HomeMy WebLinkAboutItem 6.1 Density Bonus Ordinance (2) CITY OF DUBLIN
AGENDA STATEMENT
CITY COUNCIL MEETING DATE: November 25, 1991
SUBJECT: Public Hearing: Density Bonus Ordinance
REPORT PREPARED BY: 10�-- Dennis Carrington, Senior Planner
Robert Schubert, Contract Planner ,
EXHIBITS ATTACHED: Exhibit A: Draft Density Bonus Ordinance
Exhibit B: Section 65915 of the
Government Code
RECOMMENDATION: 1) Open public hearing
2) Receive Staff Report and testimony from
(� the public
3) Question Staff and the public
4) Close public hearing and deliberate
5) Waive reading and reintroduce the
Density Bonus Ordinance.
FINANCIAL STATEMENT: Costs associated with the Density Bonus
Ordinance would involve Staff time to process applications for
developments for which a density bonus is requested. These costs will
be borne by the Applicant. An undetermined amount of Staff time will
be required to maintain eligibility lists. The Dublin Housing
Authority has experience in maintaining eligibility lists.
DESCRIPTION:
The Density Bonus Ordinance, as required by State Law, would
provide developers with sufficient incentives through density bonuses
to provide rental and ownership housing for lower and very low income
households and for seniors. As revised, the ordinance would allow
ownership restricted units to appreciate with the market if they
remain affordable to the income group to which they were originally
assigned. Restricted units which are inherited or are acquired
through divorce or marriage, where the new owner does not qualify by
income to live in the unit, could be rented. The City will be
responsible for qualifying tenants and maintaining an eligibility
list. Restricted units would be similar to market rate units, include
all unit types represented in the project and be dispersed throughout
a development.
On October 28, 1991, the City Council reintroduced the Density
Bonus Ordinance. At that meeting the City Council directed Staff to
revise the Density Bonus Ordinance as shown below:
1. Delete the words " , less 100%, " from Section 8 .16.100(c) to
correct a typographical error.
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[CITY CLERK
FILE I kd3 0
ITEM NO. COPIES TO: General/Agenda File
[DBO11-25] Applicant/Owner
Project Planner
2 . Substitute the following language for Section 8 . 16 . 100(a) to
allow appreciation of a restricted Affordable Unit if the unit remains
affordable to the income category to which it was assigned:
"The sales price received by the owner of a restricted Affordable
Unit shall be limited to the fair market value as determined by an
appraisal paid for by the owner multiplied times a factor representing
the purchase price paid by the owner of the restricted unit divided by
the market sales price of an identical unit in the same development at
the time of purchase. An example of this calculation is shown in
Attachment 2 . If the appraisal is unacceptable to the City Manager,
the City Manager may have another appraisal performed by another
qualified real estate appraiser mutually agreed upon by the City and
owner, which appraisal will be considered by the City in determining
the sales price. All costs required to obtain such appraisal shall be
borne by the owner.
The City Manager shall insure that the purchase price of a
restricted unit does not exceed an amount which is affordable to a
family of four belonging to the income category to which the
restricted unit was originally assigned. "
3 . Delete Section 8 . 16 . 100(b) and reletter subsequent sections
because this section is no longer necessary due to the revision of
Section 8 . 16 . 100 (a) .
4 . Revise Section 8 . 16 . 100(c) (now Section 8 . 16 . 100 (b) ) to delete
the following words from the first sentence "from improvements made
pursuant to Section 8 . 16 . 100(b) " as this section is no longer
necessary due to the deletion of Section 8 . 16 . 100(b) .
5 . Add language to Section 8 . 16 . 090 (b) to ensure that new owners of
restricted units as a result of inheritance, divorce or marriage, who
do not qualify by income or age to occupy the unit may rent the unit.
Staff has added the following language as a third sentence in Section
8 . 16 . 090 (b) : "An owner as a result of a form of transfer pursuant to
Section 8 . 16 . 100(d) may rent the restricted unit provided the rental
conforms to the Affordable Housing Agreement addressed in Section
8 . 16 . 070 (c) and to the provisions of Section 8 . 16 . 080 .
6 . Reword the second sentence of Section 8 . 16 . 100 (c) (now Section
8 . 16 . 100 (b) ) to clarify the intent that ownership restricted units on
resale should be affordable to a family of four in a given income
category. The change would read as follows : "The determination of
affordability shall be based on the maximum monthly mortgage payment
that a household of four in a given income category can pay as
determined by the methodology shown in Attachment 2 . "
At the October 28, 1991, hearing the City Council directed Staff
to report on the portions of the proposed ordinance that are required
by State Law and those portions which are discretionary to the City.
