Architectural drawing of medium-density housing

Housing Element Update 2023-2031

The adopted Housing Element can be found here

Status

On May 30, the California Department of Housing and Community Development (HCD) certified the Town’s 6th Cycle Housing Element in substantial compliance with State Housing Element Law. Los Altos Hills became the third jurisdiction in Santa Clara County to establish a compliant status in the 6th Housing Element cycle. By achieving certification, we have demonstrated our commitment to fulfilling our obligations under state law and creating an inclusive and equitable living environment. The approach to housing development is carefully balanced, taking into account both the need for increased housing options and the preservation of our unique community identity.

The certified Housing Element enables Los Altos Hills to maintain local control over our land-use decisions and to exercise discretion when reviewing high-density development projects including those submitted under the “Builder’s Remedy” provisions of state law. Receiving Housing Element before May 31, 2023, also allows the community, Planning Commission, City Council, and staff to work together and complete the multi-family rezoning and associated CEQA review by January 31, 2026. We are committed to working closely with the community on the Housing Element program implementation while preserving the natural beauty and charm that make Los Altos Hills a desirable place to live.

New legislation associated with the Housing Element such as zoning ordinance ammendments and general plan amendments will be discussed during public hearings of both the Planning Commission and the City Council. These hearings will be notified on both the Town website in the calendar feature as well as posted publicly in the newspaper and on the Town Hall public notice board.

Key Links

What is a Housing Element?

Every jurisdiction has a General Plan that serves as the local government's "blueprint" for the future, prescribing policy goals and objectives to shape and guide the physical development of the local jurisdiction. It includes seven (7) mandatory elements: land use, transportation, conservation, noise, open space, safety, and housing. The state law mandating that housing be included as an element of each jurisdiction's general plan is known as "housing-element law," and the document is called a "Housing Element."

A Housing Element is how local jurisdictions plan to meet the housing needs of everyone in the community. Every eight (8) years, every city, town, and county must update their Housing Element and have it certified by the California Department of Housing and Community Development (HCD).

The Town of Los Altos Hills' current Housing Element is for the planning period 2015-2023, and we must update our Housing Element for the 2023-2031 planning period. The updated Housing Element is required to be reviewed by HCD and adopted by the City Council by January 31, 2023.

Housing Element Town Hall

For more information, visit the Town Hall page.

Requirements for the 2023-31 Update

Recent legislation resulted in the following key changes for theis 6th cycle of RHNA and Housing Element updates:

Higher Allocations: There is a higher total regional housing need. HCD's identification of the region's total housing needs has changed to account for unmet existing need, rather than only projected housing needs. HCD now must consider overcrowded households, cost-burdened households (those paying more than 30% of their income for housing), and a target vacancy rate for a healthy housing market (with a minimum of 5%).
Affirmatively Furthering Fair Housing (AFFH) - Local Housing Elements must affirmatively further fair housing. According to HCD, achieving this objective includes preventing segregation and poverty concentration as well as increasing access to areas of opportunity. HCD has mapped Opportunity Areas and has developed guidance for jurisdictions about how to address affirmatively furthering fair housing in Housing Elements.
Limits on Sites: Identifying Housing Element sites for affordable units will be more challenging. There are new limits on the extent to which jurisdictions can reuse sites included in previous Housing Elements and increased scrutiny of small, large, and non-vacant sites when these sites are proposed to accommodate units for very low- and low-income households.
Safety and Environmental Justice Element: State law requires that the Safety Element of the General Plan be updated concurrently with the Housing Element. The Safety Element must address new wildfire, evacuation routes, and climate adaptation and resilience requirements in an integrated manner. When two or more general plan elements are updated, jurisdictions with disadvantaged communities must address Environmental Justice, either in a stand-alone element or as a cross-cutting topic across multiple elements.
Community Outreach: Over the course of the Housing Element Cycle, community meetings, outreach programs, and neighborhood engagement events will be advertised on our website as the information bcomes available,

Community Role

A successful Housing Element is based on an inclusive process in which the community has the chance to participate and provide input. Government Code 65583(c)(7) requires: "The local government shall make a diligent effort to achieve public participation of all economic segments of the community in the development of the housing element, and the program shall describe this effort." Thus, the Town’s Housing Element update process includes an intensive community outreach plan, including community workshops, stakeholder interviews and surveys.

Get Involved

FAQs

What Are the Components of a Housing Element?

