HomeMy WebLinkAbout94-05 ORDINANCE NO. 94-05
AN ORDINANCE OF THE TOWN OF DANVILLE
ADDING SECTION 32-24.1 - 32-24.11 TO ARTICLE V OF CHAPTER 32
OF THE DANVILLE MUNICIPAL CODE REGARDING APPROVAL OF A DENSITY
BONUS FOR AFFORDABLE RESIDENTIAL AND/OR SENIOR CITIZEN
DEVELOPMENTS IN THE TOWN OF DANVILLE
The Town Council of the Town of Danville DOES ORDAIN AS FOLLOWS:
SECTION ONE: Sections 32-24.1 through 32-24.11 are hereby added to the Danville
Municipal Code, to read as follows:
32-24.1 Title.
This Ordinance shall be entitled the "Density Bonus Ordinance of the Town of Danville".
32-24.2 Findings.
The Town Council of the Town of Danville finds that Danville is experiencing a housing
shortage for very low, low and moderate income households and a similar shortage for
households with special housing needs (e.g., with senior and/or handicapped members).
A goal of the Town is to achieve a balanced community with housing available for
households of a range of income levels and for households with special housing needs.
Increasingly, households with very low, low and moderate incomes who work and / or
live within the Town are unable to locate housing at prices they can afford and are
increasingly excluded from living in the Town. The Town finds that the high cost of
newly constructed housing does not, to any appreciable extent, provide housing
affordable by very low, low or moderate income households, and that continued new
development which does not include nor contribute toward lower cost housing will serve
to further aggravate the current housing problems by reducing the supply of developable
land. The Town finds households with special housing needs are also not generally able
to find appropriate housing in the Town. The Town further finds that the housing
shortage for households of very low, low and moderate incomes and for households with
special housing needs is detrimental to the public health, safety and welfare, and further
that it is a public purpose of the Town, and a public policy of the State of California as
mandated by the requirements for a Housing Element of the Town's General Plan, to
make available an adequate supply of housing for persons of all economic segments of
the community.
32-24.2 Purpose.
This ordinance is intended to establish policies which facilitate the development of
affordable housing and housing for households with special housing needs. In order to
encourage the provision of very low, low, handicapped and senior housing, the Town
shall provide a density bonus and, under certain circumstances, shall provide additional
incentive(s) to developers of housing who agree to meet the requirements established by
this chapter. The regulations set forth in this Ordinance shall apply Town wide.
32-24.3 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.
a. "Affordable unit" means a residential unit for which the mortgage or rental payment
does not exceed that affordable to very low, low and moderate income households,
as determined periodically by the United States Department of Housing and Urban
Development based on the Alameda County / Contra Costa County Standard
Metropolitan Statistical Area (SMSA) median income levels by family size.
Appropriate mortgage and rental rates shall be calculated on the basis of gross
annual household income considering household size and unit size, income of all
wage earners and all other sources of household income. For purposes of this
chapter;
1. Affordable units for very low income households shall mean units with
housing costs affordable to households whose gross annual income is 50%
or less of the current SMSA median income, as published by the California
Department of Housing and Community Development pursuant to Health
and Safety Code Section 50105.
2. Affordable units for low income households shall mean units with housing
costs affordable to households whose gross annual income is between 51%
and 80% of the current SMSA median income, as published by the California
Department of Housing and Community Development pursuant to Health
and Safety Code Section 50079.5.
3. Affordable units for moderate income households shall mean units with
housing costs affordable to households whose gross annual income is
between 81% and 110% of the current SMSA median income, as published
by the California Department of Housing and Community Development
pursuant to Health and Safety Code Section 50093.
PAGE NO. 2 OF ORDINANCE NO. 94-05
b. "Applicant" means any person, firm, partnership, association, joint venture,
corporation, or any entity or combination of entities which seeks Town real
property development permits and approvals.
c. "Approval" means approval by the Town of a discretionary permit such as a
tentative map, planned development or land use permit for a project.
d. "Danville employee" means any head of household, or in the case of married
couples either spouse, who has worked within the Town limits continually for one
(1) year in the year immediately preceding the occupancy of an affordable unit.
e. "Danville resident" means any person who has lived within the Town limits of
Danville for one (1) year in the year immediately preceding the occupancy of an
affordable unit.
f. "Developer" means the same as "applicant", see above definition.
g. "Handicapped" means any person meeting the definition of "physically
handicapped" per the Fair Employment and Housing Act, Section 12926.
