AGENDA #10

 

MEMORANDUM

 

TO:                  Mayor and Town Council

 

FROM:            W. Calvin Horton, Town Manager

 

SUBJECT:       Housing Floor Area Restrictions and Accessory Apartments:  Land Use Management Ordinance Text Amendment

 

DATE:             September 22, 2003

 

 

The attached ordinance would enact changes to regulations in the Town’s Land Use Management Ordinance provisions regarding housing floor area restrictions as they relate to accessory apartments.  Under the proposed change, accessory apartments could not be used to satisfy a requirement for small dwellings.

 

BACKGROUND

 

Chapel Hill’s Land Use Management Ordinance, as did the Development Ordinance that preceded it, requires that a portion of dwelling units that are constructed in new subdivisions be limited in size.  Specifically, for new Major Subdivisions with 5 or more single-family or two-family residential lots, the Land Use Management Ordinance requires that at least 25% of the dwelling units shall contain no more than 1,350 square feet of floor area at the time that the units are initially conveyed.  The Council initially enacted this requirement in the spring of 2000, in pursuit of the Comprehensive Plan’s objective of achieving a diverse housing stock.

 

On May 19, 2003, the Council conducted a Concept Plan Review for Montclair Estates, a proposed 16 lot subdivision on 11 acres near Culbreth Middle School.  The applicant’s Concept Plan for the project proposed meeting the Town’s housing floor area restrictions (“small house” provisions) by providing basement level accessory apartments in the residential structures built on five of the 16 lots.

 

The Council’s discussion on May 19 indicated that there were varying opinions regarding whether inclusion of such accessory apartments addresses the intent of the Council regarding the small house regulations contained in the Land Use Management Ordinance.  Several Council members questioned whether inclusion of accessory apartments in a subdivision proposal would comply with the Land Use Management Ordinance “small house” requirements.  The Manager and Attorney were asked to consider the matter and report to the Council.

 

On May 28, 2003, the Manager and the Attorney reported to the Council that there may be basis for the Montclair Estates applicant’s interpretation of the current provisions, that accessory apartments may be used to satisfy the size-limited requirement.  At the May 28 meeting, the  Council called a Public Hearing for September 15 to consider changes to Section 3.8.5 of the Land Use Management Ordinance to clarify whether accessory apartments on the same lot as larger residential structures and incorporated into such structures qualify as size-limited dwellings under Section 3.8.5.

 

DISCUSSION

 

We believe the present provisions of Section 3.8.5 of the Ordinance can be interpreted to allow an accessory apartment dwelling unit that is part of a “Two-Family Dwelling Unit” to be a dwelling unit used to satisfy Section 3.8.5 of the Land Use Management Ordinance.

 

The Land Use Management Ordinance, Section 3.8.5, “Housing Floor Area Restrictions for Major Subdivision and Planned Development” states:

 

“Section 3.8.5 Housing Floor Area Restrictions for Major Subdivision and Planned Development

 

(a)                Major Subdivisions and Planned Development-Housing proposals which create residential building lots shall restrict the floor area of single- and two-family dwelling units in the following manner:

 

(b)               For a Major Subdivision or a Planned Development-Housing proposal with 5 or more single-family or two-family residential lots, at least 25% of the dwelling units shall contain no more than 1,350 square feet of floor area at the time that the units are initially conveyed.

 

(c)                Each lot that is large enough for only one single-family dwelling unit or that is limited by restrictive covenants to development only with a single-family dwelling unit shall be deemed to house one single-family dwelling unit.  Each lot that is large enough for a two-family dwelling unit or that is allowed by restrictive covenants to develop with a two-family dwelling shall be deemed to house two dwelling units.  The minimum number of size-limited units shall then be determined by multiplying the maximum number of dwelling units permissible within the development proposal as determined herein by the percentage specified above (resulting fractions shall be dropped).

 

(d)               The subdivision preliminary and final plats and the Planned Development-Housing proposals minor subdivision plats shall indicate clearly each lot on which a size-limited unit must be constructed, and the builder, developer and purchaser shall be bound by that limitation.

 

(e)                No Zoning Compliance Permit or Building Permit shall be issued for the construction of any dwelling unit on any lot that has been designated as a lot on which a size-limited unit must be constructed unless the proposed dwelling conforms to the limitation of this Section.  Notwithstanding the foregoing, this Section shall not prevent the purchaser of any size-limited unit, or any successor to such purchaser, from enlarging the dwelling unit at any time following thirty (30) months after the issuance of the initial Certificate of Occupancy for the Unit.

 

(f)                 This Section shall not apply to any major subdivision or Planned Development proposal that has been approved by the Town Council prior to the effective date of this Chapter.

 

(g)        For purposes of this Section, “floor area” means floor area, as defined in Appendix A to this Ordinance, whether or not such floor area is intended for or suitable for immediate occupancy.”

 

We believe the language that exists in the Ordinance allows an accessory apartment (a second dwelling unit that is part of a two-family dwelling) to be a dwelling unit that counts toward the limited size restrictions.  The language can be changed to specify that accessory apartments may not be used to satisfy the floor area restrictions with the addition of the following paragraph to Section 3.8.5:

 

(h)                For purposes of this Section, an Accessory Apartment associated with a “Two-Family Dwelling including an Accessory Apartment” shall not be used to satisfy the requirement of (b) above as a dwelling unit containing no more than 1,350 square feet of floor area.

