The provisions of this Article are intended to:

A.

Implement the Housing Element of the General Plan and maintain consistency with the requirements of State Density Bonus Law (Government Code Section 65915 et seq.);

B.

Achieve a balanced community with a wide range of housing available for households of all income levels;

C.

Increase the supply of housing units available, accessible, and affordable for moderate-, low-, very low- and extremely low-income households who are most in need of housing, including housing for seniors, the disabled, large families, and other households with special housing needs, as defined in the Housing Element;

D.

Address the need for affordable housing related to employment growth associated with new or expanded market rate housing development;

E.

Address the need for affordable housing related to employment growth associated with new or expanded nonresidential development;

F.

Ensure that the remaining developable land within the County is utilized in a manner consistent with the County's affordable housing goals, objectives, policies, and programs;

G.

Provide affordable housing units to serve varying housing needs and income levels that are compatible in character and quality with their surrounding neighborhoods; and

H.

Maintain the physical condition and affordability of units produced through the provisions of this Article over time.

(Ord. No. 6458, § XVII, 12-5-2023; Ord. No. 6085, § IV(Exh. C), 10-7-2014)

The provisions of this Article shall apply to all proposed residential projects, unless otherwise provided in this Article.

(Ord. No. 6085, § IV(Exh. C), 10-7-2014)

A.

Administrative responsibility. The requirements and procedures of this Article shall be administered by the Department, and the Sonoma County Community Development Commission, hereafter referred to as the "CDC." The Board may adopt policies for the purposes of administering the Affordable Housing Program which policies may be amended from time to time.

B.

Affordable Housing Requirements. Unless otherwise exempt under Subsection 26.89.040 B. (Exempt projects), any person who constructs one or more residential units shall provide affordable housing through one of the following:

1.

On-site construction of affordable units in accordance with Subsections 26.89.040.C.1. (Ownership Projects), 26.89.040.C.2 (Condominium or Timeshare Projects), 26.89.040.C.3 (Rental Projects), or 26-89-045.C (On-site Construction of Units); or

2.

Payment of an affordable housing fee in accordance with Subsection 26.89.040.D (Affordable housing fee) or 26-89-045.D (Workforce housing fee); or

3.

An alternative equivalent action approved in accordance with Subsection 26.89.040.E (Alternative Equivalent Actions) or 26.89.045.E (Alternative Equivalent Actions).

C.

Calculation of base units, affordable units, and density bonus units. The following requirements apply to calculations performed in the administration of the provisions of this Article regarding base, affordable and density bonus units, except that calculations for a State law density bonus shall be as provided in the State Density Bonus Law.

1.

When calculating the number of base dwelling units allowed on the site in compliance with this Development Code, any decimal fraction shall be disregarded.

2.

Density bonus units are counted in the total when determining the number of affordable units required in a Rental or Ownership Housing Opportunity Area Program project.

3.

Density bonus units are not counted when determining the number of affordable or senior units required to qualify a project for a density bonus or incentives under the State density bonus program.

4.

When calculating the number of affordable or senior units required, any decimal fraction shall be counted as a whole unit, except as specifically provided by Subsection 26-89-040.E.

5.

When calculating the number of density bonus units to be granted to an applicant, a fractional unit shall be rounded up to the nearest whole number.

6.

An Accessory Dwelling Unit shall not be considered a base unit when calculating affordable housing, workforce housing, or density bonus program requirements, nor shall it be considered as an affordable unit except when meeting the affordable housing requirement for one (1) single-family home on one (1) single parcel, as provided in Subsection 26-89-040.C.5.c, or if provided under an Affordable Housing Agreement and approved as an Alternative Equivalent Proposal consistent with Subsection 26-89-040.E and the requirements of Section 26-89-070 (Design and Construction Standards).

D.

Design and construction standards. All affordable and senior housing units provided in compliance with this Article shall be designed and constructed in compliance with the standards in Section 26-89-070 (Design and Construction Standards).

E.

Affordable housing incentives. A residential project that complies with the requirements of this Article through the construction of affordable units on-site may be entitled to incentives in compliance with Section 26-89-060 (Affordable Housing Incentives).

F.

Density bonus available. A residential project that complies with the requirements of this Article through the construction of affordable units on-site may also qualify for a density bonus in compliance with Section 26-89-050 (Density Bonus Programs).

G.

Housing Proposal required.

1.

Applicants for residential projects shall submit, with the initial project application, an Affordable Housing Proposal, which shall include a site plan and a detailed proposal statement describing how the project will comply with the provisions of this Article (i.e., provision of units on-site, payment of fees, or alternative equivalent action).

2.

The Affordable Housing Proposal shall include a listing of the number, type, size, tenure, number of bedrooms, and proposed affordability level for each and every unit within the development.

3.

No application for any residential project shall be deemed complete until the Affordable Housing Proposal is submitted.

4.

Modifications to an existing application shall be considered a new application for the purposes of permit streamlining.

5.

The Affordable Housing Proposal shall be considered and acted upon by the review authority at the same time as the permit for the residential project that is the subject of the proposal.

6.

Project approvals and conditions shall incorporate the provisions of the Affordable Housing Proposal, as approved or modified by the review authority.

H.

Permit requirements. Implementation of the Affordable Housing Proposal shall be ensured through the following, as applicable:

1.

Discretionary permits. Each discretionary permit authorizing a residential project, including tentative maps, shall contain a condition detailing the actions required for compliance with this article (i.e., provision of units on-site, payment of fees, or alternative equivalent action).

2.

Final or parcel maps. Each final map or parcel map shall bear a note indicating the method of compliance with the requirements of this Article, and stating that an Affordable Housing Agreement shall be recorded, fees paid, or alternative action undertaken in compliance with subsections Section 26-89-040.E (Alternative Equivalent Actions) or Section 26-89-040.F (Affordable Housing Fee) before issuance of a no building permit with respect to each parcel created by the map.

3.

Building Permits. Unless the unit is exempt under Subsection 26-89-040.B (Exempt Projects) or under State law, no building permit shall be issued for a residential unit until the applicant has demonstrated compliance with this Article through recordation of an Affordable Housing Agreement, through payment of fees, or through alternative equivalent action authorized in compliance with subsections 26-89-040.E (Alternative Equivalent Actions).

I.

Timing of construction. If a residential project will comply with the requirements of this Article through the construction of affordable housing units, whether on- or off-site, all required affordable units shall be constructed concurrent with, or before, the construction of the market rate units. If the County approves a phased project, the required affordable units shall be provided within each phase of the residential project in the same proportion as in the project as a whole.

J.

Housing agreement required for affordable units. If a residential project will comply with the requirements of this Article through the construction of affordable housing units on- or off-site, the property owner shall execute an Affordable Housing Agreement (in compliance with Section 26-89-100, Affordable Housing Agreements) before any of the following:

1.

Any ministerial action by the County with regard to the project;

2.

Recordation of a final map; or

3.

Issuance of a building permit for any unit within the project. The provisions contained within an Affordable Housing Agreement shall be enforceable by the County, and any violation of the agreements shall constitute a violation of this Code.

K.

Conflicts with State law. In any instance where a provision of this Article conflicts with State law, the State law shall govern.

(Ord. No. 6458, § XVIII, 12-5-2023; Ord. No. 6403, 3-7-2023; Ord. No. 6085, § IV(Exh. C), 10-7-2014)

A.

