Why Vulnerable Populations Need Compassionate Cities

Janet K. of Memphis is a widow living on fixed income and Social Security, and deals with health issues related to her age. She’s struggled with tree roots invading her sewer system for years and knew something had to be done.

Unfortunately for Janet, she simply didn’t have the $3,000 needed for the repair. Like many Americans unsure of what to do with an emergency repair, Janet turned to her church, family, and prayer.  Fortunately, her supportive local community helped her to rebuild.

The effects of a financial shock, such as a major car repair or a sudden loss of income, can be especially difficult on the elderly. According to the Urban Institute, “As a nation, and within our cities, our population is aging. The number of Americans over 65 will double between 2000 and 2040, while the number of adults over 85 will quadruple over that period. And there are many within this aging population who have not adequately saved to prepare themselves for the expense associated with increased life expectancy and aging in place.

Source: AARP

Poverty in American Communities

Poverty in the US has changed little over the past four decades. Currently over 43 million people, one of every seven Americans, live below the poverty line in urban and rural communities. These households are extremely vulnerable to the effects of a financial shock, caused by expenses or lost income that families do not plan for; such as from job loss, illness, injury, death, or a major home or vehicle repair.

A study on the future of equity in cities recently published by the National League of Cities indicated that while cities are benefiting from the “positive outcomes of wealth flooding into metropolitan regions, they also feel the negative impact on community members of varying income levels – particularly, those at the bottom that face increased housing prices, greater need for social services and growing concern for community safety.”

Organizations such as the National League of Cities and PolicyLink are advocating for an equitable agenda when it comes to urban development plans, recognizing that well-planned urban infrastructure can have a positive impact on communities often left behind. According to Anita Cozart at PolicyLink, “infrastructure is vital for sustaining and reinforcing community. The networks, roads, schools, drinking water, sewer systems, facilities, and properties that comprise public infrastructure define neighborhoods, cities, and regions.” And city planners don’t have to go it alone. Cozart says “there are also emerging leaders in the philanthropic and business sectors who are embracing the agenda.”

Over 500 cities across North America have decided to partner with the National League of Cities (NLC) Service Line Warranty Program, administered by Utility Service Providers, to offer an affordable solution to their residents, a solution that complements the infrastructure planning needed to build vibrant cities.

The NLC Service Line Warranty Program is a good example of the private sector contributing to infrastructure improvement. Requiring no investment of municipal dollars and little in the way of municipal management, collaborating with this NLC program enables municipalities to educate and protect homeowners without the extensive logistical and administrative challenges that can distract from their core missions.

Source: Pew Charitable Trust

The Average American is Unprepared for Financial Shock

Adam and Jennifer F. loved the first home they purchased a historic 100-year-old house in a quiet Wichita, Kansas neighborhood. But when their private sewer line failed, the line that carries sewage from their home to the city’s main sewer line in the street, they were at risk of real financial hardship.

Source: Utilty Service Partners

The cost to replace and re-route the line would be at least $7,000 dollars – a significant portion of the couple’s annual income. Since they were unable to afford the needed repair, a local contractor who works for the NLC Service Line Warranty program approached Utility Service Partners to see if the job could be covered under their HomeServe Cares program. These programs can help younger people who haven’t yet built up the savings or credit to afford unexpected home repairs.

When researchers at the Federal Reserve asked the average American whether they could handle the cost of an unexpected home repair project, the answer was simple: no. The Federal Reserve Report on the Economic Well-Being of U.S. Households in 2017 found that 4 out of 10 Americans can’t afford a $400 emergency expense and would have to sell something or take out a loan to cover it. These types of financial shocks can be catastrophic to already vulnerable households as well as those in the shrinking urban middle class, and they happen with alarming frequency.

Aging Private Infrastructure Contributes to Financial Pressures

Paul T. of Waukegan, Illinois, a 96-year-old World War II and Korean War veteran, is living his retirement years surrounded by his family. He shared his home with the children he had raised there and his grandchild. Having his family around him helped the older veteran address health issues, including asthma and being on oxygen.

When’s Paul’s plumbing system choked and backed up, Paul’s unfinished basement filled with six inches of gray water, and everything in the home’s sewer system ended up in the basement.

Fearful for their father’s health and worried about the possibility of toxic mold, the family sent Paul to live with a nearby family member as they tried to address the issue – and how they would pay for the $3,000 repair bill.

When an unexpected financial shock is added to the mix, the elderly may deplete already insufficient retirement savings.  According to a survey, when faced with an emergency expense, about a quarter would use early withdrawal from retirement accounts, such as a 401(k), or an individual retirement account (IRA), and this was more likely in households with lower incomes.

