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HomeMy WebLinkAboutFinally Adopt Ordinance 1866, suspending applicability of Workforce Housing Commission Memorandum REPORT TO: Honorable Mayor and City Commission FROM: Wendy Thomas, Director of Community Development SUBJECT: Final adoption of Ordinance 1866 Workforce Housing, to consider extending the deferral period adopted in Ordinance 1814 for Article 10.08, BMC. MEETING DATE: June 3, 2013 AGENDA ITEM TYPE: Consent RECOMMENDATION: Approve final adoption of Ordinance 1866 extending the hiatus of the effective date for Chapter 10, Article 8, Workforce Housing, BMC. RECOMMENDED MOTION: “Approve final adoption of Ordinance 1866 amending Chapter 10, Article 8, Workforce Housing of the Bozeman Municipal Code.” BACKGROUND: The City Commission gave preliminary approval to Ordinance 1866 on June 3, 2013. They directed two changes to the draft ordinance. First was to change to deferral date to December 31, 2014. Second was to delete Section 10.08.120 which established a fixed program review cycle. The two changes are included in the final adoption draft of Ordinance 1866. No public comment on the ordinance has been received since the preliminary approval on June 3rd. ALTERNATIVES: 1. Give final approval to Ordinance 1866, extending the implementation date of the Workforce Housing Program; 2. Keep Ordinance 1814 in place, and immediately implement the requirements of the Workforce Housing Program; or 3. Repeal Article 10.08, BMC, to end the Workforce Housing Program as adopted. FISCAL EFFECTS: Fiscal impacts vary based on Commission action. Reimplementation of the program would require additional resource allocation for administration and tracking of the program in an amount estimated at approximately $45,000. Attachments: Draft Ordinance 1866 Report prepared June 7, 2013 65 Page 1 of 5 ORDINANCE NO. 1866 AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF BOZEMAN, MONTANA, TO AMEND ARTICLE 10.08 OF THE BOZEMAN MUNICIPAL CODE, WORKFORCE HOUSING. NOW, THEREFORE, BE IT ORDAINED by the City Commission of the City of Bozeman, Montana: Section 1 Legislative Findings: WHEREAS, on July 16, 2007, Ordinance 1710 was finally adopted to establish standards and procedures for provision of workforce housing to income qualified households through the subdivision and zoning review processes of the City; and WHEREAS, since the adoption of Ordinance 1710, the residential real estate market in the City has undergone a significant correction, resulting in reductions in market prices for lots and housing units; and WHEREAS, the two year workforce housing program review required by Sec. 10.08.120 was postponed because no subdivision or site plan applications that were subject to the 66 Page 2 of 5 program standards and procedures were submitted within the period from August, 2007 to August, 2009; and WHEREAS, two subdivision applications that were subject to the workforce housing program standards and procedures, provided the opportunity to review the program as intended by Sec. 10.08.120; and WHEREAS, the deferral of applicability of Article 10.08 allowed City Staff and the Community Affordable Housing Advisory Board (CAHAB) to conduct a Housing Needs Assessment to analyze the local residential real estate market and recommend appropriate policies which final draft was received on March 6, 2012; and WHEREAS, the Housing Needs Assessment recommends on page 42 that the workforce housing regulations not be reinstated; WHEREAS, the subsequent Affordable Housing Action Plan dated May 14, 2012 recommends on page 11 the continued suspension of the workforce housing regulations; and WHEREAS, after proper notice, the City Commission held a public hearing on June 3, 2013, to receive and review all written and oral testimony on possible amendments to or repeal of Article 10.08. Section 2 That Section 10.08.030, Bozeman Municipal Code shall be amended to read as follows: 10.08.030. Applicability: A. 1. A developer of a subdivision that includes residential lots for which preliminary plat is submitted on or after September 1, 2012 September 1, 2015 December 31, 2014, and which will result in development of ten or more residential lots shall provide a lot or lots for the construction of 0.4 dwelling units per net acre of 67 Page 3 of 5 development for the workforce housing program. Multiple developments or projects by the same applicant or responsible party within any consecutive 12 month period on parcels held in contiguous ownership at the time of the initial development that in the aggregate equal or exceed ten residential lots shall be subject to this section. 2. Any site plan including residential condominiums on lots created or annexed on or after September 1, 2012 September, 1, 2015 December 31, 2014, with a gross project area of more than 5 acres shall provide or shall cause to be provided 0.4 dwelling units per net acre of development for the workforce housing program. Multiple site plans by the same applicant or responsible party within any consecutive 12 month period that in the aggregate exceed a gross project area of 5 acres shall be subject to this section. B. Project Size: 1. Subdivisions with fewer than ten lots or condominium site plans with a gross project area of 5 acres or less: No workforce housing requirements. 2. Subdivisions with ten or more lots or condominium site plans on lots created or annexed on or after September 1, 2012 September 1, 2015 December 31, 2014, with a gross project area of more than 5 acres: 0.4 dwelling units per net acre of development in the subdivision must be dedicated to workforce housing requirements excluding any additional dwelling units approved through a density bonus subject to the provisions of Section 17.02 040. Section 3 That Section 10.08.120, Bozeman Municipal Code shall be deleted: 10.08.120. Program Review The Workforce Housing Program established herein shall be reviewed two years after becoming applicable and annually thereafter to determine its effectiveness and to determine if the mechanics of the program are found to impose an unreasonable burden on either the parties producing the housing or the on the parties purchasing it. The initial Workforce Housing Program review shall be completed by October 15, 2014 October 15, 2017, for the applicability period from September 1, 2012 September, 1, 2015, to August 31, 2014 August 31, 2017. Section 4 68 Page 4 of 5 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 5 Savings Provision The City Commission having found that it is in the public interest to suspend the application of the workforce housing policy to a date certain; this ordinance is intended to release any development from its responsibilities previously incurred under Article 10.08, BMC. Otherwise 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 6 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 7 Codification The provisions of Sections 2 and 3 shall be codified as appropriate in Chapter 10, Buildings and General Regulations, of the Bozeman Municipal Code. All references within the Bozeman Municipal Code shall be revised to reflect the changes in this ordinance. Section 8 Effective Date This ordinance shall be in full force and effect thirty (30) days after final adoption. PROVISIONALLY PASSED by the City Commission of the City of Bozeman, Montana, on first reading at a regular session held on the 3rd day of June, 2013. 69 Page 5 of 5 ____________________________________ SEAN A. BECKER Mayor ATTEST: _________________________________ STACY ULMEN, CMC City Clerk APPROVED AS TO FORM: ____________________________________ GREG SULLIVAN City Attorney 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 ____ day of ________________, 2013. The effective date of this ordinance is __________, __, 2013. ____________________________________ SEAN A. BECKER Mayor ATTEST: _______________________________ STACY ULMEN, CMC City Clerk APPROVED AS TO FORM: ____________________________________ GREG SULLIVAN City Attorney 70