Chapter 8.52
DENSITY BONUS REGULATIONS

8.52.010 Purpose.

A.    Provide for the development of affordable housing through the state-mandated density bonus program.

B.    Provide incentives to developers for the production of housing affordable to very low income households, lower income households, moderate income households, senior citizens, transitional foster youth, disabled veterans and homeless persons, and the development of child care facilities.

C.    Implement the goals, objectives, and policies of the Housing Element of the City’s General Plan, as amended.

D.    Implement Sections 65915 through 65918 of the California Government Code, as amended, or successor provisions (“State Density Bonus Law”).

E.    Nothing in this Chapter is intended to create a mandatory duty on behalf of the City or its employees under the Government Tort Claims Act and no cause of action against the City or its employees is created by this Chapter that would not arise independently of the provisions of this Chapter. Ord. 14-19 (November 2019)

8.52.020 Definitions.

All terms used herein shall have the same meanings as set forth in the State Density Bonus Law. In addition, the following terms which are used in this Chapter shall have the meaning established by this section:

A.    “Child care facility” means a child day care facility other than a family day care home, including, but not limited to, infant centers, preschools, extended day care facilities, and school age child care centers.

B.    “Conversion” means the change of status of a dwelling unit from a for-sale unit to a rental unit or vice versa.

C.    “Density bonus” means a density increase over the otherwise allowable maximum residential density for a housing development or, if elected by the applicant, a lesser percentage of density increase, including, but not limited to, no increase in density.

D.    “Density bonus dwelling units” means those residential units granted pursuant to the State Density Bonus Law and the provisions of this Chapter which are in excess of the maximum allowable residential density of the project site.

E.    “Density bonus housing agreement” means a legally binding agreement between an applicant and the City to ensure that the requirements of this Chapter are satisfied with respect to a density bonus housing project.

F.    “Density bonus housing project” means a residential development project of at least five (5) units, which receives a density bonus, incentives or concessions, waiver or modification of development standards, or favorable parking requirements pursuant to this Chapter.

G.    “Dwelling unit” means any building or portion thereof which contains living facilities, including provisions for sleeping, eating, cooking, and sanitation, for one family.

H.    “For-sale unit” means a dwelling unit, including an attached or detached single-family home, condominium, stock cooperative or community apartment, which is offered for sale to individual buyers.

I.    “Incentives” means concessions and incentives as described in Government Code Section 65915(k), granted by the City in accordance with the State Density Bonus Law and this Chapter.

J.    “Lower income household” shall have the meaning as defined in California Health and Safety Code Section 50079.5.

K.    “Market rate unit” means a dwelling unit where the rental rate or sales price is not restricted either by this Chapter, or by requirements imposed through local, state, federal, or other affordable housing programs.

L.    “Moderate income household” shall have the meaning as defined in California Health and Safety Code Section 50093.

M.    “Rental unit” means a dwelling unit that is not a for-sale unit.

N.    “Residential development” means any new residential construction of rental or for-sale units; or revisions to existing developments, including those with and without a master plan or specific plan, planned development zoning, Site Development Review Permits, mobile home developments and conversions of apartments to condominiums.

O.    “State Density Bonus Law” means Sections 65915 through 65918 of the California Government Code, or successor provisions, as such law may change from time to time.

P.    “Target dwelling unit” means a dwelling unit that will be offered for rent or sale exclusively to and which shall be affordable to the designated income group or qualified resident, as required by this Chapter.

Q.    “Very low income household” shall have the meaning as defined in California Health and Safety Code Section 50105. For purposes hereof, very low income households shall include extremely low income households, as defined in California Health and Safety Code Section 50106.