Exhibit A, the Draft Density Bonus Ordinance, has been highlighted
with a bold line in the right margin with citations given where those
portions of the ordinance are required by State Law. Staff has
prepared a section by section report on the requirements of Section
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65915 of the State Government Code (Exhibit B) . The location in the
proposed ordinance is described and the specific section of the
Government Code is given in brackets at the end of each paragraph:
1 . Every local jurisdiction is required by law to provide developers
with incentives for the production of lower income housing by adopting
an ordinance providing those incentives (65915(a) ) .
2 . The Government Code states the minimum percentage of the
development that must be provided to different income categories and
senior citizens in order to qualify for a density bonus and
concessions and incentives . These requirements are located in
Sections 8 . 16 . 040 (a) and (b) and 8 . 16 . 050(a) of the ordinance
( 65915(b) ) .
3 . A developer who elects to use the Density Bonus Ordinance is
required to ensure continued affordability of restricted units for
either 10 or 30 years . Affordability requirements for lower income
and very low income households are described. These requirements are
located in Sections 8 . 16 . 070(a) and 8 . 16 . 080(b) and (c) in the
ordinance ( 65915 (c) ) .
4 . State Law regulates application procedures for density bonus
projects . These procedures are located in Section 8 . 16 . 110 of the
ordinance. Application procedures must provide for the waiver or
modification of development and zoning standards which must include
minimum lot size, side yard setbacks and placement of public works
improvements . This is addressed in Section 8 . 16 . 060(a) . ( 65915 (d) ) .
The words "side yard" must be added to Section 8 . 16 . 060(a) (2) of
the ordinance at this hearing to ensure consistency with State Law.
The wording would be as follows :
(2) modify zoning code requirements, e.g. open space, minimum
lot size, side yard setbacks, parking standards; and
5 . A housing developer is required to show that a requested waiver
or modification of development and zoning standards is necessary to
make the housing economically feasible. This is addressed in Section
8 . 16 . 060 (b) of the ordinance ( 65915(e) ) .
6 . Local jurisdictions are required to provide a density bonus of at
least 25% and may only apply the ordinance to developments of five
dwelling units or more. The bonus percentage is addressed in the
definition of Density Bonus in the definitions section of the
ordinance . The restriction to projects of five dwelling units and
larger is located in Section 8 . 16 . 040(a) of the ordinance ( 65915( f) ) .
The definition of Density Bonus in the ordinance must be modified
at this hearing to correct a typographical error. The word "30%"
should be added to the definition as follows :
(e) Density Bonus : A 30% increase in the number of dwelling
units authorized for a particular parcel of land beyond the otherwise
maximum allowable residential density under the Zoning Ordinance and
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the Land Use Element of the General Plan as of the date of application
for a project.
7 . The Government Code defines what a housing development is, allows
calculation of the density bonus on the basis of the entire parcel
being developed and addresses the location of density bonus units .
The definition of a housing development and calculation of density are
addressed in existing development ordinances and are not included in
the Density Bonus Ordinance. The location of density bonus units are
addressed in Section 8 . 16 . 070(e) ( 65915 (g) ) .
8 . State Law requires local jurisdictions to grant concessions and
incentives to encourage developers to use density bonuses unless a
finding is made that the concession or incentive is not required, and
describes them. These description are incorporated in the ordinance
in Section 8 . 16 . 050 ( 65915(b) & (h) ) .
9 . The Government Code allows a developer to receive an additional
concession or incentive and gives the City the discretion of
permitting additional density bonuses if the developer agrees to
construct both 20% of the total units for lower income households and
10% of the units for very low income households (65915 ( 1) ) .
This section of the Government Code was omitted and must be added
to the ordinance at this hearing. The wording would be inserted as
Section 8 . 16 . 040(c) and would read as follows :
(c) If a developer agrees to construct both 20 percent of the
total units for lower income households and 10 percent of the total
units for very low income households, the developer is entitled to one
additional concession or incentive as identified in Section 8 . 16 . 050,
and may, at the discretion of the City Council, receive a density
bonus of greater than 30% .
Staff recommends that the City Council waive reading and
reintroduce the Density Bonus Ordinance.
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ORDINANCE NO. - 91
AN ORDINANCE OF THE CITY OF DUBLIN
An Ordinance Adding Chapter 8 . 16 to Title 8
of the Dublin Municipal Code, Enacting a Density Bonus Ordinance
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The City Council of the City of Dublin does ordain as follows :
Section 1 . Chapter 8 . 16 is hereby added to Title 8 of the Dublin
Municipal Code to read as follows :
"CITY OF DUBLIN DENSITY BONUS ORDINANCE
CHAPTER 8. 16 OF TITLE 8
CITY OF DUBLIN MUNICIPAL CODE
Article 1
General Provisions
Section 8 . 16 . 010 . Title. This Ordinance shall be called the
"Density Bonus Ordinance of the City of Dublin" .
