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HomeMy WebLinkAboutReso 135-09 Arroyo Vista MuniCode ReqRESOLUTION NO. 135 - 09 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN **************** APPROVING A WAIVER TO CHAPTER 8.68 OF THE DUBLIN MUNICIPAL CODE RELATED TO AFFORDABILITY, PREFERENCE POINT, CONCURRENT CONSTRUCTION, EQUIVALENT BEDROOM SIZE AND DISPERSAL REQUIREMENTS FOR THE ARROYO VISTA PROJECT LOCATED AT 6700 DOUGHERTY ROAD (APN 941-0007-001-07) PA 07-028 WHEREAS, Eden Housing Inc. and Citation Homes Central (hereafter the "Developer") submitted an application (PA 07-028) to the City regarding a 24.13 acre parcel ("Arroyo Vista") located at 6700 Dougherty Road for the demolition of the existing residential development and the construction of a new project with up to 378 residential dwelling units, daycare facility, community building and related improvements; and WHEREAS, the rental component of the Project will be constructed and managed by Eden Housing Inc., and will consist of 130 affordable family rental units (129 income restricted units and one live-in manager's unit), and 50 rental senior apartments (49 1-bedroom income- restricted apartments and one live-in manager's unit) and will replace the existing 150 public housing units on the site (the "Rental Component"); and WHEREAS, the for-sale component of the Project will be constructed by Citation Homes Central, and will consist of 198 market-rate units, which will include 14 for-sale units (the "For- Sale Component"); and WHEREAS, the City's Inclusionary Zoning Ordinance (Dublin Municipal Code Chapter 8.68, hereafter the "Inclusionary Ordinance") requires that 12.5% of the units in a new residential for-sale or rental development project consisting of 20 units or more must be affordable to households with very low-, low-, or moderate incomes, and of these affordable units, 30% must be very low-income units, 20% must be low-income units and 50% must be moderate-income units (the "affordability requirement"); and WHEREAS, the Inclusionary Ordinance also requires the affordable units: 1) to be constructed concurrently with the market-rate units (the "concurrent construction requirement"); 2) to reflect the range of numbers of bedrooms provided in the project as a whole (the "equivalent bedroom requirement"); 3) to not be distinguished by exterior design, construction, or materials (the "design requirement") ; and 4) to be reasonably dispersed throughout the project (the "dispersal requirement"); and WHEREAS, the Inclusionary Ordinance requires qualified owners and tenants to be selected pursuant to the preference point system set forth in the Inclusionary Ordinance (the "preference requirement"); and Page 1 of 3 WHEREAS, the City may waive the requirements of the Inclusionary Ordinance and approve alternate methods of compliance with the Inclusionary Ordinance if the applicant demonstrates, and the City Council finds, that such alternate methods satisfy the purposes of the Inclusionary Ordinance; and WHEREAS, the For-Sale Component does not satisfy the number of affordable units required by the Inclusionary Ordinance, and the Rental Component exceeds the required number of affordable units; and WHEREAS, to remedy the Project's inconsistency with the Inclusionary Ordinance, the Developer proposes that the Council consider the Rental Component and For-Sale Component as one project for purposes of the Inclusionary Ordinance; and WHEREAS, the Developer requests a waiver from some of the requirements of the Inclusionary Ordinance, including permission to calculate the affordable units required in the Rental Component and the For-Sale Component in the aggregate for the entire development; and WHEREAS, the Rental Component and For-Sale Component, in the aggregate, exceed the 12.5% affordability requirement of the Inclusionary Ordinance by providing a total of 192 affordable units (42 more affordable units than exist on the site today) and providing deeper affordability than required by the Ordinance; and WHEREAS, the Developer requests a waiver from the affordability requirement of the Inclusionary Ordinance so that the Rental Component can be constructed without any moderate-income units and the For-Sale Component can be constructed without any very low- income or low-income units; and WHEREAS, the Developer requests a waiver from the preference point requirement of the Inclusionary Ordinance so that aone-time exception would be provided to enable existing and former Arroyo Vista residents to receive express preference for all affordable units in the Project; and WHEREAS, the Developer requests a waiver from the requirement of concurrent construction because certain financing and regulatory constraints may impede Eden Housing Inc.'s ability to initiate construction of the affordable rental units prior to or concurrently with Citation Homes Central's construction of the market-rate units; provided however, Citation Homes Central will construct the affordable for-sale units concurrently with the market-rate for- sale units; and WHEREAS, the Developer requests a waiver from the equivalent bedroom requirement because Citation Homes Central plans to construct some 4-bedroom market-rate, for-sale units but no 4-bedroom affordable, for-sale units; and WHEREAS, the Developer requests a waiver from the dispersal requirement because the Rental Component is 100% affordable and therefore the affordable rental units will be clustered together; provided however, Citation will disperse the affordable for-sale units throughout the For Sale Component. Page 2 of 3 NOW, THEREFORE, BE IT RESOLVED THAT the Dublin City Council hereby finds that: A. The Developer's alternate methods of compliance with the affordability, preference point, concurrent construction, equivalent bedroom size and dispersal requirements of the Inclusionary Ordinance meet the purposes of the Inclusionary Ordinance and constitute alternate methods of compliance. B. The Council waives the affordability, preference point, equivalent bedroom size and dispersal requirements of the Inclusionary Ordinance and approves Developer's alternate methods of compliance. C. The Council waives the concurrent construction requirement of the Inclusionary Ordinance provided: (a) the affordable for-sale units in the For-Sale Component are constructed concurrently with the market rate for-sale units in the For- Safe Component to a maximum of 126 for-sale units (112 market rate units and 14 affordable units); and (b) no building permit shall be issued for any units in the For-Sale Component in excess of 126 units unless [i] Eden has secured financing for the entire Rental Component, to the satisfaction of the City Manager; [ii] Citation constructs affordable units that, together with the 14 affordable units, satisfy the Inclusionary Ordinance's requirements for the For-Sale Component; or [iii] Citation pays fees in lieu of constructing the remaining affordable units required for compliance with the Inclusionary Ordinance's 12.5% requirement for the For-Sale Component. In the event that Citation pays in lieu fees pursuant to (b)[iii], the City will place such fees in an account and shall return such monies to Citation, with accrued interest, when Eden has secured financing for the entire Rental Component, to the satisfaction of the City Manager. D. The Council finds that treating the Rental Component and For-Sale Component as one project for purposes of the Inclusionary Ordinance meets the purposes of the Inclusionary Ordinance because more affordable units will be created and deeper affordability will be provided than required by the Inclusionary Ordinance. PASSED, APPROVED AND ADOPTED this 29th day of September, 2009, by the following vote: AYES: Councilmembers Biddle, Hart, Hildenbrand, Scholz, and Mayor Sbranti NOES: None ABSENT: None ABSTAIN: None 1'~ t V ~.--_ Mayor ATT T: City Cler Reso No. 135-09, Adopted 9-29-09, Item 3 Page 3 of 3