R.    “Waiver” means waiver or reduction of development standards as described in Government Code Section 65915(e), granted by the City in accordance with the State Density Bonus Law and this Chapter. Ord. 14-19 (November 2019)

8.52.030 Density Bonus for Residential Development.

The City shall grant a density bonus or incentives and concessions to applications for residential development projects, as and to the extent required pursuant to the State Density Bonus Law. Ord. 14-19 (November 2019)

8.52.040 Density Bonus for Condominium Conversions.

The City shall grant a density bonus or incentives and concessions to applications to convert an apartment to a condominium, as and to the extent required pursuant to the State Density Bonus Law, and subject to Chapter 8.54 (Condo Conversion Regulations). Ord. 14-19 (November 2019)

8.52.050 Density Bonus for Commercial Projects.

The City shall grant a development bonus to commercial applicants who partner with housing developers for construction of housing (where at least a portion of the units are for restricted income), as and to the extent required pursuant to the State Density Bonus Law. Ord. 14-19 (November 2019)

8.52.060 Density Bonus for Land Donation.

The City shall grant a density bonus or other incentives and concessions to applicants who donate land for the actual development of affordable units, as and to the extent required pursuant to the State Density Bonus Law. Ord. 14-19 (November 2019)

8.52.070 Parking.

Upon a written request of an applicant who has qualified for a density bonus, the City shall require a vehicular parking ratio for the project, inclusive of handicapped and guest parking, which does not exceed the parking ratios established pursuant to the State Density Bonus Law, unless a City parking study supports the need for a higher vehicular parking ratio as allowed under the State Density Bonus Law. Ord. 14-19 (November 2019)

8.52.080 Waiver or Reduction of Development Standards.

An applicant who has qualified for a density bonus may request a waiver or reduction of City development standards that will have the effect of physically precluding the construction of the development project at the densities or with the incentives and concessions permitted pursuant to this Chapter, as and to the extent required pursuant to the State Density Bonus Law. Ord. 14-19 (November 2019)

8.52.090 Density Bonus Housing Project Standards.

A.    Timing. Target dwelling units shall be constructed concurrently with market rate dwelling units unless both the final decision-making authority of the City and the applicant agree to an alternative schedule for development.

B.    Affordability. Target dwelling units shall remain restricted and affordable in accordance with the requirements of the State Density Bonus Law.

C.    Siting. Target dwelling units and density bonus dwelling units shall be built within the site of the density bonus housing project unless requirements are fulfilled pursuant to Regulations for Land Donation.

D.    Development Standards. Density bonus housing projects shall comply with all applicable development standards of the City, except those which have been modified as incentives or concessions or through a development standard waiver or modifications, as provided in this Chapter.

E.    Design. The design of all units within a density bonus housing project shall be consistent with the General Plan, any applicable specific plan, the Zoning Ordinance or applicable planned development zoning, and any applicable design standards as adopted by the City Council. The distribution of the size of target dwelling units, as measured by the number of bedrooms in a target dwelling unit, shall be in the same proportion as the distribution of the size of market rate units within the development, as measured by the number of bedrooms in the market rate units. Residents of target dwelling units shall be entitled to use all of the same amenities and facilities of the residential development as residents of market rate units within the residential development.

F.    Building and Housing Codes. Density bonus housing projects must conform to the requirements of all applicable building and housing codes. Ord. 14-19 (November 2019)

8.52.100 Expiration of Affordability Tenure.

The owner of rental target dwelling units shall provide all notices and rights to tenants required to be given prior to and upon the expiration of affordability covenants pursuant to Government Code Section 65863.10 or a successor statute. Ord. 14-19 (November 2019)

8.52.110 Density Bonus Application; General.

A.    All projects requesting a density bonus, incentives and concessions, waiver or modification of development standards, or favorable parking requirements pursuant to this Chapter shall be required to comply with the following application requirements.

B.    Target dwelling units proposed to be developed on site shall be designated on the project plans and shall be processed under a Site Development Review Permit application in addition to the otherwise required project development application(s) (i.e., tentative maps, parcel maps, planned development zoning and Conditional Use Permits). The Site Development Review Permit shall be processed pursuant to Chapter 8.104. No additional hearings or approvals shall be required, except as provided herein with regard to the provision of financial incentives.

