HomeMy WebLinkAboutOrdinance 12.19 Amending Article XIV of Chapter 36 Regarding Below-Market-Rate Housing Program BMRORDINANCE NO. 12.19
AN ORDINANCE AMENDING ARTICLE XIV OF CHAPTER 36
OF THE MOUNTAIN VIEW CITY CODE, SECTIONS 36.40 TO 36.40.0,
REGARDING THE BELOW -MARKET -RATE HOUSING PROGRAM
Section 1. Article XIV of Chapter 36 of the Mountain View City Code is hereby
amended to read as follows:
"ARTICLE XIV. - AFFORDABLE HOUSING PROGRAM
DIVISION 1. - GENERAL
SEC. 36.40. - Council findings.
The cost of housing in Silicon Valley, including the City of Mountain View, is one
of the highest in the nation, making the region one of the least affordable places to live.
Housing prices and rents have increased at a significantly higher rate than general
wages. The lack of affordable housing in Mountain View forces many residents to pay a
very high percentage of their income for housing or to move out of the community and
creating considerable commute distances, which adds to air pollution and traffic
congestion in Mountain View and adjacent communities. The lack of affordable housing
has also made it more difficult to recruit workers from out of the area, in general,
especially workers in lower -paying jobs, potentially affecting the economic vitality and
resilience of the community.
Increasing the diversity, supply, and affordability of housing is a council goal, and
the below -market -rate housing program and housing impact fee programs are a
necessary part of the city's efforts to meet its own housing goals as well as the regional
housing needs of the Bay Area as required by state law, and are supported by the city's
General Plan Land Use and Design (LUD) Policy 3.5 because it encourages residential
developments serving a broad range of diverse households and incomes; and Housing
Element Policies 1.5 and 2.1 because they support the development of both rental and
ownership housing serving a broad range of incomes, including extremely low-, very
low-, low-, and moderate -income households.
The city's Affordable Housing Program, including the below -market -rate housing
program ("BMR Program") and the housing impact fee program, balances the needs of
the city and the goals of our general plan while having a minimum impact on the
investment interests of the landowners and developers. The program is required by the
public necessity and general welfare, and promotes the orderly development of the city.
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SEC. 36.40.05. - Definitions.
For purposes of this article only, the following definitions shall be used in the
interpretation and construction of this article.
a. "Addition" shall mean an extension or increase in floor area of an existing
nonresidential development project subject to this section.
b. "Affordable housing' means housing which costs a very low-, low-, or
moderate income household no more than approximately thirty (30) percent of its gross
monthly income. Costs included in the calculation of income for ownership housing are
monthly mortgage principal and interest payments, homeowners' 'insurance, property
taxes and homeowner association fees, where applicable. Costs included in the
calculation of income allocated to rental housing are monthly rent and utilities.
C. "Below -market -rate (SMR) unit" means an ownership or rental unit under
the BMR Program which is affordable to households with low or moderate incomes as
defined in this chapter.
d. "Density bonus" means an approval of additional dwelling units, reduced
parking, incentives and concession, or waivers of development standards under City
Code Sec. 36.14-36.14.65 and Government Code Sec. 65915-65918.
e. "Existing floor area" means legally existing gross floor area at the time of
application for a zoning permit or legally existing floor area that was demolished not
more than one (1) year prior to the filing of the application for a zoning permit.
f. "Gross floor area" means the floor area enclosed within the walls of a
building and measured from the outside perimeter of said walls, expressed in square
feet and fractions thereof.
g. "Gross household income" means the earned and unearned household
income of all adult members of the household:
1. "Above Moderate -Income household" means the level of gross income
for Santa Clara County between 120 percent and 150 percent of the AMT, adjusted for
household size, as based on the 120 percent AMI level published periodically by the
State Department of Housing and Community Development.
2. "Moderate -income household" means a household whose gross income
as published periodically by the State Department of Housing and Community
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Development is between eighty (80) percent and one hundred twenty (120) percent of
the median household income, adjusted for household size.
