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7 Resolution No. 2025-XXX N.C.S.
of the City of Petaluma, California
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PETALUMA APPROVING A RESIDENTIAL DENSITY BONUS AGREEMENT FOR THE 100% AFFORDABLE DEVELOPMENT PROJECT AT 2 ROVINA LANE, IN COMPLIANCE WITH PETALUMA IMPLEMENTING ZONING ORDINANCE SECTION 27.090
WHEREAS, the proposed 2 Rovina Lane Apartments project consists of a 32-unit, 100% affordable multifamily residential development on a ±1-acre infill site located at 2 Rovina Lane in the City of Petaluma; and WHEREAS, the project qualifies for an 80% density bonus pursuant to California Government Code Section 65915 and Petaluma Implementing Zoning Ordinance (IZO) Chapter 27, having committed to restricting 100% of its units (excluding one manager’s unit) to households earning between 30% and 80% of Area Median Income (AMI); and
WHEREAS, on April 23, 2024, the Planning Commission held a duly noticed public hearing to consider the request for Site Plan and Architectural Review and a Residential Density Bonus, at which time all interested parties had the opportunity to be heard; and
WHEREAS, on April 23, 2024, the Planning Commission considered the staff report and all public comments, and adopted a resolution to make findings to approve Site Plan and Architectural Review and to make a recommendation to the City Council to approve a Residential Density Bonus Agreement; and WHEREAS, Petaluma Implementing Zoning Ordinance Section 27.090 requires applicants for a Density Bonus, concession and/or incentive to enter into a Residential Density Bonus Agreement with the City, and that this agreement be approved by the City Council; and
WHEREAS, IZO Section 27.090 provides the requirements for a Residential Density Bonus Agreement, which have been incorporated into the draft Residential Density Bonus Agreement (DBHA) for the project, attached hereto and incorporated into this resolution as Exhibit A, and memorializes affordability restrictions, implementation of State-allowed development incentives, a schedule for unit production, and annual compliance reporting requirements to ensure the long-term affordability and administration of the deed-restricted units; and WHEREAS, the terms of the DBHA are substantially similar to those the City has executed with other developers as part of previous density bonus entitlements and reflect the City’s standard agreement structure used to implement State Density Bonus Law; and
WHEREAS, execution of the DBHA is also a necessary step to allow the developer to obtain external financing, as lenders and public funding agencies require executed affordability agreements as part of their underwriting and due diligence processes; and
WHEREAS, approval of the Density Bonus Housing Agreement is in the public interest and consistent with the goals, policies, and programs of the Petaluma General Plan and Housing Element; and NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Petaluma as follows:
Resolution No. 2025-XXX N.C.S. Page 2 of 3
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7 1. Declares the above recitals to be true and correct and are incorporated into this resolution as findings of the City Council.
2. Finds that the Project, as demonstrated in the CEQA Exemption Memo included as Attachment 2 to the concurrent staff report, is exempt pursuant to CEQA Guidelines Section 15194 (Affordable Housing Exemption). As detailed therein, the project meets the eligibility requirements set forth in Section 15192 (Threshold Requirements for Exemptions for Affordable Housing) and is consistent with the criteria set forth in Section 15194. This is the same finding that Planning Commission made on April 23, 2024, and the time to challenge the City's CEQA determination has lapsed. Moreover, the execution of the Density Bonus Housing Agreement is an administrative action undertaken to implement State-mandated affordability requirements and, as such, does not constitute a "project" under CEQA pursuant to Guidelines Section 15378.
It falls squarely within the scope of the City’s prior CEQA determination and does not trigger additional environmental review.
3. Based on its review of the entire record herein, including the May 16, 2022, City Council staff report, all supporting, referenced, and incorporated documents, and all comments received, the City Council hereby approves the Residential Density Bonus Agreement attached as Exhibit A hereto and incorporated herein by reference and authorizes the City Manager or her designee to execute the Residential Bonus Agreement.
Under the power and authority conferred upon this Council by the Charter of said City.
REFERENCE: I hereby certify the foregoing Resolution was introduced and adopted by the Council of the City of Petaluma at a Regular meeting on the 5th day of May 2025, by the following vote:
Approved as to
form:
__________________________
City Attorney
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST: ______________________________________________
City Clerk
______________________________________________
Mayor
Resolution No. 2025-XXX N.C.S. Page 3 of 3
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7 Exhibit A
Residential Density Bonus Agreement