h. "Household" means one person living alone or two or more persons sharing
residency and who are related by blood, marriage or operation of law.
i. "Housing cost" means the monthly mortgage (including principal and interest),
property taxes, and homeowner association fees, where applicable, for ownership
units; and the monthly rent and an appropriate utility allowance for rental units.
j. "Incentive" means a benefit offered by the Town to facilitate construction of
housing projects which include restricted occupancy units. Among others, benefits
may include fee waivers for restricted occupancy units, flexibility and/or relaxation
of development regulations. For purposes of this chapter, any incentive granted
hereunder shall be deemed a direct subsidy of the project by the Town.
k. "Permits" means an approved application by the Town of Danville for a
development plan, land use entitlement, subdivision, Planned Unit Development
or building permit.
i. "Project" means a housing development at one location, including all dwelling units
for which permits have been applied for or approved within a twelve month
period.
m. "Project owner" means 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.
PAGE NO. 3 OF ORDINANCE NO. 94-05
n. "Restricted occupancy unit" means a unit restricted in such a manner that it is sold
or rented at a rate affordable to very low or low income households; a unit
restricted in such a manner that it is sold or rented at a rate affordable to moderate
income households containing a handicapped household member; or a unit
restricted in such a manner that it is occupied by a senior household.
o. "Senior citizen project" means a residential project specifically designed and
operated to assist senior households, with a minimum of eighty (80) percent of the
units in the project to be occupied by at least one person sixty-two (62) years of
age or older, or in the case of projects consisting of at least 150 units, occupied by
at least one person fifty-five (55) years of age or older. To qualify as a senior
citizen project, the project must also provide facilities and services for the elderly
occupants.
p. "Senior household" means a household with at least one member qualifying to be
a resident of a senior citizen project. Said household member shall be at least
sixty-two (62) years of age, or in the case of development of a senior citizen
projecting consisting of at least 150 units, shall be at least fifty-five (55) years of age
or older.
q. "Town" means the Town of Danville or its designee, or any entity with which the
Town contracts with to administer this chapter.
r. "Unit type" means dwelling units with similar floor area and number of bedrooms.
32-24.4 Density Bonus Defined.
For purposes of this chapter, "density bonus" shall be defined as indicated below.
a. For projects where the term of the restrictions for the restricted occupancy units
is greater than ten (10) years and less than thirty (30) years: "Density bonus" shall
mean a density increase of twenty-five (25) percent over the otherwise maximum
allowable density under applicable zoning ordinance and land use element of the
general plan, as of the date of the application for development.
b. For projects where the term of the restrictions for the restricted occupancy units
is equal to of greater than thirty (30) years: "Density bonus" shall mean a density
increase of at least thirty (30) percent over the otherwise maximum allowable
density under applicable zoning ordinance and land use element of the general
plan, as of the date of the application for development.
PAGE NO. 4 OF ORDINANCE NO. 94-05
32-24.5 Applicability.
a. In order to qualify for the density bonus described in Section 32-24.4a. (i.e., a 25%
density bonus), a project must consist of five or more dwelling units; must include
restricted occupancy units meeting one or more of the following criteria (all
percentages of the required number of restricted occupancy units shall be rounded
up to the nearest whole unit); and must impose a term for the restrictions
applicable to the restricted occupancy units which is greater than ten (10) years
and less than thirty (30) years:
1. At least 20% of the total units are restTicted for occupancy by low income
households, with the maximum housing costs set so as to be affordable by
low income households (adjusted to reflect unit type and household size),
or
2. At least 10% of the total units are restricted for occupancy by very low
income households, with the maximum housing costs set so as to be
affordable by very low income households (adjusted to reflect unit type and
household size), or
3. At least 10% of the total units are restricted for occupancy by senior
households.
b. In order to qualify for the density bonus described in Section 32-24.4b. (i.e., a
-> 30% density bonus), a project must consist of five or more dwelling units; must
include restricted occupancy units meeting one or more of the following criteria
(all percentages of the required number of restricted occupancy units shall be
rounded up to the nearest whole unit); and must impose a term for the restrictions
applicable to the restricted occupancy units which is > thirty (30) years:
1. At least 10% of the total units are restricted for occupancy by low income
households, with the maximum housing costs set so as to be affordable by
low income households (adjusted to reflect unit type and household size),
or
2. At least 5% of the total units are restricted for occupancy by very low
income households, with the maximum housing costs set so as to be
affordable by very low income households (adjusted to reflect unit type and
household size), or
3. At least 50% of the total units are restricted for occupancy by senior
households, or
PAGE NO. 5 OF ORDINANCE NO. 94-05
4. At least 10% of the total units are restricted for occupancy by moderate
income households containing a handicapped person or persons, with one
or more physical handicaps, with the maximum housing costs set so as to
be affordable by moderate income households (adjusted to reflect unit type
and household size).
