HomeMy WebLinkAboutDI 92-05; Aviara Affordable Housing Agreement; Discussion Item (DI)-
STAFF REPORT 0 t@-
DATE: JANUARY 20,1993
TO: PLANNING COMMISSION
FROM: PLANNING DEPARTMENT
SUBJECT: DI 92-05 - AVIARA AFFORDABLE HOUSING DEVELOPMENT
AGREEMENT - Consideration of an Affordable Housing Development
Agreement for the Aviara Master Plan.
I. RECOMMENDATION
That the Planning Commission ADOFT Planning Commission Resolution No. 3488
recommending APPROVAL of the Negative Declaration issued by the Planning Director, and
ADOPT Planning Commission Resolution No. 3489 recommending to the City Council
APPROVAL of DI 92-05 based on the findings contained therein.
II. BACKGROUND
On September 1,1992, the City Council approved an agreement with the developer of the
Aviara Master Plan to provide the Master Plan’s share of affordable, low-income housing
in compliance with the recently-updated Housing Element. The requirements to enter into
an affordable housing agreement was a condition of approval of the subdivision map for
Phase 11 of the Master Plan. By entering into the agreement, the developer accepted a 15%
inclusionary housing requirement although the ordinance to specifically mandate the
requirement was not yet in place. The result is that a minimum of 160 units of lower
income housing will be provided by the Master Plan developer. The exact location and
timing of construction of the affordable units is subject to a number of variables and
alternatives contained in the agreement approved by the City Council.
One of the alternatives which was supported by staff and the City Council provides for the
accelerated development of the minimum required 160 lower income units. Under normal
inclusionary housing requirements, the affordable units could be built in increments in
proportion to the number of market-rate units’being built. For example, if a developer is
building 100 units, 15 units of lower income housing would be required. Under the
proposed alternative, all of the minimum required 160 units for the buildout of the Master
Plan would be provided upfront at one time rather than incrementally over an extended
period of time. In return for utilizing this alternative, the agreement approved by the City
Council indicated that the developer could request that the City approve an affordable
housing development agreement which would protect the developer from future changes
in affordable housing requirements.
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DI 92-05 - AvlARA AFFLLdABLE HOUSING DEVELOPMENT 4 AGREEMENT
JANUARY 20,1993
PAGE 2
The developer has now indicated that he intends to go forward with the alternative of
providing the upfront, accelerated development of 160 lower income units. The units could
be constructed within three years under this alternative. If they were built incrementally
in conjunction with market-rate units as allowed by the City's inclusionary requirements,
it could take ten to fifteen years to secure that many lower income units. In return for the
accelerated development and as provided for in the previous agreement approved by the
City Council the developer is now requesting the City approve an affordable housing
development agreement. The proposed development agreement is attached as Exhibit A.
Approval of the agreement is authorized by Chapter 21.70 of the Municipal Code.
One additional item of background information needs to be mentioned although it is not
part of the Planning Commission's deliberations on the consideration of the affordable
housing development agreement. As part of the accelerated low-income housing
development proposal and as contained in the agreement previously approved by the City
Council, the developer has agreed to pay $1,584,000 to satisfy the inclusionary
requirement for already approved subdivision maps in Phase I of the Master Plan. The
developer does have the option to provide the financial equivalent of the $1,584,000 by
further restricting the 160 lower-income units (i.e, longer tenure, units with more
bedrooms, larger reduction in rents).
m. MOR PLANNING CONSIDmTIONS
In reviewing this request for a development agreement and making a recommendation to
the City Council, there are three major planning considerations which need to be addressed
by the Planning Commission which are as follows:
1. Is there a significant benefit to the City in terms of meeting its affordable housing
requirements and complying with its Housing Element in having the accelerated
development of 160 units of low-income housing rather than having the units
provided incrementally over a substantially longer period of time?
2. Is the request for a development agreement which would protect the developer from
future changes in affordable housing requirements appropriate and reasonable in
return for providing the Master Plan's share of affordable housing upfront, all at one
time?
3. Does approval of the development agreement comply with the provisions of Chapter
21.70 of the Municipal Code?
Staff believes that there is a significant benefit to the city in having 160 units of affordable,
low-income housing built up front, all at one time by the Aviara Master Plan developer.
The units could be constructed within three years under this arrangement. If the units
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DI 92-05 - AVIARA AFFCIdABLE HOUSING DEVELOPMENT ,;WEMENT
JANUARY 20, 1993
PAGE 3
were built incrementally in conjunction with market-rate units as will be allowed by the
city's inclusionary housing ordinance, it could take ten to fifteen years to obtain that many
units from this developer. The city is required by itsadopted Housing Element to make
every effort to remove obstacles so that 1,400 lower income housing units can be built
within the present five year cycle of the Housing Element (by 1996). Although this will
probably not occur because of the absence of any substantial housing development in the
city, the developer's proposal for the accelerated development of 160 low income units is
a start. The proposal by this one developer represents approximately 10% of the city's five
year goal.
