The purpose of this chapter is to implement specified provisions
of state law pertaining to local regulation of housing development
projects, including, but not limited to, the State Density Bonus Law,
Government Code Sections 65915, et. seq., the Housing Accountability
Act, Government Code Section 65589.5, the Housing Crisis Act of 2019,
Government Code Section 66300, the No Net Loss Law, Government Code
Section 65863, and the Housing Element Law, Government Code Sections
65580 et. seq.
(2939 § 3, 2022)
A.
Compliance
with State Law.
1.
Generally. Notwithstanding the provisions of Chapter 9.32, all proposed housing development projects shall be reviewed in accordance with requirements and limitations imposed by state law, including, but not limited to, Government Code Sections 65589.5, 65915-65918, 65583, 65584, 65863, 65905.5, 65913-65913.11, 65940-65945.3, 66300, 65650-65656, and 65660-65688. Except to the extent otherwise provided by state law, such review shall ensure that proposed housing development projects comply with all applicable, objective standards, provisions, conditions and requirements of the general plan, this chapter, and other applicable ordinances and policies of the City.
2.
Findings
Required for Disapproval of Housing Development Projects. As provided
by state law, when a proposed housing development project complies
with applicable, objective general plan, zoning, and subdivision standards
and criteria, including design review standards, in effect at the
time that the application was deemed complete, a City hearing body
or official shall not disapprove the project or impose a condition
that the project be developed at a lower density unless the hearing
body or official makes written findings, based on a preponderance
of the evidence on the record, that: (a) the project would have a
specific, adverse impact on public health and safety unless the project
is disapproved or approved upon the condition that the project be
developed at a lower density; and (b) there is no feasible method
to satisfactorily mitigate or avoid the specific adverse impact, other
than the disapproval of the housing development project or the approval
of the project upon the condition that it be developed at a lower
density. As set forth in subdivision (j)(1) of Government Code Section
65589.5, as used in this paragraph, a "specific, adverse impact" means
a significant, quantifiable, direct, and unavoidable impact, based
on objective, identified written public health or safety standards,
policies, or conditions as they existed on the date the application
for the housing development project was deemed complete.
3.
Additional
Findings Required for Disapproval of Housing Development Projects
for Very Low-, Low-, or Moderate-Income Households. As provided by
state law, a City hearing body or official shall not disapprove a
housing development project for very low-, low-, or moderate-income
households, or an emergency shelter, or condition approval in a manner
that renders the housing development project infeasible for development
for the use of very low, low-, or moderate-income households, or an
emergency shelter, including through the use of design review standards,
unless it makes written findings, based upon a preponderance of the
evidence in the record, as required by subdivision (d) of Government
Code Section 65589.5. For purposes of this paragraph, "housing for
very low-, low-, or moderate-income households" shall have the meaning
set forth in subdivision (h)(3) of Government Code Section 65589.5.
B.
Consistency
Review of Housing Development Project Applications. The Department
Director shall be responsible for reviewing each application for a
housing development project for consistency and compliance with applicable,
objective General Plan, zoning, and subdivision standards and criteria
within the time period(s) prescribed by law. In accordance with subdivision
(j)(2)(A) of Government Code Section 65589.5, if the Department Director
considers a proposed housing development project to be inconsistent,
not in compliance, or not in conformity with an applicable plan, program,
policy, ordinance, standard, requirement, or other similar provision,
the Department Director shall provide the applicant with written documentation
identifying the provision or provisions, and an explanation of the
reason or reasons the Department Director considers the housing development
to be inconsistent, not in compliance, or not in conformity. For proposed
housing development projects containing 150 or fewer housing units,
the Department Director shall provide said written documentation and
explanation within 30 days of the date that the project application
is determined to be complete. For proposed housing development projects
containing more than 150 housing units, the Department Director shall
provide said written documentation and explanation within 60 days
of the date that the project application is determined to be complete.
In accordance with subdivision (j)(2)(B) of Government Code Section
65589.5, a City hearing body or official may not disapprove a proposed
housing development project on the basis that the proposed project
is inconsistent, not in compliance, or not in conformity with an applicable
plan, program, policy, ordinance, standard, requirement, or other
similar provision not identified in the written documentation and
explanation provided by the Department Director.
C.
Discretionary Review of Housing Development Projects. Notwithstanding Section 9.32.030 or any other provision of this title, the following provisions shall apply to the consideration of applications for site plans, conditional use permits, or other quasi-judicial land use permits required for the construction or operation of a housing development project, as defined in subdivision (h)(2) of Government Code Section 65589.5, which is not subject to ministerial review by the Department Director pursuant to subsection 9.60.020.D:
1.
Public
Notice and Hearings.
a.
Except as modified by this section, land use permits for housing development projects shall be subject to the notice, hearing, and appeal procedures set forth in Chapter 9.32.
b.
For so long as Government Code Section 95905.5 so provides and remains
in effect, no more than five hearings or continued hearings shall
be conducted in connection with consideration of an application for
a housing development project, unless otherwise agreed to by the applicant
or the applicant's designated representative. Said limit does not
apply to any hearing to review a legislative approval required for
a housing development project. The opening of a public hearing solely
for the purpose of continuing the hearing to a future date shall not
count as one of the five allowed hearings, provided no substantial
discussion by the hearing body occurs and no testimony is taken. The
final review authority shall consider and either approve, conditionally
approve, or disapprove the application at one of the five hearings
allowed pursuant to Government Code Section 95905.5; provided, however,
that, unless otherwise provided by law, the application shall not
automatically be deemed approved if the final review authority does
not act on the application at one of the five allowed hearings.
2.
Findings Required for Disapproval of Housing Development Projects. The findings set forth in subdivision D of Section 9.32.030 of this title shall not be required to be made in order to approve an application for a land use permit for a housing development project. Rather, the hearing body shall approve an application for a land use permit for a housing development project unless it makes one or more of the following findings based on the information presented at public hearing and/or on the record:
a.