3. "Low --income household" means a household whose gross income as
published periodically by the State Department of Housing and Community
Development is between fifty (50) percent and eighty (80) percent of the median
household 'income, adjusted for household size, for Santa Clara County.
4. "Very low-income household" means a household whose gross income
as published periodically by the State Department of Housing and Community
Development is fifty (50) percent or less of the median household income, adjusted for
household size, for Santa Clara County.
5. If the income limit index referenced in this section, or successor indexes,
are no longer published by the State Department of Housing and Community
Development, then a successor index shall be selected by the city manager. In selecting
the successor index, the city manager shall choose an index published by a federal, state
or county agency that most closely corresponds with the previous index.
h. "Housing fund" means the City of Mountain View housing funds established
pursuant to Sec. 36.40.40 and Sec. 36.40.60.
i. "Housing impact fee" means the fee established pursuant to Sec. 36.40.55 for
nonresidential development projects.
j. "In -lieu fee" means a fee paid by a developer into the city's housing fund in
place of providing the required below -market -rate units.
k. "Market -rate unit" means a housing unit or the legal lot for such unit offered
on the open market at the prevailing market rate for purchase or rental.
1. "Mixed projects" shall mean projects containing both rental units and for -sale
units.
m. "Nonresidential development project" means the construction, addition or
placement of a structure used for any commercial or industrial purpose as defined in
Chapter 36 of the City Code and shall include the nonresidential portion of the gross
floor area in a combined or mixed-use project.
n. "Off-site" means that the affordable housing units as required by the BMR
Program are not part of the same residential development and not integrated with the
project's market -rate units.
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o. "On-site" means that the affordable housing units as required by the BMR
Program are integrated with the project's market -rate units and dispersed throughout
the development according to the BMR Program requirements. Except when required to
develop senior housing in compliance with applicable laws, development of the
affordable units in a separate, standalone structure, even if that standalone structure
were on the same parcel or Assessor's Parcel Number (APN) as a separate market -rate
building, does not meet the definition of on-site.
P. "Resale controls" mean legal restrictions by which the price of below -market -
rate units and the eligibility of purchasers or renters shall be restricted to ensure that the
unit remains affordable to moderate -income households.
q. "Residential development" means any development that includes an
application to the city for planning or building permits to create one (1) or more
dwelling units, to convert nonresidential uses to residential uses or to convert
residential units from rental to for -sale. As used herein, and in the BMR Guidelines,
"residential development" includes, without limitation, rental housing; for -sale
housing; mixed -tenure housing; mixed-use residential; detached single-family
dwellings; duplexes; triplexes; multiple -family dwelling structures; condominium or
townhouse developments; condominium conversions; and land subdivisions intended
to be sold or rented to the general public. However, accessory dwelling units and
licensed care facilities are excluded from the definition of residential development.
r. "Zoning permit" means any of the several discretionary permits described in
Chapter 36 of the City Code authorizing land uses, development, construction or
alteration of uses or buildings within a zoning district.
DIVISION 2. - RESIDENTIAL DEVELOPMENT: BELOW -MARKET -RATE
HOUSING PROGRAM
SEC. 36.40.10. - General requirements.
The words and terms used in this chapter shall have the meaning indicated as
follows, unless the context clearly indicates otherwise:
a. Objective standard. The basic requirement of the BMR Program is the
provision of BMR on-site and integrated with market -rate units for both rental and
ownership projects.
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b. Percentage requirement. All residential development as defined in Sec.
36.40.05 are subject to the BMR Program and shall provide at least fifteen (15) percent of
the total number of dwelling units as affordable units.