Section 8 . 16 . 020 . Purpose. This Ordinance is intended to
establish policies which facilitate the development of senior housing,
and of affordable housing to serve a variety of economic needs within
the City. In order to encourage the provision for lower and very low
income housing, and senior citizen housing, the City shall provide
applicants who agree to meet the requirements established by this
chapter, a density bonus and additional incentives if it is found
necessary for affordability, or, the City shall provide other
incentives of equivalent financial value. The regulations set forth
in the chapter shall apply City-wide, including the extended planning
area.
Section 8 . 16 . 030 . Definitions . For the purposes of this
Ordinance, certain words and phrases shall be interpreted as set forth
in this section unless it is apparent from the context that a
different meaning is intended.
(a) Affordable Unit: A unit for which the rent or mortgage
payment does not exceed, for lower income households, 30% of 60% of
the Alameda County median income adjusted for household size, or for 6581516
very low income households, 30% of 50% of the Alameda County median
income median adjusted for household size.
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(b) Applicant: Any person, firm, partnership, association,
joint venture, corporation, or any entity or combination of entities
which seeks City permits and approvals for a project.
(c) Approval : Adoption of a resolution by the Planning
Commission and/or City Council approving a discretionary permit such
as a Tentative Map, Planned Development or Use Permit for a project.
(d) City: The City of Dublin or its designee or any entity with
which the City contracts to administer this chapter.
(e) Density Bonus : A 30% increase in the number of dwelling
units authorized for a particular parcel of land beyond the otherwise
maximum allowable residential density under the Zoning Ordinance and
the Land Use Element of the General Plan as of the date of application AT ��45
for a project. �5ajo`
( f) Density Bonus Unit: A dwelling unit authorized as a result
of the density bonus for a project.
(g) Dublin Employee: Any single person, head of household, or
in the case of married couples either spouse, who has worked within
the City Limits of Dublin continually for one ( 1) year immediately
prior to the date of application for a restricted unit.
(h) Dublin Resident: Any person who has lived within the City
Limits of Dublin continually for one ( 1) year immediately prior to the
date of application for a restricted unit. Continually shall be
construed to include lapses of residency of no longer than six months .
(i) First Time Home Buyer: A person who has not held an
ownership interest in a residence within the past three years .
( j ) Household: One person living alone or two or more persons
sharing residency whose income is available to meet the family' s needs
and who are related by blood, marriage or operation of law.
(k) Incentive: A benefit offered by the City to facilitate
construction of housing projects which include restricted units .
Among others, benefits may include fee waivers for restricted units
and priority processing for projects which provide restricted units .
(1) Lower Income Households : A household whose gross income is
as established by Health and Safety Code Section 50079 .5 as amended
from time to time.
(m) Project Owner: Any person, firm, partnership, association,
joint venture, corporation, or any entity or combination of entities
which holds fee title to the land on which the project is located.
(n) Property Owner: The owner of a restricted unit excepting a
"Project Owner" .
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(o) Project: A housing development at one location including
all dwelling units for which permits have been applied for or approved
within a twelve-month period.
(p) Resale Controls : A resale restriction placed on restricted
units by which the price of such units and/or the age or income of the
purchaser will be restricted in order to ensure the affordability and
occupancy by lower or very low income households or senior citizens .
(q) Restricted Unit: A unit to be sold or rented to senior
citizens, or, at a price affordable to lower and very low income
households .
Or -e r
(r) Senior Citizen: A person at least 62 years of age. S ATr-
(s ) Unit Type: Dwelling units with similar floor area and
number of bedrooms .
(t) Very Low Income Household: A household whose gross income
is as established by Health and Safety Code Section 50105 as amended
from time to time.
Section 8 . 16 . 040 . Applicability.
(a) In order to qualify for a density bonus, a project must
consist of five or more dwelling units and meet one or more of the
following criteria:
1 . 20% of the total units are designated for lower income
households, or
2 . 10% of the total units are designated for very low
income households, or ��QtSC
3 . 50% of the total units are designated for senior >
citizens .
(b) Projects which meet the requirements set forth in this
chapter shall qualify for a density bonus and at least one other
concession or incentive unless the City adopts a written finding that
the additional concession or incentive is not required in order to
provide affordable housing costs as defined in Section 50052 . 5 of the
Health and Safety Code, or the City shall provide other incentives of
equivalent financial value based on the land cost per dwelling unit.
(c) If a developer agrees to construct both 20 percent of the
total units for lower income households and 10 percent of the total 6'S9tS(
units for very low income households, the developer is entitled to one
additional concession or incentive as identified in Section 8 . 16 . 050,
and may at the discretion of the City receive more than one density
bonus .
