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HomeMy WebLinkAboutWorkforce Housing Minutes 09-14-2007BOARD OF COUNTY COMMISSIONERS ST. LUCIE COUNTY, FLORIDA WORKFORCE HOUSING WORKSHOP Date: September 14, 2007 Convened: 2:15 p.m. Adjourned: 3:30p.m. Commissioners Present: Chairman, Chris Craft, Joseph Smith, Paula A. Lewis, Doug Coward, Chazles Grande Others Present: Faye Outlaw, Asst. County Administrator, Heather Young, Asst. County Attorney, Beth Ryder, Community Services Director, John Franklin, Community Housing Manager, Millie Delgado-Feliciano, Deputy Clerk The Housing Manager made opening remarks and introduced the housing panel. Mr. Franklin advised the Boazd they did not distribute the inclusionary housing draft due to the fact there were some errors that needed to be corrected. This was a rough draft. Mr. Greg Vaday, addressed the Boazd with regazd to what the panel has been working on. He expressed his gratitude to the Florida Housing Coalition for their assistance. Ms. Jamie Ross, Director 1000 Friends of Florida, addressed the inclusionary housing program and the partner ship of local government and the building sector. The inclusionary zoning ordinance was pushed back by the Builders Association. The building community was opposed to it. A video was presented showing the research done nationwide. Ms. Ross stated the inclusionary zoning was a smart growth tool that promotes balanced residential development. Com. Granted recommended the Growth Management department designate a staff member to work with this workforce panel and felt their input was very important. Com. Cowazd commented on the fact that Growth Management staff spends a lot of their time dealing with many applications and chasing after the developers following up on the applications etc., they have very little time to spend on these issues. He believes its time the Boazd re-think these issues and their philosophy. Com. Grande stated its time they stop thinking of the Growth Management department as an azea that only reviews applications. Com. Smith recommended looking into come incentives to assist those who would like to get into the types of housing where the homes may need some rehabilitation. Com. Cowazd stated he did not want a community where the rich aze gated and kept away from others he wants a mixed economic community living together. Ms. Nancy Offutt, representing the TC Builders Association, and stated the association was happy with the recommendations brought forwazd by the task force. They support voluntary inclusion. They are against mandatory inclusionary zoning. They feel inclusionary zoning is requiring the builders subsidize those who cannot afford the mazket price of a home. She asked if they were subsidizing the employee or the employer who is not paying an equitable salary for the people to afford a home. Com. Smith stated he wanted to work with the TC Builders Association on these issues. a.. ..~~ ....r Ms. Offutt stated they wrote a letter to the Commission expressing their support for incentivised housing programs but if it is mandated they would have a problem with it. Mr. McKenzie addressed the Boazd and stated yes the house prices did go through the roof but it is not all profit, a lot of it is the cost of materials including the increase in labor costs. This has played as much of a part in the increase price of the house. This needs to be looked at from all aspects. Com. Cowazd stated what the Boazd is attempting to do is if a developer comes forward with a piece of property where he can build a certain amount of home and requests they be permitted to build more than that amount(an increase in density) ,the Boazd could consider the request provided it meets the codes and the Boazd may request out of those additional homes that can be built, 10 of those additional homes be in the affordable housing program. This is what they are trying to do with inclusionary zoning. Mr. Skeet Jornigan, Economic Development Council representing major land developers, major land owners stated the reason they have a problem with the inclusionary zoning is because he has yet to see this type of an ordinance in the state that had not placed a cost burden on the development industry and the building industry. Com. Craft stated he felt the development industry needs to earn the additional density they request and would want to know what would be the additional benefit to the community. Mr. Jornigan stated the ordinance is still a work in progress. They will work with the county to ensure this would be the first ordinance where there will be a fair share of the burden in the entire community in exchange for the developers to provide affordable housing. They were in support of the original staff recommendation, avoluntary inclusionary program. He stated the task force recommends having a voluntary inclusionary program and they support this. A panel member advised the Board that Palm Beach stazted a program like this on a voluntary basis and when no one came forward they then made it mandatory. Com. Craft sated somewhere along the line someone will have to pay for the increase i.e. if salaries go up, taxes will need to be increased, if Wal-Mazt pays their employees more then the cost of merchandise will increase. The Asst. County Administrator requested if the Growth Management department is going to be involved in this issue, she asked the Boazd give them until the end of October early November to get them going. She felt the department should be involved in planning and not just turning azound applications. Com. Cowazd stated he was ready for this to stazt moving forward for the public heazing process. He does not wish to send this back to a workshop and have it go through 6 months of more review. Com. Lewis recommended having one more opportunity for public comment by having another workshop. Com. Smith concurred with Com. Lewis in giving the public one last shot at this issue. Com. Lewis' comments were unintelligible. Com. Craft recommended having a workshop after the ordinance is refined and then sending it forward to the Growth Management Depazment. Com. Grande stated he hoped the public would come forwazd with recommendations and not just say it was a bad idea. Com. Cowazd stated he would like to see information showing where is the voluntary inclusionary basis working. 2 The County Administrator stated they were having a difficult time scheduling regular meeting and a workshop would be difficult to schedule. The Assistant County Administrator stated she did not hear that a workshop was to be scheduled she was under the assumption it would be a public meeting. Com. Lewis stated she was referring to a public meeting not a workshop with the Board. Mr. Vaday asked for direction from the Board on what the next step would be in order for them to move forward. He advised the Board the average wage in our community is about $38,000 and nationwide it is at $41,000 so the county is still behind. The Board acknowledged this information. The meeting was adjourned. C ~ Ci NT ~_ ~.:k F L O R I D A~ BEFORE THE BOARD OF COUNTY COMMISSIONERS ST. LUCIE COUNTY ORDINANCE NUMBER AN ORDINANCE OF ST. LUCIE COUNTY, FLORIDA, AMENDING CHAPTER VII OF THE ST. LUCIE COUNTY LAND DEVELOPMENT CODE; ADOPTING SECTION 7.04.05, INCLUSIONARY HOUSING; PROVIDING FOR APPLICABILITY; PROVIDING FOR CONFLICTING PROVISIONS; PROVIDING FOR SEVERABILITY; PROVIDING FOR FILING WITH THE DEPARTMENT OF STATE' PROVIDING FOR CODIFICATION; AND DEPARTMENT OF STATE PROVIDING FOR CODIFICATION; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, St. Lucie County faces a shortage of affordable housing for households with moderate incomes, including key members of the local workforce; and WHEREAS, this shortage has increased substantially in the past several years so that the existing median home sales price far exceeds that which can be afforded by those earning median income; and WHEREAS, new development does not serve low and moderate income households, and the high cost of new construction and rising property values throughout the community are making it more difficult for moderately-priced housing to be produced; and WHEREAS, without action to require new development of a certain size to con~ain some percentage of affordable housing, the County's affordability problem will worsen, leading to deleterious effects on the health, safety and welfare of the community, as more families spend more than half their income on housing, as seniors are forced to leave, and as employers find it more difficult to find employees; and WHEREAS, the remaining available land for development in the County is limited, it is prudent to require that some percentage of all new development be priced affordably for low and moderate income households; and