(a)

Purpose.

(1)

The Board of County Commissioners has determined that the public health, safety and general welfare of the community warrants the implementation of affordable and employee housing provisions for the following purposes:

a.

To implement the goals, policies and objectives of the Monroe County 2030 Comprehensive Plan and increase the supply of housing affordable to targeted income groups within the community; and

b.

To provide housing opportunities for lower income groups in order to meet the existing and anticipated housing needs of such persons and to maintain a socio-economic mix in the community; and

c.

To address market demands that show that the workforce in the County continues to require moderately priced housing units, particularly those whose earnings range from 50 percent up to 120 percent of the County's median income, the target income groups; and

d.

To reduce the out-migration of the people employed in the County and their families which has placed increasing stress in maintaining a viable workforce; and

e.

To stimulate the private sector production of affordable housing and encourage the widespread distribution of affordable housing opportunities throughout all portions of the community, including within new and expanding developments; and

f.

To provide for a range of housing opportunities for those who live and work in Monroe County and who provide the community with essential services, especially in the public health and safety sectors of the economy.

(b)

Generally.

(1)

Notwithstanding the density limitations in Section 130-157, the owner of a parcel of land shall be entitled to:

a.

Develop affordable and employee housing as defined in Section 101-1, on parcels of land classified as follows:

1.

Urban Residential (UR) at an intensity up to a maximum net residential density of 25 dwelling units per acre, and

2.

Mixed Use (MU) at an intensity up to a maximum net residential density of 18 dwelling units per acre, and

3.

Suburban Commercial (SC) at an intensity up to a maximum net residential density of 18 dwelling units per acre.

b.

Develop market rate housing, as defined in Section 101-1, as part of an affordable or employee housing project in accordance with subsection (b)(8) of this section, provided that on parcels of land classified as Urban Residential (UR), the maximum net residential density shall not be greater than 18 dwelling units per acre.

(2)

The maximum net residential density allowed per district and by this section shall not require Transferable Development Rights (TDR) for affordable and employee housing and market rate housing developed in accordance with subsection (b)(8) of this section.

(3)

Market rate housing developed in accordance with subsection (b)(8) below shall be eligible to receive points pursuant to Section 138-28(b)(6).

(4)

The requirements of this Land Development Code for the provision of impact fees shall be waived for affordable and employee housing and any market rate housing developed in accordance with subsection (b)(8) of this section.

(5)

Notwithstanding the provisions of this article, when calculating density, any existing lawfully established or proposed affordable or employee housing on a parcel and the floor area thereof shall be excluded from the calculation of the total gross nonresidential floor area and hotel/motel density development that may be lawfully established on the parcel, provided, however, that the total residential density allowed on the site shall not exceed the maximum net density for affordable and employee housing.

In order for affordable density to be excluded from hotel/motel density on a parcel as set forth in subsection (5) above, the following criteria must be met:

a.

All affordable units must be deed restricted as employee housing, as defined in section 101-1;

b.

The ratio of affordable units must adhere to the following schedule:

1.

A maximum of 25 percent moderate income, and a minimum of 25 percent low income or very low income, or one dwelling unit, whichever is greater; and

2.

Fifty percent of affordable units shall be allotted to on-site personnel;

c.

The total maximum net density of any such parcel shall not exceed 25 dwelling units per buildable acre for hotel/motel rooms or spaces and affordable or employee housing combined. In no case shall hotel/motel rooms or spaces exceed the maximum allocated density (without the use of TDRs) or the maximum net density (with the use of TDRs) set forth in section 130-162. In no case shall affordable or employee housing exceed the maximum net density as set forth in section 130-157;

d.

The owner of the hotel/motel must provide the employees of the hotel/motel a right of first refusal for lease of any affordable housing; and

e.

The subject property must be designated Tier III.

(6)

In order for the owner of a parcel of land to be entitled to the incentives for affordable or employee housing outlined in this section and Chapter 138, Articles II and III, the owner must ensure that:

a.

The use of the affordable housing dwelling unit is restricted to households that meet the annual income limits as defined in Section 101-1;

b.

Except as provided for under the special provisions for employer-owned rental housing as set forth under subsection (b)(6)k of this section, if the affordable housing dwelling unit is designed for employee housing, the use of the dwelling is restricted to households that derive at least 70 percent of their household income from gainful employment in the county and meet the annual income limits as defined in Section 101-1;

c.

The use of the affordable or employee dwelling unit is deed restricted for the 99-year period specified in Section 101-1;

d.

Tourist housing use or vacation rental use of affordable or employee housing units is prohibited;

e.

The parcel of land proposed for development of affordable or employee housing shall only be located within a tier III designated area.

Notwithstanding the foregoing, and notwithstanding Section 138-24(a)(5), affordable housing ROGO allocations may be awarded to properties within any tier, provided all of the following criteria is met:

1.

The property contains an existing market rate dwelling unit that meets the criteria in LDC Section 138-22(a) and is determined to be exempt from ROGO;

2.

The proposed replacement affordable dwelling unit meets current Florida Building Code and is not a mobile home;

3.

The proposed replacement dwelling unit shall be deed restricted for a period of at least 99 years as affordable housing pursuant to the standards of the Land Development Code;

4.

The proposed site plan for the replacement affordable dwelling unit does not propose any additional clearing of habitat; and

5.

The structure is not proposed to be within a V-zone on the county's flood insurance rating map.

f.

At the time of sale of an owner-occupied affordable unit, the total income of households eligible to purchase the unit shall not exceed the income limits within the deed restriction for the unit and not exceed 160 percent of the area median income for the county;

g.

During occupancy of any affordable housing rental unit, not otherwise limited by state or federal statute or rule concerning household income, a household's annual income may increase to an amount not to exceed 140 percent of the area median income for the county. If the income of the lessee exceeds this amount, the tenant's occupancy shall terminate at the end of the existing lease term. The maximum lease for any term shall be one (1) year or 12 months;

h.

Affordable housing projects shall be no greater than 20 units unless approved by resolution of the County Planning Commission. The Planning Commission's decision may be appealed to the BOCC using the procedures described in Section 102-185, with the BOCC serving as the appellate body for the purpose of this section only;

i.

