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HomeMy WebLinkAbout2011-12-06; City Council; 20749; SDU RENT RESTRICTIONSCITY OF CARLSBAD - AGENDA BILL 20.749AB# MTG. 12/6/11 DEPT. CED SOU RENT RESTRICTIONS ZCA11-04/LCPA11-05 DEPT. DIRECTOR^ CITY ATTORNEY CITY MANAGER RECOMMENDED ACTION: That the City Council hold a public hearing and INTRODUCE Ordinance No. CS-166 . APPROVING an amendment to the City of Carlsbad Zoning Ordinance (ZCA 11-04), and ADOPT Resolution No. 2011-274 , APPROVING a Local Coastal Program Amendment (LCPA 11-05), for consistency with ZCA 11-04, based upon the findings contained therein. ITEM EXPLANATION: Project ZCA 11 -04 LCPA 11 -05 Planning Commission RA RA City Council X X Coastal Commission ** • RA = Recommended adoption/approval X = Final City decision-making authority • = Requires Coastal Commission approval ** = Will not become effective until the Coastal Commission approves LCPA 11-05 This proposal involves a City-initiated Zone Code Amendment and Local Coastal Program Amendment to amend the second dwelling unit rent restriction regulations located within Chapter 21.10 of the Zoning Ordinance. The Planning Commission voted on July 21, 2010 to recommend that the City Council direct staff to prepare an amendment to the Zoning Ordinance to relieve Second Dwelling Units (SDUs) that are built for reasons other than to satisfy the Inclusionary Housing Ordinance (IHO) from low income rent restrictions. At its May 17, 2011 workshop, the City Council concurred with this recommendation and directed staff to prepare the necessary amendments. This amendment does not apply to SDUs provided to satisfy the city's IHO. On October 19, 2011, a public hearing was held by the Planning Commission to consider the proposed amendments to the Zoning Ordinance and Local Coastal Program (ZCA 11-04/LCPA 11-05). No members of the public spoke in regard to the project, and the Planning Commission voted 7 - 0 to recommend approval of the proposed amendments. Staff's analysis of the proposed amendments is contained in the Report to the Planning Commission, dated October 19, 2011 (Exhibit 4). FISCAL IMPACT: The only anticipated fiscal impact would be from staff time required to complete the amendment process through the Coastal Commission. DEPARTMENT CONTACT: Corey Funk 760-602-4645 corey.funk(a)carlsbadca.gov FOR CITY CLERKS USE ONLY. COUNCIL ACTION: APPROVED DENIED CONTINUED WITHDRAWN AMENDED XD D D CONTINUED TO DATE SPECIFIC CONTINUED TO DATE UNKNOWN RETURNED TO STAFF OTHER -SEE MINUTES D D D D Page 2 ENVIRONMENTAL IMPACT: The proposed amendments are exempt from environmental review pursuant to CEQA Section 15061(b)(3), which exempts projects "where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment." Amending the zoning ordinance to exclude non-inclusionary second dwelling units from low income rent restrictions will not result in a significant effect on the environment. EXHIBITS: 1. City Council Ordinance No. CS-166 2. City Council Resolution No. 2011-274 3. Planning Commission Resolutions No. 6836 and 6837 4. Planning Commission Staff Report dated October 19, 2011 5. Excerpts of the Planning Commission Minutes dated October 19, 2011. 2 1 ORDINANCE NO. CS-166 2 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, APPROVING A ZONE CODE 3 AMENDMENT TO AMEND THE SECOND DWELLING UNIT RENT RESTRICTIONS LOCATED WITHIN CHAPTER 21.10 OF 4 THE ZONING ORDINANCE. CASE NAME: SOU RENT RESTRICTIONS 5 CASE NO.: ZCA 11 -04/LCPA 11 -05 6 The City Council of the City of Carlsbad, California, does ordain as follows: 7 SECTION 1: That sub-section 21.10.030.D.7 (R-1 One Family Residential Zone, 8 Second dwelling units) is amended to read as follows: 9 7. An owner signed and notarized a Notice of Restriction, to be recorded against the property, declaring that: 10 a. The property owner(s) shall reside in either the main dwelling unit or the second dwelling unit, unless a lessee leases both the main dwelling and the second dwelling unit; 11 b. The obligations and restrictions imposed on the second dwelling unit per this Chapter are binding on all present and future property owners. SECTION 2: That sub-section 21.10.030.E.15 (R-1 One Family Residential Zone, Second dwelling units) is hereby repealed. 14 SECTION 3: That second dwelling units approved under section 21.10.030 prior to the effective date of this ordinance shall be released from rental rate and/or tenant income16 restrictions imposed as a condition of their approval; except however, that unit rental rate and/or tenant income restrictions imposed on second dwelling units in accordance with chapter 21.8518 (Inclusionary Housing) or other affordable housing assistance program, shall continue to be in force and effect according to the terms of said program. 71 EFFECTIVE DATE: This ordinance shall be effective thirty days after its 22 adoption, and the City Clerk shall certify to the adoption of this ordinance and cause it to be 2^ published at least once in a publication of general circulation in the City of Carlsbad within 24 fifteen days after its adoption. (Notwithstanding the preceding, this ordinance shall not be 25 effective until LCPA 11-05 is approved by the California Coastal Commission.) 26 INTRODUCED AND FIRST READ at a regular meeting of the Carlsbad City 27 Council on the 6- day of December 2011, and thereafter. 