The purpose of this chapter is to promote the public welfare by facilitating the development and availability of housing affordable to a broad range of households with varying income levels within the city to meet current and future affordable housing needs. This chapter aims to:
1. 
Promote socioeconomic diversity within the city.
2. 
Generate revenue to increase the availability of affordable housing options for low- and moderate-income households.
(Ord. 1180 § 1)
For the purpose of this chapter, the following words and phrases shall have these definitions:
"Area median income"
means the area median income for El Dorado County as defined by the California Department of Housing and Community Development annual state income limits.
"Inclusionary housing unit"
means a dwelling unit which can be purchased or rented by a low-income household at a maximum cost, including utilities, of 30 percent of gross household income.
"Low- or lower-income household"
means a person or family with income that does not exceed 80 percent of the area median income.
"Residential development project"
means a project that includes the new construction of one or more dwelling units, at least 50 percent redevelopment of an existing building containing one or more dwelling units, or conversion of existing multifamily rental units to condominiums.
(Ord. 1180 § 1)
All nonexempt residential development projects shall either include inclusionary housing units or pay the in-lieu fee as required by Table 6.27.030.
Table 6.27.030
Unit Size (Habitable Space)
Percentage of Total Dwelling Units Required to Be Inclusionary Housing Units
In-Lieu Fee
2,000 Sq. Ft. or Under
Exempt
2,001 – 2,500 Sq. Ft.
5%
$5.29/Sq. Ft.
2,501 – 3,000 Sq. Ft.
6%
$5.84/Sq. Ft.
3,001 – 5,000 Sq. Ft.
9%
$16.77/Sq. Ft.
> 5,000 Sq. Ft.
17%
$17.65/Sq. Ft.
(Ord. 1180 § 1)
In determining the number of inclusionary dwelling units that are required to be built under Table 6.27.030, if the number of required inclusionary dwelling units results in a fractional unit, the developer may either pay the in-lieu fee for the portion of habitable square footage resulting in the fractional unit based on an average square footage of all market rate units, or provide an additional inclusionary dwelling unit.
(Ord. 1180 § 1)
Notwithstanding SLTCC § 6.27.030, this chapter shall not apply to the following types of residential development projects:
A. 
Single-family or condominium projects with 2,000 square feet or less of habitable area per unit;
B. 
Multifamily residential development projects to be used for long-term rentals and having two or more dwelling units;
C. 
Residential units that are deed restricted for households with income at or below moderate-income levels, meaning income levels less than or equal to 120 percent of the area median income; or
D. 
A single dwelling unit being constructed to replace a single dwelling unit destroyed by fire, flood, earthquake, or other act of nature.
(Ord. 1180 § 1)
A. 
The developer may, at their discretion, choose to pay the applicable fee in Table 6.27.030 in lieu of constructing inclusionary housing units to meet their inclusionary housing requirement.
B. 
In-lieu fees shall be calculated using the new habitable square footage, as defined by the California Building Code, included within the residential development project.
C. 
In-lieu fees shall be paid prior to building permit issuance. For projects constructed in phases, in-lieu fees shall be paid in the proportion that the phase bears to the overall project.
D. 
All in-lieu fees collected shall be deposited into the workforce housing fund. The fund shall be administered by the finance director and shall be used exclusively to provide funding for the provision of housing affordable to low- and moderate-income households and for reasonable costs associated with the development of such housing.
(Ord. 1180 § 1)
Inclusionary housing units must meet the following standards:
A. 
Inclusionary housing units shall be provided on the same site as the residential development project and dispersed throughout to prevent a concentration of inclusionary housing units within the project.
B. 
Inclusionary housing units shall be consistent with the design of market rate units in terms of exterior appearance, materials, and finished quality.
C. 
For residential development projects with multiple market rate unit types containing differing numbers of bedrooms, inclusionary housing units shall be representative of the market rate unit mix.
D. 
The inclusionary housing units shall be constructed concurrently with market rate units.
E. 
Nothing in this chapter precludes a developer of a for-sale residential development project from meeting its inclusionary housing requirements by providing for-rent inclusionary housing units.
(Ord. 1180 § 1)