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HomeMy WebLinkAboutDensity Bonus Section 9103.15 – Density Bonuses for Affordable and Senior Housing Subsections: 9103.15.010 Purpose and Applicability 9103.15.020 Density Bonus 9103.15.030 Incentives and Concessions 9103.15.0640 Findings 9103.15.0450 Application Requirements 9103.15.0560 Location and Type of Designated Uses 9103.15.010 Purpose and Applicability This Section is intended to implement the housing element of the general plan and the requirements of Government Code Sections 65915 through 65918, offering incentives for the development of affordable housing for low-income, moderate- income, and senior citizen households., as well as housing developments for foster youth, disabled veterans, homeless persons, and college students. Where regulations are not specifically addressed in this Section or where conflicts exist between these provisions and the provisions of Government Code Sections 65915 through 65918, the provisions of the Government Code, as they may be amended over time, shall apply. 9103.15.020 Density Bonus Density bonus refers to a density increase over the otherwise maximum allowable residential density established by this Development Code and in the Land Use and Community Design Element of the General Plan as of the date of application by the developer, and is in accordance with the affordability levels proposed in the project, consistent with density bonus law provisions contained in Government Code Sections 65915-65918. In order to be eligible for a density bonus and other incentives as provided by this Section, a proposed housing development shall comply with the eligibility requirements specified in Government Code Sections 65915 through 65918. A density bonus and applicable incentives or concessions shall be granted if an applicant for a housing development seeks and agrees to construct a development that contains low-income, very low-income, moderate-income, and/or senior housing units, and it is consistent with one of the following as the required percentages of which are outlined set forth in Government Code Section 65915(b)(1): • At least 5% of the for-sale or rental housing units are restricted to very low-income residents. • At least 10% of the for-sale or rental housing units are restricted to lower income residents. • At least 10% of the housing units in a for-sale development are restricted to moderate income residents. • At least 33% of the housing units in a proposed condominium project (from an apartment conversion) are restricted to low or moderate income residents, or at least 15% of the housing units are restricted to lower income residents. • 100% of the housing units (other than manager’s units) are restricted to very low, lower and moderate -income residents (with a maximum of 20% moderate). • At least 10% of the housing units are for transitional foster youth, disabled veterans or homeless persons, with rents restricted at the very low-income level. • At least 20% of the housing units are for low-income students in housing dedicated for full-time students at accredited colleges. “Low-income students” is defined in Government Code Section 65915(o)(3). • The project donates at least one acre of land to the city or county for very low-income units, and the land has the appropriate general plan designation, zoning, permits and approvals, and access to public facilities needed for such housing. • The project is a senior citizen housing development of at least 35 units (no affordable units required). • The project is a mobile home park age-restricted to senior citizens (no affordable units required). Replacement Housing. Developers obtaining a density bonus are required to replace existing units which are occupied by very low- or lower-income households, at the time of the density bonus application. Developers are also required to replace existing units which were occupied by very low- or lower-income households that have been demolished or vacated within a five-year period preceding the density bonus application. The housing development must also meet the applicable affordable housing standards, including the replacement units. 9103.050.030 Incentives and Concessions A. Determination of Density Bonus. The amount of a density bonus and the extent of other incentives allowed for a proposed housing development shall be determined by the Council in compliance with Government Code Section 65915. An additional density bonus incentive shall be granted if an applicant proposes to construct a housing development that conforms with Government Code Section 65915(b)(1) and that includes a child care facility located on the premises of, as part of, or adjacent to the project. If a density bonus and/or other incentives cannot be accommodated on a site due to strict compliance with the provisions of this Development Code, the Council may modify or waive other development standards as necessary to accommodate all bonus units and other incentives to which the development is entitled. B. Calculating Density Bonus. The calculation of a density bonus in compliance with this subsection that results in fractional units shall be rounded up to the next whole number, as required by State law. For the purposes of calculating a bonus, the residential units do not have to be based upon individual subdivision maps or lots. A minimum density bonus of 20% and up to 80% above the maximum density will be calculated as follows: Affordable Unit Percentage Very Low Income Density Bonus Low Income Density Bonus Moderate Income Density Bonus Land Donation Density Bonus Senior Housing* Foster Youth/ Disabled Veterans/ Homeless College Students 5% 20% - - - 20% - - 6% 22.5% - - - 20% - - 7% 25% - - - 20% - - 8% 27.5% - - - 20% - - 9% 30% - - - 20% - - 10% 32.5% 20% 5% 15% 20% 20% - 11% 35% 21.5% 6% 16% 20% 20% - 12% 38.75% 23% 7% 17% 20% 20% - 13% 42.5% 24.5% 8% 18% 20% 20% - 14% 