11-1A-4: ALTERNATIVE WAYS TO QUALIFY FOR INCENTIVES:
   A.   The City will consider alternatives to constructing affordable units onsite, especially in, but not limited to, situations where any of the following occur:
      1.   High levels of property tax;
      2.   High homeowner's association dues;
      3.   A predominance of short-term rentals;
      4.   Onsite development consisting of condominiums; and
      5.   Location far from schools, transit, or shopping.
   B.   Approval: Proposed alternative means of qualifying for the incentives must be incorporated into a housing mitigation plan and approved by the Zoning Administrator.
   C.   Offsite Housing:
      1.   The construction of affordable units by the applicant or the applicant's partner offsite may be an alternative means of qualifying for incentives if the applicant can demonstrate that:
         a.   There is adequate existing infrastructure to support the affordable units in the proposed location;
         b.   Public facilities can serve the proposed offsite affordable units or the commitment to provide such service has been confirmed;
         c.   The property where the affordable units are proposed to be located is suitable for residential use and development; and
         d.   The proposed alternative provides a similar public benefit as if the affordable units were constructed within the development.
      2.   Unit size, quality, design and timing of construction of the offsite affordable units must be set forth in the approved housing mitigation plan.
      3.   Purchasing existing offsite market rate units and deed restricting them as affordable units is permitted.
   D.   In Lieu Fees:
      1.   Fees in lieu of affordable units may be an alternative means of compliance if the applicant can demonstrate that:
         a.   The proposed cash payment creates funds that will further the goals of this chapter; and
         b.   The proposed cash payment provides a similar overall public benefit.
      2.   Fees in lieu of affordable units are assessed based on the percentage of on-site units required to qualify for incentives by this chapter and are calculated by applying the methodology set forth in the Whitefish Legacy Homes Program Administrative Procedures.
   E.   Land In Lieu: Land in lieu may be an alternative means of qualifying for incentives if the applicant is not constructing residences and can demonstrate that:
      1.   The appraised value of property to be dedicated is equal to or greater than the fee in lieu of affordable units that would have been provided;
      2.   The property to be dedicated will further the goals of this chapter; and
      3.   The property to be dedicated provides a similar overall public benefit as if the affordable units were constructed within the development.
   F.   Clustering: Clustering on a development site may be approved if the applicant can demonstrate clustering would enhance the neighborhood, would provide convenient access to trails, public transportation, or employment, or would otherwise exceed the requirements set forth in this chapter.
   G.   Other Alternatives: A combination of the above alternative means of compliance or other alternatives may be approved if the applicant can demonstrate the proposed means of qualifying for incentives would provide a similar overall public benefit as if the affordable units were constructed within the development. (Ord. 19-15, 7-15-2019; amd. Ord. 21-11, 8-16-2021)