In a pivotal step towards meeting state housing mandates, the Gustine City Council authorized City Manager Soknirorn Than to enter into an agreement with Rincon Consultants Inc. to assist with tasks related to the city's housing element update. The decision, made during a recent council meeting, reflects the city's commitment to addressing complex housing challenges and ensuring compliance with state regulations.
During the meeting, Economic and Community Development Director Jami Westervelt presented a detailed staff report highlighting the urgency and complexity of updating Gustine's housing element. This process has been an ongoing topic at council sessions. As part of a multi-jurisdictional effort, the city aims to submit a draft to the California Department of Housing and Community Development (HCD) for review. HCD will take 90 days to review the draft, during which time the city has numerous preparatory tasks.
"While the multi-jurisdictional approach has saved costs, significant local work remains to prepare for the adoption of our housing element," explained Westervelt. This includes CEQA analysis, general plan text amendments, rezoning, and ensuring compliance with a state deadline of Jan. 31, 2025. "This round is completely new, much more complex, and we are on a quicker schedule," she noted.
Rincon Consultants Inc. was chosen for their expertise and prior experience with multi-jurisdictional housing elements and their deep understanding of Merced County's specific needs. Westervelt emphasized that Rincon's knowledge and immediate availability are critical due to the project's tight timeline.
Councilmember Sherri Marsigli questioned the funding for the project and whether the necessary resources were secured. Westervelt assured the council that the funds have been applied for, but acknowledged the reliance on external grants.
"We have applied to HCD to change the scope of funding to start this work. The scope fits better within our original funding plans," she said.
Rincon's scope of work includes conducting CEQA (California Environmental Quality Act) analysis, general plan amendments, and rezoning studies. These efforts are necessary to meet state requirements and align with the city's housing element goals. The consultants will also attend public meetings, ensuring transparency and stakeholder engagement.
A Rincon representative clarified that the CEQA work will supplement existing contracts, providing detailed analysis for rezoning and facilitating ministerial permits for future projects. This integrated approach aims to streamline processes and mitigate additional costs.
"The rezoning piece was not included initially because the level of rezoning needed was undetermined at the time the contract was drafted," the representative explained.
The council discussed potential funding sources, including a planning grant and REAP 2.0 funds. However, contingency plans were also made to allocate city funds if external funding falls through.
"We have identified two potential funds that could pay for this work," Westervelt said. "One has an expiration that's pretty quick, but if we immediately contract with Rincon, we could start work and utilize that fund."
Councilmember Marsigli expressed concerns about the financial planning for the project.
"I personally will not deficit spend, so if this doesn't get funded, someone needs to account for it. This should have been in the budget," she stated. Marsigli also raised questions about the specific requirements and potential cost savings related to the number of sites included in the housing element.
Mayor Pat Nagy supported the agreement, emphasizing the necessity of the housing element update.
"I don't think any of us are contemplating saying let's put it back on there. Whether it's September or 10 years from now, I don't think I want those sites back on the housing element list," he remarked. Nagy also inquired about potential cost savings if the number of sites was reduced from 16 to 10.
The Rincon representative clarified that reducing the number of sites would not significantly change the contract's scope or cost.
"We have to update the land use element and other planning work regardless of the number of sites," they explained.
Council Member Rich Ford highlighted the financial prudence of securing external funding now to offset future costs.
"The only difference is we're pushing it now because there's a possibility that instead of having to pay for it all ourselves, we might be able to get somebody else to help pay for it," he said.
The discussion also touched on the statutory fee payable to the California Department of Fish and Wildlife. The Rincon representative explained that this fee is part of the notice of determination process once the housing element and CEQA document are approved.
The motion to approve the agreement with Rincon Consultants was unanimously passed, signaling the council's unified approach to tackling the housing element update. Mayor Nagy expressed confidence in the decision, stating, "This partnership with Rincon ensures we are on track to meet our housing obligations efficiently and effectively."
The city is set to commence work immediately, with Rincon Consultants ready to dive into the intricate tasks ahead. This proactive move positions Gustine to navigate the complex landscape of housing regulations and continue fostering community growth.