Source: Pew Charitable Trusts

Embracing Equitable Agendas in City Leadership

Even with cities making efforts toward equitable infrastructure planning, many residents are still at risk for a significant financial shock due to the aging private infrastructure that brings fresh water into their homes and carries sewage out. Breaks or leaks in private side water or sewer lines can result in repair bills into the thousands of dollars. These leaks and breaks in water and sewer lines, the lines that run between a home and the city’s main line, are far more common than most people assume.

According to a recent study by HomeServe USA, a leading provider of home repair solutions and parent company of USP,  that administrates the NLC Service Line Warranty Program, 51% of homeowners reported having a home repair emergency in the past year alone.

USP and HomeServe execute over 400,000 repairs each year and are therefore  keenly aware of the prevalence of these emergencies as well as the financial hardship they can cause for unprepared homeowners. “We want to work with our city partners to find solutions to real issues,” said John Kitzie, CEO of USP.

Thus, the HomeServe Cares program was created as a public commitment to aid disadvantaged homeowners who are faced with a service emergency and don’t have the resources or capability to deal with it.  The program leverages the company’s most valuable resources: the outstanding network of over 1,100 local contractors, to deliver services to their neighbors in need. Like Paul T. in Waukegan.

Source: Utility Service Partners

A local contractor who is part of the network servicing customers of the NLC Service Line Warranty Program alerted USP to the family’s troubles. The HomeServe Cares program covered the cost of the emergency, after-hours dispatch to pump the grey water out of the basement and clean out the sewer line. Once the basement was free of water, the NLC SLWP also arranged the installation of a new water heater, restoring hot water to the family’s home – all of it without cost to Paul and his family through the HomeServe Cares program.

Caught without a safety net, vulnerable populations of varying ages and income levels, like Paul and Adam, are often left with nowhere to turn.

City Leaders Step Up to Help Vulnerable Populations Rebuild and Repair

Many innovative city leaders agree that these stories demonstrate the need for equitable infrastructure planning to include a component to cover the private side of aging infrastructure. Low cost emergency home repair plans help financially vulnerable populations prepare for potential breaks and leaks to the service lines that provide them with fresh water. These programs also serve to educate homeowners about their responsibility for repairs to these lines. In all of these cases described, an inexpensive monthly repair service plan would have provided the homeowners with immediate access to repair or replacement of the damaged water and sewer lines.

Mildred Crump, former City of Newark, New Jersey councilwoman, was keenly aware the City was experiencing a steady increase in water infrastructure challenges and problems.

In the City of Baltimore, city leaders knew if the city officials were struggling with infrastructure problems on the public side, then so were residents. “We needed to find a solution for our residents, because they could be faced with unexpected, and high, repair bills,” Shonte’ Eldridge, Baltimore City’s Deputy Chief of Operations, said.

Over the past 15 years, the combined power of USP and HomeServe have performed 2.9 million repairs or replacements to critical home systems, spending more than $775 million. But these repair programs are primarily introduced to homeowners through partnerships with cities or utilities, and many city officials remain unaware of the urgent need for them or are unconvinced their residents need them.

“Throughout those couple weeks, I shared my story with lots of different people, and I was shocked to learn how many people have similar issues. Many feel the same way I do,” Adam said. “If I would have known of the availability to purchase a low cost repair plan, I would definitely have purchased it”

When a city embraces a partnership with the program, the investments will address both the issues of aging infrastructure and equitable progress in their cities, helping ensure that vulnerable populations have access to the home repair resources desperately needed to keep them in their homes.

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Council and Committee Referrals – October 30, 2018

8-1023  Conflict with Measure JJJ Transit Oriented Communities Incentives
To Planning and Land Use Management Committee
Motion (O’Farrell – Huizar) – Instruct the Department of Planning, in consultation with the City Attorney, to report within 30 days on the impact of the Community Redevelopment Agency/Los Angeles (CRA/LA) June 27, 2018 Memorandum indicating that six City Redevelopment Plans have land use limitations that potentially detrimentally affect 25 development projects in Redevelopment Project areas because they conflict with Measure JJJ Transit Oriented Communities Incentives.

 

18-1024  Remove the exemption from City Housing Code enforcement
To Housing Committee
Motion (Huizar – Harris-Dawson) – Instruct the Housing and Community Investment Department, with the assistance of the City Attorney and the Department of Building and Safety, to prepare and present a report exploring the feasibility of amending the Los Angeles Municipal Code to for properties that are owned, operated, or managed by state governmental agencies.

City of Los Angeles – Wildlife Pilot Study

See Public Notice (October 2018)

See Pilot Study

The Department of City Planning invites you to attend an open house for the Wildlife Pilot Study. This is the first open house in a series of workshops where you can share your ideas about how the City can support and protect wildlife habitats.