Applicability and requirements. Unless otherwise exempt under Subsection 26-89-040.B (Exempt Projects), any person who constructs or develops one (1) or more residential units, whether a single-family home, units in multi-family dwellings, or by condominium conversions or otherwise, shall provide affordable housing through one (1) or more of the following three (3) methods:

1.

On-site construction of the required affordable units. Provide the required affordable unit(s) on-site, in compliance with the Section 26-89-040.C (Minimum Requirements for Construction of Affordable Units On-Site);

2.

Payment of affordable housing fee. Pay an affordable housing fee in compliance with Subsection 26-89-040.D (Affordable Housing Fee); or

3.

Alternative equivalent actions. Perform an alternative equivalent action in compliance with Subsection 26-89-040.E (Alternative Equivalent Action); which may be allowed to fulfill the affordable housing requirements of this Section if approved by the Director, at his or her sole discretion.

B.

Exempt projects. The affordable housing requirements of this Section shall not apply to the following exempt projects and unit types:

1.

Project with vested rights. A project that demonstrates a vested right to proceed without complying with this Section.

2.

Affordable units. Affordable units which are subject to an Affordable Housing Agreement.

3.

Accessory dwellings. Accessory dwelling units and junior accessory dwelling units.

4.

Agricultural related housing. Farm family units of up to 1,200 square feet, agricultural employee units of up to 1,200 square feet, and seasonal, year-round, and extended seasonal farmworker housing.

5.

Alternative housing. Homeless shelters, transitional housing, supportive housing, single room occupancy facilities, community care facilities, group homes, and similar State licensed care facilities.

6.

Dwelling unit destroyed by fire or natural catastrophe. Repair, reconstruction, or replacement of a legal dwelling unit that is destroyed by fire or natural catastrophe, provided that a Building Permit for repair, reconstruction, or replacement has been issued and construction begun within 10 years of destruction.

7.

Residential remodels and minor additions that add no more than 1,000 square feet. Remodels and additions that add no more than 1,000 square feet to existing, legal dwelling units that do not result in the creation of an additional unit.

8.

Replacements. Replacement of an existing, legal dwelling unit where the total living area within the replacement unit is no more than 1,000 square feet greater than the living area within the unit being replaced.

9.

Parcels with existing affordable units. The construction or establishment of one (1) new home on one (1) single parcel, in conjunction with an Accessory Dwelling Unit subject to an Affordable Housing Agreement, or a farm family unit or an agricultural employee dwelling unit of one thousand (1,000) square feet or less.

10.

General exemption. Residential projects that can demonstrate that they will not contribute to the demand for affordable housing in the County or adversely impact the County's ability to meet its affordable housing needs.

C.

Minimum Requirements for Construction of Affordable Units On-Site. To satisfy the requirements of this Article through the construction of affordable units on-site, the following minimum standards must be met:

1.

Number of Units: Ownership projects. To meet the requirements of this Article through construction of affordable units on-site within an ownership housing project, at least 20 percent of all new dwelling units shall be affordable, and shall be constructed and completed at the same time as the market rate units in the same project.

a.

Level of affordability required. At least one-half of the total number of required affordable units shall be provided as affordable to low-income households.

b.

Remaining affordable units. The remaining affordable units may be provided as affordable to households with moderate or low incomes.

c.

When number of units is an odd number. If the number of required affordable units is an odd number, the number of units affordable to moderate income households may be one greater than the number affordable to low-income households, so long as at least one low-income unit is provided.

2.

Number of Units: Condominium ortimeshare conversion projects. To meet the requirements of this Article through the provision of affordable units on-site within a project converting existing rental units or airspace parcels to condominium ownership, including common interest or timeshare projects, at least 30 percent of the converted units shall be offered for sale as affordable to low and very-low income households, as required by Housing Element Policy HE-1e or its subsequent equivalent.

3.

Number of Units: Rental projects. To meet the requirements of this Article through construction of affordable units on-site within a rental housing project at least 15 percent of all new rental units shall be affordable to low- and very low-income households; or, at least 10 percent of all new rental units shall be affordable to very low- and extremely low-income households, as follows:

a.

Allocation of Units—15 percent option. If the person constructing or developing a rental housing project proposes to satisfy the requirements of this Article by providing 15% of the units as affordable rental units, at least one-half of the total number of required affordable units shall be provided as affordable to very low-income households. The remaining affordable units may be provided as affordable to low- or very low-income households. If the number of required affordable units is an odd number, the number of units affordable to low-income households may be one greater than the number affordable to very low-income households.

b.

Allocation of Units—10 percent option. If the person constructing or developing a rental housing project proposes to satisfy the requirements of this Article by providing 10% of the units as affordable rental units, at least one-half of the total number of affordable units shall be provided as affordable to extremely low-income households. The remaining affordable units may be provided as affordable to very low-income or extremely low-income households. If the number of required affordable units is an odd number, the number of units affordable to very low-income households may be one greater than the number affordable to extremely low-income households.

c.

Timing. All affordable units provided pursuant to this subsection shall be constructed and made available for rent at the same time as the market-rate units within the remainder of the residential development.

4.

Affordable Housing Agreement. Upon approval of any project proposing to provide affordable units on-site in compliance with this Section, and before any further action by the County concerning the project, including the recording of a final map, or the issuance of a Building Permit, the property owner shall execute an affordable housing agreement in compliance with Section 26-89-100 (Affordable Housing Agreements). The affordable housing agreement shall be recorded concurrently with the final map, or before the issuance of a Building Permit, whichever occurs first.

5.

Fractional calculations. If calculating the number of units required by Subsection 26.89.030.C. (Calculation of base units, affordable units, and density bonus units) or Subsection 26.89.040.C (Minimum Requirements for Construction of Affordable Units On-Site). results in a fractional unit requirement, the applicant may satisfy that fractional requirement by:

a.

Construction of an additional affordable unit;

b.

On qualifying agricultural parcels, construction or conversion of a unit to a farm family or agricultural employee unit containing not more than one thousand (1,000) square feet of living area, or a farmworker bunkhouse containing at least two (2) bunks for unaccompanied workers in compliance with Subparagraphs 26-88-010(l) (Seasonal Farmworker Housing) or 26-88-010(o) Year-Round or Extended Seasonal Farmworker Housing. Farm family and agricultural employee units may be constructed to satisfy a fractional requirement under this Subparagraph only, and shall not otherwise be considered an affordable unit for the purposes of meeting the affordable unit requirements of this Article; or,

c.

On parcels eligible for an accessory dwelling unit, construction or conversion of an existing unit to an accessory dwelling unit pursuant to 26-88-060 (Accessory Dwelling Units). Accessory dwelling units may be constructed to defer payment of the affordable housing fee that would otherwise be due for the construction of one (1) new single-family home on one (1) single parcel only, provided that an Affordable Housing Fee Deferral Agreement, in a form acceptable to County Counsel, is signed by the property owner and recorded to ensure that the unit will remain available for rent to a qualified low-income household at an affordable rent. The fee will be automatically deferred in each year that the second dwelling unit continues to be made available for rent under the terms of the Affordable Housing Fee Deferral Agreement. Should the property owner cease renting the unit, or otherwise fail to comply with the terms of the Fee Deferral Agreement, then the affordable housing fee in effect at the time will be immediately due and payable to County and a Notice of Cancellation of the Affordable Housing Fee Deferral Agreement shall be recorded. In this case, credit shall be given for each year that the unit has been rented to a low income household at an affordable rent in compliance with the Agreement, with the term for being thirty (30) years. Any remaining portion of the term may be met through payment of the remaining prorated affordable housing fee, using the fee amount in effect at the time that the owner ceases renting the unit. Provision of an accessory dwelling unit shall not otherwise be considered as meeting the affordable unit requirements of this Article. In cases involving the subdivision of property, provision of a separate accessory dwelling unit on each parcel may meet the affordable unit requirement of this article only for each parcel upon which an accessory dwelling unit is placed and a covenant recorded to ensure that the unit will remain available for rent.

