The purpose of this chapter is to encourage the production of affordable housing in compliance with California Government Code Section 65915 et seq., and the goals of the city's housing element, as well as to establish procedures for the granting of affordable housing density bonuses.
(Ord. 419 § 40, 2014)
The provisions of this chapter shall apply to the following:
A. 
Housing developments that include:
1. 
A minimum of five percent of the total number of proposed dwelling units for very low-income households,
2. 
A minimum of ten percent of the total number of proposed dwelling units for low-income households;
B. 
Senior citizen housing developments or mobile home parks that limit residency based on age requirements for housing older persons in compliance with California Civil Code Section 798.76 or 799.5;
C. 
Common interest developments as defined in California Civil Code Section 1351 that include a minimum of ten percent of the total dwelling units for persons and families of moderate income, provided that all dwelling units in the development are offered to the public for purchase;
D. 
Donations of land to the city for very low-income dwelling units in accordance with the requirements of Section 11.19.050;
E. 
The provision of child care facilities in accordance with the requirements of Section 11.19.070;
F. 
Condominium conversions where at least 33% of the total dwelling units are provided to low-or moderate-income as defined in California Health and Safety Code Section 50079.5, or 15% of the total units of the proposed condominium project are provided to lower-income households as defined in California Health and Safety Code Section 50079.5.
As used in this chapter, housing development means a development project for five or more dwelling units, and also includes a subdivision or common interest development as defined in California Civil Code Section 1351, approved by the city, which consists of residential units or unimproved residential lots and either a project to substantially rehabilitate and convert an existing commercial building to residential use or the substantial rehabilitation of an existing multifamily dwelling, where the result of the rehabilitation would be a net increase in available residential units.
(Ord. 419 § 40, 2014)
A. 
Calculation of Density Bonus. For activities meeting the eligibility requirements of Section 11.19.020, a density bonus shall be calculated as follows:
1. 
For housing developments providing a minimum of five percent very low-income dwelling units as described in Section 11.19.020(A)(1), a density bonus of 20% shall be allowed. The density bonus shall be increased by two and one-half percentage points for each one percentage point increase in the number of very low-income dwelling units provided, up to a maximum density bonus of 35%.
2. 
For housing developments providing a minimum of ten percent lower income dwelling units as described in Section 11.19.020(A)(2), a density bonus of 20% shall be allowed. The density bonus shall be increased by one and one-half percentage points for each one percentage point increase in the number of lower income dwelling units provided, up to a maximum density bonus of 35%.
3. 
For senior citizen housing developments or mobile home parks as described in Section 11.19.020(B), a density bonus of 20% of the senior dwelling units shall be allowed.
4. 
For common interest developments providing a minimum of ten percent moderate-income dwelling units as described in Section 11.19.020(C), a density bonus of five percent shall be allowed. The density bonus shall be increased by one percentage point for each one percentage point increase in the number of moderate-income dwelling units provided, up to a maximum density bonus of 35%.
5. 
For land donations as described in Section 11.19.020(D), a density bonus shall be allowed in accordance with Section 11.19.050.
6. 
For the provision of child care facilities as described in Section 11.19.020(E), a density bonus shall be provided in accordance with Section 11.19.060.
7. 
For condominium conversions as described in Section 11.19.020(F), a density bonus shall be provided in accordance with Section 11.19.070.
B. 
Summary Table. The following table summarizes the allowable density bonuses in this chapter:
Table 1. Allowable Density Bonus
Category
Min. Qualifying Units
Min. Allowed Bonus
Add'l Bonus for Increase in Qualifying Units
Qualifying Units Required for Maximum Bonus
Housing Development
5% very low-income
20%
2.5
11%
10% lower income
20%
1.5
20%
Senior Citizen Housing Development/Qualifying Mobile Home Park
100% senior citizen units
20%
NA
100%
Common Interest Developments
10% moderate-income units
5%
1.0
40%
Land Donation
Per Section 11.19.050
Child Care Facility
Per Section 11.19.060
Condominium Conversion
Per Section 11.19.070
C. 
For purposes of calculating the amount of the density bonus pursuant to this section, the applicant shall select whether the bonus shall be awarded on the basis of eligible units under Section 11.19.020(A), (B) or (C).
D. 
In no case shall a project be entitled to a density bonus of more than 35%. However, the city may choose to allow a density bonus greater than 35% on increase the density bonus allowed a project that does meet all the requirements of this chapter. A developer may also choose to accept a lower density bonus than allowed under this chapter.
E. 
Density bonus units shall not be included when determining the number of units provided to qualify for a density bonus. All density calculations resulting in fractional units shall be rounded up to the next whole number.
F. 
The granting of a density bonus shall not be interpreted, in and of itself, to require a general plan amendment, local coastal plan amendment, zoning change, or other discretionary approval.
