This chapter shall be known and may be cited as the density bonus ordinance of the city.

(Ord. 501 § 2(1) (Exbt. A) (part), 1991)

This chapter implements the statutory requirements set forth in Sections 65915—65918 of the Government Code (known as state density bonus law). To the extent practicable, the citation to the governing statutory provision is included next to the implementing ordinance section. If any provision of this chapter conflicts with state law, the latter shall control. Applicable statutes should be consulted for amendments prior to applying the ordinance provision.

(Ord. 501 § 2(1) (Exbt. A) (part), 1991)

(Ord. No. 753, § 2, 10-4-2023)

The density bonuses and incentives contained in this chapter shall apply to housing developments eligible for a density bonus under state density bonus law. When an applicant seeks a density bonus for a housing development within, or for the donation of land for housing within, the city's jurisdiction that meets the requirements set out in Section 65915 of the California Government Code, the actions and procedures set out in this chapter shall apply. The density bonus provisions of Sections 65915 et seq. of the California Government Code, as may be amended from time to time, are incorporated by reference into this chapter. The city reserves the right to review applications for a density bonus in accordance with state density bonus law.

(Ord. No. 753, § 2, 10-4-2023)

Editor's note— Ord. No. 753, § 2, adopted October 4, 2023, renumbered the former § 17.39.030 as § 17.39.035, and enacted a new § 17.39.030 as set out herein. The historical notation has been retained with the amended provisions for reference purposes.

A.

Density bonuses are available to affordable housing developers in accordance with this chapter for the following:

1.

Housing developments that include a minimum affordable housing component (Section 17.39.0100 and Section 17.39.0260A).

2.

Housing developments that include a minimum affordable housing component and a childcare facility (Section 17.39.0120).

3.

Senior citizen housing developments (Section 17.39.0170).

4.

Land donations for very low-income housing (Section 17.39.0180).

5.

Housing developments that are one hundred percent affordable (Section 17.39.0110).

6.

Housing developments for transitional foster youth, disabled veterans, or homeless persons (Section 17.39.130).

7.

Student housing developments (Section 17.39.140).

B.

For the purpose of calculating a density bonus, the residential units must be on contiguous sites that are the subject of one development application, but do not have to be based upon individual subdivision maps or parcels (Section 65915(i) of the Government Code).

C.

The granting of a density bonus, incentives, waivers or reductions of development standards, and parking ratios shall not be interpreted, in and of itself, to require a general plan amendment, zoning change, study, or other discretionary approval (Section 65915(j) of the Government Code). For purposes of this chapter, "study" does not include reasonable documentation to establish eligibility for the density bonus, incentives, waivers or reductions of development standards, and/or parking ratios to demonstrate that they meet their respective definitions set forth in Section 17.04.030.

(Ord. 501 § 2(1) (Exbt. A) (part), 1991)

(Ord. No. 753, § 2, 10-4-2023)

Editor's note— See note at § 17.39.030.

For the purposes of this chapter, "density bonus" means a density increase of at least twenty-five percent over the otherwise maximum allowable residential density under the zoning ordinance and the land use element of the general plan as of the date of filing of an application for development. The density bonus shall not be included when determining the number of housing units which is equal to ten percent or twenty percent of the total.

(Ord. 501 § 2(1) (Exbt. A) (part), 1991)

If a developer agrees to construct both twenty percent of the total housing units for lower income households and ten percent of the total housing units for very low income households, the developer shall be entitled to only one density bonus and at least one additional concession or incentive identified in Section 17.39.060 of this chapter or in Section 65913.4 of the Government Code; provided, however, that the city, in its discretion, may grant more than one density bonus.

(Ord. 501 § 2(1) (Exbt. A) (part), 1991)

For purposes of this chapter, "concession or incentive" means any of the following:

A.

Reduction in minimum lot size required for senior citizens projects only;

B.

Increase in maximum lot coverage allowed;

C.

Reduction in minimum property line or street setbacks required;

D.

Reduction in amount of landscaping required;

E.

Reduction of minimum distance between buildings on the same property;

F.

Reduction in the minimum number of parking spaces required;

G.

Allowing additional increases in density;

H.

Allowing mixed use (e.g., residential/commercial, residential/office-professional or residential/industrial), if compatible with the proposed housing development and with existing or planned development in the vicinity;

I.

Other regulatory concessions, including modification of zoning and architectural design requirements, but only to the extent that such requirements exceed the minimum building standards approved by the State Building Standards Commission as provided in Paragraph 2.5 (commencing with Section 189-01) of Division 3 of the Health and Safety Code;

J.

Other financial incentives, including waiver or reduction of applicable fees and charges, the provision of required infrastructure, the use of redevelopment funds, or other forms of direct financial assistance.

(Ord. 501 § 2(1) (Exbt. A) (part), 1991)

A.

Application Filing and Processing. When an applicant seeks a density bonus for a housing development that meets the criteria in Section 17.39.035, the affordable housing developer must comply with all the following requirements:

1.

File an application for a density bonus in accordance with this section that includes a minimum affordable housing component, whether or not the project also requires or has been granted a conditional use permit or other permit or approval (Section 65915(d)(1) of the Government Code).

2.

State in the application the specific minimum affordable housing component proposed for the housing development (Section 65915(b)(2) of the Government Code).

3.

Enter into an agreement with the city or its designee pursuant to Section 17.39.0250 (affordable housing agreement and equity sharing agreement) to maintain and enforce the affordable housing component of the housing development (Section 65915(c) of the Government Code).

B.

Application Fees. Application fees shall be collected in accordance with Section 17.42 (zoning compliance certificates-conditional use permits-variances).

1.

If an application for a density bonus requires an unusual amount or specialized type of study required by state law or evaluation by city staff, consultant, or legal counsel, city staff shall estimate the cost thereof and require the applicant to pay an additional fee or make one or more deposits to pay such cost before the study or evaluation is begun. On completion of the study or evaluation, and before the city council decides on the application, city staff shall determine the actual cost of the work and the difference between the actual cost and the amount paid by the applicant, and shall require the applicant to pay any deficiency or shall refund to the applicant any excess.

2.

Affordable housing impact fees, including inclusionary zoning fees and in-lieu fees, shall not be imposed on the housing development's affordable units (Section 65915.1 of the Government Code).

(Ord. 501 § 2(1) (Exbt. A) (part), 1991)

(Ord. No. 753, § 2, 10-4-2023)

The planning commission shall evaluate and make its written recommendation to the city council upon an application for concessions or incentives pursuant to this chapter, based on the following criteria:

(a)

The requested concessions or incentive must be economically necessary in order to make the set-aside unit or units affordable as required by this chapter. The materials submitted by the developer must clearly indicate how the requested concession or incentive would make the project economically feasible.

(b)

The requested concession or incentive shall not result in a net profit of greater than twenty percent in comparison to the profit that would be made from the development without the density bonus and without the concessions and incentives available to the development under the provisions of this chapter.

(c)

The requested concession or incentive shall not be materially detrimental to public health, safety and welfare, nor injurious to property and/or improvements in the vicinity of the development.

