R-15-42RESOLUTION NO. R-15-42
WHEREAS, the unmet need for affordable housing throughout our region is well
documented; and
WHEREAS, the proposed redevelopment of existing affordable housing will markedly
reduce the quantity of affordable housing stock in the City of Fairfax; and
WHEREAS, the City Council convened a Housing Affordability Workgroup to develop a
menu of affordable housing strategies that included a template for a voluntary development
condition/proffer and resulted in changes to the City's Comprehensive Plan that prioritized
housing affordability; and
WHEREAS, the City Council held a work session on February 3, 2015 to review the City's
policies on affordable housing and requested that a template for a voluntary development
contribution be submitted for its consideration in conjunction with the voluntary development
condition/proffer; and
WHEREAS, the City Council supports the consideration of affordable housing in the
development approval process and places a priority on the provision of affordable units with
an expectation that no less than 6% of units would be affordable to households earning up to
60% AMI with the standard HUD adjustment factor and based on an affordability standard of
30% monthly income including all utilities and fees as defined by the Federal Housing
Administration for 30 years; and
WHEREAS, the City Council places a priority on the provision of affordable units for city
residents and employees; and
WHEREAS, the City Council acknowledges that allowances for cash in lieu of providing
affordable units through a voluntary development contribution to be adjusted by staff annually
in accordance with the Consumer Price Index for All Urban Customers (CPI -U) may be
appropriate in instances in which units are being developed for individual ownership; and
WHEREAS, the City Council recognizes that the City of Fairfax is essentially developed and
new residential construction will occur through infill redevelopment of any number of units
with unit types ranging from single-family detached to multifamily units.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Fairfax
endorses the attached templates for a voluntary development condition/proffer and a voluntary
development contribution for consideration in the approval process for all types and sizes of
residential development.
Adopted: September 29, 2015
Mayor
ATTEST:
The vote on the motion to approve was recorded as follows:
VOTE:
Councilman DeMarco
Aye
Councilman Greenfield
Aye
Councilmember Loftus
Absent
Councilman Meyer
Aye
Councilmember Miller
Aye
Councilmember Schmidt
Aye
Attachment A
City of Fairfax
Voluntary Development Condition / Proffer Template
In order to address the need for housing affordability for City of Fairfax residents at various
income levels, the Applicant shall lease a certain number of units constructed on the Application
Property as affordable units in accordance with the following conditions:
A. No less than six (6) percent of units shall be affordable to households with an income of
up to sixty (60) percent of the median income (AMI) for the Washington Standard
Metropolitan Statistical Area as specified annually by HUD, with adjustments for
household size as specified by HUD.
Maximum rental rates are to be determined according to the following formula: The base
income figure (60 percent of AMI) shall be adjusted for different dwelling unit sizes
based on the number of bedrooms in the dwelling unit:
Number of Bedrooms Adjustment
Studio/Efficiency 70%
1 -bedroom 80%
2 -bedroom 90%
3 -bedroom 100%
The result of this calculation for each size dwelling unit shall then be divided by twelve
12), then multiplied by thirty percent (30%) and rounded to the nearest whole number to
establish the monthly rent for the unit. The maximum rental rate must include rent plus
all utilities and fees as defined by the Federal Housing Administration.
B. The units shall be integrated into and dispersed throughout the development to the extent
feasible, constructed of comparable materials and fixtures, and upkept with comparable
maintenance levels. The units shall be integrated and dispersed through all phases and/or
buildings in a multi -phase or multi -building development. Tenants of the affordable units
must be afforded all facility and parking privileges offered to market -rate tenants, without
the charging of fees in excess of rent specified in Subsection A.
C. The number of bedrooms per unit made available to tenants under the given income
category (Subsection A) shall be proportional to the ratio of bedrooms per unit in the
market units.
