Housing Incentives Vs. Cash For Parks: San Jose To Weigh In

Campbell CA

02 March, 2021

3:53 PM

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By Carly Wipf, San Jose Spotlight March 2, 2021 To encourage housing development in San Jose, lawmakers are looking to give builders a break at the expense of local parks. The San Jose City Council on Tuesday could vote to reduce the amount that certain housing developers pay for local parks by 50%, leaving park advocates concerned about the future of outdoor spaces. Parks and Recreation Commission Chair Daphna Woolfe said the commission supports creating housing at all income levels. The measure under consideration applies to housing for moderate-income residents. But Woolfe fears building more housing without funding park space will make San Jose a "less desirable" place to live. "As COVID-19 has shown, being outside is critically important for our physical and mental health." Woolfe wrote in a letter to the council. "Many parts of our city are already park deficient. Any new construction would need to be placed near existing parks if new parks are not being funded." Under current building guidelines, housing developers in San Jose must reserve at least three acres of space for parks and recreation facilities for every 1,000 residents expected to live in their new housing projects. Park fees paid by residential developers are the department's main way of getting new parkland and building recreational facilities for residents, according to Nicolle Burnham, deputy director of the city's Parks, Recreation and Neighborhood Services Department. "Any time these fees are lowered, we reduce our opportunities to acquire new parks and to provide and improve recreational amenities," Burnham said. If a developer doesn't want to create space for parks, they can pay an extra fee for each unit they build. The city then uses this money to fund other park projects nearby. The city's current rules grant qualifying low-income housing projects a 50% per unit discount on park fees. The break is meant to give developers incentive to build low-income housing. Under the proposal, the council is looking to give the same break to moderate-income housing developers. Park Goals Everyone in San Jose should be a 10-minute walk or less from a neighborhood park by 2040, according to goals set in the Activate SJ plan. Woolfe reminded the council in her Feb. 23 letter that San Jose is far from meeting its goals. "Quite simply, this is an equity issue, as those who are less affluent often do not have access to outdoor space in their homes," Woolfe said. She added that San Jose already gives fee breaks to developers of housing for people with lower incomes. Just last week, the council made adjustments to its Inclusionary Housing Ordinance — which sets guidelines for how much affordable housing a developer must create per new development. The changes reduced developers' fees if they chose to include housing for people with extremely low incomes onsite. This with proposed cuts to parkland fees shows city leaders are working to solve the housing crisis, but trying multiple strategies at once makes it difficult to determine what actually works, said Councilmember David Cohen. "I don't know if this will make a huge difference or not," Cohen told San José Spotlight. "What concerns me is: I don't know if we can tell — with all the changes that are being made — which change will make the difference." Cohen said fee cuts are at least "worth a try." He said if the incentives really do work as planned, the increase in development may make up for the initial reduction in park fees. Cohen said further study is needed. He, along with Councilmembers Sergio Jimenez and Pam Foley, requested city staff report back every year to show how or if city parks are negatively impacted by the fee cuts, should they be implemented. The San Jose City Council will discuss the potential fee changes at its March 2 meeting, which begins at 1 p.m. To watch, visit San Jose's YouTube page. Contact Carly Wipf at [email protected] or follow @CarlyChristineW on Twitter.