C I T Y O F C H U L A V I S T A
GUIDELINES TO THE
BALANCED COMMUNITIES POLICY
City of Chula Vista
Development Services Department
276 Fourth Avenue
Chula Vista, CA 91910
Phone 619.691.5047 / Fax 619.585-5698
Revised: September 13, 2022
Revised: December 15, 2015
Adopted: September 25, 2012
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Guidelines to the Balanced Communities Policy
Contents
Introduction ................................................................................................................................. 1 Adoption ................................................................................................................................... 1 Intent of Guidelines ............................................................................................................... 1 Guidelines & Policy ................................................................................................................ 1 Review & Updates .................................................................................................................. 1 Inclusionary Requirements ..................................................................................................... 2 Applicability ............................................................................................................................. 2 Exemptions .......................................................................................................................... 22 Variance ............................................................................................................................... 22 Calculating the Obligation ................................................................................................... 3 Incentive Credit ..................................................................................................................... 3 Calculating Incentive Credit ................................................................................................ 3 Meeting the Requirement ......................................................................................................... 4 Standards .................................................................................................................................. 4 Location ................................................................................................................................. 5 Design .................................................................................................................................... 5 Bedroom Mix ......................................................................................................................... 5 Public Benefit .......................................................................................................................... 5 Determining Methods of Compliance ............................................................................... 5 Compliance Alternatives ................................................................................................... 5 On-Site ................................................................................................................................... 5 Off-Site ................................................................................................................................... 6 In-Lieu Housing Fee ............................................................................................................. 8 Process ......................................................................................................................................... 8 Preliminary Application ........................................................................................................ 8 Inclusionary Housing Plan .................................................................................................... 9 Content .................................................................................................................................. 9 Enforcement ........................................................................................................................ 10 Balanced Communities Affordable Housing Agreement ........................................... 10 Content ................................................................................................................................ 10 Enforcement ........................................................................................................................ 11 Recordation ......................................................................................................................... 11 Determining Affordability....................................................................................................... 11 Income Levels ........................................................................................................................ 11 Income Adjusted for Household Size .............................................................................. 12 Affordability = 30% of Income ......................................................................................... 12 Guidelines to the Balanced Communities Policy
Calculating Affordable Rents ............................................................................................ 13 Calculating Affordable Homeownership Costs ............................................................. 14 Ongoing Compliance .............................................................................................................. 14 Affirmative Marketing ........................................................................................................ 14 Waiting List ............................................................................................................................ 15 Reporting ................................................................................................................................ 15
Appendix
Exhibit 1 – Area of Low/Moderate Income Concentration ...................................... A-1 Exhibit 12 – City of Chula Vista Income Guidelines ................................................... A-2 Exhibit 23 – San Diego County Housing Authority Utility Allowance Schedule . A-3 Exhibit 34 – Example Affordable Rental Rates ............................................................ A-4 Exhibit 45 – Example Affordable Sales Prices.............................................................. A-5 Guidelines to the Balanced Communities Policy
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Guidelines to the Balanced Communities Policy
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Introduction
Adoption
The City of Chula Vista adopted a Balanced Communities Policy (“Policy”), commonly referred to as Inclusionary Housing, in 1981 as part of its Housing Element of the General Plan. T he City Council’s purpose of the Policy is to increase the diversity of housing prices/rents throughout the community and ensure that the range of prices/rents continues over time.
Intent of Guidelines
The guidelines in this document are intended to supplement and support the Inclusionary Housing Policy of Chula Vista. They will assist the layperson in interpreting the Policy and developers early in the development process so that Residential Development projects are designed from the beginning in compliance with the requirements of the Policy.
Guidelines & Policy
These Guidelines should be read in conjunction with the Policy. While every effort has been made to ensure that these Guidelines are consistent with the Policy, if there is any conflict or discrepancy between these guidelines and the Policy, the Policy shall prevail.
