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ATTY/RESO.0063/PC RESO ZONING ORDINANCE AMENDMENT ARTICLE 29 <br />REV: 08-12-21 SK <br />Page 14 of 17 <br />An applicant or the City may propose an alternative means of compliance with this <br />ordinance subject to the following provisions: <br />A. Alternatives Available to Projects Requiring an Impact Fee.As an alternative to <br />compliance with the impact fee requirements included in this Article, developers of <br />residential or nonresidential development projects may propose to mitigate the <br />affordable housing impacts of such development through the construction of affordable <br />units on site or through an alternative mitigation program proposed by the developer and <br />the Community Development Director, such as the provision of off-site affordable units, <br />donation of land for the construction of affordable units, or purchase of existing units for <br />conversion to affordable units. Property donated or dedicated shall be suitable for <br />construction of affordable housing at a feasible cost, shall be served by utilities, streets <br />and other infrastructure, and shall have no hazardous materials or other conditions that <br />constitute material constraints on development of affordable housing on the property. <br />1. The City Council may adopt by resolution the percentage of affordable units needed <br />to mitigate the impact of residential or nonresidential development projects on the <br />need for affordable housing. <br />2. Any affordable rental or for-sale units proposed as an alternative to the payment of <br />the housing impact fee shall be subject to the requirements described in Section <br />29.6 (Standards for Affordable Housing) and demonstrate financing or a viable <br />financing plan, which may include public funding sources, is in place for the <br />proposed affordable housing units. <br />B. Alternatives Available to Projects Requiring On-Site Construction of Affordable <br />Units. <br />1. Payment of an In-Lieu Fee. The City may accept payment of an in-lieu fee in place <br />of construction of on-site units if all of the following findings can be made: <br />a. The City determines that the in-lieu fee is adequate to cover the cost of <br />providing at least an equivalent number of affordable units as would otherwise <br />be required under this Article based upon an affordability gap analysis provided <br />by the applicant. <br />b. The average unit size in the project seeking to pay an in-lieu fee is two thousand <br />(2,000) square feet or four (4) bedrooms. <br />2. Any applicable in-lieu fees will be collected by the City prior to the issuance of the <br />first building permit for the development. The fees shall be calculated based on the <br />fee schedule in effect at the time the building permit is issued. <br />3. Unit Size. In projects where the market rate units all exceed two thousand (2,000) <br />square feet, the size of the affordable units may be up to twenty percent (20%) <br />smaller than the Market Rate Units. <br />C. Approval of Off-Site Affordable Units. If a developer proposes off-site affordable units <br />or any other alternative in the affordable housing plan required under Section 29.6 <br />(Standards for Affordable Housing), the review authority may approve such a proposal if <br />it finds the proposal meets all of the following conditions: <br />1. Financing or a viable financing plan, which may include public funding sources, is <br />in place for the proposed affordable housing units; and