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O1599 e e CA:RMM:11566b/hpc/pc city Council Meeting 9-10-91 Santa Monica, California ORDINANCE NUMBER 1599(CCS) (City Council Series) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA ESTABLISHING A SIX-MONTH MORATORIUM ON MULTIFAMILY RESIDENTIAL DEVELOPMENT WITH CERTAIN EXEMPTIONS IN ORDER TO COMPLY WITH PROPOSITION R AND DECLARING THE PRESENCE OF AN EMERGENCY THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES ORDAIN AS FOLLOWS: SECTION 1. Findings and Purpose. The city council finds and declares: (a) On November 6, 1990, the voters of the City of Santa Monica approved Proposition R, adding section 630 to the City Charter to read as follows: The City Council by Ordinance shall at all times require that not less than thirty percent (30%) of all mUltifamily-residential housing newly constructed in the City on an annual basis is permanently affordable to and occupied by low and moderate income households. For purposes of this Section, "low income household" means a household with an income not exceeding sixty percent (60%) of the Los Angeles County median income, adjusted by family size, as published from time to time by the United States Department - 1 - e e of Housing and Urban Development, and "moderate income householdll means a household with an income not exceeding one hundred percent (lOOt) of the Los Angeles County median income, adjusted by family size, as published from time to time by the united states Department of Housing and Urban Development. At least fifty percent (50%) of the newly constructed units required to be permanently affordable by this section shall be affordable to and occupied by low income households. (b) On December 29, 1990, the city published notice that on January 8, 1991, the City Council would consider issues relating to the implementation of Proposition R including whether the thirty percent (Jot) requirement of Proposition R could be met on site or off site, whether an in-lieu fee would be permitted, and whether the thirty percent {Jot} requirement had to be met on a project by project basis. This notice also provided that at the January 8, 1991 meeting, the city council would consider directing staff to prepare an ordinance to implement Proposition R. (c) city staff prepared a staff report for the January 8, 1991 city Council meeting identifying the issues that had to be addressed as part of the implementation of Proposition R, suggesting a process for obtaining public input, presenting city staff's resolution of issues raised by Proposition R's - 2 - e e implementation, and recommending that staff be directed to prepare an ordinance implementing Proposition R. (d) At its January 8, 1991 meeting, the City Council directed staff to prepare an ordinance implementing Proposition R and to return the ordinance to the City Council on February 26, 1991. (e) The Santa Monica Planning Commission, as well as other groups in the community, believed the schedule for the return of the ordinance did not provide opportunities for adequate review of various alternative strategies for implementing Proposition R. (f) At its meeting on February 19, 1991, the City Council decided to reconsider whether an ordinance should be prepared and scheduled for its next regular meeting a general discussion of implementing strategies. (g) On March 5, 1991, the city Council directed the city Attorney to prepare an ordinance prohibiting the filing of applications for market-rate residential housing until such time as the Council adopts an ordinance implementing Proposition R excepting from the prohibition any project in which thirty percent (30%) of the units constructed on site are available to low and moderate income persons as provided for in proposition R. (h) On Karch 26, 1991, ordinance Numher 1577 (CCS) was adopted imposinq restrictions on new multifamily housinq to ensure compliance with Proposition R. This ordinance will expire on September 26, 1991. (i) On April 3, 1991, the P1anninq commission reviewed an outline developed by staff on the issues and information that - 3 - e e would be presented as part of the analysis on the alternative implementation strategies. (j) In mid-September, a report will be issued by staff on the "Proposed Implementation strategy Under Proposition R_" (k) Durinq the period between mia-September and November 11, 1991, the public will have the opportunity to review and CODllllent on the report "proposed Implementation strategy Under Proposition R" and attend hearinqs before the Planninq Commission and City Council. (1) The following ordinance is necessary to enable the City to meet the requirements of Proposition R. Proposition R mandates that on an annual basis not less than 30% of all multifamily residential housing newly constructed in the City be permanently affordable to low and moderate income households. Historically, multifamily residential housing developed in the City has fallen far short of this 30% requirement. This trend continues to date. Thus, unless this emergency moratorium is extended, and only projects providing 30% affordable housing consistent with Proposition R are exempted, the City will not be able to meet the mandate of Proposition R. This ordinance ensures that the city will comply with Proposition R while studying approaches for long-term implementation of the measure. SECTION 2. Moratorium. (a) Subject to the exemptions set forth in section 3 of this Ordinance, a moratorium is hereby placed on the acceptance for processing of any applications for approval of