HomeMy WebLinkAboutReso - CC - 003-2021DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9DO6C4
RESOLUTION NO. 003-2021
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BURLINGAME APPROVING A
RESPONSE TO THE SAN MATEO COUNTY GRAND JURY REPORT "SECOND UNITS:
ADDING NEW HOUSING IN THE NEIGHBORHOODS"
WHEREAS, on October 28, 2020, the San Mateo County Grand Jury released a report
titled ""Second Units: Adding New Housing In The Neighborhoods"; and
WHEREAS, the report made certain findings and recommendations regarding facilitating
the construction of Second Units (Accessory Dwelling Units) for the County of San Mateo and the
20 cities within San Mateo County; and
WHEREAS, the City generally agrees with the findings and recommendations, and either
has already implemented or intends to implement the report's recommendations; and
WHEREAS, the City Council has received the proposed draft response letter.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF BURLINGAME
RESOLVES AS FOLLOWS:
The letter in response to the San Mateo County Grand Jury titled "Second Units: Adding
New Housing In The Neighborhoods" is approved, and the Mayor is authorized to sign and
convey the letter on behalf of the City.
Ann O'Brien Keighran, ayor
I, MEAGAN HASSEL-SHEARER, City Clerk of the City of Burlingame, certify that the foregoing
Resolution was adopted at a regular meeting of the City Council held on the 4" day of January,
2021, and was adopted thereafter by the following vote:
AYES: COUNCILMEMBERS: BEACH, BROWNRIGG, COLSON, O'BRIEN KEIGHRAN
NOES: COUNCILMEMBERS: NONE
ABSENT: COUNCILMEMBERS: ORTIZ DocuSigned by:
Meaghan Hassel -Shearer, City Clerk
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9DO6C4
ANN O'BRIEN KEIGHRAN, MAYOR
RICARDO ORTIZ, VICE MAYOR
MICHAEL BROWNRIGG
DONNA COLSON
EMILY BEACH
January 4, 2021
Honorable Danny Y. Chou
Judge of the Superior Court
c/o Jenard@ Dubois
Hall of Justice
400 County Center; 8", Floor
Redwood City, CA 94063-1655
The City of Burlingame
CITY HALL -- 501 PRIMROSE ROAD
BURLINGAME, CALIFORNIA 94010-3997
TEL: (650) 558-7200
FAX: (650) 566-9282
www.burlingame.org
Subject: City of Burlingame Response to San Mateo County Grand Jury Report "Second Units: Adding New
Housing In The Neighborhoods"
Dear Judge Chou:
Thank you for the opportunity to review and comment on the above -referenced Grand Jury report filed on October 28. 2020.
After reviewing the Grand Jury Report and all available data pertaining to our community, the following are the City of
Burlingame's responses to the Grand Jury's findings:
F1. The number of jobs in San Mateo County has grown beyond the number of new housing units available. More
housing is needed and Second Units are one solution.
Response: The City of Burlingame partially agrees with this finding. The jobs/housing data does not include the 2020
market data that shows a dramatic decrease in jabs, some of which may not return. The impact of COVID-19 and the
change in business/commute patterns was not included in the background data, possibly due to timing.
F2. From 2016 to 2020, the number of Second Units constructed annually within the County dramatically increased
by 450% (823) after related State laws were enacted in 2017. Effective January 1, 2020, several additional new
State laws were enacted in order to make the construction of new Second Units easier for homeowners.
Response: The City of Burlingame agrees with this finding. The City has updated its Second Unit regulations to comply
with new State laws. In 2020, the Planning Division received more than 75 new Second Unit applications.
F3. There are about 155,000 single-family homes in San Mateo County with only 4,000 Second Units on those
properties, so there is a potential for thousands of new Second Units.
Response: The City of Burlingame partially agrees with this finding. The City would clarify that the 4,000 units cited in
this statistic are legal Second Units: an unknown number of unpermitted Second Units also exist. Since 2001, the City
of Burlingame has had an amnesty program to facilitate and encourage unpermitted Second Units to be approved as
permitted units.
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9DO6C4
The Honorable Danny Y. Chu
January 4, 2021
Page 2
F4. The County has an unknown but large number of non -permitted Second Units. The new 2020 State laws are
intended to make it easier for those units to be made safer, and potentially to be brought up to permitting
standards.
Response: The City of Burlingame agrees with this finding.
F5. Barriers to building new Second Units and for upgrading non -permitted Second Units include: a lack of
knowledge by homeowners as to potential lenders in financing the construction of a Second Unit and a lack of
lenders in the region that have indicated their willingness to engage in such financing, homeowners' difficulty
in finding contractors willing to work on "small" projects such as Second Units, and the need to recruit and
train more inspectors.
Response:The City of Burlingame agrees in part with this finding. Second Unit construction can be expensive,
averaging around $200,000 for new, detached units, making cost a very real barrier for those considering developing
Second Units. The City agrees that a lack of homeowner awareness of financing options is a barrier, as is the general
lack of lenders willing to engage in such lending. The City would add that oftentimes lenders will not consider the future
income that the rental of a Second Unit might generate when deciding whether or not to underwrite a Second Unit
development loan. However, the City also notes that elected officials do not have influence over bank lending policies.
The City is not aware of a shortage of willing contractors or qualified building inspectors. The Building Division in the
City's Community Development Department is fully staffed, and there is not a shortage of qualified building inspectors,
nor are there wait times for scheduling inspections, despite the pandemic. Inspection timelines are generally dependent
on the overall volume of all completed construction subject to inspection, and the City believes that Second Units have
been affected no more or no less by this factor than any other construction project might be. The City's Community
Development Department is not aware of any instance of the timeline for a building inspection constituting a unique
hardship.
F6. DOH and the City/County Association of Governments of San Mateo County have co -sponsored and
coordinated the "21 Elements Project" which aids all jurisdictions in the County to work together on
addressing their housing needs, including the development of Second Units,
Response: The City of Burlingame agrees with this finding.
F7. The San Mateo County Department of Housing is updating its website and marketing plan that focuses on
Second Units.
Response: The City of Burlingame agrees in part with this finding. While it is true that the County is updating its website
and marketing plans focused on Second Units, the department cited in this finding is incorrect. Home for All, the County
initiative which is responsible for both of these tasks, is co-chaired by Supervisors Dort Horsley and Warren Slocum
and administratively supported by staff from multiple County departments.
F8. The City of San Jose has developed a Second Unit initiative that is worth examining closely and possibly
emulating. (See Appendix D).
Response: The City of Burlingame agrees with this finding.
Register online with the City of Burlingame to receive regular City updates at www.BurJnaame.org -
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9DO6C4
The Honorable Danny Y. Chu
January 4; 2021
Page 3
The following are the City of Burlingame's responses to the Grand Jury's recommendations:
R1. The County and its cities should continue to develop or enhance existing outreach to homeowners about the
new laws that simplify and streamline the construction and permitting of Second Units including but not limited
to the following:
• posting relevant information on their websites regarding the process for the construction and permitting
of Second Units including materials such as checklists and flowcharts;
• increasing social media and other outreach regarding the above -referenced resources;
• offering workshops (live or online) regarding the process for the construction and permitting of Second
Units at least quarterly.