Housing Needs Assessment: Examine demographic, employment, and housing trends and conditions that affect the community's housing needs.
Evaluation of Past Performance: Review the prior Housing Element to measure progress in implementing policies and programs.
Housing Sites Inventory: Identify locations of available sites for housing development or redevelopment to ensure that there is adequate capacity to address the Regional Housing Needs Allocation (RHNA).
Community Outreach and Engagement: Implement a robust community outreach and engagement program, with a particular focus on outreach to traditionally underrepresented groups.
Constraints Analysis: Analyze and recommend remedies for existing and potential governmental and nongovernmental barriers to housing development.
Policies and Programs: Establish policies and programs to fulfill the identified housing needs

How is a Jurisdiction's Housing Need Determined?

The State of California determines the number of homes that are needed for the Bay Area, consistent with state law. The Association of Bay Area Governments (ABAG) then distributes a share to each local government in the nine (9) Bay Areas counties. Each jurisdiction is assigned a portion of the regional need at various income levels based on factors such as future population, access to jobs, and other factors. This assignment is known as the Regional Housing Need Allocation (RHNA) and is intended to promote the following objectives:

Increase the housing supply and the mix of housing types in an equitable manner
Promote infill development that encourages alternatives to solo driving and reduces greenhouse gas emissions
Balance jobs and housing
Discourage housing development patterns that segment communities
Affirmatively further fair housing
Each jurisdiction must ensure there is enough land with appropriate zoning to accommodate its RHNA allocation in its Housing Element.

What is the Town of Los Altos Hills' RHNA Allocation for 2023-31?

With a projected growth of over 441,000 households for the Bay Area, Los Altos Hills was assigned the housing need allocation included below.

Town of Los Altos HIlls 2023-2023 RHNA Allocation

Household Income-Level	Number of Housing Units
VERY LOW (< 50% of Area Median Income)	125
LOW (50-80% of Area Median Income)	72
MODERATE (80-120% of Area Median Income)	82
ABOVE MODERATE (>120% of Area Median Income	210
TOTAL ALLOCATION	489 housing units

Source: FINAL REGIONAL HOUSING NEEDS ALLOCATION (RHNA) PLAN: San Francisco Bay Area, 2023 -2031

*Note: To ensure that sufficient capacity exists in the Housing Element to accommodate the RHNA throughout the planning period, HCD recommends a buffer in the Housing Element inventory of at least 15 to 30 percent more capacity than required, especially for capacity to accommodate the lower-income RHNA. Thus, when planning for housing units, we would need to add a buffer of at minimum 15%.

The tables below define affordability levels by county; these are the State Income Limits for 2021 by county as calculated by the state. Area Median Income in Santa Clara County is $151,300.
Income Limits: Santa Clara County

Household Income Limits Santa Clara County 2021

Income Category	Percent of median income	Annual income (1-person household)	Annual income (2-person household)	Annual income (3-person household)	Annual income (4-person household)
Extremely low	30%	$34,800	$39,800	$44,750	$49,700
Very low	50%	$58,000	$66,300	$74,600	$82,850
Low	80%	$82,450	$94,200	$106,000	$117,750
Median	100%	$105,900	$121,050	$136,150	$151,300
Moderate	120%	$127,100	$145,250	$163,400	$181,550

How Does the Town’s Housing Element Address Fair Housing?

The 2023-31 Housing Element introduces a multi-family overlay zone for the first time in the Town’s history. The overlay zone provides an additional layer of development opportunities for multi-family projects on sites that were evaluated to be suitable for such development based on a number of factors.
- The multi-family zones will accommodate density at a minimum of 20 dwelling units per acre on one site, and 30 dwelling units per acre on two other sites.
- The new multi-family zones are additional sites within existing single family zones where new development will occur including through ADUs and SB 9 units as evidenced by past development trends in Los Altos Hills.
- This creates low-income housing opportunities in high-resource areas and establishes a new inclusive zoning and land use pattern.
The Housing Element also includes programs to continue supporting the development of housing projects, including ADUs and SB 9 units. For instance, there are programs committed to creating further streamlined submittal and approval processes, waiver of fees, and review of relevant zoning rules to remove development constraints.
The Town is committed to fulfilling its share of the Sixth Cycle regional and fair housing needs. As referenced in the adopted Housing Element, the Town is one of the few cities or towns in California that actually met its overall RHNA goal and actually produced almost all of the units in each income category set by its RHNA obligation in the recently completed Fifth Cycle.
- The Town’s Fifth Cycle RHNA goal was 121 units. We produced 153 units in total, well exceeding the threshold.
- The Town also produced all of the required number of units in the Very-Low, Low- and Above-Moderate income categories and were only 8 units short in the Moderate Income category.

