The provisions of this section are applicable only to residential projects of five (5) or more units, and senior housing projects of thirty-five (35) or more units.

(Ord. No. 2024-07, § 1, 12-18-2024)

A.

State Law Governs. The provisions of this section shall be governed by the requirements of Government Code Section 65915 et seq., as amended. Where conflict occurs between the provisions of this chapter and State law, the State law shall govern.

B.

Availability. Affordable housing units shall be constructed concurrently with and made available for qualified occupants at the same time as the market-rate housing units within the same project unless both the city and the developer agree to an alternative schedule for development.

C.

Effect of Granting Density Bonus. The granting of a density bonus shall not, in and of itself, require a General Plan amendment, zoning change, or other discretionary approval.

D.

Income Levels. For purposes of determining income levels of households under this chapter, the city shall use the Fresno County income limits in Title 25, Section 6932 of the California Code of Regulations or other income limits adopted by the City Council if the State department of Housing and Community Development fails to provide timely updates of the income limits in the California Code of Regulations.

E.

Duration of Affordability. All affordable housing units shall be kept affordable for a minimum period of fifty-five (55) years or such other term approved by the city, consistent with State law.

F.

Regulatory Agreement Required. All affordable housing projects shall be subject to the approval of an agreement pursuant to conforming to the provisions of Sections 65864 to 65869 of the Government Code. The terms of the agreement shall be reviewed and revised as appropriate by the city planner and/or City Attorney, who shall formulate a recommendation to the decision-making body for final approval. This agreement shall include, but is not limited to, the following:

1.

Number of Units. The total number of units approved for the projects, including the number of affordable housing units.

2.

Target Units. The location, unit sizes (in square feet) and number of bedrooms of the affordable housing units.

3.

Household Income Group. A description of the household income groups to be accommodated by the project and a calculation of the Affordable Sales Price.

4.

Certification Procedures. The party responsible for certifying sales prices or annual rental rates, and the process that will be used for certification.

5.

Schedule. A schedule for the completion and occupancy of the affordable housing units.

6.

Required Term of Affordability. Duration of affordability of the housing units. Provisions shall also cover resale control and deed restrictions on targeted housing units that are binding on property upon sale or transfer.

7.

Expiration of Agreement. Provisions covering the expiration of the agreement, including notice prior to conversion to market rate units and right of first refusal option for the city and/or the distribution of accrued equity for for-sale units.

8.

Remedies for Breach. A description of the remedies for breach of the Agreement by either party.

9.

If applicable, affordable housing impact fees, including inclusionary zoning fees and in-lieu fees, shall not be imposed on a housing development's affordable units.

10.

Other Provisions. Other provisions to ensure implementation and compliance with this section.

11.

For Sale Units. In the case of dwelling units available for sale, the Regulatory Agreement shall provide for the following conditions governing the initial resale and use of affordable housing units:

a.

Target units shall, upon initial sale, be sold to eligible Very Low, Lower, or Moderate Income Households at an Affordable Sales Price and Housing Cost.

b.

Target units shall be initially owner-occupied by eligible Very Low or Lower Income Households.

c.

Upon resale, the seller of a target unit shall retain the value of any improvements, the down payment, and the seller's proportionate share of appreciation. The city shall recapture its proportionate share of appreciation, which shall be used to promote home ownership opportunities as provided for in Health and Safety Code Section 33334.2. The city's proportionate share shall be equal to the percentage by which the initial sale price to the targeted household was less than the fair market value of the dwelling unit at the time of initial sale.

G.

Rental Housing Developments. In the case of rental housing developments, the Regulatory Agreement shall provide for the following conditions governing the use of Target Units during the use restriction period:

1.

The rules and procedures for qualifying tenants, establishing affordable rent rates, filling vacancies, and maintaining Target Units for qualified tenants.

2.

Provisions requiring owners to verify tenant incomes and maintain books and records to demonstrate compliance with this chapter.

3.

Provisions requiring owners to submit an annual report to the city, which includes the name, address, and income of each person occupying Target Units, and which identifies the bedroom size and monthly rent or cost of each Target Unit.

(Ord. No. 2024-07, § 1, 12-18-2024)

A.

