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Home My WebLink About8.2 RepealRental AvailabilityOrd , t e. . . -' .....~ . . '. .~ CITY CLERK File # D~~[Q]-~lQJ AGENDA STATEMENT CITY COUNCIL MEETING DATE: SUBJECT: ~ Consideration of request to initiate a General Plan Amendment to repeal the Rental availability Ordinance (Report Prepared by Dennis Carrington, Senior Planner) EXHIBITS ATTACHED: Chapter 8.04 of the Municipal Code, Rental Availability Ordinance Letter from Kaufman and Broad dated February 12, 1996 A. B. RECOMMENDATION: nJV' 1. \" ' 2. Consider repealing the Rental Availability Ordinance Give Staff direction on repeal of Rental Availability Ordinance FINANCIAL STATEMENT: No cost to City DESCRIPTION: The purpose of the Rental Availability Ordinance is to provide rental housing in the City of Dublin by requiring that 1 0% of the total number of units in all new multifamily proj ects of more than ten units be maintained as rental units for a period of five years. The obligation to provide rental units may be satisfied by the applicant's payment of the In-Lieu Rental Fees. Matt Koart, Vice President of Land Acquisitions for Kaufman and Broad has submitted a request (Exhibit B) to amend the Housing Element of the General Plan to delete the Rental Availability Ordinance. If the City Council wishes to repeal the Rental Availability Ordinance, it will be necessary for the Council to initiate a General Plan Amendment to amend the Housing Element of the General Plan to delete references to the Ordinance and to prepare an ordinance repealing the Rental Availability Ordinance. g:pa96006\raostmt 1 COPIES TO: Rental Availability Ordinance File Matt Koart Dennis Carrington, Senior Planner ITEM NO. &L , - ....~... .: . :.:~: /2) .c. :::i./;~ Chapter 8.04 RE1\'TAL A V AILABILITY Sections: 8.04.010 8.04.020 8.04.030 8.04.040 8.04.050 8.04.060 8.04.070 8.04.080 8.04.090 8.04.100 8.04.110 Title. Findings. Purpose. Definitions. ~neraI rental unit requirements for new multifamily residential developments of more than ten (10) units. Relation of rental availability ordinance to incIusionaI)' housing ordinance. In-lieu rental fees. Conflict of interest. Vi oIati on-PenaJty. Enforcement. Appeals. 8.04.010 Title. The ordinance codified in this chapter shall be called the "Rental Availability Ordinance of the City of Dublin." (Ord. 14-91 S 1 (part)) ~ ~.; : ~ ~. . oe . : 8.04.020 - Findings." A goal of the city's adopted housing element is to achieve a balanced community with housing available for households over a range of income levels. The citY of Dub- lin nnds the city is experiencing a shortage of rental housing. The city's Housing Ele- mentidentifies a::five-r...rcent (5%) vacancy rate as necessary to permit rental mobility whereas the city's 3.9 percent rental vacan- cy rate falls far below that goal. (Housing Element, pp. 16-17.) In addition, rental 444a 8.04.010 housing is an important source of affordable housing since downpayment requirements and the high cost of new housing limit new ownership housing as an affordable housing source. Also, some households choose to rem for reasons otl1erthan affordabiIity. The City Council finds that it is a public pur- pose of the city and a public policy of the state of California as mandated by the re- quirements for a housing element of the city's general plan, to make available an adequate supply of rental housing for per- sons of all economic segments of the com- munity. COrd. 14-91 S 1 (pan)) 8.04.030 Purpose. The purpose of this chapter is to enhance the public welfare and assure that housing development contributes to the anainment of the above-described goals by providing rental housing in the. city of Dublin directly or through land acquisition, land or rental writedowns, construction of rental housing, rental assistance, direct contributions to a non-profit association or corporation for construction of rental housing, landbanking (including property exchanges) and any other mechanism available to the city to provide rental housing. A limited and finite amoUnt ofJand remains for development of housing" in the city and extended planning area. In order to assure that the remaining developable land is utilized in a manner consistent with the city's housing policies and needs, the city declares that ten percent (10%) of the total number of units in all new multifamily projects of more than ten (10) units shall be maintained as rental units for a period of nve (5) years. The regula- tions set forth in this chapter shall apply citywide, including the extended planning areas. (Ord. 14-91 S 1 (part)) (Dubw> 8-92) EXHIBIT A 8.04.04D 8.04.040 Definitions. For the purposes of this chapter, 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. "Applicant" means any person, firm, partnership, association, joint venture, cor- poration, or. any entity or combination of entities which seeks city permits and ap- provals for a project. "Approval" means ~option of a resolu- tion 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. "City" means the city of Dublin or its designee or any entity with which the city contracts to administer this chapter. ."Dublin employee". means any single person, heaq of ho~hold or, in the case of married couples, either spouse, who has wor~ed ~~n the city. limits of Dublin continu~ly for one (1) year immediately prior to the date of application for a rental unit ~'Iiublin r::Si~nt" means any person who has liv~ within the city . limits of Dublin contjn~al.ly f~r .one .c1) year immediately prior_~ ~ ~.' ~f .appliC?Jio~ for a rental unit.. ~'~?tin~t'._~~l be .construed to incl!l.de lapses. of ~~idency ~f no longer ~ six (6) months. . "DweJ!ing. unit" m~ a dwelling de- signed for occupancy by one (1) household. "Ho~hold" means one (1) pers~n living alone, or two (2) or .more persons sharing residency ~ose income resources are avail- ~le to meet the family's needs and who are related by blood. marriage or operation of la~.. 