What is Builder’s Remedy?

Builder's remedy is a state housing law provision that may require local agencies to approve affordable housing projects notwithstanding local zoning rules, if the city does not have a housing plan in substantial compliance with HCD.

A city retains discretion to deny a builder’s remedy project if it has adopted a housing element in substantial compliance with state law and the project is inconsistent with its general plan and zoning standards.

What is the Status of Builder’s Remedy Proposals in Los Altos Hills?

The Town received two builder’s remedy project proposals on February 1, 2023, and two other project proposals on February 2 and 6, respectively.

Proposal 1

Two projects are proposed on two separate lots at 10728 and 10758 Mora Drive.
The proposals are mostly similar for each lot: 44 units, 5-7 story condominium development, with 9 units reserved for low-income households and 35 market-rate units.

Proposal 2

Two projects are proposed on one lot at 11511 Summit Wood Road.
One version of the project proposes 5 units (1 low-income unit), and the other proposes 20 units (4 low-income units)

The Town’s Planning Department is in receipt of the proposals and will communicate next steps to the applicants within relevant timeframes.

Is the Town’s 2023-31 Housing Element in Substantial Compliance with State Laws?

Yes. HCD certified the Town’s 6th Cycle Housing Element in substantial compliance with State Housing Element Law on May 30, 2023. The Town became the third jurisdiction in Santa Clara County to achieve HCD certification in the 6th Housing Element cycle.

What are the benefits of a certified Housing Element?

• Compliance with state laws: The Town is able to meet mandatory timelines and regulations under California’s housing element law and other housing laws.
• Eligibility for funding: Los Altos Hills becomes eligible to access state and federal funding programs designed to support affordable housing initiatives.
• Protection against legal challenges: A certified Housing Element provides a level of protection against legal actions related to housing compliance because courts will presume the Housing Element is in compliance with state laws.
• Extended deadline for rezoning, objective design standards, and Program EIR (CEQA review): By receiving HCD’s certification before May 31, 2023, the Town has up to three years after the statutory deadline to complete rezoning and environmental review, by January 31, 2026. Otherwise, state law would have required the Town to complete its rezoning and environmental review by January 31, 2024.

How does Housing Element Certification affect affordable housing development in Los Altos Hills?

A certified Housing Element provides a comprehensive plan for the provision of affordable housing, mobility and access, and fair housing opportunities. While affordable housing development takes time to be carried out, this certified housing plan demonstrates the Town’s commitment to address the community’s housing needs and provides a framework to guide future housing development decisions. In addition, the Housing Element will help facilitate the creation of policies and programs to result in affordable housing production over time.

Will the certified Housing Element impact the Town’s semi-rural character?

We understand the concerns raised by some residents about potential impacts to our semi-rural character and pattern of development. However, it is important to emphasize that our approach to housing development is carefully balanced, taking into account both the need for increased housing options and the preservation of our unique community identity.

Can developers apply for a builder’s remedy project in Los Altos Hills?

It is important to clarify that projects seeking to rely on the “builder’s remedy” provision under state law are housing development projects. Neither state law nor the Town has a separate permit and review procedures for these proposals. Should an applicant submit a “builder’s remedy” application, the Town will process and review that proposed project in the same manner as other housing development applications.
State law does impose certain affordability requirements on a project citing to the builder’s remedy and provide several bases upon which a city may deny such a project, one of which is that the city has a substantially compliant housing element and the project is inconsistent with the city’s general plan and zoning standards.

Whom should I contact for more information about current builder’s remedy applications in Los Altos Hills?

Please submit a public records request (PRA) to the City Clerk to obtain information regarding builder’s remedy applications that have been submitted to the Town.

Message from Town Councilmember Linda Swan

In early-February 2023, the Town of Los Altos Hills received two development project applications seeking to use the "builder’s remedy." In response to related media coverage, Los Altos Mayor Linda Swan wrote an op-ed to offer a viewpoint into the Town’s Housing Element process and its history with affordable housing.

5th Cycle Regional Housing Need Allocation (RHNA) Accomplishments

The Town of Los Altos Hills successfully completed its fifth RHNA cycle with 241 new housing units, meeting its overall RHNA number by approximately 200%. Learn more about the Town's accomplishements.