WEDNESDAY, NOVEMBER 7, 2018
6:30PM – 8:30PM
AMERICAN JEWISH UNIVERSITY
15600 Mulholland Drive, Rm 223
(2nd floor – accessible from the outdoor patio)
Los Angeles, California 90077

 

Assemblage / Temporary Change of Use Requirements / Crowd Management / Medical Plans / Approval Process / Los Angeles Fire Department

CF 18-0235   AT CITY COUNCIL  10/31/2018

PUBLIC SAFETY COMMITTEE REPORT relative to the Los Angeles Fire Department (LAFD) permit for temporary use of premises as a place of assemblage.

Recommendation for Council action:

RECEIVE and FILE the City Attorney reports dated July 25, 2018 and August 14, 2018, and accompanying Ordinances dated July 25, 2018 and August 14, 2018, amending Sections 57.105.6.5, 57.105.7.1.3, 57.4701.2, 57.4701.3, 57.4701.4 and 57.4701.9 of Article 7, Chapter V of the Los Angeles Municipal Code (LAMC) to require a permit from the LAFD for the temporary use of a building or premise for assembly purposes; and adding Section 57.4701.11 and 57.4701.12 to the LAMC to require crowd management and medical plans for certain assembly occupancies.

Fiscal Impact Statement: Not applicable.

Community Impact Statement: None submitted.


Click on the green highlight to view official documents and reports.

  • 10/26/2018 City Clerk scheduled item for Council on October 31, 2018 .  Report from Public Safety Committee (October 24, 2018)
  • 10/24/2018 Public Safety Committee received and filed item(s). Revised Report from City Attorney (August 14, 2018) , Revised Draft Ordinance (August 14, 2018)
  • 10/22/2018 Public Safety Committee scheduled item for committee meeting on October 24, 2018. Revised Report from City Attorney (August 14, 2018) , Revised Draft Ordinance (August 14, 2018)
  • 08/15/2018 City Attorney document(s) referred to Public Safety Committee. Revised Report from City Attorney (August 14, 2018) , Revised Draft Ordinance (August 14, 2018)
  • 08/14/2018 Document(s) submitted by City Attorney, as follows:  Revised Report from City Attorney (August 14, 2018)

City Attorney report R18-0259, dated August 14, 2018, relative to a revised draft Ordinance amending the Los Angeles Municipal Code to require a Los Angeles Fire Department permit for the temporary use of a building or premise as a place of assemblage and to require crowd management and medical plans for certain assembly occupancies.

  • 07/26/2018 City Attorney document(s) referred to Public Safety Committee.  Report from City Attorney (July 25, 2018), Draft Ordinance (July 25, 2018)
  • 07/25/2018 Document(s) submitted by City Attorney, as follows:  Report from City Attorney (July 25, 2018), Draft Ordinance (July 25, 2018)

City Attorney report R18-0239, dated July 25, 2018, relative to a draft ordinance amending the Los Angeles Municipal Code to require a Los Angeles Fire Department permit for the temporary use of a building or premise as a place of assemblage and to require crowd management and medical plans for certain assembly occupancies.

  • 05/25/2018 Council action final.  (May 25, 2018)
  • 05/23/2018 Council adopted item, subject to reconsideration, pursuant to Council Rule 51.  Report from Public Safety Committee (May 16, 2018)
  • 05/16/2018 City Clerk scheduled item for Council on May 23, 2018 .  Report from Public Safety Committee (May 16, 2018), Report from Board of Fire Commissioners (March 20, 2018)
  • 05/09/2018 Public Safety Committee approved item(s) .  Report from Board of Fire Commissioners (March 20, 2018)
  • 05/04/2018 Public Safety Committee scheduled item for committee meeting on May 9, 2018.   Report from Board of Fire Commissioners (March 20, 2018)
  • 03/22/2018 Board of Fire Commissioners document(s) referred to Public Safety Committee.   Report from Board of Fire Commissioners (March 20, 2018)
  • 03/20/2018 Document(s) submitted by Board of Fire Commissioners, as follows:  Report from Board of Fire Commissioners (March 20, 2018)

Board of Fire Commissioners Board report 18-031, dated March 6, 2018, relative to the permit requirement for temporary change of use for assemblage purposes and authority to approve or disapprove the crowd management and medical plans for the Los Angeles Fire Department.

Public Hearing Conditions / Sustainable Communities Environmental Assessment (SCEA) / Ordinance

CF 18-0066   AT PLUM 10/30/2018

Categorical Exemption pursuant to California Environmental Quality Act (CEQA) Guidelines, Section 15378(b) and Section 15308, Class Eight, and related CEQA findings, report from the Los Angeles City Planning Commission, proposed ordinance (updated on September 26, 2018) relative to establishing a new Section 11.5.13 within Article 1.5 to the Los Angeles Municipal Code, stating that when a decision-maker other than the City Council certifies an Environmental Impact Report, approves an Negative Declaration, Mitigated Negative Declaration, or Sustainable Communities Environmental Assessment, or determines that a project is exempt, that environmental clearance may be appealed to the City Council within 15 days of the project’s approval, and Communication from Department of City Planning dated September 26, 2018 relative to recommended changes to the proposed ordinance consisting of added provisions that address and/or enforce improper segmentation of projects, provisions for stays on project approvals when a CEQA appeal is under consideration by City Council, and technical modifications to bring the ordinance into compliance with state law.

