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HomeMy WebLinkAboutordinance.council.012-2019 ORDINANCE NO. 12 SERIES OF 2019 AN ORDINANCE OF THE ASPEN CITY COUNCIL AMENDING THE CITY OF ASPEN LAND USE CODE RELATED TO APCHA BOARD REFERRALS AND LAND USE APPLICATIONS WHEREAS, in accordance with Sections 26.208 and 26.310 of the City of Aspen Land Use Code, the City Council of the City of Aspen directed the Community Development Department to draft a code amendment to eliminate language regarding Aspen/Pitkin County Housing Authority(APCHA) review and recommendation requirements for land use applications, in order to respond to recent amendments to the City of Aspen and Pitkin County Intergovernmental Agreement (IGA) that changes the makeup of the APCHA Board; and, WHEREAS,pursuant to Chapter 26.310, applications to amend the text of Title 26 of the Municipal Code shall begin with Public Outreach, a Policy Resolution reviewed and acted on by City Council, and then final action by City Council after reviewing and considering the recommendation from the Community Development; and, WHEREAS, pursuant to Section 26.310.020(B)(1), the Community Development Department conducted Public Outreach through the Community Development Newsletter regarding the code amendment and City Council conducted work sessions; and, WHEREAS, pursuant to Section 26.310.020(B)(2), during a duly noticed public hearing on May 13th, 2019, the City Council approved Policy Resolution No. 52, Series of 2019, by a five to zero (5 - 0) vote requesting a Land Use Code amendment to eliminate APCHA Board review and recommendation requirements and delete other references relating to APCHA review, and replacing with references requiring compliance with the APCHA Guidelines; and, WHEREAS,the Aspen City Council has reviewed the proposed Land Use Code amendment at I"Reading on May 13th,2019 and at 2nd Reading(public hearing)on May 20th,2019 and finds that the amendments meet or exceed all applicable standards pursuant to Chapter 26.310; and, WHEREAS, the proposed Land Use Code amendments to eliminate APHCA Board referrals in the land use process will further the integrity of the process and foster better governance. WHEREAS, the proposed amendments are consistent and compatible with the goals and objectives of the City of Aspen and the Aspen Area Community Plan (AACP); and, WHEREAS,the Aspen City Council finds that this Ordinance furthers and is necessary for the promotion of public health, safety, and welfare; and NOW, THEREFORE BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ASPEN,COLORADO THAT: Ordinance 12,Series 2019 Page 1 of 9 Section 1: Code Amendment Objective The objective of the proposed Land Use Code amendment is to eliminate potential conflicts of interests between the City Council and APCHA in the review of land use applications. Section 2• City of Aspen Land Use Code Section 26.470.080.D.7.a is hereby deleted and replaced in its entirety with the following: a. The proposed units comply with the Guidelines of the Aspen/Pitkin County Housing Authority, as amended. Section 3• City of Aspen Land Use Code Section 26.470.080.D.7.b is hereby deleted and replaced in its entirety with the following: b. Required affordable housing may be provided through a mix of methods outlined in this chapter, including newly built units, buy down units, certificates of affordable housing credit, or cash-in-lieu. Section 4• City of Aspen Land Use Code Section 26.470.090.A.3.b is hereby deleted and replaced in its entirety with the following: b. Providing a deed restricted one-bedroom or larger affordable housing unit within the Aspen Infill Area pursuant to the Aspen/Pitkin County Housing Authority Guidelines (which may require certain improvements) in a size equal to or larger than 30% of the Floor Area increase to the Free-Market unit. The mitigation unit must be deed-restricted as a "for sale" Category 2 (or lower) housing unit and transferred to a qualified purchaser according to the provisions of the Aspen/Pitkin County Housing Authority Guidelines. Section 5: City of Aspen Land Use Code Section 26.470.090.A.3.d is hereby deleted and replaced in its entirety with the following: d. For property owners qualified as a full-time local working resident, an affordable housing mitigation deferral agreement may be accepted by the City of Aspen subject to the Aspen/Pitkin County Housing Authority Guidelines. This allows deferral of the mitigation requirement until such time as the property is no longer owned by a full-time local working resident. Staff of the City of Aspen Community Development Department and Staff of the Aspen/Pitkin County Housing Authority can assist