(a)

PURPOSE. As authorized by VC § 15.2-2305, the purpose of this Ordinance is:

(1)

To provide affordable shelter for all residents of the City;

(2)

To address housing needs;

(3)

To promote a full range of housing choices;

(4)

To encourage the construction and continued existence of moderately priced housing by providing for optional increases in density in order to reduce land costs for such moderately priced housing.

(b)

APPLICABILITY.

(1)

The provisions of this Section shall apply to any application for development approval, as set forth in Subsection (2) below, which include affordable dwelling units with the maximum ratio specified in Column (B) of Table 417-1, below. For purposes of this Section, an "Affordable Dwelling Unit" means any dwelling unit restricted as Moderate Income Housing or Low Income Housing or Very Low Income Housing as defined in Appendix A of this Ordinance.

(2)

Qualifying Applications for Development Approval ("Qualifying Application"). The provisions of this Section shall not apply to any Application for Development Approval except as follows:

A.

The site is the subject of an application for rezoning or special exception, site plan or subdivision plat.

B.

The application for development approval yields, as submitted by the application, fifty or more dwelling units at an equivalent density greater than one unit per acre.

C.

The area slated for the affordable dwelling units is located within an approved sewer area.

D.

Nothing contained in this Section shall apply to any Application for Development Approval requesting approval of an elevator four stories or above.

(c)

GUIDELINES. The City Council may:

(1)

After consultation with the Suffolk Redevelopment and Housing Authority establish qualifying City-wide dwelling unit sale or rental prices based on location market conditions;

(2)

After consultation with the Suffolk Redevelopment and Housing Authority establish City-wide affordable dwelling unit qualifying income guidelines; and

(3)

Offer incentives other than density increases, such as reductions or waiver of permit, development, and infrastructure fees, as the City Council deems appropriate to encourage the provision of affordable housing.

(d)

DENSITY BONUS AND SET-ASIDE REQUIREMENTS.

(1)

For a qualifying applications (as defined in Subsection (b) of this Section) an increase of up to 30 percent in the developable density of each site subject to this Section is permitted subject to the provision that up to 17 percent of the total units approved, including the optional density increase, be affordable dwelling units as defined in this Ordinance.

(2)

In the event a 30 percent increase is not achieved, the percentage of affordable dwelling units required shall maintain the same ratio of 30 percent to 17 percent. For purposes of this provision, the number of affordable dwelling units shall be determined by multiplying the actual percentage increase by .57 (i.e., 20% density bonus × .57 = 11% affordable dwelling units.)

(3)

Qualifying Applications for pre-existing developments requesting a density bonus pursuant to this Ordinance shall be subject to the requirements contained herein.

(e)

QUALIFYING APPLICATION SUBMISSION REQUIREMENTS. All Qualifying Applications for a density bonus pursuant to this Ordinance shall adhere to the following submission requirements:

(1)

Site plan prepared pursuant to Section B-2 or subdivision plat prepared pursuant to Section B-8, Appendix B of the Unified Development Ordinance. In addition to the requirements of Section B-2, the site plan shall also delineate the specific lots for single-family dwelling units or units for multi-family dwelling units slated as affordable dwelling units. For multi-family developments under single ownership and comprised of rental units, the site plan shall identify the affordable dwelling units by the number of such units by type per building. In addition to the requirements of Section B-8, the subdivision plat shall also delineate the specific lots for single-family dwelling units slated as affordable dwelling units.

(2)

A description, both written and graphic, of the designated affordable dwelling units including, but not limited to:

A.

Square footage;

B.

Number of bedrooms and bathrooms;

C.

Floor plan of each unit type;

D.

Amenities to be provided;

E.

Such additional information determined relevant to the review;

F.

Proposed location of all affordable dwelling units.

(3)

A signed notarized statement from the applicant stating that those units designated as affordable dwelling units meet the minimum standards for subsidized dwelling units established by the United States Department of Housing and Urban Development.

(4)

A statement as to the actual number and percentage of affordable dwelling units, by unit type as compared to the number of market rate units within the development.

(5)

The affordable dwelling units established pursuant to this Section shall:

A.

Be dispersed throughout the development;

B.

Not be concentrated in one building and/or area of the development;

C.

Be indistinguishable from market-rate units;

D.

Be developed in accordance with the project phasing requirements of Subsection (g) below.

(6)

Development schedule.

(7)

An unexecuted copy of an Affordable Dwelling Unit Restrictive Covenants (either for sale or rental depending on the development) effective for not less than 15 years nor more than 50 years.

(f)

DENSITY APPROVAL PROCEDURES.

(1)

The Planning Director shall determine whether the application for a density bonus is complete. If the application is not complete, the Planning Director shall return it to the applicant with a written explanation of the deficiencies.

(2)

If the application for rezoning or conditional use permit is complete, the application shall be processed in accordance with the provisions of Sections 31-304 and 31-306, respectively, of the Unified Development Ordinance.

(3)

If the application for site plan or subdivision plat is complete, the Planning Director shall approve, approve with conditions, or deny the application for a density bonus pursuant to the provisions of Sections 31-307 and 31-308 of the Unified Development Ordinance. Applications which are denied shall have the reasons for denial, in writing, attached to the application.

