Norwalk City Zoning Code
ARTICLE 101
Workforce Housing Regulation
§ 118-1050 Workforce housing regulation.
A.
Purpose and intent. It is recognized that a shortage of affordable workforce housing exists in Norwalk for persons of moderate income; that such shortage is detrimental to the public health, safety and general welfare and to economic development; and that existing housing programs, by themselves, are insufficient to meet the needs of the workforce and moderate-income households. The purpose of this regulation is to provide for a full range of workforce housing options, with a priority given to ownership housing, and to increase the supply of workforce housing units affordable to persons of moderate incomes by encouraging the construction of such housing units within specified multifamily and mixed-use developments. It is intended that private developers who construct developments with moderately priced workforce housing units pursuant to these regulations will realize a reasonable profit therefrom.
B. RESALE WORKFORCE HOUSEHOLD WORKFORCE HOUSING UNIT
Definitions. As used in this section, the following terms shall have the meanings indicated:
Any transfer of original ownership interest in a workforce housing unit to a new owner other than an original owner's spouse or co-owner.
A household with an annual income which does not exceed eighty percent (80%) or, where required, sixty percent (60%) or one hundred percent (100%), of the State of Connecticut median income, as adjusted for family size, as published by the United States Census Bureau and periodically updated by the U. S. Department of Housing and Urban Development (HUD). Household eligibility determinations shall be made in accordance with the income criteria in Section 8-30g-8 of the regulations of Connecticut State Agencies.
A dwelling unit occupied by a workforce household where the maximum sale price or rent shall be restricted in perpetuity for the life of the unit in accordance with the maximum housing payment calculations as described in Section 8-30g-8 of the regulations of Connecticut State Agencies.
C.
Regulations for workforce housing.
(1)
Applicability. The workforce housing regulation shall apply to all multifamily and mixed-use developments in the following zones:
[Amended effective 11-27-2009; effective 1-28-2010; effective 7-27-2012; effective 4-27-2018; effective 6-13-2019]
Central Business District (CBD) |
Commercial Planned Residential Development |
Executive Office Zone |
Business No. 1 Zone |
Business No. 2 Zone |
D Residence Zones |
Golden Hill Village District |
Hospital Zone |
Industrial Zone No. 1 |
Light Industrial Zone No. 2 |
Marine Commercial Zone |
Neighborhood Business |
Reed-Putnam Design District |
Rowayton Avenue Village District |
SoNo Station Design District (SSDD) |
South Norwalk Business District |
Restricted Industrial |
Washington Street Design District |
(2)
Developments of twenty (20) or more dwelling units shall designate a minimum of ten percent (10%) of the total number of units, rounded up to the nearest whole number, as workforce housing units, affordable to households, in accordance with Section 8-30g-8 of the regulations of Connecticut State Agencies; except that developments of twelve (12) or more units in the CBD and SSDD shall designate a minimum of ten percent (10%) of the total number of dwelling units as workforce housing units, provided that:
[Amended effective 4-27-2018; effective 6-13-2019]
(a)
Any three-bedroom dwelling unit, designated as a workforce housing unit, complying with § 118-1050C(2) may count each three-bedroom unit as two workforce housing units for purposes of complying with the ten-percent requirement for the zone, provided that the aggregate number of three-bedroom dwelling units in such a development that are counted as two (2) affordable dwelling units shall not exceed the aggregate number of nonaffordable three-bedroom dwelling units in such development and the remaining workforce housing units are proportional to the overall unit mix within the development; and
(b)
A minimum of ten percent (10%) of the total number of dwelling units, rounded up to the nearest whole number, shall be affordable to households earning no more than sixty percent (60%) of the state median income; or
(c)
A minimum of ten percent (10%) of the total number of dwelling units, rounded up to the nearest whole number, shall be affordable to households earning no more than eighty percent (80%) of the state median income. In addition, a one-percent fee, based on residential construction cost, shall be paid to the City of Norwalk and placed into a fund to be used to construct affordable housing for individuals of lower income levels or families whose annual income does not exceed 60% of the state median income. Developments that utilize this provision are not required to provide more than one parking space per dwelling unit and may reduce recreation space to 100 square feet per unit.
