HomeMy WebLinkAboutReso 056-02 InLieuFeeMethod RESOLUTION NO. 56 - 02
ARESOLUTION OF THE CITY COUNCIL
OF THE CITY OF DUBLIN
AMENDING RESOLUTION NO. 131-01 ESTABLISHING THE METHOD
FOR DETERMINING THE AMOUNT OF HOUSING IN-LIEU FEES (PA 01-014)
WHEREAS, on July 9, 1996, the City Council adopted Ordinance 14-96, the Inclusionary Zoning
Ordinance; and
WHEREAS, Section 8.24.080 (B) of the proposed Inclusionary Zoning Ordinance provided the
option of paying a fee in-lieu of constructing Inclusionary Units ("In-Lieu Fee"), and stated that the City
Council shall establish the amount of the In-Lieu Fee by resolution; and
WHEREAS, the City Council on June 11, 1996, adopted Resolution 80-96 establishing a method
for determining the amount of the In-Lieu Fee; and
WHEREAS, the City Council on July 17, 2001, directed Staff to prepare a revised method for
determining the amount of the In-Lieu Fee; and
WHEREAS, on July 21,2001, the City Council approved an amendment to the Inclusionary
Zoning Ordinance revising the methodology for determining the amount of the In-Lieu Fee for each
residential development project (City Council Resolution No. 131-01); and
WHEREAS, a Negative Declaration of Environmental Impact was prepared pursuant to the
California Environmental Quality Act (CEQA), State CEQA Guidelines, and the City of Dublin CEQA
Guidelines, and was adopted for the Inclusionary Zoning Ordinance on June 11, 1996; and
WHEREAS, the Negative Declaration adopted on June 11, 1996, addressed all impacts of the
Inclusionary Zoning Ordinance, which includes the in-lieu fee option, and the Inclusionary Zoning
Ordinance amendments of May 20, 1997, addressing the in-lieu fee methodology revisions; and
WHEREAS, on February 6, 2001, the City Council approved the Affordable Housing
Implementation Plan (AHIP) that sets forth policy guidelines and programs for funding and developing
affordable housing in Dublin; and
BE IT FURTHER RESOLVED THAT THE Dublin City Council does hereby amend
Resolution No. 131-01 establishing the methodology for determining the amount of the In-Lieu Fee for
each residential development project subject to the requirements of the Inclusionary Zoning Regulations
of the Dublin Zoning Ordinance, as follows:
1. The In-Lieu fee shall be based on a charge of $72, 176 per unit for each residential unit. required
but not built in a project of 20 units or more under the provisions of the City's Inclusionary
Zoning Ordinance as shown on Exhibit A.
2. The In-Lieu fee is based upon the difference between the cost to construct a 1,200 sq. ft.
moderate income for sale unit and the market cost to build that unit as determined by the City as
of May 7, 2002.
3. The In-lieu fee per unit shall be adjusted annually on July 1 to reflect the greater of the percentage
change either in a) the Bay Area Urban Consumer Price Index (CPI) as of March of each year, or
b) the United States Department of Housing and Urban Development (HUD) Fair market Rent
limits for the Oakland Primary Metropolitan Statistical Area (PMSA) that are in effect at the
time. The In-Lieu Fee may also be adjusted as necessary for changing conditions in the City.
4. The total In-Lieu fees for a specific project shall be paid at the time of issUance for the first
building permit for that project.
5. The above methodology for determining the amount of the In-Lieu Fee for each development
· . :. project subject to the requirements of the Inclusionary Zoning Regulations shall take effect as
of May 7, 2002.
PASSED, APPROVED AND ADOPTED this 7th day of May, 2002, by the following vote:
AYES: Councilmembers McCormick, Oravetz, Sbranti and Zika and Mayor Lockhart
NOES: None
ABSENT: None
ABSTAIN: None ~7~~~_6/
Mayor
ATTEST:
City Clerl~ ~ 0
K2/G/5-7-02/reso-method-hsngfees.doc (Item 6.2)
g:\pa 01-038\ccreso in-lieu fees
May 7, 2002
New Inclusionary In Lieu Fee
Construction costs $ 96,000
Land, Site Dev.,. Admin.~ $ 126,900
Plan Check/Building Permits $ 2,075
City/Subregional Impact Fees2 $ 45,868
School Impact Fee3 $ '6,625
Total Cost $ 277,468
Max Purchase Price4 $ 205,292
rtl
X Difference (Total Cost- Max. Purchase Price) $ 72,176
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General Model Assnmptio_ns 2001 ,
$ 71,600
Alameda county Medium Income
Very Iow income (family of four) $ 35,800 ~ ' 50% of
Ldw income (family of four) $ 57280 ~ 80% of
Moderate income (family of four) $ 85,920 ~ 120% of
15.0%
In¢tusionary requirement'(percent Of projezt at BMR) 7.5%
Dedication obligation 7.5%
Max In-Lieu fee option
Sales price for-sale unit, family of fours $ 277,468
Conmruction costs per square foot $ 80.00
Size of unit (habitable area in ~ )6 1,200
Land, Site Dev. & Admin. as a percent of fair market sales price 45~-%
Distribution of BMR needs7 30%
Very'Low .Income 20%
Low Income 50%
Moderate Income
Home Lo_an and Payment Assaaiptions 30.0%
Percentage of gross income dedicated to housing costs 30-year luted
Term 7.00%
Inreres~ rate 5.0%
Down Payment 1.0%
Anmml Property tax
Monthly homeowners insurance premium ($500/yr.) $ 42
$ 100
MOnthly utility costs (HUD standard?)
NOTES:
I Equals 45+_% of fair market-salas price ~ $277,468
~ 'Source: City of Dublin, '"Permit and Impact Fee Schedule for New RESIDENTIAL Developments EFFECTIVE October 10, 2001"
~ Based on "Medium Densivd Residential" SFD unit on 3,500 flz lot.
n Weighted average value based on ABAG BlvIR distribu~don aad maximum purchase price for Vet Low, Low and Modera~ income
households.
$ Source: "Dublin,4~.ordable Housing In-Lieu Fee" c~Iculation distributed at 9/28/01 meeting.
"DUblin Affordable Housing In-Lieu Fee" calculation distributed at 9/28/01 m~eting.
One bedroom ~ 144.ft~; two bedrooms ~a..~ 100 f~; one bathroom ~ 100 f~.; one b
dining area ~ 100 ~; living mca ~ 100 ft~; living area ~ 256 fff; hallways, closets, uun~y ~ ~,,u ~
7 Association of Bay Area Governmeuts, Regional Housing Needs Determination 1999'-2006
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