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6d. Consideration of an Ordinance amending Chapters 17.04 and 17.44 of the Municipal Code related to Residential Condominium Conversions (SR 06:263) Assistant City Manager Bocian provided an overview of the proposed amendments and indicated they are recommending introduction of the ordinance. Councilmember Thorne advised the staff report indicates the Council wanted staff to encourage participation by apartment owners in the process of discussing this ordinance. He indicated he did not see much input from apartment owners in the staff report and inquired if they were noticed and invited to participate. Mr. Bocian responded that staff did their best to notify every apartment and condominium complex of the Planning Commission and Housing Commission meetings. There has been very little public input throughout the process. The Housing Commission held a workshop; however there was very little public input. Councilmember Thorne asked if there is a downside to delaying action on this issue to allow more public outreach. Staff responded there is not. Councilmember Cook-Kallio questioned the percentage of affordable housing. Councilmember McGovern commented on affordability within the inclusionary ordinance. She indicated she is interested in having someone talk about the inclusionary housing ordinance as it seems unfair that a new condominium complex can come in at 15% affordability and a condo conversion is at 25%. Discussion ensued as to what counts toward affordable units as it relates to conversions, as well as income levels as it relates to affordable units. Mayor Hosterman opened the public hearing. Wraijean Crane said as real estate agent, resident and parent her concern is to maintain affordable starter homes and indicated she feels condominiums meet that need. She feels the way the ordinance is structured now it will be too restrictive to allow that to happen. She urged the Council to refer this ordinance back to staff for further review with members of the community for further input. Jahan Honardoost urged the Council to postpone action on this ordinance and to do further community outreach for input. Megan Kernami said she is a lender in the community and expressed concern about the affordability issue in Pleasanton. With regard to condominiums, if the City is trying to allocate 25% of those units to be sold 35% below the asking price, you are inviting the developer to carry-over cost to the asking price of the other units. She urged the Council to seek further input from the public before acting on this ordinance. Gary Schwaegerle addressed the City Council and requested this item be delayed so the real estate community, the Chamber of Commerce and the Economic Development and Government Affairs Committees, may review it. City Council Minutes 10 December 5, 2006