Resolution 13722 and 04-128 and Staff ReportsCITY OF ALAMEDA
MEMORANDUM
To: The Honorable Mayor
and Members of the City Council
From: James M. Flint
City Manager
Date: May 19, 2004
Re: Resolution Establishing Affordable Housing Guidelines for Residential
Developments in the City of Alameda
Background
January 26, 2004, the Planning Board recommended that the City Council adopt an
ordinance adding Section 30 -16, Inclusionary Housing Requirement for Residential
Projects, to the City of Alameda Municipal Code. The proposed ordinance contains
subsection 30- 16 -4(d), Affordable Housing Guidelines, which states that the inclusionary
units built under this section must conform to the Affordable Housing Guidelines adopted
by the City Council. Two resolutions before the Community Improvement Commission
establishing inclusionary housing requirements for redevelopment areas contain similar
sections.
On March 8, 2004, the Planning Board recommended that the City Council adopt the
attached Affordable Housing Guidelines for residential developments in the City of
Alameda.
Discussion /Analysis
Section 30 -16 of the Alameda Municipal Code establishes a 15% inclusionary requirement
for all residential developments of five or more units outside of redevelopment areas.
Companion resolutions establish a 25% inclusionary requirement for all residential
developments of three or more units within redevelopment areas. The ordinance and
resolutions help implement the Housing Element of the General Plan.
The ordinance and resolutions establishing the inclusionary housing requirements state that
the new inclusionary units constructed would need to conform to Affordable Housing
Guidelines. Once adopted, the Guidelines would apply to all new residential development
citywide, including development in redevelopment areas. The proposed Guidelines address
Dedicated to Excellence, Committed to Service
Re: Resolution #4 -H CC
6 -1 -04
The Honorable Mayor
and Members of the City Council
May 19, 2004
Page 2
location of units, quality of exterior appearance, quality of construction and quality of interior
features and finishes, with the intent that inclusionary units not be readily distinguishable
from their market rate counterparts. As part of the application for a residential
development, the applicant would be required to submit an Affordable Housing Plan. This
plan would indicate the number, size and location of each unit, including income levels to
which each inclusionary unit would be made affordable. In addition, the Affordable Housing
Plan would describe how the development adheres to the Affordable Housing Guidelines.
Fiscal Impact
There is no impact on the General Fund or on any redevelopment funds.
Recommendation
The City Manager recommends adoption of the Resolution establishing affordable housing
guidelines sf6r residential development in the City of Alameda.
L - - A. Little
Development Services Director
Rachel ilver
Development Manager, Housing
By:
JMF \LAL \RS:sb
Dedicated to Excellence, Committed to Service
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F: Housing\Affordable Housing Guidelines
d'1
CITY OF ALAMEDA RESOLUTION NO, 13 7 2 2
ESTABLISHING AFFORDABLE HOUSING GUIDELINES FOR
RESIDENTIAL DEVELOPMENTS IN THE CITY OF ALAMEDA
THE CITY COUNCIL OF THE CITY OF ALAMEDA DOES HEREBY RESOLVE AS
FOLLOWS:
Section 1. The City Council adopts the following standards for the development of
Inclusionary Units, as required by the City's Housing Element, City of Alameda Municipal Code
Section 30 -16 and Community Improvement Commission Resolution No. 04 -128 Establishing
an Inclusionary Housing Policy for the Alameda Point Improvement Project, and Community
Improvement Commission Resolution No. 04 -127 Establishing an Inclusionary Housing Policy
for the Business and Waterfront and West End Community Improvement Projects.
• Inclusionary Units shall be reasonably dispersed throughout the residential
development unless concentration of units furthers some affordable housing purpose.
• Inclusionary Units shall be comparable in overall number of bedrooms, proportion of
units in each bedroom category, quality of exterior appearance and overall quality of
construction to market rate units in the same residential development.
• Inclusionary Units and associated lot improvements shall blend with the market rate
units, so it is not readily apparent from the exterior which are the Inclusionary Units
and which are market rate.
• The City encourages developers to offer equivalent market rate products to any
inclusionary product.
• Interior features and finishes in Inclusionary Units shall be durable, of good quality
and consistent with contemporary standards for new housing.