D. The Leasing Manager of the Application Property shall provide quarterly statements to
the City Manager specifying each Affordable Dwelling Unit contained on the property,
its size and number of bedrooms, and each unit's occupancy/vacancy status, and tenant
eligibility information, including the following information:
The tenant's name and household size;
2. The effective date of the lease;
September 29, 2015
Attachment A
3. Verification of the tenant's (household) income as of the date of the lease;
4. The unit's monthly rent.
E. Existing tenants who are income qualified upon initial occupancy shall remain eligible
for affordable housing provided their household income remains at or below 80% of AMI
as adjusted herein for household size. Existing tenants whose income exceeds 80% of
AMI will no longer qualify under the income eligibility criteria identified herein, and the
Leasing Manager, within his sole discretion, shall either allow the tenant to continue
occupancy at market rates and designate another unit of the same type within the
development as affordable, as soon as such a unit is available, or relocate the tenant to a
market rate unit and continue to lease the previously designated affordable unit in
accordance with the income eligibility criteria.
F. The affordability restriction described herein shall remain in place for thirty (30) years
after the issuance of the first occupancy of an affordable unit on the Application Property,
at which time this proffer shall be null and void and of no further force and effect.
In the case of a multi -phase or multi -building development, the affordability restriction
described herein shall remain in place for thirty (30) years after the issuance of the first
occupancy of an affordable unit within any specific phase or building, at which time this
proffer shall be null and void and of no further force and effect.
At the conclusion of the thirty (30) year period described above, the leasing manager
shall provide relocation assistance to tenants of the affordable units who are leasing units
at the time of the expiration of the affordability restrictions. This relocation assistance
must be detailed in a Plan submitted to the City Manager no less than one year prior to
the conclusion of the thirty (30) year affordability period and shall consist of a
contribution of fifty (50) percent of reasonable market costs incurred by each affected
household for the purposes moving physical property from the subject property. Once
approved by the City Manager, the relocation plan shall be presented to each tenant of an
affordable dwelling unit no less than six (6) months prior to the conclusion of the thirty
30) year affordability period.
G. Should the proposed development be converted to condominium ownership, such
conversion may only occur after the Applicant submits, and City Council approves, a
plan to ensure that the affordable units are maintained as affordable rental or for -sale
units for the balance of the thirty (30) year affordability term, or an equivalent cash -in -
lieu contribution.
September 29, 2015
Attachment B
City of Fairfax
Voluntary Development Contribution Template
In order to address the need for housing affordability for City of Fairfax residents, the Applicant
may offer a voluntary development contribution in lieu of providing affordable units within the
project in accordance with the City's voluntary development condition/proffer.
The City of Fairfax places a priority on the provision of affordable units, but acknowledges that a
monetary contribution in lieu of providing affordable units may be appropriate in instances in
which units are being developed for individual ownership.
For applicants that intend to provide a monetary contribution in lieu of providing units, the
following provisions are offered as guidance:
A. Monetary contribution formula
Residential development
By -right
Development approval
Rates per dwelling unit*
3,012
6,036
The by -right rate applies to the number of residential units in the project that may be
permitted on the site as a matter of right by the Zoning Ordinance as calculated by
maximum density (units/acre) or minimum lot area, as applicable (please note - not all
sites allow residential development by -right). The development approval rate applies to
the number of residential units in the project that are not by -right.
B. Rental conversion
A monetary contribution does not supplant the City's priority of providing affordable
units. Therefore, a development condition or proffer, such as that shown below, should
be considered if the parameters of the proposal change to more readily allow for the
provision of units:
Should a development proposed for ownership and approved with a contribution
in lieu of providing affordable units subsequently be converted to rental, such
conversion may only occur after the Applicant submits, and City Council
approves, a plan to ensure that the project includes a provision of affordable units
commensurate with that outlined in the Voluntary Development Condition /
Proffer Template.
The rates are adjusted annually in accordance with the Consumer Price Index for All Urban Customers (CPI -U).
September 29, 2015