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• Affirmatively Furthering Fair Housing (AB 686) - Requires housing elements to demonstrate the local jurisdiction is affirmatively furthering fair housing. The new legislation has reinforced local governments' obligation to identify a supply of adequate sites available to meet their RHNA share at all income levels. Further, it requires jurisdictions to maintain adequate sites to continuously accommodate its remaining RHNA throughout the Housing Element planning period instead of only at adoption. Therefore, a site that is zoned for a certain number of units must provide that number of units at the allocated affordability level; if a development project is approved for a fewer number of units the remaining number of units must be allocated to a different site, resulting in "no net loss" of units." Changes to the sites inventory analysis and "no net loss" provisions are further discussed in this report in the Discussion section, as they relate to the upcoming sites inventory process. In addition, the State laws require additional analysis of fair housing and segregation, placing a greater emphasis on the City to demonstrate that the City is affirmatively furthering fair housing. 6th Cycle RHNA Process and Status As part of the required update, HCD requires each jurisdiction in the State to demonstrate capacity to meet their local "fair share" of the assigned Regional Housing Need Determination (RHND), including total housing units across a series of affordability categories. The RHNA is determined and assigned through a process led by HCD and regional Councils of Governments (i.e. for the Bay Area, ABAG/MTC). On June 9, 2020, HCD issued the 6th Cycle RHND to ABAG/MTC, a total of 441,176 units, reflecting the total allocation of projected housing need for the 2023-2035 period, for the entire nine-county Bay Area region. Then, through a process starting in late 2019, ABAG/MTC developed a draft methodology and formula for distribution of the RHNA, principally through the work of the Housing Methodology Committee, a 35-member stakeholder group. The ABAG Executive Board considered the proposed RHNA methodology at meetings in October and November 2020. Also in late 2020, ABAG/MTC released the final draft Plan Bay Area (PBA) 2050. PBA2050 is the region's long-range plan for land use and transportation and is one of the key components informing the distribution of housing in the RHNA methodology. Although initial drafts of the RHNA methodology, based on early drafts of PBA, suggested Pleasanton's allocation would be around 4,900 units, policy changes made to PBA in the months before the draft was released significantly increased the estimated RHNA, which now stands at 5,965 units for Pleasanton. Despite numerous comments from cities concerns about the methodology, including from the City of Pleasanton, the ABAG Executive Board adopted the methodology on January 14, 2021 , and the final methodology report was submitted to HCD on February 11, 2021. On April 12, 2021, HCD issued a letter indicating the proposed methodology's conformance to a series of statutory objectives defined by State law. Starting in May, 2021, ABAG/MTC will begin the process to issue draft RHNA allocations and outline the timeframe for the mandated local jurisdiction review and appeal process, before the RHNA is finalized later this year. Housing Element Update Planning Commission 5 of 13