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A housing plan, housing agreement, and livability report shall be required as follows:

A. Housing Plan. No application for a tentative map, parcel map, use permit, or building permit to which this chapter applies shall be deemed complete until an inclusionary housing plan is submitted with the application. At any time during the review process, the city may require from the developer additional information reasonably necessary to clarify and supplement the application or determine the consistency of the proposed inclusionary housing plan with the requirements of this chapter. The developer shall submit an inclusionary housing plan, as follows:

1. In a form specified by the city manager or designee; and

2. Detailing how the provisions of this chapter will be implemented for the proposed residential or mixed-use project; and

3. The location, structure (attached, semi-attached, or detached), whether for sale or rental, size of the proposed market rate and inclusionary units, and the basis for calculating the number of inclusionary units; and

4. A floor or site plan showing the location of the inclusionary units; and

5. The income levels to which each inclusionary unit will be made affordable; and

6. For phased development, a phasing plan that provides for the timely development of the number of inclusionary units proportionate to each proposed phase of development as required by CMC 20.30.060(B) (Standards – Timing of Construction); and

7. If the inclusionary housing plan includes alternatives to on-site units, then the inclusionary housing plan shall be subject to the review and approval of the city council; and

8. All other inclusionary housing plans shall be subject to the approval of the city manager or designee; and

9. City manager’s or designee’s decision shall be subject to appeal to the city council. Any such appeal shall be filed within 15 days of the city manager’s or designee’s decision.

B. Housing Agreement. The developer shall execute and cause to be recorded an inclusionary housing agreement. The inclusionary housing agreement shall be as follows:

1. Shall be a legally binding agreement between the developer and the city; and

2. In a form and substance satisfactory to the city manager or designee, and the city attorney; and

3. Contain those provisions necessary to ensure that the requirements of this chapter are satisfied, whether through the provision of inclusionary units or through an approved alternative method.

4. Each inclusionary housing agreement shall include, at minimum, the following:

a. Description of the development, including whether the inclusionary units will be rented or owner-occupied;

b. The number, size and location of very low-income, low-income, or moderate-income units;

c. Provisions and/or documents for resale restrictions, deeds of trust, rights of first refusal or rental restrictions;

d. Provisions for monitoring the ongoing affordability of the units, and the process for qualifying prospective resident households for income eligibility; and

e. Any additional obligations relevant to the compliance with this chapter.

5. Recording of Agreement. Each inclusionary housing agreement shall be recorded against owner-occupied inclusionary units and residential projects containing rental inclusionary units, as applicable. Additional rental or resale restrictions, deeds of trust, rights of first refusal, and/or other documents acceptable to the city shall also be recorded against owner-occupied inclusionary units. In cases where the requirements of this chapter are satisfied through the development of off-site units, the inclusionary housing agreement shall simultaneously be recorded against the property where the off-site units are to be developed.

C. Discretionary Approvals/Issuance of Permits. The following shall apply to residential and mixed-use projects subject to the provisions of this chapter:

1. Discretionary Approvals. No discretionary approval shall be issued for a residential or mixed-use project subject to this chapter until the developer has submitted an inclusionary housing plan.

2. Issuance of a Building Permit. No building permit shall be issued for a residential or mixed-use project unless the city manager, or designee, or city council per the provisions of this section, has approved the inclusionary housing plan, and any required inclusionary housing agreement has been recorded.

3. Issuance of Certificate of Occupancy. A certificate of occupancy shall not be issued for a residential or mixed-use project subject to this chapter unless the approved inclusionary housing plan has been fully implemented.

D. Livability Report. Upon completion of a residential or mixed-use project, and a certificate of occupancy, or comparable permit, has been issued, the developer or project successor shall, by July 1st of each calendar year, submit a livability report to the city manager, or designee, which shall be subject to the following:

1. Identify which units are inclusionary units; and

2. Identify the monthly rent (or total housing cost if an ownership unit); and provide vacancy information for each inclusionary unit for the prior year; verification of income of the household occupying each inclusionary unit throughout the prior year; and

3. Identify increases in rent, including the amount, frequency, specific units that received rent increases, and identify how rent increases complied with applicable state laws including the Ellis Act; and

4. Identify the number of eviction notices, evictions taken to court including outcome, evictions that were completed and the tenant was forced to leave the unit, specific units occupied by tenants that received an eviction notice, and provide documentation regarding compliance with the Ellis Act provisions; and

5. All maintenance, and any applicable remodel costs of the prior year; and

6. Other information as may be required by the city manager or designee. (Ord. 720 § 9 (Att. 2), 2022).