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Ordinance No. 2020-19 - Affordable Housing Density Bonus Text AmendmentCLE CITY OF CLERMONT d� ORDINANCE NO.2020-19 AN ORDINANCE OF THE CODE OF ORDINANCES OF THE CITY COUNCIL OF THE CITY OF CLERMONT, LAKE COUNTY, FLORIDA, AMENDING THE CODE OF ORDINANCES, CHAPTER 122 ZONING; AMENDING SECTION 122-358 AFFORDABLE HOUSING DENSITY BONUS; PROVIDING FOR CODIFICATION; SEVERABILITY; EFFECTIVE DATE; AND PUBLICATION. WHEREAS, pursuant to the provisions of Chapter 163, Florida Statutes, the City of Clermont Planning and Zoning Commission, acting as the Local Planning Agency of the City, has held a public hearing on September 3, 2019 and following such hearing found this Ordinance to be in the best interest of the City of Clermont, and recommended that the City Council adopt this Ordinance; and WHEREAS, the City Council of the City of Clermont desires to add Section 122-358, Workforce Housing Density Bonus, of the City of Clermont's Code of Ordinances; NOW, THEREFORE, BE IT ORDAINED by the City Council of the City of Clermont that the Clermont Code of Ordinances, Chapter 122 Affordable Housing Density Bonus is amended as set forth in the following amendments, as shown in strikethrough and underline format in Section 2. SECTION 1. The City Council of the City of Clermont has the authority to adopt this Ordinance pursuant to Article VIII of the Constitution of the State of Florida and Chapter 163 and 166, Florida Statutes. SECTION 2. The Land Development Code of the City of Clermont Code of Ordinances is hereby amended to read as follows: Section 122-358 Workforce Housing Density Bonus (a) It is the intent of the City to provide an opportunity for greater availability of workforce housing inventory through a density bonus and to set -aside oPfloating units as defined in sub -section (e) below. The purpose is to encourage workforce housing opportunities where they may not otherwise be accessible by the private marketplace. (b) Sites for workforce housing shall be located in close proximity to a collector roadway or higher and provide access to the following facilities, services and/or activity centers through an interconnected system of sidewalks, bicycle paths/lanes, transit stops and other amenities: Employment centers; Shopping centers that include stores offering household goods and services needed on a frequent and recurring basis; and public parks, recreation areas, and/or open space. S- CLE ' N. CITY OF CLERMONT dORDINANCE NO.2020-19 (c) A density bonus may be granted only when the applicant presents clear and convincing evidence that the proposed design, density, intensity and mix of uses will result in superior development that is compatible with the surrounding neighborhoods and achieves the criteria for approval provided in this section. The maximum allowable density bonus may not be permitted for some projects. (d) Any density bonus shall require City Council approval. (e) Criteria for workforce housing density bonus in consideration of projects. Criteria City of Clermont Density Bonus Criteria The current City Code allows for up to 12 dwelling units per acre the density bonus for workforce housing would be any density greater than 12 dwelling units per acre outside the Central Business District: (1) Hooks Street Corridor: Projects may qualify for a maximum density with bonus units up to 20 dwelling units per acre provided the project meet the criteria for approval. The developer must set aside thirty percent (30%) of the overall units for workforce housing. The units must include a mixture of different unit sizes and types. (2) Wellness Way Area: (excluding properties on Hartwood Marsh Road) Projects may qualify for a maximum with bonus of 25 dwelling units per acre provided the project meet the criteria for approval. The developer must set aside -thirty percent (30%) of the overall units for workforce housing. The units must include a mixture of different unit sizes and types. Definitions of Workforce Units and "Workforce Housing" as defined by the City of Floating Units: Clermont, is monthly housing costs that shall not exceed 30% of the total household income as defined by HUD. "Floating Units" are defined as those units that are rented to tenants that meet the AMI requirements and can be located anywhere within the project. Qualifying units may not be permanently designated for AMI qualifying tenants. "Target Household Income Levels: The workforce housing units shall be designated for the eighty (80) to one -hundred and twenty 120) percent of 2 C�ER � 1�- CITY OF CLERMONT �� ORDINANCE NO.2020-19 the Area Median Income} (AMI), based upon household size. **To be determined on a yearly basis by the Area Median Income (AMI) for the City of Clermont as defined each year by the U.S. Department of Housing I and Urban Development (HUD). Household income limits are calculated in relation to the Area Median Income (AMI) with adjustments for family size and housing cost -to -income relationship as shown in sub- section (f) below for the Orlando -Kissimmee -Sanford, FL MSA. Length of Affordability: Perpetuity. The number of units required for the initial qualification for the density bonus must be maintained in perpetuity for the life of the project. Quality of Units: Floating units must be of the same quality and design and should not appear different. Residents must have the access to the same amenities as all other residents of the prof ect. Management of Units: A management agreement is required between the applicant and the City, a community land trust or mutually agreeable instrument to the applicant and City. This agreement must address marketing, applicant screening, the process for establishing rental rates, monitoring, Fair Housing compliance, determination of income qualifications, and other elements as determined by the City Manager or his/her designee. This agreement must be recorded and obligate all successors and assigns. Household Income and levels of The U.S. Department of Housing and Urban Affordability Development (HUD) defines and calculates different levels of AMI for geographic areas by household sizes. Below is an illustration of how the Housing and Urban Development has designed the levels of affordability for the Target Household and Income Levels above. CLER � I� CITY OF CLERMOAT �� ORDINANCE NO.2020-19 (f) Translating incomes into workforce housing cost based upon 2019 AMI, which is updated annually. Household Size Maximum Income Moderate Income (80% of AMI) Max Income (120% of AM One Person 38,850 58,275 Two -Person 44,400 66,600 Three —Person 49,950 74,925 Four —Person 55,500 83,250 Five -Person 59,950 89,925 Six —Person 1 64,400 96,600 Seven -Person 68,850 103,275 Eight -Person 73,300 109,950 (g) Workforce rents for housing units vary by the number of bedrooms in the housing unit. This is because the income limits vary by the household size, and the number of bedrooms affects how many people a unit can comfortably house. (h) The table below is the actual rates based upon the 2019 AMI for maximum rents considered workforce, based on the maximum income allowed for the household size, income limits and housing unit size or bedrooms allowed to provide comfortable and safe housing. Each household will require income and workforce rent certification based on their actual income and household size. Annual verification of leased units as part of the density bonus is required from the date originally certified and must be certified by the City Manager or his/her designee. These rates will change annually based upon the HUD income limits. Number of workforce Rent at Bedrooms 80% of AMI (Moderate) 1-Bedroom $971 2-Bedrooms $1249 3-Bedrooms $1499 4-Bedrooms $1610 (i) An administrative review is required to ensure that the proposed project and its intended occupants meet the standards and income requirements for workforce housing. All 4 CLE NT CITY OF CLERMONT tea«_ ORDINANCE NO.2020-19 developers are required to schedule a pre -application meeting and complete an application for density bonus with the Development Services Department. (j) Annual verification of leased units as part of the density bonus is required annually to be submitted to Development Services Department no later than February 15th (k) The applicant must enter into a management agreement with the City, a community land trust, or other instrument mutually agreeable to the City and the applicant, to administer the workforce set -aside units. This agreement must address marketing, applicant screening, the process for establishing rental rates, monitoring, Fair Housing requirements, and other elements as determined by the City Manager or his/her designee. (1) Projects may not pay a contribution in lieu of providing workforce units on -site to attain a density bonus. (m) Example of number of total units, workforce units and market rate Acres 15 Base Densit 12 180 Bonus Density 8 units/acre 120 Total Units 300 Workforce Market rate 90 210 SECTION 4. All ordinances or parts of ordinances in conflict with any of the provisions of this Ordinance are hereby repealed. SECTION 5. The text of Section 2 of this Ordinance shall be codified as a part of the Clermont City Code. The codifier is authorized to make editorial changes not effecting the substance of this Ordinance by the substitution of "Article" for "Ordinance", "Section" for "Paragraph", or otherwise to take such editorial license. SECTION 6. Parcels qualified for the Hooks Street corridor shall have frontage on Hooks Street and shall be east of U.S. Highway 27. Parcels qualified for Wellness Way shall be within Sections 13- 36 Township 23 Range 26 and be east of U.S. Highway 27 and shall not have ingress/egress or frontage on Hartwood Marsh Road. 5 CLE CITY OF CLERMONT tea«. ORDINANCE NO.2020-19 SECTION 7. This Ordinance shall be published as provided by law and it shall become law and shall take effect immediately upon its Second Reading and Final Passage. n d+ CLE06NT CITY OF CLERMONT ORDINANCE NO.2020-19 PASSED AND ADOPTED by the City Council of the City of Clermont, Lake County, Florida on this 23'd of June, 2020. CITY OF CLERMONT i ZA_ , Mayor Approved as to and legality: Daniel F. Mantzaris, City Attorney