§ 27-1.2. Findings.

a.

Need for Affordable Housing . The City Council has found that persons of low- and moderate-income are experiencing increasing difficulty in locating and maintaining adequate, safe and sanitary affordable housing. As noted in the City's Housing Element, a regional shortage of affordable housing is contributing to overpayment for housing accommodations, sometimes leading to temporary or permanent homelessness. According to the Association of Bay Area Governments' Housing Needs Projections, the City of Alameda needs to provide housing affordable to persons of low- and moderate-income. Further, the City's Housing Assistance Plan identifies the need for rental subsidies for low- and moderate-income households.

b.

Impact on Housing Needs Created by Nonresidential Development . Pursuant to the Affordable Housing Requirement and In Lieu Fee Methodology report prepared for the City of Alameda by Economic and Planning Systems Inc. in November of 1989, the City Council finds that the construction or expansion of nonresidential development is a major factor in attracting new employees to the City. A substantial number of these employees and their families reside or will reside in the City and place a greater strain on an already impacted housing stock. Employees who are unable to find affordable housing in the City are forced to commute long distances. This situation adversely impacts on their quality of life, consumes limited energy resources, increases traffic congestion and has a negative impact on air quality. Employers have or will have problems attracting a labor force.

c.

Means of Meeting Affordable Housing Demand . New employees will compete with present residents for scarce affordable housing in the City. Increasing the production and availability of affordable housing is problematic. Prices and rents for affordable housing remain below the level needed to attract new construction. At the same time, escalating land costs and rapidly diminishing amounts of land available for development hinder the provision of affordable housing units solely through private action. Programs and activities to expand affordable housing opportunities can be accomplished through public/private partnership action. Federal and State housing finances and subsidy programs are not sufficient by themselves to satisfy the affordable housing needs associated with employment resulting from nonresidential development. It is the purpose of this chapter to establish a feasible means by which developers of nonresidential development projects assist in (1) increasing the supply of low- and moderate-income housing and (2) increasing the supply of housing in close proximity to employment centers.

d.

Imposing Housing Requirement on Developers Whose Projects Create the Need . It is appropriate to impose some of the cost of the increased burden of providing housing for low- and moderate-income people necessitated by such development directly upon the sponsors of a development, and indirectly upon the occupiers. The imposition of an affordable housing unit/fee requirement is an appropriate means to accomplish the purpose of this chapter. In calculating the affordable housing unit/fee requirement, the City Council has taken into account other factors in addition to the simple calculation of contribution. These include impact of the unit requirements and in lieu fee on construction costs, special factors and hardships associated with certain types of development, and legal issues.

e.

Rational Relationship Between Affordable Housing Need Created and Unit/Fee Requirement . The unit requirements and housing fees contained in this chapter are designed to create a rational relationship between the amount of housing need created by the land use and housing unit requirement or the size of the fee, taking into account the effect of such unit or fee requirement on providing affordable housing opportunities and economic feasibility of imposing such requirements.

(Ord. No. 2859 N.S.)