Chapter 18.214 — Inclusionary Housing

• A. The purpose of this chapter is to establish an inclusionary requirement or an in-lieu fee for residential development projects to mitigate the impacts caused by these development projects on the additional demand for more affordable housing and rising land prices for limited supply of available residential land.

• B. It is intended to implement the Housing Element of the General Plan to provide a permanent supply of affordable housing to meet the needs of very-low, low-, and moderate-income residents, particularly those who live or work in Truckee, while maintaining the Town’s character and improving the social and economic quality of life for Truckee residents.

The Council may by resolution establish reasonable fees for the administration of this Chapter.

• A. Inclusionary Housing Required. All residential development projects not exempt under Subsection F shall include or provide inclusionary housing as set forth in this chapter. Residential development projects shall include the subdivision of land which is planned, designed, or used for residential purposes, including the subdivision of land for the sale of vacant residential lots. The subdivision of land for the sale of vacant residential lots shall be required to comply with the requirements of this section; subdivisions of seven or more parcels shall comply with the inclusionary housing construction requirements of Subsection B or the alternative equivalent proposal requirements of Subsection D, and subdivisions of six or less parcels shall comply with the in-lieu affordable housing fee requirements of Subsection E.

• B. Number of Inclusionary Units. Fifteen percent (15%) of all new dwelling units in a residential development project shall be affordable units which shall be constructed and completed not later than the related market rate units. For fractions of affordable units, the developer may elect, at his or her option, to construct the next higher whole number of affordable units, perform an equivalent alternative which has received the approval of the review authority pursuant to Subsection D, or pay the in-lieu specified in Subsection E for such fraction.

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Inclusionary Housing

For purposes of calculating the number of affordable units required by this section, any additional residential units authorized as a density bonus under California Government Code Section 65915 et seq. shall not be counted in determining the required number of inclusionary units.

C. Affordability of Inclusionary Units.

1. For ownership residential development projects, the inclusionary units may be available for sale or for rent. The inclusionary units shall be available at affordable rents or affordable sales price as follows:

   • a. For ownership inclusionary units, 100% of the units shall be affordable to moderate income households, or one-third of the units shall be affordable to low income households, one-third shall be affordable to moderate income households, and onethird shall be affordable to above moderate income households.

   • b. For rental inclusionary units, 100% of the units shall be affordable to low income households, or one-third of the units shall be affordable to very low income households, one-third shall be affordable to low income households, and one-third shall be affordable to moderate income households.

2. For rental residential development projects, the inclusionary units shall be available for rent at affordable rents as follows:

   • a. 100% of the units shall be affordable to low income households, or one-third of the units shall be affordable to very low income households, one-third shall be affordable to low income households, and one-third shall be affordable to moderate income households.

3. These requirements are minimum requirements and will not preclude a residential development project from providing additional affordable units or affordable units with lowers rents or sales prices than required by this Chapter. The income targets for determining the rent or sale price may be modified through an alternative equivalent action. For information on the affordable rent and sales prices required for density bonus projects, see Chapter 18.212 (Density Bonuses, Concessions and Incentives).

D. Alternative Equivalent Proposal.

1. A developer of a residential development project may propose to meet the requirements of Subsection B and/or Subsection C by an alternative equivalent action, subject to review and approval by the review authority of the project unless Streamlined Residential Review (Chapter 18.79) is requested. A proposal for an alternative equivalent action may include, but is not limited to, the construction of inclusionary units on another site within the Truckee region; the dedication and conveyance of land to the Town or its designee; purchase of inclusionary housing credits from other residential development projects with excess affordable units; and acquisition and enforcement of required rental and/or sales price restrictions on existing standard market-rate dwelling units. A proposal for an alternative equivalent action may also address, but is not limited to, tenure of units, higher or lower rents or sales prices, and a lesser or greater number of affordable units.

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2. An alternative equivalent proposal shall be considered on a case by case basis by the review authority and may be approved at the review authority’s sole discretion, if the review authority finds that such alternative will further affordable housing opportunities in the Truckee region to an equal or greater extent than compliance with the express requirements of Subsection B. For dedications of land, the review authority shall find that the land is suitable for the construction of affordable housing and is of equivalent or greater value than is produced by applying the express requirements of Subsection B.

3. Projects requesting Streamlined Residential Review (Chapter 18.79) are not eligible for an alternative equivalent proposal.