When establishing a rental and sales amount, the County shall base the amounts upon the area median income published for the County on an annual basis by the U.S. Department of Housing and Urban Development and compiled for household size and the income limit of the unit. This section shall not be used to establish the maximum number of individuals who actually live in the unit. This table shall be used in the development of the maximum rental rates and qualifying incomes table compiled by the Planning Department according to the definitions in Section 101-1:

j.

Except for tenants of employer-owned rental housing, as set forth in subsection (b)(6)k. of this section, the income of eligible households shall be determined by counting only the first and highest paid 40 hours of employment per week of each unrelated adult. For a household containing adults related by marriage or a domestic partnership registered with the county, only the highest 60 hours of the combined employment hours shall be counted, which shall be considered to be 75 percent of the annual income. The income of dependents regardless of age shall not be counted in calculating a household's income; and

k.

In the special case of employer-owned rental housing, as defined in Section 101-1, employees shall be eligible as tenants of the affordable rental housing, if the income of each individual tenant, as determined following the requirements in subsection (b)(6)j. of this section, is not more than the 80 percent (low income) of the area median income for the county. The tenants of this employer-owned rental housing shall be required to derive at least 70 percent of their income from within the county. The maximum occupancy of employer-owned rental housing for employees shall be no more than two (2) tenants per bedroom; with a maximum of three (3) bedrooms per unit. The total monthly lease charged tenants for each dwelling unit shall not exceed 30 percent of the area median income for the county, divided by 12.

(7)

Commercial apartment dwelling units, as defined in Section 101-1, shall only be eligible for the incentives outlined in this section if they meet the requirements of subsection (b)(6) of this section for employee housing.

(8)

If an affordable or employee housing project or an eligible commercial apartment designated for employee housing contains at least five (5) dwelling units, a maximum of 20 percent of these units may be developed as market rate housing dwelling units. The owner of a parcel of land must develop the market rate housing dwelling units as an integral part of an affordable or employee housing project. In order for the market rate housing dwelling units to be eligible for incentives outlined in this section, the owner must ensure that:

a.

The use of the market rate housing dwelling unit is restricted for a period of at least 30 years to households that derive at least 70 percent of their household income from gainful employment in the county; and

b.

Tourist housing use and vacation rental use of the market rate dwelling unit is prohibited.

(c)

Administration and compliance.

(1)

Before any building permit may be issued for any structure, portion or phase of a project subject to this section, a restrictive covenant shall be approved by the Planning Director and County Attorney and recorded in the Office of the Clerk of the County to ensure compliance with the provision of this section running in favor of the County and enforceable by the County and, if applicable, a participating municipality. The following requirements shall apply to these restrictive covenants:

a.

The covenants for any affordable or employee housing units shall be effective for a period of at least 99 years.

b.

The covenants shall not commence running until a certificate of occupancy has been issued by the building official for the dwelling unit or dwelling units to which the covenant or covenants apply.

c.

For existing dwelling units that are deed-restricted as affordable or employee housing units, the covenants shall commence running upon recordation in the Official Records of Monroe County.

(2)

Restrictive covenants for housing subject to the provisions of this section shall be filed that require compliance with the following:

a.

Restricting affordable housing dwelling units to households meeting the income requirements of subsection (b)(6)a. of this section;

b.

Restricting employee housing dwelling units to households meeting the income and employment requirements of subsection (b)(6)b. of this section;

c.

Restricting market rate housing dwelling units to households meeting the employment requirements of subsection (b)(8)a. of this section; and

d.

Prohibiting tourist housing use or vacation rental use of any housing developed or deed-restricted under the provisions of this section.

(3)

The eligibility of a potential owner-occupier or renter of an affordable, employee or market rate housing dwelling unit, which is an employee or affordable housing project/unit, shall be determined by the Planning Department upon submittal of an affidavit of qualification to the Planning Department. The form of the affidavit shall be in a form prescribed by the Planning Department. This eligibility shall be determined by the Planning Department as follows:

a.

At the time the potential owner either applies for affordable housing ROGO allocation, or applies to purchase a unit that used affordable housing ROGO allocation or applies to purchase a deed-restricted dwelling unit; or

b.

At the time the potential renter applies to occupy a residential unit that used an affordable ROGO allocation or is deed-restricted.

(4)

Except as provided in subsection (c)(5) of this section, the property owner of each affordable employee or market rate housing dwelling unit, which is an affordable or employee housing project/unit, shall be required to annually submit an affidavit of qualification to the Planning Department verifying that the applicable employment and income requirements of subsection (c)(2) of this section are met. The annual affidavit of qualification shall be in a form prescribed by the Planning Director and shall be filed by the property owner annually by May 1st.

(5)

The owner-occupant of an affordable, employee, or market rate housing dwelling unit, which is an affordable or employee housing project/unit, who has received a homestead exemption as provided for under the state statutes, is not required to submit an annual affidavit of qualification as required above in subsection (c)(4) of this section if that owner-occupant was qualified previously by the Planning Department. Prior to any change in ownership (including, but not limited to: sale, assignment, devise, or otherwise), the owner-occupant shall be required to provide documentation to the Planning Department in a form prescribed by the Planning Director proving that the potential occupying household is eligible to occupy that unit prior to a change in ownership of the property.

(6)

Failure to submit the required annual verification as required in subsection (c)(4) of this section or failure to provide documentation prior to change in ownership required in subsection (c)(5) of this section shall constitute a violation of the restrictive covenant, the conditions of the certificate of occupancy and this Land Development Code.

(7)

The restrictive covenants for affordable and employee housing required under this section shall be approved by the Planning Director and County Attorney prior to the recording of the covenant and issuance of any building permit.

(8)

Upon written agreement between the Planning Director and an eligible governmental or nongovernmental entity, the Planning Director may authorize that entity to administer the eligibility and compliance requirements for the Planning and Environmental Resources Department under subsections (c)(3), (c)(4), and (c)(5) of this section. Under such an agreement, the eligible entity is authorized to qualify a potential owner-occupier or renter of affordable, employee, or market rate housing developed as part of an employee or affordable housing project, and annually verify the employment and/or income eligibility of tenants pursuant to subsection (c)(2) of this section. The entity shall still be required to provide the Planning and Environmental Resources Department, by May 1st of each year, a written certification verifying that tenants of each affordable, employee, or market rate housing units meets the applicable employment and income requirements of subsection (c)(2) of this section. The following governmental and nongovernmental entities shall be eligible for this delegation of authority:

a.

