonprofit organizations may apply. Nonprofit organizations must
subcontract with public housing agencies to administer the rental
assistance.
2. Supportive Housing for the Elderly (Section 202):
This competitive federal program funds nonprofit organizations to develop
housing designed to accommodate the special needs of elderly persons and
provide a range of services tailored to their needs. Assistance is in the form of
capital advances and rental assistance. Recipients can use the funds for
acquisition, rehabilitation, new construction, rental assistance, and supportive
services. Private nonprofit sponsors apply directly to HUD in response to a
Notice of Funding Availability (NOFA) published in the Federal Register each
fiscal year. Applications must be submitted to the Los Angeles HUD field office.
Awards are usually announced in September.
3. HUD Assisted Living Conversion Program
This program provides nonprofit owners of eligible developments with a grant
to convert some or all of the dwelling units in the project into an assisted living
home for the frail elderly. The state must license and regulate the assisted
living home. This program provides funding for the physical costs of converting
some or all of the units of an eligible development into an assisted living home,
including the unit configuration, common and services space, and any
necessary remodeling, consistent with HUD or state statute /regulations
(whichever is more stringent). There must be sufficient community space to
accommodate a central kitchen or dining facility, lounges, recreation, and other
multiple -areas available to all residents of the project, or office /staff spaces.
The owners either directly or through a third party must provide funding for the
supportive services. Only private nonprofit owners of Section 202, Section 8
project -based housing developments that are designated primarily for
occupancy by the elderly for at least five years are eligible for funding. A private
nonprofit of an unused /underutilized commercial property is also eligible. For
more information, contact the Los Angeles HUD Office at 213/894 -8000.
4. Supportive Housing for Persons with Disabilities (Section 811):
This competitive federal program funds nonprofit organizations to develop
housing designed to accommodate the special needs of persons with
disabilities. It also provides supportive services that address the individual
health and other needs of such persons. Houses may be group homes,
independent living facilities, a intermediate care facilities. Assistance is in the
form of capital advances and rental assistance. A set -aside exists under this
program for persons disabled due to HIV. Eligible applicants are private
nonprofit organizations. Private nonprofit sponsors apply directly to HUD in
response to a Notice of Funding Availability (NOFA) published in the Federal
Register each fiscal year. Applications must be submitted to the Los Angeles
HUD field office. Awards are usually announced in September.
City of Newport Beach XV - 2 2010 -2014 Consolidated Plan
Rev. 03/19/10
4 -
5. Housing Opportunities for Persons with AIDS (HOPWA):
This program provides both entitlement and competitive grants for housing
assistance and supportive services for low- income persons with AIDS and
related diseases. It can be used for acquisition, rehabilitation, conversion,
lease, repair of facilities, new construction, project -based or tenant -based
rental assistance, planning, support services, operating costs, short-term
payments (rent, mortgage, utility), and administrative expenses.
6. HUD Service Coordinators in Multi - Family Housing:
The purpose of this Service Coordinator program is to allow non - profit
multifamily housing owners to assist elderly individuals and people with
disabilities living in HUD - assisted housing and in the surrounding area to obtain
needed supportive services from the community, in order to enable them to
continue living as independently as possible in their own homes. Eligible
programs include HUD Sec. 202, 221/236, and Section 8: Project -based
assistance. The number of units in the property and a 1:5 staffing ratio
determines the maximum grant. Service Coordinator grants are awarded
competitively each year, with priority going to Assisted Living Conversion
Program sites. For more information, contact the Los Angeles HUD Office.
Emergency Food and Shelter Program:
The Emergency Food and Shelter Program, formerly known as FEMA, is
another source of Federal formula funds that are awarded annually to local
jurisdictions to aid the homeless and near homeless. With the exception of
major shelter development, the eligible activities for this program are
essentially the same as ESG (i.e. essential services, shelter operating support
and homeless prevention.) Funds are generally distributed through the local
United Way.
8. Low - income Housing Preservation Program:
This competitive program provides financial incentives to retain subsidized
housing projects when Federal assistance is expiring. The owner may apply for
incentives or sell to another entity that will maintain low- income affordability
restrictions.
9. VA Homeless Providers Grant and Per Diem
The Veteran's Administration's Homeless Providers Grant and Per Diem
Program is offered annually, as funding permits, by the Department of Veterans
Affairs Health Care for Homeless Veterans Programs to fund community
agencies providing services to homeless veterans. The purpose is to promote
the development and provision of supportive housing and /or supportive
services with the goal of helping homeless veterans achieve residential
stability, increase their skill levels and /or income, and obtain greater self -
determination. Only programs with supportive housing (up to 24 months) or
service centers (offering services such as case management, education, crisis
intervention, counseling, etc.) are eligible for these funds. The program has two
levels of funding: the Grant portion and the Per Diem portion. Currently grants
of up to 65 percent of the project are awarded for the construction, acquisition,
or renovation of facilities or to purchase vans to provide outreach and services
to veterans. The program may provide partial operating funds for programs
City of Newport Beach XV - 3 2010 -2014 Consolidated Plan
Rev. 03119/10
J =,'
i
through per diem payments. Priority in awarding the Per Diem funds goes to
the recipients of Grants. Non -Grant programs may qualify if they meet these
criteria: (1) at least 75 percent of those receiving supportive services are
veterans, and (2) provide supportive housing or a homeless service center.
10. Lead -Based Paint Abatement Program:
This program provides competitive grants to State and local governments for
the development of cost effective community strategies for lead -based paint
abatement. Recipients may use the funds for rehabilitation, planning and
operating costs. A funding match is required for this program.
11. Surplus Housing to Assist the Homeless:
This program leases suitable Federal properties, rent free, to organizations
serving the homeless. The organizations must pay operating and any
rehabilitation and /or renovation costs.
12. Section 108 Loan Guarantee (Section 108):
Through Section 108, HUD guarantees notes issued by units of general local
government. Funds finance economic revitalization and development activities
that include housing and rehabilitation of privately owned buildings for
residential purposes; expansion of for - profit businesses; financing and
rehabilitation of low- income and public housing; acquisition, construction, or
rehabilitation of neighborhood and community facilities; site improvement on
community -owned land leased to a developer for a commercial or industrial
development project; site development; purchase of land or buildings for
economic development; and infrastructure development that includes street
reconstruction and /or sewer system repairs.
13. Community Services Block Grant (CSBG):
This program can fund activities to implement anti - poverty activities such as
housing counseling, emergency assistance and other supportive services.
14. Youthbuild:
This program provides assistance for activities and services to assist
economically disadvantaged youth to obtain education and employment skills
and to expand the supply of permanent affordable housing. It may be used for
planning grants or implementation grants that may be used for architectural
and engineering work, acquisition, rehabilitation, construction, relocation,
administrative costs, and education and job training services. Activities may
also include counseling, leadership skill development, support services, wages,
stipends and benefits to participants, operating expenses, replacement
reserves, legal fees, and training and technical assistance for the applicant.
15. Community Outreach Partnership Center (COPC) Program:
This HUD program provides funding for universities to become more involved
in community development activities.
16. Department of Energy:
The U.S. Department of Energy provides funds to carry out weatherization and
energy assistance programs for low- income homeowners and tenants.
City of Newport Beach XV - 4 2010 -2014 Consolidated Plan
Rev. 03119/10
i�}
17. Brownfields Economic Development Initiative (BEDI) Grants:
BEDI grants target Economic Development Initiative funds to Brownfields
projects. BEDI grants are made to local governments for use in supporting
brownfield redevelopment activities and projects financed in whole or in part
with Section 108 loan guarantees.
18. Economic Development Initiative (ED[):
The Economic Development Initiative provides grants to be used in tandem
with Section 108 guaranteed loans for economic revitalization projects. These
grants will enhance the viability of such projects (through interest rate subsidies
and debt service /operating reserves) and increase the likelihood that the
Section 108 loans can be repaid from project revenue.
19. HOPE VI (Public Housing Revitalization)
The HOPE VI (Public Housing Revitalization) Program was developed as a
result of the National Commission on Severely Distressed Public Housing. The
Commission recommended revitalization in three general areas: physical
improvements, management improvements, and social and community
services to address resident needs. Any public housing authority (PHA) that
operates public housing units with severe problems -such as crime,
maintenance, and safety problems is eligible to apply for HOPE VI. HOPE VI
permits expenditures for the capital costs of demolition, construction,
rehabilitation and other physical improvements, development of replacement
housing, planning and technical assistance, and planning and implementation
of self - sufficiency programs. It encourages PHAs to seek new partnerships with
private entities to create mixed - finance and mixed - income affordable housing
that is radically different from traditional public housing "projects." PHAs
administer the program, and can use the grants in conjunction with
modernization funds or other HUD funds, as well as municipal and State
contribution, public and private loans, and low- income tax credit equity. While
most of the funds are to be used for capital costs, a limited amount may be
used for self- sufficiency programs. Appropriations are distributed through an
annual national competition. PHAs respond to a Notice of Funding Availability
(NOFA) published in the Federal Register by submitting an application to HUD.
Each year's NOFA and application kit are automatically mailed to each eligible
PHA upon publication.
20. Federal Tax Credit and Tax Exempt Programs
The U.S. Department of the Treasury and the Internal Revenue Service
oversees several useful and important Federal housing and related programs.
Most of these programs are administered by State agencies.
a. Low Income Housing Tax Credits
The Low Income Housing Tax Credit Program (LIHTC) is an Internal
Revenue Service program (IRC Section 42) that provides federal income
tax credits to owners of rental housing where a number of units are set -
aside for low and moderate - income families. The California Tax Credit
Allocation Committee (TCAC) administers the Federal, as well as a State,
Low - Income Housing Tax Credit Program (See State programs for a
discussion of the State Low- Income Housing Tax Credit Program. Under
the Program, owners "sell" the tax credit to investors and use the proceeds
City of Newport Beach
Rev. 03/19/10
xv -5
2010 -2014 Consolidated Plan
to support the development cost of the project. Developments that are
financed with the proceeds of tax - exempt bonds may also receive federal
tax credit (See Tax - Exempt Private Activity Bond Program). In this
instance, the developer /owner of a tax - exempt development must apply to
TCAC and must conform to the federal and state statutory and regulatory
requirements, but there is no annual "cap" on the amount of credit that may
be awarded by the state to such developments. The credit available is
based on approximately 4% (instead of 9 %) of the "qualified basis" of the
development.
b. Tax - Exempt Private Activity Bond Program
The Tax Exempt Private Activity Bond Program is an Internal Revenue
Service program (I RC Section 146) that permits the issuance of tax - exempt
bonds to finance certain activities, including single- and multi - family
housing development and rehabilitation. The California Debt Limit
Allocation Committee (CDLAC) administers Tax Exempt Private Activity
Bond Program in California.
c. Federal Rehabilitation Tax Credit (a /k/a Historic Tax Credit)
The Rehabilitation Tax Credit is a two- tiered program, because there are
two tax credit rates based on the status or age of the buildings. The 20%
credit is available for income - producing buildings that are considered
certified historic structures (Historic Tax Credit). Federal historic tax credits
are available for buildings listed in the National Register of Historic Places
or located in certain historic districts that are substantially rehabilitated for
income - producing purposes according to standards set by the Secretary of
the Interior. The 10% credit is available for non - residential income
producing buildings originally used before 1936, which are not certified
historic structures. Consequently, the two credits are mutually exclusive.