That the proposed development project is inconsistent, not in compliance,
or not in conformity with one or more applicable, objective standards,
provisions, conditions or requirements of the General Plan, Title
9, or other applicable ordinances or policies of the City.
b.
That the provisions of the California Environmental Quality Act have
not been complied with.
c.
That, based on a preponderance of the evidence on the record, the
proposed development project would have a specific, adverse impact,
as defined in subdivision (j)(1)(A) of Government Code Section 65589.5,
on public health and safety unless the project is disapproved, and
there is no feasible method to satisfactorily mitigate or avoid the
specific adverse impact, other than the disapproval of the proposed
project.
In addition, notwithstanding the foregoing, provided the provisions
of the California Environmental Quality Act have been complied with,
the hearing body may not disapprove an application for a land use
permit for a housing development project for very low-, low-, or moderate-income
households, as defined in subdivision (h)(3) of Government Code Section
65589.5, or an emergency shelter, unless it also makes the written
findings required by subdivision (d) of Government Code Section 65589.5.
3.
No Net Loss Findings. If the approval of a land use permit for a housing development project will result in fewer residential units by income category than projected for the site in the General Plan housing element, the "no net loss" provisions of Government Code Section 65863 and Section 9.60.030 of this code apply and the hearing body must also make the required findings. If the hearing body is unable to find that the remaining sites in the housing element are adequate to accommodate the City's share of the regional housing need by income level, and the City is required to identify and make available adequate additional sites pursuant to subdivision (c)(2) of Government Code Section 65863, the final review authority for the land use permit shall be the City Council.
4.
Conditions
of Approval. The hearing body may impose reasonable conditions of
approval that are necessary to ensure that the proposal complies with
all local, state and federal laws, and that impacts resulting from
the development are adequately mitigated, subject to the following
limitations imposed by state law:
a.
The hearing body shall not impose a condition on approval of a land
use permit for a housing development project that the project be developed
at a lower density unless the hearing body makes written findings,
based on a preponderance of the evidence on the record, that the proposed
development project would have a specific, adverse impact, as defined
in subdivision (j)(1)(A) of Government Code Section 65589.5, on public
health and safety unless the project is disapproved or developed at
a lower density, and there is no feasible method to satisfactorily
mitigate or avoid the specific adverse impact, other than the disapproval
of the proposed project or the approval of the project upon the condition
that it be developed at a lower density.
b.
The hearing body shall not condition approval of a land use permit
for a housing development project for very low-, low-, or moderate-income
households, as defined in subdivision (h)(3) of Government Code Section
65589.5, or an emergency shelter, in a manner that renders the housing
development project infeasible for development for the use of very
low-, low-, or moderate-income households, or an emergency shelter,
including through the use of design review standards, unless it makes
written findings, based upon a preponderance of the evidence in the
record, as required by subdivision (d) of Government Code Section
65589.5.
D.
Ministerial
Review of Housing Development Projects. The following provisions apply
in the event that state law or any provision of this code requires
a housing development project to be reviewed ministerially and/or
designates a housing development project a "use by right" as defined
in Government Code Section 65583.2:
1.
The
Department Director may prepare application forms and provide blanks
for such purposes and may prescribe the type of information to be
provided in the application by the applicant. No application shall
be accepted unless it is completed as prescribed. All such applications
shall require fees to be paid in accordance with a resolution adopted
by the City Council.
2.
The
Department Director is authorized to review and approve or deny the
proposed housing development project in accordance with applicable
law. Decisions of the Department Director may be appealed to the City
Manager, whose decision shall be final.
3.
If the ministerial approval of a housing development project will result in fewer residential units by income category than projected for the site in the general plan housing element, the "no net loss" provisions of Government Code Section 65863 and Section 9.60.030 of this code apply and the Department Director must also make the required findings.
4.
Except
to the extent otherwise provided by state law, the Department Director
shall not approve a proposed housing development project unless it
complies with all applicable, objective standards, provisions, conditions
and requirements of the general plan, Title 9 of this code, and other
applicable ordinances and policies of the City.
E.
Standard
Conditions for Housing Development Projects. The Department Director
is authorized to promulgate, modify, and enforce standard conditions
and requirements that apply to approved housing development projects,
which implement applicable, objective state, City, and other local
agency standards, provisions, and conditions, provided such standard
conditions and requirements are consistent with the provisions of
this Code and state law.
F.
City
Sponsored Housing Development Projects. Except as otherwise determined
by the City Manager or designee, housing development projects which
are owned or financially assisted by the City of Garden Grove or the
Garden Grove Housing Authority, including, without limitation, emergency
shelters, low-barrier navigation centers, transitional or supportive
housing developments, and the conversion of existing hotels or motels
to affordable housing or permanent supportive housing, shall be exempt
from the development standards and procedures set forth in or promulgated
pursuant to Title 9 of this code.
(2939 § 3, 2022)
A.
Purpose.
The purpose of this section is to implement the "no net loss" provisions
of the Housing Crisis Act, Government Code Section 66300, and the
No Net Loss Law, Government Code Section 65863.
B.
No Net
Loss Provisions Applicable to All Parcels Where Housing Is an Allowable
Use. In accordance with Government Code Section 66300 (Housing Crisis
Act), notwithstanding any other provision of this code, for so long
as Government Code Section 66300 remains effective, where housing
is an allowable use, the City shall not approve any land use application
to change the general plan land use designation, specific plan land
use designation, or zoning of a parcel or parcels of property to a
less intensive use. Notwithstanding the foregoing, the City may, but
shall not be required to, change the land use designation or zoning
of a parcel to a less intensive use if the City, in its sole and absolute
discretion, concurrently changes the development standards, policies,
and conditions applicable to other parcels within the City to ensure
that there is no net loss in residential capacity City-wide. For purposes
of this paragraph, "concurrently" has the same meaning as defined
in subdivision (i) of Government Code Section 66300.