0.. -:- .. (Doblin 8-92) 444b . , .. "In-lieu rental fee" means a fee paid to the city by an applicant for residential de- velopment in the city, in lieu of providing the rental units required by this chapter. "Multifamily residential development" means a project which includes any multi- family dwellings. "Project" means a housing development at one (1) location including all dwelling units for which permits have been applied for or approved within a twelve (12) month period. "Project owner" means any person, firm, pannership. association, joint venture, cor- poration, or any entity or combination of entities which holds fee title to the land on which the project is located. "Rental unit" means a rental dwelling unit ~ required by this chapter. "Re-rental controls" means legal restric- tions by which the availability of rental units will be monitored and controlled to insure that the unit remains available for rent "Unit type" means dwelling units with similar floor area and number of bedrooms. (Ord. 14-91 g 1 (part)) .... 8.04.050 General rental unit requirements for new multifamily residential developments of lI!ore than ten (10) units. A. 1. Any new multifamily residential development involving more than ten (10) dwelling units, which is approved on or after the effective date of the ordinance codiiiedin this chapter, shall be conditioned to include an ~oreement to provide ten percent (10%) of the total number of dwell- ing units within the development as rental units for a period of five (5) years from the .,. '.. e. ... . . .. e.: . -'.'. .' " date of final occupancy of each unit The obligation to provide rental units may be satisfied by the applicant's payment of in- lieu rental fees, as provided in Section 8.12.070 of this chapter subject to approval by the approving body. 2. In applying the ten percent (10%) requirement, any resulting fraction of units less than 0.50 may be disregarded and any fraction greater than or equal to 0.50 shall be construed as requiring one (1) rental unit The rental requirement shall be im- posed only once on a given development, regardless of changes in the character or ownership of the development B. 1. Any development permit for new multifamily residential development projects of more than ten (10) units, if granted, shall be subject to conditions ensuring compli- ance with the provisions of this chapter. Such conditions shall specify the timing of construction of rental units and/or payment of in-lieu rental fees. 2. Evidence of compliance with the rental housing conditions shall be in the form of a written agreement between the applicant and the City Manager completed prior to fmal inspection of the fITst dwelling unit in the project The agreement shall indicate the number and construction sched- uling of all rental units and any other infor- mation required by the City Manager to determine the applicant's compliance with the conditions. The agreement shall be recorded as a deed restriction prior to fmal inspection of the fITst dwelling unit in the project and shall run with the land encom- passed by the project for each phase until the rental units have been occupied for a period of five (5) years from the date of final occupancy of the last unit in each phase. 444c 8.04.050 C. Dublin residents will be given fITst preference for rental units: Dublin employ- ees will have second preference for rental units; third preference will be given to those who need to move to Dublin to be near Dublin residents or services; and fourth preference will be given to those who live outside of Dublin. D. AIl rental units in a project and phas- es of a project shall be constructed concur- rently with or prior to the construction of nonrental units. E. AIl rental units: 1. Shall be reasonably dispersed throughout the entire development; 2. Shall include all unit types represent- ed in the project (unless the number of unit types exceeds the number of rental units) and said unit types shall be provided in the same proportion as in the project as a whole; and 3. Shall be compatible with the design and use of the nonrental units in terms of exterior appearance, materials and finish quality. F. The City Council shall establish the in-lieu rental fee by resolution, which shaH be adopted at least every two (2) years. G. The City Manager shall monitor the continuing availability of rental units and shall take such actions as necessary to noti- fy the public of their availability. (Ord. 14- 91 S 1 (part)) 8.04.060 Relation of rental availability ordinance to inc1usionary housing ordinance. The rental availability provisions of this chapter are separate from the provisions of the Inc1usionary Housing Ordinance of the city of Dublin. However, rental units re- (Dublill &-92) 8.04.060 quired under the rental availability ordi- nance codified in this chapter may also be counted to determine compliance with inclusionary housing requirements so long as the rental units meet all applicable re- quirements of the inclusionary housing ordinance, including the time period and rent levels required. (Ord. 14-91 S 1 (part)) 8.04.070 In-lieu rental fees. A. Subject to approval by the approving authority, an applicant may contribute a fee in lieu of providing a rental unit Such fee shall be known as the "in-lieu rental fee." B. . The amount of the in-lieu rental fee for a