WHEREAS, Goal 5.2 of the Housing Element of the St. Lucie County Comprehensive Growth Management Plan is to "provide an adequate mix of safe and sanitary housing that meets the needs of existing and future St. Lucie County resident WHEREAS, the Board of County Commissioners has adopted the St. Lucie County Comprehensive Growth Management Plan within which are included goals, objectives, and policies related to the process for review and approval of certain development applications; and Florida Housing Coalition, Inc. 3-2-07 Draft for Circulation 60 WHEREAS, Chapter 163, Part II, Florida Statutes, requires the implementation of these goals, objectives and policies through the adoption of consistent land development regulations; and. WHEREAS, this proposed amendment to Chapter VII, of the Land Development Code, St. Lucie County Code, has received public hearings before the Local Planning Agency and the Board of County Commissioners; and WHEREAS, The Board of County Commissioners finds the proposed amendment consistent with the goals, objectives and policies of the Comprehensive Growth Management Plan. NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF COUNTY COMMISSIONERS. ST. LUCIE COUNTY. FLORIDA, THAT: PART 1: Adoption of inclusionary housing requirements. Section 7.04.05 of Chapter VII is hereby adopted as follows: Section 7.04.05 Inclusionary Housing. A. Findings B. Purpose and intent C. Definitions D. Applicability E. Requirements for Inclusionary Housing F. Incentives for Provision of Inclusionary Housing G. Compliance Procedures H. Alternative Compliance I. Monitoring and Periodic Review A. Findings. 1 The Housing Element of the St. Lucie County Growth Management Plan has determined a need for 8,755 new single family dwelling units and a minimum of 1,622 new multifamily dwelling units by the year 2010 in unincorporated areas. The Future Land Use Map designated 1,868 acres to accommodate 9340 new single family dwelling units and 754 acres to accommodate a minimum of 6,786 new multifamily dwelling units. 2 Over 38,000 single family and multifamily units have been approved or are pending approval in unincorporated St. Lucie County between 2003 and 2007 yet only 15% of 2006 sales were affordable to households earning 100% of the area median income. Affordable housing is not being built in St. Lucie County by the private sector to meet current or future demand. 3 In 2000, there were 2,495 single family homes sold countywide that a household earning 100% of the median income of $49,600 could afford, equaling 2,070 homes or 83% of the total sales volume. In 2006, only 1,012 homes were sold that could be affordable to a household earning 100% of the median income of $54,600, representing just 15%% of the total sales volume. of 6,750 single family homes sold. 4. Hurricanes in 2004 and 2005 destroyed or significantly damaged over 51,000 homes, over half of the housing inventory of the county. Many of these homes were occupied by very low, low or moderate income households. 4 In 2005, one quarter of lower income households, or 21,090, spent over 30% of their income for housing, nine percent, or 8,082 spent over 50% of their income for housing costs. 5 The County expends local, state and federal dollars to address the need for affordable housing, but these efforts fall short of the need, for example an estimated 12 units are produced or rehabilitated under the Local Housing Assistance Plan (excluding disaster programs) but the Future Land Use and Housing elements estimate a need for 165 new units per year to meet current and projected need. The waiting list for housing assistance averages 290 persons in need. 6 Without immediate action to require new developments of a certain size to contain some percentage of affordable units, the gap between affordable non- affordable units will continue to expand, worsening the affordability problem leading to deleterious effects on the health, safety, and welfare of the community forcing more families to leave the area or commute long distances, and resulting in employers finding it difficult or impossible to find employees, especially among the essential service workforce. 7 Demographics and analyses of new housing indicates that a large majority of private development is geared toward high-priced housing and does not serve households earning less than one hundred percent (100%) of area median income.. 8 Developer practices produce the undesirable effect of limiting housing available to moderate and low-income households, thus failing to implement the housing goal of St. Lucie County Comprehensive Plan of 2002 of dispersal of a diverse range of housing throughout the County. lO.The continuing high level of unmet demands for housing, discourages developers from offering a more diversified price range of housing, and contributes to the unwillingness of developers to create moderately priced housing. 11.Rapid regional growth and strong housing demand have combined to make land and construction costs higher, causing a rise in the price of housing and causing affordable housing to be located in limited areas. 12.Income has not kept pace with this rapid and significant increase in the cost of housing in St. Lucie County. 13.Providing incentives to developers will assist developers in providing affordable housing units as an integral part of new developments. 14.Developers of new housing are not meeting the need for moderately priced, dwelling units. The provision of only higher priced housing contributes to the lack of affordable housing. 15.Without a program requiring the building of moderately priced housing, based on current trends, it is unlikely that developers will provide such housing on their own initiative, leaving St. Lucie County Florida Housing Coalition, Inc. 3-2-07 Draft for Circulation 62 citizens without sufficient affordable housing. B. Purpose and Intent. The purpose and intent of this Section is to: 1 Stimulate private sector production of housing to serve moderate income households in order to ensure that the County can be competitive in attracting and maintaining a local workforce. 2 Encourage development that includes a range of housing opportunities through a variety of rental or sales process, and variety of residential unit types. 3 Encourage the even distribution of affordable housing opportunities in all areas of the County ~^ ~~ i ~~ wherever new residential development is occurring. 4 Reduce regional commuting by encouraging those who working St. Lucie County to also live in St. Lucie County. C. Definitions. For purposes of this Section, the following words, terms and phrases shall have the meanings set forth below: 1 Affordable means housing payments including mortgage principal, interest, taxes and insurance or rent plus utilities does not exceed 30% of the area median income (AMI) or in compliance with the St. Lucie County Local Housing Assistance Plan adopted pursuant to Florida Statutes Section 420.9071(19), (20) and (28). 2. Area median income (AMI) means the median family income for the Fort Pierce/ St. Lucie Metropolitan Statistical Area as published and updated annually by the U.S. Department of Housing and Urban Development. 2 Essential Services Personnel means persons in need of affordable housing who are employed in occupations or professions in which they are considered essential services personnel per Chapter 63.37.002(6) F.A.C. and whose incomes are at or below 140% of the area median income (AMI). 3 Inclusionary housing unit means a newly constructed residential dwelling unit that meets the criteria set forth in Section C. 4 Low income category means household incomes at or below 80% of the area median income as published and updated annually by the U.S. Dept. of Housing and Urban De~lelopment and the Florida Housing Finance Corporation. 5 Market-rate unit means a residential dwelling unit that is not an inclusionary housing unit. 6 Moderate income category means household incomes at or below 120% of the area median income as published and updated annually by the U.S. Dept. of Housing and Urban Development and the Florida Housing Finance Corporation. 7 Moderately Priced Dwelling Units (MPDU) means dwelling units that have been determined to be affordable by households whose gross annual income does not exceed 140% of the area median income (AMI). 