CITY OF LOMA LINDA
CITY COUNCIL AGENDA
REGULAR MEETING
Tuesday, January 23, 2024, 7:00 PM
Council Chambers
25541 Barton Road
Loma Linda, CA 92354
Est. Duration: 1 hr
A regular meeting of the City Council of the City of Loma Linda is scheduled in the Council Chambers, 25541 Barton Road, Loma Linda, California. Under Municipal Code Section 2.08.010, study sessions or closed session items may begin at 5:30 p.m. or as soon thereafter as possible. The public meeting begins at 7:00 p.m.
Reports and Documents relating to each agenda item are on file in the Office of the City Clerk and are available for public inspection during normal business hours. The agenda and reports are also located on the City’s Website at www.lomalinda-ca.gov.
Materials related to an item on this Agenda submitted to the City Council after distribution of the agenda packet are available for public inspection in the City Clerk’s Office, 25541 Barton Road, Loma Linda, CA during normal business hours. Such documents are also available on the City’s website at www.lomalinda-ca.gov subject to staff’s ability to post the documents before the meeting.
Persons wishing to speak on an agenda item, including any closed session items, are asked to complete an information card and present it to the City Clerk before consideration of the item. When the item is to be considered, please step forward to the podium, the Chair will recognize you and you may offer your comments. The City Council meeting is recorded to assist in the preparation of the Minutes, and you are therefore asked to give your name and address before testifying.
The Oral Reports/Public Participation portion of the agenda pertains to items NOT on the agenda and is limited to 30 minutes; 3 minutes are allotted for each speaker. Under the Brown Act, no action may be taken by the City Council at this time; however, the City Council may refer your comments/concerns to staff or request that the item be placed on a future agenda.
In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk at (909) 799-2819. Notification 48 hours before the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. Later requests will be accommodated to the extent feasible.
A recess may be called at the discretion of the City Council.
Meetings are accessible to people with disabilities. Every attempt will be made to swiftly address each request. Requests in advance of the meeting will enable us to make reasonable arrangements to ensure accessibility to this meeting and the materials related to it. Individuals who need special assistance or a disability-related modification or accommodation to participate in this meeting, or who have a disability and wish to request an alternative format for the meeting materials, should contact the City Clerk at [email protected] or (909) 799-2819.
1: Call to Order
1A. Call to Order
1B. Roll Call
1C. Closed Session/Workshop
1D. Invocation and Pledge of Allegiance - Mayor pro tempore Dailey 1E. Items to be Added or Deleted
1F. Oral Reports/Public Participation - Non-Agenda Items (Each Speaker limited to 3 minutes. Pursuant to the Brown Act, no action or discussion can be taken by City Council) 1G. Conflict of Interest Disclosure
2: Scheduled and Related Items
2A. Public Hearing: An Urgency Ordinance adding Chapter 17.130 (Inclusionary Housing Requirements) to Title 17 (Zoning) of the Loma Linda Municipal Code [City Attorney] — 1. Introduce and Adopt Council Bill O-2024-02, an Urgency Ordinance adding Chapter 17.130 (Inclusionary Housing Requirements) to Title 17 (Zoning) of the Loma Linda Municipal Code (Development Code Amendment No. DCA-2024-0001); and
— 2. Determine additional environmental review is not necessary under 14 CCR 15183 because the City Council previously contemplated the development of residential units at all income levels in its General Plan and the associated environmental impact report (“EIR”) certified by the City Council in 2006, along with the subsequent three addendums. Based on staff’s analysis, that there are no environmental effects that are peculiar to the ordinance contemplated, were not analyzed as part of the prior EIR, pose potentially significant off-site or cumulative impacts, or made more severe with the introduction of new information. Further, determine that this ordinance is exempt from the California Environmental Quality Act under 14 CCR 15061(b)(3) because the ordinance does not approve a specific development project, change development or use standards, or increase any impact on the environment. It merely requires setting aside a certain number of units for affordable development at the proposed density. The physical environment will be changed by new development just as it would without this ordinance; who qualifies to live in the resulting ordinance is a social impact, not a physical impact on the environment.