(d)

The requested concession or incentive shall not result in an overall development pattern that is incompatible with other structures in the immediate vicinity.

(Ord. 501 § 2(1) (Exbt. A) (part), 1991)

Applications for concessions and incentives shall be made in writing to the director or designee, who shall determine whether the application is complete and complies with the provisions of this chapter and other applicable laws and regulations. The application shall specify the concession or incentive requested. The director or designee shall, within sixty days after the date on which certifies the application as complete, respond to the request for additional concessions and incentives in one of the following ways:

1.

By recommending approval of the request;

2.

By recommending modification or disapproval of the request.

If modification or disapproval of the request is recommended, the director or designee shall indicate why the requested concession or incentive is not consistent with those allowed by this chapter and state law. The written recommendation of the director or designee shall be presented to the city council within forty-five days after the date on which the application is determined by the director or designee to be complete and in compliance, as set forth in this section.

(Ord. 501 § 2(1) (Exbt. A) (part), 1991)

(Ord. No. 753, § 2, 10-4-2023)

Upon receipt of the report and recommendation of the planning director upon an application filed pursuant to this chapter, the planning commission shall hold a public hearing thereon and shall give notice of such hearing pursuant to the provisions of Sections 65090 and 65091 of the Government Code. Following the hearing, the commission shall make its written recommendation to the city council with respect to the application.

(Ord. 501 § 2(1) (Exbt. A) (part), 1991)

(Ord. No. 753, § 2, 10-4-2023)

Upon receipt of the report and recommendation of the director upon an application filed pursuant to this chapter, the city council shall hold a public hearing and give notice of such hearing, pursuant to the provisions of Sections 65090 and 65091 of the Government Code. Following the hearing, the council shall do one of the following:

A.

Approve the request contained in the application;

B.

Approve a different or modified additional concession or incentive in lieu of one or more requested in the application (within parameters allowed by Sections 65915—65918 of the Government Code); or

C.

Disapprove the request.

(Ord. 501 § 2(1) (Exbt. A) (part), 1991)

(Ord. No. 753, § 2, 10-4-2023)

The following provisions shall apply to both rental and ownership density bonus projects:

A.

All set-aside units shall have a bedroom mix and amenities representative of the project as a whole.

B.

The total number of housing units allowed under a density bonus shall be calculated by dividing the number of square feet of land available by the number of square feet required per housing unit under the applicable zoning designation and multiplying the result by 1.25. If the result, including the density bonus, contains a fraction of a unit, the number of allowable units shall be determined by rounding that number down to the next lowest full unit.

C.

The provisions of this chapter shall run with the land and shall be binding upon future owners of properties within the development. Prior to the issuance of the first building permit for a project, the developer shall record deed restrictions in favor of the city which subject the rental, sales or resale of set-aside units to the provisions of this chapter for a period of thirty years (or a longer period of time for developments that receive federal, state or local construction or mortgage assistance, mortgage insurance or rent subsidies), except that the rental, sale and resale restriction for units for which no additional concession or incentive is granted shall be subject to the provisions of this chapter for a period of ten years.

(Ord. 501 § 2(1) (Exbt. A) (part), 1991)

(Ord. No. 753, § 2, 10-4-2023)

A.

The following provisions shall apply only to rental density bonus projects:

B.

Set-aside units shall be subject to the affordability requirements of this chapter for a period of thirty years (or a longer period of time for developments that receive federal, state or local construction or mortgage assistance, mortgage insurance or rent subsidies), beginning when the units are first available for occupancy, except that set- aside units for which no additional concession or incentive is granted shall be subject to the conditions of this chapter for a period of ten years.

C.

Those units targeted for lower income households, as defined in Section 50079.5 of the Health and Safety Code, shall be affordable at a rental that does not exceed thirty percent of sixty percent of area median income; those units targeted for very low income households as defined in Section 50105 of the Health and Safety Code, shall be affordable at a rent that does not exceed thirty percent of fifty percent of area median income.

D.

The owner shall submit annually, and within thirty days of occupancy of a set-aside unit, a certificate of compliance, which shall include the name, address and income of each tenant currently occupying a set-aside unit; also a report of the occupancy of all set-aside units for the year prior to the submission of the certificate of compliance.

E.

The owner shall maintain and keep on file annual sworn and notarized income statements and current tax returns for all tenants occupying the set-aside units.

F.

The city shall have the right to inspect the owner's project-related records at any reasonable time and shall be entitled to audit the owner's records once a year.

G.

No subletting of rental set-aside units shall be allowed unless the sublessee qualifies as a very low or low income or senior citizen household and the combined income of all persons occupying the subleases premises, adjusted for family size, does not exceed the income limits set forth in this section.

(Ord. 501 § 2(1) (Exbt. A) (part), 1991)

(Ord. No. 753, § 2, 10-4-2023)

The following provisions shall apply only to ownership density bonus projects:

A.

At least twenty percent of the units allowed prior to adding in the density bonus units shall be sold to low income households, as defined in Section 50079.5 of the Health and Safety Code, or at least ten percent of the units allowed prior to adding in the density bonus units shall be sold to very low income households, as defined in Section 50105 of the Health and Safety Code, or at least fifty percent of the units allowed prior to adding in the density bonus units shall be sold to senior citizens, as defined in Section 51.3(c) of the Civil Code.

B.

All ownership set-aside units shall be occupied by their purchasers; no renting or leasing shall be allowed.

(Ord. 501 § 2(1) (Exbt. A) (part), 1991)

(Ord. No. 753, § 2, 10-4-2023)

A proposal for the waiver or reduction of development standards shall neither reduce nor increase the number of incentives or concessions to which the applicant is entitled pursuant to Section 65915(d) of the Government Code.

(Ord. No. 753, § 2, 10-4-2023)

A.

If the requirements of Section 17.39.040 (property development standards) are met, then the affordable housing developer is entitled to a density bonus pursuant to Section 65915(f) of the Government Code as follows in Table 17.39.100-1.

Table 17.39.100-1
Density Bonus Allowance for Housing Development Projects with Affordable Housing Component

B.

As demonstrated in Table 17.39.100-1, the amount of density bonus to which the applicant is entitled varies according to the amount by which the percentage of affordable units offered by the applicant exceeds the percentage of the minimum affordable housing component; the applicant may also elect to accept a lesser percentage of density bonus (Government Code Section 65915(f)).

C.

Each component of any density calculation, including base density and bonus density, resulting in fractional units shall be separately rounded up to the next whole number (Government Code Section 65915(q)).

(Ord. No. 753, § 2, 10-4-2023)

A.

Criteria. For a density bonus to be granted pursuant to Section 17.39.040.A.5., one hundred percent of the total units, exclusive of a manager's unit or units, must be developed for lower-income households, as defined by Section 50079.5 of the Health and Safety Code.

1.

Exception. Up to twenty percent of the total units in the development may be for moderate-income households, as defined in Section 50053 of the Health and Safety Code.

B.

