The purpose of this chapter is to provide incentives for the
production of housing for very low-income, lower-income, moderate-income,
special needs, and senior households in the city and to establish
procedures for carrying out the legislative requirements and complying
with
Government Code § 65915 et seq. In enacting this chapter,
it is the intent of the city to facilitate the development of affordable
housing by positively impacting the economic feasibility of providing
lower-income housing and implementing the goals, objectives, and policies
of the city's housing element.
(Ord. No. 1000 § 4, 2022)
A. The city shall grant one density bonus, with concessions or incentives, as specified in section
17.46.040 (Density Bonuses and Incentives and Concessions Allowed), when the applicant for the residential development seeks and agrees to construct a residential development, excluding any units permitted by the density bonus awarded pursuant to this chapter, that will contain at least one of the following:
1. Ten
percent of the total units of a housing development for rental or
sale to lower-income households, as defined in
Health and Safety Code
§ 50079.5.
2. Five
percent of the total units of a housing development for rental or
sale to very low-income households, as defined in Health and Safety
Code § 50105.
3. A
senior citizen housing development, as defined in §§ 51.3
and 51.12 of the
Civil Code, or a mobilehome park that limits residency
based on age requirements for housing for older persons pursuant to
§ 798.76 or 799.5 of the
Civil Code.
4. Ten
percent of the total dwelling units of a housing development are sold
to persons and families of moderate income, as defined in Health and
Safety Code § 50093, provided that all units in the development
are offered to the public for purchase.
5. Ten
percent of the total units of a housing development for transitional
foster youth, as defined in § 66025.9 of the
Education Code,
disabled veterans, as defined in
Government Code § 18451,
or homeless persons, as defined in the federal McKinney-Vento Homeless
Assistance Act (42 U.S.C. § 11301 et seq.). The units described
in this subsection 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.
6. Twenty
percent of the total units for lower income students in a student
housing development that meets the requirements of
Government Code
§ 65915(b)(1)(F).
7. One
hundred percent of all units in the development, including total units
and density bonus units, but exclusive of a manager's unit or units,
are for lower-income households, as defined by
Health and Safety Code
§ 50079.5, except that up to 20 percent of the units in
the development, including total units and density bonus units, may
be for moderate-income households, as defined in Health and Safety
Code § 50053.
B. The
above units qualifying a development for a density bonus shall be
referred to as "target units." The applicant shall specify which of
the above paragraphs is the basis for the density bonus.
(Ord. No. 1000 § 4, 2022)
The following general requirements apply to the application
and determination of all incentives and bonuses:
A. Rounding.
All density calculations resulting in fractional units shall be rounded
up to the next whole number.
B. Relation
to general plan, zoning. The granting of a density bonus, or a concession
or incentive, shall not be interpreted, in and of itself, to require
a general plan amendment, zoning change, or other discretionary approval.
C. Density
bonus excluded in calculation. The density bonus shall not be included
when calculating the total number of housing units that qualifies
the housing development for a density bonus.
D. Parking. Upon request by the applicant, the city shall not require that a housing development meeting the requirements of section
17.46.020 (Eligibility) provide a vehicular parking ratio, inclusive of handicapped and guest parking, that exceeds the following or any parking requirements set forth in
Government Code § 65915:
1. Zero
(studio) to one bedroom: One on-site parking space per unit.
2. Two
to three bedrooms: One and one-half on-site parking spaces per unit.
3. Four
or more bedrooms: Two and one-half parking spaces per unit.
4. If
the total of parking spaces required for a housing development is
other than a whole number, the number shall be rounded up to the next
whole number. For purposes of this subsection, a development may provide
on-site parking through tandem parking or uncovered parking, but not
through on-street parking.
E. Waived or reduced development standards. The city shall not apply any development standard that would have the effect of physically precluding the construction of a housing development meeting the requirements of section
17.46.020 (Eligibility) at the densities or with the incentives or concessions permitted by this chapter, or as otherwise set forth in
Government Code § 65915.