d. Federal New Markets Tax Credit (NMTC) Program
The New Markets Tax Credit (NMTC) Program, which is administered by
the U.S. Department of the Treasury's Community Development Financial
Institutions (CDFI), permits taxpayers to receive a credit against Federal
income taxes for making qualified equity investments in designated
Community Development Entities (CDEs). Substantially all of the qualified
equity investment must in turn be used by the CDE to provide investments
in low- income communities. The credit provided to the investor totals 39%
of the cost of the investment and is claimed over a seven -year credit
allowance period. In each of the first three years, the investor receives a
credit equal to five percent of the total amount paid for the stock or capital
interest at the time of purchase. For the final four years, the value of the
credit is six percent annually. Investors may not redeem their investments
in CDEs prior to the conclusion of the seven -year period. NMTCs will be
allocated annually by the Fund to CDEs under a competitive application
process. These CDEs will then sell the credits to taxable investors in
exchange for stock or a capital interest in the CDEs. To qualify as a CDE,
an entity must be a domestic corporation or partnership that: 1) has a
mission of serving, or providing investment capital for, low- income
communities or low- income persons; 2) maintains accountability to
City of Newport Beach
Rev. 03/19/10
2010 -2014 Consolidated Plan
, � � I
residents of low- income communities through their representation on a
governing board of or advisory board to the entity; and 3) has been certified
as a CDE by the CDFI Fund. The Fund is currently accepting applications
from entities seeking CDE certification. A listing of current CDEs may be
found at http : / /www.cdfi.orci/resource.asr).
21. Public Works and Development Facilities Program
Grants are provided to help distressed communities attract new industries,
encourage business expansion, diversify local economies, and generate long -
term, private- sector jobs. Projects funded include water and sewer facilities
primarily serving industry and commerce, access roads to industrial parks or
sites, port improvements, and business incubator facilities. A proposed project
must be located within or provide a substantial direct benefit to an area in
severe economic distress, that is, one that is experiencing high unemployment,
low per capita income, or sudden economic changes such as those caused by
a military base closure.
22. Rebuild America
Rebuild America helps community and regional partnerships improve the
energy efficiency of commercial and multifamily buildings. Partners may include
government agencies, economic development organizations, energy services
companies, financial institutions, utilities, private businesses, and nonprofit
organizations. Rebuild America provides technical assistance and helps
identify sources for financial assistance but does not provide funding or
financing for building projects.
23. Technology Opportunity Program
This program provides matching grants to nonprofit organizations such as
schools, libraries, hospitals, public safety entities, and state and local
governments. Grants fund projects that improve the quality of, and the public's
access to, education, healthcare, public safety, and other community -based
services. The grants are used to purchase computer equipment and software,
train staff and users, and provide connections to the Internet. Funds also
support evaluation and dissemination of project findings.
24. Housing Preservation Grant Program
This program also makes available funds to repair housing. Non - profits receive
grants and they in turn make funds available to homeowners that cannot afford
to make needed repairs.
25. Multifamily Housing and Health Care Facilities Mortgage Insurance
Programs
The Federal Housing Administration (FHA), part of the U.S. Department of
Housing and Urban Development (HUD), provides mortgage insurance
programs that make capital available for, and facilitate the development of,
multifamily rental housing and healthcare facilities. FHA insures loans that are
originated by private, HUD - approved lenders. Project sponsors are responsible
for finding a HUD - approved lender to write the loan and for submitting an
application for commitment to the local HUD office.
City of Newport Beach XV - 7 2010 -2014 Consolidated Plan
Rev. 03/19/10
26. Head Start/Early Head Start
This program awards grants to local public and private nonprofit and for - profit
agencies for comprehensive child development services for children and
families. Intended primarily for low- income families, the program fosters the
development of children and enables them to deal more effectively with both
their present environment and later responsibilities in school and community
life.
Programs and funds at the State level are available to address the
Consolidated Plan's priority needs, such as grants and other revenues that
provide funding to the City or other organizations within Newport Beach.
B. State Public Resources
Programs and funds at the State level are available to address the Consolidated
Plan's priority needs, such as grants and other revenues that provide funding to the
City or other organizations within Newport Beach.
California Department of Housing and Community Development Programs
a. Building Equity and Growth in Neighborhoods Program
The Building Equity and Growth in Neighborhoods Program (BEGIN) seeks
to reduce local regulatory barriers to affordable ownership housing and to
provide downpayment assistance loans to qualifying first -time low- and
moderate - income buyers of homes in BEGIN projects. BEGIN provides
grants to cities and counties to make deferred - payment second mortgage
loans to qualified buyers of new homes, including manufactured homes on
permanent foundations, in projects with affordability enhanced by local
regulatory incentives or barrier reductions.
b. CalHome Program
The CalHome Program, via grants to local public agencies and nonprofit
developers, assists low and very-low income households to become or
remain homeowners. CalHome provides grants to local public agencies or
nonprofit corporations for first -time homebuyer downpayment assistance,
home rehabilitation, including manufactured homes not on permanent
foundations, acquisition and rehabilitation, homebuyer counseling, self -help
mortgage assistance programs, or technical assistance for self -help
homeownership. All funds to individual homeowners will be in the form of
loans. CalHome also provides loans for real property acquisition, site
development, predevelopment, construction . period expenses of
homeownership development projects, or permanent financing for mutual
housing and cooperative developments. Project loans to developers may
be forgiven as developers make deferred payment loans to individual
homeowners. CALHOME assistance (indirect) to individual households will
be in the form of deferred - payment loans, payable on sale or transfer of the
homes, or when they cease to be owner- occupied, or at maturity.
CalHome grant and loan applications are invited through the issuance of
Notices of Funding Availability (NOFAs).
City of Newport Beach
Rev. 03/19/10
XV -8
2010 -2014 Consolidated Plan
j Or)
c. Emergency Housing and Assistance Program Operating Facility
Grants
The Emergency Housing and Assistance Program Operating Facility
Grants (EHAP) program provides facility operating grants to local
government agencies and nonprofit corporations that shelter the homeless
on an emergency or transitional basis. Funds are used for support
services for emergency shelters, transitional housing projects, and
supportive services for homeless individuals and families. Each county
receives a formula grant allocation. Grants may be used to provide: 1)
direct client housing, including facility operations and administration,
residential rent assistance, leasing and renting of rooms for provision of
temporary shelter, capital development activities of up to $20,000 per site,
and 2) administration of the award (limited to 5 percent).
d. Emergency Housing and Assistance Program Capital Development
The Emergency Housing and Assistance Program Capital Development
(EHAPCD) program funds capital development activities for emergency
shelters, transitional housing, and safe havens that provide shelter and
supportive services for homeless individuals and families. Funds may be
used to acquire, construct, convert, expand and /or rehabilitate emergency
shelter, transitional housing, and /or safe haven housing and administration
of the award (limited to 5 percent).
e. Mobile Home Park Resident Ownership Program (MPROP)
The Mobilehome Park Resident Ownership Program (MPROP) provides
financial assistance for the preservation of affordable mobile home parks
by conversion to ownership or control by resident organizations, nonprofit
housing sponsors, or local public agencies. The program provides for 1)
Short -term conversion loans at three percent simple annual interest for up
to 3 years to enable a resident organization, nonprofit sponsor or local
public agency to purchase a mobile home park; 2) Long -term blanket loans
at three percent simple annual interest for up to 30 years for long -term
financing of a park purchase, or for a resident organization, nonprofit or
local public agency that has purchased a park to help low- income residents
finance the purchase of shares or spaces in the park; and 3) Long -term
individual loans at three percent simple annual interest, to low- income
residents of a mobile home park that has been converted, to ensure
housing affordability when the resident buys a cooperative interest, a
share, a planned unit development space, or a condominium space in the
park.
f. Multi- family Housing Program (MHP)
The Multi- family Housing Program (MHP) assists the new construction,
rehabilitation and preservation of permanent and transitional rental housing
for lower income households. Eligible applicants include local public
entities, for - profit and nonprofit corporations, limited equity housing
cooperatives, individuals, Indian reservations and rancherias, and limited
partnerships in which an eligible applicant or an affiliate of an applicant is a
general partner. Applicants or their principals must have successfully
developed at least one affordable housing project. The 55 year deferred
City of Newport Beach XV - 9 2010 -2014 Consolidated Plan
Rev. 03/19/10
payment loans may be used for new construction, rehabilitation, or
acquisition and rehabilitation of permanent or transitional rental housing,
and the conversion of nonresidential structures to rental housing. Projects
are not eligible if construction has commenced as of the application date,
or if they are receiving 9% federal low income housing tax credits. MHP
funds will be provided for post- construction permanent financing only.
Eligible costs include the cost of child care, after - school care and social
service facilities integrally linked to the assisted housing units; real property
acquisition; refinancing to retain affordable rents; necessary onsite and
offsite improvements; reasonable fees and consulting costs; and
capitalized reserves.
g. Predevelopment Loan Program (PDLP)
The Predevelopment Loan Program (PDLP) provides predevelopment
capital to finance the start of low- income housing projects.
Predevelopment loans are provided at three percent simple annual interest
loans for up to two years. Maximum loan amount for purposes other than
site option or site purchase is $100,000. The maximum amount committed
to any one borrower at any point in time is announced in each Notice of
Funding Availability (NOFA). PDLP funds may be used to construct,
rehabilitate, convert or preserve assisted housing, including manufactured
housing and mobile home parks. Eligible project costs include, but are not
limited to, site control, site acquisition for future low- income housing
development, engineering studies, architectural plans, application fees,
legal services, permits, bonding and site preparation. Priority will be given
to developments which are rural, located in the public transit corridors, or
which preserve and acquire existing government- assisted rental housing at
risk of conversion to market rents. Eligible applicants under the PDLP
Program include local government agencies, nonprofit corporations,
cooperative housing corporations, and limited partnerships or limited
liability companies where all the general partners are nonprofit mutual or
public benefit corporations. Applications are accepted and evaluated, and
funds awarded, on a continuous basis as funds are available.
h. Preservation Interim Repositioning Program
The Preservation Interim Repositioning Program (PIRP) loan proceeds will
be used to finance the acquisition of at -risk rental housing for the purpose
of preserving affordability. California HCD has committed all available
funds to Mercy Housing California, which expects to use them itself to
acquire qualified properties. Potential property sellers should contact Mercy
Housing.
City of Newport Beach
Rev. 03/19/10
Exterior Accessibility Grants for Renters
The Exterior Accessibility Grants for Renters (EAGR) helps lower income
rental tenants with disabilities make exterior modifications to their rental
housing to make it accessible. The program provides grants to local
government or nonprofit recipients, to make grants to lower income renters
with disabilities. Grant funds may be used to make exterior modifications to
entryways or common areas of rental housing structures or property to
XV -10
2010 -2014 Consolidated Plan
i
make the housing accessible to persons with disabilities. Applications are
invited through issuance of Notices of Funding Availability (NOFAs).