All units in the student housing development will be used exclusively for undergraduate, graduate, or professional students enrolled full time at an institution of higher education accredited by the Western Association of Schools and Colleges or the Accrediting Commission for Community and Junior Colleges. In order to be eligible under this subclause, the developer shall, as a condition of receiving a certificate of occupancy, provide evidence to the city that the developer has entered into an operating agreement or master lease with one or more institutions of higher education for the institution or institutions to occupy all units of the student housing development with students from that institution or institutions. An operating agreement or master lease entered into pursuant to this subclause is not violated or breached if, in any subsequent year, there are not sufficient students enrolled in an institution of higher education to fill all units in the student housing development.

B.

The rent provided in the applicable units of the development for lower income students shall be calculated at thirty percent (30%) of sixty five percent (65%) of the area median income for a single-room occupancy unit type.

C.

The development will provide priority for the applicable affordable units for lower income students experiencing homelessness. A homeless service provider, as defined in paragraph (3) of subdivision (e) of Section 103577 of the Health and Safety Code, or institution of higher education that has knowledge of a person's homeless status may verify a person's status as homeless for purposes of this subclause.

(Ord. No. 2024-07, § 1, 12-18-2024)

A.

Minimum Density Bonus and Composition of Qualifying Projects. Pursuant to Government Code Section 65915, the city shall grant a density bonus in the amounts in Table 17.58.A over the otherwise allowable maximum residential density permitted by this section and the General Plan, and one (1) or more additional concessions or incentives, consistent with Government Code Section 65915 and this section, if the applicant applies for and proposes to construct any one (1) of the following in the percentages described below in Table 17.58.A:

1.

Lower Income Units.

2.

Very Low Income Units.

3.

Senior Citizen Housing Development.

4.

Moderate Income Units.

5.

Lower Income Student Housing.

6.

Foster Youth, Disabled Veterans, or Homeless Units.

7.

Land Donation. An applicant shall be eligible for the increased density bonus described in this subdivision 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 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 (10%) 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 forty (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 Section 65583.2, and is or will be served by adequate public facilities and infrastructure.

d.

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, not later than the date of approval of the final subdivision map, parcel map, or residential development application, except that the local government may subject the proposed development to subsequent design review to the extent authorized by subdivision (i) of Section 65583.2 if the design is not reviewed by the local government before 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 subdivision (B), 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 local agency. The local agency 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 (¼) 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.

TABLE 17.58.A: DENSITY BONUS BY BASE DENSITY AFFORDABLE UNIT PERCENTAGE

B.

Calculation of Density Bonus Units. When calculating the number of permitted density bonus units, all fractional units shall be rounded to the next higher whole number. The applicant who requests a density bonus for a project that meets two (2) or more of the eligibility requirements depicted in paragraph (1) shall specify whether the bonus shall be awarded on the basis of Section 17.58.040, Minimum Density Bonus and Composition of Qualifying Projects. The density bonus shall not be included when determining the number of target units to be provided in a development project.

C.

Optional Density Bonus. The city may grant a proportionally lower density bonus and/or provide concessions and/or incentives set forth in Section 17.58.060, Affordable Housing Concessions and Incentives, if an applicant agrees to construct a development containing less than the percentage of housing for lower or very low income households than provided in Subsection (A) of this section.

(Ord. No. 2024-07, § 1, 12-18-2024)

A.

Basic Requirements. When an applicant proposes to construct a housing development that conforms to the requirements of the State Density Bonus law and includes a childcare 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.

Additional Density Bonus. A density bonus of additional residential units equal in square footage to the amount of square feet of the childcare facility. For example, a five thousand (5,000) square foot childcare facility would result in a density bonus of five thousand (5,000) square feet of dwelling units.

2.

Additional Concession or Incentive. An additional concession or incentive that contributes significantly to the economic feasibility of the construction of the childcare facility.

B.

Conditions of Approval. The city shall require, as a condition of approving the housing development that the following occur:

1.

Length of Operation. The childcare facility remains in operation for a period of time that is as long as, or longer than the length of time during which the affordable housing units shall remain affordable.

2.

Attending Children. The percentage of children of very low, low or moderate income households who attend the childcare facility shall be the same or greater than the percentage of dwelling units in the project that are required for households at each income level.

C.

Exceptions. The city shall not be required to provide a density bonus or concession for a childcare facility if it finds that, based upon substantial evidence, the community has adequate childcare facilities.

(Ord. No. 2024-07, § 1, 12-18-2024)

A.

