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BACKGROUND State Planning and Zoning law requires each city and county government to regularly update its General Plan Housing Element to meet its RHNA. The policies contained in the Housing Element are an expression of the Statewide housing goal of "attaining decent housing and a suitable living environment for every California family," as well as a reflection of the unique concerns of the community. Periodic updates of the Housing Element, including certification by HCD, are required to ensure that City policies continue to reflect changing community needs, challenges, and opportunities in compliance with State law. Lack of a State - certified Housing Element could also subject the City to penalties as a result of legal challenge. If a court finds that the Housing Element does not comply with State law, the court may suspend City authority to issue building permits or grant zone changes. 4th Housing Element Cycle — 2007 -2014 Housing Element The previous Housing Element (2007 -2014) included a comprehensive update which was guided by the Housing Element Update Taskforce. Through extensive community outreach which included 27 Taskforce, Housing Commission, Planning Commission and City Council meetings, the City adopted a comprehensive update to the Goals, Policies and Programs, the Housing Element Background Report and the Housing Sites Inventory in February 2012. This update included rezoning nine properties to allow for high density residential development to meet the City's mandated RHNA. Historically, the City maintained a Growth Management Ordinance and Housing Cap to control residential growth. In 2006, the State, along with housing advocacy groups, sued the City on the basis that the Housing Cap was discriminatory and did not allow the City to meet State - mandated RHNA requirements. The litigation was successful and resulted in the removal of the Housing Cap from the General Plan. Because of economic factors and the fact that the City had a very limited housing inventory during the first half of the 4th Housing Element Cycle (i.e., prior to the rezoning of the nine properties to allow for high density residential development), the City's Growth Management Ordinance unit allocation number was not evenly distributed through the entire planning period. This resulted in a relative surge in residential development approvals at the end of the period (between 2010 -2013) as shown on the map of Housing Sites with Planning Approvals shown within Attachment 5. Some residents of the community perceive the concentrated issuance of growth management allocations in the last few years of the previous RHNA cycle as indicative of an unacceptably high rate of housing growth in the City. However, on an average yearly basis through the duration of the last two RHNA cycles, growth allocations were consistent with the City's Growth Management Ordinance averaging 244 units approved per year. 5th Housing Element Cycle — 2015 -2023 Housing Element As part of the current Housing Element Update, HCD continues to require each city to demonstrate capacity to meet its revised RHNA affordable housing obligations. Based on State law, the Housing Element Update is required to identify sites to accommodate the Page 2 of 8