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Mount Pleasant City Zoning Code

SUBCHAPTER O

BUILDING PERMIT ALLOCATION SYSTEM

§ 156.1690 TITLE.

   This subchapter shall be known and may be cited as the Building Permit Allocation System (BPAS).
(Ord. passed 1-14-25)

§ 156.1691 AUTHORITY.

   (A)   These regulations are adopted for the promotion of the public health, safety, economy, good order, convenience, and general welfare of the Town of Mount Pleasant under the authority granted by:
      (1)   S.C. Code Chapter 29 of Title 6 (otherwise known as the South Carolina Local Government Comprehensive Planning Enabling Act of 1994); and
      (2)   The general police powers of municipalities granted pursuant to the Constitution of the State of South Carolina and state legislation, including the Home Rule Act (Act No. 283 of 1975) and S.C. Code § 5-7-30.
   (B)   Furthermore, the provisions of this subchapter shall not be construed to limit the power and ability of the town to utilize any current laws, codes, and regulations in substitution of, or in conjunction with, these provisions to accomplish its intended purpose.
(Ord. passed 1-14-25)

§ 156.1692 PURPOSE AND INTENT.

   (A)   Purpose. The purpose of this subchapter is to create a building permit allocation system to distribute certain building permits at a reasonable rate and in a manner intended to limit the pace of construction of certain dwelling units over a fixed period. The purpose of the system is to respond to a variety of growth and development forces which affect the town’s ability to meet community expectations and demands. Some factors and considerations supporting the need for the BPAS are as follows:
      (1)   The Town of Mount Pleasant is a desirable place to live and work due to its position in the Greater Charleston metropolitan area. The town’s convenient location, level and quality of municipal infrastructure and services, climate, and access to beaches and other recreational areas have generated continued high and unsustainable levels of residential growth;
      (2)   Like other fast-growing communities, the Town of Mount Pleasant continues to face infrastructure stresses brought on by continued residential growth. Maintaining pace with the demands of increasing numbers of housing remains a significant community issue;
      (3)   Considering the town’s coastal location and physical geography as defined by the ocean and major rivers, movement of people and goods depends upon a limited network of major roadways. Growth greatly affects the town’s road system as daily activities generate traffic and considerable congestion on primary road corridors which struggle to handle daily traffic volumes, especially at certain peak periods during each day. This situation is projected to worsen as the region continues to grow;
      (4)   The rate of growth has outpaced the availability of funding from the South Carolina Department of Transportation (SCDOT) to install necessary transportation infrastructure, especially roads;
      (5)   Town revenues do not support construction of needed capital investments identified in the Capital Improvements Plan (CIP), necessitating difficult budgeting decisions that Town Council faces. This may also affect public safety in the event of evacuation in advance of a hurricane or during another natural emergency;
      (6)   To manage the effects of growth and to assure quality, well-designed development in the future, the town has commissioned, adopted, and implemented various studies and plans to identify needs and assist in providing required infrastructure and services to support its citizenry in a cost-effective manner, without raising ad valorem taxes. These include new or updated versions of the Comprehensive Plan, the Long-Range Transportation Plan, the Capital Improvements Plan, and similar plan documents;
      (7)   The annual CIP assesses the infrastructure needs of the town and prioritizes capital projects to fund using the town’s goals and objectives, with the need for infrastructure driven by population growth or changes in the levels of service; and,
      (8)   If the town’s population rate of growth is not adequately managed, Town Council may be forced to either significantly increase property taxes to respond to service and infrastructure demands or reduce the present levels of service for town facilities and services. Either response will generate negative financial or quality of life impacts since infrastructure is directly connected to the quality of life in the town.
   (B)   Intent. In designing and implementing the building permit allocation system, the town has incorporated appropriate mechanisms to recognize different categories of residential development, account for already-approved residential development covered by the lawfully enacted Carolina Park and Liberty Hill Farms development agreements, provide equity and fairness, allow for reasonable flexibility, and not exclude the less fortunate from the opportunity for suitable, reasonably priced housing in the town.
      (1)   These provisions are intended to better manage and address the effects of growth that have resulted in increased traffic, congestion, and burdens upon the infrastructure system and the ability of the town to provide other public services.
      (2)   During the lifespan of the BPAS, the town is fully committed to the appropriation of funds and the construction and installation of needed capital improvements which will serve existing and future residents.
      (3)   In implementing the BPAS, the town has sought to devise a plan that does not disrupt existing residential development patterns in the town and which utilizes a means of distributing permits that recognizes and reasonably accommodates, without undue delay, prior expenditures and expectations of owners and developers of property.
      (4)   The BPAS is intended to manage the construction of dwelling units through the allocation of residential building permits. Detached house, duplex, and townhouse residential units represent individual dwelling units and therefore require one permit for each unit. Because multiplex dwellings require a single building permit for each building constructed, regardless of the number of units within each building, the plan of distribution takes this into account. While each building only requires a single building permit for construction, an individual permit allocation shall be assigned to each separate dwelling unit in a multiplex dwelling.
(Ord. passed 1-14-25)

