5289I
ORDINANCE NO. 5289
AN ORDINANCE OF THE CITY OF ANAHEIM ADDING
CHAPTER 18.99 TO TITLE 18 OF THE ANAHEIM
MUNICIPAL CODE RELATING TO DENSITY BONUS
THE CITY COUNCIL OF THE CITY OF ANAHEIM HEREBY ORDAINS
AS FOLLOWS:
SECTION 1.
That new Chapter 18.99 be, and the same is hereby, added
to Title 18 of the Anaheim Municipal Code to read as follows:
"CHAPTER 18.99
DENSITY BONUS
SECTION 18.99.010 DESCRIPTION AND PURPOSE
The purpose of the Densitv Bonus is to contribute
significantly to the economic feasibility of lower income housing
in proposed housing developments. The following provisions are
established in order to comply with the requirements of Section
65915, et seg., of the California Government Code, to help meet the
affordable housing goals of the Housing Element of the General Plan
of the City of Anaheim, and to protect the public health, safety,
and general welfare. The Density Bonus shall be applied in a
manner which provides for the maximum number of affordable housing
units consistent with the economic feasibility of the housing
project, the land use and development standards of the community
and compatibility with surrounding land uses.
SECTION 18.99.020 DEFINITIONS
For the purposes of this chapter, the following words and
terms shall be construed and defined as specified in this Section
and the sections of the California Code referenced herein:
.010 'Additional Incentive' means a concession or
incentive, as set forth in Section 65915(h) of the Government Code.
.020 'Affordability Agreement' means a written
agreement to be entered by and between the City and an applicant
for a Density Bonus, as set forth in Section 18.99.070.
.030 'Affordable Units' means those housing units
required to be rented or sold to Lower Income Households,
Qualifying Residents, or Very Low Income Households, as set forth
in Section 18.99.030.
.040 'Density Bonus' shall have the meaning set forth
in Section 65915(f) of the Government Code.
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.050 'Eligible Housing Development' means a proposed
housing development eligible for a Density Bonus under
Section 65915(g) of theGovernmentCode.
.060 'Lower Income Households' shall have the meaning
set forth in California Health and Safety Code Section 50079.5.
.070 'Qualifying Residents' (senior citizens) shall
have the meaning set forth in California Civil Code Section 51.3.
.080 'Very Low Income Households' shall have the
meaning set forth in California Health and Safety Code
Section 50105.
SEC`T'ION 18.99.030 ELIGIBLE HOUSING DEVELOPMENTS
.010 Density Bonus And One Additional Incentive.
Subject to the provisions of this Chapter, if an
applicant proposes to construct an Eligible Housing Development
containing one of the following percentages of Affordable Units,
calculated prior to the granting of a Density Benus; the applicant
shall be granted either (i) a Density Bonus, as set forth in
Section 18.99.040, and one and only one Additional Incentive, as
set forth in Section 18.99.050, or (ii) other incentives of
equivalent financial value based on the fair market value of the
land per dwelling unit in lieu of a Density Bonus and Additional
Incentive, as set forth in Section 18.99.060:
.0101 Not less than twenty percent (200) of the total
permitted units of the housing development dedicated to Lower
Income Households.
.0102 Not less than ten percent (10%) of the total
permitted units of the housing development dedicated to Very Low
Income Households.
.0103 Not less than fifty percent (50%) of the total
permitted units of the housing development dedicated to Qualifying
Residents.
.020 Density Bonus And Two Or More Additional
Incentives.
Subject to the provisions of this Chapter, if an
applicant proposes to construct an Eligible Housing Development
containing one of the following percentages of Affordable Units,
calculated prior to the granting of a Density Bonus, the applicant
shall be granted either (i) a Density Bonus, as set forth in
Section 18.99.040, and at least two Additional Incentives, as set
forth in Section 18.99.050, or (ii) other incentives of equivalent
financial value based on the fair market value of the land per
dwelling unit in lieu of a Density Bonus and Additional Incentives,
as set forth in Section 18.99.060:
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.0201 Not less than twenty-five percent (250) of the
total permitted units of the housing development dedicated to Lower
Income Households.
.0202 Not less than twelve percent (12%) of the total
permitted units of the housing development dedicated to Very Low
Income Households.
.0203 Not less than fifty.percent (50%) of the total
permitted units of the housing development dedicated to Qualifying
Residents, and not less than twelve percent (12%) of the total
permitted units of the housing development dedicated to Very Low
Income Households (for purposes of this requirement a unit may be
both dedicated to Qualifying Residents and dedicated to Very Low
Income Households). If such housing development receives a
conditional use permit under Chapter 18.94 of this Code, the
requirement under this Section 18.99.020.0203 that twelve percent
(12%) of the permitted housing development be dedicated to Very Low
Income Households shall be in addition to any affordability
requirements under Chapter 18.94.