E. In-Lieu Affordable Housing Fee.

1. A developer of a residential development project may propose to meet the requirements of Subsection B by submitting at the time of application for a discretionary or building permit, whichever comes first, a request to pay the in-lieu fee.

2. Such proposals for payment of an in-lieu affordable housing fee shall be considered on a case by case basis by the review authority and may be approved at the review authority’s sole discretion, if the review authority finds that the payment of the in-lieu fee will further affordable housing opportunities in the Truckee region to an equal or greater extent than compliance with the express requirements of Subsection B.

ment of an in-lieu affordable housing fee shall be considered on a case by case basis by the review authority and may be approved at the review authority’s sole discretion, if the review authority finds that the payment of the in-lieu fee will further affordable housing opportunities in the Truckee region to an equal or greater extent than compliance with the express requirements of Subsection B.

3. Notwithstanding the requirements of Subsection 2, the payment of an in-lieu affordable housing fee for a residential development project of less than seven units or subdivision lots shall be at the discretion of the developer.

4. The amounts, calculation, and timing of payment of the affordable housing in-lieu fee shall be established by resolution of the Town Council.

• F. Exemptions. The following residential development projects shall be exempt from the requirements of this Chapter:

  1. The construction of one single family dwelling unit on a single family lot.

  2. The construction of an accessory dwelling unit in accordance with Section 18.58.025.

  3. The construction of two attached units on one parcel on a multifamily lot in which the total number of dwelling units on the lot does not exceed two. If additional dwelling units are subsequently constructed on the lot, the single family dwelling unit and two attached units shall be included and calculated towards the inclusionary requirement of Subsection B.

  4. The construction of dwelling units in a mixed use project in which the units will be restricted to affordable housing.

  5. The reconstruction or replacement of any multifamily residential dwelling unit that has been involuntarily destroyed due to a catastrophic event in accordance with Section 18.130.060.

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6. The conversion of residential units into condominiums or other common interest subdivision.

7. Residential development projects that are the subject of a development agreement currently in effect with the Town and approved prior to the effective date of this Chapter where such agreement expressly precludes the Town from requiring compliance with this Chapter.

8. Residential development projects which have received approval of the land use and development permit application prior to the effective date of this Chapter.

• A. Location of Inclusionary Units. Inclusionary units may be built on site within the residential development project. Offsite inclusionary units may be considered under an Alternative Equivalent Proposal.

• B. Timing of Development. Inclusionary units shall generally be constructed and offered for sale or rent in accordance with this Chapter concurrently with or prior to completion of market rate units within the residential development project or phase thereof. As used in this Chapter, “concurrently” means that a proportionate share of inclusionary units, including a proportionate share of units by income affordability, must be substantially completed by the time 50% of the market rate units within a residential development project are sold. The review authority at its own discretion may approve an alternative timing plan if the review authority finds the alternative timing plan will further affordable housing opportunities in the Town to an equal or greater extent and the completion of the inclusionary units is secured by a performance bond or other similar security.

• C. Building Types and Exterior Appearance. Exterior building materials and finishes for inclusionary units shall be of the same type and quality as for the market rate units of the project The building types for inclusionary units shall be the same as for market rate units. For example, if the market rate units are attached two-unit buildings, the inclusionary housing units are also required to be attached as part of a two-unit building. The living area for the inclusionary units may only be up to 20% smaller than the average living area of all of the market rate units. The review authority may approve building types for inclusionary units that are different than market rate units (e.g., multifamily affordable units for a single family residential development project) if the project is not a “multifamily residential project” or “new single-family residential subdivision” as defined by Section 18.25.020.A or the applicants elect the Flexible Design Review option of 18.25.030.B, and, in both cases, the review authority finds the inclusionary units are compatible with the design and character of the development and neighborhood.

• D. Common Amenities. On-site inclusionary units shall have access to all on-site amenities available to market rate units.

• E . Interior Quality. Inclusionary units may have different interior finishes, amenities, and features than the market rate units provided the interior finishes, amenities, and features are durable, of good quality, and consistent with contemporary standards for new housing.

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• F. Maximum Allowed Average Living Area . In order to ensure an adequate supply of housing to meet the housing needs of all segments of the community, residential subdivisions located in the RM, DRM, DRH and NMU zoning districts shall be required to limit the maximum allowed average living area consistent with the following:

1. Projects with 30 percent of their total units affordable to very low-, low-, or moderateincome households are exempt from this requirement;

   2. Projects in a zoning district with a maximum allowable density less than six dwelling units per acre are exempt from this requirement;

   3. For projects with less than 30 percent of the total units available to affordable households, the maximum allowed average living area shall be consistent with Table 7-8 below. Examples of small, medium, and large projects are shown in Table 7-9.