Workforce Housing Reward Program
The Workforce Housing Reward Program (WHRP) provides financial
incentives for their issuance of building permits for new affordable housing
to very low or low- income households. Grant amounts are based on the
numbers of bedrooms in units restricted for very low and low- income
households for which final land use approval is issued during the 12 -month
reporting period. Qualifying rental units must be rent - restricted for at least
55 years. Ownership units must be initially sold to qualifying households at
an affordable cost. Any public funds used to achieve affordability in
ownership units must be recovered on resale and reused for affordable
housing for at least 20 years. WHRP grants for very low income units will
be greater than grants for low- income units. WHRP funds may be use for
the construction or acquisition of capital assets such as traffic
improvements, neighborhood parks, bike paths, libraries, school facilities,
play areas, community centers, police or fire stations.
k. Joe Serna, Jr. Farmworker Housing Grant (JSJFWHG) Program
The Joe Serna, Jr. Farmworker Housing Grant (JSJFWHG) Program
provides financing for the new construction, rehabilitation and acquisition of
owner - occupied and rental units for agricultural workers, with a priority for
lower income households. The JSJFWHG program provides: 1)
homeowner grants for rehabilitation or new home construction and 2) rental
rehabilitation and new construction grants. Grant and loan funds may be
used for costs in the development of homeowner or rental housing for
agricultural workers, including land acquisition, site development,
construction, rehabilitation, design services, operating and replacement
reserves, repayment of predevelopment loans, provision of access for the
elderly or disabled, relocation, homeowner counseling, and other
reasonable and necessary costs. JSJFWHG applicants may include local
government agencies, nonprofit corporations, cooperative housing
corporations, limited partnerships where all the general partners are
nonprofit mutual or public benefit corporations, and federally recognized
Indian tribes. Eligible beneficiaries of the grants are households with at
least one person who derives, or prior to retirement or disability derived, a
substantial portion of their income from agricultural employment.
2. California Housing Finance Agency Programs
The California Housing Finance Agency (CaIHFA) operates several- single-
family, multi - family and special housing programs.
a. Single - Family Programs
CalFHA has more than ten single - family programs providing mortgage
loans, mortgage loans with downpayment assistance, and standalone
downpayment assistance programs. A complete directory and description
of each of their programs may be found at:
http: / /www.calhfa.ca.gov /homeownership/ programs /index.htm.
City of Newport Beach Xv - 11 2010 -2014 Consolidated Plan
Rev. 03/19/10
r
b. Multi- family Programs
Multi- family Programs provide permanent financing for the acquisition,
rehabilitation, and preservation or new construction of rental housing that
includes affordable rents for low- and moderate - income families and
individuals. CalHFA multi - family programs include:
• The Permanent Financing Program provides permanent loan
financing for new multi - family construction projects and existing
affordable housing multi - family projects.
• The Special Needs Financing Program offers low interest rate
financing for the development of rental housing to serve a broad
range of special needs tenants in need of supportive services.
• The Tax - Exempt Bridge Financing Program offers tax - exempt
bridge loans for projects receiving 4% tax credits at an amount
necessary to ensure the award of tax credits.
• The Preservation Acquisition Program is designed to preserve at-
risk affordable housing developments by providing low -cost
acquisition financing. The fund is comprised of monies authorized
by Proposition 46 (`Bond Funds') and funds from CalHFA ( "Agency
Funds "). Assisted housing developments eligible for Program
include: Section 8 assisted, BMIR 221 (d)(3), Section 236, Section
202, Programs under Rent Supplement Assistance, Section 515,
and Section 42 of the Internal Tax Revenue Code.
The 202 Refinance Program offers owners of existing Section 202
developments the opportunity to refinance their direct HUD loans
through CaIHFA under more favorable terms and conditions.
Owners must agree to maintain affordable occupancy restrictions,
comply with HUD requirements, and undertake appropriate
rehabilitation of the property.
• The Construction Loan Program is designed to provide construction
loans at commercially competitive rates and terms to developments
approved for
• CaIHFA permanent financing that are otherwise subject to State
prevailing wage requirements.
c. Special Programs
The Small Business Development Loan Program is designed to assist
small developers whose projects would not otherwise be funded through
conventional sources given the developer's experience, capital, project size
and /or location. This program provides up to $300,000, on a 50%
reimbursement basis, for soft costs incurred in connection with a
development that will be financed by CaIHFA.
City of Newport Beach XV - 12 2010 -2014 Consolidated Plan
Rev. 03/19/10
The HELP Program offers a 3% interest rate loan to local government
agencies for their locally determined affordable housing activities and
priorities. HELP Program funds must be used to directly produce affordable
housing units, however, there is virtually unlimited flexibility for the local
agency to determine the specific housing activity and use of the funds in
providing for the acquisition, development, rehabilitation, or preservation of
affordable rental or ownership housing.
3. California Office of the Treasurer Programs
The Office of the Treasurer oversees several important program initiatives
available to address the Consolidated Plan's priority needs.
a. Low Income Housing Tax Credits
As previously noted (See Federal Programs. Tax Credit and Tax Exempt
Bond Programs), the California Tax Credit Allocation Committee (TCAC)
administers a Federal and State Low - Income Housing Tax Credit Program.
The Federal Program is an Internal Revenue Service program (Section 42)
that provides federal income tax credits to owners of rental housing where
a number of units are set -aside for low and moderate - income families.
Owners "sell" the credits to investors and use the funds to support the
development cost of the project. Developments that are financed with the
proceeds of tax - exempt bonds may also receive federal tax credit (See
Tax - Exempt Private Activity Bond Program). In this instance, the
developer /owner of a tax - exempt development must apply to TCAC and
must conform to the federal and state statutory and regulatory
requirements, but there is no annual "cap' on the amount of credit that may
be awarded by the state to such developments. The credit available is
based on approximately 4% (instead of 9 %) of the "qualified basis" of the
development.
City of Newport Beach
Rev. 03119/10
Recognizing the high cost of developing housing in California, the State
legislature authorized a state low income housing tax credit program
( "State Program ") to augment the Federal Program. The State credit is only
available to a project which has previously received, or is concurrently
receiving, an allocation of federal credits. The state program does not
stand alone, but instead, supplements the federal tax credit program.
California's tax credit program was structured to mirror the federal program
with certain exceptions. In addition to the state credit only being available
to projects that also receive a federal credit, other major differences
include:
TCAC gives priority for state credit allocations to projects not
located in a designated high cost area and those using HOME
funds to finance eligible costs.
• The applicable percentage to be applied to the qualified basis for
determining the amount of state credits is 30% for projects which
are not federally subsidized, and 13% for projects which are
federally subsidized, in contrast to 9% and 4% for the federal credit.
-13 2010 -2014 Consolidated Plan
• State credits are not available for acquisition costs, except for
already assisted projects that qualify as "at- risk" of being converted
to market rate.
• The State program has a rate of return limitation. Any surplus
revenues generated above the limitation must be used to reduce
rents.
Additional information and regulations for both the Federal and State
Programs may be found at http: / /www.treasurer.ca.gov /ctcac.
b. Tax - Exempt Private Activity Bond Program
The California Debt Limit Allocation Committee (CDLAC) administers the
tax - exempt private activity bond program available annually for California.
Federal and state revenues are not utilized in this program. The maximum
issuance amount, which is set by the Federal government, for calendar
year 2004 was over $2.8 billion. The bonds issued are purchased by the
private sector and the repayment is not an obligation of the state or of the
federal government. Agencies and organizations authorized to issue tax -
exempt private activity bonds or mortgage credit certificates must receive
an allocation from CDLAC. For additional information on the bond
allocation process, visit http : / /www.treasurer.ca.gov /cd[ac.
Three of the six tax - exempt private activity bond programs may be used for
housing activities. The three housing programs are:
City of Newport Beach
Rev. 03/19/10
QualiFed Residential Rental Project Program
State and local governmental agencies and joint powers authorities
can issue tax - exempt housing revenue bonds. These bonds assist
developers of multifamily rental housing units to acquire land and
construct new units or purchase and rehabilitate existing units. The
tax - exempt bonds lower the interest rate paid by the developers. The
developers in turn produce market rate and affordable rental housing
for low and very low- income households by reducing rental rates to
these individuals and families. Projects that receive an award of bond
authority have the right to apply for non - competitive 4% tax credits
(See Low Income Housing Tax Credits).
Bond authority for Rental Projects is awarded in three allocation
rounds and to three sub- pools: the General Pool (Projects having more
than 50% of total units designated as Restricted Rental Units); the
Mixed Income Pool (Projects having 50% or fewer of total unity
designated as Restricted Rental Units); and the Rural Project Pool
(Projects located in a rural area as defined by California Health and
Safety Code Section 50199.21 but shall not include a Mixed Income
Project).
ii. Single- Family Housing Program
State and local governmental agencies and joint powers authorities
can issue tax - exempt mortgage revenue bonds (MRBs) or mortgage
credit certificates (MCCs) to assist first -time homebuyers to purchase
2010 -2014 Consolidated Plan
homes. These agencies and authorities may issue MRBs, the
proceeds of which back below market interest rate mortgages. As an
alternative to issuing MRBs, state and local governmental agencies
and joint powers authorities may issue MCCs. Homebuyers use the
MCC to reduce their federal tax liability by applying the credit to their
net tax due. Homebuyers may purchase single - family homes, either
freestanding detached, condominiums or townhouses. Program
participants must meet program income limits and must purchase a
home that falls within the program's purchase price limitations.
iii. Extra Credit Home Purchase Program
State and local governmental agencies and joint powers authorities
can issue tax - exempt mortgage revenue bonds (MRBs) or mortgage
credit certificates (MCCs) to assist teachers, principals and other
credentialed school staff purchase homes. These agencies and
authorities may issue MRBs, the proceeds of which back below market
interest rate mortgages. As an alternative to issuing MRBs, state and
local governmental agencies and joint powers authorities may issue
MCCs. Homebuyers use the MCC to reduce their federal tax liability by
applying the credit to their net tax due. Homebuyers may purchase
single - family homes, freestanding detached homes, condominiums or
townhouses. Participants must be employed at a low- performing
school (a California K -12 public school that is ranked in the bottom
50% of all the schools based on the most recent Academic
Performance Index (API), i.e. schools receiving an API Statewide
Ranking of 1, 2, 3, 4 or 5) and make a commitment to work at a low
performing school for at least three years. In addition, Program
participants must meet program income limits and must purchase a
home that falls within the program's purchase price limitations.
C. Local Public Resources
Local funds and programs are also available to address the Consolidated Plan's
priority needs.
1. County of Orange
The County of Orange offers a Mortgage Credit Certificate (MCC) program
throughout Orange County, including the City of Newport Beach.
2. Orange County Area Housing & Finance Agency (OCHFA):
Newport Beach is a member of the Orange County Area Housing & Finance
Agency (OCHFA), which sponsors the Public Lease - Purchase Home
Ownership Program in the member cities. Through its Public Lease - Purchase
program, OCHFA offers moderate - income home buyers offers a mortgage for
100% of the purchase price of the home with no closing costs. During the
lease period, the home is owned by a non - profit governmental agency.