28 1 PASSED AND ADOPTED at a regular meeting of the City Council of the City of 2 Carlsbad on the day of 2011, by the following vote, to wit: 3 AYES: 4 NOES: 5 ABSENT: 6 ABSTAIN: 7 8 APPROVED AS TO FORM AND LEGALITY 9 10 RONALD R. BALL, City Attorney 11 12 MATT HALL, Mayor 13 14 ATTEST: 15 16 LORRAINE M. WOOD, City Clerk 17 (SEAL) 18 19 20 21 22 23 24 25 26 27 28 -2- EXHIBIT 2 1 RESOLUTION NO. 2011-274 2 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, APPROVING AN AMENDMENT TO 3 THE CARLSBAD LOCAL COASTAL PROGRAM TO AMEND THE SECOND DWELLING UNIT RENT RESTRICTIONS LOCATED 4 WITHIN CHAPTER 21.10 OF THE ZONING ORDINANCE. CASE NAME: SDU RENT RESTRICTIONS 5 CASE NO.: LCPA11-05 6 The City Council of the City of Carlsbad, California, does hereby resolve as follows: 7 WHEREAS, pursuant to the provisions of the Municipal Code, the Planning 8 Commission did on October 19, 2011, hold a duly noticed public hearing as prescribed by law to 9 consider the Zone Code Amendment (ZCA 11-04), as referenced in Planning Commission Resolution No. 6836, and Local Coastal Program Amendment (LCPA 11-05), as referenced in Planning Commission Resolution No. 6837; and WHEREAS, the Planning Commission adopted Planning Commission Resolutions No. 6836 and 6837 recommending to the City Council that ZCA 11-04 and LCPA 11-05 be approved; and15 WHEREAS, the City Council of the City of Carlsbad, on the 6th day ofcecember16 , 2011, held a duly noticed public hearing to consider the Zone Code Amendment and Local Coastal Program Amendment; and18 WHEREAS, at said public hearing, upon hearing and considering all testimony and arguments, if any, of all persons desiring to be heard, the City Council considered all factors ~, relating to the Zone Code Amendment and Local Coastal Program Amendment. 22 NOW, THEREFORE, the City Council of the City of Carlsbad, California does 2i hereby resolve as follows: 24 1. That the above recitations are true and correct. 25 2. That the findings of the Planning Commission in Planning Commission Resolutions No. 6836 and 6837 constitute the findings of the City Council in this matter. ^f\ 3. That the amendment to the Local Coastal Program (LCPA 11-05), is 27 approved as shown in Planning Commission Resolution No. 6837, on file with the City Clerk and incorporated herein by reference. 28 1 4. That the approval of LCPA 11-05 shall not become effective until it is approved by the California Coastal Commission and the California Coastal Commission's 2 approval becomes effective. 3 "NOTICE TO APPLICANT" 4 The time within which judicial review of this decision must be sought is governed by Code of Civil Procedure, Section 1094.6, which has been made applicable in the City of 5 Carlsbad by Carlsbad Municipal Code Chapter 1.16. Any petition or other paper seeking review must be filed in the appropriate court not later than the ninetieth day following the date on which 6 this decision becomes final; however, if within ten days after the decision becomes final a request for the record is filed with a deposit in an amount sufficient to cover the estimated cost 7 or preparation of such record, the time within which such petition may be filed in court is extended to not later than the thirtieth day following the date on which the record is either 8 personally delivered or mailed to the party, or his attorney of record, if he has one. A written request for the preparation of the record of the proceedings shall be filed with the City Clerk, 9 City of Carlsbad, 1200 Carlsbad Village Drive, Carlsbad, CA. 92008. 10 PASSED AND ADOPTED at a regular meeting of the City Council of the City of 11 Carlsbad on the 6th day of December 2011, by the following vote, to wit: 12 AYES: Council Members Hall, Kulchin, Blackburn, Douglas, Packard. 13 NOES: None. 14 ABSENT: None. 15 16 17 MATT HALL, Mayor18 19 ATTEST; 20 21/ ' ^RRAINJE M. WOOD, City Clerk 22 (SEAL) 24 25 26 27 28 -2- EXHIBIT 3 1 PLANNING COMMISSION RESOLUTION NO. 6836 2 A RESOLUTION OF THE PLANNING COMMISSION OF THE 3 CITY OF CARLSBAD, CALIFORNIA, RECOMMENDING APPROVAL OF A ZONE CODE AMENDMENT TO AMEND 4 THE SECOND DWELLING UNIT RENT RESTRICTIONS LOCATED WITHIN CHAPTER 21.10 OF THE ZONING 5 ORDINANCE. CASE NAME: SOU RENT RESTRICTIONS 6 CASE NO: ZCA11-Q4 7 WHEREAS, the Planning Director has prepared a proposed Zone Code o Amendment pursuant to Section 21.52.020 of the Carlsbad Municipal Code to: amend the second 9 dwelling unit rent restrictions located within Chapter 21.10 of the Zoning Ordinance; and 10 WHEREAS, the proposed amendment is set forth in the draft City Council 11 Ordinance, Exhibit "X" dated, October 19, 2011, and attached hereto SDU RENT 12 RESTRICTIONS - ZCA 11-04; and 13 WHEREAS, the Planning Commission did on October 19, 2011, hold a duly 14 noticed public hearing as prescribed by law to consider said request; and WHEREAS, at said public hearing, upon hearing and considering all testimony j 7 and arguments, if any, of all persons desiring to be heard, said Commission considered all factors I g relating to the Zone Code Amendment. 19 NOW, THEREFORE, BE IT HEREBY RESOLVED by the Planning 20 Commission as follows: 21 A) That the foregoing recitations are true and correct. 22 B) That based on the evidence presented at the public hearing, the Commission RECOMMENDS APPROVAL of SDU RENT RESTRICTIONS - ZCA 11- 04, based on the following findings: Findings: 25 1. That the proposed Zone Code Amendment ZCA 11-04 is consistent with the General 26 Plan in that the proposed amendment does not conflict with any goal, objective or policy of the General Plan and will not impede the city's future ability to meet its 27 share of regional housing needs. 