3: Consent Calendar
3A. Demands Register - January 23, 2024 [Finance]
4: Old Business
5: New Business
6: Reports
6A. Reports of Council Members
6B. Reports Of Officers
7: Adjournment
POSTING
I, Lynette Arreola, City Clerk, do hereby certify and declare that, I caused this agenda to be posted at the following three (3) locations, to-wit:
Loma Linda Branch Library, 25581 Barton Road, Loma Linda, California City Council Chambers, 25541 Barton Road, Loma Linda, California U. S. Post Office Annex, Newport Avenue, Loma Linda, California Lynette Arreola, City Clerk
City of Loma Linda, California
Date Posted: January 18, 2024
City of Loma Linda
Regular City Council Staff Report
Prepared By: Lynette Arreola
Public Hearing: An Urgency Ordinance adding Chapter 17.130 (Inclusionary Housing Requirements) to Title 17 (Zoning) of the Loma Linda Municipal Code [City Attorney] Meeting
Tuesday, January 23, 2024, 7:00 PM
Agenda Group
Scheduled and Related Items Item: 2A
To
City Council
From
Lorena Matarrita, Community Development Director
Via
T Jarb Thaipejr, City Manager
Approved/Continued/Denied by City Council
Date:
REPORT PREPARED BY
Aleks R. Giragosian, Special Counsel
REVIEWED BY
Diane E. Robbins, City Attorney; Lorena Matarrita, Community Development Director
RECOMMENDATION
Staff recommends the City Council approve the proposed urgency ordinance by taking the following action:
1. Introduce and Adopt Council Bill O-2024-02, an Urgency Ordinance adding Chapter 17.130 (Inclusionary Housing Requirements) to Title 17 (Zoning) of the Loma Linda Municipal Code (Development Code Amendment No. DCA-2024-0001); and
2. Determine additional environmental review is not necessary under 14 CCR 15183, because the City Council previously contemplated the development of residential units at all income levels in its General Plan and the associated Environmental Impact Report (“EIR”) certified by the City Council in 2006, along with the subsequent three addendums. Based on the staff’s analysis that there are no environmental effects that are peculiar to the ordinance contemplated, were not analyzed as part of the prior EIR, pose potentially significant off-site or cumulative impacts, or made more severe with the introduction of new information. Further, determine that this ordinance is exempt from the California Environmental Quality Act under 14 CCR 15061(b)(3) because the ordinance does not approve a specific development project, change development or use standards, or increase any impact on the environment. It merely requires setting aside a certain number of units for affordable development at the proposed density. The physical environment will be changed by new development just as it would without this ordinance; who qualifies to live in the resulting ordinance has a social impact, not a physical impact on the environment.
BACKGROUND
According to the State Legislature, “California is experiencing a housing supply crisis, with housing demand far outstripping supply. In 2018, California ranked 49th out of the 50 states in housing units per capita.” The Legislature further finds, “California needs an estimated 180,000 additional homes annually to keep up with population growth, and the Governor has called for 3.5 million new homes to be built over the next 7 years.” According to the California Department of Housing and Community Development (“HCD”), “During the last ten years, housing production averaged fewer than 80,000 new homes each year, and ongoing production continues to fall far below the projected need of 180,000 additional homes annually.” The Legislature notes, “California is also experiencing rapid year-over-year rent growth with three cities in the state having had overall rent growth of 10 percent or more year-over-year, and of the 50 United States cities with the highest United States rents, 33 are cities 1 2
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in California.” “The housing crisis has particularly exacerbated the need for affordable homes at prices below market rates.” HCD estimates, ““The majority of Californian renters — more than 3 million households — pay more than 30 percent of their income toward rent, and nearly one-third — more than 1.5 million households — pay more than 50 percent of their income toward rent.” While the Riverside-San Bernardino metro area has the least expensive rental housing relative to other Southern California areas, it too is experiencing the effects of the state housing crisis. The County of San Bernardino found, “median rents are not affordable to low-wage workers.” According to the United States Census Bureau’s American Community Survey for 2019, in San Bernardino County, 46 percent of renting households pay 35 percent or more of their income on rent.
The Housing Element update process attempts to address the housing crisis regionally. Every eight years, the Southern California Association of Governments (“SCAG”) assigns member agencies a regional housing needs allocation (“RHNA”). As part of the sixth cycle RHNA, SCAG assigned the City of Loma Linda an allocation of 2,051 units to be accommodated within its jurisdictional boundary.