3. Southern California Home Financing Authority (SCHFA)
SCHFA is a joint powers authority between Los Angeles and Orange Counties
formed in June 1988 to issue tax - exempt mortgage revenue bonds for low and
City of Newport Beach xv - 15 2010 -2014 Consolidated Plan
Rev. 03/19/10
s v
t,
moderate income First Time Homebuyers. The program is administered by the
Community Development Commission of the County of Los Angeles and
County Executive Office of the County of Orange on behalf of the SCHFA. The
Authority has helped thousands of individuals and families.
4. Orange County Continuum of Care
Orange County's homeless system of care is comprised of a network of public,
private, faith - based, for - profit, and non - profit service providers. County
agencies such as the County Executive Office, Health Care, Social Services,
Community Services, and Housing and Community Development provide direct
services for the homeless and /or significant resources for agencies serving the
homeless. The region's municipalities, including the City of Newport Beach,
also provide substantial resources for services that assist the homeless and
those at risk of becoming homeless. The County's non - profit community is a
critical player in the current Continuum of Care system. Hundreds of agencies
throughout the County provide programs ranging from feeding the homeless on
the street to creating permanent supportive housing opportunities. These
services are available to homeless families with children and single men and
women. The County's non - profit community also serves special need
populations, such as victims of domestic violence, veterans, the disabled and
youth.
In 1998, the Orange County Board of Supervisors approved the establishment
of the Continuum of Care Leadership Cabinet. The mandate of the Leadership
Cabinet is to provide direction to the Director of Housing and Community
Development and to assist in the development and maintenance of the
countywide comprehensive continuum of care planning process for the delivery
of services to homeless men, women and children. The goal of the Leadership
Cabinet is to coordinate the involvement of three primary groups: private
industry, homeless experts, and the public sector in the continuum of care
planning process. The Leadership Cabinet is also responsible for working with
H &CD staff to design the planning process for each year's Supportive Housing
Program homeless competition and to provide direction on the organization of
the application review and evaluation processes.
Programs and initiatives operated by the Orange County Continuum of Care
fall into the following categories:
Homelessness Prevention
• Outreach
• Emergency Shelter
• Transitional Housing
• Permanent Supportive and Permanent Affordable Housing
• Service Coordination
Orange County Continuum of Care funds programs according to the need and
in keeping with the Continuum of Care, described in the Consolidated Plan.
City of Newport Beach
Rev. 03/19/10
XV -16
2010 -2014 Consolidated Plan
5. Orange County Housing Authority (OCHA)
The Orange County Housing Authority (OCHA) is a division of the County's
Housing and Community Services Department that administers rental
assistance programs throughout Orange County. Currently, OCHA helps more
than 9,600 households through tenant based rental assistance programs.
Persons receiving assistance include those over 62 years of age or who have
disabilities, and low- income households residing in 31 participating cities and
the unincorporated areas of Orange County. According to the OCHA, 615 of
these assisted households resided in Newport Beach as of June 30, 2004.
Such programs allow income - qualified households to receive rental assistance
in a variety of apartments, houses, and other rental dwellings owned by private
landlords. Funding for tenant -based rental assistance programs is provided by
the Department of Housing and Urban Development (HUD).
D. Private Resources
Funds from private sources are also available to address the Consolidated Plan's
priority needs from partners such as private lenders, nonprofit organizations, and
citizens.
Federal Home Loan Bank Affordable Housing Program (AHP):
The Affordable Housing Program is designed to finance housing for low and
moderate- income families. The Federal Home Loan Bank System makes the
funds available by setting aside a percentage of net earnings as subsidy.
Federal Home Loan Banks are sources of wholesale credit and lend only to
financial institutions that are member stockholders of the Federal Home Loan
Bank. Nonprofits, local governments, community development corporations,
individuals, and others seeking the funding should establish a relationship with
a member institution. Housing developers can use the funds in a variety of
ways to fund new construction, purchase and /or rehabilitation of owner -
occupied and rental housing for very low -, low -, and moderate- income
households. Funds are available to member institutions as below market rate
loans or direct loans. Generally, recipients are required to match direct grants
with an equal contribution of funds from other sources. Application deadlines
are April and October each year.
2. Community Reinvestment Act Programs:
Programs promoted by local financial institutions designed to assist low and
moderate - income buyers and /or target low- income neighborhoods.
3. United Way:
The United Way provides funding to local social service organizations, many of
which are involved in housing or supportive services.
4. Private Contributions:
Many nonprofit organizations rely heavily on private contributions. In addition to
cash, contributions may include donated labor and materials. Habitat for
Humanity is one nonprofit organization that receives sponsorships that include
donated labor and materials.
City of Newport Beach XV - 17 2010 -2014 Consolidated Plan
Rev. 03119110
�-X
y�
Appendices
City of Newport Beach Appendices 2010 -2014 Consolidated Plan
Rev. 03/19110
®�
�
t
4� «�
Appendix "'
Needs Assessment Survey (English)
iti
;ti CITY OF NEWPORT BEACH
p.
NEEDS ASSESSMENT SURVEY
Residents Survey
The City of Newport Beach receives approximately $450,000 in federal funds each year for housing and community
development projects. The City of Newport Beach wants you to have a voice in how the City invests this money. please assist
us by filling out this survey.
1) Consider the needs in your community and how they can be improved. 2) Rate the level of need for each of the following
items and circle the level that best applies.
Community Facilities
Lowest
Highest
Community Services
Lowest
Highest
Senior Centers
1
2
3
4
Senior Activities
1
2
3
4
Youth Centers
1
2
3
4
Youth Activities
1
2
3
4
Child Care Centers
1
2
3
4
Park and Recreational Facilities 1
2
3
4
Child Care Services
1
2
3
4
Health Care Facilities
1
2
3
4
Transportation Services
1
2
3
4
Community Centers
1
2
3
4
Anti -Crime Programs
1
2
3
4
Fire Stations & Equipment
1
2
3
4
Health Services
1
2
3
4
Libraries
1
2
3
4
Mental Health Services
1
2
3
4
Legal Services
1
2
3
4
Infrastructure
Lowest
Highest
Neighborhood Services
Lowest
Highest
Drainage Improvement
1
2
3
4
Tree Planting
1
2
3
4
Water /Sewer Improvement
1
2
3
4
Trash & Debris Removal
1
2
3
4
Street/Alley Improvement
1
2
3
4
Graffiti Removal
1
2
3
4
Street Lighting
1
2
3
4
Code Enforcement
1
2
3
4
Sidewalk Improvements
1
2
3
4
Parking Facilities
1
2
3
4
Cleanup of Abandoned
Lots and Buildings
1
2
3
4
Special Needs Services
Lowest
Highest
Businesses & Jobs
Lowest
Highest
Centers/Services for Disabled
1
2
3
4
Start Up Business Assistance
1
2
3
4
Accessibility Improvements
1
2
3
4
Small Business Loans
1
2
3
4
Domestic Violence Services
1
2
3
4
Job Creation /Retention
1
2
3
4
Substance Abuse Services
1
2
3
4
Employment Training
1
2
3
4
Homeless Shelters /Services
1
2
3
4
Commercial /Industrial
HIV /AIDS Centers & Services
1
2
3
4
Rehabilitation
1
2
3
4
Neglected /Abused Children
Facade Improvements
1
2
3
4
Centers and Services
1
2
3
4
Business Mentoring
1
2
3
4
City of Newport
Rev. 03/19/10
(over)
Appendix A- 1 2010 -2014 Consolidated Plan
Housing
Lowest
Highest
Residential Rehabilitation
1
2
3
4
Homeownership Assistance
1
2
3
4
Housing for Disabled
1
2
3
4
Senior Housing
1
2
3
4
Single Family Housing
1
2
3
4
Large Family Housing
1
2
3
4
Affordable Rental Housing
1
2
3
4
Fair Housing
1
2
3
4
Lead -Based Paint Test/Abatement
1
2
3
4
Residential Historic Preservation
1
2
3
4
Non - Residential Historic Preservation 1
2
3
4
Energy Efficient Improvements
1
2
3
4
Please write in any additional needs that you feel are important and are not listed above:
PART It - As part of this planning process, the City of Newport Beach must also analyze factors that limit fair
housing choice in the City of Newport Beach. Your own experiences will contribute to the efforts to research
obstacles such as the nature and extent of housing discrimination in the City.
This information will be used to assist in developing strategies to overcome impediments to fair housing choice.
This survey is for informational gathering purposes only.
1. Do you believe housing discrimination is
an issue in your neighborhood?
Yes No
2. Have you ever experienced discrimination in housing? Yes No
(If Yes, please proceed to Questions 3, 4,
and 5)
3. Who do you believe discriminated against you?
_ Landlord /property manager Real estate agent
Mortgage lender _ Mortgage insurer
4. On what basis do you believe you were discriminated against?
Race Color National Origin Religion Gender
_ Familial Status (single - parent with children, family with children or expecting a child)
Disability (either you or someone close to you)
5. If you believe you have been discriminated, have you reported the incident? Yes No
If No - WHY? -d- don't know where to report _ afraid of retaliation
—too mu ch trouble _ don't believe it makes any difference
If you feel you may have been discriminated against, please contact the Fair Housing Council of On:nge County
at (714) 559 -0823.
Once you have completed the survey, please return the document to the City of Newport Beach,
Planning Department at 3300 Newport Blvd. Newport Beach, CA 92658 -8915. If you have any questions
regarding this survey or need additional information please call 9491644 -3230.
Thank you for your assistance!
City of Newport Beach Appendix A- 2 2010 -2014 Consolidated Plan
Rev. 03/19/10
00
Needs Assessment Survey (Spanish)
CIUDAD DE NEWPORT BEACH
'•;'�P ENCUESTA DE NECESIDADES
Encuesta Para Residentes
La Ciudad de Newport Beach recibe aproximadamente $357,350 anualmente en fondos federales del Departamento
de Vivienda y Desarollo Urbano (HUD). EI Ayuntamiento de la Ciudad de Newport Beach quiere que Usted tenga
la oportunidad de opinar en como el Ayuntamiento podria invertir este dinero. Por favor ayudenos y complete esta
encuesta.
1) Considere las necesidades en so comunidad y como se pueden mejorar. 2) Marque con un circulo el numero m3s
apropiado que indica el nivel de necesidad para cada uno de los siguientes objetivos y circule of n6mero mas
apropiado.