1. An
applicant may submit to the city a proposal for the waiver or reduction
of development standards, when standards would have the effect of
physically precluding the proposed development, and may request a
meeting with the city. Nothing in this subsection, however, shall
be interpreted to require the city to waive or reduce development
standards if:
a. The waiver or reduction would have a specific adverse impact, as
defined in paragraph (2) of subdivision (d) of
Government Code § 65589.5
upon health and safety and for which the city determines there is
no feasible method to satisfactorily mitigate or avoid the specific
adverse impact.
b. This would have an adverse impact on any real property that is listed
in the state register of historical resources and for which the city
determines there is no feasible method to satisfactorily mitigate
or avoid the specific adverse impact.
c. The waiver or reduction would be contrary to state or federal law.
2. A proposed waiver or reduction of development standards shall neither reduce nor increase the number of allowable incentives or concessions under section
17.46.040 (Density Bonuses and Incentives and Concessions Allowed).
F. Multiple
zones. If the site of a development proposal is located in two or
more zones, the number of dwelling units permitted in the development
is the sum of the dwelling units permitted in each of the zones based
on the site acreage within each zone. The permitted number of dwelling
units may be distributed within the development without regard to
the zone boundaries.
G. Affordable housing requirements. Required affordable housing units may be counted toward the affordable units required to qualify for a density bonus per section
17.46.020 (Eligibility).
H. Land
donation. Nothing in this chapter shall be construed to enlarge or
diminish the authority of the city to require a developer to donate
land as a condition of development.
I. Agreement
required.
1. Prior
to the issuance of building permits, the applicant shall enter into
an agreement with the city to ensure the continued affordability of
all target units.
2. For
all target units, the agreement shall specify the household income
classification, number, location, size, and construction scheduling
and shall require target units in a project and phases of a project
to be constructed concurrently with the construction of non-target
units. The agreement shall include such other provisions as necessary
to establish compliance with the requirements of this chapter.
J. Reports.
The applicant shall submit financial or other reports along with the
application for the project to establish compliance with this chapter.
The city may retain a consultant to review any financial report (pro
forma). The cost of the consultant shall be borne by the applicant;
except if the applicant is a nonprofit organization, the cost of the
consultant may be paid by the city upon prior approval of the city
council.
K. Consistency
with state law. The provisions of this chapter shall be interpreted
to fulfill the requirements of
Government Code § 65915.
Government Code § 65915 is hereby incorporated by reference.
Any changes to
Government Code § 65915 shall be deemed to
supersede and govern any conflicting provisions contained herein.
(Ord. No. 1000 § 4, 2022; Ord. No. 1026, 5/15/2024)
A. Density bonus. Except as otherwise set forth in
Government Code § 65915 a housing development that satisfies the eligibility requirements in section
17.46.020 (Eligibility) of this chapter shall be entitled to the following density bonus:
1. For
housing developments providing ten percent lower-income target units,
the density bonus shall be calculated as follows:
Percentage Low-Income Units
|
Percentage Density Bonus
|
---|
10
|
20
|
11
|
21.5
|
12
|
23
|
13
|
24.5
|
14
|
26
|
15
|
27.5
|
16
|
29
|
17
|
30.5
|
18
|
32
|
19
|
33.5
|
20
|
35
|
21
|
38.75
|
22
|
42.5
|
23
|
46.25
|
24
|
50
|
2. For
housing developments providing five percent very low-income target
units, the density bonus shall be calculated as follows:
Percentage Very Low-Income Units
|
Percentage Density Bonus
|
---|
5
|
20
|
6
|
22.5
|
7
|
25
|
8
|
27.5
|
9
|
30
|
10
|
32.5
|
11
|
35
|
12
|
38.75
|
13
|
42.5
|
14
|
46.25
|
15
|
50
|
3. For
senior citizen housing developments, the density bonus shall be 20
percent of the number of senior units.
4. For
housing developments providing ten percent of the total units of a
housing development for transitional foster youth, disabled veterans,
or homeless persons, the density bonus shall be 20 percent of the
number of target units.
