§ 17.42.050. Alternatives to Units within Project

As an alternative to developing required inclusionary units within an affected residential project in compliance with Section 17.42.040 (Inclusionary Unit Requirement), the requirements of this Chapter may be satisfied through one or more of the following alternatives, in compliance with the City's regulations for the implementation of this Chapter (see Section 17.42.020.A).

A.

In lieu fee. The developer may choose to pay a fee in lieu of providing all or some of the inclusionary units, as follows.

1.

Amount of fee. The amount of the fee shall be as required by the Council's Fee Resolution.

2.

Special adjustment for first 12 months. For 12 months from the effective date of this Chapter, the fee shall be 40 percent of that required by the Council's Fee Resolution.

3.

Timing of payment. One-half of the in-lieu fee required by this Subsection shall be paid (or a letter of credit posted) before issuance of a Building Permit for any part of the residential project. The remainder of the fee shall be paid before a Certificate of Occupancy is issued for any unit in the project.

4.

Housing Trust Fund. Fees collected in compliance with this Section shall be deposited in the Inclusionary Housing Trust Fund.

B.

Off-site units. Upon application by the developer and at the discretion of the City Manager or the Assistant City Manager, the developer may satisfy the inclusionary unit requirements for the project, in whole or in part, by constructing or substantially rehabilitating the required number of units on a site other than that of the affected residential project.

C.

Land donation. Upon application by the developer and at the discretion of the City Manager or the Assistant City Manager, the developer may satisfy the project inclusionary unit requirements, in whole or in part, by dedicating land to the City for the construction of the inclusionary units.

D.

On-site inclusionary units required when very low, low, and/or moderate income households are displaced. Any other provision of this chapter, notwithstanding, any project subject to this chapter which results in the displacement of very low, low, and/or moderate income household(s) shall be required to provide on-site inclusionary units as required by this chapter.

(7028 § 2, 2006; Ord. 7020 § 2, 2005)