As part of the sixth cycle RHNA, Loma Linda is required per the SCAG allocation to accommodate 523 units affordable to very lowincome households, 311 units affordable to low-income households, and 352 units affordable to moderate-income households (collectively referred to as “Affordable Units”).
Loma Linda’s Housing Element designated sites throughout the City that can accommodate the development of Affordable Units. Loma Linda’s The Groves Specific Plan also established density standards to accommodate the development of affordable units. However, without mandating the development of Affordable Units through the adoption of a local ordinance, there is no assurance that a developer will develop the designated sites with Affordable Units — thereby undermining the City’s housing production goals of developing 1,186 Affordable Units within eight years and exacerbating the housing supply crisis locally and regionally.
In 2017, the California Legislature adopted the Senate Housing Package, which consisted of 15 bills designed to create and preserve affordable housing. The 2017 Senate Housing Package included Assembly Bill No. 1505 (“AB 1505”). AB 1505 states that a city may adopt an ordinance to “ Require, as a condition of the development of residential rental units, that the development include a certain percentage of residential rental units affordable to, and occupied by, households with incomes that do not exceed the limits for moderate-income, lower income, very low income, or extremely low-income households … .” Given the urgency of the state housing crisis and its impacts regionally in San Bernardino County, staff recommends the City Council exercise its authority under AB 1505 to adopt an inclusionary housing ordinance. AB 1505 notes, “Inclusionary housing ordinances have provided quality affordable housing to over 80,000 Californians, including the production of an estimated 30,000 units of affordable housing in the last decade alone”. State law allows for this particular ordinance to be adopted by a single reading with a four-fifths vote. The adoption of an urgency ordinance is necessary to preserve the public peace, health, and safety of residents by immediately ensuring each qualifying housing development project helps address the Affordable Unit development goals and the local and regional housing supply crisis.
ANALYSIS
The urgency ordinance adds Chapter 17.130, titled “Inclusionary Housing Requirements”, to the Zoning Code under Title 17. It applies to for-rent and for-sale housing development projects proposing ten or more dwelling units. A “housing development project” is defined to mean “the construction of all residential units, a common interest development created through the conversion of existing residential units …, and mixed-use development including a residential component.” If a project qualifies, the applicant can choose to either: (a) make a minimum of 10 percent of the total number of units affordable to very low-income households or (b) make a minimum of 5 percent of the total number of units affordable to very low-income households and 10 percent of the total number of units affordable to low-income households. The ordinance provides alternative methods of compliance, including (a) payment of an in-lieu fee of $243,750 per required affordable unit, (b) off-site construction of inclusionary units, and (c) rehabilitation of market-rate units and their conversion to affordable units. 4 5
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12 The inclusionary housing ordinance will require every applicant of a qualifying project to submit an inclusionary housing plan as part of its application. Once approved, the applicant must execute an inclusionary housing agreement that will be recorded on the title upon approval of a project. No certificate of occupancy will be issued until the applicant performs its obligations under the inclusionary housing agreement.
The inclusionary housing ordinance includes a number of safeguards to guarantee an applicant’s rights, including (a) a method to appeal in-lieu fees if the applicant believes the fees are not justified, (b) a method to request a takings determination if the applicant believes the inclusionary unit requirement is a regulatory taking, and (c) a process to appeal decisions regarding either the inclusionary housing agreement or takings determination.
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) STATUS
The ordinance is not subject to additional environmental review under 14 CCR 15183 because the City Council previously contemplated the development of residential units at all income levels in its General Plan and the associated Environmental Impact Report (“EIR”) certified by the City Council in 2006, along with the subsequent three addendums. Based on staff’s analysis, that there are no environmental effects that are peculiar to the ordinance contemplated were not analyzed as part of prior EIR, pose potentially significant off-site or cumulative impacts, or made more severe with the introduction of new information. Further, determine that this ordinance is exempt from the California Environmental Quality Act under 14 CCR 15061(b)(3) because the ordinance does not approve a specific development project, change development or use standards, or increase any impact on the environment. It merely requires setting aside a certain number of units for affordable development at the proposed density. The physical environment will be changed by new development just as it would without this ordinance; who qualifies to live in the resulting ordinance has a social impact, not a physical impact on the environment.
FISCAL IMPACT
There is no fiscal impact related to this text amendment.