(3)
The workforce housing units shall be offered for sale or rent to workforce households, or to a municipal agency or a nonprofit housing agency, who shall offer the workforce housing units to workforce households, in accordance with the following priority designations:
[Amended effective 2-26-2016]
(a)
Existing tenants displaced by the proposed new development or the immediate past tenants that previously occupied any of the properties where existing housing units are to be removed.
(b)
Employees of the City of Norwalk and the Norwalk Board of Education; residents of the City of Norwalk who have resided in the City of Norwalk a minimum of one (1) year prior to the issuance of a certificate of occupancy; and persons employed in the City of Norwalk.
(c)
All others.
(4)
The annual income of workforce households shall be reviewed and certified by the Commission, or its designee, in accordance with a procedure established in advance and approved by the Commission.
(5)
The Commission, or its designee, shall maintain a list of eligible workforce households in each category. Applicants shall be selected by lottery, conducted in accordance with a procedure established in advance of said lottery and approved by the Commission.
(6)
The Commission, or its designee, shall exhaust all qualified applicants in a given category of priority before proceeding to a lower category of priority.
(7)
The selected workforce household shall reside in the designated workforce housing unit.
(8)
Workforce housing units for sale shall not exceed the maximum purchase price as calculated in accordance with the maximum housing payment calculations in set-aside developments as per Section 8-30g-8 of the regulations of Connecticut State Agencies, as adjusted for family size.
(9)
Workforce housing units for rent shall not exceed the maximum monthly rent as calculated in accordance with the maximum housing payment calculations in set-aside developments as per Section 8-30g-8 of the regulations of Connecticut State Agencies, as adjusted for family size. However, within the CBD and SSDD, should household earning increase after initial tenancy, such unit shall be considered to be in compliance with the provisions of this regulation, provided that eligible household income does not exceed eighty percent (80%) of state median income.
[Amended effective 4-27-2018; effective 6-13-2019]
D.
Bonus provisions.
(1)
Where the workforce housing units are located in one of the zones listed below and constructed on the same site and as an integral part of a new market rate development, the Commission shall allow an increase in the permitted number of dwellings (density) by not more than twenty percent (20%), provided that such bonus units shall comply with the bonus unit criteria shown below:
[Amended effective 4-27-2018; effective 6-13-2019]
(a)
Central Business District.
(b)
South Norwalk Business District.
(c)
Washington Street Design District.
(d)
Reed Putnam Design District.
Density Bonus Provisions | Maximum Household Income Criteria | Ratio of Bonus Market Rate Units to Bonus Workforce Units |
|---|---|---|
Up to additional | 60% of state median income | 2 market rate: 1 workforce unit |
20% bonus density | 80% of state median income | 1.5 market rate: 1 workforce unit |
(2)
Once the above criteria is met, the Commission shall allow an increase in the permitted number of dwellings (density) by an additional ten percent (10%), up to a maximum of thirty percent (30%), provided that the bonus units may comply with the bonus unit criteria shown below:
Density Bonus Provisions | Maximum Household Income Criteria | Ratio of Bonus Market Rate Units to Bonus Workforce Units |
|---|---|---|
Additional 10% | 100% of state median income | 1 market rate: 1 workforce unit |
(3)
In developments where such bonus units are proposed, the Commission shall modify the yard, building area and floor area ratio requirements of the zone in which the property is located, up to a maximum of ten percent (10%) and, permit one (1) additional story, solely where the applicant has demonstrated and the Commission determines that such modifications will not adversely affect adjacent properties or the public health, safety and welfare.
E.
Additional standards.
(1)
Workforce housing affordability plan: Workforce housing units shall be reasonably dispersed throughout the development and shall contain, on average, the same number of bedrooms and the same quality of construction as the other units in the development, as detailed in an affordability plan submitted by the applicant. Such plan may allow for equity sharing. For properties located in the CBD or SSDD, the plan should include a reference to the one-percent fee, based on residential construction cost, that is paid to the City of Norwalk, and placed into a fund to be used exclusively for the construction or rehabilitation of affordable housing for individuals of lower income levels or families whose annual income does not exceed sixty percent (60%) SMI.