SECTION 18.99.040 DENSITY BONUS
An applicant who is entitled to a Density Bonus shall be
permitted to construct a maximum of twenty-five percent (25%) more
units ('Density Bonus Units') than otherwise permitted by the site
zoning and development standards in effect on (i) the date a
completed application for the project is received by the City or
(ii) upon the date of final approval of the discretionary permit,
whichever zoning and development standards shall result in a lower
density for the project (the 'Base Number of Units'). The Base
Number of Units shall be determined by reference to the current
zoning of the parcel on which the Eligible Housing Development is
proposed to be located, or if the current zoning is RS -A-43,000, or
a zoning classification other than residential, the Base Number of
Units shall be determined using RM -1200 standards for rental
projects and RM -2400 standards for condominium projects. If the
resulting number of Density Bonus Units is a fractional number, the
permitted number of Density Bonus Units shall be the next higher
whole number.
SECTION 18.99.050 ADDITIONAL INCENTIVES
An applicant who is entitled to one or more Additional
Incentives pursuant to Section 18.99.030 shall be granted one or
more concessions or incentives as defined by Section 65915(h) of
the Government Code, unless the Community Development Department
determines and a finding is made by the City pursuant to Section
18.99.090.020(c) that no Additional Incentive is necessary to make
the proposed housing project economically feasible to provide for
Affordable Housing Costs.
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The selection of Additional Incentives shall be at the
sole discretion of the City, as set forth in Section 18.99.090.030.
The Additional Incentive shall be granted in the form of a variance
or exemption from applicable City requirements, if applicable, to
the extent such variance or exemption is permitted by the City
Code. All numerical development standards shall be limited to a
change of no more than twenty-five percent (25%) from the
development standard otherwise allowed. An Additional Incentive
shall be deemed granted for the purposes of this Chapter if any
concession or incentive, such as a change of zoning or General Plan
designation, is granted with respect to the subject property within
twenty-four (24) months prior to or after the granting of a Density
Bonus.
SECTION 18.99.060 INCENTIVES OF EQUIVALENT FINANCIAL
VALUE
An applicant who is eligible for another incentive in
lieu of a Density Bonus and Additional Incentives) shall be
granted an incentive which is determined by the City to be of
equivalent financial value to a Density Bonus based on the fair
market value of the land pel dwelling unit. Such finding shall be
based upon an independent appraisal and/or financial analysis of
the applicant's property with and without a Density Bonus, and with
and without the selected incentive or incentives of equivalent
financial value. Such appraisal and/or financial analysis shall be
performed by or at the request of the Community Development
Department by an appraiser or financial analyst which is acceptable
to the Community Development Department, and shall be at the sole
cost and expense of the applicant. The final selection of such
incentive or incentives shall be at the sole discretion of the
City, and may include any item or action which would qualify as an
Additional Incentive pursuant to Section 18.99.050.
SECTION 18.99.070 AFFORDABILITY PROVISIONS
The applicant shall agree to construct, operate and
maintain the Affordable Units in accordance with a written
'Affordability Agreement' between the Applicant and the City, in a
form acceptable to the City Attorney, duly executed and
acknowledged by the applicant and the City, and recorded against
the subject property in the official records of Orange County,
California prior to the first to occur of (a) the issuance of any
building permits for the Eligible Housing Development, or (b) the
recordation of a final tract map. The Affordable Units shall be
subject to the requirements of the Affordability Agreement for a
period of thirty (30) years, beginning on the date a certificate of
occupancy is granted for the Affordable Units.
.010 Determination of Rent. A maximum rent schedule
shall be established by the Community Development Department as of
the date of issuance of an occupancy permit for the Affordable
Units. The rent amounts shall be established at an Affordable
Housing Cost, based on the current Orange County median income, as
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reported by the United States Department of Housing and Urban
Development. The maximum monthly rent amount shall be (i) thirty
percent (30%) of sixty percent (600) of monthly median income for
Affordable Units dedicated to Lower Income Households, (ii) thirty
percent (30%) of thirty-five percent (35%) of monthly median income
for Affordable Units dedicated to Very Low Income Households, and
(iii) thirty percent (30%) of thirty-five percent (35%) of monthly
median income for Affordable Units dedicated to Very Low Households
in an Eligible Housing Development which contains fifty percent
(50%) or more units dedicated to Qualifying Residents which Income
has obtained a Density Bonus pursuant to Subsection 18.99.030.0203.
