HomeMy WebLinkAbout08-03-22 EVB Agenda & Packet MaterialsA.Call to Order - 6:00 PM
B.Disclosures
C.Changes to the Agenda
D.Public Service Announcements
E.Approval of Minutes
E.1 Approve the July 6, 2022 Economic Vitality Board Meeting Minutes (DiTommaso)
F.Consent Items
G.Public Comments
This is the time to comment on any matter falling within the scope of the Economic Vitality Board.
There will also be time in conjunction with each agenda item for public comment relating to that
item but you may only speak once. Please note, the Board cannot take action on any item which
THE ECONOMIC VITALITY BOARD OF BOZEMAN, MONTANA
EV AGENDA
Wednesday, August 3, 2022
This meeting will be held both in-person and also using Webex, an online videoconferencing system.
You can join this meeting:
Via Webex:
Click the Register link, enter the required information, and click submit.
Click Join Now to enter the meeting.
Via Phone: This is for listening only if you cannot watch the stream, channel 190, or attend in-person
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+1-650-479-3208
Access code: 2558 078 3012
If you are interested in commenting in writing on items on the agenda please send an email to
agenda@bozeman.net prior to 12:00pm on the day of the meeting.
Public comments will be accepted in-person during the appropriate agenda items.
You may also comment by visiting the Commission's comment page.
You can also comment by joining the Webex meeting. If you do join the Webex meeting, we ask you
please be patient in helping us work through this hybrid meeting.
As always, the meeting will be streamed through the Commission's video page and available in the City
on cable channel 190.
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does not appear on the agenda. All persons addressing the Board shall speak in a civil and
courteous manner and members of the audience shall be respectful of others. Please state your
name and place of residence in an audible tone of voice for the record and limit your comments to
three minutes.
General public comments to the Board can be found in their Laserfiche repository folder.
H.Special Presentations
H.1 Intersection Art Project seeks local (Hess)
I.Action Items
I.1 Recommendation on the new Affordable Housing Ordinance (Fine)
J.FYI/Discussion
K.Adjournment
L.For more information please contact Brit Fontenot, bfontenot@bozeman.net
General information about the Economic Vitality Board is available in our Laserfiche repository.
This board generally meets the first Wednesday of the month from 6:00 pm to 8:00 pm.
Citizen Advisory Board meetings are open to all members of the public. If you have a disability and
require assistance, please contact our ADA coordinator, Mike Gray at 406-582-3232 (TDD 406-
582-2301).
In order for this Board to receive all relevant public comment in time for this meeting, please
submit via the Commission Comment Page or by emailing agenda@bozeman.net no later than
12:00 PM on the day of the meeting. Public comment may be made in person at the meeting as
well.
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Memorandum
REPORT TO:Economic Vitality Board
FROM:Jesse DiTommaso, Economic Development Specialist
Brit Fontenot, Economic Development Director
SUBJECT:Approve the July 6, 2022 Economic Vitality Board Meeting Minutes
MEETING DATE:August 3, 2022
AGENDA ITEM TYPE:Minutes
RECOMMENDATION:Approve the July 6, 2022 Economic Vitality Board Meeting Minutes.
STRATEGIC PLAN:1.1 Outreach: Continue to strengthen and innovate in how we deliver
information to the community and our partners.
BACKGROUND:In accordance with Commission Resolution 5323 and the City of Bozeman's
Citizen Advisory Board Manual, all boards must have minutes taken and
approved. Prepared minutes will be provided for approval by the board at
the next regularly scheduled meeting. Staff will make any corrections
identified to the minutes before submitting to the City Clerk's Office.
UNRESOLVED ISSUES:None.
ALTERNATIVES:As recommended by the Board.
FISCAL EFFECTS:None.
Attachments:
070622 EVB Minutes.pdf
Report compiled on: July 29, 2022
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Bozeman Economic Vitality Board Meeting Minutes, July 6, 2022
Page 1 of 3
THE ECONOMIC VITALITY BOARD MEETING OF BOZEMAN, MONTANA
MINUTES
July 6, 2022
Present: Joseph Morrison, Sara Savage, Craig Ogilvie, Danielle Rogers, John Carey, Katharine
Osterloth, Christopher Coburn
Absent: None
A) 00:00:59 Call to Order - 6:00 PM
B) 00:01:52 Disclosures
• There were no disclosures.
C) 00:01:58 Changes to the Agenda
• There were no changes.
D) 00:02:05 Approval of Minutes
D.1 00:02:18 Approval of June 1, 2022 Economic Vitality Board Meeting Minutes
060122 Economic Vitality Board Minutes.pdf
00:02:32 Motion D) Approval of Minutes
Danielle Rogers: Motion
John Carey: 2nd
00:02:50 Vote on the Motion to approve D) Approval of Minutes. The Motion carried 7 - 0
Approve:
Joseph Morrison
Sara Savage
Suzanne Berget White
Craig Ogilvie
Danielle Rogers
John Carey
Katharine Osterloth
Disapprove:
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Bozeman Economic Vitality Board Meeting Minutes, July 6, 2022
Page 2 of 3
None
E) 00:04:02 Public Comments
• There were no public comments.
F) 00:04:34 Special Presentations
F.1 00:05:15 Economic Development Strategy Update Consultant Presentation
• Alisa Pyzka of Bridge Economic Development presented the strategy update.
00:26:33 Questions of Presenter.
G) 00:54:54 Work Session
G.1 Belonging in Bozeman: Introduction to the Equity & Inclusion Planning Process Work
Session
• Interim Communications and Community Engagement Manager Dani Hess presented Belonging
in Bozeman.
01:06:44 Board Feedback
H) 01:26:27 Action Items
H.1 01:26:32 Ordinance 2104 To Repeal and Replace Division 38.430 Planned Unit
Development With A New Planned Development Zone Process And Amend 24 Related
Sections Of The Bozeman Municipal Code, Application 22133
• Economic Development Program Manager David Fine presented Ordinance 2104.
01:44:30 Questions of Staff
02:00:36 Public Comment
• There were no public comments.
02:01:19 Chair Osterloth extended the meeting until 8:15pm.
02:01:57 Discussion
02:17:53 Meeting to Extend to 8:35pm.
02:21:19 Motion to amend the maximum percentage of AMI for Rental Dwellings in Ordinance
2104 Table 38.430.050 to 80% for single-household detached dwelling; 70% for single-household
attached dwelling; and 60% for multi-household dwelling.
Craig Ogilvie: Motion
Danielle Rogers: 2nd
02:33:55 Vote on the Motion to amend the maximum percentage of AMI for Rental Dwellings in Ordinance
2104 Table 38.430.050 to 80% for single-household detached dwelling; 70% for single-household attached
dwelling; and 60% for multi-household dwelling.
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Bozeman Economic Vitality Board Meeting Minutes, July 6, 2022
Page 3 of 3
The Motion failed 2 - 4
Approve:
Craig Ogilvie
Danielle Rogers
Disapprove:
Joseph Morrison
Sara Savage
John Carey
Katharine Osterloth
02:34:50 Extend the meeting to 8:45pm
02:35:14 Motion Having reviewed and considered the staff memo, draft ordinance, public comment,
and all information presented, I hereby recommend approval of Ordinance 2104.
Craig Ogilvie: Motion
Joseph Morrison: 2nd
02:35:15 Vote on the Motion to approve Having reviewed and considered the staff memo, draft ordinance,
public comment, and all information presented, I hereby recommend approval of Ordinance 2104.. The
Motion carried 5 - 1
Approve:
Joseph Morrison
Sara Savage
Danielle Rogers
John Carey
Katharine Osterloth
Disapprove:
Craig Ogilvie
I) 02:36:37 Adjournment
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Memorandum
REPORT TO:Economic Vitality Board
FROM:City Manager
SUBJECT:Intersection Art Project seeks local
MEETING DATE:August 3, 2022
AGENDA ITEM TYPE:Citizen Advisory Board/Commission
RECOMMENDATION:None
STRATEGIC PLAN:3.3 Friendly Community: Ensure Bozeman continues to welcome diversity
through policies and public awareness.
BACKGROUND:The City of Bozeman, Gender Equality Montana, and the Downtown
Bozeman Partnership are seeking artist proposals for the Downtown
Bozeman Intersection Project. The project will feature welcoming and
inclusive artistic designs painted on the asphalt at two intersections in
Downtown Bozeman: Mendenhall/Black and Babcock/Black.
The Intersection Art Project is a continuation of a 2020 crosswalk project to
create a more vibrant, inclusive, and welcoming experience for all folks in
the Bozeman community. Specifically, the 2020 project featured the
traditional rainbow colors of red, orange, yellow, green, blue, and purple as
well as black, brown, white, light blue and pink. The rainbow has long been
associated with the affirmation of lesbian, gay, bisexual, transgender and
queer (LGBTQ+) folks and communities. The inclusion of white, light blue
and pink colors is meant to specifically acknowledge transgender and gender
diverse folks, and the black and brown colors remind us of the intersections
between race, sexuality, and gender and how these multiple systems of
oppression work together.
This project will elevate the 2020 pilot project by applying the art outside of
the travel lanes and wheel paths of vehicles, increasing the longevity of t he
design. The art will be placed in the parking lane, creating “bulb-outs” to
bring visibility to the pedestrian crossings. These bulb-outs can help increase
yielding rates of drivers for pedestrians crossing, and is modeled off several
successful traffic calming projects already completed in Bozeman. This
project is an opportunity to bring this important message of safety,
inclusivity, and belonging to downtown in a more permanent way. From a
technical perspective, the project will add bright, traffic calming “bulb-outs"
on what are otherwise busy, one-way streets adjacent to Main Street.
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Goals
Create welcoming and attractive public art displays that symbolize our
communities’ continued commitment to inclusivity and the value of
the LGBTQ+ community.
Serve as colorful reminders of the progress made by the LGBTQ+
community, in addition to the many challenges and attacks the
LGBTQ+ community continues to endure.
Provide an opportunity for local LGBTQ+ artists to visually express
their connection to this community and/or what they hope for in
Bozeman’s future.
Support and celebrate equality.
Use public art and innovative best practices in multimodal
transportation design to improve the visibility and safety of pedestrian
crossings in a high traffic, multimodal area.
See the Call for Art on the City's website.
UNRESOLVED ISSUES:None
ALTERNATIVES:None
FISCAL EFFECTS:Included in City Manager's FY23 budget
Report compiled on: July 28, 2022
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Memorandum
REPORT TO:Economic Vitality Board
FROM:David Fine, Economic Development Manager, Housing and Development
Renata Munfrada, Community Housing Program Coordinator
SUBJECT:Recommendation on the new Affordable Housing Ordinance
MEETING DATE:August 3, 2022
AGENDA ITEM TYPE:Citizen Advisory Board/Commission
RECOMMENDATION:Having reviewed and considered the staff memo, draft ordinance, public
comment, and all information presented, I hereby recommend approval of
Ordinance 2105.
STRATEGIC PLAN:4.5 Housing and Transportation Choices: Vigorously encourage, through a
wide variety of actions, the development of sustainable and lasting housing
options for underserved individuals and families and improve mobility
options that accommodate all travel modes.
BACKGROUND:In response to recent statutory changes approved by the Montana State
Legislature prohibiting mandatory inclusive zoning requirements, by creating
a voluntary system as an alternative. The new Affordable Housing Ordinance
(AHO) will include substantial density, height, and development bonuses for
affordable housing projects.
The purpose of this division is to promote the public health, safety, and
welfare by incentivizing increased production of affordable rental and for
sale housing to meet thneeds of city residents and the goals of the adopted
growth policy and the community housing action plan.
In addition, the purpose of this division is to offer incentives tailored to the
levels of housing affordability in new development and redevelopment, with
greater incentives being offered to those producing or preserving housing
affordable to households earning certain percentages of the Area Median
Income (AMI).
Furthermore, this division alleviates the reduction in the land supply
available to accommodate future community housing development that
would result if most or all of the available residential land is used solely for
the benefit of households that are able to afford market-rate housing.
The AHO is intended to facilitate the development of affordable rental
(income-restricted) and ownership (deed-restricted) housing. The Bozeman
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Action Plan suggests AHO incentives targets prioritize: 80% or less AMI for
rental and 120% or less AMI for ownership. The key challenge of moving
from an inclusionary zoning system to an incentive system is that the
provision of affordable units becomes "optional." As such, there must be
substantial market demand - and market reward - for the incentives offered
in order to entice developers to participate.
Please see the attached Staff Memorandum for additional information.
UNRESOLVED ISSUES:None.
ALTERNATIVES:As recommended by the Economic Vitality Board.
FISCAL EFFECTS:None.
Attachments:
AHO EV Board Memo 08.03.22 v.2.pdf
Ordinance 2105 38.380 Affordable Housing 7-25-2022.pdf
AHO Public Notice.pdf
Ordinance 2105 38.380 Affordable Housing 7-25-2022.pdf
Report compiled on: July 25, 2022
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Memorandum
REPORT TO: Economic Vitality Board
FROM: David Fine, Economic Development Manager, Housing and Development
Renata Munfrada, Community Housing Program Coordinator
SUBJECT: Affordable Housing Ordinance Work Session
MEETING DATE: August 3, 2022
AGENDA ITEM TYPE: Policy Discussion
RECOMMENDATION: Having reviewed and considered the staff memo, draft ordinance, public
comment, and all information presented, I hereby recommend approval of
Ordinance 2105.
STRATEGIC PLAN: 4.5 Housing and Transportation Choices – Vigorously encourage, through a wide
variety of actions, the development of sustainable and lasting housing options
for underserved individuals and families and improve mobility options that
accommodate all travel modes.
Background
The Bozeman Community Plan 2020 establishes goals to increase the supply of affordable housing in the
city. To fulfill these goals, the community plan establishes numerous objectives to promote housing
affordability and diversity through increased supply of certain types of housing.
The City Commission identified affordable housing as one of its main strategic goals: “Housing and
Transportation Choices - Vigorously encourage, through a wide variety of actions, the development of
sustainable and lasting housing options for under-served individuals and families and improve mobility
options that accommodate all travel modes.”
The Bozeman Community Housing Action Plan was approved by City Commission on November 18th,
2019, and amended on January 13, 2020. The Action Plan outlines a partnership framework to address
affordable housing (also called community housing) in Bozeman over a five-year period and
recommends edits to this chapter.
Limited housing opportunities within the city negatively impacts economic development, transportation
networks, and sustainability. Affordable housing needs must be addressed to maintain a sufficient
resident workforce in all fields of employment, and to ensure the public safety and general welfare of
the residents of the city, affordable housing needs must be addressed.
The incentives codified within the Bozeman Code Audit will advance the City's legitimate interest in
assuring that additional housing is built in the city.
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Bozeman Code Audit
The full Affordable Housing Code Audit project has been divided into four parts, each of which takes a
different look at how Bozeman regulates housing. It is intended to work in conjunction with: 1) edits to
the current Planned Unit Development (PUD) regulations, 2) proposed revisions to the Affordable
Housing Ordinance (AHO) in light of recent statutory changes approved by the Montana State
Legislature, and 3) a proposed list of new Departures for Affordability to be added to Title 38. A final
phase will make shorter term, impactful changes to the code in advance of a full-scale rewrite of the
Unified Development Code (UDC).
Ordinance 2015
In response to recent statutory changes approved by the Montana State Legislature prohibiting
mandatory inclusive zoning requirements, by creating a voluntary system as an alternative. The new
AHO will include substantial density, height, and development bonuses for affordable housing projects.
The purpose of this division is to promote the public health, safety, and welfare by incentivizing
increased production of affordable rental and for sale housing to meet the needs of city residents and
the goals of the adopted growth policy and the community housing action plan.
In addition, the purpose of this division is to offer incentives tailored to the levels of housing
affordability in new development and redevelopment, with greater incentives being offered to those
producing or preserving housing affordable to households earning certain percentages of the Bozeman
Area Median Income (AMI).
Furthermore, this division alleviates the reduction in the land supply available to accommodate future
community housing development that would result if most or all of the available residential land is used
solely for the benefit of households that are able to afford market-rate housing.
The AHO is intended to facilitate the development of income restricted, affordable rental and ownership
housing. The Bozeman Action Plan suggests AHO income targets prioritize: 80% or less AMI for rental
and 120% or less AMI for ownership. The key challenge of moving from an inclusionary system to an
incentive system is that the provision of affordable units becomes “optional.” As such, there must be
substantial market demand – and market reward – for the incentives offered in order to entice
developers to participate.
The City undertook a public process to consider methods to encourage creation of additional housing
and especially housing which accomplishes community aspirations identified in the growth policy and
the Community Housing Action Plan. The City concluded that implementing incentives by this resolution
provides for a more practical response to the rapid pace of change in the housing market in Bozeman
and will assist in regular updates so that the incentives and requirements remain in balance.
The feasibility analysis showed that the incentives and affordability requirements improve developer
returns (return on cost, annual new cash flow, and/or project margin). However, they require incentive
options that may have limited market appeal (very small low sizes and heights that require different
construction types) for relatively low dedication of affordable units. As such, incentive adoption may be
low among existing mart-rate developers in Bozeman.
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Shallow Incentives
Based on the feasibility analysis, the proposed AHO should include incentives for market-rate developers
to include a small proportion of affordable units in their development. However, the City should expect
relatively low adoption of such incentives under current market conditions. The incentive packages
should balance feasibility, housing needs, and policy goals. These incentives include reductions in
minimum lot sizes, 1-2 story height bonuses, and reduction of minimum parking requirements to one
space per unit. Materially to the economics of the incentive, these bonuses would apply to all the units
in the development.