c. Projects which meet the requirements set forth in Section a. above shall qualify for
a 25% density bonus.
d. Projects which meet the requirements set forth in Section b. above shall:
1. Qualify for a ~ 30% density bonus and at least one other incentive listed
in Section 32-24.6, unless the Town adopts a finding that the additional
incentive is found unnecessary for affordable housing costs or to set rents
at qualifying levels for very low income households, for low income
households, or for moderate income households with handicapped
members, as appropriate; or,
2. Qualify for other incentives of equivalent financial value based on the land
cost per dwelling unit.
e. If a developer agrees to construct a project with at least two of the items listed in
Section 32-24.5b above, the developer is entitled to an additional incentive and,
may at the discretion of the Town, receive an additional density bonus.
f. Unit calculations do not need to be based on individual subdivisions or parcels.
Density bonus units may be permitted in areas within the housing development
other than where the restricted occupancy units are located. If the density bonus
units are located separate from the restricted occupancy units, such project groups
shall, unless otherwise authorized by the Town, be contiguous and shall be
developed simultaneous with the development of the restricted occupancy units.
32-24.6 Incentives.
An applicant proposing development of a project as described in Section 32-24b may
· request a modification of the following standards where such waiver or modification is
necessary to make the provision of restricted occupancy units economically feasible. The
request shall be accompanied by information sufficient to demonstrate that the incentive
is necessary to make the affordable units economically feasible:
a. A reduction in site development standards, modification of zoning code
requirements or architectural design standards exceeding State building standards;
inc|uding~ but not limited to, a reduction in setback, square footage, minimum lot
PAGE NO. 6 OF ORDINANCE NO. 94-05
size, minimum lot dimensions, street section, sidewalks, open space, landscaping
or number of parking spaces.
b. Approval of mixed use zoning, when consistent with the underlying hind use
:ff~i:'~?::~?i~111!Oi~ii in conjunction with the housing project if commercial, office or other
land uses will reduce the cost of the housing development and if the commercial,
office 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 developer or the Town
which result in identifiable cost reductions may include, but are not limited to,
certain Town controlled fees applicable to the restricted occupancy units within a
project may be waived. Fees to be waived may be established by the Town Council
or Redevelopment Agency on a project by project basis.
32-24.7 Application Process.
a. A developer may submit to the Town a preliminary written proposal for the
development of a housing project pursuant to this chapter prior to the submittal
of any formal requests for general plan amendments, planned unit developments,
tentative map approvals or other land use entitlement. The Town shall, within 90
days of receipt of the a written proposal, notify the housing developer in writing
of the procedures under which it will comply with this section.
· b. The decision-making body for a formal application meeting the requirements of
this section shall be the Planning Commission and/or Town Council, which ever
is authorized to approve the discretionary permit; unless the project is located
within the Redevelopment Area, in which case, the Redevelopment Agency shall be
the decision-making body for the project.
c. A project which provides restricted occupancy units shall be entitled to priority
processing. Upon certifying that the application is complete and eligible for priority
processing, a project would be immediately assigned to a planner and given
priority scheduling.
32-24.8 General Requirements.
a. Restricted occupancy units in projects receiving a density bonus shall remain
affordable for a minimum of 10 years from the date of issuance of a certificate of
occupancy. This minimum reservation period shall be lengthened to a minimum
PAGE NO. 7 OF ORDINANCE NO. 94-05
of 30 years for projects receiving both a density bonus and an additional incentive,
even if it is not a direct financial contribution. Occupancy restrictions for the
restricted occupancy units shall be maintained longer if required by the
construction or mortgage financing assistance program, mortgage insurance
program, or rental subsidy program.
b. Households with Danville residents who meet the qualifications for occupancy of
restricted units will have first preference for restricted occupancy units; second
preference will be given to households with Danville employees who meet the
qualifications for occupancy of restricted units; third preference shall be given to
all other eligible households.
c. Requirements for restricted occupancy units shall be established as conditions of
project approval. Compliance with the conditions of this chapter shall be
evidenced by an affordable housing agreement between the developer and the
Town Manager, completed and recorded on the deed to each affected unit prior
to issuance of a building permit and shall run with the land.