! / /ilica /nc niimarne deJ 7 M .. ,d .,.:.,,,..,, a :..a:,... 1- a,..i ...,...,._�
Centros Comunitarios Menor
Centros Para Personas de la 3ra. Edad 1
Centros Para J6venes 1
Guarderias Infantiles 1
Parques y Sitios de Recreo - 1
Sitios Para Cuidado de Is Salud 1
Centros Comunitarios 1
Estaciones de Bomberos y Equipo 1
Bibliotecas 1
2
2
2
2
2
2
2
2
Mayor
3 4
3 4
3 4
3 4
3 4
3 4
3 4
3 4
Servicios Comunitarios
Actividades Para Personas de
Is 3ra. Edad
Actividades Para J6venes
Servicios Para Cuidado de Ninos
Servicios de Transportaci6n
Programas Contra el Crimen
Servicios de Salud
Servicios de Salud Mental
Servicios de Asesoria Legal
Menor
1 2
1 2
1 2
1 2
1 2
1 2
1 2
1 2
Mayor
3 4
3 4
3 4
3 4
3 4
3 4
3 4
3 4
Infraestructura Menor
Mayor
Servicios Vecindarios
Menor
Mayor
Mejoramiento de Drenajes 1
2
3
4
Instalaci6n de Arboles
1
2
3
4
'.. Mejoramiento de Agua /Alcantarillados 1
2
3
4
Limpieza de Basura
1
2
3
4
Mejoramiento de Calle /Callejones 1
2
3
4
Limpieza de Graffito
1
2
3
4
Imponer el cumplimiento de
Alumbrado Publico 1
2
3
4
los C6digos Municipales
1
2
3
4
Mejoramiento de Aceras 1
2
3
4
Sitios de Estacionamiento
1
2
3
4
Limpieza de Lotes Valdios
y Edifcios Abandonados
1
2
3
4
Servicios Para Necesidades Especiales
Negocios y Trabajos
Menor
Mayor
Menor
Mayor
Centros/Servicios Para Discapacitados 1
2
3
4
Ayuda Para Negocios Nuevos
1
2
3
4
Mejoramiento de Accesibilidad 1
2
3
4
Prestamos Para Negocios
Servicios Para Violencia Domestica 1
2
3
4
Pequenos
1
2
3
4
Servicios Para Abuso de Drogas 1
2
3
4
Creation /Retention de Trabajos
1
2
3
4
Servicios Para Personar Sin Hogar 1
2
3
4
Entrenamiento Para Empleos
1
2
3
4
Centros /Servicios Para VIH /SIDA 1
2
3
4
Rehabilitation Comercial/
Centros/Servicios Para Nihos 1
2
3
4
Industrial
1
2
3
4
Desamparados /Abusados 1
2
3
4
Mejoramiento de Fachada
1
2
3
4
Asesorla Para Negocios
1
2
3
4
(reverso)
City of Newport Beach Appendix A- 3 2010 -2014 Consolidated Plan
Rev. 03119/10
Vivienda Menor Mayor
Rehabilitaci6n Residencial 1 2 3 4
Ayuda Para Duenos Primerizos 1 2 3 4
Vivienda Para Discapacitados 1 2 3 4
Vivienda Para Personas de la 3ra. Edad 1 2 3 4
Vivienda Para Familias 1 2 3 4
Vivienda Para Familias Grandes 1 2 3 4
Vivienda Para Renta (rentas razonables) 1 2 3 4
Vivienda Justa 1 2 3 4
Pruebas Para el Plomo en la Pintura 1 2 3 4
Preservaci6n de Residencias Hist6ricas 1 2 3 4
Preservaci6n de Sitios Hist6ricos 1 2 3 4
Mejoramientos en el consumo de Energia 1 2 3 4
Por favor indique alguna otra necesidad que Ud. crea qua no fue mencionada:
SEGUNDA PARTE – Como parte del proceso de planificaci6n, el Ayuntamiento de la Ciudad de Newport
Beach tiene que analizar los factores que limitan el derecho de escoger vivienda iusta dentro de la
ciudad de Newport Beach. Sus propias experiencias contribuiran a Jos esfuerzos para reconocer los
obstaculos tales como el tipo y severidad de discriminaci6n de vivienda en esta regi6n.
Esta informaci6n se usara Para desarrollar estrategias Para sobrevenir Jos impedimentos del derecho de
escoger vivienda iusta. Esta encuesta se usara Para obtener informaci6n unicamente.
1. 4Cree Usted que la discriminaci6n de vivienda es un problema en su vecindad?
Si No
2. �Ha tenido Usted una experiencia de discriminaci6n de vivienda? —Si —No
(Si march Si, proceda a ]as Preguntas 3, 4, and 5)
3. 4Ouien cree que to discrimin6?
_ Propietario /Manejador de Propiedad _ Agente de Bienes Y Raices
Prestamista de Hipoteca Agente de Seguro de Hipoteca
4. 4Por cual raz6n cree Usted que to discriminaron?
_ Roza Color _ Origen Nacional _ Religi6n _ Sexo
_ Situaci6n de Familia (padre unico con ninos, familia con ninos o familia esperando nino)
_ Incapacidad ( Usted o alguien cerca a Usted)
5. Si Usted cree que to han discriminado, Flo ha reportado? _Si _ No
Si No – gPor que no? _ no sabe a donde reportar _ terror de venganza
_ mucho trabajo no cree que hard diferencia
Si Usted siente que lo han discriminado, por favor flame a Fair Housing of Orange County al at (714) 569-
0823.
Una vez que haya terminado la encuesta, por favor regrese este documento al Ayuntamiento de la
Ciudad de Newport Beach, Departamento de Desarrollo Econ6mico, 3300 Newport Blvd, Newport
Beach, CA 92658. Si tiene preguntas referente a esta encuesta 6 necesita informaci6n adicional,
flame al (949) 644 -3230.
IGRAC /ASl
City of Newport Beach Appendix A- 4 2010 -2014 Consolidated Plan
Rev. 03/19/10
iQ�Z
Appendix "B"
Notice of Community Meeting
CITY OF NEWPORT BEACH
COMMUNITY DEVELOPMENT BLOCK GRANT
COMMUNITY MEETING &
NEEDS ASSESSMENT SURVEY
The City of Newport Beach invites you to attend a meeting to discuss
the short- and long -term needs of the community and how Community
Development Block Grant (CDBG) federal funds may be used to meet
those needs.
DATE: Wednesday, August 26, 2009
TIME: 6 p.m. to 7 p.m.
LOCATION: City Hall— Council Chambers
3300 Newport Boulevard,
Newport Beach, CA 92663
It is the intention of the City of Newport Beach to comply with the
Americans with Disabilities Act (ADA) in all respects. If, as an
attendee or a participant at this meeting, you will need special
assistance beyond what is normally provided, the City of Newport
Beach will attempt to accommodate you in every reasonable manner.
Please contact Katie Bowden, Economic Development Coordinator, at
(949) 644 -3230 at least 72 hours prior to the meeting to inform us of
your particular needs and to determine if accommodation is feasible.
The City encourages residents to complete and return the
Community Needs Assessment Survey for the CDBG Program.
Surveys are available at:
-The Planning Department at City Hall located at 3300 Newport
Boulevard, Newport Beach, CA 92663;
• The Newport Beach Public Library — Central Library located at
1000 Avocado Avenue,
Newport Beach, CA 92660; and
*Online at www.newportbeachca.gov. Click on "Departments
and Services ", "Planning ", and "CDBG — Community
Development Block Grant ".
Completed surveys should be returned to the Planning Department —
Economic Development Division by September 28, 2009.
For more information, contact Katie Bowden, Economic Development
Coordinator at (949) 644 -3230.
City of Newport Beach
Rev. 03/19/10
2010 -2014 Consolidated Plan
r
r�wr �e
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H Appendix ��C„
Acronyms
AP
Action Plan
CAPER
Consolidated Annual Performance Evaluation Report
CBD
Central Business District
CBDO
Community Based Development Organization
CD
Community Development Department
CDBG
Community Development Block Grant
CDC
Community Development Corporation
CHDO
Community Housing Development Organization
CIP
Capital Improvement Projects
CPD
Community Planning and Development (part of HUD)
CUP
Conditional Use Permit
DAP
Disabled Access Program (CDBG program activity)
DHHS
Department of Health and Human Services
DOJ
Department of Justice
DU's
Dwelling Units
ESG
Emergency Shelter Grant
EZ/EC
Empowerment Zone /Enterprise Community
FHA
Federal Housing Administration (part of HUD)
FY
Fiscal Year
HOME
HOME Investment Partnership Program
HOPWA
Housing Opportunities for Persons with AIDS
HUD
U.S. Department of Housing and Urban Development
IDIS
Integrated Disbursement and Information System (HUD's Financial
Mgt. System)
LUP
Land Use Permit
NIMBY
Not- In -My- Back -Yard
NOFA
Notice of Funds Available
NRSA
Neighborhood Revitalization Strategy Area
PLI
Public Lands and Institutions
PY
Program Year
RFP
Request for Proposals
RFQ
Request for Qualifications
RTS
Research and Technical Services Division (MOA)
TBRA
Tenant Based Rental Assistance (HOME program activity)
TIP
Transportation Improvement Plan
VA
Veteran's Administration
WD
Workforce Development
City of Newport Beach
Rev. 03/19/10
Appendix C- 1 2010 -2014 Consolidated Plan
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Appendix "D"
Glossary of Terms
Accessibility All new construction of covered multifamily buildings must include certain
features of accessible and adaptable design. Units covered are all those in buildings with four
or more units and one or more elevators, and all ground floor units in buildings without elevators.
Action Plan The Action Plan includes the following: an application for federal funds under HUD's
formula grant programs (CDBG, ESG, HOME); identification of federal and other resources
expected to be used to address the priority needs and specific objectives in the strategic plan;
Activities to be undertaken including the following; activities to address Homeless and other
special needs (persons with mental, physical or developmental disabilities, battered and
abused spouses, victims of domestic violence, etc.); activities to address other Actions
(affordable housing, lead -based paint hazards, poverty reduction, public housing
improvements, etc); and lastly, a description of the areas targeted given the rationale for the
priorities for allocating investment geographically.
Affordable Housing That housing within the community which is decent and safe, either
newly constructed or rehabilitated, that is occupied by and affordable to households whose
income is very low, low, or moderate. Such housing may be ownership or rental, single family
or multifamily, short-term or permanent. Achieving affordable housing often requires financial
assistance from various public and private sources and agencies.
A enc Any department, agency, City, authority, administration, board, or other independent
establishment in the executive branch of the government, including any corporation wholly or
partly owned by the United States that is an independent instrumentality of the United States,
not including the municipal government of the District of Columbia.
Area Benefit - Benefits all residents in a particular area, where at least 51% are LMI. Area
must be primarily residential. Area benefit activities include street/sidewalk improvements,
water /sewer lines, neighborhood facilities, and fagade improvements in neighborhood
commercial districts.
Assisted Household or Person For the purpose of identification of priority needs and
specific objectives, an assisted household or person is one that will receive benefits through
the investment of Federal funds, either alone or in conjunction with the investment of other
public or private funds. (The program funds providing the benefit(s) may be from any funding
year or combined funding years.) A renter is benefited if the household or person takes
occupancy of affordable housing that is newly acquired (standard housing), newly
rehabilitated, or newly constructed, and /or receives rental assistance through new budget
authority. An existing homeowner is benefited if the home's rehabilitation is completed. A
first -time homebuyer is benefited if a home is purchased during the year. Households or
persons who will benefit from more than one program (e.g. a renter who receives rental
assistance while occupying newly rehabilitated housing) must be counted only once. To be
included, the household's housing unit must, at a minimum, satisfy the HUD Section 8
Housing Quality Standards (see, e.g. 24 CFR 882.109).