Response: This recommendation has been partially implemented. The City has been partnering with the County on the
Home for All initiative, starting with a community engagement pilot program that focused on housing opportunities
including Second Units. in 2021, the Home for All Work Plan includes expanded outreach to homeowners through
virtual workshops and marketing tools.
Within the City, the Planning Division is in the process of refreshing the Second Unit webpage to provide resources to
community members interested in building a Second Unit. Currently the webpage includes the City's Second Unit
regulations, a submittal checklist, and application forms. In the future there will be flow charts and expanded lists of
resources.
Planning staff work closely with Second Unit applicants to provide guidance both prior to applications being submitted,
as well as once an application is under review. In 2021, the City will initiate bi-annual workshops to guide homeowners
through the entitlement and construction process. These workshops can be continually updated to reflect changes in
legislation, trends, financing options, etc.
Given the number of Second Units that have been constructed in Burlingame in recent years, there may also be
opportunities for residents to share case studies and "lessons learned" from the Second Unit projects. These case
studies may be shared through social media, and/or the bi-annual workshops.
R2. By December 31, 2020, the County and its cities should commit to meeting for the purpose of finding
collaborative solutions for:
• developing and publicizing additional financial partners to help homeowners finance the construction
of new Second Units as well as the upgrading of non -permitted existing Second Units;
• developing solutions to address the shortage of licensed contractors willing to work on small projects
including, but not limited to, the feasibility of licensed contractors engaging and supervising non -
licensed "handymen"
• identifying and collaborating with training institutions to recruit and train more general contractors and
inspectors.
Such meetings may occur in connection with 21 Elements Project meetings regarding Second Units, or through
a separate platform.
Response. This recommendation is in the process of being Implemented. The City of Burlingame is currently
participating in collaborative meetings with the 21 Elements group on this topic. On December 3, 2020, a 21 Elements
meeting was held to explore Second Unit construction aspects, and amnesty programs for non -conforming units. As
previously noted, the City has not been informed of a shortage of qualified building inspectors.
With regards to Second Unit financing, the City will continue to pursue solutions by connecting with the County, which
Register online with the City of Burlingame to receive regular City updates at www.8urlingame.org
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9DO6C4
The Honorable Danny Y. Chu
January 4, 2021
Page 4
is actively participating in the "ADU Finance Committee" of the Casita Coalition, a statewide alliance of Second Unit
supporters. Its "ADU Finance Committee" is working to improve structural aspects of Second Unit financing, such as
consistent appraisals. The Casita Coalition has also recently released a Second Unit Financing Guide for homeowners
which presents a pro -con format explanation of the common Second Unit financing strategies present in Califomia.
With regards to contractor availability and training, the City will continue to pursue an adequate construction workforce
by connecting with the County, which has relationships with workforce development agencies through the San Mateo
County Recovery Initiative.
The City will also coordinate with the Housing Endowment and Regional Trust of San Mateo County (HEART) which
has developed four sets of Second Unit design and construction plans that will be free to the public. The City's
Community Development Department will be involved in the review process, and the City believes this will encourage
and facilitate the building of Second Units.
R3. The County and each city should develop a marketing plan to focus on the needs and concerns of homeowners
who have non -permitted units. This should be done by the end of the calendar year 2020.
Response: This recommendation is in the process of being implemented, but is not understood to be a significant issue
within the City of Burlingame. Community Development staff work with owners of unpermitted Second Units to legalize
those units when they are discovered. Rather than taking a punitive approach, the City seeks to find ways to preserve
such units while also ensuring that the critical life, health, and safety aspects of such construction are maintained. The
most recent update of the City's Second Unit regulations provides a five-year delay in enforcement of planning and
building standards (provided that enforcement of the standards is not necessary to protect health and safety), in order
to allow property owners time to take corrective actions and obtain permits. The City will continue to partner on regional
solutions by connecting with, supporting, and participating with the County through the 21 Elements effort.
R4. The County and its cities should determine whether it is feasible to retain an outside resource that can be
shared among cities and the County to leverage Second Unit expertise. This determination should be made by
December 31, 2021.
Response: This recommendation is being explored. In 2019, the County of San Mateo retained the nonprofit Hello
Housing, a licensed general contractor, to partner with the County of San Mateo and the Cities of Pacifica, East Palo
Alto, and Redwood City on a pilot "One Stop Shop" program of free technical assistance and project management for
homeowners seeking to build a Second Unit. The County continues to learn more from this program about the particular
needs of San Mateo County homeowners and how the County can best support those needs in future. The County also
is learning from the experience of the San Jose "ADU Ally" how this kind of assistance can support homeowner success.
Another intriguing model that San Mateo County continues to learn from is the Napa Sonoma ADU Center, which
combines direct technical assistance with homeowner education in their effort to support more Second Units in Napa
and Sonoma Counties, San Mateo County will also continue to monitor additional best practices through its engagement
with the Casita Coalition, a statewide association of Second Unit professionals and advocates. The County is currently
supporting the production of a white paper that explores the pros and cons of the three models and the Second Unit
Task Force, in coordination with cities, will explore and evaluate the applicability of these models to SMC in 2021. The
City will continue to pursue solutions by connecting with, supporting and participating with the County in these efforts,
through the 21 Elements effort.
- Register online with the City of Burlingame to receive regular City updates at www.Burlingame.ora -
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9DO6C4
The Honorable Danny Y, Chu
January 4, 2021
Page 5
The Burlingame City Council approved this response letter at its public meeting on January 4, 2021.
Sincerely,
Ann O'Brien Keighran
Mayor
Register online with the City of Burlingame to receive regular City updates at www.Burlingame.orq
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9DO6C4
T.. Second Units: Adding New Housing In The Neighborhoods
OF
Issue I Summary I Glossary I Background I Discussion I Findings J Recommendations
Requests for Responses I Methodology I Bibliography I Appendixes I Responses
ISSUE
How are the County of San Mateo and its cities supporting homeowners who are considering
building a new Second Unit on their property or upgrading a non -permitted one, in response to
new State laws, which became effective January 1, 2020?
SUMMARY
Housing availability is a top priority in San Mateo County because while 93,000 new jobs were
added between 2010-2018, only 8,500 new housing units were built. Housing considered
"affordable" is especially at a crisis point. "Limited land and the large gap between new jabs and
available housing lead to high rents and high home prices. As of 2019, median rent in the County
for a one -bedroom apartment is $2,621 and for a two -bedroom apartment it is $3,349, while only
24% of County households can afford to purchase an entry-level home."t
To put this slow -moving catastrophe into further perspective, more than two-thirds (68%) of the
County's land is protected from development because it is either agricultural or open space. At
the same time, of the County's already developed land, two-thirds is occupied by single-family
homes.2 Simply stated, building more single-family homes cannot begin to solve the County's
housing shortfall. "Second Units" — broadly defined as self-contained living spaces that are on
the same property as an existing residence — present a creative and innovative option to
addressing the region's affordable housing crisis.