Number of Incentives or Concessions. Pursuant to Government Code Section 65915, an applicant is entitled to receive incentives and/or concessions as follows:

1.

One (1) incentive or concession for projects that include at least ten percent (10%) of the total units for lower income households, at least five percent (5%) for very low income households, or at least ten percent (10%) for persons and families of moderate income in a condominium or planned development; or

2.

One (1) incentive or concession for senior citizen housing developments; or

3.

One (1) incentive or concession for projects that include at least percent (20%) of the total units for lower income students in a student housing development; or

4.

Two (2) incentives or concessions for projects that include at least twenty percent (20%) of the total units for lower income households, at least ten percent (10%) for very low income households, or at least twenty percent (20%) for persons and families of moderate income in a condominium or planned development; or

5.

Three (3) incentives or concessions for projects that include at least thirty percent (30%) of the total units for lower income households, at least fifteen percent (15%) for very low income households, or at least thirty percent (30%) for persons and families of moderate income in a condominium or planned development; or

6.

Four (4) incentives or concessions for projects with one-hundred percent (100%) of the total units for lower income households, or at least eighty percent (80%) lower income and the remaining amount for persons and families of moderate income in a condominium or planned development. If the project is located within one-half (½) mile of a major transit stop or is located in a very low vehicle travel area in a designated county, the applicant shall also receive a height increase of up to three (3) additional stories, or thirty three (33) feet.

7.

The applicant who requests incentives or concessions for a mixed-income project shall specify whether the incentives or concessions shall be awarded on the basis of paragraphs (a) through (f) of this section.

B.

Proposal of Incentives and Findings. An applicant may propose specific incentives or concessions that would contribute significantly to the economic feasibility of providing affordable units pursuant to this section and State law. In addition to any increase in density to which an applicant is entitled, the city shall grant one (1) or more incentives and/or concessions that an applicant requests, up to the maximum number of incentives and concessions required pursuant to Subsection (A), unless the city makes a written finding that either:

1.

The concession or incentive is not necessary in order to provide the proposed targeted units, or

2.

The concession or incentive would have a specific adverse impact that cannot be feasibly mitigated on public health and safety or the physical environment or any property that is listed in the California Register of Historical Resources.

3.

Notwithstanding the restriction in Subsection (A) above, the applicant may propose and the city may approve additional incentives and concessions for an eligible project that provides targeted units that meet two (2) or more of the eligibility requirements based on a written finding that the additional incentives or concessions are necessary in order to make the project economically feasible.

C.

Types of Affordable Housing Incentives. Affordable housing incentives may consist of any combination of the items listed below:

1.

Reduction of Modification of Development Standards. A reduction in site development standards or a modification of zoning code requirements or architectural design requirements that still meet or exceed the minimum building code standards and fire code standards, including, but not limited to:

a.

Reduced minimum lot sizes and/or dimensions.

b.

Reduced minimum building setbacks and building separation requirements.

c.

Reduced minimum outdoor and/or private usable open space requirements.

d.

Increased maximum lot coverage.

e.

Increased maximum building height.

2.

Parking. Upon the applicant's request, the following maximum parking standards, inclusive of handicapped and guest parking, shall apply to the entire project. Further reductions in required parking may be requested as one (1) of the incentives allowed under Subsection (1).

a.

One (1) on-site space for studios to one (1) bedroom units;

b.

Two (2) on-site spaces for two (2) to three (3) bedroom units; and

c.

Two and a half (2.5) on-site spaces for four (4) more bedroom units.

d.

For purposes of this section, at the applicant's request, on-site parking may be provided through tandem parking or uncovered parking but not through on-street parking.

3.

Mixed Use Zoning. Approval of mixed use zoning in conjunction with the housing project if commercial, office, industrial or other land uses will reduce the cost of the housing development and such uses are compatible with the housing project and the surrounding area.

4.

Other Incentives. Other regulatory incentives or concessions proposed by the developer or the city that result in identifiable cost reductions or avoidance, including the waiver or reduction of development standards that will have the effect of physically precluding the construction of a development meeting the criteria of subdivision (b) at the densities or with the concessions or incentives permitted under this subdivision (2).

(Ord. No. 2024-07, § 1, 12-18-2024)

A.