1. Ownership units. All nonexempt ownership residential developments
other than rowhouses and townhouses (as defined in Article 1V of Chapter 36 of the city
code) shall include at least fifteen (15) percent of the total number of ownership
dwelling units within the development as units affordable to Moderate -Income
households making between 80 (eighty) percent and one hundred twenty (120) percent
AMI as required by the BMR Program. The affordable ownership units must be
provided at a minimum of two (2) income levels, a resulting income level equal to a
weighted average of one hundred (100) percent of the AMI when considering all of the
affordable ownership units cumulatively. Rowhouses and townhouses in residential
ownership developments shall be subject to a twenty-five (25) percent on-site BMR
requirement, with fifteen (15) percent at a one hundred (100) percent AMI weighted
average with a range of units between eighty (80) percent and one hundred twenty
(120) percent AMT; AND a ten (10) percent on-site BMR requirement at a one hundred
thirty-five (135) percent AMI weighted average with a range of units between one
hundred twenty (120) percent and one hundred fifty (150) percent AMI. The city does
not allow BMR ownership units set at an income level lower than eighty (80) percent
AMI to count toward a for -sale project's BMR requirements, unless a reserve is
established that can be utilized by lower-income owners to fully pay for future expenses
related to increases in homeowners association (HOA) fees or other assessments, such
that the overall housing cost of homeownership is maintained at an affordable level.
2. Rental units. All rental residential developments shall include at least
fifteen (15) percent of the total number of rental dwelling units within the development
as units affordable to Low- and Moderate -Income households representing income
levels between fifty (50) percent and one hundred twenty (120) percent AMI as required
by the Program and Guidelines. The affordable rental units must be provided at a
minimum of two (2) income levels, with a resulting income level no greater than a
weighted average of sixty-five (65) percent of the AMI when considering all of the BMR
rental units cumulatively, except as set forth in this ordinance.
C. Size of project. The BMR requirement shall apply to all new residential
developments and applicable condominium conversions.
d. In -lieu fees for fractions of units. Residential projects with less than seven
(7) units shall have the option of paying a fee in lieu of the fractional BMR unit. A
residential project with seven (7) units or more may pay an in -lieu fee for fractional
units when the BMR obligation results in a fractional BMR unit that is less than 0.5 (i.e.,
less than half a unit); and a fractional unit equal to 0.5 or greater shall be rounded up
and the project must provide one (1) BMR unit on-site to satisfy the fractional
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obligation. Payment of an in -lieu fee for qualifying fractional units shall be made in full
prior to issuance of the project's first building permit, and shall be based on the feel
level equivalent to providing the BMR units on-site and as published in the Master Fee
Schedule. The community development director or designee shall be authorized to
adjust the rental and ownership fees annually based on the Consumer Price Index (CPI),
All Urban Consumers, San Francisco -Oakland -San Jose, published by the U.S.
Department of Labor, Bureau of Labor Statistics.
e. Concurrent development of BMR on-site units. All BMR on-site units in a
residential development and phases of a development shall be constructed concurrently
with or prior to the construction of market -rate units.
f. Location and design of BMR on-site units. All BMR units shall be
reasonably dispersed throughout the project and consistent with federal and state fair
housing laws, have a distribution of units by number of bedrooms proportionate to the
market -rate units, and be of comparable size based on net habitable square footage of
the units, except that affordable units for seniors shall comply with applicable
requirements for senior housing. The actual location of a BMR rental unit within a
complex shall be permanently assigned to a particular dwelling unit.
The exterior design of the BMR units shall be consistent with the market -rate
units in the project and be comparable in terms of interior design, appearance,
materials, and quality of finish. However, the BMR units may differ from market -rate
units in the project by using lower-cost alternatives to certain amenities considered to
be luxury items. . BMR units shall have the same access to project amenities and
recreational facilities as market -rate units.
g. Qualifying households. All BMR rental units shall be rented only to
qualified Low- or Moderate -Income households between fifty (50) percent and one
hundred twenty (120) percent AMI, and all BMR ownership units shall be sold only to
qualified Moderate -Income households between eighty (80) percent and one hundred
twenty (120) percent AMT, except households for rowhouses/townhouses shall qualify
based on the BMR requirement as referenced in this Sec. 36.40.10. Rents, sales prices,
and eligible household sizes of SMR units shall comply with the requirements pursuant
to the SMR Guidelines.
