§ 26-89-100. Affordable Housing Agreements

The obligations assumed by an applicant or property owner in exchange for subsidies or incentives for the construction of affordable housing in compliance with this Article shall be secured by a recorded Affordable Housing Agreement executed by the property owner and by the CDC on behalf of the County, and recorded before the recordation of a final map or issuance of a Building Permit, whichever occurs first.

A.

Review and approval. Subject to review and approval by County Counsel as to form, the Executive Director of the CDC is authorized to sign and record Affordable Housing Agreements required by this Section and to sign and record documents subordinating Affordable Housing Agreements to acquisition, construction, bridge, and long-term permanent financing associated with the development of the project in which the affordable units will be located.

B.

Agreement contents. An Affordable Housing Agreement shall contain provisions that implement all requirements of Chapter 26, as applicable to the specific project. The agreement shall also include the following provisions, and/or any additional requirements required by the review authority.

1.

Occupancy standards. The agreement shall include provisions that specify:

a.

Income eligibility criteria for defining housing unit affordability;

b.

The actual affordable sales prices or rents for affordable units, as determined by the CDC in accordance with this Article. The agreement shall also provide that the CDC may from time to time revise the sales prices and rent limits in response to changes in income limits, monthly housing costs, and the real estate market. Monthly housing costs for affordable ownership units shall include mortgage payments, property taxes, homeowners insurance and, as applicable, homeowner's association dues and private mortgage insurance. Monthly housing costs for affordable rental units shall include the rent plus any tenant-paid utilities;

c.

Criteria for the certification and selection of buyers or renters, as applicable. Selection criteria may include the amount of household income and assets, household size, and the size or other special needs features of units reserved for senior, disabled or large family households; and

d.

A fair and equitable marketing and buyer or tenant selection process submitted by the applicant and approved in advance by the Executive Director of the CDC, to ensure the selection of eligible buyers or tenants.

2.

Sale, resale and rental restrictions. The agreement shall include provisions that specify:

a.

A guarantee of sale or rent and continuing availability of all units designated as moderate income units to eligible moderate income households, and a guarantee of sale or rent and continued affordability of all units designated as affordable to low-, very low-, and extremely low-income households to eligible low-, very low- or extremely low-income households for a minimum of 30 years or as otherwise provided by this Article, or for another term as may be authorized by the project approvals and allowed by law;

b.

A provision restricting the sale of all affordable ownership units to eligible buyers as defined by the CDC in accordance with this Article and specified in the Sonoma County Affordable Housing Program Homeownership Policies, available at the offices of the CDC; and

c.

A provision that the sale of a dwelling designated as affordable to a moderate, low- or very low-income household shall include an assignable Affordable Housing agreement granting the CDC the first right of refusal to purchase the unit at the time of subsequent sale as specified in the Sonoma County Affordable Housing Program Homeownership Policies.

3.

Fees. The agreement shall include a provision that the CDC and the Department receive all applicable fees as may be established by resolution of the CDC or Board from time to time, including but not limited to monitoring fees for rental units and administrative fees at sale and resale of ownership units subject to this Article.

4.

Enforcement and recovery of costs. The agreement shall include a provision that provides for enforcement of the agreement by the County and/or the CDC and that entitles the County and the CDC to recover reasonable attorney's fees (including County Counsel fees), investigation and litigation expenses, and any related staff costs associated with enforcing the Agreement.

(Ord. No. 6129 , § IIIB(Att. C), 8-18-2015; Ord. No. 6085, § IV(Exh. C), 10-7-2014)