C.    If the application involves a request to the City for direct financial incentives, then any action by the Planning Commission on the application shall be advisory only, and the City Council shall have the authority to make the final decision on the Site Development Review Permit application and any related discretionary permits. Ord. 14-19 (November 2019)

8.52.120 Preliminary Application.

An applicant proposing a density bonus may submit a Preliminary Application prior to the submittal of any formal requests for approvals of such housing development. To the extent possible, applicants shall combine into a single integrated Preliminary Application the information required below and the information required for an inclusionary housing project pursuant to Chapter 8.68. The Preliminary Application shall include the following information:

A.    A description of the proposal, including the number of target dwelling units and density bonus dwelling units proposed.

B.    The General Plan land use designation(s), zoning, and assessor’s parcel number(s) of the project site.

C.    A site plan, drawn to scale, which includes: building footprints, driveway and parking layout, building elevations, existing contours and proposed grading.

D.    A letter identifying what density bonus, incentives and concessions, waiver or modifications of development standards, or favorable parking requirements are being requested of the City.

Review of the Preliminary Application is not bound by the limits imposed by the Permit Streamlining Act (California Government Code Section 66410 et seq.) and does not bind future City actions. Ord. 14-19 (November 2019)

8.52.130 Density Bonus Application.

A.    The applicant shall submit a complete application pursuant to Chapter 8.124 (Applications, Fees and Deposits), accompanied by a fee and/or deposit and such materials as are required by the Community Development Director.

B.    To the extent possible, applicants shall combine into a single integrated Density Bonus Application, the information required below and the information required for an inclusionary housing project pursuant to Chapter 8.68 (Inclusionary Zoning Regulations).

C.     Applications shall include the following information:

1.    A legal description of the total site proposed for development of the target dwelling units, including a statement of present ownership and present and proposed zoning.

2.    A detailed vicinity map showing the project location and such details as the location of the nearest commercial retail, transit stops, potential employment locations, park or recreation facilities or other social or community service facilities.

3.    Site plans, designating the total number of units proposed on the site, including the number of target dwelling units and density bonus dwelling units, and supporting plans per the application submittal requirements.

4.    A statement specifying what density bonus, incentives and concessions, waiver or modifications of development standards, or favorable parking requirements are being requested from the City and the rationale for any incentives, concessions, or waiver.

5.    In the case of a request for incentives or concessions, a description of how the requested incentives or concessions will result in identifiable and actual cost reductions to provide for affordable housing costs or rents for the target dwelling units and adequate documentation of development costs and cost savings.

6.    In the case of a request for a waiver or modifications of development standards, a description of how the existing development standards will have the effect of physically precluding the construction of the development at the densities or with the requested concessions or incentives.

7.    In the case of a condominium conversion request subject to Chapter 8.54 (Condo Conversion Regulations), a report documenting the following information for each unit proposed to be converted: the monthly income of tenants of each unit throughout the prior year, the monthly rent for each unit throughout the prior year, and vacancy information for each unit throughout the prior year.

8.    A statement describing whether the residential development is proposed on any property that: (a) includes a parcel or parcels on which rental dwelling units are, or if the dwelling units have been vacated or demolished in the five-year period preceding the application, have been subject to a recorded covenant, ordinance or law that restricts rents to levels affordable to persons and families of very low or lower income; (b) has been subject to any other form of rent or price control through a public agency’s exercise of its police power; or (c) has been occupied by lower or very low income households.

9.    Any other relevant information as required by the Community Development Director. Ord. 14-19 (November 2019)

8.52.140 Density Bonus Application Review.

A.    The Community Development Director and/or designated staff shall evaluate the request based upon the following criteria:

1.    The requested density bonus meets all of the requirements of the State Density Bonus Law for receipt of a density bonus.

2.    The requested incentives and concessions result in identifiable and actual cost reductions to provide for affordable housing costs or rents for the target dwelling units, and whether such incentives and concessions would have a specific adverse impact upon public health and safety, or the physical environment, or on any real property that is listed in the California Register of Historical Resources and/or National Register of Historic Places, and for which there is no feasible method to satisfactorily mitigate or avoid the specific adverse impact without rendering the development unaffordable to low and moderate income households, or violates such other requirements as may be set forth in the State Density Bonus Law for incentives and concessions.