tentative tract maps, tentative parcel maps, administrative approvals, - 4 - e e development review permits, conditional use permits, or any other city permits for the erection, construction, moving, and excavation and grading for, any mUlti-family residential building or structure. (b) Subject to the exemptions set forth in section 3 of this Ordinance, the Planning commission and city staff are hereby directed to disapprove all applications filed after March 5, 1991, for approval of tentative tract maps, tentative parcel maps, administrative approvals, development review permits, conditional use permits, or any other city permits for the erection, construction, moving, and excavation and grading for, any mUlti-family building or structure. SECTION 3. Exemptions. The following applications are exempt from the provisions of section 2 of this Ordinance: (a) Applications for approval of permits involving the erection, construction, enlargement, demolition, or moving of I and excavation and grading for any multiple dwelling development intended for rental housing for persons of low and moderate income or for senior citizens, and which development is financed by any federal, state or City housing assistance program or owned by any non-profit organization, provided a deed restriction is recorded restricting the development to such purpose. (b) Applications for approval of permits involving the rehabilitation or enlargement of existing dwelling units. (c) Applications for projects filed prior to March 6, 1991. - 5 - e e (d) Applications for approval of permits involving the construction and excavation and grading for, projects where the following requirements are met: (1) The applicant proposes that thirty percent (30%) of the total number units to be constructed on site by the applicant, excluding any density bonus units the applicant is entitled to under Government Code Section 65915, shall be permanently affordable to and occupied by low and moderate income households as provided for in this subsection. (2) For purposes of this subsection, "low income household" means a household with an income not exceeding sixty percent (60%) of the Los Angeles County median income, adjusted by family size, as published from time to time by the united States Department of Housing and Urban Development, and "moderate income household" means a household with an income not exceeding one hundred percent (100%) of the Los Angeles county median income, adjusted by family size, as published from time to time by the United states Department of Housing and Urban Development. (3) At least fifty percent (50%) of the newly constructed units required to be permanently affordable by this subsection shall be affordable to and occupied by low income households. (4) The provisions of Municipal Code section 9423(b), (c) , (d) , (e), and (f), Municipal Code section 9427, and Municipal Code section 9428 shall be complied with as to such inclusionary units. (5) Prior to the issuance of a building permit for a project exempt under this subsection, the applicant shall submit - 6 - e e deed restrictions or other legal instruments setting forth the obligations of the applicant under this subsection for city review and approval. Such restrictions shall be effective for the lifetime of the project. (6) The requirements of this subsection shall be made conditions to the approval of any application filed pursuant to this subsection. SECTION 4. This Ordinance shall be of no further force and effect four months from its adoption. SECTION 5. This ordinance is declared to be an urgency measure adopted pursuant to the provisions of Section 615 of the Santa Monica City Charter. It is necessary for preserving the public peace, health and safety, and the urgency for its adoption is set forth in the findings above. SECTION 6. Any provision of the Santa Monica Municipal Code or appendices thereto inconsistent with the provisions of this Ordinance, to the extent of such inconsistencies and not further, are hereby repealed or modified to that extent necessary to affect the provisions of this ordinance. SECTION 7. If any section, subsection, sentence, clause, or phrase of this Ordinance is for any reason held to be invalid or unconstitutional by a decision of any court of any competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance. The city Council hereby declares that it would have passed this Ordinance, and each and every section, subsection, sentence, clause, or phrase not - 7 - e e declared invalid or unconstitutional without regard to whether any portion of the Ordinance would be subsequently declared invalid or unconstitutional. SECTION 8. The Mayor shall sign and the city Clerk shall attest to the passage of this Ordinance. The city Clerk shall cause the same to be published once in the official newspaper within 15 days after its adoption. This Ordinance shall become effective upon adoption. APPROVED AS TO FORM: ~ W\.~ ROBERT M. MYERS City Attorney u - 8 - e e Adopted and approved this loth day of September, 1991. M~O~ ;1J I hereby certify that the foregoing Ordinance No. 1599(CCS) was duly and regularly introduced at a meeting of the City Council on the lOth day of September 1991; that the said Ordinance was thereafter duly adopted at a meeting of the City council on the loth day of September 1991 by the following Council vote: Ayes: Councilmembers: Genser, Olsen, Vazquez, Mayor Abdo Zane, Noes: Councilmembers: Holbrook, Katz Abstain: Councilmembers: None Absent: Councilmembers: None ,- ATTEST :_- ~ ~/~~ ..-' ~ City C:fi!rk.I1dt'-- -~ _