PUBLIC NOTICING
The agenda for the City Council meeting to consider the described Urgency Ordinance and associated exhibit was posted in three public places (City Hall, library, post office) on January 18, 2024. Additionally, the agenda and complete packet were made available on the City’s website on the same day.
REFERENCES
Senate Bill No. 330 (“SB 330), § 2(a)(1).
SB 330, § 2(a)(4).
Department of Housing & Community Development, Addressing a Variety of Housing Challenges, (Jan. 16, 2024) https://www.hcd.ca.gov/policy-and-research/addressing-variety-housing-challenges SB 330, § 2(a)(3).
SB 330, § 2(a)(5).
Department of Housing & Community Development, Addressing a Variety of Housing Challenges (Jan. 16, 2024) https://www.hcd.ca.gov/policy-and-research/addressing-variety-housing-challenges.
San Bernardino County, Community Indicators: Rent Affordability (Jan. 16, 2024) https://indicators.sbcounty.gov/housing/rentalaffordability/.
San Bernardino County, Community Indicators: Rent Affordability (Jan. 16, 2024) https://indicators.sbcounty.gov/housing/rentalaffordability/.
San Bernardino County, Community Indicators: Rent Affordability (Jan. 16, 2024) https://indicators.sbcounty.gov/housing/rentalaffordability/.
Gov. Code, § 65850, subd. (g).
AB 1505, § 3(a).
Gov. Code, § 36937, subd. (b).
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Attachments
Attachment A - Urgency Ordinance Inclusionary Housing.pdf Council Bill O-2024-02
URGENCY ORDINANCE NO. XXXX
AN URGENCY ORDINANCE OF THE CITY COUNCIL OF
THE CITY OF LOMA LINDA, CALIFORNIA, ADDING
CHAPTER 17.130 (INCLUSIONARY HOUSING
REQUIREMENTS) TO TITLE 17 (ZONING) OF THE LOMA
LINDA MUNICIPAL CODE
WHEREAS, in 2019, the California Legislature adopted Senate Bill No. 330 (“SB 330”), titled the “Housing Crisis Act of 2019”;
WHEREAS, Section 2(a)(1) of SB 330 declares, “California is experiencing a housing supply crisis, with housing demand far outstripping supply. In 2018, California ranked 49th out of the 50 states in housing units per capita”;
WHEREAS, Section 2(a)(4) of SB 330 finds, “California needs an estimated 180,000 additional homes annually to keep up with population growth, and the Governor has called for 3.5 million new homes to be built over the next 7 years”;
WHEREAS, according to the California Department of Housing and Community Development (“HCD”), “During the last ten years, housing production averaged fewer than 80,000 new homes each year, and ongoing production continues to fall far below the projected need of 180,000 additional homes annually”;
WHEREAS, Section 2(a)(3) of SB 330 further finds, “California is also experiencing rapid year-over-year rent growth”;
WHEREAS, Section 2(a)(5) of SB 330 further finds, “The housing crisis has particularly exacerbated the need for affordable homes at prices below market rates”; WHEREAS, according to HCD, “The majority of Californian renters —more than 3 million households — pay more than 30 percent of their income toward rent, and nearly one-third — more than 1.5 million households — pay more than 50 percent of their income toward rent”; WHEREAS, although the Riverside-San Bernardino-Ontario Metropolitan area has the least expensive rental housing relative to other Southern California areas; it, too, is experiencing the effects of the State housing crisis;
WHEREAS, the County of San Bernardino found, “median rents are not affordable to low wage workers”;
WHEREAS, according to the United States Census Bureau’s 2019 American Community Survey , 46 percent of renting households in San Bernardino County pay 35 percent or more of their income on rent;
WHEREAS, the housing element update process attempts to address the housing crisis regionally;
WHEREAS, every eight years, the Southern California Association of Governments (“SCAG”) assigns its city and county member agencies a regional housing needs allocation (“RHNA”);
Ordinance No. XXXX
WHEREAS, as part of the sixth-cycle RHNA, SCAG allocated the City of Loma Linda 2,051 units;
WHEREAS, as part of the sixth-cycle RHNA, Loma Linda is required to identify adequate sites for 523 units affordable to very-low-income households, 311 units affordable to low-incomehouseholds, and 352 units affordable to moderate-income households (collectively, “Affordable Units”);
WHEREAS, Loma Linda’s Housing Element designated sites throughout the City that can accommodate development of the Affordable Units;
WHEREAS, without mandating the development of Affordable Units through the adoption of this ordinance, there is no assurance, nor are there apparent incentives, that a developer will develop the designated sites with Affordable Units — thereby undermining the City’s housing production goals of developing 1,186 Affordable Units within eight years and exacerbating the housing supply crisis locally and regionally;