Low Income Affordable Homes Required for Shallow Incentives
Minimum
Percentage of
Homes
Maximum Percentage of AMI Duration
Rental Dwellings For-Sale
Dwellings (includes
condominiums)
Type of Housing
Single-Household
Detached Dwelling
=>5% 80% of AMI 120% of AMI =>30 years
Single-Household
Attached Dwelling
=>5% 80% of AMI 120% of AMI =>30 years
Multi-Household
Dwelling
=>5% 80% of AMI 120% or AMI =>30 years
Deep Incentives
The AHO allows builders the option for larger adjustments with more significant incentives in exchange
for 50% of units at affordable rates (i.e., LIHTC projects, land trusts, Habitat for Humanity, and other
community and nonprofit partnerships) in order to make the development of workforce housing easier
and faster for those who specialize in such housing. Given the nature of these projects, deeper levels of
affordability are more attainable. These incentives include greater reductions in minimum lot sizes, 2-4
story height bonuses, and elimination of minimum parking requirements. Materially to the economics of
the incentive, these bonuses would apply to all the units in the development. The code incentives would
also allow relaxations related to building form and the use of narrower street standards.
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In order to use the incentives authorized in Division 38.380, Affordable Housing of the Bozeman
Municipal Code, an application shall provide for:
Low Income Affordable Homes Required for Incentives
Minimum
Percentage of
Homes
Maximum Percentage of AMI Duration
Rental Dwellings For-Sale
Dwellings (includes
condominiums)
Type of Housing
Single-Household
Detached Dwelling
=>50% 80% of AMI 120% of AMI =>30 years
Single-Household
Attached Dwelling
=>50% 80% of AMI 120% of AMI =>30 years
Multi-Household
Dwelling
=>50% 80% of AMI 120% or AMI =>30 years
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This ordinance is subject to change as the public review process goes forward.
Ord 2105
Page 1 of 35
ORDINANCE 2105 (DRAFT)
AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF BOZEMAN,
MONTANA TO REPEAL AND REPLACE DIVISION 38.380 AFFORDABLE HOUSING,
AMEND SECTION 38.200.010 REVIEW AUTHORITY TO ASSIGN RESPONSIBILITY
FOR AFFORDABLE HOUSING ADMINISTRATION, AMEND TABLE 38.310.030.A
PERMITTED GENERAL AND GROUND RESIDENTIAL USES IN RESIDENTIAL
ZONING DISTRICTS TO REMOVE REFERENCES TO HOUSING ALLOWED BY
38.380, AMEND TABLE 38.320.030.A MINIMUM AND MAXIMUM LOT AREA TO
REDUCE REQUIRED LOT AREA PER HOME IN RESIDENTIAL DISTRICTS, AMEND
TABLE 38.320.030.B MINIMUM LOT WIDTH TO REMOVE REFERENCES TO
HOUSING ALLOWED BY 38.380, AMEND 38.360.060 ZONE EDGE TRANSITIONS TO
ESTABLISH TRANSITION STANDARDS FOR DEVELOPMENT USING HEIGHT
INCENTIVES CREATED IN 38.380, AMEND 38.340.040 CERTIFICATE OF
APPROPRIATENESS TO REMOVE EXCEPTIONS FOR PROJECTS SUBJECT TO
38.380, AMEND TABLE 38.360.040 ADU USE TABLE IN RESIDENTIAL ZONING
DISTRICTS TO REMOVE RESTRICTIONS AND REDUNDANT LANGUAGE, AMEND
38.360.100 CONDOMINIUMS TO REMOVE LANGUAGE NO LONGER APPLICABLE
DUE TO CHANGES TO 38.380, AMEND 38.360.120 COTTAGE HOUSING TO REMOVE
LANGUAGE NO LONGER APPLICABLE DUE TO CHANGES TO 38.380 AND TO
REMOVE AFFORDABILITY REQUIREMENTS, AMEND 38.410.030.G TO REMOVE
REFERENCES TO 38.380 NO LONGER APPLICABLE, AMEND 38.420.020.A TO
REMOVE REFERENCES TO 38.380 IN PARK DEDICATION REQUIREMENTS,
AMEND 38.700.020 A DEFINITIONS TO ADD OR REVISE DEFINITIONS FOR
AFFORDABLE HOME, AFFORDABLE HOUSING, AND AREA MEDIAN INCOME,
AMEND 38.700.050 D DEFINITIONS TO ADD DEFINTION OF DEVELOPER, TO
AMEND 38.700.090 H DEFINITIONS TO REVISE THE DEFINITION OF HOUSEHOLD,
AMEND 38.700.220 Y DEFINTIIONS TO DEFINE YIELD STREET.
WHEREAS, the City of Bozeman (the “City”) has adopted land development and use standards to protect public health, safety and welfare and otherwise execute the purposes of Montana Code Annotated §§ 76-1-102, 76-2-304, 76-3-102, and 76-3-501; and
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Ordinance No. 2105, Affordable Housing Ordinance - DRAFT
Page 2 of 35
WHEREAS, after proper notice, the Community Development Board acting in their capacity as the Bozeman Zoning Commission held a public hearing on August 1, 2022 to receive and review all written and oral testimony on the proposed amendments; and WHEREAS, the Community Development Board acting in their capacity as the Bozeman
Zoning Commission recommended to the Bozeman City Commission that those element of application No. 21338 related to replacement of 38.380, be __________________; and WHEREAS, after proper notice, the City Commission held its public hearing on [DATE], to receive and review all written and oral testimony on the proposed amendment to the subdivision
regulations; and WHEREAS, the City Commission has reviewed and considered the applicable amendment criteria established in Montana Code Annotated §§ 76-2-304, and found that the proposed amendments would be in compliance with the criteria.
NOW THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE
CITY OF BOZEMAN, MONTANA:
Section 1
Legislative Findings The City Commission hereby makes the following findings in support of adoption of this
Ordinance:
1. The City adopted a growth policy, the Bozeman Community Plan 2020, by Resolution
5133 to establish policies for development of the community including zoning.
2. The Bozeman Community Plan 2020 establishes goals to increase the supply of affordable
housing in the city. To fulfill these goals, the community plan establishes numerous
objectives to promote housing affordability and diversity through increased supply of
certain types of housing.
3. The city commission identifies affordable housing as one of its main strategic goals:
“Housing and Transportation Choices - Vigorously encourage, through a wide variety of
actions, the development of sustainable and lasting housing options for under-served
individuals and families and improve mobility options that accommodate all travel modes.”
4. The Community Housing Needs Assessment (February 2019) was completed to help the
city identify, understand and address the housing challenges and problems faced by local
residents and employees in the city.
5. The Bozeman Community Housing Action Plan was approved by city commission on
November 18th, 2019, and amended on January 13, 2020. The Action Plan outlines a
partnership framework to address affordable housing (also called community housing) in
Bozeman over a five-year period and recommends edits to this chapter.
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Ordinance No. 2105, Affordable Housing Ordinance - DRAFT
Page 3 of 35
6. The city’s first inclusionary zoning policy was adopted in 2007. In April, 2021, the
Montana State Legislature adopted House Bill 259, which prohibits local governments
from requiring housing fees or the dedication of real property for the purposes of providing
housing for specified income levels or sale prices and which prohibits zoning regulations
that require housing fees or the dedication of real property for the purposes of providing
housing for specified income levels or sale prices.
7. Following the passage of House Bill 259, the city commission desires to replace the city’s
current Affordable Housing Ordinance with this ordinance, which does not require any of
the actions prohibited by House Bill 259, but instead offers incentives to property owners
and developers willing to construct housing at levels of affordability consistent with the
housing needs and goals identified in the community plan, the community housing needs
assessment, and the community housing action plan.
8. Limited housing opportunities within the city negatively impacts economic development,
transportation networks, and sustainability. Affordable housing needs must be addressed
to maintain a sufficient resident workforce in all fields of employment, and to ensure the
public safety and general welfare of the residents of the city, affordable housing needs must
be addressed.
9. The incentives codified in this ordinance will advance the city's legitimate interest in
assuring that additional housing is built in the city.
10. This ordinance is adopted pursuant to the city's self-governing powers, the city’s zoning
authority, and the police power to protect public health, safety, and general welfare.
11. The Bozeman Community Plan 2020, Chapter 5, sets forth the policies by which the City
reviews and applies the criteria for amendment of zoning established in 76-3-304, MCA.
12. Zoning, including amendments to the text, must be in accordance with an adopted growth
policy.
13. House Bill 259 being passed into law by the 2021 Montana Legislature, the City must
revise its regulations to conform to revised authority for zoning and subdivision.
14. A staff report analyzing the required criteria for a text amendment, including accordance
to the Bozeman Community Plan 2020, found that the required criteria are satisfied.
15. The two required public hearings were advertised as required in state law and municipal
code and all persons had the opportunity to review the materials applicable to the
application and provide comment prior to a decision.
16. The Bozeman Zoning Commission has been established as required in state law and
conducted their required public hearing; and after consideration of application materials,
staff analysis and report, and all submitted public comment...; and
17. The City Commission conducted a public hearing to provide all interested parties the
opportunity to provide evidence and testimony regarding the proposed amendment prior
to the City Commission acting on the application.
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Ordinance No. 2105, Affordable Housing Ordinance - DRAFT
Page 4 of 35
18. The City Commission considered the application materials, staff analysis and report,
Zoning Commission recommendation, all submitted public comment, and all other
relevant information.
Section 2
That 38.200.010, Review authority, of the Bozeman Municipal Code be amended as follows with
all other elements to remain as presently adopted:
H. The director of economic development must oversee, review, and as needed approve, approve with conditions or deny, and manage after approval the following development elements and processes:
1. Division 38.380 Affordable Housing.
I H. As detailed in division 38.200 of this chapter, the city commission authorizes the applicable advisory bodies to review and to make recommendations to the review authority regarding development proposals. Under this section, when advisory boards review and make recommendations to the review authority they act in a quasi-judicial capacity. Recommendations do not constitute votes of approval or denial.
J H. The city commission or its designated representatives may require the applicant to design the proposed development to reasonably minimize potentially significant adverse impacts identified through the review required by these regulations. The city commission or its designated representatives may not unreasonably restrict a landowner's ability to develop land, but it is recognized that in some instances the unmitigated impacts of a proposed
development may be unacceptable and will preclude approval of the development as submitted. Recognizing that the standards of this chapter are minimum requirements and the public health, safety, and general welfare may be best served by exceeding those minimums, the city commission or community development director may require as a condition of approval mitigation exceeding the minimums of this chapter.
K I. Decisions of the community development director and other review authorities are subject to the appeal provisions of division 38.250 of this chapter.
Section 3
That Table 38.310.030.A. Permitted general and group residential uses in residential
zoning districts is amended as follows:
Table 38.310.030.A Permitted general and group residential uses in residential zoning districts
Table clarifications:
1. Uses: P = Principal uses; C = Conditional uses; S = Special uses; A = Accessory uses; — =
Uses which are not permitted.
2. If a * appears after the use, then the use is defined in article 7.
3. Where a code section is referenced after the use, then the use is subject to the additional
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Ordinance No. 2105, Affordable Housing Ordinance - DRAFT
Page 5 of 35
standards specific to the subject use in that code section.
4. If a number appears in the box, then the use may be allowed subject to development
condition(s) described in the footnotes immediately following the table.
Uses Zoning Districts
R-S R-1 R-2 R-3 R-4 R-5 R-O1 RMH
General residential
Accessory dwelling
units* - attached or
detached (38.360.040)
P P P P P P P —
Accessory dwelling
units* - detached
(38.360.040)
P P P P P P P —
Apartments/apartment
building*
— — — — P P P —
Apartment building,
limited4 3
— — — P P P P —
Cottage housing
(38.360.120)*
P P P P P P P P
Manufactured homes on
permanent
foundations(38.360.170)*
P P P P P P P P
Manufactured home
communities*
— — — — — — — P
Single-household
dwelling (38.360.220)
P P P P P P P P
Two-household dwelling
(38.360.220)
— — P P P P P —
Three household
dwelling or four-
household dwelling
(38.360.220)
— — — P P P P —
Townhouses* &
rowhouses* (two
attached
units)(38.360.250)
P2 — P2 — P P P P P P3 —
Townhouses* &
rowhouses* (five
— — — P3 P P P —
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attached units or less)
(38.360.250)
Townhouses* &
rowhouses* (more than
five attached units)
(38.360.250)
— — — — P P P —
Group residential
Community residential
facilities* with eight or
fewer residents
P P P P P P P P
Community residential
facilities* serving nine or
more residents
— — — S P P P —
Cooperative household* S S S P P P P S
Family day care home* P P P P P P P P
Group day care home* P P P P P P P P
Group living
(38.360.135)*
P P P P P P P P
Lodging houses* — — — S P P P —
Transitional and
emergency housing
(38.360.140)* and related
services
S S S S S S S S
Notes:
1. The primary use of a lot, as measured by building area, permitted in the R-O district is determined by the underlying growth policy land use designation. Where the district lies over a residential growth policy designation the primary use shall be non-office
uses; where the district lies over a non-residential designation the primary use shall be
office and other non-residential uses. Primary use shall be measured by percentage of building floor area.
2. In the R-S, R-1, and RMH district townhomes are only allowed when utilized to satisfy the requirements of division 38.380, Affordable Housing. May only be utilized in
developments subject to division 38.380 of this article.
2 3. In the R-3 district, townhouse groups must not exceed 120 feet in total width.
3 4. Supplemental use criteria for apartment building, limited are in section 38.360.070.
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Section 4
That Table 38.320.030.A. be amended as follows:
Table 38.320.030.A Minimum and maximum lot area
Table clarification:
1. Where a code reference or link appears after the form and intensity topic, the use is subject
to standards set forth in that section or chapter.
2. If a number appears in the box, refer to the development condition with the corresponding
number immediately following the table. If there are multiple numbers, then all development
conditions apply.
Use
Type/Standard
Zoning District
R-S R-1 R-2 R-3 R-4 R-5 R-O RMH
Minimum lot area in a lot per dwelling (square feet)1(38.320.030.A)
Single-
household
dwelling
4,0001 4,0001 4,0001 4,0001 4,0001 3,0001 4,0001 3,0001
Single-
household
dwelling (only
for dwellings to
satisfy minimum
requirements of
division 38.380
of this chapter)
2,700 2,700 2,700 2,700 2,700 2,700 2,700 2,700
Two-household
dwellings
— — 2,5001 2,5001 2,5001 2,500 3,000 —
Two household
dwellings (only
for dwellings to
satisfy minimum
requirements of
division 38.380
of this chapter)
— — 2,500 2,500 2,500 2,500 2,500 —
Lot area per
dwelling in
three- or four-
household
— — — 3,000 3,000 None 3,000 —
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dwelling
configurations
Lot area per
dwelling in
three- or four-
household
dwelling
configurations
(only for
dwellings to
satisfy minimum
requirements of
division 38.380
of this chapter)
— — — 2,500 2,500 None 2,500 —
Townhouses &
rowhouses per
dwelling
— — 3,0002 3,00032 3,00032 None 3,00032 —
Townhouses &
rowhouses (only
for dwellings to
satisfy minimum
requirements of
division 38.380
of this chapter)
2,5003 2,5003 2,5003 2,5003 2,5003 None 2,5003 2,500
Apartments –
First Dwelling
— — — — 3,000 None 3,000 —
Apartments –
Each dwelling
after the first
— — — — 1,200 None 1,200 —
Apartments and
Apartment
Building,
Limited—First
dwelling
— — — — 5,000 None 5,000 —
Apartments and
Apartment
Building,
Limited —Each
— — — — 1,200 None 1,200 —
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dwelling after
the first
Apartment
Building,
Limited—Each
dwelling
— — — 3,000 — — — —
Apartments—
Each dwelling
after the first
(only for
dwellings to
satisfy minimum
requirements of
division 38.380
of this chapter)
— — — — 900 None 900 —
Additional area
required for an
accessory
dwelling unit
1,000 4 1,000 1,000 1,000 1,000 None 1,000 —
All other uses 5,0001 5,0001 5,0001 5,0001 5,0001 None 5,0001 5,0001
Maximum lot area (net acres) (38.320.020.A)
Residential use — — — 2.53 5 2.53 5 2.53 5 2.53 5 —
Notes:
1. In order to comply with the standards contained in this chapter, lot area in excess of the required minimum may be needed (for corner lots, parking, landscaping or large residential structures, for example), and may be necessary for property adjacent to watercourses, ridgelines, or other environmental features in order to provide an
appropriate buildable area on the lot.
2. Per townhouse lot or rowhouse dwelling.
2 3. For townhouse or rowhouse clusters, the lot area per dwelling may be averaged within the cluster.
4. Extra lot size requirement does not apply when R-S lots are larger than 6,000 square
feet.
35. Departures from the maximum lot size requirements may be allowed where the
planned development fits into the context of the neighborhood and proposed pedestrian and vehicular circulation measures meet community objectives.
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Section 5
That Table 38.320.030.B, be amended as follows:
Table 38.320.030.B Minimum lot width (feet)
Table clarification:
1. Where a code reference or link appears after the form and intensity topic, the use is subject
to standards set forth in that section or chapter.
2. If a number appears in the box, refer to the development condition with the corresponding
number immediately following the table. If there are multiple numbers, then all development
conditions apply.
Use
Type/Standard
Zoning District
R-S R-1 R-2 R-3 R-4 R-5 R-O RMH
Single-
household
dwelling
50 50/401 50/401 50/401 50/351 35/251,2 50/401 50/401
Single-
household
dwelling (only
for dwellings to
satisfy
requirements of
division 38.380
of this chapter)
30 30 30 30 30 30 30 30
Two household
dwelling
— — 60/501 60/401 50/401 50/401 50/501 —
Accessory
dwelling unit3
50 40 40 40 40 None4 40 —
Accessory
dwelling unit3 on
lots with
Townhouses
30 30 30 Width
of
interior
units2
Width
of
interior
units2
Width
of
interior
units2
Width
of
interior
units2
—
Dwellings in
three- or four-
household
dwelling
configurations
- - — 60 60 None2,4 60 —
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Townhouses 30 30 30 Width
of
interior
units,2
Width
of
interior
units,2
Width
of
interior
units,2
Width
of
interior
units,2
—
All other uses 50 50 50 50 50 None2,4 50 50
Notes:
1. When the lot is adjacent to an alley and vehicle access is taken only from that alley.
2. Lot width is subject to section 38.400.090. Lot widths of 25 feet or less may jeopardize compliance with standards for legal and physical access, street trees, on-street parking, garage design, drive access width and placement, and utilities. Home design and size will be restricted as a result. Mitigation measures may be required for placement and
separation of public and private utilities.