D.

Affordable housing fee. When the requirements of this Article are met through the payment of an affordable housing fee, payment shall be made in accordance with the following:

1.

Determination of fee. The amount and calculation of affordable housing fees shall be established by resolution of the Board. Thereafter, the affordable housing fees shall be increased or decreased annually by the percentage change in the Construction Cost Index for the San Francisco Bay Area for the prior year, as reflected in the third quarter Engineering News Record. The affordable housing fee shall be automatically adjusted, and a new schedule published by the Director effective on January 1 ^st of each year. This adjustment will offset the effects of inflation related to construction cost increases or deflation-related cost decreases. If the Construction Cost index is discontinued, the Director shall use a comparable index for determining the changes in the median home costs for the County. The fee shall be periodically reviewed and updated at least every five years.

2.

Timing of payment. The affordable housing fees shall be calculated at the time of Building Permit application. The fee shall be paid at the time of the wallboard inspection for each non-exempt residential unit, unless proof is provided that the required affordable housing units will be constructed on site; that an alternative equivalent action was previously approved in compliance with Subsection 26-89-040.E (Alternative Equivalent Actions); or that a fee deferral agreement in compliance with Section 26-89-040.C.5.c has been granted.

3.

Affordable Housing Fee Trust Fund Guidelines. There shall be established a separate account for affordable housing fees within the County Fund for Housing (CFH) as may be necessary to avoid commingling as required by law, or as deemed appropriate to further the purposes of the affordable housing fees. The County's use of the affordable housing fees, along with any interest earnings, shall comply with all of the following requirements.

a.

Affordable housing fees deposited in the CFH, along with any interest earnings, shall be allocated for uses that increase and improve the supply of housing affordable to households of extremely low-, very low-, low-, and moderate incomes, including:

(1)

The acquisition of property and property rights; and

(2)

The cost of construction including costs associated with planning, administration, and design, building or installation, development fees, on- and off-site improvements, and any other costs associated with the planning, predevelopment, permitting, construction and financing of affordable housing.

b.

Monies may also be used to cover administrative expenses incurred by the Department or the CDC in connection with affordable housing and not otherwise reimbursed through processing and other fees, including:

(1)

Reasonable consultant and legal expenses related to the establishment and/or administration of the affordable housing fee account;

(2)

Reasonable expenses for administering the process of calculating, collecting, and accounting for affordable housing fees authorized by this Section; and

(3)

County and CDC administrative costs for project development, permitting, post development compliance, and the ongoing monitoring of affordable housing projects constructed with affordable housing fee trust funds.

c.

Adequate cost accounting procedures shall be utilized and documented for all of the expenditures.

d.

No portion of the collected affordable housing fees shall be diverted to other purposes by way of loan or otherwise.

E.

Alternative equivalent actions. The Director may, at his or her sole discretion, approve an alternative equivalent action to the provision of the affordable units on-site or payment of the affordable housing fee, as follows.

1.

Scope of alternative proposals. Proposals for an alternative equivalent action may include:

a.

The dedication of vacant land (see Subsection 26-89-040.E, Standards for land dedications);

b.

The construction of affordable rental or ownership units on another site within the unincorporated area of the County; or

c.

The acquisition and enforcement of rental or sales price restrictions on existing market rate dwelling units in compliance with this Article.

2.

Content of proposal. A proposal for an equivalent alternative action shall show how the requested alternative action will further affordable housing opportunities in the County to an equal or greater extent than the provision of the affordable housing units on-site in compliance with Subsection C. (Number of affordable units required), or payment of the affordable housing fee in compliance with Subsection 26-89-040.D (Affordable housing fee).

3.

Review and approval. Only the Director can approve an alternative equivalent action under this Section. A proposal for an alternative equivalent action may be approved by the Director only if the Director finds that the alternative action will further affordable housing opportunities in the County to an equal or greater extent than the construction of the required affordable units as part of the project or payment of the affordable housing fee, as applicable.

4.

Performance of alternative action. After approval by the Director of a proposal for an alternative action, entitlements for that alternative action shall be processed concurrent with the market-rate project. If the alternative action includes construction of affordable units on another site or the acquisition and enforcement of rental/sales price restrictions on existing market rate units, an Affordable Housing Agreement in compliance with Section 26.89.100 (Affordable Housing Agreements) shall be recorded for each of those units before recordation of any final map for, or issuance of any building permit related to, the market-rate project, and the affordable units shall be constructed or acquired concurrent with, or before, the construction of the market rate units.

5.

Standards for land dedications.

a.

Offers of dedication. An applicant who proposes to dedicate land located within the unincorporated area of the County as a means of satisfying the requirements of this Article shall offer the land dedication as a part of the initial application for project approval. The applicant's offer shall describe the site, shall offer it for dedication at no cost to the County, and shall include a site plan illustrating the feasibility of locating and constructing the number of affordable units for which the applicant is requesting credit.

b.

Site suitability and appraisal.

(1)

The applicant shall provide a site suitability analysis which demonstrates that the land proposed for dedication is suitable for the development of affordable housing in terms of size, location, General Plan land use designation, availability of services, proximity to public transit, adjacent land uses, access, physical characteristics and configuration, and other relevant planning criteria. Department staff shall evaluate the site suitability analysis, identify the site's projected unit capacity, and recommend to the review authority whether the site should be accepted or conditionally accepted. An environmental evaluation may be required as a part of the site suitability analysis.

(2)

The applicant shall provide an appraisal of the land proposed for dedication. The appraisal shall be prepared by a qualified land appraiser and shall conform to the Uniform Standards of Professional Appraisal Practice as adopted by the Appraisal Standards Board of the Appraisal Foundation.

(3)

All County staff costs associated with the determination of site suitability, and all expenses incurred to determine legal status of the site, to perform environmental assessments and to obtain an appraisal, shall be borne by the applicant.

c.

Calculation of credit for dedication of land. Following review of the appraisal and site suitability analysis, the County shall determine the extent to which the dedication shall satisfy the requirements of this Article as follows:

(1)

The County shall offer to credit the applicant for the land dedication only to the extent that the appraised value of the land to be dedicated equals the full development cost of providing the required affordable units under Subsection 26-89-040.C.1 (Number of units: Ownership projects), subsection 26-89-040.C.2 (Number of units: Condominium or timeshare conversion projects) or Subsection 26-89-040.C.3 (Number of units: Rental projects), including both land costs and construction costs.

(2)

If the appraised value of the land is less than the total projected development cost for the number of affordable units required under Subsection 26-89-040.C.1 (Number of units: Ownership projects), Subsection 26-89-040.C.2 (Number of units: Condominium or timeshare conversion projects), or Subsection 26-89-040.C.3 (Number of units: Rental projects), the applicant will be credited with only the number of affordable units for which development costs are covered by the value of the land.

(3)

The applicant shall agree to satisfy any remaining obligations under this Article by providing additional affordable units on the project site, or paying applicable affordable housing fees.