with the procedures and limitations of this option. Ordinance 12, Series 2019 Page 2 of 9 Section 6: City of Aspen Land Use Code Section 26.470.090.B.2.b is hereby deleted and replaced in its entirety with the following: b. Providing a deed restricted one-bedroom or larger affordable housing unit within the Aspen Infill Area pursuant to the Aspen/Pitkin County Housing Authority Guidelines (which may require certain improvements) in a size equal to or larger than 30% of the Floor Area increase to the Free-Market unit(s). The mitigation unit(s) must be deed-restricted as a "for sale" Category 2 (or lower) housing unit and transferred to a qualified purchaser according to the provisions of the Aspen/Pitkin County Housing Authority Guidelines. Section 7: City of Aspen Land Use Code Section 26.470.090.B.2.d is hereby deleted and replaced in its entirety with the following: d. For property owners qualified as a full-time local working resident, an affordable housing mitigation deferral agreement may be accepted by the City of Aspen subject to the Aspen/Pitkin County Housing Authority Guidelines. This allows deferral of the mitigation requirement until such time as the property is no longer owned by a full-time local working resident. Staff of the City of Aspen Community Development Department and Staff of the Aspen/Pitkin County Housing Authority can assist with the procedures and limitations of this option. Section 8• City of Aspen Land Use Code Section 26.470.l OO.C.1 is hereby deleted and replaced in its entirety with the following: I) The proposed units shall be deed-restricted as "for sale" units and transferred to qualified purchasers according to the Aspen/Pitkin County Housing Authority Guidelines. The owner may be entitled to select the first purchasers, subject to the aforementioned qualifications, pursuant to the Aspen/Pitkin County Housing Authority Guidelines. The deed restriction shall authorize the Aspen/Pitkin County Housing Authority or the City to own the unit and rent it to qualified renters as defined in the Affordable Housing Guidelines established by the Aspen/Pitkin County Housing Authority, as amended. The proposed units may be rental units, including but not limited to rental units owned by an employer or nonprofit organization, if a legal instrument in a form acceptable to the City Attorney ensures Ordinance 12, Series 2019 Page 3 of 9 permanent affordability of the units. The City encourages affordable housing units required for lodge development to be rental units associated with the lodge operation and contributing to the long-term viability of the lodge. Units owned by the Aspen/Pitkin County Housing Authority, the City of Aspen, Pitkin County or other similar governmental or quasi-municipal agency shall not be subject to this mandatory "for sale" provision. Section 9• City of Aspen Land Use Code Section 26.470.100.D.2 is hereby deleted and replaced in its entirety with the following: 2. Requirements for demolishing affordable multi-family housing units: In the event a project proposes to demolish or replace existing deed-restricted affordable housing units, the redevelopment may increase or decrease the number of units, bedrooms or net livable area such that there is no decrease in the total number of employees housed by the existing units. The overall number of replacement units, unit sizes, bedrooms and category of the units shall comply with the Aspen/Pitkin County Housing Authority Guidelines. Section 10• City of Aspen Land Use Code Section 26.470.100.D.4 is hereby deleted and replaced in its entirety with the following: 4. Location requirement. Multi-family replacement units, both free- market and affordable, shall be developed on the same site on which demolition has occurred, unless the owner shall demonstrate and the Planning and Zoning Commission determines that replacement of the units on site would be in conflict with the parcel's zoning or would be an inappropriate solution due to the site's physical constraints. When either of the above circumstances result, the owner shall replace the maximum number of units on site which the Planning and Zoning Commission determines that the site can accommodate and may replace the remaining units off site, at a location determined acceptable to the Planning and Zoning Commission, or may replace the units by extinguishing the requisite number of affordable housing credits, pursuant to Sec. 26.540, Certificates of Affordable Housing Credit. Ordinance 12, Series 2019 Page 4 of 9 When calculating the number of credits that must be extinguished, the most restrictive replacement measure shall apply. For example, for an applicant proposing to replace one 