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HomeMy WebLinkAboutORD 1998-001 1996-1998COUNTY OF HAWAII:. STATE OF HAWAII BILL NO. 171 (DRAFT 2) ORDINANCE NO. 98 1 A BILL FOR AN ORDINANCE TO AMEND THE HAWAI'I COUNTY CODE RELATING TO AN AFFORDABLE HOUSING POLICY FOR THE COUNTY OF HAWAII BE IT ORDAINED BY THE COUNCIL OF THE COUNTY OF HAWAI'I: SECTION 1. Purpose. The purpose of this ordinance is to establish by law an affordable housing policy in furtherance of the Hawai'i County General Plan's goals and policies. The General Plan contains goals of attaining a diversity of socio- economic housing mix throughout different parts of the County, improving and monitoring the quality and affordability of the existing housing stock, and seeking sufficient production of new affordable rental and fee simple housing in a variety of sizes. This affordable housing policy is adopted in consideration of certain General Plan policies which provide that: 1. The County shall encourage corporations and non-profit organizations to participate in federal programs to provide new and rehabilitated housing for low and moderate income households; 2. Large industries which create a demand for housing shall provide employee housing based upon a ratio to be determined by an analysis of a locality's needs; 3. Increase rental opportunities and choices in terms of quality, cost, amenity, style and size of housing, especially for low and moderate income households; THIS WILL VERIFY THAT TWO-THIRDS OF THE NMMBERSHIP OF THE HAWAII COUNTY COUNCIL VOTED TO DE THE MAYOR'S VEE ON BILL NO. 171, DRAFT 2_ COUNCIL CHAI Rt7l1N 4. Investigate, develop, and promote the creation of new, innovative, and timely financing techniques and programs to reduce the cost of housing in Hawai'i County; and 5. The County shall work with, encourage and support the private sector efforts in the provision of affordable housing. It is the intent of the County Council that this affordable housing policy be understood and implemented in the future to ensure fairness and flexibility to persons and entities which must satisfy requirements established under this policy. SECTION 2. Hawaii County Code is amended by re- establishing Chapter 11, entitled "HOUSING," and a new article thereto, entitled "Affordable Housing," to read as follows: "CHAPTER 11 HOUSING Article 1. Affordabl-e Housing Section 11-1. Title. This article shall be referred to as the County of Hawai'i Affordable Housing Policy; Section 11-2. Objectives. The objectives of this affordable housing policy are to: 1. Implement goals and policies of the General Plan; 2. Promote and assist private development of housing for senior citizens and qualified households; 0749H.DKL/12-15-97 -2- 3. Use available governmental grants and funds in the development of affordable housing and increase the capabilities of qualified households to obtain affordable housing; 4. Support innovative, lower-cost approaches which may be used in the development of affordable housing; and 5. Require large resort and industrial enterprises to address related affordable housing needs as a condition of rezoning approvals, based upon current economic and housing conditions. Section 11-3. Definitions. The following words and phrases, unless the context otherwise requires, are defined as follows: (1) "Affordable housing" means dwelling units which may be rented or purchased at cost levels which can be afforded by persons or families who are within the definition of "qualified households," as provided herein. (2) "Affordable housing income guidelines" mean those household income levels which extend up to 140% of the median family income in the County of Hawaii, as published annually by the Office of Housing and Community Development and as described further herein. (3) "Qualified households" mean an individual or two or more related by blood, state -sanctioned adoption, foster parentage, guardianship, or marriage, occupying a dwelling unit 0749H.DKL/12-15-97 - 3 and whose total household income is within the affordable housing income guidelines or who would otherwise qualify in a state or federal affordable housing program. (4) "Unit" or "Affordable unit" or "Affordable housing unit" means a lot or dwelling unit which is affordable to qualified households earning no more than 140k of the median income for a family of four in the County of Hawaii. Section 11-4. Re uirements For Rezonincrs Involvin Residential Uses. (a) Requests for rezoning which propose the establishment of residential uses, including single family and multiple family dwellings will be assessed as follows: (1) 9 units or less (2) 10 or more units - no requirement Ten percent of total units to be developed (rounded to the nearest whole number) (b) Satisfaction of these requirements will be accomplished through the provision of affordable housing units within the land which has been the subject of the rezoning. (c) In lieu of the provision of affordable housing units on-site and subject to the approval of the County Housing Agency, the affordable housing requirement may be satisfied through the use of the following alternatives, the value of which shall be based upon a calculation of in -lieu fees for the