(Ord. No. 6458, § XIX, 12-5-2023; Ord. No. 6403, 3-7-2023; Ord. No. 6223, § IV(Exh. D), 5-8-2018; Ord. No. 6129, § IIIA(Att. B), 8-18-2015; Ord. No. 6085, § IV(Exh. C), 10-7-2014)

A.

Applicability and requirements. Unless otherwise exempt under Subsection 26-89-045.B (Exempt projects), any person who constructs new or expanded nonresidential development, shall contribute to the County's affordable housing program through one (1) or more of the following three (3) methods:

1.

On-site construction of the required affordable units. Provide the required affordable unit(s) on-site, in compliance with Subsection 26-89-045.C (On-site Construction of Units) as allowed by the underlying zone district (i.e., mixed use, work/live);

2.

Payment of workforce housing fee. Pay the workforce housing fee in compliance with Subsection 26-89-045.D (Workforce housing fee); or

3.

Alternative equivalent actions. Perform an alternative equivalent action in compliance with Subsection 26-89-045.E (Alternative equivalent actions); which may be allowed to fulfill the affordable housing requirements of this Section if approved by the Director, at their sole discretion.

B.

Exempt projects. The affordable housing requirements of this Section shall not apply to the following exempt projects:

1.

Project with vested rights. A project that demonstrates a vested right to proceed without complying with this Section.

2.

Public and nonprofit projects. Public projects and nonprofit projects which provide a public benefit to the community.

3.

Small projects and additions. Projects and additions of less than 2,000 square feet in total gross floor area.

4.

Floor area discount. The requirements of this Section shall not apply to the first 2,000 square feet of nonresidential floor area in all new developments.

5.

Structures destroyed by fire or natural catastrophe. Repair, reconstruction, or replacement of a legal nonresidential structure that is destroyed by fire or natural catastrophe, provided that a Building Permit for repair, reconstruction, or replacement has been issued and construction begun within 10 years of destruction.

6.

Nonresidential replacements or remodels. Remodels or replacements to existing, legal structures that do not result in the creation of additional floor area.

7.

Do not contribute to the demand for affordable housing. Projects that clearly do not contribute to the demand for affordable housing (e.g., unmanned utility structures, parking garages, and agricultural exempt structures).

C.

On-Site Construction of Units. To satisfy the requirements of this Section through the construction of affordable units on-site, the following minimum standards must be met:

1.

Number of affordable units required. To satisfy the requirements of this Section through on-site construction, affordable housing units must be constructed on-site in compliance with the Table 1 (Number of affordable units required), below:

2.

Level of affordability required. At least one-half of the total number of required affordable units shall be provided as affordable to very low-income households. The remaining affordable units may be provided as affordable to households with low incomes.

If the number of required affordable units is an odd number, the number of units affordable to low-income households may be one greater than the number affordable to very low-income households, so long as at least one very low-income unit is provided.

TABLE 1
NUMBER OF AFFORDABLE UNITS REQUIRED

Notes:

1. For purposes of this table, the floor area excludes all garage areas permanently allocated for employee or customer vehicle parking.

2. All fractional units shall be rounded up to the nearest whole number.

3.

Affordable Housing Agreement. Upon approval of any nonresidential project proposing to provide affordable units on-site in compliance with this Section, and before any further action by the County concerning the project, including the recording of a final map, or the issuance of a Building Permit, the property owner shall execute an affordable housing agreement in compliance with Section 26-89-100 (Affordable Housing Agreements). The affordable housing agreement shall be recorded concurrently with the final map, or before the issuance of a Building Permit within the project, whichever occurs first.

4.

Timing of Construction of Units. Proposed affordable units shall be constructed on site concurrent with, or before, the construction of the nonresidential project. No occupancy of any portion of the nonresidential project shall be granted until occupancy of the affordable residential units is granted.

5.

Fractional units. If calculating the number of units required by this Section results in a fractional unit requirement, the applicant may satisfy that fractional unit requirement by:

a.

Constructing an additional affordable unit;

b.

Paying an fee in compliance with Subsection 26-89-045.E (Workforce housing fee); or,

c.

Performing an alternative equivalent action approved by the Director in compliance with Subsection 26-89-045.E (Alternative equivalent actions).

D.

Workforce housing fee. To satisfy the requirements of this Section through the payment of a fee, payment shall be made in accordance with the following:

1.

Determination of fee. The amount of the workforce housing fee shall be established by resolution of the Board. Thereafter, the workforce housing fee shall be increased or decreased annually by the percentage change in the Construction Cost Index for the San Francisco Bay Area for the prior year, as reflected in the third quarter Engineering News Record. The workforce housing fee shall be automatically adjusted, and a new schedule published by the Director, effective on January 1 st of each year. This adjustment will offset the effects of inflation related to construction cost increases or deflation-related cost decreases. If the Construction Cost index is discontinued, the Director shall use a comparable index for determining the changes in the median home costs for the County. The fee shall be periodically reviewed and updated at least every five years to reflect any changes in the need for affordable housing resulting from new nonresidential development.

2.

Timing of payment. The workforce housing fee shall be calculated at the time of Building Permit application. The fee shall be paid at the time of issuance of the Building Permit for each nonresidential project, unless proof is provided that the required affordable housing units will be constructed on-site or that an alternative equivalent action was previously approved in compliance with Subsection 26-89-040.F.

3.

Workforce Housing Fee Trust Fund Guidelines. There shall be established a separate account for workforce housing fees within the County Fund for Housing (CFH) as may be necessary to avoid commingling as required by law, or as deemed appropriate to further the purposes of the workforce housing fees. The County's use of the workforce housing fees, along with any interest earnings, shall comply with all of the following requirements.

a.

Workforce housing fees deposited in the CFH, along with any interest earnings, shall be allocated for uses that increase and improve the supply of housing affordable to households of extremely low-, very low-, low-, and moderate incomes, including:

(1)

The acquisition of property and property rights for the construction of affordable housing; and

(2)

The cost of construction including costs associated with planning, administration, and design, building or installation, development fees, on- and off-site improvements, and any other costs associated with the planning, predevelopment, permitting, construction and financing of affordable housing.

b.

Monies may also be used to cover administrative expenses incurred by the Department or the CDC in connection with affordable housing and not otherwise reimbursed through processing and other fees, including:

(1)

Reasonable consultant and legal expenses related to the establishment and/or administration of the workforce housing fee account;

(2)

Reasonable expenses for administering the process of calculating, collecting, and accounting for workforce housing fees authorized by this Section; and

(3)

County and CDC administrative costs for project development, permitting, post-development code compliance, and the ongoing monitoring of affordable housing projects constructed with workforce housing fee trust funds.

c.

Adequate cost accounting procedures shall be utilized and documented for all of the expenditures.

d.

No portion of the collected workforce housing fees shall be diverted to other purposes by way of loan or otherwise.

E.

Alternative equivalent actions. The Director may, in his or her sole discretion, approve an alternative equivalent action to the provision of the affordable units on site or payment of the workforce housing fee, as follows.

1.

Scope of alternative proposals. Proposals for an alternative equivalent action may include:

a.

The dedication of vacant land (see Subsection 26-89-045.F.5 Standards for land dedications);

b.

The construction of affordable rental or ownership units on another site within the unincorporated area of the County;

c.

The acquisition and enforcement of rental/sales price restrictions on existing market rate dwelling units in compliance with this Article; or

d.

Employer based programs providing direct subsidy to qualified employees, including mortgage buy-downs or rental assistance that provides long-term affordability.

