O1926
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City Council Meeting 10-13-98
Santa Monica, California
ORDINANCE NUMBERl926 (CCS)
(City Council Senes)
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA
AMENDING SECTIONS 9 56 020 AND 9 56 070 OF THE AFFORDABLE HOUSING
PRODUCTION PROGRAM REGARDING THE DEFINITION OF VACANT
PARCEL AND THE APPLICABILITY OF THE AFFORDABLE
HOUSING UNIT BASE FEE TO PROJECT APPLICANTS
THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES ORDAIN AS FOLLOWS
SECTION 1 Section 9 56 020 of the Santa Monica MuniCipal Code IS hereby amended
to read as follows
9.56.020. Definitions.
The following words or phrases as used III trns Chapter shall have the followmg meanings
Affordable Housing Fee A fee paid to the City by a multifamIly proJect applicant
pursuant to SectlOn 956070 oftrns Chapter to assist the City m the production ofhousmg
affordable to very low- and low-mcome households
Affordable Housing Unit A hOUSIng unit developed by a multifamily project applicant
pursuant to SectIOns 9 56 050 or 9 56 060 of this Chapter which will be affordable to very low- or
low-income households
Dwelling Unit. One or more rooms, designed, occupied, or mtended for occupancy as
separate hvmg quarters, With full cooking, sleeping, and bathroom facilities for the exclUSive use
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of a single household Dwelling unit shall also include single room occupancy units as defined in
Santa Monica Muruclpal Code Section 9 04 02 030 790
Floor Area. Floor area as defined m Santa Maruca Muruclpal Code Section
90402030315
BUD. The United States Department ofHousmg and Urban Development or Its
successor
Income Eligibility. The gross annual household income considering household size and
numbef of dependents, lUcorne of all wage earners, eLderly Of disabled fatmLy membefs, and alL
other sources of household income
Industrial/Commercial District Any dtstnct designated m the Santa Maruca Zomng
Ordinance as a commercial or industrial dIstrict
"Low," "Very Low," and "Moderate" Income Levels. Income levels determIned
penodlcally by the CIty based on the United States Department ofHousmg and Urban
Development (HUD) estimate of median family income m the Los Angeles-Long Beach Primary
Metropolitan Statistical Area The major income categories are "low-income" (sixty percent or
less of the area median), "very low-income" (fifty percent or less of the area medIan), and
"moderate-mcome" (one hundred percent or less of the area median) AdJustment shall be made
by household SiZe as estabhshed by the City
Market Rate Unit. A dwellmg umt as to which the rental rate or sales pnce is not
restncted by this Chapter
Maximum Affordable Rent. A monthLy housing charge which does not exceed one-
twelfth of thirty percent of the m.axlmum very Low-, low-, and moderate-mcome levels as defined
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in this Chapter and adopted each year by the City This charge shall represent full consideration
for housing services and amemtles as provided to market rate dwelling units in the proJect,
whether or not occupants of market rate dwelhng units pay separate charges for such services and
amemtles Housmg servIces and common area amemties Include, but are not limited to, the
following parking, use of common facihties mcludIng pools or health spas, and utlhtles if the
project IS master-metered Notwithstanding the foregoing, utility charges, to the extent
mdividually metered for each unit In the project, may be passed through or billed directly to the
occupants of affordable housing units m the project in addition to maXimum allowable rents
collected for those affordable housing umts
Multifamily Project. A multlfarruly residential development, including but not lirmted to
apartments, condominiums, townhouses, or the multifamily residential component of a rmxed use
project, for wmch CIty perrmts and approvals are sought
Multifamily Project Applicant Any person, firm, partnership, association, Joint
venture, corporation, or any entity or combinatlon of entities which seeks CIty development
penmts or approvals to developed a multifamily proJect
Multifamily Residential District. Any district deSignated in the Santa Moruca Zoning
Ordinance as a multIfamily residentIal dlstnct
Parcel Parcel as defined m Santa Monica Mumclpal Code SectlOn 9 04 02 030 570
Vacant Parcel. A parcel In a multifamdy reSidentIal dIstrict which either has no
reSIdentIal structure located on It as of August 20, 1998 or which had a residential structure
located on it on that date which was subsequently demohshed pursuant to a demolition order of
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the City No demohtion of structures shall be pemutted except in accordance with Santa Moruca
Municipal Code Section 9 04 10 16 ~ ~
SECTION 2 Section 956 070 of the Santa Monica Municipal Code is hereby amended
to read as follows
Section 9.56.070. AtTordable Housing Fee.