3. Second dwellings in accessory buildings are subject to all restrictions in this chapter relating to accessory buildings. Lot area and width must be provided as if the dwelling were attached to the principal use. Dwellings to be developed under this option are subject to section 38.360.040.
4. Lot widths may be variable provided they are sized and shaped sufficient to accommodate permitted uses and conform to applicable design and density standards.
Section 6 That 38.320.060, Zone edge transitions, be amended as follows:
Sec. 38.320.060. Zone edge transitions.
A. Intent. To provide measures that help to provide a compatible transition between certain
higher and lower intensity zoning districts.
B. Zone edge transition standards. The following standards are intended to supersede other form and intensity standards in this division.
1. Setback adjustments.
a. Minimum side and rear setbacks for development within BP, M-1, and M-2
districts where adjacent to a residential district: 15 feet. No additional setbacks required adjacent to alleys and streets.
b. Minimum side and rear setbacks for development within B-3 and UMU districts adjacent to a residential district: five feet. No additional setbacks are required adjacent to alleys and streets
2. Height/setback adjustments.
a. For development on sites in the B-3, B-2M, UMU, and R-5 districts that are adjacent to the RS, R-1, or R-2 district. From a height of 38 feet at a ten foot
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setback from the property line adjacent to from the applicable residential districts, buildings must step back at a 45 degree angle away from the applicable property line as shown in figure 38.320.060. No such 45 degree angle setback is required if separated by a street.
b. For development on sites in the B-3 district that border R-3 and R-4 districts.
From a height of 38 feet at a five foot setback from the property line adjacent to from the applicable residential districts, buildings must step back at a 45 degree angle away from the applicable property line.
c. For buildings located at the edge of a zoning district and which use the height incentives of 38.380.030. At the required setback from property line for the
district in which the site is located; and from the maximum building height allowed in the district without the height incentive; buildings must step back at a 45 degree angle away from property lines. This requirement does not apply to interior common walls within the same development, such as between townhomes.
d. Permitted 45 degree angle step back encroachments in a-c of this paragraph:
(1) Permitted horizontal encroachments include those elements and standards set forth in section 38.350.050.A.
(2) Permitted vertical encroachments include those elements and standards set forth in section 38.350.050.D.
Section 7
That 38.340.040. Certificate of appropriateness, be amended as follows:
Sec. 38.340.040. Certificate of appropriateness.
A. A certificate of appropriateness is required before any and all alteration(s) other than those specifically exempted in subsection 1 of this section, or repair(s) as defined in section
38.700.160, are undertaken upon any structure in the conservation district. The review authority for certificates of appropriateness is established in division 38.200.010 of this chapter. Compliance with the terms of the final decision is required. The Montana Historical and Architectural Inventory Form must be reviewed and, if necessary, updated to reflect current conditions on the site, prior to the review of the proposal. Application procedures
are as follows:
1. No building, demolition, conditional use, sign or moving permit may be issued within the conservation district until a certificate of appropriateness has been issued by the appropriate review authority, and until final action on the proposal has been taken.
a. Limited exceptions. The following construction located within the neighborhood
conservation overlay district, within an established historic district, or at a site which is individually listed on the National Register of Historic Preservation, does not require a certificate of appropriateness if the project satisfies the following standards:
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(1) Fences meeting all other provisions of this chapter (e.g. height limitations, street vision triangle, finished side out, etc. per section 38.350.060) which are built of wood, wrought-iron, or any other non-synthetic material and whose construction allows "transparency" as set forth in Chapter 3, Section F of the design guidelines referenced in section 38.340.050.D. Chain link
fencing is not included in this exception.
(2) Basement egress windows whose window material and configuration is present elsewhere in the structure, and whose window wells are not on the front or corner-side setback elevation of the structure, and which do not establish or provide egress from an illegal dwelling unit.
(3) Accessory structures under 120 square feet as measured from the outer edge of the exterior walls, which meet the setback requirements, are not more than 14 feet to their highest point and which do not require a building permit.
(4) Alterations in roofing material, if installing wood shingle, slate, tile, or asphalt shingle material, and no changes are made to the roof shape, pitch or
slope.
(5) Photovoltaic panels which are flush mounted to a roof.
2. Application, review and public notice procedures for proposals located within the conservation district are set forth in division 38.230, Plan Review, and division 38.220, Applications and Noticing, of this chapter. If demolition or movement of structures or
sites subject to the conservation district requirements is proposed, the procedures in section 38.340.080 apply.
3. The architectural designs of individual affordable housing units used to satisfy the requirements of section 38.380.030 and are exempt from the review requirements of this part 1. This exemption does not extend to removal or alterations of existing
structures.
Section 8 That Table 38.360.040. ADU use table in residential zoning districts, of the Bozeman
Municipal Code be amended as follows:
Table 38.360.040 ADU use table in residential zoning districts
Table clarification:
1. Uses: P = Principal; S = Special uses; — = Uses which are not permitted.
2. If a * appears after the use, then the use is defined in article 7.
3. If a number appears in the box, then the use may be allowed subject to development
condition(s) described in the footnotes immediately following the table.
Zoning districts
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R-S R-1 R-2 R-3 R-4 R-5 RMH REMU
Detached
ADU2 & 3
P P P P P P — P
Attached
ADU2, 3 & 4
P P P P P P — P
Owner
occupied
Yes1
Not
required
Yes1
Not
required
Not
required
Not
required
Not
required
Not
required
— Not
required
The following ADU standards and 38.320.070 apply to all zoning districts:
Occupancy limit 2 persons
Deviations No
# of ADU per lot One
Location ADU's are permitted above accessory buildings and on the
ground floor. Ground floor ADUs require alley access or
pedestrian connection to a sidewalk or the adjacent right-of-
way.
Parking requirement ADUs are not subject to minimum parking requirements. If
parking is provided it must conform to all applicable
standards.
Unit size In no case may an ADU be larger than 600 square feet or have
more than a single bedroom. The method of calculating the
maximum ADU square footage will be "living area" defined
as "all floor area exclusive of areas with a sloped ceiling less
than three feet in height, stairwells, and exterior decks."
Bedrooms, living rooms, kitchens, casework, interior walls,
hallways, closets, bathrooms, and any other living space must
be included in the maximum square footage calculation.
Design requirements Detached ADUs, including second story additions on
detached garages may be approved only if found compatible
and consistent with the existing character and fabric of the
neighborhood. The review authority must consider placement
and size of windows, decks, balconies, fencing, landscape
screening, and height and massing of the structure to
minimize impacts to adjacent properties.
Height limit Notwithstanding the limitations in section 38.360.030.G, a
detached ADU may exceed the height of the principal
building but may not exceed 22 feet in height.
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Garage conversions Garages may not be converted for use as ADUs unless all
required parking for all uses on the lot is otherwise provided
prior to conversion. However, ADUs may be placed above
garages except where otherwise noted.
Minimum standards or "no
guarantee"
A permit for an ADU will not be granted unless the lot has
been configured to accept an ADU with adequate lot area,
utility services, and compliance with setbacks and height
standards.
Notes:
1. R-S and R-1 occupancy. At least one owner of record who possesses at least an estate for life or a 50 percent fee simple ownership interest must reside on site as their primary residence. No more than one of the dwellings, either the principal dwelling or
the accessory dwelling, may be rented by non-owners at the same time. The city may
require a guarantee of compliance with the requirements of this section, including but not limited to a binding deed restriction or covenant enforcing the single rental restriction as allowed in section 38.270.080.B, as a condition of approval.
2. Any ADU created within an accessory building is subject to the limitations of
38.360.030.
3. An accessory dwelling unit may not be approved on a reduced size lot created to meet the minimum affordable housing requirements of chapter 38, division 380.
4. Location. The ADU may be a part of the principal dwelling unit, provided the ADU is clearly incidental to the principal dwelling unit and meets all of the following criteria:
a. Lot area per Table 38.320.030 is provided.
b. The ADU does not exceed one-third of the total area of the principal structure.
c. If the entrance for the ADU is separate from the entrance of the principal structure, the entrance must be on a façade different than that of the main entry.
Section 9
That 38.360.100, Condominiums, of the Bozeman Municipal Code be amended as
follows:
Sec. 38.360.100. Condominiums.
A. Unit ownership act. Condominium developments must comply with all provisions of the
Unit Ownership Act, MCA 70-23-101 et seq., and all regulations adopted to implement to Act.
B. Condominium association. A condominium association must be established for each condominium development. The developer must prepare bylaws for the condominium
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association, as well as covenants, conditions and restrictions for the condominium development, in compliance with division 38.220 of this chapter. The bylaws, covenants, conditions and restrictions must be submitted to the city for review and approval prior to the granting of plan approval or approval for condominiumization of existing development.
C. Internal circulation in a condominium development must be designed in accordance with
division 38.540 of this chapter, and must, when deemed necessary by the city engineer, comply with section 38.400.020.
D. Condominiums may be subject to chapter 38, division 380.
Section 10
That 38.360.120.A of the Bozeman Municipal Code be amended as follows:
A. Purpose and intent.
1. The purpose of this section is to achieve the goals and objectives of the land use and housing chapters of Bozeman's growth policy and the goals of the Inclusionary
Housing Ordinance, division 38.380 Affordable Housing. Cottage housing enables
higher density development by allowing smaller lots, smaller home sizes, and clustered home sites, which are subject to design standards. This housing development option encourages more efficient use of land and energy.
2. Cottage housing development regulations are designed to:
a. Provide opportunities for creative, diverse and high quality infill and greenfield
development compatible with existing neighborhoods;
b. Support development of diverse housing in accordance with the growth policy;
c. Increase the variety of housing types available within the community;
d. Support the creation of neighborhoods with a mix of housing opportunities for
mixed incomes; and
e. Provide opportunities for small, detached cottages within existing neighborhoods.
Section 11 That 38.360.120.C of the Bozeman Municipal Code be deleted and the remainder of the
section renumbered.
C. Affordable housing applicability. The requirements of division 38.380, unless specifically
modified in this article, apply to all cottage housing subdivisions regardless of the number
of cottages proposed to be included in the development. Notwithstanding the provisions of
division 38.380, a cottage housing subdivision must provide at least one lower-priced home,
or three moderate-priced homes. A cottage housing subdivision may have more affordable
homes than the required minimum.
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Section 12
Division 38.380. - Affordable Housing is repealed in its entirety and replaced to read as
follows:
Division 38.380 Affordable Housing
38.380.10 Purpose
A. The purpose of this division is to promote the public health, safety, and welfare by
incentivizing increased production of affordable rental and for sale housing to meet the needs
of city residents and the goals of the adopted growth policy and the community housing action
plan.
B. In addition, the purpose of this division is to offer incentives tailored to the levels of housing
affordability in new development and redevelopment, with greater incentives being offered
to those producing or preserving housing affordable to households earning lower percentages
of the Bozeman Area Median Income (AMI).
C. In addition, this division alleviates the reduction in the land supply available to accommodate
future affordable housing development that would result if most or all of the available
residential land is used solely for the benefit of households that are able to afford market-rate
housing.
38.380.020 Applicability
A. Generally. The following types of development are eligible to use the incentives described in
this division. Affordable home incentives, described in section 38.380.030, may be approved
in conjunction with an annexation, subdivision, or site plan that:
1. Contains or will contain dwellings; and
2. That commits to providing at least the minimum percentages of dwellings in the
development at rental rates or sales prices affordable at no more than the maximum
percentages of AMI established in Table 38.380.020-1 or Table 38.380.020-2 and
consistent with all requirements of 38.380.
Table 38.380.020-1
Affordable Homes Required for Deep Incentives
Minimum
Percentage of
Homes
Maximum Percentage of AMI Duration
Rental Dwellings For-Sale
Dwellings (includes
condominiums)
Type of Housing
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Single-Household
Detached Dwelling
=>50% 80% of AMI 120% of AMI =>30 years
Single-Household
Attached Dwelling
=>50% 80% of AMI 120% of AMI =>30 years
Multi-Household
Dwelling
=>50% 80% of AMI 120% or AMI =>30 years
Table 38.380.020-2
Affordable Homes Required Shallow Incentives
Minimum
Percentage of
Homes
Maximum Percentage of AMI Duration
Rental Dwellings For-Sale
Dwellings (includes
condominiums)
Type of Housing
Single-Household
Detached Dwelling
=>5% 80% of AMI 120% of AMI =>30 years
Single-Household
Attached Dwelling
=>5% 80% of AMI 120% of AMI =>30 years
Multi-Household
Dwelling
=>5% 80% of AMI 120% or AMI =>30 years
B. The City and a landowner may agree by contract to future development on a property
producing the housing identified above in exchange for the incentives in this division.
C. Previously Approved Development
1. A previously annexed but undeveloped parcel of land, subdivision, or site plan that has
received final approval before the effective date of this division, and that has not
previously received an incentive in return for commitments to include affordable housing
in the development, may apply for affordability incentives listed in section 38.380.030.
The property owner or applicant for the previously undeveloped parcel must make a
written commitment to meet the affordability standards for rental rates or sales prices in
this section consistent with 38.380.040. The affordable housing plan must be submitted
and approved prior to use of any incentive.
2. Only that portion of the amended preliminary plat or site plan, including associated code
standards and conditions of approval, pertaining to the request for approval of one or
more procedural adjustments and subsidies will be subject to additional preliminary plat
or site plan review.
D. Assumptions and Calculations
1. All references to AMI are to the most recent Area Median Income established by the U.S
Department of Housing and Urban Development (HUD). As HUD publishes updated
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AMI values they are immediately effective without further action by the City. The city
may establish administrative procedures for application and implementation of AMI in
calculating dwelling costs in accordance with 38.380.070.
2. To determine the maximum sales prices of affordable homes with different numbers of
bedrooms, the city will base its calculation on AMIs for households of different sizes, as
follows, with the review authority determining which rooms qualify as bedrooms:
a. Studio dwelling: AMI for a one-person household;
b. One bedroom dwelling: AMI for a two-person household;
c. Two bedroom dwelling: AMI for a three-person household; and
d. Three bedroom unit or larger: AMI for a four-person household.
3. If the calculation of the required number of affordable homes results in a fraction of a
home, fractions equal to or less than 0.5 shall be ignored, and fractions greater than 0.5
shall be rounded up to require the construction of one affordable home, which may be a
studio unit.
38.380.030 Incentives Available. Applications for development of affordable homes that
comply with the requirements of this division qualify for and must be awarded the incentives
applicable to the type and tenancy of affordable housing being provided and requested by the
developer.
A. Incentives may be applied to:
1. Dwellings in single use residential or mixed-use residential/nonresidential
development.
2. If a single building contains a mix of residential and nonresidential primary uses, these
incentives are only available if 50 percent or more of the gross floor area of the building
contains residential uses.
The incentives below supersede the standards otherwise applicable in this chapter. The city retains
the authority to approve, approve with conditions, or deny the project as a whole based on
compliance with other portions of this title or other city regulations, but shall not attach conditions
to an approval that have the effect of removing the incentives awarded in this section.
B. Incentives for Table 38.380.020-1 Deep Incentives. If the developer proposes to construct
affordable homes that meet the standards in Table 38.380.020-1 in the same geographically
contiguous development as market rate homes, the developer may apply the following
incentives to all primary buildings in the development in which 50 percent or more of the
gross floor area contains residential uses:
1. For single-household detached dwellings:
a. Minimum lot size of 2,000 square feet; or 1,600 square feet if the applicant
demonstrates that all applicable city regulations related to lot development, access
and utilities can be met.
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b. No minimum lot width requirement above that necessary for access and utilities if
the applicant demonstrates that all applicable city regulations related to lot
development, access and utilities can be met.
c. Off-street parking requirement of one space per dwelling.
e. Concurrent construction of infrastructure and dwellings per 38.270.030 is allowed.
2. For single-household attached dwellings (townhouses and rowhouses):
a. Minimum lot size of 1,600 square feet; or 1,400 square feet if the applicant
demonstrates that all applicable city regulations related to lot development, access
and utilities can be met.
b. No minimum lot width requirement if the applicant demonstrates that all applicable
city regulations related to lot development, access and utilities can be met.
c. Off-street parking reduction to one space per dwelling.
d. Concurrent construction of infrastructure and housing per 38.270.030 is allowed.
3. For multi-household dwellings and mixed-use buildings:
a. One additional story of height (maximum 15 feet per story) beyond that allowed in
the RS, R-1, R-2, R-3, or RMH zoning districts.
b. Two additional stories of height (maximum 15 feet per story) beyond that allowed
in the R-4, R-5, R-O, NEHMU, and B-1 zoning districts.
b. Four additional stories of height (maximum 15 feet per story) beyond that allowed
in the UMU, REMU, B-2, B-2M, and B-3 zoning districts.
c. No minimum onsite vehicle parking requirement, but bicycle parking standards and
requirements of 38.540.050 still apply.
d. Townhouses* & rowhouses* (two attached units) in the R-1, RS, and RMH zoning
districts.
e. Exemption from each of the following for buildings containing dwellings, unless
an alternative standard is provided in this division:
i. Minimum lot size, lot area per dwelling units, and lot width requirement in all
zoning districts.
ii. Section 38.510.030.E-J block frontage standards, provided that vehicle
parking is prohibited between the front or side of a principal building and a
public or private street;
iii. Section 38.530.040.E maximum façade width standards;
iv. Section 38.530.040.F roofline modulation standards
v. Section 38.530.050 building detail standards; and
vi. Section 38.530.060 building material standards.
f. Concurrent construction of infrastructure and housing per 38.270.030.