WHEREAS, in 2017, the California Legislature adopted the Senate Housing Package, which included 15 bills intended to encourage creation and preservation of affordable housing; WHEREAS, the 2017 Senate Housing Package included Assembly Bill No. 1505 (“AB 1505”);
WHEREAS, AB 1505 added subdivision (g) of Government Code section 65850, which states that a city may adopt an ordinance to “[r]equire, as a condition of the development of residential rental units, that the development include a certain percentage of residential rental units affordable to, and occupied by, households with incomes that do not exceed the limits for moderateincome, lower income, very low income, or extremely low income households”; WHEREAS, Section 3(a) of AB 1505 notes, “Inclusionary housing ordinances have provided quality affordable housing to over 80,000 Californians, including the production of an estimated 30,000 units of affordable housing in the last decade alone”; WHEREAS, under Government Code section 36937, subdivision (b), an ordinance may take effect immediately if it is an ordinance “[f]or the immediate preservation of the public peace, health or safety, containing a declaration of the facts constituting the urgency, and is passed by a four-fifths vote of the city council”; and
WHEREAS, failure to adopt these requirements on an urgency basis will encourage developers to seek to evade the ordinance’s requirements to gain an advantage over competitors, defeating the State’s and City’s objective to address the housing affordability crisis; WHEREAS, the City Council desires to adopt an inclusionary housing ordinance on an urgency basis to preserve the public peace, health, and safety by immediately ensuring each qualifying housing development project helps address the Affordable Unit development goals and the local and regional housing supply crisis as described by SB 330.
Ordinance No. XXXX
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LOMA LINDA DOES ORDAIN AS FOLLOWS:
SECTION 1. Findings. The above recitals are true and correct and incorporated herein by reference.
SECTION 2. Addition. Chapter 17.130 (Inclusionary Housing Requirements), attached hereto as Exhibit A, is added to Title 17 (Zoning) of the Loma Linda Municipal Code.
SECTION 3. CEQA. The City Council determines this ordinance is not subject to additional environmental review under 14 CCR 15183 because the City Council previously contemplated the development of residential units at all income levels in its General Plan and the associated environmental impact report (“EIR”) certified by the City Council in 2006, along with the subsequent three addendums. Based on staff’s analysis, that there are no environmental effects peculiar to this ordinance that were not analyzed as part of the prior EIR, pose potentially significant off-site or cumulative impacts, or made more severe by the adoption of this measure.
Further, the City Council determines that this ordinance is exempt from further review under the California Environmental Quality Act by 14 CCR 15061(b)(3) because the ordinance does not approve a specific development project, change development or use standards, or increase any impact on the environment. It merely requires setting aside a certain number of units for affordable development at the proposed density. The physical environment will be changed by new development just as it would without this ordinance; who qualifies to live in the resulting ordinance is a social impact, not a physical impact on the environment.
SECTION 4. Severability. If any section, subsection, sentence, clause or phrase of this ordinance or Exhibit A to this ordinance shall be held invalid or unconstitutional by a court of competent jurisdiction, such invalidity shall not affect the validity of the remaining portions of this ordinance or Exhibit A to this ordinance.
SECTION 5. Effective Date. This urgency ordinance was adopted by the necessary four-fifths (4/5) vote of the City Council pursuant to Government Code Section 36937, subdivision (b), and shall become effective immediately upon its adoption.
SECTION 6. Certification. The City Clerk shall certify as to the passage and adoption of this ordinance and shall cause the same to be posted at the designated locations in the City.
PASSED, APPROVED, AND ADOPTED this 23rd day of January 2024 by the following vote:
Ayes:
Noes:
Absent:
Ordinance No. XXXX
Phill Dupper, Mayor
ATTEST:
Lynette Arreola, City Clerk
ENCLOSURE:
Exhibit A: Chapter 17.130 Inclusionary Housing Requirements Exhibit A
Chapter 17.130 INCLUSIONARY HOUSING REQUIREMENTS
17.130.010 Purpose.
Pursuant to Government Code section 65850 et seq., this chapter establishes an inclusionary housing requirement to encourage the development of residential units that are affordable to a range of households with varying income levels.
