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9.C. - Page 11 <br /> San Diego, California: FAR Bonus Purchase Program <br /> In 2006, San Diego developed a new downtown community plan. One of the primary goals in the <br /> plan was to both increase development intensity in the downtown area and ensure that these <br /> developments led to new community amenities. In order to achieve this, they created a FAR density <br /> bonus program in conjunction with the plan. <br /> The program is administered by Civic San Diego, formerly the Centre City Development <br /> Corporation,which is an organization charged with the planning function for the downtown area, <br /> including all planning,zoning, and redevelopment activities. Originally under the Redevelopment <br /> Agency, Civic San Diego is now under the City directly but still maintains the same planning <br /> functions for the area. <br /> How the program works:Within the downtown area, certain parcels were delineated as areas where <br /> developers could build above the maximum FAR in exchange for providing public benefits, <br /> including eco-roofs, urban open spaces, 3-bedroom units, and affordable units. The affordable units <br /> bonus is in compliance with the state density bonus program. See the table below for an overview of <br /> the program and how the benefits are calculated. <br /> In addition to providing certain benefits,developers could purchase additional FAR in some parts of <br /> downtown where higher intensity development was acceptable. The purchase price was set at$15 <br /> per additional square foot in 2006, and has been adjusted annually according to the Consumer Price <br /> Index. The funds gathered through the FAR purchase program are restricted to the downtown area, <br /> and must be used for parks, open space, or acquiring additional right of way for parks and open <br /> space. Notably, Civic San Diego collects and administers the funds because of the role they play in <br /> administering planning functions in the downtown area, but in other cities this function could be <br /> played by the City directly. <br /> The FAR density program was developed as a part of the Downtown Community Plan update with <br /> input from residents. The program is relatively easy for staff to administer;developers select the <br /> desired benefit and bonus from a pre-determined list, outlined in Section 156.0309 of the Municipal <br /> Code, available at: docs.sandiego.gov/municode/MuniCodeChapterl5/Ch15Art06Division03.pdf <br /> While the mix of amenities was developed through the community planning process,the amount of <br /> bonus a developer would receive, and the price per square foot,were determined by the city and <br /> staff. The City Council directed staff to establish the original FAR purchase price at$15 per <br /> additional square foot, and while there were some who felt that the price should have been set <br /> higher, there have not been any efforts to raise the price beyond the annual Consumer Price Index <br /> adjustments. To date,the purchasing of FAR has raised$1.7 million,with another$1.5 million in <br /> additional revenues to be generated if all current projects move forward. The funds are being used <br /> to build a new park in the downtown area. <br /> In 2012, the FAR bonus program was amended in order to tighten the public benefit requirements. <br /> For example,the original ordinance allowed for a bonus FAR of 1.0 for an eco-roof,which has been <br /> amended to either 0.5 or 1.0 FAR depending on whether the eco-roof is accessible to residents. The <br /> 2012 amendment also included increases in the maximum FAR that some projects could receive. <br /> Page 6of15 <br />