2.

Content of proposal. A proposal for an equivalent alternative action shall show how the requested alternative action will further affordable housing opportunities in the County to an equal or greater extent than the provision of the affordable housing units on site in compliance with Subsection 26-89-045.C.1 (Number of affordable units required), or payment of the workforce housing fee in compliance with Subsection 26-89-045.D (Workforce housing fee).

3.

Review and approval. Only the Director can approve an equivalent alternative action under this Section. A proposal for an alternative equivalent action may be approved by the Director only if the Director finds that the alternative action will further affordable housing opportunities in the County to an equal or greater extent than the construction of the required affordable units as part of the project or payment of the workforce housing fee.

4.

Performance of alternative action. After approval by the Director of a proposal for an alternative action, entitlements for that alternative action shall be processed concurrent with the nonresidential projects. If the alternative action includes construction of affordable units on another site or the acquisition and enforcement of rental/sales price restrictions on existing market rate units, an Affordable Housing Agreement in compliance with Subsection 26.89.100 shall be recorded for each of those units before recordation of any final map for, or issuance of any building permit related to, the nonresidential project, and the affordable units shall be constructed or acquired concurrent with, or before, the construction of the nonresidential project.

5.

Standards for land dedications.

a.

Offers of dedication. An applicant who proposes to dedicate land located within the unincorporated area of the County in lieu of constructing the affordable units required by this Section shall offer the land dedication as a part of the initial application for project approval. The applicant's offer shall describe the site, shall offer it for dedication at no cost to the County, and shall include a site plan illustrating the feasibility of locating and constructing the number of required affordable units for which the applicant is requesting housing fee credit.

b.

Site suitability and appraisal.

(1)

The applicant shall provide a site suitability analysis which demonstrates that the land proposed for dedication is suitable for the development of affordable housing in terms of size, location, General Plan land use designation, availability of services, proximity to public transit, adjacent land uses, access to streets and walkways, physical characteristics and configuration, and other relevant planning criteria. Department staff shall evaluate the site suitability analysis, identify the site's projected unit capacity, and recommend to the review authority whether the site should be accepted or conditionally accepted. An environmental evaluation may be required as a part of the site suitability analysis.

(2)

The applicant shall provide an appraisal of the land proposed for dedication. The appraisal shall be prepared by a qualified land appraiser and shall conform to the Uniform Standards of Professional Appraisal Practice as adopted by the Appraisal Standards Board of the Appraisal Foundation.

(3)

All County staff costs associated with the determination of site suitability, and all expenses incurred to determine legal status of site, to perform environmental assessments and to obtain an appraisal, shall be borne by the applicant.

c.

Number of units credited to dedication of land. Following review of the appraisal and site suitability analysis, the County shall determine the number of required affordable housing units for which the applicant will receive credit upon dedication of the site.

(1)

The County will offer to credit the applicant for the land dedication only to the extent that the appraised value of the land to be dedicated equals the full development cost of providing the required affordable units including both land costs and construction costs.

(2)

If the appraised value of the land is less than the total projected development cost for the number of affordable units required, the applicant will be credited with only the number of affordable units for which development costs are covered by the value of the land.

(3)

The applicant shall agree to provide any remaining affordable units required by this Section on the project site, or to pay the applicable workforce housing fee for the remaining number of required units.

d.

Procedure for acceptance of site. The County shall not accept an offer of dedication or approve the proposed nonresidential project until all of the conditions of acceptance of the land, if any, have been completed by the applicant. The County's formal acceptance of the offer of dedication shall take place concurrently with its approval of the nonresidential project. The grant deed dedicating the site to the County, or to a developer of affordable housing approved by the County, shall be recorded before issuance of any building permit related to the nonresidential project.

(Ord. No. 6403, 3-7-2023; Ord. No. 6223, § IV(Exh. D), 5-8-2018; Ord. No. 6085, § IV(Exh. C), 10-7-2014)

A.

Applicability.

1.

A project that is proposed to provide affordable housing units or to provide land for the affordable housing units, and which meets or exceeds the minimum thresholds of affordability specified below, may request a density bonus in compliance with one of the applicable density bonus programs provided by this Section.

2.

Only one density bonus program may be applied to each project.

3.

Density bonus programs shall not be applied to General Plan and Zoning Database amendments, but rather may be approved only in conjunction with a development permit (i.e., tentative map, parcel map, Conditional Use Permit, or Design Review).

B.

Application requirements. The density bonuses provided by this Section shall be granted by the County only after the filing and approval of an application, as follows.

1.

Application filing. The applicant shall file with the Department an application for a density bonus and other incentives in compliance with this Section either before, or concurrent with, the submittal of an application for discretionary project approval (for example, a tentative map, parcel map, conditional use permit or design review). Modifications to an existing application for a density bonus shall be considered a new application.

2.

Application requirements. An application shall include all of the following information:

a.

A detailed development plan and description of the proposed project, including a Housing Proposal in compliance with Subsection 26-89-030.G. (Housing Proposal Required) outlining the number, type, size, tenure, number of bedrooms and proposed affordability level for each and every unit within the development;

b.

The density bonus program under which the application is filed (e.g., State density bonus program, Supplemental density bonus program, Mixed use project density bonus, Rental Housing Opportunity Area Program, or Ownership Housing Opportunity Area Program);

c.

The type of density bonus incentive requested, of those listed in Section 26-89-060 (Affordable Housing Incentives);

d.

If more than one (1) incentive is requested in compliance with Subsection 26-89-060.B. (Affordable Housing Incentives: Additional Incentives), a statement of why the project is eligible for the additional incentives. Eligibility for the additional incentive may be shown by establishing that the project is in compliance with Subsection 26-89-060.B.1., that the project meets other Housing Element goals (e.g., provision of housing for seniors, special housing needs individuals, and/or other goals), and/or that the additional incentive is necessary to improve the financial feasibility of the development and to allow the applicant to provide additional affordability or affordability for a longer term;

e.

Any other information deemed necessary by the Director to allow a complete evaluation of the application.

3.

Consideration of application. An application for a density bonus shall be considered and approved only as an integral part of the County's approval of a discretionary development permit for the project (i.e., at the time of approval of a subdivision, Conditional Use Permit, Design Review, or other required land use permit). The project approval shall identify the density bonus and other incentive(s) that the County has granted the applicant, and any waiver or modification of standards that may have been approved for the project.

C.

State density bonus program. The State density bonus program includes the density bonuses and other incentives and concessions that are provided by the state density bonus law (Government Code Section 65915 et seq.) Qualification requirements, the amount of density bonus and the number and type of incentives shall be determined as provided in the State density bonus law.

D.

County supplemental density bonus program.

1.

In addition to the incentives provided by Section 26-89-060 (Affordable Housing Incentives), a residential project of five or more base units shall be eligible for a density bonus of up to 50 percent above the maximum density allowed by the General Plan and zone district, if the project provides a total of:

a.

10 percent or more of the base units for extremely low-income households;

b.

20 percent or more of the base units for very low-income households;

c.

30 percent or more of the base units for low-income senior households;

d.

30 percent or more of the base units for low-income households, with 10 percent or more of those base units provided as fully accessible units for low-income disabled households;

e.

30 percent or more of the base units for low-income households, with 10 percent or more of those base units provided as large rental units with three or more bedrooms for low-income large family (5 or more persons) households; or

f.

40 percent or more of the base units for low-income households, or

g.

