The purpose of this Chapter is to determine how affordable housing incentives are applied and are intended to encourage the development of affordable housing. The provisions within this section are intended to facilitate the construction of affordable housing by allowing more inclusive development than would otherwise be permitted in the base zoning districts. Housing constructed using the incentives is intended to be compatible with the neighborhood and provide safe and comfortable places to live, work, and play.

A. This Chapter applies to all zones where residential development is allowed throughout Millcreek.

B. For the purposes of this chapter, qualifying affordable income housing development must provide affordable housing to a specific target population with a household income less than or equal to 80 percent of Salt Lake County’s area median income (AMI) for a time period of at least 30 years, and must be the recipient of a low-income housing tax credit or other public funding.

1. Affordable Income Housing Types
   1. Very Low-income housing means housing occupied or reserved for occupancy by households with a gross household income equal to or less than 30% of the median gross income for households of the same size in Salt Lake County.
   2. Low-income housing means housing occupied or reserved for occupancy by households with a gross household income between 30% and 50% of the median gross income for households of the same size in Salt Lake County.
   3. Moderate-income housing means housing occupied or reserved for occupancy by households with a gross household income between 50% and 80% of the median gross income for households of the same size in Salt Lake County.
2. Affordable Housing Scale Type
   1. Completely Affordable. Complete means 100% of the units are deemed qualifying affordable income housing.
   2. Mixed Affordable. Mixed means at least 25% of the units are deemed qualifying affordable income housing.

Table 18.78-1 Incentive Types

A. The use and development of Affordable Housing is also subject to other applicable chapters in the zoning ordinance, including all health codes, building codes, and engineering standards. B. Standards in other chapters may apply. If standards elsewhere in MKZ 18 that conflicts with standards in this chapter, the more restrictive standard prevails. C. In any rezoning process, a Development Agreement that imposes conditions and requirements for affordable housing shall be required at the sole discretion of the City.

1. All requirements of this title shall apply.
2. Applicants seeking an affordable housing incentive identified in this chapter shall submit an Affordable Housing Incentive Application and provide the following information:
   1. The applicant' s name, address, telephone number and interest in the property to which the incentives apply.
   2. The owner’s name, address, and telephone number, if different than the applicant, and an affidavit from the property owner consenting to the application.
   3. The street address, tax parcel number and legal description of the subject property.
   4. The zoning classification, zoning district boundaries and present use of the subject property.
   5. A site plan illustrating the location of all proposed principal and accessory buildings and structures, showing the number of stories and height, dwelling type, if applicable, building elevations and the total square footage of the floor area by proposed use and any additional information required for site plan review as set forth in MKZ 18.15.030 (B).
   6. The total number of dwelling units in the project, the number of affordable units, the number of bedrooms in the affordable units, the location of the affordable units, and the level of affordability; and
   7. Any additional information required by the Planning Director to demonstrate compliance with the requirements of this chapter, as applicable.
3. Following the submittal of a complete Affordable Housing Incentives Application, the applicant shall submit the required application and documentation needed to schedule a concept review meeting as set forth in MKZ 18.14.020. All requirements and conditions established from the concept review shall be completed by the applicant prior to obtaining preliminary approval.
4. Preliminary approval shall authorize the preparation, filing and processing of applications for any permits or approval that may be required by the City, including, but not limited to, a building permit. No permits shall be issued until final approval is obtained pursuant to this Chapter. Preliminary approval shall be valid for one year.
5. Final approval shall be issued prior to obtaining a building permit for an affordable housing development. Final approval will be subject to an agreement between the City and the applicant, on a form approved by the City Attorney regarding deed restrictions, restrictive covenants, and other enforcement mechanisms as set forth in MKZ 18.78.070 to secure permanently affordable housing in Millcreek.

1. The affordable housing incentives authorized by this chapter are intended to promote the development of permanently affordable housing in Millcreek. This section applies to all property owners, developers, and successors who benefit from the affordable housing incentives authorized by this chapter. Compliance is required for the duration of the affordability period specified in the agreement between the property owner and the City.
2. Enforcement Mechanisms:
   1. Deed Restriction. A property owner benefiting from affordable housing incentives must record a deed restriction on the property with the Salt Lake County Recorder’s Office, on a form provided by the City. The deed restriction must specify the required affordability period, rental or sale price limits, and eligible income levels of tenants or buyers, and shall include a right of first refusal pursuant to this section.
   2. Restrictive Covenants. Restrictive covenants are required for newly-created subdivisions to ensure ongoing compliance with affordability requirements. These covenants must be binding on all successors in interest and may not be removed or modified without City approval.
   3. Notice of Noncompliance. The City shall issue a Notice of Noncompliance to any property owner or developer found to be in violation of the affordability requirements.
   4. Liens. In cases of unresolved violations, the City may place a lien on the property to recover any financial benefits or incentives improperly utilized by the property owner. The lien may be enforced through judicial foreclosure or other legal means as permitted by state law.
   5. Right of First Refusal. In cases of extreme violations, including unauthorized sale or conversion of affordable units, the City retains the right of first of refusal to purchase the property or unit at a fair market price adjusted for affordability. Proceeds from such actions will be allocated to the City’s affordable housing fund to promote further development of affordable housing.
   6. Legal Remedies. The City reserves the right to pursue all available legal remedies, including injunctive relief, civil penalties, or termination of incentives, to enforce compliance with this ordinance.
   7. Compliance Monitoring and Reporting. All properties receiving incentives are subject to annual compliance audits conducted by the City. The City reserves the right to conduct on-site inspections of affordable units as part of the audit process. Property owners must provide documentation demonstrating compliance, which may include:
      1. Tenant income certifications and lease agreements to verify eligibility.
      2. Annual rent or sale price reports.
      3. Proof of adherence to any specific affordability terms in the agreement.
3. Severability. If any provision of this enforcement section is found to be invalid, the remaining provisions shall remain in full force and effect.