(4)

Amendments: If at any time the affordable dwelling unit requirement for a development changes or if the construction schedule contained in the Application to Build Affordable Dwelling Units changes, the developer must immediately notify the City of Suffolk and, as applicable, the Suffolk Redevelopment and Housing Authority and request an amendment to the rezoning, conditional use permit, site plan, or subdivision plat.

(g)

PROJECT PHASING. No Qualifying Application shall be approved unless the applicant consents to a condition that no certificate of occupancy for the dwelling units which are not Affordable Dwelling Units (hereinafter "market rate units") shall be issued except in accordance with Subsections (1) and (2) below.

(1)

Certificate of occupancy may be issued for the first fifty percent (50%) of the market rate units prior to the construction and offering for sale or rental of any Affordable Dwelling Unit.

(2)

No certificates of occupancy may be issued for the next twenty-five percent (25%) of the market rate units (i.e., from 51% up to 75% of the approved market rate units) prior to the construction and offering for sale or rental of at least twenty-five percent (25%) of the approved Affordable Dwelling Units.

(3)

No certificates of occupancy may be issued for the next fifteen percent (15%) of the market rate units (i.e., from 76% to 90%) of the approved market rate units prior to the construction and offering for sale or rental of at least seventy-five percent (75%) of the approved Affordable Dwelling Units.

(4)

No certificates of occupancy may be issued for the remainder of the market rate units (i.e., from 91% to 100%) of the approved market rate units prior to the construction and offering for sale or rental of at least one-hundred percent (100%) of the approved Affordable Dwelling Units.

(h)

ENFORCEMENT. The City Council or its designee may enforce compliance with the standards of this Section and may impose penalties for noncompliance as set forth in § 31-310 of this Ordinance. The applicant or any party aggrieved by a decision of the local governing body or the Planning Director pursuant to an approved Qualifying Application and this Section may appeal said decision to the Board of Zoning Appeals as provided in Article 3 of this Ordinance.

(j)

EXPEDITED PERMITTING. The City Council shall have no more than 280 days in which to process site or subdivision plans proposing the development or construction of affordable housing or affordable dwelling units under this Section. The calculation of such period of review shall include only the time that plans are in review by the City Council and shall not include such time as may be required for revision or modification in order to comply with lawful requirements set forth in applicable ordinances and regulations.

(k)

ADMINISTRATION. The provisions of this Section may be administered by the Suffolk Redevelopment and Housing Authority as provided by Chapter 42 of the City Code.

(1)

The Suffolk Redevelopment and Housing Authority or City Council shall have an exclusive right to purchase up to one-third of the for-sale affordable housing dwelling units within a development within ninety days of a dwelling unit being completed and ready for purchase, provided that the remaining two-thirds of such units be offered for sale exclusively for a ninety-day period to persons who meet the income criteria established by the Suffolk Redevelopment and Housing Authority or City Council, or other designee of the City Council in accordance with Federal requirements.

(2)

The Suffolk Redevelopment and Housing Authority or City Council (or its designee) shall have an exclusive right to lease up to a specified percentage of the rental affordable dwelling units within a development within a controlled period determined by the housing authority or City Council or its designee, provided that the remaining for-rental affordable dwelling units within a development be offered to persons who meet the income criteria established by the local housing authority or City Council or its designee in accordance with Federal requirements.

(3)

Affordable dwelling unit sales prices throughout the City shall be established by the Suffolk Redevelopment and Housing Authority initially and shall be adjusted semiannually, based on a determination of all ordinary, necessary and reasonable costs required to construct the affordable dwelling unit prototype dwellings by private industry after considering written comment by the public, local housing authority or advisory body to the local governing body, and other information such as the areas' current general market and economic conditions, provided that sales prices not include the cost of land, on-site sales commissions and marketing expenses, but may include, among other costs, builder-paid permanent mortgage placement costs and buy-down fees and closing costs except prepaid expenses required at settlement.

(4)

Affordable dwelling unit rental prices shall be established by the Suffolk Redevelopment and Housing Authority ("SRHA") initially and shall be adjusted semiannually, based on a determination of all ordinary, necessary and reasonable costs required to construct and market the required number of affordable dwelling rental units by private industry in the area, after considering written comment by the public, local housing authority, or advisory body to the City Council, and other information such as the area's current general market and economic conditions.

(5)

Prices for re-sales and re-rentals shall be controlled by the SRHA or City Council or designee for a period of not less than fifteen (15) years nor more than fifty (50) years after the initial sale or rental transaction for each affordable dwelling unit. Rules and regulations to implement a price control provisions are set forth in Chapter 42 of the City Code.

(6)

The sales and rental price for affordable dwelling units within a development shall be established such that the owner/applicant shall not suffer economic loss as a result of providing the required affordable dwelling units. "Economic loss" for sales units means that result when the owner or applicant of a development fails to recoup the cost of construction and certain allowances as may be determined by the designee of the City Council for the affordable dwelling units, exclusive of the cost of land acquisition and cost voluntarily incurred but not authorized by the Ordinance, upon the sale of an Affordable Dwelling Unit.

(Ord. No. 10-O-010, Exh. A, 1-20-2010)