Preference is given to eligible applicants for a BMR unit if they live or work in
the City of Mountain View. Preference will not be allowed if not permitted by state or
federal law or other fair housing restrictions.
h. Term. BMR units shall be maintained as affordable housing in perpetuity.
L Density bonus. Compliance with the provisions of this article may be applied
towards a request for a density bonus, provided that the affordable units meet the
stricter of the BMR Program Requirements and the density bonus law.
j. Administrative guidelines. The city shall adopt, by resolution, BMR
administrative guidelines (BMR Guidelines) necessary for the implementation of the
provisions of this article.
k. Administration. The BMR program shall be administered by the community
development department or its designee who may issue written procedures to
implement the BMR Program and Guidelines.
SEC. 36.40.15. - Determination of rents for BMR rental units.
The montl-ily rental rate for each BMR unit shall be within the range of fifty (50)
percent to one hundred twenty (120) percent of gross household income, with a
cumulative weighted average of sixty five (65) percent AMI, and be based on no more
than thirty (30) percent of the qualifying tenant's gross household monthly income,
according to the procedures set forth in the BMR Program Guidelines. The rent range of
fifty (50) percent to one hundred twenty (120) percent of gross household income may
be adjusted annually to reflect 'adjustments in the gross household income published
periodically by the State Department of Housing and Community Development for
Santa Clara County.
SEC. 36.40.20. - Determination of sale prices for BMR ownership units.
A project's BMR ownership units shall be sold at prices affordable to Moderate -
Income households (approximately between eighty (80) percent and one hundred
twenty (120) percent AMI), with a cumulative weighted average of one hundred (100)
percent AMI, except sales prices for rowhouses/townhouses shall be based on the BMR
requirements for such developments as referenced in this Sec. 36.40.20, and ownership
sales prices shall be based on the selected income level for each unit and the -presumed
household size that corresponds with the various unit sizes as set forth in the BMR
Guidelines. The eligible household income range may be adjusted annually to reflect
adjustments in the median household income published periodically by the State
Department of Housing and Community Development for Santa Clara County. The
sales price for each BMR unit shall result in a total monthly payment that shall not
exceed thirty (30) percent of the selected household income level for that unit adjusted
by unit size and presumed household size, and includes mortgage, taxes, utilities, HOA
dues, insurance and private mortgage insurance.
For units sold to households earning less than eighty (80) percent AMT, the
developer shall set aside a reserve and describe the reserve in the CC&Rs to cover
future special assessments and increases in HOA dues for those households, and the
total housing cost shall not exceed thirty (30) percent of the household's selected income
level for the unit over the life of the mortgage. The community development director or
designee may establish standards for calculating the amount of the reserve.
SEC.36.40.25. - Resale controls on ownership units.
All BMR units shall be subject to deed restrictions, covenants, resale restrictions,
and other applicable conditions and documentation to ensure compliance with the BMR
Program, and which includes an option that entitles the city or its designee the first
right to purchase a BMR ownership unit at the lower of the following purchase prices:
(1) market value;
(2) the purchase price paid by the seller, plus one-third of the increase (during
the period of seller's ownership) in a CPI, All Urban Consumers, San Francisco -
Oakland -San Jose, published by the U.S. Department of Labor, Bureau of Labor
Statistics; or
(3) an amount equal to the price affordable to household earning the income
level specific to the BMR unit.
An exception to the city -imposed restriction that the BMR unit be sold to a city -
approved BMR household may be granted if (a) the developer demonstrates the
inability to obtain a qualified buyer within a one hundred eighty (180) day period; and
(2) the city decides not to exercise its option to purchase the BMR unit. The seller will be
entitled to the lowest purchase price listed above. The balance of the proceeds shall be
paid to the City of Mountain View to be deposited in the city's housing fund. The deed
restrictions shall prohibit sales or transfers of the property except with the written
consent of the city and at a price listed above.