Section 8 . 16 . 050 . Concessions and Incentives . For the purposes
of this chapter, concession or incentive means any of the following:
(a) A reduction in site development standards or a modification �5gt5
of zoning code requirements or architectural design requirements which
exceed the minimum building standards approved by the State Building
Standards Commission as provided in Part 2 .5 (commencing with Section
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18901 ) of Division 13 of the Health and Safety Code, including, but 65815
not limited to, a reduction in setback and square footage requirements &,4� 1.,�
and in the ratio of vehicular parking spaces that would otherwise be
required.
(b) Approval of mixed use zoning in conjunction with the housing
project if commercial, office, industrial, or other land uses will 616
reduce the cost of the housing development and if the commercial, 00).
office, industrial, or other land uses are compatible with the housing
project and the existing or planned development in the area where the
proposed housing project will be located.
(c) Other regulatory incentives or concessions proposed by the 65a�5
developer or the city which result in identifiable cost reductions may
include but are not limited to:
( 1) Certain City fees applicable to the restricted units in
a project may be waived. Fees to be waived may be established by
resolution of the City Council on a project by project basis,
which may be amended from time to time.
(2 ) A project which provides restricted units may be
entitled to priority processing. Upon certifying that the
application is complete and eligible for priority processing, a
project would be immediately assigned to planning staff. The
project would be processed by City staff in advance of all non-
priority items . The project will then be reviewed for
environmental impacts; and, upon completion of the environmental J
review process, the project would be noticed and scheduled for
the next available meeting of the Planning Commission and/or City
Council thereafter. When more than one project qualifying for
priority processing is applied for at the same time, first
priority will be given to the project whose application was
determined to be complete earlier.
Section 8 . 16 . 060 . Waiver or Modification of Development and
Zoning Standards .
(a) An Applicant may request a modification of the following
development and zoning standards where such waiver or modification is
necessary to make the provision of restricted units economically
feasible. ti15��
d ( 1) reduce site development standards, e.g. street widths or
,1 paving, curbs/gutters, ,placement of public works
_improvements, landscaping;
J' (2) modify zoning code requirements, e.g. open space, minimum
v-t1 lot size, side yard setbacks, parking standards; and
(b) The request shall be accompanied by information sufficient 6t�q�5le
to show the City the waiver or modification is necessary to make the
restricted units economically feasible.
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Section 8 . 16 . 070 . General Requirements .
(a) Restricted units must remain affordable or restricted to
senior citizens for 30 years from the date of final occupancy
clearance if both a density bonus and additional incentive are `5k15�c
granted. If only a density bonus is granted, the restricted units
shall remain affordable or restricted to senior citizens for 10 years .
Affordability of restricted units shall be maintained longer if
financing or subsidy programs for the project designate a longer
preservation period.
(b) Dublin residents will have first preference for restricted
units; second preference will be given to Dublin employees; third
preference shall be given to those who need to move to Dublin to be
near Dublin residents or services; and fourth preference shall be
given to those who live outside Dublin.
(c) Requirements for restricted units shall be established as
conditions of project approval . Evidence of compliance with the
conditions of this ordinance shall be in the form of an Affordable
Housing Agreement between the applicant and the City Manager completed
prior to issuance of any project building permits . The agreement
shall indicate the household type, number, location, size and
construction scheduling of all restricted units, the original sales
prices of ownership units and the original rental rates of rental
units as agreed upon by the developer and the City Manager, and any
other information required by the City to determine the Applicant ' s
compliance with the conditions . The agreement shall be recorded as a
deed restriction prior to issuance of any project building permits and
shall run with the land encompassed by the project for a period of 10
or 30 years, or longer, as provided in Subsection a.
(d) Restricted units in a project and phases of a project shall
be constructed concurrently with or prior to the construction of non-
restricted units .
(e) Restricted units shall be provided as follows :
1 . Such units shall be dispersed throughout the project.
2 . Such units shall include all unit types represented in
the project and said unit types shall be provided in
the same proportion as in the project as a whole.
( f) The applicant shall submit a project financial report (pro
forma) along with the application for the project to allow the City to
evaluate the financial need for the additional incentives . The City
may retain a consultant to review the financial report. The cost of
the consultant shall be borne by the applicant with the following
exception: If the applicant is a non profit organization, the cost of
the consultant may be paid by the City upon prior approval of the City
Council .
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(g) The City may contract with the Dublin Housing Authority,
Alameda County Housing Authority or other similar entity to administer
the rental and sales provisions of this chapter.
(h) The City Council, by resolution, may establish the amount of
fees to be charged to applicants and/or project owners for
administration of this chapter.
Section 8 . 16 . 080 . Requirements for Rental Housing Projects .
(a) All restricted units shall be occupied by the household type
specified in the agreement required under Section 8 . 16 . 070 (c) .
(b) Those units targeted for lower-income households shall be
affordable at a rent that does not exceed 30 percent of 60 percent of
the Alameda County median income adjusted for household size, or as
modified by State law. 4s-iIs c
(c) Those units targeted for very low-income households shall be
affordable at a rent that does not exceed 30 percent of 50 percent of
the Alameda County median income adjusted for household size, or as
modified by State law.