The county housing authority, not-for-profit community development organizations, pursuant to subsection (i) of this section, and other public entities established to provide affordable housing;

b.

Private developers or other nongovernmental organizations participating in a federal/state housing financial assistance or tax credit program or receiving some form of direct financial assistance from the County; or

c.

Nongovernmental organizations approved by the BOCC as affordable housing providers.

(9)

Should an entity fail to satisfactorily fulfill the terms and conditions of the written agreement executed pursuant to subsection (c)(6) and (8) of this section, the Planning Director shall provide written notice to the subject entity to show cause why the agreement should not be terminated within 30 days. If the entity fails to respond or is unable to demonstrate to the satisfaction of the Planning Director that it is meeting the terms and conditions of its agreement, the agreement may be terminated by the Planning Director within 30 days of the written notice.

(d)

Interlocal affordable rate of growth allocation agreements. The BOCC may authorize interlocal agreements between the County and the cities of Marathon, and Key West, and Islamorada, Village of Islands for the purpose of sharing residential rate of growth affordable housing allocations. The interlocal agreements may be based upon a specific project proposal within one or more jurisdictions or may be for a specific allocation of units on an annual basis, from the county to a municipality or from a municipality to the county. The interlocal agreements may also accept and/or transfer allocations pursuant to the 2012 Hurricane Evacuation Clearance Time Memorandum of Understanding. All allocations made available to a jurisdiction must meet the applicable affordable housing requirements of the receiving jurisdiction's land development regulations and affordable housing ordinances.

(e)

Residential Inclusionary Housing Requirements.

(1)

Purpose and intent. The purpose of this subsection (e), consistent with Goal 601 of the Comprehensive Plan, is to ensure that the need for affordable housing is not exacerbated by new residential development and redevelopment of existing affordable housing stock. The intent of this subsection is to protect the existing affordable housing stock, to permit owners of mobile homes and mobile home spaces to continue established mobile home uses consistent with current building and safety standards and regulations and to ensure that, as residential development, redevelopment and mobile home conversions occur, Comprehensive Plan policies regarding affordable housing are implemented.

(2)

Applicability. Except as provided in subsection (e)(3) of this section, the residential inclusionary housing requirements set forth below shall apply. Determinations regarding the applicability of this subsection shall be made by the Planning Director. The applicant shall provide the necessary information to determine compliance with the residential inclusionary housing requirements on the forms prescribed by the Planning Director. For purposes of calculating the number of affordable units required by this subsection, density bonuses shall not be counted and only fractional requirements equal to or greater than 0.5 shall be rounded up to the nearest whole number.

a.

Residential developments, other than mobile home or mobile home spaces covered by subsection (e)(2)b. of this section, that result in the development or redevelopment of three (3) or more dwelling units on a parcel or contiguous parcels shall be required to develop or redevelop at least 30 percent of the residential units as affordable housing units. Residential development or redevelopment of three (3) units on a parcel or contiguous parcels shall require that one (1) developed or redeveloped unit be an affordable housing unit. For the purpose of this section, and notwithstanding subsection (e)(2)b. of this section, any dwelling unit exceeding the number of lawfully established dwelling units on site, which are created by either a TRE or ROGO allocation award, shall be considered developed units.

b.

The removal and replacement with other types of dwelling units of ten (10) or more mobile homes that are located on a parcel or contiguous parcels and/or the conversion of mobile home spaces located on a parcel or contiguous parcels into a use other than mobile homes shall be required to include in the development or redevelopment a number of affordable housing units equal to at least 30 percent of the number of existing units being removed and replaced or converted from mobile home use or, in the event the new use is nonresidential, to develop affordable housing units at least equal in number to 30 percent of the number of mobile homes or mobile home spaces being converted to other than mobile home use. Removal and replacement or conversion to a different use of ten (10) mobile homes or mobile home spaces on a parcel or contiguous parcels shall require that three (3) units be replaced or converted to deed-restricted affordable housing.

c.

In calculating the number of affordable housing units required for a particular project, or phase of a project, all dwelling units proposed for development or redevelopment or mobile homes or mobile home spaces to be converted from mobile home use shall be counted. In phased projects, the affordable housing requirements shall be proportionally allocated among the phases. If a subsequent development or redevelopment is proposed following a prior development approved on the same property as it existed as of the effective date of the ordinance (ORD 030-2003, 017-2006, 011-2008 and 006-2016) from which this section is derived, which prior development did not meet the compliance thresholds set forth in subsection (e)(2)a. or (d)(2)b. of this section, the requirements of subsection (e)(2)a. or (e)(2)b. of this section shall be met as part of the subsequent development for all units proposed for development or redevelopment.

(3)

Exemptions and waivers.

a.

The following uses shall be exempt from the inclusionary housing requirements set forth in subsection (e)(2)a. of this section: affordable housing, employee housing, nursing homes, or assisted care living facilities.

b.

The BOCC may reduce, adjust, or waive the requirements set forth in this subsection (e) where, based on specific findings of fact, the BOCC concludes, with respect to any developer or property owner, that:

1.

Strict application of the requirements would produce a result inconsistent with the Comprehensive Plan or the purpose and intent of this subsection;

2.

Due to the nature of the proposed residential development, the development furthers Comprehensive Plan policies and the purpose and intent of this subsection through means other than strict compliance with the requirements set forth herein;

3.

The developer or property owner demonstrates an absence of any reasonable relationship between the impact of the proposed residential development and requirements of this subsection (e);

4.

The strict application with the requirements set forth herein would improperly deprive or deny the developer or property owner of constitutional or statutory rights; or

5.

In the event of a declared State of Local Emergency, the BOCC adopts a resolution recognizing that the strict application of the nonresidential inclusionary requirements would not enhance nor protect the health, safety and welfare of the community.

c.