5. For
housing developments providing 20 percent of the total units for lower
income students in a student housing development, the density bonus
shall be 35 percent of the student housing units.
6. For housing developments providing 100 percent of all units in the development for lower income households and meeting the criteria of section
17.46.020(A)(7), the density bonus shall be 80 percent of the number of units for lower income households.
a. If a 100 percent affordable housing development is located within
one-half mile of a major transit stop, the city shall not impose any
maximum controls on density.
7. For
housing developments where ten percent of the housing development
are sold to persons and families of moderate income, the density bonus
shall be calculated as follows:
Percentage Moderate-Income Units
|
Percentage 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
|
41
|
38.75
|
42
|
42.5
|
43
|
46.25
|
44
|
50
|
B. Number
of incentives or concessions. In addition to the density bonus described
in this section, an applicant may request specific incentives or concessions.
Except as otherwise set forth in
Government Code § 65915,
the applicant shall receive the following number of incentives or
concessions.
1. One
incentive or concession for projects that include at least ten percent
of the total units for lower-income households, at least five percent
for very low-income households, or at least ten percent for persons
and families of moderate income in a housing development in which
the units are for sale.
2. Two
incentives or concessions for projects that include at least 17 percent
of the total units for lower-income households, at least ten percent
for very low-income households, or at least 20 percent for persons
and families of moderate income in a housing development in which
the units are for sale.
3. Three
incentives or concessions for projects that include at least 24 percent
of the total 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 housing development in which
the units are for sale.
4. Four incentives or concessions for projects that are 100 percent affordable, meeting the criteria of section
17.46.020(A)(7). If the project is located within one-half mile of a major transit stop, the applicant shall also receive a height increase of up to three additional stories, or 33 feet.
5. One
incentive or concession for projects that include at least 20 percent
of the total units for lower income students in a student housing
development.
C. Available
incentives and concessions.
1. A
reduction in the site development standards or a modification of this
title's requirements or architectural design requirements that exceed
the minimum building standards approved by the state building standards
commission as provided in part 2.5 (commencing with § 18901)
of division 13 of the
Health and Safety Code, including, but not limited
to, a reduction in setback and square footage requirements and in
the ratio of vehicle parking spaces that would otherwise be required
and that results in identifiable, financially sufficient, and actual
cost reductions to provide for affordable housing costs or rents.
2. Approval
of form-based zone in conjunction with the housing development if
the nonresidential land uses will reduce the cost of the housing development
and the nonresidential land uses are compatible with the housing development
and existing or planned development in the area in which the housing
development will be located.
3. Other
regulatory incentives or concessions proposed by the applicant or
the city that result in identifiable, and actual cost reductions.
4. Priority
processing of a housing development that qualifies for a density bonus
based on income-restricted units.
D. Additional
density bonus and incentives and concessions for donation of land
to the city.
1. When
an applicant for a tentative subdivision map, parcel map, or other
residential development approval donates land to the city and agrees
to include a minimum of ten percent of the total units for very low-income
households, the density bonus shall be calculated as follows:
Percentage Very Low Income
|
Percentage 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
|
2. The
density bonus provided in this subsection shall be in addition to
any other density bonus provided by this chapter up to a maximum combined
density bonus of 35 percent.
3. The
applicant shall be eligible for the increased density bonus described
in this subsection if all of the following conditions are met:
a. The applicant donates and transfers the land no later than the date
of approval of the final subdivision map, parcel map, or residential
development application.
b. The developable acreage and zoning designation of the land being
transferred are sufficient to permit construction of units affordable
to very low-income households in an amount not less than ten percent
of the number of residential units of the proposed development.
c. The transferred land is at least one acre in size or of sufficient
size to permit development of at least 40 units, has the appropriate
general plan designation, is appropriately zoned with appropriate
development standards for development at the density described in
paragraph (3) of subdivision (c) of
Government Code § 65583.2,
and is or will be served by adequate public facilities and infrastructure.
