RESOLUTION NO. 22-78
Resolution Of The City Council Of The City Of Emeryville Adopting The 2022 Housing Affordability Table Pursuant To The Affordable Housing Program (Article 4 Of Chapter 5 Of The Planning Regulations)
WHEREAS, the City’s Affordable Housing Program (“AHP”) was adopted in 1990 and is now codified as Article 4 of Chapter 5 of Title 9 of the City of Emeryville Planning Regulations (the “AHP”), and
WHEREAS, prior to updates adopted in 2014, the AHP required that new residential and live-work developments of thirty or more units (rental or for-sale) have a set-aside of Below Market Rate (BMR) units; and
WHEREAS, the AHP now requires developers of new for-sale residential developments with ten or more units to set aside twenty percent of the units as affordable and restricted to moderate income households (“For-Sale Set Aside Units”); and WHEREAS, the AHP also requires developers of rental housing to pay an impact fee of $33,478 per unit or an in-lieu production requirement of eight percent of the units at the low income level and four percent at the very low income level (“Rental Set Aside Units”); and
WHEREAS, developers of For-Sale Set Aside Units and Rental Set Aside Units are required to enter into Affordability Agreements with the City of Emeryville to execute the requirements of the AHP, including the duration of the affordability covenants, the developer’s marketing requirements, the initial sales prices or rent levels as applicable, the designation of the Set Aside Units, and the required resale restriction documents; and WHEREAS, the initial sales prices or rent levels for each project subject to the AHP are determined in accordance with the definition of affordable housing cost found in state law at Section 50052.5 of the California Health and Safety Code (the “Code”); and WHEREAS, to implement the affordable housing cost requirements of the AHP, the City has prepared the 2022 Housing Affordability Table in accordance with the requirements of Section 50052.5 of the Code; and
WHEREAS, adoption of the 2022 Housing Affordability Table does not constitute a “project” under the California Environmental Quality Act (“CEQA”) and CEQA Guidelines section 15378 because it is an administrative activity that will not result in direct or indirect physical changes in the environment; now, therefore, be it RESOLVED, that the City Council of the City of Emeryville hereby adopts the 2022 Housing Affordability Table attached hereto as Exhibit A.
Resolution No. 22-78
2022 Housing Affordability Table
City Council Meeting | June 21, 2022
ADOPTED, by the City Council of the City of Emeryville at a regular meeting held Tuesday, June 21, 2022, by the following vote:
AYES: 4 Mayor Bauters and Council Members Donahue, Martinez and Welch NOES: 0
ABSTAIN: 0
ABSENT: 1 Vice Mayor Medina
MAYOR
ATTEST: APPROVED AS TO FORM:
CITY CLERK CITY ATTORNEY
ATTACHMENTS
Exhibit A – 2022 Housing Affordability Table
ASSUMPTIONS:
Interest Rate 4.25% Annual
Monthly interest rate 0.35% Monthly
Mortgage Term 360 months
Downpayment 5% PMI rate: 0.51%
Area Median Income 1 person 2 person 3 person 4 person
(AMI) $99,950 $114,250 $128,500 $142,800
MODERATE INCOME HOUSEHOLDS: 120% Area Median Income
HOUSEHOLD SIZE 1 person 2 person 3 person 4 person
Max Annual Income $119,950 $137,100 $154,200 $171,350
Amount Available for Housing=
35% of 110% of AMI* $3,207 $3,666 $4,123 $4,582
Mortgage $1,966 $2,269 $2,536 $2,799
Prop.Tax 0.001 $421 $486 $543 $599
HOA Dues $435 $470 $505 $540