17.130.020 Definitions.
“Affordable Housing Cost” as to rental units means rent determined under the applicable subsection of Health and Safety Code Section 50053, and as to ownership units means the housing cost determined under the applicable subsection of Health and Safety Code Section 50052.5.
"Affordable housing development agreement” means an agreement to develop affordable units, that is approved by the appropriate reviewing authority, fully executed, and recorded on title with San Bernardino County.
“Affordable unit” means a dwelling unit which is affordable to a very low income household, a low income household, or a moderate income household.
“Density bonus” means a density increase over the otherwise maximum allowable gross residential density as of the date of application per Government Code Section 65915 et. seq. “Housing development project” means the construction of all residential units, a common interest development created through the conversion of existing residential units that were not subject to this chapter at the time of construction, and mixed use development including a residential component.
“Inclusionary housing agreement” means an agreement based on the inclusionary housing plan that is approved by the appropriate reviewing authority, fully executed, and recorded on title with San Bernardino County.
“Inclusionary housing plan” means a proposal identifying the number and type of affordable units and detailing how the requirements of this chapter will be satisfied. “Inclusionary Housing Trust Fund” means a separate fund of the city in which is deposited all monies collected under this chapter, which shall be used to promote the construction, rehabilitation, and maintenance of affordable units, including administrative costs related to monitoring inclusionary housing agreements and deed restrictions on affordable units. “Low income household” means households whose income does not exceed 80 percent of the area median income for San Bernardino County, as published and periodically updated by the California Department of Housing and Community Development pursuant to Health and Safety Code Section 50079.5.
Exhibit A
“Moderate income household” means households whose income does not exceed 120 percent of the area median income for San Bernardino County, as published and periodically updated by the California Department of Housing and Community Development pursuant to Health and Safety Code Section 50093.
“Very low income household” means households whose income does not exceed 50 percent of the area median income for San Bernardino County, as published and periodically updated by the California Department of Housing and Community Development pursuant to Health and Safety Code Section 50105.
17.130.030 Applicability.
A. All housing development projects proposing ten or more dwelling units shall include units that are affordable to very low and/or low income households, in compliance with this chapter.
B. Housing development projects for parcels with existing dwelling units shall be subject to this chapter if the sum of the existing dwelling units and the proposed dwelling units, net of any demolition, equal ten or more dwelling units.
C. Subdivision maps dividing a parcel with existing dwelling units shall require, as a condition of approval, that if a housing development project is proposed on any newly created parcel, the proposed project shall be subject to this chapter if the sum of the existing dwelling units and any proposed dwelling units, net of any demolition, equal ten or more dwelling units.
17.130.040 Exemptions.
This chapter shall not apply to the following:
A. A housing development project application determined to be complete by staff or deemed complete by law as of the effective date of the ordinance codifying this chapter.
B. The portion of a housing development project located within a designated landmark building or contributing structure to a designated historic district that is retained and preserved on site as part of a housing development project in compliance with the Secretary of the Interior’s standards.
C. A housing development project that proposes at least 50 percent of all units, excluding density bonus units, available at an Affordable Housing Cost.
D. A housing development project that is exempt from this chapter by state law, including a housing development project for which the city enters into a statutory development agreement.
17.130.050 Affordable unit requirement.
A. An applicant may comply with this chapter by satisfying either of the options below:
Exhibit A
1. A minimum of 10 percent of all dwelling units in a housing development project shall be developed, offered to, and sold or rented to very low income households, at an Affordable Housing Cost.
2. A minimum of 5 percent of all dwelling units in a housing development project shall be developed, offered to, and sold or rented to very low income households at Affordable Housing Cost for Very low income households and 10 percent of all dwelling units in a housing development project shall be developed, offered to, and sold or rented to low income households at Affordable Housing Cost for Low income households.
B. Rounding calculations. In calculating the required number of inclusionary units, any fractional units will be rounded-up to the nearest whole number.