The development agreement recognizes that by providing 160 lower income units upfront,
all at one time, rather than incrementally over time the City receives a significant benefit
towards meeting its affordable housing obligations. In return, paragraph 4 of the
agreement protects the developer from application of future changes regarding the
requirements for low income housing which would affect the construction of the rest of the
Master Plan. Staff believes that this is a reasonable request. It would be difficult for the
developer to provide their total obligation for lower income units at this time and then
have to take the risk of having new or additional requirements imposed at a later time.
This development agreement is unique from other types of development agreements in that
it only requests that the developer be protected from future changes having to do with
providing inclusionary, low income units. Most development agreements request protection
from all future changes made to City standards, policies and ordinances. This development
agreement is also different from most other agreements in that it does not involve approval
of a specific development project at a specific location at this time. No specific site for the
160 units has been identified yet although the previous agreement approved by the City
Council identified Planning Area 19 of the Aviara Master Plan as a potential location.
Approval of a subsequent site development plan will be required when a specific location
is identified. For all these reasons, staff believes that the type and level of protection being
requested by the developer through the development agreement is a reasonable and
supportable request.
Approval of this development agreement is authorized by Chapter 21.70 of Zoning
Ordinance Section 21.70.080 lists the findings that must be addressed in considering a
development agreement. Some of these findings do not apply since a specific location for
the affordable units has not been determined and a specific development project is not
being requested at this time. However, the request satisfies the applicable required findings
as discussed below:
1. Approval of the development agreement is consistent with the objectives, policies,
general land uses and programs specified in the General Plan. One of the major
Housing Element programs of the General Plan requires that all Master Plan
communities provide 15% inclusionary, low-income housing. Approval of this
agreement will allow the Aviara Master Plan to comply with this program on an
accelerated schedule even though the actual implementing ordinance to require
inclusionary housing is not yet in place.
DI 92-05 - AVIARA AFFGbdABLE HOUSING DEVELOPMENT 1”iREEMENT
JANUARY 20, 1993
2.
3.
4.
5.
6.
7.
8.
An actual site for the affordable, lower income units has not been identified at this
time. However, when a site is identified, approval of the plan for the units will
require a site development plan which will ensure that the project will be
compatible with the uses authorized in and the regulations prescribed for the land
use district in which the units will be located.
Approval of the development agreement is in conformance with public convenience,
general welfare and good land use practices as it will result in the early
development of much needed affordable housing units in the city.
Approval of the agreement will not adversely affect or be detrimental to the general
health, safety and welfare as it will help to provide much needed affordable housing
units. Specific impacts to the health, safety and welfare of surrounding property
owners will be determined when a site-specific location for the affordable units is
identified and a site development plan is processed.
Because a specific development project for the affordable units is not being
requested or processed at this time, the findings regarding the orderly development
of property and preservation of property values is not applicable.
Staff has reviewed the state law regarding development agreements and the
proposed agreement is consistent with the provisions of State Government Code
Sections 65864-65869.5.
Approval of the development agreement in no way affects the location, timing or
provision for public facilities as required by the Aviara Master Plan, Local Facilities
Management Plan (Zone 19) and the city‘s Growth Management Plan and is
therefore consistent with the Land Use and Public Facilities Elements of the General
Plan.
Since a site development plan is not being requested or processed at this time, the
findings of consistency with other provisions of Title 20 of the Municipal Code is
not applicable.
In addition to the findings required by Chapter 21.70 of the Zoning Ordinance, Section
21.70.050 required the development agreement to be reviewed by the Housing and
Redevelopment Advisory Committee and by the City Attorney. The Housing and
Redevelopment Advisory Committee reviewed and considered the agreement at its meeting
of October 26, 1992 and unanimously recommended that it be approved by the Planning
Commission and City Council. The City Attorney’s Office has reviewed the agreement and
has submitted its required report which is attached as attachment #4. The report states
that the agreement has been approved as to form and is in compliance with state law and
city ordinances.
DI 92-05 - AVIARA AFFhJ3ABLE HOUSING DEVELOPMENT LGREEMENT
JANUARY 20,1993
PAGE 5
V. SUMMARY
In summary, staff believes that the alternative of the developer to provide 160 units of
inclusionary housing at one time on an accelerated schedule is a benefit to the city in terms
of providing affordable housing. The request for an affordable housing development
agreement is appropriate and reasonable in return for the benefit the city derives. And
finally, the agreement complies with all provisions of Chapter 21.70 of the Municipal Code.
Staff, therefore, recommends that the Planning Commission support the agreement and
recommend to the City Council that it be approved.