The number of new Second Units dramatically increased after several State laws went into effect
in 2017. This made the construction of Second Units easier for homeowners. The number of new
Second Units is expected to further increase as a result of new state laws which went into effect
in January 2020. It has become clear to date that Second Units are popular for a variety of
reasons. They are attractive as housing for relatives, rental income and personal investment as
well as providing the option to downsize. Such units can also supply housing for community
members like educators or public safety employees who otherwise would not be able to live in
the community in which they work. Factoring in that there are approximately 155,000 single-
t Home for All Brochure, Published April 2019. Accessed May 15, 2020. httos://homeforallsmc.org/"-
content/uploads/2019/08/HFA brochure v16 WEB. df
2 Home for All Community Convening on Second Units: Maintaining the Momentum, February 27, 2020
2019-2020 San Mateo County Civil Grand Jury
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9DO6C4
family homes in San Mateo County3 and only 4,000 Second Units on those properties4, the
potential exists for thousands of new Second Units that would significantly impact the county's
housing deficit over the years to come.
However, there are significant hurdles facing the development of Second Units. According to
housing advocates interviewed by the Grand Jury, the biggest impediments to the construction of
new Second Units, as well as upgrading non -permitted Second Units, are: obtaining financing,
the lack of contractors willing to work on Second Units, and the need for local governments to
recruit and train more inspectors. -I
"The San Mateo County Board of Supervisors and County Manager's Office, along with support
from the County's Department of Housing ("DOH") have been leading the regional effort to
allow the development and construction of more Second Units."6 DOH has been working
collaboratively with the 20 cities to help address countywide affordable housing issues. DOH has
contracted with a consulting firm, Baird & Driskell, on the 21 Elements Project, to assist the
County and cities in this effort. The consulting firm hosts monthly meetings related to Second
Units with city and DOH representatives. As part of this effort, DOH is developing a new
website and marketing plans that will focus on promoting Second Units.
As a result of this investigation, the Grand Jury recommends the following:
1. The County and its cities should continue their outreach to homeowners informing them about
the new laws that simplify and streamline the construction and permitting of Second Units.
2. The County and its cities should determine whether there is a way for the public entities to
compile a list of financial partners who can assist homeowners with funding new Second Units
and upgrading non -permitted Second Units.
3. The County and its cities should determine whether there is a way for the public entities to
develop a comprehensive list of contractor resources and partner with training institutions to
recruit and train more general contractors and inspectors.
4. The County and its cities should encourage homeowners who may have non -permitted Second
Units to go through the permitting process.
The 2019-2020 Grand Jury commends the current housing efforts of the County and its cities and
urges them to embrace the new opportunities. The impact of the laws passed by the California
Legislature in 2017 increased the number of Second Units constructed annually by 450%. If the
3 According to San Mateo County housing data, there are 276,444 housing units in San Mateo County (Fig. 1) .
Figure 33 says that 56% (155,000) of housing units are single-family, detached homes. When you multiply the two
figures, you get 154,808 (which rounds to 155k).
https://www.towncharts.com/Cal i fomia/Housi ng/San-Mateo-County-CA-Housing-data. html
4 Grand Juror interviews.
5 Grand Jury Interviews
6 Home for All collaborative, https://homeforalisme.orel
2019-2020 San Mateo County Civil Grand Jury
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9DO6C4
2020 laws have a similar effect, our County and cities will be well -positioned for adding more
affordable housing.
GLOSSARY
Home for All: A collaborative countywide initiative which was undertaken to inspire
community action and promote closure of the county's 11:1 jobs/housing gap -I The members of
this initiative include the County and 16 of its cities as well as representatives from all sectors of
the community who are focused on creating a future where everyone in the County has a home
they can afford. It has been led by Supervisors Don Horsley and Warren Slocum. According to
its website, this initiative builds on the work and momentum of the Closing the .lobs/Housing
Gap Task Force.8
Second Unit: An interchangeable term with a granny flat, in-law suite, Accessory Dwelling
Unit (ADU), converted garage, backyard cottage or basement apartment. They are always self-
contained homes, smaller than the main house and legally part of the same property. Second
Units can take many forms and vary in size, but always contain everything someone needs to
live, including a kitchen, bathroom and a place to sleep.9
Junior Second Unit/Junior ADU: A very small living unit up to 500 square feet, which
re -purposes existing space within a residence such as a bedroom, garage or carport within an
existing single-family home. These units may contain a basic kitchen utilizing small plug-in
appliances and may share central systems as well as a bathroom with the primary dwelling.10
The "21 Elements Project": A multi -year funded project co -sponsored by DOH and the
City/County Association of Governments (C/CAG) through which all jurisdictions in San Mateo
County cooperate to update their respective Housing Elements and share information and work
on a wide variety of housing policies and programs.11 "21 Elements" is a project of Baird &
Driskell Community Planning Consultants, a master housing consultant, which supports all San
Mateo County and city jurisdictions, hosting monthly phone conferences related to affordable
housing issues (including Second Units), through a contract with DOH.12
BACKGROUND
The Bay Area housing crisis can be traced back to the 1970s when local cities experienced an
economic boom, and property taxes were rising with them. Then Proposition 13 put a cap on
7 Supra, note 1
8 htt s:,.'Iiomeforallsmc.ore.'about-us/
4 Second Unit Inspiration brochure, page 3. The booklet was produced as a joint project of Home for All and 21
Elements, 2018. www.SecondUnitCenterSMC.org
10 Accessory Dwelling Units (ADUs) and Junior Accessory Dwelling Units (JADUs), California Department of
Housing and Community Development, accessed May 20, 2020..hcd.ca.govipolicv-
research/Acces,ot-,.-D %% el l in LyUnits. shtml
11 https•//sanmateocounty.leaistar.com/LegislationDetaii.aspx?ID=4068159&GUID=1D7B2118-0312-4351-88E6_
9E4BAB9C37B5
12 http://21elements.com/second-units
2019-2020 San Mateo County Civil Grand Jury
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9DO6C4
how much could be raised from property taxes each year. Cash -hungry cities zoned more land
for commercial use so they could collect more sales tax. That meant more retail property was
built than private housing. In addition, steep impact fees pushed developers to prioritize
expensive homes rather than multi -unit housing. Then, Silicon Valley businesses grew and
brought huge numbers of tech jobs to the Bay Area. "The housing crisis has been a slow -moving
storm that has been churning for decades."13
The number of jobs in San Mateo County has grown beyond the number of new housing units
available.14 Between 2010-2018, for example, 93,000 jobs were added but only 8,500 new
housing units were built. To put this serious situation in perspective, more than two-thirds (68%)
of the County's land is either agricultural or open space, and two-thirds of the County's
developed land is occupied by single-family homes.15 Simply stated, building more single-family
homes on the remaining available land cannot begin to solve the County's housing shortfall.