Any developer or property owner who believes that he/she may be eligible for relief from the strict application of this section may petition the BOCC for relief under this subsection (e)(3) of this section. Any petitioner for relief hereunder shall provide evidentiary and legal justification for any reduction, adjustment or waiver of any requirements under this section.

(4)

Alternate compliance.

a.

Deed-restriction of existing dwelling units. Compliance with this subsection may be achieved through the deed-restriction of existing dwelling units requiring that the affected units remain subject to the county's affordable housing restrictions for a period not less than the period prescribed in subsection (5)(c)3., below, according to administrative procedures established by the county.

The following example is set forth to illustrate potential application options:

Example: Owner/developer has 100 development rights

• Option 1: Owner/developer may build up to 70 market rate units and shall build 30 affordable units (using conventional compliance method.) The owner's 100 development rights yield a ratio of 70 market rate units and 30 affordable units.

• Option 2: Owner/developer may build up to 70 market rate units and shall purchase and deed-restrict 30 existing market rate units (in lieu of building 30 new affordable units.) The owner's 100 development rights again yield a ratio of 70 market rate units to 30 affordable units.

• Option 3: Owner/developer may build up to 100 new market rates. If the developer wishes to use all 100 development rights for market rate development, his/her inclusionary compliance requirement to purchase and deed-restrict existing market rate units increases, and in this case for example, calculates to 43 total affordable units. (The owner's 100 development rights yield a ratio of 100 market rate units to 43 affordable units, which is equivalent to the ratio of 70 market rate units to 30 affordable units: 100/43 = 70/30.)

b.

In-lieu fees. The developer of a project subject to the requirements of this subsection (e) may contribute a fee in-lieu of the inclusionary housing requirements for all or a percentage of the affordable housing units required by subsection (e)(2). The developer shall pay per unit in-lieu fees, the current maximum sales price for a one-bedroom affordable unit as established under Section 101-1. All in-lieu fees shall be deposited into the affordable housing trust fund and spent solely for the purposes allowed for that fund. The developer, along with any corresponding in-lieu fees, shall transfer to the county ownership the associated ROGO allocations or ROGO-exempt development rights for any affordable unit(s) required by this section for which the in-lieu fee option is used to construct the affordable unit(s). In order to utilize the in-lieu fee alternate compliance option, the developer must contribute the fee with associated ROGO allocations or exemptions. If ROGO allocations or exemptions are not available, the developer may not utilize this option.

c.

Land donation. Upon the acceptance of the BOCC of a proposed onsite or offsite parcel (or parcels), a developer may satisfy the requirements of this subsection by donating to the county, or other agency or not-for-profit organization approved by the BOCC, one (1) IS or URM platted lot for each inclusionary unit required but not provided through actual construction or in-lieu fees (or a parcel or parcels of land zoned other than IS or URM as long as the donated parcel(s) will support the development of an appropriate number of affordable inclusionary units). Lots or other parcels so provided shall not be subject to environmental or other constraints that would prohibit immediate construction of affordable housing units. The developer, along with any corresponding donated parcel(s), shall transfer to the county ownership the associated ROGO allocations or ROGO-exempt development rights for any affordable unit(s) required under this section. In order to utilize the land donation alternate compliance option, the developer must donate the land with associated ROGO allocations or exemptions. If ROGO allocations or exemptions are not available, the developer may not utilize this option.

(5)

Applicable standards.

a.

Incentives. All incentives and bonuses provided by the land development and other regulations for the construction of affordable housing shall be available to builders of affordable housing provided pursuant to this subsection (e) including, but not limited to, density and floor area ratio bonuses, residential ROGO allocation set asides and points, and impact fee waivers.

b.

Developer responsibility.

1.

If the applicant elects to pursue alternative compliance as set forth in subsection (e)(4) of this section, the deed-restriction of existing dwelling units shall be recorded prior to the issuance of a building permit for any market rate unit; and/or any in-lieu fees must be paid or parcels donated, including the transfer to the county ownership the associated ROGO allocations or ROGO-exempt development rights, prior to the issuance of a building permit for any market rate unit.

2.

If a developer does not elect to meet the requirements of subsection (e)(2) of this section through alternative compliance as set forth in subsection (e)(4) of this section, or obtain approval for an adjustment to, a partial exemption from or a waiver of strict compliance pursuant to subsection (e)(3) of this section, the developer must post a bond equivalent to 200 percent of the in-lieu fees that otherwise would have been required through the in-lieu alternate compliance option prior to the issuance of a building permit for any market rate units. The county shall retain any bond money or guaranties in escrow until the affordable housing is completed, or for a period of three (3) years, whichevercomes first. Upon the issuance of certificates of occupancy for the affordable housing units, the county shall release to the developer any bonds or guaranties relating to the portion of the inclusionary housing requirement satisfied. If the developer has not satisfied the requirements of this section by completing the required affordable housing units within three (3) years, all or the corresponding portion of the bond funds shall be forfeited to the affordable housing trust fund.

c.

Standards. Affordable housing provided pursuant to subsection (e)(2) of this section shall comply with the standards set forth in subsections (b) and (c) and below. Applications for development projects subject to these requirements and developers and property owners shall provide to the county information and necessary legal assurances to demonstrate current and continued compliance with these provisions, consistent with the applicable enforcement mechanisms set forth in subsection (c) of this section. The county may institute any appropriate legal action necessary to ensure compliance with this subsection.

1.

Affordable housing units required pursuant to subsection (e)(2) of this section are restricted to sales prices and annual rental amounts for households that shall not exceed the annual income limits for owner-occupied or rental housing, as defined in Section 101-1;

2.

Affordable housing units provided pursuant to subsection (e)(2) of this section may be provided on-site, off-site or through linkage with another off-site project as provided in subsection (g) of this section;

3.

Each affordable unit provided pursuant to subsection (e)(2) of this section shall contain a minimum of 350 square feet of habitable floor area;

4.

The county will not issue certificates of occupancy for market rate units associated with development or redevelopment projects subject to the provisions of this subsection (e) unless and until the developed affordable housing units have an approved and recorded deed restriction, and certificates of occupancy have been issued for required affordable housing units.

