As required by
Government Code Section 65915, this chapter offers density bonuses, and incentives or concessions for the development of housing that is affordable to the types of households and qualifying residents identified in Section
18.66.020 (Eligibility for Bonus, Incentives, or Concessions) below. This chapter is in-tended to implement the requirements of
Government Code Section 65915 et seq., and the Housing Element of the General Plan.
(Ord. 1976 § 2, 2019)
Unless otherwise specified below, the following words or phrases
are limited to use in this chapter.
Development standard.
"Development standard" includes a site or construction condition,
including, but not limited to, a height limitation, a setback requirement,
a floor area ratio, and onsite open-space requirement, or a parking
ratio that applies to a residential development pursuant to any ordinance,
general plan element, specific plan, charter, or other local condition,
law, policy, resolution, or regulation.
Housing development.
A development project for five or more residential units,
including mixed-use developments. For the purposes of this chapter,
a housing development also includes a subdivision or common interest
development, as defined in
Civil Code Section 4100, approved by the
County and consists of residential units or unimproved residential
lots; a project to substantially rehabilitate and convert an existing
commercial building to residential use; or the substantial rehabilitation
of an existing multifamily dwelling, as defined in
Government Code
Section 65863.4(d), where the result of the rehabilitation would be
a net increase in available residential units.
Specific, adverse impact.
As defined in
Government Code Section 65589.5(d), paragraph
(2), 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 was deemed complete. Inconsistency
with the Zoning Ordinance or General Plan Land Use Designation shall
not constitute as specific adverse impact upon the public health and
safety.
Unobstructed access.
A development shall be considered to have unobstructed access
to a major transit stop if a resident is able to access the major
transit stop without encountering natural or constructed impediments.
(Ord. 1976 § 2, 2019)
To be eligible for a density bonus, reduced parking ratios, and other incentives or concessions as provided by this chapter, a proposed housing development shall comply with the following requirements and shall satisfy all other applicable provisions of this Zoning Code, except as provided by Section
18.66.040 (Allowed Incentives or Concessions), Section
18.66.050 (Parking Requirements in Density Bonus Projects), and Section
18.66.060 (Bonus and Incentives for a Development with Child Day Care Centers). A project is ineligible for a Density Bonus pursuant to Section
18.66.025, below.
A. Resident Requirements. Excluding any units permitted by the density bonus, the County shall grant one density bonus, the amount of which shall be specified in Section
18.66.030 (Allowed Density Bonuses), when an applicant for a housing development, includes within that development at least any one of the following:
1. 10
percent of the dwelling units are for lower-income households, as
defined in
Health and Safety Code Section 50079.5;
2. Five
percent of the dwelling units are for very low-income households,
as defined in
Health and Safety Code Section 50105;
3. The
project is a senior citizen housing development as defined in Civil
Code Sections 51.3 and 51.12, or is a mobile home park that limits
residency based on age requirements for housing older persons in compliance
with
Civil Code Section 798.76 or 799.5;
4. 10
percent of the dwelling units in a common interest development as
defined in
Civil Code Section 4100 are for persons and families of
moderate income, as defined in
Health and Safety Code Section 50093,
provided that all units in the development are offered to the public
for purchase;
5. 10
percent of the dwelling units in a housing development for transitional
foster youth, as defined in Section 66025.9 of the
Education Code;
disabled veterans, as defined in Section 18541; or homeless persons,
as defined in the Federal McKinney-Vento Homeless Assistance Act (42
U.S.C. Section 11301 et seq.). The dwelling units described in this
subparagraph shall be subject to a recorded affordability restriction
of 55 years old and shall be provided at the same affordability level
as very low-income units; or
6. 20
percent of the dwelling units in a student housing development for
lower income students that meet the requirements of
Government Code
Section 65915.
B. Applicant Selection of Basis for Bonus. For purposes of calculating the amount of the density bonus in compliance with Section
18.66.030 (Allowed Density Bonuses) below, the applicant who requests a density bonus shall elect whether the bonus shall be awarded based on paragraph (A)(1), (2), (3), (4), or (5), above.