An application for a density bonus, incentive, concession, waiver, modification, or revised parking standard pursuant to this section shall be submitted in conjunction with the project application and shall be processed concurrently with all other applications required for the project. The application shall be submitted on a form provided by the city or, if the city has not prepared a form, the following information shall be provided:

1.

A site plan showing the total number of units, the number and location of the units dedicated pursuant to California Government Code Section 65915(b), and the number and location of the proposed density bonus units;

2.

The level of affordability of the dedicated units;

3.

A description of any requested incentives, concessions, waivers or modifications of development standards, or modified parking standards and evidence demonstrating that the application of the subject standard or requirement would preclude construction of the project at the densities provided for in California Government Code Section 65915 and that the waiver or modification is necessary to make development of the project financially feasible at the densities provided for in California Government Code Section 65915. Preparation of an additional report or study not otherwise required by state law shall not be required;

4.

If a density bonus is requested for a land donation pursuant to California Government Code Section 65915(h), the application shall show the location of the land to be dedicated and provide evidence that the requirements of Section 65915(h) have been met, thus entitling the project to the requested density bonus; and

5.

If a density bonus is requested for construction of a child care facility pursuant to California Government Code Section 65915(i), the application shall show the location and square footage of the proposed facility and provide evidence that the requirements of Section 65915(i) have been met, thus entitling the project to the requested density bonus.

B.

Completeness review shall be limited to the items requested in the form or, if the city has not prepared a form, the information in subdivision (A). Revisions to the application shall apply prospectively and not to existing applications.

C.

If the application has been determined to be incomplete, the city shall provide the applicant with an exhaustive list of items that were not complete. That list shall be limited to those items actually required on the city's submittal requirement checklist. In any subsequent review, the city shall not request the applicant to provide any new information that was not stated in the initial list of items that were not complete. Appeals of this determination can be made in accordance with the appeals procedure of Section 17.72.070, except that a final written determination shall be made no later than sixty (60) days after receipt of the applicant's written appeal.

D.

If the applicant has been determined to be complete, the city shall immediately transmit its written determination to the applicant.

E.

If the city does not transmit to the applicant its written determination within thirty (30) days, the application shall be deemed complete and processing shall commence.

F.

Upon mutual agreeance between the city and the applicant, an extension of these timeframes shall be permitted.

(Ord. No. 2024-07, § 1, 12-18-2024)

After the application has been deemed complete, the city shall provide the applicant with a determination as to the following matters:

A.

The amount of density bonus for which the applicant is eligible;

B.

The parking ratio for which the applicant is eligible, if requested;

C.

Whether the applicant has provided adequate information for the city to make a determination as to the incentives, concessions, or waiver or reduction of developments requested by the applicant.

D.

Appeals. Decisions to deny an incentive, concession, or waiver may be appealed in accordance with the appeal procedures of Section 17.72.070.

(Ord. No. 2024-07, § 1, 12-18-2024)

A.

"Affordable Sales Price" means a sales price at which lower or very low income households can qualify for the purchase of target units, calculated on the basis of underwriting standards of mortgage financing available for development.

B.

"Housing Cost" means the sum of actual or projected monthly payments for all of the following associated with for-sale target units: principal and interest on a mortgage loan, including any loan insurance fees, property taxes and assessments, fire and casualty insurance, property maintenance and repairs, homeowners' association fees, and a reasonable allowance for utilities.

C.

"Target Unit" means a dwelling unit within a housing development which will be reserved for sale or rent to, and affordable to, very low, lower or moderate income, or senior citizen households.

D.

"Lower Income Units" means units that are affordable to lower income households, as defined in Section 50079.5 of the Health and Safety Code.

E.

"Very Low Income Units" means units that are affordable to very low income households, as defined in Section 50105 of the Health and Safety Code.

F.

"Senior Citizen Housing Development" means a housing development that qualifies as a Senior Citizen Housing Development, as defined in Section 51.3 of the Civil Code.

G.

"Moderate Income Units" means units in a condominium project, or in a Planned Development, as defined in Subdivision (k) of Section 1351 of the Civil Code, that are affordable to persons and families of moderate income, as defined in Section 50093 of the Health and Safety Code.

H.

"Lower Income Student Housing" means units in a student housing development are affordable for lower income students.

I.

"Foster Youth, Disabled Veterans, or Homeless Units" means units that are affordable 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. Sec. 11301 et seq.).

(Ord. No. 2024-07, § 1, 12-18-2024)