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Home My WebLink AboutCOM 0358.001 2006-2008 +tv os h, w Harry Kim Christopher J• Yuen Director Mayor . '+;;~.~:~~r.• Brad Kurokawa, ASLA LEED®AP Deputy Director (~u~tn#g of ~ttfirt>ii PLANNING DEPARTMENT 101 Pauahi Street, Suite 3 Hilo, Hawaii 96720-3043 (808) 961-8288 FAX (808) 961-8742 Apri130, 2007 r'. , .-.1 z Honorable Pete Hoffmann Chair and Presiding Officer and Members of the County Council COUNTY COUNCIL ~ 333 Kilauea Avenue, Second Floor Hilo, HI 96720 r -r Dear Chair Hoffinann and Members of the County Council SUBJECT: PROPOSED AMENDMENT TO CHAPTER 11 AFFORDABLE HOUSING REQUIREMENTS This is afollow-up to the letter dated Apri120, 2007, signed by OHCD and Planning, transmitting a proposed amendment to the county affordable housing policy, Chap. 11, which broadened its scope to residential projects that did not have a specific condition requiring affordable housing. After further consideration, it appears that we need a provision to deal with the possible loophole that developers will try to evade the affordable housing requirements by applying for subdivisions of four or fewer lots at a time. The enclosed bill provides that all lots or residential units created on a lot existing on the effective date of the ordinance must be counted toward the affordable housing requirement. So if an owner creates afour-lot subdivision on a portion of the property, and then another four lot subdivision on the second part later, the First four lot subdivision will not have an affordable housing requirement, but those lots will be counted toward the affordable housing requirement on further subdivisions, such as the second one. Hamm. Ho. ~Sg. ft~I. To: Pr i~~I. Uara h9AY 1516(17 Hawaii County is an Equal Opportunity Provider and Employer. Honorable Pete Hoffmann Chair and Presiding Officer and Members of the County Council COUNTY COUNCIL Page 2 Apri130, 2007 We request that this be substituted for the bill attached to our Apri120, 20071etter. Sincerel CHRISTOPHER J. ~'i~E~~ Planning Director ED TAIRA Housing Administrator CJY:pak Wpwin60/Chris O7/Hoffmann -REVISION -Proposed Amendment to Chapter I1 - HI COUNTY AFFORDABLE HOUSMG Attachment cc: Mayor Harry Kim Corporation Counsel COUNTY OF HAWAII STATE OF HAWAII ORDINANCE NO. AN ORDINANCE AMENDING CHAPTER 11, ARTICLE 1 OF THE HAWAII COUNTY CODE 1983 (2005 EDITION, AS AMENDED), RELATING TO AFFORDABLE HOUSING BE IT ORDAINED BY THE COUNCIL OF THE COUNTY OF HAWAII: SECTION 1. Purpose. The purpose of this bill is to extend the requirements for affordable housing to properties which are being subdivided or developed under plan approval, in cases where the property was zoned without specific affordable housing requirements. The council finds that the lack of affordable housing for persons of low and moderate income is causing severe financial hardship to residents of the island, causes a shortage of workers for many businesses, causes long-distance commuting from areas with more affordable housing to employment centers, thereby increasing traffic congestion, and increasing the risk of death and injury from traffic accidents, and other problems, all adversely affecting the health, safety, and welfare of the residents of the county. Although a large number of new homes have been built on the island in the last few years, there is a shortage of homes for people of low and moderate income, because of strong demand for homes from more affluent second-home buyers and retirees. Much development has occurred on sites that were zoned prior to affordable housing requirements, and hence, under the current housing ordinance, does not have to include affordable housing. The council finds that in order to achieve the goals for affordable housing in the General Plan it is necessazy to require affordable housing under Chap. 11 for new subdivisions, condominiums, and for new multi-family buildings, and multiple single-family residences built on a lot, which are required to obtain plan approval. The council also finds that it is typical on the U.S. Mainland that inclusionary zoning laws, such as Chap. 11, apply to new subdivisions and multi-family developments even when not specifically required by the zoning ordinance which applies to the property. To avoid a double assessment of affordable housing requirements, it is necessary, however, to exempt subdivisions, condominiums, and plan approvals that are contained within projects that previously had affordable housing conditions that were fully satisfied at an earlier time. SECTION 2. Section 11-4, Hawaii County Code, subsection (a) is hereby amended to read as follows: "Section 11-4. Affordable housing requirements. (a) The affordable housing requirements shall apply to: (1) All new rezonings that may create additional residential uses, including rezonings[,) to RS, RD, RM, RCX, RA and FA districts, and APD rezonings where lot sizes are less than five acres, and to CG, CV, CN and PD districts when residential uses are established in those districts; (2) All new rezonings to resort, including hotels established in V, CV, CG, CDH or PD districts; (3) All new rezonings to ML, MG, and MCX districts; (4) All prior rezoning actions which contain affordable housing conditions that have not been satisfied as of the effective date of this ordinance, or to which the County has not agreed previously as to the specific means of satisfying the requirements[.]; (5) All final subdivision approvals creating additional lots where residential uses are allowed including farm dwellings where the additional lots are less than five_acres in sip (6) All final map approvals for a condominium property re¢ime where residential uses are allowed including farm dwellings and the units are less than five acres in size; and (7) All plan approvals for buildings which allow residential uses. " SECTION 3. Section 11-4, Hawaii County Code, is hereby amended by adding a new subsection (e) to read as follows: "(e) To prevent a developer from avoiding the affordable housing requirements by developing in increments of less than five units all residential units or lots created on a lot existi~ on the effective date of this ordinance shall be included in determining the affordable housing requirements." SECTION 4. Section 11-9, subsection (a), Hawaii County Code, is hereby amended to read as follows: "Section 11-9 Sale of lots and units. (a) Before obtaining final subdivision approval final madapproval for a condominium propert~re~ime, or plan approval for any for-sale residential project subject to the affordable housing requirements, the applicant shall enter into an agreement with the County that the required number of number of homes or lots will be sold at the required affordable sales price, or that the required number of rental units will be offered for rent at the affordable rental price, or that the in-lieu fee will be paid upon the sale of each for-sale dwelling unit or lot, or that the applicant will obtain excess credits sufficient to satisfy its requirements." SECTION 5. Section 11-17, Hawaii County Code, is hereby amended by adding a new subsection to read as follows: "Section 11-17. Effect on existing requirements. ~ This policy supersedes all previous affordable housing requirements and Hawaii County Housing Agency Resolution 65 dated May 2, 1990 and Ordinance 98-1. Any affordable housing condition or portion thereof in any prior rezoning ordinance which has not been fully satisfied as of the effective date of this policy shall be reassessed pursuant to this policy unless the County has previously agreed as to the specific means of satisfying the requirements, in which case, this amended policy shall apply only to the extent it is not inconsistent with the agreement. In no event shall the County of Hawaii reimburse or be obligated to reimburse any person or entity for the partial or full satisfaction of an affordable housing condition in any ordinance which became effective prior to the effective date of this policy. (b) The requirements in sec 11-4(a)(5)-(71 shall not apply to anv subdivision or ~reliminazy map for a condominium property regime which had received tentative ~proval as of the effective date of this ordinance or to anv plan approval for which the application had been received and acknowledged as complete prior to the effective date of this ordinance or to anv subdivision condominium property regime or plan approval within an azea which had affordable housing requirements that had been previously been fully satisfied. SECTION 6. Material to be repealed is bracketed and stricken. New material is underscored. In printing this ordinance, the brackets, bracketed material, and underscoring need not be included. SECTION 7. Severability. If any provision of this ordinance or the application thereof to any person or circumstance, is held invalid, such invalidity does not affect other provisions or applications of the ordinance which can be given effect without the invalid provision or application, and to this end, the provisions of this ordinance axe declared to be severable. SECTION 8. This ordinance shall take effect upon its approval. INTRODUCED BY: COUNCIL MEMBER, COUNTY OF HAWAII Hawaii Date of Introduction: Date of 1st Reading: Date of 2nd Reading: Effective Date: