The City of Daly City's Consolidated Plan constitutes a strategic vision for housing and community development in the city. This document summarized the plan so that citizens in the community can have a quick overview of Daly City's housing and community development problems; the 3-year broad goals, strategies, and actions proposed to deal with those problems; and specific projects for carrying out this strategy during 1995.

Action Plan

The Consolidated Plan also includes an action plan constituting an application for funds under the Community Development Block Grant Program (CDBG) for a total of $1,718,000,and $66,400 in program income. HOME Investments Partnership Program funds are included in the San Mateo County HOME Consortium.

Citizen Participation

The citizen participation process began on November 7, 1994 with San Mateo County's Community Development Committee's coordination of a citizen input meeting, which was attended by Daly City staff. On December 12, 1994, the Daly City City Council held a public hearing to obtain citizen's views on community development and housing needs that are eligible for CDBG funding for Fiscal Year 1995-1996 and to address the citizen participation and planning process (schedule) for preparation of the Consolidated Plan. To obtain additional input for development of the Consolidated Plan, the City held two community needs meetings on February 7 and 9, 1995. A press release announcing the meetings was sent to 17 media contacts, including several minority groups. In addition, notices were sent to 175 nonprofit organizations, homeowners associations, merchants, and individuals. The public review of the draft Consolidated Plan began via general notices published in the local newspapers, The Daly City Record and the San Mateo Times, on March 22, 1995. Copies of the Consolidated Plan and related documents were available for inspection at all City libraries, the Daly City Community Service Center and City Hall. The public review comment period ran from March 22 - April 24, 1995. Upon adoption by the City Council, at the April 24, 1995 public meeting, the Consolidated Plan and Annual Plan were sent to the County of San Mateo for incorporation into the Consolidated Plan and Annual Plan for the San Mateo County HOME Consortium. This Consolidated Plan is also part of the County's public review period which included a Public Hearing by the San Mateo County Board of Supervisors on May 2, 1995.

Daly City is located in Northern San Mateo County along the southern border of the City and County of San Francisco. The City is a very dense, built-out, suburban city of 98,316. Its housing stock is largely single-family residences on small lots, or row houses. Most of its rental housing is in a 3,000 unit development. Built largely from 1955 - 1978, most of the City's housing has begun to need, at a minimum, periodic rehabilitation. There are very few abandoned units and housing costs are extremely high.

There are an estimated 5,000 - 10,000 illegal second units, despite a nationally recognized progressive policy on second units. The Population is very ethnically diverse. Daly City has been and continues to be a first home to immigrants, and so there are many intergenerational households as well as newly formed households. No age group or family structure predominates. The housing needs, therefore, are equally diverse. There are very few remaining sites for new construction, and these sites are extremely expensive. In addition, the topographical features of these remaining parcels usually increase construction costs.

Daly City as with the rest of the San Francisco Bay Area experienced an economic downturn between 1991 and 1993. The situation is starting to reverse itself with the unemployment rate and business and office vacancy rates substantially improving.

Daly City had a 1990 population of 92,315 people, of which 41,771 persons (45%) were born outside the United States. The City is ethnically diverse, with no homogenous or nearly homogenous concentration of minorities in any one neighborhood. The 1990 ethnic compositions are as follows: White - 39.8%; Hispanic - 21.9%; Asian/Filipino - 27%; Asian/ Chinese - 11.3%; and Black - 7.7%.

Between 1980 and 1990, the household composition increased from 2.89 to 3.18, and to 3.31 as of January 1, 1994. The number of single-parent families, during this ten year period, increased by 34% and the number of large families, five or more persons, increased by 24%.

The City's 1990 median household income is $41,533.

Housing Needs

In Daly City, a total of 5,434 renter households and 2,694 owner households have housing assistance needs. In addition, 47% (13,699) of all households are either cost burdened or severely cost-burdened, and 19.1% (5,593) households are overcrowded. The San Mateo County Housing Authority currently administers 3,301 Section 8 Program Certificates, Vouchers and Credits. Of these, 475 or 14.4% of the households assisted are Daly City residents. The Housing Authority's waiting list for Section 8 certificates was opened and closed in May 1994 when over 24,000 inquires were received. Approximately 15,600 calls are received annually and the average time for consideration for housing assistance is from three to eight years depending on the size of the unit needed. Currently there are in excess of 18,000 families on the list.

Households experiencing housing problems by income group is as follows: 73% or 3,313 households for extremely low income (0 - 30% Median Family Income (MFI)); 76% or 2,638 households for low income (31 - 50% MFI); 64% or 3,439 households for moderate income (51 - 80% MFI); and 56% or 2,707 households for middle income (81 - 95% MFI).

Housing Market Conditions

As of January 1, 1994, there were 30,866 housing units in Daly City. Of these, 19,069 or 63% were single family detached or attached, 11,185 or 36% were multi-family units, and 614 units or 2% are mobile homes. As of the same date, 29,698 were occupied, resulting in a vacancy rate of 3.78%.

The average cost of a single-family home nearly quadrupled in the 1970's from $26,000 to $247,500 by 1990. As of the 1990 Census, rents in the City range from less than $100 to $1,000 or more with the median rent at $674. Due to these high costs, very few renter units are "affordable" to low- and moderate-income households. As a result, households are either priced out of the market, or must resort to alternatives such as substandard units, or overcrowded units or both.

Because of the recession, the number of new single-family and multi-family units constructed between 1990 and 1993 has consistently decreased. Also affecting this decline is the lack of vacant land for development. The City is expected to be totally built- out by the year 2010. As a result, small infill projects on the remaining vacant or underutilized parcels are the only type of feasible development. Second units, both legal and illegal, represent an opportunity for affordable housing. These units are constructed for rental income or for use by relatives.

Two redevelopment areas, one along Mission Street and the other along Junipero Serra Boulevard and Highway 280, contain a number of vacant or underutilized parcels, providing opportunities for affordable housing components.

Homeless Needs

There is no reliable data source of the homeless population in Daly City. Estimates range from 750 to 1,500 homeless people. The homeless population is extremely diverse; homeless families comprise the largest subgroup, but there are many single homeless adults and youth who may suffer from mental illness and alcohol and drug abuse. The most immediate needs of homeless families and individuals are for emergency and transitional shelter, along with job training, counseling and medical care. At present, only one transitional shelter for homeless families, Family Crossroads, operates in Daly City. During 1992 - 1993, 21 Daly City households were placed in Family Crossroads, and an additional 37 households were placed on a waiting list. No emergency shelters for homeless individuals operate in the City. The only emergency shelter within the County is the National Guard Armory Winter Shelter, which operates only seasonally from December through March. There is a need for a year round emergency shelter space for 173 - 345 homeless individuals. In addition there are needs for the mentally ill, victims of domestic violence, runaways and veterans.

Public and Assisted Housing Needs

Midway Village is the only public housing project in Daly City providing 35 townhouse buildings for 150 apartments. However, a portion of the site contains hazardous chemicals and has been listed on the "Superfund" toxic cleanup list. In 1993, the County cleaned up the site by encapsulating or removing contaminated soil at no loss of public housing units.

The City has 475 households served under the Section 8 program, and provides 293 elderly housing units in three government assisted moderate-income housing projects.

Barriers to Affordable Housing

Constraints to the maintenance, improvement and construction of housing can generally be divided into two categories governmental and non-governmental. Governmental constraints include land use controls, fees and dedications, permit processing procedures, and infrastructure constraints. Total fees for a single family home selling for $319,000 is approximately $16,193. However, for non-governmental constraints, the high cost of development, financing and land are the greatest barriers to the provision of affordable housing.

Lead-Based Paint

Currently, Daly City's Rehabilitation Program , as well as the County of San Mateo, facilitate lead abatement. An evaluation is performed when a property owner applies for assistance under the program. According to the National Center for Lead-Safe Housing information and worksheets to determine the number of homes with potential lead hazards, there are approximately 2,496 -3,050 rental units and 592 - 724 owner-occupied units with potential lead hazards in Daly City. However, only two homes out of 185 rehabilitated since 1983 have been found to have lead levels requiring encapsulation or abatement.

Community Development Needs

The City held two community meetings on February 7 and 9, 1995 to encourage the public to give additional input on housing and community development needs in Daly City. Some of the issues raised were: need for additional affordable housing that is spread throughout the City (with a preference for mixed-income developments), increased availability and outreach for housing rehabilitation and handicapped accessibility services, additional enforcement activities, technical and marketing assistance to local businesses in the Bayshore area, affordable child care, youth recreation and job training activities, improved maintenance of storm drain system in the Bayshore area, improved lighting, additional sidewalks and curb-cut ramps, street repairs, and expanded transportation services.

Vision for Change

The three year strategic plan lays out a long-term strategy to deal with housing and community development needs.

Housing and Community Development Objectives and Priorities

Presented below are housing and community development priorities to be implemented as resources become available. These activities are not in order of priority.