• The City encourages developers to make Inclusionary Units accessible to or adaptable
for persons with physical limitations of all types.
• The City encourages developers to use a lottery to select buyers for the Inclusionary
Units. If a different selection process is proposed, this process shall be described in
the Affordable Housing Plan.
Section 2. This resolution shall become effective (a) as to the Alameda Point
Improvement Project on the effective date of that resolution adopted on June 1, 2004 entitled A
Resolution of the Community Improvement Commission of the City of Alameda Establishing an
Inclusionary Housing Policy for the Alameda Point Improvement Project, (b) as to the Business
and Waterfront and West End Community Improvement Projects on the effective date of that
resolution adopted on June 1, 2004 entitled A Resolution of the Community Improvement
1
Commission of the City of Alameda Establishing an Inclusionary Housing Policy for the
Business and Waterfront and West End Community Improvement Projects, and (c) as to the
remainder of the City, as of the effective date of that ordinance introduced on June 1, 2004 and
entitled An Ordinance of the City Council of the City of Alameda Adding Section 30 -16,
Inclusionary Housing Requirement for Residential Projects, to the City of Alameda Municipal
Code.
* * * * *
I, the undersigned, hereby certify that the foregoing Resolution was duly and regularly
adopted and passed by the Council of the City of Alameda in a regular meeting of the City Council
on the 1 g day of June, 2004, by the following vote to wit:
AYES: Councilmembers Daysog, Gilmore, Kerr, Matarrese, and
Mayor Johnson - 5.
NOES: None.
ABSENT: None.
ABSTENTIONS: None.
IN WITNESS, WHEREOF, I have hereunto set my hand and affixed the official seal of said City this
2 °a day of June, 2004.
/AVD, (I/ :/
Lara Weisiger, City
City of Alameda
CITY OF ALAMEDA
MEMORANDUM
To: Honorable Chair and Members
of the Community Improvement Commission
From: James M. Flint
Executive Director
Date: May 19, 2004
Re: Resolutions Establishing the Inclusionary Housing Requirements in
Redevelopment Areas
Background
Per Community Redevelopment Law Requirements, at least 15% of all new or substantially
rehabilitated dwelling units developed by public or private entities other than the
Community Improvement Commission (CIC) must be affordable to persons of low or
moderate income. This is referred to as the "inclusionary housing" requirement. The City
of Alameda's Housing Element, adopted May 6, 2003, increased the inclusionary housing
requirement to 25% for the West End Community Improvement Project (WECIP) and the
Business and Waterfront Improvement Project (BWIP). The requirement had already been
set at 25% for the Alameda Point Improvement Project (APIP) per the Settlement
Agreement dated March 20, 2001, between the City, CIC, ARRA, Housing Authority,
Catellus, Renewed Hope and Arc Ecology (Settlement Agreement).
Discussion /Analysis
The proposed Resolutions establishing the inclusionary housing requirements in the APIP,
BWIP and WECIP implement the City's Housing Element, help the City retain an
economically balanced community with housing available to very low, low and moderate
income households and help mitigate the affordable housing impacts created by new
residential development. These Resolutions have been created in conjunction with the
Citywide Inclusionary Ordinance (creating Section 30 -16 of Article XXX of the Alameda
Municipal Code) to ensure uniform application of inclusionary housing requirements
throughout the city.
The proposed Resolutions state that, for all residential developments of three or more units
in the APIP, BWIP and WECIP, at least 25% of the total units must be inclusionary units.
They further define which percentage of units must be affordable to very low, low and
Dedicated to Excellence, Committed to Service
Re: Resolutions #1 -B (CIC)
6 -1 -04
Honorable Chair and Members
of the Community Improvement Commission
May 19, 2004
Page 2
moderate income households. State law mandates that at least 40% of the 15%
inclusionary requirement, or 6% of all units, be affordable to very low income households.
In the APIP, per the terms of the Settlement Agreement, it was established that 10% of all
units would be affordable to low income households, with the remaining 9% affordable to
low or moderate income households. In the WECIP and BWIP, the tiers of affordability
proposed more closely reflect the Regional Housing Needs Determination for each income
level identified in the Housing Element. The Resolution for the BWIP/WECIP retains the
state mandate of 6% affordable to very low income households, and establishes a new
requirement of 7% affordable to low income households, with the remaining 12%
affordable to low or moderate income households.