(6)

Monitoring and review. The requirements of this subsection (e) shall be monitored to ensure effective and equitable application. Every two years following the effective date of the ordinance from which this section is derived, the BOCC may request the Planning Director provide to the BOCC a report describing the impact of this subsection on the provision of affordable housing and other market or socioeconomic conditions influencing or being influenced by these requirements. Issues such as affordability thresholds, inclusionary requirements, and the impacts of these provisions on the affordable housing inventory and housing needs in the county shall be addressed, in addition to other matters deemed relevant by the Planning Director.

(f)

Nonresidential Inclusionary housing requirements.

(1)

Purpose. Consistent with Goal 601 of the Comprehensive Plan, the purpose of this subsection (f) is to ensure that the need for affordable housing is not exacerbated by nonresidential and transient development, as follows:

a.

Promote the health, safety and general welfare of the citizens of the County through the implementation of the goals, objectives and policies of the 2030 Monroe County Comprehensive Plan; and

b.

To ensure that affordable housing opportunities are available throughout the entire community and to maintain a balanced and sustainable local economy and the provision of essential services; and

c.

To increase the supply of housing affordable to targeted income groups within the community; and

d.

To provide a range of housing opportunities for those who work in Monroe County but may be unable to pay market rents or market housing prices in the community; and

e.

To increase the percentage of the workforce living locally and to provide housing opportunities for lower income groups in order to meet the existing and anticipated housing needs of such persons and to maintain a socio-economic mix in the community; and

f.

To address the affordable workforce housing needs generated by the construction and expansion of nonresidential/transient development, and the employment that occurs at the nonresidential/transient development after the construction or expansion is completed; and

g.

To ensure that affordable workforce housing is provided to the local workforce by the employee generating development proportionate with the demand for affordable workforce housing the development creates; and

h.

To address market demands that show that the workforce in the County continues to require moderately priced housing units, particularly those whose earnings range from 50 percent up to 120 percent of the County's median income (the target income groups); and

i.

To stimulate the private sector production of affordable workforce housing and encourage the widespread distribution of affordable workforce housing opportunities throughout all portions of the community, including within new and expanding developments.

(2)

Intent. Nonresidential and transient use development or redevelopment generates a direct impact on housing for the workforce. The intent of this section is to ensure that there is an affordable supply of housing for the local workforce. This will be accomplished by requiring workforce housing be provided for all new development and redevelopment in an amount proportionate to the need for affordable workforce housing that the nonresidential and transient use development or redevelopment creates. The intent of this subsection is to permit nonresidential and transient use owners to continue to establish uses consistent with the current building and safety standards and to ensure that as development and redevelopment occurs, comprehensive plan policies regarding affordable housing are implemented. The technical support and analysis upon which the nonresidential inclusionary housing requirements are established are based upon the 'Affordable Workforce Housing Support Study for Non-Residential Development,' prepared by Clarion Associates, LLC, prepared in June 2017.

(3)

Applicability. Except as provided in subsection (4) of this section, the nonresidential inclusionary housing requirements set forth below shall apply. This will be accomplished by requiring workforce housing be provided for all new development and expansions in an amount proportionate to the need for affordable workforce housing that the nonresidential and transient uses create. Expansion as used in this section means extending a use or structure to occupy a greater amount of floor area or square footage beyond that which it occupied. Determinations regarding the applicability of this subsection shall be made by the Planning Director. The applicant shall provide the necessary information to determine compliance with the nonresidential inclusionary housing requirements on the forms prescribed by the Planning Director. For purposes of calculating the number of affordable workforce housing units required by this subsection, density bonuses shall not be counted, and only fractional requirements equal to or greater than 0.5 shall be rounded up to the nearest whole number.

a.

New Development. Each new development project not exempted by subsection (4), shall mitigate 50% of the workforce housing demand created by the proposed development by one or a combination of the methods identified in subsection (5).

b.

Redevelopment with an Expansion. Each redevelopment project not exempted by subsection (4), shall mitigate 50% of the workforce housing demand created by the proposed redevelopment by one or a combination of the methods identified in subsection (5). The workforce housing required for nonresidential development when an existing use is expanded shall be calculated based on the incremental increase is size of the existing use (net additional square footage).

c.

Redevelopment with a Change in Use Increasing Housing Demand. Each redevelopment project with a change of use increasing housing demand, not exempted by subsection (4), shall mitigate 50% of the workforce housing demand created by the proposed redevelopment by one or a combination of the methods identified in subsection (5). The workforce housing required for nonresidential development when a new use replaces an existing use and increasing housing demand (for example from an industrial use to an office use) shall be calculated based on the square footage proposed for conversion and/or based on the incremental increase in size of the new uses (if any).

d.

Unspecified Use. If a proposed development project does not fall within one of the specific use categories in the table within subsection (5), then the Planning Director shall determine whether the use is comparable to a use category listed and assign a category or may allow the applicant to conduct an independent calculation to determine the appropriate affordable workforce housing inclusionary requirement. If the applicant chooses to propose an independent calculation, the following applies:

1.

An independent calculation shall require a public meeting with the Board of County Commissioners to determine if there is a mutually agreeable approach to the calculation prior to the application proceeding to the Development Review Committee for review. The review of the independent calculation will not be scheduled as a public hearing, but as a public meeting during which the BOCC may offer their input and direction and the public may have input on the proposed methodology and calculation.

2.

The applicant shall use generally accepted principles and methods and verifiable local information and data, and other appropriate materials to support the employee generation data and housing demand calculated.

3.

The BOCC may agree or disagree with the independent calculation for mitigation based on generally recognized principles and methodologies of impact analysis and the accuracy of the data, information, and assumptions used to prepare the independent calculation.

4.

Each development project subject to an independent calculation and not exempted by subsection (4), shall mitigate 50% of the demand for workforce housing created by the development.

(4)

Exemptions and waivers.

a.

The following uses shall be exempt from the nonresidential inclusionary housing requirements set forth in subsections (f)(3) and (5) of this section:

1.

Affordable housing developments; and

2.

Residential developments; and

3.

Nursing homes, assisted care living facilities, and retirement homes; and

4.

Mobile home and manufactured home parks and subdivisions; and

5.