"Limited land and the large gap between new jobs and available housing lead to high rents and
high home prices. In the County, median rent for a one -bedroom apartment is $2,621 and for a
two -bedroom apartment it is $3,349."16 Approximately two thirds of San Mateo County
households cannot afford to purchase an entry-level home. Among those affected are important
members of the County's workforce including teachers, firefighters and other public employees
who are unable to live in the areas they serve.17 Lack of affordable housing is an issue for San
Mateo County and throughout the State of California.18
13 Melissa Colorado, "Making It in the Bay: How the Bay Area's Housing Crisis Spiraled Out of Control"
February 10, 2020. https://www.iibebavarea.co.in/'new,;'I,,,)calhnakin.-it-in-the-bay'makinsz-it-in-the-bav-how-the-
bay-areas-ho us i n g-cri si s-sp i ral ed-out-o f-control - 22304 10.
14 According to a San Mateo County spokesperson at a Home for All Community Convening on Second Units:
Maintaining the Momentum, Belmont, February 27, 2020
15 Home for All Community Convening on Second Units: Maintaining the Momentum, Belmont, February 27,
2020.
16 Home for All brochure, Published April 2019. https://homeforallsmc.or.e/wp-
content/uploadsc2019 08iHFA brochure v16 WEB.pdf
L7 Second Unit Inspiration Brochure, produced by Baird + Driskell Community Planning, page 4, 2018.
www. SecondUnitCenterSMC.or,e.
18 California Housing Partnership analysis of 2018 1-year American Community Survey (ACS) PUMS data with
HUD income levels https://IV08d9IkdOcO3rlxhmhtydpr-mengine.netdna-ssl.com/wX-
content/uploads/2020/03/CHPC HousingNeedsReportCA 2020 Final-.pdf
2019-2020 San Mateo County Civil Grand Jury 4
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9DO6C4
CALIFORNIA NEEDS 1.3 MILLION MORE
AFFORDABLE RENTAL HOMES
While the shortfall has declined by 11% since 2014, the
share of housing need not beingg met has remained relatively
constant because the number of low-income households has
also declined.'
Shortfall
2.50 ■ Very Low -Income (VLl)
c ■ Extremely Low -Income (ELO
c
I I t [ I I l I l a
c 1' l I l
Z 1.50 i
IIA71 11.42
i 1
l 1 11.37 i 1.29 3 11.30 j
I I I l l I I I !
� € 1
Z 1.00 1 {
a 0.50
2014 2015 2016 2017 2018
SourrM_ Caiifomia Housrn Par;n&nfhp antis of 2078 1-yaat ATvnran
Comntunrty S ,,,, (AC57 PUMS data with HUD rrcoma levals. Methodology
was adapted fnxn tiLftiC gap methodo)ogy.
'The pvoportion of to al unmet haus:ng demand for low-incoma renrers
(shortfalffatal de rnanti) frcim 2014 to 2018. was 68%. 67%. 6M 67%, and
66%, r-pectrvely.
Throughout the County, the housing shortage is being addressed in a variety of ways including:
development of multi -unit complexes along transit corridors; shared housing; and the subject of
this report, building Second Units on single family properties. According to Grand Jury
interviews with local government officials and housing advocates, building and upgrading
Second Units is a relatively fast and efficient option and one component of a multi -faceted
strategy to address the County's affordable housing shortage.19
California laws passed in 2017 dramatically increased the number of new Second Units in the
County to an average of 269 Second Units per year from an average of just 60 Second Units per
year from 2010-2016. (See Appendix A).
14 Grand Jury interviews.
2019-2020 San Mateo County Civil Grand Jury
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9D06C4
The laws which went into effect on January 1, 2020, include:20
o AB 68/AB 881 - Requires local agencies to approve or deny an ADU project more
quickly and prohibits local agencies from adopting ADU ordinances that impose
minimum lot size requirements, set certain maximum dimensions, or require replacement
off-street parking in certain situations. Also allows for an ADU as well as a "junior"
ADUs where certain access, setback and other criteria are met.
o SB 13 - Provides, until January 1, 2025, that cities may not condition approval of ADU
building permit applications on the applicant being the "owner -applicant" of either the
primary dwelling or the ADU, and prohibits impact fees on ADUs under 750 square feet.
o AB 587 - Provides that local agencies may now allow ADUs to be sold or conveyed
separately from a primary residence if certain conditions are met. This law is expected to
increase the ability of affordable housing organizations to sell deed -restricted ADUs to
eligible low-income homeowners.
o AB 670 - Prevents homeowners' associations from barring ADUs. AB 670 makes
unlawful any HOA condition that "prohibits or unreasonably restricts" the construction of
ADUs on single-family residential lots.
o AB 671 - Requires local governments to include in their General Plan housing elements
plans to incentivize and promote the creation of affordable ADUs. The law also requires
HCD to develop, by December 3 1, 2020, a list of state grants and financial incentives for
ADU development.
The new 2020 laws solve a number of key zoning and construction restraints which previously
held back less expensive housing options. Second Units can now be built or remodeled into 800
square -feet rental units with construction approved by the respective cities within 60 days and do
not require owner occupation, additional parking or impact fees (if 750 square feet or less).
In the case of amnesty, non -permitted Second Units are acceptable if they meet health and safety
standards, e.g., operating fire detectors and electric wiring. Of note is that units cannot be used
for short-term vacation rentals as the various laws were intended for rental to singles or families
who cannot otherwise afford a single-family dwelling or an apartment rental near their
workplace."
20 httos://www.hklaw.com/en/insiahts/publications/2019/10/califomias-2020-housing-laws-what-you-need-to-know.
Additionally, a more complete summary of the 2020 statutes impacting the construction or permitting of Second
Units can be found in Appendix B.
21New state laws for ADU/Second Unit construction, effective January 1, 2020: AB 670 (Friedman), AB 671
(Friedman), AB 68 (Ting), AB 587 (Friedman), AB 881 (Bloom), SB 13 (Wieckowski) are designed to help narrow
the shortfall in affordable housing in California. Another bill is being worked on to tie all bills together.
(Appendix B: Summary of bills)
2019-2020 San Mateo County Civil Grand Jury 6
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9DO6C4
DISCUSSION
In December 2019, the San Mateo County Grand Jury surveyed the city managers of all 20 cities
in the County regarding passage of California laws concerning Second Units. The survey
inquired about plans for the implementation of these new laws in each jurisdiction.22 With the
exception of East Palo Alto and Millbrae, all of the jurisdictions responded to the survey, and all
were aware of the new laws. Many were preparing to find ways to initiate the development of
more Second Units in their jurisdictions. Their main concerns included:
o short amount of time between passage of the laws and the need to implement them;
o perceived conflicts and inconsistencies within the new State laws;
o loss of local control might lead to community backlash;
o inadequate staffing to handle the potential increase in Second Unit interest;
o homeowner's ability to secure funding for the construction costs; and
o availability of sufficient extra neighborhood parking.