C.
No Net
Loss Law Provisions Applicable to Housing Element Parcels. In accordance
with Government Code Section 65863 (No Net Loss Law), the following
provisions shall apply with respect to any parcel of land identified
in the City's general plan housing element site inventory described
in subdivision (a)(3) of, or a housing element program to make sites
available pursuant to subdivision (c)(1) of, Government Code Section
65583 for residential development to meet the City's share of regional
housing need allocated pursuant to Government Code Section 65584 (a
"housing element parcel"):
1.
Reductions
of Allowable Residential Density. Prior to or concurrent with approving
a general plan amendment, specific plan amendment, zoning ordinance,
planned unit development, or any other administrative, quasi-judicial,
legislative, or other action to reduce, or require or permit the reduction
of, the allowable residential density for any housing element parcel,
the City body or official taking such action shall make written findings
supported by substantial evidence of both of the following:
a.
The reduction of residential density is consistent with the adopted
general plan, including the housing element.
b.
The remaining sites identified in the housing element are adequate
to meet the requirements of Government Code Section 65583.2 and to
accommodate the City's share of the regional housing need pursuant
to Government Code Section 65584. This finding shall include a quantification
of the remaining unmet need for the City's share of the regional housing
need at each income level and the remaining capacity of sites identified
in the housing element to accommodate that need by income level.
Notwithstanding the foregoing, if a reduction in allowable residential
density for any housing element parcel would result in the remaining
sites in the housing element not being adequate to meet the requirements
of Government Code Section 65583.2 and to accommodate the City's share
of the regional housing need pursuant to Government Code Section 65584,
the City, in its sole and absolute discretion, may approve a reduction
in allowable residential density on that parcel if the housing element
is amended to identify sufficient additional, adequate, and available
sites with an equal or greater allowable residential density so that
there is no net loss of residential unit capacity City-wide.
2.
Approval
of Development of a Parcel at a Lower Residential Density.
a.
Prior to or concurrent with approving an application to develop a
housing element parcel with fewer units by income category than identified
in the housing element for that parcel, or taking any administrative,
quasi-judicial, legislative, or other action to otherwise allow development
of a housing element parcel at a lower residential density, as defined
in subdivision (g) of Government Code Section 65863, the City body
or official taking such action shall make a written finding supported
by substantial evidence as to whether the remaining sites identified
in the housing element are adequate to meet the requirements of Government
Code Section 65583.2 and to accommodate the City's share of the regional
housing need pursuant to Government Code Section 65584. This finding
shall include a quantification of the remaining unmet need for the
City's share of the regional housing need at each income level and
the remaining capacity of sites identified in the housing element
to accommodate that need by income level.
b.
If the City review authority approves a development project on a
housing element parcel results in fewer units by income category than
identified in the housing element for that parcel and does not find
that the remaining sites identified in the housing element are adequate
to accommodate the City's share of the regional housing need by income
level, the City shall within 180 days identify and make available
additional adequate sites to accommodate the City's share of the regional
housing need by income level in accordance with subdivision (c)(2)
of Government Code Section 65863.
c.
This subdivision shall not be interpreted to require the City to
approve an application for any permit or legislative action associated
with a proposed development project. However, pursuant to subdivision
(c)(2) of Government Code Section 65863, the review authority for
a permit for a proposed housing development project may not disapprove
that permit on the basis that its approval would require the City
to identify and make available additional adequate sites to accommodate
the City's share of the regional housing need.
3.
Applicant
Responsibility. If an applicant for a development project or land
use permit requests in his/her/its initial application, as submitted,
a non-residential development or a mixed-use or residential development
at a residential density that would result in the remaining sites
in the housing element not being adequate to accommodate the City's
share of the regional housing need pursuant to Government Code Section
65584, the applicant shall assist the City to comply with the no net
loss provisions of Government Code Section 65863 as follows:
a.
The applicant shall identify and include with its application a list
of additional potential candidate sites to accommodate the shortfall
in the City's share of the regional housing need by income level that
would result from the proposed development project, along with such
evidence as is reasonably requested by the Department Director necessary
to show that such candidate sites are adequate sites pursuant to Government
Code Section 65583.2 and proof that the owner or owner(s) of each
such candidate site consents to rezoning and/or identification of
the site in the housing element. To the extent allowed by state law,
sufficient additional adequate sites must be identified before the
application may be deemed complete.
b.
The applicant shall fund and/or provide outreach to property owners
and tenants of property within the vicinity of candidate sites as
required by the Department Director, including, without limitation,
the mailing of written notices and the advertisement and conduct of
community meetings to provide information to interested community
members about the identification and/or potential rezoning of the
candidate sites.
c.
To the extent permitted by state law, the applicant shall reimburse
the City for the actual fees and costs charged for the services of
attorneys and/or other professional third-party consultants engaged
by the City to provide consultation, advice, analysis, and/or review
or preparation of documents in connection with the identification
of candidate sites and determination of their adequacy pursuant to
Government Code Section 65583.2 and/or the preparation and processing
of any required general plan and/or zoning amendments. Concurrent
with submittal of an application for the proposed development project,
the applicant shall execute a reimbursement agreement with the City
in a form approved by the City Attorney and provide a deposit to the
City in an amount sufficient to cover the estimated total professional
fees and costs to be incurred by the City, as determined by the Department
Director in his or her reasonable discretion. The City Manager is
authorized to execute said reimbursement agreement on behalf of the
City.
(2939 § 3, 2022)
A.
Application.
In addition to any other review required for a proposed housing development
project, applications for a density bonus shall be filed with the
planning division. The application shall be filed concurrently with
an application for the required land use action.
B.
Processing.
City staff shall process the application for a density bonus in the
same manner as, and concurrently with, the application for the land
use approval that is required by this code.
C.
Documentation.
The applicant shall submit reasonable documentation to establish eligibility
for a requested density bonus, incentives or concessions, waivers
or reductions of development standards, and parking ratios.
