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State regulators who rejected Berkeley’s affordable housing plans earlier this month said Wednesday they expect that the city will ultimately win state approval. 

“This is a community that is trying to build affordable housing,” said Judy Nevis of the state Department on Housing and Community Development. 

Berkeley is required by law to plan for the creation of 1,269 new units of affordable housing by 2007. But state regulators ruled that the city’s plan to meet this goal, set forth in its housing element, constrained new development and lacked specific information explaining how it will meet the quota. 

The state’s ruling brings the housing element back to city staff and the Planning Commission for revisions. The document was sent to the state for approval in December and represented three years of work by city officials. 

Planning commissioners were predictably disappointed by the state’s ruling. 

“How could they do this to Berkeley?” said Commissioner Gene Poschman. “We do more for affordable housing than any other city, yet we are given the worst time.” 

Nevis said that Berkeley’s lack of available land for development makes it more difficult for the city to comply with state standards. She noted that while other cities can designate vacant lots for affordable housing, Berkeley does not have that luxury. 

To cope with its lack of available land, Berkeley has enacted several laws to encourage the development of affordable housing. The city requires all new residential developments with more than four units to guarantee that at least 20 percent of the units will be rented to residents earning below the median income. 

Nevis commended this law, but said Berkeley must propose additional strategies for planning affordable housing. 

“The state tries not to be directive and say you have to do it this way,” Nevis said. “We have to respect what the local community is able to do.” 

State officials said they will offer city planners suggestions on how to best develop affordable housing at a meeting in early September. 

The housing element has been a source of contention even before the state ruling. 

Last month, planning commissioners criticized city staff for changes made to the housing element’s appendix. They said that revisions that were supposed to be only technical in nature conflicted with policies laid out in the body of the document. 

City planners insisted that the appendix was purely background information and did not alter established policies. 

After reading the state’s letter of decision, Zelda Bronstein, chair of the Planning Commission, noted that the state’s letter treated the appendix no differently than the body of the element. 

“It seems clear to me from reading the letter that contrary to what the staff is saying the appendix is not merely a technical document. It is a policy statement.” 

Bronstein said that the planning commission will review the contents of the appendix in addition to addressing state concerns when it meets in September. 

Both planning commissioners and city staff said it was too early to estimate when the city would be able to resubmit the document for approval. 

Berkeley is now in violation of state housing element law. Without a valid element Berkeley could lose out on state housing grants and find itself more susceptible to lawsuits from developers who want to skirt zoning laws. 

Berkeley is not alone in having its housing element rejected. According to Nevis, only about 68 percent of California cities have a valid housing element, and many cities have their initial housing element rejected. 

Contact reporter matt@berkeleydailyplanet.net