C. Bonus Units Shall Not Qualify a Project. A density bonus granted in compliance with Section
18.66.030 (Allowed Density Bonuses), shall not be included when determining the number of dwelling units that are required by subsection
A.
D. Minimum
Project Size to Qualify for Density Bonus. The density bonus provided
by this chapter shall be available only to a housing development of
five or more dwelling units, including mixed-use developments.
E. Condominium
Conversion Projects. A condominium conversion project for which a
density bonus is requested shall comply with the eligibility and other
requirements specified in
Government Code Section 65915.5.
F. Commercial
Development. When an applicant for approval of a commercial development
has entered into an agreement for partnered housing to contribute
affordable housing through a joint project or two separate projects
encompassing affordable housing, the Director shall grant to the commercial
developer a development bonus.
1. Agreement
for Partnered Housing. The agreement for partnered housing shall be
between the commercial developer and the housing developer, shall
identify how the commercial developer will contribute affordable housing,
and shall be approved by the County. Affordable housing may be contributed
by the commercial developer in one of the following manners:
a. The commercial developer may directly build the dwelling units.
b. The commercial developer may donate a portion of the site or property
elsewhere to the affordable housing developer for use as a site for
affordable housing.
c. The commercial developer may make a cash payment to the affordable
housing developer that shall be used towards the costs of constructing
the affordable housing project.
2. Affordability
Requirements. To qualify for a development bonus under this section,
a commercial developer shall partner with a housing developer that
provides at least 30 percent of the dwelling units for low-income
households or at least 15 percent of the dwelling units for very low-income
households.
3. Location
of Affordable Housing. The housing shall be constructed on the site
of the commercial development or on a site that is all of the following:
a. Within the unincorporated County;
b. Close to public facilities and services, including schools and employment
centers; and
4. Type
of Development Bonus. The development bonus granted to the commercial
developer shall mean incentives, mutually agreed upon by the developer
and the County, that may include, but are not limited to, any of the
following:
a. Up to a 20 percent increase in maximum allowable intensity in the
General Plan.
b. Up to a 20 percent increase in maximum allowable floor area ratio.
c. Up to a 20 percent increase in maximum height requirements.
d. Up to a 20 percent reduction in minimum parking requirements.
e. Use of a limited-use/limited-application elevator for upper floor
accessibility.
f. An exception to the zoning ordinance or other land use regulation.
5. No
Waiver or Reduction of Affordable Housing Fee. A development bonus
pursuant to this section shall not include a reduction or waiver of
the requirements within an ordinance that requires the payment of
a fee by a commercial developer for the promotion or provision of
affordable housing.
6. Timing
of Construction. If the developer of the affordable dwelling units
does not commence with construction of those units in accordance with
timelines ascribed by the agreement described in paragraph 1 above,
the County may withhold certificates of occupancy for the commercial
development under construction until the developer has completed construction
of the affordable units.
7. Annual
Report to the State. The County shall submit to the Department of
Housing and Community Development, as part of the annual report required
by
Government Code Section 65400, information describing a commercial
development bonus approved, including the terms of the agreements
between the commercial developer and the affordable housing developer,
and the developers and the County, and the number of affordable dwelling
units constructed as part of the agreements.
(Ord. 1976 § 2, 2019; Ord. 1990 § 1, 2020)
The Board shall determine the amount of a density bonus allowed
in a housing development in compliance with this section. For the
purposes of this chapter, "density bonus" means a density increase
over the otherwise maximum allowable residential density under the
applicable General Plan Land Use designation and zone as of the date
of application by the applicant to the County.
A. Density Bonus. A housing development that complies with the eligibility requirements specified in Section
18.66.020(A) above, shall be entitled to density bonuses as follows, unless a lesser percentage is proposed by the applicant.