17.130.060 Alternative methods of compliance.
As an alternative to developing inclusionary units within an affected housing development project, the applicant may satisfy the requirements of this chapter by applying for one or more of the following:
A. In lieu fee. The applicant may choose to pay a fee, as established from time to time by the city council, in lieu of providing all or some of the inclusionary units.
B. Off-site construction. At the discretion of the reviewing authority and upon application by the developer, the applicant may satisfy the inclusionary unit requirement, in whole or in part, by constructing the required number of units on a site other than that of the affected housing project pursuant to an affordable housing development agreement.
C. Rehabilitation. At the discretion of the reviewing authority and upon application by the developer, the applicant may acquire and rehabilitate market rate units within the city and convert those units to affordable units. The rehabilitation of the market rate units shall improve the units’ structural integrity and livability to include improvements to the roofing, flooring, plumbing, heating, and air conditioning, as applicable. Any such rehabilitation shall be pursuant to an affordable housing development agreement.
17.130.070 Inclusionary housing plan and agreement.
A. Application. The applicant shall submit an inclusionary housing plan as part of the housing development project application which must be approved by the city manager or his or her designee.
B. Consideration. An inclusionary housing agreement shall be prepared by the city and reviewed concurrently with the underlying land use permit and entitlement applications for a housing development project.
C. Prohibitions.
Exhibit A
1. No application shall be deemed complete until the applicant has submitted an inclusionary housing plan as part of the housing development project application and received approval from the city manager or his or her designee.
2. No discretionary approval shall be issued for all or any portion of a housing development project until the inclusionary housing agreement has been approved by the appropriate reviewing authority.
3. No building permit shall be issued for all or any portion of a housing development project unless the inclusionary housing agreement has been executed and recorded.
4. No certificate of occupancy shall be issued for all or any portion of a housing development project unless the applicant performs its obligations under the inclusionary housing agreement.
17.130.080 Implementation standards.
A. Access. Residents of inclusionary units shall have equal access to use of all on-site amenities.
B. Construction. All inclusionary units shall be:
1. reasonably dispersed throughout the housing development project;
2. proportional in number, bedroom size, and location, to the market rate units; and
3. comparable with the market rate units in terms of the appearance, base design, materials, amenities, and finished quality.
C. Duration of Affordability. All required inclusionary units shall be reserved for the following minimum time periods.
1. Units for sale. A unit for sale shall be reserved at the applicable Affordable Housing Cost for a minimum of 45 years.
2. Units for rent. A unit for rent shall be reserved at the applicable Affordable Housing Cost for a minimum of 55 years.
D. Tenant Preference Policy. Any tenant preference and priority system set forth in this code shall be used to determine eligibility among prospective beneficiaries for inclusionary units created through this chapter.
E. Timing of construction. All inclusionary units shall be constructed concurrent with, or before the construction of the market rate units. If the city approves a phased project, the required inclusionary units shall be provided within each phase of the housing development project and per the inclusionary housing agreement.
Exhibit A
F. Subleases, assignments, and purchases. If the housing development project consists of units for rent, the inclusionary housing agreement shall prohibit tenants from subleasing affordable units or assigning rights with respect to affordable units. If the housing development project consists of units for sale, the inclusionary housing agreement shall require homeowners to occupy the unit.
17.130.090 In-lieu fee payment and administration.
Payment of an in-lieu fee as an alternative to on-site provision of inclusionary units shall comply with this section.
A. Establishment. The city council shall establish the amount of the in-lieu fee by resolution, which shall be reviewed and adjusted annually prior to the succeeding fiscal year.
B. Amount of fee. The amount of the fee shall be based on a per unit price that is equivalent to the cost of providing a comparable unit that would have been provided in the housing development project based on the requirements in this chapter.
C. Estimate. Until such time as the city council establishes a fee, the amount of the in-lieu fee shall be equal to $243,750 per unit, which represents the investment required by the city or the Loma Linda Housing Authority to create an affordable housing unit in its most recent transaction concerning the creation of affordable housing units.
D. Timing of payment. The in-lieu fee shall be paid before issuance of a building permit for any part of the housing development project.
E. Deposits. In lieu-fees collected shall be deposited in the Inclusionary Housing Trust Fund.
F. State density bonus. Payment of an affordable housing in-lieu fee shall not be considered a provision of affordable housing units for purposes of determining whether the housing development project qualifies for a state density bonus.