D.
Replacement
Housing Requirement. Pursuant to subdivision (c)(3) of Government
Code Section 65915, the applicant will be ineligible for a density
bonus or other incentives unless the applicant complies with the replacement
housing requirements therein, including in the following circumstances:
1.
The
housing development is proposed on any parcel(s) on which rental dwelling
units are subject to a recorded covenant, ordinance, or law that restricts
rents to levels affordable to persons and families of lower or very
low income; or
2.
The
housing development is proposed on any parcel(s) on which rental dwelling
units that were subject to a recorded covenant, ordinance, or law
that restricted rents to levels affordable to persons and families
of lower or very low income have been vacated or demolished in the
five-year period preceding the application; or
3.
The
housing development is proposed on any parcel(s) on which the dwelling
units are occupied by lower or very low-income households; or
4.
The
housing development is proposed on any parcel(s) on which the dwelling
units that were occupied by lower or very low-income households have
been vacated or demolished in the five-year period preceding the application.
E.
Density
Bonus Awarded. For a housing development qualifying pursuant to the
requirements of Government Code Section 65915 or 65915.5, the City
shall grant a density bonus in an amount specified by Government Code
Section 65915 or 65915.5, as those sections may be amended from time
to time. Except as otherwise required by Government Code Section 65915,
the density bonus units shall not be included when calculating the
total number of housing units that qualifies the housing development
for a density bonus.
F.
Calculation.
For the purpose of calculating the density bonus, the "maximum allowable
residential density" shall be the maximum allowable gross residential
density established under the applicable development standards for
the parcel(s), subject to subdivision (o) of Government Code Section
65915.
G.
Incentives/Concessions.
The City shall grant the applicant the number of incentives and concessions
required by Government Code Section 65915. The City shall grant the
specific concession(s) or incentive(s) requested by the applicant,
unless it makes any of the relevant written findings stated in Government
Code Section 65915(d). Senior citizen housing developments that qualify
for a density bonus shall not receive any incentives or concessions,
unless Government Code Section 65915 is amended to specifically require
that local agencies grant incentives or concessions for senior citizen
housing developments.
H.
Physical
Constraints. Except as restricted by Government Code Section 65915,
the applicant for a density bonus may submit a proposal for the waiver
or reduction of development standards that have the effect of physically
precluding the construction of a housing development incorporating
the density bonus and any incentives or concessions granted to the
applicant. A request for a waiver or reduction of development standards
shall be accompanied by documentation demonstrating that the waiver
or reduction is physically necessary to construct the housing development
with the additional density allowed pursuant to the density bonus
and incorporating any incentives or concessions required to be granted.
The City shall approve a waiver or reduction of a development standard,
unless it finds that:
1.
The
application of the development standard does not have the effect of
physically precluding the construction of a housing development at
the density allowed by the density bonus and with the incentives or
concessions granted to the applicant;
2.
The
waiver or reduction of the development standard would have a specific,
adverse impact, as defined in paragraph (2) of subdivision (d) of
Government Code Section 65589.5, upon health or safety, and for which
there is no feasible method to satisfactorily mitigate or avoid the
specific adverse impact;
3.
The
waiver or reduction of the development standard would have an adverse
impact on any real property that is listed in the California Register
of Historical Resources; or
4.
The
waiver or reduction of the development standard would be contrary
to state or federal law.
I.
Parking.
The applicant may request, and the City shall grant, a reduction in
parking requirements in accordance with Government Code Section 65915(p),
as that section may be amended from time to time.
J.
Regulatory Agreement. The property owner(s) shall enter into a regulatory agreement with the City pursuant to Section 9.60.050, which satisfies the criteria set forth in subdivision (c) of Government Code Section 65915.
K.
Density
Bonus Law.
1.
Compliance.
The applicant shall comply with all requirements stated in Government
Code Sections 65915 through 65918. The requirements of Government
Code Sections 65915 through 65918, and any amendments thereto, shall
prevail over any conflicting provision of this Code.
2.
Excluded
Development. An applicant shall not receive a density bonus or any
other incentive or concession if the housing development would be
excluded under Government Code Section 65915.
3.
Interpretation.
The provisions of this subdivision shall be interpreted to implement
and be consistent with the requirements of Government Code Sections
65915 through 65918. Any changes to Government Code Sections 65915
through 65918 shall be deemed to supersede and govern over any conflicting
provisions contained herein.
(2939 § 3, 2022)
A.
Purpose.
The purpose of this section is to establish minimum requirements and
procedures for the preparation, execution, and recording of regulatory
agreements establishing covenants to ensure the initial and continued
affordability of income-restricted residential dwelling units required
to be provided in conjunction with the approval of a housing development
project pursuant a provision of this code or state law.
B.
Definitions.
As used in this section, the following terms shall have the following
meanings:
1.
"Affordable
units" means residential dwelling units required to be made affordable
to, and occupied by, households with incomes that do not exceed the
limits specified in applicable law for middle income, moderate-income,
lower income, very low income, or extremely low income households,
as applicable, at an affordable rent or affordable housing cost, pursuant
to state law or any provision of this code.
2.
"Owner"
means the record owner or owners of the parcel or parcels on which
a proposed housing development project containing affordable units
is located.
3.
"Regulatory
agreement" means an agreement entered into between an owner and the
City pursuant to this section.
C.
Requirement
for Regulatory Agreement. Whenever an applicant for a housing development
project offers to or is required as a condition of development pursuant
to state law or any provision of this Code to provide a specified
number or percentage of affordable units as part of the project, the
owner shall enter into a regulatory agreement with the City meeting
the requirements of this section in the form approved by the City
Attorney.
D.
Required
Provisions of Regulatory Agreements. Unless otherwise provided by
law or authorized by the City Manager, each regulatory agreement shall
include provisions addressing or requiring the following:
1.