1,000 square foot three- bedroom unit at the 50% rate using credits, the following calculations shall be used: • 50% of 1,000 square feet = 500 square feet to be replaced. At the Code mandated rate of I FTE per 400 square feet of net livable area, this requires 1.25 credits to be extinguished; or • A three-bedroom unit=3.0 FTE's. 50%of 3.0 FTE's= 1.50 credits to be extinguished. Therefore, the applicant must extinguish 1.50 credits to replace a three-bedroom unit at the 50% rate. The credits to be extinguished would be Category 4 credits. Section 11 City of Aspen Land Use Code Section 26.470.110.A.Lc is hereby deleted and replaced in its entirety with the following: c. The proposal furthers affordable housing goals by providing units established as priority through the current Aspen/Pitkin County Housing Authority Guidelines and provides a desirable mix of affordable unit types, economic levels and lifestyles (e.g., singles, seniors, families, etc.). Section 12: City of Aspen Land Use Code Section 26.470.1 10.13.2 is hereby deleted and replaced in its entirety with the following: 2. The proposal furthers affordable housing goals by providing units established as priority through the current Aspen/Pitkin County Housing Authority Guidelines and provides a desirable mix of affordable unit types, economic levels and lifestyles (e.g., singles, seniors and families). Section 13: City of Aspen Land Use Code Section 26.470.150.A.2 is hereby deleted and replaced in its entirety with the following: 2) The change does not alter the number, size, type or deed restriction of the proposed affordable housing units,subject to compliance with the Aspen/Pitkin County Housing Authority Guidelines. Ordinance 12, Series 2019 Page 5 of 9 Section 14• City of Aspen Land Use Code Section 26.520.020 hereby deleted and replaced in its entirety with the following: General: Accessory dwelling units and carriage houses are separate dwelling units incidental and subordinate in size and character to the primary residence, located on the same parcel, and which may be rented or sold to a local working resident as defined by the Aspen/Pitkin County Housing Authority Guidelines and as limited by this Chapter. A primary residence may have no more than one (1) ADU or carriage house. An ADU or carriage house may not be accessory to another ADU or carriage house. A detached ADU or carriage house may only be conveyed separate from the primary residence as a "for sale" affordable housing unit to a qualified purchaser pursuant to the Aspen/Pitkin County Housing Authority Guidelines, as amended. ADUs and carriage houses shall not be considered units of density with regard to zoning requirements. ADUs and carriage houses shall not be used to satisfy employee housing requirements of the Growth Management Quota System (GMQS), except that a detached ADU or carriage house which is deed restricted and conveyed separate from the primary residence as a"for sale"affordable housing unit to a qualified purchaser pursuant to the Aspen/Pitkin County Housing Authority Guidelines, as amended, shall qualify for issuance of a Certificate of Affordable Housing Credit,pursuant to Chapter 26.540. All ADUs and carriage houses shall be developed in conformance with this Chapter. Section 15• Aspen Land Use Code Chapter 26.520.070.A is hereby deleted and replaced in its entirety with the following: Deed restrictions and enforcement A. Deed restrictions. At a minimum, all properties containing an ADU or a carriage house shall be deed restricted in the following manner: • The ADU or carriage house shall be registered with the Aspen/Pitkin County Housing Authority. • Any occupant of an ADU or carriage house shall be qualified as a local working resident according to the current Aspen/Pitkin County Housing Authority Guidelines, as amended. • The ADU or carriage house shall be restricted to lease periods of no less than six (6) months in duration or as otherwise required by the current Aspen/Pitkin County Housing Authority Guidelines. Leases must be recorded with the Aspen/Pitkin Housing Authority. Ordinance 12, Series 2019 Page 6 of 9 A detached and permanently affordable Accessory Dwelling Unit or Carriage House qualifying a property for a floor area exemption, pursuant to Section 26.575.020 — Calculations and Measurements, shall be deed restricted as a "for sale" affordable housing unit and conveyed to a qualified purchaser, according to the Aspen/Pitkin County Housing Authority Guidelines, as amended and according to the following sales price limitations: • Accessory dwelling units from 300 to 500 net livable square feet— Category 3 or lower. • Accessory dwelling units from 501 to 800 net