City of Newport Beach
Rev. 03/19/10
Appendix D - 1 2010 -2014 Consolidated Plan
Brownsfield Economic Development Initiative (BEDI) Grant Program BEDI is designed to
help cities redevelop abandoned, idled, or underutilized industrial and commercial properties
and facilities where expansion or redevelopment is complicated by real or perceived
environmental contamination (e.g., brownfields). BEDI accomplishes this by providing funding
to local governments to be used in conjunction with Section 108 loan guarantees to finance
redevelopment of brownfields sites. BEDI- funded projects must meet one of the CDBG
program's national objectives.
CDBG National Obiectives
• 70% of CDBG expenditures must be used for activities that benefit low and moderate -
income persons.
• Elimination of slum and blight
Community Based Development Organization (CBDO) Generally nonprofit organizations
that undertake specific CDBG funded activities. Can not be a government entity. May be a
subrecipient.
Certification A written assertion based on supporting evidence that must be kept available for
inspection by HUD, by the Inspector General of HUD, and by the public. The assertion shall
be deemed to be accurate unless HUD determines otherwise, after inspecting the evidence
and providing due notice and opportunity for comment.
Community Development Block Grant Program (CDBG) A Community Development Block
Grant is a federal grant to states, counties or cities. It is used for housing and community
development including housing construction and rehabilitation, economic development, and
public services which benefit low- and moderate- income people. Grant funds can also be
used to fund activities which eliminate slums and blight or meet urgent needs.
City The City is the lead agency for purposes of the Consolidated Plan, and administration
of the City's federal entitlement funding, namely CDBG, HOME and ESG program funds.
Community and Housing Development Organization (CHDO) A federally defined type of
nonprofit housing provider that must receive a minimum of 15 percent of all Federal HOME
Investment Partnership funds. The primary difference between CHDO and other nonprofits is the
level of low- income residents' participation on the Board of Directors.
Comprehensive Grant Program (CGP) HUD grant program via an annual formula to large
public housing authorities to modernize public housing units.
Consolidated Annual Performance and Evaluation Performance Report (CAPER) The
CAPER allows HUD, local officials, and the public to evaluate the grantees' overall
performance, including whether activities and strategies undertaken during the preceding year
actually made an impact on the goals and needs identified in the Consolidated Plan.
Consolidated Plan The Consolidated Plan services four separate, but integrated functions.
The Consolidated Plan is: a planning document for the jurisdiction which builds on a
participatory process with County residents; an application for federal funds under HUD's
formula grant programs which are: CDBG, HOME, ESG, HOPWA; a five -year strategy to be
followed in carrying out HUD programs; and lastly, an action plan describing individuals
City of Newport Beach Appendix D - 2 2010 -2014 Consolidated Plan
Rev. 03/19/10
I ±'y
-tIP
activities to be implemented
Cost Burden The extent to which gross housing costs, including utility costs, exceeds 30
percent of gross income, based on data available from the U.S. Census Bureau.
Economic Development Initiative IEDI) Grant Program EDI is designed to enable local
governments to enhance both the security of loans guaranteed through HUD's Section 108
Loan Guarantee Program and the feasibility of the economic development and revitalization
projects that Section 108 guarantees finance. EDI accomplishes this by providing grants to
local governments to be used in conjunction with Section 108 loan guarantees. A locality may
use the grant to provide additional security for the loan (for example, as a loss reserve), thereby
reducing the exposure of its CDBG funds (which by law must be pledged as security for the
loan guarantees). A locality may also use the EDI grant to pay for costs associated with the
project, thereby enhancing the feasibility of the 108 - assisted portion of the project. EDI- funded
projects must meet one of the CDBG program's national objectives.
Emergency Shelter Grant (ESG) Emergency Shelter Grant Program is a federally funded
program designed to help, improve and maintain the quality of existing emergency shelters for
the homeless. ESG helps emergency shelters meet the costs of operating emergency shelters
and of providing certain essential social services to homeless individuals so that these
persons have access to a safe and sanitary shelter, and to the supportive services and other
kinds of assistance they need to improve their situations. The program is also intended to
prevent the increase of homelessness through the funding of preventive programs and activities.
Emergency Shelter Any facility with overnight sleeping accommodations, the primary
purpose of which is to provide temporary shelter for the homeless in general or for specific
populations of the homeless.
Entitlement An underlying formula governing the allocation of Block Grant funds to eligible
recipients. Entitlement grants are provided to larger urban cities (i.e. population greater than
50,000) and larger urban counties (greater than 200,000).
Federal National Mortgage Association (Fannie Mae) A federally chartered, stockholder
owned corporation which supports the secondary market for both conventional mortgages and
mortgages insured by the FHA and guaranteed by the Veteran's Administration (VA).
Financing Functions necessary to provide the financial resources to fund government
operations and federal assistance including the functions of taxation, fee and revenue
generation, public debt, deposit funds, and intra governmental collections.
First -time Homebuver Art - individual or family who has not owned a home during the three
year period preceding the assisted purchase of a home that must be occupied as the principal
residence of the homebuyer. Any individual who is a displaced homemaker or a single parent
may not be excluded from consideration as a first -time homebuyer on the basis that the
individual, while a homemaker or married, owned a home with his or her spouse or resided in
a home owned by the spouse.
Fiscal Year Any yearly accounting period, regardless of its relationship to a calendar year.
FTE -Full Time Equivalent One FTE is 2,080 hours of paid employment. The number of FTEs is
City of Newport Beach Appendix D - 3 2010 -2014 Consolidated Plan
Rev. 03/19/10
derived by summing the total number of hours (for which included categories of employees)
are paid by the appropriate categories of employees and dividing by 2,080 hours (one work
year). Appropriate categories include, but are not limited to, overtime hours, hours for full -time
permanent employees, temporary employees, and intermittent employees who may not have
been paid for an entire reporting period.
Grant A federal grant may be defined as a form of assistance authorized by statute in which a
federal agency (grantor) transfers something of value to a party (the grantee) usually, but not
always, outside the federal government, for a purpose, undertaking, or activity of the grantee
which the government has chosen to assist, to be carried out without substantial involvement
on the part of the federal government. The "thing of value" is usually money, but may,
depending on the program legislation, also include property or services. The grantee, again
depending on the program legislation, may be a state or local government, a nonprofit
organization, or a private individual or business entity.
HOME The Home Investment Partnership Program is authorized by Title II of the National
Affordable Housing Act. This federally funded program is designed to expand housing, for
very low- income people, and to make new construction, rehabilitation, substantial
rehabilitation, and acquisition of such housing feasible, through partnerships among the
federal government, states and units of general local government, private industry, and
nonprofit organizations able to utilize effectively all available resources.
HOME Funds Funds made available under the HOME Program through allocations and
reallocations, plus all repayments and interest or other return on the investment of these funds.
Homeless Family A Family that includes at least one parent or guardian and one child under
the age of 18, a homeless pregnant woman, or a homeless person in the process of securing
legal custody of a person under the age of 18.
Homeless Individual An unaccompanied youth (18 years or younger) or an adult (18 years or
older) without children who is homeless (not imprisoned or otherwise detained pursuant to an
Act of Congress or a State law), including the following:
1) An individual who lacks a fixed, regular, and adequate nighttime residence; and
2) An individual who has a primary nighttime residence that is:
i A supervised publicly or privately operated shelter designed to provide temporary living
accommodations (including welfare hotels, congregate shelters, and transitional
housing for the mentally ill);
ii) An institution that provides a temporary residence for individuals intended to be
institutionalized; or
iii) A public or private place not designed for, or ordinarily used as, a regular sleeping
accommodation for human beings.
Homeless Subpopulation Includes but is not limited to the following categories of homeless
persons: severely mentally ill only, alcohol /drug addicted only, severely mentally ill and
City of Newport Beach
Rev. 03/19/10
Appendix D - 4 2010 -2014 Consolidated Plan
Via%
alcohol/drug addicted, fleeing domestic violence, youth and persons with HIV /AIDS.
HO PWA Housing Opportunities for People With AIDS is a federal program designed to
provide States and localities with resources and incentives to devise long -term comprehensive
strategies for meeting the housing needs of persons with acquired immunodeficiency
syndrome (AIDS) or related diseases and their families. The program authorizes entitlement
grants and competitively awarded grants for housing assistance and services.
Household All the persons who occupy a housing unit. The occupants may be single family,
one person living alone, two or more families living together, or any other group of related or
unrelated persons who share living arrangements.
Housing and Urban Developmen (HUD) Created as part of President Lyndon B. Johnson's
War on Poverty, the Department of Housing and Urban Development (HUD) was established
as a Cabinet Department by the Department of Housing and Urban Development Act (42
U.S.C. 3532 - 3537), effective November 9, 1965. It consolidated a number of other older federal
agencies. The Department of Housing and Urban Development is the Federal agency
responsible for national policy and programs that: address America's housing needs; improve
and develop the Nation's communities; and enforce fair housing laws. HUD's mission is helping
create a decent home and suitable living environment for all Americans. It has given America's
cities a strong national voice at the Cabinet level.
HUD Income Levels Income levels serve as eligibility criteria for households participating in
federally funded programs.
Extremely Low Income A family whose income is between 0 and 30 percent of the median
income for the area, as determined by HUD with adjustments for smaller and larger families,
except that HUD may establish income ceilings higher or lower than 30 percent of the median
for the area on the basis of HUD's findings that such variations are necessary because of
prevailing levels of construction costs or fair market rents, or unusually high or low family incomes.
Low Income A family whose income does not exceed 50 percent of the median income for the
area, as determined by HUD with adjustments for smaller and larger families, except that HUD
may establish income ceilings higher or lower than 50 percent of the median for the area on the
basis of HUD's findings that such variations are necessary because of prevailing levels of
construction costs or fair market rents, or unusually high or low family incomes.
Middle Income A family whose is between 80 percent and 95 percent of the median area
income for the area, as determined by HUD, with adjustments for smaller and larger families,
except that HUD may establish incme ceilings higher or lower than 95 percent of the median
for the area on the basis of HUD's findings that such variations are necessary because of
prevailing levels of construction costs or fair market rents, or unusually high or low family
incomes.
Moderate Income A family whose income does not exceed 80 percent of the median income
for the area, as determined by HUD, with adjustments for smaller and larger families, except
that HUD may establish income ceilings higher or lower than 80 percent of the median for the
area on the basis of HUD's findings that such variations are necessary because of prevailing
levels of construction costs or fair market rents, or unusually high or low family incomes.
City of Newport Beach Appendix D - 5 2010 -2014 Consolidated Plan
Rev. 03119/10
Jurisdiction A State or unit of general local government.
Large Family Family of five or more persons
Lead -based paint hazards Any condition that causes exposure to lead from lead -
contaminated dust, lead- contaminated soil, lead- contaminated pain that is deteriorated or
present in accessible surfaces, friction surfaces, or impact surfaces that would result in
adverse human health effects as established by the appropriate Federal agency.
Letter of Credit Line of credit to a grant recipient established at a time of approval of
application.
Liabili Assets owed for items received, services received, assets acquired, construction
performed (regardless of whether invoices have been received), an amount received but not
yet earned, or other expenses incurred.