The Planning Director has determined that approval of this development agreement will
not have a significant impact on the environment and therefore issued a Negative
Declaration on November 25,1992.
The environmental analysis concluded that since: (1) this development agreement is not
associated with any specific development project, (2) will not directly result in any
significant physical, biological, or human environmental impacts, and that, (3) any future
development projects processed under the provisions of the agreement shall be required to
undergo detailed environmental review, no project-specific impacts are anticipated. There
were no letters of comment received during the public review period of the Negative
Declaration.
ATTACHMENTS
1. Planning Commission Resolution No. 34.88
2. Planning Commission Resolution No. 3489
3. Report to Planning Commission from City Attorney dated October 26,1992.
4. Minutes from Housing and Redevelopment Advisory Committee meeting, October
26,1992
December 30,1992
MJH:arb:km
-. I
October 26, 1992
b TO : Planning Commission
FROM: city Attorney
FAX NO, 6194348367 - P, 03
REPORT AND RECOMMENDATION ON THE AFFORDABLE HOUSING DEVELOPMENT
AGREEMENT BETNEEN AVIARA LAND ASSOCIATES LIMITED PARTNERSHIP AND THE CITY OF CARLSBAD
Carlsbad Municipal Code Section 21.70.070 requires the Planning
Commission to prepare a report and recommendation to the City - Council on all applications for development agreements for persons
of low and moderate income which implement the Housing Element of
the Carlsbad General Plan. Carlsbad Municipal Code Section - 21.70.050 (c) directs the City Attorney to prepare a report on proposed development agreements for the Planning Commission.
The development agreement 'under consideration is authorized by Government Code Section 65864 et seq. The intent of the legislature when it authorized the signing of development
agreements was to reduce the economic costs of development. A development agreement allows the parties to agree that certain rules, regulations and official policies in' force at the time of
the execution of the agreement will not be changed for the project for the duration of the agreement.
The development agreement proposed with Aviara has been restricted in its subject matter to apply only to initiatives, ordinances or '
other actions taken by' the City after September 1, 1992 (the date the Aviara Inclusionary Housing Agreement was approved) relating to low-income or very-low-income housing which would effect the rate,
timing or sequence of the development of the Aviara project, The agreement does not effect the applicability of future initiatives, ordinances or policies which are not related to low-income or very- low-income housing and the rate, timing or sequence of development.
This agreement will be binding on all successors in interest to the project. The agreement expires after ten years, but extensions are permissible.
The agreement is approved as to form. Whether or not to accept the
agreement is a discretionary decision. If you have any questions about the legal implications involved, please let me know. f"\
RONALD R. BALL City Attorney
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MINUTES
DRAFT
MEETING OF: HOUSING AND REDEVELOPMENT ADVISORY COMMITTEE
MEETING DATE: OCTOBER 26, 1992
MEETING TIME: 4:OO P.M.
MEETING PLACE: CITY COUNCIL CHAMBERS
1200 CARLSBAD VILLAGE DRIVE
CALL TO ORDER: Meeting called to order at 4:05 p.m.
ROLL CALL :
MEMBERS PRESENT: Chairperson Belynn Gonzalez, Members, Tom Betz, Walt Ritche, Sarah Marquez, Keith Meloy
MEMBERS ABSENT: Witt Rowlett, Jim McNeil, Cheri Sato and Jeannine Resha
STAFF PRESENT:
Evan Becker, Housing and Redevelopment
Director; Michael Holzmiller, Planning
Director; Clint Phillips, Senior Management Analyst; Karen Sauer, Management Analyst
i
I PUBLIC COMMENT:
Chairperson Belynn Gonzalez asked if anyone from the audience wished to speak. Since no one wished to address the committee
public comment section closed.
NEW BUSINESS:
1. AVIARA AFFORDABLE HOUSING DEVELOPMENT AGREEMENT
Housing and Redevelopment Director Evan Becker and Planning Director Michael Holzmiller presented a staff report to the Committee summarizing the Aviara Affordable Housing Development Agreement previously approved by the City Council. Mr. Becker pointed out to the Committee that this Agreement provides for the construction of the required 15% inclusionary affordable units (minimum of 160 units) upfront. The Committee inquired as to whether the developer must build the affordable units within the Aviara Master Plan project area. Mr. Becker stated that while the affordable units may be built outside the Aviara Master Plan area, the developer will not be allowed to build them outside of the quadrant in which this development falls.
Upon proper motion and second, the Committee unanimously approved the staff recommendation to support the Aviara Affordable Housing Development Agreement and recommended to the Planning Commission that it be approved.
After proper motion, meeting was adjourned at 4:40 p.m.
Respectfully Submitted,
r
Director
BIB1 LEAK Secretary 11 Minutes Clerk
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