As required by Cal. Gov’t Code § 65915, this subchapter 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 § 10-3-5.102 below. This chapter is intended to implement the requirements of Cal. Gov’t Code § 65915 et seq., and the Housing Element of the General Plan.

(Ord. 920 C.S., passed 5-20-15)

   In order to be eligible for a density bonus and other incentives or concessions as provided by this subchapter, a proposed housing development shall comply with the following requirements and shall satisfy all other applicable provisions of this Zoning Ordinance, except as provided by § 10-3-5.104.

      (1)   Ten percent (10%) of the total number of proposed units are for lower income households, as defined in Cal. Health and Safety Code § 50079.5;

      (2)   Five percent (5%) of the total number of proposed units are for very low income households, as defined in Cal. Health and Safety Code § 50105;

      (3)   The project is a senior citizen housing development as defined in Cal. Civil Code §§ 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 Cal. Civil Code §§ 798.76 or 799.5; or

      (4)   Ten percent (10%) of the total dwelling units in a common interest development as defined in Cal. Civil Code § 1351 are for persons and families of moderate income, as defined in Cal. Health and Safety Code § 50093, provided that all units in the development are offered to the public for purchase.

(Ord. 920 C.S., passed 5-20-15)

   TABLE 103.1 - BONUS FOR LOWER INCOME HOUSEHOLDS

 

   TABLE 103.2 - BONUS FOR VERY LOW-INCOME HOUSEHOLDS

 

   TABLE 103.3 - BONUS FOR MODERATE INCOME HOUSEHOLDS

 

   TABLE 103.4 - BASIC BONUSES

 

            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% 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 Land Use Plan 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 city may subject the proposed development to subsequent design review to the extent authorized by Cal. Gov’t Code § 65583.2(i) if the design is not reviewed by the city 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 § 10-3-5.107, which shall be recorded on the property at the time of dedication.

            6.   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 approved housing developer.

            7.   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.

(Ord. 920 C.S., passed 5-20-15)

      (1)   An applicant for a density bonus in compliance with this subchapter may submit to the city a proposal for the specific incentives or concessions listed in subsection (C), below, that the applicant requests in compliance with this section, and may request a meeting with the Director. The applicant may file a request either before filing an application for city approval of a proposed project or concurrently with an application for project approval. The review authority shall grant an incentive or concession request that complies with this section unless the review authority makes either of the following findings in writing, based upon substantial evidence:

         (a)   The incentive or concession is not required to provide for affordable housing costs, as defined in Cal. Health and Safety Code § 50052.5, or for rents for the targeted units to be set as specified in § 10-3-5.107(B); or

         (b)   The incentive or concession would have a specific adverse impact, as defined in Cal. Gov’t Code § 65589.5(d)(2), upon public health and safety or the physical environment, or on any real property 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.

      (2)   The applicant shall show that a waiver or modification of development standards is necessary to make the housing units economically feasible.

      (1)   A reduction in the site development standards of this Zoning Ordinance (e.g., site coverage limitations, setbacks, reduced parcel sizes, and/or parking requirements) (see also § 10-3-5.105), or a modification of architectural design requirements that exceed the minimum building standards approved by the California Building Standards Commission in compliance with Cal. Health and Safety Code § 18901 et seq., that would otherwise be required, that results in identifiable, financially sufficient, and actual cost reductions;

      (2)   Approval of mixed-use land uses not otherwise allowed by this Zoning Ordinance 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 city that will result in identifiable, financially sufficient, and actual cost reductions; and/or

      (4)   In its sole and absolute discretion, a direct financial contribution granted by the review authority, including writing-down land costs, subsidizing the cost of construction, or participating in the cost of infrastructure.

(Ord. 920 C.S., passed 5-20-15)

      (1)   At the request of the applicant, the city shall require the following vehicular parking ratios for a project that complies with the requirements of § 10-3-5.102, above, inclusive of handicapped and guest parking.

         (a)   Zero to one bedroom: One on-site parking space.

         (b)   Two to three bedrooms: Two on-site parking spaces.

         (c)   Four and more bedrooms: Two and one half on-site parking spaces.

      (2)   If the total number of parking spaces required for a development is other than a whole number, the number shall be rounded up to the next whole number.

(Ord. 920 C.S., passed 5-20-15)

         (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 that contributes significantly to the economic feasibility of the construction of the child care facility.

      (2)   Requirements to qualify for additional bonus and incentives.

         (a)   The city shall require, as a condition of approving the housing development, that:

            1.   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 density bonus units are required to remain affordable in compliance with § 10-3-5.107, below; and

            2.   Of the children who attend the child care facility, 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 § 10-3-5.102(A), above.

         (b)   The city shall not be required to provide a density bonus for a child care facility in compliance with this section if it finds, based upon substantial evidence, that the community has adequate child care facilities.

         (a)   A maximum of five square feet of floor area for each one square foot of floor area contained in the child care facility located in an existing child care facility; or

         (b)   A maximum of ten square feet of floor area for each one square foot of floor area contained in the child care facility located in a new child care facility.

         (a)   For purposes of calculating the allowable density bonus under this subsection, both the total area contained within the exterior walls of the child care facility 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 care facility shall be of a sufficient size to comply with all applicable state licensing requirements in order to accommodate at least 40 children.

         (c)   This facility may be located either on the project site or may be located off-site as agreed upon by the developer and the city.

         (d)   If the child care facility is not located on the site of the development project, the city shall determine whether the location of the child care facility 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 city from imposing necessary conditions on the development project or on the additional square footage in compliance with Cal. Gov’t Code § 65917.5.

(Ord. 920 C.S., passed 5-20-15)

   The units that qualified the housing development for a density bonus and other incentives and concessions shall continue to be available as affordable units in compliance with the following requirements, as required by Cal. Gov’t Code § 65915(c). See also § 10-3-5.110.