d. The transferred land shall have all of the entitlements and approvals,
other than building permits, necessary for the development of the
very low-income housing units on the transferred land, not later than
the date of approval of the final subdivision map, parcel map, or
residential development application, except that the city may subject
the proposed development to subsequent design review to the extent
authorized by subdivision (i) of
Government Code § 65583.2
if the design is not reviewed by the city prior to the time of transfer.
e. The transferred land and the affordable units shall be subject to
a deed restriction ensuring continued affordability of the units consistent
with the requirements of this chapter or
Government Code § 65915(c)(1)
and (2), which shall be recorded on the property at the time of the
transfer.
f. The land is transferred to the city or to a housing developer approved
by the city. The city may require the applicant to identify and transfer
the land to the developer.
g. The transferred land shall be within the boundary of the proposed
development or, if the city agrees, within one-quarter mile of the
boundary of the proposed development.
h. 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.
4. Nothing
in this subsection shall be construed to enlarge or diminish the authority
of the city to require a developer to donate land as a condition of
development.
E. Additional
density bonus or incentives and concessions for development of child-care
facility.
1. Housing developments meeting the requirements of section
17.46.020 (Eligibility) and including a child-care facility that will be located on the premises of, as part of, or adjacent to the housing development shall receive either of the following:
a. An additional density bonus that is an amount of square footage of
residential space that is equal to or greater than the amount of square
footage in the child-care facility.
b. An additional incentive or concession that contributes significantly
to the economic feasibility of the construction of the child-care
facility.
2. The
city shall require the following as conditions of approving the housing
development:
a. The child-care facility shall remain in operation for a period of
time that is as long as or longer than the period of time during which
the target units are required to remain affordable, pursuant to subdivision
(c) of
Government Code § 65915.
b. Of the children who attend the child-care facility, the children of very low-income households, lower-income households, or persons or families of moderate income shall equal a percentage that is equal to or greater than the percentage of target units that are required pursuant to section
17.46.020 (Eligibility).
3. Notwithstanding
any other requirements of this section, the city shall not be required
to provide a density bonus or concession for a child-care facility
if it makes a written finding, based upon substantial evidence, that
the community has adequate child-care facilities.
F. Condominium
conversion incentives for low-income housing development.
1. An
applicant for approval to convert apartments to a condominium project
may submit to the city a preliminary proposal pursuant to this subsection
prior to the submittal of any formal requests for subdivision map
approvals. The city shall, within 90 days of receipt of a written
proposal, notify the applicant in writing of the manner in which it
will comply with this subsection.
2. When
an applicant for approval to convert apartments to a condominium project
agrees to the following, the city shall grant either a density bonus
of 25 percent over the number of apartments, to be provided within
the existing structure or structures proposed for conversion, or provide
other incentives of equivalent financial value.
a. Provide at least 33 percent of the total units of the proposed condominium
project to persons and families of low or moderate income, or provide
at least 15 percent of the total units of the proposed condominium
project to lower-income households; and
b. Agree to pay for the reasonably necessary administrative costs incurred
by the city.
3. For
purposes of this subsection, "other incentives of equivalent financial
value" shall not be construed to require the city to provide cash
transfer payments or other monetary compensation but may include the
reduction or waiver of requirements which the city might otherwise
apply as conditions of conversion approval.
4. Nothing
in this subsection shall be construed to require the city to approve
a proposal to convert apartments to condominiums.
5. An
applicant shall be ineligible for a density bonus or other incentives
under this subsection if the apartments proposed for conversion constitute
a housing development for which a density bonus or other incentive
was previously provided.
(Ord. No. 1000 § 4, 2022)
The location of density bonus units within the housing development
may be at the discretion of the developer. However, the target units
shall be dispersed throughout the housing development and when feasible
shall contain, on average, the same number of bedrooms as the non-target
units in the development, and shall be compatible with the design
or use of the remaining units in terms of appearance, materials, and
quality finish.