A multifamily proJect apphcant may meet the affordable housing obligations established by
this Chapter by paymg an affordable housing fee in accordance With the following reqmrements
(a) An affordable hous1Og fee may be paid 10 accordance With the following formulas
(1) Multifamily ProJects In Multifamily Residential DIstricts
Affordable hOUSIng umt base fee X floor area of multifamily proJect
(2) Multifamily Projects in Multlfamily Residential Districts on Vacant Parcels
Affordable housing umt base fee X floor area of multifamily proJect
X 75%
(3) Multifamily Projects 10 IndustnaI/Commercial Distncts on Parcels that are
either not already developed With multifamily houslDg or are already developed
with multifamily housing, but the multlfamily project preserves the eXisting
multIfamily hOUSIng or a Category C Removal Permlt has been obtamed for the
existing multifamily housmg
Affordable housing umt base fee X floor area of proJect devoted
to residential uses X 50%
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(b) For purposes of this Section, the affordable housmg urut base fee may be established at
least every two years by resolutlon of the City CouncIl The amount of the affordable housmg
fee that the multifamily project applicant must pay shall be based on the affordable housmg urut
base fee resolution in effect at the tlme that the application fOf the multifamily project is deemed
complete Of based on Resolution No 9295 (CCS), whichevef fesolutlon IS adopted later in time
( c) The amount of the affordable housing unit base fee may vary by product type
(apartment or condoffilmum) and shall reflect, among other factors, the relatlOnship between new
market rate multi-family development and the need for affordable housing and the Impact that the
fee will have on the financial return of multIfamily project applicants
(d) The fee shall be paid in full to the CIty pnor to the City granting any approval for the
occupancy of the project
(e) The City shall depOSIt any payment made pursuant to thiS Section m a Reserve
Account separate from the General Fund to be used only for development of very low- and low-
mcome housing, adffilnistratlve costs related to the production of this housing, and momtonng
and evaluatlOn of this Affordable Housing Production Program Any monies collected and
interest accrued pursuant to this Chapter shall be committed Within five (5) years after the
payment of such fees or the approval of the multifamily proJect, winch ever occurs later Funds
that have not been appropnated Within this five year period shall be refunded on a pro rata share
to those multifamily project applicants who have paid fees dunng the period Expenditures and
commitments of funds shall be reported to the City Councll annually as part of the City budget
process
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(f) An affordable housing fee payment pursuant to this Sectlon shall not be conSidered
provision of affordable housing units for purposes of determining whether the multifamily project
qualifies for a density bonus pursuant to Government Code SectIOn 65915
SECTION 3 Any prOViSIon of the Santa Moruca MUruClpal Code or appendices thereto
mconsistent with the provisions of this Ordinance, to the extent of such mconsistencies and no
further, is hereby repealed or modified to that extent necessary to effect the provisions of this
Ordinance
SECTION 4 If any section, subsectlOn, sentence, clause, or phrase oftlus Ordmance IS
for any reason held to be invalid or unconstItutional by a deCision of any court of competent
Junsdlction, such deCISIon shall not affect the vahdlty of the remaining portions of this Ordinance
The City Council hereby declares that It would have passed this Ordinance and each and every
sectlOn, subsection, sentence, clause, or phrase not declared mvahd or unconstItutional without
regard to whether any portion of the ordinance would be subsequently declared invalid or
unconstitutiOnal
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SECTION 5 The Mayor shall sign and the CIty Clerk shall attest to the passage oftrns
Ordmance The City Clerk shall cause the same to be pubhshed once in the official newspaper
within 15 days after Its adoption Tins Ordinance shall become effective 30 days from Its
adoption
APPROVED AS TO FORM 1 1_
m IiA LU>L~ 1~
MARSHA JONE(j10UTRIE
City Attorney
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Robert Holbrook, Mayor
State of CalIfornia )
County of Los Angeles) 5S
Cny of Santa Momca )
1. Mana;Vl Stewart, Cny Clerk of the City of Santa Momca, do hereby cemfy that the foregomg
Ordmance No 1926 (CCS) had Its first readmg on July 28.1998 and was adopted on October 13.
1998 by the follo\\'lng vote
Ayes
Councll members
Ebner, Femstem, Genser, Holbrook, O'Connor
Noes
Councll members
None
Abstam
CouncIl members
None
Absent
CouncIl members
Rosenstem
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