More low cost housing for Newport Beach - Follow Up

I wanted to elaborate some more on Ron & Anna Winship's very informative post on the Southern California Association of Governments and what they are "suggesting" to Cities in the terms of low income housing by 2014. The LA Times picked up what is required out of Irvine, a staggering 35,660 very low to above moderate income households. My first question is why constitutes very low income and what constitutes moderate income households? Especially in Newport Beach, where those terms have a completely different meaning than, let's say, Apple Valley.

Anyway, for those curious, that same report says that Newport Beach will "need" 1784 (good thing we got West Santa Ana Heights and will get Banning Ranch...) more very low to above moderate income households by 2014. Costa Mesa "needs" 1682, Huntington Beach 2092. I'm not sure about what will happen if Newport, or Irvine, doesn't hit their numbers and if they have a sliding scale of income levels. Here's the report for those who are bored and are fond of looking at numbers.

But at least this is much more interesting than this. In regards to the City Hall, the Newport Beach City Council has no teeth in this issue, especially if the initiative process is successful and it goes to the ballot.