28 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 2. That the proposed ZCA 11-04 reflects sound principles of good planning in that it is consistent with the General Plan and with the procedures and standards of the other provisions of the Zoning Ordinance that are not proposed for amendment. PASSED, APPROVED, AND ADOPTED at a regular meeting of the Planning Commission of the City of Carlsbad, held on October 19, 2011, by the following vote, to wit: AYES: Chairperson L'Heureux, Commissioners Arnold, Black, Schumacher, Scully and Siekmann NOES: ABSENT: ABSTAIN: •\_r\4c^|rjyyU|3c^^5"" STEPfffiN^HAP" L'HEUREUX, Chairperson CARLSBAD PLANNING COMMISSION ATTEST: 0»* S(OM DON NEU Planning Director PC RESO NO. 6836 -2- Nygaard, 1 PLANNING COMMISSION RESOLUTION NO. 6837 2 A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF CARLSBAD, CALIFORNIA, RECOMMENDING APPROVAL OF AN AMENDMENT TO THE CARLSBAD 4 LOCAL COASTAL PROGRAM TO AMEND THE SECOND DWELLING UNIT RENT RESTRICTIONS LOCATED WITHIN 5 CHAPTER 21.10 OF THE ZONING ORDINANCE. CASE NAME: SOU RENT RESTRICTIONS 6 CASE NO: LCPA11-05 7 WHEREAS, California State law requires that the Local Coastal Program, ° General Plan, and Zoning Ordinance applicable to properties in the Coastal Zone be in conformance; and WHEREAS, the City of Carlsbad, "Applicant," has filed a verified application for an amendment to the Local Coastal Program; and 12 . • . .WHEREAS, said verified application constitutes a request for a Local Coastal 13 Program Amendment as shown on Exhibit "X" dated October 19, 2011, attached to Planning 14 Commission Resolution No. 6836 as provided in Public Resources Code Section 30514 and 15 Section 13551 of California Code of Regulations Title 14, Division 5.5; and16 WHEREAS, the Planning Commission did on October 19, 2011, hold a duly i o noticed public hearing as prescribed by law to consider said request; and 19 WHEREAS, at said public hearing, upon hearing and considering all testimony 20 and arguments, if any, of all persons desiring to be heard, said Commission considered all factors 21 relating to the Local Coastal Program Amendment; and 22 WHEREAS, State Coastal Guidelines requires a six-week public review period 23 for any amendment to the Local Coastal Program. 24 NOW, THEREFORE, BE IT HEREBY RESOLVED by the Planning Commission of the City of Carlsbad, as follows: 26 A) That the foregoing recitations are true and correct. 27 28 1 2 B) At the end of the State-mandated six-week review period, starting on August 26, 2011 and ending on October 7, 2011, staff shall present to the City Council a summary of the comments received. 3 C) That based on the evidence presented at the public hearing, the Commission 14 15 16 23 24 25 26 27 28 RECOMMENDS APPROVAL of SDU RENT RESTRICTIONS - LCPA 11- 05 based on the following findings: Findings: 1. That the proposed Local Coastal Program Amendment meets the requirements of, and is in conformity with, the policies of Chapter 3 of the Coastal Act and all applicable policies of the Carlsbad Local Coastal Program not being amended by this amendment, in that the amendments ensure consistency with the Carlsbad Zoning Ordinance, and do not conflict with any coastal zone regulations, land use designations or policies. 2. That the proposed amendment of the Carlsbad Local Coastal Program is required to bring it into consistency with the proposed Zone Code Amendment (ZCA 11-04). PASSED, APPROVED, AND ADOPTED at a regular meeting of the Planningi12Commission of the City of Carlsbad, held on October 19, 2011, by the following vote, to wit: 13 AYES: Chairperson L'Heureux, Commissioners Arnold, Black, Nygaard, Schumacher, Scully and Siekmann NOES: ABSENT: 17 ABSTAIN: 18 19 20 21 CARLSBAD PLANNING COMMISSION 22" STEPHEN "HAP" L'HEUREUX, Chairperson ATTEST: ilx. DON NEU Planning Director PC RESO NO. 6837 -2- The City of Carlsbad Planning Division EXHIBIT 4 A REPORT TO THE PLANNING COMMISSION Item No. P.C. AGENDA OF: October 19, 2011 Application complete date: N/A Project Planner: Corey Funk Project Engineer: N/A SUBJECT: ZCA 11-04/LCPA 11-05 - SDU RENT RESTRICTIONS - A request for a recommendation of approval for a Zone Code Amendment and Local Coastal Program Amendment to amend the second dwelling unit rent restrictions located within Chapter 21.10 of the Zoning Ordinance. I. RECOMMENDATION That the Planning Commission ADOPT Planning Commission Resolutions No. 6836 and 6837 RECOMMENDING APPROVAL of ZCA 11-04 and LCPA 11-05 based on the findings contained therein. II. INTRODUCTION This proposal involves a City-initiated Zone Code Amendment and Local Coastal Program Amendment to amend the second dwelling unit rent restriction regulations located within Chapter 21.10 of the Zoning Ordinance. The purpose of this amendment is to no longer require certain second dwelling units (SDUs) to be rented at a rate affordable to low income households. This amendment does not apply to SDUs provided to satisfy the city's Inclusionary Housing Ordinance (IHO). The proposed amendments are consistent with applicable portions of the General Plan and maintain internal consistency within the Zoning Ordinance and the Local Coastal Program (LCP). With regard to the LCP amendment, the Zoning Ordinance is the LCP implementing ordinance; therefore an LCP amendment is necessary. However, no portion of the LCP land use plan document is being amended. III. PROJECT DESCRIPTION AND BACKGROUND For the purposes of this report, SDUs can be divided into the following two categories: those that are built to satisfy the requirements of the IHO (inclusionary SDUs), and those that are not (non-inclusionary SDUs). • Inclusionary SDUs are one way to meet the requirements of the IHO. For residential projects with seven or more dwelling units, the IHO requires 15% of the units to be affordable to very low and low income households (see