Utilities $170 $200 $275 $357
Homeowner's Insurance $45 $45 $45 $45
PMI 0.005094 $170 $196 $219 $242
MORTGAGE $399,706 $461,269 $515,546 $568,980
UNIT SIZE Studio 1 Bedroom 2 Bedroom 3 Bedroom
AFFORDABLE SALES PRICE $420,743 $485,546 $542,680 $598,927 UNIT SIZE Studio 1 Bedroom 2 Bedroom 3 Bedroom
GROSS AFFORDABLE RENT $2,749 $3,142 $3,534 $3,927
MEDIAN INCOME HOUSEHOLDS: 100% Area Median Income
HOUSEHOLD SIZE 1 person 2 person 3 person 4 person
Max Annual Income $99,950 $114,250 $128,500 $142,800
Amount Available for Housing=
30% of 100% of AMI* $2,499 $2,856 $3,213 $3,570
Mortgage $1,553 $1,810 $1,993 $2,199
Prop.Tax 0.001 $332 $367.91 $426 $471
HOA Dues $400 $435 $475 $500
Utilities $170 $200 $275 $357
Homeowner's Insurance $43 $43 $43 $43
PMI 0 $0 $0 $0 $0
MORTGAGE $315,685 $367,906 $405,060 $447,005
UNIT SIZE Studio 1 bedroom 2 Bedroom 3 Bedroom
AFFORDABLE SALES PRICE $332,300 $387,269 $426,379 $470,532 LOWER INCOME HOUSEHOLDS: 80% Area Median Income
HOUSEHOLD SIZE 1 person 2 person 3 person 4 person
Max Annual Income $76,750 $87,700 $98,650 $109,600
Amount Available for Housing=
30% of 70% of AMI* $1,749 $1,999 $2,249 $2,499
Mortgage $935 $1,088 $1,199 $1,317
Prop.Tax 0.001 $200 $233 $257 $282
HOA Dues $400 $435 $475 $500
Utilities $170 $200 $275 $357
Homeowner's Insurance $43 $43 $43 $43
PMI 0 $0 $0 $0 $0
MORTGAGE $190,162 $221,182 $243,683 $267,669
UNIT SIZE Studio 1 bedroom 2 Bedroom 3 Bedroom
AFFORDABLE SALES PRICE $200,171 $232,823 $256,508 $281,757 UNIT SIZE Studio 1 bedroom 2 Bedroom 3 Bedroom
GROSS AFFORDABLE RENT $1,499 $1,714 $1,928 $2,142
VERY LOW INCOME HOUSEHOLDS: 50% Area Median Income
HOUSEHOLD SIZE 1 person 2 person 3 person 4 person
Max Annual Income $50,000 $57,150 $64,300 $71,400
UNIT SIZE Studio 1 Bedroom 2 Bedroom 3 Bedroom
GROSS AFFORDABLE RENT $1,249 $1,428 $1,606 $1,785
Affordable Housing Program Ordinance
CITY OF EMERYVILLE
HOUSING AFFORDABILITY TABLE: MAXIMUM SALES PRICES AND RENTS** 2022 Program Year (DRAFT)
Pursuant to the City of Emeryville
Requires Ownership projects of 10+ units to include 20% of project units at moderate income. Requires Rental Projects who opt for in lieu production to include 8% at the units to low income and 4% at very low income.
NOTE: Gross affordable rent is equal to 30% of 100% of AMI and includes the total of monthly payments for a rental unit including a reasonable allowance for utilities and any required service charges or fees charged to tenants. Utility allowance and required charges/fees must be deducted from rents shown above.
NOTE: Gross affordable rent is equal to 30% of 60% of AMI and includes the total of monthly payments for a rental including a reasonable allowance for utilities and any required service charges or fees charged to tenants. Utility allowance and required charges/fees must be deducted from rents shown above.
NOTE: Gross affordable rent is equal to 30% of 50% of AMI and includes the total of monthly payments for a rental including a reasonable allowance for utilities and any required service charges or fees charged to tenants. Utility allowance and required charges/fees must be deducted from rents shown above. ** The maximum sales prices and rents allowed pursuant to the City's Affordable Housing Program are based on the housing affordability definitions found in the California Health and Safety Code at Section 50052.5 and 50053. These are to be considered maximum amounts and do not take into account market conditions that may limit actual sales and rent values.
Exhibit A