3.    The City’s development standards physically preclude the construction of the development project at the density and with the concessions and incentives to be provided to the proposed project pursuant to this Chapter, and whether the requested waiver or modifications are necessary to enable the construction of the development project at such density and with such concessions and incentives.

4.    The density bonus housing project complies with the General Plan, any applicable specific plans, zoning, and development policies and standards of the City.

5.    Any conversion of apartment units to condominiums will result in a reduction in the affordable housing stock for lower income groups, as of most recent inventory.

B.    Within 30 days of receipt of the Density Bonus Application, the Community Development Department shall provide a letter notifying the applicant whether or not the application is complete. If the application is complete, the applicant will be notified regarding:

1.    The amount of density bonus to which they are eligible.

2.    If applicable, the parking ratio to which they are eligible under the State Density Bonus Law.

3.    Whether applicant has provided adequate information to make a determination as to any incentive, reduction, and/or waiver requested.

C.    An application for a density bonus, incentive, concession, waiver, modification, modified parking standard, or commercial development bonus for a housing development or a commercial development pursuant to this Chapter shall be considered by and acted upon by the approval body with authority to approve the housing development or commercial development within the timelines prescribed by Government Code Section 65950 et seq. Any decision regarding a density bonus, incentive, concession, waiver, modification, modified parking standard or commercial density bonus may be appealed according to the procedures outlined in Chapter 8.136. In accordance with state law, neither the granting of a concession or incentive, nor the granting of a density bonus, shall be interpreted, in and of itself, to require a general plan amendment, zoning change, variance, or other discretionary approval.

D.    Before approving an application for a density bonus, incentive, concession, waiver, modification, or commercial development bonus, the approval body shall make the following findings, as applicable:

1.     That the housing development is eligible for the density bonus and any incentives, modified parking, or waiver requested and includes any required replacement affordable units required.

2.    That any requested incentive will result in identifiable and actual cost reductions to provide for affordable rents or affordable ownership costs based upon the documentation provided by the applicant.

3.    If the density bonus, incentive, or concession is based all or in part on a condominium conversion, that the project complies with the requirements of Section 8.52.040.

4.    If a commercial development bonus is requested, that the project complies with the requirements of Section 8.52.050, that the city has approved the partnered housing agreement, and that the bonus has been mutually agreed upon by the city and the commercial developer.

5.    If the density bonus is based all or in part on donation of land, that the project complies with the requirements of Section 8.52.060.

6.    If a waiver or modification is requested, that the development standards for which the waiver is requested would have the effect of physically precluding the construction of the housing development with the density bonus and incentives permitted.

E.    If a request for a concession or incentive is otherwise consistent with this Chapter, the approval body may deny a concession or incentive only if it makes a written finding, based upon substantial evidence, of one or more of the following:

1.    That the concession or incentive does not result in identifiable and actual cost reductions to provide for affordable rents or affordable ownership costs.

2.    That the concession or incentive would have a specific adverse impact upon public health or safety or the physical environment or on any real property that is listed in the California Register of Historical Resources and/or National Register of Historic Places, and there is no feasible method to satisfactorily mitigate or avoid the specific adverse impact without rendering the development unaffordable to lower and moderate income households.

3.    That the concession or incentive is contrary to state or federal law.

F.    If a request for a waiver or modification is otherwise consistent with this Chapter, the approval body may deny a waiver or modification only if it makes a written finding, based upon substantial evidence, of one of the following:

1.     That the waiver or modification would have a specific adverse impact upon health, safety, or the physical environment, and there is no feasible method to satisfactorily mitigate or avoid the specific adverse impact without rendering the development unaffordable to lower and moderate income households.

2.    That the waiver or modification would have an adverse impact on any real property that is listed in the California Register of Historical Resources and/or National Register of Historic Places.