Other highlights of the Resolutions include:
• Unit Standards — requires inclusionary units to conform to the Affordable Housing
Guidelines adopted by the City Council. For each residential development,
developers will submit an Affordable Housing Plan showing location of affordable
units at various income levels and describing how the plan adheres to the adopted
guidelines. Draft guidelines were recommended for adoption by the Planning Board
on March 8, 2004, and are being considered by the City Council concurrently with
the Inclusionary Ordinance.
• Exemptions - the requirements do not apply to the reconstruction of any structures
that have been destroyed by fire, flood, earthquake or other act of nature provided
that the reconstruction takes place within three years of the date the structures were
destroyed, and to residential developments of three or four units in which all units
are non - owner - occupied and will remain affordable to Low- or Very Low - Income
Households for a minimum of 15 years, except that one unit may be owner -
occupied with no affordability restrictions. Affordable housing projects and
residential developments with approved maps are also exempt from the
Resolutions.
• In -Lieu Fees — for developments of nine or fewer units in the BWIP and WEC1P,
developers have the option of paying a fee in lieu of construction. The fee is initially
set at $26,731 per market rate unit constructed. This fee was established based on
the subsidy needed to make up the gap between the cost of developing an
affordable unit and the weighted average sales price for very low, low and moderate
income homes. Both development cost and sales price were established in a
memorandum from Keyser Marston dated March 29, 2002, referenced in the
Housing Element.
• Length of Affordability — all units must remain affordable at the income levels for
which the units were designed for a minimum of fifty -nine years. Resale restrictions
for ownership units will give the City a right of first refusal to purchase the unit at an
affordable price. This provides the City with a mechanism to re- record a 59 -year
affordability covenant upon resale, for continued affordability.
• Adjustment/Waivers — the requirements may be waived, adjusted or reduced if the
applicant shows that there is no reasonable relationship between the impact of the
proposed residential development on the demand for affordable housing in the City
Dedicated to Excellence, Committed to Service
Honorable Chair and Members
of the Community Improvement Commission
May 19, 2004
Page 3
and the inclusionary housing requirements, or that applying the requirements would
constitute a taking or be otherwise illegal.
Fiscal Impact
There is no impact on the General Fund. In the past, costs associated with the
inclusionary housing requirement have been borne by the developer. The increased
inclusionary requirement will present additional costs to the developer, who, in turn, may
ask the CIC for assistance.
Recommendation
The Executive Director recommends adoption of the Resolutions establishing inclusionary
housing requirements in redevelopment areas.
Re
pe;P sub itt :d
. Little
Development Services Direc
By:
Rachel Silver
Development Manager, Housing
JMF \LAL \RS:sb
G: \HOUSING \INCLUSIO \CICrpt IR.doc
F: Redevelopment Housing125% Inclusionary
Dedicated to Excellence, Committed to Service
COMMUNITY IMPROVEMENT COMMISSION
RESOLUTION NO. 0 4 -12 8
ESTABLISHING AN INCLUSIONARY HOUSING POLICY FOR THE
ALAMEDA POINT IMPROVEMENT PROJECT
WHEREAS, California and the City of Alameda face a serious housing problem that
threatens their economic security. Persons of very low -, low- and moderate - income are
experiencing increasing difficulty in locating and maintaining adequate, safe and sanitary
affordable housing. Lack of access to affordable housing has a direct impact upon the health,
safety and welfare of the residents of Alameda. Alameda will not be able to contribute to the
attainment of State housing goals or to retain a healthy environment without additional
affordable housing. As noted in the City's Housing Element, a regional shortage of affordable
housing is contributing to overpayment for housing accommodations, sometimes leading to
temporary or permanent homelessness; and
WHEREAS, a lack of new Inclusionary Units will have a substantial negative impact on
the environment and economic climate because (i) housing will have to be built elsewhere, far
from employment centers and therefore, commutes will increase, causing increased traffic and
transit demand and consequent noise and air pollution, and (ii) City businesses will find it more
difficult to attract and retain the workers they need. Inclusionary housing policies contribute to a
healthy job and housing balance by providing more affordable housing close to employment
centers; and
WHEREAS, development of new market -rate housing encourages new residents to move