1. Bonus for Low-Income Household Units. A housing development that is eligible for a bonus in compliance with the criteria specified in Section
18.66.020(A)(1) (10 percent of units for low-income households) shall be entitled to a density bonus calculated as follows:
Table 4-5
Bonus for Low-Income Household Units
|
---|
Percentage of Low-Income Units Proposed
|
Percentage of Density Bonus
|
---|
10
|
20
|
11
|
21.5
|
12
|
23
|
13
|
24.5
|
14
|
26
|
15
|
27.5
|
17
|
30.5
|
18
|
32
|
19
|
33.5
|
20
|
35
|
2. Bonus for Very Low-Income Household Units. A housing development that is eligible for a bonus in compliance with the criteria specified in Section
18.66.020(A)(2) (five percent of units for very low-income households) shall be entitled to a density bonus calculated as follows:
Table 4-6
Bonus for Very Low-Income Household Units
|
---|
Percentage of Very Low-Income Units Proposed
|
Percentage of Density Bonus
|
---|
5
|
20
|
6
|
22.5
|
7
|
25
|
8
|
27.5
|
9
|
30
|
10
|
32.5
|
11
|
35
|
3. Bonus for Senior Citizen Development. A housing development that is eligible for a bonus in compliance with the criteria in Section
18.66.020(A)(3) (senior citizen development or mobile home park) shall be entitled to a density bonus of 20 percent of the number of senior housing units.
4. Bonus for Moderate Income Units in Common Interest Development. A housing development that is eligible for a bonus in compliance with the criteria specified in Section
18.66.020(A)(4) (10 percent of units in a common interest development for persons and families of moderate income) shall be entitled to a density bonus calculated as follows:
Table 4-7
Bonus for Moderate-Income Household Units
|
---|
Percentage of Moderate-Income Units Proposed
|
Percentage of Density Bonus
|
---|
10
|
5
|
11
|
6
|
12
|
7
|
13
|
8
|
14
|
9
|
15
|
10
|
16
|
11
|
17
|
12
|
18
|
13
|
19
|
14
|
20
|
15
|
21
|
16
|
22
|
17
|
23
|
18
|
24
|
19
|
25
|
20
|
26
|
21
|
27
|
22
|
28
|
23
|
29
|
24
|
30
|
25
|
31
|
26
|
32
|
27
|
33
|
28
|
34
|
29
|
35
|
30
|
36
|
31
|
37
|
32
|
38
|
33
|
39
|
34
|
40
|
35
|
5. Density
Bonus for Land Donation. When an applicant for a tentative map, parcel
map, or other residential development approval donates land to the
County in compliance with this subsection, the applicant shall be
entitled to a density bonus for the entire development, as follows;
provided, that nothing in this subsection shall be construed to affect
the authority of the County to require a developer to donate land
as a condition of development approval.
a. Bonus. The applicant shall be entitled to a 15 percent increase above
the otherwise maximum allowable residential density under the applicable
General Plan Land Use designation and zone for the entire development,
as follows:
Table 4-8
Bonus for Land Donation
|
---|
Percentage of Very Low-Income Units Proposed
|
Percentage of Density Bonus
|
---|
10
|
15
|
11
|
16
|
12
|
17
|
13
|
18
|
14
|
19
|
15
|
20
|
16
|
21
|
17
|
22
|
18
|
23
|
19
|
24
|
20
|
25
|
21
|
26
|
22
|
27
|
23
|
28
|
24
|
29
|
25
|
30
|
26
|
31
|
27
|
32
|
28
|
33
|
29
|
34
|
30
|
35
|
b. Increased Bonus. The increase identified in Table 4-8 (Bonus for
Land Donation) above, shall be in addition to any increase in density
allowed by paragraphs (A)(1) through (A)(4), up to a maximum combined
density increase of 35 percent if an applicant seeks both the increase
required in compliance with this paragraph (A)(5), as well as the
bonuses provided by paragraphs (A)(1) through (A)(4).
c.
Eligibility for Increased Bonus.