specific residential development involving the rezoned lands and which shall meet with the approval of the County Housing Agency: 0749H.DKL/12-15-97 -4- (1) Payment of in -lieu fees. These fees are calculated by determining the amount of subsidy required to provide housing units affordable to the targeted income groups. The in -lieu fee amount, averaged for the various target groups to be served, amounts to $4,720 per affordable unit required in 1997 dollars. The in -lieu fee amount may be updated by the County Housing Agency on an annual basis. The in -lieu fee amount shall be calculated based on the lowest, generally available interest rate for a thirty-year fixed mortgage on September 1 of each year. (2) Provision of affordable housing units on property other than the land which has been the subject of the rezoning. (3) Provision of developable land. The amount of land required will be determined by an assessment of value (by appraisal) of that contribution measured against the projected in -lieu fee value that would otherwise have been required. (4) Provision of infrastructure/services. Contributions of infrastructure and services may be accepted to satisfy affordable housing requirements. The infrastructure or services provided must be directly related to the provisions for affordable housing units. The value of the contribution will be measured against the in -lieu fee amount that would otherwise have been required as the basis for allocating credit. (5) Any other means which are approved by the County Housing Agency. 0749H.DKL/12-15-97 - 5 - (d) An implementation plan to satisfy affordable housing requirements shall be approved prior to the issuance of any building permit for the market project upon which the requirements were imposed. The County Housing Agency shall determine the implementation period based upon the specific circumstances of each case. Section 11-5. Recruirements for Rezonincrs Involving Resort and Industrial Uses. (a) Requests for rezonings involving resort uses generating more than 100 employees will be assessed based on an analysis of full-time or full-time equivalent jobs generated, the resultant number of households to be supported by those jobs, and the projected number of those qualified households which are described below. The employee -related affordable housing condition shall be satisfied as follows: (1) The provision of 25 affordable housing units for every 100 resort employees generated as a result of the rezoning activity. The affordable housing units shall be.affordable to those qualified households earning between 50% and 140% of the median income of a family of four; (2) In the alternative, the rezoning approval -holder or its designee may submit a housing needs assessment to the County Housing Agency as a basis for a determination of the applicable employee housing requirement for a specific development and a plan for implementation, meeting with the approval of the County Housing Agency. Q749H.DKL/12-15-97 -6- (3) The number of affordable housing units shall not exceed the maximum of one employee unit for every two hotel units built as provided in the County of Hawaii General Plan. (b) Requests for rezoning which proposes the establishment of industrial uses generating more than 100 employees will be assessed based on an analysis of jobs generated, the resultant number of households to be supported by those jobs, the projected number of qualified households which may be entitled to housing assistance, and other factors as may be identified. The rezoning approval -holder or its designee shall submit a housing needs assessment to the County Housing Agency as a basis for a determination of the applicable employee -related affordable housing requirement and plan for implementation meeting with the approval of the County Housing Agency. (c) Satisfaction of these requirements will be accomplished through the use of the following alternatives: (1) Provision of affordable housing units within or without the land which has been the subject of the rezoning. (2) In lieu of the provision of affordable housing units, the affordable housing requirement may be satisfied in the following ways, the value of which shall be based upon a calculation of in -lieu fees for a particular rezoning: (A) Payment of in -lieu fees. These fees are calculated by determining the amount of subsidy required to provide housing units affordable to our target groups. The in - lieu fee amount, averaged for the various target groups to be 0749H.DKL/12-15-97 - served, amounts to $4,720 per affordable unit required in 1997 dollars. The in -lieu fee amount may be updated by the County Housing Agency on an annual basis. The in -lieu fee amount shall be calculated based on the lowest, generally available interest rate for a thirty-year fixed mortgage on September l of each year. (B) Provision of developable land. The amount of land required will be determined by an assessment of value (by appraisal) of that contribution measured against the projected in -lieu fee value that would otherwise have been required. (C) Provision of infrastructure/services. Contributions of infrastructure and services may be accepted to satisfy affordable housing requirements. The infrastructure or services provided must be directly related to the provisions for affordable housing units. The value of the contribution will be measured against the in -lieu fee amount that would otherwise have been required as the basis for allocating credit. (D) Any other means which are approved by the County Housing Agency. (d) An implementation plan to satisfy affordable housing requirements shall be approved prior to or in conjunction with the development of new resort or industrial facilities which will generate employment. The County Housing Agency shall determine the implementation period based upon the specific circumstances of each case and prevalent economic and regional housing conditions. 