Limited Clientele Benefit Benefit a limited number of people as long as at least 51% are
LMI. Benefit is generally presumed to be principally UM (abused children, battered spouses,
elderly persons, severely disabled adults, homeless persons, illiterate adults, persons living
with AIDS and migrant farm workers). Limited Clientele must be documented with income
verification or be of such nature and in such location that it can be concluded that the clients
are LMI.
Micro - enterprise A business that has 5 or fewer employees, one or more of whom owns
the enterprise.
Neighborhood Revitalization Strategy Area
• Scattered site housing activities where the aggregate area is comprised of 51% or more
low- and moderate - income people (51% LMI).
• Direct Homeownership assistance must meet the LMI standard for 100% of households
assisted.
Overcrowded For purposes of describing relative housing needs, a housing unit containing more
than one person per room, as defined by U.S. Census Bureau, for which the Census Bureau
makes data available.
Person with a Disability A person who is determined to:
1) Have a physical, mental or emotions l impairment that:
i) Is expected to be of long- continued and indefinite duration;
ii) Substantially impedes his or her ability to live independently; and
iii) Is of such a nature that the ability could be improved by more suitable housing
conditions; or
City of Newport Beach Appendix D - 6 2010 -2014 Consolidated Plan
Rev. 03/19/10
a
2) Have a developmental disability, as defined in section 102(7) of the Developmental
Disabilities Assistance and Bill of Rights Act (42 U.S.C. 6001 - 6007); or
3) Be the surviving member or members of any family that had been living in an assisted unit
with the deceased member of the family who had a disability at the time of his or her
death.
Private Non - profit Organization A secular or religious organization described in section 501
(c) of the Internal Revenue Code of 1988 which: (a) is exempt from taxation under subtitle A of
the Code; (b) has an accounting system and a voluntary board; and (c) practices
nondiscrimination in the provision of assistance.
Program An organized set of activities directed toward a common purpose or goal that an
agency undertakes or proposes to carry out its responsibilities.
Program Income Program income is the gross income received by the recipient and its
subrecipients' directly generated from the use of CDBG funds. For those program income
generating activities that are only partially assisted with CDBG funds, such income is prorated to
reflect percentage of CDBG funds that were used. Reference 24 CFR 570.500(a).
Examples: (Note: This list in NOT exclusive and therefore other types of funds may also
constitute CDBG program income.)
• proceeds from the disposition by sale or long -term lease (15 years or more) of real
property purchased or improved with CDBG funds.
• proceeds from the disposition of equipment bought with CDBG funds.
• gross income from the use or rental of real property that has been constructed or improved
with CDBG funds and that is owned (in whole or in part) by the recipient or subrecipient.
Costs incidental to the generation of the income are deducted from the gross income.
• payments of principal and interest on loans made using CDBG funds.
• proceeds from the sale of loans made with CDBG funds.
• proceeds from the sale of obligations secured by loans made with CDBG funds.
• any interest earned on funds held in a revolving fund account.
• any interest earned on program income pending its disposition.
• funds collected through special assessments that are made against properties owned and
occupied by non -low and moderate- income households where the assessments have
been made to recover some or all of the CDBG portion of a public improvement.
Reference: 570.500(a)(1)
Program income does not include the following examples.
• interest earned on grant advances from the U.S. Treasury. Any interest earned on
grant advances is required to be returned to the U.S. Treasury.
• proceeds from fund - raising activities carried out by subrecipients that are receiving
CDBG assistance to implement eligible activities.
• funds collected through special assessments that have been made to recover the non -
CDBG portion of a public improvement.
• proceeds from the disposition by the grantee of real property that has been acquired or
City of Newport Beach Appendix D - 7 2010 -2014 Consolidated Plan
Rev. 03/19/10
improved with CDBG funds when the disposition occurs after grant closeout for entitlement
grantees.
• proceeds from the disposition of real property that has been acquired or improved with
CDBG funds where the disposition occurs within a five year period (or more if so
determined by the grantee) after the expiration of the agreement between the grantee and
subrecipient for that specific agreement where the CDBG funds were provided for the
acquisition or improvement of the subject property.
Note: This list is not all- inclusive.
" Subrecipient means a public or private nonprofit agency, authority, or organization or an
authorized for -profit entity receiving CDBG funds from the recipient or another subrecipient to
undertake activities eligible for such assistance. The term excludes an entity receiving CDBG
funds from the recipient unless the grantee explicitly designates it as a subrecipient. The term
includes a public agency designated by a unit of general local government to receive a loan
guarantee, but does not include contractors providing supplies, equipment, construction, or
services subject to the procurement requirements as applicable.
Project A planned undertaking of something to be accomplished, produced, or constructed,
having a finite beginning and finite end. Examples are a construction project or a research and
development project.
Rehabilitation Labor, materials, tools, and other costs of improving buildings, including repair
directed toward an accumulation of deferred maintenance; replacement of principal fixtures
and components of existing buildings; installation of security devices; and improvement
through alterations or incidental additions to, or enhancement of, existing buildings, including
improvements to increase the efficient use of energy in buildings, and structural changes
necessary to make the structure accessible for persons with physical handicaps.
Rehabilitation also includes the conversion of a building to an emergency shelter for the
homeless, where the cost of conversion and any rehabilitation costs do not exceed 75 percent
of the value of the building before conversion. Rehabilitation must meet local government
safety and sanitation standards. For projects of 15 or more units where rehabilitation costs
are 75 percent or more of the replacement cost of the building, that project must meet the
accessibility requirement of Section 504 of the Rehabilitation Act of 1973; or where
rehabilitation costs are less than 75 percent of the replacement cost of the building, that project
must meet the requirements of 24 CFR 8.23b.
Rental Assistance Rental assistance payments provided as either project -based rental
assistance or tenant -based rental assistance, Otherwise known as the Section 8 Rental
Assistance Payments Program and variations thereof.
Renovation Rehabilitation that involves costs of 75 percent or less of the value of the building
before rehabilitation.
Request for Proposals IRFP) A RFP is the instrument used to solicit proposals /offers for
proposed contracts using the negotiated procurement method.
Section 108 Loan Guarantee Program The Section 108 Loan Guarantee Program involves
City of Newport Beach Appendix D - 8 2010 -2014 Consolidated Plan
Rev. 03/19/10
Y� t'•. n
a federal guarantee on local debt allowed under Section 108 of the Housing and Community
Development Act of 1974, as amended. This section of the Act allows public entities, such as the
County of Los Angeles, to issue promissory notes through HUD to raise money for eligible
large -scale community and economic development activities. HUD guarantees these notes,
which are sold on the private market in return for a grantee's pledge of its future CDBG funds
and other security for the purpose of debt repayment. Section 108 activities must satisfy
CDBG eligibility and national objective criteria as well as Section 108 regulations and guidelines.
Senior A person who is at least 55 years of age. For senior housing activities, a senior is a
person who is at least 62 years of age. (Seniors and "elderly' are terms that are often
interchangeable.)
Severely Disabled Persons are considered severely disabled if they:
• Use a wheelchair or another special aid for 6 months or longer
• Are unable to perform one or more functional activities (seeing, hearing, having one's
speech understood, lifting and carrying, walking up a flight of stairs and walking), needed
assistance with activities of daily living (getting around inside the home, getting in or out
of bed or a chair, bathing, dressing, eating and toileting) or instrumental activities or daily
living (going outside the home, keeping tract of money or bills, preparing meals, doing
light housework, and using the telephone)
• Are prevented from working at a job or doing housework
• Have a selected condition including: autism, cerebral palsy, Alzheimer's disease, senility
or dementia or mental retardation
• Are under 65 years of age and are covered by Medicare or receive Supplemental
Security Income (SSI)
Shelter Plus Care A federally funded McKinney Act Program designed to provide affordable
housing opportunities to individuals with mental and /or physical disabilities.
SRO (Single Room Occupancy) A unit for occupancy by one person, which need not but may
contain food preparation or sanitary facilities, or both.
State Any State of the United States and the Commonwealth of Puerto Rico.
Subsidy Generally, a payment or benefit made where the benefit exceeds the cost to the
beneficiary.
Subrecipient An entity that assists the Municipality to implement and administer its
programs. A subrecipient is generally a nonprofit organization.
Substantial Rehabilitation Rehabilitation of residential property at an average cost for the
project in excess of $25,000 per dwelling unit.
Supportive Housing Services provided to residents of supportive housing for the purpose of
facilitating the independence of residents. Some examples are case management, medical or
psychological counseling and supervision, childcare, transportation, and job training.
Supportive Housing Program (SHP) The Supportive Housing Program promotes the
City of Newport Beach
Rev. 03119/10
D-9 2010 -2014 Consolidated Plan
development f supportive housing and supportive services, including innovative approaches
that assist homeless persons in the transition from homelessness and enable them to live as
independently as possible. SHP funds may be used to provide transitional housing,
permanent housing for persons with disabilities, innovative supportive housing, supportive
services, or safe havens for the homeless.
City of Newport Beach
Rev. 03/19/10
10 2010 -2014 Consolidated Plan
Appendix "E"
Public Notice
NOTICE OF PUBLIC HEARING AND REVIEW
FOR THE CITY OF NEWPORT BEACH
DRAFT FIVE -YEAR CONSOLIDATED PLAN (2010- 2014),
ONE -YEAR ACTION PLAN (2010 -2011)
CITIZEN PARTICIPATION PLAN (2010 -2014)
NOTICE IS HEREBY GIVEN that the City of Newport Beach has prepared its draft Five -Year
Consolidated Plan (2010- 2014), One -Year Action Plan (2010 -2011) and Citizen Participation
Plan. The publication of this notice is the beginning of the 30 -day public review period required
under Federal Regulation 21 CFR 91.105 (b) (2). The public review and written comment period
begins March 20, 2010 and runs through April 27, 2010.
NOTICE IS HEREBY FURTHER GIVEN that the Five -Year Consolidated Plan, One -year Action
Plan and Citizen Participation Plan will be presented to the City Council for approval on following
date:
DATE: April 27, 2010
TIME: 7:00 P.M.
LOCATION: City Council Chambers
3300 Newport Boulevard, Newport Beach, California
At this meeting, the City Council will receive public comment on the draft Five -Year Consolidated
Plan (2010- 2014), One -Year Action Plan (2010 -2011) and Citizen Participation Plan that is to be
submitted to the U.S. Department of Housing and Urban Development (HUD).
BACKGROUND
The Consolidated Plan is a grant application to the Department of Housing and Urban
Development (HUD). The plan establishes a framework of housing and community
development priorities for Newport Beach, aides in identifying and sets the foundation for
projects and programs to help local low- and moderate - income communities solve their
problems, meet their needs, and achieve their goals. The Action Plan then appropriates the
funding to specific programs and projects for a given year. The Action Plan will appropriate
Community Development Block Grant (CDBG) funding to specific programs and projects for the
2010 -2011 fiscal year. The City anticipates receiving approximately $1.8 million in federal
housing and community development funds over the next 5 years. The Citizen Participation
Plan is a document that details the City's policy on public review and participation in the
decision - making process regarding the Consolidated Planning Process in accordance with the
Consolidated Plan implementing regulation 24 CFR 91.105.
