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A. Residential Development. For all new multiple-family residential projects of 15 units or more, at <br />least 15 percent of the project’s dwelling units shall be affordable to very low, and/or low income <br />households. For all new single-family residential projects of 15 units or more, at least 20 percent of the <br />project’s dwelling units shall be affordable to very low, low, and/or moderate income households. These <br />dwelling units shall be referred to as “Inclusionary Units”. Special consideration will be given to projects <br />in which a significant percentage of the inclusionary units are for very low and low income households. <br />The specific mix of units within the three affordability categories shall be subject to approval by the city. <br />The inclusionary units shall be reserved for rent or purchase by eligible very low, low, and moderate <br />income households, as applicable. Projects subject to these requirements include, but are not limited to, <br />single-family detached dwellings, townhomes, apartments, condominiums, or cooperatives provided <br />through new construction projects, and/or through conversion of rentals to ownership units. <br />The percentage of inclusionary units required for a particular project shall be determined only once on a <br />given project, at the time of tentative map approval, or, for projects not processing a map, prior to <br />issuance of building permit. If the subdivision design changes, which results in a change in the number <br />of unit types required, the number of inclusionary units required shall be recalculated to coincide with the <br />final approved project. In applying and calculating the 15 percent requirement, any decimal fraction less <br />than or equal to 0.50 may be disregarded, and any decimal fraction greater than 0.50 shall be construed <br />as one unit. <br />B. Commercial, Office, and Industrial (COI) Development. In lieu of paying the lower income fee as <br />set forth in city Ordinance No. 1488, COI development may provide affordable housing consistent with <br />this chapter. As a result, new COI developments are strongly encouraged to submit an affordable <br />housing proposal as set forth in Section 17.44.090 of this chapter. Upon submittal of the affordable <br />housing proposal, city staff will meet with the developer to discuss the potential for providing incentives <br />to encourage on-site construction of affordable housing units and alternatives to constructing affordable <br />units as set forth in this chapter. In the event a developer requests incentives or alternatives as a means <br />of providing affordable housing in connection with a COI development, the affordable housing proposal <br />will be reviewed as set forth in Section 17.44.090 of this chapter. COI development not pursuing the <br />inclusion of affordable housing shall be subject to the lower income fees as set forth in city ordinance <br />1488. (Ord. 1818 § 1, 2000) <br />17.44.050 Inclusionary unit provisions and specifications. <br />A. Inclusionary units shall be dispersed throughout the project unless otherwise approved by the city. <br />B. Inclusionary units shall be constructed with identical exterior materials and an exterior <br />architectural design that is consistent with the market rate units in the project. <br />C. Inclusionary units may be of smaller size than the market units in the project. In addition, <br />inclusionary units may have fewer interior amenities than the market rate units in the project. However, <br />the city may require that the inclusionary units meet certain minimum standards. These standards shall <br />be set forth in the affordable housing agreement for the project. <br />Page 23 of 40