4. Developments subject to 38.380 may use yield streets without requirement for
additional zoning review requirements beyond that for the development within which
the yield street will be used. A yield street has the following characteristics:
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a. 40-foot right-of-way with two-way dedicated travel in a 16-foot advisory yield
zone for motor vehicles and 5-foot walkways outside on either side.
b. Staggered 7-foot wide parallel parking spaces which may include chicane style
streetscape for varying width of paved area.
c. No parking in front of private property that blocks access to property adjacent to
the street.
d. Passing areas every 100 feet minimum for sight line assurance and yielding
capabilities. Passing pullout areas to be not less than 25 feet long. Driveway
accesses may serve as passing areas.
e. Snow management plan, including enforcement provisions, must be provided
during initial development review.
1) No snow storage in passing areas;
2) Adequate storage areas or removal methods must be provided to address two
25 year storms.
f. Stormwater must be managed within the right of way unless an alternate method
compliant with municipal standards is provided.
g. A comprehensive street signage plan must be included with initial submittal and
executed with infrastructure plans and construction including but advisory signage
for yielding to pedestrians/bikes/PTDs and other vehicle travelers..
h. The proposed design must be consistent with accessibility requirements
established by any governmental agency.
i. Design shall address inclusion of any proposed street furnishings, amenities,
plantings, etc.
j. Yield streets are exempt from the requirements of 38.550.070 for installation of
street trees adjacent to individual lots.
k. The City may limit speeds to less than standard for a local street.
l. Maintenance – Must be maintained by landowners in the development unless the
City explicitly assumes responsibility. A funding mechanism equal to that for
private streets in 38.400.020 is required for private maintenance.
m. Length may not exceed 400 feet without intersecting with a street. Ends must
terminate at a street or be provided a fire code compliant turn around. A total
length may exceed 400 feet if there are crossing streets with a yield street.
n. Adjacent buildings must not exceed three stories unless setup space for fire
department ladder trucks is provided adequate to access all buildings in excess of
three stories.
C. Incentives for Table 38.380.020-2 Shallow Incentives. If the developer proposes to construct
affordable homes that meet the standards in Table 38.380.020-2 in the same geographically
contiguous development as market rate homes, the developer may apply the following
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incentives to all primary buildings in the development in which 50 percent or more of the
gross floor area contains residential uses:
1. For each single-household detached dwelling a minimum lot size of 3,000 square feet,
or 2,500 square feet, if the applicant demonstrates that all applicable city regulations
related to lot development, access and utilities can be met.
2. For each single-household attached dwelling (townhouse or rowhouse) a minimum lot
size of 2,200 square feet, or 1,800 square feet, if the applicant demonstrates that all
applicable city regulations related to lot development, access and utilities can be met.
3. For multi-household dwellings and mixed-use buildings:
a. Ten percent reduction in lot area for applicable dwelling type in Table
38.320.030.A.
b. One additional story of height (maximum 15 feet per story) beyond that allowed in
the RS, R-1, R-2, R-3, RMH, R-4, R-5, R-O, NEHMU, and B-1 zoning districts.
c. Two additional stories of height (maximum 15 feet per story) beyond that allowed
in the UMU, REMU, B-2, B-2M, and B-3 zoning districts.
d. Minimum vehicle parking requirement of one stall per dwelling for all districts
other than B-3 and bicycle parking standards and requirements of 38.540.050 still
apply.
e. Minimum vehicle parking requirement of 0.75 stall per dwelling for B-3 district;
bicycle parking standards and requirements of 38.540.050 still apply.
e. Townhouses & rowhouses (two attached units) are principal uses in the R-1, RS,
and RMH zoning districts.
38.380.40 Affordable Housing Plan Required
A. To qualify for low income affordable home incentives, the developer must submit to the City
an affordable housing plan that includes the information and complies with the standards in
this section:
1. Information Required
a. The total number of affordable homes, and market rate homes in the proposed
development;
b. The table in 38.380.020 to be applied to the affordable housing plan.
c. The number of bedrooms in each proposed low income affordable home, and
market rate home in the development.
d. Whether each affordable home will be offered for rental or for sale;
e. The location of affordable lots or units in the development;
f. The applicable AMI and maximum rental or sales price applicable to each low
income affordable home;
g. A description of the requested incentives from section 38.380.040.
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h. Any other information that is reasonably necessary to evaluate the compliance of
the affordable housing plan with the requirements of this division, as determined
by the review authority.
i. If the development is to be constructed in phases:
1) The required information may include specific commitments for the first phase
of development and estimates for later phases of development, provided the
combination of committed and estimated low income affordable homes in the
development equals or exceeds the minimum required to qualify for the
incentives requested.
2) As the number of low income affordable homes for each later phase is
finalized, the developer must submit an update to the affordable housing plan
including or updating the information required in this section. The review
authority shall review and approve, approve with conditions, or deny the
update using the criteria in this section.
2. Development Standards for Affordable Homes
a. The number of affordable homes must meet or exceed the minimum standards
needed to qualify for the applicable incentive in section 38.380.030.
b. The mix of bedrooms per unit in affordable homes must be as similar as possible to
the mix of bedrooms per unit of the market-rate homes in the development.
c. Access to shared amenities and services by residents of the affordable homes must
be the same as to those in market rate homes in the development.
d. If the development is to be constructed in phases, and the developer has requested
affordable housing incentives, at least 75 percent of the dwelling units in each phase
must be affordable homes, unless the city has received adequate legal or financial
assurance that any shortfall during earlier phases will be constructed before
approval of the final phase of development.
B. The review authority may approve the affordable housing plan if the review authority finds
that it includes the information required for the city to confirm compliance with the standards
and criteria in this division, including but not limited to the standards in Section
38.380.030.A, and any administrative procedures related to this division adopted pursuant to
section 38.380.070.
C. No annexation, preliminary subdivision, or site plan that contains any residential dwelling
units and that requests affordable housing incentives may receive final approval until the
affordable housing plan has been approved by the review authority.
D. After approval by the review authority, the affordable housing plan must be incorporated by
reference in the recorded annexation, final subdivision plat, or site plan documents.
E. An approved affordable housing plan is a binding contract between the developer and the
developer's successors in interest to the lot or dwelling, and must be included in a separate
recorded written agreement between the developer and the city, or incorporated into another
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recorded document in which the developer is required to implement the affordable housing
plan.
38.380.50 Land Donation Alternative
A. As an alternative to constructing some or all of the affordable homes required by section
38.380.020, the developer may qualify for the incentives listed in section 38.380.040 by
donating one or more parcels of land within the city limits. The land donation must meet the
standards in this section and be approved by the director as providing equal or greater
affordable housing benefit to the city.
B. The developer may donate undeveloped parcels of land or ready-to-build house lots, provided
the land is subject to a document recorded in the records of the Gallatin County Clerk and
Recorder requiring the land be used only for the construction of affordable homes;
C. The value of the land donated must equal or exceed the remaining cost of designing, obtaining
land use and building approvals for, installing or upgrading infrastructure for, and
constructing the number of affordable homes the annexer, subdivider, or developer would
otherwise be required to provide in return for the requested incentives listed in subsection
38.380.030, as established by an independent valuation and economic study commissioned
by and acceptable to the city and paid for by the developer.
38.380.60 Qualification of Renters and Buyers
A. Developer must provide to the city written assurance acceptable to the city that each renter or
purchaser of an affordable home must meet the following standards for a period of at least 30
years from initial occupancy of the home.
B. Each renter or purchaser of an affordable home:
1. Must occupy the affordable home as their primary residence, as determined by the
review authority;
2. Must meet the definition of a Household in section 38.700.090;
3. Must comply with the income restrictions applicable to that type of home and tenancy
according to 38.380.020:
a. Income verification for rental units must be performed every two years, and income
verification for owner occupied units must be performed at the time of purchase,
based on standards and methods approved by the U.S. Department of Housing and
Urban Development.
b. If the project is subject to income restrictions different from those in section
38.380.020 as a condition of participation in a state or federal housing program or
receipt of state or federal financial assistance, the renter or purchaser must comply
with those alternative income restrictions, as verified by standards and methods
used by the applicable state or federal program.
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4. Must not, if the Affordable Home is purchased, sell the home for a price higher than the
original sales price of the home plus a compounded increase of 2.5% for each year the
purchaser owns the home.
C. The developer may satisfy the requirements of this section by contracting with a third party
to monitor and enforce the conditions in this section through a written agreement approved
as to form by the City Attorney. The developer may change the third party contractor with
written approval by the City.
D. The developer, or the city or its agent if the city is involved in the rental or sale of an
affordable home, must record in the offices of the Gallatin County Clerk and Recorder,
simultaneously with the recording of the deed of conveyance, a restrictive covenant, deed of
trust or other legal instrument, approved as to form by the City Attorney, that obligates all
owners or renters of the property to comply with the provisions of this section.
38.380.70 Administration
A. The review authority shall have authority to promulgate and enforce all reasonable rules and
regulations and take all actions necessary to the effective operation and enforcement of this
division, unless such authority is expressly reserved to the city commission or another city
official, including but not limited to:
1. Reviewing affordable housing plans for compliance with this division;
2. Adopting application, monitoring, and reporting forms, and other forms and information
required from developers for implementation of this division;
3. Monitoring compliance with this division, notifying the subdivider or developer of
noncompliance, and ordering compliance;
4. Imposing any and all sanctions permitted by this division; and
5. Calculating and making available through the city website or otherwise the AMI needed
to qualify for the various incentives listed in this division, and updating that information
as needed to reflect any adjustments approved by the city commission.
6. Adopting standards and policies to qualify eligible purchasers and renters for Affordable
Homes created under this division.
B. The city may publish administrative rules and instructions consistent with and necessary for
the implementation of this division, including but not limited to instructions for completing
the affordable housing plan, valuations required by this division, and the distribution of the
required number of affordable homes and bedrooms within a project requesting the incentives
in this division.
C. The review authority may create standards for documentation the city will use to verify the
rental rates or sale prices of affordable homes created pursuant to this division. For the initial
sale of an affordable home, the seller must provide the city with a copy of the HUD-1 form
prepared by an attorney or title company indicating the sale price. The final sale price on the
HUD-1 form may not exceed the maximum price for a specific affordable home as described
in section 38.380.030, plus an allowed maximum established by rule as authorized in this
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section in buyer selected upgrades, if allowed by the first mortgage lender underwriters. In
addition, the city shall require certification satisfactory to the city of homebuyer income
qualification.
D. Upon receipt of a settlement statement for the sale of an affordable home, the city will
determine if the completed affordable home sale complies with the approved affordable
housing plan and the requirements of this division and if not, will notify the seller of the
noncompliance.
38.380.80 Noncompliance and Sanctions
A. If the city determines that a developer has failed to comply with any terms or conditions of
the affordable housing plan or this division, the review authority shall notify the developer of
the noncompliance in writing and order compliance by the most reasonable and expeditious
means as determined by the city. Notification shall describe the date by which the developer
must be in full compliance and shall describe the nature of the noncompliance and the possible
sanctions for noncompliance.
B. A developer that sells an affordable home for a price not in compliance with the approved
affordable housing plan, this division, or any other recorded document obligating the
developer to comply with this division shall pay a penalty to the city. The penalty shall be
equal to 125 percent of the difference between the actual sale price and the maximum sale
price of the affordable home as set out in the approved affordable housing plan.
C. In addition to other remedies available to the city pursuant to this division, if the developer
remains in noncompliance on the date by which compliance was required, the city shall have
the authority to impose one or more sanctions, including but not limited to the following, that
the city deems most effective and appropriate considering the nature of the noncompliance:
1. Withholding or revoking building permits;
2. Issuing stop-work orders; and/or
3. Withholding or revoking certificates of occupancy.
Section 13 That 38.410.030.G, of the Bozeman Municipal Code be amended as follows:
G. Depth. Except for individual lots for individual townhomes; lots used to meet the
requirements of chapter 38, division 38.380; lots serviced by an alley; or when necessitated
by physical features of the land, no lot may have an average depth greater than three times
its average width.
Section 14 That 38.420.020.A of the Bozeman Municipal Code be amended as follows:
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A. The area required by this subsection must be provided as a land dedication unless an alternate method of compliance is approved by the review authority.
1. When the net residential density of development is known, 0.03 acre per dwelling unit of land must be provided.
a. When the net residential density of development is known at the time of
preliminary plat and net residential density is in excess of eight dwellings per acre, the requirement for dedication for that density above eight dwellings per acre must be met with a cash donation in-lieu of the additional land unless specifically determined otherwise by the review authority.
b. If net residential density is in excess of eight dwellings per acre, the requirement
for dedication for that density above eight dwellings per acre must be met with a cash donation in-lieu.
c. When developed as group quarters, such as group living or community residential facilities, rather than individual dwelling units, in lieu of 0.03 acres per dwelling unit, an area of 575 square feet per resident must be provided.
d. Land dedication or its equivalent must not be required for any dwelling units or group quarters occupancy in excess of the following:
(1) For development within the R-1, R-2, and R-MH zoning districts, the maximum
net residential density must be ten dwelling units or 22.5 persons in group quarters
per acre.
(2) For development within the R-3, R-4, R-5, R-O, and REMU zoning districts, the
maximum net residential density must be 12 dwelling units or 27 persons in group
quarters per acre.
(3) For development within other zoning districts not previously specified and
developed for residential uses, the maximum net residential density must be 12
dwelling units or 27 persons in group quarters per acre.
2. If net residential density of development is unknown, 0.03 acres per dwelling unit must be provided as follows:
a. For initial subdivision or other development:
(1) Within the R-1, R-2, and R-MH zoning districts: an area equal to that required for
six dwelling units or 13.5 persons in group quarters per net acre.
(2) Within the R-3, R-4, R-5, REMU, and unless legally restricted from residential
uses the R-O zoning districts: an area equal to that required for eight dwelling units
or 13.5 persons in group quarters per net acre.
(3) Within other zoning districts which are intended for residential development: the
equivalent to an area dedication for six dwelling units or 13.5 persons in group
quarters per net acre must be provided as cash-in-lieu.
b. For subsequent development when net residential density becomes known, the net residential density per acre above the minimum established above must be
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rounded to the nearest whole number and applied as shown in the following table. All prior provision of parkland for the project site must count towards the maximum required dedication.
Table 38.420.020.A Parkland Dedication Provisions
Zoning District Required
Dedication per
Dwelling
Maximum Required
Dedication per Acre
Cash-in-Lieu
Required
R-1, R-2, R-MH .03 acres or
equivalent
10 dwellings Yes
R-3, R-4, R-5, R-O,
and REMU
.03 acres or
equivalent
12 dwellings Yes
All other districts .03 acres or
equivalent
12 dwellings Yes
Required area per
person
Maximum required
dedication per net
acre
Group quarters 575 square feet or
equivalent
27 persons Yes
3. Special case. The city has established chapter 38, division 380, to encourage the
provision and development of affordable housing. Reductions in required parkland dedication are established in section 38.380.300. The reductions in parkland dedication to conform to division 38.380, may not reduce the development's parkland requirements below the minimum established by MCA 76-3-621.
Section 15 That 38.540.050.A.1 of the Bozeman Municipal Code be amended as follows:
A. The following minimum number of off-street, paved parking spaces for motor vehicles and
bicycles must be provided and maintained by ownership, easement and/or lease for and
during the life of the respective uses hereinafter set forth. When calculation of the required parking results in a fraction of a parking space being required, the fractional space is not required to be provided.
1. Residential uses.
a. Minimum requirements. The number of spaces shown in Table 38.540.050-1 must
be provided subject to the adjustments allowed in this subsection 1. Parking stalls required pursuant to the Americans with Disabilities Act or other similar federal or state law may be provided from the minimum number of required parking stalls. All site plans submitted for permit purposes must identify parking space
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allocations. Fees may be charged by the landowner for the use of required parking spaces.
(1) For projects submitted through a site plan or special use permit review process, one One parking space for each 24 uninterrupted linear feet of available street frontage usable for on-street parking directly adjacent to a lot
may be deducted from the total parking spaces required for a development.
The number of on-street spaces calculated may not exceed the number of dwellings on the lot. The width of drive accesses, designated non-parking areas, vision triangles, and similar circumstances may not be considered to be available for the purpose of on-street parking space.
Table 38.540.050-1
Dwelling Types Parking Spaces Required per Dwelling
Lodging house 0.75 spaces per person of approved capacity
Efficiency unit 1.25 (1.0 in R-5)
One-bedroom 1.5 (1.25 in R-5)
Two-bedroom or more 2 (1.75 in R-5)
Three-bedroom 3 (2.5 in R-5)
Dwellings with more than three bedrooms 4 (3 in R-5)
Group homes and community residential
facilities
0.75 spaces per person of approved capacity1
Bed and breakfast 1 space/rental unit
Manufactured home 2
All types of dwellings within the B-3 district 1
Group living /cooperative
household/fraternity/sorority
1 space per resident1
Transitional and emergency housing 0.25 spaces per person of approved capacity1,
2 Additional services and facilities to serve
non-residents must provide parking in
accordance with Table 38.540.050-3.
1 A transitional and emergency housing facility, group home, group living, cooperative
household, or community residential facility may request to provide fewer parking
spaces if the applicant provides evidence that some or all residents are prohibited from operating motor vehicles. Under no condition may less than two parking spaces be provided. If the use of the facility is altered to serve a different population who may operate motor vehicles, then the additional required parking must be provided before the change in use may occur.
2 Additional services and facilities to serve non-residents must provide parking in accordance with this Table 38.540.050-3.
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b. Adjustments to minimum requirements.
(1) Affordable housing. When calculating the amount of required parking for affordable housing, as defined in section 38.700.020 of this chapter, if the project is guaranteed for use as affordable housing for a minimum period of 20 30 years and the use as affordable housing is subject to long term
monitoring to ensure compliance and continued use as affordable housing, required parking spaces must be calculated based on number of bedrooms outlined in Table 38.540.050-1, but may not exceed 1.5two spaces per unit.