In addition, the provisions of a Balanced Communities Affordable Housing Agreement (or like Agreement) recorded against a property or inclusionary units shall prevail over any general requirements of the Policy. Users of these Guidelines are encouraged to seek their own legal counsel to aid in understanding the requirements of the City’s Inclusionary Program. For any general questi ons regarding the Guidelines, you may call (619) 691 - 5047.
Review & Updates
The City will review and, to the extent necessary, update these Guidelines in conjunction with the City’s review of its General Plan Housing Element and its Balanced Communities Policy, or as deemed necessary.
The Development Services Director may make interim revisions, interpretations or clarifications to these Guidelines provided that he or she considers the revision, interpretation, or clarification to be minor and consistent with the purposes of the original Policy and the Guidelines.
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Inclusionary Requirements
Applicability
The Policy applies City wide to all residential development of 50 units or more, except as provided below. The requirements of these Guidelines and Policy shall not be cumulative to state or other local affordable housing requirements where those units ar e subject to an affordability restriction recorded against the property by the state or local agency. To the extent that state or local regulations are inconsistent with the requirements herein for the amount of the fee, length of the restriction or the l evel of affordability, the more restrictive shall apply.
Exemptions
In order to reach the Policy goal of creating a balanced community and not overburdening areas of our community with low income housing concentrations, these Guidelines define areas of the City that currently provide a large share of low income housing options. A waiver of the inclusionary requirement will be granted within the designated census tracts defined as the “Area of Low/Moderate Income Concentration”, as illustrated in Exhibit 1 and defined as meeting the following criteria:
• Median income falls below the City wide Median Income, as estimated by the San Diego Association of Governments; and/or
• Within the Low to Moderate Income Boundary, as provided by the U.S.
Department of Housing and Urban Development.
Exhibit 1 may be updated and approved periodically by the Development Services Director to reflect current market conditions.
Variance
A Variance request from the affordable housing requirements may be appro ved in “Primarily Undeveloped Area” as identified in Exhibit 1, if specific findings can be substantiated by City Council and shall include financial and other information that the Development Services Director determines is necessary to perform an indepen dent evaluation of the applicant’s basis for the variance. Such findings shall include at least one of the following:
(1) That special circumstances exist that are unique to that development, that justify granting the variance (for example, the development provides other unique public benefits to the community); or
(2) That t he application of the standard affordable housing requirements to the development without the variance would cause the development to be Guidelines to the Balanced Communities Policy
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infeasible, or impose a specific and substantial financial hardship that creates a material adverse impact on the quality or timing of the development.
The City Manager’s recommendation to the City Council as to whether or not to grant a variance shall consider such factors as project size, site constraints, market competition, price and product type disparity, developer capability financial subsidies available , and whether alternative means of compliance are available which would be more effective in attaining the purposes of this Policy than the relief requested.
Calculating the Obligation
The Policy indicates that all shall provide 10% of the total number of dwelling units as affordable to low and moderate income households, as follows:
• 5% minimum for low income households
• 5% for moderate income households
In making this calculation, any decimal fraction is neither rounded up or down. The Developer may either provide for one additional Affordable Unit or pay a partial in -lieu fee equal to the remaining fraction.
Incentive Credit
The City has a greater need for housing for very low and low income households. To encourage Developer’s to provide for these households, the City can in effect reduce the required affordable housing obligation when the Developer opts to provide very low or low income rather than for moderate income households.
Calculating Incentive Credit
The Incentive credit shall be calculated as follows:
1. 2.0 unit credit for every very low income unit in lieu of a moderate income unit.
2. 1.5 unit credit for every low income unit in lieu of a moderate income unit.
EXAMPLE: Calculating Obligation
1. The developer proposes a 125-unit residential project.
2. Inclusionary Housing Obligation
125 units x 0.10 = 12.5 Inclusionary Units
6.25 units as a moderate income and 6.25 units as a
low income
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3. .5 unit credit for every very low income unit in lieu of a low income unit.