to the City. These new residents will place demands on services provided by both public and
private sectors. Some of the public and private sector employees needed to meet the needs of the
new residents earn incomes only adequate to pay for affordable housing. Employees who are
unable to find affordable housing in the City will be forced to commute long distances. This
situation adversely impacts on their quality of life, consumes limited energy resources, increases
traffic congestion and has a negative impact on air quality; and
WHEREAS, increasing the production and availability of affordable housing is
problematic. Prices and rents for affordable housing remain below the level needed to attract
new construction. At the same time, escalating land costs and rapidly diminishing amounts of
land available for development hinder the provision of affordable housing units solely through
private action. Federal and state funds for the construction of new affordable housing are
insufficient to fully address the problem of affordable housing within the City; and
WHEREAS, the City wishes to retain an economically balanced community, with
housing•available to very low -, low- and moderate - income households. The City's General Plan
implements the established policy of the State of California that each community should foster
an adequate supply of housing for persons at all economic levels; and
316768v2 21942/0020
WHEREAS, it is appropriate to impose some of the cost of the increased burden of
providing housing for very low -, low- and moderate - income persons directly on the developers,
and indirectly upon the occupiers, whose developments necessitate the need for such housing. In
addition to the demands on services from such developments, new development without
affordable units contributes to the shortage of affordable housing. Ordinances and policies
concerning new housing in the City should be consistent with the community's goal to foster an
adequate supply of housing for persons at all economic levels; and
WHEREAS, the City Council originally approved and adopted the Community
Improvement Plan for the Alameda Point Improvement Project (the "APIP ") on March 3, 1998,
by Ordinance No. 2754, as subsequently amended on April 1, 2003, by Ordinance No. 2895; and
on November 4, 2003, by Ordinance No. 2910; and
WHEREAS, the Community Improvement Commission of the City of Alameda (the
"Commission ") has been designated as the official redevelopment agency to carry out in the City
of Alameda the functions and requirements of the Community Redevelopment Law of the State
of California (Health and Safety Code Section 33000 et seq.) and to implement the Community
Improvement Plan for the APIP; and
WHEREAS, the Community Redevelopment Law requires that at least 15 percent of all
new or rehabilitated dwelling units developed in a redevelopment project area by entities other
than the Commission be affordable units. (Health & Safety Code § 33413(b)(2)). In a
Settlement Agreement dated March 20, 2001, by and between the City of Alameda, the
Commission, the Alameda Reuse and Redevelopment Authority, the Alameda Housing
Authority, Catellus Development Corporation, Renewed Hope Housing Advocates and Arc
Ecology, the City agreed to provide that 25 percent of all newly constructed housing units at
Alameda Point be made permanently affordable. In its Housing Element, the City Council of the
City of Alameda implemented this provision by establishing an inclusionary housing
requirement of 25 percent for the APIP; and
WHEREAS, the City Council of the City of Alameda has adopted an Ordinance Adding
Section 30 -16, Inclusionary Housing Requirement for Residential Projects, to the City of
Alameda Municipal Code (the " Inclusionary Housing Ordinance "). The Inclusionary Housing
Ordinance provides that its provisions do not apply to the Community Improvement Project
Areas as long as the Community Improvement Commission adopts separate resolutions or
policies pertaining to inclusionary housing requirements in such areas. The Commission desires
to adopt this separate resolution and policy pertaining to inclusionary housing requirements in
the APIP; and
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316768v2 21942/0020
NOW, THEREFORE, THE COMMUNITY IMPROVEMENT COMMISSION OF THE
CITY OF ALAMEDA DOES HEREBY RESOLVE AS FOLLOWS:
Section 1. The Community Improvement Commission hereby adopts the following
policy to implement the inclusionary housing requirement for the APIP set forth in the
Settlement Agreement and the City's Housing Element:
INCLUSIONARY HOUSING POLICY FOR
ALAMEDA POINT IMPROVEMENT PROJECT AREA
The purpose of this Policy is to implement the terms of the Settlement Agreement and the
goals and objectives of the Housing Element of the City of Alameda General Plan with respect to
inclusionary housing in the Alameda Point Improvement Project area.