Identification
of Affordable Units. The number, affordability level, unit size mix,
and location requirements for the affordable units shall be set forth
in the regulatory agreement. For mixed income projects, the regulatory
agreement shall require that affordable units be integrated with the
market rate units so that there is a mix of affordable and market
rate units in each building, and shall contain provisions to ensure
that the project complies with the requirements set forth in Health
and Safety Code Section 17929. The regulatory agreement may allow
the affordable units in a rental project to be "floating" units that
are not permanently designated, provided that at no time shall a majority
of the affordable units be congregated to a specific section of the
project.
2.
Timing
of Construction. The regulatory agreement shall require that the affordable
units be constructed concurrently with or prior to other units in
the housing development project.
3.
Affordability
Period for Affordable Units. The regulatory agreement shall require
that the affordable units remain affordable to, and be occupied by,
persons and families of the required income level at an affordable
rent or affordable housing cost, as applicable, for the minimum period
of time required by law. Where a minimum affordability period is not
otherwise specified by statute or ordinance, the required affordability
period shall be a minimum of 30 years.
4.
Annual
Tenant Income Verification and Certification. For projects containing
rental affordable units, the regulatory agreement shall include uniform
provisions requiring the owner to annually obtain written certifications
from, and to verify that, each tenant household occupying an affordable
unit meets the applicable income and eligibility requirements established
for the affordable unit.
5.
Eligibility
of Initial Buyers of For-Sale Affordable Units. For projects containing
for-sale affordable units, the regulatory agreement shall include
uniform provisions requiring the owner to verify that the initial
buyer(s) of each affordable unit be of the applicable income level
and shall require the initial buyer(s) of each affordable unit to
occupy the affordable unit at all times until resale of the affordable
unit.
6.
Equity
Sharing Provisions. For projects containing for-sale affordable units,
the regulatory agreement shall contain provisions establishing an
equity sharing arrangement consistent with the provisions set forth
in paragraph (2) of subdivision (c) of Government Code Section 65915.
Upon resale, the seller of the unit shall retain the value of any
improvements, the down payment, and the seller's proportionate share
of appreciation. The City shall recapture any initial subsidy and
its proportionate share of appreciation.
7.
Annual
Compliance Report. Each regulatory agreement shall contain provisions
requiring the owner to submit an annual compliance report containing
specified information to the City in a form reasonably satisfactory
to City Manager and to annually certify that the affordable units
are in compliance with the requirements of the regulatory agreement.
8.
Maintenance
Standards. The regulatory agreement shall contain uniform provisions
governing the owner's maintenance obligations and the City's rights
in the event the owner fails to adhere to its maintenance obligations.
9.
Recordkeeping
Requirements. The regulatory agreement shall contain uniform provisions
requiring the owner to maintain affordable unit sales documents, tenant
leases, income certifications, and other books, documents, and records
related to the sale or rental of the affordable units and operation
of the project for a period of not less than five years after creation
of each such record; to allow the City to inspect any such books,
documents, or records and to conduct an independent audit or inspection
of such records at a location that is reasonably acceptable to the
City Manager upon prior written notice; and to permit the City and
its authorized agents and representatives to access the property and
examine the housing units and to interview tenants and employees for
the purpose of verifying compliance with the regulatory agreement.
10.
Marketing Program. The regulatory agreement shall contain provisions
requiring the owner: (a) to prepare and obtain the City's approval
of a marketing program for the leasing or sale of the affordable units
prior to the issuance of a certificate of occupancy for any portion
of the project; (b) to thereafter market the leasing or sale of the
affordable units in accordance with the marketing program; and (c)
to provide the City with periodic reports with respect to the leasing
or sale of the affordable units.
11.
Management Plan. The regulatory agreement shall contain uniform provisions
regarding property management and management responsibilities and
shall require the owner to prepare and obtain the City's approval
of a management plan for the project prior to the issuance of a certificate
of occupancy for any portion of the project, which sets forth in detail
the owner's property management duties, including, but not limited
to, a plan to manage and maintain the site and the affordable units;
procedures for the selection of tenants of rental affordable units,
including a description of how the owner plans to certify the eligibility
of tenant households; procedures for annually verifying income and
recertifying the eligibility of tenants of rental affordable units;
the standard form(s) of rental agreement(s) the owner proposes to
enter into with tenants of affordable units; procedures for the collection
of rent; procedures for eviction of tenants; procedures for ensuring
that the required number and unit size mix of rental affordable units
is maintained and that "floating" affordable units do not become congregated
to a certain area of the building or project; the owner's procedures
for complying with its monitoring and recordkeeping obligations; the
rules and regulations of the property and manner of enforcement; a
security system and crime prevention program.
12.
Provisions Regarding Section 8 Certificates. For projects containing
rental affordable units, the regulatory agreement shall include uniform
provisions regarding the acceptance of federal certificates for rent
subsidies pursuant to the existing program under Section 8 of the
United States Housing Act of 1937, or its successor (i.e., "Section
8 certificates"), which shall include the following requirements and
limitations:
a.
The owner shall accept as tenants persons who are recipients of Section
8 certificates on the same basis as all other prospective tenants;
provided, the owner shall not rent one of the affordable units to
a tenant household holding a Section 8 certificate unless none of
the housing units not restricted to occupancy by the affordability
covenants are available. If the only available housing unit is an
affordable unit, the owner shall no longer designate the housing unit
rented to a tenant household holding a Section 8 certificate as an
affordable unit, shall designate the next-available housing unit as
an affordable unit, and shall make available, re-strict occupancy
to, and rent such newly designated affordable unit to a qualified
tenant at the applicable affordable rent pursuant to the affordability
covenants, such that at all times reasonably possible all of the required
affordable units shall not be occupied by tenants holding Section
8 certificates.
b.