 

We believe that accessory apartments are a traditional, desirable, and important housing form in Chapel Hill.  Since the earliest days of this community, small apartments have been carved out of houses to create attractively-priced housing and achieve some diversity in the Town’s housing stock.  Many homes in Chapel Hill have a small accessory apartment, often rented out to an individual or small household.  Currently, Town regulations limit the size of an accessory apartment to a maximum of 750 square feet. 

 

We also believe that one of the Council’s objectives in enacting the size-limited requirement has been to achieve diversity in the size of new houses that are built in newly-developing neighborhoods.  Using accessory apartments within houses to satisfy the size-limited requirement may provide diverse housing forms within a neighborhood, but does not result in houses and structures of varying sizes.  As we understand the Council’s objectives for diversity in houses and structures, we conclude that the objective would best be achieved by specifying that accessory apartments cannot be used to meet the size-limited dwelling requirement.

 

RECOMMENDATIONS

 

Planning Board Recommendation:  The Planning Board discussed the proposed text amendment on September 2, 2003, and voted 9-0 to recommend approval.  Please see the attached Summary of Planning Board Action.

 

Manager’s Recommendation:  We recommend that the Town Council enact the attached Ordinance which would adjust Section 3.8.5 of the Ordinance to prohibit accessory apartments from being used to satisfy the restricted floor area provisions.  We note that the recommended provision would not prohibit the development of accessory apartments where they are otherwise permitted and proposed in accordance with standards of the Land Use Management Ordinance, but would preclude use of such dwelling units to satisfy the requirement for size-restricted dwellings.

 

ATTACHMENTS

 

  1. Summary of Planning Board Action (p. 7).

AN ORDINANCE AMENDING THE CHAPEL HILL LAND USE MANAGEMENT ORDINANCE to prECLUDE USE OF ACCESSORY APARTMENTS TO SATISFY THE FLOOR AREA RESTRICTIONS OF SECTION 3.8.5 (2003-09-22/O-3)

 

WHEREAS, the Council of the Town of Chapel Hill has considered changes to the Land Use Management Ordinance to preclude the use of Accessory Apartments to satisfy the requirements of Section 3.8.5 regarding size-restricted dwellings;

 

NOW, THEREFORE, BE IT ORDAINED by the Council of the Town of Chapel Hill as follows:

 

Section 1.  Section 3.8.5 of the Chapel Hill Land Use Management Ordinance is hereby revised to read as follows:

 

“Section 3.8.5 Housing Floor Area Restrictions for Major Subdivision and Planned Development

 

(a)                Major Subdivisions and Planned Development-Housing proposals which create residential building lots shall restrict the floor area of single- and two-family dwelling units in the following manner:

 

(b)               For a Major Subdivision or a Planned Development-Housing proposal with 5 or more single-family or two-family residential lots, at least 25% of the dwelling units shall contain no more than 1,350 square feet of floor area at the time that the units are initially conveyed.

 

(c)                Each lot that is large enough for only one single-family dwelling unit or that is limited by restrictive covenants to development only with a single-family dwelling unit shall be deemed to house one single-family dwelling unit.  Each lot that is large enough for a two-family dwelling unit or that is allowed by restrictive covenants to develop with a two-family dwelling shall be deemed to house two dwelling units.  The minimum number of size-limited units shall then be determined by multiplying the maximum number of dwelling units permissible within the development proposal as determined herein by the percentage specified above (resulting fractions shall be dropped).

 

(d)               The subdivision preliminary and final plats and the Planned Development-Housing proposals minor subdivision plats shall indicate clearly each lot on which a size-limited unit must be constructed, and the builder, developer and purchaser shall be bound by that limitation.

 

(e)                No Zoning Compliance Permit or Building Permit shall be issued for the construction or any dwelling unit on any lot that has been designated as a lot on which a size-limited unit must be constructed unless the proposed dwelling conforms to the limitation of this Section.  Notwithstanding the foregoing, this Section shall not prevent the purchaser of any size-limited unit, or any successor to such purchaser, from enlarging the dwelling unit at any time following thirty (30) months after the issuance of the initial Certificate of Occupancy for the Unit.

 

(f)                 This Section shall not apply to any major subdivision or Planned Development proposal that has been approved by the Town Council prior to the effective date of this Chapter.

 

(g)                For purposes of this Section, “floor area” means floor area, as defined in Appendix A to this Ordinance, whether or not such floor area is intended for or suitable for immediate occupancy.

 

(h)                For purposes of this Section, an Accessory Apartment associated with a “Two-Family Dwelling including an Accessory Apartment” shall not be used to satisfy the requirement of (b) above as a dwelling unit containing no more than 1,350 square feet of floor area.

 

Section 2.  That all ordinances and portions of ordinances in conflict herewith are hereby repealed.

 

Section 3.  That this amendment shall become effective upon adoption.

 

This the 22nd day of September, 2003.