(Ord. 419 § 40, 2014)
A. 
For the purposes of this chapter, incentive means:
1. 
A reduction in site development standards or a modification of zoning code requirements or architectural design requirements that exceed minimum building standards, including, but not limited to, a reduction in setback and square footage requirements and in the number of required parking spaces that results in identifiable, financially sufficient, and actual cost reductions.
2. 
Approval of mixed use zoning in conjunction with the project if commercial, office, industrial, or other land uses will reduce the cost of the housing development and if the commercial, office, industrial, or other land uses are compatible with the project and the existing or planned development in the area where the proposed project will be located.
3. 
Other regulatory incentives proposed by the developer or the city that result in identifiable, financially sufficient, and actual cost reductions.
B. 
For activities meeting the eligibility requirements of Section 11.19.020(A) or (C), development incentives shall be provided as follows, unless the city makes a written finding in accordance with subsection F of this section:
1. 
One development incentive 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 common interest development.
2. 
Two development incentives for projects that include at least 20% of the total units for lower income households, at least ten percent for very low-income households, or at least 20% for persons and families of moderate income in a common interest development.
3. 
Three development incentives for projects that include at least 30% of the total units for lower income households, at least 15% for very low-income households, or at least 30% for persons and families of moderate income in a common interest development.
C. 
For activities meeting the eligibility requirements of Section 11.19.020(E), development incentives shall be provided in accordance with the requirements of Section 11.19.060.
D. 
For activities meeting the eligibility requirements of Section 11.19.020(F), development incentives shall be provided in accordance with the requirements of Section 11.19.070.
E. 
Summary Table. The following table summarizes the allowable development incentives in this chapter:
Table 2. Allowable Development Incentives
Category
Min. Qualifying Units
Number of Allowable Incentives
Housing Development
 
 
 
 
 
10 percent lower income
1
20 percent lower income
2
30 percent lower income
3
5 percent very low-income
1
10 percent very low-income
2
15 percent very low-income
3
Senior Citizen Housing Development/ Qualifying Mobile Home Park
None
Common Interest Developments
 
 
10% moderate-income
1
20% moderate-income
2
30% moderate-income
3
Land Donation
None
Child Care Facility
Per Section 11.19.060
Condominium Conversion
Per Section 11.19.070
F. 
Development incentives shall be granted in accordance with this section unless the city makes a written finding, based on substantial evidence, of any of the following:
1. 
The development incentive is not required in order to provide for affordable housing costs or affordable rents.
2. 
The development incentive would have a specific adverse impact upon public health and 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-and moderate-income households.
3. 
The development incentive would be contrary to state or federal law.
G. 
The granting of a development incentive shall not be interpreted, in and of itself, to require a general plan amendment, local coastal plan amendment, zoning change, or other discretionary approval.
(Ord. 419 § 40, 2014)
A. 
When an applicant for a tentative subdivision map, parcel map, or other residential development approval donates land to the city in accordance with this section, the applicant shall be entitled to a density bonus. The density bonus for land donations shall be a minimum of 15% for a minimum of ten percent very low-income dwelling units. The density bonus shall be increased by one percentage point for each one percentage point increase in the number of very low-income dwelling units, up to a maximum density bonus of 35%. All density calculations resulting in fractional units shall be rounded up to the next whole number.
B. 
The density bonus for land donation shall be in addition to any density bonus allowed by Section 11.19.030, up to a maximum combined density bonus of 35% if an applicant is allowed a density bonus under both Section 11.19.030 and this section.
C. 
An applicant shall be eligible for the density bonus described in this section if the following conditions are met:
1. 
The applicant donates and transfers the land no later than the date of approval of the final subdivision map, parcel map, or other residential development application.
2. 
The developable acreage and zoning classification 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.
3. 
The transferred land is at least one acre in size or of sufficient size to permit development of at least 40 dwelling 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 California Government Code Section 65583.2, and is or will be served by adequate public facilities and infrastructure.
4. 
No later than the date of approval of the final subdivision map, parcel map, or the residential development application, 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 including design review approval, if applicable. The city may subject the proposed development to subsequent design review to the extent authorized by subdivision (i) of California Government Code Section 65583.2 if the design is not reviewed by the city prior to 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 this section, which restriction shall be recorded on the property at the time of dedication.
6. 
The land shall be 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.
7. 
The transferred land shall be within the boundary of the proposed development or, if the city council agrees, within one-quarter mile of the boundary of the proposed development.
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.
(Ord. 419 § 40, 2014)
A. 
For the purposes of this chapter, child care facility means a child day care facility other than a family day care home, including, but not limited to, infant centers, preschools, extended day care facilities, and school age child centers.
B. 