(2) Residential uses in mixed-use projects. In order to utilize this section, the long term availability of the non-residential parking spaces upon which the
use of this section was based must be ensured to the residents of the project.
For the purpose of this section a building is considered mixed-use if the non-residential portion of the building is at least one-quarter of the gross square feet not used for parking. Residences in mixed-use buildings may count on-street parking per subsection 1.a.(1) of this section even if the area is subject
to occupancy time limits. The use of this section does not preclude the use of
other sections of this chapter which may have the effect of reducing the required amount of parking. When calculating the amount of required parking for residential uses within a mixed-use project the amount of parking may be reduced subject to Table 38.540.050-2.
Table 38.540.050-2
Reduction
Allowed
Ratio of Required Non-residential to Required Residential
Parking Spaces
50% Greater than 1:1 but less than 3:1
100% Equal to or greater than 3:1
(3) A car-sharing agreement meeting the criteria established by the community
development director may be used to meet the required number of parking spaces. To use this option the development must have more than five dwelling units. Each vehicle provided through a car sharing agreement counts as required parking at a ratio of one dedicated car-share space to five standard spaces, up to a maximum of 50 percent of the total required
residential parking.
(4) Transit availability. A residential development subject to site plan review may take a ten percent reduction in required parking spaces where the development is within 800 feet of a developed and serviced transit stop. For the purpose of this subsection a transit stop is eligible when it has a shelter
installed which meets the standards of and is approved by the transit provider, and service is provided on not less than an hourly schedule a minimum of five days per week.
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Section 16 That 38.700.020, A definitions, of the Bozeman Municipal Code be amended to include
terms as follows with all other elements remaining as presently written:
Affordable Home. A residential dwelling unit for rent or purchase that a subdivider or developer
has committed to making affordable as an affordable home at the AMI levels to qualify for the
incentives in 38.380.
Affordable housing. Housing for persons earning less than 65 percent of the area's annual median
income for rental housing and 100 percent of the area's annual median income for purchased
housing. Further, aAffordable housing does not require greater than 33 percent of the household
gross annual median income for housing. Annual median income is defined by the Department
of Housing and Urban Development.
Section 17 That 38.700.050, D definitions, of the Bozeman Municipal Code be amended to include
terms as follows:
Developer. For purposes of division 38.380, a developer is the person or legal entity, or their successor(s) in interest who: (a) submits an affordable housing plan for a subject property along with other submissions required for land use approvals, annexation, zoning, or permit reviews by the city, or (b) is the owner of property subject to this division during the development phase or a successor in title, such as a builder or subsequent property owner, obligated to implement the
affordable housing plan with respect to one or more lots or parcels of land or (c) receives incentives for the production of low income affordable housing.
Section 18 That 38.700.090, H Definitions, of the Bozeman Municipal Code be amended as follows
with all other elements to remain as presently written:
Household.
A. A person living alone, or any of the following groups living together as a single nonprofit housekeeping unit and sharing common living, sleeping, cooking and eating
facilities:
1. Any number of people related by blood, marriage, adoption, guardianship or other duly-authorized custodial relationship;
2. Not more than four unrelated people; or
3. Two unrelated people and any children related to either of them.
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4. Any group of persons authorized by the federal fair housing act to occupy an individual dwelling as a single housekeeping unit.
5. Persons or groups granted a request for a reasonable accommodation to reside as a single housekeeping unit pursuant to section 38.35.090.
6 5. "Household" does not include:
a. Any society, club, fraternity, sorority, association, lodge, combine, federation, coterie, cooperative housing or like organization;
b. Any group of individuals whose association is temporary or seasonal in nature;
c. Any group of individuals who are in a group living arrangement as a result of
criminal offenses; or
d. Any group of individuals living in a structure permitted as transitional or emergency housing pursuant to this chapter.
Section 19
That 38.700.170, S Definitions, of the Bozeman Municipal Code be amended as follows
with all other elements to remain as presently written:
Street types. For the purposes of these regulations, street types are defined as follows:
1. Alley. A street used primarily for vehicular access to the rear of properties which abut and
are served by public or private streets.
2. Arterial. A street or road having the primary function of moving traffic with emphasis on a
high level of mobility for through movement and the secondary function of providing
limited access to adjacent land. Arterial streets are generally designated in the city
transportation plan, however, streets not depicted in the city transportation plan may be
designated as arterials by the review authority specified in section 38.200.010.
a. Principal arterial. Serves the major centers of activity, the highest traffic volume
corridors, and the longest trip distances in an urbanized area. This group of streets
carries the highest proportion of the total traffic within the urban area with typical
loads of 10,000 to 35,000 vehicles per day. Most of the vehicles entering and leaving
the urban area, as well as most through traffic bypassing the central business district,
utilize principal arterials. Significant intra-area travel, such as between central business
districts and outlying residential areas, and between major suburban centers, are served
by major arterials.
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b. Minor arterial. Interconnects with and augments the urban principal arterial system. It
accommodates trips of moderate length and at a somewhat lower level of travel
mobility than principal arterials, and it distributes travel to smaller geographic areas.
With an emphasis on traffic mobility, this street network includes all arterials not
classified as principal arterials while providing access to adjacent lands. Minor arterials
typically carry 5,000 to 15,000 vehicles per day.
3. Collector. A street or road that provides equal priority to the movement of traffic, and to the
access of residential, business and industrial areas. This type of roadway differs from those
of the arterial system in that the facilities on the collector system may traverse residential
neighborhoods. The system distributes trips from the arterials to ultimate destinations. The
collector streets also collect traffic from local streets in the residential neighborhoods,
channeling it into the arterial system. Collectors typically carry 2,000 to 10,000 vehicles per
day. Collector streets are typically designated in the city transportation plan, however,
additional streets may be designated as collectors by the review authority specified in
section 38.200.010.
4. Cul-de-sac. A street having only one outlet for vehicular traffic and terminating in a
turnaround area.
5. Dead-end street. A street having only one outlet for vehicular traffic.
6. Half-street. A portion of the width of a street, usually along the outside perimeter of a
subdivision, where the remaining portion of the street must be located on adjacent property.
7. Local streets. A street having the primary purpose of permitting access to abutting lands and
connections to higher systems. Generally, service to higher speed traffic movements are
intentionally discouraged. They typically carry 1,000 to 3,000 vehicles per day but can carry
in excess of 6,000.
8. Loop. A local street which begins and ends on the same street, generally used for access to
properties and to control traffic access to arterials or collectors.
9. Yield Street. A local street with reduced right of way and unique design features to address
close proximity of motor vehicle and other forms of travel.
Section 20
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Repealer.
All provisions of the ordinances of the City of Bozeman in conflict with the provisions of
this ordinance are, and the same are hereby, repealed and all other provisions of the ordinances of
the City of Bozeman not in conflict with the provisions of this ordinance shall remain in full force
and effect.
Section 21
Savings Provision.
This ordinance does not affect the rights and duties that matured, penalties that were
incurred or proceedings that were begun before the effective date of this ordinance. All other
provisions of the Bozeman Municipal Code not amended by this Ordinance shall remain in full
force and effect.
Section 22
Severability.
That should any sentence, paragraph, subdivision, clause, phrase or section of this
ordinance be adjudged or held to be unconstitutional, illegal, or invalid, the same shall not affect
the validity of this ordinance as a whole, or any part or provision thereof, other than the part so
decided to be invalid, illegal or unconstitutional, and shall not affect the validity of the Bozeman
Municipal Code as a whole.
Section 23
Codification. This Ordinance shall be codified as appropriate in Sections 2 – 19.
Section 24
Effective Date.
This ordinance shall be in full force and effect thirty (30) days after final adoption.
PROVISIONALLY ADOPTED by the City Commission of the City of Bozeman,
Montana, on first reading at a regular session held on the _____ day of ________________, 2022.
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____________________________________
CYNTHIA L. ANDRUS
Mayor
ATTEST:
____________________________________
MIKE MAAS
City Clerk
FINALLY PASSED, ADOPTED AND APPROVED by the City Commission of the
City of Bozeman, Montana on second reading at a regular session thereof held on the ___ of
____________________, 2022. The effective date of this ordinance is __________, __, 2022.
_________________________________
CYNTHIA L. ANDRUS
Mayor
ATTEST:
_______________________________
MIKE MAAS
City Clerk
APPROVED AS TO FORM:
_________________________________
GREG SULLIVAN
City Attorney
49
Revisions to the Unified Development Code updated affordable housing standards.
What? The City of Bozeman continuously evaluates its regulations to more effectively address
issues like housing supply and affordability. Last year, Bozeman hired a consultant to look over its land
development regulations and identify possible barriers to creating affordable homes in the community
and respond to state law changes. The review included multiple public meetings and other opportunities to learn from the community. You can view the full report from the project in the Documents section on the Code Audit web page. The report outlines recommended changes to city regulations for City Commission to consider.
The City proposes to change various regulations as a result of that evaluation.
1. Repeal Division 38.380, Affordable Housing, in its entirety. Replace with a new Division 38.380, Affordable Housing. This change is required to align city regulations with recent changes in state law that prohibited local governments from requiring new developments to
include affordable housing.
The new wording describes how and when incentives can be used to encourage rather than require affordable housing in new developments. It also outlines how the program is administered, and what incentives are provided. Incentives are applicable to both rental and purchase housing. Incentives include, but are not limited to, more permissive form and intensity
standards such as building height and lot sizes, parking, and concurrent construction of homes and infrastructure.
2. Remove old code wording about affordable housing throughout Chapter 38, Unified Development Code.
3. Revise requirements for residential uses to align with the new 38.380, and reduce parking
requirements for all residential districts. All incentives are now located in the new text of 38.380.
4. Amend required lot area for some types of dwellings in a development to require less land, Table 38.320.030.A.
5. Create new standards for transitioning building height to lessen visual effects for developments that use height incentives under the new division 38.380, Section 38.320.060.
6. Remove requirement for owner occupancy for accessory dwellings in the residential suburban and residential low density zoning districts, Table 38.360.040.
7. Amend required parking standards for residential uses to require fewer parking spaces per home, Table 38.540.050
8. Amend several definitions in Division 38.700 to conform to the proposed amendments.
Why? State law has restricted local governments’ ability to require the creation of affordable
housing. These code changes bring local regulations into compliance with state law. As a result, communities must now use incentives to encourage developers to building affordable housing rather than requiring that they do so.
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The complete text of the proposal, and other related information such as meeting dates, is available
through the Department Community Development, 20 E Olive Street, Bozeman MT 59715; 406-582-
2260, and online under the Division 38.380 Amendments section. The proposal may change as the public review process proceeds.
Who Decides? The City’s Economic Vitality Board and Community Development Board will
consider and discuss these changes and will provide a recommendation to the City Commission. At the City Commission’s public hearing the City Commission may act to approve, modify, or reject the
proposal or continue the public hearing to another date. The City Commission may change any of the proposed wording in this project during the public hearing process.
How can I weigh in? There will be two public hearings, on Monday, August 1, 2022 at 6:00 p.m., before the Community Development Board and on Tuesday, August 23, 2022 at 6:00 p.m., before City Commission. Both meetings will be at City Hall at 121 N Rouse at 6 pm. The city
encourages anyone to review the new rules and let us know what you think. You can tell us your thoughts at the public hearings or in writing. Written comments may be submitted before the public hearings to the City Clerk, P.O. Box 1230, Bozeman, MT 59771-1230. Comments may also be emailed to agenda@bozeman.net. Please reference Ordinance 2105 in all
comments. If you would like accommodations for disabilities, please contact Mike Gray, City of Bozeman ADA Coordinator, 582-3232 (voice), 582-3203 (TDD).
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This ordinance is subject to change as the public review process goes forward.
Ord 2105
Page 1 of 35
ORDINANCE 2105 (DRAFT)
AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF BOZEMAN,
MONTANA TO REPEAL AND REPLACE DIVISION 38.380 AFFORDABLE HOUSING,
AMEND SECTION 38.200.010 REVIEW AUTHORITY TO ASSIGN RESPONSIBILITY
FOR AFFORDABLE HOUSING ADMINISTRATION, AMEND TABLE 38.310.030.A
PERMITTED GENERAL AND GROUND RESIDENTIAL USES IN RESIDENTIAL
ZONING DISTRICTS TO REMOVE REFERENCES TO HOUSING ALLOWED BY
38.380, AMEND TABLE 38.320.030.A MINIMUM AND MAXIMUM LOT AREA TO
REDUCE REQUIRED LOT AREA PER HOME IN RESIDENTIAL DISTRICTS, AMEND
TABLE 38.320.030.B MINIMUM LOT WIDTH TO REMOVE REFERENCES TO
HOUSING ALLOWED BY 38.380, AMEND 38.360.060 ZONE EDGE TRANSITIONS TO
ESTABLISH TRANSITION STANDARDS FOR DEVELOPMENT USING HEIGHT
INCENTIVES CREATED IN 38.380, AMEND 38.340.040 CERTIFICATE OF
APPROPRIATENESS TO REMOVE EXCEPTIONS FOR PROJECTS SUBJECT TO
38.380, AMEND TABLE 38.360.040 ADU USE TABLE IN RESIDENTIAL ZONING
DISTRICTS TO REMOVE RESTRICTIONS AND REDUNDANT LANGUAGE, AMEND
38.360.100 CONDOMINIUMS TO REMOVE LANGUAGE NO LONGER APPLICABLE
DUE TO CHANGES TO 38.380, AMEND 38.360.120 COTTAGE HOUSING TO REMOVE
LANGUAGE NO LONGER APPLICABLE DUE TO CHANGES TO 38.380 AND TO
REMOVE AFFORDABILITY REQUIREMENTS, AMEND 38.410.030.G TO REMOVE
REFERENCES TO 38.380 NO LONGER APPLICABLE, AMEND 38.420.020.A TO
REMOVE REFERENCES TO 38.380 IN PARK DEDICATION REQUIREMENTS,
AMEND 38.700.020 A DEFINITIONS TO ADD OR REVISE DEFINITIONS FOR
AFFORDABLE HOME, AFFORDABLE HOUSING, AND AREA MEDIAN INCOME,
AMEND 38.700.050 D DEFINITIONS TO ADD DEFINTION OF DEVELOPER, TO
AMEND 38.700.090 H DEFINITIONS TO REVISE THE DEFINITION OF HOUSEHOLD,
AMEND 38.700.220 Y DEFINTIIONS TO DEFINE YIELD STREET.
WHEREAS, the City of Bozeman (the “City”) has adopted land development and use standards to protect public health, safety and welfare and otherwise execute the purposes of Montana Code Annotated §§ 76-1-102, 76-2-304, 76-3-102, and 76-3-501; and
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WHEREAS, after proper notice, the Community Development Board acting in their capacity as the Bozeman Zoning Commission held a public hearing on August 1, 2022 to receive and review all written and oral testimony on the proposed amendments; and WHEREAS, the Community Development Board acting in their capacity as the Bozeman
Zoning Commission recommended to the Bozeman City Commission that those element of application No. 21338 related to replacement of 38.380, be __________________; and WHEREAS, after proper notice, the City Commission held its public hearing on [DATE], to receive and review all written and oral testimony on the proposed amendment to the subdivision
regulations; and WHEREAS, the City Commission has reviewed and considered the applicable amendment criteria established in Montana Code Annotated §§ 76-2-304, and found that the proposed amendments would be in compliance with the criteria.
NOW THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE
CITY OF BOZEMAN, MONTANA:
Section 1
Legislative Findings The City Commission hereby makes the following findings in support of adoption of this
Ordinance:
1. The City adopted a growth policy, the Bozeman Community Plan 2020, by Resolution
5133 to establish policies for development of the community including zoning.
2. The Bozeman Community Plan 2020 establishes goals to increase the supply of affordable
housing in the city. To fulfill these goals, the community plan establishes numerous
objectives to promote housing affordability and diversity through increased supply of
certain types of housing.
3. The city commission identifies affordable housing as one of its main strategic goals:
“Housing and Transportation Choices - Vigorously encourage, through a wide variety of
actions, the development of sustainable and lasting housing options for under-served
individuals and families and improve mobility options that accommodate all travel modes.”
4. The Community Housing Needs Assessment (February 2019) was completed to help the
city identify, understand and address the housing challenges and problems faced by local
residents and employees in the city.
5. The Bozeman Community Housing Action Plan was approved by city commission on
November 18th, 2019, and amended on January 13, 2020. The Action Plan outlines a
partnership framework to address affordable housing (also called community housing) in
Bozeman over a five-year period and recommends edits to this chapter.
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6. The city’s first inclusionary zoning policy was adopted in 2007. In April, 2021, the
Montana State Legislature adopted House Bill 259, which prohibits local governments
from requiring housing fees or the dedication of real property for the purposes of providing
housing for specified income levels or sale prices and which prohibits zoning regulations
that require housing fees or the dedication of real property for the purposes of providing
housing for specified income levels or sale prices.
7. Following the passage of House Bill 259, the city commission desires to replace the city’s
current Affordable Housing Ordinance with this ordinance, which does not require any of
the actions prohibited by House Bill 259, but instead offers incentives to property owners
and developers willing to construct housing at levels of affordability consistent with the
housing needs and goals identified in the community plan, the community housing needs
assessment, and the community housing action plan.
8. Limited housing opportunities within the city negatively impacts economic development,
transportation networks, and sustainability. Affordable housing needs must be addressed
to maintain a sufficient resident workforce in all fields of employment, and to ensure the
public safety and general welfare of the residents of the city, affordable housing needs must
be addressed.
9. The incentives codified in this ordinance will advance the city's legitimate interest in
assuring that additional housing is built in the city.
10. This ordinance is adopted pursuant to the city's self-governing powers, the city’s zoning
authority, and the police power to protect public health, safety, and general welfare.
11. The Bozeman Community Plan 2020, Chapter 5, sets forth the policies by which the City
reviews and applies the criteria for amendment of zoning established in 76-3-304, MCA.
12. Zoning, including amendments to the text, must be in accordance with an adopted growth
policy.