Owners of BMR ownership units shall provide the city/designee a notification of
intent to sell prior to listing the unit. If an owner intends to refinance, change title, or
transfer ownership of the BMR ownership unit, the owner shall notify and receive
approval from the city/designee prior to initiating a refinance, title change, or transfer
of ownership. The city is entitled to pursue all available remedies against an owner if an
owner fails to notify and receive approval from the city/designee, including the city's
exercise of its option to purchase the BMR ownership unit or a city action to foreclose
on the BMR ownership unit under the city's deed of trust.
The BMR ownership deed restrictions and conditions shall contain such other
provisions as are considered necessary by the city to implement the BMR Program and
the city may require that additional notices or other document(s) be recorded. A
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reference to the deed restrictions and conditions shall be included in all deeds or
conveyances of BMR units.
SEC 36.40.30. - Alternative mitigations.
The basic objective standard of the Program is the creation of affordable housing
integrated on-site market -rate residential developments. As an alternative to building
the affordable housing units on-site, developers of market -rate residential projects may
submit a request to meet their BMR Program obligations through other means, such as
the dedication of land, the provision of other resources, payment of an in -lieu fee, or
other alternatives.
The applicant has the burden of demonstrating that the request for an alternative
mitigation meets the findings requirements; however, meeting the findings
requirements does not constitute automatic approval of the alternative mitigation
request. Such requests may only be granted by the city council, if the city council
determines that such alternative will further affordable housing opportunities in the
city to a greater extent than providing units on-site based on the standards in the
administrative guidelines and/or other procedures promulgated and that the
alternative mitigation is preferred to the on-site requirement.
SEC. 36.40.35. - BMR household eligibility requirements.
a. The city or its designee shall select potential occupants of BMR units from a
list of those persons qualified on the basis of household income, relationship between
household size and the size of available units, and further criteria and procedures to be
established by the city in the BMR Guidelines.
b. Each purchaser of a SMR unit shall certify, prior to close of escrow, in a form
acceptable to the city or its designee, that said unit is being purchased and shall be
maintained as the purchaser's primary place of residence.
C. The household income of each renter of a BMR unit shall be verified annually
by the city or its designee to confirm the household's continued income eligibility for
the unit as set forth in the BMR Guidelines and other procedures that the city may
promulgate.
SEC. 36.40.40. - SMR housing fund.
A housing fund is hereby established for the deposit of all in -lieu fees and other
penalties and payments made to the city under the BMR program. The purpose of the
fund is to assist in providing housing that is affordable to very low, low- and moderate -
income households and cover administrative costs of the BMR program. The city has
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sole discretion in determining the income levels(s) that shall be funded with the
housing fund, and the housing fund shall not be used to fund units in the above
moderate -income category.
SEC. 36.40.45. - Compliance.
Any individual or household that rents, purchases, or sells a SMR unit in violation
of the BMR Program requirements or the intent of the BMR Program shall be subject to
penalties, and shall be required to forfeit all monetary amounts so obtained in excess of
the permitted resale price or rental rates. Such amount shall be deposited in the city's
BMR housing fund. if the city/ designee undertakes any enforcement action to obtain
compliance with the requirements of the BMR Program, the city/designee shall be
entitled to recover its attorney's fees and staff costs for such enforcement effort.
SEC. 36.40.50. - Exemptions and appeals.
a. Exemptions ---Historic resources. Exemptions from, or credit toward, BMR
requirements may be granted for certain historic resources pursuant to this Section.
b. Appeals of determinations based on the administrative requirements of the
BMR Program as established in the BMR Guidelines must be in the form of a written
request by the appellant and be addressed to the community development director.
The community development director or designee shall make the ruling and all rulings
shall be final. The city may establish cost recovery fees for appeals.
SEC. 36.40.55. - Grandfather provision.