[Amended effective 6-13-2019]
(2)
Workforce housing units shall be developed simultaneously with or prior to the development of the other units.
(3)
Workforce housing deed restrictions: In order to maintain workforce housing units as affordable in perpetuity for workforce households, the following restrictions shall apply:
(a)
Workforce housing units for sale shall be restricted by title to require that, in the event of any resale by the owner or any successor, the resale price shall not exceed the then maximum sales price for said workforce housing unit, as determined in accordance with Subsection C(8) above or the sum of the original purchase price and the cost of any documented fixed improvements made by the owner, whichever is greater.
(4)
Where these regulations result in a fraction, the result shall be rounded up to the nearest whole number.
F.
Location of workforce units.
[Amended effective 2-27-2015]
(1)
Workforce housing units shall be built on the same site as the proposed development, as provided herein.
G.
Fee-in-lieu payment.
(1)
Alternative method of compliance: Pursuant to an application for a special exception, the Commission shall allow an alternative method of satisfying the workforce housing requirement, including the payment of an appropriate in-lieu housing fee.
(2)
The workforce housing unit requirement may be satisfied, in whole or in part, through the payment of a fee-in-lieu cash contribution to a City of Norwalk fund, or other Commission approved nonprofit or for-profit organization dedicated to affordable housing initiatives. Off-site workforce housing units created with such funds shall be maintained as affordable in perpetuity and in the same manner as on-site workforce housing units. The cash contribution to be provided shall be calculated based on the applicable State of Connecticut median income, as periodically revised, and on the unit (bedroom) size as described in the affordability plan, and on the following criteria:
(a)
Units affordable to households earning sixty percent (60%) of the applicable median income shall require a cash contribution not less than three hundred seventy percent (370%) of the state median income.
(b)
Units affordable to households earning eighty percent (80%) of the applicable median income shall require a cash contribution not less than two hundred seventy percent (270%) of the state median income.
(c)
Units affordable to households earning one hundred percent (100%) of the applicable median income shall require a cash contribution not less than two hundred twenty percent (220%) of the state median income.
Sample 2006 Cash Contribution For a Workforce Housing Unit: | ||
|---|---|---|
Units for households at 60% of state median income: | ||
$81,000 X 370% = $299,700 | ||
Units for households at 80% of state median income: | ||
$81,000 X 270% = $218,700 | ||
Units for households at 100% of state median income: | ||
$81,000 X 220% = $178,200 | ||
(3)
Where the contribution is targeted to assist an identified off-site project providing affordable workforce housing, the Commission shall condition the issuance of certificates of occupancy for the development project with the completion of the off-site workforce housing units and/or establish other reasonable performance conditions necessary to insure that the off-site workforce housing units will be built in a timely manner.
(4)
The in-lieu fee shall be paid according to the following schedule:
H.
Bonus density for multifamily development by zoning district.
[Amended effective 6-13-2019]
Zone | Existing Density for Multifamily Development | Density With Bonus |
|---|---|---|
SoNo Station Design District | 87 units/acre 500 square feet of lot area per dwelling unit | 10% 95 units/acre 20% 104 units/acre 30% 113 units/acre |
South Norwalk Business District | 26 units/acre 1,650 square feet of lot area per dwelling unit | 10% 29 units/acre 20% 32 units/acre 30% 34 units/acre |
Central Business District | 87 units/acre 500 square feet of lot area per dwelling unit | 10% 95 units/acre 20% 104 units/acre 30% 113 units/acre |
Washington Street Design District | No density limit: 600 square feet of building area devoted to such uses | |
Reed-Putnam Design District | 62 units/acre 700 square feet of lot area Subarea D; 29 units/acre 1,500 square feet of lot area Subareas C and E | 10% 69 units/acre Subarea D 32 units/acre Subareas C and E 20% 75 units/acre Subarea D 35 units/acre Subareas C and E 30% 81 units/acre Subarea D 38 units/acre Subareas C and E |
Link to DECD affordable Housing Appeals Act Regulations: |