A state density bonus program-qualifying project for very-low or low-income households that also provides 33 percent or more of the total project units as powered by on-site renewable energy systems capable of generating at least 70 percent of the projected electrical energy demand of the units or results in an equivalent reduction in utility costs; or

h.

Thirty percent (30%) or more of the base units for low-income households, with one hundred percent (100%) of the total project units providing at least the basic tenets of universal design (stepless entry and thresholds, complete single floor living area with 32-inch doorways, and environmental controls at accessible heights).

E.

Housing Opportunity Program bonuses.

1.

Rental Housing Opportunity Program requirements. Rental housing projects consisting of two (2) or more base dwelling units may qualify for the Rental Housing Opportunity program.

a.

Rental Housing Opportunity areas established. Housing opportunity areas for rental housing may be established in locations designated by the General Plan Land Use Maps as:

(1)

Urban Residential, six (6) to twelve (12) dwelling units per acre, that are zoned R-2 (Medium Density Residential); and

(2)

Urban Residential twelve (12) to twenty (20) dwelling units per acre, that are zoned R-3 (High Density Residential).

b.

Rental housing project density increase. A rental project that is allowed two (2) or more dwelling units by the applicable zone district may be constructed at up to twice the base density, provided that a minimum of forty percent (40%) of the total units within the project will be provided as affordable for rent to very low-or low-income households, and further provided that in no case may the total density exceed that shown in Table 4, below.

c.

Rental Housing Opportunity development standards. A Rental Housing Opportunity development shall comply with all of the development standards established by this Development Code for the R3 (High Density Residential) zone district.

Table 4
MAXIMUM ALLOWABLE DENSITY

2.

Ownership Housing Opportunity Area Program requirements. Only residential projects consisting of four (4) or more base dwelling units may qualify for the Ownership Housing Opportunity Area Program,

a.

Ownership Housing Opportunity Areas established. Ownership Housing Opportunity Areas may be established in locations identified by the General Plan as Urban Residential with a density of two (2) to six (6) dwelling units per acre, and that are zoned R-1 or R-2.

b.

Ownership Housing Project Opportunity Area density increase. An Ownership Housing Opportunity Area project that is allowed four (4) or more dwelling units by the applicable zone district may be approved for development as a small-lot subdivision at a density of up to eleven (11) dwelling units per acre if:

(1)

The site is designated by the General Plan Land Use Map with a density of two (2) to six (6) dwelling units per acre;

(2)

A minimum of twenty percent (20%) of the units are reserved for sale to very low- or low-income households; and

(3)

The remainder of the units are reserved for sale to low- and moderate-income households.

c.

Ownership Housing Opportunity Area Project development standards. An ownership housing development shall comply with all of the following standards.

(1)

Parcel configurations and sizes. The parcel configurations within an Ownership Housing Opportunity Area development may include zero lot-line parcels, angled Z lots, zipper lots, flag lots, alternate width parcels, quad lots, and motor court lots. Parcel sizes may range from two thousand (2,000) to six thousand (6,000) square feet or more. A variety of parcel configurations and parcel sizes shall be provided in a development on any site larger than three (3) acres.

(2)

Allowable floor area ratio. Allowable dwelling size shall be based on parcel area. Actual house sizes, as well as parcel sizes, in a proposed development plan may vary so long as the averages shown in Table 5, below, are maintained. "Dwelling size" refers to the gross living area of the primary dwelling only; storage sheds, garages, carports, covered patios, and decks are not included in the gross living area.

Table 5
DWELLING SIZE

Note: All quantities are in square feet of floor area (can be interpolated).

How to Use the Table. First, determine the average parcel size of the single-family parcels in the proposed development. Next, determine the allowable average dwelling size of the single-family dwellings in the proposed development. The average dwelling size shall not be greater than shown in the table.

(3)

Subsequent expansions or additions. Subsequent expansions or additions to dwelling units, if not shown on the development plan, may be allowed in the future only where the proposed expansion is within a designated building envelope shown on the development plan.

(4)

Setback/yard requirements. Setbacks and yards shall be provided in compliance with the standards of the R-3 zone district.

(a)

Setbacks for all proposed and possible future structures or additions shall be designated on the development plan.

(b)

Front yard setbacks shall be varied.

(c)

A garage or carport with a vehicle entrance facing the street shall be set back a minimum of 20 feet from the rear of the public sidewalk, or 20 feet from the property or adopted street plan line, whichever is greater.

(5)

Private open space requirement. Each dwelling unit or parcel shall be designed to provide a minimum of 400 square feet of usable private open space.

(6)

Maximum structure height. The maximum height of structures is 35 feet.

(7)

Maximum coverage. Maximum allowable structure coverage is 65 percent. The use of alternative permeable surfaces is strongly encouraged for driveways, walkways, and patios wherever feasible in order to maintain or enhance groundwater absorption and recharge.

d.

Alternatives to development standards. An applicant for an Ownership Housing Opportunity Area project may propose alternatives to the development standards in Subsection 26-89-050.E.2 above, provided that in no case shall the residential density exceed eleven (11) units per acre. Conditional use permit approval shall be required to authorize alternative development standards. A conditional use permit application for alternative standards shall be processed concurrently with the required design review and subdivision applications.

(Ord. No. 6458, § XX, 12-5-2023; Ord. No. 6403, 3-7-2023; Ord. No. 6223, § IV(Exh. D), 5-8-2018; Ord. No. 6085, § IV(Exh. C), 10-7-2014)

A residential project that provides affordable housing onsite in compliance with the affordable housing requirements of Section 26-89-040 (Affordable Housing Requirements for Residential Development), or the requirements of a density bonus program under Section 26-89-050 (Density Bonus Programs), may be granted incentives in compliance with this Section.

A.

Guaranteed Incentives. The following incentives are guaranteed for each residential project providing on-site affordable housing in compliance with Subsection 26-89-040.C (Affordable Housing Requirements: Minimum Requirements for Construction of Affordable Units On-Site), Subsection 26-89-050.C (State density bonus program), Subsection 26-89-050.D (County supplemental density bonus program), or Subsection 26-89-050.F (Housing Opportunity Area Program bonuses):

1.

"Fast-tracking" of land use permit, subdivision, and construction permit applications for the affordable housing development by all County departments, provided that an affordable rental project shall have priority over an affordable ownership project;

2.

Concurrent processing, where projects require multiple permits or environmental review; and

3.

Preference to affordable housing developments in priority development areas.

B.

Additional Incentives.

1.

In addition to the incentives guaranteed under Subsection 26-89-060.A, the review authority shall also grant one (1) of the following incentives to each residential project providing on-site affordable housing in compliance with Section 26-89-040.C (Affordable Housing Requirements: Minimum Requirements for Construction of Affordable Units On-Site), Section 26-89-050.C (State density bonus program), 26-89-050.D (County supplemental density bonus program), or Section 26-89-050.F. (Housing Opportunity Area Program bonuses):

a.

Elimination of covered parking requirements;

b.

A 20 percent reduction of any open space requirements;

c.

A 20 percent reduction of the minimum parcel size or minimum parcel width;

d.

A five-foot reduction in side yard setbacks and a 10-foot reduction in front yard setbacks, provided that adequate access to light is maintained for all units as determined by Design Review; and further provided that no front yard setback shall be less than 10 feet, no garage shall be set back less than 20 feet, and adequate sight distance is maintained; or

e.

Allowance of other regulatory incentives or measures that can be shown to result in identifiable and actual cost reductions.

