HAYWARD CITY COUNCIL
RESOLUTION NO. 23-____
Introduced by Council Member _______________
RESOLUTION AUTHORIZING THE AMENDMENT TO RESOLUTION 23-066, THE RESOLUTION FOR THE CITY OF HAYWARD FISCAL YEAR 2024 MASTER UPDATING THE AFORDABLE HOUSING IN-LIUE FEES WHEREAS, Section 15273 of the California Environmental Quality Act (CEQA) Guidelines states that CEQA does not apply to the establishment, modification, structuring, restructuring, or approval of rates, tolls, fares, and other charges by public agencies which the public agency finds are for the purposes of:
Meeting operating expenses, including employee wage rates and fringe benefits; Purchasing or leasing supplies, equipment, or materials; Meeting financial reserve needs and requirements;
Obtaining funds necessary for capital projects necessary to maintain service within existing services areas; or Obtaining funds necessary to maintain intra-city transfers as are authorized by city Charter; and WHEREAS, The City Council finds and determines that this action is exempt from CEQA based on the foregoing provisions; and WHEREAS, In November 2010, California voters approved Proposition 26, which amended Article XIII C of the State constitution regarding the adoption of fees and taxes. Proposition 26 seeks to assure that taxes, which much be approved by the voters, are not disguised as fees, which can be approved by legislative bodies, such as a city council. The proposed amendment to the Master Fee Schedule (MFS) is compliant.
WHEREAS, to ensure that the Affordable Housing In-Lieu Fees adopted by this Resolution do not exceed the cost of providing affordable housing on-site or the actual affordable housing impacts attributable to the development projects on which the fee is imposed, the City Council has received and considered a report from Strategic Economics, Inc dated February 1, 2023 and entitled "Hayward Affordable Housing Ordinance Study," which includes, among other information, an affordability gap analysis, a financial feasibility analysis, and an on-site compliance cost analysis (the " SE Study"); WHEREAS, the SE Study found that the Affordable Housing In-Lieu Fees imposed by this Resolution are economically feasible and will not pose a constraint on the construction of housing in the City; and NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Hayward hereby adopts certain changes in the Master Fee Schedule relating to Affordable Housing In-lieu fees, as reflected in Exhibit A.
BE IT FURTHER RESOLVED, that this action is determined to be exempt from CEQA review for the reason stated herein.
IN COUNCIL, HAYWARD, CALIFORNIA _______________________, 2023 ADOPTED BY THE FOLLOWING VOTE:
AYES: COUNCIL MEMBERS:
MAYOR:
NOES: COUNCIL MEMBERS:
ABSTAIN: COUNCIL MEMBERS:
ABSENT: COUNCIL MEMBERS:
ATTEST: _______________________________________
City Clerk of the City of Hayward
APPROVED AS TO FORM:
___________________________________________
City Attorney of the City of Hayward
Exhibit A
Affordable Housing In-Lieu Fee
1 Residential Development Projects - Ten Units or More
a
High-Density Condominiums
(35 units per acre or more)
$19.35
Square Foot of Habitable Space*
Lower Density Ownership Housing
(Less than 35 units per acre)
$26.00
Square Foot of Habitable Space*
b
All other Dwellings Unit Types
$23.46
Square Foot of Habitable Space*
*NOTE:
Affordable Housing In-Lieu Fees shall be paid either prior to issuance of a building permit or prior to approval of a final inspection or issuance of an occupancy permit. Fees paid at occupancy shall be increased by 10 percent. Regardless of the option chosen, no final inspection will be approved and no occupancy permit will be issued for any Dwelling Unit unless all required Affordable Housing In-Lieu Fees for the project have been paid in full.
Habitable Space" means floor area within a Dwelling Unit designed, used, or intended to be used exclusively for living and sleeping purposes and exclusive of vent shafts, eaves, overhangs, atriums, covered entries and courts and any portion of a structure above ground used for parking, parking aisles, loading areas, or accessory uses. 2 Residential Development Projects - Two to Nine Units
Projects of two to nine units shall pay the following percentage of the fee calculated pursuant to Section 1 above:
Number of Units in the Project
Percentage of Calculated Fee
2 50%
3 67%
4 75%
5 80%
6 83%
7 86%
8 88%
9 89%
3 Fractional Units
If an applicant provides on-site Affordable Units under Chapter 10, Article 17 of the Hayward Municipal Code and elects to pay Affordable Housing In-Lieu Fees for a fractional unit, the fractional in-lieu fee payment shall be calculated as follows:
Fractional Unit/Total Affordable Unit Requirement x Per Square Foot Fee x Total Habitable Square Footage in the Project 4 Applications for Residential Development Projects of Two or More Units Deemed Complete as of December 20, 2017 a
Projects receiving all discretionary approvals by February 1, 2018: Affordable Housing Impact Fees in effect on December 20, 2017. b
Projects not receiving all discretionary approvals by February 1, 2018, provided that all discretionary approvals and building permit(s) are obtained within two (2) years of December 20, 2017: 50% of the Affordable Housing In-Lieu Fee calculated under either Section 3(1) or Section 3(2) of Resolution No. 17-167, as applicable, depending on the size of the project.
ATTACHMENT V