TABLE 7-8

MAXIMUM AVERAGE LIVING AREA

TABLE 7-9

MAXIMUM AVERAGE LIVING AREA EXAMPLES

Density bonuses, incentives, and concessions shall be allowed in accordance with Chapter 18.212 (Density Bonuses, Incentives, and Concessions).

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Inclusionary Housing

Inclusionary units shall be restricted in accordance with Chapter 18.210 (Affordable Housing Controls).

• A. Plan Required. An inclusionary housing plan shall be submitted with the land use and development permit application for residential development projects. The inclusionary housing plan shall be reviewed as part of the land use and development permit application and shall be approved prior to or concurrently with the approval of the land use and development permit application.

• B. Request for Determination. A developer of a residential development project may submit a “Request for Determination of Complying with Inclusionary Housing Requirements” prior to submittal of a land use and development permit application. The request shall include all information required for an Inclusionary Housing Plan and any other information deemed necessary by the Community Development Director. The review authority may consider the request and provide comments to the developer on whether the request complies with this Chapter, may comply if revisions are made, or does not comply. Any comments provided by the review authority on the request shall not bind the review authority on any future actions on the Inclusionary Housing Plan and/or land use and development permit application.

• C. Plan Information. The Inclusionary Housing Plan shall include, but not be limited to, the following information in addition to information otherwise required by the Development Code:

  1. A site plan and typical floor plans depicting the location, structure, proposed tenure (rental or ownership), story and floor layout, and size of the proposed market rate and inclusionary units;

  2. The calculations used to determine the number of required inclusionary units;

  3. The income level targets for each inclusionary unit;

  4. The mechanisms that will be used to assure that the inclusionary units will remain affordable;

  5. A phasing plan for the construction and completion of the market rate and inclusionary units;

  6. A description of any requested density bonuses, incentives, and/or concessions;

  7. A marketing plan for the process by which qualified households will be reviewed and selected to either purchase or rent inclusionary units;

  8. Any information necessary to properly describe the alternative equivalent action, if proposed;

  9. Any other pertinent information requested by the Community Development Director.

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• D. Plan Approval. The Inclusionary Housing Plan shall be approved by the review authority of the land use and development permit application and included as part of the residential development project as a condition of approval of the land use and development permit.

• E. Plan Modifications. Any request for a modification to an approved Inclusionary Housing Plan shall be processed, reviewed, and acted upon in accordance with Section 18.84.070 of the Development Code.

• F. Inclusionary Housing Agreement. An agreement implementing the provisions of the approved inclusionary housing plan shall be prepared, approved, and recorded in accordance with Section 18.210.090.

• A. Developer Request. A developer for a residential development project subject to the requirements of this chapter may request of the review authority a reduction, adjustment, or waiver of the requirements based upon a showing of substantial evidence that there is no economically feasible way to comply with the requirements or that compliance with the requirements will not reasonably achieve the purposes for which the ordinance was enacted. Any decision of the review authority must be supported by findings in the administrative record which articulate the reasons for the granting of the waiver, reduction, or adjustment and the evidence in the administrative record supporting the decision to do so.

• B. Developer Burden. The developer in the request shall set forth in detail the factual and legal basis for the claim of reduction, adjustment, or waiver. The developer shall bear the burden of presenting substantial evidence to support the request including comparable technical information to support the developer’s position.

• C. Timing. To receive an adjustment or waiver, the developer shall submit the request prior to or concurrently with the submittal of the land use and development permit application for the residential development project. The review authority shall consider and take action on the request prior to or concurrently with taking action on the land use and development permit application for the residential development project.

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Workforce Housing

18.216

– CHAPTER 18.216 WORKFORCE HOUSING

Sections:

• 18.216.010 – Purpose and Intent

• 18.216.030 – Administrative Fees

• 18.216.040 – Workforce Housing Requirements 18.216.050 – Development Requirements

• 18.216.060 – Bonuses, Incentives, and Concessions 18.216.070 – Affordability Controls 18.216.080 – Workforce Housing Plan

• 18.216.090 – Adjustments and Waivers