Meeting the Requirement
Affordable Housing often provides opportunities to a segment of the population or provide a public benefit that the market might not otherwise provide on its own. The Policy seeks to provide these opportunities while still allowing Developers to provide market driven housing options. This balance requires flexibility and standards to be set in order to meet the goals of the Policy and to ensure a variety of housing options are provided. The standards and methods of compliance to meet these goals are defi ned below.
Standards
A variety of factors are considered in planning Affordable Housing and meeting the Inclusionary Requirements defined under the Policy, such as the location of the housing, the type of housing, design and amenities. These factors are further defined below and set standards to meet the goals while ensuring that the obligation does not negatively affect the community.
EXAMPLE: Calculating Incentives
The developer proposes a 300-unit residential project. Inclusionary Housing Obligation = 30 Inclusionary Units
(15 moderate income & 15 low income units)
Inclusionary Housing Proposed with Incentive Credit
Proposes to build 20 low income units (5 more than required) (5 additional low income units x 1.5 credits = 7.5 incentive credits) Remaining moderate balance = 7.5 (15 required – 7.5 credits) OR
Proposes to build all low income units in lieu of moderate 15 moderate income units required/1.5 low income units = 10 low income units, therefore developer could fulfill obligation by building 25 low income units
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Location
Inclusionary units shall be encouraged on sites that are in proximity to or will provide access to employment opportunities , urban services, or major roads or other transportation and that are compatible with adjacent land uses.
Design
The design of the Inclusionary Units shall be reasonably consistent or visually compatible with the design of the total project development in terms of appearance, external building materials and finished quality.
Upon application as provided herein, the City may, to the maximum extent appropriate in light of project design elements as determined by the Development Services Director, allow builders to finish out the interior of Inclusionary Units with less expensive finishes and appliances, without reducing the amenities offered.
Bedroom Mix
Inclusionary developments shall provide a mix of number of bedrooms in the affordable dwelling un its in response to affordable housing demand priorities of City and/or proportionate to the bedroom size of the market-rate units as determined appropriate by the Development Services Director.
Determining Methods of Compliance
Generally, the City encourages the satisfaction of the Inclusionary Housing requirements through the construction of new residential units to increase its supply of affordable housing within the project (“on-site”) for for-sale developments. For rental development, a Developer, who has not received any form of City assistance, may voluntarily fulfill their obligation by any of the methods of compliance. The City recognizes that there may be a need to provide greater flexibility to developers seeking to satisfy their requirement due to unique conditions of the project and/or the varied housing needs of the community.
The City may request information from a Developer in determining the feasibility of one or more of the compliance alternatives, including but not limited to the factors below.
Compliance Alternatives
A Developer may satisfy the Policy requirement by any combination of the following alternatives after consideration of the methods of compliance. These alternatives shall be reviewed in priority order for compliance with the obligation using the determining factors above.
On-Site
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On-site inclusion of the Inclusionary Requirement is the preferred alternative to meet the inclusionary requirements. Factors to consider in meeting the on -site obligation include the location of the project, type and tenure of the entire project, and financing of the project.
Off-Site
Developers may choose to satisfy their requirements through a project at a different site, known as the “off -site” option but not in the “Area of Low/Moderate Income Concentration”. This option may be accomplished solely or in conjunction with another developer, also referred to as a “combined project”.
Such options may include, but are not limited to:
• Constructing new affordable units at a different site; • Acquiring and rehabilitating existing market rate units to affordable units; • Transfer of affordable housing credits from the City or another developer; and • Provision of housing projects or programs to meet the special needs of certain population groups within the community , including but not limited to persons with disabilities, homeless, elderly, Veterans, students, and national level student/amateur athletes. Such alternative housing types may include shelters, transitional housing, second dwelling units , micro -units, single room occupancy hotels, dormitories , or other specialty housing types approved by the City Manager consistent with objectives of this Policy).