Opportunity for New Second Units
Housing advocates consider Second Units to be "low -hanging fruit" for the development of new
housing inventory. There are about 155,000 single-family homes in San Mateo County with only
4,000 Second Units on those properties, so there is a potential for thousands of new Second
Units. Since 2010, there has been a steady growth in Second Unit approvals throughout the
county, according to San Mateo County's Annual Jurisdiction Survey.23
To take full advantage of new opportunities for ADUs created by the 2020 State bills, cities
throughout the county are updating their zoning ordinances to be in compliance with the new
State laws. Additionally, many cities are focused on streamlining their individual Second Unit
permitting process as well as the process that will provide amnesty for pre-existing, non -
permitted Second Units.24
Several new online tools — including tools at https://secondunitcenter.org/ (a website maintained
by the County) — identify potential sites for Second Units, calculate estimated costs, and
streamline the process of building a Second Unit, thereby making Second Unit development an
easier option for homeowners to consider.25 They include:
o https://build.symbium.com/
Using this link, residents and planners in Redwood City, Pacifica, and Unincorporated
San Mateo County can quickly determine whether a Second Unit is allowed at a
particular address and if so, what specific development standards (State and local rules)
apply. More cities will be added to this list in the near future.26
22 Survey questions are listed in Appendix C.
23 "Accessory Dwelling Units Approved by Jurisdiction" (2010-2018, with 2019 data added), Annual Jurisdiction
Survey. See chart and graph in Appendix A.
24 Grand Jury interviews.
25 Online Tools from companies like Symbium allows anyone to understand whether a Second Unit is allowed on a
particular parcel. See https: build.symbium.com
26 Second Unit Resource Center handout. https://secondunitcentersmc.orc/
2019-2020 San Mateo County Civil Grand Jury
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9DO6C4
o http://calculator.secondunitcentersme.orW
San Mateo County's Second Unit Calculator helps a homeowner get an estimate for what
a Second Unit project might cost, and calculates the amount it might yield as an
investment. It also allows a user to change assumptions such as location, unit size, type of
unit and much more.
o https://secondunitcentersmc.or,-,,/
The County's website focuses on Second Unit development and, according to Grand Jury
interviews, will be further updated in the future.
Amnesty for Non -Permitted Second Units
The actual number of non -permitted Second Units in the County is unknown.27 However,
whatever this number might actually be, these units are important affordable housing as long as
they meet minimum health and safety codes.
The San Mateo County Planning and Building Department and nonprofits such as "Rebuilding
Together Peninsula"28 are focused on encouraging owners of non -permitted Second Units in the
unincorporated area of the County and East Palo Alto respectively to develop plans that would
make more of them safer and healthier and thereby permitted.
In January 2020, the County initiated a pilot program for homeowners who wished to consider
upgrading their non -permitted Second Units.29 If this pilot program is successful, it will be
expanded and marketed as a model that cities in the County could adopt. The program allows:
o existing Second Units to be brought up to code and become permitted;
c applicants to explore whether the amnesty program for non -permitted units might work
for them;
o a no -risk assurance which enables the homeowner to back out of the permitting process at
any time with no obligation on their end to bring their non -permitted unit up to health and
safety standards;
o a variety of enforcement suspensions included in the laws that took effect this past
January; and
o some previously non -permitted construction features (so some homeowners no longer
need amnesty.)
Rebuilding Together Peninsula is a non-profit organization that focuses on home repair. Eighty
five percent of its home repair projects are in San Mateo County, primarily garage -conversion
Second Units in East Palo Alto.30 31 Much of that work is focused on upgrading non -permitted
Second Units. Grand Jurors toured the Redwood City offices and learned that the nonprofit
27 Grand Jury interviews.
28 RebuildingTogetherPeninsula is a non-profit that is focused on working with other local agencies to upgrade non -
permitted second units in East Palo Alto. It has a focus on repairs of garage -conversions, not new construction.
https:Nsites._-oogle.com'rebui ldi m�togetherpeni nsula.or.i!/epa-adu-i nitiati ,�-er home
29 See the SMC Second Unit Amnesty Website: https:I/planning-sn)cgov.org/second-unit-amnest,
30 Grand Jury interview.
31 Rebuilding Together the Peninsula EPA Garage Conversion/ADU Legalization Initiative,
htt s://sites. oo le.com/rebuildin to ethe eninsula.or a a-adu-initiative/home
2019-2020 San Mateo County Civil Grand Jury
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9D06C4
works on one project at a time, relying on volunteers who are good at making repairs. Most of
these Second Units are for relatives and friends, not for revenue. Rebuilding Together's five year
plan targets low income communities of color. Second Unit goals for Rebuilding Together in
East Palo Alto are:
o legalizing non -permitted units;32
o repairing units to make them safer for occupants;
o streamlining the repair process;
o sharing learnings;
o training and workforce development; and,
o transitioning East Palo Alto Second Unit projects to "EPA CAN DO"33 leadership.
Moving Forward
Step One: Home for All Initiative
The County's Home for All Initiative builds on the work and momentum of the San Mateo
County Board of Supervisors' Closing the JobslHousing Gap Task Force.34 "The Second Unit
Center" is a program of the Home for All Initiative which is aimed at providing information and
tools to make it easier for homeowners to build second units to help increase the housing supply
in San Mateo County. According to the Second Unit Center website, on August 6, 2019, the
Board of Supervisors approved the creation of a new One Stop Shop35 pilot program to help
homeowners with Second Unit construction. Through this program, participating homeowners
can receive no -cost support from the nonprofit Hello Housing, a member of the Mid -Peninsula
Housing family of companies.
Hello Housing will provide up to 100 hours of free feasibility and project management support at
no cost in connection with the design, permitting, and project management involved with
building a Second Unit. The One Stop Shop pilot program is a partnership of DOH, Hello
Housing, and the cities of East Palo Alto, Pacifica, and Redwood City. Residents of these three
cities and the unincorporated County will be eligible to apply for inclusion in this pilot
program.36 If the pilot program is successful, it is hoped that it can be scaled to serve all
jurisdictions.37
To prepare for the eventual scaling up of this pilot program, the County and its cities are
reaching out to residents to inform, educate, and support homeowners who are considering
building or improving a Second Unit.38 As part of this effort, DOH and the City/County
Association of Governments of San Mateo County (C/CAG) have co -sponsored and coordinated
32 Cost of a garage conversion or "permitted" to codes of the day is about $70,000 according to Rebuilding Together
the Peninsula. This can include adding insulation, upgrading electrical, sealing and leveling a concrete floor,
reviewing the safety of the roof, creating a new share wall and a proper wall to replace the garage door, and make
garage electric/energy efficient and heated.