Attachment 3 for income group definitions). ZCA 11-04/LCPA 11-05 - SDU RENT RESTRICTIONS October 19, 2011 Page 2 • Non-inclusionary SDUs are typically either (1) added to an existing home by a homeowner, or (2) built by a developer or owner/builder along with a new single family home as an amenity. The Planning Commission voted on July 21, 2010 to recommend that the City Council direct staff to prepare an amendment to the Zoning Ordinance to exclude SDUs that are not built to satisfy the IHO from low income rent restrictions. At its May 17, 2011 workshop, the City Council concurred with this recommendation and directed staff to prepare the necessary amendments. As proposed, non-inclusionary SDUs will no longer be subject to any rent restrictions; however, inclusionary SDUs will continue to be subject to the requirements of the IHO. As indicated below, the majority of existing SDUs in Carlsbad are inclusionary SDUs: • Inclusionary SDUs - 176 • Non-inclusionary SDUs - 39 • Total existing SDUs - 215 The Housing and Neighborhood Services Department completes an annual SDU survey, which shows how SDUs in Carlsbad are being used. Responses to the 2011 SDU survey are indicated below (215 SDU owners were surveyed and 152 responses were received). • SDU is rented - 28% • SDU is used as housing for extended family - 44% • SDU is used for other purposes (e.g. home office) - 28% IV. ANALYSIS A. General analysis Currently, the Zoning Ordinance requires both types of second dwelling units to be rent restricted to low income households. As expressed by the Planning Commission during their July 21, 2010 meeting, the Commission considered the low income rent restriction on non- inclusionary SDUs to be unnecessarily burdensome on the individual homeowner. The primary purpose of existing zoning regulations that require all SDUs (non-inclusionary and inclusionary) to be rented at rates affordable to lower income tenants is to comply with state housing law, which requires the city to accommodate a minimum number of dwelling units affordable to moderate and lower income households. The city's Housing Element depends on the future construction of 80 SDUs (including inclusionary and non-inclusionary) to meet state requirements for affordable housing. However, the proposed amendment will not adversely impact the city's ability to comply with state housing law, provided the SDUs are affordable to at least moderate income tenants. ZCA 11-04/LCPA 11-05 - SDU RENT RESTRICTIONS October 19, 2011 Page 3 ; • If the proposed amendment is approved, owners of non-inclusionary SDUs will be able to rent the units at a market rate. However, it is estimated by the city's Housing and Neighborhood Services Department that non-inclusionary SDUs will still be affordable to moderate income tenants (see Attachment 3) if a market rate rent is charged.1 Therefore, the city will still be able to comply with the state's affordable housing requirements. B. General Plan, Zoning Ordinance and Local Coastal Program Consistency The proposed amendment is minor and procedural in nature. No substantive changes to development standards, policies or programs are proposed. Staff has analyzed the proposed amendment and finds that, as demonstrated above, the proposed amendment does not prevent the city from complying with the state's affordable housing requirements and therefore does not conflict with the housing element. Additionally, it does not conflict with any other portion of the General Plan. An integral component of any Zoning Ordinance amendment is a requirement to find that the proposed amendments are internally consistent with the procedures and standards of the rest of the existing Zoning Ordinance that is not proposed for amendment, and that it is consistent with the Local Coastal Program. Staff has analyzed the proposed amendments and finds that the amendments are internally consistent with the other provisions of the Zoning Ordinance not being amended, and that the proposed amendments do not create any conflicts with the provisions of the Local Coastal Program. V. ENVIRONMENTAL REVIEW The proposed amendments are exempt from environmental review pursuant to CEQA Section 15061(b)(3), which exempts projects "where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment." Amending the zoning ordinance to exclude non-inclusionary second dwelling units from low income rent restrictions will not result in a significant effect on the environment. ATTACHMENTS: 1. Planning Commission Resolution No. 6836 (ZCA) 2. Planning Commission Resolution No. 6837 (LCPA) 3. Income group definitions and limits 4. Strikeout/underline version of the proposed Zoning Ordinance text amendment ' Estimate of market rate rents for SDUs is based on U.S. Dept. of Housing and Urban Development's Fair Market Rents for San Diego County effective 10/01/2010, San Diego County Apartment Association data and staffs knowledge of the local housing market. •13 ATTACHMENTS ZCA11-04/LCPA 11-05 SDU RENT RESTRICTIONS INCOME GROUP DEFINITIONS Very Low (<50% of Area Median Income) Low (50-80% of Area Median Income) Moderate (80-120% of Area Median Income) Above Moderate (> 120% of Area Median Income) See following page for related income group maximum rents Source: U.S. Department of Housing and Urban Development H ATTACHMENTS SAN DIEGO HOUSING COMMISSION INCOME AND RENT CALCULATIONS U.S. Department Of Housing and Urban Development 2011 SAN DIEGO MEDIAN INCOME:$74,908 Note: The table contains income limits for 2010 extremely low, very low and lowineofn e, as adjusted for family size and other factors adopted and amended from time to time