1. Definitions. As used in this Policy:
Affordable shall mean that the Housing Cost shall not exceed 30 percent of the stated
maximum household income adjusted forr family size appropriate for the unit. The phrase
"adjusted for family size appropriate for the unit" shall have the same meaning as set forth in
California Health & Safety Code Section 50052.5(c), as it may be amended, or in any successor
statute.
Affordable Housing Guidelines shall mean guidelines adopted by the City Council to
specify location and design standards for Inclusionary Units.
Affordable Housing Plan shall mean a plan proposed by a developer to satisfy the
requirements of this Policy. The Affordable Housing Plan establishes the number and location
of Inclusionary Units, production schedule and other standards.
City shall mean the City of Alameda.
Commission shall mean the Community Improvement Commission of the City of
Alameda.
Executive Director shall mean the Executive Director of the Community Improvement
Commission of the City of Alameda or his or her designee.
Household shall mean one person living alone or two or more persons sharing residency
whose income is considered for housing payments.
Housing Cost shall have the same meaning as given the following terms in Title 25 of the
California Code of Regulations: (a) for rental units, "Housing Cost" shall have the same
meaning as "rent" as defined in Section 6918 of Title 25 of the California Code of Regulations,
as it may be amended, or in any successor section, and (b) for units offered for purchase,
316768v2 21942/0020
3
"Housing Cost" shall have the same meaning as set forth in Section 6920 of Title 25 of the
California Code of Regulations, as it may be amended, or in any successor section.
Inclusionary Unit shall mean a dwelling unit that must be offered at Affordable Rent or
available at Affordable Housing Cost to Very Low -, Low- or Moderate - Income Households.
Low - Income Household shall mean a Household whose annual income does not exceed
the qualifying limits set for "lower income households" in Section 50079.5 of the California
Health & Safety Code, as it may be amended, or in any successor statute.
Market -Rate Unit shall mean a dwelling in a Residential Development that is not an
Inclusionary Unit.
Moderate - Income Household shall mean a Household whose annual income does not
exceed the qualifying limits set for "persons and families of low or moderate income" in Section
50093 of the California Health & Safety Code, as it may be amended, or in any successor statute.
Residential Development shall mean any planned development district, subdivision map,
conditional use permit or other discretionary land use approval that authorizes the construction of
residential dwelling units.
Very Low Income Household shall mean a Household whose annual income does not
exceed the qualifying limits set for "very low income households" in Section 50105 of the
California Health & Safety Code, as it may be amended, or in any successor statute.
2. Inclusionary Unit Requirements.
a. Unit Requirement. For all Residential Developments of three or more
units in the Alameda Point Improvement Project area, at least 25 percent of the total units must
be Inclusionary Units restricted for occupancy by Very Low -, Low- or Moderate - Income
Households. The number of Inclusionary Units required for a particular project will be
determined only once, at the time of project approval. If a change in the Residential
Development design results in a change in the total number of units, the number of Inclusionary
Units required will be recalculated to coincide with the final approved project.
b. Calculation. For purposes of calculating the number of affordable units
required by this Policy, any additional units authorized as a density bonus under California
Government Code Section 659.15(b)(1) or (b)(2) will not be counted in determining the required
number of Inclusionary Units. In determining the number of whole Inclusionary Units required,
any decimal fraction less than 0.5 shall be rounded down to the nearest whole number, and any
decimal fraction of 0.5 or more shall be rounded up to the nearest whole number.