Public facilities and public uses limited to home parks and subdivisions; and

6.

Airport uses; and

7.

The new development, redevelopment, remodeling, repair, change to a different use category or cumulative expansion of a nonresidential use that does not establish or increase the area of the nonresidential use by more than 1,000 square feet of gross floor area or area of use. This exemption is not required to be utilized in whole or limited to a single building permit application; however cumulatively, an individual property shall not receive an exemption for any more than 1,000 square feet of gross floor area or area of use after April 17, 2024.

b.

The BOCC may reduce, adjust, or waive the requirements set forth in this subsection (f), based on specific findings of fact, where the BOCC concludes, with respect to any applicant, that:

1.

Strict application of the requirements would produce a result inconsistent with the Comprehensive Plan or the purpose and intent of this subsection;

2.

Due to the nature of the proposed nonresidential development, the development furthers Comprehensive Plan policies and the purpose and intent of this subsection through means other than strict compliance with the requirements set forth herein;

3.

The applicant demonstrates an absence of any reasonable relationship between the impact of the proposed nonresidential development and requirements of this subsection (f);

4.

The strict application with the requirements set forth herein would improperly deprive or deny the applicant of constitutional or statutory rights; or

5.

In the event of a declared State of Local Emergency, the BOCC adopts a resolution recognizing that the strict application of the nonresidential inclusionary requirements would not enhance nor protect the health, safety and welfare of the community.

Any applicant who believes that he/she may be eligible for relief from the strict application of this section may petition the BOCC for relief under this subsection (f)(4). Any petitioner for relief hereunder shall provide evidentiary and legal justification for any reduction, adjustment or waiver of any requirements under this section. The petitioner shall use generally accepted principles and methods and verifiable local information and data, and other appropriate materials to support the requested relief.

(5)

Compliance Requirements. Nonresidential development or redevelopment projects shall provide affordable workforce inclusionary housing as provided in subsection (3) of the workforce housing demand created by the new or expanded development or redevelopment in accordance with the standards in the table below.

a.

The table indicates the number of workforce housing units or in-lieu fee needed for every square foot (and per 1,000 sf) of new development or redevelopment (expanded or converted square footage) for each category of non-residential land use.

Data for the mitigation requirement is from the 'Affordable Workforce Housing Support Study for Non-Residential Development,' prepared by Clarion Associates, LLC, for Monroe County in June 2017.

b.

The inclusionary housing unit requirement (or required number of workforce housing dwelling units) for the nonresidential development or redevelopment shall be calculated by multiplying the per square foot requirement for the appropriate type of land use category by the proposed square footage of the nonresidential development and/or the incremental increase in size of the nonresidential use (net additional square footage) and applying the appropriate mitigation standard.

c.

The inclusionary in-lieu fee requirement (or required amount of monetary fee) for the nonresidential development or redevelopment shall be calculated by multiplying the per square foot requirement for the appropriate type of land use category by the proposed square footage of the nonresidential development and/or the incremental increase in size of the nonresidential use (net additional square footage) and applying the appropriate mitigation standard.

d.

Expansions to nonresidential and transient uses shall be tracked for cumulative changes and compliance with subsection (f). In phased projects, the inclusionary requirements shall be proportionally allocated among the phases. If a subsequent development or redevelopment is proposed following a prior development approved on the same property, after the effective date of this ordinance, the requirements in this section shall be met as part of the subsequent development or redevelopment.

e.

The following table provides EXAMPLE calculations of the nonresidential inclusionary requirements:

f.

All nonresidential uses not exempted by subsection (4) shall mitigate the demand for workforce housing created by the proposed development or redevelopment by one or a combination of the methods identified below.

1.

The construction of workforce housing dwelling units on the site of the development project. The workforce housing dwelling units shall meet the County's affordable housing restrictions as specified in Section 139-1(b) and (c), for a period not less than 99 years;

2.

The construction of workforce housing dwelling units off-site of the development project but within a 15 mile radius of the nonresidential development/ redevelopment. The workforce housing dwelling units shall meet the County's affordable housing restrictions as specified in Section 139-1(b) and (c), for a period not less than 99 years;

3.

The deed-restriction of existing dwelling units within a 15 mile radius of the nonresidential development/redevelopment. The workforce housing dwelling units meet the County's affordable housing restrictions as specified in Section 139-1(b) and (c), for a period not less than 99 years;

4.

The donation of land to the County, upon the acceptance of the BOCC of a proposed parcel or parcels, may satisfy the requirements of this subsection by donating one (1) IS or URM zoned platted lot for each workforce housing unit required but not provided through actual construction or in-lieu fees (or a Tier III parcel or parcels of land zoned other than IS or URM as long as the donated parcel(s) have the appropriate density available to support the development of the required number of workforce units); and/or

5.

The payment of a fee in-lieu for the inclusionary housing requirement for all or a percentage of the workforce housing units required. The in-lieu fee shall be paid prior to issuance of a building permit for the nonresidential development or redevelopment. All in-lieu fees shall be deposited into the affordable housing trust fund and spent solely for the purposes allowed for that fund.

e.

If the workforce housing requirement results in less than one (1) affordable dwelling unit, then the applicant may choose to build one (1) affordable dwelling unit or pay the fee in-lieu amount.

(6)

Applicable Standards.

a.

Incentives. All incentives and bonuses provided by the land development and other regulations for the construction of affordable housing shall be available to builders of workforce housing provided pursuant to this subsection (f) including, but not limited to, density and floor area ratio bonuses, residential ROGO allocation set asides and points, and impact fee waivers.

b.

Standards. Workforce housing provided pursuant to subsection (f) shall comply with the standards set forth in subsections (b) and (c) and below. Applications for development projects subject to these inclusionary requirements and applicants shall provide to the County information and necessary legal assurances to demonstrate current and continued compliance with these provisions, consistent with the applicable enforcement mechanisms set forth in Section 139-1(c). The County may institute any appropriate legal action necessary to ensure compliance with this subsection.

1.

Workforce housing units required pursuant to this subsection are restricted to either units for the owner of the nonresidential use that meets the sales price and annual income limits for owner-occupied housing, as defined in Section 101-1 or rental units that meet the rental amounts and annual income limits for rental housing, as defined in Section 101-1;

2.