PUBLIC COMMENT
Copies of the latest drafts of these documents will be available for public review at the following
locations:
City Clerk's Office
3300 Newport Blvd.
Newport Beach, CA 92663
City of Newport Beach Appendix E - 1 2010 -2014 Consolidated Plan
Rev. 03/19/10
Planning Department
3300 Newport Blvd.
Newport Beach, CA 92663
City of Newport Beach — Central Library
1000 Avocado Avenue
Newport Beach, CA 92660
The public is invited to submit written comments on the housing, community and economic
development needs and proposed projects as articulated in the draft Consolidated Plan, One -
Year Action Plan, and Citizen Participation Plan. All comments relatives to the draft documents
mentioned above should be submitted to the Newport Beach Planning Department no later than
4:00 p.m. on April 27, 2010.
Questions and written comments regarding the draft Five -Year Consolidated Plan, One -Year
Action Plan and Citizen Participation Plan may be addressed to Kathlyn Bowden, AICP at 3300
Newport Boulevard, P.O. Box 1768, Newport Beach, CA 92658 -8915. You may also call (949)
644 -3230 with any questions concerning the above documents.
ACCESSIBILITY TO MEETINGS AND DOCUMENTS
It is the objective of the City to comply with Section 504 of the Rehabilitation Act of 1973, as
amended, the Americans with Disabilities Act (ADA) of 1990 and the ADA Amendment Act of
2008, the Fair Housing Act, and the Architectural Barriers Act in all respects. If you require
public documents in an accessible format, the City will make reasonable efforts to
accommodate your request. If you require a disability - related accommodation to attend or
participate in a hearing or meeting, including auxiliary aids or services, please contact the City
Clerk's Office at least 48 hours prior to the meeting at (949) 644 -3005.
Leilani I. Brown, CIVIC
City Clerk
Publish: March 20, 2010
City of Newport Beach Appendix E - 2 2010 -2014 Consolidated Plan
Rev. 03/19/10
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Consultations
GENERAL: During the development of the five -year Consolidated housing and Community
Development Plan and the annual action plans, the Planning Staff will consult with public
and private agencies that provide assisted housing, health services and social services
(including those focusing on services to children, elderly persons, persons with disabilities,
persons with HIV /AIDS and their families, homeless persons). Agencies to be contacted
include, but are not limited to, those listed in this section.
Consultation will include individual and group meetings, and requests for data related to
housing, health services, social services to children, the homeless, HIV /AIDS, the elderly
and persons with disabilities.
LEAD -BASED PAINT: Planning Staff will consult with local health and child welfare
agencies on data related to lead -based paint hazards and poisonings, including heath
department data on the addresses of housing units in which children have been identified as
lead poisoned.
NON - HOUSING COMMUNITY DEVELOPMENT NEEDS: The Planning Staff will consult
with adjacent units of government concerning any non - housing needs identified during the
development of the five -year Consolidated Housing, Community Development and
Economic Plan and the annual action plans. Such units of government will include, but will
not be limited to, Orange County.
PUBLIC HOUSING: The Planning Staff will consult with the Fair Housing of Orange County
concerning public needs and the planned Comprehensive Grant program activities to insure
that CDBG activities are coordinated to help achieve the comprehensive community
development goals. This will be especially true with regard to local drug elimination,
neighborhood improvement programs, and resident programs and services.
CITIZEN PARTICIPATION
These policies and procedures are designed to encourage participation of low -and
moderate - income persons, particularly those living in slum and blighted areas and in areas
where CDBG funds are proposed, and by residents of predominantly low -and moderate -
income neighborhoods as defined by the city. The city especially encourages the
participation of minorities, non - English speaking persons and persons with disabilities.
COORDINATION OF INFORMATION: In addition to those low- income residents living in
targeted revitalization areas, persons living in public housing, transitional housing, shelters
and housing for people with disabilities or HIV /AIDS will be especially encouraged tG
participate in the process of developing and implementing the Consolidated Plan.
The Planning Staff will make information available concerning the development and
implementation of Consolidated Plan to agencies or organizations specializing in transitional
housing, shelters, and housing for people with disabilities or HIV /AIDS. The intention is to
have such notices published in agency or organization newsletters, posted in their facilities,
and made available at any monthly meetings. Such information will include, but will not be
limited to,
City of Newport Beach
Rev. 03/19/10
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notices of general information about CDBG activities, community meetings, public hearings,
and availability of copies of the Consolidated Plan, substantial amendments and the
CAPER.
FORMAL PUBLIC COMMENT PERIODS: The general public and interested agencies have
30 days to comment on the Consolidated Plan, the annual action plans and substantial
amendments before the final plans or amendments are submitted to HUD. (A substantial
amendment is an amendment to the Consolidated Plan or annual plan and is one which
includes the addition of a new activity or priority; a change in the nature of and activity, its
location, or its target population such that different citizens will be impacted by it; or a
change of more than 50 percent in the amount of funds allocated to an activity.) In case of a
natural disaster that requires an immediate but substantial amendment to the Consolidated
Plan or Action Plan, the general public and interested agencies will have 10 days to
comment on those amendments that are directly related to the disaster.
The public has 15 days to comment on the CAPER, the Citizen Participation Plan and
substantial amendments to the Citizen Participation Plan prior to the submission to HUD.
Notices for the comment periods will be published in the Newport Beach Costa Mesa Daily
Pilot. Notices will also be displayed in City Hall and various other city locations throughout
the city and will be mailed to the agencies listed in this section, and churches located in the
CDBG designated area. A summary of the comments or views not accepted and the
reasons, therefore, will be attached to the final plan, amendment or CAPER.
PUBLIC HEARINGS: The Planning Staff will hold a minimum of two public hearings each
year to obtain citizens' views on the Consolidated Plan and the annual action plans, the
program performance and to respond to proposals and questions. One hearing will be held
before the Consolidated Plan or the action plan for that year is published for comment.
Hearings will be held in the evening for the convenience of working people; at a location
convenient to the potential and actual beneficiaries of the plan; and accommodations will be
made, if necessary, for persons with disabilities. Anyone with a hearing or sight disability or
any non - English speaking residents may contact the Planning Staff 24 hours in advance in
order for arrangements to be made to accommodate their needs at the hearing.
Notices for the public hearings will be published at least 14 days in advance in the Newport
Beach Costa Mesa Daily Pilot. Written notices will be posted at City hall and other city
locations throughout the city as well as sent to the agencies listed in this section and
churches located in the CDBG designated area. A summary of the comments or vies not
accepted and the reasons, therefore, will be attached to the final plan, amendment or
CAPER.
OPEN MEETINGS: Citizen meetings concerning development of the Consolidated Plan,
annual plans or neighborhood revitalization will be held at various times and in various
locations to accommodate the working hours of the beneficiaries and potential beneficiaries
of the plan. Notices for such meetings will be published at least 14 days in advance in the
Newport Beach Costa Mesa Daily Pilot. Written notices will be posted at City hall and other
city locations throughout the city as well as sent to the agencies listed in this section and
churches located in the CDBG designated area.
City of Newport Beach Appendix H - 2 2010 -2014 Consolidated Plan
Rev. 03/19/10
Other meetings, related to the development, implementation or review of the Consolidated
Plan, annual plans or neighborhood revitalization, will be open to all beneficiaries or
potential beneficiaries of the plan.
AVAILABILITY OF INFORMATION AND DOCUMENTS: Draft copies of the Consolidated
Plan, the annual action plans, CAPER and Citizen Participation Plan will be available in the
Planning c Staff office and the City Clerk's office for viewing from 7:30 a.m. to 5:30 p.m.,
Monday through Friday.
Additional single copies may be obtained from Housing at no charge.
Following submission of the Consolidated Plan, the annual action plans, CAPER and Citizen
Participation Plan, final copies of each will be available in the housing office for viewing from
7:30 a.m. to 5:30 p.m., Monday through Friday. Additional single copies may be obtained
from Housing at no charge.
Copies of the draft and final Consolidated Plan, the annual action plans, CAPER and Citizen
Participation Plan will be distributed to the Newport Beach Public Library located at.1000
Avocado Ave., Newport Beach.
In accordance with California state law, housing and Planning and Economic record
belonging to the City of Newport Beach are considered public information. Exceptions are
records that contain confidential information about individuals participating in or benefiting
from the CDBG programs.
DEVELOPMENT OF THE CONSOLIDATED PLAN Before adoption of the Consolidated
Plan or the annual Action Plan, the Planning Staff will make available to citizens, public
agencies and other interested parties information about the plan, including the amount of
assistance the City of Newport Beach expects to receive (including extended funding,
additional grants and program income), and the range of activities that may be undertaken
with those funds, including the estimated amount that will benefit persons of low -and
moderate - income.
ANTI DISPLACEMENT /RELOCATION: In the event that any residential displacement and
relocation must take place in order to carry out a program activity, the City of Newport Beach
ensures that it will develop an Anti displacement and Relocation Plan in connection with that
project as applicable per Federal regulations. These plans shall set forth policies to minimize
displacement of person and assist any persons who are displaced.
TECHICAL ASSISTANCE: The Planning Staff will attempt to provide individual technical
assistance upon request to groups or agencies representing persons of low -and moderate -
income and to those agencies and organizations selected to receive funding through the
Consolidated Plan. Requests for individual assistance should be made in writing with a
reasonable amount of time to schedule and plan for the technical assistance.
PERSONS WITH DISABILITIES: Public hearings and community meetings will be held in
locations accessible to persons with restricted mobility. A sign - language interpreter will be
available at public hearings and community meetings, if requested at least 72 hours in
advance.
City of Newport Beach Appendix H - 3 2010 -2014 Consolidated Plan
Rev. 03/19/10
Planning Staff is available to assist visually impaired citizens by reading materials to them,
upon request.
NON- ENGLISH SPEAKING PERSONS: interpreters will be available for non - English
speaking citizens, at public hearings and community meetings, if requested at least 72 hours
in advance. A copy of the Consolidated Plan, the annual action plans, substantial
amendments and the CAPER will be made available in Spanish from the Planning
Department, if requested at least five working days in advance.
Notice of public hearings, meetings and various other CDBG information will be published in
Newport Beach Costa Mesa Daily Pilot.
COMPLAINT PROCEDURES: Written or oral companies concerning the planning,
implementation or reporting of the Consolidated Plan should be addressed to the housing
division. The division will make every effort to respond, in writing, within 15 working days of
receipt of the written or oral complaint. Should the complaint not be satisfied, he or she may
arrange a meeting with the division director to discuss the matter. Any citizen may contact
the city manager or mayor, or address city council at its regular meeting to discuss problems
not resolved at staff level.
AGENCIES CONSULTED
Rebuilding Together, Orange County
Fair Housing Council of Orange County
Mercy House
Orange Coast Interfaith
Wise Place
Human Options
Families Forward
Serving People in Need — SPIN
South County Senior Services
OASIS Senior Center
Seaview Lutheran Plaza
CARING Housing Ministries
Goodwill of Orange
OC Partnership Continuum of Care
Habitat for Humanity
Western Community Housing
H.O.M.E.S., Inc.
California Corporation on Disability Access
HCD Orange County Authority
Kennedy Commission
City of Newport Beach
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H-4 2010 -2014 Consolidated Plan