bythe U.S. Department of Housing and Urban Development (HUD). HUD adjusted San Diego Very Lowlncome limits for a "high housing cost area" factor. family Size Urit Sii« ONErwo THREE FOUR FfvE SIX SEVEN EIGHT STUDIO I-BR 2-BR 3-BR 4-BR 6-BR 6-8R Bdremdy Low Income 30% AMI (Adjusted by HUD) ANNUAL GROSS INCOME' RENT1 TCAC?" $17,200 $19,650 $22,100 $24,550 $26,550 $28,500 $30,450 $32,450 $430 $491 $553 $614 $664 $713 $761 $430 $461 $553 $639 $713 $786 35% AMI (adjusted by HUD) ANNUAL GROSS INCOME' RENT" TCAC*" $20,050 $22,900 $25,800 $28,650 $30,950 $33,250 $35,550 $37,800 $501 $573 $645 $716 $774 $831 $889 $502 $538 $645 $745 $832 $917 40% AMI (AdjuaedtyHOD) ANNUAL GROSS Trarrf INCOME' RENT* CAC $22,950 $26,200 $29,500 $32,750 $35,350 $38,000 $40,600 $43,250 $574 $655 $738 $819 $884 $950 $1,015 $574 $615 $738 $852 $951 $1,049 Family Si 38 Urit Siz* ONE rwo THREE FOUR FWE SIX SEVEN EIGHT STUDIO 1-8R 2-BR 3-BR 4-BR 5-BR 6-BR \^ry Low Income 50% AMI (Adjusted by HUD) ANNUAL GROSS a "Low INCOME' RENT2 HOME"* $28,700 $32,800 $36,900 $40,950 $44,250 $47,550 $50,800 $54,100 $718 $820 $923 $1 ,024 $1,106 $1,189 $1 ,270 $717 $768 $922 $1 ,065 $1,188 $1,311 $722 $774 $928 $1 ,073 $1.197 $1 ,321 $1,445 60% AMI (AljustedbyHUD) ANNUAL GROSS INCOME' RENT' $34,440 $39,360 $44,280 $49,140 $53,100 $57,060 $60,960 $64,920 $861 $984 $1,107 $1 ,229 $1 ,328 $1,427 $1,524 $861 $922 $1,107 $1,278 $1,426 $1 ,573 65% AMI (AJjuaedbyHUD) ANNUAL GROSS "H^l INCOME' RENf HOME"" $37,300 $42,600 $47,950 $53,250 $57,500 $61 ,750 $66,050 $70,300 $933 $1 ,065 $1,199 $1 ,331 $1 ,438 $1 ,544 $1 ,651 $920 $987 $1,187 $1,362 $1,500 $1,637 $1,774 Family Size Urit Size ONE TV» THREE FOUR FWE SIX SEVEN EIGHT STUDIO 1-BR 2-BR 3-BR 4-BR 6-BR 6-BR 70% AMI (AijuaedbyHUQ) ANNUAL GROSS INCOME' RENT' $40,150 $45,900 $51 ,600 $57,350 $61 ,950 $66,550 $71,100 $75,700 $1,004 $1,148 $1 ,290 $1 ,434 $1 ,549 $1 ,664 $1 ,778 Low Income 80% AMI (Adjusted by HUD) ANNUAL GROSS INCOME' RENT2 $45,850 $52,400 $58,950 $65,500 $70,750 $76,000 $81 ,250 $86,500 $1,146 $1,310 $1,474 $1,638 $1 ,769 $1 ,900 $2,031 100% £rea Median hcoms (No HUDadjustmsnt) ANNUAL GROSS INCOME' RENT" $52,450 $59,900 $67,400 $74,900 $80,900 $86,900 $92,900 $98,850 $1 ,31 1 $1 ,498 $1,685 $1 ,873 $2,023 $2,1 73 $2,323 120% AMI (No HUD adjustment) ANNUAL GROSS INCOME' RENT2 $62,950 $71 ,900 $80,900 $89,900 $97,100 $104,300 $111,500 $118.650 $1 ,574 $1 ,798 $2,023 $2,248 $2,428 $2,608 $2,788 ' TC AC = Tax Credit Allocation Committee 1. Annual Income = Gross annual income adjusted by family size for Area Median Income (AMI) level. May contain additional adjustments as determinec annually by HUD. 2. Gross rent minus utility allowance - maximum cash rent. See the "San Diego Housing Commission Utility j^lowance Scfiedule" to calculate the utility allovwice based on the project's actual utility mix. 3. For projects vMth multiple funding sources, use the lov>«st rents applicable and/or apply HUDs MTSP "Hold Harmless" policy. "LowHOME" and "High HOME" rents effective July 13, 2011 Note: Due to the Housing and Economic Recovery M of 2008 the data presented in this chart may not be applicable to projects financed vvth Section 42 Lowlncome Housing Tax Credits (LIHTC) or section 142 tax exempt private equity bonds (MTSP). If you believe your affordable housing project is affected bythis change and have questions regarding the 2011 Rent & Income limits, please contact Irma Betancourt at irmab@sdhc.org. This general income and rental rate information is derived from the U.S. Department of Housing and Urban Development very low income figures published May 31, 2011 (revised June 30, 2011 for San Diego County). HOME Rents effective July 13, 2011. S:WShare\NOFAW«tl& Utility ChartstfOl 1 Source: U.S. Department of Housing and Urban Development ATTACHMENT 4 ZCA 11-04/LCPA 11-05 SDU RENT RESTRICTIONS STRIKE-OUT/UNDERLINE1 Section 21.10.030 (R-l One Family Residential Zone, Second dwelling units) is proposed to be amended as follows: 21.10.030 Second dwelling units. A. The public good is served when there exists in a city housing which is appropriate for the needs of and affordable to all members of the public who reside within that city. Among other needs, there is in Carlsbad a need for affordable rental housing. Therefore, it is in the public interest for the city to promote a range of housing alternatives in order to meet the affordable rental housing needs of its citizens. This section is intended to provide a rental housing alternative by establishing a procedure to create new second dwelling units. B. The provisions of this section shall apply to single-family zones R-A, R-E and R- 1, areas designated by a master plan for single-family detached dwellings in P-C zones and lots within multifamily zones R-2, R-3, R-P, R-T, R-W and RD-M, which are developed with single- family residences. C. Second dwelling units developed within the coastal zone require a minor coastal development permit issued according to the provisions of Section 21.201.085 and a building permit. Second dwelling units outside of the coastal zone require a building permit. D. The completed minor coastal development permit and/or building permit application for a second dwelling unit shall include the following information: 1. The name(s) of the owner(s); 2. The address of the dwelling units; 3. The assessor's parcel number; 4. Building elevations and a general floor plan of the second dwelling unit; 5. A scaled drawing showing the lot dimensions, the location of the primary and second dwelling unit, location of all vehicular parking and the total square footage of both units; 6. Description and location of water and sanitary (sewer) services; and 7. An owner signed and notarized a Notice of Restriction, to be recorded against the property, declaring that: in conformance with 21.10.030.E. 15 of this Chapter. a. The property owner(s) shall reside in either the main dwelling unit or the second dwelling unit, unless a lessee leases both the main dwelling and the second dwelling unit; b. The obligations and restrictions imposed on the second dwelling unit per this Chapter are binding on all present and future property owners. 