Density Bonus Allowance. If the requirements of Section 17.39.040.A.5. are met, then an applicant for a housing development with one hundred percent affordable housing is entitled to:

1.

Except as otherwise provided, the density bonus shall be up to eighty percent of the number of units for lower-income households.

C.

Other Allowances.

1.

If the project is located within one-half mile of a major transit stop as defined in subdivision (b) of Section 21155 of the Public Resources Code:

a.

The applicant may also receive a height increase of up to three additional stories or thirty-three feet.

b.

The city shall not impose any maximum controls on density. If no maximum controls on density are imposed on a project, then the development will only be eligible for waivers or reductions of development standards provided in Section 17.39.170.

(Ord. No. 753, § 2, 10-4-2023)

A.

Criteria. For a density bonus to be granted pursuant to Section 17.39.0120B for including a minimum affordable housing component with a childcare facility in a housing development, all of the following must be satisfied:

1.

Compliance with Section 17.39.040 (Government Code Section 65915(h)(1)).

2.

The housing development must include a childcare facility that will be located on the premises of, as part of, or adjacent to, the housing development (Government Code Section 65915(h)(1)).

3.

Approval of the housing development must be conditioned to ensure that both of the following occur:

a.

The childcare facility must remain in operation for a period of time that is as long as or longer than the period of time during which the density bonus units are required to remain affordable pursuant to Section 17.39.0250 (Government Code Section 65915(h)(2)(A)).

b.

Of the children who attend the childcare facility, the children of very low-income households, low-income households, or families of moderate-income households must equal a percentage that is equal to or greater than the percentage of dwelling units that are required under the respective minimum affordable housing component income category for which the density bonus is sought (Government Code Section 65915(h)(2)(B)).

4.

The city has not made a finding based upon substantial evidence that the community has adequate childcare facilities (Government Code Section 65915(h)(3)).

B.

Density Bonus Allowance. If the requirements of Subsection 17.39.0120A are met, then an applicant for a housing development with an affordable housing component and childcare facility is entitled to a density bonus pursuant to Section 17.39.0100 (density bonus allowance for housing development with affordable housing component) and either:

1.

An additional concession or incentive that contributes significantly to the economic feasibility of the construction of the childcare facility (Government Code Section 65915(h)(1)(B)); or

2.

An additional density bonus that is an amount of square feet of residential space that is equal to or greater than the amount of square feet in the childcare facility (Government Code Section 65915(h)(1)(A)).

(Ord. No. 753, § 2, 10-4-2023)

A.

Requirements. An applicant for a housing development with ten percent of total units dedicated to transitional foster youth, as defined in Section 66025.9 of the Education Code, disabled veterans, as defined in Section 18541, or homeless persons, as defined in the federal McKinney-Vento Homeless Assistance Act (42 U.S.C. Section 11301 et seq.). The units described in this subparagraph shall be subject to a recorded affordability restriction of fifty-five years (or a longer period of time if required by the construction or mortgage financing assistance program, mortgage insurance program, or rental subsidy program) and shall be provided at the same affordability level as very-low-income units.

B.

Density Bonus. The density bonus shall be twenty percent of the number units provided for transitional foster youth, disabled veterans, or homeless persons (Section 65915(f)(3) of the Government Code).

(Ord. No. 753, § 2, 10-4-2023)

A.

Criteria. An applicant for a housing development with twenty percent of total units for lower income students in a student housing development must meet the following requirements:

1.

All units in the student housing development will be used exclusively for undergraduate, graduate, or professional students enrolled full time at an institution of higher education accredited by the Western Association of Schools and Colleges or the Accrediting Commission for Community and Junior Colleges. In order to be eligible under this subclause, the developer shall, as a condition of receiving a certificate of occupancy, provide evidence to the city, county, or city and county that the developer has entered into an operating agreement or master lease with one or more institutions of higher education for the institution or institutions to occupy all units of the student housing development with students from that institution or institutions. An operating agreement or master lease entered into pursuant to this subclause is not violated or breached if, in any subsequent year, there are not sufficient students enrolled in an institution of higher education to fill all units in the student housing development.

2.

The applicable twenty percent units will be used for lower-income students.

3.

The rent provided in the applicable units of the development for lower income students shall be calculated at thirty percent of sixty-five percent of the area median income for a single-room occupancy unit type.

4.

The development will provide priority for the applicable affordable units for lower income students experiencing homelessness. A homeless service provider, as defined in Section 103577.e.3. of the Health and Safety Code, or institution of higher education that has knowledge of a person's homeless status may verify a person's status as homeless for purposes of this subclause.

B.

Student Housing Unit. For purposes of calculating a density bonus granted pursuant to this subparagraph, the term "unit" as used in this section means one rental bed and its pro rata share of associated common area facilities. The units described in this subparagraph shall be subject to a recorded affordability restriction of fifty-five years (or a longer period of time if required by the construction or mortgage financing assistance program, mortgage insurance program, or rental subsidy program).

C.

Density Bonus. The density bonus shall be thirty-five percent of the number of student housing units (Government Code Section 65915(f)(3)).

(Ord. No. 753, § 2, 10-4-2023)

An applicant for a senior citizen housing development, as defined in Sections 51.3 and 51.12 of the Civil Code, or a mobile home park that limits residency based on age requirements for housing for older persons pursuant to Sections 798.76 or 799.5 of the Civil Code is entitled to a density bonus of twenty percent of the number of senior citizen housing development units (Government Code Sections 65915(b)(1)(C) and 65915(f)(3)).

(Ord. No. 753, § 2, 10-4-2023)

A.

Criteria. For a density bonus for a qualified land donation to be granted pursuant to Section 17.39.0180, all the requirements of this section must be met.

1.

The applicant must be applying for a tentative subdivision map, parcel map, or other residential development approval (Government Code Section 65915(g)(1)).

2.

The application must include at least a ten percent minimum affordable housing component for very low-income households (Government Code Section 65915(g)(1)).

3.

The applicant must agree to donate and transfer qualified land, which is land that meets both the following criteria:

a.

The developable acreage and zoning classification of the land being transferred must be sufficient to permit construction of units affordable to very low-income households in an amount not less than ten percent of the number of residential units of the proposed development pursuant to Section 65915(g)(2)(B) of the Government Code.

b.

The transferred land must be at least one acre in size or of sufficient size to permit development of at least forty units, have the appropriate general plan land use designation, be zoned with appropriate development standards for development at the density described in Section 65583.2(c)(3) of the Government Code, and is or will be served by adequate public facilities and infrastructure (Government Code Section 65915(g)(2)(C)).

4.

The qualified land must be transferred to the city or to a housing developer approved by the city. The city may require the applicant to identify and transfer the land to an approved housing developer (Government Code Section 65915(g)(2)(F)).

5.

The qualified land must have all of the permits and approvals, other than building permits, necessary for the development of the very low-income housing affordable units on the qualified land, not later than the date of approval of the final subdivision map, parcel map, or residential development application filed. However, the city may subject the proposed development to subsequent design review to the extent authorized by Section 65583.2(i) of the Government Code if the design is not reviewed by the city prior to the time of transfer (Government Code Section 65915(g)(2)(D)).