When a developer proposes a project that meets the eligibility requirements described in Section 11.19.020(A) through (C) and includes a child care facility, other than a family day care home, that will be located on the premises of, as part of, or adjacent to the project, the city shall grant either of the following:
1. 
A density bonus of additional residential space that is equal to or greater than the square footage of the child care facility;
2. 
An additional development incentive that significantly contributes to the economic feasibility of the construction of the child care facility.
C. 
The city shall also require that:
1. 
The child care facility remains in operation for a period that is as long as or longer than the length of time during which the affordable housing units must remain affordable; and
2. 
The percentage of children of very low-, low-, or moderate-income households who attend the child care facility shall be the same or greater than the minimum percentage of dwelling units in the project that are required for households at each income level as described in Section 11.19.020.
D. 
Exception. The city shall not be required to provide a density bonus or development incentive for a child care facility if it finds, based on substantial evidence, that the community has adequate child care facilities.
(Ord. 419 § 40, 2014)
A. 
When an applicant for approval to convert apartments to a condominium project in accordance with California Government Code Section 65915.5 agrees to provide at least 33% of the total units of the proposed condominium project to persons and families of low-or moderate-income as defined in California Health and Safety Code Section 50093, or 15% of the total units of the proposed condominium project to lower income households as defined in California Health and Safety Code Section 50079.5, and agrees to pay for the reasonably necessary administrative costs incurred by the city pursuant to this section, the city shall either: (1) grant a density bonus; or (2) provide other incentives of equivalent financial value.
B. 
The city may place such reasonable conditions on the granting of a density bonus or incentives as it finds appropriate.
C. 
The density bonus for apartment conversions shall be an increase of 25% over the original number of apartments, to be provided within the existing structure or structures proposed for conversion.
D. 
"Equivalent financial incentives" 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 that the city might otherwise apply as conditions of conversion approval.
E. 
An application for approval to convert apartments to a condominium project with an affordable housing component shall be processed in accordance with the requirements of Chapter 11.64. An applicant may submit to the city a preliminary proposal 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 section.
F. 
Nothing in this section shall be construed to require the city to approve a proposal to convert apartments to condominiums.
G. 
An applicant shall be ineligible for a density bonus or other incentives under this section if the apartments proposed for conversion constitute a housing development for which a density bonus or other incentives were provided under Section 11.19.030 or 11.19.040.
(Ord. 419 § 40, 2014)
A. 
For the purposes of this chapter, development standard means a site or construction condition, including, but not limited to, a height limitation, a setback requirement, a floor area ratio, an on-site open space requirement, or a parking ratio that applies to a residential development pursuant to any ordinance, general plan element, specific plan, or other city condition, law, policy, resolution, or regulation.
B. 
In addition to development incentives described in Section 11.19.060, a developer may request the waiver or reduction of any development standard that has the effect of physically precluding a project that meets the eligibility requirements in Section 11.19.020 at the densities or with the incentives permitted by this chapter.
C. 
A proposal for the waiver or reduction of development standards shall neither reduce nor increase the number of incentives permitted in accordance with Section 11.19.060.
D. 
The city shall not be required to grant a waiver or reduction in development standard that would have a specific, adverse impact, as defined in California Government Code Section 65589.5, on health, safety or the physical environment, and for which there is no feasible method to satisfactorily mitigate or avoid the specific adverse impact.
E. 
The city shall not be required to grant a waiver or reduction in development standards that would have an adverse impact on any real property that is listed in the California Register of Historical Resources.
F. 
The city shall not be required to grant a waiver or reduction in development standards that would be contrary to state or federal law.
(Ord. 419 § 40, 2014)
A. 
Concurrent Construction. Required affordable dwelling units shall be constructed concurrently with market-rate dwelling units unless the final decisionmaker approves an alternative schedule for construction.
B. 
Integration of Affordable Dwelling Units. Affordable dwelling units shall be dispersed throughout the development and integrated with market-rate units so that affordable and market-rate units are not distinguishable from each other.
C. 
Quality. The design, construction, and quality of materials used in affordable dwelling units shall be the same as market-rate dwelling units. Affordable dwelling units shall be constructed to assure durability and minimize future maintenance costs.
D. 
Project Layout. Floor plans of affordable dwelling units shall be similar to market-rate dwelling units. The number of bedrooms in affordable dwelling units shall be consistent with the mix of bedrooms in market-rate dwelling units.
E. 
Required Parking. Upon request of the developer, the minimum number of parking spaces required for affordable dwelling units may be modified in accordance with California Government Code Section 65915. Consistent with the requirements of California Government Code Section 65915, parking spaces for affordable dwelling units may be provided as tandem or uncovered spaces.
(Ord. 419 § 40, 2014)
A. 
In accordance with California Government Code Section 65915, affordable dwelling units that qualify a project for a density bonus or incentive shall continue to be made available as follows:
1. 