(d) The City shall be responsible for obtaining and verifying
information with respect to the qualifications of prospective and
current tenants, including, but not limited to, information relating
to applications, income and eligibility. The City shall maintain a
list of qualified applicants for the duration of the program.
(e) Income limits shall be adjusted at periodic intervals as
new tables are published by HUD.
( f) When the eligibility of the tenants has been assured to the
satisfaction of the City, the City Manager shall prepare a
certification indicating that the applicant or project owner has
complied with the requirements of this section.
Section 8 . 16 . 090 . Requirements for Owner-Occupied Housing.
(a) All purchasers of restricted units shall be senior citizens
or first time home buyers .
(b) Purchasers shall be required to occupy the unit unless
evidence is presented to the City that the owner is unable to
continuously occupy the unit due to illness or incapacity. In such
cases, the City may approve rental of the unit to the same household
type as the owner. An Owner as a result of a form of transfer
pursuant to Section 8 . 16 . 100(d) may rent the restricted unit provided
the rental conforms to the Affordable Housing Agreement addressed in
Section 8 . 16 . 070(c) and to the provisions of Section 8 . 16 . 080 .
(c) The owner of a restricted unit, on its sale or resale, shall
sell the unit to a household in the same category. Lower income
households may only sell the unit to a household which meets the
income limits for a lower income household. Very low income
households may only sell the unit to a household which meets the
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income limits for a very low income household. Senior households may
only sell the unit to another senior household. The sales price shall
not be in excess of the maximum sales price set by the City Manager.
(d) Prior to offering a restricted unit for sale, the owner
shall send a written Notice of Intent to Sell to the City Manager.
The City Manager will then notify the owner of the current maximum
sales price. Prior to the close of the sale, the owner shall notify
the City Manager of the proposed sales price, who shall review the
application to assure conformance with this chapter.
(e) Closing costs and title insurance shall be paid pursuant to
the custom and practice in Dublin at the time of opening of escrow.
No charges or fees shall be imposed by the seller on the purchaser of
a restricted unit which are in addition to or more than charges
imposed upon purchasers of market rate units, except for
administrative fees charged by the City.
( f) The purchaser of a restricted unit shall verify on a form
acceptable to the City that the unit is being purchased for the
purchaser' s principal residence, or that if this unit ceases to
function as his or her principal residence, it will either be sold
according to the requirements of Section 8 . 16 . 090 or rented to an
eligible household according to the requirements of Section 8 . 16 . 080 .
Section 8 . 16 . 100 . Control of resale. In order to maintain the
availability of restricted units which may be constructed pursuant to
the requirements of this Chapter, the City shall impose the following
resale conditions on approval of any project for which restricted
units are required under this Chapter:
(a) The sales price received by the owner of a restricted
Affordable Unit shall be limited to the fair market value as
determined by an appraisal paid for by the owner multiplied times a
factor representing the purchase price paid by the owner of the
restricted unit divided by the market sales price of an identical unit
in the same development at the time of purchase. An example of this
calculation is shown in Attachment 2 . If the appraisal is
unacceptable to the City Manager, the City Manager may have another
appraisal performed by another qualified real estate appraiser
mutually agreed upon by the City and owner, which appraisal will be
considered by the City in determining the sales price. All costs
required to obtain such appraisal shall be borne by the owner.
The City Manager shall insure that the purchase price of a
restricted unit does not exceed an amount which is affordable to a
family of four belonging to the income category to which the
restricted unit was originally assigned.
(b) A for-sale restricted unit may appreciate only to the upper
limit of affordability for the income group to which the restricted
unit was assigned. The determination of affordability shall be based
on the maximum monthly mortgage payment that a household of four in a
given income category can pay as determined by the methodology shown
in Attachment 2 . Any appreciation above that point will not be added
to the sales price of the restricted unit.
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(c) The City Manager shall be responsible for monitoring the
resale of restricted units .
(d) The following transfers of title or any interest therein are
not subject to the provisions of this section: transfers by
inheritance to the purchaser-owner' s spouse or off-spring; transfers
of title to a spouse as part of a divorce or dissolution proceeding;
acquisition of title or interest therein in conjunction with marriage;
provided, however, that the Affordable Housing Agreement required by
Section 8 . 16 . 070(c) shall continue to run with the land following such
transfers .
Section 8 . 16 . 110 . Application Procedure.
(a) An applicant may submit to the Planning Department a
preliminary proposal for the development of housing pursuant to this
chapter prior to the submittal of any formal project application. The
City shall, within 90 days of receipt of a preliminary proposal,
provide the applicant in writing, comments and preliminary evaluation
of the project. The preliminary proposal is not an application for
purposes of the Permit Streamlining Act deadlines, and any comments or 65�tt5C�;
preliminary evaluations do not bind future City actions .