6.

The qualified land must be donated and transferred no later than the date of approval of the final subdivision map, parcel map, or residential development application (Government Code Section 65915(g)(2)(A)).

7.

The qualified land and the affordable units must be subject to a deed restriction ensuring continued affordability of the units consistent with Section 17.39.0200, which must be recorded against the qualified land at the time of the transfer (Government Code Section 65915(g)(2)(E)).

8.

The qualified land must be within the boundary of the proposed development or, if the city agrees, within a quarter mile of the boundary of the proposed development (Government Code Section 65915(g)(2)(G)).

9.

A proposed source of funding for the very low-income household units must be identified not later than the date of approval of the final subdivision map, parcel map, or residential development application (Government Code Section 65915(g)(2)(H)).

B.

Density Bonus Allowance for Qualified Land Donation for Very Low-Income Housing. If the requirements of Section 17.39.180.A are satisfied, the applicant shall be entitled to at least a fifteen percent increase above the otherwise maximum allowable residential density for the entire development, as follows in Table 17.39.180-1 (Government Code Section 65915(g)(1)).

Table 17.39.180-1
Density Bonus Allowances for Qualified Land Donation Projects

C.

All density calculations resulting in fractional units shall be rounded up to the next whole number (Government Code Section 65915(g)(2)).

(Ord. No. 753, § 2, 10-4-2023)

A.

A floor area ratio density bonus may be granted to an eligible housing development, upon request of the developer, in lieu of a density bonus awarded based on dwelling units per acre.

1.

In calculating the floor area ratio bonus pursuant to this section, the allowable gross residential area in square feet shall be the product of all the following amounts:

a.

The allowable residential base density in dwelling units per acre.

b.

The site area in square feet, divided by forty-three thousand five hundred sixty.

c.

Two thousand two hundred fifty.

2.

The city council shall not impose any parking requirement on an eligible housing development in excess of 0.1 parking spaces per unit that is affordable to persons and families with a household income equal or less than one hundred twenty percent of the area median income and 0.5 parking spaces per unit that is offered at market rate.

3.

An applicant seeking to develop an eligible residential development shall be allowed to calculate impact fees based on square feet, instead of on a per-unit basis. Any affordable housing impact fees generated by the housing development, including inclusionary zoning fees and in-lieu fees, will not be levied on the housing development's affordable units (Government Code Section 65915.1).

4.

If an eligible housing development is zoned for mixed-use purposes, any floor area ratio requirement under a zoning ordinance or land use element of the general plan applicable to the nonresidential portion of the eligible residential development, shall continue to apply notwithstanding the award of a floor area ratio bonus in accordance with this section.

5.

An applicant for a floor area ratio bonus may also submit to the city a proposal for specific incentives or concessions pursuant to Section 17.39.0180.

(Ord. No. 753, § 2, 10-4-2023)

A.

Subsections 65915(d), (j), (k) and (l) of the Government Code govern the following provisions regarding affordable housing incentives.

B.

Qualifications for Incentives. Subject to Section 17.39.0200, all of the following applicable requirements must be satisfied to be granted an incentive(s) pursuant to Section 17.39.0200 and Section 17.39.0170:

1.

The applicant for an incentive must also be an applicant for a density bonus and qualify for a density bonus pursuant to Section 17.39.040 (Government Code Section 65915(d)(1)).

2.

A specific written proposal for an incentive(s) must be submitted with the application for density bonus (Government Code Section 65915(b)(1) and (d)(1)).

3.

If an incentive(s) pursuant to Sections 17.39.0200 and 17.39.0190 is sought, the applicant must establish that each requested incentive would result in identifiable and actual cost reductions for the qualified housing development (Government Code Section 65915(k)(1) and 65915(k)(3)).

4.

If an incentive(s) pursuant to Subsection 17.39.0200B.2 is sought, the applicant must establish that requirements of that section are met (Government Code Section 65915(k)(2)).

5.

If an additional incentive for a childcare facility is sought pursuant to Section 17.39.0120, the applicant must establish that requirements of that section are met (Government Code Section 65915(h)(1)(B)).

6.

The granting of an incentive shall not be interpreted, in and of itself, to require a general plan amendment, zoning change, study, or other discretionary approval (Government Code Section 65915(j)). An incentive is applicable only to the project for which it is granted. An applicant for an incentive may request a meeting with the community development director (director) and, if requested, the director will meet with the applicant to discuss the proposal (Government Code Section 65915(d)(1)).

C.

Types of Incentives. For the purposes of this chapter, incentive means any of the following:

1.

A reduction in site development standards or a modification of development code requirements or design guidelines that exceed the minimum building standards approved by the California Building Standards Commission as provided in Part 2.5 (commencing with Section 18901) of Division 13 of the Health and Safety Code, including, but not limited to, a reduction in setback and square footage requirements and in the ratio of vehicular parking spaces that would otherwise be required that results in identifiable and actual cost reductions, to provide for affordable housing costs, as defined in Section 50052.5 of the Health and Safety Code, or for rents for the targeted units to be set as specified in Section 17.39.0250. (Government Code Section 65915(k)(1)).

2.

Approval of mixed-use zoning in conjunction with the qualified housing development if commercial, office, industrial or other land uses will reduce the cost of the qualified housing development and if the commercial, office, industrial or other land uses are compatible with the qualified housing development and the existing or planned development in the area where the proposed qualified housing development will be located (Government Code Section 65915(k)(2)).

3.

Other regulatory incentives proposed by the affordable housing developer or the city that result in identifiable and actual cost reductions, to provide for affordable housing costs, as defined in Section 50052.5 of the Health and Safety Code, or for rents for the targeted units to be set as specified in Section 17.39.0250. (Government Code Section 65915(k)(3)).

4.

Nothing in this section limits or requires the provision of direct financial incentives by the city for the qualified housing development, including the provision of publicly owned land, or the waiver of fees or dedication requirements (Government Code Section 65915(l)).

(Ord. No. 753, § 2, 10-4-2023)

A.

Subject to Section 17.39.0200, the applicant who meets the requirements of Section 17.39.0200 shall receive the following incentives and as shown in Table 17.39.0190-1.

1.

One incentive for qualified housing development projects that include at least five percent for very low-income households, at least ten percent of the total units for low-income households, or at least ten percent for persons and families of moderate-income households in a development in which units are for sale (Government Code Section 65915(d)(2)(A)).

2.

Two incentives for qualified housing development projects that include at least ten percent for very low-income households, at least seventeen percent of the total units for low-income households, or at least twenty percent for persons and families of moderate-income households in a development in which the units are for sale (Government Code Section 65915(d)(2)(B)).

3.

Three incentives for qualified housing development projects that include at least fifteen percent for very low-income households, at least twenty-four percent of the total units for low-income households, or at least thirty percent for persons and families of moderate-income households in a development in which the units are for sale (Government Code Section 65915(d)(2)(C)).

4.