HOUSING:

• Provide assistance to homeowners seeking legalization of existing, illegal second units - three year objective is to provide loans to legalize 9 second units, and provide technical assistance to legalize 75 second units.
• Provide assistance to homeowners to construct new second units - three year objective is to provide loans to construct 6 new second units, and to provide technical assistance to create 15 second units.
• Rehabilitate existing owner units and rental units - three year objective is to rehabilitate 30 ownership units, rehabilitate 9 renter units, provide 30 minor home repair grants to senior homeowners, provide minor home repairs to 225 low and moderate income homeowners, and conduct survey of existing housing conditions.
• Construct new rental units - three year objective is to construct 71 new rental units.
• Construct new ownership units - three year objective is to develop 11 middle income and above middle-income ownership units.
• Provide supportive facilities and services for persons with special needs - three year objective is to modify 70 low and moderate income homes for accessibility, and provide home sharing opportunities for 60 low and moderate income renters and 60 low and moderate income owner households.
• Provide rental assistance - three year objective is to maintain 475 Section 8 vouchers and certificates, and provide rental assistance to 30 additional households (if feasible).
• Acquire and rehabilitate existing rental apartments - three year objective is to acquire and rehabilitate 8 rental units for low and moderate income renters.
• Monitor status and preserve at-risk assisted housing inventory - three year objective is to insure preservation of 171 units as affordable low and moderate income rental units.
• Provide supportive facilities and services for homeless persons - three year objective is to provide shelter and service to 135 homeless persons.

Non-Housing Community Development Priorities:

Economic Development

• Provide technical assistance to businesses - three year objective is to provide technical assistance to businesses and property owners.

Capital Improvement Projects

• Improve and encourage neighborhood-serving commercial uses - three year objective is to install landscaping, and provide off-street parking for residents and businesses in and around the Top-of-the-Hill area of Mission Street.
• Provide funding for equipment to assist agencies who provide needed services to low income residents - three year objective is to expand and enhance the provision of needed services.
• Remove architectural barriers for the physically disabled - three year objective is to remove architectural barriers at City Hall to allow better access to services and programs, and construct 300 wheelchair ramps.

Public Services

• Provide child care and other services for children and their families - three year objective is to provide child care services to 300 low and moderate income households, and provide clothing and other necessities to 350 children annually.
• Provide support for services that provide food for low income residents - three year objective is to provide food for 900 low-income households.
• Provide support for health care services to low-income residents - three year objective is to provide health services to 200 residents.
• Provide legal assistance to low-income residents - three year objective is to provide the provision of low-cost legal services to 600 households annually.
• Provide preventative services to "at-risk" low-income youth - three year objective is to provide low-cost preventative service to 300 households.
• Provide public services and facilities for special needs populations - three year objective is to provide support of services to 400 households with special needs.
• Affirmatively further fair housing activities - three year objective is to provide fair housing information and assistance to 360 households.

Other Community Development Needs

• Provide code enforcement activities - three year objective is to provide proactive code enforcement activities in low income areas to improve living environment of residents.

Anti-Poverty Strategy

The goal of the City's anti-poverty strategy is to strengthen the economic climate, expand the tax base, increase employment opportunities and assist in the retention of existing neighborhood-serving commercial businesses in low- and moderate- income areas. The Anti- Poverty strategy has three main focuses: To improve economic opportunities through Economic Development, improve economic opportunities through the services of Daly City's CDBG subrecipients, and improve economic opportunities through the Daly City Community Service Center.

Housing and Community Development Resources

Daly City has access to three major resources for its housing and community development activities:

1. Community Development Block Grant funds,
2. HOME Investment Partnership Program funds, and
3. Redevelopment Agency resources.

Daly City participates with the City of South San Francisco and the County of San Mateo in the San Mateo County HOME Consortium. This Consortium provides opportunities for sharing of information and resources for projects within member jurisdictions. To receive HOME funds, the jurisdiction must match HOME funds expended with State, local or private funds at a ratio of one dollar for every four HOME dollars. HOME funds will be used for the development of mixed-use affordable rental housing at the Vista Grande and School/Buno sites in the Redevelopment Project area. The Redevelopment Agency resources that are assisting in the financing of these two sites will provide the required match for the HOME funds expended in Daly City.