project shall be determined by resolu- tion by the City Council at least every two (2) years. The methodology for the determi- nation of the flat in-lieu rental fee is shown in Attachment 1 to the ordinance codified in this chapter. During the years that the City Council does not determine the fee by resolution, the amount of the in-lieu rental fee shall be increased annually by an amount equal to the rental rate increase used by the City Council in determining the current in-lieu rental fee. e. The entire in-lieu rental fee shall be paid no later than at the time of the final inspection of the first dwelling unit in the project D. The in-lieu rental fee shall be depos- ited into a fund to be known as the "Rental Availability Housing In-Lieu Rental Fees Fund" (''Fund'') and shall be used only for the purposes set forth herein. E. AIl moneys in the Fund, together with any interest earning on such moneys less reasonable administrative charges, shall be used by the City Manager for the pur- pose of providing rental housing in the city of Dublin through land acquisition, land or (Dubful 8-92) 444d .. ~ . . rental writedowns, construction of rental housing, rental assistance, direct contribu- tions to a nonprofit association or corpora- tion for construction of rental housing, landbanking (including property exchanges), and any other mechanism available to the city to provide rental housing. F. The moneys in the Fund shall be used or committed to use for the purposes set forth in subsection E of this section within seven (7) years of the date of pay- ment into the Fund. Any moneys remaining unexpended or uncommitted at the end of the seven (7) year period shall be refunded to the then-current owner or may be con- tributed to a nonprofit association or the corporation for the purpose of providing rental housing in Dublin, at the option of the City Council. G. No later than June 30th of each year, the City Manager shall prepare a report for the City Council identifying the balance of moneys in the Fund and the rental housing provided, and any moneys committed to providing rental housing. The annual report shall also include a review of administrative charges. The City Council shall receive and consider the report. (Ord. 14-91 S 1 (part)) ..... .. 8.04.080 Conflict of interest. Following are those individuals who, by virtue of their position or relationship, are found to be ineligible to rent a unit under this chapter as their residence: A. AIl employees and officials of the city of Dublin who have, by the authority of their position, policymaking authority or influence affecting city housing programs; B. The applicant or project owner. (Ord. 14-91 S 1 (part)) .. . I 'e/.. : j I I ! , , 8.04.090 Violation-Penalty. 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 require- ments of this chapter shall constitute a misdemeanor; except that, notwithstanding any other provisions of this code, any such violation constituting a misdemeanor under this chapter may, in the discretion of the enforcing authority, be charged and prose- cuted as an infraction. B. !illy 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. (Ord. 14-91 S 1 (part)) e;~ . . .-.'" . ." '"0 8.04.100 Enforcement. A The provisions of this chapter shall e. .. ..:.... "'-:) 444e 8.04.090 apply to all agents, successors and assigns of an applicant. No building permit or occu- pancy permit shall be issued, nor any devel- opment approval be granted which does not meet the requirements of this chapter. B. The City Manager is designated as the enforcing authority. C. The city may institute any appropri- ate legal actions or proceedings necessary to ensure compliance herewith, including but not limited to actions to revoke, deny or suspend any permit or development approv- al. (Ord. 14-91 S 1 (part)) 8.04.110 Appeals. !illy person aggrieved by any action involving denial, suspension or revocation of an occupancy or other permit, or denial, suspension or revocation of any develop- ment approval, may appeal such action or determination in the manner provided in Section 1.04.050 of the Municipal Code. COrd. 14-91 S 1 (part)) (])oblin &- 92) 0~:23:86 17:42 'B'51U8l)67182 K,nT~L-\.\ &; BROAD . . [4J 002 K' UFMANaBRO-~_D '--- . February 12, 1996 Ms. Jeri Ram Senior Planner City of Dublin 100 Civic Plaza Dublin. CA 94568 VIA TELECOPY (510) 833-6628 AND U.S. MAJL Re: Rental Availability Ordinance (Chapter 8.04) Dear Jeri: As you may know, the City's Rental Housing Ordinance was discussed at a recent study session with the Dublin City Council and Planning Commission. I provided the Council and Commission vvith a study prepared by Anthony Hurt & Associates which provided evidence that attached housing tends to provide approximately 30% rentals) and that this Ordinance is unnecessary is meet the City's stated goal of providing 10% rentals in multi- family proj ects. . Therefore, please consider this letter an application to amend the City's General Plan Housing Element and the Conditions of Approval for Tract 5926 (aka CA Highlands). Please let me know if any other City applications are required~ and the amount of the application fee. I would like this matter set for the Planning Commission agenda as soon as possible. Finally) attached is a letter from our attorney which provides legal authority for amencling conditions even though the subdivision map has already been approved and recorded. Thank you for your assiStance. Sincerely, KAUFMAN AND BROAD OF NORTHERN CALIFORNIA, INC. ~~/~ Matt Koart Vice President - Land Acquisitions . cc: Rich Ambrose (WiD encI.) Dave Lanferman (w/o enel.) Larry Tong (w/o encl.) EXHIBIT {3 ~.'+: AI... ~.. ~ \ ~