The provisions of the BMR Program shall become effective on August 24, 2019 and
apply to all residential developments, except the following residential developments:
a. Non -Gatekeeper projects with formal applications submitted by June 30, 2029
AND the submittal of all additional information (if any) by August 24, 2019 as
requested in the city's thirty (30) day letter responding to the applicant's formal
application submittal.
b. "Gatekeeper" developments deemed ready by the city, by December 20, 2019,
for a public hearing for consideration of project approval and processed in accordance
with City Code Sec. 36.50.90, 36.52.20, and 36.52.55.
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DIVISION 3. - COMMERCIAL AND INDUSTRIAL DEVELOPMENT: HOUSING
IMPACT FEE PROGRAM
SEC. 36.40.60. - Housing fund.
a. Housing fund. Housing impact fees shall be deposited in the City of
Mountain View housing fund. The city finance and administrative services director
shall maintain the funds in a subaccount separate from other funds in the Mountain
View housing fund account.
b. Administration. The housing fund shall be administered by the community
development director, who shall have the authority to govern the housing fund
consistent with this chapter, and to prescribe procedures for said purpose, subject to
approval by the council.
C. Purposes and use of funds.
1. Moneys deposited in the housing fund, along with any interest earnings
on such moneys, shall be used solely to increase and improve the supply of housing
affordable to households of very low, low and moderate income; including, but not
limited to, acquisition of property and property rights; cost of construction, including
costs associated with planning, administration and design, as well as actual building or
installation, as well as any other costs associated with the construction or financing of
affordable housing; and reimbursement to the city for such costs if funds were
advanced by the city from other sources. To the maximum extent possible, all moneys
should be used to provide for additional affordable housing and services. Moneys may
also be used to cover administrative expenses not reimbursed through processing fees,
including consultant and legal expenses related to the establishment and/or
administration of the housing fund. No portion of the housing fund may be diverted to
other purposes by way of loan or otherwise.
2. Moneys in the housing fund shall be used to construct, acquire,
rehabilitate or subsidize very low-, low- and moderate -income housing and/or to assist
other governmental entities, private organizations or individuals in the construction,
rehabilitation and reimbursement of city -advanced funds. Moneys in the housing fund
may be disbursed, hypothecated, collateralized or otherwise employed for these
purposes from time to time as the community development director and city council
determine is appropriate to accomplish the purposes of the housing fund. The housing
fund moneys may be extended for the benefit of rental or owner --occupied housing or
housing services.
3. Expenditures by the community development director from the housing
fund shall be controlled, authorized and paid in accordance with general city budgetary
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policies. Execution of contracts related to the use or administration of housing fund
moneys shall be in accordance with standard council policy.
4. Construction projects assisted with housing impact fee funds shall
comply with the prevailing wage requirements of the Federal Community
Development Block Grant (CDBG) Program or the HOME Investment Partnership
(HOME) Program or successor programs. If the project is not assisted with CDBG or
HOME program funds, state prevailing wages shall apply.
SEC. 36.40.65. - Fee; Calculation of fee; Alternative to payment of fee; Adjustment and
waivers; Exemptions.
a. Housing impact fee. A housing impact fee is hereby imposed on all
developers of nonresidential projects that involve the construction of new floor area,
except as otherwise set forth herein.
b. Calculation of housing impact fee.
1. The housing impact fee for nonresidential development projects shall be
charged on a per -square -foot basis for all net new gross floor area, including all
additions where floor area is increased, with a specific per -square -foot amount set for
each nonresidential land use category and amount of floor area identified in Table.
36.40-1 below. The amount of the fee shall be computed as follows: (Gross Square Feet
Nonresidential Floor Area Minus Existing Floor Area) x (Applicable Fee as listed in
Table 36.40-1) = Housing Impact Payment.
2. The amount of each such fee shall be established by resolution of the city
council and shall be adjusted annually as a part of the city's annual budget process by
the percentage change in the Consumer Price Index for the San Francisco -Oakland -San
Jose area for the previous year.