1. The affordable housing agreement shall indicate the qualification criteria for
the target households for the restricted occupancy units (e.g., very low
income household, senior household, etc.), the intended household type
(i.e., sale or rental restricted occupancy units), the number of restricted
occupancy units and their corresponding number of bedrooms; standards
for maximum qualifying household incomes for restricted occupancy units
with affordability restrictions; standards for maximum rents or sales prices
for restricted occupancy units with affordability restrictions; standards for
qualifying for occupancy of senior or handicapped restricted occupancy
units; party/process responsible for certifying qualifications of households
which occupy restricted occupancy units; construction scheduling, how
vacancies will be marketed and filled; restrictions and enforcement
mechanisms binding on property upon sale or transfer; maintenance
provisions; and any other information as required by the Town to comply
with the conditions of approval for the project.
2. The affordable housing agreement shall include a provision which allows
the Town of Danville to assign its authority to regulate and enforce the
agreement to the Contra Costa County Housing Authority, a non-profit
housing agency or other similar entity.
d. Units in a project and phases of a project shall be constructed concurrently with,
or prior to, the construction of units without occupancy restrictions.
e. Units shall be provided as follows:
PAGE NO. 8 OF ORDINANCE NO. 94-05
1. Restricted occupancy units shall be dispersed throughout the project;
2. Restricted occupancy units are not required to represent the predominant
unit type in the project. Such as, but not limited to, locating affordable
attached duet units on corner lots in a primarily single family development.
3. The exterior design and character of the restricted occupancy units shall be
substantially consistent with the units without occupancy restrictions in the
project. There may be a reduction of interior amenities as may be
necessary to attain affordability of the restricted occupancy units.
f. For-sale restricted occupancy units shall not be rented unless specifically
authorized by the Town and a new affordable housing agreement executed and
recorded against the property.
g. Where the developer requests one or more additional incentive, they shall submit
a project financial report (pro forma) along with the application for the project in
order to evaluate the financial need for the additional incentive(s). At the cost of
developer, the Town may retain a consultant to review the financial report. If the
developer is a non-profit organization, the Town may elect to pay the cost of the
consultant upon approval by the Town Council (or Redevelopment Agency if the
project is located in the Redevelopment Area).
32-24.9 Violation-Penalty.
It is unlawful for any person, firm, corporation, partoership 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 violation constituting a misdemeanor under this chapter may, at the
discretion of the enforcing authority, be charged and prosecuted as an infraction.
32.24.10 Enforcement.
a. The Town Manager is hereby designated the enforcing authority of this chapter.
b. The provisions of this chapter shall apply to all agents, successors and assigns of
a developer. 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 Chief Building Official may suspend or revoke any building permit
or approval upon finding a violation of any provision of this chapter.
PAGE NOo 9 OF ORDINANCE NO. 94-05
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 occupancy rental
unit, the Town may take the appropriate legal action to recover, and the rental unit
owner shall be obligated to pay to the tenant (or to the Town in the event the
tenant cannot be located), any excess rent charges.
32-24.11 Appeals.
Any person aggrieved by any action or determination of the Town Manager under this
chapter may appeal such action or determination to the Town Council as provided for in
the Municipal Code.
SECTION TWO. Publication.
The City Clerk shall either a) have this Ordinance published once within 15 days after
adoption in a newspaper of general circulation or b) have a summary of this ordinance
published twice in a newspaper of general circulation once five days before it's adoption
and again within 15 days after adoption.
SECTION THREE. Codification.
Section One hereof shall be codified in the Danville Municipal Code. Sections TWO and
THREE shall NOT be codified in the Danville Municipal Code.
The foregoing ordinance was first read and introduced on Tuesday, February 15, 1994
and approved and adopted by the Danville Town Council at a Regular Meeting held on
Tuesday, March 1, 1994 by the following vote:
AYES: Ritchey,Greenberg, Doyle, Waldo
NOES: Shimansky
ABSTAIN: none ~~YoR
ABSENT: none
APPROVED AS TO FORM: ATTEST:
[ CITY ATTORNEY CITY CLERK
acmz 15.a
PAGE NO. 10 OF ORDINANCE NO. 94-05