§ 156.1693 JURISDICTION; APPLICABILITY.

   (A)   The regulations in this subchapter shall apply to any building permit application for a residential dwelling unit to be placed on a vacant lot or parcel in the corporate limits of the Town of Mount Pleasant on which a residence(s) did not exist as of the date of adoption of this system.
   (B)   The permits issued pursuant to this system pertain to new residential construction only and include buildings that meet the definitions of DETACHED HOUSE DWELLING, DUPLEX DWELLING, TOWNHOUSE DWELLING, TRIPLEX DWELLING, QUADPLEX DWELLING, MULTIPLEX DWELLING, and ACCESSORY DWELLING UNIT contained in this chapter.
   (C)   Nothing in this subchapter shall be construed to affect or otherwise limit the approved use, plans, and construction of a dwelling unit(s) for which a building permit has already been issued prior to the effective date of these provisions.
(Ord. passed 1-14-25)

§ 156.1694 IMPLEMENTATION AND ADMINISTRATION OF BUILDING PERMIT ALLOCATION SYSTEM.

   (A)   The BPAS shall be implemented so that the demands of growth are met in as timely a manner as possible.
   (B)   For purposes of this subchapter, an allocation is equivalent to a building permit. No separate application for an allocation is required prior to submission of a building permit application.
   (C)   The administration of the BPAS is the responsibility of the Town of Mount Pleasant Director of Planning, Land Use, and Neighborhoods. The Director is authorized to issue and maintain explanatory materials, necessary forms and applications, and appropriate procedures to effectively administer this subchapter.
   (D)   The Town Planning Director shall ensure that the Department processes complete applications and issues building permits in a timely manner, maintains appropriate records and data, and effectively administers any amendments to this subchapter.
(Ord. passed 1-14-25)

§ 156.1695 AVAILABILITY AND ALLOCATION OF PERMITS.

   (A)   The overall number of residential building permits allocated under this program is established by the Town Council to maintain a more sustainable rate of growth and avoid any spikes or peaks in residential construction. The distribution of permit allocations will be handled utilizing different dwelling unit categories as outlined in § 156.1696.
   (B)   Permits shall be issued on a semi-annual basis in the chronological order in which applications are received (commonly referred to as “first come, first serve”) by the Department of Engineering and Development Services.
   (C)   One-half of the allocated permits will be available on January 1 and the other half will be made available on July 1 of each year. Each six-month period represents an allocation cycle.
(Ord. passed 1-14-25)

§ 156.1696 PERMIT ALLOCATIONS.

