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of affordable housing by absorbing the supply of available residential land. This reduces the supply of land for affordable housing and increases the price of remaining residential land. At the same time new housing contributes to the demand for goods and services in the City, increasing local service employment at wage levels which do not permit employees to afford housing in the City. Providing the affordable units required by this ordinance will help to insure that part of the City's remaining developable land is used to provide affordable housing. C. The City's adopted Housing Element has determined that 35 percent to 40 percent of the Households in the city have very low or low incomes. There is an affordability gap for low and very low income Households in San Leandro for both rental and for sale units. Among City groups identified in the Housing Element with especially significant housing needs are large and extended families. Also, currently there are limited housing choices for young adults or singles within San Leandro. D. Development of new commercial projects and Market-Rate housing encourages new residents to move to the City. These new residents will place demands on services provided by both public and private sectors. Some of these employees eam incomes only adequate to pay for affordable housing, not market rate housing. Because affordable housing is in short supply within the City, these employees may be forced to live in less than adequate housing within the City, pay a disproportionate share of their incomes to live in adequate housing within the City, or commute ever-increasing distances to their jobs from housing located outside the City. These circumstances harm the City's ability to attain goals articulated in the City's General Plan. E. A lack of new inclusionary units will have a substantial negative impact on the environment and economic climate because (i) housing will have to be built elsewhere, far from employment centers and, therefore, commutes will increase, causing increased traffic and transit demand and consequent noise and air pollution; and (ii) City businesses will find it more difficult to attract and retain the workers they need. Inclusionary housing policies contribute to a healthy job and housing balance by providing more affordable housing close to employment centers. F. The California Legislature has required each local government agency to develop a comprehensive, long-term general plan establishing policies for future development. As specified in the Government Code (at Sections 65300, 65302(c), and 65583(c)), the plan must: (i) "encourage the development of a variety of types of housing for all income levels, including multifamily rental housing;" (ii) "assist in the development of adequate housing to meet the needs of low- and moderate- income Households;" and (iii) "conserve and improve the condition of the existing affordable housing stock, which may include addressing ways to mitigate the loss of dwelling units demolished by public or private action." 2