Four incentives for qualified housing development projects pursuant to Section 17.39.0110. If the project is located within one-half mile of a major transit stop as defined in subdivision (b) of Section 21155 of the Public Resources Code, the applicant shall also receive a height increase of up to three additional stories, or thirty-three feet.

5.

One incentive for projects that include at least twenty percent of the total units for lower income students in a student housing development.

B.

A qualified housing development proposal that includes a childcare facility shall be granted an additional incentive that contributes significantly to the economic feasibility of the construction of the childcare facility (Government Code Section 65915(h)(1)(B)).

Table 17.39.250-1
Incentive Allowances for Qualified Housing Developments

(Ord. No. 753, § 2, 10-4-2023)

A.

Except as otherwise provided in this chapter or by state law, if the requirements of Section 17.39.240 are met, the city shall grant the incentive(s) that are authorized by Section 17.39.250 unless a written finding, based upon substantial evidence, is made with respect to any of the following, in which case the city may refuse to grant the incentive(s):

1.

The incentive does not result in identifiable and actual cost reductions, consistent with Section 17.39.190N to provide for affordable housing costs, as defined in Section 50052.5 of the Health and Safety Code, or for rents for the targeted units to be set as specified in Section 17.39.230 (Government Code Section 65915(d)(1)(A)).

2.

The incentive would have a specific, adverse impact, as defined in Government Code Section 65589.5(d)(2), upon the public health and safety on any real property that is listed in the California Register of Historical Resources and for which there is no feasible method to satisfactorily mitigate or avoid the specific, adverse impact without rendering the development unaffordable to low- and moderate-income households (Government Code Section 65915(d)(1)(B); Government Code Section 65915 (d)(3)).

3.

The incentive would be contrary to state or federal law (Government Code Section 65915(d)(1)(C)).

4.

The community has adequate childcare facilities as demonstrated by substantial evidence, in which case the additional incentive for a childcare facility pursuant to Section 17.39.0200 may be denied (Government Code Section 65915(h)(3)).

(Ord. No. 753, § 2, 10-4-2023)

A.

Requirements for Waiver or Modification of Development Standards.

1.

Application. To qualify for a waiver or reduction of one or more development standards, the applicant must submit a written application (together with an application for a qualified housing development) that states the specific development standard(s) sought to be modified or waived and the basis of the request(Government Code Section 65915(e)(1)). An applicant for a waiver or modification of development standard(s) pursuant to this section may request a meeting with the director to review the proposal. If requested, the director shall meet with the applicant (Government Code Section 65915(e)(1)). An application for the waiver or reduction of development standard(s) pursuant to this section shall neither reduce nor increase the number of incentives to which the applicant is entitled pursuant to Section 17.39.0200 (Government Code Section 65915(e)(2)).

2.

Findings. All the following findings must be made for each waiver or reduction requested:

a.

The development standard for which a waiver or reduction is requested will have the effect of physically precluding the construction of the proposed qualified housing development at the densities or with the incentives permitted under this chapter (Government Code Section 65915(e)(1)).

b.

The requested waiver or reduction of a development standard will not have a specific, adverse impact, as defined in Government Code Section 65589.5(d)(2), upon the health or safety or, if such a specific, adverse impact exists, there is a feasible method to satisfactorily mitigate or avoid the specific, adverse impact (Government Code Section 65915(e)(1)).

c.

The requested waiver or reduction of a development standard will not have an adverse impact on any real property that is listed in the California Register of Historical Resources (Government Code Section 65915(e)(1)).

d.

The requested waiver or reduction of a development standard is not contrary to state or federal law (Government Code Section 65915(e)(1)).

3.

Additional Waivers or Modifications of Development Standards. A housing development that receives a waiver from maximum controls on density pursuant to Section 17.39.190 is only eligible for a waiver or reduction in development standards as provided in Section 17.39.190.A, unless the city agrees to additional waivers or reductions of development standards.

4.

Granting Application for Waiver or Modification of Development Standards. If the requirements of Section 17.39.0210 are satisfied, the application for waiver or modification of development standard(s) shall be granted, and the city shall not apply a development standard that will have the effect of physically precluding the construction of a qualified housing development at the densities or with the incentives permitted by this chapter (Government Code Section 65915(e)(1)).

(Ord. No. 753, § 2, 10-4-2023)

A.

Requirements for Parking Standard Modifications. Parking standard modifications pursuant to Section 17.39.0240 are available only for qualified housing developments. An application for parking standard modifications stating the specific modification requested pursuant to Section 17.39.0240 must be submitted with the qualified housing development application (Government Code Section 65915(p)(6)).

B.

Parking Standard Modifications. If the requirements of Section 17.39.0240 are met, the vehicular parking ratio, inclusive of parking for persons with a disability and guests, shall not exceed the following ratios (Government Code Section 65915(p)(1)), except where noted under Section 17.39.240.C (exceptions):

1.

Zero to one bedroom: one on-site parking space.

2.

Two to three bedrooms: one and one-half on-site parking spaces.

3.

Four and more bedrooms: two and one-half on-site parking spaces.

C.

Exceptions. Upon request of the applicant, the following maximum parking standards shall apply, inclusive of parking for persons with a disability and guests, to the entire housing development subject to this chapter, as required by Government Code Section 65915(p)(2):

1.

A maximum of one-half parking spaces per bedroom shall apply when all the following conditions apply:

a.

The development includes either:

i.

At least eleven percent very low-income units for housing developments meeting the criteria in Section 17.39.0100; or

ii.

At least twenty percent low-income units for housing developments meeting the criteria in Section 17.39.0100; or

iii.

At least forty percent moderate-income units for housing developments meeting the criteria in Section 17.39.0100.

b.

The development is located within one-half mile of a major transit stop, as defined in subdivision (b) of Section 21155 of the Public Resources Code.

c.

There is unobstructed access to the major transit stop from the development. A development shall have unobstructed access to a major transit stop if a resident is able to access the major transit stop without encountering natural or constructed impediments which may include, but are not limited to, freeways, rivers, mountains, and bodies of water, but does not include residential structures, shopping centers, parking lots, or rails used for transit.

2.

No vehicular parking standards shall apply when all the following conditions apply:

a.

The development consists solely of rental units, exclusive of a manager's unit or units, with an affordable housing cost to lower-income families, as provided in Section 50052.5 of the Health and Safety Code.

b.

The development is located within one-half mile of a major transit stop, as defined in subdivision (b) of Section 21155 of the Public Resources Code.

c.

There is unobstructed access to the major transit stop from the development. A development shall have unobstructed access to a major transit stop if a resident is able to access the major transit stop without encountering natural or constructed impediments which may include, but are not limited to, freeways, rivers, mountains, and bodies of water, but does not include residential structures, shopping centers, parking lots, or rails used for transit.

3.

No vehicular parking standards shall apply when all the following conditions apply:

a.

The development consists solely of rental units, exclusive of a manager's unit or units, with an affordable housing cost to lower-income families, as provided in Section 50052.5 of the Health and Safety Code.

b.

The development is for individuals who are sixty-two years of age or older and which complies with Sections 51.2 and 51.3 of the Civil Code.

c.