Furthermore, in the event the owner rents an affordable unit to a
household holding a federal certificate, the rental agreement (or
lease agreement, as applicable) between the owner, as landlord, and
the tenant shall expressly provide that monthly rent charged shall
be the affordable rent required for the affordable unit (not fair
market rent) and that the rent collected directly from such tenant
holding a federal certificate shall be not more than the specified
percentage of the tenant's actual gross income pursuant to the applicable
federal certificate program regulations; i.e., the rent charged to
such tenant under the rental agreement shall be the affordable rent
chargeable under the affordability covenant and not fair market rent
for the area, as would otherwise be permitted under the applicable
federal certificate program.
c.
The owner shall not apply selection criteria to Section 8 certificate
holders which are more burdensome than criteria applied to any other
prospective tenants.
d.
If and to the extent these restrictions conflict with the provisions
of Section 8 of the United States Housing Act of 1937 or any rules
or regulations promulgated thereunder, the provisions of Section 8
of the United States Housing Act of 1937 and all implementing rules
and regulations thereto shall control.
13.
Annual Monitoring Fee. Each regulatory agreement shall contain a
provision requiring the owner to reimburse the City for the estimated
reasonable costs incurred by the City in monitoring the owner's compliance
with, and otherwise administering, the regulatory agreement, including,
but not limited to, the City's review of annual compliance reports
and conduct of inspections and/or audits.
E.
Recordation.
Each regulatory agreement entered into pursuant to this section shall
be recorded as a covenant against the property prior to final or parcel
map approval, or, where the housing development project does not include
a map, prior to issuance of a building permit for any structure in
the housing development project. The regulatory agreement shall remain
a senior, non-subordinate covenant and as an encumbrance running with
the land for the full term thereof. In no event shall the regulatory
agreement be made junior or subordinate to any deed of trust or other
documents providing financing for the construction or operation of
the project, or any other lien or encumbrance whatsoever for the entire
term of the required covenants.
F.
Delegation
of Authority. The City Manager is authorized to approve and execute
each regulatory agreement and any amendments thereto on behalf of
the City. The City shall maintain authority of each regulatory agreement
and the authority to implement each regulatory agreement through the
City Manager. The City Manager shall have the authority to make approvals,
issue interpretations, waive provisions, make and execute further
agreements and/or enter into amendments of each regulatory agreement
on behalf of the City.
G.
Fees.
The City may charge a fee or fees to recover the City's reasonable
costs to implement the provisions of this section. Any such fees shall
be adopted by resolution of the City Council.
H.
Reimbursement of Professional Fees and Costs. To the extent not factored into the fee or fees established pursuant to subsection G, in addition to such fees, the applicant and/or owner shall reimburse the City for the actual fees and costs charged for the services of attorneys and/or other professional third-party consultants engaged by the City to provide consultation, advice, analysis, and/or review or preparation of documents in connection with the following:
1.
Preparation
of the regulatory agreement.
2.
Review
of the initial marketing plan and management plan required as part
of the regulatory agreement entered into pursuant to this section
and any amendments thereto.
3.
Review
of annual compliance reports submitted by an owner pursuant to a regulatory
agreement.
4.
Inspections
and audits.
(2939 § 3, 2022)
A.
Purpose.
The purpose of this section is to implement subdivision (d) of Government
Code Section 66300 (Housing Crisis Act), which requires developers
of new housing development projects to replace demolished residential
dwelling units and protected units and to provide relocation assistance
and other benefits to existing occupants of demolished protected units.
B.
Effective
Period. This section shall remain in effect for the period during
which the provisions of Government Code Section 66300 pertaining to
replacement housing and relocation benefits remain in effect. If said
provisions are repealed, this section shall be deemed repealed as
of the same date and shall no longer be applied, unless otherwise
provided by a later enacted ordinance.
C.
Applicability.
This section applies to all housing development projects, as defined
in Government Code Section 69505.5, whether involving discretionary
or nondiscretionary approvals, including, but not limited to, the
following:
1.
A
proposal to construct one or more single-family dwellings;
2.
A
proposal to construct an accessory dwelling unit;
3.
A
proposal to construct an SB 9 two-unit residential development;
4.
A
proposal to construct a duplex or triplex;
5.
A
proposal to construct a multiple-family dwelling; and
6.
A
proposal to construct a mixed-use development project consisting of
residential and nonresidential uses.
D.
Definitions.
As used in this section, the following terms shall have the following
meanings:
1.
"Affordable
housing cost" has the same meaning as defined in Health and Safety
Code Section 50052.5.
2.
"Affordable
rent" has the same meaning as defined in Health and Safety Code Section
50053.
3.
"Equivalent
size" means that the replacement units contain at least the same total
number of bedrooms as the units being replaced.
4.
"Lower
income households" has the same meaning as defined in Health and Safety
Code Section 50079.5.
5.
"Protected
unit" shall have the same meaning as defined in subdivision (d) of
Government Code Section 66300 and includes, but is not limited to,
the following:
a.
Existing or previously demolished residential dwelling units that
are or were subject to a recorded covenant, ordinance, or law that
restricts rents to levels affordable to persons and families of lower
or very low income within the five-year period preceding the application
submittal date; and
b.
Existing or previously demolished residential dwelling units that
are or were rented by lower or very low income households within the
five-year period preceding the application submittal date.
6.
"Relocation Assistance Law" shall mean Chapter 16 (commencing with Section 7260) of Division 7 of Title 1 of the Government Code and its related implementing regulations.
7.
"Very
low income households" has the same meaning as defined in Health and
Safety Code Section 50105.
E.
Replacement
of Dwelling Units. If a housing development project will require the
demolition of one or more residential dwelling units, the project
shall create at least as many residential dwelling units as will be
demolished.
F.
Replacement
of Protected Units. If a housing development project is located on
a parcel or parcels on which protected units are or were located,
the project shall comply with the following:
1.
Number
of Total Units Required. The project shall include at least as many
total dwelling units as the greatest number of permitted dwelling
units that existed on the project site within the five-year period
preceding the application submittal date.