The rent amount shall be based upon the following assumed number of
persons living in the household: Studio - one (1) person; one
bedroom - two (2) persons; two bedroom - three (3) persons; three
bedroom or more - four (4) persons. The maximum rent schedule
shall be adjusted by the Community Development Department on each
anniversary of the date of issuance of an occupancy permit by the
lesser of (a) the Annual Adjustment Factor established by the
United States Department of Housing and Urban Development for
housing units subject to the Section 8 rental assistance program;
or (b) the average rate of increases in rent payable during the
preceding twelve (7.2) months for the units other than the
Affordable Units within the project.
.020 Determination of Sales Price. Affordable Units
dedicated to Lower Income Households or Very Low Income Households
which are sold to owner -occupants shall be sold at an Affordable
Housing Cost as provided herein. The Community Development
Department shall establish a maximum sales price for any Affordable
Unit dedicated to Lower Income households or Very Low Income
Households which is proposed to be sold. The maximum sales price
for Affordable Units dedicated to Lower Income Households shall be
established at the price at which a person or family earning eighty
percent (80%) of Orange County median income could qualify for a
fixed-rate thirty (30) year mortgage loan for ninety percent (90%)
of the purchase price (a) under currently prevailing conventional
home mortgage lending criteria and interest rates, or (b) under the
lending criteria and interest rates of a below-market rate home
mortgage lending program for which such person or family actually
qualifies and receives a loan. The maximum sales price for
Affordable Units dedicated to Very Low Income Households shall be
established at the price at which a person or family earning fifty
percent (500) of Orange County median income could qualify for a
fixed-rate thirty (30) year mortgage loan for ninety percent (90%)
of the purchase price (a) under currently prevailing conventional
home mortgage lending criteria, or (b) under the lending criteria
and interest rates of a below-market rate home mortgage lending
program for which such person or family actually qualifies and
receives a loan. The maximum sales price for the Affordable Unit
shall be based upon the income of a household with the following
assumed family size: housing unit with no bedrooms (studio): one
(1) person; housing unit with one (1) bedroom: two (2) persons;
housing unit with two (2) bedrooms: three (3) persons; housing
unit with three (3) bedrooms or more: four (4) persons.
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SECTION 18.99.080 APPLICATION PROCEDURE
Applications for Density Bonuses shall be set for public
hearing and public notice in accordance with the procedures set
forth herein.
.010 Preliminary Applications. An applicant shall
submit a preliminary application to the Community Development
Department for the development of housing pursuant to this Chapter
prior to the submittal of any formal requests for General Plan
amendments, zoning actions or subdivision maps for approvals. The
Community Development Department shall provide to an applicant
promptly upon request, the procedures for compliance with this
Chapter, a copy of this Chapter, the pertinent sections of the
California Code to which reference is made in this Ordinance, and a
Density Bonus application.
.020 Preliminary Application - Form. The Community
Development Department shall prescribe the form in which
preliminary applications are made for Densitv Bonuses, may prepare
and provide forms for such purpose and may prescribe the type of
information to be provided in the preliminary application by the
applicant.
.030 Review of Preliminary Application. The Community
Development Department shall make a recommendation upon each
preliminary application to the Planning Department prior to the
acceptance by the Planning Department of the applicant's
application for a Density Bonus and any accompanying General Plan
amendment, zoning action or subdivision map.
.040 Design Review. Plans for proposed housing projects
shall be submitted to the Community Development Department for
design review. The Community Development Department will review
project design and seek to ensure compatibility of the housing
project with the existing neighborhood scale and character and a
high level of liveability for future residents. The Community
Development Department will make a recommendation regarding project
design to the Planning Commission.
SECTION 18.99.090 PUBLIC HEARINGS
.010 Procedure. A public hearing shall be held for each
application for a Density Bonus in accordance with the procedure
set forth in Chapter 18.03.060 of the Municipal Code.
.020 Findings. Prior to approving any Density Bonus or
request for Additional Incentives, the Planning Commission or City
Council shall determine a factual basis exists to make the
following findings, as applicable. These findings shall be in
addition to any findings made with respect to any variance granted
to an applicant.