Applicant: City of Los Angeles

Case No. CPC-2018-2657-CA

Environmental No. ENV-2018-2658-CE

Fiscal Impact Statement: No

Community Impact Statement: None submitted.


Click on the green highlight to view official documents and reports.

  • 09/28/2018 Department of City Planning document(s) referred to Planning and Land Use Management Committee.  City Planning Report (September 26, 2018),  Proposed Ordinance (September 26, 2018)
  • 09/27/2018 Document(s) submitted by Department of City Planning, as follows:  City Planning Report (September 26, 2018),  Proposed Ordinance (September 26, 2018)
    Department of City Planning report, dated September 26, 2018, relative to a proposed Ordinance adding California Environmental Quality Act (CEQA) provisions to the Zoning Code.
  • 09/04/2018 Los Angeles City Planning Commission document(s) referred to Planning and Land Use Management Committee.
  • 08/30/2018 Document(s) submitted by Los Angeles City Planning Commission, as follows:  Findings (August 30, 2018), City Planning Commission Report (August 30, 2018), Mailing List (August 30, 2018), Proposed Ordinance (August 30, 2018),  Staff Report (August 30, 2018), Environmental (August 30, 2018)
    Los Angeles City Planning Commission report, dated August 30, 2018, relative to an Ordinance establishing a new Section 11.5.13 within Article 1.5 to the Los Angeles Municipal Code.
  • 01/23/2018 Motion referred to Planning and Land Use Management Committee.   Motion (January 23, 2018)

 

Warner Center 2035 Plan (WC 2035 Plan) / Affordability Requirements / Moderate and Workforce Housing / Affordable Housing Linkage Fee

CF 13-0197-S9      AT PLUM 10/30/2018 

Report from Department of City Planning relative to concepts identifying a variety of affordable housing options in Warner Center to encourage the creation of mixed-income communities, including the feasibility of inclusionary housing, an incentive program, a community benefits program, the establishment of an in-lieu fee specifically for the Warner Center residential market, and a land dedication exemption.

Fiscal Impact Statement: No

Community Impact Statement: None submitted.


Click on the green highlight to view official documents and reports.

  • 06/19/2018 Council action (June 19, 2018)
  • 06/13/2018 Council adopted item, subject to reconsideration, pursuant to Council Rule 51. Report from PLM (June 5, 2018)
  • 06/08/2018 City Clerk scheduled item for Council on June 13, 2018 .   Report from PLM (June 5, 2018)
  • 06/05/2018 Planning and Land Use Management Committee approved item(s) .  Motion (May 24, 2018)
  • 06/01/2018 Planning and Land Use Management Committee scheduled item for committee meeting on June 5, 2018.  Motion (May 24, 2018)
  • 05/04/2018 Motion document(s) referred to Planning and Land Use Management Committee.  Motion (May 24, 2018))

Council and Committee Referral – October 23, 2018

17-1161-S5
CD 8, 9
 Rail to Rail Active Transportation Corridor
To Council (tentatively scheduled for October 30, 2018)
Motion (Harris-Dawson – Price, Jr. – Bonin) – Relative to submission of the Rail to Rail Active Transportation Corridor project planning application for the California Strategic Growth Council’s Transformative Climate Communities grant program as part of the revitalization of South Los Angeles.

 

Conditional Use Permit for Alcoholic Beverages (CUB)

CPC 2018-4660-CA

The Los Angeles City Council adopted a motion ( Council File 17 – 0981 ) directing the Department to recommend a path for shortened processing time and lower costs for restaurants that serve alcoholic beverages. Currently, it takes about six months for restaurants to obtain a Conditional Use Permit for alcoholic beverages (CUB), the City approval required to be able to serve alcoholic beverages, at a cost of about $12,500. The Department has responded with the proposed ordinance that will be considered by the City Planning Commission (CPC) and the City Council.

The proposed ordinance would shorten processing times and lower costs for certain sit – down restaurants to be able to serve alcoholic beverages. This will help facilitate the creation of new jobs for an industry that plays a vitally important role in the City’s economy, employing more than 380 ,000 people and generating in excess of $200 million in tax revenues on an annual basis .

The Department will be conducting neighborhood outreach and holding a staff – level public hearing on December 5 , 2018. Any feedback provided during that process will be considered in preparing the staff report that the Department will provide to the CPC for their deliberation. The CPC is expected to hear the proposal early 2019.

