§ 24-139. Density bonus housing agreement.

A.

Agreement Required. As a condition for the approval of a density bonus and additional incentives, the applicant shall agree to enter into a density bonus housing agreement with the County. The executed density bonus housing agreement shall be recorded on the parcel or parcels designated for the construction of affordable units, or donated for the purpose of constructing housing units as specified in this section. The approval and recordation shall occur prior to final map approval or, where a map is not being processed, prior to the issuance of building permits for the parcels or units. The density bonus housing agreement shall be binding upon all future owners and successors in interest.

B.

Content of Agreement. The density bonus housing agreement shall, at a minimum, include all of the following:

1.

The total number of units approved for the housing development, including the number of affordable units.

2.

A description of the household income groups to be accommodated by the housing development, and the standards for determining the corresponding affordable rent or affordable sales price and housing cost.

3.

The location, unit size in square feet, and number of bedrooms of each affordable unit.

4.

The location and square footage of any land being donated for the purpose of constructing housing units that are affordable to very low-income households.

5.

The location and square footage of any child care facility for which a density bonus or additional incentive is being granted.

6.

Tenure of use restrictions for affordable units and units built on donated land.

7.

A schedule for the completion and occupancy of affordable units.

8.

A description of the additional incentives, waivers, or reductions being provided by the County.

9.

A description of remedies for breach of the agreement by either party, including the provision that tenants or qualified purchasers are third-party beneficiaries under the agreement.

10.

Other provisions as appropriate to ensure implementation and compliance with this article's requirements for density bonuses and additional incentives.

C.

For-Sale Requirements. In the case of for-sale housing developments, excluding affordable units for moderate-income households, the density bonus housing agreement shall provide for the following requirements during the use restriction period:

1.

The initial sale of each affordable unit shall be to a household that meets the income requirement for the affordable unit or, for senior citizen housing, to a senior citizen that meets the income requirement for the affordable unit.

2.

The initial occupant of each affordable unit shall be a household that meets the income requirement for the affordable unit or, for senior citizen housing, a senior citizen that meets the income requirement for the affordable unit.

3.

The initial purchaser of each affordable unit shall execute an instrument or agreement approved by the County restricting the sale of the affordable unit during the duration of affordability period as set forth in Section 24-138.A (Continued Affordability). The instrument or agreement shall be recorded against the parcel containing the affordable unit and shall contain provisions as required by the County to ensure continued compliance with this chapter and with State law.

D.

Moderate-Income Requirements. In the case of affordable units for moderate-income households, the density bonus housing agreement shall provide for the following requirements:

1.

The initial sale of each affordable unit shall be to a household that meets the income requirement for the affordable unit.

2.

When the initial purchaser sells the unit, the initial purchaser shall retain the value of any improvements, the down payment and the value of the unit's appreciation, less the County's share of the appreciation.

3.

When the initial purchaser sells the unit, the County shall receive a share of the unit's appreciation equal to the percentage by which the initial sale price to the moderate income household was less than the fair market value of the home at the time of initial sale. The County shall use this share of appreciation for any of the purposes described in subdivision of Health and Safety Code Section 33334.2(e).

E.

Rental Requirements. In the case of rental housing developments, the density bonus housing agreement shall provide for the following requirements during the use restriction period:

1.

Rules and procedures for qualifying each tenant, determining affordable rents, filling vacancies and retaining affordable units for qualified tenants.

2.

Provisions requiring owners to verify tenant incomes and maintain books and records to demonstrate compliance with this section.

3.

Provisions requiring owners to submit an annual report to the County, including the name, address and income of each person occupying an affordable unit and the bedroom size and monthly rent or cost of each affordable unit.

F.

Child Care Facility Requirements. In the case of child care facilities for which a density bonus or additional incentive is being granted, the density bonus housing agreement shall provide for the following requirements:

1.

Operating duration requirements for the child care facility, such that the child day care facility shall remain in operation for as long as or longer than the period of time during which the density bonus units are required to remain affordable.

2.

Provisions requiring that for children who attend the child care facility, the percentage of children from the income group associated with the development's affordable units shall be equal to or greater than the minimum percentage of affordable units that shall be provided for that income group in order to receive a density to the requirements of this section.

(Ord. No. 4062, § 1, 9-10-13)