2.

In addition to the incentives guaranteed under Subsection 26-89-060.A, the review authority shall grant two (2) incentives under this Subsection 26-89-060.B to each residential project that provides:

a.

30 percent of the base units for low-income households;

b.

15 percent of the base units for very low-income households; or

c.

30 percent of the base units for moderate income households in a condominium project or planned development.

3.

The review authority may grant two or more incentives under this Subsection if the applicant demonstrates that the development meets other Housing Element goals (e.g., provision of housing for seniors or special housing needs individuals, including the provision of housing meeting Universal Design standards), or provides greater or longer term affordability, or a greater number of affordable units than otherwise required. Incentives provided under this Subsection shall be proportional to the extent to which the project provides for additional affordable and/or special needs housing units and/or child care facilities. In the case of condominiums and planned developments, any waiver or modification of development standards approved for the condominium or planned development project shall be considered incentives under this Subsection.

C.

Request for specific incentive.

1.

An applicant eligible for an affordable housing incentive under this Subsection may submit a request for a specific incentive under Subsection 26-89-060.B and may request a meeting with the Department to discuss that request. The review authority shall grant the specifically requested incentive unless it finds any of the following:

a.

The incentive is not required in order to provide for the affordable housing costs or rents as provided in this Section; or

b.

The incentive would have a specific adverse impact, as defined in Government Code Section 65589.5, upon public health or safety or the physical environment or upon 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 project unaffordable to low- and moderate income households.

c.

The incentive would be contrary to state or federal law.

2.

If the review authority finds that it cannot grant the specifically requested incentive, it shall grant a different incentive under Subsection 26-89-060.B, which incentive it determines will best enhance the economic feasibility of the project or will allow greater or longer term affordability or a greater number of affordable units.

(Ord. No. 6403, 3-7-2023; Ord. No. 6085, § IV(Exh. C), 10-7-2014)

Each housing unit that is constructed to provide affordable housing in compliance with this Article shall comply with all of the following standards.

A.

Design and construction.

1.

Timing of construction. Affordable units shall be constructed concurrently with the other units in the project. Where construction phasing is necessary, each phase shall provide the same ratio of lower-or moderate income units to the market rate or other unrestricted units in the phase as that required for the development as a whole.

2.

Location within overall development. Affordable units shall be integrated into the overall project design and distributed throughout the development.

3.

Unit size.

a.

The average floor area of the affordable units shall be at least 75 percent of the average floor area of the other units in the development.

b.

The mix of unit sizes and numbers of bedrooms in the affordable units shall be similar to the mix of unit sizes and bedroom counts provided in the development as a whole; except that the affordable units may have less floor area than the market rate units to assist in achieving affordability, provided the units comply with the average floor area requirement in Subsection 26-89-070.A.3.a, above.

4.

Amenities.

a.

Interior amenities. To assist in achieving affordability, affordable units may have fewer interior amenities than the market rate units in the development.

b.

Exterior appearance. Exterior appearance and quality of the affordable units shall generally be similar to the market-rate units, with exterior materials and appointments similar to, and architecturally compatible with, the market-rate units in the development.

c.

Upgrades. A developer shall not offer upgrades of materials to renters or buyers of affordable dwelling units where the upgrades would increase the total price paid by the buyer to the developer, or total rent paid by the tenant, for the affordable dwelling unit to above the specified affordable rent or sales price.

(Ord. No. 6403, 3-7-2023; Ord. No. 6085, § IV(Exh. C), 10-7-2014)

Each affordable ownership unit constructed in compliance with this Article shall comply with all of the requirements of this Section.

A.

Ownership unit occupancy requirements.

1.

Eligibility requirements. An affordable housing unit shall be sold, and to the extent required by Subsection 26-89-080.C (Affordable Housing Agreement required), resold, only to a household certified by the CDC as extremely-low, very low-, low-, or moderate-income, and where applicable as a senior, disabled or large family household, as designated by the terms of project approval, and which also complies with all of the following requirements.

a.

The purchaser shall be an eligible household as defined by the CDC and specified in the Sonoma County Affordable Housing Program Homeownership Policies, maintained by CDC.

b.

The purchaser shall reside in the unit as their principal residence and may not rent the unit in its entirety to another party.

2.

Buyer certification and selection. Affordable housing units shall be sold, and to the extent required by Subsection D. below resold, only to households certified by the CDC as satisfying eligibility requirements specified in Subsection 26-89-080.A.1, above, and in compliance with all of the following procedures:

a.

Initial buyers eligible to purchase affordable housing units shall be selected by the developer in compliance with a marketing program approved, in advance, by the Executive Director of the CDC. Subsequent buyers shall be selected by the CDC in compliance with the Sonoma County Affordable Housing Program Homeownership Policies.

b.

The marketing program shall identify and detail an equitable selection process to be used for the marketing and sale of the affordable units.

c.

Selection criteria may include household income and assets, household size, and, in cases where units are dedicated for low-income senior, disabled, or large family households, the size or special needs features of the available unit(s).

3.

Preferences. Preference in the sale of affordable housing units shall be given first to persons currently employed in the County, and then to current County residents, to the extent allowed by law.

B.

Ownership units - sales price restrictions. Affordable ownership units as designated in the terms of project approval shall be offered at sales prices that are considered affordable to very low-, low-, or moderate-income households, as applicable, as defined in Article 04 (Glossary). CDC shall calculate sales prices for each of these income categories in compliance with the Sonoma County Affordable Housing Program Homeownership Policies.

C.

Affordable Housing Agreement required.

1.

The CDC shall record an Affordable Housing Agreement with the eligible buyer concurrently with the recording of each grant deed transferring title to an affordable unit subject to this Section to an eligible household. The Affordable Housing Agreement shall provide the CDC, for the term specified in Subsection 26-89-080.C.5 below, with a first right to purchase the unit upon resale in compliance with the Sonoma County Affordable Housing Program Homeownership Policies.

2.

The Affordable Housing Agreement shall permit CDC to assign its rights to purchase the unit under the Agreement to an eligible buyer to purchase the unit.

3.

In all cases where the CDC exercises or assigns its rights to purchase the unit, the unit shall be conveyed to or purchased by an income-eligible buyer in compliance with the designation of the unit in project approvals and as determined by the CDC in compliance with the Sonoma County Affordable Housing Program Homeownership Policies.

4.

The Affordable Housing Agreement shall contain provisions further restricting the resale of an affordable ownership unit to the extent required by the Sonoma County Affordable Housing Program Homeownership Policies, available at the offices of the CDC.

5.

The Affordable Housing Agreement for each affordable ownership unit shall reserve the unit for purchase by the CDC or its assignee and for resale only to eligible households, as defined by this Section and the project approvals, for a minimum term of thirty (30) years, or for a longer time if required by the project approvals, construction or mortgage financing assistance program, or mortgage insurance program. A new term shall commence on the recording date of each new Affordable Housing Agreement recorded concurrently with a grant deed transferring title of the designated unit to an eligible household.

D.

Alternative financing programs and affordability guarantees.

1.

Where the Executive Director of the CDC determines, after consultation with County Counsel, that one (1) or more federal, State, and/or local financing programs applicable to a project will achieve results that are equivalent to, or more restrictive than the affordability and/or financing requirements of this Section and the Sonoma County Affordable Housing Program Homeownership Policies, and that the financing programs otherwise comply with applicable federal, State and local laws, the Executive Director may authorize the relevant provisions of those programs to replace or supersede the affordability and/or financing requirements of this Section and the Sonoma County Affordable Housing Program Homeownership Policies.