1 The version of Section 21.10.030 shown in this exhibit was adopted by the City Council on 7/27/10 as part of ZCA 07-02/ LCPA 07-03, but is still pending approval by the California Coastal Commission and is not yet effective. To view the version of Section 21.10.030 currently in effect, please see Agenda Bill No. 20,329 for ZCA 01-021 LCPA 07-03 or view the Carlsbad Municipal Code at www. carlsbadca.sov. ATTACHMENT 4 E. Second dwelling units shall comply with the following: 1. The second dwelling unit shall either be attached to the main dwelling unit and located within the habitable area of the main dwelling unit or detached from the main dwelling unit and located on the same lot as the main dwelling unit; 2. The second dwelling unit shall have a separate entrance; 3. The second dwelling unit must meet the setback, lot coverage and other development standards applicable to the zone which are not addressed within this subsection. In the coastal zone, any housing development processed pursuant to this chapter shall be consistent with all certified local coastal program provisions, with the exception of density, or as otherwise specified within this subsection; 4. Attached second dwelling units shall conform to the height limits applicable to the zone and detached second dwelling units shall be limited to one story, except that second dwelling units constructed above detached garages shall be permitted and shall conform to the height limits applicable to the zone; 5. Garage conversions are prohibited unless replacement off-street garage parking is provided concurrently and in compliance with the requirements of Chapter 21.44; 6. Second dwelling units shall not be permitted on a lot or parcel having guest or accessory living quarters, or a residential care facility. Existing guest or accessory living quarters may be converted into a second dwelling unit provided that all zoning and structural requirements are met; 7. One additional paved off-street (covered or uncovered) parking space shall be provided for the second dwelling unit and shall comply with the requirements of Chapter 21.44. The additional parking space may be provided through tandem parking (provided that the garage is set back a minimum of twenty feet from the property line) or in the front yard setback; 8. Adequate water and sewer capacity and facilities for the second dwelling unit must be available or made available; 9. All necessary public facilities and services must be available or made available; 10. The second unit may be rented and shall not be sold separately from the main dwelling unit unless the lot on which such units are located is subdivided. The lot upon which the second unit is located shall not be subdivided unless each lot which would be created by the subdivision will comply with the requirements of this title and Title 20; and further provided, that all structures existing on each proposed lot will comply with the development standards applicable to each lot; 11. The total area of floor space for an attached or detached second unit shall not exceed six hundred forty square feet; 12. The second dwelling unit shall be architecturally compatible with the main dwelling unit, in terms of appearance, materials and finished quality; 13. A second dwelling unit which conforms to the requirements of this section shall be allowed to exceed the permitted density for the lot upon which it is located and shall be deemed to be a residential use consistent with the density requirements of the general plan and the zoning designation for the lot; 14. Second dwelling units intended to satisfy an inclusionary requirement shall comply with the requirements of Chapter 21.85, including but not limited to the applicable rental rates and income limit standards. 44: The owner shall sign and notarize a Notice of Restriction, to be recorded against n ATTACH ME NT 4 the property, declaring that: &-. —If the second dwelling unit is rented, the monthly rental rate shall not exceed the allowable housing expense of a low income household (defined: Section 21.85.020). b-. The property ewner(s) shall reside in either the main dwelling unit or the second dwelling unit, unless a lessee leases both the main dwelling and the second dwelling unit; fe The obligations and restrictions imposed on the second dwelling unit per this Chapter are binding on all present and future property owners. EXHIBIT 5 Planning Commission Minutes October 19, 2011 Page 2 MOTION ACTION: Motion by Commissioner Schumacher, and duly seconded, that the Planning Commission approve the minutes from the Regular Meeting of October 5, 2011. VOTE: 7-0 AYES: Chairperson L'Heureux, Commissioner Arnold, Commissioner Black, Commissioner Scully, Commissioner Schumacher, and Commissioner Siekmann NOES: None ABSENT: None ABSTAIN: Commissioner Nygaard Chairperson L'Heureux directed everyone's attention to the slide on the screen to review the procedures the Commission would be following during the evening's Public Hearing. PUBLIC COMMENTS ON ITEMS NOT LISTED ON THE AGENDA None. PLANNING COMMISSION PUBLIC