8 Workforce Housing Unit means a dwelling unit that is considered affordable to households with a gross household income not exceeding 140% of the area median income. This definition shall include households considered "essential service workers." D. Applicability 1 In general. The requirements of this Section shall apply to all development applications proposing new residential dwelling units, except as othervise provided in this section. ^ 2. Exemptions. The following shall be exempt from the requirements of this section: ^ a. The construction or replacement of single-family, mobile home, or duplex swelling units on lots lawfully established prior to the effective date of this Section, where site plan approval is not required pursuant to Chapter XI of the Land Development Code. ^ b. The redevelopment or reconstruction of residential development sites, such as multifamily developments and mobile home parks, where such redevelopment does not involve the development of additional residential dwelling units. The maximum number of additional units in any redevelopment project that may be exempt from the requirements of this section shall be no more than 12. ^ c. The construction of accessory dwelling units. As defined in Chapter VIII of the Land Development Code. [FHC Note: this chapter will be recommended for revision for addition of language supporting accessory dwelling units] ^ d. Applications for final site plan approval for projects that are otherwise consistent with a master site plan approved prior to the effective date of this ordinance. Except for projects approved as a Development of Regional Impact, where the timetable of development in the approved master site plan has expired, subsequent amendments to such master plan and any associated final site plans shall be required to comply with the provisions of this section in the same manner as a new development. The provisions of this section shall not apply to any Development of Regional Impact approved prior to the effective date of this ordinance. ^ e. Public or private institutional residential facilities intended to house specific, special needs populations in a group setting, such as residential care facilities; halfway houses and hospitals.' ^ f. Residential facilities associated with any public institutional use. ^ g. Residential development proposals designed to provide affordable housing to households making less than 100 percent of AMI, where legally enforceable affordability controls will be in place for at least 15 years after the initial occupancy. ^ h. Temporary housing associated with post-disaster recovery as determined appropriate by the County Administrator. Note: Staff has determined that approximately 9 percent (7,740) of households in St. Lucie County are presently earning between 60-80% AMI, and spending 30+ percent of their monthly income on housing costs. The data used to assess the workforce housing needs of St. Lucie County was taken from the St. Lucie County 2002 Comprehensive Plan. Staff acknowledges that since 2002 the median home price has increased 52 percent, while wages have remained relatively flat. Therefore, it is reasonable to assume that the need for workforce housing has increased well past the 7,740 household needs of 2002, and a 20-25 percent set-aside rate will address this issue. (Source: Shimberg Center on Affordable Housing-Title of Chart -Household Cost Burden (CB): Percentage of Income Spent on Housing by Household Income, 2002) FHC comment: It is agreed that the early estimates of the Housing Element and Land Use element on housing needs, income levels and affordability have been dramatically underestimated given the actual changes in demand during the past four years due to escalating markets and disaster events. The 25% minimum reflects the market failure to provide for the quarter of the population who has a cost burden. If this percentage of units had been applied to the 38,000 units approved or pending in the past five years, then the deficit of 7,740 would not exist. E. Requirements for Inclusionary Housing. 1 Number of inclusionary housing units required. A minimum of 25 percent of new residential dwelling units proposed within any residential development application shall be inclusionary housing units. 2 Calculation of Required Numbers of Units. The total number of residential dwelling units proposed shall be multiplied by 0.25. Fractional units of 0.5 or greater shall be rounded up to the nearest whole number while fractional unit of less than 0.5 or shall be rounded down to the nearest whole number. Note that projects with less than 8 dwelling units would not be required to provide inclusionary housing. FHC Note: There are few projects approved or pending of this size but this is a reasonable threshold. 3. Required income range. Upon establishing the required number of inclusionary housing units, each inclusionary housing until shall be identified as serving a maximum household income of 80, 120 or 140 percent of AMI. The inclusionary housing units shall be distributed across these three categories as evenly as possible provided that, where the total number of inclusionary housing units is not evenly divisible by 3; the distribution of the remaining fractional units shall be at the discretion of the applicant. FHC Note: The current (2006) area median income for a family of four is $54,600. Thus, 80% of AMI is $43,600, 120% of AMI is $65,520, and 140% of AMI is $76,440. Normally the maximum level of income for assisted housing is 120% of area median but in keeping with the goals for attainable workforce housing for which the cap in the Local Housing Assistance Plan is 140% AMI, this ordinance will permit the incentives to apply to this income level. The density bonus incentives in the ordinance provide the greatest incentive for households at the 60% AMI level which is $32,760. Inclusionary zoning is most effective in a robust housing market with somewhat higher income levels permissible. 4. Location of inclusionary housing units. Residential developments proposed in Future Land Use designations having a maximum residential density of five or afore units per acre may provide on the same parcel as the market rate units. Residential developments proposed in Future Land Use designations having a maximum residential density of less than five units per acre may provide "offsite" at the discretion of the landowner or by the way of the alternative compliance provision of paragraph G, below. All reasonable efforts shall be made by the applicant to integrate inclusionary housing units evenly throughout the development. a. The number, type, location, and plan for staging construction of all dwelling units. The inclusionary housing units staging plan shall be consistent with any applicable land use plan, subdivision plan, or site plan. The staging plan included in the inclusionary housing units staging plan for all dwelling units shall be sequenced so that construction of inclusionary housing units precedes or reasonably coincides with the construction of market rate units. FHC Note: In the lower density land use areas, it is more difficult to accommodate the inclusionary units and to take advantage of the density bonus. Therefore the off-site option would allow the county to work with its housing provider partners to develop units off-site. 5. Minimum standards. Where more than 50 percent of the proposed market-rate dwelling units will be larger than 1.200 square feet, the required inclusionary dwelling units shall have a minimum of three bedrooms and a gross Floor area of 1,200 square feet. Where 50 percent or more of the proposed market-rate dwelling units will be smaller than 1,200 square feet, the required inclusionary dwelling units should be similar irk size to the market-rate dwellings. 1 Architectural and construction standards. The applicant shall make all reasonable efforts to ensure that the exterior appearance of the inclusionary housing units is similar to that of the market- rate units within the subject residential development. This includes but is not limited to the landscaping, architectural design, and color. 2 Completion of market-rate and inclusionary housing units. No more than 50 percent of the market-rate units within a particular development shall be granted a certificate of occupancy until the required inclusionary housing -units within such project or phase are eligible to receive a certificate of occupancy. In the case of a phased development, each phase shall contain the number of inclusionary housing units required by Section (2) two of this ordinance, no more than 50 percent of the market-rate units within a particular phase shall be granted a certificate of occupancy until all of the inclusionary housing units included in such phase are eligible to receive a certificate of occupancy. 