G. Appeals. An applicant may appeal the in-lieu fees under the protest provisions of the Mitigation Fee Act pursuant to Government Code Section 66020.
17.130.100 Enforcement.
A. Forfeiture of funds. Any individual who sells or rents an inclusionary unit in violation of this chapter shall be required to forfeit all money so obtained. Recovered funds shall be deposited into the Inclusionary Housing Trust Fund.
B. Enforcement. The city may institute any appropriate administrative or legal actions or proceedings necessary to ensure compliance with this chapter, including actions:
1. to disapprove, revoke, or suspend any permit, including a building permit, certificate of occupancy, or ministerial or discretionary approval; and
2. for injunctive relief and/or damages.
Exhibit A
C. Recovery of replacement Affordable Housing Cost. In the event one or more units becomes noncompliant, the City will likely experience substantial costs to replace that unit.
Historically, land costs, interest costs, and construction costs, among other factors, have increased significantly over time and it is reasonably foreseeable that these will continue to increase in the future. In addition, the City would incur costs associated with negotiation and preparation of documents, and would likely incur recording costs and development fees. As part of the damages the City would be entitled to recover would be the costs to replace a noncompliant unit; these costs could exceed the initial cost of development of the unit that has become noncompliant. Notwithstanding the recovery of damages and replacement costs, the original covenanted unit which has become noncompliant would remain subject to the recorded restrictions.
D. Recovery of fees and costs. In any action to enforce this chapter or an inclusionary housing agreement, the city shall be entitled to recover its reasonable attorneys’ fees and costs.
17.130.110 Takings determination.
A. Application. Within 15 days of the approval or disapproval of the inclusionary housing plan by the city manager or his or her designee, an applicant may request a determination that the requirements of this chapter, taken together with the benefits under state density bonus law as applied to the housing development project, would legally constitute a taking of property of the housing development project without just compensation under the California or United States Constitutions.
B. Burden on applicant. The applicant has the burden of providing economic information and other evidence necessary to establish that application of the provisions of this chapter to the housing development project would constitute a taking of property without just compensation.
C. Reviewing Authority. The determination shall be made by the planning commission.
D. Presumption of facts. In making the taking determination, the review authority shall presume each of the following facts:
1. The application of the inclusionary housing requirements of this chapter to the housing development project;
2. The application of the maximum benefits the housing development project qualifies for under the density bonus law;
3. The utilization of the most cost-efficient product type for the inclusionary units, where the option is available to the applicant; and
4. The utilization of external funding where reasonably likely to occur.
E. Modifications to reduce obligations. If it is determined that the application of the provisions of this chapter would be a taking, the inclusionary housing plan shall be modified to reduce the obligations in the inclusionary housing component to the extent, and Exhibit A
only to the extent necessary, to avoid a taking. If it is determined no taking would occur through application of this chapter, the requirements of this chapter remain applicable.
17.130.120 Appeals.
A. Application timeline. The applicant may appeal any inclusionary housing agreement or takings determination within 10 days after notice of the decision to the applicant.
B. Appeal application. The appeal application must include:
1. a copy of the decision being appealed and the basis for the appeal;
2. the appeal application fee, as determined by the city council.
C. Reviewing authority. The reviewing authority shall be the city council or its designee.
D. Appeal timeline. An appeal shall be scheduled within sixty days of receipt by the city of an appeal application. Notice of the appellate decision shall be provided within sixty days of the close of the appeal hearing.
E. Notice. The city shall give notice of the appeal in the same manner as the notice required for hearings before the planning commission.
F. Standard of review. The planning commission’s determination shall not be given deference.
The appeal review body shall review the decision, hear new evidence and testimony, if offered, and, in deciding the appeal, may affirm, reverse, or modify the decision.
G. Final decision. The decision of the reviewing authority shall be final.
City of Loma Linda
Regular City Council Staff Report
Prepared By: Lynette Arreola
Demands Register - January 23, 2024 [Finance]
Meeting
Tuesday, January 23, 2024, 7:00 PM
Agenda Group
Consent Calendar Item: 3A
To
City Council
From
Sonia Fabela, Finance Director
Attachments
CC Demands Registers - January 23, 2024.pdf
Approved/Continued/Denied by City Council
Date:
RECOMMENDATION:
It is recommended that the City Council approve the attached list of demands for payment.