HEARING Chairperson L'Heureux asked Mr. Neu to introduce the first item. 1. ZCA 11-04/LCPA 11-05 - SOU RENT RESTRICTIONS - A request for a recommendation of approval for a Zone Code Amendment and Local Coastal Program Amendment to amend the second dwelling unit rent restrictions located within Chapter 21.10 of the Zoning Ordinance. Mr. Neu introduced Agenda Item 1 and stated Associate Planner Corey Funk would make the Staff presentation. Chairperson L'Heureux opened the public hearing on Agenda Item 1. Mr. Funk gave a brief presentation and stated he would be available to answer any questions. Chairperson L'Heureux asked if there were any questions of Staff. Seeing none, he asked if there were any members of the audience who wished to speak on the item. Seeing none, Chairperson L'Heureux closed public testimony on the item. MOTION ACTION: Motion by Commissioner Schumacher, and duly seconded, that the Planning Commission adopt Planning Commission Resolutions No. 6836 and 6837 recommending approval of ZCA 11-04 and LCPA 11-05 based on the findings contained therein. VOTE: 7-0 AYES: Chairperson L'Heureux, Commissioner Arnold, Commissioner Black, Commissioner Nygaard, Commissioner Scully, Commissioner Schumacher, and Commissioner Siekmann NOES: None ABSENT: None ABSTAIN: None Chairperson L'Heureux closed the public hearing on Agenda Item 1 and asked Mr. Neu to introduce the next item. NOTICE OF PUBLIC HEARING NOTICE IS HEREBY GIVEN to you, because your interest may be affected, that the City Council of the City of Carlsbad will hold a public hearing at the Council Chambers, 1200 Carlsbad Village Drive, Carlsbad, California, at 6:00 p.m. on Tuesday, December 6, 2011, to consider approval of a Zone Code Amendment and Local Coastal Program Amendment to amend the second dwelling unit rent restrictions located within Chapter 21.10 of the Zoning Ordinance. Whereas, on October 19, 2011 the City of Carlsbad Planning Commission voted 7-0 to recommend approval of a Zone Code Amendment and Local Coastal Program Amendment to amend the second dwelling unit rent restrictions located within Chapter 21.10 of the Zoning Ordinance. Those persons wishing to speak on this proposal are cordially invited to attend the public hearing. Copies of the agenda bill will be available on and after December 2, 2011. If you have any questions, please contact Corey Funk in the Planning Division at (760) 602-4645 or corey.funk@carlsbadca.gov. If you challenge the Zone Code Amendment and/or Local Coastal Program Amendment in court, you may be limited to raising only those issues you or someone else raised at the public hearing described in this notice or in written correspondence delivered to the City of Carlsbad, Attn: City Clerk's Office, 1200 Carlsbad Village Drive, Carlsbad, CA 92008, at or prior to the public hearing. CASE FILE: ZCA 11-04/LCPA 11-05 CASE NAME: SOU RENT RESTRICTIONS PUBLISH: November 26, 2011 CITY OF CARLSBAD CITY COUNCIL tasy Peel La Deis Use Avery® TEMPLATE 5160®j^Feed Paper See Instruction Sheet« for Easy Peel Feature^IAVERY®5160« CARLSBAD UNIF SCHOOL DIST 6225 EL CAMINO REAL CARLSBAD CA 92011 SAN MARCOS SCHOOL DISTRICT STE 250 255 PICO AVE SAN MARCOS CA 92069 ENCINITAS SCHOOL DISTRICT 101 RANCHO SANTA FE RD ENCINITAS CA 92024 SAN DIEGUITO SCHOOL DISTRICT 710 ENCINITAS BLVD ENCINITAS CA 92024 LEUCADIA WASTE WATER DIST TIM JOCHEN 1960 LA COSTA AVE CARLSBAD CA 92009 OLIVENHAIN WATER DISTRICT 1966OLIVENHAINRD ENCINITAS CA 92024 CITY OF ENCINITAS 505 S VULCAN AV ENCINITAS CA 92024 CITY OF SAN MARCOS 1 CIVIC CENTER DR SAN MARCOS CA 92069-2949 CITY OF OCEANSIDE 300 NORTH COAST HWY OCEANSIDE CA 92054 CITY OF VISTA 600 EUCALYPTUS AVE VISTA CA 92084 VALLECITOS WATER DISTRICT 201 VALLECITOS DE ORO SAN MARCOS CA 92069 I.P.U.A. SCHOOL OF PUBLIC ADMIN AND URBAN STUDIES SAN DIEGO STATE UNIVERSITY SAN DIEGO CA 92182-4505 STATE OF CALIFORNIA DEPT OF FISH AND GAME 3883 RUFFIN ROAD SAN DIEGO CA 92123 REGIONAL WATER QUALITY STE 100 9174 SKY PARK CT SAN DIEGO CA 92123-4340 SD COUNTY PLANNING STEB 5201 RUFFIN RD SAN DIEGO CA 92123 LAFCO 1600 PACIFIC HWY SAN DIEGO CA 92101 AIR POLLUTION CONTROL DISTRICT 10124 OLD GROVE RD SAN DIEGO CA 92131 SANDAG STE 800 401 B STREET SAN DIEGO CA 92101 U.S. FISH & WILDLIFE 6010 HIDDEN VALLEY RD CARLSBAD CA 92011 CA COASTAL COMMISSION ATTN TON I ROSS STE 103 7575 METROPOLITAN DR SAN DIEGO CA 92108-4402 AIRPORT LAND USE COMMISSION SAN DIEGO COUNTY AIRPORT AUTHORITY PO BOX 82776 SAN DIEGO CA 92138-2776 CARLSBAD CHAMBER OF COMMERCE 5934 PRIESTLEY DR CARLSBAD CA 92008 CITY OF CARLSBAD PUBLIC WORKS/ENGINEERING DEPT- PROJECT ENGINEER CITY OF CARLSBAD PROJECT PLANNER STEVE MACIEJ - BIASD STE 110 9201 SPECTRUM CENTER BLVD SAN DIEGO CA 92123-1407 Etiquettes faciles a peler Utilisez le gabarit AVERY® 5160®Sens de chargement Consultez la feuille construction www.avery.com 1-800-GO-AVFRV tasy Keel Laoeis Use Avery® TEMPLATE 5160®Paper See Instruction Sheet; for Easy Peel Feature^iAVERY®5i60« BARONA GROUP OF THE CAPITAN GRANDE EDWIN ROMERO, CHAIRPERSON 1095BARONA RD LAKESIDE CA 92040 BUREAU OF INDIAN AFFAIRS 2800 COTTAGE WAY SACRAMENTO CA 95825 BUSINESS, TRANS & HSG AGENCY STE 2450 980 NINTH ST SACRAMENTO CA 95814 CA COASTAL COMMISSION STE 103 7575 METROPOLITAN DR SAN DIEGO CA 92108 CANNEL ISLANDS NATL PARK SUPERINTENDENT'S OFFICE 1901 SPINNAKER DR SAN GUENA VENTURA CA 93001 CITY OF ENCINITAS 505 S VULCAN AV ENCINITAS CA 92024 COASTAL CONSERVANCY STE 1100 1330 BROADWAY OAKLAND CA 94612 COUNTY OF SD SUPERVISOR RM335 1600 PACIFIC SAN DIEGO CA 92101 DEPT OF DEFENSE LOS ANGELES DISTENG PO BOX 2711 LOS ANGELES CA 90053 DEPT OF ENERGY STE 400 611 RYANPLZDR ARLINGTON