The City acknowledges that there may be rare instances where an over -riding public benefit of a particular project may require consideration of meeting an off-site obligation within the “Area of Low/Moderate Income Concentration”. In such cases, the City Council may provide a finding that a n off -site obligation may be met within this otherwise excluded area, if it provides a unique public benefit that might not otherwise occur.
As part of the Inclusionary Housing Plan, the Developer shall:
• Identify the proposed off -site location and the n umber of proposed units to be credited to its Inclusionary requirement, demonstrating that the off-site option meets the goals of the Inclusionary policy (i.e. provides a balance of housing options and/or provides a unique benefit);
• Provide evidence of site control of the off-site location; and • Demonstrate that the proposed off -site location will be able to satisfy the requirements of the Policy.
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Public Benefit
The City may approve alternatives to the construction of new inclusionary units where the proposed alternative provides a more effective and feasible means of satisfying the requirements and greater public benefit.
This determination shall be based on findings approved by City Council that the proposed alternative:
• Advances the specific goals and objectives of the Housing Element; • Achieves a balance of housing opportunities within the community; • Provides a preferred product type in light of the housing needs of the surrounding area and need;
• Offers opportunities to populations with “special needs ” within the community , including but not limited to persons with disabilities, homeless, elderly, Veterans, students, and national level student/amateur athletes;
• Offers locational advantages relative to the needs of lower income households; and/or • Offers greater feasibility and/or cost effectiveness than new construction.
Calculation of Credit for Alternative Housing Types
When satisfying inclusionary housing requirements , generally, the City encourages the provision of residential “units”. The City recognizes that there may be a need to provide greater flexibility to developers seeking to satisfy their requirement due to unique conditions and/or the varied housing needs of the community. Alternative housing types may be developed and measured in terms of the number of “rooms” or “beds” provided— rather than “units.” Accordingly, a conversion analysis from “rooms” or “beds” to “units” will be required to determine the “unit” credits a developer will receive when an alternative housing type is provided.
Given the uniqueness and wide range of alternative housing types , the City, at the discretion of the City Manager or his designee, may consider and balance, on a case-by- case basis, the following factors:
• The number of new affordable housing units that could otherwise be built on-site; • The amount of the in lieu fee that could otherwise be paid; • Any additional projected project development costs or s avings accruing to a developer to build the alternative housing type, including any attendant property costs/savings;
• The extent and nature of the public benefit of the proposed project and any attendant amenities; and
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• The timing of wh en the alternative housing project will be built relative to when more conventional housing or in-lie payments would otherwise be required.
The City may request additional information from a Developer in determining the credit towards the inclusionary housing requirements through one or more of the compliance alternatives.
In-Lieu Housing Fee
Developers may choose to satisfy any portion of their requirements through payment of an in -lieu housing fee, including a prorated in -lieu fee for partial units. This fee is approved by the City Council based upon the affordability gap of what low/moderate income households can afford to pay for a home and the median sales price of a home in Chula Vista. The fee is regularly updated as conditions change.
Developers must pay the In-Lieu Housing Fee at the time of issuance of a building permit for any part of the project.
Process
The Balanced Communities Policy is implemented primarily through two documents: the Inclusionary Housing Plan and the Balanced Communities Affordable Housing Agreement. The Inclusionary Housing Plan provides the basis for determining how the provisions of the Policy will be satisfied. The Inclusionary Housing Agreement and any deed restriction or regulatory agreement set forth the ongoing affordability and other restrictions applicable to the Inclusionary Units once they have been completed.
Preliminary Application
A Developer subject to the Inclusionary Housing provisions of this Chapter and proposing a housing development pursuant to the Policy may submit a preliminary application prior to the submittal of any formal request for approval. Applicants are encouraged to schedule a pre -application conference with designated staff of the Planning, Building and/or Housing Divisions of the Development Services Department to discuss and identify potential application issues, including prospective incentives or concessions that may be requested.