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(a) That the applicant has proposed the
construction of an Eligible Housing Development;
(b) If one or more Additional Incentives are
granted, that the applicant has demonstrated that each Additional
Incentive granted to the applicant is necessary to make the
proposed housing project economically feasible to provide for
Affordable Housing Costs;
(c) If no Additional Incentive is granted, that no
Additional Incentives are necessary to make the proposed housing
project economically feasible to provide for Affordable Housing
Costs;
(d) That the Density Bonus and each Additional
Incentive granted, if any, further the City's affordable housing
goals as set.forth in the Housing Element of the City's General
Plan;
(e) That each Additional Incentive granted, if any,
shall not, on balance, be detrimental to the public health, safety
and welfare, and shall. not cause injury to property in the
immediate vicinity of the Eligible Housing Project; and
(f) If one or more incentives are granted in lieu
of a Density Bonus and Additional Incentive(s), that such incentive
or incentives is equivalent in financial value to a Density Bonus
based on the land cost per dwelling unit, as supported by an
independent appraisal of the applicant's property.
.030 Selection of Additional Incentive. The selection
and granting of Additional Incentives shall be at the sole
discretion of the Planning Commission or the City Council. The
Planning Commission or City Council shall select the particular
Additional Incentive or Incentives to be granted to an Applicant
based on the following criteria:
(a) The selected Additional Incentive or Incentives
shall contribute significantly to the ability of the Eligible
Housing Development to provide housing to Lower Income Households
and Very Low Income Households at an Affordable Housing Cost.
(b) The selected Additional Incentive or Incentives
shall be the most compatible with the character of the Eligible
Housing Development and to the surrounding area, relative to other
Additional Incentives which might be granted.
(c) The selected Additional Incentive or Incentives
shall not have a detrimental impacton services and infrastructure,
such as traffic volumes and road capacities, school enrollments,
recreational resources and parks and water, sewer and storm drain
facilities, and shall be the most compatible with the public
health, safety and welfare; provided that if every Additional
Incentive which might be selected would have a detrimental impact
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on services and infrastructure, the selected Additional Incentive
or Incentives shall cause the least impact, relative to other
Additional Incentives which might be granted, an services and
infrastructure.
(d) If the Eligible Housing Development is an
apartment project which proposes to dedicate a minimum of fifty
percent (50%) of its units to Qualifying Residents, the following
Additional Incentives shall not be granted unless the Eligible
Housing Development has obtained a conditional use permit under
Section 18.94 of this Code: (a) reduction in floor space
requirements, (b) reduction in vehicle parking requirements, and
(c) increase in structural height limitations."
SECTION 2. SEVERABILITY
The City Council of the City of Anaheim hereby declares
that should any section, paragraph, sentence or word of this
ordinance of the Code, hereby adopted, be declared for any reason
to be invalid, it is the intent of the Council that it would have
passed all other portions of this ordinance independent of the
elimination herefrom of any such portion as may be declared
invalid.
SECTION 3.
SAVINGS CLAUSE
Neither the adoption of this ordinance nor the repeal of
any other ordinance of this City shall in any manner affect the
prosecution for violations of ordinances, which violations were
committed prior to the effective date hereof, nor be construed as a
waiver of any license or penalty or the penal provisions applicable
to any violation thereof. The provisions of this ordinance,
insofar as they are substantially the same as ordinance provisions
previously adopted by the City relating to the same subject matter,
shall be construed as restatements and continuations, and not as
new enactments.
THE FOREGOING ORDINANCE is approved and adopted by the
City Council of the City of Anaheim this 3rd day of March, 1992.
MAYOR OF THE Cf -TY OPIANAHEIM
ATTEST:
CITY CLERK THE CITY OF ANAHEIM
SJM: dnl
ORDRES\O58DNSTY.17
121391
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STATE OF CALIFORNIA )
COUNTY OF ORANGE } ss.
CITY OF ANAHEIM )
I, LEONORA N. SOHL, City Clerk of the City of Anaheim, do hereby certify that
the foregoing Ordinance No. 5289 was introduced at a regular meeting of the
City Council of the City of Anaheim, held on the 25th day of February, 1992,
and that the same was duly passed and adopted at a regular meeting of said City
Council held on the 3rd day of March, 1992, by the following vote of the
members thereof:
AYES: COUNCIL MEMBERS: Simpson, Ehrle, Pickler, Daly and Hunter
NOES: COUNCIL MEMBERS: None
ABSENT: COUNCIL MEMBERS: None
AND I FURTHER CERTIFY that the Mayor of the City of Anaheim signed said
Ordinance No. 5289 on the 4th day of March, 1992.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal
of the City of Anaheim this 4th day of March, 1992.
CITY CLERK OF THE CITY OF ANAHEIM
(SEAL)
I, LEONORA N. SOHL, City Clerk of the City of Anaheim, do hereby certify that
the foregoing is the original of Ordinance No. 5289 and was published once in
the Anaheim Bulletin on the 13th day of March, 1992.
CITY CLERK OF THE CITY OF ANAHEIM