13. House Bill 259 being passed into law by the 2021 Montana Legislature, the City must
revise its regulations to conform to revised authority for zoning and subdivision.
14. A staff report analyzing the required criteria for a text amendment, including accordance
to the Bozeman Community Plan 2020, found that the required criteria are satisfied.
15. The two required public hearings were advertised as required in state law and municipal
code and all persons had the opportunity to review the materials applicable to the
application and provide comment prior to a decision.
16. The Bozeman Zoning Commission has been established as required in state law and
conducted their required public hearing; and after consideration of application materials,
staff analysis and report, and all submitted public comment...; and
17. The City Commission conducted a public hearing to provide all interested parties the
opportunity to provide evidence and testimony regarding the proposed amendment prior
to the City Commission acting on the application.
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18. The City Commission considered the application materials, staff analysis and report,
Zoning Commission recommendation, all submitted public comment, and all other
relevant information.
Section 2
That 38.200.010, Review authority, of the Bozeman Municipal Code be amended as follows with
all other elements to remain as presently adopted:
H. The director of economic development must oversee, review, and as needed approve, approve with conditions or deny, and manage after approval the following development elements and processes:
1. Division 38.380 Affordable Housing.
I H. As detailed in division 38.200 of this chapter, the city commission authorizes the applicable advisory bodies to review and to make recommendations to the review authority regarding development proposals. Under this section, when advisory boards review and make recommendations to the review authority they act in a quasi-judicial capacity. Recommendations do not constitute votes of approval or denial.
J H. The city commission or its designated representatives may require the applicant to design the proposed development to reasonably minimize potentially significant adverse impacts identified through the review required by these regulations. The city commission or its designated representatives may not unreasonably restrict a landowner's ability to develop land, but it is recognized that in some instances the unmitigated impacts of a proposed
development may be unacceptable and will preclude approval of the development as submitted. Recognizing that the standards of this chapter are minimum requirements and the public health, safety, and general welfare may be best served by exceeding those minimums, the city commission or community development director may require as a condition of approval mitigation exceeding the minimums of this chapter.
K I. Decisions of the community development director and other review authorities are subject to the appeal provisions of division 38.250 of this chapter.
Section 3
That Table 38.310.030.A. Permitted general and group residential uses in residential
zoning districts is amended as follows:
Table 38.310.030.A Permitted general and group residential uses in residential zoning districts
Table clarifications:
1. Uses: P = Principal uses; C = Conditional uses; S = Special uses; A = Accessory uses; — =
Uses which are not permitted.
2. If a * appears after the use, then the use is defined in article 7.
3. Where a code section is referenced after the use, then the use is subject to the additional
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standards specific to the subject use in that code section.
4. If a number appears in the box, then the use may be allowed subject to development
condition(s) described in the footnotes immediately following the table.
Uses Zoning Districts
R-S R-1 R-2 R-3 R-4 R-5 R-O1 RMH
General residential
Accessory dwelling
units* - attached or
detached (38.360.040)
P P P P P P P —
Accessory dwelling
units* - detached
(38.360.040)
P P P P P P P —
Apartments/apartment
building*
— — — — P P P —
Apartment building,
limited4 3
— — — P P P P —
Cottage housing
(38.360.120)*
P P P P P P P P
Manufactured homes on
permanent
foundations(38.360.170)*
P P P P P P P P
Manufactured home
communities*
— — — — — — — P
Single-household
dwelling (38.360.220)
P P P P P P P P
Two-household dwelling
(38.360.220)
— — P P P P P —
Three household
dwelling or four-
household dwelling
(38.360.220)
— — — P P P P —
Townhouses* &
rowhouses* (two
attached
units)(38.360.250)
P2 — P2 — P P P P P P3 —
Townhouses* &
rowhouses* (five
— — — P3 P P P —
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attached units or less)
(38.360.250)
Townhouses* &
rowhouses* (more than
five attached units)
(38.360.250)
— — — — P P P —
Group residential
Community residential
facilities* with eight or
fewer residents
P P P P P P P P
Community residential
facilities* serving nine or
more residents
— — — S P P P —
Cooperative household* S S S P P P P S
Family day care home* P P P P P P P P
Group day care home* P P P P P P P P
Group living
(38.360.135)*
P P P P P P P P
Lodging houses* — — — S P P P —
Transitional and
emergency housing
(38.360.140)* and related
services
S S S S S S S S
Notes:
1. The primary use of a lot, as measured by building area, permitted in the R-O district is determined by the underlying growth policy land use designation. Where the district lies over a residential growth policy designation the primary use shall be non-office
uses; where the district lies over a non-residential designation the primary use shall be
office and other non-residential uses. Primary use shall be measured by percentage of building floor area.
2. In the R-S, R-1, and RMH district townhomes are only allowed when utilized to satisfy the requirements of division 38.380, Affordable Housing. May only be utilized in
developments subject to division 38.380 of this article.
2 3. In the R-3 district, townhouse groups must not exceed 120 feet in total width.
3 4. Supplemental use criteria for apartment building, limited are in section 38.360.070.
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Section 4
That Table 38.320.030.A. be amended as follows:
Table 38.320.030.A Minimum and maximum lot area
Table clarification:
1. Where a code reference or link appears after the form and intensity topic, the use is subject
to standards set forth in that section or chapter.
2. If a number appears in the box, refer to the development condition with the corresponding
number immediately following the table. If there are multiple numbers, then all development
conditions apply.
Use
Type/Standard
Zoning District
R-S R-1 R-2 R-3 R-4 R-5 R-O RMH
Minimum lot area in a lot per dwelling (square feet)1(38.320.030.A)
Single-
household
dwelling
4,0001 4,0001 4,0001 4,0001 4,0001 3,0001 4,0001 3,0001
Single-
household
dwelling (only
for dwellings to
satisfy minimum
requirements of
division 38.380
of this chapter)
2,700 2,700 2,700 2,700 2,700 2,700 2,700 2,700
Two-household
dwellings
— — 2,5001 2,5001 2,5001 2,500 3,000 —
Two household
dwellings (only
for dwellings to
satisfy minimum
requirements of
division 38.380
of this chapter)
— — 2,500 2,500 2,500 2,500 2,500 —
Lot area per
dwelling in
three- or four-
household
— — — 3,000 3,000 None 3,000 —
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dwelling
configurations
Lot area per
dwelling in
three- or four-
household
dwelling
configurations
(only for
dwellings to
satisfy minimum
requirements of
division 38.380
of this chapter)
— — — 2,500 2,500 None 2,500 —
Townhouses &
rowhouses per
dwelling
— — 3,0002 3,00032 3,00032 None 3,00032 —
Townhouses &
rowhouses (only
for dwellings to
satisfy minimum
requirements of
division 38.380
of this chapter)
2,5003 2,5003 2,5003 2,5003 2,5003 None 2,5003 2,500
Apartments –
First Dwelling
— — — — 3,000 None 3,000 —
Apartments –
Each dwelling
after the first
— — — — 1,200 None 1,200 —
Apartments and
Apartment
Building,
Limited—First
dwelling
— — — — 5,000 None 5,000 —
Apartments and
Apartment
Building,
Limited —Each
— — — — 1,200 None 1,200 —
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dwelling after
the first
Apartment
Building,
Limited—Each
dwelling
— — — 3,000 — — — —
Apartments—
Each dwelling
after the first
(only for
dwellings to
satisfy minimum
requirements of
division 38.380
of this chapter)
— — — — 900 None 900 —
Additional area
required for an
accessory
dwelling unit
1,000 4 1,000 1,000 1,000 1,000 None 1,000 —
All other uses 5,0001 5,0001 5,0001 5,0001 5,0001 None 5,0001 5,0001
Maximum lot area (net acres) (38.320.020.A)
Residential use — — — 2.53 5 2.53 5 2.53 5 2.53 5 —
Notes:
1. In order to comply with the standards contained in this chapter, lot area in excess of the required minimum may be needed (for corner lots, parking, landscaping or large residential structures, for example), and may be necessary for property adjacent to watercourses, ridgelines, or other environmental features in order to provide an
appropriate buildable area on the lot.
2. Per townhouse lot or rowhouse dwelling.
2 3. For townhouse or rowhouse clusters, the lot area per dwelling may be averaged within the cluster.
4. Extra lot size requirement does not apply when R-S lots are larger than 6,000 square
feet.
35. Departures from the maximum lot size requirements may be allowed where the
planned development fits into the context of the neighborhood and proposed pedestrian and vehicular circulation measures meet community objectives.
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Section 5
That Table 38.320.030.B, be amended as follows:
Table 38.320.030.B Minimum lot width (feet)
Table clarification:
1. Where a code reference or link appears after the form and intensity topic, the use is subject
to standards set forth in that section or chapter.
2. If a number appears in the box, refer to the development condition with the corresponding
number immediately following the table. If there are multiple numbers, then all development
conditions apply.
Use
Type/Standard
Zoning District
R-S R-1 R-2 R-3 R-4 R-5 R-O RMH
Single-
household
dwelling
50 50/401 50/401 50/401 50/351 35/251,2 50/401 50/401
Single-
household
dwelling (only
for dwellings to
satisfy
requirements of
division 38.380
of this chapter)
30 30 30 30 30 30 30 30
Two household
dwelling
— — 60/501 60/401 50/401 50/401 50/501 —
Accessory
dwelling unit3
50 40 40 40 40 None4 40 —
Accessory
dwelling unit3 on
lots with
Townhouses
30 30 30 Width
of
interior
units2
Width
of
interior
units2
Width
of
interior
units2
Width
of
interior
units2
—
Dwellings in
three- or four-
household
dwelling
configurations
- - — 60 60 None2,4 60 —
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Townhouses 30 30 30 Width
of
interior
units,2
Width
of
interior
units,2
Width
of
interior
units,2
Width
of
interior
units,2
—
All other uses 50 50 50 50 50 None2,4 50 50
Notes:
1. When the lot is adjacent to an alley and vehicle access is taken only from that alley.
2. Lot width is subject to section 38.400.090. Lot widths of 25 feet or less may jeopardize compliance with standards for legal and physical access, street trees, on-street parking, garage design, drive access width and placement, and utilities. Home design and size will be restricted as a result. Mitigation measures may be required for placement and
separation of public and private utilities.
3. Second dwellings in accessory buildings are subject to all restrictions in this chapter relating to accessory buildings. Lot area and width must be provided as if the dwelling were attached to the principal use. Dwellings to be developed under this option are subject to section 38.360.040.
4. Lot widths may be variable provided they are sized and shaped sufficient to accommodate permitted uses and conform to applicable design and density standards.
Section 6 That 38.320.060, Zone edge transitions, be amended as follows:
Sec. 38.320.060. Zone edge transitions.
A. Intent. To provide measures that help to provide a compatible transition between certain
higher and lower intensity zoning districts.
B. Zone edge transition standards. The following standards are intended to supersede other form and intensity standards in this division.
1. Setback adjustments.
a. Minimum side and rear setbacks for development within BP, M-1, and M-2
districts where adjacent to a residential district: 15 feet. No additional setbacks required adjacent to alleys and streets.
b. Minimum side and rear setbacks for development within B-3 and UMU districts adjacent to a residential district: five feet. No additional setbacks are required adjacent to alleys and streets
2. Height/setback adjustments.
a. For development on sites in the B-3, B-2M, UMU, and R-5 districts that are adjacent to the RS, R-1, or R-2 district. From a height of 38 feet at a ten foot
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setback from the property line adjacent to from the applicable residential districts, buildings must step back at a 45 degree angle away from the applicable property line as shown in figure 38.320.060. No such 45 degree angle setback is required if separated by a street.
b. For development on sites in the B-3 district that border R-3 and R-4 districts.
From a height of 38 feet at a five foot setback from the property line adjacent to from the applicable residential districts, buildings must step back at a 45 degree angle away from the applicable property line.
c. For buildings located at the edge of a zoning district and which use the height incentives of 38.380.030. At the required setback from property line for the
district in which the site is located; and from the maximum building height allowed in the district without the height incentive; buildings must step back at a 45 degree angle away from property lines. This requirement does not apply to interior common walls within the same development, such as between townhomes.
d. Permitted 45 degree angle step back encroachments in a-c of this paragraph:
(1) Permitted horizontal encroachments include those elements and standards set forth in section 38.350.050.A.
(2) Permitted vertical encroachments include those elements and standards set forth in section 38.350.050.D.
Section 7
That 38.340.040. Certificate of appropriateness, be amended as follows:
Sec. 38.340.040. Certificate of appropriateness.
A. A certificate of appropriateness is required before any and all alteration(s) other than those specifically exempted in subsection 1 of this section, or repair(s) as defined in section
38.700.160, are undertaken upon any structure in the conservation district. The review authority for certificates of appropriateness is established in division 38.200.010 of this chapter. Compliance with the terms of the final decision is required. The Montana Historical and Architectural Inventory Form must be reviewed and, if necessary, updated to reflect current conditions on the site, prior to the review of the proposal. Application procedures
are as follows:
1. No building, demolition, conditional use, sign or moving permit may be issued within the conservation district until a certificate of appropriateness has been issued by the appropriate review authority, and until final action on the proposal has been taken.
a. Limited exceptions. The following construction located within the neighborhood
conservation overlay district, within an established historic district, or at a site which is individually listed on the National Register of Historic Preservation, does not require a certificate of appropriateness if the project satisfies the following standards:
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(1) Fences meeting all other provisions of this chapter (e.g. height limitations, street vision triangle, finished side out, etc. per section 38.350.060) which are built of wood, wrought-iron, or any other non-synthetic material and whose construction allows "transparency" as set forth in Chapter 3, Section F of the design guidelines referenced in section 38.340.050.D. Chain link
fencing is not included in this exception.
(2) Basement egress windows whose window material and configuration is present elsewhere in the structure, and whose window wells are not on the front or corner-side setback elevation of the structure, and which do not establish or provide egress from an illegal dwelling unit.
(3) Accessory structures under 120 square feet as measured from the outer edge of the exterior walls, which meet the setback requirements, are not more than 14 feet to their highest point and which do not require a building permit.
(4) Alterations in roofing material, if installing wood shingle, slate, tile, or asphalt shingle material, and no changes are made to the roof shape, pitch or
slope.
(5) Photovoltaic panels which are flush mounted to a roof.
2. Application, review and public notice procedures for proposals located within the conservation district are set forth in division 38.230, Plan Review, and division 38.220, Applications and Noticing, of this chapter. If demolition or movement of structures or
sites subject to the conservation district requirements is proposed, the procedures in section 38.340.080 apply.
3. The architectural designs of individual affordable housing units used to satisfy the requirements of section 38.380.030 and are exempt from the review requirements of this part 1. This exemption does not extend to removal or alterations of existing
structures.
Section 8 That Table 38.360.040. ADU use table in residential zoning districts, of the Bozeman
Municipal Code be amended as follows:
Table 38.360.040 ADU use table in residential zoning districts
Table clarification:
1. Uses: P = Principal; S = Special uses; — = Uses which are not permitted.
2. If a * appears after the use, then the use is defined in article 7.
3. If a number appears in the box, then the use may be allowed subject to development
condition(s) described in the footnotes immediately following the table.
Zoning districts
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R-S R-1 R-2 R-3 R-4 R-5 RMH REMU
Detached
ADU2 & 3
P P P P P P — P
Attached
ADU2, 3 & 4
P P P P P P — P
Owner
occupied
Yes1
Not
required
Yes1
Not
required
Not
required
Not
required
Not
required
Not
required
— Not
required
The following ADU standards and 38.320.070 apply to all zoning districts:
Occupancy limit 2 persons
Deviations No
# of ADU per lot One
Location ADU's are permitted above accessory buildings and on the
ground floor. Ground floor ADUs require alley access or
pedestrian connection to a sidewalk or the adjacent right-of-
way.
Parking requirement ADUs are not subject to minimum parking requirements. If
parking is provided it must conform to all applicable
standards.
Unit size In no case may an ADU be larger than 600 square feet or have
more than a single bedroom. The method of calculating the
maximum ADU square footage will be "living area" defined
as "all floor area exclusive of areas with a sloped ceiling less
than three feet in height, stairwells, and exterior decks."
Bedrooms, living rooms, kitchens, casework, interior walls,
hallways, closets, bathrooms, and any other living space must
be included in the maximum square footage calculation.
Design requirements Detached ADUs, including second story additions on
detached garages may be approved only if found compatible
and consistent with the existing character and fabric of the
neighborhood. The review authority must consider placement
and size of windows, decks, balconies, fencing, landscape
screening, and height and massing of the structure to
minimize impacts to adjacent properties.
Height limit Notwithstanding the limitations in section 38.360.030.G, a
detached ADU may exceed the height of the principal
building but may not exceed 22 feet in height.
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Garage conversions Garages may not be converted for use as ADUs unless all
required parking for all uses on the lot is otherwise provided
prior to conversion. However, ADUs may be placed above
garages except where otherwise noted.
Minimum standards or "no
guarantee"
A permit for an ADU will not be granted unless the lot has
been configured to accept an ADU with adequate lot area,
utility services, and compliance with setbacks and height
standards.
Notes:
1. R-S and R-1 occupancy. At least one owner of record who possesses at least an estate for life or a 50 percent fee simple ownership interest must reside on site as their primary residence. No more than one of the dwellings, either the principal dwelling or
the accessory dwelling, may be rented by non-owners at the same time. The city may
require a guarantee of compliance with the requirements of this section, including but not limited to a binding deed restriction or covenant enforcing the single rental restriction as allowed in section 38.270.080.B, as a condition of approval.
2. Any ADU created within an accessory building is subject to the limitations of
38.360.030.
3. An accessory dwelling unit may not be approved on a reduced size lot created to meet the minimum affordable housing requirements of chapter 38, division 380.
4. Location. The ADU may be a part of the principal dwelling unit, provided the ADU is clearly incidental to the principal dwelling unit and meets all of the following criteria:
a. Lot area per Table 38.320.030 is provided.
b. The ADU does not exceed one-third of the total area of the principal structure.
c. If the entrance for the ADU is separate from the entrance of the principal structure, the entrance must be on a façade different than that of the main entry.