Workforce housing units provided pursuant to subsection (f) may be provided on-site, off-site as provided in subsection (f)(5); or through linkage with another off-site project as provided in subsection (g) of this section;

3.

Each workforce unit provided pursuant to this subsection shall contain a minimum of 350 square feet of habitable floor area;

4.

The County will not issue certificates of occupancy for the nonresidential and transient development or redevelopment projects subject to the provisions of this subsection (f) unless and until: (1) the required number of inclusionary affordable workforce housing units have an approved and recorded deed restriction, and certificates of occupancy have been issued for the workforce housing units; and/or (2) the required number of existing dwelling units must have an approved and recorded deed-restriction; and/or (3) the donation of parcels to the County is completed.

5.

Prior to the issuance of a building permit for the nonresidential and transient development or redevelopment projects, any in-lieu fees must be paid.

(7)

Monitoring and review. The requirements of this subsection (f) shall be monitored to ensure effective and equitable application. Every two years, following the effective date of the ordinance from which this section is derived, the BOCC may request the Planning Director provide to the BOCC a report describing the impact of this subsection on the provision of affordable workforce housing and other market or socioeconomic conditions influencing or being influenced by these requirements. Issues such as affordability thresholds, inclusionary requirements, and the impacts of these provisions on the affordable housing inventory and housing needs in the county shall be addressed, in addition to other matters deemed relevant by the director.

(8)

Inclusionary Requirement Reduction for Very low and Low Income Units. Certain types of workforce housing are relatively more desirable in satisfying the affordable housing needs of the workforce. To address the market demands that show that the workforce in the County continues to require lower priced rental housing units, particularly those whose earnings are up to or below 80 percent of the County's median income, an applicant with an inclusionary requirement of five (5) or more units, which builds all the required affordable units as low-income and very low-income either on site or within 5 miles of the nonresidential or transient development project, shall have a reduced inclusionary housing requirement of 40%. The workforce housing units shall meet the County's affordable housing rental restrictions as specified in Section 139-1(b) and (c), for a period not less than 99 years. An applicant may not propose the payment of a fee in-lieu for any portion of the inclusionary housing requirement.

(g)

Linkage of projects.

(1)

Two or more development (residential and/or nonresidential) projects that are required to provide affordable housing may be linked to allow the affordable housing requirement of one development project to be built at the site of another project, so long as the affordable housing requirement of the latter development is fulfilled as well and the projects are within a 15 mile radius of the nonresidential development/redevelopment. The affordable units must be built either before or simultaneously with the projects. Sequencing of construction of the affordable component of linked projects may be the subject of the Planning Department or the Planning Commission's approval of a project.

(2)

In addition, if a developer builds more than the required number of affordable units at a development site, this development project may be linked with a subsequent development project to allow compliance with the subsequent development's affordable unit requirement provided: the developer may not utilize affordable units previously built with County financial investment, other than building permit fee waivers and impact fee waivers; the projects are within a 15 mile radius of the nonresidential development/redevelopment; and the affordable units proposed to satisfy the inclusionary housing requirement may not have received certificates of occupancy three (3) years prior to the project approval for the development triggering the inclusionary housing requirement. Additionally, if the affordable units are proposed to satisfy nonresidential inclusionary requirements, the units are restricted to either workforce housing units for the owner of the nonresidential use that meets the sales price and annual income limits for owner-occupied housing, as defined in Section 101-1 or rental workforce housing units that meet the rental amounts and annual income limits for rental housing, as defined in Section 101-1. The linkage must be identified by the developer to the Planning Commission at the time of the subsequent development's conditional use approval.

(3)

All linkages under this subsection may occur between sites within the county and in the cities of Key West, Marathon and Islamorada, subject to an interlocal agreement, where appropriate. The linkage must occur within 15 miles of each project and within the same geographic planning area, i.e., lower middle and upper keys. All linkages must be approved via a covenant running in favor of the County, and if the linkage project lies within a city, also in favor of that city. The covenant shall be placed upon two or more projects linked, stating how the requirements for affordable housing are met for each project. The covenant shall be approved by the BOCC and, if applicable, the participating municipality.

(4)

Projects with existing affordable units that have existing approvals, approved prior to the effective date of this ordinance, which allow linkage of the affordable housing units to satisfy inclusionary requirements shall not be subject to the provisions subsection (g) and shall follow the provisions of the existing, approved development order(s).

(h)

Affordable housing trust fund. The affordable housing trust fund (referred to as the "trust fund") is established. The trust fund shall be maintained with funds earmarked for the purposes of furthering affordable housing initiatives in municipalities and unincorporated areas of the county. Monies deposited into the trust fund shall not be commingled with general operating funds of the county. The trust fund shall be used only for the following:

(1)

Financial aid to developers as project grants for affordable/workforce housing construction;

(2)

Financial aid to homebuyers as mortgage assistance, including, but not limited to, loans or grants for down payment assistance;

(3)

Financial incentives for the conversion of units to affordable residential units;

(4)

Direct investment in or leveraging housing affordability through site acquisition, housing development and housing conservation; or

(5)

Other affordable housing purposes as may be established by resolution of the BOCC, which shall act as trustees for the fund. The BOCC may enter into agreements or make grants relating to the use of trust funds with or to the county housing authority or other local government land or housing departments or agencies, a qualified community housing development organization or nonprofit or for-profit developer of affordable or employee housing, or a municipality within the county.

(i)

Community housing development organization. The BOCC may establish a nonprofit community housing development organization (CHDO), pursuant to federal regulations governing such organizations, to serve as developer of affordable housing units on county-owned property, including or located in the municipalities of the county, upon interlocal agreement. In such event, the county may delegate to the community housing development organization all or partial administration of the affordable housing trust fund.

(Ord. No. 006-2016, § 1(Exh. 1), 4-13-2016; Ord. No. 019-2019, § 1, 6-19-2019; Ord. No. 024-2019, § 1, 7-17-2019; Ord. No. 001-2021, § 2, 2-17-2021; Ord. No. 013-2024, § 1, 4-17-2024)

(a)

Purpose and intent. The intent of this section is to set forth a program to help incentivize affordable housing development within Monroe County.