(b) Formal application shall be according to the review process
stated in the City of Dublin Municipal Code or Zoning Ordinance ( for
the particular application being filed) and shall provide the
following additional information:
1 . A written statement specifying the desired density
increase, incentive requested and the number, type, location,
size and construction scheduling of all dwelling units .
2 . A project financial report (pro forma) , if required
pursuant to Section 8 . 16 . 070 ( f) .
3 . Any other information requested by the Planning
Director to implement this Chapter.
Section 8 . 16 . 120 . Conflict of Interest. Following are those
persons who, by virtue of their position or relationship, are found to
be ineligible to purchase or rent a restricted unit as their
residence :
(a) All employees and officials of the City of Dublin who have,
by the authority of their position, policy making authority or
influence affecting City housing programs .
(b) The Applicant or Project Owner.
Section 8 . 16 . 130 . Violations .
(a) It shall be unlawful for any person, firm, corporation,
partnership or other entity to violate any provision or to fail to
comply with any of the requirements of this Chapter. A violation of
any of the provisions or failing to comply with any of the
requirements of this Chapter shall constitute a misdemeanor; except
that notwithstanding any other provisions of this Code, any such
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violation constituting a misdemeanor under this Chapter may, in the
discretion of the enforcing authority, be charged and prosecuted as an
infraction.
(b) Any person convicted of an infraction under the provisions
of this Code, unless provision is otherwise herein made, shall be
punishable as provided by the Government Code of the State of
California.
Section 8 . 16 . 140 . Enforcement.
(a) The provisions of this Chapter shall apply to all agents,
successors and assigns of an applicant. No building permit or
occupancy permit shall be issued, nor any development approval be
granted which does not meet the requirements of this Chapter. The
City Manager may suspend or revoke any building permit or approval
upon finding a violation of any provision of this chapter.
(b) The City Manager is designated to be the enforcing
authority.
(c) In the event it is determined that rents in excess of those
allowed by operation of this Chapter have been charged to a tenant
residing in a restricted rental unit, the City may take the
appropriate legal action to recover, and the project owner shall be
obligated to pay to the tenant or to the City in the event the tenant
cannot be located, any excess rents charged.
Section 8 . 16 . 150 . Appeals . Any person aggrieved by any action
or determination of the City Manager under this ordinance may appeal
such action or determination to the City Council in the manner
provided in Section 1 . 04 . 050 of the Municipal Code. "
Section 2 . Severability. The provisions of this Ordinance are
severable and if any provision, clause, sentence, word or part thereof
is held illegal, invalid, unconstitutional, or inapplicable to any
person or circumstances, such illegality, invalidity,
unconstitutionality, or inapplicability shall not affect or impair any
of the remaining provisions, clauses, sentences, sections, words or
parts thereof of the ordinance or their applicability to other persons
or circumstances .
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Section 3 . Effective date and posting of Ordinance. This
Ordinance shall take effect and be in force thirty (30) days from and
after the date of its passage. The City Clerk of the City of Dublin
shall cause this Ordinance to be posted in at least three ( 3) public
places in the City of Dublin in accordance with Section 36933 of the
Government Code of the State of California.
PASSED AND ADOPTED by the City Council of the City of Dublin on
this day of 1991 .
AYES :
NOES:
ABSENT:
Mayor
ATTEST:
City Clerk
\dbo-ordl
ATTACHMENT 1
City of Dublin Density Bonus Calculation
(Example for Illustrative Purposes Only)
Land Use Designation
and Zoning Residential: Multifamily
Permitted Density: 18 du/ac
Property Size: 4 acres
Maximum Units at
Permitted Density 72 units
Units Affordable to
Target Households (20% for
lower-income HH's) (72 x
. 20 = 14 . 4) ; round up 15 units
(restricted units)
Density Bonus Units (at
30%) (72 x .3 = 21.6) ;
round up 22 units
Total Project Units with
30% Density Bonus: 72 base units
+ 22 density bonus units
94 total units
(79 units at market rate, 15 restricted
units with restricted rents/sales
prices)
ATTACHMENT 2
The maximum price of a restricted ownership unit affordable to a
low income household with four members in Alameda County is $114,897 ,
and the maximum price of a restricted ownership unit affordable to a
very-low income household with four members in Alameda County is
$71, 811, based upon the following method for determining maximum
affordable housing costs :
LOW INCOME
a. Low income definition ( 80% of Alameda County' s median income for
a household with four members) _ $37,450 .
b. $37 , 450 is the income to be used in determining maximum
affordable price.