An applicant shall be eligible for the increased density bonus for
land donation provided by this subsection if all the following conditions
are met:
(1) The applicant donates and transfers the land no later than the date
of approval of the final map, parcel map, or residential development
application;
(2) The developable acreage and zoning classification of the land being
transferred are sufficient to allow construction of units affordable
to very low-income households in an amount not less than 10 percent
of the number of residential units of the proposed development;
(3) The transferred land is at least one acre in size, or of sufficient
size to allow development of at least 40 units; has the appropriate
General Plan Land Use designation; is appropriately zoned for development
as affordable housing; and is or will be served by adequate public
facilities and infrastructure. The land shall have appropriate zoning
and development standards to make the development of the affordable
units feasible;
(4) No later than the date of approval of the final map, parcel map,
or of the residential development, the transferred land shall have
all of the permits and approvals, other than Building Permits, necessary
for the development of the very low-income housing units on the transferred
land, except that the County may subject the proposed development
on the transferred land to subsequent design review to the extent
authorized by
Government Code Section 65583.2(i) if the design is
not reviewed by the County before the time of transfer;
(5) The transferred land and the affordable units shall be subject to a deed restriction ensuring continued affordability of the units consistent with Section
18.66.070 (Continued Availability), which shall be recorded on the property at the time of transfer;
(6) The land is transferred to the County or to a housing developer approved
by the County. The County may require the applicant to identify and
transfer the land to the approved housing developer;
(7) The transferred land shall be within the boundary of the proposed
development or, if the County agrees, within one-quarter mile of the
boundary of the proposed development; and
(8) A proposed source of funding for the very low-income units shall
be identified not later than the date of approval of the final subdivision
map, parcel map, or residential development application.
6. Bonus for Transitional Foster Youth, Disabled Veterans, or Homeless Persons. A housing development that is eligible for a bonus in compliance with the criteria in Section
18.66.020(A)(5) (10 percent of units for transitional foster youth, disabled veterans, or homeless persons) shall be entitled to a density bonus of 20 percent of the total number of dwelling units for transitional foster youth, disabled veterans, or homeless persons.
7. Bonus for Dwelling Units for Lower Income Students in a Student Housing Development. A housing development that is eligible for a bonus in compliance with the criteria in Section
18.66.020(A)(6) (20 percent of units for student housing) and
Government Code Section 65915, shall be entitled to a density bonus of 35 percent of the student housing units. The term "unit," as used in this paragraph, means one rental bed and its pro rata share of associated common area facilities.
B. Greater
or Lesser Bonuses. The County may choose to grant a density bonus
greater than provided by this section for a development that meets
the requirements of this section or grant a proportionately lower-density
bonus for a development that does not fully comply with the requirements
of this section.
C. Density
Bonus Calculations. For the purposes of density bonus calculations:
1. Fractional
units shall be rounded up to the next whole number, as required by
State law.
2. The
residential units do not have to be based upon individual subdivision
maps or parcels.
3. The
residential units shall be on contiguous sites that are the subject
of one development application.
4. The
density bonus shall be permitted in the geographic area of the housing
development other than the areas where the units for the lower income
household are located.
D. Requirements
for Amendments or Discretionary Approval. The granting of a density
bonus shall not be interpreted, in and of itself, to require a General
Plan amendment, Zone Map amendment, or other discretionary approval.
The granting of a density bonus shall not require or be interpreted
to require the waiver of a local ordinance or provisions of a local
ordinance unrelated to development standards.
E. Location
of Bonus Units. The developer may locate density bonus units in the
housing project in areas other than where the units for the low-income
households are located.
(Ord. 1976 § 2, 2019; Ord. 1990 § 1, 2020)
A. Applicant
Request and County Approval.
1. In compliance with this section, an applicant for a density bonus in compliance with this chapter and
Government Code Section 65915(d) may submit a request for the specific incentives or concessions listed in Subsection
D (Type of Incentives) below, and may request a meeting with the Director.
2. The
applicant may file a request for incentives or concessions either
before filing an application for County approval of a proposed project
or concurrently with an application for project approval.
B. Board
Consideration of Allowed Incentives or Concessions. The Board shall
grant the incentive or concession requested by the applicant unless
the Board makes a written finding, based on substantial evidence,
of any the following:
1. The
incentive or concession does not result in identifiable and actual
cost reductions, consistent with
Government Code Section 65915(k),
to provide for affordable housing costs, as defined in Health and
Safety Code Section 50052.5, or for rents for the targeted units to
be set as specified in
Government Code Section 65915(c).