(b)

Program 1: Transfer of ROGO Exemptions from Mobile Home Parks.

(1)

Purpose and intent.

The intent of this program is to establish an appropriate incentive for mobile home park owners to maintain mobile home park sites, mobile home developments in URM and URM-L districts, and contiguous parcels under common ownership containing mobile homes where any of the foregoing is presently serving as a primary source of affordable housing in Monroe County (any of the foregoing being an "eligible sender site") by providing an alternative development strategy to straightforward market-rate redevelopment. This program is intended to allow the transfer of market rate ROGO exemptions associated with lawfully established dwelling units now existing at an eligible sender site to be transferred to another site or sites in exchange for maintaining an equal or greater number of deed-restricted affordable dwelling units within Monroe County. This program seeks to address the housing needs of the Florida Keys as a regional obligation.

This program provides an eligible sender site owner the opportunity to transfer market rate ROGO exemptions currently associated with existing and lawfully established dwelling units from eligible sender sites to receiver site(s) within Monroe County, provided that it involves the pooling of affordable dwelling unit rights for redevelopment at donated, purchased or otherwise appropriately deed-restricted sites, and transfer of ROGO exemptions or allocations for the purpose of implementing and facilitating one or more affordable housing projects. The provisions of this section shall control over all contrary provisions of this Land Development Code related to the transferability of ROGO exemptions.

(2)

Procedure.

a.

This transfer shall require an approved development agreement.

b.

Minor conditional use approval is required to complete the transfer.

c.

A development agreement shall not be required for an eligible sender site containing ten or fewer mobile homes. For the purposes of this exception, property owners shall not be permitted to subdivide by deed, split ownership or otherwise divide larger contiguous parcels containing more than ten mobile homes to create parcels containing fewer than ten mobile homes.

(3)

Development agreement requirements.

a.

Sender site restrictions:

1.

ROGO exemptions transferred under this program may be transferred on a 1 for 1 basis where the ROGO exemptions are to be transferred, provided the following is satisfied:

i.

The exemption is transferred to single-family residential legally platted lots;

ii

The exemption is transferred within the same ROGO subarea, except exemptions may be transferred from the Big Pine Key and No Name Key ROGO subarea to the Lower Keys ROGO subarea;

iii.

Receiver site is within the Improved Subdivision (IS) Land Use District or the Urban Residential Mobile Home (URM) Land Use District; and

iv.

The receiver site property is not a recreational and commercial working waterfront.

Example: Transfer on a 1 for 1 basis.

Existing 100-unit mobile home park. A development agreement with the county may, if approved, allow the owner to transfer up to 100 ROGO-exemptions to single-family platted lots as long as an equivalent number of deed-restricted affordable dwelling units remain or are created on one or more created on one or more eligible sender site(s).

2.

The eligible sender site property(ies) shall be donated or sold to Monroe County, or otherwise appropriately deed-restricted for long-term affordability. Prior to acceptance of a donated or purchased parcel, all units to be maintained on site shall pass a life safety inspection conducted in a manner prescribed by the Monroe County Building Department. Monroe County may then lease the sender site property to a party who will serve as lessee and sub-lessor of the eligible sender site(s).

3.

The number of transferred ROGO exemptions shall not exceed the number of restricted affordable dwelling units maintained at the eligible sender sites.

4.

The resulting development or redevelopment of affordable housing pursuant to the governing development agreement will be targeted to serve as closely as possible the following household income categories: 25 percent very low income households, 25 percent low income households, 25 percent median income households, and 25 percent moderate income households (or as otherwise approved by the BOCC).

5.

Lot rents and/or sales prices for resulting deed-restricted dwelling units shall be established in accordance with restrictions outlined in Florida Statutes and/or the Monroe County Code.

6.

All units designated by the applicable development agreement to remain as deed restricted affordable housing at the donated, purchased or appropriately deed-restricted site(s) shall comply with hurricane standards established by the Florida Building Code and habitability standards established under the Florida Landlord and Tenant Act. Compliance shall be accomplished in a manner and within a timeframe set forth in the development agreement or, if applicable, in the relevant minor conditional use.

7.

A development agreement proposed under this program shall not utilize more than 50 percent of the existing affordable housing allocations then available to Monroe County, unless otherwise approved by the BOCC.

8.

All of the redeveloped or preserved affordable housing units, whether redeveloped or retained at the original sender site(s), or at alternate or additional locations, shall remain in the same ROGO subarea as the original sender site(s).

(4)

Minor conditional use requirements.

a.

Receiver site criteria:

1.

The receiver site shall be located in a Tier III designated area.

2.

The receiver site shall not be located in a velocity (V) zone or within a CBRS unit.

3.

The receiver site is a legally platted lot.

4.

The receiver site is within the Improved Subdivision (IS) Land Use District or the Urban Residential Mobile Home (URM) Land Use District; and

5.

The receiver site property is not a recreational and commercial working waterfront.

6.

A property owner cannot receive a certificate of occupancy for any unit constructed as a result of a transferred ROGO exemption until all corresponding eligible sender site units are completed and deed-restricted as affordable dwelling units.

7.

All or any portion of the redeveloped or preserved affordable housing units may be redeveloped or retained at one or more alternate or additional locations donated or sold to Monroe County, identified in the Development Agreement and otherwise compliant with the remainder of this section, including but not limited to the requirements set forth in subsection (b)(3)a.2.

8.

Transferred ROGO-exemptions shall remain in the same ROGO subarea, except exemptions may be transferred from the Big Pine Key and No Name Key ROGO subarea to the Lower Keys ROGO subarea.

9.

The receiver site property includes all infrastructure (potable water, adequate wastewater treatment and disposal wastewater meeting adopted LOS, paved roads, etc.)

(5)

Nothing herein shall preclude the county's replacement of sender site dwelling units with affordable allocations and recovery and transfer of market-rate ROGO-exemptions from the sender sites for use in administrative relief programs or other like purposes.

(Ord. No. 006-2016, § 1(Exh. 1), 4-13-2016; Ord. No. 007-2020, § 1, 1-22-2020)