      (1)   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.

      (2)   The city shall recapture any initial subsidy and its proportionate share of appreciation, which shall then be used within three years for any of the purposes described in Cal. Health and Safety Code § 33334.2(e) that promote home ownership. For the purposes of this section:

         (a)   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 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 city'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. 920 C.S., passed 5-20-15)

   (A)   Location/dispersal of units. Designated units shall be reasonably dispersed throughout the project where feasible, shall contain on average the same number of bedrooms as the non-designated units in the project, and shall be compatible with the design or use of remaining units in terms of appearance, materials, and finish quality.

(Ord. 920 C.S., passed 5-20-15)

         (a)   The total number of units approved for the housing development, including the number of designated dwelling units;

         (b)   A description of the household income group to be accommodated by the housing development, and the standards and methodology for determining the corresponding affordable rent or affordable sales price and housing cost consistent with the California Department of Housing and Urban Development (HUD) Guidelines;

         (c)   The marketing plan for the affordable units;

         (d)   The location, unit sizes (square feet), and number of bedrooms of the designated dwelling units;

         (e)   Tenure of the use restrictions for designated dwelling units of the time periods required by § 10-3-5.107;

         (f)   A schedule for completion and occupancy of the designated dwelling units;

         (g)   A description of the additional incentives and concessions being provided by the city;

         (h)   A description of the remedies for breach of the agreement by the owners, developers, and/or successors-in-interest of the project; and

         (i)   Other provisions to ensure successful implementation and compliance with this chapter.

         (a)   The developer shall give the city the continuing right-of-first-refusal to lease or purchase any or all of the designated dwelling units at the appraised value;

         (b)   The deeds to the designated dwelling units shall contain a covenant stating that the developer or successors-in-interest shall not assign, lease, rent, sell, sublet, or otherwise transfer any interests for designated units without the written approval of the city;

         (c)   When providing the written approval, the city shall confirm that the price (rent or sale) of the designated dwelling unit is consistent with the limits established for low and very low-income households, as published by HUD;

         (d)   The city shall have the authority to enter into other agreements with the developer, or purchasers of the designated dwelling units, to ensure that the required dwelling units are continuously occupied by eligible households;

         (e)   Applicable deed restrictions, in a form satisfactory to the City Attorney, shall contain provisions for the enforcement of owner or developer compliance. Any default or failure to comply may result in foreclosure, specific performance, or withdrawal of the Certificate of Occupancy;

         (f)   In any action taken to enforce compliance with the deed restrictions, the City Attorney shall, if compliance is ordered by a court of competent jurisdiction, take all action that may be allowed by law to recover all of the city's costs of action including legal services; and

         (g)   Compliance with the agreement will be monitored and enforced in compliance with the measures included in the agreement.

         (a)   Designated dwelling units shall be owner-occupied by eligible households, or by qualified residents in the case of senior housing; and

         (b)   The initial purchaser of each designated dwelling unit shall execute an instrument or agreement approved by the city which:

            1.   Restricts the sale of the unit in compliance with this chapter, or other applicable city policy or ordinance, during the applicable use restriction period;

            2.   Contains provisions as the city may require to ensure continued compliance with this chapter and state law; and

            3.   Shall be recorded against the parcel containing the designated dwelling unit.

         (a)   The rules and procedures for qualifying tenants, establishing affordable rent, filling vacancies, and maintaining the designated dwelling units for qualified tenants;

         (b)   Provisions requiring owners to annually verify tenant incomes and maintain books and records to demonstrate compliance with this chapter;

         (c)   Provisions requiring owners to submit an annual report to the city, which includes the name, address, and income of each person occupying the designated dwelling units, and which identifies the bedroom size and monthly rent or cost of each unit; and

         (d)   The applicable use restriction period shall comply with the time limits for continued availability in § 10-3-5.107, above.

      (1)   Following approval of the agreement, and execution of the agreement by all parties, the city shall record the completed agreement on the parcels designated for the construction of designated dwelling units, at the County Recorder's Office.

      (2)   The approval and recordation shall take place at the same time as the final map or, where a map is not being processed, before issuance of Building Permits for the designated dwelling units.

      (3)   The agreement shall be binding on all future owners, developers, and/or successors-in-interest.

(Ord. 920 C.S., passed 5-20-15)

   In order to maintain the availability of for-sale affordable housing units constructed in compliance with this chapter, the following resale conditions shall apply.

(Ord. 920 C.S., passed 5-20-15)

      (1)   As required by Cal. Gov’t Code § 65915(e), the city shall not apply a development standard that will have the effect of precluding the construction of a development meeting the criteria of § 10-3-5.102(A), above, at the densities or with the concessions or incentives allowed by this chapter.

      (2)   An applicant may submit to the city a proposal for the waiver or reduction of development and zoning standards that would otherwise inhibit the utilization of a density bonus on a specific site, including minimum parcel size, side setbacks, and placement of public works improvements.

      (3)   The applicant shall show that the waiver or modification is necessary to make the housing units economically feasible.

      (1)   Grant a density bonus, incentive, or concession, or waive or reduce development standards, if the bonus, incentive, concession, waiver, or reduction would have a specific, adverse impact, as defined in Cal. Gov’t Code § 65589.5(d)(2), upon health, safety, or the physical environment, and for which there is no feasible method to satisfactorily mitigate or avoid the specific adverse impact; or

      (2)   Grant a density bonus, incentive, or concession, or waive or reduce development standards, if the bonus, incentive, concession, waiver, or reduction would have an adverse impact on any real property that is listed in the California Register of Historical Resources.

(Ord. 920 C.S., passed 5-20-15)