2.
Number
of Replacement Protected Units Required. The project shall replace
all previously demolished protected units and all existing protected
units that will be demolished as part of the project in accordance
with this section. All replacement protected unit calculations resulting
in factional units shall be rounded up to the next whole number.
3.
Projects
Involving Demolition of Occupied Protected Units. If any existing
protected units to be demolished are occupied on the date of application
submittal, the housing development project shall provide at least
the same number of replacement dwelling units of equivalent size to
be made available at affordable rent or affordable housing cost to,
and occupied by, persons and families in the same or lower income
category as those households in occupancy. If a project site containing
occupied protected units to be demolished also contains unoccupied
protected units that will be demolished as part of the project, or
previously contained protected units that were demolished within the
five-year period preceding the application submittal date, the housing
development project shall also provide at least the same number of
dwelling units of equivalent size to be made available at affordable
rent or affordable housing cost to, and occupied by, persons and families
in the same or lower income category as the last household in occupancy.
If the income of the existing or last household in occupancy of any
protected units is not known, it shall be rebuttably presumed that
lower income renter households occupied these protected units in the
same proportion of lower income renter households to all renter households
within the City of Garden Grove, as determined by the most recently
available data from the United States Department of Housing and Urban
Development's Comprehensive Housing Affordability Strategy database,
and replacement protected dwelling units shall be provided in that
same percentage.
4.
Projects
Only Involving Vacated or Demolished Protected Units. If all protected
units on the site of a housing development project are vacant or have
been demolished within the five-year period preceding the application
submittal date, the housing development project shall provide at least
the same number of dwelling units of equivalent size as existed at
the highpoint of those units in the five-year period preceding the
application submittal date to be made available at affordable rent
or affordable housing cost to, and occupied by, persons and families
in the same or lower income category as those persons and families
in occupancy at that time, if known. If the incomes of the persons
and families in occupancy at the highpoint is not known, it shall
be rebuttably presumed that low-income and very low income renter
households occupied these protected units in the same proportion of
low-income and very low income renter households to all renter households
within the City of Garden Grove, as determined by the most recently
available data from the United States Department of Housing and Urban
Development's Comprehensive Housing Affordability Strategy database,
and replacement protected dwelling units shall be provided in that
same percentage.
6.
Location
of Protected Units. Except as provided in the next sentence, dwelling
units required to replace protected units shall be located on the
same parcel or parcels as other units in the proposed new housing
development project. Notwithstanding the preceding sentence, subject
to approval of the Department Director, an applicant may locate a
replacement unit on a different parcel in the City zoned for residential
use, provided that: (a) the development of units on different parcels
is proposed as part of, and in the same, application as the remainder
of the housing development project; (b) the other parcel is zoned
for residential use and all objective general plan, zoning, and other
standards and requirements are met; and (c) the applicant demonstrates
that no residential tenants on the other parcel have been or will
be displaced as a result of development of the replacement unit.
7.
Timing
of Construction of Replacement Units. All replacement units shall
be constructed concurrently with or prior to other units in the housing
development project. The City shall not issue a certificate of occupancy
for any other units in a housing development project until certificates
of occupancy have been issued for the replacement unit(s).
8.
Affordability
Period. All rental replacement units shall be made available to lower
or very low income households, as applicable, at an affordable rent
for at least 55 years.
G.
Benefits
to Be Provided to All Occupants of Protected Units.
1.
Right
to Remain in Occupancy Pending Demolition. The record owner of an
occupied protected unit that will be demolished as part of a housing
development project shall allow the existing occupants of the protected
unit to occupy the unit until six months before the start of construction
activities with proper notice, pursuant to the Relocation Assistance
Law. The record owner shall deliver a notice of intent to terminate
residency to the Department Director and to the occupant household.
2.
Right to Return if Demolition Does Not Proceed. The record owner of an occupied protected unit that will be demolished as part of a housing development project shall allow any existing occupants of the protected unit that are required to leave the unit to return at their prior rental rate if the demolition does not proceed and the property is returned to the rental market. The notice of intent to terminate residency required pursuant to subsection 1. shall include notice of this right. In addition, this right shall be memorialized in a written agreement, covenant, or other document that is enforceable by the occupant(s) of the protected unit, the form of which shall be subject to review and approval by the Department Director.
H.
Benefits
to Be Provided to Occupants of Protected Units that Are Lower Income
Households.
1.
Right
of First Refusal for a Comparable Unit in New Housing Development
Project.
a.
Except as provided in subsection H.1.b., below, the record owner
of a protected unit that will be demolished as part of a housing development
project shall agree to provide existing occupants of the protected
unit to be demolished as part of a housing development project that
are lower income households with a right of first refusal for a comparable
dwelling unit available in the new housing development affordable
to the household at an affordable rent or affordable housing cost.
A comparable dwelling unit is a dwelling unit containing the same
number of bedrooms as the demolished protected unit, except that where
the protected unit is a single-family home that contains four or more
bedrooms, a comparable unit is a unit containing three bedrooms. The
right of first refusal shall be memorialized in a written agreement,
covenant, or other document that is enforceable by the occupant(s)
of the protected unit, the form of which shall be subject to review
and approval by the Department Director.
b.
Subsection H.1.a. shall not apply to: (i) a housing development project
that consists of a single residential unit located on a site where
a single protected unit is being demolished; or (ii) units in a housing
development in which 100% of the units, exclusive of a manager's unit
or units, are reserved for lower income households, unless the occupant
of the protected unit qualifies for residence in the new development
and providing a comparable unit to the occupant would not be precluded
due to unit size limitations or other requirements of one or more
funding sources of the housing development project.
2.
Relocation
Benefits.
a.
The applicant and/or the record owner of a protected unit that will
be demolished as part of a housing development project shall provide
existing occupants of the protected unit to be demolished as part
of a housing development project that are lower income households
with relocation benefits consistent with the requirements of the Relocation
Assistance Law. By way of example, said relocation benefits may include,
without limitation, advisory assistance in finding comparable new
housing, payment of moving expenses, and rental assistance payments.
b.