3 Affordability period. Once established via approval of a final site plan, inclusionary housing units required by this Section shall continue to be restricted as inclusionary housing units for a period of twenty years from the date of certificate of occupancy. ^ 9. Community Land Trust. As part of the application for final site plan, all properties constructed to satisfy the provisions of E 1 of this ordinance shall be presented to the Community Land Trust for right of first refusal. Those properties not purchased by the Community Land Trust the applicant shall; ^ a. Provide draft restrictive covenants, identifying particular dwelling units as inclusionary housing units. The draft restrictive covenants shall specify the method of compliance with this Section and must be in a form acceptable to the County Attorney. ^ b. Where a plat is required in conjunction with the final site plan, the applicant shall be required to record the restrictive convents in the Official Records of St Lucie County in conjunction with the approval of the plat. ^ c. Where no plat is required to implement the final site plan, the applicant shall record the restrictive covenants in conjunction with the final site plan. F. Incentives for Provision of Inclusionary Housing. The following incentives shall be available to developments constructing the required number of inclusionary housing units as part of a larger residential development. 1. Choice of Housing Type. Despite any provision to the contrary in Table 7-10 of this Section of the Land Development Code, inclusionary housing units may be made up of any type of residential dwelling unit otherwise allowable in the zoning regulations and consistent with the Comprehensive Growth Management Plan, specifically excluding mobile homes. In zoning districts where mobile homes are a permitted use, the inclusionary housing units may be made up of any type of dwelling units which are otherwise consistent with the Comprehensive Growth Management Plan, including mobile homes. 2 Density Bonus. The intent of the inclusionary zoning ordinance is to produce housing for a wide range of incomes while providing consistent and predictable expectations for developers. The following density bonus schedule provides developers incentives and flexibility to produce differing housing types for all target income ranges. An additional 10% of by- right density, shall be granted to ~ the applicant, provided that the applicant has had Certificates of Occupancy iss~~ed for every workforce housing unit required by Section E 1 of this ordinance. Bonus market rate units shall be granted only through the specified ranges. The density bonus shall be no greater than 10% of the total number of the originally approved units and subject to all land development regulations. The number ofbonus' market rate units shall be determined by (Table 1) the number and range of workforce housing units constructed. FHC Note: We advocate on-site provision of the units unless in the lower ranges of densities permitted ~ such as R-2. We recommend-tt~~clusionary units be required in zoning categories of R-2 to RM-15, ~ PUD, MPUD, DRI's, an C areas. While it is difficult to obtain the full measure of density allowable _ un egory, the ' n ive of this ordinance is that at a minimum, the allowable density is ~ granted. This may require administrative approvals of site plan requirements on a case by case basis. W r' For this reason, a high level of coordination and cooperation is required between the applicant, growth management services, and housing services. The main focus is for the developer to remain economically whole while meeting the requirements of inclusionary zoning. Rounding Applications that construct MPDU's which result in a fraction of a density bonus unit of .75 or greater shall receive the said density bonus. Applications that result in a fraction of a density bonus less than .75 or less shall be granted no additional density for that unit. For example, an application that constructs one affordable unit in range 4 would result in a density bonus of .25 or 1/4 of a market rate unit. The applicant would not be granted a density bonus. Alternatively, if the same applicant opts to construct one affordable unit in range 2 instead, the application would result in .75 or 3/a of a market rate unit and result in a density bonus of one additional market rate unit. Table 1 RANGE =DENSITY BONUS BASED ON PERCENT OF AMI (AVERAGE MEDIAN INCOME 2006 = $54 600 Range 1 (60-65% AMI) (Yearly income $32,760 - $35,490) 1.0 Density bonus of market rate units Range 2 (66-80% AMI) (Yearly income $35,491 - $43,680) .75 Density bonus of market rate units Range 3 (81-120% AMI) (Yearly income $43,681 - $65,520) .50 Density bonus of market rate units Range 4 (121- 140% AMI) (Yearly income $65,521 - $76,440) .25 Density bonus of market rate units To illustrate, a developer with an approved density of 100 units will be required to construct no less than 25 moderately priced dwelling units (MPDU's). Depending on the number of units constructed in each range, this developer could be eligible for an additional 10 units. For example, if the developer opted to construct 4 of the workforce homes in range 1, another 6 in range 3, 12 in range 4 (equaling 25 of the 100 units are workforce homes), that developer would be eligible for a density bonus of an additional 10 units. Table 2 Range # Affordable Units roduced x bonus % ~ BOnUs 1 4 ~ 1.0 4 2 0 .75 0 3 6 .5 3 4 12 .25 3 NOTE: Table reflects a development of 100 units with a maximum 10% density bonus. This project will result in 110 units with 25 in the inclusionary category. Without the 10% densi bonus ca ,the ro"ect would result in 112 units with 25 affordable. In the above example, the applicant is approved for a maximum of 100 units, including the required 25 workforce units, permitting the applicant to construct a maximum of 75 market rate units. The 10% density bonus permits the applicant to construct 10 additional market rate units (.10 x 100 units = 10). Even though it is possible to create a density bonus beyond the 10%, the maximum allowed remains 10%. Table 1 is constructed to allow the applicant flexibility in determining a construction range for their workforce housing units. ~ 1 Alleviation of Lot Size Requirements. Despite any provision to the contrary in the Land Development Code, a development providing inclusionary housing units shall not be subject to the minimum lot area requirements of the particular zoning district. Provided that the resulting gross residential density of the development is no more than 10 percent higher than would have been possible if the site were developed for single-family detached dwellings using the minimum lot area requirements set forth in the particular zoning district and provided that the resulting development otherwise complies with the policies of the Comprehensive Growth Management Plan. 2 Expedited Permitting. Inclusionary housing projects will be eligible for the county's affordable housing expedited permitting procedures as defined in the Local Housing Assistance Plan. Technical assistance with the development will also be provided as applicable to assist in streamlining the process and ensuring that the development has quality design and site layout assistance. 3 Financial Assistance. Where possible, the development will be prioritized for housing funding assistance as it is available along with down payment assistance for future homeowners. All provisions of the funding programs will apply. FHC Note: We recommend that at least a small amount of State Housing Initiatives Partnership funds (SHIP) be provided to inclusionary units and that the recapture period mirror the twenty year restrictive covenant period. This will greatly enhance compliance monitoring as the SHIP mortgage will appear in title transfers and the county will be notified that a unit is being sold. F. Compliance Procedures. ^ 1. Occupancy by eligible persons only. No person shall sell, purchase, rent for lease an inclusionary housing unit created pursuant to this section except to income eligible households and in compliance with the administrative provisions set forth ^ in this Section. Inclusionary units must be the principal residence of the eligible person or household. ^ 2. Determination of income eligibility. Prior to purchasing, renting, leasing or occupying an inclusionary housing unit, the head of household shall submit an application to the St. Lucie County Community Services Housing Department. The Community Services shall have the authority to create application forms and to require such documentation as necessary to determine compliance-with t172 provisions of the paragraph (F). ^ Note: Staff anticipates that the above income qualification process will be conducted as an extension of the existing SHIP program. 