2. The
incentive or concession would have a specific, adverse impact, as
defined in
Government Code Section 65589.5(d) paragraph (2), upon
the public health or safety or the physical environment or on any
real property that is listed in the California Register of Historical
Resources and for which there is no feasible method to satisfactorily
mitigate or avoid the specific, adverse impact without rendering the
development unaffordable to low-income and moderate-income households.
3. The
incentive or concession would be contrary to State or Federal law.
C. Number
of Incentives. The applicant shall receive the following number of
incentives or concessions:
1. One
Incentive or Concession. One incentive or concession for a project
that includes at least 10 percent of the dwelling units for lower-income
households, at least five percent for very low-income households,
or at least 10 percent for persons and families of moderate income
in a common interest development.
2. Two
Incentives or Concessions. Two incentives or concessions for a project
that includes at least 20 percent of the dwelling units for lower-income
households, at least 10 percent for very low-income households, or
at least 20 percent for persons and families of moderate income in
a common interest development.
3. Three
Incentives or Concessions. Three incentives or concessions for a project
that includes at least 30 percent of the dwelling units for lower
income households, at least 15 percent for very low-income households,
or at least 30 percent for persons and families of moderate income
in a common interest development.
D. Type
of Incentives. For the purposes of this chapter, concession or incentive
means any of the following:
1. A reduction in the site development standards of this Zoning Code (e.g., site coverage limitations, setbacks, on-site open space requirements, reduced parcel sizes, and/or parking requirements) (also see Section
18.66.050 (Parking Requirements in Density Bonus Projects), or a modification of architectural design requirements that exceed the minimum building standards approved by the California Building Standards Commission in compliance with
Health and Safety Code Section 18901 et seq., that would otherwise be required, that results in identifiable and actual cost reductions to provide for affordable housing costs, as defined in
Health and Safety Code Section 5002.5, or for rents for the targeted units to be set as identified in Section
18.66.070(B) (Continued Availability: Dwelling Unit Cost Requirements);
2. Approval
of mixed-use land uses not otherwise allowed by this Zoning Code in
conjunction with the housing development, if nonresidential land uses
will reduce the cost of the housing development, and the nonresidential
land uses are compatible with the housing project and the existing
or planned development in the area where the project will be located;
3. Other regulatory incentives proposed by the applicant or the County that will result in identifiable and actual cost reductions to provide for affordable housing costs, as defined in
Health and Safety Code Section 50052.5, or for rents for the targeted units to be set as specified in Section
18.66.070(B) (Continued Availability: Dwelling Unit Cost Requirements); and/or
4. In
its sole and absolute discretion, a direct financial contribution
granted by the Board, including writing-down land costs, subsidizing
the cost of construction, or participating in the cost of infrastructure.
E. Effect
of Incentive or Concession. The granting of a concession or incentive
shall not be interpreted, in and of itself, to require a General Plan
amendment, zoning change, study, or other discretionary approval.
(Ord. 1976 § 2, 2019; Ord. 1990 § 1, 2020)
A. Housing Developments. When an applicant proposes to construct a housing development that complies with the resident and project size requirements of Section
18.66.020 (Eligibility for Bonus, Incentives, or Concessions) above, and includes as part of that development a child day care center that will be located on the site of, as part of, or adjacent to the housing development, the County shall grant either an additional density bonus or an additional incentive or concession.
1. Additional
Bonus and Incentives. The County shall grant a housing development
that includes a child day care center in compliance with this section,
either of the following:
a. An additional density bonus that is an amount of floor area in square
feet of residential space that is equal to or greater than the floor
area of the child care facility; or
b. An additional incentive or concession that contributes significantly
to the economic feasibility of the construction of the child care
facility.
2. Requirements
to Qualify for an Additional Bonus or Incentive.
a. The County shall require, as a condition of approving the housing
development, that:
(1) The child day care center shall remain in operation for a period of time that is as long as or longer than the period of time during which the density bonus units are required to remain affordable in compliance with Section
18.66.070 (Continued Availability) below; and
(2) Of the children who attend the child day care center, the children of very low-income households, lower-income households, or families of moderate-income shall equal a percentage that is equal to or greater than the percentage of dwelling units that are required for very low-income households, lower-income households, or families of moderate income in compliance with Section
18.66.020(A) (Eligibility for Bonus, Incentives, or Concessions: Resident requirements), above.
b. The County shall not be required to provide a density bonus or concession
for a child day care center in compliance with this section if it
finds, based upon substantial evidence, that the community has adequate
child care facilities.