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A preliminary application shall include the following information:
• A brief description of the proposed housing development, including the total number of units, bedroom count, and Inclusionary Units proposed; • The zoning and general plan designations and assessor parcel number(s) of the project site;
• A vicinity map and preliminary site plan, drawn to scale, including building footprints, driveway, parking layout, open space, recreational amenities, building elevations, existing contours and proposed grading; and
• A letter identifying what specific incentives or concessions are being requested for the affordable units.
Within 90 days of receipt of the preliminary application, the City shall provide to the Applicant a let ter which identifies project issues of concern and the procedures for compliance with this Policy.
Inclusionary Housing Plan
An Inclusionary Housing Plan is submitted along with the Applicant’s first application for a Discretionary Approval for a Residential Development. No Discretionary Approval shall be granted without submission of the Inclusionary Housing Plan.
Content
The Inclusionary Housing Plan shall contain the following information:
• A brief description of the Residential Development including the number of Market Rate Units and Inclusionary Units proposed, and the basis for the calculation of the number of Inclusionary Units.
• The unit-mix, location, structure type, and size of the Market Rate and Inclusionary Units, and whether the Residential Development is an ownership or rental project. • A floor plan depicting the location of the Inclusionary Units shall be provided. • The income level of the Inclusionary Units; In the event the Developer proposes a phased project, a phasing plan that provides for the timely development of the Inclusionary Units as the Residential Development is built out. The phasing plan shall provide for development of the Inclusionary Units concurrently with the Market Rate Units.
• If the Developer intends to satisfy the Inclusionary Unit requirement by payment of an in-lieu fee, a statement to that effect, and a calculation of the total in-lieu fee payment required.
• If a conveyance of land or an off -site Inclusionary Units alternative is proposed, information necessary to establish compliance with these Guidelines.
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Enforcement
Approval of the Inclusionary Housing Plan and implementation o f a Balanced Communities Affordable Housing Agreement shall be a condition of approval of any Discretionary Approval or building permit for the Residential Development.
Balanced Communities Affordable Housing Agreement
Except for those cases where the requirements are satisfied by payment of an in-lieu fee, or the conveyance of land to the City Developers whose projects are subject to the Policy shall enter into a Balanced Communities Affordable Housing Agreement with the City.
The City’s standard form(s) of the Agreement may be obtained from the Housing Division of the Development Services Department.
Content
The form of the Balanced Communities Affordable Housing Agreement may vary, depending on the manner in which the provisions are satisfied for a particular Residential Development.
All Inclusionary Housing Agreements shall include, at a minimum, the following information:
• The number of total units within the residential development and the Inclusionary Units proposed, with specific calculations detailing the application of any credit adjustment;
• The proposed location of the Inclusionary Units; and
• Schedule for production of dwelling units.
If no map is being processed, the Agreement required is a project specific agreement to include the following:
• Indicate whether the Residential Development is an ownership or rental project; • The number and size of Very Low, Low or Moderate Income Units, location of units, square-footage of units;
• Amenities and services provided, such as daycare, after s chool programs, transportation, job training/employment services and recreation; • The incentives (if any), including the nature and amount of local public funding; • Provisions for resale or rental restrictions, monitoring affordability of the units; and • The determination of Income-Eligible households.
Where applicable, requirements for other documents to be approved by City, such as marketing, leasing and management plans; financial assistance/loan documents; resale agreements; and monitoring and compliance plans.
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Enforcement
No building permit shall be issued for all or any portion of the Residential Development unless the Balanced Communities Affordable Housing Agreement has been recorded.
For those residential projects processing a map, the Balanced C ommunities Affordable Housing Agreement is executed prior to final map approval and shall be recorded upon final map recordation. Where a map is not being processed, the Agreement is executed prior to the issuance of building permits for any units within the project.
Recordation
The Agreement is recorded as a covenant against the real property of the Residential Development and will run with the land.
This Agreement should generally be recorded in the first position and not subordinated to other liens and encumbrances.