Status update: City Planning is currently preparing a staff report and draft ordinance.

Staff Contact
Esther Ahn, City Planning Associate
(213) 978-1486, esther.ahn@lacity.org

FAQ | Draft Ordinance | Hearing Notice | Hearing Notice #2 | Preguntas Frecuentes | Aviso de Audiencia Publica | 2do Aviso de Audiencia Publica | Outreach & Staff-Level Public Hearing Presentation

 

 

Community Redevelopment Agency Code Amendment

The proposed ordinance is a code amendment to establish procedures similar to specific plan procedures for the implementation of unexpired Redevelopment Plans and update other relevant code provisions, including references to the former Community Redevelop ment Agency in the Los Angeles Municipal Code (Chapter 1). The land use transfer will authorize the Department of City Planning to administer the remaining 21 unexpired Redevelopment Plans and will consolidate project review in redevelopment project are as with a single entity within the City. The intent is to ensure continuity of land use controls that exist within unexpired R e development Plans .

 

The Department of City Planning will hold an initial public hearing:
Date: Wednesday, November 14, 2018
Time: 10:0 0 a.m.
Location: Los Angeles City Hall 10 th Floor, Room 1050 200 North Spring Street Los Angeles, CA 90012

 

 

Council and Committee Referral(s) – October 17, 2018

15-0499-S1  Ongoing tree and biodiversity planning
To Planning and Land Use Management Committee
To Public Works and Gang Reduction Committee
Motion (Ryu – Blumenfield – Krekorian – et al.) – Instruct the Department of City Planning, in coordination with staff assigned to the development of the Wildlife Protection Areas Study and Environmental Policy Unit, report on ongoing tree and biodiversity planning, strategies and/or efforts at the Department of City Planning and Urban Forestry Division to protect and grow the City’s urban canopy.
18-0988  Hiring of a Director of Community Forestry
To Budget and Finance Committee
To Public Works and Gang Reduction Committee
Motion (Ryu – Blumenfield – et al.) – Instruct the Bureau of Street Services, and City Administrative Officer as necessary, to report with cost estimates, staff requirements and budget recommendations for the hiring of a Director of Community Forestry and additional staff, to support the growth, maintenance, health and preservation of the City’s urban canopy.
14-0090-S1  Appeal of California Environmental Quality Act (CEQA) determinations
To Planning and Land Use Management Committee
Motion (Blumenfield – Ryu – Krekorian) – Request the City Attorney, in consultation with the City Clerk and other departments as needed, prepare and present an Ordinance establishing procedures regarding the appeal of California Environmental Quality Act (CEQA) determinations made by a non-elected decision-making body.

 

Los Angeles City Council Districts: Economic Report 2018 to City Council

CF 18-0963      AT CITY COUNCIL 10/17/2018

MOTION (WESSON – ENGLANDER) relative to requesting the Los Angeles Area Chamber of Commerce to present its report entitled Los Angeles City Council Districts: Economic Report 2018 to City Council.

Recommendation for Council action:

REQUEST the Los Angeles Area Chamber of Commerce to present its report entitled Los Angeles City Council Districts: Economic Report 2018 to City Council at its meeting of Wednesday, October 17, 2018.

OPR Releases Comprehensive Package of Proposed Amendments to CEQA Guidelines

AllenMatkins

After a four-year long process, on November 27, 2017, the Governor’s Office of Planning and Research (OPR) announced the availability of a comprehensive package of proposed amendments to the California Environmental Quality Act (CEQA) Guidelines (Title 14 of the California Code of Regulations). Some of the significant proposed changes to the CEQA Guidelines include:

  1. Changing the method of transportation impacts analysis from a carrying capacity approach (“level of service”) to a “vehicle miles travelled” calculation for most projects.
  2. Promoting the use of existing regulatory standards as thresholds of significance.
  3. Supplementing CEQA’s water supply analysis requirements.

This package also contains certain other measures that OPR purports will result in efficiency, substantive, and technical improvements to CEQA, much of which was proposed by OPR in a preliminary discussion draft released in August 2015 (please click here for our Legal Alert regarding the August 2015 discussion draft).

The Natural Resources Agency will soon begin the formal administrative rulemaking process under the Administrative Procedure Act to amend the CEQA Guidelines. The Resources Agency’s formal rulemaking process will include additional public review, which could result in further revisions to the CEQA Guidelines. The Secretary for the Natural Resources Agency will then adopt the changes, and the Office of Administrative Law (OAL) must then review and approve of the changes. Following OAL approval, the proposed CEQA Guideline changes will go into effect.