B. Child
Care in Commercial and Industrial Developments. An applicant for a
commercial or industrial development project, containing at least
50,000 square feet of floor area, may be granted a density bonus when
that applicant agrees to set aside at least 2,000 square feet of interior
floor area and 3,000 outdoor square footage to be used for a child
day care center, in compliance with
Government Code Section 65917.5
(Commercial Density Bonus).
1. Allowable
Density Bonuses. The allowable density bonus may be one of the following:
a. A maximum of five square feet of floor area for each one square foot
of floor area contained in the child day care center located in an
existing child day care center; or
b. A maximum of 10 square feet of floor area for each one square foot
of floor area contained in the child day care center located in a
new child day care center.
2. Requirements.
Requirements to qualify for the additional density bonus shall include
all of the following:
a. For purposes of calculating the allowable density bonus under this
subsection, both the total area contained within the exterior walls
of the child day care center and all outdoor areas devoted to the
use of the facility in compliance with applicable State child care
licensing requirements shall be considered.
b. The child day care center shall be of a sufficient size to comply
with all applicable State licensing requirements to accommodate at
least 40 children.
c. This center may be located either on the project site or may be located
off site as agreed upon by the applicant and the County.
d. If the child day care center is not located on the site of the development
project, the County shall determine whether the location of the child
day care center is appropriate and whether it complies with the purpose
and intent of this section.
e. The granting of a density bonus shall not preclude the County from
imposing necessary conditions on the development project or on the
additional square footage in compliance with
Government Code Section
65917.5 (Commercial Density Bonus).
(Ord. 1976 § 2, 2019; Ord. 1990 § 1, 2020)
The applicant shall agree to, and the County shall ensure, the continued affordability of the units that qualified the housing development for a density bonus and other incentives and concessions shall continue to be available as affordable dwelling units in compliance with the following requirements, as required by
Government Code Section 65915(c). See also Section
18.66.110 (Control of Resale).
A. Duration
of Affordability. The applicant shall agree to, and the County shall
ensure, the continued availability of the dwelling units that qualified
the housing development for a density bonus and other incentives and
concessions, as follows:
1. Low-and
Very Low-Income Dwelling Units. The continued affordability of all
low-and very low-income-qualifying dwelling units shall be maintained
for 55 years, or a longer time if required by the construction or
mortgage financing assistance program, mortgage insurance program,
rental subsidy program, or by County policy or ordinance.
2. Dwelling
Units for Transitional Foster Youth, Disabled Veterans, or Homeless
Persons. Dwelling units for transitional foster youth, disabled veterans,
or homeless persons shall be subject to a recorded affordability restriction
of 55 years and shall be provided at the same affordability level
as very low-income units.
3. Moderate-Income
Dwelling Units in a Common Interest Development. The continued availability
of moderate-income dwelling units in a common interest development
shall be maintained for a minimum of 10 years, or a longer time if
required by County policy or ordinance.
4. Lower
Income Students in a Student Housing Development. The continued affordability
of dwelling units for lower income students in a student housing development
shall be subject to a recorded affordability restriction of 55 years.
B. Dwelling
Unit Cost Requirements. The rents and owner-occupied costs charged
for the dwelling units in the development that qualify the project
for a density bonus and other incentives and concessions, shall not
exceed the following amounts during the period of continued availability
required by this section:
1. Lower
Income Dwelling Units. Rents for the lower-income density bonus dwelling
units shall be set at an affordable rent as defined in Health and
Safety Code Section 50053; and
2. Owner-Occupied
Dwelling Units. Owner-occupied dwelling units shall be available at
an affordable housing cost as defined in
Health and Safety Code Section
50052.5.