33 https://epacando.org/
34 Closing the Jobs/Housing Gap Task Force, The Task Force began in September 24, 2015 to build a common
understanding of the challenge, learn chat is already being done both inside and outside the county and finish by
exploring passible solutions. https:l,bos.smcgov.or,r task -force
35 httns://secondunitcentersmc.orWonestopshop/ (accessed on 7/22/2020)
36 ibid.
37 Grand Jury interviews.
38 Grand .fury interviews.
2019-2020 San Mateo County Civil Grand Jury 9
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9D06C4
the "21 Elements Project" which aids all jurisdictions in the County to work together on
addressing their housing needs, including the development of Second Units. As part of this
effort, monthly meetings and/or conference calls are convened by 21 Elements.39
Step Two: Raising Awareness and Enthusiasm
It is critical that interested residents become aware of Second Unit opportunities and resources
that are available to them for building Second Units on their property. To get the attention of
homeowners, there will need to be a variety of outreach strategies. The following are efforts by
the County of San Mateo and its cities, and for comparison, the City of San Jose.
County of San Mateo initiatives:
There has been a great deal of effort already put into the development of a Second Unit Initiative
in San Mateo County. During the past couple of years, as the need for a multi -pronged housing
initiative became apparent, the County took a number of critical steps.
The County developed two notable booklets -- Second Unit Inspiration and Second Unit
Workbook; initiated a collaborative partnership between the County and its cities through the
21 Elements Project; created two pilot programs (one focused on the process of building new
Second Units and the other on homeowners successfully obtaining amnesty for non -permitted
Second Units); and are developing an updated DOH Second Unit website and marketing plan.40
City -level initiatives
In their responses to the Grand Jury survey, city managers identified the following
communication methods:
o informational handouts - hard copies and digital (i.e., Second Unit designs, checklists,
development of some standard designs, lists of pre -approved contractors);
o posting key Second Unit resource links;
o publishing articles and/or promotions in local news media; and
o community meetings and workshops;
Funding for the development of some of these programs and materials may be acquired with
SB 2 Planning Grants. SB 2 provides funding and technical assistance to all local governments in
California to help cities and counties prepare, adopt, and implement plans and process
improvements that streamline housing approvals and accelerate housing production.41
The City of San Jose (Santa Clara County)
The City of San Jose hired an Alternative Dwelling Unit (ADU) Ally acting much like an
expeditor for homeowners desiring Second Units. San Jose City's ADU Ally has become a
valuable resource in assisting San Jose homeowners through the process of developing Second
Units. The ADU Ally:
o is a dedicated staff person who coordinates and connects homeowners to city services and
demystifies the process for homeowners who are exploring the process of building a
39 21Elements, http://21clements.com/second-units, Baird & Driskell Community Planning Consultants.
40 haps:Lsecondunitcentersine.org accessed May 19, 2020.
41 https://hcd.ca.gov/grants-funding/acti%,e-fundinLIlplanning-grants.shtml
2019-2020 San Mateo County Civil Grand Jury 10
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9DO6C4
Second Unit;
o creates online tools, handouts and information, including a Second Unit Universal
Checklist which offers step-by-step guidance; and,
o helped produce a YouTube video tutorial on how to build a Second Unit in San Jose.
An official from San Jose informed the Grand Jury that the resources created by this department
would be available for use during the San Mateo County Second Unit effort.
Home for All San Mateo held a summit in February 2020, at which the ADU Ally delivered a
featured presentation. While this dedicated specialist seems to be making an impact, only time
and hard data will tell.42
Step Three: Amnesty for Non -Permitted Second Units
There are thought to be a large but unidentified number43 of non -permitted Second Units in San
Mateo County. In order to successfully increase the number of housing units countywide, it is
critical that these Second Units be upgraded to comply with applicable health and safety codes
and maintained as viable housing units. The new State laws make it easier for those units to be
made safer by providing amnesty to the homeowners who built these non -permitted units and
encouraging them to bring their units up to permitting standards.
If the County pilot program for homeowners who wish to obtain permits for their non -permitted
Second Units" is successful, it will have the potential to be expanded and marketed as a model
program that cities throughout the County could modify and/or adopt for their own use. This
action by the cities would help preserve these critical housing units. Interestingly, in the Grand
Jury's December 20I9 survey, only Belmont referred to amnesty. New construction appears to
be a higher priority for most cities.
The City of East Palo Alto and nonprofits such as Rebuilding Together Peninsula45 are also
focused on developing other plans that would make non -permitted Second Units safer and
ultimately permitted.
Barriers to Building or Upgrading Second Units:
While state law has been amended to make Second Units easier to develop, based on Grand Jury
interviews with housing advocates, it is clear that there are still significant barriers that hinder
and sometimes block homeowners from adding Second Units- For example, those barriers
include:
42 Grand Jury interview. See more in Appendix D
43 Grand Jury Interview.
44 SMC Second Unit Amnesty Website: hitps:,/planning.smcgov.org second -unit -amnesty
45 RebuildingTogetherPeninsula is a non-profit that is focused on working with other local agencies to upgrade non -
permitted second units in East Palo Alto. It has a focus on repairs of garage -conversions, not new construction.
littps://sites-google.com rebuildinatoL,.ethe eninstila.orT:'e a-adu-initiati�e']iomc
2019-2020 San Mateo County Civil Grand Jury 11
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9D06C4
o The process of financing new Second Units or upgrading non -permitted Second Units. At
the time of this writing, only one local lender, San Mateo Credit Union,46 has committed
to providing lending for these projects. At the same time, homeowners who might
consider building a new or upgrading non -permitted Second Units, are often unaware of
financing options;47
o The recent booming Bay Area building environment has made it very difficult to find and
engage contractors willing to work on relatively small projects such as Second Units,
especially due to the demand for rebuilding homes lost to recent wildfires. During its
investigation, several interviewees suggested that local governments may wish to provide
options in which contractors could utilize "handy men'' (who are not licensed as
contractors) to do work that the contractors would officially supervise;48
o Some homeowners find the building and permitting process complex and intimidating
according to the interviews of housing advocates;49
o Local public entities may lack a sufficient number of inspectors to handle building
inspections and amnesty approvals;50
o A misunderstanding by homeowners that the construction of a Second Unit could result
in the reassessment of their entire property as opposed to an increase, based on the value
of the Second Unit alone. (Adding an ADU will not impact the original home assessment,
but homeowners will get a supplemental bill.)sI
o Some jurisdictions on the County's coast are unclear as to whether the new State laws
apply to coastal areas;52 and
o The uncertainty of the Covid-19 environment.