2 Maximum household income. For the purchase, rental, lease or occupancy of an inclusionary housing unit, an eligible household will have a combined household income of no more than 80, 120, or 140 percent of AMI, depending on the classification of the unit as established in Section. The maximum household income ranges, including the adjustments for family size, shall be as set forth in the St. Lucie County Local Housing Assistance Plan (CHAP), as amended from time to time. ^ 4. Requirements for purchase of inclusionary housing units. ^ a. Maximum initial sales price. The maximum initial sales price for inclusionary housing unit shall be the same as the maximum sales price used for the First Time Home Buyer Program set forth in the St. Lucie County Local Housing Assistance Plan, as amended from time to time. ^ b. The system which applicants will use for initial selection of eligible households to occupy the inclusionary units shall be fair and suitable. Such as a lottery or "first come, first served". The design of such system will be at the discretion of the director of Community Services. ^ c. Maximum resale price. Once an inclusionary housingrunit has been initially sold to a qualified buyer, the maximum resale price during the affordability period shall increase no more than five percent per year based on the previous selling price, prorated. For example, where an inclusionary unit initially sells for $250,000, the maximum sales price after three and one half years is $293,750. [$250,000 * 3.5 *0.05= $293,750]. FHC Note: The maximum sales price for the First Time Home Buyer Program is currently set at 90% of the median sales price for the area. There are a variety of resale formulas that can be implemented. Using an index method as shown can result in excessive buyout amounts if the market is extremely high. If the market is lower than five percent, then the seller does well. It is particularly useful to have the community land trust program integrated with the inclusionary zoning program because the ground lease can have an appreciation resale method that is more predictable than the index method and maintenance and upkeep are rewarded whereas they are not in the index model. 5. Requirements for rental or lease of inclusionary housing units. a. Maximum monthly rent. The maximum monthly rent for an inclusionary housing unit shall be the same as the High HOME Rent Limit as determined by the U.S. Department of Housing and Urban Development's (HUD) for the Home Investment Partnership Program (HOME), using the most recent available figures. G. Alternative Compliance. 1 While provision of the required inclusionary housing units "on-site" is the preferred form of compliance, the Board of County Commissioners (BOCC) may allow other forms of compliance as set forth in subsection (G) on a case by case basis. Other forms of compliance may include, but are not limited to, the donation of land for future affordable housing development, the donation of funding sufficient to develop the required inclusionary units, or the rehabilitation of existing residential units. To exercise this provision, a proposal must be submitted to the Community Services Housing Department for review and comment by the Affordable Housing Task Force with recommendations to the Board of County Commissioners. 2 Appeals. The Board of Commissioners shall have the discretion to allow other forms of compliance to satisfy the intent of this ordinance as deemed appropriate on a case-by-case basis. Other forms of compliance may include, but are not limited to, the donation of land for future affordable housing development, trbnsfer of development rights, off-site development or the rehabilitation of existing residential units. FHC Note: We feel strongly that the fee-in-lieu provision will undermine the intent of inclusionary zoning and the fee will become the automatic choice rather than producing the units. This could leave the ordinance open to challenge as it becomes a payment requirement which simulates an impact fee but that has not been adopted according to the standards of an impact fee. Rather than include a fee in lieu for those cases where it is absolutely impossible to build the units on site or off site, we recommend an appeal clause where the developer can justify the claim to the Board of Commissioners who at that time can determine appropriate relief from the ordinance through creative and flexible options including but not limited to donation of land, transfer of development rights, cash contribution, and off-site development. H. Monitoring and Periodic Review. The St. Lucie County Growth Management Department shall publish a report at least once per year analyzing the productivity and impact of these provisions, as well as market and other socioeconomic conditions influencing the implementation of these provisions. The report shall provide recommendations to the Board of County Commissioners for modification of the inclusionary housing implantation provisions as appropriate. It is recognized that changes in economic conditions may result in the need to amend this section annually or more frequently to ensure that the standards included therein, such as the maximum affordable sales price, remain reflective of current economic and housing market conditions. PART 2: APPLICABILITY OF ORDINANCE. This Ordinance shall be applicable throughout the unincorporated area of St. Lucie County. PART 3: CONFLICTING PROVISIONS. Special acts of the Florida Legislature applicable only to unincorporated areas of St. Lucie County, St. Lucie County ordinances, County resolutions, or parts thereof, in conflict with this ordinance are hereby superseded by this ordinance to the extent of such conflict except for ordinances concerning either adoption or amendment of the Comprehensive Plan, pursuant to Chapter 163, Part II, Florida Statutes. Florida Housing Coalition, Inc. 3-2- 07 Draft for Circulation PART 4: SEVERABILITY. If any portion of this ordinance is for any reason held or declared to be unconstitutional, inoperative or void by a court of competent jurisdiction, such holding shall not affect the remaining portions of this ordinance. If this ordinance or any provision thereof shall be held to be inapplicable to any person, property or circumstances by a court of competent jurisdiction, such holding shall not affect its applicability to any other person, property or circumstances. PART 5: FILING WITH THE DEPARTMENT OF STATE. The clerk shall be and is hereby directed forthwith to send a certified copy of this ordinance to the Bureau of Administrative Code, Department of State, R.A. Gray Bldg, Room 101, 500 S. Bronough Street, Tallahassee, FL 32399-0250. PART 6: CODIFICATION. Provisions of this ordinance shall be incorporated into the St. Lucie County Land Development Code, except that parts 2 through 7 shall not be codified. The word "ordinance" may be changed to "article", "section", or other word, and the sections of this ordinance may be renumbered or re-lettered. PART 7: EFFECTIVE DATE This ordinance shall take effect upon filing with the Office of Secretary of State. PASSED AND DULY ADOPTED THIS DAY OF , 2006. ATTEST BOARD OF COUNTY COMMISSIONERS, ST. LUCIE COUNTY, FLORIDA e REVISED AFTER PRESENTATION ON JUNE 26, 2007 TO THE BOARD OF COUNTY COMMISSIONERS St. Lucie County C O CI NT Y F L O R I D A Inclusionary Housing DRAFT John Franklin, Housing Manager Jessica Parrish, Housing Project Coordinator ~ o u N-r y F L O R I D A BEFORE THE BOARD OF COUNTY COMMISSIONERS ST. LUCIE COUNTY ORDINANCE NUMBER AN ORDINANCE OF ST. LUCIE COUNTY, FLORIDA, AMENDING CHAPTER V11 OF THE ST. LUCIE COUNTY LAND DEVELOPMENT CODE; ADOPTING SECTION 7.04.05, INCLUSIONARY HOUSING; PROVIDING FOR APPLICABILITY; PROVIDING FOR CONFLICTING PROVISIONS; PROVIDING FOR SEVERABILITY; PROVIDING FOR FILING WITH THE DEPARTMENT OF STATE' PROVIDING FOR CODIFICATION; AND DEPARTMENT OF STATE PROVIDING FOR CODIFICATION; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, St. Lucie County faces a shortage of affordable housing for households with very low, low and moderate incomes, including essential personnel of the local workforce; and WHEREAS, this shortage has increased substantially in the past several years so that the existing median home sales price far exceeds that which can be afforded by those earning at or below the area median income; and WHEREAS, new development does not generally serve very low, low and moderate income households, and the high cost of new construction and rising property values throughout the community are making it more difficult for affordably priced housing to be produced; and WHEREAS, without action to require new development of a certain size to contain some percentage of affordable housing, the County's affordability problem will worsen, leading to deleterious effects on the health, safety and welfare of the community, as more families spend more than half their income on housing, as seniors are forced to leave, and as employers find it more difficult to find employees; and WHEREAS, the remaining available