livable square feet— Category 4 or lower. • Carriage houses from 800 to 1.000 net livable square feet—Category 5 or lower. • Carriage houses from 1,001 to 1,200 net livable square feet — Category 6 or lower. Category sales prices shall be those specified in the Aspen/Pitkin County Housing Authority Guidelines, as amended. The initial developer may select the first qualified purchaser of the unit. Subsequent conveyances shall be according to the lottery sales procedures specified in the Aspen/Pitkin County Housing Authority Guidelines, as amended. A detached and permanently affordable Accessory Dwelling Unit or Carriage House deed restricted as a "for-sale" affordable housing unit, as described above, and which is not required for mitigation purposes, shall be eligible to receive a Certificate of Affordable Housing Credit pursuant to Chapter 26.540. Accessory dwelling units deed restricted to mandatory occupancy in exchange for a floor area bonus, prior to the adoption of Ordinance No. 46, Series of 2001, shall be continuously occupied by a local working resident, as defined by the Aspen/Pitkin County Housing Authority Guidelines, for lease periods of six (6) months or greater, unless the owner is granted approval to remove that restriction pursuant to Subsection 26.520.090.13, Removal of Mandatory Occupancy Deed Restriction. The Aspen/Pitkin County Housing Authority shall provide a standard form for recording accessory dwelling unit or carriage house deed restrictions. The deed restriction shall be recorded with the County Clerk and Recorder prior to a Certificate of Occupancy being issued. The reception number associated with the recordation shall be noted in the building permit file. Ordinance 12, Series 2019 Page 7 of 9 Section 16: Aspen Land Use Code Chapter 26.520.090.A.2 is hereby deleted and replaced in its entirety with the following: 2. The change does not alter the deed restriction for the ADU or carriage house or the alteration to the deed restriction is consistent with the Aspen/Pitkin County Housing Authority Guidelines. Section 17• Aspen Land Use Code Chapter 26.520.090.B.2.a is hereby deleted and replaced in its entirety with the following: a) Develop a deed restricted affordable housing unit on a site that is not otherwise required to contain such a unit or convert an existing free-market unit to affordable housing status. The replacement affordable housing unit shall be within the Aspen infill area, shall be a one-bedroom or larger sized unit, shall meet the Aspen/Pitkin County Housing Authority Guidelines (which may require certain improvements), shall be deed restricted as a Category 2, or lower, for-sale unit according to the Aspen/Pitkin County Housing Guidelines, as amended, and shall be transferred to a qualified purchaser through the Aspen/Pitkin County Housing Authority sales process; or, Section 18: Any scrivener's errors contained in the code amendments herein, including but not limited to mislabeled subsections or titles, may be corrected administratively following adoption of the Ordinance. Section 19: Effect Upon Existing Litigation. This ordinance shall not affect any existing litigation and shall not operate as an abatement of any action or proceeding now pending under or by virtue of the ordinances repealed or amended as herein provided, and the same shall be conducted and concluded under such prior ordinances. Section 20: Severability. If any section, subsection, sentence,clause,phrase,or portion of this ordinance is for any reason held invalid or unconstitutional in a court of competent jurisdiction, such portion shall be deemed a separate,distinct and independent provision and shall not affect the validity of the remaining portions thereof. Section 21: Effective Date. In accordance with Section 4.9 of the City of Aspen Homc Rule Charter,this ordinance shall become effective thirty(30)days following final passage. Section 22: A public hearing on this ordinance shall be held on the 20th day of May, 2019, at a meeting of the Aspen City Council commencing at 5:00 p.m. in the City Council Chambers,Aspen City Hall,Aspen, Ordinance 12, Series 2019 Page 8 of 9 Colorado, a minimum of fifteen days prior to which hearing a public notice of the same shall be published in a newspaper of general circulation within the City of Aspen. INTRODUCED, READ AND ORDERED PUBLISHED as provided by law, by the City Council of the City of Aspen on the 13t'day of May, 2019. Attest: inda Mann ng, City Cler t Steven Skadron,Mayor FINALLY,adopted, passed and approved on w ,2019. Attest: Linda Manning, City Cler Steven Skadron,Mayor Approved as to form: James R. True,City Attorney Ordinance 12, Series 2019 Page 9 of 9