Section 9
That 38.360.100, Condominiums, of the Bozeman Municipal Code be amended as
follows:
Sec. 38.360.100. Condominiums.
A. Unit ownership act. Condominium developments must comply with all provisions of the
Unit Ownership Act, MCA 70-23-101 et seq., and all regulations adopted to implement to Act.
B. Condominium association. A condominium association must be established for each condominium development. The developer must prepare bylaws for the condominium
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association, as well as covenants, conditions and restrictions for the condominium development, in compliance with division 38.220 of this chapter. The bylaws, covenants, conditions and restrictions must be submitted to the city for review and approval prior to the granting of plan approval or approval for condominiumization of existing development.
C. Internal circulation in a condominium development must be designed in accordance with
division 38.540 of this chapter, and must, when deemed necessary by the city engineer, comply with section 38.400.020.
D. Condominiums may be subject to chapter 38, division 380.
Section 10
That 38.360.120.A of the Bozeman Municipal Code be amended as follows:
A. Purpose and intent.
1. The purpose of this section is to achieve the goals and objectives of the land use and housing chapters of Bozeman's growth policy and the goals of the Inclusionary
Housing Ordinance, division 38.380 Affordable Housing. Cottage housing enables
higher density development by allowing smaller lots, smaller home sizes, and clustered home sites, which are subject to design standards. This housing development option encourages more efficient use of land and energy.
2. Cottage housing development regulations are designed to:
a. Provide opportunities for creative, diverse and high quality infill and greenfield
development compatible with existing neighborhoods;
b. Support development of diverse housing in accordance with the growth policy;
c. Increase the variety of housing types available within the community;
d. Support the creation of neighborhoods with a mix of housing opportunities for
mixed incomes; and
e. Provide opportunities for small, detached cottages within existing neighborhoods.
Section 11 That 38.360.120.C of the Bozeman Municipal Code be deleted and the remainder of the
section renumbered.
C. Affordable housing applicability. The requirements of division 38.380, unless specifically
modified in this article, apply to all cottage housing subdivisions regardless of the number
of cottages proposed to be included in the development. Notwithstanding the provisions of
division 38.380, a cottage housing subdivision must provide at least one lower-priced home,
or three moderate-priced homes. A cottage housing subdivision may have more affordable
homes than the required minimum.
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Section 12
Division 38.380. - Affordable Housing is repealed in its entirety and replaced to read as
follows:
Division 38.380 Affordable Housing
38.380.10 Purpose
A. The purpose of this division is to promote the public health, safety, and welfare by
incentivizing increased production of affordable rental and for sale housing to meet the needs
of city residents and the goals of the adopted growth policy and the community housing action
plan.
B. In addition, the purpose of this division is to offer incentives tailored to the levels of housing
affordability in new development and redevelopment, with greater incentives being offered
to those producing or preserving housing affordable to households earning lower percentages
of the Bozeman Area Median Income (AMI).
C. In addition, this division alleviates the reduction in the land supply available to accommodate
future affordable housing development that would result if most or all of the available
residential land is used solely for the benefit of households that are able to afford market-rate
housing.
38.380.020 Applicability
A. Generally. The following types of development are eligible to use the incentives described in
this division. Affordable home incentives, described in section 38.380.030, may be approved
in conjunction with an annexation, subdivision, or site plan that:
1. Contains or will contain dwellings; and
2. That commits to providing at least the minimum percentages of dwellings in the
development at rental rates or sales prices affordable at no more than the maximum
percentages of AMI established in Table 38.380.020-1 or Table 38.380.020-2 and
consistent with all requirements of 38.380.
Table 38.380.020-1
Affordable Homes Required for Deep Incentives
Minimum
Percentage of
Homes
Maximum Percentage of AMI Duration
Rental Dwellings For-Sale
Dwellings (includes
condominiums)
Type of Housing
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Single-Household
Detached Dwelling
=>50% 80% of AMI 120% of AMI =>30 years
Single-Household
Attached Dwelling
=>50% 80% of AMI 120% of AMI =>30 years
Multi-Household
Dwelling
=>50% 80% of AMI 120% or AMI =>30 years
Table 38.380.020-2
Affordable Homes Required Shallow Incentives
Minimum
Percentage of
Homes
Maximum Percentage of AMI Duration
Rental Dwellings For-Sale
Dwellings (includes
condominiums)
Type of Housing
Single-Household
Detached Dwelling
=>5% 80% of AMI 120% of AMI =>30 years
Single-Household
Attached Dwelling
=>5% 80% of AMI 120% of AMI =>30 years
Multi-Household
Dwelling
=>5% 80% of AMI 120% or AMI =>30 years
B. The City and a landowner may agree by contract to future development on a property
producing the housing identified above in exchange for the incentives in this division.
C. Previously Approved Development
1. A previously annexed but undeveloped parcel of land, subdivision, or site plan that has
received final approval before the effective date of this division, and that has not
previously received an incentive in return for commitments to include affordable housing
in the development, may apply for affordability incentives listed in section 38.380.030.
The property owner or applicant for the previously undeveloped parcel must make a
written commitment to meet the affordability standards for rental rates or sales prices in
this section consistent with 38.380.040. The affordable housing plan must be submitted
and approved prior to use of any incentive.
2. Only that portion of the amended preliminary plat or site plan, including associated code
standards and conditions of approval, pertaining to the request for approval of one or
more procedural adjustments and subsidies will be subject to additional preliminary plat
or site plan review.
D. Assumptions and Calculations
1. All references to AMI are to the most recent Area Median Income established by the U.S
Department of Housing and Urban Development (HUD). As HUD publishes updated
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AMI values they are immediately effective without further action by the City. The city
may establish administrative procedures for application and implementation of AMI in
calculating dwelling costs in accordance with 38.380.070.
2. To determine the maximum sales prices of affordable homes with different numbers of
bedrooms, the city will base its calculation on AMIs for households of different sizes, as
follows, with the review authority determining which rooms qualify as bedrooms:
a. Studio dwelling: AMI for a one-person household;
b. One bedroom dwelling: AMI for a two-person household;
c. Two bedroom dwelling: AMI for a three-person household; and
d. Three bedroom unit or larger: AMI for a four-person household.
3. If the calculation of the required number of affordable homes results in a fraction of a
home, fractions equal to or less than 0.5 shall be ignored, and fractions greater than 0.5
shall be rounded up to require the construction of one affordable home, which may be a
studio unit.
38.380.030 Incentives Available. Applications for development of affordable homes that
comply with the requirements of this division qualify for and must be awarded the incentives
applicable to the type and tenancy of affordable housing being provided and requested by the
developer.
A. Incentives may be applied to:
1. Dwellings in single use residential or mixed-use residential/nonresidential
development.
2. If a single building contains a mix of residential and nonresidential primary uses, these
incentives are only available if 50 percent or more of the gross floor area of the building
contains residential uses.
The incentives below supersede the standards otherwise applicable in this chapter. The city retains
the authority to approve, approve with conditions, or deny the project as a whole based on
compliance with other portions of this title or other city regulations, but shall not attach conditions
to an approval that have the effect of removing the incentives awarded in this section.
B. Incentives for Table 38.380.020-1 Deep Incentives. If the developer proposes to construct
affordable homes that meet the standards in Table 38.380.020-1 in the same geographically
contiguous development as market rate homes, the developer may apply the following
incentives to all primary buildings in the development in which 50 percent or more of the
gross floor area contains residential uses:
1. For single-household detached dwellings:
a. Minimum lot size of 2,000 square feet; or 1,600 square feet if the applicant
demonstrates that all applicable city regulations related to lot development, access
and utilities can be met.
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b. No minimum lot width requirement above that necessary for access and utilities if
the applicant demonstrates that all applicable city regulations related to lot
development, access and utilities can be met.
c. Off-street parking requirement of one space per dwelling.
e. Concurrent construction of infrastructure and dwellings per 38.270.030 is allowed.
2. For single-household attached dwellings (townhouses and rowhouses):
a. Minimum lot size of 1,600 square feet; or 1,400 square feet if the applicant
demonstrates that all applicable city regulations related to lot development, access
and utilities can be met.
b. No minimum lot width requirement if the applicant demonstrates that all applicable
city regulations related to lot development, access and utilities can be met.
c. Off-street parking reduction to one space per dwelling.
d. Concurrent construction of infrastructure and housing per 38.270.030 is allowed.
3. For multi-household dwellings and mixed-use buildings:
a. One additional story of height (maximum 15 feet per story) beyond that allowed in
the RS, R-1, R-2, R-3, or RMH zoning districts.
b. Two additional stories of height (maximum 15 feet per story) beyond that allowed
in the R-4, R-5, R-O, NEHMU, and B-1 zoning districts.
b. Four additional stories of height (maximum 15 feet per story) beyond that allowed
in the UMU, REMU, B-2, B-2M, and B-3 zoning districts.
c. No minimum onsite vehicle parking requirement, but bicycle parking standards and
requirements of 38.540.050 still apply.
d. Townhouses* & rowhouses* (two attached units) in the R-1, RS, and RMH zoning
districts.
e. Exemption from each of the following for buildings containing dwellings, unless
an alternative standard is provided in this division:
i. Minimum lot size, lot area per dwelling units, and lot width requirement in all
zoning districts.
ii. Section 38.510.030.E-J block frontage standards, provided that vehicle
parking is prohibited between the front or side of a principal building and a
public or private street;
iii. Section 38.530.040.E maximum façade width standards;
iv. Section 38.530.040.F roofline modulation standards
v. Section 38.530.050 building detail standards; and
vi. Section 38.530.060 building material standards.
f. Concurrent construction of infrastructure and housing per 38.270.030.
4. Developments subject to 38.380 may use yield streets without requirement for
additional zoning review requirements beyond that for the development within which
the yield street will be used. A yield street has the following characteristics:
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a. 40-foot right-of-way with two-way dedicated travel in a 16-foot advisory yield
zone for motor vehicles and 5-foot walkways outside on either side.
b. Staggered 7-foot wide parallel parking spaces which may include chicane style
streetscape for varying width of paved area.
c. No parking in front of private property that blocks access to property adjacent to
the street.
d. Passing areas every 100 feet minimum for sight line assurance and yielding
capabilities. Passing pullout areas to be not less than 25 feet long. Driveway
accesses may serve as passing areas.
e. Snow management plan, including enforcement provisions, must be provided
during initial development review.
1) No snow storage in passing areas;
2) Adequate storage areas or removal methods must be provided to address two
25 year storms.
f. Stormwater must be managed within the right of way unless an alternate method
compliant with municipal standards is provided.
g. A comprehensive street signage plan must be included with initial submittal and
executed with infrastructure plans and construction including but advisory signage
for yielding to pedestrians/bikes/PTDs and other vehicle travelers..
h. The proposed design must be consistent with accessibility requirements
established by any governmental agency.
i. Design shall address inclusion of any proposed street furnishings, amenities,
plantings, etc.
j. Yield streets are exempt from the requirements of 38.550.070 for installation of
street trees adjacent to individual lots.
k. The City may limit speeds to less than standard for a local street.
l. Maintenance – Must be maintained by landowners in the development unless the
City explicitly assumes responsibility. A funding mechanism equal to that for
private streets in 38.400.020 is required for private maintenance.
m. Length may not exceed 400 feet without intersecting with a street. Ends must
terminate at a street or be provided a fire code compliant turn around. A total
length may exceed 400 feet if there are crossing streets with a yield street.
n. Adjacent buildings must not exceed three stories unless setup space for fire
department ladder trucks is provided adequate to access all buildings in excess of
three stories.
C. Incentives for Table 38.380.020-2 Shallow Incentives. If the developer proposes to construct
affordable homes that meet the standards in Table 38.380.020-2 in the same geographically
contiguous development as market rate homes, the developer may apply the following
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incentives to all primary buildings in the development in which 50 percent or more of the
gross floor area contains residential uses:
1. For each single-household detached dwelling a minimum lot size of 3,000 square feet,
or 2,500 square feet, if the applicant demonstrates that all applicable city regulations
related to lot development, access and utilities can be met.
2. For each single-household attached dwelling (townhouse or rowhouse) a minimum lot
size of 2,200 square feet, or 1,800 square feet, if the applicant demonstrates that all
applicable city regulations related to lot development, access and utilities can be met.
3. For multi-household dwellings and mixed-use buildings:
a. Ten percent reduction in lot area for applicable dwelling type in Table
38.320.030.A.
b. One additional story of height (maximum 15 feet per story) beyond that allowed in
the RS, R-1, R-2, R-3, RMH, R-4, R-5, R-O, NEHMU, and B-1 zoning districts.
c. Two additional stories of height (maximum 15 feet per story) beyond that allowed
in the UMU, REMU, B-2, B-2M, and B-3 zoning districts.
d. Minimum vehicle parking requirement of one stall per dwelling for all districts
other than B-3 and bicycle parking standards and requirements of 38.540.050 still
apply.
e. Minimum vehicle parking requirement of 0.75 stall per dwelling for B-3 district;
bicycle parking standards and requirements of 38.540.050 still apply.
e. Townhouses & rowhouses (two attached units) are principal uses in the R-1, RS,
and RMH zoning districts.
38.380.40 Affordable Housing Plan Required
A. To qualify for low income affordable home incentives, the developer must submit to the City
an affordable housing plan that includes the information and complies with the standards in
this section:
1. Information Required
a. The total number of affordable homes, and market rate homes in the proposed
development;
b. The table in 38.380.020 to be applied to the affordable housing plan.
c. The number of bedrooms in each proposed low income affordable home, and
market rate home in the development.
d. Whether each affordable home will be offered for rental or for sale;
e. The location of affordable lots or units in the development;
f. The applicable AMI and maximum rental or sales price applicable to each low
income affordable home;
g. A description of the requested incentives from section 38.380.040.
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h. Any other information that is reasonably necessary to evaluate the compliance of
the affordable housing plan with the requirements of this division, as determined
by the review authority.
i. If the development is to be constructed in phases:
1) The required information may include specific commitments for the first phase
of development and estimates for later phases of development, provided the
combination of committed and estimated low income affordable homes in the
development equals or exceeds the minimum required to qualify for the
incentives requested.
2) As the number of low income affordable homes for each later phase is
finalized, the developer must submit an update to the affordable housing plan
including or updating the information required in this section. The review
authority shall review and approve, approve with conditions, or deny the
update using the criteria in this section.
2. Development Standards for Affordable Homes
a. The number of affordable homes must meet or exceed the minimum standards
needed to qualify for the applicable incentive in section 38.380.030.
b. The mix of bedrooms per unit in affordable homes must be as similar as possible to
the mix of bedrooms per unit of the market-rate homes in the development.
c. Access to shared amenities and services by residents of the affordable homes must
be the same as to those in market rate homes in the development.
d. If the development is to be constructed in phases, and the developer has requested
affordable housing incentives, at least 75 percent of the dwelling units in each phase
must be affordable homes, unless the city has received adequate legal or financial
assurance that any shortfall during earlier phases will be constructed before
approval of the final phase of development.
B. The review authority may approve the affordable housing plan if the review authority finds
that it includes the information required for the city to confirm compliance with the standards
and criteria in this division, including but not limited to the standards in Section
38.380.030.A, and any administrative procedures related to this division adopted pursuant to
section 38.380.070.
C. No annexation, preliminary subdivision, or site plan that contains any residential dwelling
units and that requests affordable housing incentives may receive final approval until the
affordable housing plan has been approved by the review authority.
D. After approval by the review authority, the affordable housing plan must be incorporated by
reference in the recorded annexation, final subdivision plat, or site plan documents.
E. An approved affordable housing plan is a binding contract between the developer and the
developer's successors in interest to the lot or dwelling, and must be included in a separate
recorded written agreement between the developer and the city, or incorporated into another
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recorded document in which the developer is required to implement the affordable housing
plan.
38.380.50 Land Donation Alternative
A. As an alternative to constructing some or all of the affordable homes required by section
38.380.020, the developer may qualify for the incentives listed in section 38.380.040 by
donating one or more parcels of land within the city limits. The land donation must meet the
standards in this section and be approved by the director as providing equal or greater
affordable housing benefit to the city.
B. The developer may donate undeveloped parcels of land or ready-to-build house lots, provided
the land is subject to a document recorded in the records of the Gallatin County Clerk and
Recorder requiring the land be used only for the construction of affordable homes;
C. The value of the land donated must equal or exceed the remaining cost of designing, obtaining
land use and building approvals for, installing or upgrading infrastructure for, and
constructing the number of affordable homes the annexer, subdivider, or developer would
otherwise be required to provide in return for the requested incentives listed in subsection
38.380.030, as established by an independent valuation and economic study commissioned
by and acceptable to the city and paid for by the developer.
38.380.60 Qualification of Renters and Buyers
A. Developer must provide to the city written assurance acceptable to the city that each renter or
purchaser of an affordable home must meet the following standards for a period of at least 30
years from initial occupancy of the home.
B. Each renter or purchaser of an affordable home:
1. Must occupy the affordable home as their primary residence, as determined by the
review authority;
2. Must meet the definition of a Household in section 38.700.090;
3. Must comply with the income restrictions applicable to that type of home and tenancy
according to 38.380.020:
a. Income verification for rental units must be performed every two years, and income
verification for owner occupied units must be performed at the time of purchase,
based on standards and methods approved by the U.S. Department of Housing and
Urban Development.
b. If the project is subject to income restrictions different from those in section
38.380.020 as a condition of participation in a state or federal housing program or
receipt of state or federal financial assistance, the renter or purchaser must comply
with those alternative income restrictions, as verified by standards and methods
used by the applicable state or federal program.
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4. Must not, if the Affordable Home is purchased, sell the home for a price higher than the
original sales price of the home plus a compounded increase of 2.5% for each year the
purchaser owns the home.