TX 760114005 DEPT OF FISH & GAME ENV SERV DIV PO BOX 944246 SACRAMENTO CA 942442460 DEPT OF FOOD & AGRICULTURE AGRICULTURAL RESOURCES RM100 1220NST SACRAMENTO CA 95814 DEPT OF FORESTRY ENV COORD PO BOX 944246 SACRAMENTO CA 942442460 DEPT OF HOUSING & URBAN DEV REGION IX ENVIRONMENTAL OFFICER 611 WEST SIXTH ST, STE. 811 LOS ANGELES CA 90017 DEPT OF JUSTICE DEPT OF ATTY GEN RM700 110 WEST AST SAN DIEGO CA 92101 DEPT OF TRANSPORTATION RM 5504 1120NST SACRAMENTO CA 95814 FED AVIATION ADMIN WESTERN REG PO BOX 92007 LOS ANGELES CA FEDERAL ENERGY REGULATORY COMMISSION 1001ST ST., STE 2300 SAN FRANCISCO CA 941053084 MARINE RESOURCES REG DR & G ENV SERVICES SPR STEJ 4665 LAMPSON AVE LOSALAMITOS CA 907205139 OFF OF PLANNING & RESEARCH OFF OF LOCAL GOV AFFAIRS PO BOX 3044 SACRAMENTO CA 958123044 SAN FRANCISCO BAY CONSERV & DEV COM STE 2600 50 CALIFORNIA ST SAN FRANCISCO CA 941114704 SANDAG EXEC DIRECTOR STE 800 1STINTLPLZ401 B ST SAN DIEGO CA 92101 SD COUNTY PLANNING & LAND USE DEPT STE B-5 5201 RUFFIN RD SAN DIEGO CA 92123 SDGE 8315 CENTURY PARK CT SAN DIEGO CA 92123 STATE LANDS COMMISSION STE 1005 100 HOWE AV SACRAMENTO CA 958258202 US ARMY CORPS OF ENGINEER 1455 MARKET ST FL17 SAN FRANCISCO CA 94103 US BUREAU OF LAND MGMT STE RM W 2800 COTTAGE WY SACRAMENTO CA 95825 US BUREAU OF RECLAMATION MID PACIFIC REG 2800 COTTAGE WY SACRAMENTO CA 95825 US FISH & WILDLIFE SERVICES 2800 COTTAGE WAY STE W-2605 SACRAMENTO CA 95825 USDA RURAL DEVELOPMENT DEPT 4169 430 G ST DAVIS CA 95606 Etiquettes faciles a peler Utilisez le gabarit AVERY® 5160®Sens de chargement Consultez la feuille d'instruction www.avery.com 1-800-GO-AVERY Easy Peel Labels Use Avery® TEMPLATE 5160®j^Feed Paper See Instruction Sheet j for Easy Peel Feature jk 1AVERY®5160« WATER RESOURCES CONTROL BOARD PO BOX 100 SACRAMENTO CA 95801 Etiquettes faciles a peler Utilisez le gabarit AVERY® 5160®Sens de chargement Consultez la feuille d'instruction www.avery.com 1-800-GO-AVERY This space is for the County Clerk's Filing Stamp PROOF OF PUBLICATION (2010 & 2011 C.C.P.) STATE OF CALIFORNIA County of San Diego I am a citizen of the United States and a resident of the County aforesaid: I am over the age of eighteen years and not a party to or interested in the above- entitled matter. I am the principal clerk of the printer of North County Times Formerly known as the Blade-Citizen and The Times- Advocate and which newspapers have been adjudicated newspapers of general circulation by the Superior Court of the County of San Diego, State of California, for the City of Oceanside and the City of Escondido, Court Decree number 171349, for the County of San Diego, that the notice of which the annexed is a printed copy (set in type not smaller than nonpariel), has been published in each regular and entire issue of said newspaper and not in any supplement thereof on the following dates, to-wit: November 26th, 2011 Proof of Publication of I certify (or declare) under penalty of perjury that the foregoing is true and correct. RING NOTICE IS HEREBY GfV- EN to you, because your interestmay be affected, that the City Coun- cil of the City of Carlsbad will hold apublic hearing at the Council Cham- bers, 1200 Carlsbad Village Drive, Carlsbad, California, at 6:00 p.m. onTuesday. December gj 2011. to consider approval of a Zone Code Amendment and Local Coastal Pro- gram Amendment to amend the sec- ond dwelling unit rent restrictionslocated within Chapter 21.10 of the Zoning Ordinance. •' . .\ Whereas, on October 19, 2011 the City of Carlsbad Planning Cornmis-, sion voted 7-0 to recommend ap- proval of a Zone Coda Amendment and Local, Coastal Program Amend- ment to amend the second dwelling unit rent restrictions located withinChapter21.10oftheZoning Ordinance. Those persons wishing to speak on this proposal are cordially invited toattend the public hearing. Copies of the agenda bill will be available on and after December 2, 2011. If you have any questions, please contact Corey Funk in the Planning Division at, 760-602-4645 orcorev.funk@carlsbadca.aov If you challenge the Zone Code Amendment and/or Local Coastal Program Amendment in court, you may be limited to raising only those issues you or someone else raised at the public hearing described in this notice or in written correspondence delivered to the City of Carlsbad,Attn: City Clerk's Office, 1200 Carls- bad Village Drive, Carlsbad, CA92008, at or prior to the public hearing.CASE FILE: ZCA11-04/LCPA11-05 CASE NAME: SOU RENT RESTRICTIONS CITY OF CARLSBAD CITY COUNCIL net 2304610 11/26/2011 Dated at Escondido, California On this 28th, day of November, 2011 Jane AllsRouse NORTH COUNTY TIMES Legal Advertising SDU Rent RestrictionsZCA 11‐04/LCPA 11‐05 Background•Second Dwelling Unit (SDU) categories–Inclusionary SDUs–Non‐inclusionary SDUs•Current regulation–Both SDU types are rent restricted to lower income group–Purpose: Housing Element goals and state law2 Background•Planning Commission concerns–Regulation is burdensome on homeowners of non‐inclusionary SDUs•City Council direction3 Amendment•Remove rent restriction for non‐inclusionary SDUs–Units would now be rented at a market rate•Does not apply to inclusionary SDUs4 Project Consistency•Housing Element–Depends on SDUs to meet goals•Market rate SDUs likely to be affordable to moderate income group•Consistent with the Housing Element–City must accommodate lower and moderate income housing5 Recommendation•That the City Council INTRODUCE Ordinance No. CS‐166 APPROVING Zone Code Amendment ZCA 11‐04, and ADOPTResolution No. 2011‐274, APPROVING Local Coastal Program Amendment LCPA 11‐05 based on the findings contained therein. 6