C. $37 ,450 _ 12 X . 3 = $936 , maximum monthly mortgage payment which
does not exceed 30% of gross income (property taxes, utilities
and insurance not included) .
d. $936 payment at 10 . 25% fixed rate, 30-year term and 10% down
payment = $114 , 897 mortgage, using a standard mortgage payment
table.
VERY LOW INCOME
a. Very low income definition (50% of Alameda County' s median income
for a household with four members) _ $23,400 .
b. $23,400 is the income to be used in determining maximum
affordable price.
C. $23,400 _ 12 X . 3 = $585, maximum monthly mortgage payment which
does not exceed 30% of gross income (property taxes, utilities
and insurance not included) .
d. $585 payment at 10 . 25% fixed rate, 30-year term and 10% down
payment = $71, 811 mortgage, using a standard mortgage payment
table.
Sample Calculation of Sales Price
Where the purchase price of a restricted unit assigned to the Low
Income category is $114 ,897 in 1991, and the market sales price of an
identical unit in the same development in 1991 is $150,000, the factor
to be used to multiply times a future market price to determine the
maximum price affordable to a household of four in the Low Income
group is 114 , 897 _ 150, 000 or . 766 . If the market sales price of the
restricted unit in 1996 is $193,500, the maximum sales price of the
restricted unit in 1996 is $193,500 X . 766 or $148,221 .
Example of Adjustment to Sales Price of
Ownership Restructed Unit:
Sales Price as determined
by Section 8 . 16.100(a) $100,000
Value of qualified improvements
for which written documentation
is provided as appraised
New Roof $ 8,200
Irrigation System 1,150
Restuccoing of entire home 3 ,700
Permanent spa in ground 4,650
$117,700
The Planning and Zoning Law
reviews and up 1 e trial court's findings with respect to paragraphs(1)to(4),inclusive,of
subdivision(a).
(Added by Sta 1,Ch.969.)
�29 t►.s h.►.�C�
�cC-T\oAts Chapter 4.3. Density Bonuses and Other Incentives
65915.(a)When a developer of housing proposes a housing development within the jurisdiction of Incentives for lower
a2p%NiC.r_- the local government,the city,county,or city and county shall provide the developer incentives for income housing
the production of lower income housing units within the development if the developer meets the development
requirements set forth in subdivisions(b)and(c).The city,county,or city and county shall adopt
an ordinance which shall specify the method of providing developer incentives.
R.14,0 40(a)(bxb)When a developer of housing agrees or proposes to construct at least(1)20 percent of the total
units of a housing development for lower income households,as defined in Section 50079.5 of the
Health and Safety Code,or(2) 10 percent of the total units of a housing development for very low
income households,as defined in Section 50105 of the Health andSafety Code,or(3)50 percent of
the total dwelling units of a housing development for qualifying residents,as defined in Section 51.2
of the Civil Code,a city,county,or city and county shall either(1)grant a density bonus and at least
g, 6 050(Q.one of the concessions or incentives identified in***subdivision(h)unless the city,county,or city
and county makes a written finding that the additional concession or incentive is not required in order
to provide for affordable housing costs as defined in Section 50052.5 of the Health and Safety
Code or for rents for the targeted units to be set as specified in subdivision(c),or(2)provide other
in_centives.of equivalent financial value based upon the land cost per dwelling unit:
g.ib,ono Cq) (c) A developer shall agree to and the city,county,or city and county shall ensure continued Affordability
CJ,'6.OnO.(`")affordability of all lower income density bonus units for 30 years or a longer period of time if agreement
Pgram,uired by the construction or mortgage financing assistance program,mortgage insurance
Sl,ib.o6o(bL or rental subsidy program.Those units targeted for***lower income households,as
defined in Section 50079.5 of the Health and Safety Code shall be affordable at a rent that does
not exceed 30 percent of 60 percent of area median income.Those units targeted for***very low
income households, as defined in Section 50105 of the Health and Safety Code shall be af-
fordable at a rent that does not exceed 30 percent of 50 percent of area median income.If a city,
county,or city and county does not grant at least one additional concession or incentive pursuant
to paragraph(1)of subdivision (b),the developer shall agree to and the city,county,or city and
county shall ensure continued affordability for 10 years of all lower income housing units receiving
a density bonus.
(d)A developer may submit to a city,county,or city and county a preliminary proposal for the
development of housing pursuant to this section I nor to the submittal of any formal requests for
general plan amendments,zoning amendments,?r subdivision map approvals.The city,county,or
city and county shall,within 90 days of receipt of a written proposal,notify the housing developer
in writing of the procedures under which it will comply with this section.The city,county,or city
and county shall establish procedures for carrying out this section,which shall include legislative
body approval of the means of compliance with this section.Thecity,county,or city and county shall
also establish procedures for waiving or modifying development and zoning standards which would
otherwise inhibit the utilization of the density bonus on specific sites. These procedures shall
9.14.06 o(0�include,but not be limited to,such items as minimum lot size,side yard setbacks,and placement
of public work improvements.