Documentation and additional information regarding the updates to the CEQA Guidelines are available on OPR’s website.  The proposed CEQA Guidelines, especially the changes proposed pursuant to SB 743 and regarding the GHG impacts analysis, have the potential to cause impacts on the CEQA approval process of several land use projects. Therefore, we recommend that the development community should be actively involved in the formal rulemaking process. Interested persons can sign up for the OPR’s CEQA Guidelines List Serve to receive future notifications. Updated information about the rulemaking process will be also posted on the Natural Resources Agency website.

Proposed Efficiency Improvements

OPR proposes several efficiency improvements including:

  1. Promoting the use of existing regulatory standards as “thresholds of significance.”
  2. Updating the CEQA checklist in Appendix G to eliminate redundant questions and add new questions related to transportation and wildfire, pursuant to SB 743 and SB 1241.
  3. Changing the rules for easier use of programmatic environmental review provisions, including clarifying rules of tiering and guidance on when a later project is “within the scope” of a program environmental impact report.
  4. Enhancing several CEQA exemptions, for example, by providing clarification on establishing “baseline” under the existing facilities exemption, and expanding the exemption for specific plan implementation.
  5. Proposing a new section in the CEQA Guidelines regarding remand and remedies in CEQA litigation.

Proposed Substantive Improvements

Some of the proposed substantive changes include:

  1. Providing more guidance related to energy impacts analysis including requiring the energy impact analysis to include impacts from transportation, equipment use, location, and other relevant factors, and not just building design.
  2. Adding a new subdivision (f) to section 15155 to set forth the content requirements for a water supply analysis under CEQA. These updates require a proposed project to analyze its possible water supply sources, any uncertainties in supply, possible supply alternatives over the life of the project, and the environmental impacts of supplying that water to the project.
  3. Updating the transportation impacts analysis requirements pursuant to SB 743 to specify that vehicle miles travelled is the appropriate measure of transportation impacts for most projects. Automobile delay or the level of service method to assess transportation impacts will no longer be appropriate measures for most projects.
  4. Updating the GHG impacts analysis to reflect the recent case law, including Ctr. for Biological Diversity v. Dept. of Fish & Wildlife (2015) 62 Cal.4th 204 and Cleveland Nat’l Forest Found. v. San Diego Assn. of Gov’ts (2017) 3 Cal.5th 497.

Proposed Technical Improvements

The proposed technical improvements include: changes related to evaluation of hazards pursuant to the Supreme Court decision in Cal. Bldg. Industry Ass’n v. Bay Area Air Quality Mgmt. Dist. (2015) 62 Cal.4th 369; clarifications on when it is appropriate to use projected future conditions as the environmental baseline; when agencies may defer specific details of mitigation measures until after project approval; and a set of changes related to the duty of lead agencies to provide responses to comments on a project. Some other changes address electing the lead agency, posting notices with county clerks, clarifying the definition of “discretionary,” and technical changes to Appendices D and E to reflect recent statutory requirements.

UPDATE: California Natural Resources Agency Commences CEQA Guidelines Amendments Rulemaking

AllenMatkins

On January 26, 2018, the California Natural Resources Agency issued a Notice of Proposed Rulemaking regarding proposed amendments to the California Environmental Quality Act (CEQA) Guidelines (Title 14 of the California Code of Regulations).

The proposed CEQA Guidelines amendments were informally released by the Governor’s Office of Planning and Research (OPR) on November 27, 2017.  For a detailed discussion of significant proposed changes to the CEQA Guidelines included in the proposed amendments, please click here for the December 1, 2017 Legal Alert regarding the OPR draft.

Public comment on the proposal is due by 5 p.m. March 15, and public hearings will be held in Sacramento and Los Angeles as follows:

Sacramento

March 15, 2018 1:30 p.m.-4:30 p.m.
California Energy Commission, Rosenfield Hearing Room,
1516 9th Street, Sacramento
(This hearing will be webcast.)

Los Angeles

March 14, 2018 1:30 p.m.-4:30 p.m.
California Science Center, Annenberg Building, Muses Room,
700 Exposition Park Dr., Los Angeles

After receiving and considering comments and incorporating any revisions, the Secretary for the Natural Resources Agency will then adopt the proposed changes and submit the final CEQA Guidelines amendments to the Office of Administrative Law (OAL) for review and approval. The effective date of the CEQA Guidelines amendments will be set when OAL files them with the Secretary of State. Compliance will become mandatory 120 days following the effective date for the majority of the CEQA Guidelines amendments.

