AGENDA #4j
MEMORANDUM
TO: Mayor and Town Council
FROM: W. Calvin Horton, Town Manager
SUBJECT: Calling Public Hearing on Adjusting Rounding for Affordable Housing Calculations in the Land Use Management Ordinance
DATE: October 11, 2004
The Council has asked for information about the Land Use Management Ordinance language regarding rounding up or down for the affordable housing provisions. This memorandum reviews the current provisions. Adoption of the attached resolution would call a Public Hearing to consider changes to the rounding provisions for the size restricted/affordable housing provisions of the Ordinance.
BACKGROUND
The Land Use Management Ordinance regulations specify that, for major subdivisions or Planned Developments with 5 or more single-family or two-family lots, at least 25% of the dwelling units shall be restricted in size to no more than 1,350 square feet of floor area for a 30-month period. The regulations specify that, in calculating how many such houses are to be required, the total number of lots is multiplied by .25, and resulting fractions are dropped.
In lieu of providing size restrictions for 25% of the homes in a new subdivision, a developer may offer and the Council may choose to accept 15% affordable units. If the Council authorizes the provision of 15% affordable units, at least 15% of the dwelling units of a major subdivision must be priced to be affordable to individuals and families who have incomes at or below 80% of the area median income for a family of four. The regulations state that resulting fractions of units are dropped in making the calculation.
For major subdivisions or Planned Developments which propose 5-12 residential lots, the Town Council may authorize a payment to the Town to fund affordable housing initiatives. The regulations specify that the resulting fractions are not dropped in calculating this dollar amount.
DISCUSSION
Given the Council’s interest in revisiting these requirements, we recommend that the Council adopt the attached resolution to call a Public Hearing to consider changes to the rounding provision of the size restricted/affordable housing provisions of the Ordinance. We recommend that the item most recently placed on the November 15 Public Hearing be moved to the January Public Hearing to accommodate this Council initiative. We recommend that the Franklin Grove Concept Plan be heard on January 19th. The Franklin Grove application proposes to adjust the allowable floor area in the development to allow attics to be finished and become usable floor area.
The November 15 and January 19 Public Hearings currently have the following items scheduled:
November 15 Public Hearing
· Wilson Assemblage Special Use Permit
· The Farm Special Use Permit
· Concept Plan: Beechridge Development
· Concept Plan: Orange County Senior Center
· Concept Plan: Franklin Grove
January 19 Public Hearing
· Land Use Management Ordinance text amendment: school site reservation
· Land Use Management Ordinance text amendment: Demolition by Neglect
· Montessori School Special Use Permit
RECOMMENDATION
We recommend that the Council adopt the attached resolution to call a Public Hearing for November 15, 2004, to consider adjustment to the rounding provisions of the size restricted/affordable housing provisions of Sections 3.8.5 and 3.8.6 of the Land Use Management Ordinance. Adoption of the resolution would adjust the November 15 Public Hearing by delaying consideration of the Concept Plan proposed for the Franklin Grove application to January 19.
A RESOLUTION CALLING A PUBLIC HEARING TO CONSIDER AMENDING HOW NUMBERS ARE ROUNDED IN THE HOUSING FLOOR AREA RESTRICTIONS/AFFORDABLE HOUSING PROVISIONS OF THE LAND USE MANAGEMENT ORDINANCE (2004-10-11/R-7)
WHEREAS, Section 3.8.5 of Chapel Hill’s Land Use Management Ordinance provides regulations regarding housing floor area restrictions for major subdivisions and Planned Developments and Section 3.8.6 offers substitution of affordable housing or a payment-in-lieu of affordable housing for the floor area restrictions; and
WHEREAS, Town Council members have brought forward concerns about the method for rounding up or down used in the regulations;
NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council calls a Public Hearing for 7:00 p.m. on Monday, November 15, 2004, in Chapel Hill Town Hall, to consider amending language in Sections 3.8.5 and 3.8.6 of the Land Use Management Ordinance.
BE IT FURTHER RESOLVED that the public hearing for the Franklin Grove Development Special Use Permit Modification Concept Plan is rescheduled to January 19, 2005.
This the 11th day of October, 2004.