The development shall have either paratransit service or unobstructed access, within one-half mile, to fixed bus route service that operates at least eight times per day.

4.

No minimum vehicular parking standards shall apply when all the following conditions apply:

a.

The development consists solely of rental units, exclusive of a manager's unit or units, with an affordable housing cost to lower-income families, as provided in Section 50052.5 of the Health and Safety Code.

b.

The development is either:

i.

A special needs housing development, as defined in Section 51312 of the Health and Safety Code, or

ii.

A supportive housing development, as defined in Section 50675.14 of the Health and Safety Code.

c.

If the development is a special needs housing development shall have either paratransit service or unobstructed access, within one-half mile, to fixed bus route service that operates at least eight times per day.

D.

If the total number of parking spaces required for the qualified housing development is other than a whole number, the number shall be rounded up to the next whole number. For purposes of this section, "on-site parking" may be provided through tandem parking or uncovered parking, but not through on-street parking (Government Code Section 65915(p)(5)).

E.

Except as otherwise provided in this section, all other provisions of Chapter 19.82 (off-street parking and loading) applicable to residential development apply.

F.

An applicant may request additional parking incentives beyond those provided in this section if applied for pursuant to Section 17.39.0160 (Government Code Section 65915(p)(6)).

G.

Notwithstanding allowances in Section 17.39.0240, if the city or an independent consultant has conducted an area-wide or jurisdiction-wide parking study in the last seven years, then the city may impose a higher vehicular parking ratio not to exceed the ratio described in Section 17.39.0240, based on substantial evidence found in the parking study that includes, but is not limited to, an analysis of parking availability, differing levels of transit access, walkability access to transit services, the potential for shared parking, the effect of parking requirements on the cost of market-rate and subsidized developments, and the lower rates of car ownership for low- and very low- income individuals, including seniors and special-needs individuals. The city shall pay the costs of any new study. The city shall make findings, based on a parking study completed in conformity with this paragraph, supporting the need for the higher parking ratio.

(Ord. No. 753, § 2, 10-4-2023)

A.

Project Design and Phasing. Projects seeking an affordable housing benefit pursuant to this chapter must comply with the following requirements, unless otherwise specified in writing by the Director:

1.

Location/Dispersal of Units. Affordable units shall be reasonably dispersed throughout the development where feasible and shall contain on average the same (or greater) number of bedrooms as the market-rate units.

2.

Phasing. If a project is to be developed in phases, each phase must contain the same or substantially similar proportion of affordable units and market-rate units.

3.

Exterior Appearance. The exterior appearance and quality of the affordable units must be similar to the market-rate units. The exterior materials and improvements of the affordable units must be similar to, and architecturally compatible with, the market-rate units.

B.

Application Requirements. An application for one or more affordable housing benefits must be submitted as follows:

1.

Each affordable housing benefit requested must be specifically stated in writing on the application form provided by the city.

2.

The application must include the information and documents necessary to establish that the requirements of this chapter are satisfied for each affordable housing benefit requested, including:

a.

For density bonus requests, that the requirements of Section 17.39.040 are met;

b.

For incentive requests, that the requirements of Section 17.39.160 are met;

c.

For development standard waiver or modification requests, that the requirements of Section 17.39.200 are met; and/or

d.

For parking standard modification requests, that the requirements of Section 17.39.200 are met.

3.

The application must be submitted concurrently with a complete application for a qualified housing development. When notifying the applicant for a density bonus whether the application is complete, the city shall also notify the applicant of:

a.

The amount of density bonus for which the applicant is eligible: and

b.

If a parking ratio is requested by the applicant, the parking ratio for which the applicant is eligible; and

c.

If the applicant requests incentives or concessions, or waivers or reductions of development standards, the city/county will notify the applicant whether the applicant has provided adequate information for the city/county to make a determination as to those incentives, concessions, or waivers or reductions of development standards.

4.

The application must include a site plan that complies with and includes the following:

a.

For senior citizen housing development projects, the number and location of proposed total units and density bonus units.

b.

For all qualified housing development projects other than senior citizen housing development projects, the number and location of proposed total units, affordable units, and density bonus units. The density bonus units shall be permitted in geographic areas of the qualified housing development other than the areas where the affordable units are located (Government Code Section 65915(i)).

c.

The location, design, and phasing criteria required by Section 17.39.250, including any proposed development standard(s) modifications or waivers pursuant to Section 17.39.210.

5.

The application for a qualified housing development must state the level of affordability of the affordable units and include a proposal for compliance with Section 17.39.270 for ensuring affordability.

6.

If a density bonus is requested for a qualified land donation pursuant to Section 17.39.160, the application must show the location of the qualified land in addition to including sufficient information to establish that each requirement in Section 17.39.160 has been met.

7.

If an additional density bonus or incentive is requested for a childcare facility pursuant to Section 17.39.120 and/or Section 17.39.210, the application shall show the location and square footage of the childcare facility in addition to including sufficient information to establish that each requirement in Section 17.39.120 and/or Section 17.39.220.B. has been met.

C.

An application for an affordable housing benefit under this chapter will not be processed until all of the provisions of this section are complied with as determined by the director and shall be processed concurrently with the application for the qualified housing development project for which the affordable housing benefit is sought. Prior to the submittal of an application for a qualified housing development, an applicant may submit to the director a preliminary proposal for affordable housing benefits. The director shall, within 90 days of receipt of a written proposal, notify the applicant of the director's preliminary response and schedule a meeting with the applicant to discuss the proposal and the director's preliminary response.

D.

The city shall adjust the amount of density bonus and parking ratios awarded based on any changes to the project during development.

(Ord. No. 753, § 2, 10-4-2023)

A.

The decision-making body for the underlying qualified housing development application is authorized to approve or deny an application for an affordable housing benefit in accordance with this chapter.

1.

Affordable Housing Benefit Determinations. An application for an affordable housing benefit shall be granted if the requirements of this chapter are satisfied unless:

a.

The application is for an incentive for which a finding is made in accordance with Section 17.39.230; or

b.

The underlying application for the qualified housing development is not approved independent of and without consideration of the application for the affordable housing benefit.

2.

Affordable Housing Benefit Compliance Provisions. To ensure compliance with this chapter and state law, approval of an application for an affordable housing benefit may be subject to, without limitation:

a.

The imposition of conditions of approval to the qualified housing development, including imposition of fees necessary to monitor and enforce the provisions of this chapter;

b.

An affordable housing agreement and, if applicable, an equity-sharing agreement pursuant to Section 17.39.270; and

c.

Recorded deed restriction implementing conditions of approval and/or contractual or legally mandated provisions.

3.

A decision regarding an affordable housing benefit application is subject to the appeal provisions of Section 19.46 (appeals).

(Ord. No. 753, § 2, 10-4-2023)

A.