46.25% 26% 9% 19% 20% 20% - 15% 50% 27.5% 10% 20% 20% 20% - 16% 50% 29% 11% 21% 20% 20% - 17% 50% 30.5% 12% 22% 20% 20% - 18% 50% 32% 13% 23% 20% 20% - 19% 50% 33.5% 14% 24% 20% 20% - 20% 50% 35% 15% 25% 20% 20% 35% 21% 50% 38.75% 16% 26% 20% 20% 35% 22% 50% 42.5% 17% 27% 20% 20% 35% 23% 50% 46.25% 18% 28% 20% 20% 35% 24% 50% 50% 19% 29% 20% 20% 35% 25% 50% 50% 20% 30% 20% 20% 35% 26% 50% 50% 21% 31% 20% 20% 35% 27% 50% 50% 22% 32% 20% 20% 35% 28% 50% 50% 23% 33% 20% 20% 35% 29% 50% 50% 24% 34% 20% 20% 35% 30% 50% 50% 25% 35% 20% 20% 35% 31% 50% 50% 26% 35% 20% 20% 35% 32% 50% 50% 27% 35% 20% 20% 35% 33% 50% 50% 28% 35% 20% 20% 35% 34% 50% 50% 29% 35% 20% 20% 35% 35% 50% 50% 30% 35% 20% 20% 35% 36% 50% 50% 31% 35% 20% 20% 35% 37% 50% 50% 32% 35% 20% 20% 35% 38% 50% 50% 33% 35% 20% 20% 35% 39% 50% 50% 34% 35% 20% 20% 35% 40% 50% 50% 35% 35% 20% 20% 35% 41% 50% 50% 38.75% 35% 20% 20% 35% 42% 50% 50% 42.5% 35% 20% 20% 35% 43% 50% 50% 46.25% 35% 20% 20% 35% 44% 50% 50% 50% 35% 20% 20% 35% 100%** 80% 80% 80% 35% 20% 20% 35% * No affordable units are required for senior units. ** Applies when 100% of the total units (other than manager’s units) are restricted to very low, lower and moderate income (maximum 20% moderate). C. Density Bonus for Childcare Housing development that provide a child care facility on the premises of, as part of, or adjacent to the project and conforms with Government Code Section 65915(b)(1) are eligible for a separate density bonus equal to the size of the childcare facility. The childcare facility must remain in operation for at least the length of the affordability covenants. A percentage of the childcare spaces shall be made available to low and moderate income families. D. Density for Condomium Conversion A condominium conversion is eligible for density bonus of up to 25% over the number of apartment units, where the additional dwellings are within the existing structure or structures, or other incentives of equivalent financial value, if the condominium conversion project provides at least 33% for the total units to low or moderate income households or 15% of the units to lower income households. C. E. Other Incentives 1. Applicant-specified Concessions or Incentives. An applicant may submit to the City a request for specific incentives or concessions or incentives in compliance with this Section. 2. Required Available Concessions or Incentives or Concessions. A qualifying project shall be entitled to one or more “incentives” or “concenssions” , two,or three, of the following incentives, depending on their proposed levels of affordability, as allowed by Government Code Section 65915, in addition to the density bonus allowed as follows: Number of incentives or concessions Very Low Income percentage Low Income percentage Moderate Income percentage 1 5% 10% 10% 2 10% 17% 20% 3 15% 24% 30% 4 100% Low/Very Low/Mod (20% Moderate allowed) 100% Low/Very Low/Mod (20% Moderate allowed) 100% Low/Very Low/Mod (20% Moderate allowed) 3. Types of Available Concessions or Incentives. A qualifying project may request available incentives or concessions in addition to the density bonus from the following categories: a. A reduction in the site development standards of this Development Code (e.g., site coverage, off-street parkingrequirements, reduced lot dimensions, and/or setback requirements); or b. Approval of mixed-use zoning not otherwise allowed by this Development Code in conjunction with the housing development, if nonresidential land uses will reduce the cost of the housing development and the nonresidential land uses are compatible with the housing development and the existing or planned development in the area where the project will be located; and/or c. b. Other regulatory incentives or concessions proposed by the developer or the City that will result in identifiable and actual cost reductions. 3.4. Additional Concessions or Incentives. The Council shall have the discretion to approve additional concessions or incentives to a qualifying project based on the superior merits of that particular project, as determined by the Council. If a development standard would physically prevent the project from being constructed at the permitted density even with approved concessions and incentives, a developer may propose to have that standard waived or reduced. A proposal for the waiver or reduction of development standards shall neither reduce nor increase the number of incentives or concessions to which the applicant is entitled to per Section 2 above, unless the concession is to the development standards. 4.5. Required Findings to Reject Concession or Incentive. The Council shall grant the concession or incentive requested by the applicant unless the Council makes a written finding, based upon substantial evidence, of any of the following: a. The concession or incentive is not required in order to provide for affordable housing costs, as defined in Health and Safety Code Section 50052.5, or for rents for the targeted units to be set in compliance with Government Code Section 65915(c); or b. The concession or incentive would have a specific adverse impact, as defined by Government Code Section 65589.5(d)(2), upon public health and safety, or the physical environment, or on any real property listed in the California Register of Historical Resources and for which there is no feasible method to satisfactorily mitigate or avoid the specific adverse impact without rendering the development unaffordable to low- and moderate-income households.; or c. The concession or incentive would be contrary to state or federal law. D. F. Effect of Incentive or Concession. The granting of a concession or incentive shall not be interpreted, in and of itself, to require a General Plan amendment, Zoning Map amendment, or other discretionary approval. G. Maximum Parking Requirements. Affordable housing projects benefit from parking standards that require fewer parking spaces than typical market-rate housing projects. Upon the developer’s request, the City shall not require a vehicular parking ratio, inclusive of accessible and guest parking, that exceed the following ratios: 1. Studio to one-bedroom: 1 parking space per unit. 2. Two to three bedrooms: 1.5 parking spaces per unit. 3. Four or more bedrooms: 2.5 parking spaces per unit. If total parking calculations result in a number other than a whole number, then parking calculations shall be rounded up to the nearest whole number. Requesting these parking standards does not count as an incentive or concession. An applicant may request additional parking incentives beyond those included in this section. Onsite spaces may be provided through tandem or uncovered parking, but not on-street parking. 