c. Types of Inclusionaty Units. Six percent of the total units must be
restricted to occupancy by Very Low- Income Households; ten percent of the total units must be
restricted to occupancy by Low- Income Households; and nine percent may be restricted to
occupancy by Moderate - Income Households. For Residential Developments with 41 or fewer
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316768v2 21942/0020
total units, Inclusionary Units shall be restricted for occupancy by Very Low -, Low- or
Moderate - Income Households in the following proportions, which are based upon the above
calculations:
Total Inclusionary
Units Units
Income Levels
3 to 5 1 l low
6 to 9 2 1 moderate, 1 low
10 to 13 3 1 moderate, 1 low, 1 very low
14 to 17 4 1 moderate, 2 low, 1 very low
18 to 21 5 2 moderate, 2 low, 1 very low
22 to 25 6 2 moderate, 2 low, 2 very low
26 to 29 7 2 moderate, 3 low, 2 very low
30 to 33 8 3 moderate, 3 low, 2 very low
34 to 37 9 3 moderate, 4 low, 2 very low
38 to 41 10 4 moderate, 41ow, 2 very low
d. Affordable Housing Guidelines. Inclusionary Units must conform to the
Affordable Housing Guidelines adopted by the City Council.
3. Exemptions. The requirements of this Policy do not apply to:
a. Reconstruction. The reconstruction of any structures that have been
destroyed by fire, flood, earthquake or other act of nature provided that the reconstruction takes
place within three years of the date the structures were destroyed.
b. Affordable three- or four -unit Residential Developments. Residential
Developments of three or four units in which all units are non - owner - occupied and will remain
affordable to Low- or Very Low - Income Households for a minimum of 15 years, except that one
unit may be owner- occupied with no affordability restrictions.
c. Residential building additions, repairs or remodels. Residential building
additions, repairs or remodels; provided, that such work does not increase the number of existing
dwelling units beyond two units.
d. Affordable housing projects. Residential Developments that already have
more dwelling units that qualify as affordable to Very Low -, Low- and Moderate- Income
Households than this Policy requires.
e. Residential Developments with approved maps. Residential
Developments for which a tentative map or vesting tentative map was approved, or for which a
building permit was issued, prior to the date this Resolution was adopted and which continue to
have unexpired permits.
4. Alternative Off -Site Construction. Inclusionary Units may be constructed off -site
if the Planning Board can make a finding that the purposes of this Policy would be better served
316768v2 21942/0020
5
by the construction of off -site units. In determining whether the purposes of this Policy would
be better served by this alternative, consideration should be given as to whether the off -site units
would be located in an area where, based on availability of affordable housing, the need for such
units is greater than the need in the area of the proposed development.
5. Incentive. The Commission may provide the following incentive to a developer
who elects to satisfy the inclusionary housing requirements of this Policy by producing
Inclusionary Units on the site of the Residential Development:
a. Expedited Processing. Eligibility for expedited processing of
development and permit applications for the Residential Development.
6. Compliance Procedures.
a. Conditions to carry out the purposes of this Policy shall be imposed on the
approval of any Residential Development to which this Policy pertains.
b. As part of the application for a Residential Development, the applicant
shall submit an Affordable Housing Plan demonstrating compliance with this Policy. The
Affordable Housing Plan must include: (i) a description of the number and size of each Market -
Rate Unit and each Inclusionary Unit, including the income levels to which each Inclusionary
Unit will be made affordable, (ii) a narrative describing how the plan adheres to the Affordable
Housing Guidelines adopted by the City Council, and (iii) a site map, with the location of the
Inclusionary Units clearly marked.
c. The Affordable Housing Plan shall be reviewed and approved by the
decision- making entity concurrently with the Residential Development. The Affordable Housing
Plan shall be made a condition of approval of the Residential Development. Regulatory
agreements, resale restrictions, deeds of trust and/or other documents shall be recorded against
Inclusionary Units and Residential Developments containing Inclusionary Units in accordance
with Section 8.
d. An Affordable Housing Plan that proposes off -site construction shall
include a site map of the off -site location, a description of the arrangements made for
construction at that site and demonstration that the proposed off -site construction complies with
Section 4(b). Off -site construction may only be approved in accordance with Section 4(b).
e. All Inclusionary Units shall be constructed and occupied as specified in
the approved Affordable Housing Plan concurrently with or prior to the construction and
occupancy of Market Rate Units. In phased developments, Inclusionary Units may be
constructed and occupied in proportion to the number of units in each phase of the Residential
Development.
