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ATTY/ORD/2018/ORD.469/ADOPTING ARTICLE 29 & AMENDING SECTION 32.19 <br />REV: 05-15-18 PR <br />Page 24 of 28 <br />Nonresidential Development Projects. The housing impact fee shall not apply to developers of nonresidential development projects adding five thousand (5,000) square feet or less of net new square footage. Other Exemptions. The housing impact fee shall not apply to developers of residential or nonresidential development projects which fall within one (1) or more of the following categories: Residential or nonresidential development projects located on property owned by the state of California, the United States of America, or any of its agencies and used exclusively for governmental or educational purposes. Any structure proposed to repair or replace a building that was damaged or destroyed by fire or other calamity, so long as the square footage and use of the building remains the same, and construction of the replacement building begins within one (1) year of the damage's occurrence. Residential or nonresidential development projects to the extent they have received a vested right to proceed without payment of housing impact fees pursuant to state law, including those that are the subject of development agreements currently in effect with the City, if such development agreements were approved prior to the effective date of the ordinance from which this Article is derived and where such agreements expressly preclude the city from requiring payment of the housing impact fee. 4. Residential or nonresidential development projects for which applications have been deemed complete prior to September 21, 2015. 5. Other uses that may be specified by resolution of the City Council. (Ord. No. 2417, § 2, 12-7-15) Sec. 18.271. - ALTERNATIVES TO PAYMENT OF HOUSING IMPACT FEE: A. As an alternative to compliance with the basic provisions included in Section 18.269, developers of residential or nonresidential development projects may propose to mitigate the affordable housing impacts of such development through the construction of affordable units on site or through an alternative mitigation program proposed by the developer and the community development director, such as the provision of off-site affordable units, donation of land for the construction of affordable units, or purchase of existing units for conversion to affordable units. 1. The City Council may adopt by resolution the percentage of affordable units needed to mitigate the impact of residential or nonresidential development projects on the need for affordable housing. 2. Any affordable rental or for-sale units proposed as an alternative to the payment of the housing impact fee shall be subject to the requirements described in Section 29.5 (Standards for Affordable Units) of the Zoning Code. Section 18.272. 3. If a developer proposes to provide affordable rental units, then, to ensure compliance with the Costa-Hawkins Rental Housing Act (Chapter 2.7 of Title 5 of Part 4 of Division 3 of the Civil Code), the City may only approve such a proposal if, as required by Civil Code Sections 1954.52(b) and 1954.53(a)(2), the developer agrees in a contract with the City to limit rents in accordance with Section 18.272 in consideration for a direct financial contribution from the City or a form of assistance specified in the State's Density Bonus Law (Chapter 4.3, commencing with Section 65915, of Division 1 of Title 7 of the Government Code). The developer may request that the City <br />7.A. - Page 39