In the case where satisfaction of the inclusionary housing requirements are being met through the development of off -site Inclusionary Units, the Agreement will be simultaneously recorded on both the title to the property where the off -site Inclusionary Units are to be developed and the Residential Development. Upon the completion of the Inclusionary Units and their occupancy by Income -Eligible households, the Agreement shall be released from record title of the market rate Residential Development site.
Determining Affordability
To remain consistent with Federal and State programs related to affordable housing, the City of Chula Vista uses the definitions and data provided by the U.S. Department of Housing and Urban Development and the State of California to define income levels and affordability of housing.
Income Levels
The U.S. Department of Housing and Urban Development (HUD) provides income charts that identify the annual and monthly maximum incomes for lower income households for the San Diego County area and updates this information each year. The City of Chula Vista uses the Area Median Income (AMI) for San Diego County, since HUD does not provide median income data for specific cities. These income charts are shown in Exhibit 12, and are available at the office of the Chula Vista Development Services Department - Housing Division and on its website at www.chulavistaca.gov/housing.
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The City uses this income data as a basis for c alculating the maximum rents and sales prices permitted under the City’s Affordable Housing Programs. The City’s affordability requirements refer to the following income categories, which are based on various percentages of the AMI:
Income Category Percentage of
Area Median Income
Very Low 50% or less
Low 50% - 80%
Moderate 80% - 120%
Income Adjusted for Household Size
The Area Median Income as published by HUD corresponds to the area median income for a household of four. The AMI is then adjusted for household size. HUD sets the median incomes for other household sizes by applying a multiplier to the median income of a household of four.
The City uses these income limits for setting the eligibility of renters and buyers under its affordable housing programs. Households are considered eligible if their income does not exceed the income for their household size at the upper end of the targeted income level.
Affordability = 30% of Income
The term “affordable” may have a wide range of meanings to the general public , but in the City’s usage it has as specific meaning. The City, as well as most state and federal housing programs define affordable as housing costs that do not generally exceed 30% of the gross annual household income of any given income group (referenc e California Health and Safety Code Section 50053 (b) for rental housing and 50052.5 (b) for ownership housing).
EXAMPLE: Determining Income Level
1. Targeted Income Level = Low Income
2. Smith family’s (household size of 3 persons) annual
income = $45,000.
3. Maximum annual income for a Low Income household of 3 persons at 80% AMI = $57,850
4. Smith family is qualified as Low Income.
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The monthly housing cost limits and purchase price estimations given here are based on the following assumptions (reference California Health and Safety Code Section 6920):
▪ Appropriate household size is defined as the number of bedrooms in a unit plus one, i.e. a one -bedroom unit is based on a 2 -person household, a two -bedroom unit is based on a 3-person household, and so on.
Calculating Affordable Rents
For a rental unit, total housing costs include the monthly rent payment as well as consideration for a utility allowance (reference 25 California Code of Regulations Section 6918). Information on utility allowances can be obtained from the City and is based upon the schedule adopted by the Housing Authority of the County of San Diego and approved by HUD, reference Exhibit 23. The utility schedule varies by number of bedrooms in a unit and by the various utility combinations.
Affordable rental rates are based upon a targeted income level. It is impractical to set individual maximums rents on the actual income of each household to reside within the affordable unit.
EXAMPLE: Affordable Housing Costs
Annual income of five person household is $66,100. Maximum income for a five person low-income household at 80% AMI = $69,400 Maximum monthly affordable housing cost =
Annual income ÷ 12 × .30
= $66,100 ÷ 12 × .30 = $5,508 x .30
= $1,652 maximum monthly housing cost
OR
Annual income of five person household is $95,000. Maximum annual income of five person moderate-income household at 120% AMI = $98,400 Maximum monthly affordable housing cost =
Annual income ÷ 12 × .30
= $95,000 ÷ 12 × .30 = $7,916 x .30
= $2,374 maximum monthly housing cost
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Estimated rental rates are provided only as rough guides, as there are several variable factors that go into calculating rental rates. The state and federal government housing programs may make various adjustments for bedroom size and target income percentages. The examples provided in these Guidelines summarizes the most commonly used by the City for affordable rental projects, reference Exhibit 34.