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316768v2 21942/0020
7. Requirements for Inclusionary Units.
a. Eligibility Requirements. No Household may occupy an Inclusionary Unit
unless the Commission or its designee has approved the Household's eligibility in accordance
with City- approved policies. Each Household that occupies a rental Inclusionary Unit or
purchases an owner - occupied Inclusionary Unit must occupy that unit as that Household's
principal residence.
b. Initial Sales Price of Owner- Occupied Units. The initial sales price of an
owner - occupied Inclusionary Unit shall be set: (i) for a Low - Income Household, to ensure that
the sales price is Affordable, and (ii) for a Very Low- or Moderate - Income Household, to ensure
that the Inclusionary Unit is affordable under the criteria set forth in California Health & Safety
Code Section 33413(b)(2), as it may be amended, or in any successor statute. Resale and other
restrictions on the Inclusionary Unit will be governed by the regulatory agreements, resale
restrictions, deeds of trust or other recorded agreements recorded against the Inclusionary Unit.
c. Rent of Rental Units. The rent of a rental Inclusionary Unit shall be set:
(i) for a Low - Income Household, to ensure that the rent is Affordable, and (ii) for a Very Low -
or Moderate - Income Household, to ensure that the Inclusionary Unit is affordable under the
criteria set forth in California Health & Safety Code Section 33413(b)(2), as it may be amended,
or in any successor statute.
8. Continued Affordability.
a. Regulatory agreements, resale restrictions, deeds of trust and/or other
documents acceptable to the Executive Director, all consistent with the requirements of this
Policy, shall be recorded against Inclusionary Units and Residential Developments containing
Inclusionary Units. These documents shall legally restrict occupancy of Inclusionary Units to
Households of the income levels for which the units were designed for a minimum of 59 years.
The forms of regulatory agreements, resale restrictions, deeds of trust and all other documents
authorized by this Policy, and any change in the form of any such document which materially
alters any policy in the document, shall be approved by the Executive Director.
b. The resale restrictions required by this Policy shall allow the City a right
of first refusal to purchase any owner - occupied Inclusionary Unit at the maximum price which
could be charged to a qualified purchaser Household, at the time the owner proposes a sale.
9. Adjustments, Waivers.
a. Adjustment. The requirements of this Policy may be waived, adjusted or
reduced if an applicant shows that there is not a reasonable relationship between the impact of a
proposed Residential Development on the demand for affordable housing in the City and the
requirements of this Policy or that applying the requirements of this Policy without the requested
waived, adjustment or reduction would constitute a taking in violation of the United States or
California Constitutions or be otherwise illegal. Under current law, mere economic hardship or
316768v2 21942/0020
7
• diminution in value does not constitute;an unlawful taking of property. Such a request shall be
made in writing and filed with the Commission at the time of initial submittal of an application
for approval of the Residential Development and/or as part of any appeal from a decision
regarding such an application. The request shall state completely and in detail: (i) the requested
waiver, adjustment or reduction of the requirements, (ii) the factual basis for the request, and (iii)
the legal basis of this request. If the Commission determines that the requirements of this Policy
lack a reasonable relationship to the impact of a proposed Residential Development on demand
for affordable housing in the City or that those requirements constitute a taking in violation of
the United States or California Constitutions, the requirements of this Policy shall be modified,
adjusted or waived to the extent necessary to avoid an unconstitutional result or illegal outcome.
b. Fee for Adjustment Request or Appeal. The cost of the consideration of a
request for adjustment or waiver of the requirements of this Policy shall be borne by the
applicant in an amount set forth in the Master Fee Resolution of the City Council.
Section 2. The Commission Secretary is hereby directed to send a certified copy of
this resolution to the City.
* * * * *
I, the undersigned, hereby certify that the foregoing Resolution was duly and regularly
adopted and passed by the Community Improvement Commission of the City of Alameda in a
Special Community Improvement Commission meeting assembled on the 1st day of June, 2004, by
the following vote to wit:
AYES: Commissioners Daysog, Gilmore, Matarrese, and Chair Johnson - 4.
NOES: Commissioner Kerr - 1.
ABSENT: None.
ABSTENTIONS: None.
IN WITNESS, WHEREOF, I have hereunto set my hand and affixed the official seal of said
Commission this 211d day of June, 2004.
2.ovo '
Lara Weisiger, Secretary
Community Improvement onunission
.Ie t ( I. i�
1
i
Bever, ohnson, C
Community Improv e
ssion