land for development in the County is limited, it is prudent to require that some percentage of all new development be priced affordably for very low, low and moderate income households; and WHEREAS, Goal 5? of the Housing Element of the St. Lucie County Comprehensive Growth Management Plan is to "provide an adequate mix of safe and sanitary housing that meets the needs of existing and future St. Lucie County residents"; WEIEREAS, the Board of County Commissioners has adopted the St. Lucie County Comprehensive Growth Management Plan within which are included goals, objectives, and policies related to the process for review and approval of certain development applications; and WHEREAS. Chapter 163, Part II, Florida Statutes, requires the implementation of these goals, objectives and policies through the adoption of consistent land development regulations; and WHE~:REAS. this proposed amendment to Chapter VII, of the Land Development Code, St. Lucie County Code, has received public hearings before the Local Planning Agency and the Board of County Commissioners; and WHEREAS. The Board of Counq Commissioners finds the proposed amendment consistent with the goals, ohjectives and policies of the Comprehensive Growth Management Plan. NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF COUNTY' COMMISSIONERS. ST. LUCIE COUNTY. FLORIDA, THAT: PART 1: Adoption of Inclusionary housing requirements. Section 7.04.05 of Chapter VI! is hereby adopted as follows: Section 7.04.05 Inclusionary Housing. A. Findings B. Purpose and intent C. Definitions D. Applicability E. Requirements for Inclusionary Housing F. Incentives for Provision of Inclusionary Housing G. Compliance Procedures H. Alternative Compliance 1. Monitoring and Periodic Review A. Findings. 1. The Housing Element of the St. Lucie County Growth Management Plan has determined a need for 8,755 new single-family dwelling units and a minimum of 1,622 new multifamily dwelling units by the year 2010 in unincorporated areas. The Future Land Use Map designated 1,868 acres to accommodate 9,340 new single-family dwelling units and 754 acres to accommodate a minimum of 6,786 new multifamily dwelling units. 2. Over 38,000 single family and multifamily units have been approved or are pending approval in unincorporated St. Lucie County between 2003 and 2007 yet only I5% of 2006 home sales were affordable to households earning 100% of the area median income. Affordable housing is not being built in St. Lucie County by the private sector to meet current or future demand. 3. In 2000, there were 2,495 single family homes sold countywide that a household earning 100°ro of the median income of $49,600 could afford, equaling 2,070 homes or 83% of the total sales volume. In 2006, only 1,012 homes were sold that could be affordable to a household earning 100% of the median income of $54,600, representing just IS%% of the total sales volume of 6,750 single-family homes sold. 4. Hurricanes in 2004 and 2005 destroyed or signiticantly damaged over 51,000 homes, over half of the housing inventory of the county. Very low, low or moderate-income households occupied many of these homes. 5. In 2005, one quarter of lower income households, or 21,090, spent over 3U% of their income for housing, nine percent, or 8,082 spent over 50% of their income for housing costs. 6. The County expends local, state and federal dollars to address the need for affordable housing, but these efforts tall short of the need. For example an estimated 12 units are produced or rehabilitated under the St. Lucie Local Housing Assistance Plan (excluding disaster programs) but the Future land Use and Housing elements estimate a minimum need for 165 new units per year to meet current and projected needs. The waiting list for housing assistance avera`;es 290 persons in need. 7. Without immediate action to require new developments of a certain size to contain soma percentage of affordable units, the gap between affordable non-affordable units will continue to expand, worsening the affordability problem leading to deleterious effects on the health, safety, and welfare of the community forcing, more families to leave the area or commute long, distances, and resulting in employers tinding it difticult or impossible to find employees, especially among the essential service workforce. 8. Demographics and analyses of new housing indicates that a large majority of private development is seared toward high-priced housing and does not serve households earnin, less than one hundred percent (100°ro) of area median income. 9. Rapid regional growth and strong housing demand have combined to make land and construction costs hither, causing a rise in the price of housing and causing affordable housin; to be located in limited areas. 10, Income has not kept pace with this rapid and significant increase in the cost of housing in St. Lucie County. 1 1. Providing incentives to developers will assist developers in providing affordable housing units as an integral part of new developments. 12. Without a program requiring the building of moderately priced housing, based on current trends, it is unlikely that developers will provide such housing on their own initiative, leaving St. Lucie County citizens and its workforce without sufficient affordable housing. B. Purpose and Intent. The purpose and intent of this Section is to: Stimulate private sector production of housing to serve low and moderate income households in order to ensure that the County can be competitive in attracting and maintaining a local workforce. ?. Encourage development that includes a range of housing opportunities through a variety of rental or sales processes, and a variety of residential unit types. 3. Encourage the even distribution of affordable housing opportunities in all areas of the County wherever new residential development is occurring, but in particular with proximity to employment centers and mass transit. 4. Reduce regional commuting by encouraging those employed in St. Lucie County to also reside in St. Lucie County. C. Definitions. For purposes of this Section, the following words, terms and phrases shall have the meanings set forth below: AfJurduhle means housing payments including mortgage principal, interest, taxes and insurance or rent plus utilities does not exceed 30% of the area median income (AMI) or in compliance with the St. Lucie County Local Housing Assistance Plan adopted pursuant to Florida Statutes Section 420.9071(19), (20) and (28). 2. :4reu rnediun income (ANf/) means the median family income for the Fort Pierce/ St. Lucie Metropolitan Statistical Area as published and updated annually by the U.S. Department of Flousing and Urban Development. 3. C'W'HIP Pru,~~rum means the Community Workforce Housing Initiatives Pilot program administered by the Florida Housing Finance Corporation as authorized by HB1375 of the Florida Legislature. 4 ~. Es•scn~iul Sc~rri~cs• PU'S<,nnel nreun,c persons in need of affordable housing, who are employed in occupations or professions in ~shich they are considered essential services personnel per Chapter 63.37.002(.6) F.A.C. and whose incomes are at or below 14U° o of the area median income (A!vll). D >. Inrlarsioncu~~ housing unit means a newly constructed residential dwelling unit that meets the criteria set forth in Section C. 6. LuH• income caregun~ means household incomes at or below 80°ro of the area median income as published and updated annually by the U.S. Dept. of Housing and Urban Development and the Florida Housing Finance Corporation. 7. hlcrrket-rote unit means a residential dwelling unit that is not an inclusionary housing unit. 8. Moderate income category means household incomes at or below 120°~b of the area median income as published and updated annually by the U.S. Dept. of Housing and Urban Development and the Florida Housing Finance Corporation. 9. Moderately Priced Dwelling Units (MPDU) means dwelling units that have been determined to be affordable by households whose gross annual income does not exceed 140°ro of the area median income (AMI). 10. Very low income category means household incomes at or below 50% of the area median income as published and updated annually by the U.S. Dept. of Housing and Urban Development and the Florida Housing Finance Corporation. 