The applicant shall engage a qualified third-party contractor or
consultant (a "relocation consultant") approved by the Department
Director to determine the eligibility of occupants for benefits pursuant
to this section, prepare a relocation plan, and oversee the provision
of the required relocation benefits.
c.
The applicant's relocation consultant shall prepare a written relocation
plan consistent with the provisions of the Relocation Assistance Law,
which plan shall be subject to review and approval by the Department
Director. The relocation plan shall include, without limitation, provisions
addressing the following:
i.
Determination of eligibility requirements;
ii.
Identification of eligible occupants;
iii.
Occupant interviews and needs assessments;
iv.
An evaluation of the availability of comparable replacement housing
within the relevant geographic area;
v.
Identification of specific replacement housing options;
vi.
The provision for relocation advisory services to affected occupants;
vii.
A description of the relocation benefits available to eligible occupants;
viii.
A process for the provision of benefits and the submission of
benefit claims by eligible occupants;
ix.
A process for occupants to appeal benefit determinations; and
d.
Prior to the issuance of a grading or building permit for the housing
development project, the relocation consultant shall provide a letter
to the Department Director certifying that the relocation process
has been completed and that all required relocation benefits have
been provided.
I.
Reimbursement
of City's Fees and Costs to Implement This Section.
1.
Reimbursement of Professional Fees and Costs. If benefits are required to be provided to the occupants of protected units pursuant to subsections G or H of this section, the applicant shall reimburse the City for the actual fees and costs charged for the services of attorneys and/or other professional third-party consultants engaged by the City to provide consultation, advice, analysis, and/or review or preparation of documents in connection with the review of a relocation plan, notices, or other required forms and documents and the monitoring and/or enforcement of compliance with requirements for provision of benefits. Concurrent with or prior to the applicant's submittal of any notice, agreement, plan, or other document requiring approval of the Department Director pursuant to subsections G or H, the applicant shall execute a reimbursement agreement with the City in a form approved by the City Attorney and provide a deposit to the City in an amount sufficient to cover the estimated total professional fees and costs to be incurred by the City, as determined by the Department Director in his or her reasonable discretion. The City Manager is authorized to execute said reimbursement agreement on behalf of the City. Upon certification that all required benefits have been provided, the Department Director shall provide the applicant with an invoice containing an accounting of the actual legal and third-party consulting costs incurred by the City and the amount(s) of all deposits provided by the applicant. If the actual legal and third-party consulting costs incurred by the City for such review are less than the amount of the deposit(s) made by the applicant, the City shall reimburse the applicant for the difference at the time it provides the invoice. If the actual legal and third-party consulting costs incurred by the City exceed the amount of the deposit(s) made by the applicant, the applicant shall pay City the difference within 30 days of receipt of the invoice from the City, and no grading or building permit for the housing development project shall be issued until said amount is paid in full.
2.
In
addition to the reimbursement of professional fees and costs pursuant
to subsection I.1, above, the City may charge a fee or fees to recover
the City's other reasonable costs to implement the provisions of subsection
(d) of Government Code Section 66300 and this section. Any such fees
shall be adopted by resolution of the City Council.
(2939 § 3, 2022)
A.
Transitional
Housing and Supportive Housing. In accordance with subdivision (c)(3)
of Government Code Section 65583, transitional housing and supportive
housing are considered residential uses of property and shall be subject
only to those approval requirements, development standards, and restrictions
that apply to other residential dwellings of the same type or configuration
in the same zone.
B.
Supportive
Housing for the Homeless.
1.
Notwithstanding
any other provision of this code, pursuant to Government Code Section
65651, a supportive housing for the homeless development shall be
permitted as a use by right in any zoning district where multiple-family
dwellings and residential/commercial mixed use developments are permitted,
including nonresidential zones where multiple-family dwellings are
permitted.
2.
The
Department Director shall review and approve or disapprove a proposed
supportive housing for the homeless development within the time periods
set forth in Government Code Section 65653.
3.
The
following provisions shall apply to a supportive housing for the homeless
development:
a.
The development shall be subject to the same objective development
and design standards, policies, and fees that apply to multiple-family
residential developments or multiple-family residential components
of mixed-use projects in the zone in which the development is located;
provided, however, that, if the proposed development is located within
one-half mile of a public transit stop, no minimum parking requirements
shall apply to the units occupied by supportive housing residents.
b.
The development shall satisfy all requirements set forth in Government
Code Section 65651.
c.
The applicant shall submit for review and approval by the Department
Director a plan for providing on-site supportive services, along with
supporting documentation, in accordance with Government Code Section
65652. Such on-site supportive services may include transportation
services, counseling services, individual case management, job readiness
training, assistance in applying for competitive employment, housing
retention assistance services, health status improvement services,
mental health services, drug rehabilitation services, parenting services,
and budgeting and life skill services.
d.
The property owner shall enter into a regulatory agreement with the City pursuant to Section 9.60.050 to ensure compliance with the provisions of Government Code Section 65651 and Section 9.60.070.B.
C.
Low-Barrier
Navigation Centers.
1.
Notwithstanding
any other provision of this Code, a low-barrier navigation center
meeting the requirements of Government Code Sections 65660 et. seq.
shall be permitted as a use by right in any zoning district where
residential/commercial mixed use developments are permitted and in
any nonresidential zoning district where multiple-family dwellings
are permitted.
2.
The
Department Director shall review and approve or disapprove a proposed
low-barrier navigation center within the time periods set forth in
Government Code Section 65664.
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Appendix 1
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GUIDELINES FOR IMPLEMENTATION OF THE CITY OF GARDEN GROVE
LANDSCAPE WATER EFFICIENCY PROVISIONS[1]
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(2939 § 3, 2022)