As the County and its cities continue to focus on the shortage of available and affordable
housing, Second Units are an important option to consider. They are a popular alternative to
single-family homes and can be developed more quickly. This is even more important given the
COVID-19 pandemic because the number of households without an affordable place to live will
grow. For example, Matt Schwartz, President and CEO of CA Housing Partnership, says income
inequality was a problem before COVID-19. Before the pandemic, about 1.5 million households
were living without an affordable place in California and now that number will grow. He says
46 San Mateo Credit Union, httns://www.smcu.orgZLoans/Home-Loans/ADU-Loan
47 Grand Jury interviews.
48 Ibid.
49 Ibid.
50 Ibid.
51 Ibid.
52 "City Flooded with Requests for ADU Permits." Hal%Moon Bay Review, March 4, 2020,
httns://www.hmbreview.com/news/ciiy-flooded-with-requests-for-adu-Krmits/articie 060920-5e49-11ea-b933-
c7dea l fa420c.html (viewed again on 4/27/2020)
2019-2020 San Mateo County Civil Grand Jury 12
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9DO6C4
the state will still need to house the homeless. Interest rates are low, so this is the time to
continue to address the homelessness crisis.53
FINDINGS
F1. The number of jobs in San Mateo County has grown beyond the number of new housing
units available. More housing is needed and Second Units are one solution.
F2. From 2016 to 2020, the number of Second Units constructed annually within the County
dramatically increased by 450% (823) after related State laws were enacted in 2017.
Effective January 1, 2020, several additional new State laws were enacted in order to make
the construction of new Second Units easier for homeowners.
F3. There are about 155,000 single-family homes in San Mateo County with only 4,000 Second
Units on those properties, so there is a potential for thousands of new Second Units.
F4. The County has an unknown but large number of non -permitted Second Units. The new
2020 State laws are intended to make it easier for those units to be made safer, and
potentially to be brought up to permitting standards.
F5. Barriers to building new Second Units and for upgrading non -permitted Second Units
include: a lack of knowledge by homeowners as to potential lenders in financing the
construction of a Second Unit and a lack of lenders in the region that have indicated their
willingness to engage in such financing, homeowners' difficulty in finding contractors
willing to work on "small" projects such as Second Units, and the need to recruit and train
more inspectors.
F6. DOH and the City/County Association of Governments of San Mateo County have
co -sponsored and coordinated the "21 Elements Project" which aids all jurisdictions in the
County to work together on addressing their housing needs, including the development of
Second Units.
F7. The San Mateo County Department of Housing is updating its website and marketing plan
that focuses on Second Units.
F8. The City of San Jose has developed a Second Unit initiative that is worth examining
closely and possibly emulating. (See Appendix D).
RECOMMENDATIONS
RI . The County and its cities should continue to develop or enhance existing outreach to
homeowners about the new laws that simplify and streamline the construction and
permitting of Second Units including but not limited to the following:
53 Bay Area Housing Post-Covid-19 hails: a.w w1cied.ore/news/11818184,bav-area-housine-❑ost-uandeinic-
whats-i n-sto re
2019-2020 San Mateo County Civil Grand Jury 13
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9D06C4
o posting relevant information on their websites regarding the process for the
construction and permitting of Second Units including materials such as
checklists and flowcharts;
o increasing social media and other outreach regarding the above -referenced
resources;
o offering workshops (live or online) regarding the process for the construction and
permitting of Second Units at least quarterly.
R2. By December 31, 2020, the County and its cities should commit to meeting for the purpose
of finding collaborative solutions for:
o developing and publicizing additional financial partners to help homeowners
finance the construction of new Second Units as well as the upgrading of non -
permitted existing Second Units;
o developing solutions to address the shortage of licensed contractors willing to
work on small projects including, but not limited to, the feasibility of licensed
contractors engaging and supervising non -licensed "handymen'
o identifying and collaborating with training institutions to recruit and train more
general contractors and inspectors.
Such meetings may occur in connection with 21 Elements Project meetings regarding
Second Units, or through a separate platform.
R3. The County and each city should develop a marketing plan to focus on the needs and
concerns of homeowners who have non -permitted units. This should be done by the end of
the calendar year 2020.
R4. The County and its cities should determine whether it is feasible to retain an outside
resource that can be shared among cities and the County to leverage Second Unit expertise.
This determination should be made by December 31, 2021.
REQUEST FOR RESPONSES
Pursuant to Penal Code Section 933.05, the Grand Jury requests responses as follows:
From the following governing bodies:
City Councils and County Board of Supervisors should respond to Rl-R4.
The governing bodies indicated above should be aware that the comment or response of the
governing body must be conducted subject to the notice, agenda, and open meeting requirements
of the Brown Act.
2019-2020 San Mateo County Civil Grand Jury 14
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9DO6C4
METHODOLOGY
Documents
Alternative Dwelling Unit (ADU) SurveyMonkey Survey, December 2019.
ADU growth Survey by SMC Housing,
Interviews
Reports issued by the Civil Grand Jury do not identify individuals interviewed. Penal Code Section 929 requires that reports of
the Grand Jury not contain the name of any person or facts leading to the identity of any person who provides information to
the Civil Grand Jury.
Eight interviews were conducted with representatives of San Mateo County, San Mateo
County Housing Department, San Mateo County Planning and Building Department, San
Mateo Rebuilding Together Peninsula, Baird & Driskell and City of San Jose Building
Division - Permit Center.
BIBLIOGRAPHY
Accessory Dwelling Units (ADUs) and Junior Accessory Dwelling Units (JADUs).
California Department of Housing and Community Development,
https:/hNr«-�%-.hcd.ca.gov/policy-research/Accessot-yDwellingUnits.shtml
(Accessed 7/23/2020)
Baird & Driskell Community Planning Consultants, 21Elements Project.
httpa/2lelements.com/second-units (Accessed 7/23/2020)
Bay Area Housing Post-Covid-19. https://www.kged.org/news/11818184/bay-area-
housinQ-post-pandemic-whats-in-store (Accessed 7/23/2020)
California Housing Partnership analysis of 2018 1-year American Community Survey
(ACS) PUMS data with HUD income levels. https://IpO8d91kdOcO3rlxhmhtdpr-
wpenPine.netdna-ssl.conmi/wa-
content/uploads/2020/03/CHPC Housin$NeedsReportCA_2020 Final-.pdf
(Accessed 7/23/2020)
Colorado, Melissa. "Making It In the Bay: How the Bay Area's Housing Crisis Spiraled
Out of Control" February 10, 2020. https://w,rvw.nbebayarea.com/nex,s/local making-it-
in-the-bav/makin��-it-in-the-ba -how-the-bay-areas-housin g-crisis-s iraled-out-of-
control/2230410/ (Accessed 7/23/2020)
San Jose Backyard Homes News, October 21, 2019.
https://www.sjbackyardhomes.com/adu_ally/ (Accessed 7/23/2020)
Second Unit Workbook. (print and online) SMC Second Unit Resource Center.