   (A)   Dwelling unit types. The number of new dwelling units allocated for the duration of this program shall be managed using different categories of dwelling unit types, with categorical limits on the respective number of permits.
      (1)   Category A, detached house, townhouse, and duplex dwellings. On an annual basis, a total number of permits shall be made available for the construction of buildings meeting the definition of DWELLING, DETACHED HOUSE;” DWELLING, TOWNHOUSE; and DWELLING, DUPLEX.
      (2)   Category B, accessory dwelling unit. On an annual basis, a total number of permits shall be reserved and made available exclusively for the construction of buildings meeting the definition of ACCESSORY DWELLING UNIT.
      (3)   Category C, triplex, quadplex, and multiplex dwellings. During the term of the program, a total number of permits shall be made available for the construction of buildings meeting the definition of DWELLING, TRIPLEX; DWELLING, QUADPLEX; and DWELLING, MULTIPLEX. This category is independent of the form of ownership and includes units known as “condominiums” and/or in a “horizontal property regime” as defined by state law.
   (B)   Established allocations and limitations on number of applications.
      (1)   Exclusive of the dwelling units already allowed by the Carolina Park and Liberty Hill Farms development agreements, the annual number of available residential permits is established at a total of 600 dwelling units to yield a more manageable average annual growth rate. Annual allocations for Categories A and B are provided in Table 156.1696-1: Dwelling Type Categorical Allocations, 2024-2029. The number of triplex, quadplex, and multiplex allocations for the duration of the program and the total allocation for all unit types is illustrated in Table 156.1696-2: Program Totals, 2024-2029.
      (2)   Regardless of the total number of available allocations established in this section, the number of permit applications that may be submitted for any single development/subdivision or combination of phases in a single development/subdivision shall be limited to no more than 25 per semi-annual allocation cycle for the Category A (Detached House, Townhouse, and Duplex) dwelling types.
 
Table 156.1696-1: Dwelling Type Categorical Allocations, 2024-2029
January – June
July – December
Annual Total
Detached house, townhouse, and duplex dwelling units
240
240
480
Accessory dwelling units
10
10
20
Totals
250
250
500
 
 
Table 156.1696-2: Program Totals, 2024-2029
Dwelling Type
Total Number of Permits Available
Detached house, townhouse, and duplex dwelling units
2,400
Accessory dwelling units
100
Triplex, quadplex, and multiplex dwelling units
500
Total
3,000
 
   (C)   Management of permit allocations. Any permits allocated for a given cycle but not issued during that cycle shall be carried over and will be made available with the next or subsequent allocation cycles. Alternatively, if the number of permit applications exceeds the available amount of building permits during an allocation cycle, such applications shall maintain their position on a waiting list and shall be administered during the next allocation cycle.
   (D)   Transfer of allocations prohibited. If all permits are not issued during any allocation period, available permits identified in the established categories of dwelling units in division (A) above shall not be transferred between categories to another type of dwelling unit.
(Ord. passed 1-14-25)

§ 156.1697 APPLICATION REQUIREMENTS AND PROCEDURES.

   (A)   Application requirements and specific procedures will be maintained on file in the office of the Building Official.
   (B)   Permit requests will be considered for completed applications only.
   (C)   Applications for a building permit will be accepted at any time during the allocation cycle, starting on the first day of a semi-annual allocation cycle.
   (D)   If the number of building permit applications exceeds the available supply for the semiannual allocation cycle, no further permits will be issued.
   (E)   Each permit application shall be made pursuant to a specific set of plans for a specific lot or parcel. Plan substitutions are not allowed. Minor revisions are allowed only to plans under review or that have been issued a building permit upon approval of the Building Official. Substantial revisions may require resubmittal.
   (F)   Permits will be issued only in the applicant’s name.
      (1)   For purposes of this system, the applicant is the owner of record of the lot for which the permit is sought and who has a present possessory interest in the lot, to include the right of unfettered access and authority to convey.
      (2)   For purposes of this system, an applicant and any person, firm, corporation, partnership, or other entity in which the applicant holds an interest, shall be considered the same applicant. For purposes of this system, an applicant and his or her spouse and unemancipated children under 21, shall be considered the same applicant.
      (3)   Proof of ownership and such other information as may be reasonably requested to determine an applicant’s eligibility for a permit must be supplied upon request. Proof of ownership, including, but not limited to, affidavits detailing information such as business relationships and membership in entities like LLCs and corporations, may be routinely required. The town will consider substance, not mere form, in the interpretation of this section to ensure that an applicant is an owner, in law and in fact.
(Ord. passed 1-14-25)

§ 156.1698 COMMENCEMENT OF CONSTRUCTION.

   (A)   Construction authorized under permits issued pursuant to this allocation system shall commence within six months from the date the Building Official issues the building permit. Otherwise, the permit will become invalid and be made available within the allocation cycle.
   (B)   Construction may be considered to have begun upon the initiation of site work and foundation construction, provided additional improvements progress in a reasonable timeframe toward completion of the project.
   (C)   A lapse of construction activities for a period of six months shall invalidate the permit and the allocation will become available as a new allocation under this system.
(Ord. passed 1-14-25)

§ 156.1699 EXEMPTIONS.