General Requirements. No density bonus pursuant to Section 17.39.040 shall be granted unless and until the affordable housing developer, or its designee approved in writing by the director, enters into an affordable housing agreement and, if applicable, an equity-sharing agreement, with the city or its designee pursuant to and in compliance with this section (Government Code Section 65915(c)). The agreements shall be in the form provided by the city, which shall contain terms and conditions mandated by, or necessary to implement, state law and this article. The director may designate a qualified administrator or entity to administer the provisions of this section on behalf of the city. The affordable housing agreement shall be recorded prior to, or concurrently with, final map recordation or, where the qualified housing development does not include a map, prior to issuance of a building permit for any structure on the site. The director is hereby authorized to enter into the agreements authorized by this section on behalf of the city upon approval of the agreements by city attorney/county counsel for legal form and sufficiency.

B.

Affordable Housing Agreement.

1.

The affordable housing developer of a qualified housing development based upon the inclusion of low-income and/or very low-income affordable rental units must enter into an agreement with the city to maintain the continued affordability of the affordable units for fifty-five years (for rental units) or forty-five years (for for-sale units), or a longer period if required by the construction or mortgage financing assistance program, mortgage insurance program, or rental subsidy program, as follows (Government Code Section 65915(c)(1)(A)).

2.

Agreement Conditions. The agreement shall establish specific compliance standards and specific remedies available to the city if such compliance standards are not met. The agreement shall, among other things, specify the number of lower-income affordable units by number of bedrooms; standards for qualifying household incomes or other qualifying criteria, such as age; standards for maximum rents or sales prices; the person responsible for certifying tenant or owner incomes; procedures by which vacancies will be filled and units sold; required annual report and monitoring fees; restrictions imposed on lower-income affordable units on sale or transfer; and methods of enforcing such restrictions.

3.

Determining Rent. Rents for the lower-income affordable units that qualified the housing development for the density bonus pursuant to Section 17.39.040 shall be set and maintained at an affordable rent (Government Code Section 65915(c)(1)). The agreement shall set rents for the lower-income density bonus units at an affordable rent, as defined in California Health and Safety Code Section 50053.

a.

Exceptions—Rental Units. In a rental housing development with one hundred percent of units affordable to lower-income households per Section 17.39.110, rents would be governed as follows. At least twenty percent of the units in the development would be rented at affordable rents and the rent for the rest of the units would be set at an amount consistent with the maximum rent levels for a housing development that receives an allocation of state or federal low-income housing tax credits from the California Tax Credit Allocation Committee.

4.

Senior Units. At least thirty-five senior citizen housing development units are maintained and available for rent or sale to senior citizens, as defined in Civil Code Section 51.3.

C.

Equity Sharing Agreement.

1.

The affordable housing developer of a qualified housing development based upon the inclusion of very low, low, or moderate-income affordable units in a development in which units are for sale must ensure that a for-sale unit that qualified the applicant for the award of the density bonus meets either of the following conditions:

a.

The unit is initially occupied by a person or family of a very low, low, or moderate-income household. The unit is offered at an affordable housing cost as defined in the Health and Safety Code Section 50052.5 (Government Code Section 65915(c)(2)) and is subject to an equity sharing agreement.

b.

The unit is purchased by a qualified nonprofit housing corporation pursuant to a recorded contract that satisfies all of the requirements specified in paragraph (10) of subdivision (a) of Section 402.1 of the Revenue and Taxation Code and that includes all of the following:

i.

A repurchase option that requires a subsequent purchaser of the property that desires to resell or convey the property to offer the qualified nonprofit corporation the right to repurchase the property prior to selling or conveying that property to any other purchaser.

ii.

An equity sharing agreement.

iii.

Affordability restrictions on the sale and conveyance of the property that ensure that the property will be preserved for lower income housing for at least forty-five years for owner-occupied housing units and will be sold or resold only to persons or families of very low, low, or moderate income, as defined in Section 50052.5 of the Health and Safety Code.

2.

The city shall enforce the equity-sharing agreement unless it is in conflict with the requirements of another public funding source or law (Government Code Section 65915(c)(2)). The equity-sharing agreement shall be between the city and the buyer or the developer and the buyer if the developer is the seller of the unit. The following provisions will be included in the equity-sharing agreement:

a.

Upon resale, the seller of the unit shall retain the value of improvements, the down payment, and the seller's proportionate share of appreciation. The city shall recapture any initial subsidy, as defined in subparagraph (ii), and its proportionate share of appreciation, as defined in subparagraph (iii), which amount shall be used within five years for any of the purposes described in Health and Safety Code Section 33334.2(e) that promote homeownership (Government Code Section 65915(c)(2)(C)).

b.

The city's initial subsidy shall be equal to the fair market value of the unit at the time of initial sale minus the initial sale price to the moderate-income household, plus the amount of any down payment assistance or mortgage assistance. If upon resale the market value is lower than the initial market value, then the value at the time of the resale shall be used as the initial market value (Government Code Section 65915(c)(2)(C)).

c.

The city's proportionate share of appreciation shall be equal to the ratio of the city's initial subsidy to the fair market value of the unit at the time of initial sale (Government Code Section 65915(c)(2)(C)).

d.

If the unit is purchased by a qualified nonprofit housing corporation pursuant to Section 17.39.250.C, the city may enter into a contract with the qualified nonprofit housing corporation under which the qualified nonprofit housing corporation would recapture any initial subsidy and its proportionate share of appreciation if the qualified nonprofit housing corporation is required to use one hundred percent of the proceeds to promote homeownership for lower-income households as defined by Health and Safety Code Section 50079.5 within the city's jurisdiction (Government Code Section 65915(c)(2)(C)).

4.

Criteria for Denial of Application for a Density Bonus and Incentive. An applicant is ineligible for a density bonus or any other incentives under this chapter if the housing development is proposed on any property that includes a parcel or parcels where rental dwelling units are; or, if the dwelling units have been vacated or demolished in the five-year period preceding the application, have been subject to:

a.

A recorded covenant, ordinance, or law that restricts rents to levels affordable to persons and families of lower or very low income; or

b.

Any other form of rent or price control through a public entity's valid exercise of its police power; or occupied by lower-income households, unless the proposed housing development replaces those units, and either of the following applies:

i.

The proposed housing development, inclusive of the units replaced pursuant to this paragraph, contains affordable units at the percentages set forth in subdivision (2) below.

ii.

Each unit in the development, exclusive of a manager's unit or units, is affordable to, and occupied by, a lower-income household.

This does not apply to an applicant seeking a density bonus for a proposed housing development if the applicant's application was submitted to, or processed by the city before January 1, 2015.

c.

Replacement. The term "replace" in Section 17.39.310 means either of the following:

i.