8.16-040(6) (e)The housing developer shall show that the waiver or modification is necessary to make the
housing units economically feasible.
pe�%^m c AJ K(f)For the purposes of this chapter,"density bonus"means a density increase of at least 25 percent
De-XT-N-ry over the otherwise maximum allowable residential density under the applicable zoning ordinance
8-4 0S 6- and land use element of the general plan as of the date of application by the developer to the city,
8.16.o40(a)county,or city and county.The density bonus shall not be included when determining the number
of housing units which is equal to 10 or***20 percent of the total.The density bonus shall apply
to housing developments consisting of five or more dwelling units.
Sr 6,0-70 (e) (g)"Housing development"as used in this section means one or more groups of projects for
residential units constructed in the planned development of a city,county,or city and county.For
purposes of calculating a density bonus,the residential units do not have to be based upon individual U-It
The Planning,Zoning,and Development Laws • 85
The Planning and Zoning Law
subdivision maps or parcels.The density bonus shall be permitted in geographic areas of the housing
development other than the areas where the units for the lower income households are located.
(h)For purposes of this chapter,concession or incentive means any of the following:
8.14.o S o Cct) (1)A reduction in site development standards or a modification of zoning code requirements
or architectural design requirements which exceed the minimum building standards approved
by the State Building Standards Commission as provided in Part 2.5 (commencing with
Section 18901)of Division 13 of the Health and Safety Code,including,but not limited to,a
reduction in setback and square footage requirements and in the ratio of vehicular parking
spaces that would otherwise be required.
US 0 (2)Approval of mixed use zoning in conjunction with the housing project if commercial,
office,industrial,or other land uses will reduce the cost of the housing development and if the
commercial,office,industrial,or other land uses are compatible with the housing project and
the existing or planned development in the area where the proposed housing project will be
located.
g , 16.0S O Cc') (3)Other regulatory incentives or concessions proposed by the developer or the city,county,
or city and county which result in identifiable cost reductions.
This subdivision does not limit or require the provision of direct financial incentives for the
housing development,including the provision of publicly owned land by the city,county,or
city and county,or the waiver of fees or dedication requirements.
I 6 .o 4Lo Cc-) (i)If a developer agrees to constructboth 20 percent of the total units for lower income households
and 10 percent of the total units for very low lk**households,the developer is entitled to only one
density bonus and at least one additional concession or incentive identified in Section 65913.4 under
this section although the city,city and county,or county may,at its discretion,grant more than one
density bonus.
(Amended by Stats.1984,Ch.1333.No repealer;Amended by Stats.1989,Ch.842;Amended by
Stats.1990,Ch.31.Effective September 11,1990.)
Condo conversion 65915.5.(a) hen an applicant for approval to convert apartments to a condominium pro' t agrees
incentives for low to provide a t 33 percent of the total units of the proposed condominium project rsons and
income housing families of to r moderate income as defined in Section 50093 of the Health and ety Code,or
development 15 percent of the tal units of the proposed condominium project to lower inc a households as
defined in Section 79.5 of the Health and Safety Code,and agrees to p for the reasonably
necessary administra a costs incurred by a city,county,or city and county suant to this section,
the city, county, or cit d county shall either (1) grant a density us or (2) provide other
incentives of equivalent ancial value. A city, county, or city d county may place such
reasonable conditions on the ting of a density bonus or other' entives of equivalent financial
value as it finds appropriate, eluding, but not limited to, c ditions which assure continued
affordability of units to subseque urchasers who are per s and families of low and moderate
income or lower income househol
(b)For purposes of this section,"de 'ty bonus"m an increase in units of 25 percent over the
number of apartments, to be provided 'thin the isting structure or structures proposed for
conversion.
(c) For purposes of this section,'other in tives of equivalent financial value" shall not be
construed to require a city,county,or city d c ty to provide cash transfer payments or other
monetary compensation but may include a redu ' n or waiver of requirements which the city,
county,or city and county might othe ise apply as ditions of conversion approval.
(d)An applicant for approval to nvert apartments condominium project may submit to a
city,county,or city and county a eliminary proposal puns t to this section prior to the submittal
of any formal requests for su vision map approvals.The ci county,or city and county shall,
within 90 days of receipt of lien proposal,notify the applican ' writing of the manner in which
it will comply with this lion.The city,county,or city and co un all establish procedures for
carrying out this sectio ,which shall include legislative body approv the means of compliance
with this secti on.
(e)Nothing in section shall be construed to require a city,county,or city d county to approve
a proposal to c vert apartments to condominiums.
(f)An ap cant shall be ineligible for a density bonus or other incentives under section if the
apartme proposed for conversion constitute a housing development for which a de ' bonus or
86 •The Planning,Zoning,and Development Laws