Duration.
a. 
The city shall assure the continued affordability of very low-and low-income dwelling units for 30 years, or a longer period of time if required by the construction or mortgage financing assistance program, mortgage insurance program, or rental subsidy program.
b. 
Where there is a direct financial contribution to a housing development through participation in cost of infrastructure, write-down of land costs, or subsidizing the cost of construction, the city shall assure the continued affordability of low-and moderate-income units for 30 years.
c. 
The city shall assure that the initial occupant of any moderate-income dwelling unit in a condominium or planned development is a person or family of moderate income as defined in California Health and Safety Code Section 50093.
2. 
Cost.
a. 
Rents for lower income density bonus dwelling units shall be set at an affordable rent as defined in California Health and Safety Code Section 50053.
b. 
Owner-occupied units shall be available at an affordable housing cost as defined in California Health and Safety Code Section 50052. The city shall enforce an equity sharing agreement for owner-occupied units, unless it is in conflict with the requirements of another public funding source or law, in accordance with California Government Code Section 65915.
(Ord. 419 § 40, 2014)
The proposal for a density bonus, incentive(s) and/or waiver(s) pursuant to this chapter shall be submitted concurrently with application materials required for the proposed project, and shall include the following information:
A. 
Eligibility Information. The proposal shall provide evidence demonstrating that the project meets eligibility requirements as described in Section 11.19.020.
B. 
Requested Density Bonus. The proposal shall provide calculations showing the maximum base density for the project, the number and percentage of qualifying units, the number of additional market rate units resulting from the density bonus, and the resulting density of the project with the density bonus.
C. 
Requested Development Incentive(s). The proposal shall identify the requested development incentives, document the number and percentage of qualifying units, and provide a pro forma or other report demonstrating that the requested incentive(s) result in identifiable, financially sufficient and actual cost reductions.
D. 
Requested Waiver(s). The proposal shall identify the development standard(s) requested to be waived and provide information demonstrating why the waiver(s) are necessary to make the construction of the project physically possible.
E. 
Land Donation. Projects requesting a density bonus for a land donation shall provide information demonstrating that the facility meets the requirements of Section 11.19.050.
F. 
Child Care Facilities. Projects requesting a density bonus or development incentives for the provision of child care facilities shall provide information demonstrating that the facility meets the requirements of Section 11.19.060.
G. 
Fee. Payment of the fee in an amount set by resolution of the city council to reimburse the city for staff time spent reviewing and processing the application submitted pursuant to this chapter.
(Ord. 419 § 40, 2014)
A. 
An affordable housing agreement shall be executed prior to final map approval, or, where a map is not being processed, prior to issuance of building permits for any parcels in the affordable housing agreement. The agreement shall be recorded on any parcels on which incentives or density bonuses are approved, and shall be binding to all future owners and successors in interest. The city attorney shall approve the form of the agreement.
B. 
The affordable housing agreement shall include the following:
1. 
The total number of units approved for the housing development including the number of affordable units.
2. 
A description of the household income group to be accommodated by the housing development, and the standards for determining the corresponding affordable rent or affordable housing cost.
3. 
The location, unit sizes (square feet), and number of bedrooms of the affordable units.
4. 
Affordability restrictions for lower income and very low income target units of at least 30 years.
5. 
A schedule for completion and occupancy of the affordable units.
6. 
A description of the incentives, development standard waivers, and any other optional additional assistance being provided by the city.
7. 
A description of remedies for breach of the agreement by either party (the city may identify tenants or qualified purchasers as third party beneficiaries under the agreement).
8. 
Other provisions to ensure implementation and compliance with this chapter and state law.
C. 
In the case of for-sale housing developments, the affordable housing agreement shall provide for the following regarding the initial sale and use of affordable units during the applicable use restriction period and for the respective affordability period:
1. 
Affordable units shall, upon initial sale, be sold to eligible seniors, very low-income, lower-income or moderate-income families or individuals consistent with the requirements of this chapter.
2. 
Affordable units shall be initially owner-occupied by eligible very low-, lower-income, or moderate-income individuals or families, or by seniors in the case of senior housing developments.
3. 
The agreement shall provide for the continued affordability of the lower income and very low-income target units for the applicable affordability period.
4. 
The agreement shall provide for the recapture by the city of its proportionate share of appreciation upon the resale of moderate income affordable units in accordance with this chapter.
D. 
In the case of rental housing developments, the affordable housing agreement shall provide for the following conditions governing the use of affordable units during the affordability period:
1. 
The rules and procedures for qualifying tenants, establishing affordable rent, filling vacancies, and maintaining affordable units for qualified tenants.
2. 
Provisions requiring the owner to verify tenant incomes and maintain books and records to demonstrate compliance with this chapter.
(Ord. 419 § 40, 2014)