A. Obligation Rate: All new residential development shall be required to develop or ensure the development of affordable housing at a rate of twenty percent (20%) of the units in a development. The affordable housing obligation shall be met concurrently with the construction of market rate units.
1. Calculation Of Required AUEs: The total number of allowed market rate units shall be multiplied by twenty percent (20%). The resulting number shall represent the total number of AUEs required of the project, shall be provided in addition to the allowed market rate units in the project, and shall not count against the allowed density of the project.
2. Expansion: When existing development applies for additional units, the obligation rates shall be calculated on the net unit increase only.
B. Example: Example calculation for residential development requirement:
Number of allowed market units in example development = 23
Obligation rate = 23 x 20% = 4.6
Total AUEs required = 4.6
Total units permitted: 23 market + 4.6 affordable = 27.6 units
Result: 27 units, fee in lieu for 0.6
C. Development Of For Sale Lots: In projects developing for sale lots, where the developer does not construct units on the lots but requires the purchaser to do so, the developer shall be required to create lots for the development of affordable housing at a rate of twenty percent (20%) of the total approved market rate lots in the development.
1. The affordable lots may be donated to an approved housing nonprofit organization for the development of affordable housing on the lots. Utilities, curb and gutter, water shares and/or rights, and other necessary improvements shall be completed and provided by the developer so that an approved housing nonprofit organization receives a construction ready lot free and clear of all encumbrances. All required fees, such as special service fees, water shares and/or rights, impact fees but excepting building and planning fees, shall be paid by the developer of the project prior to the donation of the lots, unless otherwise agreed to in writing by the nonprofit organization.
2. The smallest affordable lot shall be no smaller than fifty percent (50%) of the size of the median market rate lot in the development.
3. The affordable lots and units shall be integrated into the development. The land use authority shall have the discretion to modify this provision if they find that the development of affordable housing and the overall project will be enhanced by the nonintegration of the affordable units based upon the design of the project, the type and size of the affordable housing provided and the character of the surrounding neighborhood. (Ord. 783, 10-10-2012)