11. Workforce Housing Unit means a dwelling unit that is considered affordable to households with a gross household income not exceeding 140% of the area median income. This definition shall include households considered `'essential service workers." Applicability 1. In general. The requirements of this Section shall apply to all development applications proposing new residential dwelling units, except as otherwise provided in this section. Exemptions. The following shall be exempt from the requirements of this section: a. The construction or replacement of single-family, mobile home, or duplex swelling units on lots lawfully established prior to the effective date of this Section, where site plan approval is not required pursuant to Chapter XI of the Land Development Code. b. The redevelopment or reconstruction of residential development sites, such as multifamily developments and mobile home parks, where such redevelopment does not involve the development of additional residential dwelling units. The maximum number of additional units in any redevelopment project that may be exempt from the requirements of this section shall be no more than 12. c. The construction of accessory dwelling units. As defined in Chapter VIII of the Land Development Code. d. Applications for final site plan approval for projects that are otherwise consistent with a master site plan approved prior to the effective date of this ordinance. Except for projects approved as a Development of Regional Impact, where the timetable of development in the approved master site plan has expired, subsequent amendments to such master plan and any associated final site plans shall be required to comply with the provisions of this section in the same manner as a new development. The provisions of this section shall not apply to any Development of Re~,ional Impact approved prior to the eft~ective date of this ordinance. e. Public or private institutional residential facilities intended to house specific, special needs populations in a ~_roup setting, such as residential care facilities; halfway houses and hospitals.' f. Residential facilities associated with any public institutional use. g Residential development proposals desi~med to provide affordable housing to households making, less than 100 percent of AMI, where le~,ally enforceable affordability controls -will be in place for at least 15 years after the initial occupancy. h. Temporary housing associated with post-disaster recovery as determined appropriate by the County Administrator. E. Requirements for Inclusionary Housing. 1. Number of inclusionary housing units required. A minimum of I S percent of new residential dwelling units proposed within any residential development application shall be inclusionary housing units. Calculation of Required Numbers of Units. The total number of residential dwelling units proposed shall be multiplied by O.15. Fractional units of 0.5 or greater shall be rounded up to the nearest whole number while fractional unit of less than 0.5 or shall be rounded down to the nearest whole number. Required income range. Upon establishing the required number of inclusionary housing units, each inclusionary housing until shall be identified as serving a maximum household income of 80, 120 or 140 (for CHWIP projects only) percent of AMI. The inclusionary housing units shall be distributed across these three categories as evenly as possible provided that, where the total number of inclusionary housing units is not evenly divisible by 3; the distribution of the remaining fractional units shall be at the discretion of the applicant. Location of inclusionary housing units. Residential developments proposed in Future Land Use designations having a maximum residential density of five or more units per acre may provide on the same parcel as the market rate units. Residential developments proposed in Future Land Use designations having a maximum residential density of less than five units per acre may provide "off-site" at the discretion of the landowner or by the way of the alternative compliance provision of paragraph G, below. All reasonable efforts shall be made by the applicant to integrate inclusionary housing units evenly throughout the development. a. The number, type, location, and plan for staging construction of all dwelling units. The inclusionary housing units staging plan shall be consistent with any applicable land use plan, subdivision plan, or site plan. The sta;;ing plan included in the inclusionary housing units staging plan for all dwelling units shall be sequenced so that construction of inclusionary housing units precedes or reasonably coincides with the construction of market rate units. Minimum standards. Where more than 50 percent of the proposed market-rate dwelling units will be larger than 1.200 square feet, the required inclusionary dwelling units shall have a minimum of three bedrooms and a gross floor area of 1,200 square feet. Where ~0 percent or more of the proposed market-rate dwelling units will be smaller than 1,200 square feet, the required inclusionary dwelling units should be similar in size to the market-rate dwellings. 6. Architectural and construction standards. The applicant shall make all reasonable efforts to ensure that the exterior appearance of the inclusionary housing units is similar to that of the market-rate units within the subject residential development. This includes but is not limited to the landscaping, architectural design, and color. Completion of market-rate and inclusionary housing units. No more than i0 percent of the market-rate units within a particular development shall be granted a certificate of occupancy until the required inclusionary housing; units within such project or phase are eligible to receive a certificate of occupancy. In the case of a phased development, each phase shall contain the number of inclusionary housing units required by Section (2) two of this ordinance, no more than ~0 percent of the market-rate units within a particular phase shall be granted a certificate of occupancy until all of the inclusionary housing units included in such phase are eligible to receive a certificate of occupancy. 8. Affordability period. Once established via approval of a final site plan, inclusionary housing units required by this Section shall continue to be restricted as inclusionary housing units for a period of twenty years from the date of certificate of occupancy. 9. Community Land Trust. As part of the application for final site plan, all_properties constructed to satisfy the provisions of E 1 of this ordinance shall be presented to the Community Land Trust for right of tirst refusal. Those properties not purchased by the Community Land Trust the applicant shall; a. Provide draft restrictive covenants, identifying particular dwelling units as inclusionary housing units. The draft restrictive covenants shall specify the method of compliance with this Section and must be in a form acceptable to the County Attorney. b. Where a plat is required in conjunction with the final site plan, the applicant shall be required to record the restrictive convents in the Official Records of St Lucie County in conjunction with the approval of the plat. Where no plat is required to implement the final site plan, the applicant shall record the restrictive covenants in conjunction with the final site plan. F. Incentives for Provision of Inclusionary Housing. The following incentives shall be available to developments constructing the required number of inclusionary housing units as part of a larger residential development. 1. Choice of Housing Type. Despite any provision to the contrary in Table 7-10 of this Section of the Land Development Code, inclusionary housing units may he made up of any type of residential dwelling unit otherwise allowable in the zoning regulations and consistent with the Comprehensive Growth Management Plan, including manufactured housing but specifically excluding mobile homes. !n zoning districts where mobile homes are a permitted use, the inclusionary housing units may be made up of any type of dwelling units, which are otherwise consistent with the Comprehensive Growth Management Plan, including mobile homes. 