3. In calculating the fee, the chief building official shall use those fees in
effect by resolution of the city council at the time of the issuance of the building permit
or, if no building permit is required, at the time of issuance of a use or other
discretionary permit.
4. The community development director shall determine the appropriate
land use category as set forth in Table 1 below for each new nonresidential
development project.
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TABLE 36.40-1
HOUSING IMPACT FEE REQUIREMENTS
[ Land Use Category
Fifty Percent (50%) of Full
Full Fee
Fee
j
New gross floor area
New gross floor area
Office/ High Tech/ Industrial
between 1 and 10,000
that exceeds 10,000
'
square feet
square feet
Commercial/ Retail/ Entertainment
New gross floor area
between 1 and 25,000
New gross floor area
that exceeds 25,000
square feet
square feet
New gross floor area
New gross floor area
I Hotel
between 1 and 25,000
that exceeds 25,000
square feet
square feet
C. Alternative to payment of a housing impact fee. As an alternative to
payment of the housing impact fee, a developer of a nonresidential development project
may submit a request to mitigate the impacts of such development through the
construction of residential units, the dedication of land or provision of other resources.
Such requests may be granted in the sole discretion of the city council, if the city council
determines that such alternative will further affordable housing opportunities in the
city to an equal or greater extent than payment of the housing impact fee.
d. Adjustment, reduction or waiver. An adjustment, reduction or waiver of the
fees required by this section may be granted by the city council for nonresidential
development projects under the following circumstances:
1. Upon the remodeling of a building to add square footage, the
appropriate housing impact fee shall be paid only on the additional square footage.
2. If the nonresidential development project is in whole or part a
replacement for space previously on the site, but vacated or demolished in the twelve
(12) months prior to the filing of the application for a zoning permit for the new
construction or remodel, credit shall be given for the space vacated or demolished or to
be vacated or demolished at the rate applicable to the prior use of that space.
3. If the nonresidential development project is constructed for a specific
use involving no employees or fewer than one (1) employee per two thousand (2,000)
square feet of gross floor area, the project may be eligible for a waiver of the fees. To be
eligible for a waiver, the building must be designed and built such that it cannot be
converted to a use capable of housing a larger number of employees except by major
reconstruction. The burden of proof shall be on the applicant. If a waiver is granted, a
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"Notice of Conditional Waiver of Housing Impact Fee" shall be recorded in the Santa
Clara County Office of the Recorder. If a subsequent change in the use or structure of
the building occurs which involves additional employees, the waiver granted herein
shall be deemed revoked, subject to a hearing before the zoning administrator, who
shall make a recommendation on the revocation to the city council. The decision of the
city council shall be final.
4. If, upon evaluation of facts presented by the applicant, there is an
absence of any reasonable relationship or nexus between the impact of the development
and the need for housing, the project shall be eligible for a waiver of the fees.
e. Exemptions. This fee shall not apply to developers of nonresidential projects
which fall within one or more of the following categories:
1. Buildings which are owned and at least seventy-five (75) percent
occupied by governmental or nonprofit agencies and organizations.
2. Any building which is damaged or destroyed by fire or natural
catastrophes so long as the total square footage of the repaired or replaced building
remains the same.
f. Grandfather provision. The following nonresidential projects shall be
exempt from the provisions of this article:
1. Projects for which a complete application has been submitted by
December 11, 2001 and final approval for a valid zoning permit has been issued and is
in effect as of March 9, 2002; or
2. Projects for which a complete application has been submitted by
December 11, 2001 and final approval for a valid zoning permit has been issued and is
in effect as of March 9, 2002, and which are subsequently the subject of a revised
application except that any increase in the amount of originally approved floor area
shall be subject to the provisions of this article.