C. Occupancy
and Resale of Moderate Income For-Sale Dwelling Units. An applicant
shall agree to, and the County shall ensure that, the initial occupant
of all for-sale dwelling units that qualified the applicant for the
award of the density bonus are persons and families of very low-,
low-, or moderate-income, as required, and that the dwelling units
offered at an affordable housing cost, as that cost is defined in
Health and Public Safety Code Section 50052.5. The County shall enforce
an equity sharing agreement, unless it conflicts with the requirements
of another public funding source or law. The following requirements
apply to the equity sharing agreement:
1. Upon
resale, the seller of the dwelling unit shall retain the value of
any improvements, the down payment, and the seller's proportionate
share of appreciation.
2. The
County shall recapture any initial subsidy and its proportionate share
of appreciation, which shall then be used within five years for any
of the purposes described in
Health and Safety Code Section 33334.2(e)
that promote home ownership. For the purposes of this section:
a. The County's initial subsidy shall be equal to the fair market value
of the home at the time of initial sale, minus the initial sale price
to the moderate-income household, plus the amount of any down payment
assistance or mortgage assistance. If upon resale the market value
is lower than the initial market value, then the value at the time
of the resale shall be used as the initial market value; and
b. The County's proportionate share of appreciation shall be equal to
the ratio of the initial subsidy to the fair market value of the home
at the time of initial sale.
(Ord. 1976 § 2, 2019; Ord. 1990 § 1, 2020)
To maintain the availability of for-sale affordable dwelling
units constructed in compliance with this chapter, the following resale
conditions shall apply.
A. Limits
on Resale Price. The price received by the seller of an affordable
dwelling unit shall be limited to the purchase price plus an increase
based on the local consumer price index, an amount consistent with
the increase in the median income since the date of purchase, or the
fair market value, whichever is less. Before offering an affordable
dwelling unit for sale, the seller shall provide written notice to
the County of their intent to sell. The notice shall be provided by
certified mail to the Director.
B. Dwelling
Units to Be Offered to the County. Home ownership affordable units
constructed, offered for sale, or sold under the requirements of this
section shall be offered to the County or its assignee for a period
of at least 90 days from the date of the notice of intent to sell
is delivered to the County by the first purchaser or subsequent purchasers.
Home ownership affordable units shall be sold and resold from the
date of the original sale only to households as determined to be eligible
for affordable units by the County in compliance with this section.
The seller shall not levy or charge any additional fees nor shall
any "finder's fee" or other monetary consideration be allowed other
than customary real estate commissions and closing costs.
C. Declaration
of Restrictions. The owners of any affordable dwelling unit shall
attach and legally reference in the grant deed conveying title of
the affordable ownership unit a declaration of restrictions provided
by the County, stating the restrictions imposed in compliance with
this section. The grant deed shall afford the grantor and the County
the right to enforce the declaration of restrictions. The declaration
of restrictions shall include all applicable resale controls, occupancy
restrictions, and prohibitions required by this section.
D. County
to Monitor Resale of Units. The County shall monitor the resale of
ownership affordable dwelling units. The County or its designee shall
have a 90-day option to commence purchase of ownership affordable
units after the owner gives notification of intent to sell. Any abuse
in the resale provisions shall be referred to the County for appropriate
action.
E. Equity
Sharing Agreement. The County shall enforce an equity sharing agreement
to recapture any initial subsidy and its proportionate share of appreciation.
1. For
purposes of this chapter, the County's initial subsidy shall be equal
to the fair market value of the dwelling unit at the time of initial
sale, minus the initial sale price to the moderate-income household,
plus the amount of any down payment assistance or mortgage assistance.
2. For
the purposes of this chapter, the County's proportionate share of
appreciation shall be equal to the ratio of the initial subsidy to
the fair market value of the dwelling unit at the fair market value
of the dwelling unit at the time of the initial sale. If upon resale
the market value is lower than the initial market value, then the
value at the time of resale shall be used as the initial market value.
(Ord. 1976 § 2, 2019)
The County shall use any recaptured subsidies and/or share of
appreciation from the resale of moderate income for-sale dwelling
units within five years for any of the purposes, listed in Health
and Safety Code Section 33334.2(e), that promotes home ownership.
(Ord. 1976 § 2, 2019)