Calculating Affordable Homeownership Costs
For for -sale units, total housing costs include the mortgage payment (principal and interest), homeowners association dues, taxes, mortgage insurance and any other related assessments (reference 25 California Code of Regulations Section 6920). Estimated purchase prices are provided only as rough guides, as there are several variable factors that go into calculating sales prices, reference Exhibit 4.
Ongoing Compliance
Developers shall be responsible to have on file and provide at City request documentation showing compliance with state and local laws pertaining to affordable housing practices.
These shall include but are not limited to the following items below.
Affirmative Marketing
Developer shall perform those affirmative marketing responsibilities set forth in 24 C.F.R.
92.351. The affirmative marketing strategy must be designed to attract buyers and renters of all majority and minority groups, regardless of sex, handicap and familial status to assisted rental units and sales dwelling which are bein g marketed. The Developer shall have available at City request an Affirmative Marketing Plan that includes the following components:
EXAMPLE: Affordable Rental Housing Costs
1. 3 Bedroom apartment affordable to a low income household Affordable rent calculated at 60% AMI
Maximum monthly affordable rent = $1,138– utility allowance OR
1. 3 Bedroom apartment affordable to a moderate income household Affordable rent calculated at 110% AMI
Maximum monthly affordable rent = $2,087– utility allowance
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• Targeting: Identifying the segments of the eligible population which are least likely to apply for housing without special outreach efforts;
• Outreach: An outline of an outreach program which includes special measures designed to attract those groups identified as least likely to apply and other efforts designed to attract persons from the total population;
• Indicators: Statement of the indicators to be used to measure the success of the marketing program; and
• Staff Training: Demonstration of the capacity to provide training and information on fair housing laws and objectives to sales or rental staff. Developer must make a g ood faith effort to conduct outreach. This requires recorded activities and documented outreach to those individuals identified as least likely to apply, such as print and electronic advertising and Marketing housing to specific community, religious or other organizations frequented by those least likely to apply.
Waiting List
The developer shall have written procedures for selection of residents and any priority system in place. At the City’s request the procedures and copy of the active waiting list shall be furnished to the City.
Reporting
The Developer shall retain records and reports onsite and shall make such available to the City on request. This list of records and reports relating to the Project are in addition to any documents required by other funding sources. The records and reports include, but are not limited to the following:
• Eligible Tenant information, including yearly income verifications; • Housing payments charged to resident tenants, to the extent applicable; • On-site inspection results;
• Affirmative marketing records;
• Insurance policies and notices;
• Equal Employment Opportunity and Fair Housing records; • Labor costs and records;
• An audited income and expense statement and balance sheets for Developer; • An audited income and expense statement and balance sheets for the Project; • A Management Plan for the calendar year in which the report is prepared showing anticipated rental income, other income, expenses, anticipated repairs and replacements to the Project, timing of such repairs and replacements, insurance maintained on behalf of the Project, and such other matters as City shall require, in its sole discretion;
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• Federal and State income tax returns for the calendar year, ending on the preceding December 31st;
• Annual analysis of reserves for repair and replacement; • Annual certification and representation regarding status of all loans, encumbrances and taxes;
• Annual statement regarding condition of the Property and disclosing any known defects;
• An OMB A-133 financial audit;
• A report or reports, certifying compliance with the terms and provisions of the Section 3 requirements, as set forth in this Agreement and certifying compliance with the provisions of federal law as it relates to Section 3, whether or not specifically set forth herein; and,
• Such other and further information and records as City and/or HUD shall request in writing from Borrower.
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Appendix
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Exhibit 1 – Area of Low/Moderate Income Concentration
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Exhibit 12 – City of Chula Vista Income Guidelines
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Exhibit 23 – San Diego County Housing Authority Utility Allowance Schedule
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Exhibit 43 – Example Affordable Rental Rates
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Exhibit 45 – Example Affordable Sales Prices