If any dwelling units described in paragraph (4) above are occupied on the date of application, the proposed housing development must provide at least the same number of units of equivalent size to be made available at affordable rent or affordable housing cost to, and occupied by, persons and families in the same or lower income category as those households in occupancy. If the income category of the household in occupancy is not known, it will be rebuttably presumed that lower income renter households occupied these units in the same proportion of lower income renter households to all renter households within the jurisdiction, as determined by the most recently available data from the United States Department of Housing and Urban Development's Comprehensive Housing Affordability Strategy database. For unoccupied dwelling units described in subparagraph (4) above in a development with occupied units, the proposed housing development will provide units of equivalent size to be made available at affordable rent or affordable housing cost to, and occupied by, persons and families in the same or lower income category as the last household in occupancy. If the income category of the last household in occupancy is not known, it will be rebuttably presumed that lower income renter households occupied these units in the same proportion of lower income renter households to all renter households within the jurisdiction, as determined by the most recently available data from the United States Department of Housing and Urban Development's Comprehensive Housing Affordability Strategy database.

ii.

If all dwelling units described in paragraph (4) have been vacated or demolished within the five-year period preceding the application, the proposed housing development must provide at least the same number of units of equivalent size as existed at the highpoint of those units in the five-year period preceding the application to be made available at affordable rent or affordable housing cost to, and occupied by, persons and families in the same or lower income category as those persons and families in occupancy at that time, if known. If the incomes of the persons and families in occupancy at the highpoint is not known, it must be rebuttably presumed that low-income and very low-income renter households occupied these units in the same proportion of low-income and very low income renter households to all renter households within the jurisdiction, as determined by the most recently available data from the United States Department of Housing and Urban Development's Comprehensive Housing Affordability Strategy database.

If the replacement units will be rental dwelling units, these units are subject to a recorded affordability restriction for at least fifty-five years. If the proposed development is for-sale units, the units replaced are subject to an equity-sharing agreement pursuant to paragraph (3) above.

d.

For any dwelling unit described in paragraph (4) that is or was, within the five-year period preceding the application, subject to a form of rent or price control through a local government's valid exercise of its police power and that is or was occupied by persons or families above lower income, the city may either:

i.

Require that the replacement units be made available at affordable rent or affordable housing cost to, and occupied by, low-income persons or families. If the replacement units will be rental dwelling units, these units are subject to a recorded affordability restriction for at least fifty-five years. If the proposed development is for-sale units, the units replaced are subject to paragraph (3).

ii.

Minimum Affordable Housing Component and Childcare Facility. If an additional density bonus or incentive is granted because a childcare facility is included in the qualified housing development, the affordable housing agreement shall also include the affordable housing developer's obligations pursuant to Section 17.39.120 for maintaining a childcare facility, if not otherwise addressed through conditions of approval.

(Ord. No. 753, § 2, 10-4-2023)

A.

Requirements for Density Bonus or Incentive for Condominium Conversion Projects.

1.

Applicant to convert apartments to a condominium project agrees to provide at least:

a.

Thirty-three percent of the total units of the proposed condominium project to persons and families of moderate-income households, or

b.

Fifteen percent of the total units of the proposed condominium project to persons and families of low-income households.

2.

If applicant agrees to pay for the reasonably necessary administrative costs incurred by the city pursuant to this section, the city shall either:

a.

Grant a density bonus, or

b.

Provide other incentives of equivalent financial value (Government Code Section 65915.5(a)).

B.

Definition of Density Bonus for Condominium Conversion Projects. If the requirements of Section 17.39.0260.A are met, then the condominium conversion project will be entitled to an increase in units of twenty-five percent over the number of apartments, to be provided within the existing structure or structures proposed for conversion from apartments to condominiums (Government Code Section 65915.5(b)).

C.

Presubmittal Preliminary Proposals for Density Bonus or Incentive for Condominium Conversion Projects. Prior to the submittal of a formal request for subdivision map approval or other application for necessary discretionary approvals, an applicant to convert apartments to a condominium project may submit to the director a preliminary proposal for density bonus or other incentives of equivalent financial value. The director shall, within ninety days of receipt of a written proposal, notify the applicant of the director's preliminary response and schedule a meeting with the applicant to discuss the proposal and the director's preliminary response (Government Code Section 65915.5(d)).

D.

Application for Density Bonus or Incentives for Condominium Conversion Projects. An applicant must submit a completed application provided by the city for a density bonus or for other incentives of equivalent financial value. The application must be submitted concurrently with the application for the condominium conversion project. The application must include the following:

1.

All information and documentation necessary to establish that the requirements of Section 17.39.260 are met.

2.

The proposal for a density bonus or the proposal for other incentives of equivalent financial value.

3.

Site plans demonstrating the location of the units to be converted, the affordable units, the market-rate units, and the density bonus units in the condominium conversion project.

4.

Any other information and documentation requested by the city to determine if the requirements of Section 17.39.260 are met.

E.

Both the application for a density bonus or other incentives of equivalent financial value and the application for the condominium conversion must be complete before the application for a density bonus or other incentives of equivalent financial value will be considered.

F.

Granting Density Bonus or Incentive for Condominium Conversion Projects.

1.

Approval.

a.

If the requirements of Section 17.39.260 are met, the decision-making body for the condominium conversion project application is authorized to grant an application for a density bonus or other incentives of equivalent financial value, subject to Section 17.39.260.

b.

Reasonable conditions may be placed on the granting of a density bonus or other incentives of equivalent financial value that are found appropriate, including, but not limited to, entering into an affordable housing agreement pursuant to Section 17.39.250, which ensures continued affordability of units to subsequent purchasers who are persons and families of moderate-income households or low-income households (Government Code Section 65915.5(a)).

2.

Ineligibility. An applicant shall be ineligible for a density bonus or other incentives of equivalent financial value if the apartments proposed for conversion constitute a qualified housing development for which a density bonus as defined in Section 17.39.040 or other incentives were provided (Government Code Section 65915.5(f)).

3.

Decision on Condominium Conversion Project. Nothing in this section shall be construed to require the city to approve a proposal to convert apartments to condominiums (Government Code Section 65915.5(e)).

(Ord. No. 753, § 2, 10-4-2023)

A.

Occupancy. Prior to occupancy of an affordable unit, the household's eligibility for occupancy of the affordable unit must be demonstrated to the city. This provision applies throughout the restricted time periods pursuant to Section 17.39.250 and applies to any change in ownership or tenancy, including subletting, of the affordable unit.

B.

Ongoing Compliance. Upon request, the affordable housing developer must show that the affordable units are continually in compliance with this chapter and the terms of the affordable housing agreement. Upon thirty-day notice, the city may perform an audit to determine compliance with this chapter and the terms of any agreement or restriction.

C.

Enforcement. The city has the authority to enforce the provisions of this chapter, the terms of affordable housing agreements and equity sharing agreements, deed restrictions, covenants, resale restrictions, promissory notes, deed of trust, conditions of approval, permit conditions, and any other requirements placed on the affordable units or the approval of the qualified housing development. In addition to the enforcement powers granted in this chapter, the city may, at its discretion, take any other enforcement action permitted by law, including those authorized by city ordinances. Such enforcement actions may include, but are not limited to, a civil action for specific performance of the restrictions and agreement(s), damages for breach of contract, restitution, and injunctive relief. The remedies provided for herein shall be cumulative and not exclusive and shall not preclude the city from seeking any other remedy or relief to which it otherwise would be entitled under law or equity.

(Ord. No. 753, § 2, 10-4-2023)