C. The developer may satisfy the requirements of this section by contracting with a third party
to monitor and enforce the conditions in this section through a written agreement approved
as to form by the City Attorney. The developer may change the third party contractor with
written approval by the City.
D. The developer, or the city or its agent if the city is involved in the rental or sale of an
affordable home, must record in the offices of the Gallatin County Clerk and Recorder,
simultaneously with the recording of the deed of conveyance, a restrictive covenant, deed of
trust or other legal instrument, approved as to form by the City Attorney, that obligates all
owners or renters of the property to comply with the provisions of this section.
38.380.70 Administration
A. The review authority shall have authority to promulgate and enforce all reasonable rules and
regulations and take all actions necessary to the effective operation and enforcement of this
division, unless such authority is expressly reserved to the city commission or another city
official, including but not limited to:
1. Reviewing affordable housing plans for compliance with this division;
2. Adopting application, monitoring, and reporting forms, and other forms and information
required from developers for implementation of this division;
3. Monitoring compliance with this division, notifying the subdivider or developer of
noncompliance, and ordering compliance;
4. Imposing any and all sanctions permitted by this division; and
5. Calculating and making available through the city website or otherwise the AMI needed
to qualify for the various incentives listed in this division, and updating that information
as needed to reflect any adjustments approved by the city commission.
6. Adopting standards and policies to qualify eligible purchasers and renters for Affordable
Homes created under this division.
B. The city may publish administrative rules and instructions consistent with and necessary for
the implementation of this division, including but not limited to instructions for completing
the affordable housing plan, valuations required by this division, and the distribution of the
required number of affordable homes and bedrooms within a project requesting the incentives
in this division.
C. The review authority may create standards for documentation the city will use to verify the
rental rates or sale prices of affordable homes created pursuant to this division. For the initial
sale of an affordable home, the seller must provide the city with a copy of the HUD-1 form
prepared by an attorney or title company indicating the sale price. The final sale price on the
HUD-1 form may not exceed the maximum price for a specific affordable home as described
in section 38.380.030, plus an allowed maximum established by rule as authorized in this
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section in buyer selected upgrades, if allowed by the first mortgage lender underwriters. In
addition, the city shall require certification satisfactory to the city of homebuyer income
qualification.
D. Upon receipt of a settlement statement for the sale of an affordable home, the city will
determine if the completed affordable home sale complies with the approved affordable
housing plan and the requirements of this division and if not, will notify the seller of the
noncompliance.
38.380.80 Noncompliance and Sanctions
A. If the city determines that a developer has failed to comply with any terms or conditions of
the affordable housing plan or this division, the review authority shall notify the developer of
the noncompliance in writing and order compliance by the most reasonable and expeditious
means as determined by the city. Notification shall describe the date by which the developer
must be in full compliance and shall describe the nature of the noncompliance and the possible
sanctions for noncompliance.
B. A developer that sells an affordable home for a price not in compliance with the approved
affordable housing plan, this division, or any other recorded document obligating the
developer to comply with this division shall pay a penalty to the city. The penalty shall be
equal to 125 percent of the difference between the actual sale price and the maximum sale
price of the affordable home as set out in the approved affordable housing plan.
C. In addition to other remedies available to the city pursuant to this division, if the developer
remains in noncompliance on the date by which compliance was required, the city shall have
the authority to impose one or more sanctions, including but not limited to the following, that
the city deems most effective and appropriate considering the nature of the noncompliance:
1. Withholding or revoking building permits;
2. Issuing stop-work orders; and/or
3. Withholding or revoking certificates of occupancy.
Section 13 That 38.410.030.G, of the Bozeman Municipal Code be amended as follows:
G. Depth. Except for individual lots for individual townhomes; lots used to meet the
requirements of chapter 38, division 38.380; lots serviced by an alley; or when necessitated
by physical features of the land, no lot may have an average depth greater than three times
its average width.
Section 14 That 38.420.020.A of the Bozeman Municipal Code be amended as follows:
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A. The area required by this subsection must be provided as a land dedication unless an alternate method of compliance is approved by the review authority.
1. When the net residential density of development is known, 0.03 acre per dwelling unit of land must be provided.
a. When the net residential density of development is known at the time of
preliminary plat and net residential density is in excess of eight dwellings per acre, the requirement for dedication for that density above eight dwellings per acre must be met with a cash donation in-lieu of the additional land unless specifically determined otherwise by the review authority.
b. If net residential density is in excess of eight dwellings per acre, the requirement
for dedication for that density above eight dwellings per acre must be met with a cash donation in-lieu.
c. When developed as group quarters, such as group living or community residential facilities, rather than individual dwelling units, in lieu of 0.03 acres per dwelling unit, an area of 575 square feet per resident must be provided.
d. Land dedication or its equivalent must not be required for any dwelling units or group quarters occupancy in excess of the following:
(1) For development within the R-1, R-2, and R-MH zoning districts, the maximum
net residential density must be ten dwelling units or 22.5 persons in group quarters
per acre.
(2) For development within the R-3, R-4, R-5, R-O, and REMU zoning districts, the
maximum net residential density must be 12 dwelling units or 27 persons in group
quarters per acre.
(3) For development within other zoning districts not previously specified and
developed for residential uses, the maximum net residential density must be 12
dwelling units or 27 persons in group quarters per acre.
2. If net residential density of development is unknown, 0.03 acres per dwelling unit must be provided as follows:
a. For initial subdivision or other development:
(1) Within the R-1, R-2, and R-MH zoning districts: an area equal to that required for
six dwelling units or 13.5 persons in group quarters per net acre.
(2) Within the R-3, R-4, R-5, REMU, and unless legally restricted from residential
uses the R-O zoning districts: an area equal to that required for eight dwelling units
or 13.5 persons in group quarters per net acre.
(3) Within other zoning districts which are intended for residential development: the
equivalent to an area dedication for six dwelling units or 13.5 persons in group
quarters per net acre must be provided as cash-in-lieu.
b. For subsequent development when net residential density becomes known, the net residential density per acre above the minimum established above must be
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rounded to the nearest whole number and applied as shown in the following table. All prior provision of parkland for the project site must count towards the maximum required dedication.
Table 38.420.020.A Parkland Dedication Provisions
Zoning District Required
Dedication per
Dwelling
Maximum Required
Dedication per Acre
Cash-in-Lieu
Required
R-1, R-2, R-MH .03 acres or
equivalent
10 dwellings Yes
R-3, R-4, R-5, R-O,
and REMU
.03 acres or
equivalent
12 dwellings Yes
All other districts .03 acres or
equivalent
12 dwellings Yes
Required area per
person
Maximum required
dedication per net
acre
Group quarters 575 square feet or
equivalent
27 persons Yes
3. Special case. The city has established chapter 38, division 380, to encourage the
provision and development of affordable housing. Reductions in required parkland dedication are established in section 38.380.300. The reductions in parkland dedication to conform to division 38.380, may not reduce the development's parkland requirements below the minimum established by MCA 76-3-621.
Section 15 That 38.540.050.A.1 of the Bozeman Municipal Code be amended as follows:
A. The following minimum number of off-street, paved parking spaces for motor vehicles and
bicycles must be provided and maintained by ownership, easement and/or lease for and
during the life of the respective uses hereinafter set forth. When calculation of the required parking results in a fraction of a parking space being required, the fractional space is not required to be provided.
1. Residential uses.
a. Minimum requirements. The number of spaces shown in Table 38.540.050-1 must
be provided subject to the adjustments allowed in this subsection 1. Parking stalls required pursuant to the Americans with Disabilities Act or other similar federal or state law may be provided from the minimum number of required parking stalls. All site plans submitted for permit purposes must identify parking space
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allocations. Fees may be charged by the landowner for the use of required parking spaces.
(1) For projects submitted through a site plan or special use permit review process, one One parking space for each 24 uninterrupted linear feet of available street frontage usable for on-street parking directly adjacent to a lot
may be deducted from the total parking spaces required for a development.
The number of on-street spaces calculated may not exceed the number of dwellings on the lot. The width of drive accesses, designated non-parking areas, vision triangles, and similar circumstances may not be considered to be available for the purpose of on-street parking space.
Table 38.540.050-1
Dwelling Types Parking Spaces Required per Dwelling
Lodging house 0.75 spaces per person of approved capacity
Efficiency unit 1.25 (1.0 in R-5)
One-bedroom 1.5 (1.25 in R-5)
Two-bedroom or more 2 (1.75 in R-5)
Three-bedroom 3 (2.5 in R-5)
Dwellings with more than three bedrooms 4 (3 in R-5)
Group homes and community residential
facilities
0.75 spaces per person of approved capacity1
Bed and breakfast 1 space/rental unit
Manufactured home 2
All types of dwellings within the B-3 district 1
Group living /cooperative
household/fraternity/sorority
1 space per resident1
Transitional and emergency housing 0.25 spaces per person of approved capacity1,
2 Additional services and facilities to serve
non-residents must provide parking in
accordance with Table 38.540.050-3.
1 A transitional and emergency housing facility, group home, group living, cooperative
household, or community residential facility may request to provide fewer parking
spaces if the applicant provides evidence that some or all residents are prohibited from operating motor vehicles. Under no condition may less than two parking spaces be provided. If the use of the facility is altered to serve a different population who may operate motor vehicles, then the additional required parking must be provided before the change in use may occur.
2 Additional services and facilities to serve non-residents must provide parking in accordance with this Table 38.540.050-3.
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b. Adjustments to minimum requirements.
(1) Affordable housing. When calculating the amount of required parking for affordable housing, as defined in section 38.700.020 of this chapter, if the project is guaranteed for use as affordable housing for a minimum period of 20 30 years and the use as affordable housing is subject to long term
monitoring to ensure compliance and continued use as affordable housing, required parking spaces must be calculated based on number of bedrooms outlined in Table 38.540.050-1, but may not exceed 1.5two spaces per unit.
(2) Residential uses in mixed-use projects. In order to utilize this section, the long term availability of the non-residential parking spaces upon which the
use of this section was based must be ensured to the residents of the project.
For the purpose of this section a building is considered mixed-use if the non-residential portion of the building is at least one-quarter of the gross square feet not used for parking. Residences in mixed-use buildings may count on-street parking per subsection 1.a.(1) of this section even if the area is subject
to occupancy time limits. The use of this section does not preclude the use of
other sections of this chapter which may have the effect of reducing the required amount of parking. When calculating the amount of required parking for residential uses within a mixed-use project the amount of parking may be reduced subject to Table 38.540.050-2.
Table 38.540.050-2
Reduction
Allowed
Ratio of Required Non-residential to Required Residential
Parking Spaces
50% Greater than 1:1 but less than 3:1
100% Equal to or greater than 3:1
(3) A car-sharing agreement meeting the criteria established by the community
development director may be used to meet the required number of parking spaces. To use this option the development must have more than five dwelling units. Each vehicle provided through a car sharing agreement counts as required parking at a ratio of one dedicated car-share space to five standard spaces, up to a maximum of 50 percent of the total required
residential parking.
(4) Transit availability. A residential development subject to site plan review may take a ten percent reduction in required parking spaces where the development is within 800 feet of a developed and serviced transit stop. For the purpose of this subsection a transit stop is eligible when it has a shelter
installed which meets the standards of and is approved by the transit provider, and service is provided on not less than an hourly schedule a minimum of five days per week.
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Section 16 That 38.700.020, A definitions, of the Bozeman Municipal Code be amended to include
terms as follows with all other elements remaining as presently written:
Affordable Home. A residential dwelling unit for rent or purchase that a subdivider or developer
has committed to making affordable as an affordable home at the AMI levels to qualify for the
incentives in 38.380.
Affordable housing. Housing for persons earning less than 65 percent of the area's annual median
income for rental housing and 100 percent of the area's annual median income for purchased
housing. Further, aAffordable housing does not require greater than 33 percent of the household
gross annual median income for housing. Annual median income is defined by the Department
of Housing and Urban Development.
Section 17 That 38.700.050, D definitions, of the Bozeman Municipal Code be amended to include
terms as follows:
Developer. For purposes of division 38.380, a developer is the person or legal entity, or their successor(s) in interest who: (a) submits an affordable housing plan for a subject property along with other submissions required for land use approvals, annexation, zoning, or permit reviews by the city, or (b) is the owner of property subject to this division during the development phase or a successor in title, such as a builder or subsequent property owner, obligated to implement the
affordable housing plan with respect to one or more lots or parcels of land or (c) receives incentives for the production of low income affordable housing.
Section 18 That 38.700.090, H Definitions, of the Bozeman Municipal Code be amended as follows
with all other elements to remain as presently written:
Household.
A. A person living alone, or any of the following groups living together as a single nonprofit housekeeping unit and sharing common living, sleeping, cooking and eating
facilities:
1. Any number of people related by blood, marriage, adoption, guardianship or other duly-authorized custodial relationship;
2. Not more than four unrelated people; or
3. Two unrelated people and any children related to either of them.
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4. Any group of persons authorized by the federal fair housing act to occupy an individual dwelling as a single housekeeping unit.
5. Persons or groups granted a request for a reasonable accommodation to reside as a single housekeeping unit pursuant to section 38.35.090.
6 5. "Household" does not include:
a. Any society, club, fraternity, sorority, association, lodge, combine, federation, coterie, cooperative housing or like organization;
b. Any group of individuals whose association is temporary or seasonal in nature;
c. Any group of individuals who are in a group living arrangement as a result of
criminal offenses; or
d. Any group of individuals living in a structure permitted as transitional or emergency housing pursuant to this chapter.
Section 19
That 38.700.170, S Definitions, of the Bozeman Municipal Code be amended as follows
with all other elements to remain as presently written:
Street types. For the purposes of these regulations, street types are defined as follows:
1. Alley. A street used primarily for vehicular access to the rear of properties which abut and
are served by public or private streets.
2. Arterial. A street or road having the primary function of moving traffic with emphasis on a
high level of mobility for through movement and the secondary function of providing
limited access to adjacent land. Arterial streets are generally designated in the city
transportation plan, however, streets not depicted in the city transportation plan may be
designated as arterials by the review authority specified in section 38.200.010.
a. Principal arterial. Serves the major centers of activity, the highest traffic volume
corridors, and the longest trip distances in an urbanized area. This group of streets
carries the highest proportion of the total traffic within the urban area with typical
loads of 10,000 to 35,000 vehicles per day. Most of the vehicles entering and leaving
the urban area, as well as most through traffic bypassing the central business district,
utilize principal arterials. Significant intra-area travel, such as between central business
districts and outlying residential areas, and between major suburban centers, are served
by major arterials.
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b. Minor arterial. Interconnects with and augments the urban principal arterial system. It
accommodates trips of moderate length and at a somewhat lower level of travel
mobility than principal arterials, and it distributes travel to smaller geographic areas.
With an emphasis on traffic mobility, this street network includes all arterials not
classified as principal arterials while providing access to adjacent lands. Minor arterials
typically carry 5,000 to 15,000 vehicles per day.
3. Collector. A street or road that provides equal priority to the movement of traffic, and to the
access of residential, business and industrial areas. This type of roadway differs from those
of the arterial system in that the facilities on the collector system may traverse residential
neighborhoods. The system distributes trips from the arterials to ultimate destinations. The
collector streets also collect traffic from local streets in the residential neighborhoods,
channeling it into the arterial system. Collectors typically carry 2,000 to 10,000 vehicles per
day. Collector streets are typically designated in the city transportation plan, however,
additional streets may be designated as collectors by the review authority specified in
section 38.200.010.
4. Cul-de-sac. A street having only one outlet for vehicular traffic and terminating in a
turnaround area.
5. Dead-end street. A street having only one outlet for vehicular traffic.
6. Half-street. A portion of the width of a street, usually along the outside perimeter of a
subdivision, where the remaining portion of the street must be located on adjacent property.
7. Local streets. A street having the primary purpose of permitting access to abutting lands and
connections to higher systems. Generally, service to higher speed traffic movements are
intentionally discouraged. They typically carry 1,000 to 3,000 vehicles per day but can carry
in excess of 6,000.
8. Loop. A local street which begins and ends on the same street, generally used for access to
properties and to control traffic access to arterials or collectors.
9. Yield Street. A local street with reduced right of way and unique design features to address
close proximity of motor vehicle and other forms of travel.
Section 20
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Repealer.
All provisions of the ordinances of the City of Bozeman in conflict with the provisions of
this ordinance are, and the same are hereby, repealed and all other provisions of the ordinances of
the City of Bozeman not in conflict with the provisions of this ordinance shall remain in full force
and effect.
Section 21
Savings Provision.
This ordinance does not affect the rights and duties that matured, penalties that were
incurred or proceedings that were begun before the effective date of this ordinance. All other
provisions of the Bozeman Municipal Code not amended by this Ordinance shall remain in full
force and effect.
Section 22
Severability.
That should any sentence, paragraph, subdivision, clause, phrase or section of this
ordinance be adjudged or held to be unconstitutional, illegal, or invalid, the same shall not affect
the validity of this ordinance as a whole, or any part or provision thereof, other than the part so
decided to be invalid, illegal or unconstitutional, and shall not affect the validity of the Bozeman
Municipal Code as a whole.
Section 23
Codification. This Ordinance shall be codified as appropriate in Sections 2 – 19.
Section 24
Effective Date.
This ordinance shall be in full force and effect thirty (30) days after final adoption.
PROVISIONALLY ADOPTED by the City Commission of the City of Bozeman,
Montana, on first reading at a regular session held on the _____ day of ________________, 2022.
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____________________________________
CYNTHIA L. ANDRUS
Mayor
ATTEST:
____________________________________
MIKE MAAS
City Clerk
FINALLY PASSED, ADOPTED AND APPROVED by the City Commission of the
City of Bozeman, Montana on second reading at a regular session thereof held on the ___ of
____________________, 2022. The effective date of this ordinance is __________, __, 2022.
_________________________________
CYNTHIA L. ANDRUS
Mayor
ATTEST:
_______________________________
MIKE MAAS
City Clerk
APPROVED AS TO FORM:
_________________________________
GREG SULLIVAN
City Attorney
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