R-10330f: \atty\m u n i\I aw\b a rry\affh sg u n itcost reso7-23-08
City Council Meeting 07-23-08 Santa Monica, California
RESOLUTION NUMBER 10330 (CCS)
(City Council Series)
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA
AUTOMATICALLY ADJUSTING THE AFFORDABLE HOUSING UNIT DEVELOPMENT
COST PURSUANT TO SANTA MONICA MUNICIPAL CODE SECTION 9.56.070(c)
BASED ON CHANGES IN CONSTRUCTION COSTS AND LAND COSTS
WHEREAS, on June 13, 2006, the .City Council amended Santa Monica
Municipal Code Section 9.56.070 to provide that the City's affordable housing unit
development cost shall be established by resolution and that commencing on July 1,
2007, the affordable housing unit development cost shall be automatically adjusted
annually by City Council based on changes in construction costs and land costs; and
WHEREAS, Santa Monica Municipal Code Section 9.56.020 defines "affordable
housing unit development cost" as "the City's average costs to development a unit of
housing affordable to low- and moderate-income households;" and
WHEREAS, in order to implement the Council's decision that the affordable
housing-unit development cost be adjusted based on changes in development costs
and lands, staff formulated a specific method of measuring changes in construction
costs and land costs: and
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WHEREAS, this proposed methodology was detailed in an April 24, 2006 letter
prepared by Paul S. Silvern of HR&A Advisors; Inc. ("HR&A") on behalf of the City and
approved by the Council on June 13, 2006; and
WHEREAS, pursuant to this methodology, on July 24, 2007, the City Council
adopted Resolution No. 10230 (CCS) which established an affordable housing unit
development cost of $265,632; and
WHEREAS, on July 12, 2008, the City published notice that at the July 23, 2008
City Council meeting, the City Council would consider a proposed resolution to adjust
the affordable housing unit development cost that private developers may pay to the
City for the production of affordable housing based on this methodology and that the
HR&A analysis was available for review in the City Clerks Office; and
WHEREAS, the City republished this notice on July 18, 2008; and
WHEREAS, a copy of HR&A's analysis has been available in the City Clerk's
Office for public review since July 11, 2008; and
WHEREAS, based on this analysis, an increase in the amount of $11,953 to the
current affordable housing development cost of $265,632 would be appropriate,
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA
DOES RESOLVE AS FOLLOWS:
SECTION 1. The current Affordable Housing Unit Development Cost of
$265,632 shall be increased by $11,953.
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SECTION 2. The City Clerk shall certify to the adoption of this Resolution, and
thenceforth and thereafter the same shall be in full force and effect on October 1, 2008.
SECTION 3. Resolution No. 10230 (CCS) shall remain in full force and effect.
This resolution does not supersede or alter Resolution No. 10230 (CCS) in any
respects.
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APPROVED AS TO FORM:
Adopted and approved this 23~d day of July, 2008.
1° ` ~
Ric rd Bloom, Mayor Pro Tem
I, Maria Stewart, City Clerk of the City of Santa Monica, do hereby certify that the
foregoing Resolution No. 10330 (CCS) was duly adopted at a meeting of the Santa
Monica City Council held on the 23~d day of July, 2008, by the following vote:
Ayes: Council members: Genser, Holbrook, McKeown, O'Connor
Mayor Pro Tem Bloom
Noes: Council members: None
Abstain: Council members: None
Absent: Council members: Shriver
Mayor Katz
ATTEST:
Maria Stewart, City Jerk