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19.02.060 – Affordable Units and Fee In-Lieu Required

  1. General requirement.  Affordable Units, and/or a fee in lieu thereof, shall be required for every Residential Development.  The City Council may permit the Applicant to provide Affordable Units or pay a fee in lieu of constructing some or all of the required Affordable Units within a Residential Development.
  2. Number of Affordable Units Required: 
    1. Calculation. The number of Affordable Units required for a Residential Development shall be a percentage of the total number of Dwelling Units to be constructed within the Residential Development, but not including any bonus Market Rate Units permitted by Section 19.02.080.  The minimum requirement shall be calculated as follows:
      • 1 to 15 Dwelling Units: 5 percent
      • More than 15 Dwelling Units: 10 percent
    2. Fractions.  In the event that the calculation of the number of required Affordable Units results in a fraction, the following rules shall apply:  For that portion of the requirement that is to be satisfied by the construction of Affordable Units, the fraction shall be rounded to the nearest whole number; a fraction of exactly ½ shall not be counted as a required Affordable Unit.  For that portion of the requirement that is to be satisfied by payment of a fee in-lieu, any fraction shall be used in calculating the total fee in lieu to be paid by the Developer.
  3. Amount of Fee In-Lieu Per Unit.  The amount of the per-unit fee in-lieu of Affordable Units shall be determined annually by the City Council. If no fee has been determined by the City Council for the current year, the fee most recently determined by the City Council shall apply.
  4. Calculation of Total Fee In-Lieu.  For purposes of determining the total fee in-lieu payment amount, the per unit fee in-lieu shall be multiplied by the required number of Affordable Units, including any fractional units.
  5. Payment of Fee In-Lieu.  Unless otherwise approved by the City Council in the Affordable Housing Agreement, for Residential Developments constructed in multiple phases the fee in-lieu payments due under the provisions of this Chapter shall be paid for the entire phase to be developed prior to issuance of the first building permit for the applicable phase. For Residential Developments constructed in a single phase the fee in-lieu payment shall be paid for the entire Residential Development prior to issuance of the first building permit.
(2016-M-7: § 2)
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