SEC. 36.40.70. - Processing requirements.
a. Filing requirements. The zoning administrator shall develop administrative
guidelines for processing applications subject to the requirements of this section.
b. Payment of fee. Unless otherwise mandated and preempted by state law, the
housing impact fee shall be paid prior to the issuance of the first grading or building
permit.
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SEC. 36.40.75. - Enforcement.
a. Payment of the housing impact fee is the joint and several obligation of the
applicant and/or the property owner for the subject nonresidential development
project. In the event of administrative error, the city shall provide the applicant with a
written notice and the applicant shall be required to pay the fees within thirty (30) days.
b. The provisions of this article shall apply to all owners of the property, which
is the subject of the application, and developers, agents, successors and assigns of an
applicant proposing or constructing a nonresidential development governed by this
article. No zoning permit shall be issued for a nonresidential development after March
9, 2002, unless it is in compliance with the terms of this article.
C. The city may institute any appropriate legal actions or proceedings necessary
to ensure compliance herewith, including, but not limited to, actions to revoke, deny or
suspend any permit or development approval. The city shall be entitled to costs and
expenses for enforcement of the provisions of article, or any agreement pursuant
thereto, as awarded by the court, including reasonable attorneys' fees.
SEC. 36.40.80. - Appeals.
Appeals of a housing impact fee condition in a zoning permit or parcel or
subdivision map shall be filed with the clerk of the city council within ten (1.0) calendar
days of the notice of decision. The council shall hold a public hearing to consider any
appeals in accordance with the procedures of Sec. 36.56. Appeals of any decision of the
community development director pursuant to this program may be made to the city
council in accordance with Sec. 36.56."
Section 2. The provisions of this ordinance shall be effective thirty (30) days from
and after the date of its adoption.
Section 3. If any section, subsection, sentence, clause, or phrase of this ordinance is
for any reason held to be unconstitutional, such decision shall not affect the validity of
the other remaining portions of this ordinance. The City Council hereby declares that it
would have passed this ordinance and each section, subsection, sentence, clause, or
phrase thereof, irrespective of the fact that any one or more sections, subsections,
sentences, clauses, or phrases be declared unconstitutional.
Section 4. Pursuant to Section 522 of the Mountain View City Charter, it is ordered
that copies of the foregoing proposed ordinance be posted at least two (2) days prior to
its adoption in three (3) prominent places in the City and that a single publication be
made to the official newspaper of the City of a notice setting forth the title of the
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ordinance, the date of its introduction, and a list of the places where copies of the
proposed ordinance are posted.
Section 5. This ordinance is not subject to the California Environmental Quality
Act ("CEQA") pursuant to Sections 15060(c)(2) of the CEQA Guidelines (Title 14,
Chapter 3 of the California Code of Regulations) (the activity will not result in a direct
or reasonable foreseeable indirect physical change in the environment) and 15060(c)(3)
(the activity is not a project as defined in Section 15378 of the CEQA Guidelines because
it has no potential for resulting in physical change to the environment, directly or
indirectly).
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4
The foregoing ordinance was regularly introduced at the Special Meeting of the
City Council of the City of Mountain View, duly held on the 18th day of June 2019, and
thereafter adopted at the Regular Meeting of said Council, duly held on the 25th day of
June 2019, by the following roll call vote:
AYES: Councilmembers Clark, Hicks, Kamei, McAlister, Ramirez, Vice
Mayor Abe-Koga, and Mayor Matichak
NOES: None
ABSENT: None
NOT VOTING: None
ATTEST: APPROVED:
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LI NATUSCH
CITY CLERK
Date of Attestation: 6I/
2- -72,Olq
KC/2/ORD
017.-06-18-190
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LI A MATIC AK
WrINA 910
I do hereby certify that the foregoing ordinance was
passed and adopted by the City Council of the City of
Mountain View at a Regular Meeting held on the 25th
day of June 2019, by the foregoing vote, and was
published in the San Jose Post Record by reference on
the 21st day of June 2019, and posted in three
prominent places in said City.
C Clerk
City of Mountain View