(Ord. No. 1000 § 4, 2022)
A. If a housing development provides lower-or very low-income target units to qualify for a density bonus, the continued affordability of all lower-or very low-income units shall be maintained for 55 years or a longer period of time if required by the construction or mortgage financing assistance program, mortgage insurance program, or rental subsidy program. Except as set forth in subsection
B, the rents for the lower income density bonus units shall be set at an affordable rent as defined in
Health and Safety Code § 50053.
B. For 100 percent affordable housing developments meeting the criteria of section
17.46.020(A)(7), rents for all units in the development, including both base density and density bonus units, shall be as follows:
1. The
rent for at least 20 percent of the units in the development shall
be set at an affordable rent, as defined in
Health and Safety Code
§ 50053.
2. The
rent for the remaining units in the development shall be set at an
amount consistent with the maximum rent levels for a housing development
that receives an allocation of state or federal low-income housing
tax credits from the California Tax Credit Allocation Committee.
C. The
for-sale units that qualified the applicant for the density bonus
shall meet either of the following:
1. The
initial occupant of all for-sale units that qualified the applicant
for the award of the density bonus are persons and families of very
low-, low-, or moderate-income and that the units are offered at an
affordable housing cost, as defined in
Health and Safety Code § 50052.5.
The city shall enforce an equity sharing agreement, unless it is in
conflict with the requirements of another public funding source or
law.
2. The
unit is purchased by a a qualified nonprofit housing corporation pursuant
to a recorded contract that meets the requirements set forth in Government
Code § 65915(C)(2)(ii).
3. The
following apply to the equity sharing agreement:
4. 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, which amount shall be used within five years
for any of the purposes described in subdivision (e) of Health and
Safety Code § 33334.2 that promote home ownership.
5. For
the purposes of this subsection, the city'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 house-hold,
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.
6. For
the purposes of this subsection, the city's proportionate share of
appreciation shall be equal to the ratio of the city's initial subsidy
to the fair market value of the home at the time of initial sale.
D. Where
there is a direct financial contribution to a housing development
pursuant to
Government Code § 65915, the city shall assure
continued availability for low-and moderate-income units for 30 years.
(Ord. No. 1000 § 4, 2022)
A. Process
for Approval. The density bonus and incentive(s) and concession(s)
request shall be considered in conjunction with any necessary development
entitlements for the project. The designated approving authority for
density bonuses, incentives, and concessions shall be the planning
commission. In approving the density bonus and any related incentives
or concessions, the city and the applicant shall enter into a density
bonus agreement.
B. Approval
of Density Bonus Required. The city shall grant the density bonus
requested by the applicant provided it is consistent with the requirements
of this chapter and state law.
C. Approval
of Incentives or Concessions Required Unless Findings Made. The city
shall grant the incentive(s) and concession(s) requested by the applicant
unless the city makes a written finding, based upon substantial evidence,
of any of the following:
1. The
incentive or concession is not required in order to provide for affordable
housing costs as defined in
Health and Safety Code § 5052.5
or affordable rent for the target units.
2. The
incentive or concession would have a specific adverse impact, as defined
in paragraph (2) of subdivision (d) of
Government Code § 65589.5,
upon public health and safety that is listed in the state register
of historical resources and for which the city determines there is
no feasible method to satisfactorily mitigate or avoid the specific
adverse impact without rendering the development unaffordable to low-and
moderate-income households.
3. The
concession or incentive would be contrary to state or federal law.
(Ord. No. 1000 § 4, 2022; Ord. No. 1026, 5/15/2024)
The city shall charge applicants an administrative fee to cover
the city's cost to review all materials submitted in accordance with
this chapter and for ongoing enforcement of this chapter. The amount
of the administrative fee shall be established by city council resolution
and updated as required. Fees will be charged for staff time and materials
associated with:
A. Review
and approval of applications for the proposed development.
B. Project
marketing and lease-up.
C. Long-term
compliance of the applicant and successors-in-interest to the applicant,
with respect to the affordable housing units.
(Ord. No. 1000 § 4, 2022)