2.

When authorized by the Executive Director of the CDC in compliance with Subsection 26-89-080.D.1, the Affordable Housing Agreement required by Section 26-89-100 for a project shall incorporate the affordability and/or financing provisions of the relevant federal, State, and/or local programs, that will replace the corresponding or similar requirements of this Section and the Sonoma County Affordable Housing Program Homeownership Policies. The CDC shall record an Affordable Housing Agreement in compliance with Subsection 26-89-080.C, above, for each unit sold under this Subsection 26-89-080.D.

E.

Administrative fees. The CDC may collect an administrative fee, as the Board may establish from time to time, at close of escrow of the sale and resale of each affordable ownership unit, to recover the costs of its obligation under this Section.

(Ord. No. 6403, 3-7-2023; Ord. No. 6085, § IV(Exh. C), 10-7-2014)

Each affordable rental unit constructed in compliance with this Article shall comply with all of the requirements of this Section.

A.

Rental unit - occupancy requirements.

1.

Eligibility requirements.

a.

No household shall be allowed to occupy an affordable rental unit constructed in compliance with this Article unless the annual household income, adjusted for household size, is equal to or less than:

(1)

30 percent of median income for the County, for units restricted to extremely low-income households;

(2)

50 percent of median income for the County, for units restricted to very low-income households; and

(3)

80 percent of median income for the County, for units restricted to low-income households.

2.

Tenant certification and selection. Affordable rental units shall be rented only to households meeting the eligibility requirements of Subsection 26-89-090.A.1 above, and in compliance with all of the following procedures.

a.

Renters eligible to rent the affordable units shall be selected by the developer or owner in compliance with a tenant selection and marketing program approved, in advance, by the Executive Director of the CDC.

b.

At least once annually and no more often than semi-annually, owners of affordable rental units shall provide to the CDC compliance reports on forms provided or approved by CDC, certifying that all tenants occupying the designated rental units are eligible under the terms of this Section and the Affordable Housing Agreement applicable to the development.

3.

Preferences. Preference in the rental of affordable housing units shall be given first to persons currently employed in the County, and then to current County residents, to the extent allowed by law.

B.

Affordable rental unit restrictions. Each affordable rental unit shall be offered at a rent level that is considered affordable to extremely low-, very low- or low-income households, as established annually by the Executive Director of the CDC based upon income limits that the U.S. Department of Housing and Urban Development (HUD) issues annually for the County. A utility allowance will be deducted from the maximum affordable rent so that monthly housing costs (rent plus tenant-paid utilities) are equal to or less than:

1.

For units restricted to low-income households, 30 percent of 60 percent of median area income, as established annually by HUD, adjusted for assumed household size;

2.

For units restricted to very low-income households, 30 percent of 50 percent of median area income, as established annually by HUD, adjusted for assumed household size; and

3.

For units restricted to extremely low-income households, 30 percent of 30 percent of median area income, as established annually by HUD, adjusted for assumed household size.

C.

Term of rental restrictions—Minimum term for continued affordability. Each required affordable rental unit shall be reserved for eligible extremely low-, very low- or low-income households, and as applicable to senior, disabled, and large family households, at the applicable affordable rent for a minimum of 55 years or for a longer time if required by the project approvals, construction or mortgage financing assistance program, mortgage insurance program, or rental subsidy program, or as otherwise allowed by law. The affordability term shall commence on the date of issuance of the Certificate of Occupancy for the affordable unit.

D.

Rental unit monitoring. The CDC shall monitor the rental of affordable units for compliance with the Affordable Housing Agreement and the provisions of this Article. On an annual basis, the owner shall pay to the CDC a fee for monitoring each unit subject to the Affordable Housing Agreement, which fee shall be established by resolution of the Board of Directors of CDC from time to time.

(Ord. No. 6458, § XXI, 12-5-2023; Ord. No. 6403, 3-7-2023; Ord. No. 6085, § IV(Exh. C), 10-7-2014)

The obligations assumed by an applicant or property owner in exchange for subsidies or incentives for the construction of affordable housing in compliance with this Article shall be secured by a recorded Affordable Housing Agreement executed by the property owner and by the CDC on behalf of the County, and recorded before the recordation of a final map or issuance of a Building Permit, whichever occurs first.

A.

Review and approval. Subject to review and approval by County Counsel as to form, the Executive Director of the CDC is authorized to sign and record Affordable Housing Agreements required by this Section and to sign and record documents subordinating Affordable Housing Agreements to acquisition, construction, bridge, and long-term permanent financing associated with the development of the project in which the affordable units will be located.

B.

Agreement contents. An Affordable Housing Agreement shall contain provisions that implement all requirements of Chapter 26, as applicable to the specific project. The agreement shall also include the following provisions, and/or any additional requirements required by the review authority.

1.

Occupancy standards. The agreement shall include provisions that specify:

a.

Income eligibility criteria for defining housing unit affordability;

b.

The actual affordable sales prices or rents for affordable units, as determined by the CDC in accordance with this Article. The agreement shall also provide that the CDC may from time to time revise the sales prices and rent limits in response to changes in income limits, monthly housing costs, and the real estate market. Monthly housing costs for affordable ownership units shall include mortgage payments, property taxes, homeowners insurance and, as applicable, homeowner's association dues and private mortgage insurance. Monthly housing costs for affordable rental units shall include the rent plus any tenant-paid utilities;

c.

Criteria for the certification and selection of buyers or renters, as applicable. Selection criteria may include the amount of household income and assets, household size, and the size or other special needs features of units reserved for senior, disabled or large family households; and

d.

A fair and equitable marketing and buyer or tenant selection process submitted by the applicant and approved in advance by the Executive Director of the CDC, to ensure the selection of eligible buyers or tenants.

2.

Sale, resale and rental restrictions. The agreement shall include provisions that specify:

a.

A guarantee of sale or rent and continuing availability of all units designated as moderate income units to eligible moderate income households, and a guarantee of sale or rent and continued affordability of all units designated as affordable to low-, very low-, and extremely low-income households to eligible low-, very low- or extremely low-income households for a minimum of 30 years or as otherwise provided by this Article, or for another term as may be authorized by the project approvals and allowed by law;

b.

A provision restricting the sale of all affordable ownership units to eligible buyers as defined by the CDC in accordance with this Article and specified in the Sonoma County Affordable Housing Program Homeownership Policies, available at the offices of the CDC; and

c.

A provision that the sale of a dwelling designated as affordable to a moderate, low- or very low-income household shall include an assignable Affordable Housing agreement granting the CDC the first right of refusal to purchase the unit at the time of subsequent sale as specified in the Sonoma County Affordable Housing Program Homeownership Policies.

3.

Fees. The agreement shall include a provision that the CDC and the Department receive all applicable fees as may be established by resolution of the CDC or Board from time to time, including but not limited to monitoring fees for rental units and administrative fees at sale and resale of ownership units subject to this Article.

4.

Enforcement and recovery of costs. The agreement shall include a provision that provides for enforcement of the agreement by the County and/or the CDC and that entitles the County and the CDC to recover reasonable attorney's fees (including County Counsel fees), investigation and litigation expenses, and any related staff costs associated with enforcing the Agreement.

(Ord. No. 6129, § IIIB(Att. C), 8-18-2015; Ord. No. 6085, § IV(Exh. C), 10-7-2014)