Redevelopment Agency resources are available for the development of affordable housing for low and moderate income households through the Low and Moderate Income Housing Fund, the Inclusionary Housing Policy, and the provision of Redevelopment Agency-owned land. These resources are described as follows:

1. Low and Moderate Income Housing fund established under California Community Redevelopment law, requires that 20% of tax increment collected in the Redevelopment Project Area must be set aside for low and moderate income housing. The Agency which in the past has used these funds for debt service incurred before 1986 will use these revenues to assist the Vista Grande and School/Bruno developments. Expenditures of approximately $470,000 in 1995 and $954,200 in 1996 are proposed.

2. The Inclusionary Housing Policy requires that 15% of all new or rehabilitated dwelling units developed within a redevelopment project area by entities other than the redevelopment agency must be affordable to very low, low or moderate income households.

3. The Redevelopment Agency will also assist in the development of affordable housing by providing long-term deferred loans to the nonprofit housing developer of the Vista Grande and School/Bruno developments. Lastly, the City will attempt to leverage other public and private resources for these developments.

Coordination of Strategic Plan

Daly City participates in the sharing of information and resources for development of affordable housing and services to its residents by participating with the following organizations: the San Mateo County HOME Consortium with the County of San Mateo and the City of South San Francisco, the Association of Bay Area Governments, the San Mateo County Housing Authority, the Daly City Community Service Center and various local nonprofit organizations.

Description of Key Projects

The following list presents a series of site specific and city-wide activities proposed for the 1995/1996 Action Plan. Funding for these activities will come from a $1,718,000 CDBG grant, anticipated FY95-96 program income of $66,400, unallocated FY94-95 funds of $89,961, and unspent FY94-95 funds of $133,000.

CDBG Administration General Administration	$250,000
Economic Development Business Technical Assistance	51,000
Housing Residential Rehabilitation School/Bruno Family Housing N. Pen. Neigh. Services Code Enforcement Intern	390,333 165,000 50,000 18,500
Capital Improvements Bepler Parking Lots Sidewalk Wheelchair Ramps City Hall Removal of Architectural Barriers Mission St./San Pedro Landscaping Imp. No. County Health Ctr.-Dental Exam Rm. 2nd Harvest Palleting	178,517 100,000 485,000 33,700 20,000 26,000
Public Services Child Care Coordinating Council - 4C's Bayshore Child Care Services Shelter Network - Family Crossroads Human Investment Proj. - Shared Homes Project Sentinel La Raz a Centro Legal Operation Brown Bag Emergency Food Pantry Daly City Friendship Center Spring Street Shelter Center for Ind. of the Disabled - HAM Peninsula AIDS Services - Ellipse John's Closet Project Read Legal Aid Society of SmCo - Homesavers Daly City/Colma RotaCare Project FOCYS Sor Juana Ines Boys/Girls Club - "Youth At Risk"	25,500 24,000 20,000 25,000 10,000 20,000 10,000 10,000 4,500 5,000 15,000 10,000 10,000 32,000 5,495 2,040 3,200 5,000 2,576
TOTAL CDBG ALLOCATIONS	2,007,361

Housing Goals

The following programs will be implemented as resources are made available. These activities are not in order of priority.

• Provide assistance to homeowners seeking legalization of existing, illegal second units - provide loans to legalize 3 second units and provide technical assistance to legalize 25 second units.
• Provide assistance to homeowners to construct new second units - provide loans to construct 2 new second units and provide technical assistance to create 5 second units.
• Rehabilitate existing owner units and rental units - rehabilitate 10 ownership units, rehabilitation of 3 renter units, 10 minor home repair grants, and minor home repairs of 100 homes.
• Construct new rental units - 24 new rental units constructed.
• Construct new ownership units - continue assistance to developer of Landmark site.
• Provide supportive facilities and services for persons with special needs - modify 30 homes for accessibility and provide home sharing opportunities for 30 renter and 30 owner households.
• Provide rental assistance - maintain 475 Section 8 vouchers and certificates, and provide rental assistance to 10 households (if feasible).
• Acquire and rehabilitate existing rental apartments - acquire and rehabilitate 4 rental units.
• Monitor status and preserve at-risk assisted housing inventory - preservation of 171 units as affordable rental units.
• Provide supportive facilities and services for homeless persons - shelter and services provided to 44 homeless households.

Maps

MAP 2 depicts points of interest and low-moderate income areas.

MAP 3 depicts points of interest, low-moderate income areas, and minority concentration levels.

MAP 4 depicts points of interest, low-moderate income areas, and unemployment levels.

MAP 5 depicts low-moderate income, unemployment levels, and proposed HUD funded projects.

TABLE (without associated map) provides information about the project(s).

Mr. Richard Berger
Housing and Community Development
Supervisor, Daly City
Telephone (415)991-8156