 


 

Court of Appeal Affirms Trial Court’s Decision on Martin Expo Town Center Project

October 15, 2018
Contact: Yeghig Keshishian
Phone: (213) 978-1324
Court of Appeal Affirms Trial Court’s Decision on Martin Expo Town Center Project
On October 1, 2018, the Second District Court of Appeals upheld the City of Los Angeles’ approval of the Martin Expo Town Center project, denying the appeal of the Trial Court decision.
A group called the Westsiders Opposed to Overdevelopment had challenged the planning approvals, arguing that the City did not have the authority to change the land use designation by initiating a General Plan Amendment for a single project site. However, in a published decision, the Court found that the City was fully compliant with the requirements of City Charter Section 555, which states in part the following:
The General Plan may be amended in its entirety, by subject elements or parts of subject elements, or by geographic areas, provided that the part or area involved has significant social, economic or physical identity.
Ultimately, the Court noted that deference must be given to a city’s interpretation of its own charter, adding that courts may not imply any limitations or restrictions. Based on these principles, the Court concluded that the proposed project site met the “significant social, economic or physical identity” requirement because it was located in one of the largest underutilized sites in the area.
While the City changed the existing land use to allow for mixed-use development, the Court upheld the City’s determination. The five-acre property is located one block from a new light rail station at the intersection of South Bundy Drive and West Olympic Boulevard. It is also the future site of the first major transit-oriented development on the Westside.
Since 2017, there have been three additional lower court rulings in favor of the City on similar challenges to the General Plan Amendment initiation process: Crenshaw Subway Coalition, et. al. v. City of Los Angeles (Cumulus Project in West Adams); AIDS Healthcare Foundation v. City of Los Angeles (Palladium Project in Hollywood); and Past, Present Future Frogtown v. City of Los Angeles (mapping error correction).

Article: The Urban Land Institute’s annual look at the year ahead focuses on technology and transformation at an uncertain moment

How will the real estate market respond to a period of uncertainty in 2019?
Shutterstock

It’s complicated. In the course of compiling its annual Emerging Trends report, the Urban Land Institute found that the only certainty in its outlook for 2019 was uncertainty. Expert analysis points to a more complex, multi-layered series of overlapping trends, with unpredictable results, as opposed to a few strong narratives.

Will technology offer more opportunity and enhance competition and efficiency, or help consolidate the industry and drive out smaller players? How will shifts in demographics and shopping patterns challenge current investment practices? Will the U.S. ever get a grip on its housing affordability issues?

The report, a joint project of ULI and PricewaterhouseCoopers researchers unveiled during its fall meeting in Boston this afternoon, considered the responses of more than 750 real estate professionals in creating an high-level overview of the trends it believes will impact the real estate world. While the report expects an overall economic slowdown next year, emerging trends and markets in flux that could provide new opportunities.

Here are the broad trends and innovations expected to shape the real estate industry next year.

Grappling with a transformative moment

While vague, predicting a year of significant transformation only reflects the climate of uncertainty and possibility that’s settled over the market. This year alone, the homebuying market was expected to be the most competitive in history before buyers pumped the brakes later in the year. After years of steady growth and low interest rates, many observers anticipate a correction, especially in the face new technology, generational and demographic changes, the rise of new markets, and the continued winding-down of traditional retail. One survey respondent described the feeling of “coming off a peak,” and others have said the “low-hanging fruit has been picked.”

One of the most far-reaching changes rewriting the way real estate professionals do business has been the rise of industry-specific technology, startups, and better and more transparent analytics. In many cases, capital is following fintech, or financial tech, leading to more efficient—and automated—transactions.

Construction labor shortages continue to hamstring the homebuilding industry.
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Tapering growth leads to a new numbers game

Less growth means a more challenging environment, and analysts predict a slow down on multiple fronts. Population growth has continued to trickle up, labor force availability, especially in the construction industry, is lackluster at best, and productivity figures for the economy at large show minuscule improvements. Add in government forecasts of an economic slowdown—Congressional Budget Office projections show average GDP growth of 1.9 percent in 2018-19, much slower than at the beginning of the current economic upswing—and real estate activity will likely taper off as well. This deceleration means identifying and capitalizing on new opportunities—such as emerging markets, replacing older buildings, adaptive reuse, and new office space—will be much harder.

Second cities, and now their suburbs, may be key markets

Investors have long seen urban revitalization in smaller U.S. cities as a great bet, but as these downtowns boom and millennials continue to return, young adults have started to make inroads into the suburbs. Researchers are seeing more evidence the younger generation that put off buying a home has its eyes on single-family homes, meaning that housing surrounding these so-called 18-hour cities—especially if it’s in walkable, transit-oriented developments—is in high demand. Census Bureau stats show evidence of a second-city suburban shift. Over 2.6 million people annually moved from principal cities within metropolitan areas to the suburbs in 2016 and 2017, and of the smaller markets in the ULI’s Top 20 emerging market report, 55 percent of new residents over the last five years have relocated to suburban homes.

Can your apartment complex keep up?
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Amenity creep and the apartment arms race

In a competitive housing market, apartment landlords and builders have been engaging in an arms race for new amenities. Fancy gyms and rooftop access doesn’t cut it anymore. Today’s cutting-edge multifamily developments include movie theaters, dog runs, communal gardens, and access to coworking space. As landlords “knock themselves over” looking for new selling points to attract downtown renters, smart home and service-economy firms are also rising to the challenge, offering benefits such as laundry service.