2019-2020 San Mateo County Civil Grand Jury 15
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9DO6C4
April 17, 2020. hops:l/secondunitcentersrnc.ore/ or
https://plannint,.smcgo,,-.or./second-unit-ordinance (Accessed 7/23/2020)
APPENDIX A: Accessory Dwelling Units Approved by Jurisdiction
"Accessory Dwelling Units Approved by Jurisdiction" (2010-2018, with 2019 data added),
Annual Jurisdiction Survey, County of San Mateo.
- - ............ ................... _.................
-
Accessory Dwellings Units Approved By Jurisldicflon (2010-2018)
1/1/17: effective date
of new state laws
Jurisdiction 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 Total
Atherton 1
Belmont
Brisbane
Burlingame 0
5.
0
7 8 4 10 9 11
1 2 1 0 0 4
0 0 1 0 3 3
13
M
68
9
10
18
6
3
16
0 0 0 0 2 3 5 8 10 28
Calma
0
0
0
0
0
0
0
0
0
0
0
County of San Mateo
0
0
4
1
2
6
7
8
34
38
62
Duty City
6
$
3
7
3
4
11
33
23
68
166
East Palo Alto'
2
0
4
4
1
8
11
Foster City
0
0
0
0
0
0
0
0
0 .....
2
2
Hlhborough
13
13
17
16
15
19
8
15
15
11
131
Halt Moon say
0
0
3
3
3
13
22
Mento Park
malbrae
Pacifica
......................................
--
3
0
0
8
0
5
7
0
1
13
0
4
15
0
11
Senr
Todlowuo
SeR'
11
46
32
rortora Valley
6✓
4
3
7
8
5
13
11
6
7
63
redwood city
1
1
2
1
2
2
13
35
34
39
130
San Bruno
6
3
3
1
3
1
4
14
13
10
58
San Carlos
1
1
1
2
1
1
l
n/a
19
15
42
San Mateo'
2
2
2
2
2
2
2
16
24
50
104
South San koneisco
Woods de
Total
_._........._
1
8
46
3
7
47
1
2
46
3
3 _..
53
2
..4
53
6
3
74
8
2
99
5
_.....6 .........._
190
22
7
263
46
16
370
51
58
1108
,Source; Annual lurisdlctlon Survey
Estimates provided by dries prior to 2018 when folles unavailable
2019-2020 San Mateo County Civil Grand Jury
16
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9DO6C4
ADD APPROVALS IN SAN MATEO COUNTY 3 7-1
46-47-46-53-53'r74
2020 2011 2012 2013 2014 2015 2016 117 2019 2019
APPENDIX B: Provision of New California Laws for Second Units
Provisions of the laws AB670, AB671, AB587, AB68, AB881, and S1313 include:
1. One Second Unit and one Junior Second Unit will be allowed on a single-family lot.
2. There will be no minimum lot size for the addition of a Second Unit.
3. No setback will be required if the Second Unit is the conversion of an existing structure
at the property line.
4. Second Units with a size up to 800 square feet that follow building construction standards
must be allowed.
5. Second Units under 800 square feet can be 16 feet tall and can have a setback of four feet
on the side and rear of the unit.
6. Cities have 60 days to review permit applications. If they fail to do so, they are
automatically approved.
7. No replacement parking for the main house is required if converting a garage.
8. No parking is required for a Second Unit if it is within a half mile walk of transit.
9. No impact fees apply to Second Units less than 750 square feet. If larger than 750 square
feet, impact fees must be proportional to the main house.
10. Second Units that receive building permits between l/l/2020 and 12/31/2024 are exempt
from owner -occupancy rules.
11. Mandatory five-year stay of enforcement on non -permitted Second Units if health and
safety standards are met. This is based on Government Code Section 65852.2(n), which
will sunset in 2025.54
12. No short-term rentals of Second Units or Junior Second Units will be allowed for less
than 30 days to discourage vacation rentals.
13. Second Units will be allowed in multi -family and mixed -use zones. Second Units will be
allowed in multifamily buildings - up to two detached Second Units, plus allowing for the
conversion of uninhabited spaces for multiple Second Units (up to 25% of units in
multifamily buildings)
14. Home Owner's Associations cannot ban Second Units or Junior Second Units, regardless
of any existing rules doing so. Home Owner's Associations can set reasonable design
guidelines for Second Units and Junior Second Units.
54 Government Code Section 658522(n)
2019-2020 San Mateo County Civil Grand Jury 17
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9D06C4
APPENDIX C: December 2019 Survey Questions
Questions from "Alternative Dwelling Unit (ADU)" SurveyMonkey Survey, December 2019.
I . Among your city leadership, who is aware of the passage of these laws?
(AB 68, AB 587, AB 670, AB 671, AB 881 and SB 13). Please identify leaders by name with
contact information.
2. Will your city be actively encouraging your residents to take advantage of these Second Unit
laws? (What might that entail?)
3. Do you think there will/could be at least 50 parcels in your city, which might be eligible for a
Second Unit?
4. Do you anticipate that your city's homeowners as well as landlords will take advantage of
this opportunity?
5. How will you encourage your homeowners as well as landlords to take advantage of this
opportunity?
6. What obstacles do you anticipate encountering?
7. What kinds of support might you need in order to be able to actively implement these new
state laws?
8. Name (and contact information) of the person filling out the response to this survey.
APPENDIX D: San Jose's ADU Ally
San Jose City's ADU Ally has become a valuable resource in assisting San Jose homeowners
through the process of developing Second Units. Having a dedicated person for this initiative has
had an impact on the San Jose City's effort. Some of the actions that have resulted from this
singular dedicated staff person include:
1. Serving as the dedicated staff person who is the
o contact person who deals with people and points them in the right direction.
a coordinator and connecter of homeowners to all city services and who demystifies the
process.
o tour guide for homeowners who are exploring the process of building a Second Unit.
o "hand holder" holds a homeowner's hand as they walk through the process. The ADU
Ally is quoted as saying, "I can see them all of the way through to the end of the
project, help them to submit or resubmit plans, and then through permit issuance. And
when they need to schedule inspections, I can connect them to the right city staff
members."
2. Online tools, handouts and information have been created including a Second Unit Universal
Checklist which offers step-by-step guidance. The City of San Jose Planning Department's
ADU website is an example of a comprehensive and easy -to -read site, See
sanj oseca. gov/businessldevelopment-services-permit-center/accessory-dwelling-units-adus
3. The ADU AIly helped produce a YouTube video tutorial on how to build a Second Unit in
San Jose. This attracted more than 2,900 views, before it was taken down due to recent
changes in ADU regulations and Zoning Ordinances.
2019-2020 San Mateo County Civil Grand Jury 18
DocuSign Envelope ID: 83B8C969-158F-4E9B-B954-OB404E9D06C4
4. The San Jose ADU Ally has said that the resources created by this department would be
available for use during the San Mateo County Second Unit effort.
Issued: October 28, 2020
2019-2020 San Mateo County Civil Grand Jury 19