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DISCUSSION In order to assure a predictable growth rate while providing housing, the GMP regulates the number of residential building permits that can be issued each calendar year between 2014 and 2022 to 235 permits (based on the City's Regional Housing Needs Allocation divided by the number of years in the Regional Housing Needs Allocation cycle as prescribed by the Association of Bay Area Governments). As shown in Table 1 above, to date for 2016, a total of 84 GMUAs have been granted (81 by City Council and three by the Zoning Administrator, resulting in an available capacity of 151 GMUAs for the remainder of the year. The applicant for Case No. P16 -0945 did not receive GMUAs during the approval process. Thus the applicant now seeks GMUA approval for that project (a total of 13 GMUAs) in order to obtain a building permit. If the 13 GMUAs are granted, 138 GMUAs would remain available for the remainder of 2016. Based on the remaining anticipated GMUA demand shown in Table 1 above, staff believes adequate GMUA capacity exists and supports granting 13 GMUAs for Case No. P16- 0945. The GMP also limits the number of discretionary GMUAs the Zoning Administrator may grant per year to 10.2 Section 17.36.080.2(c) also allows City Council to increase the Zoning Administrator's discretionary GMUAs, on an annual basis, if a need is demonstrated. As shown in Table 1, to date the Zoning Administrator has already granted three of the 10 GMUAs allowed for 2016. In addition, there are an additional three GMUAs requested for the approved project at 377 St. Mary Street, reducing the remaining discretionary GMUAs to four for the remainder of the 2016. Table 1 shows that 15 additional GMUAs are expected to be requested during the remainder of 2016. These projects are generally smaller -scale projects (many are single - family residences on vacant lots) with reduced neighborhood and community impacts. Therefore, staff is requesting that City Council grant the Zoning Administrator an additional 15 discretionary GMUAs for the remainder of 2016. Having additional flexibility in the total number of available discretionary GMUAs for the remainder of 2016 would streamline the development review process for applicant proponents of the smaller residential projects that typically would be suitable for staff -level discretionary GMUAs. These smaller projects are typically lower density infill projects that would not result in substantial changes in demand for water or schools, or generate substantial traffic. As noted above, adequate annual GMUA capacity exists to support this request. CONCLUSION Staff recommends that the request for 13 GMUAs for P16 -0945 be approved by City Council, allowing the applicant for this previously approved project to obtain a building permit to construct the approved residential units. Additionally, based on the anticipated demand for GMUA requests for the remainder of 2016, staff recommends that an additional 15 discretionary GMUAs be granted to the Zoning Administrator. This will streamline the development review process for applicants proposing smaller development projects that would typically be reviewed only at the staff or Planning See PMC §17.36.080.2(c). Page 4 of 5