Technology tackles the real estate market

Tech has always had its eye on opportunity, and real estate, which represents 13 percent of the U.S. GDP, is a big prize. Next year will see increasing inroads by tech firms, services, and startups seeking to capture and consolidate this fragmented market. Venture capital and tech investors have responded in kind. CB Insights projects real estate tech investment may top $5.2 billion by the end of 2018, firms such as Fifth Wall have zeroed-in on the industry, and investment in building and construction tech has boomed. New platforms for home selling keep popping up, trying to disrupt how this traditional transaction works.

Continued rise of artificial intelligence

Will hype about the game-changing potential of artificial intelligence begin to manifest itself in the real estate industry? While some tech startups have integrated AI into their market analyses, perhaps the most immediately relevant use for machine learning and other emerging technologies is building management, organization, and design. Companies such as WeWork, and smart buildings such as The Edge already see big potential in analyzing user behavior in their shared office space to refine their offerings, redesign the layout of their spaces, and create a virtuous feedback loop. ULI report authors suggest that for the real estate industry, AI may offer big benefits for building efficiency and safety, as well as security and property access.

These boxes have a big impact on real estate.
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Dealing with the real costs of free delivery

As next-day increasing becomes just-in-time, a sea change in logistics and shopper expectations had created new challenges for the real estate industry. The never-ending hunger Amazon and other e-commerce companies have for warehouse space has supercharged the industrial real estate sector, but the possibilities of increasing speedy delivery have contributed to transportation gridlock in major U.S. cities.

Add this to increasingly underfunded infrastructure—businesses will bear an estimated $240 billion in congestion costs over the next five years, while annual spending on roads and highways is just 37 percent of what’s needed to keep pace with deterioration. It’s clear real estate will not only have to factor in, and pay the price, for this oversight, but will need to pay attention to how potential solutions, such as congestion pricing, impact land values and investment opportunities.

Retail transforming into a new equilibrium

The much-hyped retail apocalypse narrative overstates the situation: it’s not extinction, more a culling of the herd. The rise of omni-channel retail and the shrinking size of America’s retail footprint—a response to e-commerce and just-in-time delivery—means commercial developers and investors need to support more efficient uses of space, and see how everyone, from small firms to big box stores, are seeking out a better, not necessarily bigger, brick-and-mortar presence.

This is an era where simply merchandizing is being overshadowed by services, and the rise in new kinds of tenants—such as urgent-care medical facilities, health and fitness providers, restaurants, financial services, and entertainment venues—underscore the strength of the experience economy. It’s also changing how leases are written. With the sector in flux, the standard long-term agreement is making way to shorter deals, even pop-up leases.

Seeing more in going green
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A renewed sustainability focus

In the wake of serious recent reports on climate change, there’s been a renewed focus on sustainability in the building and construction industries from groups such as We Are Still In and the Climate Mayors. As calls to curb emissions and control environmental impacts only rise over the next decade, more and more investors and building managers will make green practices a core part of their business. “Real estate has been proactive on sustainability issues for many years,” reads the report. “As a matter of self-interest as well as social responsibility, the industry is moving ahead to advance its sustainability performance regardless of the direction of national policy.”

The acute affordability crisis

The statistics couldn’t be clearer: the United States faces a widespread housing crisis, from big cities to small towns. Half of all renters pay more than 30 percent of their income on housing, HUD says 12 million Americans spend more than half their earnings on a place to live, and since 2015, the combination of rising prices for single-family homes and rising mortgage rates has cut home affordability by 15 percent. This country needs new homes, and fast; academics estimate the U.S. requires 4.6 million additional rental units by 2030.

That rate of construction should be possible, based on the money bring invested in the multifamily sector, but for a variety of reasons, including regulations, new construction has and remains skewed towards the upper end of the market. A vast reckoning will take place in the rental market. Hopefully public and private stakeholders can work together and build off a handful of good examples to rework how rental buildings are funded and delivered.

The Urban Land Institute’s annual look at the year ahead focuses on technology and transformation at an uncertain moment

Los Angeles City Planning Commission Recommends Approval of Processes and Procedures Ordinance

LOS ANGELES — Los Angeles City Planning Commission (CPC) recommended that the City Council adopt the Department’s Processes and Procedures Ordinance, an amendment to the Los Angeles Municipal Code (LAMC). The proposed changes consolidate over 100 existing processes to about 50, laying the groundwork for a more user-friendly, transparent, and predictable set of rules for project review.

View Media Release  (October 11, 2018)

FAQ | Expanded FAQ | Proposed Ordinance | Staff Recommendation Report and Draft Ordinance | Technical Memo to Commission