2. Density Bonus. The intent of the inclusionary zoning ordinance is to produce housing for a wide range of incomes while providing consistent and predictable expectations for developers. The following density bonus schedule provides developers incentives and flexibility to produce differing housing types for all target income ranges. An additional 2~°% of by- r•ight density, shall be ~~ranted to the applicant, provided that the applicant has had Certificates of Occupancy issued for every affordable housing unit required by Section E I of this ordinance. A minimum of I S% of the total number of units shall be deemed affordable to low or moderate income residents. An additional 5°% density bonus is available for projects with inclusionary units reserved for households earning less than 80° 0 of the area median income. To illustrate. a developer ~~ ith an approved density of 100 units plus ?5 bonus units will be required to construct no less than 18.75 affordable units. The developer will be eligible for an additional 35 units, equaling a total number of units of I?5 with 18.75 (19 with roundin,) being deemed affordable. A development of 100 units by right that will reserve the inclusionary units for households earning below 80% of the area median income would be eligible would be eligible for a total density of l3U units with 19.5, or 20 inclusionary units that are affordable to households with incomes of less than 80% of area median income. Rounding: for amounts at or below .5, round down and for amounts at .6 or over, round up. 3. Alleviation of Lot Size Requirements. Despite any provision to the contrary in the Land Development Code, a development providing inclusionary housing units shall not be subject to the minimum lot area requirements of the particular zoning district. Provided that the resulting gross residential density of the development is no more than 10 percent higher than would have been possible if the site were developed for single-family detached dwellings using the minimum lot area requirements set forth in the particular zoning district and provided that the resulting development otherwise complies with the policies of the Comprehensive Growth Management Plan. 4. Expedited Permitting. Inclusionary housing projects will be eligible for the county's affordable housing expedited permitting procedures as defined in the Local Housing Assistance Plan. Technical assistance with the development will also be provided as applicable to assist in streamlining the process and ensuring that the development has quality design and site layout assistance. 5. Financial Assistance. Where possible, the development will be prioritized for housing funding assistance as it is available along with down payment assistance for future homeowners. All provisions of the funding programs will apply. F. Compliance Procedures. Occupancy by eligible persons only. No person shall sell, purchase, rent for lease an inclusionary housing unit created pursuant to this section except to income eligible households and in compliance with the administrative provisions set forth in this Section. Inclusionary units must be the principal residence of the eligible person or household. Determination of income eligibility. Prior to purchasing, renting, leasing or occupying an inclusionary housing unit, the head of household shall submit an application to the St. Lucie County Community Services Housing Department. The Community Services shall have the authority to create application forms and to require such documentation as necessary to determine compliance with the provisions of the paragraph (F). Maximum household income. For the purchase, rental, lease or occupancy of an inclusionary housing unit, an eligible household will have a combined household income of no more than 80 for the 30% density option or up to 120 percent for standard projects, or 140 percent for projects participating in the CWH[P program defined in Section C, depending on the classification of the unit as established in Section. The maximum household income ranges, including the adjustments for family size, shall be as set forth in the St. Lucie County Local Housing Assistance Plan (CHAP), as amended from time to time. Requirements for purchase of inclusionary housing units. a. Maximum initial sales price. 'fhe maximum initial sales price for inclusionary housing unit shall be the same as the maximum sales price used for the First 'T'ime Home Buyer Program set forth in the St. Lucie County Local Housing ,4ssistance Plan, as amended from time to time. b. The system which applicants will use for initial selection of eligible households to occupy the inclusionary units shall be fair and suitable, such as a lottery or "tirst come, tirst served" basis. The design of such system will be at the discretion of the director of Community Services. c. Maximum resale price. Once an inclusionary housing unit has been initially sold to a qualitied buyer, the maximum resale price during the affordability period shall increase no more than five percent per year based on the previous selling price, prorated. For example, where an inclusionary unit initially sells for $250,000, the maximum sales price after three and one half years is $293,70. ($20,000 * 3.5 *0.05= $293,750]. Alternatively, if the property is placed in the Community Land Trust program, then the ground lease resale provisions shall apply. d. Affordability period. The inclusionary housing units shall remain affordable as defined in Section C for a period of 30 years or for Community Land Trust properties according to the provisions of the Ground Lease. Requirements for rental or lease of inclusionary housing units. a. Maximum monthly rent. The maximum monthly rent for an inclusionary housing unit shall be the same as the High HOME Rent Limit as determined by the U.S. Department of Housing and Urban Development's (HUD) for the Home Investment Partnership Program (HOME), using the most recent available figures. G. Alternative Compliance. 1. While provision of the required inclusionary housing units "on-site" is the preferred form of compliance, the Board of County Commissioners (BOCC) may allow other forms of compliance as set forth in subsection (G) on a case by case basis. Other forms of compliance may include, but are not limited to, the donation of land for future affordable housing development, the donation of funding sufficient to develop the required inclusionary units, or the rehabilitation of existing residential units. To exercise this provision, a proposal must be submitted to the Community Services Division Housing Department for review and comment by the Affordable Housing Task Force with recommendations to the Board of County Commissioners. 2. Appeals. The Board of Commissioners shall have the discretion to allow other forms of compliance to satisfy the intent of this ordinance as deemed appropriate on a case-by- case basis. Other forms of compliance may include, but are not limited to, the donation of land for future affordable housing development, transfer of development rights, off- site development or the rehabilitation of existing residential units. H. Monitoring and Periodic Review. '1-he St. Lucie County Community Services Division, with input from the Growth Management Department, shall publish a report at least once per year analyzing the productivity and impact of these provisions, as well as market and other socioeconomic conditions influencing the implementation of these provisions. The report shall provide recommendations to the Board of County Commissioners for modification of the inclusionary housing implantation provisions as appropriate. It is recognized that chant=es in economic conditions may result in the need to amend this section annually or more frequently to ensure that the standards included therein, such as the maximum affordable sales price, remain reflective of current economic and housing market conditions. PART 2: APPLICABILITY OF ORDINANCE. This Ordinance shall be applicable d~roughout the unincorporated area of St. Lucie County. PART 3: CONFLICTING PROVISIONS. Special acts of the Florida Legislature applicable only to unincorporated areas of St. Lucie Counq. St. Lucie County ordinances, County resolutions, or parts thereof, in conflict with this ordinance are hereby superseded by this ordinance to the extent of such conflict except for ordinances concernini either adoption or amendment of the Comprehensive Plan, pursuant to Chapter 163, Part 11, Florida Statutes. PART -t: SEVERABILITY. If any portion of this ordinance is for any reason held or declared to be unconstitutional, inoperative or void by a court of competent jurisdiction, such holding shall not affect the remaining portions of this ordinance. If this ordinance or any provision thereof shall be held to be inapplicable to any person, property or circumstances by a court of competent jurisdiction, such holding shall not affect its applicability to any other person, property or circumstances. PART 5: FILING WITH THE DEPARTMENT OF STATE. The clerk shall be and is hereby directed forthwith to send a certified copy of this ordinance to the Bureau of Administrative Code, Department of State, R.A. Gray Bldg, Room 101, 500 S. Bronough Street, Tallahassee, FL 32399-0250. PART 6: CODIFICATION. Provisions of this ordinance shall be incorporated into the St. Lucie County Land Development Code, except that parts 2 through 7 shall not be codified. The word "ordinance" may be changed to "article", "section", or other word, and the sections of this ordinance may be renumbered or re-lettered. PART 7: EFFECTIVE DATE This ordinance shall take effect upon filing with the Office of Secretary of State. PASSED AND DULY ADOPTED THIS DAY OF , 2007. ATTEST BOARD OF COUNTY COMMISSIONERS, ST. LUCIE COUNTY, FLORIDA 10