   (A)   Additions, renovations, or replacement. Permit allocation does not apply to additions or renovations to an existing residential building. Replacement of a residential building on a lot where one has existed within the past five years from the date of application is also exempt from permit allocation.
   (B)   Affordable housing units. For purposes of this system, housing units to provide dwellings for either low income or lower income employees in the workforce are not included in the allocation specified in this subchapter and are in addition to the number of annual permits regulated by this subchapter.
      (1)   These units are intended to provide affordable housing ownership opportunities for persons whose incomes are either:
         (a)   Less than 80% of the area median family income (AMI); or
         (b)   Range between 80% and 120% of the area median family income (AMI) for the Charleston/North Charleston metropolitan statistical area.
      (2)   The monthly mortgage payments for the owner of the dwelling unit shall not exceed 28% of 80% of the gross median family monthly income as reflected in the sale price using the Fannie Mae Foundation Mortgage Calculator (or comparable methodology), assuming a 10% down payment and a specified interest rate. The specified interest rate shall be determined by selecting the lowest 30-year fixed mortgage rate reported by area lending institutions at the time when the updated U.S. Department of Housing and Urban Development income limits become available.
      (3)   The income limits and maximum sales prices for low income families and owner-occupied dwelling unit established by the U.S. Census Bureau, the U.S. Department of Housing and Urban Development (HUD), and the Fannie Mae Foundation, shall be used to determine the provision of low income or lower income workforce housing. The maximum sale price shall be updated yearly, commencing in 2023, as the current U.S. Department of Housing and Urban Development income limits become available.
      (4)   Applying similar federal requirements in Title 26 US Code § 42 to qualify for low-income housing credits, the dwelling unit must remain at the affordable workforce housing price for ten years. Resale of affordable workforce dwelling units shall be limited by deed restriction to the original sales price, adjusted for inflation, and to a purchaser eligible, as described in this section, for a period of not less than ten years after issuance of the certificate of occupancy. Funding sources and other factors may require a longer term of afford ability. The increase permitted for inflation shall be based upon the increase in the Consumer Price Index (CPI).
      (5)   Affidavits will be required that set forth the sale prices of the units and verify that the units are, in fact, available to workforce housing purchasers, and will initially be owned and occupied by persons qualified per the provisions of this section.
(Ord. passed 1-14-25)

§ 156.1700 MONITORING AND EVALUATION.

   (A)   Town Council shall evaluate the system twice per year. This evaluation shall include an assessment of the need for specific annual allocations, progress on installation of programmed capital improvements, effect on low income or affordable workforce housing, and all other aspects of the system.
   (B)   To facilitate the evaluation, the Director of Planning, Land Use, and Neighborhoods shall provide a report to Town Council setting forth the number of permits sought, the number of permits issued, a description of any significant administrative problems which arose over the assessment period, the progress of the implementation of the Capital Improvements Program, any recommendations for changes or revisions to this subchapter to improve its effectiveness or administration, and such other relevant information as they may deem useful or that the Council may request.
   (C)   Town Council may adjust or modify the total allocation of permits or the categorical allocations.
   (D)   Town Council may terminate the program at any time based upon the results of an assessment or other conditions that suggest the need to eliminate the system.
(Ord. passed 1-14-25)

§ 156.1701 APPEALS.

   Appeals from the provisions of this system are made directly to the Town Board of Zoning Appeals pursuant to the procedure outlined in other sections of this chapter, with the criteria for the granting of a variance those set forth in Subchapter I, Part 15.
(Ord. passed 1-14-25)

§ 156.1702 LIBERAL CONSTRUCTION.

   The provisions of this subchapter shall be liberally construed to effectively carry out its stated purposes, which are found and declared to be in the furtherance of the public health, safety, economy, convenience, and general welfare for the harmonious, orderly, and progressive development of land within the town.
(Ord. passed 1-14-25)

§ 156.1703 SEVERABILITY; CONFLICT.

   (A)   All provisions are severable, such that if any provision or the administration of this system is held invalid, the invalidity does not affect other provisions or applications of this system that can still be given effect.
   (B)   In the event of a conflict with other provisions in this Code, the provisions contained in this subchapter shall be controlling.
(Ord. passed 1-14-25)