1. Other Parking Requirements. Lower parking ratios apply to specified projects (although the City may require higher parking ratios if supported by a specified parking study): Project Type Parking Spaces Required Rental/for sale projects with at least 11% very low income or 20% lower income units within ½ mile of an accessible major transit stop 0.5 spaces per unit For sale projects with at least 40% moderate income units within ½ mile of an accessible major transit stop 0.5 spaces per bedroom Rental projects 100% affordable to lower income within ½ mile of an accessible major transit stop 0 spaces per unit Rental senior projects 100% affordable to lower income households, either with paratransit service or within ½ mile of an accessible bus route (operating at least 8 times per day) 0 spaces per unit Rental special needs projects 100% affordable to lower income households, either with paratransit service or within ½ mile of an accessible bus route (operating at least 8 times per day) 0 spaces per unit Rental supportive housing developments100% affordable to lower income households 0 spaces per unit H. Housing Restrictions 1. Rental Units – Affordable rental units must be restricted by an agreement which sets maximum incomes and rents for that unit. The income and rent restrictions must remain in place for a 55 year term for very low or lower income units. 2. For Sale Units – Affordable units for sale must be sold at an affordable housing cost to a person or family of very low, low or moderate income, as required, and is subject to an equity sharing agreement pursuant to Government Code Section 65915(c)(2). 9103.15.0640 Findings In addition to the findings required for the approval of Site Plan and Design Review and any discretionary permit required for the project, the approval of a density bonus shall require that the Planning cCommission first make all of the following additional findings as makes a recommendation to the City Council. The City Council will make all of the following findings and will decide all Density Bonus applications. A. The project will be consistent with the General Plan, except as provided by this Section with regard to maximum density, density bonuses, and other incentives and concessions; B. The approved number of dwellings can be accommodated by existing and planned infrastructure capacities; C. Adequate evidence exists to indicate that the project will provide affordable housing in a manner consistent with the purpose and intent of this Section; D. In the event that the City does not grant at least one financial concession or incentive as defined in Government Code Section 65915 in addition to the density bonus, that additional concessions or incentives are not necessary to ensure affordable housing costs as defined in Health and Safety Code Section 50052.5, or for rents for the targeted units to be set as specified in Government Code Section 65915(c); and E. There are sufficient provisions to guarantee that the units will remain affordable for the required time period. 9103.15.050 Application Requirements A. Site Plan and Design Review. An application for Site Plan and Design Review pursuant to Section 9107.19 (Site Plan and Design Review) of this Code shall be required for any density bonus request. B. Continued Availability. The application for the density bonus project shall include the procedures proposed by the developer to maintain the continued affordability of the designated lower-income units as follows. These provisions shall apply to both rental and for-sale ownership units. 1. Development Projects with Public Funding. A project that receives a direct financial contribution or other financial incentives from a public source (including the City, the Department of Housing and Urban Development, or State tax credit program), or and a density bonus and at least one other concession or incentive in compliance with this Section, shall maintain the availability of the designated lower-income units for a minimum of 55 years, as required by Government Code Sections 65915(c) and 65916. 2. Private Development Projects—Density Bonus Only. Privately financed projects that receive a density bonus as the only incentive from the City shall maintain the availability of the designated lower-income rental units for a minimum of 30 55 years. Privately financed projects that receive a density bonus from the City and include for-sale units shall maintain the availability of any lower-income or moderate-income units for a minimum of 45 years. 9103.15.0560 Location and Type of Designated Uses A. Location/Dispersal of Units. The designated units shall be reasonably dispersed throughout the project to the maximum extent feasible, shall contain on average the same number of bedrooms as the non-designated units in the project, and shall be compatible with the design or use of remaining units in terms of appearance, materials, and finished quality. B. Phasing. If a project is to be phased, the density bonus units shall be phased in the same proportion as the non-density bonus units, or phased in another sequence acceptable to the City.