3.    That the waiver or modification is contrary to state or federal law, which may include a finding that the development standards for which the waiver is requested would not have the effect of physically precluding the construction of the housing development with the density bonus and incentives permitted.

G.    If a density bonus or concession is based on the provision of child care facilities, the approval body may deny the bonus or concession if it finds, based on substantial evidence, that the city already has adequate child care facilities. Ord. 14-19 (November 2019)

8.52.150 Inclusion of Density Bonus Housing Agreement as a Condition of Development.

Applicants receiving a density bonus, incentives and concessions, waiver or modifications of development standards, or favorable parking requirements pursuant to this Chapter shall demonstrate compliance with this Chapter by the execution of a density bonus housing agreement. Where an affordable housing agreement is required pursuant to Chapter 8.68, both the density bonus housing agreement and inclusionary housing agreement shall, if feasible, be combined into a single housing agreement. The housing agreement shall be submitted by the City to the applicant. Following the approval and the signing by all parties, the completed housing agreement shall be recorded as specified in the agreement. The approval and recordation shall take place prior to final map approval, or, where a map is not being processed, prior to issuance of building permits for such lots or units. The agreement shall be binding on all future owners and successors in interest.

A.    Residential Development. A density bonus housing agreement for residential development processed pursuant to this Chapter shall include the following:

1.    The number of density bonus dwelling units granted.

2.    The number and type (affordability level) of target dwelling units approved.

3.    The unit size(s) (square footage) of target dwelling units and the number of bedrooms per target dwelling unit.

4.    The proposed location of the target dwelling units.

5.    Tenure (ownership or rental) and term (duration) of restrictions for target dwelling units.

6.    Schedule for production of target dwelling units.

7.    A description of incentives and concessions, waiver and modifications of development standards, provision of favorable parking requirements, and financial assistance to be provided by the City.

8.    Where applicable, terms and conditions governing the initial sale of for-sale target dwelling units.

9.    Where applicable, rules and procedures for qualifying tenants, setting rental rates, filling vacancies, and operating and maintaining units for rental target dwelling units.

10.     Any other requirements of the State Density Bonus Law.

B.    Condominium Conversions. A density bonus housing agreement for condominium conversions processed pursuant to this Chapter shall be required to include the following:

1.    The number of density bonus dwelling units granted.

2.    The number and type (affordability level) of target dwelling units approved.

3.    The unit size(s) (square footage) of target dwelling units and number of bedrooms per target dwelling unit.

4.    The proposed location of the lower and moderate income target dwelling units.

5.    Tenure (ownership or rental) and term (duration) of restrictions for target dwelling units.

6.    Schedule for production of target dwelling units.

7.    Incentives, waivers, etc. provided by the City.

8.    Where applicable, terms and conditions governing the initial sale of for-sale target dwelling units.

9.    Any other requirements of State Density Bonus Law. Ord. 14-19 (November 2019)

8.52.160 Density Bonus Resale Agreements.

All buyers of for-sale target dwelling units shall enter into a resale restriction agreement with the City prior to purchasing the unit or property. The resale agreement shall be consistent with the approved housing agreement for the density bonus housing project. Ord. 14-19 (November 2019)

8.52.170 Eligibility Requirements.

Only households meeting the eligibility standards for the target dwelling units as set forth in the density bonus housing agreement shall be eligible to occupy target dwelling units. Ord. 14-19 (November 2019)

8.52.180 Management and Monitoring.

A.    Rental target dwelling units shall be managed and operated by the owner or his or her agent. Each owner of rental target dwelling units shall submit an annual report to the City, in the form prescribed by the City, identifying which units are target dwelling units, the number of bedrooms in each target unit, the monthly rent and unities allowance, vacancy information for each rental target dwelling unit for the prior year, household size and annual income for tenants of each rental target dwelling unit, and other information as required by the City, while ensuring the privacy of the tenant.

B.    Target dwelling units are subject to the applicable Housing Services Program Monitoring Fees as set forth in the City’s Master Fee Schedule, established by Council resolution. Ord. 14-19 (November 2019)