0749H.DKL/12-15-97 -8- Section 11-6. Additional affordable housing requirements for rezoning of off-site property for the development of affordable units in satisfaction of existing affordable housing requirements shall be waived, provided that the parcel is utilized exclusively for the provision of affordable units. Additional market rate units produced on such parcel will be assessed based on the provisions outlined in Section 11-4(a) above. Section 11-7. Sec. 201E Projects. The County's exemption authority, as contained in HRS 201E, may be utilized to expedite change of zone requests, subdivision applications, and plan review as well as the consideration of reduced development standards. Section 11-8. Effect on Existing Requirements. This policy supersedes all previous affordable housing requirements. Any affordable housing condition or portion thereof in a prior rezoning ordinance which has not been fully satisfied as of the effective date of this policy may be re -assessed, to the extent it has not been fully satisfied, pursuant to this policy upon the initiation of the person or entity which is legally required to satisfy such condition. However, in no event shall the County of Hawai'i 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." 0749H.I)KL/12-15-97 -9- SECTION 3. If any provision of this ordinance or the application thereof to any person or circumstances is held invalid, such invalidity shall not affect other provisions or applications of this ordinance which can be given effect without the invalid provision or application, and to this end, the provisions of this ordinance are declared to be severable. SECTION 4. The Clerk of the County of Hawaii is directed to insert the effective date of this ordinance in any section of the County Code which requires reference to this date. SECTION 5. This ordinance shall take effect upon its approval. INTRODUCED BY: Hilo, Hawaii Date of Introduction: December 3, 1997 Date of 1st Reading: December 3, 1997 Date of 2nd Reading: December 17, 1997 Effective Date: January 7, 1998 0749H.DKL/12-15-97 -10- INTRODUCED 10 - OFFICE OF THE COUNTY CLERK County of Hawaii Hilo , Hawaii Introduced By: Date Introduced: First Reading: Published: Reconsideration: bl fi Janua 7, 1998 To Mayor: N/A Returned: N/A Effective: January 7, 1998 Published: January 15, 1998 REMARKS: 01/07/98 - Council override of Mayor veto. ROLL CALL VOTE AYES NOES AB EX Arakaki Chun Leithead-Todd Ray Reynolds Santangelo Smith Tyler Ya g ROLL CALL VOTE AYES NOES ABS EX Arakaki x Chung X Leithead-Todd ROLL CALL VOTE AYES NOES AB EX Arakaki Chun Leithead-Todd Ray Reynolds Santangelo Smith Tyler Ya g I DO HEREBY CERTIFY that the foregoing BILL was adopted by the County Council and published as indicated above. Approved/Disapproved this day of . 19 MAYOR, COUNTY OF HAWAII Bill No.: 171 ( Draft Reference: C-597 Ord. No.: 98 1 ROLL CALL VOTE AYES NOES ABS EX Arakaki x Chung X Leithead-Todd x Ray X Reynolds X Santangelo x Smith X Tyler X Yagong X 7 z o 0 I DO HEREBY CERTIFY that the foregoing BILL was adopted by the County Council and published as indicated above. Approved/Disapproved this day of . 19 MAYOR, COUNTY OF HAWAII Bill No.: 171 ( Draft Reference: C-597 Ord. No.: 98 1 OFFICE OF THE COUNTY CLERK County of Hawaii Introduced By: _,74bantanaelo Date Introduced: December 3, 1997 First Reading: December 3, 1997 Published: December 12, 1997 REMARKS: Second Reading: To Mayor: Returned: Effective: Published: December 17, 1997 December 18, 197 December 24, 1997 REMARKS: 12/24/97 - Mayor veto Milo , Hawaii (DRAFT 2 ) ROLL CALL VOTE AYES NOES ABS EX Arakakl X Chung X Leithead-Todd X Ray X Reynolds X Santangelo X Smith X Tyler X Yagong X 9 0 0 0 (DRAFT 2 ) I DO HEREBY CERTIFY that the foregoing BILL was adopted by the County Council and published as indicated above. APPROVED AS TO FORM AND LEGALITY: DEPUTY CORPORATION COUNSEL COUNTY Of HAWAII Date_ Ai/Disapproved this 1 day !MAYOR, COUNT F HAWAII UNCIL CHAIRMAN COUNTY CLERK Bill No.: 171 Reference: p C-597 Ord. No.: )8 ROLL CALL VOTE AYES NOES ABS EX Arakaki X Chung X Leithead-Todd x Ray X Reynolds Santangelo X Smith X Tyler_.,_ X Yagong x 7 1 1 0 I DO HEREBY CERTIFY that the foregoing BILL was adopted by the County Council and published as indicated above. APPROVED AS TO FORM AND LEGALITY: DEPUTY CORPORATION COUNSEL COUNTY Of HAWAII Date_ Ai/Disapproved this 1 day !MAYOR, COUNT F HAWAII UNCIL CHAIRMAN COUNTY CLERK Bill No.: 171 Reference: p C-597 Ord. No.: )8